Global Journal of Medical Research, E: Gynecology and Obstetrics, Volume 23 Issue 3

Advertising and Sales Performance of Selected Companies in Mogadishu- Somalia Abdihakin Abdullahi Jama Author: MBA. e-mail: kahor05@gmail.com Abstract- This study investigated the causal relationship between advertising and sales performance in selected companies in Mogadishu Somalia. Since advertising is applied in order to raise awareness among customers. Thus, it could maintain customer loyalty and then boost up the organization performance in terms of profitability of the organization and its value. However, it is not certain whether adverting can increase organization performance in Mogadishu Somalia because the cost may be too high for the organization to sustain it, thus it may have adverse effects on organizational performance. The specific objectives of this study were as follows: To examine how media advertising, Celebrity Advertising, Billboard Advertising affect sales performance in some selected companies in Mogadishu-Somalia. This study was guided by the theory of advertising promotions, advanced by Smith and Taylor (2003). The theory postulates that advertising promotions involve high costs and, hence, companies are always looking for ways to reduce the cost of promotions but still maintain the effectiveness of the promotional activities being carried out. This is where companies use joint promotions. This study employed a descriptive correlational and a cross sectional survey design. Therefore, the descriptive design enabled the researcher to determine the picture or document current conditions or attitudes to describe the effect of advertisement and sales performance of the selected companies in Mogadishu Somalia. It was descriptive correlation because the study intended to describe and establish the relationship between extent of advertising of and the sales performance of the companies. The use of cross-sectional design was justified because data was collected at once across the selected respondents. The researcher targeted 160 employees of the selected companies. For reasons of accuracy and the reliability of the data provided, the researcher carefully selected directors, managerial staff, sales and marketing personal, and) customer relationship management from each company. This mathematically accumulated to 160 employees which was the target population of this study. The sample size consisted of (114) respondents from the target population. The sample size was determined from the population of the study using Sloven’s fomula which is stated in the study. The data was collected from the employees of selected companies using purposive sampling to select the respondents based on their experience and knowledge in motivation. The researcher employed questionnaires as the main tools for data collection. This instrument was chosen by the researcher because it is the most effective data collection tool and perhaps less costly. The data was analyzed using qualitative analysis and was presented using tables and charts computed using the Statistical Package for Social Science (SPSS) version 17. The researcher used descriptive data analysis techniques to summarize the data using frequency counts, means and standard deviations. The Pearson’s Linear Correlation Coefficient and Multiple Linear Regression were used to test for the effect of advertising on sales performance. Recommendations: From the findings of this study, the researcher recommends that if the companies in Mogadishu are to successfully increase their sales volume, the following should be done; Companies should try to offer a variety of products to customers and increase on training of their sales staff. This means that the management of these companies should always be in market to see what others are doing and what the customers want. After establishing needs, they should train their sales staff on how to address these needs and how to convince customers. Companies should also ensure that their quality meets the expectations of their customers. This also means that management should always conduct customer satisfaction surveys so that they get the quality issues and address them accordingly. They need to increase speed in serving customers and make their terms of sale flexible. C hapter O ne I ntroduction a) Introduction In this chapter, the author provides some background of information about the research area for readers, and then we would begun by discussing, problem statement of the study, purpose of the study, objectives of the study, research questions, scope, significance, theoretical, operational definitions and conceptual framework. b) Background of the Study Today, marketers commonly utilize multiple media channels within the same advertising campaign (Rinta-Kanto, 2012). Advertising problems often have far reaching effects on any company and if neglected can cause a great threat to the continued existence of the company, especially in the area of advertising as an aspect of corporate communication (Giles, 1997). In the light this statement, examining the impact of advertising on the sales volume of a company’s product, is therefore a significant undertaking. The market is such that consumer tastes are increasingly differentiated and maintenance of high service quality in the face of rising costs of essential factors is needed (Adekoya, 2011). Since the market is also characterized by a multiplicity of advertisements, as Adekoya (2011) states, advertising of various company competing brands is increasing very rapidly and consumers are now more knowledgeable. Global Journal of Management and Business Research ( E ) XXIII Issue III Version I Year 2023 29 © 2023 Global Journals