Effects of Strategy Implementation on the Performance of Digital Media Industry in Kenya

Abstract

The increasing competition of digital media space and the high demand of real time news content has completely changed the media industry as we traditionally knew it. The change has brought about new a challenge which has resulted in formulation and implementation of digital media strategies to help cope with these challenges. One Key area that the media houses have used to rate the effects if these strategies on performance of their digital platform is analyzing their platforms financial performance in terms of sales level. This formed the basis of this study with the purpose of the study being to determine the effect of digital strategy implementation on organizational performance looking at the digital mediaindustry also known as online news platforms. The study is guided by the following specific objectives; to determine the extent to which innovative digital ad tools affects digital media sales, to establish how online market share affects sales volume and to determine how internal processes affects sales turnover.

The study was limited to twenty (20) online publishers all located within Nairobi, Kenya. The study was conducted for a period of 3 weeks beginning 27^th March 2017 to 17^th April 2017. Confidentiality of the respondents' questionnaire was maintained for accuracy by ensuring only the researcher and the assistant have access to the data. The study adopted descriptive research design. The population of interest will consist of 140 employees of online media companies. A sample size of 104 was selected using stratified sampling method. Data was collected using structured questionnaires. The data was analyzed using the Statistical Package for Social Sciences (SPSS) into frequency distribution and percentages. The data was then presented using tables and charts.

The study established that innovation is key in boosting sales volume for online media companies. The study revealed that online media companies ensure that their platforms are fully optimized and accessible on all internet enabled devices-desktops, tablets & smartphones, this enhances sales level as their platform can be viewed across all devices. The ad tools apart from acting as display tools also served other functions such as tracking consumer behavior, measuring conversion rates, measuring sales volume as well as help to project future sales. The study also revealed that market opportunity and past buyer behavior should be the guiding factor while coming up with innovative ad tools ads.  As opposed to benchmarking competitors.

The study established that large volume of traffic on a website is key. The traffic on the webpage is the market share. Much traffic on an online platform means that advertisers want to advertise on the page as they are assured of views. The study is able to establish that most online news platform leverage on their social media pages to drive traffic to their actual news webpage as indicated by 72.2 % of the respondents. The study also reveals that partnering with the right partners helps increase the market share as indicated by 61.1% of the respondent as the partners drive member traffic to the webpage as well as place ad on the page which generates traffic for the company. The period of time a user spends on a webpage –Bounce rate- was also revealed to be key as advertisers are looking to advertise on a site with low bounce rate. Finally, the research was able to establish that content is key in determining the market share as indicated by 60% of the respondents as the right content will keep the reader coming back.

The study established that internal processes determine whether or not a company is successful. The study reveals that it is a company's resources and capabilities that ensure either directly or indirectly that the sales targets are achieved. The various systems in place should always ensure customer satisfaction as indicated by 78% of the respondents, employee motivation as indicated by 95% of the respondents, quality assurance as indicated by 74% of the respondents, asset utilization as indicated by 93% of the respondents and finally structures and policies should be in place to ensure the above mentioned are well facilitated, this will lead to productivity which can be directly or indirectly felt through sales volume.

The study concludes that strategy implementation process is important on the performance of digital media in Kenya as many individuals are relying on online news platform to presents them with real time news article this which has been made possible by the availability in internet. Also, online media companies are heavily relying on technology thus a great need to implement the digital strategy and also a lot of opportunities have cropped up with the emergent of this new.

The study recommends utmost flexibility in innovation adoption for the media industry as a whole with the audiences need as the reason for innovation as that's where opportunity lies. Encouraging Creativity is also recommended as a key component in the innovation process for the effect of innovative digital ad tool to online market share research objective. The study also recommends, well thought strategies to be put in place to ensure increase in market share e.g. production of unique, quality content, increased online presence through ways like sponsored ads and Partnerships for the effect of online market share on digital media sales objective. And finally, the study recommends day to day monitoring, evaluation of internal functions and resources to ensure efficiency for the effect of internal processes in digital media sales objective. For further research, the researcher recommends application of the same research objectives to determine the effects of strategy implementation on the performance of the banking industry in Kenya as it is another industry that has been greatly affected by adoption of the technology.