Radio and Newspaper Advertisements Essay Example | Topics and Well Written Essays - 1750 words

Radio and Newspaper Advertisements - Essay Example During the same period, some 8367.69 pounds on average were used in the same branches. The profit realized after using the two means was 676,727.33 pounds. The lowest profit realized was 30, 6240 pounds while the highest was 1,077,445 pounds. The branch which used the little funds on radio adverts used 3,584 pounds while the highest used 11,162. In news papers, the highest amount spend in a branch was 12,514 pounds while as little as 4,506 pounds was spend by a branch. (as per table 1 above) Radio advertisements alone have a significant contribution towards the profit of the company. An expenditure of 1 pound contributes about 81 pounds of profit. A regression equation can be developed from above; Likewise, taking newspaper adverts alone, the contribution is significant although to the negative side in profit growth. It has a contribution of -10.026 which is significant. The regression equation can be written as below; When radio and newspaper advertisements are combined together, newspaper adverts have no significant contribution at all. Radio advertisements contribute a lot towards the profit. The regression equation is as below, From the above analysis, the expenditures by Body shock ltd in advertisement using both radio and newspapers are the same (figure 4). ... Figure 3 above confirms that, the expenditures on newspaper advertisements were not normally distributed at all and revolved about the means. Table 3: Coefficient for radio standardized Coefficients t Sig. B Std. Error (Constant) 61147.729 71793.952 .852 .399 RADIO 81.285 9.225 8.812 .000 Dependent Variable: PROFIT Radio advertisements alone have a significant contribution towards the profit of the company. An expenditure of 1 pound contributes about 81 pounds of profit. A regression equation can be developed from above; P = 61167 + 81.285 R'''''''''''''''''1 Where, P = profit and R = radio expenditure Figure 4 Table 4: Coefficient for news standardized Coefficients t Sig. B Std. Error (Constant) 760622.382 125675.457 6.052 .000 NEWS -10.026 14.652 -.684 .497 Dependent Variable: PROFIT Likewise, taking newspaper adverts alone, the contribution is significant although to the negative side in profit growth. It has a contribution of -10.026 which is significant. The regression equation can be written as below; P = 760622 - 10.026 N'''''''''''''''''''.2 Figure 5 Table 5: Coefficients for news standardized Coefficients t Sig. B Std. Error (Constant) 64719.715 110993.021 .583 .563 NEWS -.382 8.969 -.043 .966 RADIO 81.236 9.407 8.636 .000 Dependent Variable: PROFIT When radio and newspaper advertisements are combined together, newspaper adverts have no significant contribution at all. Radio advertisements contribute a lot towards the profit. The regression equation is as below, P = 64719.715 - .382 N + 81.236 R'''''''''''''.3 Table 9 in the appendix is developed using equations 1 & 3 above. Discussion From the above analysis, the expenditures by Body shock ltd in advertisement using both radio and newspapers are the same