THE INFLUENCE OF ONLINE ADVERTISING IN ENHANCING …

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THE INFLUENCE OF ONLINE ADVERTISING IN ENHANCING BRAND EQUITY A CASE OF VODACOM TANZANIA

Transcript of THE INFLUENCE OF ONLINE ADVERTISING IN ENHANCING …

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THE INFLUENCE OF ONLINE ADVERTISING IN ENHANCING BRAND

EQUITY

A CASE OF VODACOM TANZANIA

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THE INFLUENCE OF ONLINE ADVERTISING IN ENHANCING BRAND

EQUITY:

A CASE OF VODACOM TANZANIA

BY

MWANAIDI M. MAKUSSI

A Dissertation Submitted in Partial Fulfillment of the Requirements for the

Award of the Degree of Masters of Business Administration in Corporate

Management (MBA-CM) of Mzumbe University.

December, 2020

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CERTIFICATION

We, the undersigned, certify that we have read and hereby recommend for

acceptance by the Mzumbe University, a dissertation entitled “Influence Of Online

Advertising On Enhancing Brand Equity: A Case Study of Vodacom Tanzania" in

partial fulfilment of the requirements for the award of the degree of Masters of

Business Administration in Corporate Management (MBA-CM) of the Mzumbe

University

_______________

Major Supervisor

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Internal Examiner

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External Examiner

Accepted for the Board of MUDCC

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PRINCIPAL, DAR ES SALAAM CAMPUS COLLEGE BOARD

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DECLARATION

AND

COPYRIGHT

I, Mwanaidi Makussi declare that this dissertation is my own original work and

that it has not been presented and will not be presented to any other university for a

similar or any other degree award.

Signature ___________________________

Date________________________________

© 2020

This dissertation is a copyright material protected under the Berne Convention, the

Copyright Act 1999 and other international and national enactments, In that

intellectual property. It may not be reproduced by any means in full or in part, except

for short extracts in fair dealings, for research or private study, critical scholarly

review or discourse with an acknowledgement, without the written permission of the

Mzumbe University, on behalf of the author.

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ACKNOWLEDGEMENT

First and foremost, I would like to thank the Almighty God who has always been

giving me strength, faith, hope and the will to never give up. I would have not had

the ability to complete this dissertation without his grace.

Secondly, I extend my appreciation to my supervisor, Dr. Joshua Mwakujonga of

Mzumbe University Dar es Salaam Campus, for his material, moral support and

invaluable time dedicated to this dissertation.

Many thanks to Mzumbe University librarians who helped and gave me the needed

and required support in using the library books, articles, publications and all the

required materials.

Finally, I express my unending gratitude to my family for providing me with moral,

emotional, and financial support as well as their encouragement throughout my study

and the whole process of researching and writing this report. I would have not

managed to do this accomplishment without them.

I must say patience and hard work helped me to accomplish this difficult task. I am

forever grateful and I thank everyone from the bottom of my heart for supporting me

in this endeavor.

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DEDICATION

This dissertation is dedicated to my beloved family

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LIST OF ABBREVIATION

BEM Brand Equity Model

IT Information Technology

NGO Non Government Organization

NHC National Housing Cooperation

PLC Public Limited Company

SMEs Small and Medium Enterprises

SMM Social Media Marketing

SPSS Statistical Package of Social Science

US United States

WOM Word of Mouth

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ABSTRACT

This study examined the influence of online advertising on enhancing brand equity,

the case being Vodacom Tanzania. The study was guided by three specific

objectives: To assess the influence of online advertising on creating brand awareness;

to establish the influence of online advertising on creating brand preference at

Vodacom and; to find out the influence online advertising on increasing brand’s

revenue at Vodacom.

The research used casual research design. The population of the sample came from

consumers and staff at Vodacom. A sample of 170 respondents was recruited using

simple random techniques and purposive method of sampling. Information was

collected using questionnaires and interviews. The research employed qualitative as

well as quantitative methods.

The study findings have shown that, there are number of online adverts being used

by Vodacom. It was found out that, online adverts are used to bring awareness to the

public about Vodacom services and brand features. Moreover, online adverts are

utilized to influence customers’ brand preferences, customers’ loyalty as well as

positive perception. Also, the findings revealed that, brand revenue, increase of

market share and increase of demand of Vodacom services.

The study results call for special attention in addressing the problem of online

advertising and social media. In particular, the business owners need to undergo

special online training that will build their capacity in conducting their business with

growth prospects.

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TABLE OF CONTENTS

CERTIFICATION ................................................................................................... i

DECLARATION ....................................................................................................ii

AND .........................................................................................................................ii

COPYRIGHT .........................................................................................................ii

ACKNOWLEDGEMENT .................................................................................... iii

DEDICATION ....................................................................................................... iv

LIST OF ABBREVIATION ................................................................................... v

ABSTRACT ........................................................................................................... vi

TABLE OF CONTENTS ..................................................................................... vii

CHAPTER ONE ..................................................................................................... 1

PROBLEM SETTING ........................................................................................... 1

1.1 Background of the Study ..................................................................................... 1

1.2 Statement of the Problem ................................................................................... 3

1.3 Objectives of the Study ....................................................................................... 4

1.3.1 General Objective ............................................................................................ 4

1.3.2 Specific objectives .......................................................................................... 4

1.4 Research Questions ............................................................................................. 4

1.5 Scope and Limitations of the Study ..................................................................... 4

1.6 Significance of the Study .................................................................................... 5

1.7 Limitations of the Study ...................................................................................... 5

1.8 Delimitation of the Study .................................................................................... 6

CHAPTER TWO .................................................................................................... 7

LITERATURE REVIEW ....................................................................................... 7

2.1 Introduction ........................................................................................................ 7

2.2 Definition of Key Terms ..................................................................................... 7

2.2.1 Online advertising ............................................................................................ 7

2.2.2 Brand Equity .................................................................................................... 7

2.2.4 Brand Awareness ........................................................................................... 10

2.2.5 Brand Preference............................................................................................ 11

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2.3 Theoretical perspectives .................................................................................. 11

2.3.1 The Hierarchy of Effects Theory .................................................................... 11

2.3.2 Market Share Theory ..................................................................................... 12

2.3.3 Opportunity-Based Theory ............................................................................. 13

2.4 Empirical review .............................................................................................. 14

2.5 Research Gap .................................................................................................... 20

2.6 Conceptual Framework ..................................................................................... 21

2.6.1 Brand Awareness ........................................................................................... 22

2.6.2 Brand Preferences .......................................................................................... 22

2.6.3 Brand Revenue............................................................................................... 23

CHAPTER THREE .............................................................................................. 24

RESEARCH METHODOLOGY ......................................................................... 24

3. 1 Introduction ..................................................................................................... 24

3.2 Research design of the study ............................................................................. 24

3.3 Research Approach .......................................................................................... 24

3.4 Study Area ........................................................................................................ 24

3.5 Population of the Study ..................................................................................... 25

3.6 Sample Size ...................................................................................................... 25

3.7 Sampling Techniques ........................................................................................ 25

3.7.1 Systematic Sampling ...................................................................................... 26

3.7.2 Purposive Sampling ...................................................................................... 26

3.8 Data Collection Types and Methods .................................................................. 26

3.8.1 Interview ........................................................................................................ 27

3.8.2 Questionnaire ................................................................................................. 27

3.8.3 Secondary Data ............................................................................................. 27

3.9 Data Quality ..................................................................................................... 27

3.9.1 Data procedures and analysis ......................................................................... 27

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CHAPTER FOUR ................................................................................................ 29

PRESENTATION OF FINDINGS ....................................................................... 29

4 .1 Introduction .................................................................................................... 29

4. 2 The influence of online advertising on creating brand awareness ...................... 29

4.2.2 The Existence of Online Adverts ................................................................... 29

4.2.2 Online adverts brings awareness of brand ...................................................... 30

4.2.3 Online adverts shows brand features ........................................................... 32

4.2.4 Online Adverts shows types of services and products offered ......................... 33

4.3 The effects of online advertising on creating brand preference at Vodacom....... 34

4.3.1 Online adverts lead to preference of services .................................................. 35

4.3.2 Online advertising has influenced to loyal customers ..................................... 36

4.3.3 Online advertising has influenced positive perception towards services .......... 37

4.4 The influence online advertising on increasing brand’s revenue ...................... 39

4.4.1 Effect of Online Advertising on Sales. .......................................................... 39

4.4.2 Online advertising has led to increase of market share of Vodacom ................ 40

4.4.3 Online advertising has led to increase of demand for services

............................................................................................................................... 41

CHAPTER FIVE .................................................................................................. 43

DISCUSSION OF THE FINDINGS .................................................................... 43

5.1 Introduction ..................................................................................................... 43

5.2 The influence of online advertising on creating brand awareness at Vodacom .. 43

5.3 The Influence of Online Advertising on Creating Brand Preference at Vodacom

............................................................................................................................... 47

5.4 The Influence Online Advertising On Increasing Brand’s Revenue At Vodacom

............................................................................................................................... 50

CHAPTER SIX ..................................................................................................... 51

SUMMARY OF THE STUDY, CONCLUSIONS AND RECOMMENDATIONS

............................................................................................................................... 51

6.1 Introduction ...................................................................................................... 51

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6.2 Summary of the study ....................................................................................... 51

6.2 Conclusion ........................................................................................................ 51

6.3 Recommendations ........................................................................................... 52

6.4 Suggestion for further Studies ........................................................................... 53

REFERENCES ..................................................................................................... 54

APPENDIX I ........................................................................................................ 61

APPENDIX II ...................................................................................................... 63

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LIST OF FIGURES

Table 3.1 The composition of the sample size ......................................................... 25

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LIST OF FIGURES

Figure 2.1: Brand equity model ................................................................................ 9

Figure 2.2: Hierarchy of effects model ................................................................... 12

Figure 2. 3 Conceptual Framework of the Study ..................................................... 22

Figure 4.1 Existence of Online Adverts................................................................... 30

Figure 4.2: Online adverts brings awareness of brand ............................................. 31

Figure 4. 3 Online Adverts and Brand Features ....................................................... 33

Figure 4. 4: Online Adverts shows types of services and products offered ............... 34

Figure 4. 5Online adverts and brand prefere nce .................................................... 36

Figure 4. 6: Online Adverts Leads To Customer Loyalty ........................................ 37

Figure 4. 7 Online Advertising has Influenced Positive Perception towards Services

............................................................................................................................... 38

Figure 4. 8 Online Adverts and the Increase of Sales .............................................. 39

Figure 4. 9: Online Adverts and the Increase of Market Share ................................. 40

Figure 4. 10 online Adverts and the Increase of Demand of Services ...................... 41

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CHAPTER ONE

PROBLEM SETTING

1.1 Background of the Study

For many years advertising has been utilized by firms. It is among the means of

communicating with customers and prospects to persuade them. It is also the means

of promotional mix. Advertising is among the communication tools of a firm (Raju et

al., 2002).

Online advertising is becoming popular in Tanzania. This has been due to the global

technological changes happening in the world. This study examined the influence on

online advertising in enhancing brand equity, the case being Vodacom in Tanzania.

Brand commitment is the inner state of mind that makes a customer connected to a

certain brand (Raju et al., 2002). Razi et al. (2013) assert that, brand commitment is

about choosing a single brand among many brands in same category again and again

at any price. To the organizations, effective commitment is the extent to which the

consumer’s wish is to be in touch with a brand preferences towards the brand

ignoring other factors (Moore et al., 2012).

Fiorito (2007) contended that customers’ brand commitment is the results of brand

knowledge, organizational productivity and effectiveness. Recently, social networks

have changed the communication perspective through the way people produce,

interact and consume information. Social networking has attracted tremendous

attention both to companies and to the interactions between individuals. Social

networks such as Face book, Twitter and YouTube have generated tremendous

momentum on the networking web, with end-customers of various goods and

services now looking at what prevail in social media, something that was historically

missing in the conventional communication medium.

The influx in Internet has managed to transform the traditional marketing perspective

to a digital marketing perspective, this was controlled by only marketing people into

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being controlled and influenced by the customers who buy the products. A

comparative study revealed that social media networking has given consumers and

companies an effective and convincing nature of contact by reflecting on how

customers view the products and how honest they are when exchanging information

(Hanaysha, 2016). Raji et al., (2019) pointed out that this is where the high degree of

brand value and royalty is reached by advertising and brand recognition.

According to Marie-Claude and Richard (2006), large firms always need to create

their brands in most recognizable way through social media, so as to experience

global pressure. There are some clicks in the adverts that do not amount to customers

immediate purchase, but they are used as the boost to subsequent clicks which will

result into purchase of the product (Xu et al., 2014). This type of advertisement has

low direct impact on conversion rate, but should not be ignored because they

stimulate subsequent visits which are converted into immediate sales. On the analysis

of how the advertisement display affects the consumers’ awareness on the product,

Ghose and Tordi-Adamopoulos (2008): revealed that “the longer the time the

advertisement is displayed, the more likely consumers engage on searching the

product on social media”. Also, for the online advertisement to be effective there

should be display for a long time that would attract attention of large number of

potential buyers.

The marketing pattern has taken a turn from conventional marketing to digital

marketing and technology. Companies are also using online adverts to discuss and

connect with their customers via social media sites. There were 2.38 billion active

monthly users on Facebook according to Facebook (2019). On average, 1.56 billion

active users sign in to Facebook daily (Noyes, 2019); and 2 million businesses used

Facebook in 2018 to market their goods (Hootsuite, 2018). More than 500 million

users use Instagram daily (Noyes, 2019) and the platform is projected to reach

revenue of $14 million in 2019 (New York Group Inc, 2019). It is revealed that

Instagram makes up to 28.2% of Facebook’s mobile ad revenue and there are over

400 million Instagram users who create Instagram stories every day (Noyes, 2019).

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1.2 Statement of the Problem

Aaker (2015) argued that, there has been high increase of online advertising, as many

of service or product-oriented firms have highly adopted online advertising. He

further narrated that, 65% of all business around the world have been using online

adverts to promote and enhance their brands and products or services offered to the

consumers. Alba and Hutchinson (2014) pointed out that, the use of social media is

increasing day by day due to the influx of technology. It is believed that almost every

person has a social media account which he/she can use to get the world news easily.

Therefore, most of the firms have found the opportunity to reach their customer

easily through the social media platforms.

Many firms have created social media pages so as they can advertise their products

or services easily. Some of the firms use social media pages with high number of

followers or viewers so as to advertise their products or services through their pages.

Ananda and Murugarah (2018) argue that most of the firms have adopted the use of

online advertising due to the fact that it is convenient, since that one has to own an

electronic device with a social media account, email or website to post an advert.

Therefore, the cost of operations has been reduced due to the use of online

advertising. In addition, an online advertising has been highly used by different types

of organization in different parts of the world. One of the major reasons that have

influenced firms in using online advertising is an easy and quick accessibility of the

market.

It has been noted that, many customers and prospects can easily be reached by online

adverts at once hence online advertising covers large geographical area. As such,

thus if one posts an advert in say Tanzania, then the whole world will be able to see

the advert.

Nevertheless, most of the studies have indicated that, there is an increasing rate of

firms in using online advertising but many of them have not shown the influence of

online advertising on brand equity. Some unanswered questions include how far the

online advertising has created brand value, worthiness as well as trust. As the online

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advertising comes with a number of challenges such as brand defamation,

cybercrimes, network malfunctions to mention a few, this study was carried out to

examine the influence of online advertising in enhancing brand equity.

1.3 Objectives of the Study

The objective of this study is divided into two parts; the general objectives and

specific objectives.

1.3.1 General Objective

The general objective of the study was to examine the influence of online advertising

on enhancing brand equity.

1.3.2 Specific objectives

The study was guided by the following objectives;

i. To assess the influence of online advertising on creating brand awareness.

ii. To examine the influence of online advertising on creating brand preference.

iii. To investigate the influence of online advertising on increasing brand’s

revenue.

1.4 Research Questions

The following questions guided the study;

i. What is the influence of online advertising on creating brand awareness?

ii. What is the influence of online advertising on creating brand preference?

iii. What should be taken as the influence of online advertising in increasing

brand’s revenue?

1.5 Scope and Limitations of the Study

This study focused on a telecommunication company that is Vodacom because it has

enriched many areas in Tanzania and its products and services are available.

Vodacom also practices online advertising and use various internet platforms to

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reach out its customers. The study centered on the influence of online advertising in

enhancing brand equity at the company.

1.6 Significance of the Study

This study incorporates practical as well as theoretical perspectives. The research

represents a summary of information on the impact of online adverts on brand value

and therefore how online ads influences brand recognition, brand preferences and the

company's brand revenue. To fact, the study demonstrates how different Tanzanian

companies use online ads (using Vodacom as a case).

Also, the study provides policy makers a view to make changes of the policies of

online advertising so as to strategically safeguard the general operations of firms

when using online advertising.

1.7 Limitations of the Study

According to Kiola (2012), Limitations are impacts that the researcher can't control.

They are the deficiencies, conditions or impacts that can't be controlled by the

specialist that place confinements on approach and conclusions. Any restrictions that

may impact the outcomes ought to be specified. In any study, limitations are

inevitable, but most importantly the researcher will successfully handle such

limitations in order to achieve the objectives of the study. The following may be

limitations that the researcher may encounter in the study;

Being a case study, more time is needed in order to study the entire unit in details so

as to grasp required data. Time provided was not enough due to fact that a

researcher has also to attend other daily activities as per institution schedule. Some of

the information needed by this research had negative implications to the respective

firm. There was the possibility of some respondents not to provide support in terms

of providing necessary data.

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1.8 Delimitation of the Study

According to Libyela (2013) argues that delimitations are those qualities that

farthest point the degree and characterize the limits of an exploration consider. The

delimitations are in the specialist's control. Delimiting factors incorporate the

selection of targets, the examination questions, factors of intrigue, hypothetical

points of view that you received.

Furthermore delimitation of the study is how the researcher will tackle and

handle the limitation of the study. In tackling time limitations in this study ,

schedule of research activities was prepared, with the strictly observation of this

timetable in order to accomplish the required research on time.

Also in handling data limitations the researcher explained the importance of doing

this study in their bank not for destroying the entire bank reputation but to improve

execution of the firm’s tasks.

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CHAPTER TWO

LITERATURE REVIEW

2.1 Introduction

This chapter presents a review of different concepts and ideas that are related to the

study objectives. The chapter presents general conceptual arguments from different

authors so as give a clear understanding of the study. This has helped in determining

the direction of the study

2.2 Definition of Key Terms

This section defines key concept used in the study. These terms are online

advertising and brand equity. The definition of key terms are presented so as to give

a clear understating of the terms as used in this study.

2.2.1 Online advertising

Arvinlucy (2014) defines online advertising as the use Internet platforms to advertise

services and products of the firm. All of the features and characteristics of

advertising are adhered, the only difference is that the advert is presented through

internet platforms such as; internet platforms which can be social pages, websites ,

blogs, emails as well as phone dairying. Not only do people use online adverts, but

even businesses and government agencies find it a strategic tool for engaging with

and reaching out to their consumers (Raji et al., 2020).

Online advertising is often used as a marketing tool used by companies to establish

engagement and relationships between buyer and seller. This strategy is considered

to develop brand value and from which companies introduce their brand initiatives

and establish customer-company relationships (Sánchez-Casado et al., 2018).

2.2.2 Brand Equity

Bovee and Arens (2018) define brand equity as the value of brand which is well

known. It has been argued that, brand equity show that there is high awareness of the

brand, positive perception of the brand as well as creating brand preference. Also,

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brand equity is believed to create high revenue and profit towards the brand. The idea

of brand value has been talked about more than once in different wellsprings of

writing and there is no agreement on the definition because of the trouble experts and

advertisers experience in estimating value. Clearly there is by all accounts two ways

to deal with characterizing brand value in particular the monetary and shopper point

of view.

Schivinski and Dabrowski's (2014) claim that brand value can be defined as the

company’s brand calculation. Keller (2008) study does agree on the brand value

means the buyer’s interest in the brand. Brand equity is viewed from multiple

viewpoints and there is a notion that brand equity adds value to a company sold

goods or services (Sánchez-Casado et al., 2018). Brand equity is often denoted from

the viewpoint of the customer and from the perspective of the company. The

customers view brand equity as a different effect of brand knowledge by the

consumer to the market while the firm’s perspective denotes brand equity as a tool to

embrace profit of the organization (Paper et al., 2017).

Aaker (1991) gave rise to the point-by-point definition: who claims the brand value

as '...the array of brand resources and liabilities linked to its name and images the

enhanced or remove an incentive from an item or administration.' These advantages

include brand loyalty, brand awareness, saw performance, brand affiliations and

other restrictive brand resources. The main accentuation of this concept is on added

respect given to an object in shoppers' psychological maps and activities. The

following model illustrates the five brand value pieces as suggested by (Aaker, 1991)

and shows that brand value is worked from the five constituents laid out at any cost.

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Figure 2.1: Brand equity model

Source: Oliver (1999).

The above brand value factors can be clarified through different perspectives. As per

Oliver (1999), brand devotion is characterized as "a profoundly held promise to

rebuy or repertories a favored item/administration reliably in future in this manner

causing monotonous same brand buying, in spite of situational impacts and

advertising endeavors having the capacity to cause exchanging conduct". In

promoting circumstances brand dedication decides purchaser selection of brands and

customers might be cold hearted toward cost increments or diminishes (Keller,

2003). Brand awareness involves the capacity of buyers to perceive and review the

brand in messiness (Aaker, 1991).

Brand knowledge is central in the brand value system because it precedes any other

aspect. Buyers should be conscious of a brand in order to build up more good brand

affiliations and this should be achieved by effective promotional correspondence.

Carefulness can prompt shoppers to build a positive impression of the brand that

generally contributes to reliability (Oliver, 1999). Performance seen is one of the

metrics that guides brand value creation. Zeithmal (1988); defines quality perceived

BRAND

EQUITY

Brand Loyalty

Brand Awareness

Perceived Quality

Brand Association

Leverage trade, new customer’s

attractions, market costs

reduction, respond to

competitive threats

Brand considerations, brand

commitment, liking

Price, position, channel,

extensions

Reason to buy, help process,

differentiate extension

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as the "general grandeur or prevalence of an object." In this case, consistency is

considered a brand value vector dependent on the client that coordinates observations

and encounters of the consumer. It indicates that quality is a client point of view

issue since the client makes a decision about the exhibition of the items as per their

desires and the presentation of different items in the market (Zithemal, 1998).

Lastly brand affiliations are some of the most critical constituent pieces of brand

value (Aaker, 1991; Donthu, 1997). A brand affiliation has been conceptualized to

indicate whatever has memory connects to the brand. These connections develop and

create as a purchaser is more than once presented to the brand. Keller (2008)

communicates that marks that are supplied with a few positive brand affiliations have

positive client-based brand value. Brand affiliations are on a very basic level in

situating and separating brands. They revive the enthusiasm of buyers to buy a brand

and make an uplifting mentality towards a brand.

2.2.4 Brand Awareness

Brand awareness is been defined as ability of a consumer to recall a brand or

recognize the brand given at different situations. It is the degree to which consumers

and the general public are familiar with the existing brand (Patil, 2017). Brand

awareness is termed as a reason as to why popular brands are functioning better

compared to other brands. Brand awareness is well promoted by online reviews from

customers (Seo & Park, 2018). Brand awareness is the ability of a potential customer

or final user to recall a certain brand as a representative of certain product category.

Brand awareness plays a vital role in enhancing brand equity of a particular firm or

product category. It helps a customer to make decisions to use a certain product,

brand awareness also gives customers confidence to use a product and eliminates the

perceived risks. Hanaysha (2016) brand awareness is evaluated on different stages

this includes; recognition, brand recall, brand top in mind, dominance and knowledge

of brand. When a consumer makes a decision then it reflects the recall and

recognition of the brand.

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2.2.5 Brand Preference

Brand preference is defined as how customers are able to use the brand and consider

it compared to other brands in the market. Brand preference is formed to reduce

complexity when one buys a product or services. Brand preference shows the

strength and performance of the brand in the market (Schultz et al., 2014). Brand

preference represents the brands which are preferred and purchased more in the

assumption of their availability, quality and price. Patil (2017) there are a number of

steps viewed when brand preference is formed. This includes; brand exposure thus, a

customer is being exposed to many other brands, purchase decision process thus, a

customer makes a complex decision to purchase the brand. A customer also keeps

the memory of the brand purchased and considers the brand on future purchase.

Brand preference made by a consumer presents: cognitive, affective and behavioral

components.

2.3 Theoretical perspectives

This part provides the theories which were adopted in the study. Theories present the

cues and phenomena of how certain action happens and their reasons. This study has

utilized hierarchy of effects theory, marketing share theory.

2.3.1 The Hierarchy of Effects Theory

Basing on the hierarchy of effect theory, Chen (2019) holds that there are a number

of steps which are to be followed for a consumer to reach a buying decision in favor

of the marketer. The theory has identified six steps as mandatory to be followed in

the buying decision. The first step is awareness, which holds that before buying a

product the consumer has to be aware of the products existence. Knowledge is the

second step, this explains on how far is consumer detailed about the products such its

features, taste and durability. Liking is the third step, this shows how favorable is the

consumer towards a product. The fourth stage is preference, thus it is through

liking of the product that will lead to product preference.

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Conviction is the fifth step; this shows that preference has facilitated the desire to

buy, hoping that the products will lead to higher stage. The sixth stage is purchasing

thus the perception of the product is translated into actual buying behavior.

Therefore, the theory holds that it through the six stages that every consumer do pass,

it is upon the effects of the marketer to promote and communicate his or her products

so as the consumer can be in favor of the product. This theory was therefore used to

draw arguments on how far does the online advertising facilitate consumers through

the six steps so as can be in position to buy a certain product. Thus, how far does

online marketing influence awareness, liking of the products, desire of the product

and purchasing of the products and eventually creating brand equity depends on

these stages.

Figure 2.2: Hierarchy of Effects Model

Source: Chen (2008)

2.3.2 Market Share Theory

The market share theory was developed by Lasser, Mittal and Sharma,(2015) the

theory contends that 70% of the market share in any industry is covered by three or

five firms only, While the remaining 30% is always isolated among little firms.

Therefore , firms have to use different techniques and strategies so as to

Awareness

Knowledge

Liking

Preference

Conviction

Purchase

KNOW- Media

Advertising Publicity

FEEL- Sales promotion

DO- Personal selling

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effectively secure higher market. Firms may use advertising techniques, promotion

techniques, trade discounts, pricing strategies as well as quality of the products and

services so as to secure bigger market share. In the wake of rethinking, the

organization would then be one of the vast organizations inside the littler market, and

ought to take after the extensive organization technique inside the market. This

theory was used in this study to draw a smart discussion on the effects on how far

does online adverting influence market share enlargement.

2.3.3 Opportunity-Based Theory

Drucker (2017) holds that firms always excel by utilizing opportunities that have set

out through social, technological, and cultural changes. For instance, an organization

may identify there is a need for a shop in his or her social setting, if the entrepreneur

takes such an opportunity for creating profit then there is an application of

opportunity-based theory.

Furthermore, the theory holds that in the process of development, and innovation of

technology is always experienced. The advancement of technology always aims at

simplifying work and increase efficiency. Currently, the world is experiencing

technological development in the telecommunication industry. There have been

increasing communication platforms such as social media. Telecommunication

advancement has highly facilitated communication (Bijmolt et al,2014)

The theory further holds that due to the high increase in the use of technology, most

firms have moved from traditional advertising to new media advertising thus using

online sources to advertise. Different online sources have been utilized such as social

media, websites, emails mobile phones, and podcasts to mention a few (Brynjolfsson

and Smith 2015).

Firms have recognized that there is a high opportunity in the use of online

advertising such as easy reaching of a larger mass of customers and prospects as

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well, the cost of advertising has been low also, quick and easy branding of their

product.

Most firms have recognized that in the use of online advertising there two types of

brand equity which can be reached thus customer equity based on the market and

customer equity based on finance. For financially dependent brand value, companies

claim that their product’s worthiness is determined only by money-related variables,

this statement is focused solely on the company's stakeholders that have invested in

the company, and the brand's value is calculated only by financial success over a

period of time. Therefore, through online advertising will likely increase financially

based brand equity (Felician, 2018).

Furthermore, consumer-based brand equity is opposed to financial-based brand

equity, whereby it offers little usable information to brand managers, while the

consumer-based brand equity centers itself on consumer behavior’ s information so

as they can easily use different strategies to persuade consumers. Therefore, through

online advertising firms can easily be consumer-based by studying the perception

and attitudes of the customers and change their strategies (Felician, 2018).

This study utilized this theory to see for companies in Tanzania, using online

advertising as their opportunity towards brand equity, how far have they succeeded

or failed based on both consumer-based brand equity and financial-based brand

equity

2.4 Empirical review

Hanaysha's (2016) study performed on 89 Australian firms. The research had

employed descriptive study. In collecting 53 respondents the researcher used simple

random technique. In data analysis the report used both qualitative and quantitative

methods. The findings showed that businesses posted 1,347 Instagram stories in July

2018 compared to 614 snapchat stories and on average Instagram users spend 53

minutes plus on the app every day. The companies advertise effectively in their

branding and long-term customer engagement through online video. It was revealed

that online video advertising is an efficient way to reduce costs, with positive impact

15

to customer’s resistance to advertising which results into the bigger audience

coverage.

Osogbo (2014), the study case being Nakuru supermarkets in Kenya, conducted a

report on the impact of ads on organizational profitability. The research had three

targets. The research had the sample size of 64 recruited by simple strategy of

random sampling. Data were collected through interviews and questionnaires.

Fundamentally the analysis was concise. The results showed that it was through

advertising that supermarkets generated high recognition and preferences. This was

also discovered that it was by online advertising that both the supermarkets' market

share grew and the productivity improved.

Although the study was conducted based on the effects of advertising but it was

centered in Kenya and not in Tanzania, therefore the findings may not reflects the

actual reality based in Tanzania hence the business situation of Tanzania and

Kenya differ in a number of ways. In addition, the study used descriptive research

design to describe the current advertising impact phenomena. This study used casual

design to check the connection between the variables in the sample.

Tuten (2018) published a report on the factors affecting companies in Uganda's use

of social media marketing or telecommunication advertising. The research had been

a case study. The research used questionnaires and concentrated on gathering data

through group discussion. The research only recruited 45 respondents by means of

easy sampling techniques. It assessed the quality and reliability of the devices. Data

analysis was mainly qualitative, with few quantitative components. The study found

numerous factors affecting companies in the use of social media, such as expense,

high diversity, higher market share distribution and high profitability. This research

was carried out on the effects of especially social media advertisement. However;

this study focused not only on social media but on other online adverts. In addition,

the study analyzed the factors affecting firms' use of advertisements; the research did

not look at the impact on brand value on advertisement.

16

Tsai and Tsai (2016) analyzed the effects of social media marketing on the

performance of the company in Kenya's Ng'um bottling business , particularly in

Nyeri County. Essentially, the analysis was quantitative in nature. 67 The sample

size was drawn from 67 respondents. The sampling method used to determine the

sample size was using strata. When interpreting data the report used both descriptive

and inferential methods. In addition to this, the study used regression analysis to

check the effect on the variables. The results showed a positive relationship between

social media marketing and positive customer perception, thereby generating a

positive impression among customers through social media.

There is also a strong statistical link between marketing on social media and brand

recognition. The study also found that social media has a positive impact on success

in organizations. Nonetheless, the study found a range of difficulties in ads using

social media, such as often lack of a network, high piracy and brand defamation. This

research was essentially quantitative in nature, and thus used modal regression to

check the research variables relationship; This study was basically quantitative in

nature hence used regression modal to test the relationship of the study variables; the

current study was qualitative in nature with few elements of quantitative approaches.

Also, the study was conducted in Tanzania and not in Kenya.

Simon and Sullivan (2013) evaluated the effectiveness of online advertisement on the

results of a firm's Equity bank scenario. The study was carried out in Nairobi, Kenya.

The research only used questionnaires when gathering data. The research went

through a survey of 56 respondents. Chi-square was used for analyzing the results. It

has been confirmed that advertising leads 100% to the industry's rise in revenue. This

is through advertising that the company's market share raises. Simon and Sullivan's

study was conducted while focusing on Kenya’s banking industry, the study did not

look at a gap that this study focused to fill in, on the communication industry.

17

Tong and Hawley (2019) evaluated the impact of advertising on the volume of sales

at Starcom PLC. The study was conducted in Chad. Descriptive research design was

used in this study. The study was centered at Starcom Plc in Gaomn city. 46

respondents were recruited as the sample size. Data were obtained through

questionnaires. Chi- square was used in data analysis. The study intended to establish

the relationship between the variables; however, the findings did not clearly show the

relationship between the study variables. Hence the study showed that sales volume

is associated with a number of factors such price, quality of the products as well

as the company’s competitive power. It was found out that advertising has a very

low contribution to the firm sales volume. However, the study looked only on the

effects of advertising on sales volume in an organization. The study did not look on

the effects of advertising on brand equity, brand awareness, brand preferences.

Therefore, this study will cover the existing gaps left.

The research performed by (Sánchez-Casado et al, 2018) to assess the use of online

adverts by users, who were also brand group members online. Online survey was

used as a tool of study, online questionnaires were administered and respondents

were asked to complete the application form. The goal of the study was to collect

information about the companies the customers were members of the online

community and about the social media that the business used to advertise. The results

were obtained, and the research was made to contribute to other studies on the

literature level. However, this study only focused on examining the luxury brands

used by Korean consumers and it did not provide information of how online

advertising through social media enhanced and influenced brand equity.

Kavisekera's (2016) study assessed the influence of online advertising in promoting

brand equity of bricks and motor companies. A sample of 202 respondents was

drawn and about 59.9 percent were generation Y whose lifestyles and preferences

were influenced by social media. The study confirmed that, one among the attributes

that had a positive influence on brand equity of a firm is online advertising that were

made through social media. The study gave a conclusion and recommended that, the

18

new era marketing approach has contributed to companies to compete and practice

the digital models to address out their products and services. This has also led to

customers to rely on digital platforms such as online advertising to get information of

a particular brand or goods and services offered. However, the study did not

comment on how online advertising was used by generation Z and how companies

can make their services reach out this group of customers who were not much

influenced by online advertising.

According to Adetunji et al. (2018) achieving brand revenue and equity are the top

most priorities for many companies. This is why most academia proceeds to consider

brand equity in their works. Many studies have focused in the view of assessing the

influence of online advertising on promotion of the brand equity, but this study

wanted to fill the gap of what relationship does online advertising effects brand

equity. Therefore, the study used a sample of 800 respondents whom were selected

through cluster sampling and through different regions. The study specifically

focused on automotive brands and online questionnaires were used to obtain the

findings. From the findings, it was revealed that, online advertising has a positive

relationship in communicating with online customers of these automotive. It was

found out that social media such as Instagram, You Tube and Facebook plays a vital

role in enhancing online advertising of these automotive companies. However, the

study revealed that online advertising marketing has an insignificant attribute in

promoting brand equity.

Raji et al. (2020)'s research explored the roles online advertising plays in raising

brand equity. Similarly to the study of (Adetunji et al., 2018) report, 615 respondents

examined the relationship between online advertisement and brand equity in car

companies. The study results demonstrate that the relationship between online

adverts and customer-based brand equity is of significance. The research found

social media adverts and digital social media marketing has a beneficial partnership

in fostering brand loyalty and increasing the company's brand sales. The study

provides a gap to this current study since it has focused to view the influence of

19

online advertising in enhancing brand equity particularly in communication

companies and not seeking to view the relationship between online advertising and

brand equity.

Hanaysha's (2016) research report was designed to view the effect of online

advertising in promoting brand equity with a case of fast food restaurants. A

convenience sampling was used and about 384 respondents were obtained. The study

used a structured equation model to analyze the data and the findings revealed that

online advertising has a significant effect on brand equity. The study also indicated

that, online advertising through social media platforms had a positive effect in all

brand equity’s dimension thus;(brand leadership, image, loyalty and preference). The

study concluded that online advertising played a vital role in enhancing brand equity

and therefore, for a firm to have strong brand equity it should practice online

advertising to capture more customers and creating brand awareness for the untapped

markets. However, the study did not show on what techniques are to be employed by

the firms to reach out customers who have little or no knowledge about online

advertising.

The study by Paper et al. (2017) reviewed that companies have information that is

saturated and needs to reach out the customers. This has led to adoption of Internet as

a source to deliver information to customers. Various media are used in the Internet

platforms including direct emails, pop ups, social media and websites. These

innovations made by companies have resulted to consumers to value the information

and get what they are looking for an appropriate time. The study viewed companies

are on a good position to get more revenues through online advertising. The study

used secondary data thus, reviewed other literature studies concerning online

advertising on how it influenced brand equity. From the findings, the study observed

online advertising has created a deeper relationship and influence to customers to use

a certain brand. It is through online advertising companies having achieved to

acquire more customers and enhancement of brand awareness and loyalty. However,

this study is criticized since it has based on past literatures reviews with no present

20

findings. The study has used secondary data to conclude that online advertising has

influenced enhancement on brand equity while no source of primary data was used to

explain the current situation.

Nobar et al. (2020)'s study regarded online adverts as a method that advertisers were

using to advertise their goods and services. The objective of the research report was

to assess the effect on brand equity of online adverts in a case of a leather industry.

The analysis used a descriptive approach and applied science. The study found online

ads affected brand loyalty, with a survey of 483 respondents. The structural model

used to assess the variables showed that online ads had a major impact on mark

equity.

The study Petit et al. (2017) that assessed on organizational performance through

online advertising. The study was guided by four objectives which were to examine

advertising methods and techniques used by Airtel Tanzania, customer’s perception

on the Airtel Tanzania adverts, to assess the influences of advertising on sales

performance at Airtel Tanzania and identifying the challenges facing Airtel Tanzania

on applying advert. It found out that always customers are being positively

influenced by the Airtel advert. Moreover, sales performance from the firm has been

constantly influenced by advertising. It was also found out that the major challenges

facing Airtel due to adverting are cost, diversity of customers as well as stiff

competition. The study looked as the effects of advertising on firms’ performance

by looking at the methods used in advertising, customer’s perception as well as

sales volume generated due to advertising. The study did not look at the brand

equity impact of adverts in terms of brand recognition, brand preference as well as

brand sales volume, and this research was intended to fill the knowledge gap.

2.5 Research Gap

The review conducted under this chapter show that, there are many researches which

have been conducted with regard to advertisings and organizational performance or

sales volume. Most of the studies above have been conducted outside Tanzania;

21

therefore, their findings may not reflect the actual situation of on online advertising

and brand equity in Tanzania. Therefore, this study was conducted in Tanzania to fill

this knowledgeable gap.

A significant number of studies have looked on the effects of advertising generally,

but not online advertising. Therefore, this study focused on online advertising parse.

Moreover, the reviewed studies established the relationship between advertising and

organizational performance and sales volume but not the relationship between online

advertising and brand equity. Therefore, this study covered the area. Lastly, most of

the studies have used a small sample size which may not be easy to draw generalize

the conclusion to the whole population. This study used larger number of sample

size.

2.6 Conceptual Framework

The definition of a conceptual framework by Kothari (2004) is that it is a structure

that presents the relationships between the main variables in a given study. A

conceptual framework is an analytical tool with several variations and contexts. It is

used to make conceptual distinctions and organize ideas. Strong conceptual

frameworks capture something real and do this in a way that is easy to remember and

apply. It further clarifies that a conceptual framework explains the researcher's

perceptions of the relationship between variables that are deemed to be vital in a

study.

In this study, the first independent variable is brand awareness, and the study

examined how brand awareness affects brand equity. In this analysis the second

independent variable is brand preference. The research examined to what extent

brand preference affects brand equity. The last independent variable in this analysis

is mark revenue on how brand equity affects. The dependent variable was brand

equity on the extent to which brand awareness, brand preferences and brand revenue

influence brand equity due to online advertising. Figure 2.3 below provides the

conception framework.

22

Figure 2.3 Conceptual Framework of the Study

Independent variables Dependent

variables

Source: Own Developed Model, (2020)

2.6.1 Brand Awareness

Business entities engaged in attracting more customers use brand awareness to create

and make customers familiar to their brands. This helps customers to re-use the

brand in purchasing decisions. Through online adverts, brand awareness is created

and carries different features to show the existence of the products and service

offered by the company. The existences of online adverts in one way or other

enhance the growth of brand equity of a particular company.

2.6.2 Brand Preferences

Companies focus on acquiring and maintaining customers, this includes making

customers to be loyal in using the offered products and services. From this study,

independent variable of brand preference is used to show the effect that if customers

Brand Awareness

Existence of Online Advert

Brand features

Types of Services

Brand Preferences

customer loyalty

positive perception

Brand Revenue

Sales

Market Share

Demand of Services

BRAND EQUITY

23

view online adverts and make preference in using the brand then a positive

perception is attributed that will enhance the brand equity.

2.6.3 Brand Revenue

Attempting to consider online adverts to use a certain brand, makes a company to get

more profit and increase the sales. Brand equity of the company depends on the

raised market shares, demand of services and increase of sales. Through online

adverts, a company increases the brand revenues and effects positivity of a brand

equity.

24

CHAPTER THREE

RESEARCH METHODOLOGY

3. 1 Introduction

This chapter explains the methods used in data analysis. It explains the research

design, study area, sample size and sampling techniques. This also illustrates the

processes for data collection, data processing, and data interpretation.

3.2 Research design of the study

This study used a casual research design. Casual research design is also referred to as

explanatory researches. Casual research design is always conducted to assess the

cause and effect relationship between the study variables. Therefore, this study

assessed how far online advertising influenced brand equity.

3.3 Research Approach

Basically, this study used the qualitative approach to analyze data. Usually,

responses from respondents are always analyzed through qualitative analysis

especially on the open ended questionnaires (Christenson et al., 2008). It examined

the breadth and depth of a phenomena and explained contextual descriptions.

Moreover, the study also utilized the quantitative approach. This approach was to be

used to analyze data obtained in the field. This approach complemented the

qualitative approach

3.4 Study Area

Area of the study is an area where the research is based for taking place. The

research was conducted in the city of Dar es Salaam, Tanzania. The case study which

was used was Vodacom Tanzania PLC. The study case was chosen because it

represents the traditional dominant player in the communication businesses that are

primarily influenced by advertisement spending. The case study is also useful for the

viewpoint of the researcher about data availability and its method of selection.

25

3.5 Population of the Study

According to Kothari (2004), the population is the group of interest to the researcher

from which the results of the study will be generalized. Population is also defined as

a customary desired set of elements that the study focuses on and that must be

generalized with the results obtained by testing of the samples. The study did not

have a specific population it covered customers who use Vodacom services and

randomly picked 170 respondents to represent the entire population.

3.6 Sample Size

Kothari (2006) opens that sample size is the collection of groups of objects, subjects

or individuals having the common characteristics that are included in the analysis. A

sample size is referred to as a small group which is appropriate for a researcher to

conclude from it. Clear and accurate representation of the population is a sample

size. A total of 170 Vodacom customers and employees from the study area

participated in this research survey. The sample size composition is set out in table

3.1.

Table 3.1 The composition of the sample size

Composition of the Sample Number of the Sample Size

Cooperate Customers 50

Individual Customers 100

Vodacom Employees 20

Total 170

Source: Field Data (2020).

3.7 Sampling Techniques

The study used systematic and purposive probability sampling techniques to get the

sample size of the employees at Vodacom.

26

3.7.1 Systematic Sampling

Systematic sampling technique was employed to both corporate and individual

customers of Vodacom. The researcher used systematic technique, whereas the

researcher picked every 5th personnel who were Vodacom customers. Marketing

department from Vodacom provided the researcher with cooperate names of the

customers, whereas the researcher picked fifth person who appeared on the provided

list.

This was used because the number of customers is too big to include in the study.

This is the reason the method was used to reduce the number of specific customers to

ask and therefore to reduce biasness from the respondents. The method used to

obtain the sample size was simple random technique. It gives every sample unit an

equal and sufficient chance to be included in sample size. It thus allowed data

collection to be accurate, with different ideas and views from Vodacom customers.

3.7.2 Purposive Sampling

Purposive sampling is one of the sampling methods that the study used. Purposive

sampling gives a researcher a chance to choose the specific person he/she would

want to get particular information. For this analysis, purposive sampling was used to

collect evidence from 20 employees for Vodacom's Table 3.1 above. The researcher

deliberately selected employees from the marketing department who had the

requisite online advertisement knowledge about how it is used at the company. Those

respondents were thought to have the information needed about the said subject. The

researcher had to get enough information from the people who managed Vodacom

Tanzania's marketing team.

3.8 Data Collection Types and Methods

To obtain information the study used both primary and secondary data. In collecting

the data, primary data were collected from the field, and two methods were used,

namely interview and questionnaire.

27

3.8.1 Interview

The research used interview to collect data, as it helps the respondents to react

physically and emotionally. It also freed up time in primary data collection. This

approach was extended to 20 workers at Vodacom. Interview was used in the

questionnaires to complement the information received and to have more clarity.

3.8.2 Questionnaire

In addition, the researcher used a formal questionnaire to gather the data. The

researcher manually passed out the questionnaires. The questionnaire is a better

instrument for gathering adequate and accurate primary data (Kothari, 2006). 150

Vodacom customers were provided with the questionnaire form.

The selection of this method was due to the fact that is minimizing biasness in data

collection because the research would not inject her personal feelings over the study,

therefore, the study reliability was ensured. The interaction between the researcher

and the respondents was tiny.

3.8.3 Secondary Data

These are data which are used by the researcher collected from other previously

sources. The study obtained these data from published report and journals, library

study and from other internet sources

3.9 Data Quality

In this study the validity aspect of the data was considered. Data validity is the

degree to which the instrument tests the actuality of something expected to be

measured (Saunders et al., 2003). For this study, validity was ensured through a pilot

test, and the corrections were approved by ten Vodacom employees and the

supervisor.

3.9.1 Data procedures and analysis

Data analysis is the method of putting the results into order, structure, and format.

Data collected in this study was coded in order to get the number, estimates, and

28

frequency to clarify the research findings. The study went through descriptive

analysis. The researcher identified the study's findings using only frequencies and

percentages. The concepts and phrases were also used to explain the study's results

based on the study's objectives

29

CHAPTER FOUR

PRESENTATION OF FINDINGS

4 .1 Introduction

The chapter summarizes the research data collected. Results are summarized in two

sections; initial section discussed the respondents' context. The second section

discussed the general findings about the objectives of the analysis.

4. 2 The influence of online advertising on creating brand awareness

The research first objective was to determine the influence of online adverts on

Vodacom's brand recognition. The objective is analyzed and discussed in terms of

the existence of online advertising, online assert awareness, online advert and

features of Vodacom brand, and online adverts and type of services and products

offered by Vodacom.

4.2.2 The Existence of Online Adverts

Under the existence of online Adverts from Vodacom this study assessed had come

across online adverts from Vodacom. The results reported in the figure 4.1 illustrates,

43 percent of respondents strongly agreed that, a number of online advertisements

had been found, they believed that there were Vodacom social media pages whereby

a number of advertisements were often posted, so they considered such

advertisements. Furthermore, the results showed that various kinds of ads occur in

social media, including still ads and video adverts. The adverts were also considered

to be posted on Vodacom's social media handles. In addition, 32 percent of

respondents agreed that they knew online adverts while 7 percent of respondents

were supportive. The results indicate that 8 percent of respondents disagreed that

they were not aware of the presence of online adverts, and that they are also unaware

of social media sites that Vodacom uses to advertise its goods and services. Up to 10

per cent of the respondents strongly disagreed with Vodacom's argument that they

have only met online and had a rest. The findings imply that online adverts exist and

are utilized by Vodacom. If the company initializes some ways to reach out the

30

respondents who are not familiar with online adverts, then the company would

enhance its brand equity.

Figure 4.1: Existence of Online Adverts

Strongly Agree

AgreeNeutral

DiagreeStrongly Disagree

43%

32%

7% 8% 10%

Source: Field Data (2020)

From the interview, one of the respondents explained;

In the contemporary world of the internet, Vodacom cannot isolate

itself from utilizing social media. Therefore, it is true that Vodacom

highly make use of social media. Thus, have various social media

pages for posting our adverts

4.2.2 Online adverts brings awareness of brand

The other variable that was analyzed was whether online adverts bring awareness on

Vodacom Brand. The findings from the table above indicate that 44% of the

respondents strongly agreed that online adverts always provide brand awareness

about Vodacom. The respondents further revealed that there are different kind of

31

awareness about Vodacom services such as broad band services, airtime, mobile

money transfer. The findings also depicts that 25% of respondents said they agreed

on the statement that online adverts provide awareness; while 3% of the respondents

were neutral they neither agreed nor disagreed. It was further found out that 14% of

the respondents disagreed that online adverts do not provide awareness on

Vodacom brand.

Lastly, 14% of the respondents also strongly disagreed that online adverts did not

contribute to brand awareness. For them, they regarded brand awareness is also

considered by other physical attributes. Majority of the respondents who constitute

44% strongly agreed on the statement, therefore, it can be concluded that online

adverts provide different kind of awareness about Vodacom. The findings gives an

impression that online adverts from Vodacom always provide awareness on

Vodacom as a brand. It has been noted that different adverts provide a number on

branding.

Figure 4.2: Online adverts brings awareness of brand

Strongly agree

AgreeNeutral

Disagree Strongly Disagree

44%

25%

3%

14%14%

Source: Field Data (2020)

32

From the interview of the interviewees from Vodacom was quoted;

“One of the key functions of adverts is branding on the firm. Therefore, online

adverts provide information aiming at branding Vodacom”

4.2.3 Online adverts shows brand features

The third variable which was analysed in the first objective was to see if

online adverts shows features of Vodacom. The results illustrated in the figure 4.3

shows 36% of the respondents strongly agreed that online adverts always show

the features of Vodacom as they show how Vodacom operates, its mission ,

vision as well as objectives of the firm. It was found out that online adverts have

been clearly showing what Vodacom does and what it stands for.

At the other hand, 47 percent of respondents accepted that online advertisements

showed features of Vodacom services; while 4 percent of respondents were either

neutral or disagreed. Nonetheless, 10 percent of respondents disagreed that online

advertisements do not display features such as how Vodacom works, its mission and

services provided and 3 percent of respondents strongly disagreed with the argument

that online advertisements for Vodacom do not display company features.

The respondents who disagreed were so few. Therefore, it shows that online adverts

show features of Vodacom Brand. The findings created an imply that online adverts

always show the features of Vodacom, by clearly showing the mission and vision

of the firm.

33

Figure 4.3: Online Adverts and Brand Features

Strongly AgreeAgree

Neutral Disagree

Strongly Disagree

36%

47%

4%10%

3%

Source: Field Data (2020)

4.2.4 Online Adverts shows types of services and products offered

The last variable undertakes the first objective was to assess whether online adverts

shows different types and services given by Vodacom. The study intended to find out

kind of services and products which are offered by Vodacom. The result shows that

34% of the respondents strongly agreed that online adverts do show types of services

and adverts from Vodacom. The findings also shows that online adverts show

different airtime services and other electronic products such as modems and

broadband services. The statement was also being agreed by 45 per cent of the

respondents.

A total of 79 per cent of respondents found that online adverts display Vodacom's

types of services and goods. Furthermore, 4 percent of respondents were neutral on

34

the argument, neither agreed nor disagreed that online ads do display the types of

services that Vodacom provides. Furthermore, 11 percent of the given respondents

disagreed and 6% of the respondents strongly disagreed on the statement that online

adverts do not show services and products offered by Vodacom, for them they

reviewed Vodacom does not show their services through online adverts. Very few of

the respondents agreed that online adverts provided products and services offered by

Vodacom. Therefore, the findings imply that online advert show types of services

and products offered by Vodacom.

Figure 4. 4: Online Adverts shows types of services and products offered

Strongly Agree

AgreeNeutral

Disagree Strongly Disagree

34%

45%

4%11%

6%

Source: Field Data (2020)

4.3 The effects of online advertising on creating brand preference at Vodacom

The other objective to this study was to examine online advertising influence on

creating brand preference at Vodacom. The study was interested to find out if online

adverts lead to the preference of Vodacom services, if online adverts influence the

usage of Vodacom services and if online adverts have positive perception on

Vodacom services.

35

4.3.1 Online adverts lead to preference of services

The first variable under the second objective intended to see whether online adverts

lead to the brand preference. In this case, the intention was to see if the online

adverts influence customer in the preference of Vodacom Service and Product. The

results presented in the figure 4.5 shows that 36% of the respondents strongly agreed

that online adverts from Vodacom influence customers towards the preference of

Vodacom services. It was found out that the adverts are created in most attractive

ways; hence they easily persuade customers and prospects easily.

Also, the findings showed that 14% of the respondents agreed on the statement

above. The majority of the respondents strongly agreed and agreed on statement that

online adverts influence brand preference; shows that online adverts leads to brand

preference. The respondents viewed online adverts encounters them to prefer

Vodacom brand and use its services. On other hand, 4% of the acquired respondents

were neutral, 8% of the respondents disagreed that online adverts have no

influential power for them to prefer the services while 38% strongly disagreed for

them they do not prefer Vodacom brand because of online adverts. They look more

for the service offered and not online encounters. The findings imply that online

adverts have the power to push customers to highly prefer of Vodacom services and

products.

36

Figure 4.5: Online adverts and brand preference

Strongly AgreeAgree

Neutral Disagree

Strongly Disagree

36%

14%

4%8%

38%

Source: Field Data (2020)

4.3.2 Online advertising has influenced to loyal customers

The other variable that has been analyzed by the researcher is if online advertising

has influenced customers to be loyal to Vodacom. The analysis was done by asking

respondents through a Likert scale. The findings portrayed, 34% of respondents

strongly agreed that online advertising influences them to be loyal customers to

Vodacom. Hence, the adverts are so persuasive and present true messages to the

public. The findings also reveal that 12% of the respondents just agreed on the

statement that online adverts presents company’s messages and are easily reached to

customers. Therefore, a percent of 46 of the respondents accents that online

adverts influence them to be loyal to Vodacom.

However, 8 percent of the respondents were receptive to the argument, neither

agreed nor disagreed that online ads are convincing to clients. 32 per cent and 14 per

37

cent of respondents disagreed with the argument that online ads are convincing and

strongly disagreed. Online adverts have not targeted them to use Vodacom services

for them so they don't get the company's intended message. The findings imply that

online adverts do not influence customer loyalty. The findings further showed that

customers’ loyalty is contributed by other attributes such as service reliability and

price of the services.

Figure 4. 6: Online Adverts Leads To Customer Loyalty

Strongly agree Agree

Neutral Disagree

Strongly Disagree

34%

12%

8%

32%

14%

Source: Field Data (2020)

4.3.3 Online advertising has influenced positive perception towards services

The last variable intended to know whether online advertising has positive influence

towards Vodacom services. The study looked on the way online advertising

influences positively customers towards Vodacom services.

38

Figure 4.7: Online Advertising has Influenced Positive Perception

towards Services

Strongly AgreeAgree

Neutral Disagree

Strongly Disagree

33%

21%

5%

13%

28%

Source: Field Data (2020)

The results shows that 33% of the respondents strongly agreed that online adverts

influences positively customers perception. It has found out the adverts clearly

create a great picture and awareness of Vodacom services and products. Also, 21%

agreed on the statement understudy. Over half of the respondents opined that online

adverts influence positively perceptions about Vodacom services. However, 5% of

the respondents were neutral, thus they were not aware if it has influenced positively

customers perception or not although there were very few. On the hand, respondents

disagreed and 28% of the respondents obtained strongly disagreed that the online

adverts did not have positive perception toward Vodacom products and services. The

majority of the respondents supported the statement online adverts have positive

influence on customer perception. Respondents asserted that:

“Adverting of any kind has impact on customer’s perception; therefore Vodacom has

taken every opportunity to pursue customers through online adverts”

39

4.4 The influence online advertising on increasing brand’s revenue

The objective of the study was to find out the influence of online adverts in

increasing brand revenue. The purpose of the study focused on how online

advertising has led to an increase in revenue, market share and in demand for

services. The analysis was done based on each sub variables. The results are

presented in the subsequent sections

4.4.1 Effect of Online Advertising on Sales.

The first variable studied in the third objective was related to the increase of sales

due to online advertising at Vodacom. The interest of the study was to know if online

advertising has by anyhow influenced sales growth of the firm (Vodacom). The

analysis was undertaken through Likert scale.

Figure 4.8: Online Adverts and the Increase of Sales

Strongly AgreeAgree

neutral Disagree

Strongly Disagree

34%

21%

4%

16%

25%

Source: Field Data (2020)

After the analysis, the results indicated that 34% of the respondents strongly agreed

that there was an increase of sales due to online adverts. The findings furthermore

showed online adverts have been reached a large number of people within shortest

40

time. Also, 21% of the respondents agreed to the statement. However, 4% of the

respondents said they were not aware if sales have been increased due to online

adverts.

Moreover, the findings show that 16 percent of the respondents obtained disagreed

and 25% of the respondents obtained strongly disagreed that online adverts increased

sales. The findings imply that there has been an increase of sales due to online

adverts. The findings further revealed that four consecutive years there have been an

ascending of sales. It was found out that for the year 2016/2017 sales increased by

6%. 2017/2018 increased by 17% and in the year 2018/2019 increased by 22%. The

increasing trend of sales is due to a number of factors and online advertising being

one of them.

4.4.2 Online advertising has led to increase of market share of Vodacom

The second variable analyzed under this section is online advertising and the market

share increase. The results of the analysis are presented in Figure 4.9 below

Figure 4.9: Online Adverts and the Increase of Market Share

59%23%

10%8%

0%

Strongly Agree Agree Neutral Disagree Strongly Disagree

Source: Field Data (2020

41

The results in the figure above show that, about 59% of the respondents strongly

agreed that there have been increase of market share due to online adverts. It was

found out that due to high geographical coverage of online adverts, market share has

been increasing, on the hand, 23% of the respondents agreed, on the statement that

online advertising has increased market share. In the same vein about 8 percent of the

respondents were neutral, they neither agreed nor disagreed that online advertising

increased market share and 10% strongly disagreed that online adverts increased

market share. This gives an implication that the market share of Vodacom have been

increasing and this has been contributed by online adverts made by the firm

(Vodacom).

4.4.3 Online advertising has led to increase of demand for services

The last variable that was analysed in the third objective was the influence of online

advertising on increase of service demand. Thus, the study looked on how far online

advertising influenced the demand of services from Vodacom.

Figure 4.10: online Adverts and the Increase of Demand of Services

Strongly AgreeAgree

Neutral Disagree

Strongly Disagree

33%

21%

5%

13%

28%

Source: Field Data (2020)

42

The results show that, 33% of the respondents strongly agreed that, online adverts

have positively influenced service demand from the firm. It has been found that the

adverts have created a great picture and awareness of Vodacom services and

products.

Also, 21% have just agreed on the statement under study. They argued that online

adverts have been highly pursuing customers to go for Vodacom services therefore,

increasing demand for the products or services from Vodacom.

However, 5% of the respondents are neutral, thus they are not aware if it has

influenced positive service demand or not. Otherwise, 13% of the respondents denied

over the notion. They further argued that increase of demand cannot be influenced by

online adverts but due to a number of factors such as quality, price, and network

coverage.

Lastly, 28% of the respondents have strongly denied that the online adverts have not

led to increase of demand from Vodacom. They findings shows that although online

adverts are influential but they can increase demand of the services due to the fact

that online adverts are observed by very few people only though who are have online

pages.

However, the results create an impression that online advert have led to increase of

demand of services. Due to the fact that they influential enough, they clearly and

create awareness of services from Vodacom.

43

CHAPTER FIVE

DISCUSSION OF THE FINDINGS

5.1 Introduction

This section presents a discussion of the findings as per the objectives of the study.

5.2 The influence of online advertising on creating brand awareness at

Vodacom

The study aimed to assess the influence of online advertising on creating brand

awareness. Up to 44% of the respondents and 25% strongly agreed and agreed that

online advertising influenced brand awareness of Vodacom. Vodacom has a number

of social media pages which are used on posting different adverts or as platforms of

communicating with the public or customers. Recently, social networks have

changed the communication perspective through the way people produce, interact

and consume information. This is also true as the study indicates majority of

customers are aware of services provided by Vodacom through social media pages.

Social media have drawn massive attention into businesses as well as individuals’

interactions. Social networks such as Instagram and Face book have contributed to

growth of communication media. Customers are now looking at what is prevailing in

the social media, something which was not present in traditional communication

media.

The study reflects the argument by Carlsson (2010), that influx of internet and social

media has transformed the traditional marketing communication which was based on

the brand category, and was controlled by only marketing people into being

controlled and influenced by the customers who buy the products. A comparison

analysis shows that social media communication has provided an influential and

persuasive nature of communication to customers by engaging them to share

information.

The study findings support the arguments presented by Evans, and McKee (2016)one

of the pre-requirements of brand equity is brand awareness, thus consumers need to

know what a product it is, what are its core features thus quality and price as well.

44

Therefore, it upon firms to take such information to consumers’ attention. Firms have

many ways to bring product awareness in front of customers or consumers. One of

the most outstanding ways is advertising. Currently, new media has taken advertising

through online adverts. Therefore, it's through online adverts awareness will be

presented consumers, by so doing customers' curiosity will be created, eventually,

brand worthiness/equity/ value is being created.

The study aligns with Dib and Alhaddad, (2014), whose study found out that through

advertisements and the brand awareness it is where the high level of brand equity and

loyalty are attained. This is also true from Marie-Claude and Richard (2006), the

large firms always need to create their brands in most recognizable way through

social media, so as to experience global pressure. There are other clicks in the

advertisement that do not amount to customers immediate purchase, but they are

used as the boost to subsequent clicks which will result into purchase of the product

(Xu et al., 2014). This type of advertisement has low direct impact on conversion

rate, but should not be ignored because they stimulate subsequent visits which are

converted into immediate sales.

Moreover, 47 percent of the respondents obtained strongly agreed that online adverts

display a number of features of Vodacom such as mission, vision and objectives.

This is done so as to keep clear understanding of the firm. The findings are in line

with Chen & Lee (2014), whose study revealed that online video adverts as an

efficient way to reduce costs, with positive effect to customer’s resistance to adverts

which results into the bigger audience coverage.

It was found that 45 per cent of the respondents claimed that online ads display

specific types of services and goods that Vodacom is providing. The statement

reflects claims put forward by Alba and Hutchinson (2014) that pointed out that day-

to-day usage of social media is growing due to the proliferation of technology. It is

believed that almost every person has a social media account which he/she can use to

get the world news easily. Therefore, most of firms have found the opportunity to

45

reach their customer easily through the social media platforms. Most of firms have

created social media pages so that as they can advertise their products or services

easily. Some of firms use social media pages with high number of followers or

viewers so as to advertise their products or services through their pages.

The study is also supported by Tsai and Tsai (2016) who argued that, most of firms

have adopted the use of online advertising due to the fact that it creates brand

awareness to customers and enhancing the promotion of customer perceptions. The

study revealed that there is a positive influence contributed by online adverts in

customer perception and this increased brand awareness and the firm’s performance.

The study is contrary to the study Ananda, and Murugarah (2018) who viewed the

promoting literature has recognized how online adverts are used to enhance and

promote brand equity of a company. Decision made by customers on buying a

product is contributed by online adverts that are regarded as customers’ preference

obtained from websites and social media pages. The study examined a number of

advertisers that today are promoting the use of online adverts. The study further

explained, studies conducted view online adverts as a promoting tool to create brand

awareness and preferences to the customers.

The publicizing as any paid type of non-individual introduction and advancement of

thoughts, merchandise or administrations through broad communications, for

example, papers, magazines, TV or radio by a distinguished support. The study of

Kiomo (2017) also reflects long range interpersonal communication locales are

utilized as advertising instrument by advertisers in making brand relationship. Brand

awareness assumes a significant job in purchaser dynamic by bringing three

preferences; these are learning favorable circumstances, thought preferences, and

decision points of interest.

The study of Aaker and Jacobson (2015) also argued brand awareness is a significant

category of brand value. Brand awareness is the after effect of customer's

introduction to mark. Brand awareness is the quality of a brand's essence in the brain

of the customers. One of the most established meanings of brand awareness is the

46

capacity to recognize the brand under various conditions, on other hand brand

awareness is based on both brand acknowledgment and review, brand awareness as

"the capacity of the potential purchaser to perceive and review that a brand is an

individual from a specific item class".

The study is also supported with study of Bovee and Arens (2018) who discussed

brand awareness is a significant segment of brand value. The initial step to assemble

brand value is to make brand awareness brand awareness is a wellspring of brand

value. Brand awareness brings about brand value in four unique manners: making a

brand hub in consumer’s memory, giving a feeling of nature of the brand in the

buyer's brain, going about as a sign of trust in the brand and being sufficient

explanation behind the buyer to consider the brand in his thought set (Bovee and

Arens, 2018).

However, the findings of this study are challenged by Hill (2015) it is true

awareness is among the key factors that influence brand equity through advertising,

but there several questions that are brought due to awareness through adverts, thus

do we have the right messages? Do the creativity used most appealing? , do the

channels used to meet the targeted audience? It is no doubt that online advertising

has been one of the major channels that are used by firms to promote their products.

But what if the targeted audience is old aged people with high income.

Unfortunately, such a group of people is not active users of online facilities, will the

intended massages reach to the target people, despite that it will be watched by

many.

He further, argues that online advertising has just been taken a fashion of the time

but these current technologies may have not been working effectively. Think of an

old mother who despises social media, unfortunately, sees an advert of a certain

product in social media, her negativity towards social media can easily be associated

with the seen product via social media. It needs to very much informed about the

47

nature of the product to be advertised through online channels, the consumer

behavior of the targeted customers.

Lastly, the study’s findings are also challenged by Mungogo (2017) who argues that

despite the fact that online adverts are seen by many people in a very short time,

but the matter of concern is how far do viewers understand the adverts as far as

awareness is concerned

5.3 The Influence of Online Advertising on Creating Brand Preference at

Vodacom

The second objective of the study was to examine the influence of online advertising

in creating brand preferences, the findings showed that 36% of the respondents

agreed that online adverts from Vodacom led to the preference of Vodacom services

and products. The findings revealed that customers are using web pages and social

pages to view advert and they get to have a preference of a brand after an online

encounter of the advert.

The findings are in line with Kambaya (2015), on that, one of the major reasons that

have influenced firms in using online advertising is an easy and quick accessibility of

the market. It has been noted that online advertising can reach high number of

customers and prospects at once hence online advertising covers large geographical

area, thus if one posts an advert say in Tanzania, then the whole world will be able

to see the advert.

Moreover, 33% of the respondents contended online advertising to to have brought

positive perception about Vodacom. The findings have shown that, it is through

online advertising that created high awareness and preferences of Vodacom. Also, it

was found out that it is through online advertising that has led to the increase of

market share of the Vodacom as well as the increase in profitability.

48

The findings reflect the arguments of Khajeh Nobar et al., (2020) and Sánchez-

Casado et al., (2018) who posited that due to social media marketing there have been

a number of impacts in the business growth. One of the major areas where social

media has been proved to positively impact is increase of sales. Social media

marketing has led to increase of sales of firms, hence firms have been easily show

casing their brands, as the result a number prospects or customers have been

having awareness of the existence of the brands and their traits or features. It has

been noted in the US, that firms which have pioneered in social media marketing

have proved their sales to have doubled.

The research argues for Tsai and Tsai's (2016) analysis of the impact of social media

marketing on the success of a product. The studies also shown that there is a positive

connection between social media marketing and customer perception, and it is

through social media that a positive impression is generated among customers. There

is also a strong statistical link between marketing on social media and brand

recognition. Moreover, the study showed that social media positively influence

organizational performance.

Tanzania has been one of the developing countries that have highly adopted the use

of social media. There are number bloggers, popular social media pages which are

used by SMEs to advertise their products or services. It is estimated that almost every

new business in the country depends on social media to advertise them. Also,

Tanzanians are the most active people in social media in East Africa (Hogarth-Scott

et al., 2017).

Chakraborty & Bhat, (2018)said the decision to use social networking technology

online is a social trend that depends largely on interactions. He concludes by noting

that relationships and culture are the driving forces behind online social networks,

and use depends primarily on subjective norm and social identity. It is through social

media networks and the Internet that people can link to each other. Therefore, it is

significant for entrepreneurs and marketers to capture on how social media

49

operates and what are the expected results of the users. A good number of

firms are currently depending on social media as their communication tool. If

they use the social media well, their firms can benefit (Praag and Van, 2013).

The study of Rossiter and Percy (2017) also support this study by assessing the

relationship of promotion and advertising on the customer perception in

telecommunication firms. The study revealed that customer perception is highly

influenced by advertising, thus it is through the information that is presented to

them through advertising that will lead to liking and purchasing of the product,

therefore if adverts are prepared therefore will positively influence customers

perception. Additionally, Christodoulides and Chernatony (2017);- characterize the

brand value as "a lot of recognitions, mentalities, information, and practices with

respect to shopper that outcomes in expanded utility and permits a brand to gain

more prominent volume or more prominent edges than it could without the brand".

It is clear that client based brand value has various measurements, Keller's (2018)

model of brand value centers around brand information and its parts, brand

mindfulness and brand picture.

On the other hand, this study is also supported by the study of Aaker and Jacobson

(2015) that recommended brand value has a positive significant to enhance brand

equity and this value can also be obtained through online adverts. Brand value has

five measurements brand dedication, brand mindfulness, brand affiliation, quality

and other brand restrictive resources. Additionally there are five measurements

execution, social picture, worth, dependability and connection which are also

considered. It was further found out that mouth and recommendations from people

they know are the leading influence in purchase behavior, because they trust their

friends and family the most when looking for brand recommendations. The study

recommends that advertisers should put more efforts to online or Internet

advertisement because it is cheaper, faster, easier and accessible globally. It is also

recommended that real estate should mix various medium of advertisement to reach

50

their desired customers. This will help to create awareness among them and to

influence buying behaviour of the consumers.

5.4 The Influence Online Advertising On Increasing Brand’s Revenue At

Vodacom

The findings revealed that, 34% of the respondents asserted that there have been an

increase of sales due to online advertising. The findings revealed that, online

advertising led to an increase of Vodacom’s market share and demand of services.

This enhanced an increase in Vodacom’s brand revenue.

The study is in line with Khajeh Nobar et al., (2020) who posited that, due to social

media marketing a number of impacts in the business growth. One of the major areas

where social media has been proved to positively impact is increase of sales. Social

media marketing has led to increase sales of firms hence firms have been easily

show casing their brands, as the result a number prospects or customers have been

having awareness of the existence of the brands and their traits or features. It has

been noted in the US, firms which have pioneered in social media marketing have

proved their sales to have doubled. In case of the study, represents unveiled that there

have been an increase of sales, market shares and increase in market demand as

result of online advertising.

Moreover, the findings have shown that, 59% of the respondents noted an increase of

market share due to online marketing. Social media has led to the growth of markets

of small and huge business. Most people are depending on social media to find out

their needs as the results have led to the growth of markets of business. It is through

social media that one can sell his/ products from China to Tanzania and vice versa.

It is through social media that has created trust among the business owners and

customers (Kavisekera, 2016). In fact, this observation has been also found in this

study because respondents asserted that online advertisements have increased sales

market share and market demand.

51

CHAPTER SIX

SUMMARY OF THE STUDY, CONCLUSIONS AND RECOMMENDATIONS

6.1 Introduction

This chapter summarizes the findings of the study. It also provides the conclusion

and policy recommendations and area for further study.

6.2 Summary of the study

The study's objective was to investigate the role of online advertisement in enhancing

brand equity. The study was conceived to address three objectives:

i. To assess the influence of online advertising on creating brand awareness at

Vodacom:

ii. To establish the influence of online advertising on creating brand preference

at Vodacom and

iii. To find out the influence of online advertisement on increasing brand’s

revenue at Vodacom.

The study used the Hierarchy of Effect Theory and Market Share Theory. The study

used qualitative approach comprehended by the quantitative approach.

The study adopted casual research design. The study’s population was from

Vodacom customers and employees. A total of 170 were recruited using interviews

and questionnaires. In addition, the study pointed out that the Vodacom Company

used a range of online adverts to increase awareness of its services and goods to its

consumers.

6.2 Conclusion

52

i. The study identified four versatile and inter-related roles of online advertising

in building brand equity. These are channels as online video advertising can

be seen as a tactical choice among other marketing efforts in brand building.

However, thus benefits from the ability to reach fragmented audiences

meanwhile in term of facilitation online advertising can be seen as a stronger

enabler of more innovative and creative advertising concepts, building

stronger activation and experiences to consumers.

ii. Online video advertising encourages the marketer to re-evaluate the old

conventions and is also another aspect of brand control.

iii. Online adverts influence customers to be aware of Vodacom services and

have preference to use them

iv. Online adverts have increased Vodacom’s brand revenue and these adverts

are easily accessed in the Internet platforms

6.3 Recommendations

i. The study results call for special attention in addressing the problem of online

advertising and social media. In particular, the business owners need to

undergo special online training that will build their capacity in conducting

their business with growth prospects.

ii. Based on the study findings, there is optimistic relationship among firms

performance and online. Thus, it is significant for the government and other

important organizations to deliberate provide workshops to entrepreneurs as

one of the policies for them to progress and have modest benefit in

eliminating poverty and improving their financial position.

iii. The study also commends that, efforts are needed in setting training and

workshops with equal access to all enterprises so as to attain sustainable

financial advancement of the nation. Education institution should be used to

deliver trainings on entrepreneurship basing on the fact that these institutions

53

have adequate resources and facilities for transfer of knowledge and skills

with regards to entrepreneurship.

iv. Furthermore, the government should establish entrepreneurship aspects in

academic curriculum from grassroots level so as to impart the society with

entrepreneurship enthusiasm

v. From a literature standpoint, this study has numerous suggestions. The

primary focus should be on information technology (IT) adoption at policy

level accompanied with classy technologies such as e-commerce. This should

go in hand with trainings on social media adoption among enterprises. For the

purpose of this study it calls for sensitization of IT adoption among firms in

particular social media technologies.

6.4 Suggestion for further Studies

The emphasis of this study was on the influence of online adverts in increasing brand

equity. Vodacom Company was used as case study in the study.

i. In Tanzania, there are other network companies such as Airtel, Tigo and

Halotel. A similar study may be conducted on any of these companies for

comparison purposes. It can also be that this study aids as a preliminary

argument for researchers to carry out other social media adoption research,

chiefly in the emerging nations.

ii. This study is limited by assessing the influence of online adverts in

enhancing brand equity. A study can also be conducted to view the effects

and challenges faced by companies on online adverts

iii. This study is limited of communication industry by assessing the influence

of online adverts particularly Vodacom company, further studies can be

done to view online adverts on other industries such as transportation

industries, health sectors and bank industries

54

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APPENDIX I

Questionnaires

I am a student at Mzumbe university, studying a Master of Business Administration

in Corporate Management (MBA-CM). I am carrying out a study on the influence of

online advertising on brand equity; the case of Vodacom Tanzania. I hereby

request you to provide the need of information so as to complete the study. The

information provided will be used for academic purposes only.

Part A: Background Information

1. Please, identify your gender

a) Male

b) Female

2. Please, identify your level of education

a) Primary level of education

b) Secondary level of education

c) Certificate holder

d) Diploma holder

e) Bachelor degree holder

f) Masters holder

g) PhD holder

3. Your marital status

a) Single

b) Married

c) Divorced

d) Widow /widower

4. For how long have you been Vodacom customer?

a) Less than six months

b) 6 months to 1 year

c) 2 years to 4 years

d) 4 years to 6 years

e) 6 years to 8 years

62

f) 10 years and above

Part B : The influence of online advertising on creating brand

awareness at Vodacom

Please indicate tick on the correct answer

1. Strongly Agree

2. Agree

3. Neutral

4. Disagree

5. Strongly Disagree

Statement 1 2 3 4 5

I always come across with Vodacom online adverts

It is through online adverts that provided me with awareness of Vodacom

brand

It is through online adverts that showed the features of Vodacom brand

It is through online adverts that shows the types of services and

products offered by Vodacom

PART B: The Influence of online advertising on creating brand preference at

Vodacom

Please indicate tick on the correct answer

1.Strongly Agree

2. Agree

3. Neutral

4. Disagree

5. Strongly Disagree

Statement 1 2 3 4 5

Online advertising has led you to prefer Vodacom services

Online advertising has influenced you to use Vodacom services

Online advertising has influenced you to be loyal customers to Vodacom

Online adverting has led to positive perception of Vodacom services

63

PART C : The influence online advertising on increasing brand’s revenue at

Vodacom

1.Strongly Agree

2. Agree

3. Neutral

4. Disagree

5. Strongly Disagree

Statement 1 2 3 4 5

Online advertising has led to the increase of sales at Vodacom

Online advertising has led to the increase of market share of Vodacom

Online advertising has led to the increase of demand of services from

Vodacom

Online advertising has led to the increase on number of subscribers

APPENDIX II

Interview Guide

Does Vodacom use online adverts?

Is it through online adverts that provide customers with awareness of

Vodacom brand?

Does online adverts show the features of Vodacom brand?

Does online adverts shows the types of services and products offered by

Vodacom?

Does online advertising lead customers to prefer Vodacom services?

Does online advertising influence customers to use Vodacom service?

Does online advertising influence customers the be loyal customers to

Vodacom?

Does online adverting lead customers to positive perception of Vodacom

services?

Has online advertising led to the increase of sales at Vodacom?

64

Has online advertising led to the increase of market share of Vodacom

?

Has online advertising led to the increase of demand of services from

Vodacom?

Has online advertising has led to the increase on number of subscribers?