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Major research project On Impact of digital advertising in the purchase decision process

Name of the researcher: Name of the supervisor:


Prahlad Rai (MBA RMAT-IV) Prof. Karunesh Saxena

The number of internet user is on rapid rise worldwide and is used by people of all age and types. Internet has become a major medium for communication, entertainment and is in the process of replacing traditional entertainment, promo products and informative medias. Some businesses are finding that handing out a promo product such as pens business cards and mugs are too costly and yield little result. Internet has also become a major and effective medium for advertising and it has be predicted that the online advertising and marketing is soon going to replace the advertising through traditional medias such as television, radio, newspaper and magazines.

Significance of the problem:

Many companies have turned to the Internet to advertise their products and services and this digital advertising is deemed to be the most significant direct marketing channel for the global marketplace. On the consumer side, digital advertising has given consumers more control in accessing information on products and services. There are several factors that contribute to consumers pull for online content consumers are the one who decide when, where, what, and how much commercial content they wish to view. The Internet enables consumers to access an unlimited range of products and services from companies around the world, and it has reduced the time and effort they spend on shopping. Consumers play a much more active role in searching for information online with some goal in mind, and that goal can influence individual behaviours and responses to online information and advertisements. The purpose of the study is to examine the impact of digital advertising on consumers purchasing decision process.

Review of Literature:
Korgaonkar and Wolin (2002) examined the differences between heavy, medium, and light web users and concluded that heavier users hold stronger beliefs about and attitudes toward Web advertising which likely lead to stronger purchase intent. Comparing with lighter users. Menon and Soman (2002) have investigated the power of curiosity on Internet advertising effectiveness. The results of their study postulates that curiosity improves the quality of search in terms of time spent on the ad and attention devoted to specific product information, resulting in more focused memory and recall. The authors recommend a curiosity-generating advertising strategy to increase consumers interest and learning of product information about the curiosity trigger. As reported by Cho (2003), the banner advertisement click-through is believed to be the most common way to draw consumers into a target site and engage them with a brand or product. Accordingly, measuring advertisement banner click-through rates has become important for both the advertiser and the host website

Dreze and Hussherr (2003) also examined the effectiveness of ad characteristics on the ability to recall ad. Animation content, the shape of the banner ad, and frequency of the ad (repetition) leads to higher advertising recall but not the size of the banner. In addition, the authors reported that a banners message influences both aided advertising recall and brand recognition. This indicates that what an ad says is more important than how it says it (Rodgers & Thorson 2000), found that the type of advertisement and the advertisement appeals have an important role in bringing attention and prompting CTR. In fact this can be understood if we know that any advertisements can be classified into one of five basic categories: product/service, public service announcement, issuing, corporation and politics Nantel & Glaser (2008) shows that the perceived usability increases when the website is originally conceived in the native language of the consumer. Yet, they found a consumers native language has no impact on the purchasing decision. Website reputations have also great impact on how we receive the advertisement.

Research Methodology:
Research design The study will be conducted with the help of Questionnaire survey. Researcher will conduct study through empirical as well as descriptive research. Data collection method Most of the survey data will be collected through questionnaire and personal interview but some data will also be collected by internet and research papers it means both kind of data will be included in study primary as well as secondary. Sampling simple random sampling. Sample size A convenient sample of 100 respondents will be taken up for the current study in which respondent of the study will be requested to complete the structured questionnaire on voluntary basis. Tools used Appropriate statistically tool will be used for analysing the primary data collected by researcher.

Introduction Digital v/s traditional advertising Consumers purchase decision The reason behind digital advertising influence on consumers purchase decision Review of literature Research design Data collection Data analysis and interpretation Facts and finding Limitation of study Conclusion References Bibliography

Limitation of study:
Time constraints Cost constraints Size of the universe biased information by some respondents

Korgaonkar, P. Wolin, L, D. (2002) Web Usage, Advertising, and Shopping: Relationship Patterns, Internet Research, 12(2), pp.191-204. Menon, S. and Soman, (2002). Managing the power of curiosity for effective web advertising strategies. Journal of Advertising, 31: 1-14. Cho, C.H., (2003). Factors influencing clicking of banner ads on the WWW. CyberPsychology & Behavior, 6: 201-215. Dreze, X. and F.X. Hussherr, (2003). Internet advertising: Is anybody watching? Journal of Interactive Marketing, 17: 8-23. Rodgers, S. and E. Thorson, (2000). The interactive advertising model: How users perceive and process online ads. Journal of Interactive Advertising, 1. Retrieved June 21, 2008, from Nantel, J. Glaser, E. (2008) The impact of language and culture on perceived website usability, Journal of Engineering & Technology Management, 25(1/2), pp. 112-122.