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FINAL YEAR PROJECT

“IMPACT OF BTL ACTIVATION ON CONSUMER BUYING


BEHAVIOR AND BRAND POSITIONING”

SUBMITTED BY
MUHAMMAD AMMAD
(BB-1-13-57563)

SUPERVISOR
SIR OMAIR ABBAS

SPRING 2017
23rd July 2017

PROJECT REPORT SUBMITTED TO


PAF-KIET INSTITUTE OF ECONOMCS AND TECHNOLOGY
DEPARTMENT OF MANAGEMENT SCIENCES
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PROJECT APPROVAL LETTER

PROJECT TITLE: “IMPACT TO BTL ACTIVATION ON CONSUMER


BUYING BEHAVIOR AND BRAND POSITIONING”

BY: MUHAMMMAD AMMAD NASEER


PROJECT SUPERVISOR MR. OMAIR ABBAS
ACADEMIC YEAR 2017

The board of advance studies of PAF-KIET has approved this project, submitted in partial
fulfillment of the requirement for the degree of Bachelor in Business Administration.

Approval Committee

____________________ ______________________

Mr. OMAIR ABBAS Mr. ADNAN ANWAR


(Supervisor) (Director Academics)
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LETTER OF TRANSMITTAL

Sir Omair Abbas,

Final year project supervisor,

PAF-KIET City Campus,

Karachi.

Respected Sir,

As per the requirement of my Bachelor’s Degree. I am submitting the final year project report
on the Impact of BTL Activation on Consumer Buying Behavior and Brand Positioning

As per the advice, the report includes objective of the study and a brief literature survey.

I have tried to cover all the major aspects and the major requirement that are demanded and are
essential for this project.

I am grateful for your guidance and supervision without which this project could have not been
completed.

Thank you.

Sincerely,

MUHAMMAD AMMAD (57563)


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ACKNOWLEGEMENT

Start with the name of Allah who is the most beneficial and merciful. I relay thankful to

Allah that give me strength to accomplish my project.

I really thankful to my supervisor Mr. Omair Abbas. I am very glad to work under his

supervision. He is very helpful and supportive person and guide me to complete my

project. His teaching style is very impressive .He give a lot of information and knowledge

that help me to accomplish my final year project. He is my inspiration in the field of

marketing and BTL activations.

I am also thankful to Mr. Qazi Salman for his guidance and support and for available

throughout the semester for any kind of help.

I also very thankful to my family and friends for their support which give me strength and

confidence to give better result


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ABSTRACT

Now a days competition is increase between companies every one want to grab the

attention of the customer toward their product for that companies use different type of

Marketing tool to attract the customer toward their product BTL below the line activity is

one of them carried out most of the companies to increase their sales . It is very important

to any company that is using BTL activities as a marketing tool for their product that what

impact below the line activities have on consumer buying behavior and does it position

brand in the mind of their customer. This study is done for now the impact of the BTL

activities on the customer behavior and does it help companies to increase their sales, the

study is also give some information about the below the line activities and what type of

BTL activities are using know a days by different companies and where these below the

line activities carried out. We only focus FMCG product for our study. The study also tells

which type of BTL activity is more attractive for the consumer and it’s also help

companies to analyze which type of BTL activity favors them. The “BTL activities use as

a dependent variable” and “consumer buying behavior and brand positioning” is taken as

independent variable. In BTL we take Discount promotion activities, free sampling, store

display act and free coupons. The Multiple regression and correlation technique is used to

find the significance between the variable. The result shows that there is strong

significance between BTL activation and consumer buying behavior but weak significance

between Brand positioning we also analyze that Discount promotion have more effect on

mind of consumer and attract consumer more toward them as compare to other BTL

activities it influence more to consumer buying behavior.


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TABLE OF CONTENTS
INTRODUCTION:....................................................................................................................................7
BACKGROUND.......................................................................................................................................8
LITREATURE REVIEW..............................................................................................................................0
BTL ACTIVATION................................................................................................................................0
SALES PROMOTION...........................................................................................................................1
STORE DISPLAY ACT...........................................................................................................................2
FREE SAMPLING.................................................................................................................................3
PRICE DISCOUNT:...............................................................................................................................4
PROMOTIONAL STAFF.......................................................................................................................5
BRAND POSITIONING.........................................................................................................................5
PERCEPTION OF CONSUMER.............................................................................................................6
BRAND ASSOCIATION........................................................................................................................6
DISTINCITIVE OFFERING.....................................................................................................................7
DECISION OR CHOICE OF CONSUMER...............................................................................................8
TIME TO PURCHASE...........................................................................................................................9
CONSUMER BUYING BEHAVIOR.........................................................................................................9
FACTOR INFLENCING CONSUMER BUYING BEHAVIOR....................................................................11
INTERNAL FACTOR.......................................................................................................................11
Personal Factor............................................................................................................................11
Education Factor..........................................................................................................................11
Professional Factor......................................................................................................................12
Income Factor..............................................................................................................................12
Cultural Factor.............................................................................................................................12
Social Factor................................................................................................................................12
CONSUMER BUYING PATTERNS...........................................................................................................13
ATTITUDE.........................................................................................................................................14
CONSUMER LOYALTY.......................................................................................................................15
AFFIRMATIVE MOOD.......................................................................................................................15
NORMATIVE INFLUENCES................................................................................................................16
METHADOLOGY.....................................................................................................................................0
RESEARCH DESIGN.............................................................................................................................0
POPULATION.....................................................................................................................................0
SAMPLE..............................................................................................................................................1
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SAMPLE SIZE......................................................................................................................................1
SAMPLING TECHNIQUE......................................................................................................................1
DATA COLLECTING TOOL...................................................................................................................2
DATA COLLECTION TECHNIQUE.........................................................................................................2
STATISTICAL TOOL.............................................................................................................................2
STUDY LIMITATION............................................................................................................................2
RESEARCH QUESTIONS:.....................................................................................................................3
THEORETICAL FRAME WORK.............................................................................................................3
FRAME WORK........................................................................................................................................4
FINDING.................................................................................................................................................0
INTERPRETATION OF REGRESSION....................................................................................................0
CORRELATION INTERPRETATION......................................................................................................6
CONCLUSION.........................................................................................................................................8
RECOMMENDATION..............................................................................................................................9
REFERENCES........................................................................................................................................11
APPENDIX............................................................................................................................................14
QUESTIONNAIRE..............................................................................................................................14
SPSS DATA...........................................................................................................................................20

Figure 1Histogram of Promotional activities.........................................................................................2

Figure 2 Histogram of promoional ativities...........................................................................................5


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INTRODUCTION:

We live in a world enriched with media where promotion is an essential activity carried

out every day in the world of media. Promotion is one element of marketing mix and

there are various type of promotional tools BTL Below the line is one major form of

promotion. BTL activities influences greatly on the mind of the customers for a long

period of time. Know a days it become a more popular in the Marketing field because the

completion between product increasing day by day. Every company wants to market their

product and gain more customer attention. As a marketing vehicle, one of BTL activities

features is to aim at persuasion of potential customers (Kotler, Armstrong

2010)Purchasing decisions of customers are achieved by the BTL promotional activities

which plays a major factor in their buying decisions BTL promotional activities also plays

a vital role in the product/service awareness. “BTL below the line activities know a days is

the most effective and inexpensive method to gain the customer attention because you can

direct reach your customer. Other methods like advertising on media is very expensive so

most of the FMCG companies BTL method to cut down their cost. BTL promotional

activities are marketing activities to take product where the audience is present .BTL

include Price discounts, free samples, coupon, in store display,


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BACKGROUND

Promotion of products have greatly changed, decades before products were advertised by

pectorals, images and symbols to draw attention of the customers and sell their product. In

today’s world one cannot think of branding their product without conducting promotional

activities to aware the customers about their product. BTL promotional activities has now

become a communication channel between the buyers and sellers. The main practical

purpose of BTL promotional activities is to make an influence of your product in the

minds of the customer the way you want them to perceive the brand. One cannot think of

spreading the products or brands awareness in today’s fast moving world without the assist

of BTL promotional activities. This research is based on influence of BTL activities on

customers buying decision. The objective of this research is to analyze the attitude of

customers as per respect to the BTL activities. People highly respond to if someone give

benefit to them. This research will examine Karachi consumer’s response towards BTL

activities and their impact on purchasing decisions and brand positioning.


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PROBLEM STATEMENT:

BTL activations is carried out large number of organization to gain the attention of their

customer toward their product. It is very important for any organization that if they spend

a lot of budget on BTL activation what effect BTL activities leave on their mind of

customer and does it favor the brand positioning to remind customer when they make

purchase .There are many types of BTL activities and Different people have different

behavior like some people attract toward sales promotion, some attract toward Free

sampling, some people think that coupon give more benefits to them some preferred in

store display activities.

GAP ANALYSIS

BTL activations like Sales promotion, Free sampling, Capons, in store display is being

carried out in different Mall, LTMs, IMTs, Super Market to engage customer toward the

product to tell the customer that it is beneficial for you try it. The research is based the

effect BTL activities on consumer buying behavior. That what the customers think about

these types of promotional activities and does the band positions in the mind of customer

when they make purchase. The research is for FMCG product and its helps companies to

monitor that how much BTL activities impact on their sales .The research is for Middle

class , upper Middle class, upper and elite class whoever visits Malls, Let’s , IMTS and

super Markets
LITREATURE REVIEW

BTL ACTIVATION

BTL activation is such activities that consumer interact directly, it is a part of marketing.

BTL below the line activation is uses by different companies to promote their band and

Build positive perception in the mind of consumer. According to Buckley (1991), different

types of BTL below the line like sales promotion, free sampling, coupons and in store

display effect the consumer buying behavior .Different research carried out like Eppen and

Lieberman (1981); Blattberg and Sen (1982) conclude that sales promotion have more in

influence on consumer. Tendai and Crispen (2009) conclude that in store display activities

creates environment that attract consumer toward them. Sales volume also increased

through in store display. Store display get more attention of customer. Customer is your

key to business you have to attract your customer for your business. BTL activation is

carried out by many Malls, Super markets, LMTs (local modern trade) and IMTs

(International modern trade) different malls use different promotion to attract their

customer to increase the number of customer Like offering discount , coupons , free

sampling these are some tools offer by different Malls , IMTS, LMTS, Super markets to

attract customer . Research said that discount getting more attention and people attract

toward it (SeminarProjects.com, 2012).Research said that sales promotion is one of the

important tool of marketing which use by different Mall to attract their customer.

Promotion something that people get attracted that something is giving benefit to them

Damle, (2011). Different promotion tools like gifting, display these are type of activation

uses know a days in different places. Discount attract customer toward them and influence

them to buy that product Holbrook and Hirschman, (1982).


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SALES PROMOTION

Sales promotion activities include personal selling to the customer and different Brand

ambassador give briefing to the customer to purchase their product and its directly

advertise to people in Malls, Super markets Brussel (1991) but other author like William

& Ferrell (1987) said that sales promotion is giving value addition to the customer and

these promotional activity is use my most of the marketers. Sales promotion is simple to

the customer and it’s easily understand by the customer. Sales promotion is a very easy

technique which provide benefit to the customer to attract Mercer (2002). Every time of

promotion is part of the business because it is a communication between customer and

company. Promotion communicate the message of the company to the customer that we

are given benefit to you please buy are product According to zallocco & Kincaid (2008).

The important and effectiveness of sales promotion is varies according to the products and

buying behavior of the customer Kotler (1994. Promotion is any time is most important in

marketing and it’s a part of marketing mix and it take some much budget of company

Kotler & Armstrong (1990). According to shimp (2003) sales promotion is just like

incentives given to customer to increase their business and other channels and it gives

consumer benefit and consumer think that it is beneficial for me if I buy this product and

companies encourage the customer to increase in their sales . It’s a short term base

promotion companies give short term sales discount to grab the customer and increase the

sales Totten and Block (1994) .According to Robinson and Carmack (1997) coupons are

given by those companies who are new in markets and try their product as a trial.

According to Cook (2003). Coupons can easily attract customer. Gilbert and Jackaria

(2002) researched shows that coupons are last in rank. Heilman (2002) there studies show

that how much coupon is effective as a promotion tool or activation Peter and Olson,

1996; Gardener and Trivedi, 1998; Darks, 2000; Fill, 2002. The voucher and coupon have
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very strong mentak effect on mind of consumer and very much attach to the customer

mind Hielman et al. (2002). The coupon is offered by different companies to boost their

sales and most of the store provide theses coupons. While shopping customer is thinking

more about their benefit and want some value addition. These coupon has not very big

image on customer thinking but when customer buy some product they notice theses

offers. Theses coupons make customer mood happy and it’s a surprise gift for customer.

Tendai and Crispen (2009) dis agree with these theories that coupons don’t make any

psychological effect on consumer and more said that consumer don’t notice these types of

offer when the customer make mind of purchase they also decides the amount of shopping

so coupons don’t effect the mind of consumer but if any customer get any coupons he

avail this coupon and make purchase

STORE DISPLAY ACT

Tendai and crispen(2009) cited Terrazas(2006) store display activity is very important

aspect of promotion and for customer also because customer can show directly what’s

going on in the store what brand do their promotions and what type of promotion and the

most important thing that company increase their sales because its attract customer to

make purchase. In store display you can display your product in different style so

customer notice that thing. It is one strategy that in the front of any store or Mall you can

display your product so by entering in the store or Mall customer the display product get

attention and then customer go for purchase where the product is place in this promotion

the buying behavior is important that by noticing the product at display the customer buy

the product. The front of store of Mall and store is attract to customer. Darden et al (1983)

suggest that store display is effective but at no as much as other activities


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FREE SAMPLING

When we talk about free sample it’s also an important tool of marketing use by different

companies to promote their products. with the help of free sampling you can create your

product and brand awareness to the customer by giving free product sample to the

customer so customer use your product and give your feedback . Free sampling is also use

as test marketing for different products. Different companies use this strategies when new

product comes in to the market so before launch the products companies test their product

to know the feedback about the product. In this free sample the customer is directly

interact with the products and use the product not just advertisement or just display

Kardes, (1999). Free sampling has a good significance on consumer buying behavior

reported Pramataris et al. (2001) Fill (2002). Bonus pack also have impact on consumer

buying behavior because you give value addition to your customer. It is the thinking of

any consumer that something is extra influence the customer to buy that product because

customer thinks that I get something extra in the same cost (Gardener and Trivedi, 1998).

Buy one get one free is also use know a days but according to Gilbert and Jackaria

(2002), the Impact of buy one get one is not as much coupon and free sampling because in

buy one get one customer buy product and may be don’t come again to the store as in

coupon and free sampling customer use product as a trial and come again to purchase but

it’s important in brand awareness and brand recall for purchase again but yes something

extra make influence customer to buy that particular product because customer think that it

is beneficial for them because they give same amount of money but they get extra product

so it has a very good image on consumer thinking. Ong et al. (1997) conclude that some

time buy one get one has not very good image on quality of product because most of the

companies use this to increase their sales not focus on their quality. Many consumer think

that this product has not good quality because the company already give free product with
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one product. The manufactures slightly increase their price to change the perception of

mind that we give you extra value and we have also well quality

PRICE DISCOUNT:

Price discount is used by different companies to increase their sales Kim et al (2009).

Most of the consumer preference deals when they make purchase. Dawra et al (2015).

Price discount make positive influence in the mind of consumer when they go to the

market the brand that have deals and they chose that brand offering good deals

Muehlbacher et al (2011).

.
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PROMOTIONAL STAFF

Promotional staff is playing a very important role in shopping Mall. Promotional staff help

and customer in shopping and customer become happy and their purchasing is become

easy. Promotional staff influence customer to make purchase. If there is no staff in the

mall or shopping store it effect the purchasing of customer researched by jones (1999).

BRAND POSITIONING

Suoniemi (1998) the positioning is a concept related to customer the offering is given to

the customer to compete with the customer. Positioning is further describe by Kotler

(1994) the product get distinctive image in the mind of consumer because the main motive

of the company of BTL activation is to create a special image of product in the mind of

customer Aaker and shansby (1982). The positioning is very necessary to the company if

they stay in the market with their customer because if your customer position their brand

in the mind of consumer and people get aware and you don’t do any positioning so you

can’t survive in the market. Positioning is something that you make commitment with

your customer and you have to fulfil your commitment because if you not fulfil the

commitment with your customer so it make a negative impact of product in the mind of

customer. The position building required many years but it destroy quickly there are many

ways that your positioning destroy Aaker and shansby (1982) ; Ries and trout( 1981) ;

Dimingo (1988) . positioning is a very risky part of any company that if its gone your

product destroy and it’s very difficult to build your positioning again in the mind of

consumer Kotler (2002).


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PERCEPTION OF CONSUMER

Positioning is based on consumer perception that what the consumer perceived about your

product Hayes et al (1996) , Suoniemi (1998) According Ton Sitter (2008) any individual

analyzing and thinking is perception. The consumer perception play a vital role in buyer

decision for making any purchase Suoniemi (1998). The brand awareness play a very

important role in consumer perception Aaker (2000). The consumer easily pay premium

price for that brand that favors them Blen del Rio et al (2000). Consumer price perception

is based on “internal reference” prices Thaler (1985). When a brand offering some

distinctive offering in high price to the consumer and no other competitor give so

consumer give positive response to that price Agle and holden (1995).

BRAND ASSOCIATION

Xu chen(2010) cited Aaker (1991) the association with brand is very much important

because tells you that what image and knowledge your brand have in the mind of the

customer and what consumer think about your product . The brand association with the

customer is the reason that customer buy your product. The association with any type of

offering is influence consumer and build positioning because association is something that

you give some value to the customer that you are very important for us and we care for

you and that’s the reason that consumer make an image of your brand that it’s a good

brand and the positioning is built by this Blen del Rio et al (2000) cited Cobb Walgren et

al , Park and Srinivasan (1994). The brand association has influence on consumer

decision and consumer preference and for that consumer want that brand and pay the high
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price and its increase the chase of future purchase also Hutton (1997) Agarwal and Rao

(1996) and Yoo et al (2000)

DISTINCITIVE OFFERING

Distinctive offering is any unique offering offer to customer is called Distinctive offering

Its related to positioning .Every company wants that customer buy their product but for

this they have to give distinctive offering that no any other company give to their customer

. Know a day the competition is increase between companies every one want to increase

their sales so that they offer many unique or distinctive offering to the customer. If you

want to successful in the market you have differentiation so that customer different your

brand with other product. The distinctive offering is different for different target market.

Those companies providing benefits and give value to the customer their customer have

strong brand association with them Kotler and Keller (2009). Any company give any

different or unique offering to their customer so its means they want to differ from their

customer Hooley et al (2004). The distinctive offering that is not done by any competitor

is very beneficial for the company McMillan and McGrath (1997).


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DECISION OR CHOICE OF CONSUMER

Consumer choice is depend that how much brand position their brand in the mind of

consumer and how much consumer have knowledge about brand. Knowledge is done by

brand awareness the brand awareness is very much important to the brand to make

customer aware from different offer they provide. Consumer decision is based on the

perception they have in their mind about particular brand. Different companies make differ

strategies for create brand awareness and BTL activation is one of them and its plays a

vital role in choice of brand. Rossiter and Piercy (1987); Rossister et al (1991); Macdonald

and Sharp (2003). Schiffman and Kanuk(2004) there are many ways to know the

consumer choice or decision “economic view” this point shows that in the market there are

lot of competition and consumer face that competition if consumer have knowledge about

product and differentiate with other brand so they can make choice easily.

Consumer have different perception about different brands in the market like Positive and

negative so it depend on consumer perception that what they chose. Alternative are also

take place in the markets if the consumer not satisfy with one brand so they can divert to

alternate brand. Most of the consumer make their decision on promotion and marketing of

brand that which brand do more promotion and marketing they attract by promotional

activities like BTL activation etc. Some consumer are very emotional they have some

feeling with particular brand so they can make decision on emotional basis. Consumer

only consider promotion when the product or brand is in consideration. If the promotion

like discounts and sampling have not a very influential effect on consumer thinking Mela

et al (1997).Most of the consumer are not brand loyal they are price sensitive their buying

pattern is not based on brand loyalty they focuses on how much discount offered by brand

Ailawadi and Neslin (1998)


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TIME TO PURCHASE

The consumer spend their time on purchasing making choice. most consumer need more

time for diction making because they first gather different information about different

brand and their affordability , then analyses which brand give valuable offer then make

any purchase but another consumer required less time for their decision making because

he has prior knowledge and information Gretzal (2007), Dhar asn Nowlis (1999)

CONSUMER BUYING BEHAVIOR

Consumer buying process is basically a prolonged process consisting many steps.. This

process start s with need recognition which leads towards information search which is

followed by alternative evaluation , after this purchase decision needs to made and then

post purchase evaluation. The first step of this process is need recognition that describes

the unmet needs of an individual, so the unsatisfied need tends the consumer to buy the

needed thing, needs are of many types that it can be internal or external that a person

wants to satisfied his internal needs like thirst, hunger etc. Need can be external like

advertising, shopping and many more Ferrell & Hartline (2008, p. 152). and it’s essential to

understand that for the firms to understand the needs of the customer now and then

and transfigure it as a want for a particular product .it is to construct the need and make

potential of your product and convince your targeting customer to want it passionately

.as it would fulfill their needs and wants better, and for example in super markets snacks

and suck things are displayed in the middle and on the front so that need can be

transferred as want , and the specific brand of snacks also discount the product to make
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it more dominant so the potential for the product increases and customer start buying it

frequently ,as some times consumers are unaware about many things that they need the

most , so what the marketer does he start making people aware about that need first and

then introduce the product as that specific product would fulfill that need and the

unsatisfied need of people will be satisfied by that product this is a good approach to

convince consumers and they maintain the competitive edge, after knowing about the

needs and wants then consumer start seeking the information actively , in this

information seeking approach includes simply searching information about the specific

products the attributes, advantages, disadvantages and etc. and secondly paying

attention on the advertising of that specific product through any medium or channel,

people usually talk about the product so they discuss about the product , and the

marketer make some techniques so that the consumer want their product passionately,

they start bringing out some discounts or sale offers, in super markets or etc., and other

promotional activities
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FACTOR INFLENCING CONSUMER BUYING BEHAVIOR


According to the buying behavior we have two factor 1) Internal Factors 2) External

factors

In internal Factors we have

INTERNAL FACTOR

Personal Factor

Every individual have different personal factors that influence their behavior. The

consumer buying decision is based on their personal factor like “life, age, income,

occupation, lifestyle and opinion”. Demographic factor is an important factor that

influence behavior like age people of different ages have different buying behavior ,

income different income people have different buying behavior according to their income

because those people have more income they choice of brand is more branded and those

people have less income don’t focus on brand

Education Factor

Education plays very important role in buying behavior. If a person is educated and have

knowledge so their choice is different first he research about the brand and find what

brand is good and affordable for them. But the uneducated person don’t have knowledge

about different brand they don’t research and analyses different brand as compared to

educated person.
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Professional Factor

Profession also impact the buying behavior because every person select the brand

according to their occupation like a banker required formal dressing and peon of any

organization don’t required any formal dressing

Income Factor

Every person have different income according to their jobs that influence buying behavior

because every person buying behavior is different according to their income .the range of

prices are different for every income level . If a person has good income so they prefer

branded product but if a person has not good income so he don’t give attention to famous

brand he just try to fulfil their need only

EXTERNAL FACTOR

Cultural Factor

Cultural factor influence buying behavior because different cultures have different social
values and perception and their purchase are different from each other .if a person
belong to some culture so he has to follow their culture in the society.

Social Factor

Social factors also influence buying behavior .Some of social factor are status, family role,
reference group. People from different status have different buying behavior. Some
people rely on their family decision that what the family member decision is final.
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CONSUMER BUYING PATTERNS

There are many very prominent example of promotional activities and successful too,

people prepare to know about the product internally ,as they believe more quickly when

they listen about the product from their friends ,family members or others they trust

most, as the internal approach of seeking information is more trust worthy and some

also get inspired through the external sources that consists of advertisements of all types

,marketing person and etc. so during the information search people eliminate or include

some products in to their consideration the list for evaluation is not completed when

they are analyzing due to their perspectives, so after the list is generated people start

evaluate them according their needs , this evaluating stage is too difficult to understand

so they try to seek the product that fulfill their needs within their limits they try to obtain

the best most they can get , this is usually done internally from the customer this is why

this step is quite difficult to measure , but although it is very essential to understand the

interest and the choice criteria of the consumer and their consideration , marketers

tends to maintain a good image of product in the minds of the customer , reinforcement

is very important to maintain their involvement in the product ,marketers remind them

through many ways by advertising by enhancement of the product and many more so

when the alternatives are being evaluated , then it move towards consumer buying

decision , when the consumer is ready to buy the product so the retailer should not have

the barrier of less availability of the product, so the product should be easily accessible

and available , in super store a product that is marketed well and the customers are

convinced then a good amount of such product should be available , then the product is
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been purchased now it comes to the most important part , when you sale your product

ones you want your customer be your regular customer sand to maintain a long term

relationship with the customer , after purchasing customer do post purchase evaluation ,

for example if the customer purchased a dress after some days the color faded off and

the quality was not that good enough as you claimed so the customer will get discourage

and he would have not buy or recommend that product to other or for example the

quality that you claimed keeps the promise and the experience is good so the consumer

would also come again and also recommend that product to others too.

ATTITUDE

“Attitude are learned predispositions to respond to an object in a consistently favorable

or unfavorable way” Assael (1998). There are three component that attitude can be

define

1. “Cognition is perceptual component of attitude. Individual awareness, knowledge belief and

image of object”. Blythe(1997)

2. “Affect t are the emotions the feeling of like dislike that what a person feel about

something” .Blythe (1997)

3. “Conation is the behavioral intention. Conations about what we intend to do about the

attitudinal object where to approach it, regret it, buy it. Is not an actual behavior it is an

intention”. Blythe(1997)
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CONSUMER LOYALTY

The consumer loyalty have many perspective but most of the researcher said consumer

loyalty is “the repeated purchase of consumer is loyalty “by Ehrenberg (1998) and Jacoby

(1971). According to Hess and Story (2005) loyalty is “Preference and commitment “. But

there is conflict according to Oliver (1999) “commitment is not loyalty conversely, loyalty

is the aspect of commitment” Meyer and Allen (1991). Loyalty is created by good quality,

distinctive offering, giving value to the customer. If these thing are not there consumer

divert to other brand easily.

According to Aaker (1992) the brand make any kind of changes in price feature the

consumer behavior reflect that the consumer divert or stay with same brand. Hart el at

(1999) “concept of consumer loyalty is unknown” Loyalty paly a very important role to

increase sale of company. If the consumer show loyalty with some brand this mean the

product meet the quality standard and give benefit to the consumer Gwinnwe et al

(1998) and Hagen and Mathews (2001). Consumer loyalty increase competition in the

market between competitors. Different companies use different program to make

customer loyal with their brand Sengupta and Fitzsimons (2000).

AFFIRMATIVE MOOD

It is coated by Karen and lee (2002) positive mood for buying is more better than the bad

or negative mood but in every type of mood the buying than be done,(rook and Gardner)

the buying can be increase or urged if it takes place in good mood(Beatty and Ferrell

1998) but as (Weinberg and Gottwaldov 1982) non buyers are emotionally driver more as
16 | P a g e

compare to impulse buyer and Donald et al.(1994) cited that the buying is totally related

to the feeling of happiness while a person is buying.

NORMATIVE INFLUENCES

Impulsive behavior relates to less maturity, little interact ,immorality , unsophisticated ,

stupidity etc. (Bohm_Bawerk (1898) &(1959) ;Freud (1896)&;Mill(1848)&(1909);Rook and

fisher, 1995), negative result is related to impulsive behavior sometimes dissatisfaction

in post purchase behavior and financial situation is not good sometimes ((Rook

(1987);Rook and Hoch(1985);Rook and Fisher , (1995), impulsive behavior can be visualize

in positive manner (Rook and fisher 1995) through consumption of situation as positive

behavior like buying a gift form sick friend more so normative judgment is likely to be

drawn moral motivated impulse purchasing take place it is related to normative

judgment has power to effect the consumer buying behavior. Such consumer who

possess trait likely hood of impulsive purchasing actually involve in impulse purchasing

and each impulsive buying is influenced and permitted by their normative judgment

(.Triandis 1995) according to (Kacen and lee 2002) people are more motivated when they

have normative effects if they consider that they important part of society collectively

and it is found that normative influences are link with impulsive buying behavior.
METHADOLOGY

RESEARCH DESIGN

The research that is carried out is quantitative research as the topic requirements. The

quantitative research is used to get result from the sample of population. I use

quantitative research because this is reliable and help to get the accurate result.

Quantitative research is used to measure different peoples opinion in sample .The Impact

of BTL activation on consumer buying behavior, different surveys conduct in Malls, LMTs

(local modern trade), IMTs (International modern trade), Super markets on how BTL

activation effect the consumer to make decision, surveys contain different questions to

gather numeric data from different consumers that is use in the study.

POPULATION

The population of Karachi is selected for the study. The study is based on Impact of BTL

activation on consumer buying behavior like free sampling , coupons, store display, sales

discount these all type of activation is carried out in different Malls, LMT(local modern

trade),IMTs (International modern trade) and super markets. The consumer who went to

different Malls, LMTs, IMTs and super markets for purchasing different goods for their

consumption are select for the study. The main reason for selecting these consumer is to

know that what impact that BTL activation creates on their mind and how BTL activities

help the consumer to make decision to buy a certain product.


1|Page

SAMPLE

The sample that is selected for the study is male or female above 18 in age and visit Malls

or supermarkets at least one time and have some knowledge about promotion and BTL

activation.I select above 18 year age bracket because the people above 18 visits different

Malls, LMTs, IMTs, Super markets and they have idea of different promotion and BTL

activation carried out in different Malls and super markets and they have of decision

making power.

SAMPLE SIZE

The sample size selected for the study is 111 because the population size is too large we

have limited time so we limit the sample size up to 111 and take sample from all Karachi.

SAMPLING TECHNIQUE

The sampling technique that is used in the research is “Probability sampling technique”

(simple random sampling) when researcher use this technique it is observed that the result

get by this technique is desired result and it is very easy to target the right audience and

collect the right data for the research


2|Page

DATA COLLECTING TOOL

For data collection I use a set of survey questionnaire which contain close ended

questions.

DATA COLLECTION TECHNIQUE

The data collection technique used in this research is Mall intercept technique that gives

good response to get the desired result Bush and Hair (1985).

STATISTICAL TOOL

The statistical tool that is used in the study is correlation technique. The statistical tool

correlation shows that how two variables are strongly related to each other.

STUDY LIMITATION

The study required more time

The study is done only in Karachi due to limited financial resources

The study is only done on low involvement products

People show non serious fill the questionnaire.


3|Page

RESEARCH QUESTIONS:

1. To investigate the relationship between BTL activities and consumer buying behavior

2. To investigate the relationship between BTL activities and Brand Position

3. To investigate that BTL activities creates Brand positioning or not

4. To investigate which type of BTL activities attract more to customer to buy the product

THEORETICAL FRAME WORK

The Dependent variable BTL Activation and its Associate variable like sales Promotion, Free
sampling, Coupon and store display is influenced by two Independent variables

1) Consumer Buying Behavior and associate variables are Consumer Loyalty and Intention to
buy

2) Brand Positioning and its Associate variables are Consumer perception and Brand
perception

BTL Activation influence consumer buying behavior and Brand positioning that people recall
that brand when they make purchase.
4|Page

FRAME WORK

DEPENEDENT VARIABLE INDEPENDENTVARIABLE

CONSUMER BRAND
BUYING POSITIONING
BTL ACTIVITIES
BEHAVIOUR

ASSOCIATE ASSOCIATE ASSOCIATE


VARIABLES VARIABLES VARIABLES

SALES CONSUMER
PROMOTION LOYALTY
T

FREE INTENSION
SAMPLING TO BUY

COUPONS CONSUMER
PERCEPTION

INSTORE
BRAND
DISPLAY
ASSOCIATIO
NN
FINDING
INTERPRETATION OF REGRESSION

1) DEPENDENT VARIABLE = PROMOTIOANL ACTIVITIES


2) INDEPENDENT VARIABLE = CONSUMER BUYING BEHAVIR

Model Summary

Adjusted R Std. Error of the


Model R R Square Square Estimate
a
1 .519 .269 .262 .297

a. Predictors: (Constant), CBB.Do you think promotional campaign


influence consumer to buy any product?
b. Dependent Variable: D Do you know about promotional activities?

ANOVAa

Model Sum of Squares df Mean Square F Sig.


Coefficientsa
1 Regression 3.482 1 3.482 39.414 .000b
Unstandardized Standardized 95.0% Confidence Interval
Residual 9.454 107Coefficients .088
Coefficients for B
Total 12.936 108
Model B Std. Error Beta t Sig. Lower Bound Upper Bound
a. Dependent Variable: D Do you know about Promotional activities?
1 (Constant) .462 .111 4.145 .000 .241 .682
b. Predictors: (Constant), CBB.Do you think promotional campaign influence consumer to buy any
CBB.Do you think
product?
promotional campaign
.619 .099 .519 6.278 .000 .424 .815
influence consumer to
buy any product?

a. Dependent Variable: D Do you know about Promotional activities?


1|Page

Parameters Explanation t-value Significanc Interpretation


e
β 0=.462 When promotional 4.145 0.000
activities is 0, then
y=.462
β 1=.619 When promotional 6.278 0.000 Since t value is greater
activities are than 2. Therefore is
increased by 1, significant relationship
value of β 1 between Promotional
(consumer buying activities and Consumer
behavior) buying behavior
increased by .619
r2 =.269 Around 26.9%
variation in
independent
consumer buying
behavior is
explained by
dependent variable
that is promotional
activities. If we try
to forecast these
variables, we
get26.9% accurate
result. This means
this is weak
model.
F value Since the f value is greater
39.414 .000 than 3.5 so the result is
significant
2|Page

Figure 1Histogram of Promotional activities


3|Page

1) DEPENDENT VARIABLE = PROMOTIOANL ACTIVITIES


2) INDEPENDENT VARIABLE = BRAND POSITIONING

Model Summaryb

Adjusted R Std. Error of the


Model R R Square Square Estimate

1 .200a .040 .031 .341

a. Predictors: (Constant), BP.Do you think promotions create brand


positioning?
b. Dependent Variable: D Do you know about Promotional activities?

ANOVAa

Model Sum of Squares df Mean Square F Sig.

1 Regression .517 1 .517 4.450 .037b

Residual 12.419 107 .116

Total 12.936 108

a. Dependent Variable: D Do you know about Promotional activities?


b. Predictors: (Constant), BP.Do you think promotions create brand positioning?

Coefficientsa

Unstandardized Standardized 95.0% Confidence Interval


Coefficients Coefficients for B

Model B Std. Error Beta t Sig. Lower Bound Upper Bound

1 (Constant) .893 .120 7.430 .000 .655 1.132

BP.Do you think


promotions create .220 .104 .200 2.110 .037 .013 .427
brand positioning?

a. Dependent Variable: D Do you know about Promotional activities?


4|Page

Parameters Explanation t-value Significanc


e
β 0=¿ .893 When promotional 7.430 0.000
activities is 0, then
y=.462
β 1=¿.220 When promotional 2.110 .037 Since t value is greater
activities are than 2. Therefore is
increased by 1, significant relationship
value of β 1 between Promotional
(consumer buying activities and Consumer
behavior) buying behavior
increased by .619
r2 =.040 Around 4%
variation in
independent
consumer buying
behavior is
explained by
dependent variable
that is promotional
activities. If we try
to forecast these
variables, we get
4% accurate
result. This means
this is weak model
that why we don’t
rely on our data.
F value of brand Since the f value is greater
positioning 4.450 .037 b than 3.5 so the result is
significant
5|Page

Figure 2 Histogram of promoional ativities


6|Page

CORRELATION INTERPRETATION

Correlations

Promotional Brand Consumer


activities? positioning buying behavior

Promotional Activities Pearson Correlation 1 .026 .042

Sig. (2-tailed) .786 .667

N 109 109 109


Brand positioning Pearson Correlation .026 1 .338**
Sig. (2-tailed) .786 .000
N 109 109 109
**
Consumer buying behavior Pearson Correlation .042 .338 1

Sig. (2-tailed) .667 .000

N 109 109 109

**. Correlation is significant at the 0.01 level (2-tailed).

BRAND POSITIONING

Since ƿ-value (0.786) > 0.05, H0 will be rejected. Promotional activities which is dependent

variable, is being forecast by independent variable that is brand positioning. A relationship

and link can be seen between promotional activities and brand positioning. It can also be said

that, the dependent variable promotional activities and independent variable brand

positioning are correlated positively with each other.

CONSUMER BUYING BEHAVIOR

Since ƿ-value (0.667) > 0.05, H0 will be rejected. Promotional activities which is dependent

variable, is being forecast by independent variable that is consumer buying behavior. A

relationship and link can be seen between promotional activities and consumer buying

behavior. It can also be said that, the dependent variable promotional activities and

independent variable consumer buying behavior are correlated positively with each other.
7|Page

It is being evaluated that brand positioning in comparison to other independent variable that

is consumer buying behavior have much stronger and positive relationship with the

dependent variable promotional activities. It is to be kept in mind that consumer buying

behavior is also correlated positively with promotional activities.


8|Page

CONCLUSION

The conclusion of the research Impact of Below the line activities on consumer buying

behavior and brand positioning is that the BTL activities has impact of consumer buying

behavior and brand positioning. The research provide a new dimension to predict the

behavior of consumer and impact of BTL activities like Discounts, Free sampling or

gifting, store display act coupons. Its show the behavior of consumer that how this BTL

activities influence consumer to buy any product. In this research we find that these BTL

activities has string influence on consumer buying behavior and weak influence on brand

positioning. We get the link between the BTL activities and consumer buying behavior

and people attract towards these BTL activities carried out in different Malls, International

modern trade, Local modern trade, super Markets. This research give the knowledge about

the Below the line activities and their types and where the carried out and why every

company use these below the line activities because know a day’s companies spend lot of

budget in their promotional activities to market their product but they don’t get an

effective feedback that these BTL activities influence consumer buying behavior or not.

This research also shows that the companies that spend a lot of budget in these activities

get increase in their business and their brands also position in the mind of consumer. The

study is also shows that this BTL activities tool is known a very effective marketing tool

that is practice by every company know a days to compete in the market with their

competitor because if you don’t have any differentiation or you don’t offer any value to

your customer your customer can’t buy your product and switch to another brand because

the completion is too high and every one want to increase their business. In this research

we also conclude that discount offer activity has more influence consumer to buy any

product because they think get we get benefit is less amount so they prefer discount
9|Page

offering activity. then we have free sampling activity is also influence consumer to buy

that product people think that companies give value to the customer to get feedback to try

something new to them and get their response. Gifting and coupon activities also influence

consumer buying behavior but their influential power is weak as compare to discount and

free sampling activities

RECOMMENDATION

Promotion is very important aspect of Marketing and BTL activities is the key tool of

promotion used now a days to gain the attention of customer but it is also very important

to know the effectiveness of below the line activities that is done by keep check on

increase in sales of the company that the sales graph of the company should increase

because companies spend so much amount of budget on these activities to increase in the

sales, creating brand awareness , when launch new product, to create brand positioning.

This is the time of innovation every one come with new innovation something new should

create to engage people with them like different games activities that give fun and

entertainments to people to remember that brand that helps consumer in decision making

while purchasing.

Most of the marketing campaign fail because the target market is not suits the product and

it don’t make any change in the behavior of the customer. Before starting any campaign

companies should do proper research that where they get maximum output
10 | P a g e

Behavior of the customers varies because of areas and living standard, income level and

BTL activities also varies like IMTs (International modern trade) consumers have different

buying behavior behavior LMTs(Local modern trade) consumers have different buying

behavior and GT( General trade) consumers have different buying behavior. While

launching any Marketing campaign companies should analyze that what type of consumer

they are targeting.


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APPENDIX

QUESTIONNAIRE

1. Name __________________

2. Gender?

Male

Female

3. Age

18 to 25

26 to 32

33 to 40

Above 40

4. Would you go Malls, Super Markets twice a month?

Yes

No

5. Do you know about Promotional activities?

Yes

No

6. Do you think promotional campaign influence consumer to buy any product?

Yes

NO
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7. What type promotional activities attract more to consumer?


(Select 1 only)

Discount

Free sampling

Coupon

Store display

No one

7. Do you think promotions create brand positioning?

Yes

No

8. Do you think free sampling activity is more attractive than other promotional activities?

Yes

No

9. Do you think promotional activities help consumer in decision making?

Yes

No

10. Do you think Mall promotions make consumer loyal to brand ?

Yes

No
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11. Do you think free coupon has long lasting effect on consumer mind?

Yes

No

GENDER

AGE
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SPSS DATA

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