• Title/Summary/Keyword: Advertising Expense

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The Effects of Advertising Expense on Brand Loyalty, Profitability, and Firm Value (광고비가 마케팅 및 재무적 성과에미치는 영향: 브랜드 애호도, 수익성, 기업가치를 중심으로)

  • LEE, EUN JU;Paik, Tae-Young;Sin, Hyeon-Jun;Jeon, Kyeongmin;Cha, Gyeong-Cheon
    • (The) Korean Journal of Advertising
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    • v.27 no.4
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    • pp.71-90
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    • 2016
  • Managers of firms often wonder whether advertising expenditure is a mere expense or an investment with foreseeable future returns. When top management makes a decision on the level of advertising expense, it must consider whether an increase in advertising spending will positively affect brand loyalty and the increased brand loyalty will positively affect profitability and firm value. We investigate the industry-specific effects of advertising spending on marketing and the effect of loyalty on financial performances using top companies in Korea, specifically, 184 firms' data from year 1998 to 2014. The empirical results of a fixed effect model indicate that the effects of advertising on customer satisfaction index and loyalty on the firms' financial performance are positive. In service industry, unlike manufacturing industry, advertising has a significantly positive effect Brand Loyalty. In addition, Brand Loyalty had positive impacts on ROA and ROE as profitability index, and Tobin's q, a market-value index. The research results suggest that advertising in service industry should be considered as customer satisfaction investment and the increased Brand Loyalty as a profit for present and a business investment for the future respectively.

The Effect of Korean Celebrity Advertising Models on Advertising Effectiveness for Chinese Apparel and Electronic Products (한국 연예인 광고모델 속성이 중국 의류제품과 전자제품 광고효과에 미치는 영향)

  • Lei, Ke;Kim, Hanna
    • Journal of the Korean Society of Clothing and Textiles
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    • v.38 no.3
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    • pp.386-396
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    • 2014
  • This study examined the effects of Korean celebrity advertising models on the advertising effectiveness for Chinese brands by comparing apparel products with electronic products. In addition, this study explored the effects of gender and monthly expenses on the evaluation of Korean celebrity advertising models. This study targeted 388 Chinese university students in China. The results show that Korean advertising models consist of five attributes (familiarity, visibility, credibility, similarity, and attractiveness) and that advertising effectiveness consists of three factors (attitude toward the advertisement, attitude toward the brand, and purchase intention). The impact of these five advertising model attributes on advertising effectiveness differ for apparel and electronic products. The results also indicate gender and expense differences in the evaluation of Korean celebrity models. We discuss the theoretical and managerial implications of the results along with potential limitations and future research directions.

Purchase Motivation for Garment of Korean-Chinese College Students in Yanbian, China (중국 연변지역 조선족 대학생의 의복 구매 동기)

  • 김순심
    • The Korean Journal of Community Living Science
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    • v.15 no.3
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    • pp.167-177
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    • 2004
  • This study is designed to understand purchase motivation for garment depending on demographic factors among college students in Yanbian, China. Questionnaire was used for measurement tools to study the subject of the thesis. The main study was conducted against 450 college students from May 17 to June 5, 2001. The data for the study were analyzed using SAS PC program for frequency distribution, percentage, t -test, and one way ANOVA. The purchase motivation for garment are affected by demographic factors such as gender, average monthly household income, monthly expense for clothing. The result was showed as follows: A meaningful difference showed in 3 areas 'to try a new trend, impulsive buying at the store display, discount advertising' depending on the gender in terms of purchase motivations, and in all the three areas, male students showed a higher ranking. But in other motivation areas, no difference was noticed in terms of gender. In terms of purchase motivation based on monthly income, only one area 'impulse buying from a store display' showed a meaningful difference. Respondents with an average monthly household income above 2,000 yuan showed a higher tendency of 'impulse buying' compared to those with below 500 yuan or those with between 500-2,000yuan. Those with the average monthly household income below 500 yuan showed the lowest ranking in the impulse buying. In other areas of purchase motivation, average monthly household income was not an important element. A meaningful difference showed in 4 areas, 'to try a new trend, impulse buying from a store display, discount advertising', and 'for a change of mood' in the product motivation based on expense on clothing. Respondents with an average monthly expense for clothing above 100 yuan showed a higher ranking in all 4 areas than those with less than 100 yuan. In other areas, the average monthly clothing expense didn't give any impact.

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The Thought on Method of Game Advertisement (게임 광고 방법에 대한 고찰)

  • Park, Moo-Won;Jung, Kwang-Ho
    • Journal of Korea Game Society
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    • v.1 no.1
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    • pp.37-41
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    • 2001
  • Ad(advertisement) is a gateway that makes the public recognize enterprises, and a tool that can maximize customers' interest. How this kind of Ad is delivered to consumers governs an enterprise's image or goods' reliability. That's why enterprises spend much money in advertising their products in various ways such as TV Ad, newspaper Ad, magazine Ad, placards and so on Accordingly, this study intends to look at Game Ad among a number of Ads, which enables game users to enjoy games at low expense and at the same time makes them naturally recognize enterprises images or product PR.

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A comparative analysis of business management characteristics among textiles and fashion companies - Focused on revenue, income, and expense items in income statements - (섬유패션업체들의 경영 특성 비교 - 손익계산서의 수익, 이익, 비용항목을 중심으로 -)

  • Ji, Hye Kyung
    • The Research Journal of the Costume Culture
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    • v.25 no.3
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    • pp.359-374
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    • 2017
  • The objective of this study was to compare business management indicators among textiles and fashion companies. Business management indicators of 356 textiles and fashion companies for the year 2015 were analyzed, using income statements showing their management results. The results were as follows. First, there were statistically significant differences between the operating income ratios of textiles and fashion companies for the term, but there were none when it came to net income ratio. Second, the differences between cost of goods sold, cost of finished goods sold, and cost of merchandise sold to sales ratios among textiles and fashion companies were all statistically significant. The cost of goods sold, cost of finished goods sold, and cost of merchandise sold to sales ratios were higher for fiber and thread companies, fabric companies, and dyeing and finishing companies than for clothing and fashion accessories companies. Third, there were statistically significant differences between the ratio of salaries and the ratio of advertising expenses among textiles and fashion companies. The salaries ratios and advertising expenses ratios for clothing companies were higher than those of fiber and yarn companies, fabric companies, and dyeing and finishing companies. This study is meaningful as it has identified the business characteristics of textiles and fashion companies using the management indicators of those companies, which have not been sufficiently explored by previous studies. It has also helped to improve understanding of the industrial structure of the upstream and midstream sectors of the textiles and fashion industries.

A Study on the Implementation of Digital Signage System on Cloud computing-based (클라우드 컴퓨팅 기반의 디지털 사이니즈 시스템 구현에 관한 연구)

  • Kim, Yong-Ho
    • Journal of Digital Convergence
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    • v.10 no.6
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    • pp.283-288
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    • 2012
  • Implemented in this paper based on cloud computing needs of the digital signage software digital signage system, the existing production of the content of the inconvenience and IPTV set-up boxes designed like an unnecessary expense management, time and manpower to provide real-time information and by reducing WebEditor capable of producing interactive content authoring capabilities, such as next-generation digital signage by adding (Signage, advertising or public relations) proposed a new direction.

Consumer Oriented Pricing According to the New Game Product Launching (게임 신제품 출시에 따른 소비자 지향적인 가격결정)

  • Lee, Ji-Hun
    • Journal of Korea Game Society
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    • v.5 no.2
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    • pp.29-36
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    • 2005
  • Determining the price of a newly developed game product is a substantial matter affecting many aspects of corporate management. An appropriate pricing based on the proper data encourages consumers to purchase products repeatedly Yet presently most game companies prefer to set a price according to the cost including developing expense, advertising expense and law materials. As a result that price does not reveal the rue value of the product, many corporations face the demerits in the corporate management including the low sales, the loss of client and the poor promotion. This study has emphasis on the evaluating the price according to the consumer view rather than either corporate or industrial view. The price preference research analysis shows that Korean gamers prefer the price ranging around 30 thousand won in the simulation game, RPG game, and arcade game. In the online game, around 20 thousand won is the preferred price. This difference explains well the features of each game categories.

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The Classification System for Measuring Marketing Expenditure and Marketing Performance (마케팅지출과 마케팅성과의 측정을 위한 분류체계)

  • Jeon, In-Soo;Jeong, Ae-Ju
    • Asia Marketing Journal
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    • v.11 no.1
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    • pp.39-72
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    • 2009
  • With the growing importance of accountability, it is getting necessary to test the impact of marketing expenditure on marketing performance. Including recent ROM, we can find a few researches about marketing accountability. But there are a few problems about definitions and metric of marketing expenditure and marketing performance. Therefore, by defining and analyzing the impact of marketing expenditure on marketing performance, we are going to set the classification scheme of marketing expenditure and marketing performance. Based on research findings, new definitions and metrics are proposed as follows. First, we suggest the classification scheme of marketing expenditure. Marketing expenditure is defined as expense accounts in the balance sheet for doing marketing tasks. Marketing expenditures includes many accounts, for example, marketing research, advertising, sales promotion, foreign market development, physical distribution, after services. Among these marketing investment, advertising expenses have a positive effect on marketing performance. Second, we suggest the classification scheme of marketing performance. Already, marketing performance has been defined as financial metrics, customer metrics, market metrics, and corporate social responsibility. But, in this study, we find that the process model is not relevant for explaining association between the performance metrics. The process model is a virtuous cycle: "customer metrics→market metrics→financial metrics→firm valuation metrics." But, in this study, it is not supported or a little significant association between these metrics. Based on these results, we suggest the balance model or flower model as the classification scheme of marketing performance.

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A Study on the Presentation Strategy of the Spread Advertisement - Focused on the Advertisement in Newspaper - (Spread광고의 표현전략에 관한 연구 - 신문광고를 중심으로 -)

  • 전종경
    • Archives of design research
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    • v.16 no.4
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    • pp.15-24
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    • 2003
  • Today, the enormous expense of advertising rates is invested in Korea. And, the increased effect of advertisement is reasonable in proportion to the investment. In this context, the presentation strategy of the spread advertisement is the meaningful theme in advertisement sphere. The purpose of this study is to clarify the role of spread advertisement in newspaper and to investigate the strategy for the effect of it. For the purpose of it, this research examines cases of the advertisement in the newspaper in Korea, and analyzes the presentation strategy based on the methodology of presentation. The results of the study are as follows The effect of spread advertisement is connected with the presentation method, the space of a newspaper and the advertisement intention. It has to be considered that the case which is confused and intemperate brings about the consumer's antipathy. And so the application of spread advertisement in newspaper needs the prudent trial and the pertinent presentation of it.

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A Study on the Refresher Training of Physical Therapist in Gwangju and Jeonnam

  • Yu, Seong-Hun;Kim, Seung-Rae;Cho, Sung-Hyoun;Jang, Il-Yong;Hwang, Jin-Ah;Kim, Yong-Seong;Kim, Hyun-Jin
    • The Journal of Korean Physical Therapy
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    • v.28 no.3
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    • pp.165-175
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    • 2016
  • Purpose: The current study seeks to examine the continuing education of physical therapist in Gwangju, Jeonnam. Methods: A survey was conducted during the continuing education of physical therapist held in Gwangju in 2015 with 297 participants. The survey questionnaire consisted of 13 questions on characteristics of physical therapist, 7 questions on the level of satisfaction with continuing education, 11 questions regarding the need for continuing education, and 8 questions concerning how to improve continuing education. Results: As for the level of satisfaction with the content of continuing education, the survey results indicated that there were significant differences across respondents' age and career period. Regarding the level of satisfaction with the environment in which continuing education was provided; significant differences were observed across respondents' age, education, marital status, monthly pay, career period, and service period. Regarding the level of satisfaction with the expense in which continuing education was provided; significant differences were observed across respondents' sex, age, education, marital status, dependent family, monthly pay, career period, and position. In terms of the level of satisfaction with the operation method in which continuing education was carried out, there were significant differences across respondents' age, education, and career period. Conclusion: The survey found the level of satisfaction with continuing education to be average among physical therapist in Gwangju and Jeonnam. In addition, as for ways to take continuing education courses for those who have never taken it, online education was mentioned the most. Therefore, there is a need for advertising online continuing education.