The Effectiveness Of Integrated Marketing Communication For High . - PBR
Pacific Business Review InternationalVolume 11 Issue 4, October 2018The Effectiveness of Integrated Marketing Communicationfor High Involvement Product Purchase Decision: In Caseof University of Gondar Employees.Dr. Gashaw TibebeAbstractAssistant ProfessorDepartment of Marketing ManagementCollege of Business and EconomicsUniversity of Gondar, EthiopiaThis research aimed to assess the effectiveness of integrated marketingcommunication for high involvement product purchase decision thecase of Gondar university employees with the intention adding someknowledge to the area of study since this thematic area is still novice inEthiopian context. To be at this end, the researcher employedquantitative approach of descriptive research design to providenumerical results which enables to measure variables in the study andalso to test the research hypothesis for better prediction of the result aswell. At the same time stratified random sampling techniques was usedto determine the sample population for the study accordingly, theprimary data was gathered from the 362 sample population throughstructured survey type closed ended Likert format questionnairewhereas, the secondary data for this study was collected throughcritical review of published and unpublished documents related withthe research problem. Thus, the collected data using both sources wereanalyzed through descriptive and inferential statistics along withstructural equation model to test the research hypothesis. The resultshowed that word of mouth, personal selling and advertisement aresignificantly effective for high involvement product purchase decisionof the consumer. As a result, the researcher recommends the consumerto focus on this significant communication tools as integrated whilethey decide to purchase high involvement product.Tigist AyenewLecturerDepartment of Hotel ManagementCollege of Business and EconomicsUniversity of Gondar, EthiopiaKeywords: Integrated Marketing Communication, PurchaseDecision, Effectiveness, High-Involvement.IntroductionBackground of the StudyThe need and appearance of promotion have been increasingdramatically due to its effectiveness in creating a communicationbetween a seller and a potential buyer or others in the channel toinfluence attitudes and behavior (Wong et al., 2005). Today, thispromotion aspect of the marketing mix elements has becomesophisticated and being a general name for all promotional tools whichare called Integrated Marketing Communication (IMC). It is definedas, the process of integrating all marketing communication activities ina manner of synergy in order to derive the greatest enhancement andcoherence of marketing communication effort at a time of transactionsbetween the organization and its consumer (Pickton & Broderick,2005).www.pbr.co.in17
Pacific Business Review InternationalThe move towards IMC is one of the most significantmarketing developments that occurred during the 1990s;nowadays it is growing daily and continues in advance(Joseph, 2009). IMC tools are becoming more elaborate into many forms, however, the focus of this study is on themost well-known communication elements includes:(Advertising, Sales Promotion, Publicity/Public Relations,Personal Selling, and Direct marketing) as a majorpromotional-mix element that marketers use tocommunicate with their target markets, (Belch & Belch,2003).In consideration with high involvement products, thedependent variable is finally going to be defined as when aperson's have high level of participation in the processes ofsearching information or anticipates the product purchase,that have a personal relation and there is a high risk about it(Ghafelehbashi et al., 2011).Accordingly, integrating communication elements wouldbenefits both the organization and the consumer, for thefirm, IMC is effective in order to avoid duplication, takeadvantage of synergy among promotional tools, anddevelop more efficient and effective marketingcommunications programs and it is one of the easiest waysfor a company to maximize the return on its investment inmarketing and promotion (Belch &Belch, 2003).The effectiveness of IMC is therefore depending on howwell marketers achieve an organization's marketing goaland how satisfied the customers are with the products andservices (Thong, 2010). Even though, a few studies havebeen showed the effectiveness of IMC, however, it is in theinfant stage particularly in Ethiopia. Therefore, additionalinvestigation related to this area is really needed whichinspired the researcher to carry out this paper.Statement of the ProblemAbove all, customers need information about thefeatures of the product or service, its price and howthey can access it, to make informed purchase decision.Thus, if customers are able to get the necessaryinformation about the product timely and adequately,they may feel that they are buying a product or servicethat can fulfill their needs. This means having good andeffective communication channels adds value to theproduct or service of the company also adds value to thecustomers because they have confidence on their purchase(Potluri, 2008).Even more, when the customers are decides to purchasesome products and service; they are involving in searchinginformation according to the nature of the products(Ghafelehbashi et al., 2011). Their Involvement is also18measured by level of consumer engagement and theiractive processing in evaluating promotional tools about theproducts and services (Keller & Kotler , 2006), which isfurther grouped in to two, high involvement and lowinvolvement products.The concept of low involvement product is that anindividual frequently purchases the product with lesscontemplation and effort, not a major impact on theirexpenses, lifestyle and self-concept, normally low-pricedwhereas, high involvement products on the other hand mayhave different meanings for people with different culturalbackgrounds or economic condition of a specific country(Emert, 2015). For instance, a product which may beconsidered as high involvement in Ethiopia may not be inthe United States of America as a result of difference ineconomy and other factors.Moreover, high involvement products, takes into account alot of assessment by the consumers as they are highlypriced and also reflect a major deal for one's lifestyle, selfconcept and consumers want their products to be durableand reliable to compensate the price paid for it. And themarketers should also offer the similar strategy thoughattracting their customers to purchase high involvementproducts (Subhani et al., 2012).Consequently, the focus of this research is mainly on highinvolvement products on which a person anticipates thepurchase that have a personal relation to it, having highprice, complex feature and there is a high risk about it forinstance, such products include computers, refrigerators,washing machines, TVs, music system, cars, DVDs, arevaluable items which purchase rarely and create manyinvolvements as stated by (Ghafelehbashi et al., 2011), healso stated that high involvement cause persons to achievemotivation for information processing and comparingdifferent items.As a result, the researcher is believed that the effectivenessof IMC tools determine the consumer purchase decision onhigh involvement product than low involvement product.Among those products, TVs, Refrigerators and Smartphones are the focus of this study as a common highinvolvement product.Therefore, due to the above listed product featuresconsumer may need to evaluate more than singlepromotional tool which leads them whether intentionallyor unintentionally applying the concept of integratedmarketing communication in their purchase decision. But itis true that all integrated marketing communication toolswill not be equally valuable for consumer purchasedecision of high involvement products. Thus, theeffectiveness of integrated marketing communicationwww.pbr.co.in
Volume 11 Issue 4, October 2018become highly important for the customer highinvolvement product purchase decision and it needs to beinvestigated more.Therefore, to add some value to the existing knowledge,this study investigates the performance or the effectivenessof IMC on high involvement products from consumerspurchase decision perspectives in UOG employees.Objective of the StudyThe general objective of this paper is delimited oninvestigating the effectiveness of Integrated MarketingCommunication on high involvement products purchasedecision.More specifically the researcher attempt to;Assess the Effectiveness of Advertising on highinvolvement products purchase decision.Explore the Effectiveness of personal selling on highinvolvement products purchase decision.Examine the Effectiveness of direct marketing on highinvolvement products purchase decision.Evaluate the effectiveness sales promotion on highinvolvement products purchase decision.Investigate the effectiveness of word of mouthcommunication on high involvement products purchasedecision.Examine the effectiveness of public relation on highinvolvement product purchase decisionResearch HypothesisAdvertising has a positive effect on high involvementproducts purchase decision.Personal Selling has a positive effect on high involvementproducts purchase decision.Direct Marketing has a positive effect on high involvementproducts purchase decision.Sales Promotion has a positive effect on high involvementproducts purchase decision.Word of mouth communication has a positive effect onhigh involvement products purchase decision.circumstance (Omotayo, 2012). And it is an interestingconcept and becomes well known in today's world and itssignificance is more appreciated. Due to the fast pace oftechnological innovations, IMC is going to be a verydynamic discipline (Porcu et al., 2012). As Pickton andBroderick (2005), indicated that by integrating a range ofpromotional mix elements so that they work in harmony orsynergy with each other, opportunities are created toimprove the effectiveness of the total marketingcommunications effort.Specifically, Schimp (2000), summarized facts of IMC as;it affects behavior with the use of any or all forms ofcontents as well as achieving synergy and buildsrelationship within the company and the customers.Integrated Marketing Communication (IMC) defined as itis a term that was developed mainly to address the need forbusinesses to offer clients more than just standardadvertising. (Muhanji & Ngari, 2015). He also mentionedthat IMC recommends that marketers focus at the customerfirst his or her preferences, buying patterns, mediaexposure, and other factors and then customer is exposed tothe products that fits its need through mix ofcommunication methods which the customer find moreattractive and credible.IMC is focuses on the coordination of all the elements ofmarketing communications to achieve synergy andconsistency. The emphasis is on the effective delivery ofoutbound communication activities in order to achieve 'onesight, one sound' in the overall IMC program (Kliatchko,2008).IMC ToolsThe integrated marketing communications mix consists of,but is not limited to, the five major modes ofcommunication: advertising, sales promotion, publicrelations and publicity, personal selling and directmarketing (Kaijansinkko, 2003).Advertising is one of the most widely used communicationtools and it is Well known by its Pervasiveness and nonpersonal in nature, It is important promotional tool,particularly for companies whose products andservices are targeted at mass consumer markets(Omotayo, 2012).Integrated Marketing CommunicationDirect marketing is a system of marketing by which anorganization communicates directly with target customersto generate a response or transaction. And its objectives canbe achieved through techniques such as direct mail,telemarketing, hand bills, and Internet (Omotayo, 2012).Recently, the concept of IMC is being treated as a child ofSales promotion is non-personal form of communicationPublic relation has a positive effect on high involvementproducts purchase decision.Review Of Related Literaturewww.pbr.co.in19
Pacific Business Review Internationalthat comprises various marketing techniques that are oftenused tactically to provide added value to an offering suchas, free offers, price deals, premium offers with the aim ofaccelerating sales and gathering marketing information(Fill & Jamieson, 2006) and it is divided in to two broadcategories consumer promotion and trade promotion.Joseph, (2009), defines Personal selling as the Personalpresentation by the firm's sales force for the motive ofmaking sales and building customer relationships. Inaddition, personal selling as an interpersonalcommunication tools which involves face-to-faceactivities undertaken by individuals, often representing anorganization in order to inform, persuade, or remind anindividual or group to take appropriate action this isbasically form companies' sales representative.Organization systematically plans and distributesinformation in an attempt to control and manage its imageand the nature of the publicity it receives, it is reallyengaging in a function known as public relations. Publicrelation is defined as “the management function whichevaluates public attitudes, identifies the policies andprocedures of an individual or organization with the publicinterest, and executes a program of action to earn publicunderstanding and acceptance (Belch & Belch, 2003).Word of mouth (WOM) has been acknowledged for manyyears as a major influence on what people know, feel anddo. It is more influential on, awareness, expectation,perception, attitudes, and has a more emphatic influence onthe purchasing decision than other marketer - controlledsources (Buttle , 1998).IMC EffectivenessSince, integrated marketing communication allowed a twoway of communication, the producers can easilycommunicate with their customers and satisfy theirneeds because by applying integrated marketingcommunication, they can easily measure their promotionalactivity and get feedback from their customers as well(Kemal, 2011).Each element of the promotions mix has differentcapacities to communicate and to achieve differentobjectives. The effectiveness of each tool can be trackedagainst the purchase decision process. Here consumers canbe assumed to move from a state of unawareness throughproduct comprehension to purchase (Fill & Jamieson,2006).This process suggests that the principal task is to movepeople from levels of unawareness to awareness when theyare exposed to marketing communication and throughdeveloping interest and desire, move them to take action –20especially in the form of product purchase (Pickton &Broderick, 2005), in contrast, with the consumer level ofinvolvement, products that usually have a high level ofbuyer involvement the hierarchy appear to follow a ThinkFeel-Do (cognitive, affective and behavior) order. Firstbuyers consider the various aspects of the problem to besolved then they work out a preferred alternative of solvingthe problem and finally they carry out any necessary action.Thus according to the characteristics of variouspromotional tools for instance, advertising and publicrelation are worthy for getting the attention of the customer,personal selling and word of mouth communication aregood in leads the customer desire in to action, whereas,sales promotion and direct marketing on the other handrelatively important tools throughout the entire stage.Consumers Product Purchase Decision InvolvementThe type decision making that consumer use to purchase aproduct does not necessarily remain constant rather itvaries accordance with the product characteristics(McDaniel et al, 2010).Consumer are usually involved with routine, limited aswell as extensive decision making process according to thelevel of involvement (high and low), time to take (short orlong), cost incurs (low or high), information search from(internally, externally or both) and number of alternativeavailable (one, few or many). If consumers make a routinepurchase of good and service, then it is termed as lowinvolvement products because these products are morefamiliar and needs little time to search and low cost topurchase and also there is one or few alternatives available.By contrast, high-involvement decisions carry a higher riskto buyers if they fail, are complex, and/or have high pricetags. A car, a house, and an insurance policy are examples.These items are not purchased often but are relevant andimportant to the buyer. Buyers don't engage in routineresponse behavior when purchasing high-involvementproducts. Instead, consumers engage in what's calledextended problem solving, where they spend a lot of time(Tanner & Raymond, 2010). Also there is a time delay inhigh involvement and complex purchases decision incomparing different aspects such as the features of theproducts, prices, and warranties as an example automobile,personal computers and durables (Rajasekhar & Makesh,2013).Empirical studyAs Kothari, (2004) indicated that empirical research isappropriate when evidence is required that certainvariables affect other variables in some way. It isconsidered to be the most powerful support possible for awww.pbr.co.in
Volume 11 Issue 4, October 2018given hypothesis. For the purpose of this study theeffectiveness of independent variables on the dependentone will be discussed to some extent though analyzingdifferent researches and articles as follows.A study conducted by Ali, (2016) with the objective ofevaluating the Effectiveness of Creative Advertisementsfor High Involvement Products on the basis of Recall,attitude and Purchase intention on cars and car insurance asa high involvement product the of Pakistan thoughexperimental design and quantitative research approach.The result of the study has shown that Ads are moreeffective in causing positive attitude toward Ad and betterAd recall, however, the presence or absence of creativitydidn't have any major impact on willingness to buy orpurchase intention.Cakir and Cetin, (2013) condacted a study on “The Effectsof Word of Mouth Communication on the Consumers'Travel Agency Choices” under descrivitive reserch designand public survey was employed with consumers of atleast 18 years old in Aydin provincial centre and the resultof the study showed that that word-of-mouthcommunication is effective for consumers' travelagencychoices.Chakrabortty et al., (2013), also studied on the Effects ofSales Promotion and Advertising on Consumer's PurchaseBehaviour. The finding of the study showed that salespromotion is most effective on the consumers whowalking around and it can leads the consumer's mind tobrand switching. And also it found as sales promotionand advertising is much more effective in lowinvolvement category products where a simplepromotional activity can lead the consumers to buy aproduct.A review literature conducted by Ström, (2012), relatedwith the value of mobile markeing for consumers andretailers as a direct markting tools with the specificobjective of what is the value of mobile marketing forretail consumers, what is the value of mobile marketingfor retailers, and how can potentials in mobile marketingbe realized by retailers.Banerjee Arijit (2013), carried out a reserch on the Role ofPersonal Selling in Home Insurance in Indian Marketfocuses on urban home owners. The aim of this researchwere to find out whether personal selling is beneficial forhome insurance market and the main reason for whichcustomers are away from home insurance. The result hasbeen drawn as personal selling strategy is the mostbeneficial marketing communication tool that shouldbe incorporated by Indian home insurance firms to increaseclients' patronage, generate higher income and profit.Even if most of the empirical results give an idea on theeffectiveness of each IMC tools, only few of them are seenin relation to high involvement products moreover, as perthe researcher information, there seems few or no researchon the effectiveness of IMC on high involvement productspurchase decision has been done in the case of Ethiopia,specifically in the study area which inspire the researcherto conduct a research.The other main concept in this paper is conceptualframework of the study which links for every single part ofthe research drawn as follows.Conceptual FrameworkFigure 1: Conceptual Frame Work of the StudySource: adapted from (Chansiri , 2009) and modified by the researcherwww.pbr.co.in21
Pacific Business Review InternationalResearch MethodologyThe study has been conducted at the University of Gondar(UoG), Gondar town. University of Gondar established in1954 as a Public Health College and Training Center(PHC&TC) in the historical medieval city of Gondar. UoGhas passed through various levels of developmentregarding its scope, status and the influence it has (UoG,2013). Currently, University of Gondar has over 23,000students both in undergraduate and postgraduate programs,and it organized by a total of 6,696 employees under 1,955academic, 3,745 administrative, 159 Technical andsupportive and 837 health professional staffs.In order to meet the objective of the study, cross-sectionalsurvey types of descriptive research design is framedbecause the researcher is interested in describing theexisting situation under study. As a result, quantitative datacollection methods, such as survey is used to gatherprimary data from the study respondents. Through usingdescriptive research the researcher examine theeffectiveness of IMC in relation to high involvementproducts among University of Gondar employees.Since this study is targeted on quantitative approach,probability sampling techniques were applied to selectrespondents for survey questionnaire by using stratifiedrandom sampling as the target population is finite innumber. According to Yamane, (1967) the sample size isdetermined by using the formulaFinally, from the strata of Meles and GCMS campus thereare a total of 491 and 2448 employees respectively so theresearcher select 27 and 137 sample size respectively. As aresult, from the overall 6696 total permanent employees infive strata the researcher included 377 sample employees inthe study.Depend on quantitative research approach; the study wasbeing employed secondary and primary data collectionmethods to produce reliable data. Secondary data wascollected throughcritical review of published andunpublished documents related to the research problem. Inthis study 360 questionnaires were distributed to the targetpopulation to find out the effectiveness of IMC tools, suchas advertising, personal selling, direct marketing, salespromotion, public relation and word of mouthcommunication on purchase decisions of high involvementproducts the case of UOG employees.Since the study is reseat entirely on quantitative approach,descriptive analysis and inferential analysis were used toanalyze the collected data. Therefore, quantitative data thatwas generated from questionnaires to a database andsubjected to statistical analysis using 20 version SPSSsoftware.Data Results And DiscussionAs the researcher mentioned, the primary collected datathrough survey questionnaire is analyzed in descriptive andinferential statistics by using SPSS 20 and SEM in AMOSand the result is discussed as follows.Structural equation modelThe researcher employed this formula with confidenceinterval 95% and 5% margin of error.In this case there are a total of N 6696 employeesavailable in the Gondar university within 5 campuses.Therefore, the sample size for this study is calculated asfollows,In general, a total of 70 sample employees were taken fromMaraki campus among the overall 1232 administrative,academic and technical staffs, from the second stratumTewodros campus there are 1720 employees engagedwithin academic, administrative and technical staff jobcategory from this only 96 of them are selected to beparticipate in the study, the third stratum, Fasil campus thisstrata has a total of 805 employees among this theresearcher take 46 employees from the three categories.22Amos (Analysis of Moment Structures) is an easy generalapproach to data analysis through structural equationmodeling (SEM), it enables to hypothesis testing problemsSimultaneous analysis of data from several differentpopulations, performs the computation and display theresult graphically within a minute and useful for assessingthe model fit with the analysis (Arbuckle, 2007). SEM is ahighly flexible and comprehensive method in allowingmultiple test to determine model fit such as, chi-square,Comparative Fit Index (CFI), Non normed Fit Index(NNFI), Root Mean Squared Error of Approximation(RMSEA) (Suhr, 2006).In addition to the above characteristics, a SEM model isalso identifying the relationship between exogenous andendogenous variables. The independent variable is calledExogenous latent variables in the case of using SEM,exogenous variable cause fluctuations in the values ofendogenous or dependent variables in the model. (Byrne,2010). Moreover, we can see the value of observed andlatent variables in this model. Observed variables arewww.pbr.co.in
Volume 11 Issue 4, October 2018variables which are observed directly in SEMs and are alsousually continuous. Latent variables on the other hand arenot directly observed and continuous variables and have aninfinite number of values. Therefore SEM enables toexpress latent variables in terms of observed variables(Bacon, 1997).Model Fit SummaryThe goodness-of-fit statistics is used to evaluate how muchof the variance of each endogenous variable is beingexplained by the model (Baum , 2016). These measuresprovide the most fundamental indication of how well theproposed theory fits the data which includes Chi Squaredtest, degree of freedom (df), Goodness of fit (GFI), Rootmean square error of approximation, Root mean squareresidual (RMR) Normed Fit Index (NFI), and ComparativeFit Index (CFI).In most cases since the chi square is indicated a badness of–fit, the smaller its value implies that the better fit whereasdf, and RMR said to be fit with the value of 0.00 which isless than 3.00 and the value of RMR on the other hand 0.08 which is also with the value of 0.00 respectivelysimilarly the value of GFI, NFI and CFI are all 1.00 whichis 0.90, then the overall model used in this study is fit withthe data.Above all the recommended value of the model fit isadapted from (Degoma A & Shetemam E, 2014).Table 1: model fit summaryFit MeasuresRecommendedValuesValues from theModelConclusionChi-square (X²)P 0.050.00Not FitChi-square (X²)/df3.000.00FitGoodness-of-Fit (GFI)0.901.00FitNorm Fit Index (NFI)0.901.00FitComparative Fit Index (CFI)0.901.00FitRoot Mean Square Residuals (RMR)0.080.00FitSource, survey dataFigure 2: Effectiveness of IMC for high involvement productSource: survey datawww.pbr.co.in23
Pacific Business Review InternationalIn Summary, the study contains 1 Observed, endogenous ordependent variables that is High involvement product and 6observed exogenous or independent variables includesadvertisement, direct marketing, sales promotion, personalselling, word of mouse communication and public relation.There is 1 unobserved, exogenous variable which is namedas e1 in the diagram sometimes called latent variable thisvariables are can be measured if the researcher usestructural equation model unless it cannot be consideredsince it is unobserved variable by its nature. However, dueto its unreliableness for the study Public Relation is notbeing considered in the analysis of the variables thus, thenumbers of exogenous variables are reduced in to 5. Inorder to determine the relationship between the observedexogenous and endogenous variables with latent factor,Discussion of the hypotheses testingAs the researcher discussed earlier one quality of structuralequation model is enable the researcher to test a researchhypotheses and it is the most suitable analyses for the studybecause it is able to reduce measurement error, test latent(unobserved) and observed variables independencerelationships and assess simultaneous overall tests ofmodel fit (Haron , 2015). Therefore here the researcherdiscussed the proposed hypothesis by using this model.As shown in the table below C.R. column, sometimescalled the t-value is the critical ratio used to test theacceptances of the research hypothesis it obtained bydividing the covariance estimate by its standard error andthus, by using a significance level of 0.05, any critical ratiothat exceeds 1.96 in degree would be called significant(Arbuckle, 2007).Table 3: Hypothesis result from structural equation modelHypothesis FromToEstimateStandardized TSupported/NotValue/ SupportedCoefficient (βValue)/ S.EC.R.H1Advertisement marketingHighinvolvementproduct.046.0461.395Not 8.018.513Not 0.620 11.832SupportedH2P** 0.05Source: survey data24www.pbr.co.in
Volume 11 Issue 4, October 2018Therefore as the finding showed that the t- value foradvertisement is more than the recommended value 1.96that is 2.045 which means that advertisement is moderatelyeffective for the consumer purchase decision of highinvolvement product (the dependent variable) significantlywith a P value of 0.041 which is p 0.05 and with a Betavalue of 0.092, this indicated that if the independentvariable, advertisement is increased by one, then thedependent variable high involvement product is increasedby 0.092 which causes lesser effect on the dependentvariable. This result is more or less supported the idea of(Fill & Jamieson, 2006) which advertising is somewhateffective in causing positive attitude and awereness but lessin purchase decistion of the product as the result is almostnear to the cut-off point. Therefore, the first researchhypothesis (advertising is effective fo
are called Integrated Marketing Communication (IMC). It is defined as, the process of integrating all marketing communication activities in a manner of synergy in order to derive the greatest enhancement and coherence of marketing communication effort at a time of transactions between the organization and its consumer (Pickton & Broderick, 2005).
May 02, 2018 · D. Program Evaluation ͟The organization has provided a description of the framework for how each program will be evaluated. The framework should include all the elements below: ͟The evaluation methods are cost-effective for the organization ͟Quantitative and qualitative data is being collected (at Basics tier, data collection must have begun)
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Le genou de Lucy. Odile Jacob. 1999. Coppens Y. Pré-textes. L’homme préhistorique en morceaux. Eds Odile Jacob. 2011. Costentin J., Delaveau P. Café, thé, chocolat, les bons effets sur le cerveau et pour le corps. Editions Odile Jacob. 2010. Crawford M., Marsh D. The driving force : food in human evolution and the future.
Le genou de Lucy. Odile Jacob. 1999. Coppens Y. Pré-textes. L’homme préhistorique en morceaux. Eds Odile Jacob. 2011. Costentin J., Delaveau P. Café, thé, chocolat, les bons effets sur le cerveau et pour le corps. Editions Odile Jacob. 2010. 3 Crawford M., Marsh D. The driving force : food in human evolution and the future.
