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Impact of advertisement on the consumer buying behavior A Dissertation Submitted to the Department of Management Sciences, Islamia University Bahawalpur. In partial fulfillment of the requirement for the degree of Bachelor in Business Administration In Finance By Hassan Ali Session of 2011-2015 1 | Page
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Page 1: #1#Impact of Advertisment on Consumer Buying Behavior(Final)

Impact of advertisement on the consumer buying behavior

A Dissertation

Submitted to the Department of Management Sciences,

Islamia University Bahawalpur.

In partial fulfillment of the requirement for the degree of

Bachelor in Business Administration

In

Finance

By

Hassan Ali

Session of 2011-2015

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Impact of advertisement on the consumer buying behavior

By

Hassan Ali

A Dissertation

Submitted to the Department of Management Sciences.

Islamia University Bahawalpur

Rahim yar Khan Campus

Bachelor of Business Administer

Approved By

____________________________

Sir Fahad

_____________________________ External Examiner

_____________________________

Internal Examiner

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Dedication

ToThe Allah Almighty,

The Merciful and The Beneficent,Who gave me health, thoughts and co-operative people to enable me achieve

this goal.And especially to

The loves of my parents,And prayers, which always acted as a

catalyst in my academic lifeAnd made possible my achievements.

To My loving brothers and sistersFor their never ending moral support.

ACKNOWLEDGEMENT

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“All praise belongs to Allah alone, lord of all the worlds, who created the heavens and the earth

and all that is between the two and indeed in them there are many signs for those who use

understanding”. (Al-Quran)

First of all, I bow my head in the deep gratitude to “ALMIGHTY ALLAH” who endowed me

with the potential and ability to make solid contribution to the already existing ocean of

knowledge. I think that, although, I have attempted every possible measure to make it

presentable, piece of work, yet man is fallible and I am not an exception.

I wish to express my hearties gratitude and appreciation to my worthy research supervisor who is

Sir Mr. Fahad providing this learned guidance. His elegant personality and invigorating

encouragement have always remained a source of inspiration for me.

Last but not the least, I am grateful to my parents for the inspiration and moral support. I would

not be here without their tremendous encouragement and prays.

Hassan Ali

…………………………

Table of ContentsAbsract…………………………………………………………………………………………………………………………………………………….6

1.1 Introduction:....................................................................................................................................7

1.2 Research objectives:..........................................................................................................................9

1.3 Research Question:............................................................................................................................9

1.4 Significance level of the study:........................................................................................................10

2.2 Consumer Buying Behavior:...........................................................................................................10

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2.3 Advertisement:................................................................................................................................12

Population size:.........................................................................................................................................15

3.2 Area of Sampling:................................................................................................................................15

3.3 Questionnaire survey:..........................................................................................................................15

3.4 Theoretical Framework:.......................................................................................................................16

3.5 Hypothesis:..........................................................................................................................................16

3.6 Sampling Design:................................................................................................................................17

3.6.1 Type of the study:.........................................................................................................................17

3.6.2 Unit of the analysis:......................................................................................................................17

3.6.3 Study Setting:...............................................................................................................................17

3.7 Quantitative Research:.........................................................................................................................17

Chapter No. 4............................................................................................................................................18

Analysis and Results:................................................................................................................................18

4.1Reliability and Validity Analysis:.....................................................................................................18

4.2Descriptive Statistics:.......................................................................................................................18

4.3 Correlation:......................................................................................................................................20

5.1 Conclusion:......................................................................................................................................22

5.2Limitations:......................................................................................................................................22

5.3Suggestions:......................................................................................................................................23

References:................................................................................................................................................24

Appendix:..................................................................................................................................................28

Abstract

Purpose:

The present study was conducted to find out the effects of advertisements on user behavior in

Rahim Yar Khan city (N=200). A questionnaire was used to measure the effects of

advertisements and every age person was targeted in our study for to get the perception and

awareness of any brand. For analysis Correlation, Z test and descriptive analysis were used. The

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results proposed that people change their brand to try the new brand. Results are also proposed

that consumer behavior changed by the income and male are more like the advertisement rather

than the female. The behavior of the consumer can be changed by the advertisement but

expensive products and repetition of advertisement cannot be changed the purchase decision.

Practical Limitations: The research covers the small sample size of the population and not

specific industry is targeted so that’s why the results may change.

Results: The independent variable have the positive impact on the dependent variable which is

the consumer buying behavior.

Chapter No. 1

1.1 Introduction:

Product or service is no such thing which exists itself without the help of customers (Riston

2004:21). So it’s important to capture a space in the mind of our customer. According to Nandan

(2004:1) customer perception about the brand is known as Brand image. The success of a

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product relay to many factors, but an important factor is how well we market our product in front

of our customers and in our customers mind. Here a question arises that how we market our

product in front of our customers. The answer is if we effectively create brand awareness about

our product in front of our customers. But during this process we must aware of the needs and

wants of our customers. First, we decide how we create brand awareness among our customers.

BTL is the communication method by which we directly in touch with our customers as well as

we get fed back from them. It is not so much costly, but have very effective.

I choose the topic of advertisement Influence on consumer Buying behavior is because Mass

media reach is everywhere so we easily judge its effect..

All the advertising methods have their impact, but media advertising has greater effect than

others (Latif and Aberdeen, 2011). According to De Cherenatomy (1998) effective Brand

awareness only creates by tactical perception. According to (Dang et al., 2005) there were 2050

promotional campaigns in the RS 80000 crore in 2004. This shows the significance of the Sales

promotion. Advertisement tactics vary from country to country and market to market. In

Pakistan generally in FMCG customer wants good quality but low cost products. But when we

talk about high-techproducts, customer wants high quality and here we cannot use sales

promotion because Quality never comes cheap. The customer buying behavior regarding about a

product take as utility and value producing activity(Kojima and Baba, 2001). If a customer is

buying a product means we are effectively communicating and delivering our product value. A

customeris not going through to every stage of advertisement some were used to see the TV ads

and someone focus on different posters and billboards which they see in market or roadside

during a road trip (Tellis, 1987). Any way of communication is effected the customer by

different ways, by content and appeal of the ad or poster, keywords and personality or

attractiveness of the advertisement. Much research shows that the buying behavior is largely

affected by the personality it is in the form of celebrity in a TV ad or soft spoken person in the

direct selling (Engel, Blackwell, &Miniard 1986).

Customer innovative nature is also a factor that how he responds to different types of ads a

communication process (Foxall& Goldsmith, 1994).The culture and Family setup is also

affecting the perception of a customer towards the advertisement (London&Bitta, 1994). Income

Level also determines the perception of a customer about different ways of advertising the

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product low income people prefer sales promotion and they focus on posters and billboards and

high income people focus on luxury Quality TV ads (Malik, 1999). When we have taken a space

in the customer's mind and he is recognized with our product then no matter what source we use

the focus on every ad poster billboard about the product(Aaker, 2004). According to park and

Lessing (1981) if we have a better understanding of the customers' minds than we are able to

choose the better way of communication. In places like Pakistan TV coverage is not reached in

every village and some parts of the country so if we only use TV ads, then we cannot capture this

market segment because we are not able to convey our message to them to capture them first we

use the poster billboards and direct selling methods to award them with our product and use

strategies like sales promotion to cement our place in customers mind. Direct selling is also has a

benefit that every aspect of a product is not covered in 30 Sec ad so in direct selling customer is

getting every information which he went and sales person also give the answer to their questions

to satisfy them. Now a day’s service sector is targeting their customers by direct selling concept

or door to door marketing, insurance agents are the major examples of them a TV ad cannot give

you the proper knowledge about any insurance policy so insurance agent helps you to know

about polices and choose the best one. Henning-Thurau (1) explains the positive relation of

customer relationship and customer oriented approach. Means if we are more customers centered

and the sales staff treats customers well it affect the customers buying pattern and companies can

retain customers. According to Russell and Lane (1996) companies thinks Advertisement as a

magic because it affects the mind of the customer which effect on the product in the market. If a

customer responds to the Advertisement or promotional offer it means he is giving his response

about his mind set to the marketer (Slomon, 2004).

According to Leading and Bitta (1994)the influential factors are also included friends, family and

society they also affect user Behavior. Rosaldo (1989) cited inMonaghan and just (2000)

research that cultures are affected all the activities of human life in the culture. New ways of

communicating and selling of product enhance the quality and change the style of the product

(Stanton and Futrell, 1987). In BTL we immediately observe the effect of our strategy of placing

our product. CMO, Big Three Auto Company tells the rapidly growing phenomenon of using

social media for marketing of the product he says “Two years ago 10% of my budget had an

online component. Today its 30%. Two years from now, it will be 50%. And overall budgets are

not growing. It’s all coming at the expense of television and print media.” Sales promotions or

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incentives offered by manufacturers to retailers or customers (Blattberg and Nielsen, 1990). It is

very important for companies to communicate what they have to offer (Jobber and Lancaster,

2006). According to Schultz (1998) sales promotion directly affect the behavior of a consumer

but it cannot generate the brand awareness. Importance of sales promotion is shown by the

promotional budget growth from 58% in 1976 to 72% in 1992 and increasing at a rate of 12%

from the last ten years.Lam and Lee (2005) say that there are chances that brand loyalty will be

affected by cultural values.Zucker (1986) Said that when a customer purchases a good it means

he is trusting on companies promises that other group keep their promise. Direct Selling is also a

key factor to achieve the trust of the customer. If the trust factor is present, then it ultimately

shows in the form of customer buying behavior.

1.2 Research objectives:The basic research objectives of my research are as follows:

To find the relationship between the advertisement and consumer buying behavior.

To study the impact of the advertisement on consumer buying behavior.

1.3 Research Question:The following are the research questions:

Q1: How advertisement effect the consumer buying behavior?

Q2: What is the relationship of the consumer buying behavior and the advertisement?

1.4 Significance level of the study:The significance level of the study means that the unique point of your research. The study is

conducted first time in lower Punjab and check the responses towards the consumer buying

behavior and the advertisement.

Chapter 2:

2.1Literature Review

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2.2 Consumer Buying Behavior:

Consumer behavior:

Consumer Behaviour is the study of individuals, groups, or organizations and the processes they use to

select, secure.Buyer behavior’s center of attention that how customers make a decision what to

purchase, why to purchase at what time to purchase, where to purchase and how frequently they

purchase, how often they make use of it, “how they evaluate it after the purchase and the impact

of such evaluations on future purchases, and how they dispose it off” (Schiffman and Kanuk,

2004). There are a variety of aspects like social and economic aspect that affect the buyer

behavior other than culture is the “fundamental determinant” of buyer behavior(Kotler,

2003).The study of consumers helps firms and organizations improve their marketing strategies

by understanding issues such as how The psychology of how consumers think, feel, reason, and

select between different alternatives (e.g., brands, products, and retailers);The psychology of

how the consumer is influenced by his or her environment (e.g., culture, family, signs, media),

The behavior of consumers while shopping or making other marketing decisions.

Schultz (1998) pronounces that, sales endorsement usually works on a direct behavioral

foundation instead of effecting attitude or awareness. Dwyer and Tanner (2006) say that,

industry buyer is bigger as compared to individual buyer; wants to say that every industry

customers are more significant to the financial circumstances of the business dealer company.

There is also little company, consequently every industry buyer is too essential to the economic

circumstances of the business; dissatisfied users are able to influence the business marketer's

business in a notable manner. Specified the rising significance of sales endorsement as a

proportion of the entire advertising and promotional budget(growth from 58% in 1976 to72% in

1992 and increasing at a rate of 12% per year over the last 10 years), Gardener and Treved

(1998) learning struggle to be aware of the impact of the sales endorsement of buyer behavior

and how very essential they are.

Consumer culture and behavior:

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Culture has an important effect on the individual’s behavior (Luna and Gupta, 2001; Ogden and

Schau, 2004). Usunier (2000)file the chosen aspects of user behavior on which the culture might

have probable effect: perception, inspiration, knowledge and remembrance, age, self idea, group

pressure, social rank, sex roles, attitude modify, decision making, purchase and post-purchase

behavior. (Luna and Gupta, 2001) identify the consequence of cultural values on the user

behavior. (Lam and Lee, 2005) propose that brand faithfulness may be affected by means of

cultural values.(Briley, Morris and Simonson, 2000) give insights into the function of causes in

decision making and compete that knowledge and differentiation are made active when the

persons are inquire to provide cause for their decision or buy decision.

Williamson (1985) describes opportunistic behavior as “the organization intentionally

transmitting incomplete or twisted information to others that would mislead, twist, hide and

confuse other people”. Opportunistic behavior is not just dishonest openly, however, as well

implement a more not worth mentioning method, but still have the reason of move people to go

the incorrect way, curl the truth, imaginary and generate confusion. In the investigation of trust

and commitment between buyers and the e-bank business, Mukherjee and Nath (2003) projected

a pessimistic association among opportunistic behavior and trust. The consequence originates

that opportunistic behavior and trust has a considerable negative association. Robert and Shelby

(1994) trusted that the likelihood of opportunistic behavior to occur increases when the doubt in

a business action is sky-scraping for the reason that trust be able to decrease the opportunistic

behaviors of both parties. Opportunistic behaviors are able to harm the trusting affiliation of two

parties. Aside from disturbing economical manufacturing, the purchaser and the vendor be able

to use another trust to mutually raise the trust between both and decrease opportunistic behaviors

and set up a long-term collaboration with mutual survival for the profit of both parties to be more

closely linked (Bell and Anderson, 2000). Abel (1993) furthermore pointed out that the

association of opportunism and trust is an obsession with both sides and has a negative

association. Consequently, it is for the reason that opportunistic behavior of a party or two

parties that would decrease the trust among businesses. This learning assumed that opportunistic

behavior is a usual behavior of individuals and it cannot keep away from falling the offerings of

trust in orassociated.

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2.3 Advertisement:TV has a major role to aware about the fashion of urban and rural respondent as associates are

also important to know about it. Boutiques have important role to give knowledge about the

fashion to the urban young people. It means that social and income factors strongly impact

clothing TV ads on young people, food choice, using up and behavior. Advertising seen is

determined by looking at bang.Shokoffer an assess of advertising experience. If one member is

influenced then it is equal to one target member of marketable spot. one in five advertisement on

TV adds is an important seen by one young member. According to survey 30% iof rural and 77%

of urban population has access of TV. 45-48% viewership is expected till 2020.with the

increase of TV sets, the Indian viewers are increasing ,but there is a problem, many channels are

and programs are running at a time(Saxena, 2005). TV adds impact on teenagers and they buy

these brands and goods which is advertised more and more(Saksena 1990 ; McNeal, J. 1999).

Due to the high disposable income, marketers target younger,parental purchase impact, loyal

about the brand(Fox 1996; Mc Neal 1999).Girls have more interest towards tv and influence

from celebrities(Dubey&Patel, 2004).

Girls give information which watched on TV and then decision to buy. It is said that female have

positive attitude towards TV adds(Kotwal et al, 2008). Younger have better way of funds to use

up for different things and family purchases affect by it (Beatty&Talpade, 1994). Due to the

higher response rate of girls the advertisement number could also be more (Dubey& Patel,

2004).Recently past, rural India has been changed the living standard. Due to over one billion

population Indian consumer market is the foremost. from the big mass users quarter is urbanized

and others three quarter are rural(Sehrawet&Kundu, 2007).

It is examined that roar in rural areas because of a rise in income, rural improvement program,

and spreading the tv channels increase knowledge Ramana Rao (1997).Atkin (1978) said that

young and children influenced. The buy decision in on their use of product (Cotte& Wood,

2004).Its believe of organization and promoter that advertising builds “magic in the

marketplace” (Russell & Lane, 1996). Instead of all these varies publicity has for all time been a

very strong foundation, which sustained to affect our lives since opening time (Wright, Warner

& Winter 1971; Wells, Burnett & Moriarty 1995; Jugneheimer& White, 1980).

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The advertiser needs to be sure that he and his product are recognized in the ad from it he can get

the benefits. Magazines, tv, radio, billboards are some tools of mass media. The advertiser pays

for advertisement for time and space (Jugneheimer& White, 1980). Advertisement has changed

in electronic media and internet in the 20th century (David, 2001).Loudon and Bitta (1994) said

that buyer decision method divided into 5 categories; problem recognition; information search;

evaluation of alternatives; choice and outcome.

The announcement impact on users by three key features: petition of advertisement, keyword /

slogan and celebrity used in the advertisement. Studies on advertisement prove that character

effect on user behavior (Engel, Blackwell, &Miniard, 1986). The form of publicity proposes that

to be efficient, any part of a convincing statement to carry its viewer (Wilmshurst, 1985;

Lavidge& Steiner, 1961; Leckenby, 1976; Colley, 1961). Wilkie (1994) describesthe behavior as

“psychological, touching and corporal actions which people connect with when choosing,

buying, using and arranging of goods and services to satisfy the need and wish. Purchasers are of

two types: customers and business. Both kinds set out via a same decision course to complete

their needs. Wilkie, W. L. (1994).

Appeal of Advertisement:

The appeal is the slogan or need-creating verse used in advertisement. Eye-catching character,

commercial’s keyword/caption and some information adding up to information arrive below the

petition of the advertisement of a particular product. They stimulate the shopper to cure his/her

concentration to the definite brand of creation (Wells et al., 1995).

Acceptance of Advertisement:

Reception is the degree to which, a buyer relies on the advertisement’s information and do

something for that reason, for the demand, keyword / caption, stanza, slogan and a model

personality (Wells et al., 1995). There are six basic values on which publicity run researcher

studied: to attain concentration; to arise curiosity; to build up and maintain that curiosity; to

create aspiration; to provoke action and to produce good will (Shahid, 1999).

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The sculpt of promotion proposes that to be effectual, any part of convincing statement has to

take its listeners through a chain of phases, every phase being reliant on the achievement on the

last phase (Wilmshurst, 1985; Lavidge& Steiner, 1961; Leckeny, 1976; Colley,

1961).Advertisement is everywhere in everyday of life. Its figures and positions are both

challenged and accepted. Several observed advertising, both the same as the mirror and the

creator of culture. Yet when advertisements put in new resonance and the signs that form

attribute, its words and descriptions reproduce the nearby and the precedent. Others speak

advertising is merely a financial action with one point, i.e., to put up for sale.

It is obvious as of meaning of advertisement that by modifying in times there include being

varied in the way marketing is processed. Though, in spite of all these transform advertising has

forever been a very strong organization, which has constant to pressure our lives since the start

of time (Wright, Warner & Winter 1971; Wells, Burnett & Moriarty 1995; Jugneheimer& White,

1980).Therefore, advertising is a mode of achieving trade efficiency and of maintenance selling

operating cost low down. The technique foundation on “hierarchy of effects” proposes that there

isant informal association between changes in a person’s manner about an invention and person’s

attitude to purchase that creation (Wilmshurst, 1985; Lavidge& Steiner, 1961; Leckenby, 1976;

Colley, 1961).

Advertising is compounded as numerous diverse advertisers attempt to reach lots of different

nature of viewers and several kinds of customers. That’s why there are various forms of publicity

also, so that every type of customers can be tackled. There is not now one sort of advertising; in

fact, advertising is a huge and mixed business and all nature of advertising require the inventive,

innovative post that are intentionally sound and fit bring out (Wells et al., 1995).

Chapter 3

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3.1 Research Methodology:

We have collected the data from the lower area of Punjab and fill out the 200 the questionnaire

from the general respondent and give the whole analysis. The software which we use for the

whole interpretation is SPSS (statistical package social sciences).

Population size:

To complete the whole research, we the target the population of the southern Punjab only and

then we take the sample of the four cities from them to conduct the whole research.

3.2 Area of Sampling:We have collected the data from the two different cities of the Southern Punjab to analyze the

whole research. These cities are as follows:

Rahim Yar Khan

Sadiqabad

3.3 Questionnaire survey:A questionnaire is a set of different questions that can achieve the needed information and

evidences from the respondent for the research purpose. The requirements and needs of the

research are translated into a set of particular questions. These questions should be easy to read

and understand and respondent should willing to answer it.

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3.4 Theoretical Framework:

3.5 Hypothesis:H1: There exists the positive and the direct relation among the advertisement and the consumer

buying behavior.

Ho: There exists no relation among the advertisement and the consumer buying behavior.

3.6 Sampling Design:In the sampling design we need to elaborate about the research and explains the following

factors:

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3. 6 .1 Type of the study: First is the type of the study and we need explains what type of the study is? Our research

belongs to the descriptive statistics because in our research, we find the relationship of already

discovered variables but in a different perspective.

3. 6 .2 Unit of the analysis: The unit of the analysis means from whom you collect the data? The general public who use the

any cellular network is considered to be our respondents and we collect the data from them and

they belong to the six different cities as we mention in the sample size.

3. 6 .3 Study Setting: The next we answer that either we conduct our whole research in the pure natural environment or

not. So, our data collect the data from the general public in the usual working hours and their

response is a natural phenomena because we don’t be able to control the other variable. So, our

research belongs to the field experiment and the pure natural environment, we collect the whole

data.

3.7 Quantitative Research:Quantitative research is also used in the research. This was necessary to collect response in

measureable units. Questionnaires are used for the collection of quantitative data of consumer to

check the impact of independent variables on the dependent variable in Punjab, Pakistan. This

will help to provide facts and estimation that will help to accurately predict the relationship of

independent and dependent variables. Details about the setting and design of the Questionnaire

will be discussed in this chapter later.

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Chapter No. 4

Analysis and Results:

4.1Reliability and Validity Analysis:

Table 1.0

Cronbach Alpha

Variable Name Cronbach Alpha Number of items

Consumer Buying Behavior 0.68 4

Advertisement 0.805 10

Explanation:

The above table 1.0 shows the reliability and validity of the questionnaire that either the

questions which we asked from the different respondents measures those things that we actually

want to measure the standard value of the Croanch Alpha is 0.60 and value of the each and the

every variable must lie between them.. The consumer buying behavior and the value of the

Croanch alpha for that variable is the 0.68 and this also lies in the acceptable range so the

questions asked about the consumer buying behavior is valid. The last variable is the

advertisement and the value of the alpha for that variable is the 0.805 and this also lies in the

acceptable range so the questions asked about the advertisement valid and reliable.

4.2Descriptive Statistics:The descriptive statistics tell you that where the respondent lays your research and this analysis

also tells you that the reliability of the whole data. This analysis also tells you both the data lies

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in the acceptable region normally we set a standard for the questions, answers and this is also

known as the “Allowable Error”.

Table 1.1

Descriptive Statistics

N Mean Std. Deviation

Statistic Statistic Std. Error Statistic

CB_behavior 200 3.4775 .08365 1.18305

Advertisement 200 3.7(Placeholder1) .05646 .79844

Valid N (listwise) 200

Explanation:The above table 1.1 shows that we asked 200 questions relevant to the consumer buying

behavior from the different respondents and the mean value lies in the 3.4 which means that the

mostly people are agree with the questions relevant to consumer buying behavior and the next is

the standard error whose value is also lies in the acceptable range and the standard is 0.08 and

that means the questions which we asked about the consumer buying behavior is valid and the

reliable and last is the standard deviation and the value of the this variable is1.18 which exceeds

from the standard and that means that the respondents don’t fill out the questionnaire relevant to

the consumer buying behavior carefully. The last variable is the advertisement the we also fill

out the 200 questionnaire relevant to the advertisement and the mean value of the3.73 which

means that the mostly people are agree with the advertisement questions and the they think

advertisement is good to change the purchase decision of the consumers and the next is the

standard error whose value is the 0.56 which means that the questionnaire is valid and reliable

and the last is the standard deviation whose value is the 0.79 which also lies in the acceptable

range and the variation among the respondents is less due to carefully answers given by the

respondents.

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4.3 Correlation:The correlational analysis tells the relationship of the different variables which we include in the

research and this also tells us the extent of the relationship either the relationship is positive,

strong positive, negative, strong negative and the no relationship among the variables. The

analysis of the different helps us to reach the desired objectives of the research and also helps us

to prove the hypothesis accepted or rejected.

The below table1.9 shows that the relationship of the different variables and the relationship with

each other. For example in our research one variable is the customer loyalty and its relationship

with the other variables. The person correlation value lies between 0 to +1 and from 0 to -1 the

value between the 0 to 0.5 has a moderate positive relationship with the other variable while the

value lies between the 0.5 and +1 has a strong positive relationship with the other variable and

the value lies between the 0 to -0.5 have the moderate negative relationship and the value lies

between the -0.5 to -1 have the strong negative relationship with the other variables.

H1: There exists the positive and the direct relation among the advertisement and the

consumer buying behavior.

Ho: There exists no relation among the advertisement and the consumer buying behavior.

The above null hypothesis is rejected and the alternate hypothesis is accepted on the bases of the

information available of the correlation table the correlation shows that the positive relationship

exists among the advertisement and the consumer buying behavior and the relationship value

between these variables is 0.475

Table 1.9

CB_behavior Advertisment

CB_behavior

Pearson Correlation 1 .475**

Sig. (2-tailed) .000

N 200 200

Advertisment

Pearson Correlation .475** 1

Sig. (2-tailed) .000

N 200 200

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Regression :

Regression analysis is performed when we want to check the relationship between the dependent and independent variable. The explanation of the different table is given below:

Table 2.0

Model Summaryb

Model R R Square Adjusted R Square Std. Error of the

Estimate

Durbin-Watson

1 .558a .311 .304 .98687 2.160

a. Predictors: (Constant), Advertisment

b. Dependent Variable: CB_behavior

Explanation:

The above table 2.0 shows that the there is non-auto correlation between the advertisement and

the consumer buying behavior. According to the above table the effect of one variable doesn’t

affect the other variable.

Table 2.1

Coefficientsa

Model Unstandardized Coefficients Standardized

Coefficients

T Sig.

B Std. Error Beta

1

(Constant) -.346 .413 -.838 .403

Consumer buying

behaviour.657 .133 .373 4.934 .000

Advertisment .360 .112 .243 3.215 .002

a. Dependent Variable: CB_behavior

Explanation:

The above table 2.1 shows that the importance of the one variable on the relationship according

to the above table the beta value is approximately 0.373 and this has moderate positive

relationship with the consumer buying behavior and if we want to change the consumer behavior

than there is need to increase the advertisement efforts.

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Chapter 5

5.1 Conclusion:The conclusion drawn by the whole research is that the customer have the more influence

towards th advertisement than other possible variables. The logic behind this is quite simple in

advertisement the company shows the actor to attract the customer towards them and its more

influential than other medias that’s why companies spend huge amount of their budget to

advertisement. Actually people are more convienced by watching repeated advertisement and

listing from friends than to other sources like direct selling where they don’t even trust the

person carrying product or benefits.Advertisiment has many aspacts and many things in it to do

and attract the customer with most interactive and creative ways of advertising like coca cola

company is adopting emotional and creative advertising strategies to connect with their customer

emotionally. Advertisiment is being trusted because of it source is directly company and the

message being deliverd is carefully tailored to meet the standards of integrated marketing

communication. So all considering the above information and by carefully analyzing the whole

questionnaire we arrive at a point that the advertisiment is more beneficial as compared to the

other variables. No doubt the cost of the advertisement is more than the other possible ways as of

direct selling etc, but companies don’t pay focus on the advertisement while creating and in its

making process, companies usually don’t pay attention (mainly small companies) while creating

advertisement so its not that eye catching and attractive for the final consumer to change his

buying behavior. With the help of advertisement and delivering the complete message to

consumer, consumer perception easily can be changed. Advertisiment is for masses so its

beneficial for the company to deliver the message to target audience with limited resources and

creative ways.

5.2Limitations:The research is conducted in the pure natural environment but the research has the some kind of

the limitations which must be considered while implementing the research.

The data was collected from the general consumer who mostly lies in the age of 20 to 30 so we

can say that the results may be different if we consider the other people who are above the age of

the 40.

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We only collect the 200 responses from the different people of the different cities of the southern

Punjab so chances of the results may be proven different of collect the more data. We don’t

collect the any data from any company but the research question shown that we must fill the

questionnaire from the company as well so because of that the results may be different from the

above one.

The results have shown that the consumers mostly prefer the direct selling as compared to the

advertisement but we might consider the cost of the company as well and the other factors like

monitoring the performance of the sale people.

5.3Suggestions:After conducting the whole research the main findings are discussed in the conclusion section

but we gave some of the common and valuable suggestions of the company after analyzing the

whole data.

The first is that the advertisiment is better and the it has more positive relationship with the

consumer buying behavior so if we want to change the responses of the general consumer

towards their company side then we might target the advertisment as compared to the other

sources available but companies must consider the other factor like the cost and the other

expenses which incurs.

No doubt the results proves that the advertisment is more beneficial for the company as

compared to the other options available to the company but on the other hand its impossible for

the company to change the consumer buying behavior through advertisement. But if its

conducted and created properly it can be most effective tool to influence the consumer behavior.

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Appendix:

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Questionnaire

Dear respondent I am the student of the Islamia University Bahawalpur(RYK campus). My research topic is the “Impact of advertisement on the consumer buying behavior” for the completion of my degree. All the information given by you is kept secret. No data is given to any company. All the data is used for the academic purpose only.

Strongly Agree 5 Agree 4 Neutral 3 Disagree 2 Strongly disagree 1

Sr.# Particulars S.A A N D S.DAdvertisement1 Generally speaking, I have good impressions of

advertisement.5 4 3 2 1

2 If I am satisfied with a product bought from a company due to their advertisement, I will suggest it to my friends and family members.

5 4 3 2 1

3 I am cautious and skeptical when a stranger advertisement explains and demonstrates a product to me.

5 4 3 2 1

4 If I accept to buy an unplanned product offered by an advertisement of a comapny, I believe that he/she owes me a favor.

5 4 3 2 1

5 Consumer perceives advertising in some media more trustworthy than others.

5 4 3 2 1

6 The advertisement design could affect the class and culture.

5 4 3 2 1

7 A new brand urges you to try the new brand. 5 4 3 2 18 FM radio advertisement urges you to try a new brand of

the company. 5 4 3 2 1

9 You prefer the new brand/product to the family/friends. 5 4 3 2 110 Based on this advertisement, you would be able to

purchase this product the next time you need [product category].

5 4 3 2 1

Consumer Buying Behavior11 I am willing to rely on ad-conveyed information when

making purchase related decisions.5 4 3 2 1

12 I am willing to recommend the product or service that I have seen in ads to my friends or family.

5 4 3 2 1

13 Buying behavior of the consumer depends upon their needs and wants.

5 4 3 2 1

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14 Consumer buying behavior depend upon the advertisement which they seen on the T.V.

5 4 3 2 1

Please fill out the general information carefully:

Gender: Male Female

Qualification: below Metric Metric Intermediate

Bachelors Masters above Masters

Age: Below 20 20-30 30-40 above 40

Marital Status: Married Unmarried

Location: ………………………………………..

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