“Online Advertising Strategies for Local Businesses in Calbayog City Based on

AIDA Model”

CHAPTER 1

The Problem and Its Setting

Introduction

Traditional promotional strategies such as television, radio and print ads are the

most common medium used by corporations to distribute advertising to customers. With

the rise of Internet technology, however, corporations have a new way to distribute

advertising to customers. Online advertisement has now become a new method to be

explored. As [ CITATION Jer10 \l 1033 ] stated, online advertising has evolved as a new

medium for marketers to deliver product words to customers. In line with that it is

claimed that online advertising is more appealing, less intrusive and tolerable compared

to other advertisements [ CITATION Tav11 \l 1033 ]. This may be a compelling reason for

corporations to divert from traditional advertising to online media.

Advertising plays a key role in shifting customer behavior and attitude habits

towards goods or services in this globalized age of knowledge exposure. It is typically a

risk management strategy of brand publicity or promotion which really extends across

different conventional media such as tv, newspapers, radio broadcasting advertising,

newspaper mail, print advertisements or media these days such as blogs, [ CITATION

Tav11 \l 1033 ]websites and text messages [ CITATION Ahm13 \l 1033 ].

Possible use among corporate executives of several online platforms contributes

to modern prospects. The internet is really a trustworthy supplier to which customers

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change until buying goods and services [ CITATION Smi17 \l 1033 ]. Corporate leaders will

use Social media for marketing purposes towards business performance and to help

facilitate connectivity with internet shopping and social networking advertisement

platforms that are effective methods for targeting new audiences through business

growth [ CITATION Ban15 \l 1033 ].

Social networking allows business organizations to communicate with

consumers at the right time, directly at a reduced cost and with greater productivity than

most conventional communication methods. This causes social media to be not only

monopolized by big enterprises companies, but also by small and medium-sized

businesses [ CITATION Kap10 \l 1033 ] . In fact, social networking sites like Facebook and

Twitter enable users to follow their current favorites and to comment or post a question

about similar products or services. With social networking platforms, businesses may

recognize what has been said about the products and connect directly with customers

[ CITATION Rey11 \l 1033 ] . Via posting, commenting, browsing, watching, and so forth,

customers may greatly assist companies to create new businesses and support or

facilitate any product.

Consumer relationships offer Enterprises the ability of using social networks as

an instrument for their marketing techniques [ CITATION Rey11 \l 1033 ]. Numerous smaller

firms, nevertheless, were also attempting to successfully reach potential customers but

many are indeed unsure of the value of online marketing. Research conducted by the

Small and Medium Business [ CITATION SMB \l 1033 ] have estimated that one in four small

companies does not have a marketing strategy. It is necessary to have a proper plan to

ensure the efficiency of using online networking for business and marketing

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activities[CITATION SMB \l 1033 ]. Therefore, by using online networking, small companies

should have a clear strategy and the right approach. [ CITATION Kir11 \l 1033 ] investigated

whether social media marketing is a cost-effective promotional tool for business just

after global economic crisis. The analysis found that the use of social media as a

marketing platform is indeed a business strategy that could save business expenses

and millions of consumers could be reached within a short amount of time as well as

relevant data could be transmitted easily.

According to [ CITATION Nai11 \l 1033 ], traditional promotional strategies such as

television, radio and print ads are the most common medium used by corporations to

distribute advertising to customers. With the rise of Internet technology, however,

corporations have a new way to distribute advertising to customers. Online

advertisement has now become a new method to be explored. As [ CITATION Jer10 \l 1033 ]

stated, online advertising has evolved as a new medium for marketers to deliver product

words to customers. In line with that it is claimed that online advertising is more

appealing, less intrusive and tolerable compared to other advertisements [ CITATION Tav11

\l 1033 ]. This may be a compelling reason for corporations to divert from online

advertising to traditional media.

Social networking has been seen as a modern medium due to its success and

widespread use, which can be used by business companies as a strategic marketing

tool. Nonetheless it remains uncertain to what degree the use of social media as a

marketing approach is successful. Studies on the effect of social media as a small

business marketing tool are also scarce. Among marketing scholars and practitioners, it

is also generally known that the Attention, Interest, Desire, and Action (AIDA) model has

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been widely used in marketing activities based either on traditional methods or online.

However, its applicability remains unknown and certainly undoubted in the context of

the strategic use of social media. When simplistically utilized, social networking is not

only a process of reaching new consumers, but it could also help small businesses and

marketers with an effective e-commerce network [CITATION Sma \l 1033 ] and in this case,

the AIDA model suits well through the framework of online marketing.

Advertising in the Philippines has changed rapidly throughout the form that

Filipino customers communicate with advertising. Media audiences who have changed

their preferences and visibility as mobile phones are transforming both markets and

customers. As mass media, the Internet has made rapid in-roads into the world.

Everybody is knowledgeable of TV ads, but people are happy and grateful of desiring

technologies that almost all actions are enacted because of evolving television

consumption patterns. Potential customers became generally much more focused

earlier, as there were fewer opportunities for home entertainment.

In Calbayog City, online advertising was known as a medium that can be used by

local businesses as a competitive marketing tool. Consumers were exposed into

different advertising activities may it be through print, TV, radio, social media, and many

other forms of advertising. Clearly, this plays a massive role in delivering the necessary

information about an ad, and because advertisement has long-lasting impact on

consumers, markets are becoming highly competitive organizations, all of which are

vying for the attention of consumers. However, online advertising platform were not

often used by local businesses because of the little knowledge on how does this

strategy can bring them into success. Consumers were exposed into different stimuli,

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everyone were using gadgets and have their social media accounts. Additionally, most

of their time were browsing the internet increasing of possibility of viewing ads. In this

study, the influence of online advertising in local businesses from Calbayog City will be

assess based on the AIDA Model. In this way, it will be clear for local businesses on

what extent does advertisement impacts the most on customers especially on

developing their preference on the product.

In recent era, advertising plays a significant role as it forms Perceptions and

attitudes of people and groups that greatly affect the purchasing behavior of the

consumer. Once it captures and keeps customers with benefit, any enterprise would get

on the way to success and this aim is accomplished when the company develops a

positive customer view of its product or service. All of the heavy hitters have made

substantial efforts to make sure quality advertising and the development of good

customer awareness in appropriate ways that have had a positive impact on consumer

purchasing behavior as people acquire product information into advertising and other

marketing tools and build awareness through all the activities of the brand and its prior

knowledge with that business and previous experiences [ CITATION Dha16 \l 1033 ].

Theoretical Framework

The use of AIDA Model (Attention, Interest, Desire, Action) the advertisement

can easily capture the attention of possible consumers or customers. The ad must be

notice-attracting, if the advertisement contains advertising, posters or billboards.

Frequently, pleasant audio graphics or fascinating photographs are used. Stimulate the

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attention of customers by using graphics relating to him. This would enable details

about future buyers or users to be collected. Companies may perform research, take

surveys or maybe just ask questions to gather information about what future clients or

customers are interested in, then use these messages in advertisement strategies.

Offer the consumer need for the product or service. Enterprises must explain how it

might benefit from the product or services. A consumer must have a good view about

what she needs and wants the product or service to offer. Encourage the buyers to buy

the service or product. Also, inspiring clients to behave rapidly will make all the

difference among marketing successes and failures. Another method of making

consumers respond swiftly is to deliver deals or promotions with time constraints

[ CITATION Raw13 \l 1033 ].

Based on Customer-Based Brand Equity (CBBE) OR Brand Resonance model,

brand equity and thus successful brands are fundamentally a consequence of the brand

knowledge, “knowledge created in consumers’ minds by marketing programs and

activities” [ CITATION Kel09 \l 1033 ]. Indeed, target consumers must know what a brand

has to offer, the product components, the company information, the added value that

the product offers compared to competition, and finally why buying that particular brand

will benefit the consumer. In order for the target audience to “appreciate the advantages

and uniqueness of a brand” it is crucial that they have a prior knowledge of what a

brand does and with whom it competes; “consumers cannot have highly positive

responses without a reasonably complete understanding of the brand’s dimensions and

characteristics” [CITATION Kel09 \p 125 \l 1033 ] . Creating brand awareness is very

important in the cognitive buying phase and one of the major goals for the brand.

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According to [ CITATION Kel18 \l 13321 ], “brand awareness is related to the strength of the

brand node or trace in memory, which we can measure as the consumer’s ability to

identify the brand under different conditions”. To establish a brand image, marketers

must first create a brand node in memory, this affects how easily the consumer

understand and learn additional brand associations. The first step in building brand

equity is to register the brand in the minds of consumers”. One measure of the efficacy

of integrated marketing communication (IMC) is its ability to form a unified brand

perception where all the experiences obtained by the customer come together as a

cohesive brand image in the consumer's mind. [ CITATION Kel09 \l 1033 ] also argues that

IMC operations can add to brand image and influence outcomes in several aspects,

however these operations must eventually be incorporated to produce a cohesive

message and achieve its strategic positioning[CITATION Kel09 \p 146 \n \y \t \l 1033 ].

According to Di Gangi & Wasko [CITATION DiG16 \n \t \l 1033 ] , the theory of social

media interaction enhanced customer awareness contributes to greater use of the

social networking platform. This study aims to broaden our understanding of the theory

of social media advertising that content likeability is indeed a factor of greater social

media user involvement, and one of the effects of user engagement in social media is

content credibility. Social media involvement is an intermediary and administrator

between both the likeability of content and the credibility of content. Furthermore, if a

consumer who reviews the content regularly, answers the comments and replies

messages on a social media network, the person may consider that the information on

that social network is much more approachable and trustworthy. In addition to having a

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direct impact on content credibility, social media platform may also moderate the

relationship among content liability and content credibility.

Conceptual Framework

The primary aim of this study is to find out the online advertising strategy for local

businesses in Calbayog City based on AIDA Model. From the findings of the study, the

researcher ought to propose online advertising programs for local businesses. Figure 1

shows the conceptual framework of the study through the input-process-output-model.

The inputs of this study involve the research environment of the study, which

includes the local businesses in Calbayog City. Through the use of research

questionnaire, the study will be collected and process the responses of the respondents

on the factors in online advertising that drives customers with regards to attention,

interest, desire and action, factors in developing consumer's preference and the choice

of product, and identify the measures to assess online advertising to customers. From

the inputs, the study also sought to determine the relationship of online advertisement

on customers product preference. The result of this study will also be the basis on what

online advertising programs can be used by local businesses in Calbayog City.

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 What are the different
factors that drive online
advertisement on
customers?
• Attention;
• Interest;
• Desire; and
Online • Action
advertising Online
strategies advertisin
What are the factors
for local that play a vital role in
g
businesse developing consumer program
s in preference and their for Local
Calbayog choice of product? Businesse
City • Brand Equity; s in
• Brand Knowledge;
Calbayog
• Brand Perception;
• Brand Image City
based on
AIDA
What are the measures
model
to assess the impact of
online advertising to
customers?
• Likeability; and
• Credibility

Is there a significant
relationship between
online advertisement
and customer product
preference

Figure 1. Schematic Diagram showing Conceptual framework of the Study

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Statement of the Problem

The main objective of this study is to find out the online advertising strategies for

local businesses in Calbayog City based on AIDA Model with the end view of proposing

online advertising program for local businesses.

Specifically, this study seeks to answer the following question:

1. What is the profile of respondents in terms of:

1.1. Age;

1.2. Gender;

1.3. Income;

1.4. Legal form of ownership; and

1.5. Length of business operation

2. What are the different factors that drive online advertisement on customers?

2.1. Attention;

2.2. Interest;

2.3. Desire; and

2.4. Action

3. What are the factors that play a vital role in developing consumers' preference

and their choice of product?

3.1. Brand Equity;

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 3.2. Brand Knowledge;

3.3. Brand Perception; and

3.4. Brand Image

4. What are the measures to assess the impact of online advertising to customers?

4.1 Likeability; and

4.2 Credibility

5. Is there a significant relationship between online advertisement and customer

product preference?

6. Based on the findings of the study, what online advertising programs can be

used by local businesses in Calbayog City?

Null Hypotheses

This study entitled "Online Advertising Strategies for Local Businesses in Calbayog City

Based on AIDA Model" has one expected outcome among the following hypotheses:

HO1: There are no significant difference in terms of respondents age, gender, income,

legal form of ownership, and length of business operation towards the online advertising

strategies for local businesses in Calbayog City based on its Attention, Interest, Desire,

and Action

HO2: There is no significant relationship between online advertising strategies for local

businesses in Calbayog City based on AIDA Model and customers product preferences.

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Significance of the Study

The researchers believe that this study is significant to the following individuals who, in

one way or another, connected or related to the formulation of online advertising

strategy for local businesses in Calbayog City.

Local business- The findings of the study might be valuable to local businesses

in Calbayog City by providing information demonstrating the importance of online

advertising. The study will propose online advertising program, local businesses can

improve their approach in advertising their products and apply such program for the

development and success of their business. This study will also evaluate the online

advertising strategy based on AIDA model which can be used to aid in purchasing

decisions and the creation of relationship between local businesses and consumers.

Researchers have discovered that business leaders who create an online presence can

benefit from the media, continue to generate sales, and improve local economies

[ CITATION She17 \l 1033 ]

Consumers- Consumers may also be benefited by this study because through

its findings, they will be able to determine and understand the different factors in online

advertising that affect customers in developing product preference and buying behavior

based on AIDA model which is attention, interest, desire and action. It is important to

understand this process in order to be knowledgeable enough on everything about the

world of advertising. Moreover, the information that will be provided in this study will

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help the consumers understand the changing environment of advertising especially in

online platforms.

Advertising executives - Being the ones who supervise the production of ad

campaigns, and develop plans to increase sales for their clients' businesses, it is

necessary for advertising executives to understand the online advertisement to local

businesses based on AIDA Model. The advertising executives will benefit from this

study because of the relevant information and findings which they can use apply in

advertising. Through the proposed online advertising program for local businesses,

advertising executives can also have an idea and develop new strategies.

Students - Students might also benefit from this study because they were one of

those consumers who usually purchase a product from different local businesses. If the

proposed online advertising program will be adopted by the local businesses, this will

improve their buying experience and create a strategy for the benefit of everyone.

Researchers - This study will serve as an informative reference or guide for

future researchers who are conducting a similar study.

Scope and Limitations of the Study

The main focus of this study is to create strategies on online advertising for local

businesses in Calbayog City based on AIDA Model. The study aims to answer the

research questions on what factors in online advertising that drives customers with

regards to attention, interest, desire and action, what are the factors that plays a vital

role in developing consumer's preference and their choice of product based on brand

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equity, brand image, brand knowledge, brand perception, and what are the measures to

assess the online advertising to consumer. Additionally, the study focus on what are the

significant relationship between online advertisement and customer product preference

and based on its findings the study aims to identify what online advertising programs

can be used by local businesses in Calbayog City. The respondents of the study are

limited only to the local businesses in Calbayog city. This study will be conducted during

the First and Second Semesters of School Year 2020-2021.

Definition of Terms

The following terms are conceptually and operationally defined for clarification

and easy comprehension, to express ideas within the scope and content of the study.

Attention. This refers to the cognitive level when it is possible to attract the

attention of the users. In the communication process, it is the first step in AIDA model

where the customer wants to know about the existence of a service like that. [CITATION

Placeholder1 \l 1033 ] The term attention is used in the study as one of the important

aspects in determining different factors that drives media advertisement on

customers.

Interest. This refers to the second stage in AIDA model where it develops the

potential buyers’ interest in the product or service. [CITATION Placeholder2 \l 1033 ] The term

interest is used in the study as one of the important aspects in determining different

factors that drives media advertisement on customers.

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 Desire. This refers to the aspiration for a particular product and is the third part of

AIDA model. [CITATION Placeholder1 \l 1033 ] Desire is the state of motivation where

feelings compel to take actions. To effectively create desire, advertisers add relevant

characteristics and features in their product and explain the benefit in such a way that

how you will solve the customers problems.[CITATION Placeholder3 \l 1033 ] The term desire

is used in the study as one of the important aspects in determining different factors

that drives media advertisement on customers.

Action. This refers to the last step of buying process in AIDA model, where

marketers focus on cognitive process along with the products purchasing by customers.

[CITATION Placeholder1 \l 1033 ] The term action is used in the study as one of the

important aspects in determining different factors that drives media advertisement on

customers.

Brand Equity. This refers to the degree of impact a brand name has in the minds

of customers, and the importance of having a brand that is familiar and well thought of. [

CITATION Evo20 \l 1033 ] Brand Equity is one of the factors that plays a vital role in

developing consumer’s preference and their choice of product.

Brand Knowledge . This refers to an individualistic interpretation of a brand

stored in customers memory. [CITATION Placeholder4 \l 1033 ] Brand Knowledge is one of

the factors that plays a vital role in developing consumer’s preference and their choice

of product.

Brand Perception. This refers to the amount of feelings about a brand that a

customer has. These thoughts and feelings arise when the brand is known to a

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customer hears, sees, or communicates with the brand and its product. [CITATION

Placeholder5 \l 1033 ] Brand Perception is one of the factors that plays a vital role in

developing consumer’s preference and their choice of product.

Brand Image. This refers to the consumers’ current opinion of a company. Within

the minds of target clients, it can be described as a specific package of associations.

This shows what the company currently stands for. [ CITATION Jun20 \l 1033 ] Brand Image

is one of the factors that plays a vital role in developing consumer’s preference and their

choice of product

Likeability. This refers to cognitive and emotional factors that affect how

information is perceived by individuals. Typically, these factors are based on whether

the knowledge agrees with the belief system of an individual, which is based on his

beliefs. [CITATION Placeholder6 \l 1033 ] In this study, it measures to assess the impact of

advertising to customers.

Credibility. This refers to a company with business reputation is one that has the

trust of its customers in its product or service through what it promises. Business

credibility is founded on the absolute satisfaction of its clients. As a result, credibility is

dependent on a number of variables that you can boost or enhance. [ CITATION Sel14 \l

1033 ] In this study, it measures to assess the impact of advertising to customers.

Advertising. This refers to the effort to impact a persuasive marketing message

about goods and services on the purchasing behavior of consumers or customers.

[CITATION Placeholder7 \l 1033 ] The term is used for the study of online advertising

strategies for local businesses in Calbayog City based on AIDA Model.

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 Legal Form of Ownership. This refers to the mode of ownership divided into three

forms of company, namely, sole proprietorships, partnerships, and corporation. [CITATION

Placeholder8 \l 1033 ] Legal form of ownership is used in the study to determine the

respondent’s profile.

Length of Business Operation. This refers to the operating period of the average

time needed for a company to make an initial cash outlay to manufacture products, sell

the goods, and collect cash in return for the goods from customers. [CITATION Placeholder9

\l 1033 ] Length of business operation is used in the study to determine the respondent’s

profile.

Effective Communication Channel. This refers to ensure clarification; complex

messages need richer channels of communication that promote interaction. Channels of

communication are the means by which individuals interact in an organization. [ CITATION

Wil20 \l 1033 ] The term is used for the study of online advertising strategies for local

businesses in Calbayog City based on AIDA Model

Conventional Media. This refers to any mode of mass communication available

before the advent of digital media is referred to in the conventional media. Television,

radio, newspapers, books, and magazines are part of this. [ CITATION Jab20 \l 1033 ] The

term is used for the study of online advertising strategies for local businesses in

Calbayog City based on AIDA Model

Online Advertising. This refers to selling goods and services over the internet is

the art and science of online marketing. It includes interstitials, which are commercials

that appear before or after content. In websites, various social media providers such as

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Facebook, sell advertising. [CITATION Placeholder10 \l 1033 ] The term is used for the study

of online advertising strategies for local businesses in Calbayog City based on AIDA

Model.

Mass Media. This refers to the networks which carry mass communication are

mass media. Any communication medium has been used to reach a vast number of

individuals simultaneously, including radio, television, newspaper, video, records,

books, and the internet. [ CITATION DWi13 \l 1033 ] The term is used for the study of online

advertising strategies for local businesses in Calbayog City based on AIDA Model.

Social Media Marketing. This refers to the use of social media websites and

social networks to advertise the goods and services of an organization. It provides

businesses with a way to attract new clients, connect with current clients, and support

their desired culture, goal, or tone. [ CITATION Ken18 \l 1033 ] The term is used for the study

of online advertising strategies for local businesses in Calbayog City based on AIDA

Model.

Social Networking. This refers to the use of internet-based social media platforms

to remain linked with friends, families, colleagues, clients, or customers is social

networking. Social networking has become a significant base for marketers seeking to

engage costumers. [ CITATION Ken21 \l 1033 ] The term is used for the study of online

advertising strategies for local businesses in Calbayog City based on AIDA Model.

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 CHAPTER 2

Related Literature and Studies

This chapter presents the related literature and studies review from the previous

studies cites from its authors that associates its relevance to the concept of the study.

The ideas are the result and concept interested by the researchers and has a significant

connection to the present study which is the online advertising strategies for local

businesses in Calbayog City.

Related Literature

The growth of Internet usage has created a platform for businesses to attract and

retain customers. Online advertising strategies are used by many businesses to offer

and give the best benefits to their customers. This study is to find out the online

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advertising strategies for local businesses based on AIDA model with the end view of

proposing online advertising program for local businesses.

Social media such as Facebook, Twitter, Snapchat and YouTube are a rich

source of customer information, but there is still a question of how to use such big data

effectively. To that end, advertisers need to develop or create personalized messages

to increase click-through prices and online transactions [ CITATION Liu17 \l 1033 ]. The AIDA

model has been applied widely for online marketing strategy but its applicability for

social media remains unknown [ CITATION Has15 \l 1033 ].

The literature has been mentioned above is closely related to the present study

because different social media platforms perform an important role in online advertising

because these are the tools where businesses have a higher chance to promote and

advertise their products. Having online or social media websites helps increase the

sales of all department stores and other retailers. Hence, wise choice of media platform

for advertisements is key for the promotion of products and services. Advertisements

are a widely accepted source of information among the consumers as compared to

other sources, and hence, media mix decisions are crucial for advertisers. These are

also a perfect way to get the AIDA, attention, interest, desires of customers and lastly,

for that business to be able to take immediate actions on how to better market their

product.

In the area of online marketing, advertising media is included in the category of

affiliate marketing. It is used to convey a message of promotion. In this decade, the

World Wide Web has become the fastest growing advertising medium, along with the

rapid increase in the number of Internet users around the world. Advertising is an

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attempt at imagination, which affects the motive of the customer to purchase a specific

product and alter or make the product perceived in the minds of consumers [ CITATION

Bah12 \l 1033 ]

Marketing appeal acts to arouse the consumer's psychological motivation for

purchasing. Reasonable and emotional appeals require advertising. The product can be

emphasized predominantly in objective appeals on its advantages and the issues it can

address while on the other hand, emotional appeal satisfies the psychological,

emotional and social requirements of the customer. By looking at different strategic

trends, which often advertising is no longer just a communication tool to "sell

something," but more thorough than what generates "meaning to something," followed

by attaching to a brand and being an integral part of the lives of people, then advertising

can now be defined as communication that generates perception [ CITATION Wij12 \l 1033 ].

The above mentioned literature is closely related to the present study because it

states that advertisers have to bring some driving power into the message to make the

viewer get a necessary message and create interest in advertisements. The driving

power is an appeal. Each advertising appeal represents an attraction that has aroused

the desires of consumers. Advertising appeal refers in a variety of ways to packaging

products, services, organizations, or people that specifically offer a certain value,

relaxation, identification or explanation to describe what customers think and why they

purchase goods. Advertising appeal is a suppliers’ application of a psychologically

motivating power to arouse consumers desire and action for buying while sending

broadcasting signals to change receivers concepts of the product. Hence advertising

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appeal is applied to attract the consumers’ attention, to change the consumers’ concept

of the product, and to affect them emotionally about a specific product or service.

Advertisement developed more and more by invention of printing machine and

then radio and TV and other mass media, so that today everyone observe

advertisement bombardment. When watching TV or listening to different program on

radio or in internet and different websites, everyone is constantly exposed to various

Ads. Even when passing across the street, they face with advertising billboards. In the

conditions when all are advertising with high expenditures and advertising has become

a fixed part of the organizations’ activities, having understanding about consumers and

consumption process will bring various advantages for the organization and marketers

should have proper understanding about factors affecting consumer’s needs and

demands for success in absorbing customer[ CITATION Bre12 \l 1033 ].

The aforementioned literature is closely related to the present study because it is

deals with advertisement in any means, it helps to improve the business nowadays but

marketers should always consider and understand properly the factors that affect

consumers’ needs and demand. It may be through social media, printing machines,

newspapers, TV, radio, and even on the streets through billboards and tarpaulin,

customers are already bombarded and used in advertising. In any organization or

business, advertisement must be a fixed part of it.

Social media can establish and raise brand awareness [ CITATION Fan11 \l 1033 ].

Social media tools allow firms to access millions of people. Since a huge number of

people are already visiting social media, a brand’s name presence all over those

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networks can help inform people about it and become familiar with the firm, creating

brand awareness[ CITATION OFl12 \l 1033 ].

The study is relevant to research since advertisers mostly use social media to

promote their product or service through internet. It means that more connections will

build and advertising can increase the sales of the product or service. Through social

media, it helps to increase the access of brand pages and grow web traffics because of

consumers who visit the websites and negotiate about the details of the product or

service of the business.

AIDA Model

The AIDA model is a basic marketing trend in the organization of advertisement

that results from the perception of customers. In 1898, a communication theory called

the AIDA model, an acronym that refers to Attention, Interest, Desire, and Action, was

proposed by St. Elmo Lewis. This theory is based on a life insurance industry study that

explains the four (4) cognitive stage encountered by a person upon reception of a new

concept or a new product purchased[ CITATION Mic11 \l 1033 ].

[ CITATION Sad13 \l 1033 ] stated that the messages revealed through media to

communicate with consumers should follow AIDA model framework, that is attracting

receiver attention, encouraging their desire and finally directing to their action. Different

media causes different reaction depending on their unique effects on the receivers.

The core concept of this model remains unchanged and is still valid and relevant,

although the model was implemented centuries ago and has undergone a number of

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modifications. Despite living in a world of interactive online communication and

emerging social networks, consumers still need to be aware of the presence of a

product, demonstrate interest in the product based on information gathered related to

the benefits of the product, and express a desire to have these products because they

fulfill the needs, preferences and interests of the product, and take action to make the

purchasing decision.

Attention

An effective advertising should be able to attract consumers’ attention, hold

interest to the message exposed, arouse desire to a product advertised and obtain

action. According to the AIDA model, primarily, advertisement should be in the first

place in creating attention among consumers to the product advertised [ CITATION Zul14 \l

1033 ].

Attention need to be raised before consumers take further action. Attention is the

initial in the buying process to ensure the success of selling product. However, these

days, consumers are exposed with tremendous numbers of advertisements and

information in an environment. A website for instance, it is packed not only with

information but it is also loaded with so many advertisements. That gives a bad deal for

advertisements to be noticed by consumers. Getting consumers’ attention to an ad

might be a great challenge for businesses regardless of the medium used.

According to no matter what kind of medium used, conventional internet

advertising, social media or even SMS, it is said to be a challenge to gain consumers

attention to an advertisement posted [ CITATION Fen11 \l 1033 ].

24 | P a g e
 Consumers didn’t pay much attention on messages on social media such as

Facebook as they got too overloaded. Consumers are exposed with a great numbers of

messages in a social media. Due to that, there would be possibilities for advertisement

to be disregarded by consumer. Inattention to advertisement would be a great problem

as consumers were exposed with a high numbers of messages in an environment, in

this case social media platform.

Interest

Customer interest is crucial to the sales process. Gaining attention can be done

in the initial stages but interest in the product needs to be maintained throughout the

sales process. Once you have gone through the process of gaining customer attention,

maintaining customer interest and then kindling desire is important. There are numerous

techniques for maintaining customer interest towards the product mainly depending on

the technicality of the product. One of the major reasons for using such sales

techniques is to induce desire in the prospect which ultimately results in action as

mentioned in the AIDAS theory[ CITATION Bha18 \l 1033 ].

To create a successful business, company managers must be able to attract the

interest of potential customers. If customers are not aware that a product exists or are

not informed of its benefits, they are not likely to be interested enough to buy the

product. Businesses can use a variety of different methods to generate interest in the

company's products and services. Advertising through media channels such as

television, radio, newspapers, magazines and the Internet are additional ways to make

customers interested in the products or services. Media advertisements have the

potentials to reach thousands or even millions of potential customers. Companies

25 | P a g e
typically target advertisements toward specific groups of customers to increase its

effectiveness. For example, a company that sells cutlery might advertise on a TV station

with food-related programming, while a company that sells sporting goods would better

served by placing advertisements on channels that air sporting events.

Desire

Customer desire is an emotion, and emotions can bond the marketers with their

customers. Companies that understand the powerful emotional pull of customer desire

obsess about getting to know their customers and learning their desires. Desires are

seldom mentioned in the consumer behavior literature, and are generally either

trivialized as wants or naturalized as needs. But desires are instead belief-based

passions that involve longing, yearning, and fervently wishing for something.

Current approaches to human motivation in general and consumer motivation in

particular are limited through their instrumental and utilitarian use of ubiquitous need

satisfaction models. Such perspectives not only miss much of the rich symbolic

meanings of consumer goods, but also neglect the essentially emotional manner in

which consumers may well relate to these goods.

Action

In marketing, a call to action (CTA) is an instruction to the audience designed to

provoke an immediate response, usually using an imperative verb such as "call now",

"find out more" or "visit a store today". Other types of calls to action might provide

consumers with strong reasons for purchasing immediately such an offer that is only

available for a limited time (e.g. 'Offer must expire soon'; 'Limited stocks available') or a

26 | P a g e
special deal usually accompanied by a time constraint (e.g. 'Order before midnight to

receive a free gift with your order'; 'Two for the price of one for first 50 callers only'). The

key to a powerful call to action is to provide consumers with compelling reasons to

purchase promptly rather than defer purchase decisions. A CTA can be a simple non-

demanding request like "choose a colour" or "watch this video", or a much more

demanding request. An obvious CTA would be a request for the consumer to purchase

a product or provide personal details and contact information.

Brand Equity

Brand equity from the customer viewpoint seems to be an apt start to measure

product equity, which involves several interrelated aspects, such as brand recognition,

brand quality, brand affiliation and brand loyalty [ CITATION Zha15 \l 1033 ]. This partnership

involves reciprocal interactions between the brand and customers through a duplicate

series of acts that have several benefits for both parties [ CITATION Kin10 \l 1033 ]

Brand Knowledge

Brand knowledge is symbolic/emotional, utilitarian and economic associations. It

acts as a major differentiating attribute in consumer preference and choices [ CITATION

Rei10 \l 1033 ].

Brand Perceptions

According to [ CITATION Cam14 \l 1033 ] brand meaning extends from social

constructs related to the brand and consumer perceptions that are based on both brand

comparisons and branding strategies.

27 | P a g e
Brand Image

Technology subsequently contributed to the creation of yellow pages, cable, cell

phones and the Internet. The invention of the Internet has helped to redefine the global

essence of advertisement[ CITATION Woo14 \l 1033 ] . This evolution of information and

communications technology (ICT) has changed customer buying behavior, according to

[ CITATION Che12 \l 1033 ], and this has also led to a change in corporate advertising

strategies. In order to gain interest and satisfy unique consumer needs, advertising

experts have started to use social media website appeals in the production of

advertising to enable users to share brand image [ CITATION Wat \l 1033 ]

Likeability

Likeability exists in phases where some are more perceptual, while others have

elements of control and emotion. Such complexity is underpinned by a consumer's level

of familiarity, dedication and appeal to a brand. [ CITATION Che \l 1033 ]

Credibility

For an influencer, credibility is an essential commodity. The credibility of the

source affects buying intent. In order to gain the perceived legitimacy of social media

influencers, beauty, trustworthiness, competence and similarity are perceived as

essential elements. [ CITATION Bal19 \l 1033 ].

When influencers advertise too much for labels or too costly items, this credibility

may be decreased. Trustworthiness is also related to the preference of the goods

marketed by influencers. Compatibility between the product and the influencer must

exist, since he or she passes an image every time an influencer promotes a product. In

28 | P a g e
addition, influencers are viewed through storytelling on social media platforms as friends

who provide insights into their daily lives. For the media, individuals with a high degree

of identification with their target groups are influencers.

Related Studies
According to Bansal et al. [CITATION Ban12 \n \t \l 1033 ] , advertisement is a form of

promotional practice used to entice an audience (viewers, readers, or listeners) to

continue or take a new action. The aim is to influence customer behavior in relation to a

commercial product. These advertisements must be written in order to attract an

audience.

Companies and businesses use online advertisements as a form of digital

marketing to advertise their products and services. Nizam N. Z., Jaafar J. A. and Supaat

S. H., according to the study (2018) because online advertising is used by companies, it

enables them to reach and capture their customers via various online platforms that

create awareness about the products and services of the company. It was also noted in

their study that online advertising is a form of marketing that uses the internet and the

world wide web to deliver marketing messages to attract consumers and makes it easier

for businesses to update their goods and services as well as each of their target

audiences.

The Nielsen Company's research from 2012 is relevant to the current study since

it discusses how social media influences consumer behavior and decision-making. It

was also noted in his research on the effectiveness of social media marketing in

29 | P a g e
creating brand recognition, which is similar to the current study on the effectiveness of

social media as a digital marketing tool used by businesses in Calbayog City.

It's also been discovered that social media has radically altered the consumer

decision-making process. In other words, the days of tightly controlling brand marketing

and moving customers into a linear buying funnel are over [ CITATION Far12 \l 1033 ] . The

views, tastes, and desires of an exponentially larger global pool of mates, colleagues,

and influencers are increasingly driving consumer decisions and actions. It was

discovered that 70% of social media users hear about other people's online interactions,

65% learn about brands, products, and services, 53% compliment brands, 50% express

concerns and complaints about brands and services, and 47% share monetary rewards

[ CITATION Nie12 \l 1033 ]. According to a Nielsen survey from 2012, social media has a

strong impact on buying all over the world, but it is particularly strong in Asia Pacific,

Latin America, the Middle East, and Africa. In these countries, about 30% of users used

social media on a regular basis to learn more about brands, products, and services.

Consumers may be influenced by social media in a variety of ways. This means that

social media provides a platform for businesses to raise brand awareness and receive

positive customer feedback.

Not to mention the importance of social media in today's marketing, Ryan and

Jones claim in their book that the change to social media is the most important ongoing

trend in online marketing. Social networking has been identified as a means for

businesses and brands to gain customer favor. Marketers can have an effect on their

company by leveraging social media adoption and power, as well as the rising incomes

30 | P a g e
of emerging markets like Asia, Latin America, and the Middle East. In the future,

customers in these regions will invest more money online [ CITATION Nie12 \l 1033 ].

To achieve the study's aim, various statistical methods were used, including

frequency and percentage distribution, as well as frequency and rank distribution, to

determine the profile of the Cogency of Digital Marketing of the Business in Calbayog

City. In addition, calculate and measure the understanding of digital marketing as well

as its description.

To ensure the precision of the study results, purposive sampling methods were

used in the selection of the three respondents. According to the findings, it is beneficial

to recognize the possibilities and advantages that digital marketing can provide to

businesses, advertisers, consumers, and researchers. The use of digital marketing will

aid businesses in increasing sales and customer visits.

This is the newest trend in marketing, according to marketers, and it helps many

businesses hit their target audience and improve consumer conversion. It is now

spreading all over the world as the newest Marketing Strategy in the Market due to its

simplicity, knowledge reliability, speed, and cost efficiency.

31 | P a g e
 CHAPTER 3

Methodology

This chapter describes and discusses in detail the research methods and

procedures, which will use in the completion of this study. It presents the research

design, respondents of the study, locale and time where the study will conduct and

when it undergoes instrumentation, data gathering procedure, validation of the

instrument and the statistical treatment which was employed in the interpretation of the

data gathered.

Research Design

In order to see the general picture of the online advertising strategies for local

businesses in Calbayog City, researchers will use a descriptive research method. As a

descriptive study, it accumulates an elaborate and credible information to describe a

current event. It orderly describes a particular situation or place of interest effectively

and accurately. This research design is selected because it asses to classify, analyze,

and tabulate data about the current status, beliefs, practices, trends, cause-effect

relationship and then accurate interpretation of such data with or without the use of

statistical treatment.

Time and Locale of the Study

32 | P a g e
 This study will be conducted during this second semester of the school year

2020-2021 in Northwest Samar State University main campus at Barangay Balud,

Rueda St.,Calbayog City.

Respondents of the Study

This study will be conducted during the second semester of the school year

2020-2021 in Northwest Samar State University main campus at Barangay Balud,

Rueda St., Calbayog City.

Sampling Procedure

To facilitate the collection of data, the researchers will be use simple random

sampling technique to get the required sample size of the respondents. In addition, the

33 | P a g e
retrieved questionnaires and the data gathered will undergo a thorough analyzation and

interpretation.6

Instrumentation

The study will use a survey questionnaire which will serve as the main instrument

for data gatherings.

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