EFFECT OF ONLINE MARKETING ON THE SALES VOLUME OF AN ORGANIZATION

ABSTRACT

The study was carried out to investigate the Effect of Online Marketing on the Sales Volume of an Organization using Jumia Marketing Platform as a case study. Investigation revealed that online marketing has changed and is still changing the way business is conducted around the world. The commercialization of the Internet has driven online marketing to become one of the most promising channels for inter-organizational business processes. Online marketing evolved in various means of relationship within the business processes.

The research design used in this report is descriptive design, utilizing questionnaire method to obtain information from the respondents for this project. Primary data were collected from the primary source which questionnaire was used as an instrument of data collection while secondary data were sources from textbooks, journals, newspapers and the internet were employed. The data were presented on a frequency distribution table and analyzed using simple percentage, while hypothesis was tested using chi-square test. The six hypotheses tested, showed that there is significant relationship between online marketing and Jumia Marketing Platform productivity. Other hypothetical result is outlined at the presentation and data analysis section.

The outcome of this research will be beneficial to numerous stakeholders, through providing a better understanding of online marketing and how it can boost revenue and publicity for both brands and companies overall, businesses can gain valuable insights from this research. Based on the findings, it is recommended that online marketing should be a key area of interest for emerging entrepreneurs, tech enthusiasts, and established businesses. Also, businesses should develop plans and create a budget for exploiting digital marketing tools and applications to enjoy its superior benefits over traditional marketing.

CHAPTER ONE

1.1 Introduction

Online marketing is the application of the internet and related digital technologies to achieve marketing objectives. This definition is a simple definition which, unlike the following ones, does not touch the important aspect of customer relationship. Online marketing consists of measures and activities to promote products and services and build relationships with customers over the Internet (Kotler & Armstrong, 2012; Kotler et al., 2010). Online marketing carefully target users and get them to interact with you while they‘re engaged with the most personal, intimate medium ever invented. However, given that the marketing discipline is undergoing a transformation in some part of African countries with new paradigms emerging as relationship marketing, it is now appropriate to assess small firm practices in a broader and more contemporary perspective (Burrett, 2008).

As a prelude to other parts of this study, this chapter will discuss the background upon which this study was initiated, the statement of problems that led to this study, the Aim and Objectives of the study. Others are Significance of the study, Scope of work, Research hypothesis and questions, Limitation of the study and Definition of terms.

1.2 Background of Study

Online marketing has become increasingly important in the current era, which is defined by open borders, fierce competition, and global marketplaces (Gilmore, Gallagher, & Henry, 2007). The use of electronic data and applications for planning and executing the conception, distribution, promotion, and pricing of ideas, goods, and services to create exchanges that satisfy individual and organizational objectives is how the E-Marketing Association defines online marketing (Bothma & Burgess, 2007). Furthermore, clients or customers could easily obtain any good or service without worrying about time or place thanks to contemporary and varied communication methods (Sheth & Sharma, 2005).

The advancement and application of technology has had a positive impact on the sustainability of marketing elements (Mokhtar, 2015). There are enormous advantages to be gained from e-marketing. Among the most significant opportunities offered by the Internet - a component of technology that is now widely used by institutions are cost savings and increased sales (Yannopoulos, 2011).

According to Gilmore et al. (2007), e-marketing also has the advantage of reaching a wider audience at a lower cost. It also eliminates the need to print product flyers, saving money on marketing products via email.

Additionally, by employing an efficient website, they will be able to respond to inquiries about their goods and services from clients who speak various languages. Other benefits of e-marketing include increased sales, more valuable products, closer customer relationships, listening to customer demands, and distribution channel expansion (Babalola & Babalola, 2015).

By supplying the required data for the various administrative levels, online marketing has been acknowledged by academics and industry experts as a factor that significantly contributes to increasing the efficiency of economic performance for businesses operating in fiercely competitive markets (Pappas N. 2016). As online marketing has grown, business organizations have become more information-focused by utilizing internet technologies, such as forms, multimedia, graphics, and text in multiple languages to create eye-catching advertisements and e-shops where products can be viewed, promoted, and sold.

Hooda S., Aggarwal S. (2012) state that online marketing is more complicated than just creating and advertising a website or putting a banner ad on another website. A product display, product navigation, 3-D product view, basket selection, checkout, and payment are all included. Terms related to e-marketing and internet marketing are interchangeable. According to White C. (2017), affiliate marketing, publishing services, e-commerce, and other business models can all benefit from this type of marketing.

The adoption of e-marketing, including e-mail and e-payment, was first observed in financial institutions, as confirmed by Ibene KS, Obi RC (2001). On the other hand, Moniei N, Najafzadeh MR (2015) contend that e-marketing presents a number of formidable challenges for modern organizations, and particularly for modern marketers, and that these challenges have contributed to an environment that is quickly evolving and becoming more complex.

Therefore, in Nigeria where the research was carried out, the activities that was conducted is to know the Effect of Online Marketing on the Sales Volume of an Organization.

1.3 Statement of Problems

Investigation revealed that online marketing has changed and is still changing the way business is conducted around the world. The commercialization of the Internet has driven online marketing to become one of the most promising channels for inter-organizational business processes. Online marketing evolved in various means of relationship within the business processes. Additionally, e-marketing is far less expensive than other forms of traditional media, particularly when considering the cost to reach the intended audience. This study therefore sought to determine how e-marketing affected sales volume.

1.4 Aim and Objectives of Study

The aim of the study is to investigate the Effect of Online Marketing on the Sales Volume of an Organization using Jumia Marketing Platform as a case study. In achieving this aim, the following specific objectives were laid out as follows:

To assess how customers are adapting to online marketing in the area under study;
To identify the effect of online marketing on sale volume of the area under study;
To examine the sales volume of the study area using online marketing in the area under study;
To determine the relationship between online marketing and sales volume in the area under review;
To examine the scale of online marketing in the area under study; and
To investigate the effect of online marketing on customer satisfaction in Jumia Marketing Platform.

1.5 Research Questions

The study came up with research questions so as to be able to ascertain the above stated objectives. The specific research questions for the study are stated below as follows:

Is there any relationship between online marketing and sales volume in the area under review?
How does customers adapt to online marketing in the area under study?
What is the effect of online marketing on sale volume of the area under study?
What is the sales volume of the study area using online marketing in the area under study?
What is the scale of online marketing in the area under study?
What is the effect of online marketing on customer satisfaction in Jumia Marketing Platform?

1.6 Research Hypothesis

In order to pursue the objective of this study, the following generalized statements have been designed to guide and aids in obtaining the result for the experiment to be conducted. For this work, the null hypothesis will be represented with H0 while the alternative hypothesis will be represented with hypothesis H1.

Hypothesis One

H0: Online marketing applications have no significant and positive impact on business performance in the study area.
H1: Online marketing applications have significant and positive impact on business performance in the study area.

Hypothesis Two

H0: There is no significant relationship between online marketing and Jumia Marketing Platform productivity.
H1: There is significant relationship between online marketing and Jumia Marketing Platform productivity.

Hypothesis Three

H0: Online marketing order and delivery has no significant and positive impact on business performance in the study area.
H1: Online marketing order and delivery has significant and positive impact on business performance in the study area.

Hypothesis Four

H0: Online marketing customer support service has no significant and positive impact on business performance in the study area.
H1: Online marketing customer support service has significant and positive impact on business performance in the study area.

Hypothesis Five

H0: Online advertising of market products have no significant and positive impact on business performance in the study area.
H1: Online advertising of market products has significant and positive impact on business performance in the study area.

Hypothesis Six

H0: Online payment system has no significant and positive impact on business performance in the study area.
H1: Online payment system has significant and positive impact on business performance in the study area.

1.7 Significance of Study

Numerous stakeholders will find this research to be significant. Through a better understanding of online marketing and how it can boost revenue and publicity for both brands and companies overall, businesses can gain valuable insights from this research.

The results of this study will also be useful to students and information users conducting additional research in related fields, making it relevant to research bodies and institutions across the country.

1.8 Scope of Study

The scope of the research is focused on the Effect of Online Marketing on the Sales Volume of an Organization using Jumia Marketing Platform as a case study.

1.9 Limitations of the Study

During the course of this study, there were some problems encountered which stood as limitations to the research work. Some of the limitations include:

Time Constraint: The time frame given to accomplish this project was very short due to school academic calendar and it was carried out under pressure which made the researcher not to implement some necessary features.
Establishment Policies: Establishment policies posed a serious limitation as most staffs are not ready to release information needed for this research work. There were lots of information needed from the staffs of this establishment to enhance the study which took them time to release or they did not release at all for security purposes, hence the scope was reduced.
Financial Constraint: Insufficient fund tends to impede the efficiency of the researcher in sourcing for the relevant materials, literature or information and in the process of data collection (internet, questionnaire and interview).
Initial Cooperation Delay from Respondents: A particular limitation of this work came as a result of the respondent refusal to offer their cooperation at the initial time they were contacted. This contributed in making the success of this research study difficult.

1.10 Definition of Terms

Online Marketing:

This refers to all forms of internet advertising, internet payment system, internet marketing, internet customer support service and internet order and delivery.

Digital Marketing:

Digital marketing is the component of marketing that utilizes internet and online based digital technologies such as desktop computers, mobile phones and other digital media and platforms to promote products and services.

Marketing Strategy:

It is a short and long term activities in the field of marketing which entails the analysis of the strategic initial situation of a company and the formation, evaluation and selection of market-oriented strategies.

Electronic Marketing:

It is the promotion and advertisement of a company’s products, services or brand on the internet.

Customer Satisfaction:

It is a consumer’s response to the evaluation of the perceived discrepancy between prior expectation and the actual performance of the product as perceived after its consumption.

Traditional Marketing:

It is any type of promotion, advertising or campaign that has been in use by companies for years and that has a proven success rate. Methods of traditional marketing can include print advertisements, such as newsletters, billboards, flyers and newspaper print advertisements (Ads).

…

CHAPTER TWO

2.0 Literature Review

2.1 Introduction

The review of relevant literature is the main topic of this chapter. A literature review covers theoretical and methodological contributions to a certain issue in addition to the state of knowledge at the time of writing. It provides information about the state of the art in relation to the subject you are writing about. It examines the body of work on the chosen subject. The literature evaluation in this study comprises the …

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TABLE OF CONTENTS
PRELIMINARY PAGES

Title page
Approval page
Dedication
Acknowledgement
Table of Contents
Abstract
CHAPTER ONE
INTRODUCTION
1.1 Introduction
1.2 Background of Study
1.3 Statement of Problems
1.4 Aim and Objectives of Study
1.5 Research Questions
1.6 Research Hypothesis
1.7 Significance of Study
1.8 Scope of Study
1.9 Limitations of the Study
1.10 Definition of Terms
CHAPTER TWO
LITERATURE REVIEW
2.1 Introduction
2.2 Conceptual Review of Online Marketing
2.3 Theoretical Framework
2.3.1 Definition Digital Marketing System (DMS)
2.3.2 The Strategic Role of the Online Marketing Systems
2.3.3 The Role of the Internet
2.3.4 Benefits of the Online Marketing System
2.3.5 Online Marketing System Functional Components
2.3.6 Online Marketing Decision Support System
2.4 Empirical Studies
CHAPTER THREE
RESEARCH METHODOLOGY
3.1 Introduction
3.2 Research Design
3.3 Population of Study
3.4 Sampling and Sampling Technique
3.5 Validation of Research Instrument
3.6 Method of Data Collection
3.7 Method of Data Analysis
3.8 Ethical Consideration
3.9 Statistical Analysis
CHAPTER FOUR
DATA ANALYSIS, RESULT AND DISCUSSION
4.1 Introduction
4.2 Presentation and Analysis of Data
4.3 Re-statement of Research Questions
4.4 Test of Hypothesis 1
4.5 Test of Hypothesis 2
4.6 Test of Hypothesis 3
4.7 Test of Hypothesis 4
4.8 Test of Hypothesis 5
4.9 Test of Hypothesis 6
4.10 Discussion of Findings
CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATION
5.1 Introduction
5.2 Summary of Findings
5.3 Conclusion
5.4 Recommendation
REFERENCES
APPENDIX A - “QUESTIONNAIRE”

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