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To Study The Impact of The Advertisements On The Brand Preference of consumers-SPSS
To Study The Impact of The Advertisements On The Brand Preference of consumers-SPSS
Submitted By-
Utkarsh Arya (PRN-18021021)
Yash Gupta (PRN- 18021021357)
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Abstract
It is well known fact that people in India do not just watch their favorite sport, film
or serial, many are watching to see the commercials. Regardless of how good the
game was, there are usually a few ads that people talk about the next day. But one
thing that people may not think about is how trustworthy an advertisement may be
and, at a higher level, how much trust one can, or cannot, place in an industry's
advertisements. In Indian scenario it is proved that advertisements from Consumer
Durables are most effective.
As we know these days Durables companies are advertising their product so much
on televisions and are spending so much money on the celebrities to endorse their
products. For increasing the sale of their product they are taking film stars, cricket
stars in their advertisements of their products which are again very costly.
Therefore we took this as opportunity to study different aspects of Advertisements,
their impact on consumer perception etc.
TABLE OF CONTENT
S. NO. TOPIC
1. ABSTRACT
2. OBJECTIVE OF THE STUDY
3. SCOPE OF THE STUDY
4. INTRODUCTION OF THE STUDY
5. INTRODUCTION OF CONSUMER PREFERENCE
6. IMPORTANCE OF ADVERTISEMENT
7. REVIEW OF LITERATURE
8. RESEARCH METHODOLOGY
9. DATA ANALYSIS
10. FINDING OF THE STUDY
11. CONCLUSION
12. RECOMMENDATION
13. LIMITATION
14. BIBIOLOGRAPHY REFRENCES
15. QUESTIONNAIRE
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To study the impact of the celebrity endorsement on the consumer buying behaviour.
This project helps in projecting the impact of advertisement on customer’s brand preference.
When the customer’s while selecting a product or service what is the role play by advertisement.
We very well know that advertisement is not only use for awareness it also play a important role
The scope of study for management student gets to apply all their theoretical knowledge in the
market. During study they solve the particular problem given by the market and come to know
Consumer
A consumer is an individual who purchase or has the capacity to purchase goods and services
offered for sale by marketing institutions in order to satisfy personal or household needs, wants
or desires. According to a statement made by Mahatma Gandhi, ‘consumer refers to the
following, “A consumer is the most important visitor on our premises. He is not dependent on us.
We are dependent on him. He is not an outsider to our business. He is part of it.
Consumer Preference
All marketing starts with the consumer. So consumer is a very important person to a marketer.
Consumer decides what to purchase, for whom to purchase, why to purchase, from where to
purchase, and how much to purchase. In order to become a successful marketer, he must know
the liking or disliking of the customers. He must also know the time and the quantity of goods
and services, a consumer may purchase, so that he may store the goods or provide the services
according to the likings of the consumers. Now the whole concept of consumer’s sovereignty
prevails. The manufacturers produce and the sellers sell whatever the consumer likes. In this
sense, “consumer is the supreme in the market”.
The study of the consumer preference not only focuses on how and why consumers make buying
decision, but also focuses on how and why consumers make choice of the goods they buy and
their evaluation of these goods after use. So for success of any company or product promotion it
is very necessary to depart its concentration towards consumer preference.
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Consumer Acceptance
Acceptance describes consumer willingness to receive and/ to tolerate. For example, a customer
might accept the occurrence of a certain number of yearly supply interruptions given a certain
price.
Weighing needs or preferences against provided product or service attributes results in the
balance of satisfaction pointing in a negative or positive direction, depending on whether
interests are conflicting or corresponding.
This determines the way in which people evaluate companies’ or utilities’ performance. Only
when a consumer’s needs for a stated good or service are met, i.e. when the service provided
corresponds with their preferences, will they feel satisfied.
IMPORTANCE OF ADVERTISEMENT
Generally, advertising is a relatively low-cost method of conveying selling messages to
numerous prospective customers. It can secure leads for salesmen and middlemen by convincing
readers to request more information and by identifying outlets handling the product. It can force
middlemen to stock the product by building consumer interest. It can help trait dealers salesmen
in product uses and applications. It can build dealer and consumer confidence in the company
and its products by building familiarity. Advertising is to stimulate market demand. While
sometimes advertising alone may succeed in achieving buyer acceptance, preference, or even
demand for the product, it is seldom solely relied upon. Advertising is efficiently used with at
least one other sales method, such as personal selling or point-of-purchase display, to directly
move customers to buying action.
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Advertising has become increasingly important to business enterprises –both large and small.
Outlay on advertising certainly is the voucher. Non-business enterprises have also recognized the
importance of advertising. The attempt by army recruitment is bases on a substantial advertising
campaign, stressing the advantages of a military career. The health department popularizes
family planning through advertising Labour organizations have also used advertising to make
their viewpoints known to the public at large. Advertising assumes real economic importance
too. Advertising strategies that increase the number of units sold stimulate economies in the
production process. The production cost per unit of output is lowered. It in turn leads to lower
prices. Lower consumer prices then allow these products to become available to more people.
Similarly, the price of newspapers, professional sports, radio and TV programmes, and the like
might be prohibitive without advertising. In short, advertising pays for many of the enjoyable
entertainment and educational aspects of contemporary life. Advertising has become an
important factor in the campaigns to achieve such societal-oriented objectives such as the
discontinuance of smoking, family planning, physical fitness, and the elimination of drug abuse.
Though in India, advertising was accepted as a potent and recognized means of promotion only
25 years ago, its growing productive capacity and output necessitates the finding of consumers
and advertising plays an important role in this process. Advertising helps to increase mass
marketing while helping the consumer to choose from amongst the variety of products offered
for his selection. In India, advertising as a profession is in its infancy. Because of this fact, there
is a tremendous scope for development so that it may be productively used for the benefit of
producers, traders, consumers, and the country’s economy.
Everyday consumers are exposed to thousands of voices and images in magazines, newspapers,
and on billboards, websites, radio and television. Every brand attempts to steal at least a fraction
of a person’s time to inform him or her of the amazing and different attributes of the product at
hand. The challenge of the marketer is to find a hook that will hold the subject’s attention. In
helping to achieve this, use of celebrity endorsers is a widely used marketing strategy.
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REVIEW OF LITERATURE
Miss Amanda Spry et al, (2011) This research examines the impact of celebrity credibility on
consumer-based equity of the endorsed brand. The mediating role of brand credibility and the
moderating role of the type of branding (parent versus sub-brand) employed by the endorsed
brand on the endorser credibility-brand equity relationship are also examined. The endorser
credibility-brand equity relationship was developed using associative learning principles whereas
the brand signalling theory was applied to examine the mediating role of brand credibility.
Results suggest endorser credibility has an indirect impact on brand equity when this relationship
is mediated by brand credibility. This mediating relationship was moderated by type of branding.
However, the ‘endorser credibility-brand credibility’ and ‘endorser credibility-brand equity’
relationships did not vary according to the type of branding employed.
Mark M. Moriart(2002) In this research paper addressed the question of how long the
carryover effect of advertising on sales persists. Appropriate cautions are included in the
conclusions reached by Clarke since the preponderance of studies that he reviewed involved
mature frequently purchased low-priced products. His conclusion is that, for such products, the
carryover effect of advertising lasts a matter of months rather than years. The current study
examines durable goods and provides preliminary evidence that for some durables, advertising
effects may have a duration interval that exceeds a year
Rajagopal, (2006) The identity of brand, from the perspective of consumers, is the foundation of
a good brand-building program. Effective brand management encompassing brand personality is
of paramount importance in reaching the overall company goals of satisfaction, loyalty, and
profitability. Advertising effectiveness can be measured by brand and advertising evaluations.
The purpose of this paper is to analyze the strategies of effective brand building and managing
the same with reference to acquiring optimum customer value for long-run competitive gains.
There are many psychographic variables like emotions associated with the brand image which
constitute the personality of a brand. In case typical product category advertisements are
associated with negative affect, the particular advertising functions act as a counter-attitudinal
message, which is more persuasive in the case of a mismatch rather than a match with the
category advertisements. However, a persuasive advertising may affect consumer preferences. It
will be of critical importance for future researchers and practitioners to understand the
increasingly complex variety of factors underlying and influencing the linkages between brands
and customer relationship.
Unnava & Brunkrant (1991) He did a study whose main objective was to compare the effects
of varied v/s same execution of advertisements on brand name memory when the number of
exposure to ads is held constant. They found out that varied advertisement executions enhance
memory for brand name over repeated same executions. In varied advertisement executions
learning was superior when execution remained same.
Fareena Sultan and Russell S. Winer, In this paper, consumers' time preferences for
technology-driven consumer durable innovations are examined. We calculate from survey data
rates of time preference for products and product attributes. Several propositions related to these
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constructs are empirically tested. The results show that, over subjects, the product rate is
different from the economic discount rate which captures time preferences for money that
product rates of time preference vary by individual, by product and over time, and that attribute
level rates of time preference may vary by attribute. .
Dillon ,et al.(1997). Investigated the factors affecting the consumer behavior on durable goods
and foot items. The sample consisted 150 females 75 from rural and the anther 75 urban areas
from. The information about this study pointed the rural respondents given the advertisement
through radio primary importance and the other media like posters and magazines were least
affected, where as the urban respondents were affected more by television and magazines.
Various studies have been conducted on the effects of television advertisement on the Marketing
operations and consumer behavior.
Muneer (1995) studied the social and economical effects of advertisement on the Saudi
consumer. He found that the advertisement provides the knowledge about new products and it
helps them select the best products. However, some of the study sample indicated an adverse
effect of the television advertisement through encouraging the consumer to buy unneeded
products .
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RESEARCH METHODOLOGY
Before examining types of research designs it is important to be clear about the role and purpose
of research design. We need to understand what research design is and what it is not. We need to
know where design into the whole research process from framing a question to finally analyzing
Research design
The purpose of the study to “To Study the Impact of Advertisement of consumer durable goods
on Consumer Brand Preference at Jalandhar”. Hence descriptive research design used for this
Sample size
A sample of “100” sample was taken for the purpose of study and analysis.
Sampling unit:
Sampling unit consists of all customers having consumer durable goods in Jalandhar city.
Sampling technique
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Convenience sampling technique (non probability sampling) was used for the survey.
Data collection: data was collected through primary and secondary sources.
(1)Primary data: primary data was collected with the help of structured questionnaire and
personal interview.
(2)Secondary data: Source of secondary data was collected with help of published reports,
Percentage.
Pie Charts.
HYPOTHESIS FORMULATION
consumers.
consumers.
Null: - There is no difference in the consumer preference regarding the most effective media
for Advertisements.
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Alternative: - There is a difference in the consumer preference regarding the most effective
Null: - There is no significant effect of the celebrity endorsement on the consumer buying
behaviour.
buying behaviour.
Data Analysis:
Gender
Cumulative
ANALYSIS: The above data shows that the Gender of the respondent. Here 68% of respondent
Age
Cumulative
ANALYSIS: The above data show that the age difference of the respondent. 8% of the
respondent belongs to 20 to 30 year. 56% people belong to 30 to 40. 24% belong to 40 to 50 and
ANALYSIS: The above table show that the consumer preference regarding the durable goods.
30% people like to LG, 26% Samsung and 25% people like Sony products. It shows that these
ANALYSIS: When we ask to them why you chose these brands then 48% people said that they
choose these brands due to Brand Name. 20% people concern with the price and 12% said that
ANALYSIS: 38% people agree that advertisement affect his choice. It show that advertisement
play a important role in brand preference. 22 %people are neutral and 16% people disagree he
ANALYSIS: 30% people said that TV is a good medium for advertisement. So we say that if
company wants to communicate their customers then they choose the TV for Advertisement.
26% people said that radio is good medium and 18% people said that internet is good medium
for advertisement.
ANALYSIS: When we ask to the respondent can you recall any of the advertisement then 68%
respondent can recall the past or present add. It shows that the advertisement play an important
ANALYSIS: The above table show that the aspect of advertisement which the most remember
able to the customer. It show that 36% of people said that celebrity is most remember able and
32% said that Punch line is the most remember able and 20% people said that Theme is most
remember able.
ANALYSIS: The above Graph show that the reliability of the customer to advertisement. 36%
of the people rely on the advertisement. 43% said that they are relying sometime. Only 21%
ANALYSIS: 32% of people said that they change his perception towards the product if the
advertisement tries to promote the product in a better way. 26% people said that they not change
his perception just seen a advertisement. And 42% people said that they sometimes change his
perception.
Do you purchase a product just because your favorite celebrity is endorsing it?
Cumulative
ANALYSIS: The above data show that if the favourite celebrity is endorsing a product. Then the
image of the product is improved and people try to adopt these product. Because they believe
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that product is good. 34% people said yes. 21% said no and rest said they purchase sometime due
Hypothesis 1:
H0: There is no significant relationship between the advertisement(s) and the brand preference
of consumers.
H1: There is significant relationship between the advertisement(s) and the brand preference of
consumers.
For testing the above hypothesis we have used Chi Square test .The variables used are Age and
ANALYSIS: According to chi-square test rules if the assumption. Significant value comes out to
be less than 0.05 then we reject null hypothesis, and we accept alternative hypothesis. And in our
case assumption. Sig. value comes out to be .045, which is less than 0.05 significance level. So,
we reject the null hypothesis and accept the alternative hypothesis .This means there is a
significant relationship between advertisements and the brand preference of consumers. In other
words we can say advertisement affect the choice of brands among the consumers.
Hypothesis 2:
H0: There is no impact of the celebrity endorsement on the consumer buying behavior.
H1: There is impact of the celebrity endorsement on the consumer buying behavior.
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For testing the above hypothesis we have used Chi Square test .The variables used are Gender
ANALYSIS: From the above Chi square test it is clear that assumption. Significant value i.e. .
036 is less than significance level .05 therefore we reject our Null hypothesis. Therefore we
accept our Alternate hypothesis, i.e. there is impact of the celebrity endorsement on the
product
Percent
Valid STRONGLY AGREE 22 22.0 22.0 22.0
AGREE 33 33.0 33.0 55.0
SOME WHAT
18 18.0 18.0 73.0
AGREE
DISAGREE 15 15.0 15.0 88.0
STRONGLY
12 12.0 12.0 100.0
DISAGREE
Total 100 100.0 100.0
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Analysis:- Price of the product is the most influencing while seeing advertisement and this is
proved by the above graph which shows that 22% respondent strongly agree and 33%
respondents are agree with that price of the product influence them while seeing advertisement.
18% respondent says that they are neutral or somewhat agree with the statement. Only 15% and
2.) Factors influenced when you see an Advertisement. Benefits of the product
Valid Cumulative
Analysis:- According to the above graph most of the respondent 43% of the respondent says that
Benefits of the product influenced them while seeing an advertisement. Least respondent as only
9% says that they do not consider benefits of the product while seeing an advertisement.
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Cumulative
Analysis:- brand endorsers is the most considerable factor while seeing an advertisement. As we
know brand endorser play a important role in attracting consumer attention so our study also
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prove this point. 24% and 28% respondent are agree with the statement that brand endorser
influence them. Only 19% (disagree) and 11% (strongly disagree) with this point.
Valid Cumulative
advertisement having promotional offers also influence consumer brand preference and
perception and this is proved by the graph. Mostly respondent 37% agree with the statement.
5.) Factors influenced when you see an Advertisement. Quality of the product
Valid
Analysis:- 41% of the respondent says that they are agree with quality of the product influence
them while seeing the advertisement. 32% of the respondents are somewhat agree. But only 11%
are disagree (7% strongly disagree) with this point. So on the basis of the result we can say that
6.) Factors influenced when you see an Advertisement. Uses of the product
Valid
Analysis:- 45% of the respondents are agree on that uses of the product influence consumers
while seeing an advertisement. Only 5% of the respondent strongly disagree with the above data
and said that they do not consider uses of product while seeing an advertisement. In other word
we can say that Use of Product influence consumer perception while seeing an advertisement.
Analysis:- 44% of the respondents are agree with that necessity of the product
influence them, in other word only 6% of the respondent says that they are strongly
Analysis:- Mostly respondent 33% are agree with that opinion of friend about product
influenced by an advertisement. Only 7% of the respondents are against the above statement.
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Valid Cumulative
the respondent strongly disagrees with this point. On this basis of this graph we can say that
Valid Cumulative
Analysis:- As we know mostly advertisement are entertaining in nature. So, mostly respondent
43% says that entertainment influence them while seeing an advertisement. Only 9% of
Findings
their brand, i.e. there is a significant relationship between advertisements and the
Radio media.
respondents replied they do recall the advertisements of their brands. This recall
6. The main four factors are most influencing the consumer preference while
Celebrity.
Offers.
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Conclusion
As we know that today market is very competitive. There is cut throat competition in the
Consumer Durables industry mainly between the three big giant’s i.e. LG, SAMSUNG
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and Sony. Both are striving very hard for their market share. Therefore it becomes very
hard for the companies to retain their customers. It is also evident that companies spend a
huge amount on Advertisements. Therefore Advertisements are the back bone for this
Industry, they act as a glue to retain their consumers and target the prospectus. Also the
consumer’s preferences and the attitudes change with the passage of the time and age.
Mediums of Advertisements also play an important role in promoting the products among
the masses. Advertisements play a pivotal role in changing the consumers preference
.Television is an important and effective medium used for communication with the
consumers, and Internet has emerged one of the strongest medium that youngsters use to
gather the information. At last we can say that there is a direct relation between
Advertisements and the consumer preference which has been proved by the tests also.
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Recommendations
for it because youngsters are in close contact round the clock with Internet.
maximum population.
5. Companies should select the celebrity that has greater credibility and fan following
7. Use of digital Billboards as images and videos change after 5 seconds on bill
boards, they are attractive and they easily grab consumer’s attention.
8. Personal contract with the customer is best possible way to attend the customers.
So the company try to make relation with the customers after sales service.
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Limitations are always accompanied with any work. The present study has some
limitations.
The study has been conducted in the city ‘Jalandhar’. Opinion of people of other
The respondent for this study were well educated. Illiterate and less literate people
As all the primary data has been collected by discussion and interviews, there is a
I tried to convince the respondents that the study is only meant for academic
purpose, some respondents were not ready to furnish other information like who is
your favorite celebrity; you rely on advertisement, which factors influence you
preference.
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BOOKS REFERED
Kotler Philip (2008), Marketing Management 12th Ed, New Delhi, Pearson Education,
PP34-42
Kotler, Philip and Pfoertsch (2006) Waldemar, 12th Ed, New Delhi, Pearson
publication, PP 56-66
Shah .K and D’Souza .A (2009) Advertising and Promotions :An IMC Perspective 11th
Journal:-
Miss Amanda Spry, Dr. Ravi Pappu, Prof. Bettina T Cornwell, (2011) "Celebrity
Vol. 45 Iss: 6
Zafar .B , (July 2008 ) “Advertisement and its effects : a literature review” Journal of
Michelle Groene (2008) . “Adoption of Digital Video Recorders and Advertising: Threats or
Zafar .B , (July 2008 ) “Advertisement and its effects : a literature review” Journal of
35.
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Internet
http://www.wisegeek.com/what-are-consumer-durables.html
http://www.allbusiness.com/marketing-advertising/576118-1.html
http://www.jstor.org/pss/30162315
Additional Reference:
Rajagopal, (2006) "Brand excellence: measuring the impact of advertising and brand personality
Hassan Muneer A (1995). Perspective of Saudi consumers a bout the Affect of economical and
endorsement.asp.
55
Dnillon,etal (1997). The factors affecting on consumer behavior durable good and foot Items.
Gvpta.N .K& Devi, A.(2008). Impact of T.V. advertisements on buying pattern of adolescent
girls. Government college for women, parade, Jammu and Kashmir, India
QUESTIONNAIRE
Dear Sir/Madam.
We are conducting this survey as a part of our MBA programme from Lovely Professional University.
The purpose of this survey is “To Study the Impact of Advertisement of consumer durable goods on
Consumer Brand Preference at Jalandhar”. So we would be grateful if you could spend some of your
Name:-……………………………………………………………………………….
Contact No:-…………………………………………………………………………
Age:-…………………………………………………………………………………
LG SAMSUNG ONIDA
TV Radio Newspapers
Yes No
Yes No Sometimes
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Yes No Sometimes
Q9 Do you purchase a product just because your favorite celebrity is endorsing it?
Yes No Sometimes
(10) What do you want to see in a Advertisement? Which affect you preference toward the
brand? (Strong Agree-1, Agree-2, Somewhat Agree-3, and Disagree-4, Strongly Disagree-5)
product
3 Brand endorsers
4 Offers
5 Quality of the
product
6 Use of the product
7 Necessity of Product
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8 Opinion of expert
about product
9 Celebrity
10 Entertainment
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