2K18MBA119 - Saurav Kumar Sah

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Project Dissertation Report on

Impact of Advertising on Consumer Purchase


Decision

Submitted By
Saurav Kumar Sah
2K18/MBA/119

Under the Guidance of:


Mr. Dhiraj Kumar Pal
Assistant Professor

DELHI SCHOOL OF MANAGEMENT


Delhi Technological University
Bawana Road Delhi 110042

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CERTIFICATE

This is to certify that that the Project Report titled “The Impact of
Advertising on Consumer Purchase Decision ” is an original and bonafide
work carried out by Mr. Saurav Kumar Sah of MBA 2018-20 batch and
was submitted to Delhi School of Management, Delhi Technological
University, Bawana Road, Delhi-110042 in partial fulfilment of the
requirement for the award of the Degree of Masters of Business
Administration.

Signature of Guide Signature of HOD (DSM)


(Mr. Dhiraj Kumar Pal) (Prof. RajanYadav)

Place: Delhi

Date: 05th May 2020

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DECLARATION

I, Saurav Kumar Sah, student of MBA 2018-20 batch of Delhi


School of Management, Delhi Technological University, hereby
declare that Dissertation report on “The Impact of Advertising on
Consumer Purchase Decision” submitted in partial fulfilment of
Degree of Masters of Business Administration is the original work
conducted by me.

The information and data given in the report is authentic to the best of
my knowledge.

This report is not being submitted to any other University for award
of any Degree, Diploma and Fellowship.

(Saurav Kumar Sah)

Place: Delhi

Date: 05th May 2020

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ACKNOWLEDGEMENT

I take this opportunity to extend my sincere thanks to Delhi School of


Management, DTU for offering me a unique project to gain exposure and
garner knowledge in the field of Advertising.

I would like to extend my heartfelt gratitude to my Dissertation guide Mr.


Dhiraj Kumar Pal for having made my research period a great learning
experience by his constant guidance, encouragement and support.

Last but not the least I would like to express my profound gratitude to each
and every respondent of the survey who have helped me complete this
research. Also, I would like to thank various researchers whose work have
helped me to do the research in the right direction.

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EXECUTIVE SUMMARY

Advertising is a method through which organisation advertise their


product or services and make customer aware about the product. The
amount that is invested by the organisation on advertisement is very high.

Consumer purchase decision involves all the decision that is made by the
customer before purchasing the products like taste, preferences, choice,
brand appeal etc.

Advertising has a positive impact on the Consumer Purchase Decision.


The research provides substantial evidence that majority of the consumer
are influenced, attracted and make actual purchase due to the
advertisement.

Advertising act as a medium between the organisation and the end


consumers. The organisation advertise their product so that consumer are
aware about their products and consumer see those advertisement to know
the features and many more things about the products. So advertising is
very much important to communicate information related to the products.

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TABLE OF CONTENT

1. Introduction……………………………………………………………... 1
1.1 Background…………………………………………………………. 1
1.2 Problem Statements………………………………………………… 7
1.3 Research Questions…………………………………………………. 8
1.4 Research Objectives………………………………………………… 8
1.5 Significance of the Study……………………………………………. 9
1.6 Scope of the Study…………………………………………………... 9

2. Literature Review……………………………………………………….. 10

3. Research Methodology…………………………………………………. 16

4. Analysis, Findings and Recommendations…………………………….. 17

 Data Analysis……………………………………………………… 17
 Findings and Recommendations..…………………………………. 32
 Limitations of the Study…………………………………………… 33

5. Conclusion……………………………………………………………... 34

 References……………………………………………………………… 35
 Annexture…………………………………………………………….... 36

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CHAPTER ONE

1. INTRODUCTION
This chapter illustrate and describes about the background, statement of problem,
objectives of research, significance, scope and the organization of this study.

1.1 Background Statement


A discussion with the friend lead me to take this topic “The Impact of
Advertising on Consumer Purchase Decision” for my dissertation. In brief, he stated
that the product which is good need not to focus more on advertisement while in the
other hand the other friend who was next to me disagreed to him and argued that
advertisement play an important role in making product aware or known to large
consumer. The discussion went for very long period and they both were very much
correct to their point. One friend mentioned that he never buys those product which is
“over advertised”. He mentioned that the good product needs not to advertise
themselves, if the product is good consumer will automatically come to know about
the product. “Yelbert (2010) in her research Effects of advertisement of hair products
on student’s purchasing habits found out that some people think advertising is highly
misleading and influences the individual to buy inferior products. Also, Naomi Klein
in her book No Logo explains that a brand is not created in the factory anymore, but
rather created in the office. Klein describes the brand as a non-reflection of quality but
a reflection of what the marketing department wants it to stand for. She indicates that
instead of producing things, companies are rather producing images of things (Klein,
2000).” Adding to the point he mentioned that “If the product is good, it will sell itself”
what he wanted to say is that consumer will continue to buy the product if they find it
attractive after the first use. That is why he mentioned that inferior quality good are
over advertised to increase their sale as compared to superior quality goods. According
to Wheeler, “Advertising is any form of paid non-personal presentation of ideas, goods
or services for the purpose of inducting people to buy.”
According to Richard Buskirk, “Advertising is a paid form of non-personal
presentation of ideas, goods or services by an identified sponsor.”
According to William J. Stanton, “Advertising consists of all the activities involves in
presenting to a group, a non-personal, oral or visual, openly sponsored message

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regarding disseminated through one or more media and is paid for by an identified
sponsor.”
From the definition above given by many authors we can conclude that it is basically
for the purpose of increasing the sale and through which profit can be maximised. It
also help the organisation to make consumer aware about the brand they are selling.
Whenever any company launches any new product or services the take the help of
advertisement to reach people.

Types of Advertisement

There are different types of advertisement out of which some are as followed:

 Display Advertisement
This includes digital and newspaper ads. Digital advertising is an
updated version of newspaper advertisement; this is the same concept, only in
the form of the 21st century. This means buying advertising space on websites
that are of interest to the target audience. You can make text advertisement that
look basically the same as traditional media print ads, float banners above
website contacts, and even place wallpaper on the website background of your
product or service. We can see in the figure below that how London Gold
Company is using a hoarding for a display advertising.
Figure 1.1: Display Advertisement of London Gold

http://www.supremeoutdoor.com/digital.html
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 Social Media Advertisement

Social media advert like Twitter, WhatsApp, Instagram, Facebook and


almost all social media sites offer relatively cheap ads. Paid social media
advertising is an advertisement that focuses on adjusting your audience based
on the number of audiences you see and participate in. Organic social media
advertising is an advertisement that generates a lot of word of mouth. Suppose
you post something on your corporate Facebook page. If followers click "Like"
and tag a friend, the page will provide products for free. This is a type of
advertisement that is released for free to let people know what you have to
provide.

 Magazines and Newspapers Ads

Though newspaper and magazines have become very old way of


reading but still there are many people who loves to read this at the time of
morning with their tea and breakfast. Many people still have a habit of reading
a hard copy than reading it online. Using this for an advertisement is still a
good choice. People do see ads in the newspaper and magazines. Now many
print media have come online, people who prefer to read online can read it
online too.
 Outdoor Ads

Outdoor advert are one of the best way to promote your products. As
we know all outdoor advertisement has gone digital. It is very easy to advertise
on it. Outdoor advertisement are also done in buses, taxi, metros, e-rickshaw
etc. Many people travel from one place to another everyday so to grab the
attention of the customers, outdoor advertisement is the best way. Brand
recognition can be achieved very easily as it can easily be visible to the large
audience. The figure below shows how Nike is using an outdoor advertisement
to attract the consumers.

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Figure 1.2: Outdoor Advertisement of Nike.

https://www.quora.com/What-is-outdoor-advertising-and-why-is-it-important

 Radio and Podcasts

Radio can be used for the purpose of advertisement as it don’t require


any video advertisement. Radio can be used for the purpose of verbal
advertisement. Where one can advertise their product verbally by sitting inside
the room. The cost to the advertisement is very less and many people do listen
to the radio mostly while travelling. Whenever any passengers book a taxi
he/she always ask the driver to play the radio or the most of the time listen to
the radio. To get the traffic related updates many four wheeler traveller listen
to the radio so in the middle advertisement can be played.

 Direct Mail and Personal Sales

Direct mail can be used as an advertisement tool to persuade the


customers. In this the target audience is selected and a mail is sent to this
audience about the products. As the technology is improving day by day so it

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is very easy to find the likes and dislikes of the customers. The mail is sent for
those products which are demanded by the customers. Also various offers are
being provided to this audiences.
Personal selling is a way through which the sales man reaches to the
customer personally and explains the features about the product. They aim at
selling their products anyhow. The biggest advantage about this kind of selling
is that the customer can have a good look on the products and if they like the
product they can negotiate or else easily can say that they are not interested.

 Video Advertising

This is done to engage your customer so that they are loyal to your
product or services. Video advertising can be done like the company can ask
their customer to post a video on their social media page and can say what they
like and what they dislike about the products. The company can give some
discount to those customer who posted a video so that they are encouraged and
can encourage other to post the video with the products. YouTube can also be
used as a source of advertisement.

 Email Marketing

Email marketing is an advertisement that targets your existing


customers and involves them registering for a promotion or newsletter
targeting your brand. Email marketing is the latest update to customer loyalty.
When you treat customers as insiders with VIP knowledge, email marketing
can be very effective. There are as many ways to use ad types as there are ways
to use ad types. By diversifying your approach in the traditional and digital
world, and focusing on your core target market, while promoting your brand to
the general public, you can achieve leapfrog development.

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Figure 3 and 2 shows that how companies are using billboards for the advertisement
purpose.

Figure 1.3: Billboard Advertisement of Pepsi

http://www.lamar.com/Tulsa/GetInspired/Creative/Tulsa-Bulleti-Pepsi-2017

Figure1.4: Billboard Advertisement of Subway

https://www.emcoutdoor.com/case_subway.htm

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There are too many brand available in the market it is the choice of the consumer which
brand to buy. Advertisement plays an important role here in changing consumer
behaviour. It is advertisement which can attract customers toward there product.
“Majeed and Razzak (2011) studies that global business world is dynamic and
unstable. In this competitive world the competition had increased to great extent and
it had been become unmanageable for the organizations and companies for the
attraction and retaining of the potential and the actual customers. The most important
and prominent tool for any organization to attract the potential buyers for their
products was that of advertisement. They also investigate the effect of the television
advertising with the advertising related variables of celebrity endorsement and
repetition of ads on the consumers buying intentions in the detergent industry.
Moreover the impact of celebrity endorsement effect of advertisement was not seen
significant in the detergent advertisements because consumers relies more on the
quality of the detergents rather than the affective perspective of the celebrity
endorsement. As the consumer’s intention for the purchasing of the product through
repeated frequency of detergent ads was significant and insignificant of that of
celebrity endorsement construct, the researchers had proposed that the effect of
celebrity endorsement could be analyzed in the any other product industry rather that
detergent industry.”

1.2 Problem Statement

Have you ever thought of how many advertisement you see every day? The
advertisement you see might be on television, you may have listen it on radio, or it
might have happened that while scrolling your social media you have been exposed to
an advertisement, it might have happened that while travelling from the bus or cab you
have seen big billboards at the side of the road.

There are many question that revolves around the relationship between the advertisers
and the targeted audience (the buyer of the product). Why different companies
advertise their product? Does advertisement helps in differentiate the two similar
product of different brand? Do advertisement help consumer to change their mind and
go for the product which they have seen in the advertisement? How much information
is correct which is shown in the advertisement? Do consumer have trust on the

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advertisement? What is the perception of consumer towards different advertisement?
So this project deals with finding out the impact of advertisement on the consumer
purchase decision.

1.3 Research Questions

This research seeks to answer questions such as;

a) What is the impact of advertisement on consumers?

b) Do Advertising affect consumer Purchase decision?

c) What is the impact of celebrity endorsement and images that can be seen in the
advertisement?

d) Does the information provided in the advertisement is true?

e) What is the level of satisfaction a consumer get after purchasing the product
which are shown in the advertisement?

f) What is the impact of advertisement on consumer purchase decision and up to


what extent does it effect?

Any other reason for purchasing the product?

1.3 RESEARCH OBJECTIVES / AIMS

The main objective of this research is to find out if advertisement have an impact on
the purchasing decisions of consumers. Also, this research is keen to find out the upto
what extent this advertising affects the purchase decision.

Specific Research objectives are:

1. To determine the extent to which consumers are affected by the information and

plan used in advertising.

2. To know how powerful is the advertisement in attracting the audiences.

3. To look into some other reason behind the purchasing of the products.

4. To know which advertising media mostly attract the customers and reason behind

that.

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1.4 Significance of Study

This is really very important subject matter to find out and the conclusion will very
important for both the ad company and the customers. This will:

i. Inform customer that how advertisement try to attract customer to buy their
product or services.
ii. Provide information to the advertisers that which strategies are effective and
which are not effective.
iii. Warn customer that not all advertisement message are true some might provide
false information.
iv. Inform advertiser that which kind of advertisement can attract more number of
audiences towards purchasing of the products.
v. Helps to find out how many of the audiences turned out to be a customers after
seeing the advertisement.

1.6 SCOPE OF STUDY

The study is limited to the data that has been collected through google
questionnaire.

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CHAPTER TWO

2. LITERATURE REVIEW

Kumar conducted a study on the effect of publicizing on customer buying conduct


with uncommon reference to Settle Constrained in India. He found that publicizing
and deals advancement in conjunction with the picture of the company impact the
customer buying choice. He moreover found that the quality and cost of item too
impact buyer buy of a great.

Taylor and Weiserbs conducted a study on the relationship between publicizing and
consumption and total utilization in America. They found that there's a concurrent
relationship between publicizing and utilization but not in a unidirectional. They
concluded that promoting and utilization appear to work on each other.

Sharma and Sharma conducted a study on the effect of promoting on buyer conduct in
India. They considered 134 companies utilizing settled impact demonstrate of board
information investigation. They found that other than promoting, variables like
company’s brand, quality of the item and company’s notoriety influence deals of a
company.

Ayanwale conducted a think about on the affect of promotion of Bournvita on


customer buying conduct in Nigeria. They found that promoting has major impact on
consumer’s likeliness for Bournvita nourishment drink.

Adelaar (2003) conducted a study on online compact plates shopping conduct of


shoppers through enthusiastic promoting in Asia. He found that motivation conduct is
gone before by consumers purposeful to purchase imprudently the items.

Related chambers of commerce and Industry (2013) in India, conducted a study on the
affect of publicizing on customer buying practices. They found that tall increment in
utilization of beauty care products merchandise as a result of promoting. They
moreover found that men on normal spend more on restorative items than their female
partners and ascribed this increment to mindfulness made by the item.

Ghulan, Javana, Burham and Ahmed (2012) conducted a think about on the affect of
advertrising on shopper buying conduct in Pakistan. They inspected the relationship
between natural reaction and customer buying conduct. They utilized 200 individuals

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in twin cities of Pakistan as their test. They found that direct relationship exists
between the free factors and the subordinate variable. The result appeared that buyers
purchase those brands from which they are candidly connected.

Nawazish and Ahmed conducted a study on the affect of publicizing on buyer buying
conduct in Pakistan. They inspected how passionate reactions are created, after
observing viable notice they induced shoppers obtaining conduct. They utilized 300
test subjects for this think about. They found that the natural reaction and tangible
invigorated exercises spoken to within the promotion has impact and can indeed alter
the buying conduct of buyers. They found that enthusiastic and natural reactions have
noteworthy affect on shopper buying practices.

Advertising is a subset of promotion mix which is one of the 4 piece in the marketing
mix, comprising product, price, place and promotion. Advertising is a promotional
strategy used in creating product awareness in the minds of consumer to take
purchasing decision.

It may be a communication device utilized by marketers. Promoting impacts


individual’s demeanours, conduct and life fashion. It is one of major source of
communication instrument between the maker and the client of item. For a company
item to be a well-known brand, they must contribute in their limited time exercises
particularly promoting Hussein 2008.

Numerous analysts depict customer conduct as the ponder of people or bunches and
the mental, enthusiastic and physical forms they utilize to choose, get, expend and
arrange of items and administrations, to fulfil needs and needs and the affect that these
forms have on shopper and society Krugman.

These issues have driven to the improvement of a few hypotheses to get it the buyer
obtaining choice handle. In other words, marketers can apply different jolts and watch
the conduct of customers but they cannot watch the consumers’ real thought forms.
This covered up data is considered to the dark box. In an endeavor to get a few
understanding, marketers consider shopper conduct (Futrell, 1999).

This consider subsequently is to examine the buyer buy choice and discover out on the
off chance that publicizing may be a deciding figure. In arrange to decide the variables
that impact the inclinations of the millennial era, an understanding of how consumer’s

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for the most part think and carry on in buying circumstances is crucial. Understanding
customer conduct and knowing clients have and never will be basic. Customers may
say one thing but do another (Engel et al., 1979).

Advertisers are constantly trying to define models on how advertising works. From
these models, they often try to pick meaningful communication objectives (Bovee et
al., 1995). These models show several phases of communication, progressing from
initial awareness up to the decision to make a purchase (Jones 1986).

Rai (2013), researched on the “Impact of advertising on consumer behaviour and


attitude with reference to consumer durables” for the International Journal of
Management Research and Business Strategy (IJMRBS). Rai states particularly that
in this data time and media world, Promoting plays a major part in changing the
conduct and state of mind of customers. He encourage clarifies that this alter in
conduct and demeanor is towards the items that are appeared in notices. Rai accepts
that when a shopper is uncovered to an advert, it modifies the demeanor with which
they see at the item. In reference to the obtaining choice of the shopper, Rai
demonstrates that Promoting has incredible impact within the obtaining choice of
clients for specific brands.

Yelbert (2010) conducted a study on the impacts of advertisement of hair products on


students’ purchasing habits. She had the extreme objective to decide whether the data
given amid promoting was satisfactory to completely advice understudies
approximately the impacts of the item. Yelbert was moreover inquisitive about
whether understudies purchase item since of models in promotions. She significantly
looked at the impacts of publicizing picture on social discernments of understudies.
Yelbert’s inquire about uncovered that a few individuals had a negative recognition
approximately promoting. They portrayed publicizing as a way of advancing second
rate items to extend deals. Moreover, promoters did not grant full data around item her
investigate discoveries demonstrated that numerous understudies are affected to
receive hairdos in promotions. They purchase a particular product due to the quality
of the product depicted within the promotion. Yelbert concludes that publicizing
features a positive and negative impact on customers.

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Models that can be used to describe consumer behaviour.

AIDA Model

The AIDA model was created by the American agent, E. St. Elmo Lewis, in 1898. The
first fundamental reason for existing was to upgrade deals calls, explicitly the
collaboration among merchant and purchaser concerning the item.

Lewis can be considered a pioneer when it comes to the utilize of logical strategies for
planning promoting and deals forms. At the same time, it was exceptionally vital to
Lewis to see publicizing as a sort of preparing that helped the recipient. Lewis’s
hypothetical clarifications of promoting hypothesis rested on broad encounter. He was,
for case, showcasing head at different companies and exhorted organizations as well
as companies included within the conception of promoting measures and campaigns.
He has shared his information within the frame of different distributions — both in
composed frame and in workshops at US colleges. His AIDA show can be seen as an
imperative bequest, since the equation is still utilized more than 100 a long time after
its to begin with appearance, for illustration in advanced promoting.

The AIDA model is based on four person stages that draw in interested parties who
are choosing on a item or benefit. The AIDA Demonstrate, which stands for Attention,
Interest, Desire, and Action.

Figure 2.1: AIDA model

https://en.ryte.com/wiki/AIDA

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Figure 2.2: AIDA model

https://www.researchgate.net/figure/The-AIDA-model-of-Lewis-1985-applied-to-
internet-marketing-4_fig23_267921545

The Hierarchy of Effect Model

The hierarchy of effects model is a model which tells promoters to form a promotion
in such a way that the client goes through all these six stages to be specific mindfulness,
information, enjoying, inclination, conviction and buy. It is made by Robert J Lavidge
and Gary A Steiner in 1961, the chain of command of impacts show recommends six
steps to shopper buying conduct.

Figure 2.3: Arrow diagram of Hierarchy effect model

https://www.mbaskool.com/business-concepts/marketing-and-strategy-terms/12173-
hierarchy-of-effects-theory.html

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“According to Barry (1987), the review of the advertising and marketing literature
leads to the conclusion that there is not one but many hierarchy of effects (Barry,
1987: 253). William J. McGuire (1969) is one of the proponents identified with the
hierarchy of effects model. McGuire presented a paper on the topic an information-
processing Model of Advertising Effectiveness to symposium on Behavioural and
Management Science in Marketing, at the University of Chicago. He identifies the
fact that it is necessary for an advertiser to place their advertising in the appropriate
media.”

In the hierarchy of effect model, the consumer goes through a number of processes
after being exposed to an advert. McGuire identifies the processes to be;

 Attract attention

 Knowledge of the products

 Showing Interest

 Choosing

 Memorising

 Buying

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CHAPTER THREE

3. Research methodology

Data Collection Type

The data collected for the purpose of the study is primary data. Questionnaire has
been used for collecting the data. Altogether there are fifteen questions.

Types of the Study

A quantitative approach applied in this study to test the hypotheses.

Hypothesis to be tested

That advertisement has a significant impact on the purchasing decision of the


consumer.

The model

Dependent variable: Consumer Purchase Decision

Independent variable: Advertising

Hypothesis

H0: There is no relationship between the Advertising and Consumer purchasing


decision.

H1: Advertising has a positive impact on the consumer purchase decision.

Sampling Design

The unit of analysis was individual who uses various social media network.

Respondents: This consist of family members, friends, relatives, friends of friends


and all other people who knows me.

Questionnaire: Designed in Google Forms.

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CHAPTER FOUR

Analysis, Findings and Recommendation

Data Analysis

1. Gender

Gender

35%

65%

Male Female

The total number of response collected through distribution of questionnaire were 101,
out of which the male respondent were 66 and female respondent were 35. Majority of
respondent were from male. The ratio being 65:35 for male and female respectively.

The difference among the ratio will make our answer more obvious, which may not
have been possible in case were the ratio have been equal.

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2. Age Group

Age Group
1%

9%
15%

24%

51%

15-20 21-25 26-30 36-40 Above 40

The response has been collected from various age group ranging from 15-40+years
old. Maximum response belongs to the age group of 21-25 years followed by 26-30
years age group, 36-40 years age group and 15-20 years age group respectively. Few
response were from 40+ year’s age group.

As the research has been done to know the impact of advertisement on the consumer
purchase decision so we need response from all kind of age group to reach the
conclusion, which has been followed as can be seen in the above graph.

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3. Profession

Profession
1
4
8

16

59
13

Student Corporate Business


Financial Services Unemployed Private Employee

The response has been collected from various people who are into various profession.
As we can see in the above graph that most respondent are students and are of young
age group. The other respondent having most response after students are business,
corporate and financial services respectively. The remaining respondent are
unemployed and other category.

The information that we can gather from above data is that advertising has a great
impact on all kind of profession. Everyone follows the advertisement.

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4. Annual Family Income Level

Annual Family Income Level

22% 18%

29% 31%

Less than Rs. 2.5 Lakhs Between Rs 2.5 to Rs 5 Lakhs


Between Rs 5 Lakhs to Rs 10 Above 10 Lakhs

The maximum number of respondent belongs to the family income between 2.5-5
lakhs annual income followed by the family income of 5-10 lakh and above 10 lakhs
family income group. Less number of respondent belongs to the family income group
of less than 2.5 lakhs income.

The reason behind collecting the respondent’s family income is to know the relation
between purchase decision and the impact of the advertisement on their purchase
decision.

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5. Have you ever been exposed to advertisements of any kind?

Have you ever been exposed to


advertisements of any kind

19%

81%

Yes No

The response has been collected to know whether the respondents are expose to the
advertisement or not. Maximum number of respondents selected the yes option and
very few respondents has selected the no options. Everyone nowadays are expose to
some kind of advertisement because it is present everywhere, where ever we go.
Advertisement has become a part of life.

What we can gather from above graph is that most of them are expose to the
advertisement of any kind. The information will helps us to know that how much the
respondent are influenced from those advertisement.

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6. Which advertising media gets your attentions?

Which advertising media gets your


attentions?
60

50 52

40

30 32

20

10 13

3 1 0 0
0
Internet Television Newspaper Magzines Friends Billboards Radio

Which advertising media gets your attentions?

In today world of technology advertisement has reached next level, internet has
become the major influence. Every companies wants to advertise their product on
online platform media. As we can see in the above graph out of 101 respondents 52
respondents prefer to choose internet which has the maximum number as compared to
other media. Following television which has the second most number of respondents
and likewise newspaper, magazines and others respectively.

What we can gather from the above graph is that majority of the respondent get
attracted to the advertisement which are on internet following television, which has
the second highest number of respondents which is 32.

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7. Which time of the day are you often exposed to the advertisement?

Which time of the day are you often


exposed to the advertisement?

25% 25%

18%
32%

Morning Afternoon Evening Late night

The response has been collected to know that at which time of the day respondent are
exposed to the advertisement. Most number of the respondent are exposed to the
advertisement at the evening time, which covers 32%, followed by the morning and
late night which has 25% for both. 18% of respondent has said that they are exposed
to the advertisement at the time of afternoon which is the lowest as compared to other
options.

The conclusion that can be withdrawn from the above pie chart is that respondent are
exposed to the advertisement every time whether it be morning, afternoon, evening
and last night. The difference is very less between them.

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8. How often are you expose to the advertisement?

How often are you expose to the these


advertisement?

6%

31%

63%

Everyday 3-5 times in a Week Once in two week

This survey was collected to know about the respondents, exposed to the
advertisement. The survey has three options out of which respondent has to select one
out of it. The options were as follows:

 Everyday
 3-5 times in a Week
 Once in two week

The above survey shows that most of the respondent are exposed to the advertisement
every day, which is 63 percent and 31 percent respondent choose three to five times a
week. Remaining respondent has selected the third option.

To conclude we can say that though many of them are exposed to the advertisement
everyday but still there are few of them fall under the second and third options
category.

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9. Please indicate your evaluation of the advertisements you have been
expose to.

Please indicate your evaluation of the


advertisements you have been expose to
.
30

25

20

15
27
10 22
16 14
5 11 11

0
Attractive Interesting Informative Professiona Entertaining Effective

Advertising can be done in various ways. It depends on product, and the organisation
that how they want their customer to remember their product. The advertisement can
be entertaining, attractive, interesting, informative, professional and effective.

The above question were asked by the respondent to know what they have found in
the advertisement, which they were exposed to. Maximum of the respondent said that
the advertisement were informative, followed by the second most number of
respondent has said that the advertisement was interesting. Then after the respondent
said that it was attractive, entertaining and professional.

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10. Do you believe in advertising message?

Do you belive in advertising message?

32%

1% 67%

Yes No Maybe

The answer to the question mentioned above, only 67% of the respondent has said
that yes they believe in advertising message though maximum number has selected
yes but 32% of the respondent has said maybe they believe in advertising message.
Only one percentage of the respondent has selected the option no.

Every advertisement want’s to communicate some message to their consumer. The


same advertisement can be explained in different ways by different customers. So the
advertisement should always be short and easy to understand by the customers.

From the above pie chart we can conclude that yes they believe in the advertising
message as maximum number has selected that option.

26
11. Do you think advertising is important?

11. Do you think advertising is


important?
13%
0%

87%

Yes No Maybe

Out of 101 respondent 88 respondent has said that yes they think that advertisement is
important, if we see the percentage it is 87% those who said that advertisement is
important. The number of respondent who said no is zero, no respondent has selected
the option no and the remaining 13 respondent has selected the option maybe, that the
advertisement is important.

There are many product that are unknown to the people. Advertisement plays an
important role here because with the help of advertisement the product are known to
the customer, who are expose to those advertisement. So advertising is important
whether it be a new product or existing product. To increase the sale of the existing
product advertising agency comes up with new idea by which the sales can be
increased.

27
12. Do you buy product based solely on advertisement?

Do you buy product based solely on


advertisement?

9% 10%

32%

49%

Yes No Sometimes Most times

Advertisement has a great impact on consumer. A good advertisement may lead to rise
in sales of product that has been advertised, whereas a wrong advertisement may lead
to fall in the demand of the product which has been advertised. There are many similar
product which are being sold by the competitors, advertisement plays a major role here
as advertisement can change the perception of the people about the product.

The respondent were asked whether they buy product based solely on the basis of
advertisement or not. Maximum of the respondent has said that they buy product
sometimes on the basis of advertisement. Thirty two percentage of the respondent has
said that they don’t buy product solely on the basis of advertisement. Likewise
remaining respondent has said yes the buy and they have also selected the option most
times which is the lowest as compared to the other remaining options.

28
13. Have you purchased any products recently after coming across the
advertisement?

13. Have you purchased any products


recently after coming across the
advertisement?

8%

24%

68%

Yes No Maybe

The question was asked to know whether the respondent is watching the latest
advertisement or not and whether they are influenced with those advertisement or not
to buy the product which they see on advertisement.

As we can see on the above pie chart that around 68 percent of the respondent has
selected yes option indicating that they have bought the product when they were
exposed to the advertisement. And also this is the maximum number as compared to
the other options. Only 24 percent of the respondent has selected the no option
indicating that they have not bought any new product while they were exposed to the
latest advertisement. Around 8 percent of the respondent has selected the option maybe
they have bought the product or not.

29
14. Factors influence your purchasing of a product?

Factors influence your purchasing of a


product?

33% 35%

32%

I was curious about the product


It was a familiar products or brand
I was already planning to buy that particular product

This question is related to the above question where we have asked the respondent that
whether they bought a product or not after seeing the advertisement. So this question
was asked to seek answer what influenced them to buy the product. There is not much
difference in the percentage in all the options given above. Some of the respondent has
selected the option that they were curious about the product, some have selected that
it was a familiar product or brand and some have said that they were already planning
to buy that particular product. So it can be said that those who selected the third option
above had not that great impact on them of the advertisement, if they were not exposed
to the advertisement also they might have purchased that product. Whereas the other
two option have a great impact of the advertisement on the respondent. They may have
not bought that product if they have not come up with those advertisement.

30
15. The level of satisfaction after purchasing.

15. Level of satisfaction after


purchasing.

0%
3%
26%
23%

48%

Very satisfied Satisfied Neutral Unsatisfied Very unsatisfied

Whenever a customer buys a product the main thing that they want from the product
is satisfaction. If the customer is not satisfied he/she will never buy that product again
and also they will give negative reviews to other about the product. Though
advertisement helps in increasing the sales but to satisfy the customer the companies
has to make product according to their needs and demand then only the customer will
be satisfied.

The last question that was asked by the respondent in the survey was, the level of
satisfaction that they received from the product they have purchased.

The percentage of the respondents who were very satisfied from the product were 26,
the percentage of satisfied respondent were 48, neutral respondent were 23, unsatisfied
were only 3 percentage, and there were no very unsatisfied respondent. So it can be
said that the number of satisfied customer is higher than neutral and unsatisfied
customer.

31
Findings

 The data analysis presents enough evidence to reject the Null Hypothesis and
accept Alternate Hypothesis i.e. Advertising have a positive impact on the
purchase decision of consumer.

 Advertising has a positive impact on brand in terms of Trust, Brand Image,


Repeat Purchase and Brand Loyalty.
 Advertising has influenced all age group and they make a purchase decision
because of advertising.
 Profession such as Student, Corporate and Business are more influenced,
enticed and make a purchase decision because of Advertising.
 Advertising has helped in providing information about the products and
services that are being offered by the company.
 Many of the participant has said that advertisement is important as it helps in
making decision about the product clearer while purchasing a product.
 While purchasing a product after coming across an advertisement, maximum
number has said that they were satisfied with the product.

Recommendation

 There is a great impact of advertising on consumer buying behaviour, mostly


the impact of internet advertisement is high on consumer. So, it is
recommended to the advertising company to make use of internet as a platform
for advertisement. It has a huge scope to increase customer base.
 Graphic/ Image and audio-video type of advertisement has a more impact on
consumer than advertisement which has only audio. As it is more appealing
and grab more attention of the audiences.
 Brand loyalty is one of the major drawback to any advertising. So, before doing
an advertisement it is recommended to the producer to see their competitor
product and find what is more interesting about their product and should focus
more on such aspect so that they can attract those customer who are more loyal
to the brands.

32
Limitation of the Study

 The ratio of male and female respondent was 65:35 respectively. This may lead

to some biasness as the male ratio is higher than the female ratio which may

have altered the result.

 The research is limited to only 101 respondent.

 The fund and the resources were limited so the research was done with limited

respondent to whom the researcher can reach.

 The research does not claim that the response that has been collected from the

respondent is all true some of the respondent might not have provided the

correct answers to the survey questions.

 Out of 101 respondent 59 of the respondent were students. The result may be

more inclined towards the students, which may lead to biasness of the result.

33
CHAPTER FIVE

Conclusion

Advertising is not only thing through which consumer make their purchase decision
there are several other things. Though advertising act as a medium between the
customers and the organisations. Through advertising various message regarding the
product can be expressed. From my research and the responses that I gathered through
google form the conclusion that I reached is that yes advertising has an impact on the
purchase decision of the customers. As I have said earlier also that advertising alone
cannot influence customer decision, it is on the product i.e. how much satisfied is the
customer after purchasing the product. The product package, designee, quality etc. also
plays an important role here. The company should also focus on after sale service to
solve customer queries and record grievances.

Many companies spent their most income on advertising. The budget are also
separately allocated for advertising. Companies that invest most on advertisement are
PepsiCo, Coca-Cola, American Express, Procter & Gamble, General Motors, Walt
Disney, AT&T, Amazon etc. These companies spent around billions of rupees on
advertisement so that people buy their products and yes advertising has helped them
in increasing their revenue and the customer base.

Nowadays, companies are spending less on radio, magazines, newspapers, television


and more on internet for their advertisements. As we have seen in the survey that most
of the respondent has said that the see advertisement mostly on internet followed by
television which is the second highest.

So we can conclude that advertising is still one of the most important aspect by which
consumer can be attracted. Only the way of advertisement has changed like earlier
companies used to focus more on television and newspapers but now more focus is
given to the internet and digital media, but advertising still remains the integral part of
any company whether it be a new company or old company.

34
References
1. https://www.abacademies.org/articles/a-study-on-the-influences-of-
advertisement-on-consumer-buying-behavior-7177.html
2. https://ijac.org.uk/the-impact-of-advertising-on-consumers-buying-
behaviour/
3. https://www.researchgate.net/publication/296204657_Impact_of_Adverti
sing_on_Consumers'_buying_behavior_through_Persuasiveness_Brand_Im
age_and_Celebrity_endorsement
4. https://www.projectclue.com/mass-communication/project-topics-
materials-for-undergraduate-students/the-impact-of-advertising-on-
consumer-buying-behaviour
5. Wikipedia.org
6. Various research papers
7. https://www.ukessays.com/services/example-essays/marketing/the-
impact-of-advertising-on-consumer-purchase-behaviour.php
8. https://thepolicytimes.com/coca-cola-spent-4-24bn-for-advertising-in-2019-
20bn-in-the-last-5-years/
9. https://www.businessinsider.com/10-biggest-advertising-spenders-in-the-us-
2015-7

35
Annexure

36
37
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40
41

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