The Use of Location Specific Advertisements on Facebook: Can they help entrepreneurs solve problems associated with banner advertisements?

Jovo Ateljevic (), Frank Martin () and Pamela Kelly
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Jovo Ateljevic: Faculty of Economics, University of Banja Luka, Bosnia and Herzegovina
Frank Martin: University of Stirling, United Kingdom
Pamela Kelly: University of Stirling, United Kingdom

Chapter 2010-07 in European Entrepreneurship as an Engine for Post-Crisis Development – Challenges and Opportunities. Proceedings of the International Conference, 8 – 10 September 2010, Borovets, Bulgaria, 2012, pp 104-127 from Bulgarian Association for Management Development and Entrepreneurship

Abstract: This study is set up to assess the relationship between advertising based on location and effectiveness of banner ads on social networking sites. The main research question is: Is location specific advertising more likely to over-come the problems associated with banner advertisements than non-location specific advertising on the social networking site Facebook? The research took an explanatory approach establishing casual links between the selected variables. An on-line attitudinal survey was issued to Facebook users and their responses were analysed through quantitative statistical tech-niques to test the hypotheses and observe significant correlations. The conclusions drawn from the results show that Facebook is a highly used medium mostly for social purposes and the site users generally do not find advertisements placed on the site effective. The results also suggested that location specific advertisements could improve consumer perceptions of effectiveness through increased relevancy and could also help increase responsiveness but only at a basic level, which includes awareness and brand recall.

Keywords: International collaborations; alliances; knowledge transfer; learning and absorptive capacity (search for similar items in EconPapers)
Date: 2012
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