Fides Servitium Communitas

A Thesis on

IMPACT OF RADIO ADVERTISEMENT TECHNOLOGY TO THE SALES

SELECTED STORE IN BARANGAY MANGAGOY

A Final Thesis

Presented to the Faculty and Staff of the College of the Business

Administration

In Completion

of the Requirements of the Degree

Bachelor of Science Business Administration

By:

Apa, Jaylord T.

Dandoy, Alaxes M.

Castro, Lida Marie C.

 CHAPTER 1

Background of the Study

Radio currently faces some of the same challenges that television

and newspapers face. Newspaper readership is down and print

journalism is adapting by moving from physical paper to web based

environments, where content is specifically designed for, and distributed

to, users of computer and mobile technology (Ross, 2013). It can be

argued that print journalism has declined partly because of the slower

speed at which newspapers deliver information when compared to

instant access via the Internet(Ross, 2013).Analyze the impact of radio

advertisements on urban commuters towards buying behaviour in retail

stores and attempts to determine the role of radio advertising on

dissemination of information on the sales promotions. A large number of

people listen to radio while commuting in urban areas and respond to

the broadcast of various commercial messages. Radio, as part of the

media mix, has worked very effectively for brands and products looking

to increase market share, drive sales and deliver on specific brand

objectives (Johansen, 2018).

As owners acquired more radio stations, consolidation occurred

that caused "massive layoffs and a decrease in localism" (Crider, 012, p.

225). This trend of consolidation may have slowed since the first week

after the signing of the TA96; however, buying, selling, and consolidation
of radio properties continues today usually by businessmen with no

broadcast experience who pocket millions of dollars at the expense of

radio broadcasters and listeners (Crider, 2012).Thus marketers are

becoming more mindful in choosing the medium and the type of

advertising for their goods and services (Mustafa & Al-Abdallah,2020).

For years, traditional channels of communication have been used

by organizations and have seen growth and progress over time. These

outlets include outdoor advertisements, newspapers and magazines,

television commercials, and radio advertisements (Mustafa & AlAbdallah,

2020). regarded advertisement as a mass marketing tool to bring

customer knowledge, capture customers interest, generate perception,

and eventually affect their purchasing behavior and buying decisions as

advertising can alter people’s mindset and behaviors. Advertiser’s

primary purpose is to influence customers ’purchasing behavior (Afzal &

Khan, 2015). Despite this digitization of media, the radio broadcasting

industry remains the primary and far reaching channel for brand media

plans (Jacobson, 2018). Radio advertising is still considered a crucial

source of valuable information around the world especially in the

developing countries that have high regards for the radio as a source of

affordable entertainment (Beard 2016).

After the TA96, changes occurred that decreased the amount of

local content a radio station chose to deliver. This thesis will show two
major developments. The first is that content, news, and information

became a scarce resource as stations cut back on news departments and

pushed for a "more rock less jocks format" ("Talent," 2013, para. 3) and

lost local talk programs that focused on local issues, and replaced them

with national programs with syndicated hosts ("Is Radio Dead", 2012).

The second major development was the advent of new technology, such

as mobile Internet devices. This allowed for more information and

entertainment to be distributed by more media than the previous media

of radio, TV and newspaper. Previous research on radio’s future has

focused on single factors of influence, including: Internet technology (i.e.

Pandora) and its effect on radio and more commercials, less local content

and news ("By This Time," 2012), and a delivery method whose

technology is more than 100 years old.Radio's competition on the

Internet is providing more options,which are becoming easier to access

with Internet-based audio entertainment (Goldstein, 2013).

Though the significance of advertisement in understanding the

behaviour of customers remains indisputable, literature on

competitiveness of advertisement platforms and their influence on

consumer purchase intentions remain largely scanty. Previous studies

have reported the impacts of various media platforms on general

consumer purchasing intentions and just a few have been on the

differences in terms of the competitiveness of the media platforms

influences on consumer purchase intentions (Dentsu AegisNetwork,

2019; Nelson-Field & Ewens, 2019). Recently, the business world has

beenchallenged with massive competition as buyers are having a vast

exposure of products and services to choose from (Van der Waldt, Rebello

and Brown 2009). This suggests product functionalities are not enough

for businesses to compete in attracting consumer and drive their

intentions on purchase (Honkaniemi, 2014).As such media

communication channels are being valued to maximize their role and

strategies to be competitive in convincing consumers to purchase

(Czarnecka, 2018). Radio, as part of the media mix, has worked very

effectively for brands and products looking to increase market share,

drive sales and deliver on specific brand objectivesn (Johansen, 2018).

The radio broadcasting industry faces competition to influenceconsumers

purchase intentions due to new digital media platforms (Hirschmeier, et

al.,2019).

The study used a descriptive research design, where the sales of

the selected store in Barangay Mangagoy were considered for the study,

To gather all the important information, the researchers will use and

developed quantitative questionnaire to collect primary data. The

selected store owners who accessed radio advertisement will be the

respondents of this study. Advertisers’primary purpose is to influence

customers’purchasing behavior (Afzal & Khan, 2015). However, to remain

relevant in influencing consumers into purchasing intentions, marketing

strategies in the radio broadcasting industry need to align with digital

media platforms. Thus Marketing practices have already responded to

this environment of digital technology change by creating radio station

mobile apps, online radio streaming, and social media networks (Chrisos,

2018). As of today’s context little is known about the impact of radio

advertisement on consumers purchasing intention hence additional

studies are required to address this deficiency within the literature.

Statement of the Problem

This study aims to answer the question on how Radio

Advertisement Technology Impact to the Sales Selected Store in

Barangay Mangagoy.

Specifically, it aims to answer the following questions:

1. What is the Demographic Profile of the respondents in terms of:

1.1 Age

1.2 Gender

1.3 Type of Business

1.4 Radio Advertisement Cost

2.What are the aspects and functionality of Radio Advertisement

Technology to the Sales Selected Store in terms of:

2.1 Retention

2.2 Familiarity

2.3 Audience
 3. What is the level of effectiveness of Radio Advertising to the

Sales Selected Store in terms of:

3.1 Efficiency

3.2 Throughput

3.3 Quality Rate

4. Is there a significant impact of Radio Advertisement Technology

to the Sales of Selected Store ?

Research Objectives

This study aimed to determine the Impact of Radio Advertisement

Technology on Sales Selected Stores.

Specifically, At the end of this research the study would be able to:

1. Determine the respondent’s demographic profile in terms of:

1.1 Age

1.2 Gender

1.3 Type of Business

1.4 Cost of Radio Advertisement

2. Assess and evaluate the aspects and functionality of Radio

Advertisement Technology to the Sales Selected Stores in terms of:

2.1 Retention

2.2 Familiarity

2.3 Audience

3. To know the level of Effectiveness of Radio Advertisement Technology

to the Sales Selected Store in terms of: 3.1

Efficiency 3.2

Throughput 3.3 Quality

Rate

4. To determine if there is a significant impact of Radio

Advertisement Technology to the Sales Selected Store ?

 CHAPTER II

Review of Related Literature

Radio advertising is a tried and tested marketing channel for

businesses looking to promote a message to a wide regional audience. In

a 30- to a 60-second radio commercial, businesses can say more than an

online text-based ad with limited reach. In this article, we explore the

advantages of radio advertising, when and how to run them, and if radio

ads are suitable for your business (Hazel Emnace, 2022). According to

Allan (2007) radio advertisements play very important role in influencing

audience perception of products, recalling a brand name as well as

recalling a 30 seconds commercial message is considered very high in

comparison with other media advertisements. Advertisement through

radio creates consumer’s arousals (Panagopoulos & Green, 2008). Like

every advertising medium, there are pros and cons to advertising on the

radio. For example, while radio ads can reach a wide audience within a

particular geographical area, people aren’t tuning in to listen to the radio

for ads, so there is a lack of search intent. As such, people may switch

stations or simply tune out if your ad doesn’t grab their attention

(Elizabeth Kraus, 2022).

Demographic

Radio is one of the most popular forms of conventional advertising.

It can also be one of the most effective. Why? Radio is partially oriented

around formats, giving owners a big advantage in targeting audiences vs.

other conventional advertising methods like print or television (BOB

LEIGHTON, 2019). Radio advertisements are a great cost-efficient

alternative to TV commercials. With a creative and memorable ad

campaign, you will be able to target specific demographics on radio

stations. If you’re trying to boost your business from millennial's, try

advertising on stations that play the latest hit music. If you are trying to

target an older demographic, radio stations that play the oldies are a

great place to advertise(Jet Advertising, 2016). Commercial radio consists

of a wide range of stations with a variety of content and playlists

attracting different types of audiences. RAJAR data allows advertisers to

analyse which stations are best for reaching their specific target

audience (© 2022 Radiocentre Ltd). Their interests, including hobbies,

music, beliefs, and more, are different which means that one of your

stations might not appeal to your entire audience. For this simple

reason, it is imperative for radio station owners to define their target

audience for their station, to better serve their audience. Targeting

enables broadcasters to customize content for a specific audience,

resulting in better engagement. Additionally, knowing what content your

audience wants to listen to helps you understand the consumption

behaviours of your listeners such as the time and devices your target

audience is listening from, helping you further increase your reach

(Spatial, 2021).

RETENTION

Radio advertising is still considered a crucial source of valuable

information around the world especially in the developing countries that

have high regards for the radio as a source of affordable entertainment

(Beard 2016). Mogaji, Czarnecka, and Danbury (2018) regarded

advertisement as a mass marketing tool to bring customer knowledge,

capture customers’interest, generate perception, and eventually affect

their purchasing behavior and buying decisions as advertising can alter

people’s mindset and behaviors. As you’ll see throughout this post, the

traditional aspects of radio advertising are still vital to its success. They

remain time bound and short in duration, call to action-driven, and

provide a chance to make something memorable through repetition. The

best practices for crafting a radio spot are founded on the broadcast use

case, but it turns out that recipe is hugely successful for any radio-style

ad across your multi-channel marketing mix.David Ciccarelli ( 2021)

Advertisers’primary purpose is to influence customers'interest

behavior (Afzal & Khan, 2015. As argued by Heath et al., (2006), there

are three key reasons to advertise. The first reason is to draw the buyer’s
interest; second, to produce and expand brand identity and third, pursue

the one receiving the advertisement. Consumer behaviour is related to

how organizations, groups or individuals choose, buy and utilise ideas,

experience, goods or services for their needs satisfaction (Thangasamy &

Patikar, 2014). In fact, the behaviour that a customer exhibits is not the

only focus of consumer behaviour. Tobergte and Curtis (2013) suggest

that at the macro level, officers who deal with marketing place their

emphasis on the demographic shift and practices, beliefs and values,

which have effects on their interaction with customers in the market. For

instance, Peterson (2018) distinguished between radio and Tv to

highlight that TV allows high-quality audio visual content that is more

suitable for product categories, which require physical demonstration

whereas radio offers audio content and is most suitable for businesses

catering to the local markets. Majority of the radio listeners are loyal to

their favourite stations and are often tuned for long period to a station

(Ismaila, 2013).

FAMILIARITY

Advertisement media has become an essential means for global

marketing communications and is commanding a larger share of

advertising budgets. Therefore, the value of advertising on different

advertisement media is of great interest to organizations,

businessperson, managers, and academics. Advertising is done 7 by

business firms, non-profit organizations, government agencies and

individuals who want to inform or persuade other people of a specific

target market about their products, services, organizations, or ideas

(Zubiel-Kasprowicz, 2016). Businesses regardless of it being online or

traditional can make great impact and survive in a competitive

environment. Consumers need information to make purchase decisions.

“The primary objective of advertising according to George Felton author

of “advertising: concept and copy” is to get the word out that you have

something exciting to offer” according to Hamlett (2019) Persuading and

having consumers to choose a brand over the other is a great task

especially when competition is keen. Advertising at this point is the only

savior. Listeners use and relate to radio in a very different way to other

media. Ninety percent of listeners are actually doing something else while

listening to radio. Typically, this will be routine tasks for example,

driving, or waiting to get home on the train, chores, housework and

others of people listen to radio when other people are around: it is still

very rarely a group experience (Onyebuchi, et al 2019). Radio can be

used effectively for advertisement since it can target the large audience

because of its high reach. Radio is good at increasing awareness about

the brand and business and helping in building the brand image (Kottler,

2014, Monalina, Santana,Lara, 2020). Radio has always been a

progressively popular advertising medium influencing consumers into

purchasing. Mogaji, Czarnecka, and Danbury (2018) regarded

advertisement as a mass marketing tool to bring customer knowledge,

capture customers’interest, generate perception, and eventually affect

their purchasing behavior and buying decisions as advertising can alter

people’s mindset and behaviors. These data reinforce previous studies

that found that the popularity of radio on the internet is constantly

increasing (Arbitron and Edison, 2012; Samuel-Azran et al., 2019).

AUDIENCE

Advertising from French réclame, from the Latin reclaim, "evoke" in

business is a form of marketing communication, which aims to

encourage, persuade, or in some cases even manipulate the audience

(viewers, readers or listeners, etc.) to take or continue to take an action.

According to Contemporary Communications (2017), Consumers spent

two-and-a-half hours listening to radio a day where radio has consumed

10% of their time; hence radio advertising is an alternative for advertisers

to consider. There are different emotions levels that can be trigged by

different commercials on radio, such as warmth, love, happiness and

desire. Today radio stations try to stand out from each other by choosing

a format that attracts only a certain group of people, such as different

age groups or the listeners of a certain music genre (Karttunen, 2017).

Despite new media’s unique options for radio, they have done little to

change listeners’ traditional modes of engagement with radio, and

listeners continue to listen to radio while performing other activities.

Nonetheless, the multiplicity of means of access and platforms extends

radio’s reach, allowing listeners to consume radio content beyond

reception range (Laor et al., 2017). Radio stations have been losing their

audiences in favor of online streaming platforms since the 1990s (Spilker

& Colbjornsen, 2020). The failure to meet the demands of consumers has

resulted in the traditional radio broadcasting stations’ audience

reduction with increases in usage of digital media platforms (Watson,

2019). (Onyebuchi, et al 2019)Newspapers have been around for

hundreds of years, since the invention of the printing press. However, it

was radio advertising that offered companies a near real-time

opportunity to reach their target audience.

Theoretical Framework

Radio has the power to create pictures in the audience’s mind,

stimulating them to “see” what they are listening to. The ability to evoke

a sort of “visual perception” while listening to an advertisement implies

the possibility of engaging the listeners in visual exposure to the product.

Consumer behaviour is a vast and complex subject. Understanding

consumer behaviour and “knowing consumers’ are not that simple. It is

almost impossible to predict with accuracy, how consumers will behave

in a given situation. The efforts of all marketers are to influence the

behaviour of consumers in a desired manner. The success or failure in

 this pursuit determines the difference between success and failure of

marketing efforts or even the business itself.

Conceptual Framework

Highlighted in this study were the independent and dependent

variables. The independent variables focused on traditional buying with

clear indicators on discount, product scrutiny, mall, stores, convenience,

family togetherness, and time. The second independent variable focused

on online buying which focused on customer relationship, customer

loyalty, good quality of products and services, effective assurance in Data

Privacy, highly secured financial transactions, trust, customer

satisfaction, innovation, and customer feedback. The dependent variable

focused on the Impact of Radio advertisement technology in the quality

and information of advertising.

Figure I

Flow of the Research Process

INPUT

 Demographic profile PROCESS

of the respondents in
terms of year level,
degree course,
gender, and age.
 Impact of Radio
Advertisement
Technology
 Impact of the Radio
Advertisement to the
selected Store in
Barangay Mangagoy.
 Analysis and OUTPUT
Interpretation of
data. Face to face symposium
to discuss the Impact of
 Gathering of data Radio Advertisement
through survey technology and the
questionnaire. effectiveness of
advertising in Baranggay
 Pilot Testing Mangagoy
Significance of the Study

This study is of great importance and benefits to the following

people.

Business owners are the first to benefit this study because it will

help them to get ideas on how to solve the problems encountered. It will

also help them become more hard-working, idealistic and ready to

handle such responsibilities and become aware in what kind of

marketing tool would be use and what would be the best thing to

do.Radio Stations are the second to benefit from this study because it

will help them improve their services through advertising products.

Government. This research could benefit both the local and national

communities. government on raising public awareness and providing

insights into the radio advertisement technology to adapt today

particularly in terms of how to advertise or strategy of each radio stations

to the selected store owners. Researchers.This research could benefit and

assist future researchers, as a guide or reference for researchers There

would always be something new information and discoveries that could

help them gain more ideas and concepts about the subject that could be

used for years to come. Individuals who were dedicated to learning were

always in the lead. a place for development in order to recognize multiple

realities and sources of knowledge This could boost the findings'

credibility.

Scope and the Limitations

The scope of this study focuses on Impact of radio advertisement

technology to the sales selected store in Barangay Mangagoy. researchers

will be able to gather information from selected store by gathering data

and knowing the respondent's demographic profile. In order to have a

non biased question, the researchers will conduct a random sampling

and provide convenient questions to the respondents.

This study is a descriptive analysis with random sampling to

achieve the desired data measurements. Selected store owners in

Barangay Mangagoy will be the primary respondents, and data will be

collected in person with each respondent's consent.

The researcher's questions will only concern the sales of each

selected store owners, which affects the technology today.

 CHAPTER III

Research Methodology

In order to meet the study's goals, this chapter described the

research design, research locale, research respondents, research

instruments and statistical treatment, and data gathering procedure.

Research Design

A quantitative research design was used in this study. The process

of collecting and interpreting numerical data is known as quantitative

research. It could be used to look for patterns and averages, make

predictions, test causal linkages, and extrapolate results to larger

groups. Descriptive research design could be utilized to employ statistics

to formally test hypotheses or predictions. Based on the sample method

used, the results may be generalized to a larger population. Quantitative

research was the polar opposite of qualitative research, in which non-

numerical data was collected and analyzed (Bhandari, 2020).

Research Respondents

Radio is an excellent medium for marketing fast moving consumer

goods because it can reach a large number of people. Broadly targeted

listener demographics in urban environments in retail stores and tries to

figure out the impact of radio advertising on the dissemination of sales

promotion information. The effect of radio advertisements on store

selection and purchasing preferences is investigated, based on empirical

research. According to the findings of the study, urban shoppers'

shopping habits. The consumer at retail stores as a result of radio

advertisements is heavily influenced by the physical, cognitive, and

economic factors.

We choose stores owners as our respondents because they are the

one who will access radio advertisements a total number of 230

respondents. and they are the one can forecast if their sale is moving

because of the advertisement. Radio stations that have an audience

between the ages of 24 to 54 will also have higher prices. That’s because

this age group has the highest purchasing power, and therefore many

businesses want to advertise to them.

Research Locale

This study will be conducted on Barangay Mangagoy, Bislig City.

Figure 1. Map of Mangagoy Bislig City

The data was acquire from the Selected Stores owners who

accessed Radio Advertisement in Barangay Mangagoy, Bislig City,

Surigao del Sur. The researchers choose the location of implementation

because it will give the researchers the needed information since the

main focus addressed by this study was relevant to the respondents in

this area.
Research Instrument

A quantitative research design was used in this study. The process

of collecting and interpreting numerical data is known as quantitative

research. It could be used to look for patterns and averages, make

predictions, test causal linkages, and extrapolate results to larger

groups. Descriptive research design could be utilized to employ statistics

to formally test hypotheses or predictions. Based on the sample method

used, the results may be generalized to a larger population. Quantitative

research was the polar opposite of qualitative research, in which non-

numerical data was collected and analyzed (Bhandari, 2020).

In this study, it analyzed the Impact of Radio Advertisement

Technology to the sales selected store owner in Barangay Mangagoy.

Significant relationships were identified.

The following will be used to interpret the questionnaire's significant

level of radio advertisement technology which affects the sales of

selected store in Barangay Mangagoy.

4 point likert Description Interpretation

scale

4 Strongly Agree The statement is highly observed.

3 Agree The statement is moderately

observed.

2 Disagree The statement is slightly observed.

1 Strongly Disagree The statement is not observed.

Date Gathering Procedure

Using the questionnaire the researchers gathered information

about the Impact of radio advertisement technology to the sales selected

store in Barangay Mangagoy. However, before the questionnaire was

launched, a letter to the Dean has been given. The letter was to ask

permission from the Dean. After the administration of the questionnaire,

its retrieval followed. Then, the researchers will tabulate, interpret, and

analyze the data.

Sampling Technique

We will use a random sampling technique to select our

respondents for this study. We will use the slovin's formula to calculate

and determine the number of respondents, as well as to determine the

appropriate sample size. After receiving permission from the instructor to

conduct a survey, we will randomly select store owners to complete the

survey questionnaire. To calculate the sample size for the entire student

population, the slovins formula will be used with an 8% margin of error.

The formula will be as follows:

It is computed as n = N / (1+Ne2).

Whereas: n= no. of samples

N = total population

e =8% margin of error

First: Covert the margin errors 8% by dividing it to 100

Given: N= 630 n =630/(1+630x008² )

e =8% =0.008 n = 630/(1+630x0.000064 )

n = 630/(1 +4.32)

n = 630/5.32
 n = 118.42 or approx.118

Sampling Procedure

To choose our respondents we will use a random sampling

technique to select our respondents for this study. We will use the

Slovin's formula to calculate and determine the number of respondents

in order to determine the appropriate sample size. This study will

evaluate and use simple random sampling to collect data from every

selected store owners about which aspects and functionality of their

financial behavior were most affected. It will also determine some aspects

of radio advertisement technology to the sales selected store. To avoid

unbiased data, the researcher will create a questionnaire.

Statistical tool

On second though of processing data in its raw form, descriptive

statistical analysis allows us to more efficiently represent and interpret

data through numerical calculation, graphs, or tables. Descriptive

statistical analysis involves various processes such as tabulation, a

measure of central tendency (mean, median, mode), a measure of

dispersion or variance (range, variation, standard deviation), In order to

find the mean, use descriptive analysis such as the mean and frequency

distribution to characterize students' academic performance and

financial situation.
 Population Mean: (μ) = ∑X / N

Sample mean formula:

Sample Mean=(Sum of terms) ÷ (Number of Terms) =∑Xi/n

=(X1+X2+X3+⋯+Xn) /n

Whereas:

∑xi= sum of terms

n = number of terms.
 CHAPTER III

APPENDICES

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Questionnaire

4 point likert scale Description

4 Strongly Agree

3 Agree

2 Disagree

1 Strongly Disagree

Name:

Age : Sex:

Type of Business:

Radio Advertisement cost:

Retention Strongly Agree Neutral Disagree

Agree 4 3 2
5
1.I liked the radio advertisement because it
was personal and interesting.

2.I will try a new brand advertised on the

radio rather than the usual brand that I try.

3.I still listened to radio advertisements.

4. I have witnessed that radio advertising is

safe for children.

5. Radio commercials make me feel more at

ease.
Familiarity Strongly Agree Neutral Disagree
Agree 4 3 2
5
1.It required a lot of effort to follow the radio
advertisement.

2.I learned something from the radio

advertisement that I didn't know before.

3.I am aware of radio advertisements for

their quality services.

4.I liked how the announcers delivered their

speeches while advertising other products
and commercials.

5.Hearing the jingle allows me to identify the

specific radio station.

Audience Strongly Agree Neutral Disagree

Agree 4 3 2
5

1.I'm aware that the brand advertised on the

radio is dependable.

2. I am devoted to the brand and will

continue to use it whether or not it is
advertised on the radio.
3. I prefer radio to television and other
technologies.

4. I have a good relationship with radio

commercials.
5.It was easy to learn to operate a radio.