ABSTRACT
This study investigates the effectiveness of traditional versus digital advertising channels in influencing consumer behavior and purchasing decisions among Small and Medium Enterprises (SMEs) in Benin City, Edo State. The research aims to provide empirical insights into the preferences and perceptions of SMEs regarding traditional (e.g., television, radio, print) and digital (e.g., social media, search engine marketing, email) advertising channels. A structured questionnaire was administered to 200 SMEs, and data were analyzed using descriptive statistics, one-sample t-tests, and regression analysis. The findings reveal significant differences in the effectiveness of traditional and digital advertising channels. Digital channels are found to be more effective in driving consumer patronage compared to traditional methods. Additionally, demographic factors such as age, gender, income, and education level do not significantly influence preferences for advertising channels, whereas psychographic factors including lifestyle and values play a crucial role in shaping consumer responses. The study contributes to existing literature by highlighting the evolving landscape of advertising preferences among SMEs, emphasizing the growing importance of digital marketing strategies. The conclusions drawn suggest practical recommendations for SMEs to enhance their marketing efforts through strategic allocation of resources and tailored advertising approaches. SMEs should allocate more resources to digital advertising channels such as social media, search engine marketing, display advertising, and email marketing, as these channels have demonstrated superior effectiveness in influencing consumer behavior and driving patronage. Marketers should incorporate psychographic analysis into their strategy development to better understand and target consumer values, lifestyles, and attitudes. Personalized and value-aligned content can significantly enhance consumer engagement and response rates. While digital channels are crucial, an integrated marketing approach that combines both digital and traditional advertising can cater to a broader audience. This is especially important for industries where certain segments may still rely on traditional media. SMEs should continuously monitor and evaluate the effectiveness of their advertising channels. Staying updated with the latest trends and consumer preferences in digital marketing can help maintain a competitive advantage.
