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METHODS IN BUSINESS RESEARH (MBR)

(MKT 404 – OWE-10824)

“FACTORS INFLUENCING CONSUMER BUYING


BEHAVIOR IN DETERGENT INDUSTRY”

Contents
Chapter 1 - Introduction..............................................................................................................................3
Background of the study.............................................................................................................................3
1.1 Scope of the study.......................................................................................................................4
1.3 Objectives of the study......................................................................................................................4
1.4 Statement of the problem.................................................................................................................5
1.5 Research questions............................................................................................................................5
1.6 Hypothesis.........................................................................................................................................5
Chapter 02 – Literature review....................................................................................................................5
2.1 Introduction.......................................................................................................................................5
2.2 Aspect of Availability and Consumer Buying Behavior.......................................................................5
2.3 Aspect of Celebrity Endorsement and Consumer Buying Behavior.............................................6
2.4 Aspect of Brand Image and Consumer Buying Behavior..............................................................7
2.5 Aspect of Advertisement and Consumer Buying Behavior...........................................................7
2.7 Conceptual Framework.........................................................................................................................8
Chapter 03- Methodology..........................................................................................................................10
3.1 Research approach...........................................................................................................................10
3.2 Research purpose.............................................................................................................................10
3.3 Research design...............................................................................................................................10
3.4 Target population.............................................................................................................................11
3.5 Sample size......................................................................................................................................11
3.6 Data collection technique.................................................................................................................11
3.7 Sampling technique.........................................................................................................................11
3.8 Statistical technique.........................................................................................................................11
Chapter 04 – Result and discussion...........................................................................................................12
4.1 Demographics..................................................................................................................................12
4.2 Descriptive analysis..........................................................................................................................14
4.2.1 Reliability test...............................................................................................................................14
4.2.2 Regression....................................................................................................................................15
4.2.3 Correlation....................................................................................................................................17
Chapter 05 – Conclusion, Recommendation and Findings........................................................................18
5.1 Conclusion...........................................................................................................................................18
5.2 Recommendations...............................................................................................................................18
Appendix A................................................................................................................................................19
Appendix B................................................................................................................................................26
Chapter 1 - Introduction

Background of the study


Brand image plays a vital role in building profitable relations with customers. In our society,
people are conscious about brand image, satisfaction and loyalty. Brands are considered as
implied. In recent times, brands can emerge in markets and can attain the business not only on
price but customer attraction, attraction of people and can enjoy the competitive edge. Loyalty is
the main aspect as it matters a lot.

Brand image development is a long term process. It is an asset to compete with your competitors.
Advertising in Pakistan is becoming a driving force for customer retention and consumer buying
behavior. Brands make sure that their product is marketed in a right behavior, they use valuable
strategies and tools to develop the advertisement. When any brand is organized in effective ways,
the marketing techniques can give positive impact on buyers’ business as they can easily attract
maximum number of people and buying power.

Celebrity endorsement is a popular and powerful way, a brand can convert its revenue into
profits.

Allowing people to experience familiar faces in advertisements is the safest way brand chose to
develop and association in the minds of consumers. Whenever a consumer come across their
favorite personality endorsing a product they can easily connect with it. At an instant that
product attains credibility because celebrity endorsement is a technique which generates
credibility.

These celebrities need not to be superstars but they should be known in the audience. Celebrities
are seen in TVC, DVC, films, radio, and magazines. It’s the most effective way to consumer
buying process. Considering the consumer perspective, they want to own the brand so that it
enjoys a good reputation. It becomes all the more alluring and consumers feel that by using such
brands they will gain some status because celebrity endorsed products satisfy this longing of
enjoying a brand that comes with symbol of status.

Advertising is a marketing idea that targets to trigger consumer' buying decisions. Consumer
behavior, on the opposite hand, is the technique and hobby via way of means of which human
beings choose, purchase, evaluate, and devour a services or products to fulfill a want or desire.
An agency will in no way be a marketplace chief until it spends a substantial part of its price
range on advertising. Advertisement is part of an agency's advertising blend strategy. Because,
so one can achieve success and a chief, an agency ought to efficaciously sell its product so one
can boost recognition and inspire clients to purchase.

Television, newspaper, radio, magazines, the internet, and alternative media will all be
accustomed advertise. With the assistance of advertising, we tend to hope to boost awareness
regarding the organization' product. The importance of advertising in any business organization'
promotional strategy is critical. The name of the merchandise or service, likewise as its options
and benefits, are enclosed within the advertisement. Advertising is completed to make likeness,
attraction, and a positive influence on buying behavior.

1.1 Scope of the study


The study focuses on some of the major factors influencing Consumer Buying Behavior while
purchasing the Detergents in Karachi, Pakistan. This quantitative research includes Brand Image
and Advertisement which majorly plays the vital role for recognition and creating awareness
among the consumers. Besides that, Celebrity Endorsement also impacts the buying behavior as
people consider them the role model and want to opt similar life style. Moreover, the general
purchase is also brought into study which highlights buying behavior based on availability of
product rather than being inflicted by certain technique.

1.3 Objectives of the study

 to review the impact of availability on consumer buying behavior


 to review the outcome of celebrity endorsement on consumer buying behavior
 to analyze the outcome of brand image on consumer buying behavior
 to review the outcome of advertising on consumer buying behavior

1.4 Statement of the problem

The statement of the problem is to identify the factors that affect the consumer buying behavior.
This study is conducted to identify the role of availability, celebrity endorsement, brand image
and digital advertising on consumer buying behavior in detergent industry.
1.5 Research questions

 What is the impact of Availability on Consumer Buying Behavior?


 What is the impact of Celebrity Endorsement on Consumer Buying Behavior?
 What is impact of Brand Image on Consumer Buying Behavior?
 What is the impact of digital advertising on Consumer Buying Behavior?

1.6 Hypothesis

H1: Availability has relationship with Consumer Buying Behavior


H2: Celebrity Endorsement has relationship with Consumer Buying Behavior
H3: Brand Image has relationship with Consumer Buying Behavior
H4: Digital advertising has relationship with Consumer Buying Behavior

Chapter 02 – Literature Review

2.1 Introduction

In this study, the factors are been evaluated that influence the consumer buying behavior with
respect to detergent industry. According to (Muhammad Ehsan Malik., et al),

2.2 Aspect of Availability and Consumer Buying Behavior

One of the aspects for buying behavior is also the availability of the product in the market or
visibility to the shelf. It is also one of the major point that affect the choice while making the
purchase. Most of the consumers prefer to buy the product on the availability basis; however,
such attitude also depends on the product type, size and usage. Different literature review has
been searched related to the Availability as independent variable for consumer buying behavior;
however, particular aspect of availability cannot be found. In this research, availability is also
taken as the major independent variable for evaluating consumer buying behavior for detergent
industry.

2.3 Aspect of Celebrity Endorsement and Consumer Buying Behavior

In the product advertising dilemma, there are various strategies to attract the customers and grasp
the attention to sell their product. It is the regular practice in the strategies to attract customers
with their interest, circulate the required message within it and differentiate their product from
competitor’s offerings. It is always the expectation to make such attraction as customers buying
behavior.

In the current modest world, the product conformity can be catered as an approach, which can
appeal the customers to achieve the objectives. One of the strategies for such type of plan
embraces the celebrity endorsement of the product. As per the research done by Atkin and Block
(1983), various explanations are there which can show that what is the reason well-known
celebrity validation can be accredited.

Initially, the celebrity endorsement of any product can easily attract the thought procedure with
the help of commercials and targets as general communication flow. Secondly, the favorite
celebrities are generally considered to be of more attractive and influenced individuals with
appealing and likeable character (Kamins et al. 1989). With the help of endorsing through well-
known persons in advertisement of product and communicating the required message is traced
since 19th century and these techniques have ended up with huge amount of rational as well as
appropriate attention. As per the review of well-known personality endorsement, it is the
individual person credibility, likeliness and fascinating representatives, helps to suggest that
famous individuals impose their image on customers through recommendation and advocacy.
(Ahmed 2012; Ohanian 1990, 1991). This is done after being the brand ambassador of the
product. A number of research studies shows that applying strategy of celebrity serve as a basis
to enhance feelings towards the advertisement.

Now a day, mass media correlated the description of products related to Superstars because of
their high reputation, lifestyle and appealing personality according to group’s opinion (Giles
2000; McCracken 1989). Celebrities mostly appear in ads related to goods or services. There is
no other thought that marketers spends great amount of capital in sponsoring celebrities to
promote their brands (Agrawal & Wagner 1995; Erdogan 1999; Kaikati 1987; Mathur et al.
1997; Gabor et al. 1987).

2.4 Aspect of Brand Image and Consumer Buying Behavior

According to Khasawneh, brand image has the great impact on consumer buying attitude.
Hasouneh [1] Customers appreciate the significance of brand Mentioned by Dastoor et al. [9]
that brand image is used in procuring decisions by the customers’ and it supports the companies
to enjoy competitive demographic characteristics having no major relation benefits. Image of the
brand asset is multidimensional structure which effect on brand identity. People mostly like to
purchase branded items. Brand assets are supposedly products with higher prices because they
consider the quality and reliability of products with positive image. It is proved that branded
items are of much better quality then non branded items and it impacts directly to the consumer
buying thought. Brand preference is also a symbol of status. Image of any brand is its intangible
asset which helps it to create customer attraction and satisfaction while maintaining the brand
identity. Brand loyalty can be considered as the brand image influence in purchasing the product.
If brand is managed effectively, its defined claims accomplish with the product value, only then
loyalty can be coincident. Knowledge regarding a brand and brand loyalty can also be improved
in customers that influence on customer buying behavior. Marketers consider a brand as a
promise with their customers and in return customers are brand oriented, i.e. consumers believe
that the product quality will be same in future and In addition Niazi et al. [11] said that
advertising is an due to this promise which enhances the sales. Furthermore, effective tool to
attract people and to divert their attitude toward product. There is a moderate responsible activity
that affect in positive manner to customer brand attraction between consumer purchase choice.

2.5 Aspect of Advertisement and Consumer Buying Behavior

In context to social media advertisement and consumer buying behavior, (Qian He & Hongjian
Qu., 2018) tells about the attitude change of the consumers through advertising in different ways
and concludes the behavior of consumers by how the brand is presented to them through social
media platforms.

In the research posted, a detailed analysis was carried out using perceptual appeal advertisement
and rational appeal ads as the independent variables while taking purchasing intention of
consumers as the dependent variable. Various methods were used in carrying out both the
independent variables which were further divided as the Music, Interaction and Interpersonal
influence as the part of perceptual appeal advertisement, whereas, Function, Credibility, and
Participation as part of rational appeal advertisement. The factors of both independent variables
were on brand attitude which includes brand emotion and brand trust, to get to the dependent
variable i.e. purchasing intention.
The results of the research showed that the perceptual appeal advertisement has a greater
influence on the purchasing intention then the rational appeal advertisement. In the research, the
clothing industry was tested and found out that emotional stimuli (perceptual appeal advertising)
has more influence on consumers purchasing intentions then the information, accurate content
(rational appeal advertising). The research resulted as the brand trust and brand emotion is more
of the influence with the perceptual concept of advertising in order to bring the consumers
intention of purchasing.

2.7 Conceptual Framework

Independent Variable Dependent Variable

 Availability
 Celebrity Endorsement
 Consumer Buying Behavior.
 Brand Image
 Advertising
Availability

Celebrity Endorsement
Consumer Buying
Behavior

Brand Image

Advertising

Chapter 03- Methodology

3.1 Research approach

There are two types of research approaches which includes qualitative and quantitative approach.
Qualitative research uses non statistical technique for analysis of data, whereas quantitative
research uses statistical tools and techniques. This study has quantifiable objectives and uses
statistical techniques for data analysis, therefore, quantitative approach is used.

3.2 Research purpose

Research has two purpose one is explanatory and other is exploratory. Exploratory research,
explore untapped and less discovered areas where as explanatory reached is focused on less
explained areas. Therefore this study has used exploratory approach
3.3 Research design

This research is done to understand the factors influencing consumer buying behavior so this is a
causal research. Quantitative analysis will be employed for the study which involves statistical,
mathematical and numerical analysis of data. As this is a quantitative analysis so the result will
be produced in numeric terms.

3.4 Target population

The target population for this study are the people of IoBM (who use detergents). We used a
sample size of 200 individuals approximately to get the accurate results.

3.5 Sample size

The population of interest for this study is the students and faculty of IoBM. The population that
is accessible to this study consists of all persons who use detergents for laundry purpose. This
resulted in a sample size of 184 persons over the three month course of the study. The scale
employed is ordinal scale. (Likert Scale)

3.6 Data collection technique

Data is collected by questionnaires (self-administered surveys), consisting close ended questions


related to availability, brand image, celebrity endorsement and advertising. Filled by the students
and teachers of IoBM through online surveys.

3.7 Sampling technique

The sampling technique employed for this study is non probability convenience technique as
respondents of this study will be selected because of the convenience of accessibility.

3.8 Statistical technique

All independent and dependent variables are quantitative so therefore we will use reliability test,
liner regression and correlation.
Chapter 04 – Result and Discussion

4.1 Demographics
59.9% of the population were male whereas rest were females. 54.5% of the respondents aged
between 26-35 years having a highest degree of graduate. Surf excel was the most preferred
detergent brand by 53% of the respondents. 60.4% people considered brand image and 72.7%
people purchase detergent once a month.

4.2 Descriptive analysis


4.2.1 Reliability test

The value of alpha is 78.2% which means that the data is reliable.
4.2.2 Regression

To observe the impact of availability, brand image, advertising and celebrity endorsement on
consumer buying behavior we used multiple liner regression and Pearson correlation to observe
the relationship.

Adjusted R square has a value of 0.025 which means that the model is weak.

The significant value of H1 availability is 0.031 hence it is confirmed that there is relationship
between availability and consumer buying behavior. According to (Qasim Ali Nisar., et al)
product availability in the market has an impact on consumer buying behavior.

The significant value of H2 celebrity endorsement is 0.435 hence it is confirmed that there is no
relationship between celebrity endorsement and consumer buying behavior. According to
(Rizwan Azeem Ahmed., et al) celebrity endorsement has different components like
attractiveness, credibility, meaning transform that plays a role on consumer buying behavior. In
his research credibility was accepted and attractiveness and meaning transform was rejected.

The significant value of H3 brand image is 0.031 hence it is confirmed that there is relationship
between availability and consumer buying behavior. According to (Qasim Ali Nisar., et al) brand
image does have an impact on consumer buying behavior.

The significant value of H4 advertising is 0.370 hence it is confirmed that there is no relationship
between availability and consumer buying behavior. According to (B.A. CHUKWU., et al) their
research says that digital advertising has an impact however due to changing channels the impact
lowers down on consumer buying behavior.
4.2.3 Correlation

 Availability and brand image has a weak relationship (0.477)


 Availability and digital advertising also has a weak relationship (0.319)
 Availability and celebrity endorsement also share weak relationship (0.341)
 Consumer buying behavior and availability has a weak relationship (-0.079)
 Brand image and digital advertising share strong relationship (0.520)
 Brand image and celebrity endorsement share strong relationship (0.562)
 Consumer buying behavior and brand image has a weak relationship (0.127)
 Advertising and celebrity endorsement share strong relationship (0.666)
 Consumer buying behavior and advertising has a strong relationship (0.09)
 Consumer buying behavior and celebrity endorsement has a weak relationship (0.038)
Chapter 05 – Conclusion, Recommendation and Findings

5.1 Conclusion

The purpose of this study was to analyze the impact of availability, brand image, celebrity
endorsement and digital advertising on consumer buying behavior in detergent industry. Analysis
of the collected data for this research depicts that out of the 4 suggested hypothesis, two of the
hypothesis were accepted that are availability and brand image. This makes it quite clear that
there is significant impact of the mentioned variables on consumer buying behavior in detergent
industry. Whereas, Celebrity endorsement and digital advertising were rejected. This makes it
quite clear that there is no significant impact of the mentioned variables on consumer buying
behavior in detergent industry.

5.2 Recommendations

According to the research conducted following recommendations can be implanted by the


marketers:

 Celebrity who have negative influence shouldn’t be hired for advertising


 Brand image can be improved by identifying the right target audience
 Availability of the product can be improved by placing the product rightly on the shelves
so that it is easily accessible for everyone
 Advertising content and channels needs to improve in order to reach right target
audience.

5.3 Findings

It has been noticed that in the Detergent industry, consumer influences in buying is generally
based on Availability and Brand Image. However, another factor if considered other than given
independent variables can be the price that impacts the buying behavior.
Appendix A

References
1. Ahmed Rizwan Raheem, Seedani Sumeet Kumar (2015) “Impact of Celebrity Endorsement
on Consumer Buying Behavior”, International Journal of Marketing and Consumer
Research (ISSN 2422-8451, Vol.16).
2. Muhammad Shoaib, Muhammad Ali (2018) “Impact of Brand Image on Consumer Buying
Behavior”, Arabian Journal of Business and Management Review (ISSN: 2315-8638, Vol. 5
(2)).
3. CHUKWU B.A., Kanu E.C., and Ezeabogu A.N. (2019) “The Impact of Advertising on
Consumers Buying Behavior”, International Journal of Arts and Commerce (ISSN 1929-
7106, Vol. 8 No. 1).
4. Mandliya, A., Varyani, V., Hassan, Y., Akhouri, A., & Pandey, J. (2020). What influences
intention to purchase sustainable products? Impact of advertising and materialism.
International Journal of Productivity and Performance Management, 69(8), 1647-1669.
https://doi.org/10.1108/ijppm-12-2019-0591
5. Bo Yan, Yan-Ru Chen, Xiao Tai Zhou and Jing Fang (2019) “Consumer Behavior in the
omni-channel supply chain under social networking services” – Industrial Management and
Data Systems, Vol. 119, No. 8, 2019.
https://www.emerald.com/insight/content/doi/10.1108/IMDS-03-2019-0111/full/html

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