Media Advertisement: Does It Really Influence The Purchase Intention?
Media Advertisement: Does It Really Influence The Purchase Intention?
Media Advertisement: Does It Really Influence The Purchase Intention?
RESEARCH PARK
IJEFSD
https://journals.researchparks.org/index.php/IJEFSD
Mubarak Kaldeen
Department of Marketing Management, South Eastern University of Sri Lanka
[email protected]
M. S. Ishar Ali
Department of Business and Management Studies, Trincomalee Campus, Eastern University, Sri Lanka
ABSTRACT ARTICLEINFO
Marketers use a variety of information channels to sway consumer behavior. Article history:
Every advertisement using different media has a unique mix that engages Received 19 jun 2022
consumers in a unique way. Consumer media habits have shifted as a result Received in revised form
of digitalization. As a result, a better understanding of advertisements on 18 Jul 2022
various media platforms and their implications for CB is required. The goal Accepted 17 Aug 2022
of this study is to check how advertisements affects consumer purchase
intentions in the Sri Lankan smart phone market. It reflects how people react Keywords:
to different types of advertisements. The study employed the survey method, Advertisement,
with data collected from 250 participants. The data was analyzed using
Consumer Behavior,
statistical tools such as Cronbach's alpha, correlation, and regression tests.
According to the R Square value, media advertisements accounts for 34% Communication
increase in purchase intention. Radio commercials, billboard advertisements, channels.
and newspaper advertisements, on the other hand, all have a negative
impact. The purchase intention of Smart phone is positively influenced by
TV, online and social media advertisements. Marketers must use social
media to promote their devices. Marketing managers can learn from this
study and engage in suitable media to achieve the objectivity of their
commercial advertisements.
_____________________
© 2022 Hosting by Research Parks. All rights reserved.
Copyright (c) 2022 Author (s). This is an open-access article distributed under the terms of E-mail address: [email protected]
Creative Commons Attribution License (CC BY).To view a copy of this license, visit Peer review under responsibility of Emil Kaburuan.
. Hosting by Research Parks All rights reserved.
https://creativecommons.org/licenses/by/4.0/
INTERNATIONAL JOURNAL ON ECONOMICS, FINANCE AND SUSTAINABLE DEVELOPMENT ISSN (electronic): 2620-6269/ ISSN (printed): 2615-4021
1. Introduction
In today's business world, mobile phones have become one of the most powerful devices. Companies
are attempting to attract a growing number of customers while also attempting to keep them on their
network for as long as possible. New customers benefit from better word-of-mouth recommendations
from existing customers. As a result, the operators provide more benefits to their current customers. In
general, advertising has the ability to influence consumer purchase intent in a variety of ways (Anjum et
al., 2015; Kumar & Raju, 2015). It has now become the most effective tool for attracting new customers
(Mishra & Vashiath, 2017). The goal of advertising media is to reach the intended audience. Companies
can use a variety of methods, but they must be powerful enough to influence consumer decisions. It
should persuade customers to switch from one product to another (Pongiannan & Chinnasamy, 2014).
Furthermore, in today's world, mobile phones have evolved into highly personalized devices. Other than
the owner, it is rarely used by anyone else. The advancement of technology allows for more advanced
features to be added to the devices. It will aid in the recruitment of new customers. The mobile phone
has evolved into a multipurpose device in recent years. Advertising gives you a better chance to get all
of your messages across to your customers (Ishar Ali & Siraji, 2021).
Consumer attitudes can be influenced by effective advertising. The ultimate goal of the advertisers is to
sell their goods. One of the most important factors in consumer decisions is the customer's environment.
Companies can use advertising to motivate customers (Ishar Ali & Siraji, 2021; Logan et al., 2012).
In comparison to other regional markets, Sri Lanka has the fastest penetration of smart phones, which is
growing around the world, according to global telecommunication officials. Customers in Sri Lanka
who have had 3G, 4G (and now 5G) for a long time know how to get the most out of their smartphones.
In Sri Lanka, approximately 63 percent of the population now owns a mobile phone. Despite being
higher than South Asia (42%) and the developing world (67%) in terms of mobile ownership, Sri Lanka
is still far behind mature markets, where rates of 60-80 percent are common. Subscriber growth in Sri
Lanka has been fueled by a combination of three factors over the last five years: rising household
incomes, rising GDP per capita, and rising consumer confidence. Expanded mobile network coverage,
with 2G networks now covering up to 90% of the population and 3G and 4G networks covering 70%-75
percent of the population, and increased competition between mobile operators, which has resulted in
lower prices for consumers.
People are more willing to purchase a brand new smart phone these days. However, there are more
competitive brands that offer a variety of smart phone options. The fact is that different people spend
different amounts of money on the same type of mobile phone. For example, both Huawei and Samsung
smart phones are made in China, and their quality is similar in most cases. People, on the other hand,
spend varying amounts on various smart phones.
In the mobile phone industry, Apple phones have a unique concept and approach. They are constantly
attempting to transform the mobile phone industry through new technology. Vivo, Redmi, and Xiaomi
use a variety of marketing strategies. As a result, there are some advertising influence factors to
consider. As a result, the researcher decided to investigate the advertising factors and their impact on
the Sri Lankan smart phone industry. The purpose of this study is to determine the impact of advertising
on consumer purchase intentions in the Sri Lankan smart phone industry. It reflects how consumers
respond to various types of mobile phone advertising.
Copyright (c) 2022 Author (s). This is an open-access article distributed under the terms of E-mail address: [email protected]
Creative Commons Attribution License (CC BY).To view a copy of this license, visit Peer review under responsibility of Emil Kaburuan.
Hosting by Research Parks All rights reserved.
https://creativecommons.org/licenses/by/4.0/
INTERNATIONAL JOURNAL ON ECONOMICS, FINANCE AND SUSTAINABLE DEVELOPMENT ISSN (electronic): 2620-6269/ ISSN (printed): 2615-4021
2. Literature Review
2.1.Theories and models relevant with advertising
The communication process model was developed to demonstrate that communication is made up of
several different elements that are constantly in contact with one another (Rai, 2013; Tsui, 2012). The
sender, message, receiver, feedback, channel, context or setting, and noise or interference are said to be
the seven main elements in this process model. This group of seven is equally important in the
communication process, and without one of them, the process would be incomplete. Advertisers must
be aware of how their message may be received by customers on the market in order for advertising to
be effective (Tsui, 2012).
Academics and professionals have spent a long time trying to come up with theories and models that
can show how customers respond to the advertising they are exposed to in order to make this easier
(Tsui, 2012; Pongiannan & Chinnasamy, 2014). The advertiser can create a message that meets all
requirements and is thus effective by understanding the different behavioral levels that customers pass
through (Ishar Ali, 2020). The communication process can be linked to these models. The
communication process model was developed by Mc Guire (1999). Professionals in the advertising
industry are still searching for the ideal model that can be applied to the real market and its customers.
Models and theories are difficult to apply in real life at the moment. AIDA is a behavioral model
developed by Strong in 1925 with the goal of ensuring that an advertisement raises awareness,
stimulates interest, and leads the customer to desire and, eventually, action (Kumar & Raju, 2013).
Every day, more than 80% of Sri Lanka's population watches television. Advertisers need sophisticated
data on viewer habits and audience profiles to ensure their TV commercials reach the right people at the
right time, which has become more difficult due to the proliferation of channels.
Radio advertisements are transmitted through the air via radio waves from a transmitter to an antenna
and, ultimately, to a receiving device (Petersen, 2018). In exchange for airing the commercials, a station
or network sells airtime. Despite the fact that radio is limited to sound, proponents of radio advertising
often tout this as a benefit. Radio is a growing medium that can be found both on the air and online
(Petersen, 2018; Rai, 2013; Tsui, 2012).
Social network advertising, also known as social media targeting, is a term for various types of online
advertising that target social networking sites (Alalwan, 2018; Logan et al., 2012). One of the most
significant advantages of advertising on a social networking site (e.g., Facebook, WhatsApp, Instagram,
Myspace, Friendster, Bebo, Orkut, etc.) is that advertisers can use demographic information about users
to better target their ads (Ishar Ali, 2020; Lim et al., 2017; Logan et al., 2012).
Social media targeting combines existing targeting options (such as geotargeting, behavioral targeting,
socio-psychographic targeting, and so on) to allow for more precise target group identification (Lim et
al., 2017; Alalwan, 2018). Advertisements are distributed to users via social media targeting based on
information gathered from target group profiles. Advertising on social networks is not always the same
as advertising on social media. The method of optimizing social media advertising by using profile data
to deliver advertisements directly to individual users is known as social media targeting (Ishar Ali &
Siraji, 2021; Lim et al., 2017). The process of matching social network users to advertiser-specified
target groups is known as social media targeting.
Advertising in a printed medium, such as a newspaper, magazine, or trade journal, is known as press
advertising. This includes everything from widely circulated media, such as a major national newspaper
Copyright (c) 2022 Author (s). This is an open-access article distributed under the terms of E-mail address: [email protected]
Creative Commons Attribution License (CC BY).To view a copy of this license, visit Peer review under responsibility of Emil Kaburuan.
Hosting by Research Parks All rights reserved.
https://creativecommons.org/licenses/by/4.0/
INTERNATIONAL JOURNAL ON ECONOMICS, FINANCE AND SUSTAINABLE DEVELOPMENT ISSN (electronic): 2620-6269/ ISSN (printed): 2615-4021
or magazine, to more narrowly focused publications, such as local newspapers and trade journals
covering highly specialized subjects (Mishra, & Vashiath, 2017). Classified advertising is a type of
press advertising that allows private individuals or businesses to buy a small, narrowly targeted ad for a
low cost to promote a product or service. Another type of press ad is the Display Ad, which is a larger
ad (with or without photographs) that typically appears in a newspaper's article section (Rai, 2013; Tsui,
2012). Newspaper advertising, magazine advertising, and in-flight magazine advertising are some of the
types of press advertising a firm can provide.
A billboard (also known as a hoarding) is a large outdoor advertising structure (a billing board) that is
commonly found in high-traffic areas like along busy roads. Passing pedestrians and drivers are
exposed to large advertisements on billboards (Hussain & Nizamani, 2011). Billboards are highly
visible in the top designated market areas, usually featuring large, ostensibly witty slogans and
distinctive visuals (Khan et al., 2016).
The largest standard-size billboards are bulletins. They have high-density consumer exposure because
they are primarily located on major highways, expressways, or main arterials (mostly to vehicular
traffic). Bulletins provide the best visibility, not only because of their size, but also because they allow
for creative "customizing" via extensions and embellishments. The other common type of billboard
advertising is posters, which are mostly found along primary and secondary arterial roads. Residents
and commuter traffic, with some pedestrian exposure, see posters, which are a smaller format than
bulletins.
2.2. Theoretical aspects of consumer Purchase intention
People think, feel, and act differently, according to Hofstede & Hofstede (2005). They've looked into
these psychological aspects. It's important to remember that certain groups or individuals may act
differently depending on their culture. Hofstede and Hofstede (Hofstede & Hofstede, 2005) The words
"global marketing," "technology," "consumers," and "communication" are all used interchangeably
around the world. Consumer behavior and advertising are also linked (Rai, 2013). Because the local
dimension of advertising differs from the international, advertising that is relevant to global businesses
acts as a cultural bridge. Coca-cola is an example of a common example. It is a globally recognized
brand, but when advertisers deliver messages to customers, it cannot be done in a standard manner.
There should be no disconnecting between the message and their values. (Mooij 2010, Mooij, Mooij,
Mooij Consumers' decision-making processes are influenced by cultural and subcultural factors. When
launching new products in different countries, marketers must exercise extreme caution. Acceptance of
the products is influenced by religion, nationalities, and regional groups, among other factors. Family,
role, and status are also influencing factors in consumer purchasing behavior. Consumer decision-
making is also influenced by some personal factors. Personal factors include a person's lifestyle,
income, age, and occupation. Aside from that, some psychological factors have an impact on consumer
behavior. Perception, attitudes, motivation, and belief are all part of it. (Evans & colleagues, 2006)
2.3. The influences of consumer decision making
According to previous studies of consumer purchasing behavior, there are three factors that have a
significant impact on the consumer decision-making process. External, internal, and marketing
influences are examples of these factors. Advertising can be classified as a marketing influence because
it has an impact on both internal and external factors. It went on to say that consumers' decision-making
is influenced by both emotional responses and the influence of audio, video, and text advertisements
(Abideen & Saleem 2011).
Copyright (c) 2022 Author (s). This is an open-access article distributed under the terms of E-mail address: [email protected]
Creative Commons Attribution License (CC BY).To view a copy of this license, visit Peer review under responsibility of Emil Kaburuan.
Hosting by Research Parks All rights reserved.
https://creativecommons.org/licenses/by/4.0/
INTERNATIONAL JOURNAL ON ECONOMICS, FINANCE AND SUSTAINABLE DEVELOPMENT ISSN (electronic): 2620-6269/ ISSN (printed): 2615-4021
Copyright (c) 2022 Author (s). This is an open-access article distributed under the terms of E-mail address: [email protected]
Creative Commons Attribution License (CC BY).To view a copy of this license, visit Peer review under responsibility of Emil Kaburuan.
Hosting by Research Parks All rights reserved.
https://creativecommons.org/licenses/by/4.0/
INTERNATIONAL JOURNAL ON ECONOMICS, FINANCE AND SUSTAINABLE DEVELOPMENT ISSN (electronic): 2620-6269/ ISSN (printed): 2615-4021
Copyright (c) 2022 Author (s). This is an open-access article distributed under the terms of E-mail address: [email protected]
Creative Commons Attribution License (CC BY).To view a copy of this license, visit Peer review under responsibility of Emil Kaburuan.
Hosting by Research Parks All rights reserved.
https://creativecommons.org/licenses/by/4.0/
INTERNATIONAL JOURNAL ON ECONOMICS, FINANCE AND SUSTAINABLE DEVELOPMENT ISSN (electronic): 2620-6269/ ISSN (printed): 2615-4021
For all independent variables the KMO score is greater than 0.70 and the Bartletts score equally
satisfactory at 0.000. This means that the data is suitable for factor analysis
Copyright (c) 2022 Author (s). This is an open-access article distributed under the terms of E-mail address: [email protected]
Creative Commons Attribution License (CC BY).To view a copy of this license, visit Peer review under responsibility of Emil Kaburuan.
Hosting by Research Parks All rights reserved.
https://creativecommons.org/licenses/by/4.0/
INTERNATIONAL JOURNAL ON ECONOMICS, FINANCE AND SUSTAINABLE DEVELOPMENT ISSN (electronic): 2620-6269/ ISSN (printed): 2615-4021
correlation analysis. General principles, if correlations between 0.10 and 0.30 are regarded as weak,
those between 0.30 and 0.70 as moderate, and those between 0.70 and 0.90 as strong. Correlation
analysis was conducted to examine the suggested relationship between variables.
Since the person correlation is 0.438, between TV advertisement and Smart phone Purchase intention,
0.121 between radio advertisement and purchase intention. 0.520 between online advertisement and
purchase intention, 0.738, between social media advertising and purchase intent, 0.123 between
billboard advertisements and purchase intentention and 0.212. Between press release and purchase
intention. Hence, it is found that there was a strong positive relationship between social media and
purchase intention, moderate positive relationship between television advertisement and online
advertisement with purchase intention, while, the relationship between bill board and press
advertisement with purchase intention was positive week.
4.6. Regression Analysis and Hypotheses Testing
Prior to running the analysis, regression assumptions were checked to ensure the normality, auto
correlation and multicollinearity using appropriate tests.
4.6.1. Durbin-Watson statistics for Auto Correlation
The Durbin Watson statistic is a test statistic used to detect autocorrelation in the residuals of a
regression study. The Durbin Watson statistics here is 2.13 which is between two critical values of
1.5<d<2.5. Therefore, there is no first order auto-correlation in our multiple regression data.
4.6.2. Multicollinearity Analysis
It is the condition of extremely strong inters association between independent variables. It is therefore a
sort of data disturbance, and if it is present, conclusions drawn from the data may not be trustworthy.
Table: 4.4: Multicollinearity Statistics
Model Collinearity Statistics
Tolerance VIF
TV Advertisemetn 0.275 2.471
Radio Advertisement 0.361 2.114
Online Advertisement 0.622 1.524
Social Media Advertisement 0.531 1.296
Billboard Advertisement 0.753 1.237
Press Advertisement 0.631 2.483
The statistics showed that each variable had a tolerance value of > 0.1 and a VIF < 10, hence
multicollinearity would not interfere the outcome of multiple regression analysis.
To examine the impact of media advertising on purchase intention of Smart phone in Sri Lanka,
multiple linear regression analysis was employed. The regression model presents how much of the
variance in the measure of consumers purchase intention is explained by the underlying media
advertisement elements
Copyright (c) 2022 Author (s). This is an open-access article distributed under the terms of E-mail address: [email protected]
Creative Commons Attribution License (CC BY).To view a copy of this license, visit Peer review under responsibility of Emil Kaburuan.
Hosting by Research Parks All rights reserved.
https://creativecommons.org/licenses/by/4.0/
INTERNATIONAL JOURNAL ON ECONOMICS, FINANCE AND SUSTAINABLE DEVELOPMENT ISSN (electronic): 2620-6269/ ISSN (printed): 2615-4021
According to ANOVA table, F value is 72.436 and p- value significant value is 0.021 < 0.05, hence, the
model is significant.
Table 4.5: Coefficients
Copyright (c) 2022 Author (s). This is an open-access article distributed under the terms of E-mail address: [email protected]
Creative Commons Attribution License (CC BY).To view a copy of this license, visit Peer review under responsibility of Emil Kaburuan.
Hosting by Research Parks All rights reserved.
https://creativecommons.org/licenses/by/4.0/
INTERNATIONAL JOURNAL ON ECONOMICS, FINANCE AND SUSTAINABLE DEVELOPMENT ISSN (electronic): 2620-6269/ ISSN (printed): 2615-4021
12. Ishar Ali. MS, & Siraji, M., (2021). Does social media influence consumer decision-making in
times of the COVID 19 pandemic. Journal of Humanities and Social Sciences Innovation, 1(1).
https://doi.org/10.35877/454RI.daengku416
13. Jain, G., Rakesh, S., & Chaturvedi, K. R. (2018). Online video advertisements’ effect on purchase
intention: An exploratory study on youth. International Journal of E-Business Research (IJEBR),
14(2), 87–101. https://doi.org/10.4018/IJEBR.2018040106
14. Khan, K., Hussainy, S. K., Khan, A., & Khan, H. (2016). Billboard advertising and customer
attention: A Pakistani perspective. International Journal of Scientific and Research Publications,
6(3), 502-506.
15. Kotler, P. and Keller, K. L., 2007, Marketing Management, 12th edition, New Delhi, Prentice-
Hall, pp 102 – 107, 173 – 184, 568 – 572
16. Kumar. D.P., & Raju. K.V., (2013). The Role of Advertising in Consumer Decision Making. IOSR
Journal of Business and Management, 37-45
17. Lim, X. J., Radzol, A. M., Cheah, J., & Wong, M. W. (2017). The impact of social media
influencers on purchase intention and the mediation effect of customer attitude. Asian Journal of
Business Research, 7(2), 19–36. https://doi.org/10.14707/ajbr.170035
18. Logan, K., Bright, L. F., Gangadharbatla, H., & Dix, S. (2012). Facebook versus television:
Advertising value perceptions among females. Journal of Research in Interactive Marketing,
6(3), 164–179. https://doi.org/10.1108/17505931211274651
19. Mishra, V., & Vashiath, A. (2017). Is advertising medium an important constraint in consumer
purchase intention: The theoretical foundation. Journal of General Management Research, 4(1), 38–
45.
20. Mooij, M., D., 2011, Consumer behaviour and culture: Consequences for global marketing and
advertising, 2nd edition, London, SAGE publications, pp 2-5
21. Petersen, L. (2018). Advantages and disadvantages of radio advertising. Retrieved from
http://smallbusiness.chron. com/advantages-amp-disadvantages-radio-advertising-40629.html
22. Pongiannan, K., & Chinnasamy, J. (2014). Do advertisements for fast moving consumer goods
create response among the consumers? An analytical assessment with reference to India.
International Journal of Innovation, Management, and Technology, 5(4), 249
23. Rai, N. (2013). Impact of advertising on consumer behaviour and attitude with reference to
consumer durables. International Journal for Management Research and Business Strategy, 2(2),
74–79.
24. Saunders, M., Lewis, P., Thornhill, A., 2009, Research methods for business students, 5
edition, Rotolito Lombarda, Prentice Hall publications, p268 and p288
25. Tsui, H. C. (2012). Advertising, quality, and willingness-to-pay: Experimental examination of
signaling theory. Journal of Economic Psychology, 33(6), 1193-1203.
Copyright (c) 2022 Author (s). This is an open-access article distributed under the terms of E-mail address: [email protected]
Creative Commons Attribution License (CC BY).To view a copy of this license, visit Peer review under responsibility of Emil Kaburuan.
Hosting by Research Parks All rights reserved.
https://creativecommons.org/licenses/by/4.0/