A DISSERTATON SUBMITTED IN PARTIAL FULFILMENT OF THE REQUIREMENTS FOR THE AWARD OF MASTER OF BUSINESS ADMINISTRATION DEGREE FOR BANGALORE UNIVERSITY BY
Mr. DEEPAK. S
Under the guidance and supervision Of
DECLARATION
own research work carried out under the guidance and supervision of Mrs. Nandini Vaidyanathan, MPBIM Bangalore
I also declare that this dissertation has not been submitted earlier to any Institute/organization for the award of any degree or diploma
I hereby certify that this dissertation entitled " A Study on Media as a Source
of Influence on Consumer Buying Decision Process, is the result of research
work carried out by Mr.DEEPAK S under the guidance of Mrs. Nandini Vaidyanathan, M P Birla Institute of Management, Bangalore
Place: Bangalore
Date:
of the research work carried out by Mr.DEEPAK S under my guidance and supervision.
Place: Bangalore
Date:
ACKNOWLEDGEMENT
I would like to express my sincere gratitude to my research guide Mrs. NANDINI VAIDHYANATHAN, M. P. Birla Institute of Management, Bangalore for her constant encouragement and guidance in the course of the research investigation. Further, I would also like to thank all the faculty members of MPBIM who have helped me in completing my project. I have gained a lot of knowledge throughout the course of carrying out this project. I would like to sincerely thank all my friends and colleagues who have helped me in completing this project by providing me with the academic support.
DEEPAK S
Table of Contents
Sl.no PARTICULARS 1.0 2.0 Introduction Design of Study 2.1 Statement of Problem 2.2 Rationale of the study 2.3 Aims and Objectives 2.4 Hypothesis 2.5 Sampling Techniques 2.6 Primary data 2.7 Limitations of Study 2.8 Review of Literature 3.0 Profile 3.1 Respondent Profiles 4.0 Analysis & Interprtation 14 4.1 Analysis of questions 4.2 Analysis of Hypothesis 4.3 Chi square 5.0 6.0 7.0 Findings of the Study Suggestions Conclusions Bibliography Annexure 15 43 50 54 58 60 PG.NO 01 05 06 06 06 07 07 07 08 08 10 11
LIST OF TABLES Table 3.1.1 indicating the age profile of the respondents
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Table 3.1.2 indicating the income profile of the respondents Table 3.1.3 indicating the occupation profile of the respondents Table 4.1.1 indicating the frequency of shopping Table 4.1.2 indicating number of respondents who notice ads before purchase Table 4.1.3 indicating the distribution of respondents who notice ads in each form of media Table 4.1.4 indicating the perception of ads Table 4.1.5 indicating where respondents look for information before purchase Table 4.1.6 indicating consumer's perception on the influence of ads on brand selection Table 4.1.7 indicating the form of media which helps consumers most in shopping Table 4.1.8 indicating the ranking of various media in terms of credibility Table 4.1.9 indicating the duration of tv viewing Table 4.1.10 indicating the behavior of respondents during the time of ads
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Table 4.1.11 indicating the type of channels viewed most often by 25 respondents Table 4.1.12 indicating the time of tv viewing among respondents Table 4 1.13 indicating the perception of respondents on the most frequently advertised product Table 4.1.14 indicating the number of news papers read by respondents Table 4.1.15 indicating the distribution of ad recall from news papers Table 4.1.16 indicating the number of respondents who read classifieds Table 4.1.17 indicating the number of respondents who receive direct mail ads Table 4.1.18 indicating what respondents do with direct mail ads Table 4.1.19 indicating the perception of respondents about direct mail ads Table 4.1.20 indicating what catches the attention of respondents in print media Table 4.1.21 indicating which part of ad catches the eye of respondents the most in a magazine Table 4.1.22 indicating the perception of respondents about internet ads Table 4.1.23 indicating whether respondents ever felt like buying 37 36 35 34 32 33 31 33 29 28 26 27
a product based on advertisements Table 4.1.24 indicating which form of ads made respondents feel like buying a product Table 4.1.25 indicating whether the respondents eventually bought the product Table 4.1.26 indicating which form of ad helps the respondents in buying a high priced items (>rs.1 0000) Table 4.1.27 indicating which form of ad helps the respondents in buying medium priced in (rs.1000-10000) Table 4.1.28 indicating which form of ad helps the respondents in buying a low priced items (rs.1000) Table 4.2.1.a. Indicating the number of respondents who notice advertisements before purchasing the product and also the form of ad media Table 4.2.1.b. Indicating the number of newspapers read regularly 44 by the respondents and the ability to recall any advertisements in the paper. Table 4.2.1.c. Indicating the impact of advertisements on the respondents Table 4.2.2.a. Indicating the most influential form of media for helping respondents in purchase decisions. Table 4.2.2.b indicating which form of media helps most in shopping 46 46 45 43 42 41 40 39 38
Table 4.2.2.c. Indicating which form of media is preferred for information before purchase. Table 4.2.2.d. indicating which form of media compels respondents Table 4.2.2.e. Indicating the form of ads that help respondents in buying low priced items (<rs.1000) Table 4.2.2.f. Indicating the form of ads that help the respondents in buying medium priced items (rs. 1000-10000) 47
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Table 4.2.2.g. Indicating the form of ads that help the respondents 48 in buying high priced items (>rs.1 0000) Table 4.3.1 indicating the relation between income per month and form of media preferred for low priced items. Table 4.3.2. Indicating the relation between income per month and 51 form of media preferred for medium priced items. Table 4.3.3 indicating the relation between income per month and form of media preferred for high priced items Table 4.4.4. Indicating the relation between age of respondents and what catches attention most in a print advertisements Table 4.4.5. Indicating the relation between age of respondents and where they look for information 54 53 52 50
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LIST OF GRAPHS
PARTICULARS Graph 3.1.1 indicating the age profile of the respondents Graph 3.1.2 indicating the income profile of the respondents Graph 3.1.3 indicating the occupation profile of the respondents Graph 4.1.1 indicating the frequency of shopping Graph 4.1.2 indicating number of respondents who notice ads before purchase Graph 4.1.3 indicating the distribution of respondents who notice ads in each form of media Graph 4.1.4 indicating the perception of ads Graph 4.1.5 indicating where respondents look for information before purchase Graph 4.1.6 indicating consumer's perception on the influence of ads on brand selection Graph 4.1.7 indicating the form of media which helps consumers most in shopping Graph 4.1.8 indicating the ranking of various media in terms of credibility Graph 4.1.9 indicating the duration of tv viewing Graph 4.1.10 indicating the behavior of respondents during the time of ads Graph 4.1.11 indicating the type of channels viewed most often by respondents. Graph 4.1.12 indicating the time of TV viewing among respondents
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Graph 4.1.27 indicating which form of ad helps the Respondents in buying medium priced items (Rs.1000-10000) Graph 4.1.28 indicating which form of ad helps the Respondents in buying a low priced items (<Rs.1000)
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Chapter 1 INTRODUCTION
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1. INTRODUCTION
India is a big country with 28 states, over one billion people and 120 dialects/languages. From the market perspective, people of India comprise different segments of consumers, based on class, status, and income. India is a lucrative market even though the per capita income in India is low and it remains a huge market, even for costly products. The Indian consumers are noted for the high degree of value orientation. Such orientation to value has labeled Indians as one of the most discerning consumers in the world. Even, luxury brands have to design a unique pricing strategy in order to get a foothold in the Indian market.
Indian consumers have a high degree of family orientation. This orientation in fact, extends to the extended family and friends as well. Brands with identities that support family values tend to be popular and accepted easily in the Indian market. Indian consumers are also associated with values of nurturing, care and affection. These values are far more dominant that values of ambition and achievement. Product which communicate feelings and emotions gel with the Indian consumers.
Apart from psychology and economics, the role of history and tradition in shaping the Indian consumer behavior is quite unique.
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Perhaps, only in India, one sees traditional products along side modern products. For example, hair oils and tooth powder existing with shampoos and toothpaste.
Television advertising has the biggest impact on purchases of less expensive consumables like cold medication and athletic shoes. And newspaper articles have the biggest influence when purchasing certain items like appliances, as well as making investment decisions, for example buying stock in a certain company. As it is with news, television is the predominant source for product information among less educated Americans. On almost all of the items listed, people with less formal education rely more heavily on television, while the highly educated are influenced more by the print media, particularly magazines. Again, the Internet appears to have a big influence. Significant numbers of people look to the Web to help them make decisions about buying a new car, a computer, or investing in company stock
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Most studies of consumer reaction to advertising tend to reveal a negative bent, but reaction to advertising varies by the medium in which it appears. In Consumer Perceptions of Various Web Ad Formats, a December 2003 study by Dynamic Logic, consumers were most favorable towards print advertising (probably the least intrusive and personally directed). Television ads fell in the middle ground, with approximately 20% seeing them as "somewhat" to "very" negative, followed by online ads, just over 30% seeing them as "somewhat" to "very" negative. The bottom of the list? Telemarketing at more than 95% "somewhat" to "very" negative, non-opt-in email ads (spam) at 80% negative and direct mail at 40% negative.
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2.2
Bangalore is a growing cosmopolitan city. As the awareness about the varieties of products is growing through the different forms of media we found the necessity to study media as a source of influence on consumer buying decision process.
2.3.2 Secondary
-To study the relationship between recall of advertisements and buying behaviour.
-To study which source of media the consumers find most credible.
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2.4
Hypothesis
Hypothesis 1 H0: Print advertising has more influence on consumer buying decision over other forms of media H1: Print advertising has lesser influence on consumer buying decision over other forms of media
Hypothesis 2 H0: Recall of advertisements has a positive relationship with consumer buying behaviour. H1: Recall of advertisements has no positive relationship with consumer buying behaviour
2.5.3
Statistical Design
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2.7
Limitations Of Study
Some of the limitations we encountered during this study were: 1. The sample size was limited to 100 respondents. 2. The study was limited to the city of Bangalore. 3. The results could be biased as judgment sampling was used. 4. Respondents did not admit that advertisements influence their buying decision.
For a long time, one of the Holy Grails of marketing communications has been the search for a formula by which the persuasive value of earned media can be directly compared with that of paid media: Which is more effective, a front page article in the Economic Times or a full page ad in Business World? What is the value of
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being mentioned on KBC versus a paid endorsement by Sachin Tendulkar? Does a positive mention on 20/20 have more influence than a 60 second commercial on the same broadcast? These kinds of questions are difficult to answer. Research can provide good measures of the impact of communications efforts. A number of approaches have been identified to find out what it is that drives peoples changes in attitudes and preferences. But it is not a simple procedure, and the findings are relevant only for a specific product category among a specific audience.
When talking about sources of influence, credibility is always one of the central issues. People are more strongly influenced by sources they consider to be credible, so believability is an important indicator of communications effectiveness.
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Chapter 3 PROFILE
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<20 14%
20-35 57%
Interpretation: 14% of the respondents belong to <20 age group,57% of the respondents belong to the 20-35 age group,18% belong to the 36-50 age group and 11% belong to >50 age group.
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3.1.2 Income profile Table 3.1.2 indicating income profile of the respondents
Income No. of respondents Percentage <20000 40 40% 20000-40000 37 37% 40001-60000 12 12% >60000 11 Total 100
11% 100%
Interpretation: 40% of the respondents belonged to the <20000 income level (Monthly family income in Rs.),37% of them belong to the 20000-40000 income level,12% belong to the 40001-60000 income level and 12% to the >60000 income level.
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3.1.3 Occupation profile of the respondents Table 3.1.3 shows the occupation profile of the respondents
Occupation Own Business Service Student Technical Unemployed Others Total No.of respondents Percentage 13 13% 21 21% 39 39% 12 12% 2 2% 13 100 13% 100%
Own Business 13% Own Business Service Service 21% Student Technical Unemployed Others
Student 39%
Interpretation: 39% of the respondents belonged to the student community,21% to the service industry, 13% have their own business,12% to technical industry,2% are unemployed and 13% belong to other categories.
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Daily 9 9%
Frequency of shopping
Number of respondents 60 50 40 30 20 10 0 Once a week Once a month Frequency Daily Whenever the need arises
Interpretation: 49% of the respondents shop whenever the need arises,27 shop once a week,15 shop once a month and 9 daily.
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Table 4.1.2 indicating number of respondents who notice ads before purchase
No 49 49%
Dont remember 6 6%
Interpretation: 49% of the respondents did not notice any ads of the product they last purchased
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Table 4.1.3 indicating the distribution of respondents who notice ads in each form of media
Form of Newspapers Magazines Tv media No. of 22 14 22 Respondents Percentage 22% 14% 22% Hoardings/ billboards 7 7% Radio 4 4% Table 100 100%
Interpretation: Out of the 45 respondents who noticed ads 22 noticed ads in Newspapers and 22 in TV
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27 27%
23 23%
100 100%
Perception
Interpretation: 44% of the respondents think that advertisements are for influencing the customers.
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4.1.5 Source of information before purchase Table 4.1 .5indicating where respondents look for information before purchase
Form of media No.of respondents Percentage Newspapers Magazines Internet Tv Radio None of the above 19 19% Total
Interpretation: 36% of the people look for information in newspapers, 25% through the TV, 9% through internet, 7% magazines, 4% radio and 19% through other forms.
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4.1.6 Consumers perception on the influence of ads on brand selection Table 4.1.6 indicating consumers perception on the influence of ads on brand selection
Strongly agree No. of respondents Percentage Moderately agree Neither agree nor disagree 22 22% Moderately disagree Strongly disagree Total
Interpretation 48% of the respondents moderately agree that advertisements help in deciding about the brand.
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4.1.7 Form of media which helps consumers most in shopping Table 4.1.7 indicating the form of media which helps consumers most in shopping
Newspapers/magazines No. of Respondents Percentage Tv Radio Internet Any other 14 14% Total 100 44 44% 33 33% 2 2% 9 9% 100%
Form of media
Interpretation: 44% of the respondents think that newspapers help them most in shopping.
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4.1.8 Ranking of various media in terms of credibility Table 4.1.8 indicating the ranking of various media in terms of credibility
Mean Rank Rank Newspapers 2.19 1 Magazines 2.67 3 Tv 2.3 2 Radio 3.99 5 Internet 3.87 4
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Dura tion
Interpretation: 39% of the respondents watch television for less than an hour.
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4.1.10 Behavior of respondents during the time of ads Table 4.1.10 indicating the behavior of respondents during the time of ads
Switch channels No. of Respondents Percentage 30 30% Watch them 14 14% Depends on the ads 53 53% Any other 3 3% Total 100 100%
Behaviour
Interpretation: 53% of the respondents said that their behavior during the advertisement depends on the advertisement being telecasted.
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4.1.11 Type of channels viewed most often by respondents Table 4.1.11 indicating the type of channels viewed most often by respondents
Sports News Movie Music Documentary Devotional Total
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4.1.12 Time of TV viewing among respondents Table 4.1.12 indicating the time of TV viewing among respondents
Morning Evening Before going to sleep 31 31% Whenever they feel like Total
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4.1.13 perception of respondents on the most frequently advertised product Table 4.1.13 indicating the perception of respondents on the most frequently advertised product
Colas Toiletries No. of Respondents Percentage Mobile Electronic Automobiles Any services goods other 14 14% 12 12% 13 13% 5 5% Total 100 29 29% 27 27% 100%
Products
Interpretation 29% of the respondents feel that colas are advertised for most frequently.
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4.1.14 Number of news papers read by respondents Table 4.1.14 indicating the number of news papers read by respondents
One No. of Respondents Percentage Two More than two 11 11% None Total 100 50 50% 26 26% 13 13% 100%
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4.1.15 Distribution of ad recall from news papers Table 4.1.15 indicating the distribution of ad recall from news papers
No. of Respondents Percentage Yes 51 51% No 45 45% NA 4 4% Total 100 100%
Interpretation 51% of the people recall the advertisement they saw in the newspaper.
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4.1.16 Number of respondents who read classifieds Table 4.1.16 indicating the number of respondents who read classifieds
Yes No Only when they are planning to buy 43 43% Total
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4.1.17 Number of respondents who receive direct mail ads Table 4.1.17 indicating the number of respondents who receive direct mail ads
No. of Respondents Percentage Yes 46 46% No 54 54% Total 100 100%
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4.1.18 What respondents do with direct mail ads Table 4.1.18 indicating what respondents do with direct mail ads
Read them Read only first few lines 22 22% Throw them with out even opening 20 20% Not Applicable 45 45% Total
13 13%
100 100%
What they do
Interpretation Out of the 46% of respondents who receive direct mail 22 %only read the first
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4.1.19 Perception of respondents about direct mail ads Table 4.1.19 indicating the perception of respondents about direct mail ads
A disturbance A reliable source of information 6 6% A helpful source of information 27 27% A reliable and helpful source 10 10% NA Total
54 54%
3 3%
100 100%
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4.1.20 What catches the attention of respondents in print media Table 4.1.20 indicating what catches the attention of respondents in print media
Color pattern No. of Respondents Percentage 21 21% Punch line 31 31% Product logo 7 7% Pictures Others Total 100 37 37% 4 4% 100%
Interpretation 37% of the respondents feel that the pictures catches their attention in print advertisement.
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4.1.21 Part of magazine catches the eye of respondents most Table 4.1.21 indicating which part of magazine catches the eye of respondents most
Front inner No. of Respondents Percentage Back inner Back outer Inside pages 27 27% Total 100 30 30% 13 13% 30 30% 100%
Interpretation 30% of the respondents feel that the front and back outer cover advertisements catch their eye while reading a magazine.
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4.1.22 Perception of respondents about internet ads Table 4.1.22 indicating the perception of respondents about internet ads
A disturbance Innovative form of advertisement Helpful source of information Reliable source of information A reliable and helpful source of information Total
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4.1.23 Whether respondents ever felt like buying a product based on advertisements Table 4.1.23 indicating whether respondents ever felt like buying a product based on advertisements
No. of Respondents Percentage Yes 68 68% No 32 32% Total 100 100%
Interpretation 68% of the respondents ever felt like buying a product based on advertisement.
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4.1.24 which form of ads made respondents feel like buying a product Table 4.1.24 indicating which form of ads made respondents feel like buying a product
TV No. of Respondents 45 Percentage 45% News Papers 17 17% Mags Internet Radio Hoardings/ billboards 1 1% 3 3% 3 3% NA Total 100 6 6% 25 25% 100%
Form of media
Interpretation 45% of the respondents felt like buying a product after watching its advertisement on television.
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4.1.25 whether the respondents eventually bought the product Table 4.1.25 indicating whether the respondents eventually bought the product
Yes No. of Respondents Percentage 50 50% No 32 32% NA 18 18% Total 100 100%
Interpretation 50% of the respondents eventually buy the product that they felt like buying based on its advertisement.
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4.1.26 Which form of ad helps the respondents in buying a high priced items (>Rs.10000) Table 4.1.26 indicating which form of ad helps the respondents in buying a high priced items (>Rs.10000)
TV Newspaper magazines Internet Radio Hoardings/ billboards Total
Form of media
Interpretation 36% of the respondents rely on television for information while buying a high priced item.(>Rs10000)
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4.1.26 Which form of ad helps the respondents in buying a medium priced items (Rs.1000-10000) Table 4.1.27 indicating which form of ad helps the respondents in buying a medium priced items (Rs.1000-10000)
TV No. of Respondents 34 Percentage 34% Newspapers magazines Internet Radio Hoardings/ billboards 28 28% 20 20% 8 8% 5 5% 5 5% Total 100 100%
Form of media
Interpretation 34% of the respondents rely on television for information while buying a medium priced item.( Rs1000-Rs10000 ).
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4.1.28 Which form of ad helps the respondents in buying a low priced items (<Rs.1000) Table 4.1.28 indicating which form of ad helps the respondents in buying a low priced items (<Rs.1000)
TV No. of Respondents 45 Percentage 45% Newspapers magazines Internet Radio Hoardings/billboards 26 26% 21 21% 0 0% 2 2% 6 6% Total 100 100%
Form of media
Interpretation 45% of the respondents rely on television for information while buying a low priced item.(<Rs1000)
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TV 22 22%
Hoarding 7 7%
Radio 2 2%
Interpretation: This table depicts that out of 100 respondents 44 noticed advertisements before purchasing where in most of the advertisements were in the form of Print Media.
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Table 4.2.1b. indicating the number of newspapers read regularly by the respondents and the ability to recall any advertisements in the paper.
No. of respondents Percentage None 13 13% One 50 50% Two 26 26% More than two 11 11% Total 100 100%
NA 4 4%
Interpretation: This depicts that 51% of the respondents were able to recall an advertisement in the newspapers. Table 4.2.1c. indicating the impact of advertisements on the respondents.
Want to buy a product Do not want to buy 32 32% Total 100 100%
68 68%
Eventually bought
50 50%
68 respondents wanted to buy the product based on the advertisements and out of them 50% eventually bought it. Correlation between them =0.988149 Interpretation: Correlation of 0.988 shows a high level of relationship between desire to buy and actually buying the product.
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4.2.2a. Table indicating most influential form of media for helping respondents in purchase decisions.
Print No. of respondents Percentage 36 80% TV 22 48.9% Hoarding 7 15.5% Radio 2 4.4% Total 45 100%
Interpretation: This table depicts that 36% of the respondents are influenced mostly by Print media. 4.2.2b Table indicating which form of media helps most in shopping
Print No. of respondents Percentage 44 44% TV 33 33% Radio 2 2% Internet 9 9% Others 14 14% Total 100 100%
Interpretation: This table depicts that 44% of respondents prefer Print media for shopping as against other form of media. 4.2.2c. Table indicating which form of media is preferred for information before purchase.
Print No. of respondents Percentage 43 43% Internet 9 9% TV 25 25% Radio 4 4% Others 19 19% Total 100 100%
Interpretation: This table depicts that 43% of the respondents prefer Print media for information before purchase.
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4.2.2d. Table indicating which form of media compels the respondents to purchase the product.
NA No. of respondents Percentage 26 26% TV 44 44% Print 23 23% Internet 1 1% Radio 3 3% Hoardings 3 3% Total 100 100%
Interpretation: This table depicts that 44% of respondents feel that TV makes them more compelled to purchase a product. 4.2.2e. Table indicating the form of ads that help respondents in buying low priced items (<Rs. 1000)
No. of respondents Percentage
Print 47 47%
TV 45 45%
Internet 0 0%
Radio 2 2%
Hoardings/Billboards 6 6%
Total
100 100%
Interpretation: This table depicts that 47% of the respondents, which is the maximum, said that Print advertisements helped them in buying low priced items.
4.2.2f. Table indicating the form of ads that help the respondents in buying medium priced items (Rs. 1000-10000)
Print 48 48% TV 34 34% Internet 8 8% Radio 5 5% Hoardings/Billboards 5 5% Total 100 100%
Interpretation: This table depicts that 48% of the respondents, which is the maximum, indicated that print advertisements help them in buying medium priced items. (Rs.1000-10000)
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4.2.2g. Table indicating the form of ads that help the respondents in buying high priced items (>Rs.10000)
No. of respondents Percentage
Print 44 44%
TV 36 36%
Internet 12 12%
Radio 4 4%
Hoardings/Billboards 4 4%
Interpretation: This table depicts that 44% of the respondents, which is the maximum, indicated that print advertisements help them in buying high priced items. (>Rs.10000) Compiled Analysis Print TV Radio Other
36 22 2 7 44 33 2 21 43 25 4 28 23 44 3 30 47 45 2 6 48 34 8 10 44 36 4 16 MEAN 40.71429 34.14286 3.571429 16.85714 MEDIAN 44 34 3 16 STDEV 8.712334 8.668498 2.149197 9.805246 CV 21.39871 25.38891 60.17752 58.16672 On compilation of the above data we obtain the following: On an average Print media got the highest number of responses as compared to the other forms of media. The coefficient of variation also depicts that Print media has the lowest levels of variation and hence is most preferred.
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Rank 2 40 33 13 7 8
Rank 3 19 36 36 7 15
Rank 4 11 18 18 30 23
Rank 5 2 2 5 45 45
In terms of credibility, maximum number of respondents (42) indicated TV as the most credible source of information. Mean Rank 2.19 2.67 2.3 Newspaper Magazines TV
[Mean ranking. Scores given as 1 being most credible and 5 being least] But from the mean rank given by the respondents to each form of media Newspapers got the highest, indicating that respondents on an average consider newspapers as the most credible source of information
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H0: Media preference is independent of the Income level for low priced items. H1: Media preference is dependent of the Income level for low priced items. Level of confidence= 95% Chi square value = 14.72 Table value = 25 Hence, we accept H0. Interpretation Media preference is independent of the Income level for low priced items.
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4.3.2 Relation between income per month and form of media preferred for medium priced items. 4.3.2 Table indicating the Relation between income per month and form of media preferred for medium priced items.
TV Newspapers Magazines Internet Radio <20000 18 11 7 1 1 20000-40000 10 11 10 4 0 40001-60000 2 4 1 2 2 >60000 4 2 2 1 2 Total 34 28 20 8 5 Percentage 34% 28% 20% 8% 5% Hoardings/ billboards Total 40 2 37 2 12 1 11 0 5 100 5% 100%
H0: Media preference is independent of the Income level for medium priced items. H1: Media preference is dependent of the Income level for medium priced items.
Level of confidence= 95% Chi square value = 18.74 Table value = 25 Hence, we accept H0. Interpretation Media preference is independent of the Income level for medium priced items.
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4.3.3 Relation between income per month and form of media preferred for high priced items. 4.3.3 Table indicating the Relation between income per month and form of media preferred for high priced items.
TV <20000 20000-40000 40001-60000 >60000 Total Percentage 17 11 4 4 36 36% Newspapers Magazines Internet Radio 11 5 2 2 9 9 7 0 4 1 2 1 4 1 1 1 28 16 12 4 28% 16% 12% 4% Hoardings/ billboards 3 1 0 0 4 4% Total 40 37 12 11 100 100%
H0: Media preference is independent of the Income level for high priced items. H1: Media preference is dependent of the Income level for high priced items. Level of confidence= 95% Chi square value = 12.72 Table value = 25 Hence, we accept H0. Interpretation Media preference is independent of the Income level for high priced items.
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4.3.4 Relation between age of respondents and what catches attention most in a print advertisements 4.3.4 Table indicating relation between age of respondents and what catches attention most in a print advertisements
color punch Total pattern line logo Price other <20 3 6 2 3 0 14 20-35 9 16 4 20 3 57 36-50 6 5 0 7 0 18 >50 3 4 1 2 1 11 Total 21 31 7 32 4 100 Percentage 21% 31% 7% 32% 4% 100%
H0: What catches attention is independent of age of respondents. H1: What catches attention is dependent of age of respondents. Level of confidence= 95% Chi square value= 10.53 Table Value= 21 Hence, we accept H0 Interpretation What catches attention is independent of age of respondents.
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4.3.5 Relation between age of respondents and where they look for information. 4.3.5 Table indicating relation between age of respondents and where they look for information.
TV <20 20-35 36-50 >50 Total Percentage 7 15 1 2 25 25% Total Newspapers Magazines Internet Radio none 14 5 0 0 1 1 57 18 5 5 1 13 18 8 1 4 0 4 11 5 1 0 2 1 36 7 9 4 19 100 36% 7% 9% 4% 19% 100%
H0: Where they look for information is independent of age of respondents. H1: Where they look for information is dependent of age of respondents. Level of confidence= 95% Chi square value= 23.97 Table Value= 25 Hence, we accept H0 Interpretation Where they look for information is independent of age of respondents
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Findings
1. 2. 49% of the respondents shop whenever the need arises. 49% of the respondents did not notice any ads of the product they last purchased 3. Out of the 45 respondents who noticed ads 22 noticed ads in Newspapers and 22 on TV. 4. 44% of the respondents think that advertisements are for influencing the customers. 5. 6. 36% of the people look for information in newspapers. 48% of the respondents moderately agree that advertisements help in deciding about the brand 7. 8. 9. 44% of the respondents think that newspapers help them most in shopping. Respondents find newspapers most credible 39% of the respondents watch television for less than an hour.
10. 53% of the respondents said that their behavior during the advertisement depends on the advertisement being telecasted. 11. 27% of the respondents watch movie channels most often. 12. 36% of the people watch television in the evening. 13. 29% of the respondents feel that colas are advertised for most frequently. 14. 50% of the respondents read one newspaper. 15. 51% of the people recall the advertisement they saw in the newspaper. 16. 47% of the respondents do not read classifieds. 17. 54% of the respondents did not receive direct mail. 18. Out of the 46% of respondents who receive direct mail 22 %only read the first two lines while 20% of them throw it even without opening.
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19. 54% of the respondents perceive direct mail as a disturbance. 20. 31% of the respondents feel that the punch line catches their attention in print advertisement. 21. 30% of the respondents feel that the front and back outer cover advertisements catch their eye while reading a magazine. 22. 50% of the respondents perceive internet advertisement as a disturbance. 23. 68% of the respondents ever felt like buying a product based on advertisement. 24. 45% of the respondents felt like buying a product after watching its advertisement on television. 25. 50% of the respondents eventually buy the product that they felt like buying based on its advertisement. 26. 36% of the respondents rely on television for information while buying a high priced item.(>Rs10000) 27. 34% of the respondents rely on television for information while buying a medium priced item.( Rs1000-Rs10000 ). 28. 45% of the respondents rely on television for information while buying a low priced item.(<Rs1000) 29. out of 100 respondents 44 noticed advertisements before purchasing where in most of the advertisements were in the form of Print Media. 30. 51% of the respondents were able to recall an advertisement in the newspapers. 31. 68 respondents wanted to buy the product based on the advertisements and out of them 50% eventually bought it and the Correlation between them
=0.988149.
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32. 36% of the respondents are influenced mostly by Print media. 33. 44% of respondents prefer Print media for shopping of media. 34. 43% of the respondents prefer Print media for information before purchase. 35. 44% of respondents feel that TV makes them more compelled to purchase a product. 36. 47% of the respondents, which is the maximum, said that Print advertisements helped them in buying low priced items. 37. 48% of the respondents, which is the maximum, indicated that print advertisements help them in buying medium priced items. (Rs.1000-10000) 38. 44% of the respondents, which is the maximum, indicated that print advertisements help them in buying high priced items. (>Rs.10000). 39. In terms of credibility, maximum number of respondents indicated TV as the most credible source of information. But from the mean rank given by the respondents to each form of media Newspapers got the highest, indicating that respondents on an average consider newspapers as the most credible source of information. 40. Media preference is independent of the Income level for low priced items. 41. Media preference is independent of the Income level for medium priced items. 42. Media preference is independent of the Income level for medium priced items. 43. What catches the attention of the respondents is independent of age of respondents. 44. Where the respondents look for information is independent of age of respondents
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Chapter 6 SUGGESTIONS
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SUGGESTIONS 1 When television media is used there should be proper media planning which implies that the advertisements should go well with the program during which they are being telecasted. 2 Advertisers should always furnish valuable information about the products. 3 4 5 The product /service quality should match the advertisements. Customers look for services than product information on the internet. While goods are marketed on internet more promotional tools like discounts, freebies and differential pricing should be used. 6 Combination of conventional channels physical and internet is acceptable as customers face uncertainty with respect to quality, delivery, legal considerations/payments.
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Chapter 7 CONCLUSION
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7. Conclusion
Advertisement media plays a very important role in influencing consumer buying decision process. This study was conducted for the purpose of finding out which form of advertisement has the most impact on consumers buying behavior. From the analysis of the primary data we were able to conclude the following: Print advertising has more influence on consumer buying decision over other forms of media
Print advertisements were found to be the most credible source of information as perceived by the respondents. Most of the respondents indicated that the pictures in advertisements catch their attention first. Also most of the respondents indicated that the part of magazine that catches their eye most is the front inner and the back outer (30% each).
Recall of advertisements showed a high degree of positive correlation with the eventual purchase of the product. Also there was high degree of correlation between the number of people who felt like buying a product while watching an advertisement and those who eventually bought the product.
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QUESTIONNAIRE
Dear Sir/Madam. I am a student of M.P.Birla Institute of Management undertaking a study on Media as a source of influence on consumer buying decision process. We assure you that all information provided will be kept confidential and used for academic purposes only. Thank You
Please Tick the appropriate Box I.) How often do you shop?
] Once a week
[ [
[ ] On e a month
2.) What was the Last product that you purchased? . 3.) Did you notice advertisements of that product before purchasing? Yes [ ] No [ ] dont remember [ ] 4.) If yes where (You can tick more than one option if necessary) [ [ ] News papers [ ] Magazines [ [ ] Television ] Radio
] Hoardings/ Billboards
5.) An advertisement is for [ [ ] Influencing the customers ] Providing Information about the product
6.) Where do you look for information before going for a purchase? [ [ ] News paper ] Television [ [ ] Magazines [ ] Radio [ ] Internet ] None of the above
7.) An advertisement helps my decision in choosing the brand [ [ [ [ [ ] Strongly Agree ] Moderately Agree ] Neither Agree nor Disagree ] Moderately Disagree ] Strongly Disagree
8.) From the following which helps you most in shopping [ [ ] Newspapers! Magazines ] Internet [ [ ] Television [ ] Radio
] Any other
9.) Rank the following media in terms of credibility with respect to advertisements (1 being most preferred and 5 being least preferred) [ [ [ ] Newspapers ] Television ] Internet [ [ ] Magazines ] Radio
10.) You watch TV daily for [ [ [ [ ] < 1 hour ] >3 hours ] 1-3 hours ] Don't watch TV
I I.) What do you usually do during the time of advertisements in TV? [ [ ] Switch channels [ ] Watch them [
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12.) What type of channels do you most often watch in TV? [ [ [ ] Sports Channels ] Movie Channels ] Documentary Channels [ [ [ ] News Channels ] Music Channels ] Devotional Channels
13.) When do you usually watch TV? [ [ ] Morning ] Before going to sleep [ [ ] Evening ] whenever I feel like it
14.) Which of the following do you think is most frequently advertised in TV? [ [ [ [ ] Colas ] Mobile service providers ] Automobiles ] Any other (Please specify) [ ] Soaps, Toothpastes etc [ ] Electronic goods
15.) How many news papers do you read regularly? [ [ ] One ] More than Two [ [ ] Two ] None
16.) Which Newspaper did you read today? . 17.) Can you name anyone product and its brand advertised in the paper?
[ [
] Yes ] No
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18.) Do you read the classifieds part of your newspaper? [ [ [ ] Yes ] No ] Only when I am planning to buy something
20.) If yes, what do you do with them? [ [ [ ] Read them ] Read the first few lines and then throw them away ] Directly throw them in the trash can without even opening
21.) What do you think of direct mail advertisements? [ [ [ ] A disturbance ] A reliable source of information ] A helpful source of information
22.) What catches your attention most in a print advertisement? [ [ [ ] Colour pattern ] Product logo [ [ ] Punch line ] Pictures
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23.) In a magazine, advertisements in which part do you think catches your eye most? [ [ ] Front Inner ] Back Inner [ [ ] Back Outer ] Inside pages
24.) What do you think about Internet advertisements? [ [ [ ] A disturbance ] An I innovative form of advertisements ] A helpful source of information
25.) Did you ever feel like buying a product while seeing/listening to an advertisement? [ ] Yes [ ] No
26.) If yes. Which form advertisement was it? [ [ [ [ [ [ ] Television ] Magazines ] Radio ] Newspapers ] Internet ] Hoardings/ Billboards
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28.) When you buy a big priced item (>10000), which fonn of advertisements helps you decide? [ [ [ ] Television ] Magazines ] Radio [ [ [ ] Newspapers ] Internet ] Hoardings! Billboards
29.) When you buy a medium priced item (1000 - 10000), which form of Advertisements help you decide? [ [ [ [ [ [ ] Television ] Magazines ] Radio ] Newspapers ] Internet ] Hoardings/ Billboards
30.) When you buy a low priced item 1000), which form of advertisements helps you decide?
[ [
] Television ] Newspapers
[ [
] Magazines ] Internet
[ [
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RESPONDENT PROFILES
2.) What is Your Monthly Family Income? [ [ ] <20000 ] 40000-60000 [ [ ] 20000 - 400000 ] >60000
3.) What is your occupation? [ [ [ ] Own Business ] Student ] Unemployed [ [ [ ] service ] Technical ] Others
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BIBLIOGRAPHY Websites o Google.com o Wikipeadia.com Journals COOPER, D & SCHINLER, P, Business research methods Tata Mc Graw-Hill Ray, M & Sharmas Mathematical Statistics
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