Professional Documents
Culture Documents
Table Of contents
Abstract.......................................................................................................................................................3
Acknowledgement.......................................................................................................................................4
Introduction.................................................................................................................................................5
Research Objective......................................................................................................................................7
Literature Review........................................................................................................................................8
Methodology.............................................................................................................................................10
Hypothesis 1..............................................................................................................................................10
Hypothesis 2..............................................................................................................................................10
Hypothesis 3..............................................................................................................................................11
Research Findings......................................................................................................................................11
Appendix...................................................................................................................................................11
Results.......................................................................................................................................................20
Conclusion.................................................................................................................................................22
Limitation of the Study..............................................................................................................................22
Recommendations.....................................................................................................................................22
References.................................................................................................................................................23
Abstract
The present research was conducted to find out the effects of advertisements on the
buying behavior of university students in Lahore city (N=200). Questionnaire was used to
analyze the effects of advertisements on the buying behavior of the university students.
Data collected from the different universities of the Lahore. The data inserted in the
SPSS-16 and for analysis one sample t-test was used to check the hypothesis. The
findings of the study show that the advertisements have the effect on the buying behavior
of the university students. Although they got irritate with the advertisements repetition
and skip advertisements, but advertisements still have effect on their buying behavior.
The study also shows that mostly students purchased products that are endorses by their
favorite celebrity.
Acknowledgement
All praises are for Allah almighty that has bestowed upon human being the crown of
creation and has endowed him with knowledge and wisdom. After Allah, is the last
prophet Mohammed (S.A.W.W) who brought for us revelation and unlimited knowledge
and civilized the barbarian human being.
Although this dissertation contains my name but few people were very important to the
development of this dissertation without the support of them I could never successfully
complete the thesis.
I am highly thankful to my instructor Mam Namrah Ashraf and other faculty members of
Comsats. They really cooperated with me and provided their complete guidance.
Introduction
Consumer Buying Behavior: Is the patterns of the first purchase or the repeat purchase of
final consumers (individuals & households) who buy goods and services for personal
consumption.
How do consumers respond to different marketing efforts, the company might use?
Advertisement (ad): Advertisement is a form of one way communication for marketing
the product and also uses to encourage or persuade an audience (viewers, readers or
listeners or sometimes a specific group) to continue or take some new action.
Every consumer has different buying behavior according to his needs and wants
according to Maslows hierarchy of needs theory. Today marketers are using different
types of techniques to change the buying behavior of consumers by using effective ads
(Electronic/Print Media).
Marketers must have complete knowledge about consumers needs and wants and their
buying behavior so they can change consumers mind using effective ads.
Consumer may influence by ads, some may influence by:
Persuasive ads
Informative ads
Celebrity endorsements
Comparative ads
Funny ads
An ad is the sub set of Promotions (the 4 thP of 4Ps). Today ad is very important to inform
consumer about the product and its features otherwise no one will know about the
product. This thing is in the favor of marketers that, they can create or change the need of
the consumer.
In Pakistan, consumers are segmented according to different criteria, like Income level,
Gender, Age, Area, Education etc.
This study was conducted to analyze the relation between dependent variables (types of
ads) with independent variables (income level, gender, age). In this study main focus is to
measure the relation between dependent and independent variables that how independent
variables affect the dependent variables and also which independent variable has more
influence on the dependent variable.
Target population was the university students. To analyze the major factors that affects
the buying behavior of the university students. Students influenced by the advertisement
more because they are attracted towards new products more than any other age group.
Thus, by the age segmentation targeted population lies in youngsters (18-25) and middle
aged (26-40). They are the university students. Youngsters belong to graduate or
undergraduate and middle aged (26-40) people belong to post graduate degrees.
In modern world consumer buying behavior can be motivated by two sources:
Formal
Informal
From the picture it is clearly shown that the advertisement (formal source) and reference
group (informal source) have a clear and great impact on consumer buying behavior.
These two sources can create or change the needs and wants of consumers.
The main focus of study is only on advertisement i.e.
Research Objective
To Find Out The Effect Of Ads On Consumer Buying Behavior
To Find Out The Effect Of Celebrity Endorsement On Consumer Buying Behavior
Literature Review
M.A. Naseem et al. (May 2012) [1], found that the consumers are mostly like the media
advertisement. In Pakistan, the systems of the families are combined family system, thats
why all the family members use the same product which their parents are used. This was
the main reason that advertisement and other promotion modes not influence the buying
behavior of these types of the customers.
G.S.K. Niazi et al. (2012) [2], researched on the topic Effective Advertising and Its
Influence on Consumer Buying Behavior and his results shows that there is positive
relationship of emotional response and consumer buying behavior. On the other hand
there is no relationship between environmental response and consumer buying behavior.
The study further showed that consumer purchases those products from which they are
emotionally attached and that attachments are created only by advertisements. This shows
that advertisements have a great impact on consumer buying behavior.
Shahzad Khan (2012) [3], made a research to check The Influence of Formal and
Informal Sources on Consumer Buying Behavior for Telecom Sector. He found that there
is a significant relationship between formal and informal sources and consumer buying
behavior. In formal resources the dominant factor was advertisement, while in informal
resources, the factor that dominates was reference group. Thus, study shows that the
resources are formal or informal, they have impact on consumer buying behavior.
T. Ravukumar (2011) [4], he found that in his study on women shows a great relation
between visual media advertisement and women buying behavior. The result shows that
advertising value is closely related with women consumers attitude towards visual media
advertisements.
A.S. Abbasi et al. (2011) [5], in their research of The Impact of Advertising on Brand
Loyalty with the Moderation of Consumer Buying Behavior, found that advertisements
will have a direct impact on the purchasing behavior. The study also shows that the
buying behavior of the consumers also be positive if the advertisement consists of a
unique brand personality relating to their own exclusive persona.
Mohammad, O. Al Zoubi and Mohammad (2011) [6], T. Bataineh (2011), found that the
use of celebrity (actor) or athlete, effect the buying behavior of the consumers. It helps to
create awareness in the consumers mind and on the other hand it affects the buying
behavior.
Fathi All-Share and Marwan Al Salaimeh (2010) [7] found in their study that consumer
buying behavior is affected by advertisements. Consumers affected by the frequent
advertisements and their behavior moves toward purchasing the product to test the
product. Advertisements also facilitate in the evaluation of the products, and on the other
hand this is also the effect of advertisements on the buying behavior of the consumers.
Aneeza Bashir and Najma Iqbal Malik (2010) [8], research to check the effects of
advertisement on consumer behavior of university students. In their results, they found
that the environmental factors are important in decision making and getting information
but the most reliable and trustworthy source is the advertisement of particular brand. It is
concluded from the study that advertisement and the buying behavior are positively
related. People create certain attitude towards something according to their beliefs,
perceptions and knowledge.
Vinod Kumar Bishnoi and Ruchi Sharma (2009) [9], studied the impact of TV advertising
on buying behavior (a comparative study of urban and rural teenagers) through research.
The results of their study show that rural teenagers like television advertising more than
their urban teenagers. Advertisements enhanced the involvement of teenagers in the
product selections and purchase decisions. While rural teenagers collectively decide with
their family members that the product to be purchased due to shown in the advertisement,
but urban teenagers cant do like this. Urban teenagers wont buy the product if they
dont need whether it shown in advertisement or not. The study also revealed that the
buying behavior of male teenagers is more influenced by television advertisements than
female teenagers.
Zain-Ul-Abideen and Salman Saleem [10] found in their research that there exists a weak
association between environmental responses (information rates and sensory stimulus)
with the consumer buying behavior. While, on the other side, emotional response
(pleasure, dominance, arousal and brand recall) established strong association with the
consumer buying behavior. The study further showed that the environmental response of
the purchasing associates these buyers with unplanned or impulse buying but in this
research consumer purchase those products from which consumer are emotionally
attached. Major thing in the last of the result is attachment, thus it can be created by
advertisement. Thus there is an effect of advertisement on the buying behavior of the
consumers.
Qurat-Ul-Ain Zafar and Mahira Rafique [11] found in their study that, celebrity
endorsement has reasonable impact on customers as per their attitude and purchase
intention. Now days, celebrities are worshipped as icons now. Thus, if the customer
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perceives the physical attractiveness, credibility and the match between celebrity and the
product to be favorable, he is inertly being influenced to like that product which leads to
the purchase of that product and in that case the features of the product got the secondary
importance. Thus, the use of celebrity in advertisements affects the buying behavior of
the consumers.
Methodology
It was an analytical study conduct from October 2015 to December 2015. The
questionnaire was developed to find out the consumers response regarding the effect of
ads on consumer buying behavior. First part of the questionnaire has demographic
information of the students and the second part has the information about the study of the
buying behavior of the consumers. All the questions in the both parts of the questionnaire
are closed ended. Simple Random Sampling Technique was used in survey. For study,
200 respondents selected from the different universities of the Lahore. Total questionnaire
was distributed 220 and finally I got 200, so the respondent rate is 90.9%. Questionnaire
was filled by university students belong to under graduate, graduate and post graduate
students. After data collection, the data were entered in SPSS-16 for analysis. One
Sample t-test was the Statistical Technique used to find out the results of the Hypothesis,
Hypothesis are:
Hypothesis 1
H0: Advertisements Do Not Have Effect On Consumer Buying Behavior Of University
Students.
H1: Advertisements Have Effect On Consumer Buying Behavior Of University Students.
Hypothesis 2
H0: People Wont Got Irritate With Advertisement Repetition.
H1: People Got Irritate With Advertisement Repetition.
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Hypothesis 3
H0: Celebrity Endorsement Do Not Have Effect On Consumer Buying Behavior Of
University Students.
H1: Celebrity Endorsement Have Effect On Consumer Buying Behavior Of University
Students.
Research Findings
All these tables below show the distributions and the feedback of the respondents. First
five tables show the distribution of the respondents according to different criteria and
onward to table 6, it shows the feedback of the consumers towards the project and topic.
Appendix
Table 1
Age
Valid
Frequency
Percent
18-25
167
83.5
26-40
27
13.5
Above 40
200
100
Total
Table 1 from appendix shows the distribution of the respondents with respect to age.
Majority of respondents were between 18-25 years age group that is 167 (83.5%)
respondents. 27 (13.5%) respondents were from the age group 26-40 years age group. 6
(3.0%) respondents were belong to above 40 age group.
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Table 2
Gender
Valid
Frequency
Percent
Male
63
31.5
Female
137
68.5
Total
200
100
Table 2 from appendix shows the distribution of the respondents with respect to gender.
Majority of respondents were female that is 137 (68.5%) respondents. Male respondents
were 63 (31.5%) respondents.
The ratio of female respondents is high because of the reason that boys do not respond
with full intentions, they filled questionnaire with fun and take it as enjoyment. While the
girls filled questionnaire with full intentions and respond with seriousness. Thus, to get
the more accurate results we got the maximum data with the female university students .
Table 3
Education
Valid
Frequency
Percent
Under Graduate
108
54
Graduate
59
29.5
Post Graduate
33
16.5
Total
200
100
Table 3 from appendix shows that the majority of the respondents were belong to under
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Table 4
Marital Status
Valid
Frequency
Percent
Single
166
83
Married
26
13
Divorced
1.5
Separated
2.5
200
100
Total
Table 4 from appendix shows the marital status of the respondents. Majority of
respondents were single that is 166 (83.0%) respondents. 26 (13.0%) were married, 3
(1.5%) divorced and 5 (2.5%) were separated respondents.
Majority of students were undergraduates. They were unemployed and that is the reason
the majority of respondents were single.
Table 5
Frequency
Percent
Below 15000
17
8.5
15000-25000
27
13.5
26000-40000
55
27.5
Above 40000
101
50.5
Total
200
100
13
Table 5 from appendix provides information about the distribution of the respondents
with respect to the monthly family income. 101 (50.5%) respondents belong to income
group above 40000, 55 (27.5%) were belong to 26000-40000 income group, 27 (13.5%)
belong to 15000-25000 income group level and 17 (8.5%) respondents were belong to the
income group level of below 15000.
Table 6
Which Kind Of Media Do You Consider Are More Believable For Products?
Valid
Frequency
Percent
Electronic
149
74.5
13
6.5
Banners
15
7.5
Word Of Mouth
23
11.5
Total
200
100
Table 6 from appendix provide the information about the media that is more believable
for the products were distributed by the respondents as, majority of the respondents were
believe on the electronic media that is 149 (74.5%) respondents. 13 (6.5%) were believe
on print media, 15 (7.5%) were on banners and 23 (11.5%) respondents were believe on
word of mouth.
Table 7
Frequency
Percent
Persuasive
Informative
69
34.5
Having Celebrity
48
24
Comparative
13
6.5
Funny
62
31
Total
200
100
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Table 7 from appendix shows that, which type of the advertisement mostly consumers
like to see. Majority that is 69 (34.5%) were like to see informative advertisements. 62
(31.0%) like funny, 48 (24.0%) like advertisements having celebrity, 13 (6.5%) like
comparative advertisements and 8 (4.0%) respondents like to see the persuasive
advertisements.
Table 8
Frequency
Percent
Strongly Disagree
24
12
Disagree
29
14.5
Neutral
61
30.5
Agree
60
30
Strongly Agree
26
13
Total
200
100
Table 8 from appendix shows the distribution of the respondents that how frequent the
watch television. The response was mixed as shown in the table. Majority of the
respondents that is 61 (30.5%) watched television but they were neutral in their response.
60 (30.0%) agree that they watch television frequent. 29 (14.5%) disagree and 24
(12.0%) respondents strongly disagree to watch television frequently. 26 (13.0%)
respondents strongly agree that they watch television frequently.
Table 9
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Total
Frequency
16
38
57
59
30
200
Percent
8
19
28.5
29.5
15
100
15
Table 9 from appendix shows the distribution of the respondents that how many of them
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Total
Frequency
13
15
64
82
26
200
Percent
6.5
7.5
32
41
13
100
Table 10 from appendix shows that how many of the respondents think that
advertisements make a strong perception about product. Majority 82 (41.0%) agree to this
while 64 (32.0%) were neutral that may be some time or may be not. 26 (13.0%)
respondents strongly agree to this and on the other side 15 (7.5%) disagree and 13 (6.5%)
strongly disagree to this fact
Table 11
Frequency
Percent
Strongly Disagree
4.5
Disagree
24
12
Neutral
46
23
Agree
97
48.5
Strongly Agree
24
12
Total
200
100
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Table 11 from appendix provides that the majority 97 (48.5%) respondents agree to the
fact that advertisements effect the buying decision and 46 (23.0%) are neutral. 24
(12.0%) respondents strongly agree and on the other hand 9 (4.5%) strongly disagree and
24 (12.0%) disagree to this fact.
Table 12
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Total
Frequency
20
56
72
42
10
200
Percent
10
28
36
21
5
100
Table 12 from appendix provides that the majority of respondents that is 72 (36.0%)
respondents were neutral to the fact that they involve in the advertisements when they see
it. It means some time they got involved and some time not. 42 (21.0%) agree and 10
(5.0%) strongly agree to this fact while on the other side 56 (28.0%) disagree and 20
(10.0%) strongly disagree to this fact of involvement in advertisement.
Table 13
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Total
Frequency
35
54
68
34
9
200
Percent
17.5
27
34
17
4.5
100
Table 13 from appendix provides that the majority of the respondents that is 68 (34.0%)
believe that the attributes shown in the advertisements are some time true and some time
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not. 34 (17.0%) respondents agree and 9 (4.5%) strongly agree to this fact but 54 (27.0%)
disagree and 35 (17.5%) were strongly disagree to this fact that the attributes shown in
the advertisements about the product were true.
Table 14
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Total
Frequency
21
33
73
64
9
200
Percent
10.5
16.5
36.5
32
4.5
100
Table 14 from appendix provides that the majority of the respondents were neutral that is
73 (36.5%) respondents some time purchased products after watching advertisements and
some time not. 64 (32.0%) agree and 9 (4.5%) strongly agree to this fact while 33
(16.5%) disagree and 21 (10.5%) strongly disagree to this fact.
Table 15
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Total
Frequency
9
31
49
91
20
200
Percent
4.5
15.5
24.5
45.5
10
100
Table 15 from appendix provides that the majority of the respondents believe that
advertisements are helpful in buying decision. 91 (45.5%) agree and 20 (10.0%) strongly
agree to this fact while 31 (15.5%) disagree and 9 (4.5%) strongly disagree to the fact. 49
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(24.5%) respondents were neutral to this fact that is they believe that some time these are
helpful and some time not.
Table 16
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Total
Frequency
15
26
40
54
65
200
Percent
7.5
13
20
27
32.5
100
Table 16 from appendix provides that the majority of the respondents are strongly agreed
to the fact that they got irritated with advertisements repetition. 65 (32.5%) respondents
are strongly agree and 54 (27.0%) agree to this fact. 26 (13.0%) are disagree to the fact
and 15 (7.5%) strongly disagree to the fact. 40 (20.0%) respondents are neutral to the fact
that may be some time they got irritated and some time not.
Table 17
Strongly Disagree
Disagree
Neutral
Agree
Strongly Agree
Total
Frequency
27
40
54
49
30
200
Percent
13.5
20
27
24.5
15
100
Table 17 from appendix provides that the majority of the respondents about celebrity
endorsements, they sometime purchase the products and some time not. 54 (27.0%)
respondents are neutral to this fact. 49 (24.5%) respondents agree and 30 (15.0%)
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strongly agree while on the other side 40 (20.0%) disagree and 27 (13.5%) respondents
strongly disagree to the fact of celebrity endorsements.
Results
After analyzing the data in the SPSS-16, it shows that the advertisements have effect on
the consumer buying behavior of the university students. One Sample t-test used to check
the hypothesis,
One-Sample Test
Test Value = 0.25
t
df
Sig. (2tailed)
Mean
Difference
Upper
Do You Think
Use Of The
Advertisement
Effect Your
Buying Decision?
46.06368
199
3.265
3.12523
3.40477
Do You Irritate
With
Advertisement
Repetition?
37.92041
199
3.39
3.213712
3.56629
Do You Buy
Product That's
Endorses By Your
Favorite
Celebrity?
31.71045
199
2.825
2.64932
3.00068
Hypothesis 1
H0: Rejected
H1: Accepted
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Test results shows that the advertisements have the effect on the buying behavior of the
university students. We Reject H0 and Accept H1.
Hypothesis 2
H0: Rejected
H1: Accepted
Test results shows that the university students got Irritate with the Advertisements
Repetition. We Reject H0 and Accept H1.
Hypothesis 3
H0: Rejected
H1: Accepted
Test results shows that the Celebrity Endorsements have the effect on the buying behavior
of the university students. We Reject H0 and Accept H1.
Conclusion
I found from the study that the advertisements have the effect on the buying behavior of
the university students whether they watch television frequently or not. Mostly students
consider electronic media more believable for the purchase of the products and like to see
the funny advertisements and they attracted to the product by the type of the
advertisement. Although they got irritate with the advertisements repetition and skip
advertisements, but advertisements still have effect on their buying behavior. The study
21
shows that the mostly students involve in the advertisements and believes in the attribute
of the product that are shown in the advertisements. Another major finding of the study is
the effect of celebrity endorsements on the buying behavior of the university students.
The study shows that mostly students purchased products that are endorses by their
favorite celebrity.
Finally it concludes that, the university students mostly like the media advertisement. By
the use of media they are attracted more so, the companies should use the media as a
mode of promotion for their product.
Second was the limitation of the resources, the research was conducted by taking
the small number of sample. The research have to be conducted with large sample
size.
Recommendations
Some recommendations for the further research on the same topic are:
More generalized results can be found by taking the large sample size.
Research can be conducted outside the city Lahore, in the whole Pakistan.
Further research can be conducted by taking all the consumer segments as a
sample.
References
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Buying Behavior, Information Management and Business Review, Vol. 4, No. 3, pp.
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