How Advertising Intensity and Promotion Costs Effect Operating Profit in Four Type Indonesian Banking Industry
Perbanas Institute, South Jakarta, Indonesia
- *Corresponding Author:
- Krisnanto U
South Jakarta, Indonesia
Tel: 525 2533,522 2501-4
E-mail: [email protected]
Received Date: May 31, 2016; Accepted Date: June 08, 2016; Published Date: June 15, 2016
Citation: Krisnanto U (2016) How Advertising Intensity and Promotion Costs Effect Operating Profit in Four Type Indonesian Banking Industry. J Account Mark 5:181. doi: 10.4172/2168-9601.1000181
Copyright: © 2016 Krisnanto U. This is an open-access article distributed under the terms of the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original author and source are credited.
Kotler research found that there are four strategy in placing advertising i.e., uniform pulsing, maintenance pulsing, and impulse pulsing. There is relationship between sales and intensity advertising. This research is to find relationshipintensity bank advertising and bank promotion cost to bank operational profit. Intensity advertising obtained from a national daily newspaper, promotion cost and operating profit obtained from bank quarterly report publicly. Research object divided to four kind of bank i.e. state enterprise bank, private bank, regional bank, and Sharia bank. Research found that advertising behavior of the four banks same with Kotler theory, but promotion costs and operating profit not followed the theory. Quantititive analysis found that regional bank advertising did not effect the operational profit. Sharia banks did not determinate behavior advertising and promotion costs as an important thing to made operating profit. Recommendation as one shot research, it must be done in longitudinal research. It is better find another kind of promotion bank that could be analyzed.