Effectiveness of the Promotional Strategies of Twin Falls in

Kalayaan, Laguna

A Research Paper
Presented to the Faculty of
College of Hospitality Management and Tourism
Laguna State Polytechnic University
Santa Cruz Main Campus
Santa Cruz, Laguna

In Partial Fulfillment
of the Requirements for the Degree of
Bachelor of Science in Hotel and Restaurant Management

Rica L. Billones
Rainier Angelo Tardecilla

May 2017
 Chapter 1

THE PROBLEM AND ITS BACKGROUND

Introduction

The tourism industry unlike any other is very unique

because instead of a product, you are selling a place and all the things

it has to offer. You are competing with the entire world every time you

promote tourism in a given destination, and this high level of

competition demands a creative and unique approach. To be

successful, your marketing should constantly put forth the best

possible image of your destination, while creating interest on a broad

scale in as many ways as possible.

Tourism has turned out to be a very important industry in

the modern age. The development of tourist spots is continuous all

around the world. This is necessary to attract tourist most especially in

the Philippines, which is one of the most well-known tourist destination.

According to Hose, product and service promotion is one of

the necessities for getting your establishment in front of the public and

attracting new customers. There are numerous ways to promote a

product or service. Some establishments use more than one method,

while others may use different marketing purposes. Regardless of your

establishment’s product or service, a strong set of promotional

strategies can help position your company in a favorable light with not

only current customers but new one as well.

An astonishing falls located at the Municipality of Kalayaan,

Laguna is another destination that is not yet renowned. It is also known

as San Juan Twin Falls because it’s situated on the eastern part of

Barangay San Juan. The place is not much publicized, that’s why the

water that streams from above is still pristine and crystal clear.

Travelers will also be surprised of other falls set in the vicinity. One can

enjoy the cool water from the waterfall that goes directly into the man-

made pool from a resort.

Background of the Study

The researchers came up to this study to be able to know

the effectiveness of the existing promotional strategies of the falls

which is still in the process of developing to become one of the highly

competitive tourist destination not only in Laguna, Locally but also

Internationally.

Laguna, Resort Province of the Philippines, is a haven of

fresh and pristine bodies of water such as hot springs, lakes, and

waterfalls. Most notable is Pagsanjan Falls, formerly called Magdapio

Falls, referred to as “shooting rapids.” It is found in Cavinti, starting

from Pagsanjan town. Another is Lake Caliraya, which is located

between Cavinti and Lumban. The strong mountain breeze that blows

from the Sierra Madre Mountain Ranges and the distant Mount

Banahaw makes the lake an ideal place for aqua sports like wind

surfing, water skiing, sailing as well as game fishing. Laguna de Bay,

Southeast Asia’s largest fresh water lake, stays pristine throughout the

year due to regular rain showers.

There are dozens of other falls with most towns having at

least one. Kalayaan, a municipality located between Paete and

Lumban lying along the shores of Laguna De Bay is one such place.

Although the Kalayaan Twin falls is not as well-known as other falls in

the province, it has very untouched and vibrant water the streams from

above and makes it one of the beautiful falls in the province.

Kalayaan is a third class municipality in the province of

Laguna, Philippines. As of the moment, it lacks some livelihood

programs that people need to sustain their everyday living.

Kalayaan Twin falls is still in the process of development as

a tourist destination that needs to be promoted publicly. The

researchers aim to determine the effectiveness of the promotional

strategies of Twin falls in Kalayaan, Laguna.

Theoretical Framework

Brand Awareness Effects on Consumer Decision Making for

a Common, Repeat Purchase Product:: A Replication, (Macdonald and

Sharp 2000) This article is a replication of a study of Hoyer and Brown

that used a controlled experiment to examine the role of brand

awareness in the consumer choice process. The replication used the

same methods, but with a different (but similar) product category, a

larger sample, and a sample group that included experienced as well

as inexperienced consumers. Results support the original study's

findings that brand awareness is a dominant choice tactic among

awareness group subjects. Subjects choosing from a set of brands

with marked awareness differentials showed an overwhelming

preference for the high awareness brand, despite quality and price

differentials. They also made their decisions faster than subjects in the

nonawareness condition and sampled fewer brands. In a surprising

finding, respondents use of the awareness choice heuristic did not

seem to decline steadily over repeated choice trials, but rather showed

something of a U-shaped pattern, with subjects returning to the high

awareness brand in the latter choice trials. Little support was found for

Hoyer and Brown's finding that subjects in the no brand awareness

conditions chose the quality brand on the final trial more often that
those in the awareness differential conditions. In summary, awareness

differentials seem to be a powerful influence on brand choice in a

repeat purchase consumer product context. Consumers show a strong

tendency to use awareness as a heuristic and show a degree of inertia

in changing from the habit of using this heuristic.

The theoretical foundations of strategic marketing and

marketing strategy: foundational premises, R-A theory, three

fundamental strategies, and societal welfare, (Shelby D. Hunt 2015)

The strategic marketing field of study has long suffered from an

identity problem: the field has lacked clarity and consensus as to its

theoretical foundations, its nature, and its scope. There have been

two recent approaches that contribute to resolving the identity

problem. First, Varadarajan’s (Journal of the Academy of Marketing

Science, 38, 119–140, 2010) approach focuses on strategic

marketing's (1) domain, (2) definition, (3) fundamental issues, and (4)

foundational premises. Second, resource-advantage (R-A) theory's

approach focuses on how R-A theory provides a theoretical

grounding for eight forms of business and marketing strategy. This

article evaluates how the two approaches relate to each other and

shows how R-A theory (1) grounds extant business and marketing
theories of strategy, (2) illuminates, informs, extends, and grounds

the sixteen foundational premises of the strategic marketing field that

Varadarajan (2010) proposes, (3) implies that there are three

fundamental strategies, “superior value”, “lower cost”, and

“synchronal”, and (4) shows how the three fundamental strategies

promote societal welfare. Therefore, the two approaches, when

considered jointly, complement each other and foster the

development of the field of strategic marketing and the forms of

marketing strategy.

Online consumer behavior: theory and research in social media,

advertising and e-tail, (Routledge 2012) Social media (eg, Facebook,

LinkedIn, Groupon, Twitter) have changed the way consumers and

advertisers behave. It is crucial to understand how consumers think,

feel and act regarding social media, online advertising and online

shopping. Business practitioners, students and marketers are trying to

understand online consumer experiences that help instill brand loyalty.

Conceptual Framework
 The research paradigm of this study is represented in figure 1.

IV DV

F Strategies of
Promotional Effectiveness of Promotional

Twin falls Strategies of Twin falls in

 Printed Ads Kalayaan, Laguna

 Social Media  Customer Awareness

 Oral Endorsement  Patronage

 Product Differentiation

Figure 1 Figure 2

Figure 1. The Researchers Paradigm

The researchers aim to find the effectiveness of promotional

strategies of twin falls in Kalayaan, Laguna with the use of Marketing

Strategy which consists of direct marketing and social media and

Advertising Strategy, which consists of endorsement campaigns and

discounts.
Statement of the Problem

This study aims to determine the effectiveness of

promotional strategies of Twin Falls in Kalayaan, Laguna.

Specially, it seek to answer the following questions:

1. What are the promotional strategies of Twin falls in Kalayaan,

Laguna in terms of:

1.1 Printed Ads;

1.2 Social Media;

1.3 Customer Referral Incentive Program?

2. Effectiveness of the existing promotional strategies of Twin falls in

terms of:

2.1 Awareness

2.2 Patronage

2.3 Brand loyalty

2.4 Peer promotion

3. Is there a significant effect on the promotional strategies of Twin

falls in Kalayaan, Laguna?

Research Hypothesis

The hypothesis formulated in a working form is hereby

formulated for acceptance and support. This study aims to prove that

the marketing and advertising strategies have significant effect to the

promotion of twin falls in Kalayaan, Laguna.

Significance of the Study

The research study sought to identify the effect of

promotional strategies of twin falls in Kalayaan, Laguna. The result of

the study may benefit the following:

Municipality

The study is beneficial to the people of Kalayaan because

the Twin Falls can soon be a destination spot which will in turn provide

jobs and services to the local people.

Tourists

This research can also help tourist to have other options and

newer destinations. The target beneficiaries of the Twin Falls are those

who seek relaxation and different adventures.

Future Researchers

The study can also benefit the future researchers in the field

of Tourism and research studies of similar in nature and surroundings.

They can use this as their reference and source of information in the

future.

Scope and Limitations

The study will focus on the promotional strategies of Twin

falls in Kalayaan Laguna. The researchers will specifically gather

information and data from the thirty residents of Kalayaan, Laguna and

ten tourists of twin falls. The interview and questionnaire will be

conducted in the Kalayaan Proper.

Definition of Terms

The words defined below are the terms used in this study.

The words are defined according to how these were used and in

further understanding on the whole study.

Customer Referral Incentive Program. The customer referral

incentive program is a way to encourage current customers to refer

new customers to your store. Free products, big discounts and cash
rewards are some of the incentives you can use. This is a promotional

strategy that leverages your customer base as a sales force.

Printed Ads. A type of advertisement that helps people to recognize a

establishment or tourist attraction to be easily seen. It show a lot of

information like location, facilities and activities.

Promotional Strategies. is a method used to spread the word about

the product or services to customer, stakeholders and broad public.

Sales. It is the profit that an establishment gains for a period of time.

Social Media. Is a type of direct marketing using the online groups and

social media such as Facebook, Twitter, blogs, etc.

Tourist Arrival. It is the number of person who visited a destination or

establishment for a period of time.

Twin Falls. A stunning tourist destination located in Kalayan Laguna,

which is not well known to the public.

 Chapter 2

REVIEW OF RELATED LITERATURE AND STUDIES

This chapter includes related literature and studies in which

the researchers have gathered through different references.

Related Literature

Tourism is one of the fastest growing industries in the world.

It has become one of the vital issues of the economic and social

benefits to the society.

Mullins et.al (2013) promotion can be a short term-activity,

but considered at a strategic level. It is a midand long-term investment

aimed at building up a consistent ang credible corporate or destination

identity. Promotion, when used effectively, builds and creates an

identity for the product or the organization. Brochures, advertisements,

in-store merchandising, sales promotions and so on, create the identity

of the company in the mind of the consumer, and all aspects of the

promotional effort should therefore project the same image.

 Hartline (2014) Sales promotion involves activities that

create buyer incentives to purchase a product or that add value for the

buyer or the trade. Sales promotion can be targeted toward

consumers, channel intermediaries, or the sales force.

These literatures are related to the study because it shows how

promotional strategies can effectively affect an event or place that is

being endorsed.

Arens (2006) marketing strategy describes how the

company plans to meet its marketing objectives, assembles all the

pertinent fact about the organization, the market it serves, and its

product, services, customer, competition and so on.

It forces all departments, product development, production, selling

advertising credit, transportation-to-focus on the costumer. Finally it

sets goals and objectives for specified periods of time and lays out of

the precise strategies and tactics to achieve them.

Sharma (2014) simplifying somewhat, marketing strategies

can be seen as the means, or ‘game plan’, by which marketing

objectives will be achieved and, in the framework that we have chosen

to use, are generally concerned with 4 P’s.

 Berry et.al (2004) this should include atleast a mission

statement, objectives and focused strategy including market segment

focus and product positioning.

Mullins et.al (2013) interrelated decisions about market

segments, product line, advertising appeals and media, prices and

partnerships with suppliers, distributors, retailers and other agencies.

These literature are related to the study because it explain the

timeframe and processes of marketing strategy to be used.

William et.al (2008) direct marketing is a taking the store to

the customer. A mail order house that communicates directly with

consumers through ads and catalogs is one type of company engaged

in direct marketing.

Cravens et.al (2006) the purpose of direct marketing is to

make direct contact with user customers through alternative media.

Ling (2017) Direct Marketing is a process of identifying likely

buyers of certain products and promoting the products accordingly. It is

increasingly used by banks, insurance companies.

Chiang et.al (2017) Direct marketing which indirectly

Increases the flow of profits through the retail channel, help the

manufacturer improve overall profitability by reducing the degree of

inefficient price double marginalization. While operated by the

manufacturer to constrain the retailers pricing behavior.

Palmer et.al (2009) direct marketing faces challenges

and opportunities associated with the emergence of social network

media. Companies needed to address target audiences both directly

and also indirectly through social media. The purpose of this paper is

to provide a review of challenging media landscape of direct marketing,

and proposes a model of direct and indirect targeting of buyers.

These literature are related to the study because it explain the target of

marketing and how they can benefit from the direct marketing.

Saravanakumar et.al (2012) During the different times eras,

different methods of communication has developed and change the

day by day life. Social media has become the method of statement in

21st century, enabling us to express our belief, ideas and manner in an

absolute new way.

Cravens et.al (2006) internet is a worldwide means of

exchanging information and communicating through a series of

interconnected computers. It offers a fast and versatile communication

capability that internet initiatives span a wide range of global industries

and companies, and there have been successes but also many

failures. Stimulated by overly optimistic expectation and faulty

implementation, initiative have been pursued by both traditional

enterprises and and new business design.

Chung et.al (2010) Social media provide marketers

interactive communication environments with opportunities to enhance

existing relationships with consumers. Even though social media has

been recognized as the most potentially powerful medium in business

practice, there is lack of understanding in terms of why people use

social media and how they perceive social media marketing messages.

This study investigates (1) gratifications underlying social media

usage, (2) attitudes toward social media marketing messages, and (3)

the effectiveness of the messages concerning online shopping value. A

research model was created based on the Uses and Gratifications

theory. Social media gratifications, including entertainment, information

and interaction, were examined as exogenous variables. Attitudes

toward social media marketing messages and online shopping values

were examined as endogenous variables. The results explain that

attitudes toward social media marketing messages are strongly related

to social media interaction and information gratifications, but are not

related to entertainment gratification. Also, positive social media

marketing messages increase online shoppers' hedonic values. As a

managerial implication, marketers should provide useful information

and an active interaction virtual arena using social media in order to

create positive consumer marketing messages and increase online

shopping value.

The above mentioned literature are directly related to the research

since it explains the process of social media marketing and why it is

widely used,

Kotler et.al (2003) Advertising is a key component of

promotion and is usually one of the most visible elements of an

integrated marketing communications program. Advertising is paid ,

non-personal communication transmitted through media such as

television, radio, magazines, newspapers, direct mail, outdoor displays

, the internet, and mobile services.

Bootwala et.al (2007) advertising is the communication link

between the seller and the buyer or consumer. It does not just provide

information about the products and services, but it is an active attempt

at influencing people to act by appealing to their emotions and

thoughts. Thus advertising is not just the flow of information, but goes

further to influencing and persuading people to action.

International Institute of Management and Technology

Studies (2013) Advertising is nothing but paid form of non-personal

presentation or promotion of ideas, goods or services by an identified

sponsor with a view to disseminate information concerning an idea,

product or services.

The literatures cited are related to the research because it defines how

consumers and buyers could benefit from advertisements.

Kotler et.al (2003) consist of short term incentives to

encourage the purchase or sales of a product or service. Sales

promotion includes a variety of promotional tools designed to stimulate

earlier stronger market response. When companies use promotional

pricing, they temporarily price their products below list price and

sometimes even below cost.

International Institute of Management and Technology

Studies (2013) Sales promotion is specific efforts that are designed to

have an immediate impact on sales. It refers to many kinds of

incentives and techniques directed towards consumers and traders

with the intention to produce immediate or short –term sales effects.

The literatures are related to the study because it describes how a

discount can promote a certain product or place such as Kalayaan

Twin Falls.
Related Studies

Octavio (2014) cited that promotional strategies that show

correlation in a business such as rice mill business and the like, such

campaign for example giving tokens to its regular and large scale

customer must be definitely implemented to help the business acquire

any build loyalty among potential and current customers.

Arcillas et.al (2010) stated that micro enterprises agrees that

promotional strategies affect their business profitability by stabilizes

and increase their sales and profits. Micro enterprises also agree that

promotional strategies helps in customer satisfaction like increasing

demand, maintain loyal customer and build their service awareness.

Averion et.al (2010) stated that marketing strategies of

Max’s Restaurant in terms of their print advertisement has significant

effect that the people are easily attracted to the things that caught their

attention so the print advertisement must be appealing to the market.

Castro (2014) cited that marketing strategy has effect to the

Sunstar Mall in terms of product and service. It proved that marketing

strategy is design to be the vehicle used to achieved marketing plan

and objectives. Also contributes to the goals of the company.

These are related to the study because these are significant

explanation on how people can benefit from marketing strategies.

Evans (2010) Building and maintaining brand loyalty are

one of the central themes of research for marketers for a very long

time. Marketers have utilized various means to maintain the brand

loyalty of their customers. One of the recent means is the social media

marketing. The aim of this study is to identify the effect of social media

marketing on brand loyalty of the consumers, given that the concept is

receiving increasing attention from marketing academia and

practitioners. The scope of the study consists of customers who follow

at least one brand on the social media in Turkey and the data were

collected through the administration of a structured questionnaire with

a sample of 338 people and tested via stepwise multiple regression

analysis. The results of the study showed that brand loyalty of the

customers is positively affected when the brand (1) offers

advantageous campaigns, (2) offers relevant content, (3) offers

popular contents, (4) appears on various platforms and offers

applications on social media; were used by using SPSS 17.0 version.

Customers prefer to share music, technological-related, and funny

contents on social media platforms. Based on our results, this study

can be considered as a pioneer in this new area of marketing, and

propose several tactics for the practitioners.

Ashley (2014) This study employed a content analysis of

the creative strategies present in the social media content shared by a

sample of top brands. The results reveal which social media channels

are being used, which creative strategies/appeals are being used, and

how these channels and strategies relate to consumer engagement in

branded social media. Past research has suggested that brands

should focus on maintaining a social presence across social channels

with content that is fresh and frequent and includes incentives for

consumer participation (Ling et al., 2004). This study confirmed the

importance of frequent updates and incentives for participation. In

addition, several creative strategies were associated with customer

engagement, specifically experiential, image, and exclusivity

messages. Despite the value of these creative approaches, most

branded social content can be categorized as functional.

These studies are related to the research because it

presents how social media marketing affects the promotional

processes to be used and how it engages target beneficiaries.

In additional of Ortile (2014) advertising is not significant on

personal selling and sales promotion of Natasha in Sta. Cruz, Laguna

in the year of 2012-2013. It reveals that Natasha must keep on finding

different way or advertising technique to give enough information about

their product, to research and influence more customers.

These are related to the study because advertising is one of the most

effective way to connect to public.

Discounts
 Chapter 3

RESEARCH METHODOLOGY

This chapter presents and describes the design of the study,

research instrument and methodology that is used to the study “

Promotional Strategies of twin falls in Kalayaan, Laguna in year 2017-

2018.

Research Design

The researcher used the descriptive research design.

Descriptive research methods are used when researchers want to

describe specific behavior as it occurs in the environment. It describes

phenomena as it existed. It also presents relevant data and prescribes

all the necessary information in order to know the promotional

strategies if twin falls in Kalayaan, Laguna.

Stevens et.al (2006) stated that the descriptive research is

highly structured and rigid unit approach to data collection compared to

explanatory research’s instructed and flexible approach. It’s such,

descriptive research purpose much prior knowledge on the part of the

researcher regarding who will be targeted as a respondents, what

issue are the highest priority to be addressed in the study, how the
questions are to be phrased, to reflect to the vocabulary, experience of

the respondents and why there is need to answer a particular question

in order to make a decision.

Population and Sampling Techniques

The population that will be used in this study are the locals of

Kalayaan, Laguna regardless of their civil status, as well as their

position and dedicational background. Out of the entire population, the

response of chosen individuals which consist of ten residents and ten

municipal officers will be utilized by the researchers.

Research Procedures

The first step is to get the approval of the proposed title of the

research. Then the researchers proceeded to the construction of the

first three chapters. Then, the questionnaire will be distributed to the

respondents in order to gather data and information that will prove that

promotional strategies can greatly affect the present state of Luisiana,

Laguna Tourism.

Research Instrument

The primary tool used in this study was questionnaire. A

questionnaire is a quick and efficient way to obtain information from the

respondents. Checklist types of questions were used in the

questionnaire that helped the respondents answered easily.

The questionnaire provided a five-likert scale of optional answer with

equivalent range and verbal interpretation as follow.

Scale Range Verbal Interpretation

5 4.21-5.00 Strongly Agree

4 3.21-4.44 Agree

3 2.61-3.20 Moderately Agree

2 1.81-2.60 Disagree

1 1.00-1.80 Strongly Disagree

Table 1 Point Likert Scale

Statistical Treatment of Data

Statistical treatment was use to analyzed and interpret the data

given by the respondents. After administering the questionnaire –

checklist to the respondents, all the data were gathered, presented,

analyzed and interpreted.

 In answering the specific questions in this study, the following

statistical techniques were employed.

To answer problem 1 and 2, mean and standard deviation was

utilized to describe the degree of the Promoting Luisiana, Laguna as

the Creative Tourism.

Mean Formula: Mean is the value obtained by adding the values

in the distribution in dividing the sum by the total number of values.

Where:

x̅ = Mean

x = Observed Values

N = Number of Respondents
Standard Deviation Formula: Formula design to know the variability

or dispersion of data around the mean.

Where:

SD = Standard Deviation

x̅ = mean

N = Number of Respondents

X = Observed values

The spreadsheet application was used to compute the statistical result

of the study. It was presented to the statistician for checking and

validations of the computations.

Spearman Formula:
Where:

r= association of ranks

x = x scores

y = y scores

y̅ = mean of y scores

x̅ = mean of x scores
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