Advertising and performance of Lacdan Roofing Company, Kumasi

Abstract

Advertising has become a powerful marketing tool in increasingly competitive business environment. This study explored the effect(s) of advertising strategies on sales performance of Lacdan Roofing Company in Kumasi, Ghana. Three constructs measuring advertising strategies including informative, persuasive and reminder advertisements were employed in this study. There were two objectives of the study. The first objective was to determine the effectiveness of advertising tactics employed by Lacdan Roofing Company. The second objective was to investigate the effect(s) of advertising strategies (constructs) on sales performance. The study employed exploratory and confirmatory factor analyses along with structural equation modeling to evaluate a proposed model for understanding the relationships. The results showed that customer perceives local language advertisements tactics employed by the company as the most effective, while newspaper advertisement in the least effective advertising tactics of Lacdan Roofing Company. Again, the findings indicated that informative advertisements, persuasive advertisements and reminder advertisements have a significant effect on sales performance of Lacdan Roofing Company. The study therefore recommends that Management of Lacdan Roofing Company should develop creative advertisements that are persuasive and informative in order to influence consumers purchase decision, hence to improve sales of the company.