OROMIA STATE UNIVERSITY

SCHOOL OF POSTGRADUATE STUDIES

DEPARTMENT OF BUSINESS ADMINISTRATION

MBA PROGRAM
AN EVALUATION OF PROMOTIONAL PRACTICES FOR PRIVATE
UNIVERSITIES THE CASE OF ADMAS UNIVERSITY.

A Thesis Submitted to School of Graduate studies of college of postgraduate of

Admas University Burayu Campus in partial Fulfillment of the Requirements for
the Award of the Degree of Masters in Business Administration (MBA)
BY:
GOSHU BULTI NEFABAS

Under the guidance of

Desalegn Mosissa. (Assistance Prof)

MAY, 2025
BATU, ETHIOPIA
 DECLARATIONS
I, hereby declare that this thesis entitled An Evaluation of Promotional Practices for Private
Universities the case of Admas University has been carried out by me under the guidance and
supervision of Desalegn Mosissa. (Ast. Prof).

Goshu Bulti Nefabas Signature________________ Date_______________

The thesis is original and has not been submitted for the award of any degree or diploma to any
university or institutions.

I
 CERTIFICATE
This is to certify that the thesis entitles “An Evaluation of Promotional Practices for Private
Universities the case of Admas University” submitted to Admas University College of
Postgraduate Studies for the award of the Degree of Master of Business Administration and is a
record of research work carried out by Mr. Goshu Bulti Nefabas, under my guidance and
supervision.

Therefore, I hereby declare that no part of this thesis has been submitted to any other university
or institutions for the award of any degree or diploma.

Desalegn Mosissa. (Assis.Prof) Signature____________ Date__________

II
 APPROVAL OF BOARD EXAMINERS
The undersigned certify that they have read and hereby recommend to the Admas University;
Burayu Campus to accept the thesis submitted by ______________ and entitled
_____________________________ in partial fulfillment of the requirements for the award of a
Master of Business Administration (MBA).

Name of Advisor _________________________Signature ________________Date_________

Name of Internal Examiner _________________Signature ________________Date_________
Name of External Examiner ________________Signature_________________Date_________
Name of Head of Department _______________Signature ________________Date_________

III
 TABLE OF CONTENTS
DECLARATIONS.................................................................................................................................................... I

CERTIFICATE........................................................................................................................................................ II

APPROVAL OF BOARD EXAMINERS..................................................................................................................... III

TABLE OF CONTENTS.......................................................................................................................................... IV

LIST OF TABLES................................................................................................................................................. VII

LIST OF FIGURES.............................................................................................................................................. VIII

ACKNOWLEDGEMENTS...................................................................................................................................... IX

ABSTRACT........................................................................................................................................................... X

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

1. INTRODUCTION............................................................................................................................................... 1

1.1 BACKGROUND OF THE STUDY...................................................................................................................................1

1.2 STATEMENT OF THE PROBLEM..................................................................................................................................2
1.3 RESEARCH QUESTIONS............................................................................................................................................3
1.4 OBJECTIVE OF THE STUDY........................................................................................................................................4
1.4.1 General objective of the study...................................................................................................................4
1.4.2 Specific Objective of the Study...................................................................................................................4
1.5 SIGNIFICANCE OF THE STUDY....................................................................................................................................4
1.6 DELIMITATION OF THE STUDY...................................................................................................................................4
1.7 LIMITATIONS OF THE STUDY.....................................................................................................................................5
1.8 ORGANIZATION OF THE STUDY..................................................................................................................................5
1.9 DEFINITION OF KEY TERMS......................................................................................................................................5

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

2. REVIEW OF RELATED LITERATURE.................................................................................................................... 7

2.1 THEORETICAL REVIEW..............................................................................................................................................7

2.1.1 Definition................................................................................................................................................... 7
2.1.2 Developing Effective Marketing Communications......................................................................................8
2.1.3 Promotional Tools....................................................................................................................................11
2.1.4 Factors in Setting the Marketing Communications Mix...........................................................................12
2.2 THE PROMOTION MIX..........................................................................................................................................14
2.2.1 Advertising...............................................................................................................................................14

IV
 2.2.2 Setting the Advertising Objectives............................................................................................................15
2.2.3 Deciding on the Advertising Budget.........................................................................................................15
2.2.4 Choosing the Advertising Message..........................................................................................................16
2.3 DECIDING ON REACH, FREQUENCY, AND IMPACT........................................................................................................17
2.4 PERSONAL SELLING...............................................................................................................................................21
2.5 SALES-PROMOTION..............................................................................................................................................23
2.6 MAJOR DECISIONS IN SALES PROMOTION.................................................................................................................23
2.7 PUBLICITY...........................................................................................................................................................24
2.8 DIRECT MARKETING..............................................................................................................................................26
2.9 CONCEPTUAL FRAMEWORK....................................................................................................................................27

CHAPTER THREE................................................................................................................................................ 28

3. RESEARCH DESIGN AND METHODS................................................................................................................ 28

3.1. RESEARCH HYPOTHESIS........................................................................................................................................28

3.2. RESEARCH DESIGN...............................................................................................................................................28
3.3. SOURCE OF DATA AND SAMPLING TECHNIQUES........................................................................................................29
3.3.1 Sampling Size Determination...................................................................................................................29
3.3.2 Sample Selection Procedure.....................................................................................................................29
3.3.3 Sample size Determination......................................................................................................................29
3.3.4 Method of sample size Determination.....................................................................................................29
3.2.5 Data Collection Instruments.....................................................................................................................29
3.2.6 Questionnaires.........................................................................................................................................29
3.2.7 Method of Data Analysis..........................................................................................................................30

CHAPTER FOUR................................................................................................................................................. 31

4. RESULT AND DISCUSSION.............................................................................................................................. 31

4.1 INTRODUCTION....................................................................................................................................................31
4.2 PRESENTATION AND ANALYSIS OF THE INTERVIEW DATA..............................................................................................41
4.3 EVALUATING THE EFFECTIVENESS OF PROMOTION.......................................................................................................44
4.3.1 Testing of Hypothesis...............................................................................................................................44

CHAPTER FIVE................................................................................................................................................... 47

5. SUMMARY, CONCLUSION AND RECOMMENDATION......................................................................................47

5.1 SUMMARY.......................................................................................................................................................... 47
5.2 CONCLUSIONS..................................................................................................................................................... 48
5.3 SUGGESTIONS/RECOMMENDATION..........................................................................................................................49

V
REFERENCES...................................................................................................................................................... 51

APPENDEX A..................................................................................................................................................... 52

APPENDEX B..................................................................................................................................................... 56

VI
 List of Tables
Table 2.1 Profiles of Major Media Types......................................................................................19

Table 4. 2 Level of Promise (Keeping Promise)...........................................................................34

Table 4. 3 the Extent that differ Promotion of the University and actual offering........................34

Table 4.4Acceptability of Promotion.............................................................................................35

Table 4. 5 Sales Promotion............................................................................................................36

Table 4. 6The Extent of Communication to Reach Identifiable Target Customers......................37

Table 4. 7 Competition Campaign of the University.....................................................................38

Table 4.8 The Worthiness and Necessity of Promotion at this Economic Stage...........................39

Table 4. 9 Promotional Problems..................................................................................................39

Table 4.10 Respondents view about the Messages........................................................................40

Table 4.11 Result of Chi-Square statistical test.............................................................................46

VII
 List of Figures
Figure 2.1Conceptual framework..................................................................................................27

Figure 4.2 Reasons to Choose the University................................................................................31

Figure 4.3 Source of Information (first Motivator) to join the University....................................32

Figure 4.4 Promotion Mix Persuasiveness....................................................................................33

Figure 4.5 Types of Advertising used by the University...............................................................35

Figure 4. 6 Service Reputation of the University..........................................................................37

VIII
ACKNOWLEDGEMENTS
First and for most, I would like to express my deepest gratitude to my advisor, Desalegn Mosissa
(Ast.prof), for his invaluable and constructive comments, suggestions and feedback. Without his
constructive comments and suggestions, this study would not have been successful. I am very
much indebted to the kindness, patience, and warm-welcome he has shown me in the course of
time.
I also would like to thank management officials and students of Admas University who scarified
their precious time in filling the questionnaires and answered the interview questions for the
main study. At the end I would like to express my gratitude for the head of MBA, all staff and
Admas University Burayu campus community.

IX
Abstract
The study was conducted to evaluate the promotional practice of private University in the case of
Admas University. An Explanatory case study was employed to achieve the goal of this research.
Management official and 71 students which are total of 72 participants were involved in the
study. In the selection of the sample population purposive and random sampling were used. In
order to get data from the target populations both questionnaire and interview was used.
The questionnaire was administered to the students, and the interviews were conducted with the
management officials of the University. The data collected through questionnaire were analyzed
using percentage value and the qualitative data were analyzed using textual explanation.
The findings generally indicate promotional efforts of the University are not achieve the intended
objective. The result of the study also shows that there are problems in designing the messages
and measuring results. As a result, the study presented some recommendations so as to alleviate
the problems. Suggested recommendations:
The university should design appropriate Marketing promotion department. The university
should also recruit marketing expert So as to attract many students to the university the
university should prepare incentives e.g. discounting of tuition fee and other expenses As
compare to other universities promotion practices this university promotion practice is shows
less competition, so that the university should use others as a bench mark.

Key words: Promotion mix, promotional practice, promotion effort, perception message
transmitted.

X
 CHAPTER ONE
1. INTRODUCTION
1.1 Background of the Study
Marketing is the life blood of an organization, because without it, no one will know that exist or
what you do. When you stop marketing, your business stops growing. By making marketing one
of top priorities, you give direct sales business the opportunity to grow and prosper (Kotler,
2006).
Marketing is the process of planning; executing the conception, pricing, promotion and
distribution of ideal, goods, and services to create exchange that satisfy individual and original
objectives (American Marketing Association). From this definition one can understand that the
basic task of marketing is one of combination these four elements in marketing program to
facilitate the potential for exchange with consumers in the market place.
The primary focus of this study is on one element of marketing mix the promotional variable.
However, the promotional program must be part of a viable marketing strategy and coordinated
with other marketing activities.
Modern marketing calls for more than producing a good product, pricing it attractively and
making it accessible to target customers. Companies must also communicate with their present
and potential customers. Every company is inevitably cast to role of communicator and promoter
(Kotler, 1981).The need of communication arises be causes of there is an information gap
between producers of goods, services and ideas and potential consumers. The consumers need
information to be aware of the existence of alternative products, its prices, location etc.
Communicating in this area creates information utility that enable consumers to make better
choice. Information between producers and consumers is communicated through one of an
organization marketing mix called promotion.
Promotion is a process that involves all communication use to inform, persuade and/or remind
peoples about an organization or individual goods, services, images, ideas, community
involvement or impact on the society (Kotler, 2003).
As Belch and Belch (1990) point out that it is the coordination of all seller initiated efforts to set
up channels of information and persuasion to sell goods and service or promote an idea. In short
Promotion is best viewed as communications function of marketing.

1
Similarly, Kotler (1984) states that, promotion is a very important part of the firms marketing
strategy, promotion or to promote means to move forward and marketing promotion is a form of
persuasive, reminding and informative way of Communicating Promotion process within a
person which creates motivation interims leading to particular designed cause of an action. After
the company gain understanding of the communication process and what to transmit, it is ready
to develop and over all promotional plans such a plan consists of objectives, budgeting and
promotion mix to its target segment.
A Company‘s Promotion mix consists of advertising, personal selling, sales promotion, public
relation, and direct marketing (Tbid 2006).
In addition to providing information, promotion has the role of increasing demand,
differentiation a product, improve brand recognition, improve market share, inform and educate
the market etc. One should note that benefits from Promotional strategy get only when it operates
properly. To be effective, the strategy must consistent with the needs of consumers and
integrated with other marketing mix elements (product, price, and place).
In contrast, in effective operation of promotion can waste millions of dollars and actually
damage the image of company and its products.
Thus, this study attempts to assess the promotion practice of selected University i.e. Admas
University.
1.2 Statement of the Problem
Due to the dynamic nature of business and the business environment the present is relatively
different from what it was in the past. Nowadays marketing is becoming more and more
important in this modern life. Every company uses marketing strategy to success and move
forward. Marketing is also a dynamic lesson, and not just stuck in one point, its developing from
time to time marketers should be able to adjust to changing market condition through the major
controllable and tactical elements of marketing mix product, price, place and promotion. In this
regard, promotion plays a very important role in increasing company profitability and market
share and therefore, should be given due emphasis by the organization.
Development of an optimum promotion mix is by no means easy. Companies often use
haphazard, seat of the pants procedures to determine publicity in a product/market situation
(Jain, 1997).
Decisions about the promotional mix are often diffused among many decision makers,
2
impending the information of a united promotion strategy. Frequently, decision makers are not
adequately aware of the objectives and broad strategies of overall product program that the
promotion plan is designed to implement. Thus, they are Unrealistic as guides and directives for
planning, as criteria for promotional effectiveness, or even as a fair basis for application of the
Judgment of decision makers. Briefly, the present state of the art in the administration of the
promotion function is that causes and effect relationships as well as other insights are not
sufficiently understood to permit knowledgeable forecast of what to expect from alternate
courses of action.
Many firms spend millions of dollars in promoting their goods, service and ideas in this
competitive era. But, they do not evaluate the promotion activities whether the promotion attracts
customers or not. In fact it is very difficult to evaluate the effectiveness of promotion, because
promotion may influenced by other factors.
Despite of this fact, firms can evaluate their promotion effort before promotion is presented,
while it is being presented or after it has completed. But in Ethiopia as i observe most of the
organization do not evaluate /assesses their promotional activities whether the promotion of the
organization increase their performance or not.
Admas’s University produce educated man power to the country. As in Observe and listen in our
daily activities this University. Promote their product to their customers. The researcher intention
here is that, do the University’s ‘promotional activities achieve the intended objective, or not. As
result the researcher believes that dealing with the Assessment of promotional practices of
private University was worth discussing issue.
1.3 Research Questions
It is therefore, this research intends to evaluate promotional practices of Admas University, In
line with the above study of the problem, the following research questions are formulated to be
answered.
1. What kinds of promotion mix is applicable and found effective in the University?
2. How effective is the present promotional practice for the performance of the University?
3. How do the customers (students) perceive the message transmitted by the University?

3
1.4 Objective of the Study
1.4.1 General objective of the study
The general objective of this study was An Evaluation of Promotional Practices for Private
Universities the case of Admas University.
1.4.2 Specific Objective of the Study
More specifically the study was addressing the Following objectives:
 To identify the promotion mix which are applying in the university
 To evaluate the promotional effort of the university
 To show how effective the promotional practice of the university is
 To examine the students perception about the messages transmitted by the university
1.5 Significance of the Study
As stated above, the general objective of the study was to assess or evaluate the promotion
practice of the university. The objective of the university may be demand or image oriented. It is
better to make clear that no further study has been done to deal with promotion practice.
1.6 Delimitation of the Study
The researcher believes that there are many problems that need research or investigation in
marketing mix areas. However, the study is particularly interested to evaluate the promotional
practice of private University. It is concerned in areas of promotion and its elements but does not
include other areas of marketing mix, even though they have power in influencing promotional
activities. Hence, the study was confined to Admas s University which was geographically
limited at Addis Ababa City.
The time needed for investigating all marketing mix areas was would be huge but due to lack of
time, the researcher consumes one to two months.
The findings of this study are expected to have the following significance:
To provide a valuable suggestion to the University and other organizations to consider their
customers as well as in planning promotional mix
The researcher hoped that suggestion and recommendations forward could be helpful in
implementing promotion mix to the university
The finding of the study may help others who have interest to study the topic further.

4
1.7 Limitations of the Study
This study is believed to have certain constraints. Primarily, it is worth keeping in mind that the
sample size of the study was limited to only one management official and 71 students selected
from the University. This could often create danger on the generalizability of the study. It would
have been better and more effective if a good number of University and participants were
included in the study to gather sufficient information to obtain better results.
In addition, shortage of related research works on the topic was another impending of this study
and delaying in responding the questionnaires were another constraints.
Finally, the researcher carried out this study while he was taking courses with little amount of
money.
1.8 Organization of the Study
The study was organized in five chapters. The first chapter dealt with introduction: background
of the study, statement of the problem, objectives, significance, delimitation and limitation of the
study. The second chapter contained review of related literature. Methodology of the study was
dealt in chapter three. Chapter four also focused on analysis and interpretation of the data
collected through questionnaire and interview. Finally, summary, conclusion and
recommendation of the study were given in chapter five.
1.9 Definition of Key Terms
Marketing: is the process of planning executing the conception, pricing, promotion and
distribution of ideal, goods, and services to create exchange that satisfy individual and original
objectives.
Promotion: is the function of informing, persuading and influencing the customers purchase
decision.
Promotion Mix: is the combination of one or more of the promotions in choosing to use.
Advertising: is any paid form of non-personal presentation and promotion of ideas, goods, or
services by an identified sponsor.
Sales Promotion: is often define as those marketing activities that provide extra value or
incentive for purchasing a product and that can stimulate immediate sales from consumers or
dealers.

5
Personal Selling: is a form of person -to- person communication in which a seller attempts to
assist and/or persuade prospective buyers to purchase the company‘s product or service or act
upon an idea.
Publicity: is non-personal stimulation of demand for a product, service, or business unit by
planting commercial significant news about it in published medium or obtained favorable
presentation of it upon radio, television, or stage that is not paid for by the sponsor.
Direct marketing: Direct connections with carefully targeted individual consumers to obtain
immediate response and cultivate lasting customer relations through the use of mail, telephone,
fax, internet etc.

6
 CHAPTER TWO
2. REVIEW OF RELATED LITERATURE
This chapter discus literature review from research work done by other researcher’s, theoretical
orientation and conceptualization as it relates to the study.
2.1 Theoretical review
In this chapter, literature related to promotion (marketing communication) was reviewed. It is
organized in to different sub topics: introduction, definition, developing effective marketing
communications (promotion) and the promotion mix i.e. advertising, personal selling, sales
promotion, publicity and direct marketing.
There is probably no more dynamic and fascinating a field to either practice or study than that of
promotion. In our increasingly complex world organizations in both the private and public sector
have learned that their ability to create and disseminate effective advertising and promotional
message to their target audience is often critical to their success.
2.1.1 Definition
Modern marketing calls for more than developing a good product, pricing it attractively, and
making it accessible. Companies must also communicate with present and potential stakeholders
as well as the general public. For most companies, the question is not whether to communicate
but rather what to say, to whom, and how often. The marketing communications mix consists of
advertising, sales promotion, public relations and publicity, personal selling, and direct
marketing, although savvy marketers know that communication goes beyond these five methods.
The product‘s styling and price, the package‘s shape and color, the salesperson‘s manner and
dress, the place‘s décor all communicate something to buyers. In fact, every brand contact
delivers an impression that can affect a customer‘s view of the company. Therefore, the entire
marketing mix must be integrated to deliver a consistent message and strategic positioning. We
first explore effective marketing communications and the communications mix, and then look
more closely at advertising, sales promotion, and public relations (Kotler, 2000: 271).
Promotion is the element of in organization marketing mix that serves to inform, persuade and
remind the market of a product and lore the organization selling it in hopes of influencing the
recipients feeling, beliefs or behavior (Sommers &Eta l, 1992:550). To sum up promotion is to
creation of awareness and convey information; promotion by itself can‘t sell a product or service

7
if the need for that product or service is not there. Promotion cannot create need and will not
push the consumer to purchase. Promotion must convince the target customers that the goods and
service offered have a differential advantage over the competition. A differential advantage is
asset of unique features of a company and its products that all perceived by the target markets as
significant and superior to the competition.
2.1.2 Developing Effective Marketing Communications
Today there is a new view of communications as an interactive dialogue between the company
and its customers that takes place during the pre-selling, selling, consuming, and post-consuming
stages. Successful companies are asking not only
―How can we reach our customers? But, in a break from the past, are also asking ―How can
our customers reach us? Now sellers use a variety of communication platforms to stay in touch
with customers. Increasingly, it is the newer technologies, such as the Internet, that have
encouraged more firms to move from mass communication to more targeted communication and
one-to-one dialogue with customers and other stakeholders.
As Kotler (2000) point out, there are eight steps to follow in developing an effective marketing
communications program:
Step 1: Identifying the Target Audience
The first step is to identify a clear target audience: potential buyers of the company‘s products,
current users, deciders, or influencers; individuals, groups, particular publics, or the general
public. The target audience is a critical influence on the communicator‘s decisions about what to
say, how to say it, when to say it, where to say it, and to whom to say it.
Further analysis helps the company assess the audience‘s current image of the company, its
products, and its competitors. Imageis the set of beliefs, ideas, and impressions that a person
holds regarding an object. People‘s attitudes and actions toward an object such as a product or
service are highly conditioned by that object‘s image. In assessing image, marketers research the
audience‘s familiarity with the product, and then they ask respondents who know the product
how they feel about it.
Step 2: Determining the Communication Objectives
Knowing the target audience and its perceptions, the marketing communicator can now decide
on the desired audience response, seeking a cognitive, affective, or behavioral response. That is,
the marketer might want to put something into the consumer‘s mind, change an attitude, or get
8
the consumer to act.
Step 3: Designing the Message
Having defined the desired response, the communicator moves to developing an effective
message. Ideally, the message should gain attention, hold interest, arouse desire, and elicit
action. In practice, few messages take the target audience all the way from awareness through
purchase, but the awareness, interest, desire; and action (aida) framework suggests the desirable
qualities of any communication. Formulating the message will require solving four problems:
what to say (message content), how to say it logically (message structure), how to say it
symbolically (message format), and who should say it (message source).
Message Content
In determining message content, management searches for an appeal, theme, idea, or unique
selling proposition. There are three types of appeals:
➤ Rational appeals engage self-interest by claiming the product will produce certain benefits
such as value or performance. It is widely believed that industrial buyers are most responsive to
rational appeals because they are knowledgeable about the product, trained to recognize value,
and accountable to others for their choices.
Consumers, when they buy certain big-ticket items, also tend to gather information and estimate
benefits.
➤ Emotional appeals attempt to stir up negative or positive emotions that will motivate purchase.
Marketers search for the right emotional selling proposition.
Even when the product is similar to the competitions ‘product, it may have unique associations
that can be promoted. Communicators also work with negative appeals such as fear, guilt, and
shame to get people to do things (brush their teeth) or stop doing things (smoking). In addition,
positive emotional appeals such as humor, love, pride, and joy are often part of the message
content.
➤ Moral appeals are directed to the audience‘s sense of what is right and proper.
These are often used to exhort people to support social causes.
Message Structure
Message effectiveness depends on structure as well as content.

Message Format
9
The communicator must develop a strong message format.
Message Source
Messages delivered by attractive or popular sources achieve higher attention and recall, which is
why advertisers often use celebrities as spokespeople. In particular, messages delivered by highly
credible sources are more persuasive, so pharmaceutical companies have doctors testify about
product benefits because doctors have high credibility. Three factors that underlay source
credibility are expertise, trustworthiness, and like ability.
Step 4: Selecting Communication Channels
Now that the message has been designed, the communicator must select efficient communication
channels to carry it. For example, pharmaceutical salespeople can rarely wrest more than 10
minutes‘time from a busy physician. Because personal selling is expensive, the industry has
added multiple channels: advertising in medical journals, direct mail (including audio and
videotapes), sampling, telemarketing, Web sites, conferences and teleconferences, and more. All
of these channels are used in the hope of building physician preference for particular branded
drug products. In general, firms can use two types of communication channels: personal and non-
personal.
Step 5: Establishing the Marketing Communications Budget
Industries and companies vary considerably in how much they spend on promotion. How do
companies decide on the promotion budget? Here are four common methods:
Affordable method: Many companies set the promotion budget at what management thinks the
firm can afford. However, this method ignores the role of promotion as an investment and the
immediate impact of promotion on sales volume; it also leads to an uncertain annual budget,
making longrange planning difficult.
Percentage-of-sales method: Many firms set promotion expenditures at a specified percentage
of sales (either current or anticipated) or of the sales price. Supporters say this method links
promotion expenditures to the movement of corporate sales over the business cycle; encourages
management to consider the interrelationship of promotion cost, selling price, and unit profit;
and encourages stability when competing firms spend approximately the same percentage. On
the other hand, this method views sale as the determiner of promotion rather than as the result,
and it provides no logical basis for choosing the specific percentage.
Competitive-parity method: Some companies set their promotion budget to achieve share-of-
10
voice parity with competitors. Although proponents say that competitors ‘expenditures represent
the collective wisdom of the industry and that maintaining competitive parity prevents promotion
wars, neither argument is valid. There are no grounds for believing that competitors know better
what should be spent on promotion. Company reputations, resources, opportunities, and
objectives differs so much that promotion budgets are hardly a guide. Furthermore, there is no
evidence that competitive parity discourages promotional wars.
Objective-and-task method: Here, marketers develop promotion budgets by defining specific
objectives, determining the tasks that must be performed to achieve these objectives, and
estimating the costs of performing these tasks. The sum of these costs is the proposed promotion
budget. This method has the advantage of requiring management to spell out assumptions about
the relationship among dollars spent, exposure levels, trial rates, and regular usage.
Step 6: Developing and Managing the Marketing Communications Mix
Having established a communications budget, companies must decide how to allocate it over the
five promotional tools.
2.1.3 Promotional Tools
Each promotional tool has its own unique characteristics and costs.
Advertising: Advertising can be used to build up a long-term image for a product. Advertising
can reach geographically dispersed buyers efficiently. Certain forms of advertising (TV
advertising) typically require a large budget, whereas other forms (newspaper advertising) can be
done on a small budget.
Sales promotion: Although sales-promotion tools-coupons, contests, premiums, and the like are
highly diverse, they offer three distinctive benefits: (1) communication (they gain attention and
usually provide information that may lead the consumer to the product); (2) incentive (they
incorporate some concession or inducement that gives value to the consumer); and (3) invitation
(they include a distinct invitation to engage in the transaction now). Sales promotion can be used
for short-run effects such as dramatizing product offers and boosting sales.
Public relations and publicity: The appeal of public relations and publicity is based on three
distinctive qualities: (1) high credibility (news stories and features are more authentic and
credible than advertising); (2) ability to catch buyers off guard (reach prospects who prefer to
avoid salespeople and advertisements); and (3) dramatization (the potential for dramatizing a
company or product).
11
Personal selling: Personal selling has three distinctive qualities: (1) personal confrontation (it
involves an immediate and interactive relationship between two or more persons); (2) cultivation
(it permits all kinds of relationships to spring up, ranging from a matter-of-fact selling
relationship to a deep personal friendship); and (3) response (it makes the buyer feel under some
obligation for having listened to the sales talk).
Direct marketing: All forms of direct marketing direct mail, telemarketing, Internet marketing
share four distinctive characteristics: They are (1) nonpublic (the message is normally addressed
to a specific person); (2) customized (the message can be prepared to appeal to the addressed
individual); (3) up-to-date (a message can be prepared very quickly); and (4) interactive (the
message can be changed depending on the person‘s response).
2.1.4 Factors in Setting the Marketing Communications Mix
Companies must consider several factors in developing their promotion mix:
Types of product market:- Promotional allocations vary between consumer and business
markets. Although advertising is used less than sales calls in business markets, it still plays a
significant role in building awareness and comprehension, serving as an efficient reminder of the
product, generating leads, legitimizing the company and products, and reassuring customers
about their purchases. Personal selling can also make a strong contribution in consumer-goods
marketing by helping to persuade dealers to take more stocks and display more of the product,
build dealer enthusiasm, sign up more dealers, and grow sales at existing accounts.
Push-versus-pull strategy: A push strategy involves the manufacturer using sales force and
trade promotion to induce intermediaries to carry, promote, and sell the product to end users.
This is especially appropriate where there is low brand loyalty in a category; brand choice is
made in the store; the product is an impulse item; and product benefits are well understood. A
pull strategy involves the manufacturer using advertising and consumer promotion to induce
consumers to ask intermediaries for the product, thus inducing the intermediaries to order it. This
is especially appropriate when there is high brand loyalty and high involvement in the category;
people perceive differences between brands; and people choose the brand before they go to the
store.
Buyer-readiness stage: Promotional tools vary in cost effectiveness at different stages of buyer
readiness Advertising and publicity play the most important roles in the awareness-building
stage. Customer comprehension is affected primarily by advertising and personal selling, while
12
customer conviction is influenced mostly by personal selling. Closing the sale is influenced
mostly by personal selling and sales promotion. Reordering is also affected mostly by personal
selling and sales promotion, and somewhat by reminder advertising.
Product-life cycle stage: Promotional tools also vary in cost effectiveness at different stages of
the product life cycle. Advertising and publicity are most cost effective in the introduction stage;
then all the tools can be toned down in the growth stage because demand is building word of
mouth. Sales promotion, advertising, and personal selling grow more important in the maturity
stage. In the decline stage, sales promotion continues strong, advertising and publicity are
reduced, and salespeople give the product only minimal attention.
Company market rank: Market leaders derive more benefit from advertising than from sales
promotion. Conversely, smaller competitors gain more by using sales promotion in their
marketing communications mix.
Step 7: Measuring Results
After implementing the promotional plan, the communicator must measure its impact. Members
of the target audience are asked whether they recognize or recall the message, how many times
they saw it, what points they recall, how they felt about the message, and their previous and
current attitudes toward the product and company. The communicator should also collect
behavioral measures of audience response, such as how many people bought the product, liked it,
and talked to others about it.
Step 8: Managing the Integrated Marketing Communications Process
Given the fragmenting of mass markets into mini markets, the proliferation of new types of
media and the growing sophistication of consumers, companies need to use a wider range of
communication tools, messages, and audiences. To do this most effectively, companies must
embrace integrated marketing communications. As defined by the American Association of
Advertising Agencies, integrated marketing communications (IMC) is a concept of marketing
communications planning that recognizes the added value of a comprehensive plan that evaluates
the strategic roles of a variety of communications disciplines for example, general advertising,
direct response, sales promotion and public relations and combines these disciplines to provide
clarity, consistency, and maximum communications‘ impact through the seamless integration of
discrete messages.
Savvy firms know that IMC produces stronger message consistency and greater sales impact; it
13
also gives someone responsibility to unify the company‘s various brand images and messages.
Properly implemented, IMC will improve the company‘s ability to reach the right customers with
the right messages at the right time and in the right place.
In the past few decades, marketers have perfected the art of mass-marketing. Large companies
invest millions of dollars in television, newspapers etc to reach millions of customers with a
single advert. However, scenarios are changing today!
2.2 The Promotion Mix
The basic tools or elements that are used to accomplish an organization‘s communication
objectives are often referred to as the promotion mix and include advertising, personal selling,
sales promotion, and publicity/public relation (Belch/Belch: 1990). But Kotler adds another
promotional mix elements i.e. direct marketing.
Therefore promotion mix is a combination of advertising, personal selling, sales promotion,
publicity and direct marketing.
2.2.1 Advertising
Advertising is any paid form of non-personal presentation and promotion of ideas, goods, or
services by an identified sponsor. Advertisers include not only business firms but also museums,
charitable organizations, and government agencies that direct messages to target publics.
Advertising are a cost-effective way to disseminate messages, whether to build brand preference
or to educate people (Kotler 2000: 281).
It any paid form of non-personal promotion of ideas or product by an identified sponsor.
Advertising can reach masses of geographically dispersed buyers at a low price per exposure.
Because of its nature, consumers tend to view advertised products as more legitimate. A
disadvantage is that it is impersonal and not directly persuasive (Armstrong &Kotler 1990).
From the above definition the following point can emerge:
Advertising is a paid form and hence commercial in nature thus any sponsored communication
designed to influence buyer‘s behavior is advertising because advertisers pay for it.
Advertising is non-personal unlike personal selling. Advertising is done in a non-personal
manner through intermediary or media.
Advertisement complements or many substitute for personal selling. It supplements the voice
and personality of the individual sales man.
Advertising promotion ideas, goods and services it is being used increasing to further public
14
interest goals.
Advertiser is identifiable with its sponsoring authority or advertiser it discloses or identified the
source of opinions and ideal it presents.
In developing an advertising program, successful firms start by identifying the target market and
buyer motives. Then they can make five critical decisions, known as the five Ms: Mission: What
are the advertising objectives? Money: How much can be spent? Message: What message should
be sent? Media: What media should be used? Measurement: How should the results will be
evaluated?
2.2.2 Setting the Advertising Objectives
Advertising objectives can be classified according to whether their aim is to inform, persuade, or
remind.
Informative advertising figures heavily in the pioneering stage of a product category, where the
objective is to build primary demand. Makers initially had to inform consumers of the benefits of
their product.
Persuasive advertising becomes important in the competitive stage, where the objective is to
build selective demand for a particular brand. Some persuasive advertising is comparative
advertising, which explicitly compares two or more brands.
Reminder advertising is important with mature products. A related form of advertising is
reinforcement advertising, which seeks to assure current purchasers that they have made the right
choice (Kotler, 2000: p, 282).
Each advertisement is a specific communication that must be effective, not just for one customer,
but for many target buyers. This means that specific objectives should be set for each particular
advertisement campaign. Advertising is a form of promotion and like a promotion; the objectives
of advertising should be specific. This requires that the target consumers should be specifically
identified and that the effect which advertising is intended to have upon the consumer should be
clearly indicated.
2.2.3 Deciding on the Advertising Budget
Management should consider these five factors when setting the advertising budget:
Product life cycle stage: New products typically receive large budgets to build awareness and to
gain consumer trial. Established brands usually are supported with lower budgets as a ratio to
sales.
15
Market share and consumer base: High-market-share brands usually require less advertising
expenditure as a percentage of sales to maintain their share. To build share by increasing market
size requires larger advertising expenditures. On a cost-per-impression basis, it is less expensive
to reach consumers of a widely used brand than to reach consumers of low-share brands.
Competition and clutter: In a market with a large number of competitors and high advertising
spending, a brand must advertise more heavily to be heard. Even simple clutter from
advertisements that are not directly competitive to the brand creates a need for heavier
advertising.
Advertising frequency: The number of repetitions needed to put across the brand‘s message to
consumers has an important impact on the advertising budget.
Product substitutability: Brands in a commodity class (cigarettes, beer, soft drinks) require
heavy advertising to establish a differential image. Advertising is also important when a brand
offers unique benefits or features (Kotler, 2003).
To conclude, promotion may be viewed as a long-run process. That indicate advertising should
be seen as a business investment, in the same sense as opening a new plant or spending
additional funds on improved package design.
2.2.4 Choosing the Advertising Message
Advertising campaigns vary in their creativity. According to kotler (2006) in developing a
creative strategy, advertisers follow four steps: message generation, message evaluation and
selection, message execution, and social responsibility review.
Message Generation
The product‘s ―benefit‖ message should be decided as part of developing the product concept.
Yet there is usually latitude for a number of possible messages. Over time, the marketer might
want to change the message, especially if customers seek new or different benefits from the
product. Creative people use several methods to generate possible advertising appeals. Many
creative people proceed inductively by talking to consumers, dealers, experts, and competitors,
while others use a deductive framework. Regardless of the process, how many alternative ad
themes should the advertiser create before choosing? The more advertising that is created, the
higher the probability of finding an excellent one. Yet this is a balancing act, because the more
time spent on creating alternative advertisings, the higher the costs, even with the use of
computerized tools to create rough versions of advertisings.
16
Message Evaluation and Selection
The task of selecting the best message out of a large number of possibilities calls for the
introduction of criteria for judging the communication potency of different message.
A good ad normally focuses on one core selling proposition. Twedt suggested that messages be
rated on desirability, exclusiveness, and believability. Smart advertisers conduct market research
to determine which appeal works best with their audiences (Kotler&Turner, 1981:p538).
Message Execution
The message‘s impact depends not only upon what is said but also on how it is said.
Some advertising aims for rational positioning and others for emotional positioning.
In preparing an advertising campaign, the advertiser usually prepares a copy strategy statement
describing the objective, content, support, and tone of the desired advertising. Creative
specialists must also find a cohesive blend of style, tone, words, and format for executing the
message. Any message can be presented in a number of execution styles: slice of life, lifestyle,
fantasy, mood or image, musical, personality symbol, technical expertise, scientific evidence,
and testimonial. The actual words in an ad must be memorable and attention-getting to make an
impression on the audience. Any message can be put across in different execution styles, such as:
slice of life, life style, fantasy, mood or image, musical, personality symbol, technical expertise,
scientific evidence, testimonial evidence. Format elements such as ad size, color, and illustration
will affect an ad‘s impact as well as its cost. Yet a minor rearrangement of mechanical elements
can improve attention getting power. Larger-size ads gain more attention, though not necessarily
by as much as their difference in cost (Ibid: 539).
Developing Media Strategies
After choosing the message, the next task is to choose media to carry it. The steps here are
deciding on desired reach, frequency, and impact; choosing among major media types; selecting
specific media vehicles; deciding on media timing; and deciding on geographical media
allocation.
2.3 Deciding on Reach, Frequency, and Impact
Media selection involves finding the most cost-effective media to deliver the desired number of
exposures to the target audience. What do we mean by the desired number of exposures?
Presumably, the advertiser is seeking a certain response from the target audience— for example,
a certain level of product trial. The rate of product trial will depend, among other things, on the
17
level of audience brand awareness. The effect of exposures on audience awareness depends on
the exposures ‘reach, frequency, and impact:
➤Reach (R): The number of different persons or households that are exposed to a particular
media schedule at least once during a specified time period.
➤Frequency (F): The number of times within the specified time period that an average person
or household is exposed to the message.
➤Impact (I): The qualitative value of an exposure through a given medium (thus a food
advertising in Good Housekeeping would have a higher impact than the same advertising in the
Police Gazette).
Although audience awareness will be greater with higher reach, frequency, and impact, there are
important trade-offs among these elements. It is the media planner‘s job to figure out, within a
given budget, the most cost-effective combination of reach, frequency, and impact. Reach is
most important when launching new products, flanker brands, extensions of well-known brands,
or infrequently purchased brands, or when going after an undefined target market.
Frequency is most important where there are strong competitors, a complex story to tell, high
consumer resistance, or a frequent-purchase cycle (Kotler&Turner, 1981:p542).
Selecting Media and Vehicles
The media planner has to know the capacity of the major media types to deliver reach,
frequency, and impact.

Table 2.1 Profiles of Major Media Types

Medium Advantages Limitations
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Newspapers
Flexibility; timeliness; good local Short life; poor reproduction quality; small ―pass-along‖
market coverage; broad audience
acceptance; high believability

Television Combines sight, sound, and

motion; appealing to the senses; High absolute cost; high clutter; fleeting exposure;
high attention; high reach less audience selectivity
Direct mail Audience selectivity;
flexibility; no advertising Relatively high cost;―junk mail‖
competition within the same Image
medium; personalization
Radio Mass use; high geographic and Audio presentation only; lower
demographic selectivity; low
cost attention than television;
non standardized rate
structures; fleeting exposure
Magazines High geographic and Long ad purchase lead time; some
demographic waste circulation; no
selectivity; credibility guarantee of position
and prestige;
high-quality reproduction;
long life; good pass-along
readership
Outdoor Flexibility; high repeat Limited audience
exposure; low cost; low selectivity; creative
competition Limitations
Yellow Excellent local coverage; High competition; long ad purchase
Pages high lead time; creative
believability; wide reach; low cost limitations
Newsletters Very high selectivity; full control; Costs could run away
interactive opportunities;
relative low costs
Brochures Flexibility; full control; can Overproduction could lead to runaway costs
19
 dramatize Messages
Telephone Many users; opportunity to give a Relative high cost unless volunteers are used
personal touch

Interne High selectivity; interactive Relatively new media with a low

t possibilities; relatively low cost number of users in some countries
Source Kotler 2000: 286
Media planners choose among these media categories by considering the following variables:
Target-audience media habits: For example, radio, television, and the Internet are effective
media for reaching teenagers.
Product: Media types have different potentials for demonstration, visualization, explanation,
believability, and color.
Message: A message announcing a major sale tomorrow will require radio, TV, or newspaper. A
message containing a great deal of technical data might require specialized magazines or
mailings.
Cost: Television is very expensive, whereas newspaper advertising is relatively inexpensive.
What counts are the cost-per-thousand exposures?
Deciding on Media Timing
In choosing media, the advertiser faces a macro-scheduling problem and a micro scheduling
problem. The macro-scheduling problem involves scheduling the advertising in relation to
seasons and the business cycle. The firm can vary its advertising expenditures to follow the
seasonal pattern, to oppose the seasonal pattern, or to be constant throughout the year. Most
firms pursue a seasonal policy, although advertising in the off-season may boost sales and
consumption without hurting seasonal consumption. The micro scheduling problem calls for
allocating advertising expenditures within a short period to obtain maximum impact. Over a
given period, advertising messages can be concentrated (―burst‖ advertising), dispersed
continuously, or dispersed intermittently.

The advertiser must also decide whether to leave ad messages level, increase them, decrease
them, or alternate them in the schedule. (Kotler&Turner, 1981:544).
Deciding on Geographical Allocation
In allocating media geographically, the company should consider area differences in market size,
20
advertising response, media efficiency, competition, and profit margins.
Evaluating Advertising Effectiveness
Good planning and control of advertising depend on measures of advertising effectiveness.
Yet the amount of fundamental research on advertising effectiveness is appallingly small.
Advertisers should try to measure the communication effect of advertising that is, its potential
effect on awareness, knowledge, or preference as well as the advertising sales effect:
Communication-effect research seeks to determine whether advertising is communicating
effectively. Called copy testing, it can be done before advertising is placed (pre-testing) and after
it is placed (post-testing). Advertisers also need to posttest the overall impact of a completed
campaign.
Sales-effect research is complex because sales are influenced by many factors beyond
advertising, such as product features, price, and availability, as well as competitors ‘actions. The
sales impact is easiest to measure in direct-marketing situations and hardest to measure in brand
or corporate image-building advertising (Kotler, 2003).
2.4 Personal Selling
Personal selling is a form of person -to- person communication in which a seller attempts to
assist and/or persuade prospective buyers to purchase the company‘s product or service or act
upon an idea. Unlike advertising, personal selling involves direct contact between the buyer and
seller, either face –to face or through some form of telecommunication such as telephone sales
(Belch/Belch, 1990:.10).
Personal Selling: Personal presentation by the firm‘s sales force for the purpose of making sales
and building customer relationships. All allows all kinds of customer relationships to spring up.
However it needs long-term commitment (Armstrong &Kotler 1990).
To sum up Personal Selling is the interpersonal arm of the promotion mix. It involves two-way
personal communication between salespeople and individuals. The sales force serves as a critical
link between a company and its customer. They do two things: they represent the company to
customers and also represent customers to the company. Personal selling brings humanness to
selling. Sales representatives do what advertisements do: inform, persuade or remind.
But they do it in person and can thus give your company a distinct personality.
Determining the Role of Personal Selling
One of the first questions that the managers will need to ask when preparing the promotional
21
message is, what will the specific responsibility of personal selling be ,and what role will it
assume relative to the other promotional mix elements? To determine what this role should,
management should be guided by four specific questions.
What specific information must be exchanging between the firm and potential customers?
(Determining the information to be exchanged) .
What are the alternative ways of carrying out the communication objectives? (Examining
promotional mix alternatives).
How effective is each alternative in carrying out the needed exchange?
(Evaluating the relative effectiveness of alternatives)
What is the cost-effectiveness of each alternative? (Determining cost- effectiveness) (Kotler:
561).
Advantages and Disadvantages of personal selling
Advantages
o Allowing for two way interaction
o Tailoring of the message
o Lack of distraction
o Involvement in the decision making
o Disadvantages
o Inconsistent messages
o Sales force-management conflict
o High cost
Poor reach (Belch/Belch, 1990: 566-567)
To conclude personal selling is the most effective form of promotion because it allows your
approach to be tailored to the needs of an individual customer. Getting a sale is ultimately
extremely important, but the process involves a lot more than this. It is about having a
constructive dialogue with customers to listen to their needs, promote product & company
benefits on an individual basis, answer any questions, resolve any problems and get their
feedback before clinching a sale.
2.5 Sales-Promotion
Sales promotion is often define as those marketing activities that provide extra value or incentive
22
for purchasing a product and that can stimulate immediate sales from consumers or dealers
(Belch/Belch, 1990: 13).
Sales promotion includes tools for consumer promotion (samples, coupons, cash refund offers,
prices off, premiums, prizes, patronage rewards, free trials, warranties, tie-in promotions, cross-
promotions, point-of-purchase displays, and demonstrations);trade promotion (prices off,
advertising and display allowances, and free goods), and business and sales force promotion
(trade shows and conventions, contests for sales representation, and specialty advertising)
(Kotler : 2006). A major reason why companies use sales promotion is that they can provide the
marketing intermediaries with an extra incentive to stock and promote their brands and
encourage consumers to buy them and thus can be stimulating short team sales. Many firms are
reluctant to make sales promotions the sole basis of their promotional strategy because the sales
gains resulting from these programs are often temporary, ending when the promotional period is
over (Belch/Belch, 1990:p.13).
Therefore one can understand that Sales promotion is essential an acceleration tool, designed to
speed up the selling process and maximize sales volume. By providing extra incentives, sales
promotion techniques can motivate consumers to purchase a large quality of a brand or shorten
the purchase cycle of the trade or consumers by encouraging them to take more immediate
action. Sales promotion attempts to maximize sales volume by motivating customers who have
not responded to advertising.
2.6 Major Decisions in Sales Promotion
In using sales promotion, a company must establish its objectives, select the tools, develop the
program, pretest the program, implement and control it, and evaluate the results.
Establishing objectives: Sales-promotion objectives are derived from broader promotion
objectives, which are derived from more basic marketing objectives that are developed for the
product. The specific objectives for sales promotion vary with the target market.
 Selecting consumer-promotion tools
 Selecting trade-promotion tools
 Selecting business- and sales force promotion tools
 Developing the program
 Pretesting the program Implementing and evaluating the program
Sales promotions best described as a specific, usually short-term, promotion that is over and
23
above what you would normally provide to the customer.
2.7 Publicity
Publicity is non-personal stimulation of demand for a product, service, or business unit by
planting commercial significant news about it in published medium or obtained favorable
presentation of it upon radio, television, or stage that is not paid for by the sponsor (Kotler, 1984:
603).
Publicity refers to non-personal communication regarding an organization, product, service, or
idea that is not directly paid for nor run under identified sponsorship, usually coming in the form
of a news story, editorial, or announcement about an organization and /or its products and service
Belch/Belch, 1990: 589).
Publicity at no charge (most of the time) Part of public relations, a broad set of communication
activities used to create and maintain favorable relations between the organization and its
publics:
Customers, employees, stockholders, government officials, society in general
The wise company takes concrete steps to manage successful relations with its key publics.
Public Relation departments typically perform five functions: (1) press relations (presenting
news and information about the organization in the most positive light); (2) product publicity
(publicizing specific products); (3) corporate communication (promoting understanding of the
organization through internal and external communications); (4) lobbying (dealing with
legislators and government officials to promote or defeat legislation and regulation); and (5)
counseling (advising management about public issues and company positions and image and
advising in the event of a mishap).
From this definition we can conclude that Public Relations can have strong impact on public
awareness at a much lower cost than advertising. If the company develops an interesting story, it
can pick up by the media, having the same effect as advertising without costing millions of
dollars. The Public Relation department is usually located at the corporate headquarters.
Although Public Relation still captures only a small portion of overall marketing budget, it is
increasingly playing an important role in brand-building.
Major Decisions in Marketing Public Relation
In considering when and how to use Marketing Public Relation management must follow the
same process as it does for advertising and sales promotion:
24
Establishing the marketing objectives: These may include: Build awareness of a product,
service, person, organization, or an idea; add credibility by communicating a message in an
editorial context; boost sales force and dealer enthusiasm; and hold down promotion costs while
gaining share of mind.
Choosing messages and vehicles: The Marketing Public Relation expert must identify or
develop interesting stories to tell about the product. If there are few stories, the expert should
propose newsworthy events to sponsor as a way of stimulating media coverage.
Major Tools in Marketing Public Relation
Publications: Companies rely extensively on published materials to reach and influence target
markets, including annual reports, brochures, articles, printed and on-line newsletters and
magazines, and audiovisual materials.
Events: Companies can draw attention to new products or other company activities by arranging
special events like news conferences, on-line chats, seminars, exhibits, contests and
competitions, and sport and cultural sponsorships that will reach the target publics.
News: One of the major tasks of Public Relation professionals is to find or create favorable news
about the company, its products, and its people. The next step getting the media to accept press
releases and attend press conferences calls for marketing and interpersonal skills.
Speeches: Speeches are another tool for creating product and company publicity and building the
company‘s image.
Public-Service Activities: Companies can build goodwill by contributing money and time to
good causes.
Identity Media: To attract attention and spark recognition, the firm‘s visual identity is carried by
its logos, stationery, brochures, signs, business forms, business cards, Web site, buildings,
uniforms, and dress codes.
Implementing and evaluating the plan. Public Relation implementation must be handled with
care. A great story is easy to place, but other stories might not get past busy editors
(Kotler ,2000: 294).

Advantage and Disadvantage of Public Relations

Advantage
Credibility, Cost, The avoidance of cluster, Lead generation, Ability to reach specific group and
25
Image building
Perhaps the major disadvantage of using public relation is the potential for not completing the
communication and public relation may misfire is through mismanagement and lack of
coordination with marketing department (Belch/Belch, 1990: 587).
Therefore publicity is something that happens to a company and the result may be good or bad.
Public relations (or PR) involve a sustained attempt to develop your reputation as a business by
using the media to help create the image you desire. It is a way of keeping the business in your
customers Eyes.
2.8 Direct Marketing
Direct Marketing: Direct connections with carefully targeted individual consumers to obtain
immediate response and cultivate lasting customer relations through the use of mail, telephone,
fax, internet etc. Direct Marketing is immediate, nonpublic, customized and interactive
(Armstrong &Kotler 1990).
Many companies are adopting direct marketing. Direct marketing consists of direct connections
with targeted individual consumers to obtain immediate response and cultivate lasting customer
relationships. There are many benefits of direct marketing to both buyers and sellers. Buyers can,
from the comfort of their homes, browse websites at any time and access a wealth of
information. For sellers, direct marketing is a powerful tool for building customer relations.
These can be done using database marketing. Direct marketing also offers sellers a low-cost
alternative for reaching markets. As a result, direct marketing has become the fastest growing
form of marketing.
The aim of direct marketing is to create one to one relationship with the organization target
market. Direct marketing can come in the form of post, email, telephone calls and maid order.
To sum up direct marketing is an increasingly popular technique as it enables you to target
specific customer groups very accurately. It is a flexible way to deliver your message and,
because each letter can be personalized, the chances of a response are greatly improved. The
overall success of a campaign can also be directly measured in terms of the number of responses
received.
One of the reasons relates to the variety of promotion requirements prescribed by individual
institutions. This has led to discrepancies in applying rules and regulations, especially at the
lower levels of university administrations. The major criteria often considered for promotion in
26
Ethiopian universities include length of service after a given academic rank, effectiveness in
teaching and research, active participation in the affairs of the university, public service and
publication numbers. While universities have shown limited discrepancies in many of these
areas, variations have been especially noted in requirements related to publications, both in terms
of the requirements set and the procedures followed.
Promotions based on favoritism and various forms of corruption have also been raised as
additional challenges in this area. For instance, the legislation of Addis Ababa University
considers a book based on original research as equivalent to four articles (400 points) or two
textbooks.
The University of Gondar’s 2013 legislation states that a book based on original research is
regarded as equivalent to three journal articles (300 points) while a textbook is rated as equal to
two journals published articles (200 points). In the same legislation a chapter in a book is given
30 points.
2.9 Conceptual Framework
This study investigates how determinant factors affect evaluation of promotional practices. An
evaluation of Promotional practices is dependent variable which occurs when the service
provided by case service provider were rated by evaluation of promotional practices as high
quality.The independent variables were the determinant factors. Such as promotion mix,
promotional effort, promotional practice, perception message transmitted
Shown below is conceptual the frame work researcher’s
Independent variable

Promotion mix Dependent variable

Evaluation of
Promotional effort Promotional practices

Promotional practice

Perception message transmitted

Figure 2.1Conceptual framework

27
 CHAPTER THREE
3. RESEARCH DESIGN AND METHODS
The main purpose of this study, as mentioned in chapter one, is to evaluate the promotional
practice of private University the case of Admas University. This chapter describes the research
design that was employed to achieve the main objective of the study. It, therefore, discusses
research design, source of data and sampling technique, the data collection instruments and
methods of data analysis used in the entire study.
3.1. Research Hypothesis
Up on reviewing the related literature, the following hypotheses have been tentatively developed.
H0: promotion has effect on the University’s performance
H1: promotion has no effect on the University’s performance
H0.The message (content) delivered through the media to the students has achieved its objectives
H1. The message (content) delivered through the media to the students has not achieved its
objectives
Rules: If the respondents result related to promotional effects over the stated variables is above
average, then the hypotheses hold. In this case the respondents result related to promotional
effect is not above average, so that H1 indicated that promotion has no effect on the university’s
performance.
3.2. Research Design
An Explanatory research design was used to conduct the study. An Explanatory study is helpful
when a researcher wants to look into a phenomenon or a process in its natural contexts in order
to get its overall picture instead of taking one or some of its aspects and manipulating it in a
simulated or an artificial setting. An Explanatory research design is typically concerned with
determining the frequency with which an event occurs or the relationship between two variables
(Malhotra, 2004 p.38) Thus, An Explanatory study was favored to evaluate promotional practice
of organizations. This method also used for the reason that it describes the existing facts and
practice of different organizations, as well as, it is economically efficient (Abiy, etal: 2009, p,
30). Moreover, in order to achieve the intended objective, both quantitative and qualitative
methods were chosen.

28
3.3. Source of Data and Sampling Techniques
This study was carried out at Admas University. Therefore, the sources of data for conducting
this study were found from regular students and one management officer of the University.
3.3.1 Sampling Size Determination
Out of the total 888 population Regular students of 71 selected out of the total students Regular
of Admas’s University the study also includes management officers of the University.
3.3.2 Sample Selection Procedure
According to the information obtained from Higher Education Relevance & Quality Agency
(HERQA) there are a total of 98 private Universities in Ethiopia, out of these Universities 28 of
them are renewed their recognition from 2009-2012 E.C. In the study, simple random sampling
and purposive sampling techniques were employed. Hence, out of the total 28 Universities, one
University were selected by applying purposive sampling techniques because; the researcher
wants to include one University from other University. Of the 888 students of the University 71
students Admas University) was selected based on simple random sampling. And also purposive
sampling was used to select the management officers for interviews.
3.3.3 Sample size Determination
Refers to is a function of size of population interest
Is the desired confidence level
Level of precision
In these cases of study of 71 students are selected for responses and one management official
also included.
3.3.4 Method of sample size Determination
I use the following sample size determination
Reviewing previous research – proportion sampling size
Conducting pilot test- is the preliminary test
Estimation of equal proportion
3.2.5 Data Collection Instruments
Two data collection instruments were used to gather relevant information for the purpose of the
study. These were questionnaire and interview.
3.2.6 Questionnaires
A questionnaire is a research instrument consisting of a series of questions and other prompts for
29
the purpose of gathering information from respondents. Questionnaires have advantages over
some other types of surveys in that they are cheap, do not require as much effort from the
respondent and often have standardized answers that make it simple to compile data. As result,
the researcher was prepared and administered set questionnaires for the students of the
University.
Interview: - The other type of data collection instrument was interview as it is useful instrument
there by helps the researchers to take in to account how the target population feel and think about
the problem. The interview was prepared to the one management bodies of the University and it
was conducted by the researcher.
3.2.7 Method of Data Analysis
As repeatedly stated, questionnaire and interview were instruments used for collecting relevant
data from the students and management officials. Based on the nature of data, analysis and
interpretation were made. The responses obtained from 71students through the questionnaire
were tallied, organized and demonstrated in tables, pie charts and bar charts. The collected data
were analysis using An Explanatory statistics (percentages). The interview was conducted with
the management officials of the University. The responses of the interviewee were analysis and
interpret qualitatively. Validity: refers to accuracy of instrument of the research, Reliability:
refers to consistence of instrument of the research
.Generally-it clearly define the goals and objectives of the research understanding and
agreements on operational definitions and methodology for data collection plan
Ensures data collection plan that is pilot test and few populations

30
 CHAPTER FOUR
4. RESULT AND DISCUSSION
4.1 Introduction
This study was, as noted earlier, aimed at evaluating promotional practices of private University
in the case of Admas’s University. To collect relevant data for the study, questionnaires and
interview were employed. The data collected through questionnaire are presented below with the
help of pie chart, bar chart and tables.
4.1 Presentation and Interpretation of Data Analysis that are

Obtained from Student’s’ Questionnaire

Reason

Reasonable price
Quality of service 17%
31%
Proximity to
residence
21%
Promotional
Practice
Good image
17%
14%

Figure 4.2 Reasons to Choose the University

The pie chart given above shows that 17%of the total respondents said that the reason to choose
the University is reasonable price, 21% said because of proximity to their residence, 14% said by
good image of the University, 17% of the students responded because of promotional practice of
the University and the remaining 31% the students responded because of quality of service
provided by the University.
Therefore, from the data analysis, the researcher concluded that the highest percent (i.e. 31%)
responded the reason to choose the University is by their quality of service.

31
 Table 4.1 Quality of the University Service
Item Respondent in Respondents %
no,
2. How do you rate the quality of Excellent 9 12.7
University’ service? Very good 34 47.9
Good 27 38
Bad 1 1.4
Very bad 0 0
Table 4.1 Reveals that 12.7%of the respondents said that the service quality of the University‘s is
excellent, 47.9% of the respondents said very good, 38% said that good, 1.4% of respondents
said that the quality of the service is bad, while no one responded that the quality of the
University service is very bad.
The result implies that the quality of the University service is above average. Promotion only
cannot do anything, so having quality service and setting appropriate price can attract customers.

Source of information
Friends University promotion Family Others
0%

34% 42%

24%

Figure 4.3 Source of Information (first Motivator) to join the University

As shown in the above figure (4.2) 42% of the respondents responded that when they joined to
the University their sources of information were friends, 24% said from family, 34% said
suddenly by the University’s promotion and there is no respondent responds others. This implies
that the highest percentage (42) was getting the information from friends (word of mouth).

32
 Promotion mix
Percent

40.8 38

17
4.2
0

Personal Advertising Publicity Sales Direct

Selling Promotion Marketing

Figure 4.4 Promotion Mix Persuasiveness

From the above figure the researcher obtained 4.2% of the total respondents responded that
personal selling is persuasive than the others, 40.8% said advertising , 38% of the respondents
said publicity, 17% said sales promotion and there is no respondent responded direct marketing.
From this the researcher concludes that advertising and publicity are more persuasive than from
the other promotion mix elements. Personal selling and direct marketing do not apply by this
University, because it is difficult to get individuals and convince them.
Item 5. What is the reason behind your answer for question number 4?
Majority of the respondents provide their reasons for advertising as the following:
Advertising builds up a long- term image in the minds of the respondent
Most of the time it is dramatically (TV) due to this it can easily convince them
Repeatability in its nature
The messages are prepared by the University and media is also selected by the University, due to
this the information has believability on the students.
Reasons for those who answer publicity were:
It is transmitted in the form of news
It uses publication like, annual report, articles, printed and online newsletter and magazines
The University also participates in conferences, seminars, exhibits etc., by observing and other
reasons the respondents were easily induced by publicity.

33
 Table 4. 2 Level of Promise (Keeping Promise)
Item No, of Respondent
respondent in %
6. Does the Yes 25 35.2
University No 46 64.8
promotional Total 71 100
practice and actual
offer are the same?

The above table shows that, 35.2% of the students said the university promotional practice and
actual offering are the same, where as 64.8% of the students said the University’s promotional
practice and actual offering have difference.
Table 4. 3 the Extent that differ Promotion of the University and actual offering
No, of respondent
Item Respondents in %
Very high 0 0
7. If your answer for High 18 25.4
question number 6 is Medium 29 40.8
no, to what extent they Low 16 22.5
differ? Very low 8 11.3
Total 71 100
From the above table (table 4.3) No respondents said that the University promotional practice
and actual service offering have very high difference, 25.4% have high difference, 40.8% said
have medium difference, 22.5% said have low difference and the remaining 11.3% said they
have very low difference.
The researcher concludes that the University ‘promotional activities and actual service offer have
a medium difference. In addition to the students response, the academic vice dean also supports
this statements. Actual service offers is less than by 25% of what they promote by the University.
But from marketing point of view promotional practice of one company must be equal to actual
offerings.

34
 Types of Advertising Media
70
60
50 60.6
40
30
20
10 19.7 15.5 4.2 0
0
Types of TV Radio Newspaper Magazine Direct mail
Advertising
Media

Figure 4.5 Types of Advertising used by the University

Figure 4.4 show that the university used more of TV for advertising its service. Because
majority of the respondents (60.6%) said that the university is more focusing on TV and
followed by Radio, Newspaper, and Magazine (19.7%, 15.5% and 4.2%) respectively. No
respondent gave response direct mail that means the University do not use direct mail to sell its
service.
Generally speaking, from the above data analysis most of the time the University use TV, Radio
and Newspaper to promote their service. Media planners choose among the media categories by
considering target audience, product, message and cost.
The University also applies these categories.
Table 4.4Acceptability of Promotion
Item No, of Respondents in
respondents %
9. How do you rate the acceptance of the Excellent 1 1.4
promotional practice of the university? Very good 12 16.9
Good 34 47.9
Low 24 33.8
Very low 0 0
Total 71 100
As shown in the above table, 1.4% of the respondent said acceptability of the promotion is
excellent, 16.9%very good, 47.9% good, 33.8% low and no number of respondents said very
low.
35
So, from the above result one can understand that the acceptability of promotional practice of the
university is below an average.
Table 4. 5 Sales Promotion
Categories Number Respondent in
of %
respondent
10. Does the university provide premium Yes 13 18.3
offer for students? No 58 81.7
Total 71 100
12. To what extent the University price is Very high 17 23.9
affordable to you? High 15 21.2
Medium 35 49.3
Low 2 2.8
Very low 2 2.8
Total 71 100
In reply to the premium offer in the table depicts that 18.3%of the respondents said that yes (they
have been getting premium from the University), whereas 81.7% of the respondents said that no.
This result implies that majority of the respondents did not get premium (bonus) from the
university. The university was not using premium as communication, incentives, invitation. In
contrast to Kotler and Armstrong point out that the distinctive benefit of sales promotion are
communication, incentive and invitation.
In response to question 11(open ended) ‗if your answer for question 10 is yes, what type
premium you were getting?
Some of the respondents get premium like T-shirt, free medical service for one member the
family (the respondent), provides discount, half payment, gives free scholars etc. the University
was trying to apply sales promotion but it is not sufficient.
From the above table (table 4.5) in item number 12 the researcher obtained, 23.9% of the
respondents responded the University price affordability is very high (it is inexpensive), 21.2%
said that price affordability of the university are high, 49.3% said medium, 2.8%of the
respondent said low, while 2.8% of the respondents said the University. Price affordability to the
student is very low (more expensive).
Therefore, from the above analysis one can understand that the university price affordability is

36
medium, that means the tuition fees of the University is medium (considers both the rich and
poor) and the university is advantageous through price off.
In other words the University was promoted their service by price deduction.

Reputation of the University

No idea
Very famous
11%
28%
Little popular
20%
Moderately
Known
41%

Figure 4. 6 Service Reputation of the University

The students‘ response for figure 4.5, which states ‗service reputation of the university‘ shows
that only 11% of the students replied that ‘No idea‘ where as the remaining 28%, 41%, 20% of
the respondents said that the service of the university is very famous, moderately known and
little popular respectively.
Therefore, this result implies that the University is moderately known as compared to other
University. Found in Ethiopia.
Table 4. 6The Extent of Communication to Reach Identifiable Target Customers
Item Respondents Respondents
in number in %
14.The extent to which communication Excellent 4 5.6
coverage by the company to reach an Very good 31 43.3
identifiable target customer can be rated as Good 35 49.3
Poor 1 1.4
very poor 0 0
Total 71 100
Table 4.6 depicts that 5.6% of the respondent said that the extent of communication coverage to
reach identifiable target customer is excellent, 43.7% said very good, 49.3% said good, 1.4%
said poor and no respondent said the extent of communication is very poor.
37
This implies that the university communication coverage to reach identifiable target customer is
good (medium). The target audience is critical influence on the communicator‘s decision about
what to say, how to say, when to say, where to say it, and to whom to say it (Kotler, 2000). But
the university has some problems in identified the target audience.
Table 4. 7 Competition Campaign of the University
Categories Respondent Respondents
in number in%
15. Does the university promote the service Yes 29 41
frequently? No 42 59
Total 71 100
16. Have you ever compared the promotion Yes 44 62
campaign of other university with the University No 27 38
you attend? Total 71 100
17. The difference you observe from other Yes 10 14
competitors, do you expect it takes you away No 61 86
from using the service in the long run? Total 71 100

Table.4.7 Shows competition campaign of the promotion messages of the University,

accordingly, as it can be indicated in the above table (4.7) item number 15, which states that
‖Does the university promote its service frequently‖, depicts that 40.8% of the respondent yes,
where as 59.2% the university did not promote their service frequently.
This result implies that the University did not promote their service frequently. Furthermore, the
same result with the questionnaires is found from the head of Administration and Personnel
interview. He said that ―we promote our service on seasonable base‖. Example, they promote in
September, January, and July.
On the other hand, in response to item number 16 as shown in the above table which deals with
―comparing the promotion campaign with other university ― replied by 62%of the respondent
were compared the promotion campaign of other Universities, where as 38% of respondent were
not compared the promotion practice of other University.
In reply to item number 17, this concerns ―Do you expect it takes you away from using the
service in the future‖, 14% of respondent expressed that they will be leave the University and the

38
remaining majority (86%) of the respondent proceeds‘ their education.
Hence, from this result we can deduce that majority of the respondent were compared the
promotion campaign of other universities, but they did not decide to take away from the
University, this implies that the students did not believe in promotion rather in quality of service.
Table 4.8 The Worthiness and Necessity of Promotion at this Economic Stage
Item Respondents Respondents
in number in%
18. Is promotion worth and necessary for Yes 32 45
the business community and the society No 10 14
at this economic stage of the country? No 29 41
idea
Total 71 100
The above table 4.8 shows, the worthiness and necessity of promotion at this economic stage,
45% of the students said promotion is highly required, 14% said promotion is not needed at this
stage, the remaining 41% said ―NO IDEA‖.
From this result promotion is worthy and necessary even our economy is not developed. Even
though promotion is at infant stage it plays social, business and economic roles in our country.
Table 4. 9 Promotional Problems

Item Respondent Respondents

in number in %
19. Do you observe promotional problems in the Yes 49 69
university? No 22 31
Total 71 100

Table 4.9 shows about the promotional problems of the u niversity. Accordingly, 69% of the
respondent responded that the University promotional practice have a problem and the
remaining, 31% said the University have not any problems in their promotional practice.
This shows that, the University. Has a problem in their promotion activity. We can associate the
reason from the interview result; the University has not any formal promotion plan as well as it
have a problem in assessing the implemented promotion plan.

39
Table 4.10 Respondents view about the Messages
This part of the analysis focuses on the views of the respondents about the contents of the
promotion messages that transmitted through various media channels and promotion mix
elements (see appendix A).
Table 4.10 Respondents view about the Messages
The messages Yes in no Yes in% No in no No in%
1 35 49.3 36 50.7
2 34 47.8 37 52.2
3 40 56.3 31 43.7
4 34 47.8 37 52.2
5 29 40.8 42 59.2
6 25 35.2 46 64.8
7 19 26.7 52 73.3
8 31 43.7 40 56.3
9 41 57.7 30 42.3
10 28 39.4 43 60.6
11 47 66.2 24 33.8
From the total size of the respondents 49.3% replied that they are usually attracted by the
messages while 51.7% expressed their view about the deficiency with attractive component of
the message. This implies that the message which is transmitted by the University’s ‘lacked
attractiveness.
Whether they are attractive or not the promotion messages have been found convincing by
47.8% of the total respondents, the remaining 52.2% of the total respondents the message did not
convince them. The reason why the respondents agree less is assumed to be the critical and
analytical thinking and attitude of the students who may be more challenging to convince them
through simple and unsophisticated contents of the message.
About the clarity and understanding of the massage again 56.3% of the respondents believe that
the messages are clear and understandable enough whereas the remaining 43.7% said not clear
and difficult to understand.
Concerning the appealing of the message 47.8% of the total respondents said the message is
appealing and 52.2% of the total respondents said the message is not appealing (the message did

40
not draw favorable attention).
Regarding the psychological imposing power of the message 26.7% of the respondents said the
message is imposing them. But the majority of the respondents (73.3%) respond the message
lacks psychological imposing power.
Concerning the motivating variable of the promotion message 40.8% of the total respondents
describes it as motivating to use the service of the University (to join in this University)
About flexibility /dynamic nature of the message 35.2% of the total respondents said the
message is flexible (changeable) while the remaining majority of the respondents (64.8%) said
the message which is transmitted by different promotional mix is not flexible.
The other item shown in the table is, are the message frequently updated, 43.7% of the total
respondents responds that the message is frequently updated, whereas 56.3 of the respondents
said that the message is not frequently updated. Once the message is prepared it stays for a long
period of time even if the situation is changed.
In response to the other content of the message ―Artistic― in its nature, as indicated in the
above table 57.7% said the message is really artistic and 42.3% said the message lacks artistic
nature.
The other item in the table above shown is the credibility of the message, 39.4% of the
respondents said the message which is transmitted by the media channel is believable and 60.6%
of the respondents said the message is difficult to believe. Concerning ethical nature of the
message 66.2% the respondent said the message is ethical, while 33.8% said the message is not
ethical.
As one can see from the above table in general, we can deduce that the message which is
transmitted by the University is not as such attractive, neither convincing nor it is appealing. As
well as the message has not psychological imposing power, due to this it doesn‘t motivate
students to join the promotion messages of the University. It is also difficult to believe but it is
ethical (The promotion messages of the University’s message are not harming anybody in the
industry and it care to the environment).
4.2 Presentation and Analysis of the Interview Data
This section presents the replies found from the interview on promotional practice. The interview
was presented to the head of administration and personnel of Admas’s University. And the
interview was semi structured.
41
Type of promotion mix element
For this question the interviewees have common view, most of the time, the university uses
advertising, publicity, and sales promotion. The reason for selecting these promotion mix
elements are:
Advertising
Advertising reaches ‘geographical disperse customers
Advertising is cost effective way to disseminating the message per exposure
Publicity
It builds image on the customers
More credible
Having low (zero) cost
The ability to reach specific groups
Sales Promotion
Some customers believe in incentives, it is to attract them.
Primary objective of the promotion campaign
When the interviewees answer this question, the primary objective of the University’s
‘promotional activity is to inform (providing information about their service), increase demand,
differentiate their service, to build good image and to attract a competitor‘s product users
through direct or indirect means.
Formal promotion plan
Both of the interviewees said that they had not promotional plan but they did their activity by
experience. In contrast to the review of related literature, as Kotler (2000) points out, there are
eight steps to be followed in developing an effective marketing communication (promotion)
program as follows: Identifying the targeting audience, Determine the communication objective,
Designing the message, Selecting communication channel, Establishing the promotion budget,
Developing and managing the promotion mix, Measuring results and Managing the integrated
marketing communication process.
Therefore, the university had a problem in developing such kind of effective promotion it is for
the reason that, they had a problem in identifying what to include and exclude when they develop
promotion program.

42
Considering issues in developing promotion mix
In response to this question, the interviewees replied that the promotion messages of the
University consider many things like: Buyers-readiness to use the service, Targeted audience,
Cost, Geographical reachable, Competitors, The service quality
The University considers the main things which require choosing the promotion mix element.
Customers (students) reaction towards the promotion practice
The interviewees replied that it is difficult to distinguish whether customers are attracted by the
promotion practice, quality of the service or other factors. Even though it is difficult to conclude
the customer reaction towards the university promotion is good or bad, it is somewhat good. For
the reason that still there is no complaint from the students or other customers towards the
promotion practice of the University. And the numbers of students are increasing. Therefore,
customers ‘reaction to toward promotion is good.
Setting Promotional Budget
The answers for this question were different among the interviewees; Admas University uses
objective-and-task method. The University develops promotion by defining specific objectives,
and the task to be performed after that the cost will be estimated.
On the other hand, Admas’s University uses both competitive-party method and objective-and
task methods. The University uses competitive-party method to prevent from promotion wars.
As the officials said the University Spent up to 600,000 to 900,000 annually each for
promotion. The University uses different promotion mixes to promote their service, the main
objectives of the University were to inform, persuade, and increase the number of students.
From this point of view the University was using objective-and task method and competitive
party method. The selectivity strategy of the University was effective, because percentage of
sales and affordability methods are not as such an important for service organization.
Constraints (problems) related to promotion
In reply to this question, the interviewees agreed as there are some problems like:
Hesitation in choosing printing Medias because they said that ―we are free from any politics‖
but most of the Medias criticize government bodies and others. Due to that some customers may
associate the university whether it is government supporters or antigovernment. So we hesitate in
choosing the media‖.
Cost related problems. The promotion cost is also another problem especial advertising i.e. TV.
43
Its cost is 184 ETB per second including VAT.
They further explains in the interview that, It is difficult to alleviate those problems but they can
reduce by(1) choosing printing medias that do not criticize (have not any involvement in politics)
like, medical newspaper , love magazines (2) for cost related problems they tried to use other
alternatives medias like FM Radio, magazines etc.
4.3 Evaluating the effectiveness of promotion
Concerning the evaluation of the effectiveness of promotion, the University testified that, they
evaluate whether the number of students is increasing or not, asking students whether they liked
or not, including other people from the field. After assessing those and other things they took
adjustments in situations where they thought are necessary.
The number of students in the University was increased highly from 2007 to 2008/9 whereas
from 2009/10 to 2011 the number of students was increased at deceasing rate. The reason is that
the ministry of education set country wide criteria for students to join in private promotion
messages of the University and increasing the intake capacity of government universities.
Though, here the University is trying to evaluate the effectiveness of promotion, it not sufficient.
Supporting this issue from the review of related literature, In evaluating the effectiveness
promotion, members of the target audience have to be asked whether they recognize or recall the
message, how many times they see it, what points they recall, how they feel about the message,
and their pervious and current attitude towards the product and the company (Kotler, 2006).
Therefore, one can conclude that the promotion messages of the University failed to meet these
criteria in evaluating the effectiveness with the exception of increments on sells merely.
4.3.1 Testing of Hypothesis
According to many scholars including Piskar (2007) hypothesis questions can be provide by An
Explanatory statistics using measure central tendency. However in this research the researcher
used percentage description to test the hypothesis.
Hence, the percentage value above 50% expected to support the hypothesis.
H0: promotion has effect on the University’s performance
H1: promotion has no effect on the University’s performance
H0.The message (content) delivered through the media to the students has achieved its objectives
H1. The message (content) delivered through the media to the students has not achieved its
objectives
44
The hypothesis tested through a number of question that contains item related to promotion and
its effect, which includes, the reason to choose the University was other factors (17% of the
respondents were responded promotion), the source of information for the students were not
promotion practice of the promotion messages of the University, but other factors like friends,
families and others. The level of promise keeping (promotion practice and actual offering) also
has difference i.e. 65%. However, the review of related literature stated that promotion has
effects on performance of an organization example increase demand, improved brand
recognition, improve market share and educate (inform) the market. So the first hypothesis is
rejected because promotion has not significant effect on these two promotion messages of the
University (above 50% of the respondents were responding negatively), but the students were
selected this University by other marketing mixed elements.
The other hypothesis was also hypothesized that, the message (content) delivered to the students
were not achieved the intended objectives. Hence, out of the eleven message contents eight of
them were reopened negatively. The primary objectives of the message were to inform, persuade
and remind, but the message were not convincing, appealing, motivating to use and lacks
believability. So the second hypothesis is rejected. This implies that the message does not
include the intended variables to inform, persuade and remind the students while choosing the
respective University.
Moreover, the hypothesis has also tested using the following Chi-Square formula:

( f  f )
x2  0 e 2
, Where: x2=Chi-Square f0=observed frequency. fe= expected

fe frequency
If the calculated x2value is greater than x2table value, the null hypothesis would be rejected.

45
 Table 4.11 Result of Chi-Square statistical test
Item x2 Df Significant at P<=5%
13.520 1 0.325
Effect of promotion performance on University

Message content 0.352 1 0.221

H0: promotion has effect on the University’s performance

H1: promotion has no effect on the University’s performance
With the help of statistical test, using Chi-square test the first hypothesis that promotion has an
effect of the promotion messages of the University performance is rejected at 5% level of
significant.
H0.The message (content) delivered through the media to the students has achieved its objectives
H1. The message (content) delivered through the media to the students has not achieved its
objectives
The second hypothesis has also rejected the null hypothesis at 5% level of significant. The result
from statistical test fails to support both hypotheses.
More discussion as the paper was emended on only one university that is Admas s University
there is no need of comparisons
As I concluded from the paper the university has a promotional problem when compare with
competitive parties, university does not advertise its service frequently compare to others
Promotion worth and necessary for the business community and the society at this economic stage of the
country.
The extent to which communication coverage by the company to reach an
Identifiable target customer can be rated as good.
The extent the University price is affordable to students was medium among the rates
The university’s promotional practice and actual offer is not the same as observed from the
research
As respondents point of view the university’s quality of service is very good.

46
 CHAPTER FIVE
5. SUMMARY, CONCLUSION AND RECOMMENDATION
This chapter deals with summary, conclusion and recommendations. In this chapter first, a
summary of the study was presented. Second, conclusions of the major findings are drawn.
Lastly, some possible recommendations are forwarded on the basis of the conclusion.
5.1 Summary
The purpose of this study was to evaluate the promotional practice of private University in the
case of Admas’s University. In order to achieve this purpose, the following basic questions were
set:
What kinds of promotion mix are applicable and found effective in the University?
How effective is the present promotional practice for the performance of the University?
How do the customers (students) perceive the message transmitted by the University?
The data were gathered mainly through questionnaire and interview from the respondents of the
study. The data obtained from questionnaires were analyzed in percentages.
The result of the findings indicates that the highest percentage (30.9%) of the respondent, the
reason to choose the University were the quality of service they provide and followed by
proximity to their residence. Most of the students the source of information (first motivator) to
join the University were their friends.
The analysis of the data disclosed that the most persuasive promotion mix was advertising and
publicity. On the other hand, the University’s ‘promotional activities and actual offering was not
the same, i.e. 40.8% of the respondents were responding as they have medium different between
the actual service and promotional practice.
Most of the time the promotion messages of the University uses TV and Radio to promote the
service. Though, their acceptability was below an average.
Regarding the sales promotion, 81.7% the respondents were not getting premium (prize) but the
price affordability of the University were found medium, which leads to the conclusion that the
promotion messages of the University are promoting their service by price off.
The University’s ‘promotional activities, communication coverage to reach an identifiable target
audience (customers) were good. On the other hand the University. Do not promote their service
frequently, rather on the seasonable base. Most of the students were compared promotion

47
campaign of other Universities but they did not give value.
The University Had not formal promotion plan and worked by experience. They were using
objective- and task and competitive party methods to establish the promotion budget. As result,
they face problems like hesitation in choosing Medias and the Medias were costly. The
University was evaluating their effectiveness only by sells increment.
The results on the quality of the messages were not as such good. Even if the messages were
clear and understandable, artistic and ethical, most quality of the messages was responded
negatively.
5.2 Conclusions
The study was carried out to evaluate promotional practice of private University in the case of
Admas’s University; to achieve this study; the following specific objectives have been designed.
To identify the kinds of promotion mix which are applying in the University
To evaluate the promotional effort of the University
To show how effective the promotional practice of the University is.
To examine how the students (customers) perceive about the promotion messages of the
University.
In order to attain these objectives, relevant data were gathered through questionnaire and
interview from 71 students and two management official respectively. The data were analyzed
with the aid of descriptive statistics (percentage). Based on the discussion of the data, the
following conclusions were drawn:
Although the University spends thousands of birr for promotion, the students choose the
University. By other factors i.e. quality of service (30.9%) and proximity to their residence
(21%). Besides the source of information to join the University was friends (word of mouth)
(42%) and family. Thus, it can be concluded that the promotion activity of the University did not
achieve the intended objectives. So, the first hypothesis is rejected as the results from the chi-
square statistical test and respondents indicate below an average.
The message launched through any promotion mix (promotional media) outlets makeup equal
sometimes greater part of any promotion program that is intended to meet the planned objectives.
This fact is given applied when it comes to commercial promotion programs where the capability
of the messages to attract, convince and appeal (49%,47.8%& 47% respectively) to the sense of
the target audiences mean a determinant thing to inform, persuade and remind customers.
48
Though, the University ‘messages were not achieve its objective and this also rejects the second
hypothesis.
Finally, the university uses advertising, publicity and sales promotion to promote their service.
But they have problems in designing the messages, communication coverage to reach an
identifying targeted customer and in evaluating the effectiveness of their investment. The
University also promote the service what they do not have, this may be risky to future because
customers will be disappointed and they may be bad referrals.
5.3 Suggestions/Recommendation
Based on the major findings of the study and the conclusions drawn above, the following
recommendations are made.
From the finding it was observed that the reasons for majority of the students to choose those
University. Were found to be the quality of the service and proximity to their residence. This
implies that the promotion activity of the University. Did not attend its objective. Therefore, it is
important to recommend that the University. Should reduce their promotion cost to compromise
the quality and price of the service so as to attract the students.
The result of the study shows that there was a difference between the promotion activity and
actual service offering. Hence, the University must promote the service what they have (must
avoid exaggeration) besides the University. Should keep their promise in the actual service
offering and this University. Must provide some incentives for their students, because sales
promotion has direct relation with word of mouth.
Furthermore the University should conduct Marketing research to identify promotional activity
related problems and other things that have direct or indirect influence on their marketing
activities.
Regarding to the message, it is necessary to remark the University to work aggressively to
maintain positively the identified quality of promotion message, which refers to clarity, artistic
and ethical on the other hand, to solve problems in relation to the attractiveness, convincing,
appealing, and flexibility, updating the message, credibility and imposing variables of the
message. Therefore, the University. Must evaluate the designed message before implementing
and the University also prepare promotional plan and hire marketing personnel to solve the
problems.
Finally, it is recommended that the promotion activities must be coordinated with product
49
planning, price and distribution. It is so because promotion may influence, by the uniqueness of
the product and price competition. So, promotion must go in line with the other marketing mix
element

50
REFERENCES
Abiy Zegeye, Alemayohu Werku, Daniel Tefera, Melese Getu and Yilma Sileshi.(2009).
Introduction to Research methods, Addis Ababa University
Diceman J.(2001) education instead of persuation: a new strategy for improving the ethics of
marketing.
.Education statistics Annual Abstract 2001 E.C. (2008-2009 G.C.)
.Engel J, Warshaw M & Kinnear T (19991) Promotion Strategy: managing the marketing
communication process 7th edition ISBN 0-256-08204-9 George E, Belch & Michael A. Belch
(1990). Introduction to advertising and promotion Management, ISBN 0-256-07972-2.
(2005 Introduction to advertising and promotion Management
Higher Education Relevance and Quality Agency (HERQA) Annual Report of2010
.John W. Creswell, (2007), Research design: Qualitative, quantitative and mixed
methods Approaches 3rd edition. Thousand oaks, California.
.Kotler, P. (1984). Marketing Management, analysis, planning, control: 5th edition. Prentice hall
. (1996).Principles of Marketing.7th Edition: Englewood cliffs prentice hall.
.(2000).Marketing Management, Millennium edition,(upper sadly river, NG: prentice Hall)
ISBN: 0-13-012217-3 .
. (2003). Marketing Management 7 th edition: Prentice hall. (2006). Marketing management 12 th
edition prentice hall, ISBN- 10:0131457578.
.Kotler,P. and Armstrong ,G.(1990). Marketing: an introduction 2 nd edition
Englewood Cliffs,NJ: Prentice hall.
. (2005). Principles of Marketing 11th Ed. Prentice-Hall of India, New Delhi.
.Kotler,P. and Turner,R.(1981). Marketing Management, analysis, planning and
control, prentice Hall Canada INC, SCARBOROUGH, ONTARIO.
.Louis E. Boone & David L. Kurtz (2007) principles of marketing 12th edition
Cengage learning. India pvt .ltd
.Malhotra,N.(2004). Marketing research: an applied orientation. New jersey: Pearson
Education.
.Palmer, A. (2004). Introduction to marketing 1st edition, Oxford University press
New York

51
 APPENDEX A
MBA Program
Questionnaires to be filled by students
Dear student:
With this questionnaire, the researcher intends to assess the promotional practice of private
University Hence, knowing that your responses will be used only for research purpose; you are
kindly requested to fill out this questionnaire.
For genuinely doing so by devoting your time and effort, the researcher really remains very
grateful to you, meanwhile, he wishes to bring in to your attention that the outcomes of this study
will highly depend up on your responsible, sincere and timely response.
Thank you in advance for your cooperation.
General Information:
No need of writing your name.
Please fill in the information carefully by putting tick mark (√) in the box of your choice.
Please give more attention and return the completed questionnaire on time.
Personal Information
Sex: Male  Female 
Educational level
Certificate Degree  Diploma  Others 

Age: From 18-25  26-35 

36-45  above 45 
University
Entry Year______________
What is your reason for choosing the university you are attending now?
Reasonable price 
Proximity to your residence 
Good image 
Promotional practice 
Quality of service 
If there are others, please specify________________________

52
How do you rate the quality of the University’ service?
Excellent Good  Very bad 
Very good  bad 
How do you get the information to join the University?
From friends  suddenly by the University’s promotion 
Family  If other specify
If your answer for question no, 3 is suddenly by the University’s promotion activities, how was
it? ________________________________________________
Among the promotion mix which is used by the university, which one is persuasive to you?
Personal Selling  Advertising  Publicity 
Sales Promotion  Direct Marketing 
What is the reason behind your answer for question No 4

Do the university promotional activities and actual service offered are the same? Yes 
No 
If your answer for question no 6 is no, to what extent they differ?
Very high High  Medium Low  Very low 
What type of advertising medium used by the university? (You can choose more than one)
TV Radio Newspaper 
Magazine  Direct mail 
How do rate the acceptance of the promotional practice of the university?
Excellent  Very good  Good 
Low  Very low 
Does the university provide premium offer for customers (students)?
Yes  No 
If your answer for question no 10 is yes, what type of premium you are getting?

53
To what extent the university price is affordable to you?
Very high  High  Medium 
Low  Very Low 
How well do you think the university services are known relatively with other Universities?
Providing the same service?
Very Famous  little popular 
Moderately known  No idea 
Does the university promote the service frequently?
Yes  No 
As far as the transmission of chosen message using various promotional tools is concerned, the
extent to which communication coverage by the company to reach an identifiable target
customer can be rated as
Excellent  Very good  Good 
Poor  Very poor 
Have you ever compared the promotional campaign of other firms in the same industry with that
of the university you attend?
Yes  No 
The difference you observed from other competitors, do you expect it takes you away from using
the service in the long run (future)?
Yes  No 
From marketing point of view, is promotion worth and necessary for the business community
and the society at this economic stage of the country?
Yes  No  No idea 
Do you observe promotional problems in the university?
Yes  No 
Please, indicate your response by using ‗Yes ‘or ‗No‘for the promotional mix (the messages)
which is transmitted by the university?

54
No The Messages Yes No
1 Are Attractive
2 Are Convincing
3 Are Clear and Understandable
4 Are Appealing
5 Are Motivating to use the service
6 Are Flexible/dynamic
7 Are Psychologically imposing
8 Are Frequently updated
9 Are Artistic
10 Are Believable
11 Are Ethical

55
 APPENDEX B
School of Business Management
MBA Program
Interview Questions
This is an interview designed to gather information on the promotional practice of private
University the case of Admas University.
The management bodies of the University were the interviewees.
Genuine and complete responses by each interviewee are highly helpful to make the findings of
the study reliable.
Thank you
Part one: Personal information
Sex_________
Name of the university_________
Position____________
Qualification ____________________
Year of service _____________________
Part two: The interview
What types of promotional mix elements are used to promote your service?

Why did you select this

Are there any stated promotional objectives? Or why do you undertaken promotional activities?
1
Do you have formal promotional plan? If yes what does it incorporate?

What do you consider in developing your promotional mix?

What is the customers ‘reaction to the University’s promotional activities?

56
What is your approach to establish (set) the overall promotional budget of the year?
______________________________________
Are there any constraints (problems/associated with your promotional practice?
If yes, how did you overcome (alleviate) them?

How do you evaluate the effectiveness of promotion in your university?

57