A

PROJECT REPORT
ON

THE IMPACT OF ADVERTISEMENT OF

CONSUMER’S GOODS ON CUSTOMER’S
BRAND PREFERENCE
SUBMITTED TO

AWADHESH PRATAP SINGH UNIVERSITY, REWA (M.P.)

FOR THE AWARD OF

BACHELOR OF BUSINESS ADMINISTRATION
BBA (SEMESTER-VI)

BY

MISS. DEEPMALA VALEJA

UNDER GUIDANCE OF
PROF. NEERAJ SAXENA

VINDHYA INSTITUTE OF MANAGEMENT & SCIENCE,

SATNA (M.P.)
2014- 2015
 VINDHYA INSTITUTE OF MANAGEMENT & SCIENCE,
SATNA (M.P.)

GUIDE’S CERTIFICATE
This is to certify that MISS. DEEPMALA VALEJA has satisfactorily completed

the Project work on “The Impact of Advertisement of Consumer’s Goods on

Customer’s Brand Preference” under my guidance for the partial fulfillment of

BBA (Semester-VI) submitted to Awadhesh Pratap Singh University, Rewa

during the academic year 2014-2015.

To best of my knowledge and belief the matter presented by her is original

work and not copied from any source. Also this report has not been submitted

earlier for the award of any Degree of Awadhesh Pratap Singh University, Rewa.

Place: Satna PROF. NEERAJ SAXENA

Date: / / 2015 (Project Guide)

2
 VINDHYA INSTITUTE OF MANAGEMENT & SCIENCE,
SATNA (M.P.)

DECLARATION

I undersigned, hereby declare that this project report entitled “The Impact

of Advertisement of Consumer’s Goods on Customer’s Brand Preference”

prescribed by AWADHESH PRATAP SINGH UNIVERSITY, REWA during the academic

year 2014-2015 under the guidance of PROF. NEERAJ SAXENA is my original work.

The matter presented in this report has not been copied from any source. I

understand that any such copying is liable to be punishable in any way the

university authorities deem to be fit. Also this report has not been submitted

earlier for the award of any Degree or Diploma of Awadhesh Pratap Singh

University, Rewa or any other University.

This work humbly submitted to Awadhesh Pratap Singh University for the

partial fulfillment of Bachelor of Business Administration (Sem-VI).

PLACE: SATNA MISS.

DEEPMALA VALEJA
DATE: / / 2015

3
 VINDHYA INSTITUTE OF MANAGEMENT & SCIENCE,
SATNA (M.P.)

ACKNOWLEDGEMENT

Whenever we are standing on most difficult step of the dream of our life,
we often remind about The Great God for His blessings & kind help and he
always helps us in tracking off the problems by some means in our lifetime. I feel
great pleasure to present this project entitled “The Impact of Advertisement of
Consumer’s Goods on Customer’s Brand Preference”.
I am grateful to those people who help me a lot in preparation of this
project report. It is their support and blessings, which has brought me to write
this project report. I have a deep sense of gratitude in my heart for them.
I would give sincere thanks to Mr. K.P.Tripathi, Asst. Professor, VIMR, Satna
who is been & will be source of inspiration to us.
I am very thankful to my project guide Prof. Neeraj Saxena for his whole-
hearted support and affectionate encouragement without which my successful
project would not have been possible.
Finally, I am very grateful to Mighty God and inspiring parents whose
loving & caring support contributed a major share in completion of my task.

MISS. DEEPMALA VALEJA

4
 TABLE OF CONTENTS

S.N. Contents Page No.

1 Introduction of Project 6-8

2 Company Profile 9-25

3 Review of Literature 26-30

4 Objectives 31-32

5 Research Methodology 33-36

6 Data Analysis & Interpretation 37-49

7 Findings & Suggestions 50-52

8 Limitations 53-54

9 Conclusion 55-56

10 References 57-58

Annexure
11 59-61
Questionnaire

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 CHAPTER-I

INTRODUCTION OF PROJECT

6
 CHAPTER-I

INTRODUCTION

Introduction:

Advertising is a form of communication used to help sell products and services. Typically it
communicates a message including the name of the product or service and how that product
or service could potentially benefit the consumer. However, Advertising does typically
attempt to persuade potential customers to purchase or to consume more of a particular brand
of product or service. Modern advertising developed with the rise of mass production in the
late 19th and early 20th centuries. The crescendo of celebrities endorsing brands has been
steadily increasing over the past 20 years or so. Marketers overtly acknowledge the power of
celebrity in influencing buyer's purchase decision. They have firm believe that likeability or a
favorable attitude towards a brand is created by the use of a celebrity. The crore of rupees
spent per year on celebrity endorsement contracts show that celebrities like Amitabh
Bachchan, Sharukh khan and Sachin Tendulkar play an important role for the advertising
industry. It is an established fact that celebrity endorsement can bestow unique features or
special attributes upon a product that it may have lacked otherwise.

The study carried out deals with the impact advertisement creates on a customer’s preference
of a brand. In other words, how does an ad in a television, radio, newspaper, hoardings and
banners lure a customer to go and purchase the product? Does he purchase because of the
benefits or because he liked the advertisement which has created a positive impact on him.

7
Advertising is the means of informing as well as influencing the general public to buy
products or services through visual or oral messages. A product or service is advertised to
create awareness in the minds of potential buyers. Some of the commonly used media for
advertising are T.V., radio, websites, newspapers, magazines, bill-boards, hoardings etc. As a
result of economic liberalization and the changing social trends advertising industry has
shown rapid growth in the last decade.
Advertising is one of the aspects of mass communication. Advertising is actually brand-
building through effective communication and is essentially a service industry. It helps to
forms the basis of marketing. Advertising plays a significant role in today's highly
competitive world. A career in advertisement is quite glamorous and at the same time
challenging with more and more agencies opening up every day. Whether its brands,
companies, personalities or even voluntary or religious organizations, all of them use some
form of advertising in order to be able to communicate with the target audience. The salary
structure in advertising is quite high and if you have the knack for it one can reach the top. It
is an ideal profession for a creative individual who can handle work-pressure. Today, new
areas are emerging within advertising like event management, image management, internet
marketing etc. Event management wherein events are marketed, Image management wherein
a particular profile of an individual or an organization is projected. Internet marketing has
also brought about a lot of changes in advertising as Internet means that one is catering to a
select group of audience rather than a mass audience .Today 'Celebrity Endorsement' has
attracted immense debate on whether it really contributes to the brand building process or
whether it is just another lazy tool to make the brand more visible in the minds of the
consumers.

Although it has been observed that the presence of a well-known personality helps in solving
the problem of over-communication that is becoming more prominent these days, there are
few undesirable impacts of this practice on the brand. The issue of matching the values of the
celebrity with the brand values is also very important, i.e. getting the right celebrity to

8
endorse the right brand. Consumers perceive the brand as having superior quality because it
has been endorsed by a credible source. This makes endorsement as one of the indictors of
quality for any brand. Corporate credibility along with endorser credibility plays a significant
role in the attitude of the consumer towards the brand and the advertisement respectively. On
the other hand, the over popularity of the celebrity sometimes overshadows the brand.

CHAPTER-II

CONCEPTUAL FRAMEWORK

9
 CHAPTER-II

CONCEPTUAL FRAMEWORK

DEFINITION OF ADVERTISING

The word advertising originates from a Latin word advertise, which

means to turn to. The dictionary meaning of the term is “to give public
notice or to announce publicly” .Advertising may be defined as the
process of buying sponsor-identified media space or time in order to
promote a product or an idea.

The American Marketing Association, Chicago, has defined advertising as “any form of non-
personal presentation or promotion of ideas, goods or services, by an identified sponsor.”

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ORIGIN AND DEVELOPMENT OF ADVERTISING

It has been wrongly assumed that the advertising function is of recent origin. Evidences
suggest that the Romans practiced advertising; but the earliest indication of its use in this
country dates back to the middle Ages, when the use of the surname indicated a man’s
occupation. The next stage in the evolution of advertising was the use of signs as a visual
expression of the tradesman’s function and a means of locating the source of goods. This
method is still in common use. The seller in primitive times relied upon his loud voice to
attract attention and inform consumers of the availability of his services. If there were many
competitors, he relied upon his own personal magnetism to attract attention to his
merchandise. Often it became necessary for him to resort to persuasion to pinpoint the
advantages of this products. Thus, the seller was doing the complete promotion job himself.
Development of retail stores, made the traders to be more concerned about attracting
business. Informing customers of the availability of supplies was highly important. Some
types of outside promotion were necessary. Signs on stores and in prominent places around
the city and notices in printed matters were sometimes used When customers were finally
attracted to the store and satisfied with the service at least once, they were still subjected to
competitive influences; therefore, the merchant’s signs and advertisements reminded
customers of the continuing availability of his services. Sometimes traders would talk to
present and former customers in the streets, or join social organizations in order to have
continuing contacts with present and potential customers.

As the markets grew larger and the number of customers increased, the importance of
attracting them also grew. Increasing reliance was placed on advertising methods of
informing about the availability of the products. These advertising methods were more
economical in reaching large numbers of consumers. While these advertising methods were
useful for informing and reminding, they could not do the whole promotional job. They were
used only to reach each consumer personally. The merchant still used personal persuasion
once the customers were attracted to his store. The invention of hand press increased the
potentialities of advertising. By Shakespeare’s times, posters had made their appearance, and

11
assumed the function of fostering demand for existing products. Another important event was
the emergence of the pamphlet as an advertising medium. The early examples of these
pamphlets disclose their sponsorship by companies want to generate goodwill for their
activities. The low cost of posters and handbills encouraged a number of publishers to
experiment with other methods.

Media of Advertising

Print Media Electronic Media other Media

1.Newspaper 1.Radio 1.Hoardings

2.Periodicals 2.Television 2.Posters

Print Media

Print media is a very commonly used medium of advertising by businessman. It includes

advertising through newspaper, magazines, journals, etc. and is also called press advertising.

a) Newspapers
You must have read Newspapers. In our country newspapers are published in English,
Sinhala and Tamil. These are the sources of news, opinions and current events. In addition,
Newspapers are also a very common medium of advertising. The advertiser communicates
his message through newspaper which reaches to millions of people.

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Advantages
 Newspaper normally have wide circulation and a single advertisement in the
newspaper can quickly reach to a large number of people.
 The cost of advertising is relatively low because of wide publication. Generally
newspapers are published daily. Thus, the same advertisement can be repeated
frequently and remind reader everyday The matter of advertisement can be given to
newspaper at a very short notice. Are even last minute change in the content is also
possible .this makes advertising quite flexible.

Limitations

 Newspaper are read soon after they are received and then are kept generally in some
corner of the houses after 24 hours we get a fresh newspaper and this makes the life
of the newspaper short.
 People read newspaper mainly for news and pay casual attention to advertisement.
 Illiterate persons cannot read and thus, newspaper advertising does not benefit them.

b) Periodicals
Periodicals are publications which come out regularly but not on a daily basis. These may be
published on a weekly, fortnightly, monthly, bimonthly, quarterly or even yearly basis. For
example you must have come across magazines and journals like India Today, Femina, etc.
All these periodicals have a large number of readers and thus, advertisements published in
them reach a number of people.

Advantages
 Periodicals have a selected readership and so advertisers can know about their target
customers and accordingly selective advertisements are given.

Limitations

13
  Advertising in periodicals is costlier.
 The numbers of people to whom the advertisement reach are small in comparison to
newspaper.
 The advertisement materials are given much in advance hence last minute change is
not possible. This reduces flexibility

Electronic Media

This is a very popular form of advertising in the modern day marketing. This
includes Radio, television and Internet.

Radio Advertising

All of us are aware about a radio and must have heard advertisement for various products
in.it. In radio there are short breaks during transmission of any programmed which is filled
by advertisements of products and services. There are also popular programmers sponsored
by advertisers.

Advantages
 It is more effective as people hear it on a regular basis.
 It is also useful to illiterates, who cannot read and write.
 There are places where newspapers reading may not possible, but you can hear radio.

For example, you can hear radio while traveling on road or working at home; but you can not
read newspaper. Similarly, while driving you can hear a radio but cannot read a newspaper.

Limitations

 A regular listener may remember what he has heard. But, occasional listeners tend
to forget what they have heard in Radio.

14
  The message that any advertisement wants to communicate may not be proper as
there is no chance to hear it again immediately. There may be some other
disturbances that distort communication.
 In comparison to Television, Radio is less effective as it lacks visual impact.

Television Advertising

With rapid growth of information technology and electronic media, television has topped the
list among the media of advertising. TV has the most effective impact as it appeals to both
eye and the ear.

Advantages
 It is most effective as it has an audio-visual impact.
 With catchy slogans, song and dance sequences, famous personalities exhibiting
products, TV advertising has a lasting impact.
 With varieties of channels and programmes advertisers have a lot of choice to select
the channel and time to advertise.
 With regional channels coming up any person even illiterates can watch the
advertisements and understood it by seeing and hearing.
Limitations

 TV advertisements are usually expensive to prepare as well as to telecast.

 With almost every manufacturer trying to communicate their message through TV
advertising the impact among the viewers is also reducing. Now-a-days people are
switching on channels whenever there is a commercial break.

Internet

15
It is the latest method of communication and gathering information.If you have a computer
and with an access to internet you can have information from all over the world within a
fraction of second. Through internet you can go to the website of any manufacturer or service
provider and gather information. Sometimes when you do not have website addresses you
take help of search engines or portals.

Advantages
 Information from all over the world is made available at the doorsteps.
 User can see the advertisement at their own time and as per their requirement.

Limitations
 It is not accessible without a computer.
 It is not very suitable for general public.
 It is not suitable for illiterate and those having no knowledge about the operation of
Internet.

Other Media
All the media of advertising discussed above are mostly used by consumers while they are at
home or inside any room, except radio and newspapers or magazines to some extent.
Moreover in all these media, the consumer has also to spend some money to access the
advertisement. However, there are other media available, where the consumer has to spend
nothing and he can see such advertisements while moving outside. Some of such advertising
are hoardings, posters, vehicular displays, gift items, etc.

Hoardings

16
While moving on roads you must have seen large hoardings placed on iron frames or roof
tops or walls. These are normally boards on which advertisements are painted or
electronically designed so that they are visible during day or night. The advertisers have to
pay an amount to the owners of the space, where the hoardings are placed.

Posters

Poster are printed and posted on walls, buildings, bridges etc to attract the attention of
customers. Posters of films which are screened on cinema halls are a common sight in our
country.

Vehicular displays

You must have seen advertisements on the public transport like buses, trains, etc. Unlike
hoardings these vehicles give mobility to advertisements and cover a large number of people.

What Advertisement Is?

Advertisement is a mass communicating of information intended to persuade buyers to by

products with a view to maximizing a company’s profits.

The elements of advertising are:

 It is a mass communication reaching a large group of consumers.

17
  It makes mass production possible.
 It is non-personal communication, for it is not delivered by an actual person, nor is
it addressed to a specific person.
 It is a commercial communication because it is used to help assure
 the advertiser of a long business life with profitable sales.
 Advertising can be economical, for it reaches large groups of people.
 This keeps the cost per message low.
 The communication is speedy, permitting an advertiser to speak to millions of
buyers in a matter of a few hours.
 Advertising is identified communication. The advertiser signs his name to his
advertisement for the purpose of publicizing his identity.

Advertising Objectives

Each advertisement is a specific communication that must be effective, not just for one
customer, but for many target buyers. This means that specific objectives should be set for
each particular advertisement campaign. Advertising is a form of promotion and like a
promotion; the objectives of advertising should be specific. This requires that the target
consumers should be specifically identified and that the effect which advertising is intended
to have upon the consumer should be clearly indicated. The objectives of advertising were
traditionally stated in terms of direct sales. Now, it is to view advertising as having
communication objectives that seek to inform persuade and remind potential customers of the
worth of the product. Advertising seeks to condition the consumer so that he/she may have a
favorable reaction to the promotional message. Advertising objectives serve as guidelines for
the planning and implementation of the entire advertising programme.

The basic objectives of an advertising programme may be listed as below:

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  To stimulate sales amongst present, former and future consumers. It involves a
decision regarding the media, e.g., TV rather than print ;
 To communicate with consumers. This involves decision regarding copy;
 To retain the loyalty of present and former consumers. Advertising may be used to
reassure buyers that they have made the best purchase, thus building loyalty to the
brand name or the firm.
 To increase support. Advertising impliedly bolsters the morale of the sales force
and of distributors, wholesalers, and retailers; it thus contributes to enthusiasts and
confidence attitude in the organization. :

ADVERTISING PLANNING FRAMEWORK

Plans are nothing, planning is everything.

The advertising management is mainly concerned with planning and decision making. The
advertising manager will be involved in the development, implementation, and overall
management of an advertising plan. The development of an advertising plan essentially
requires the generation and specification of alternatives. Decision making involves choosing
from among the alternatives. The alternatives can be various levels of expenditure, different
kinds of objectives or strategy possibilities, and kinds of options with copy creation and
media choices. Thus, the essence of planning is to find out the feasible alternatives and
reduce them to decisions. An advertising plan reflects the planning and decision – making
process and the decisions that have been arrived at in a particular product and market
situation.

The Advertising Plan

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As pointed out earlier, advertising plan and decision making focus on three crucial areas;
objectives and target selection, message strategy and tactics, and media strategy and tactics.
Let us elaborate on these points:

1. Objectives and Target Selection

Objectives in advertising can be understood in many ways. An important part of the objective
is the development of a precise, disciplined description of the target audience. It is often
tempting to direct advertising at a broad audience; but everyone is a potential customer. It is
best to consider directing the advertising to more selected groups to develop stimulating
copy. It is quite possible to develop several campaigns, each directed at different segments of
the market, or to develop one campaign based on multiple objectives.

2. Message Strategy and Tactics

Messages strategy must decide what the advertising is meant to communicate – by way of
benefits, feelings, brand personality, or action content. Once the content of the campaign has
been decided, decisions must be made on the best-most effective-ways of communicating
that content. The decisions, such as the choice of a spokesperson, the use of humor or fear or
other tones, and the selection of particular copy, visuals, and layout, are what we call
“message tactics”

3. Media Strategy and Tactics

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Message strategy is concerned with decisions about how much is to be allocated to create and
test advertising copy, media strategy concerns decisions on how many media rupees to spend
on an advertising campaign. Media tactics comprise the decisions on which specific media
(television, radio magazines, etc.) or media vehicles (Reader’s Digest, etc.) to spend these
dollars.

EXTERNAL FACTORS

The external factors in the planning framework are environmental, social and legal
considerations. To a considerable extent, these exist as constraints on the development of an
advertising plan and decision making. In developing specific advertisement, there are certain
legal constraints that must be considered. Deceptive advertising is forbidden by law. What is
deceptive is often difficult, because different people can have different perceptions of the
same advertisements. Thus, an advertiser who attempts to provide specific, relevant
information must be well aware of what constitutes deception in a legal and ethical sense and
of other aspects of advertising regulation.

Even more difficult consideration for people involved in the advertising effort is broad social
and economic issues as stated below.

From consumer’s point of view:

 Identification of source of product
 Assignment of responsibility to product maker
 Risk reducer
 Search cost reducer
 Promise, bond, or pact with maker of product
 Symbolic device
 Signal of quality

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Brands identify the source or maker of a product and allow consumers to assign
responsibility to a particular manufacturer. From an economic perspective, brands allow
consumers to lower search costs for products both internally and externally.

 Consumers offer their trust and loyalty with the implicit understanding that the brand will
behave in certain ways and provide them utility through consistent product performance and
appropriate pricing, promotion, and distribution programs and actions. Brands can serve as
symbolic devices, allowing consumers to project their self-image.

 Certain brads are associated with being used by certain types of people and thus reflect
different values or traits. Researched have classified products and their associated attributes
into three major Final Assignment Brand Management categories: search goods, experience
goods and credence goods. There is difficulty in assessing and interpreting product attributes
and benefits so with experience and credence goods, brands may be particularly important
signals of quality. Brands can reduce the risk in product decisions. These risks involve
functional, physical, financial, social psychological and time risk.
From manufacturer’s point of view:

 Means of identification to simplify handling

 Means of legally protecting unique features
 Signal of quality level to satisfied customers
 Means of endowing products with unique associations
 Source of competitive advantage
 Source of financial returns

Brands help manufacturers to organize inventory and accounting records. A brand also offers
the firm legal protection for unique features of the product. A brand can retain intellectual
property rights, giving legal title to the brand owner. Brands can signal a certain level of
quality so that satisfied buyers can easily choose the product again. This brand loyalty

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provides predictability and security of demand for the firm and creates barriers of entry that
make it difficult for other firms to enter the market.

BRAND AWARENESS

Whether it is a serial in a regional satellite channel or a One Day International cricket match,
there is a non-stop stream of advertisements, which clutter the commercial break. Well-
established brands attempt to sustain brand recall while new ones try appealing to
prospective consumers to get into their `consideration’ set. There are ads for children,
housewives and youth. With advertising expenditure in the order of Rs. 8000 Crores per
annum in the recent times and the proliferation of brands across categories, there is a strong
need to consider the effectiveness of these advertisements. The idea is not to cease
advertising but to consider how considering decisions would have to be considered with non-
advertising alternatives. These non- advertising alternatives may also enable a brand to create
and sustain consistent associations, which may be desirable in terms of long-term
implications. A contemporary approach that creates a synergy between various aspects of a
promotional mix (advertising included) provides a refreshing approach towards marketing
communications. There may be several objectives of advertising and a promotional mix
could be used in an innovative manner to address each of these objectives depending on the
product category and target segment.

Brand Knowledge
Brand knowledge refers to brand awareness (whether and when consumers know the brand)
and brand image (what associations consumers have with the brand).

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Brand Image

Brand image is defined as consumer perceptions of a brand and is measured as the brand
associations held in consumers’ memory. To measure brand image, you can either use and
adapt an existing list of brand associations or start from scratch by eliciting brand
associations and then measuring the strength of these associations. The outcome of this
exercise is usually a short list of the positive and negative associations consumers have with
the brand, ranked by strength. For comparison purposes, it is useful to report the average
strength of each association with the brand and the strength of the association with competing
brands, and to do this for each target segment (e.g., brand users and users of competing
brands).

Brand preference

People begin to develop preferences at a very early age. Within any product
category, most consumers have a group of brands that comprise their preference set. Gaining
and maintaining consumer preference is a battle that is never really won. In every product

24
category, consumers have more choices, more information and higher expectations than ever
before.

Basic communications model for development of brand preference

To better understand the process of brand preference, let's first look at a basic
communications model. The five components of this model are sender, medium, filter,
receiver, and feedback. On a daily basis, we are exposed to messages (sender/medium) via
our radio, television, billboards, Internet, mail, and word-of-mouth. Although these messages
are pervasive, we continually screen out (perceptual screen) or ignore content that has little
or no relevance to us. All messages are coded patterns and sensations – colours, sounds,
odours, shapes, etc. Those messages deemed recognizable, or a basis for a relationship, are
decoded and stored in our memory (filter/screen).

Brand Preference choice criteria

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There are six criteria choose brand preference. The first three element categorized as “Brand
building” in terms of how brand preference can be built up. And last three elements are
known as “defensive” because it preserved in the face of different opportunity or different
brands available in market.
 Memorable: How easily particular brand are recalled?
 Meaningful: To what extent particular brand prefer in corresponding category? Does
it suggest something about a product ingredient or the type of person who might use the
brand?
 Likeability: How aesthetically appealing do customer finds the brand element? Is it
inherently likeable visually, verbally and in other ways?
 Transferable: Can the brand element be used to introduce in new product in the same
or different categories?
 Adaptable: How adaptable and updatable is the brand element?
 Protectable: How legally protectable is the brand element? How comparatively
protectable?

CHAPTER-III

26
 OBJECTIVES OF THE STUDY

CHAPTER-III

OBJECTIVES OF THE STUDY

Objectives of the study

1) A study on the impact of electronic media on brand preference.

2) A study on the impact of print media on brand preference.

3) A study on the impact of other media on brand preference.

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CHAPTER-IV

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 REVIEW OF LITERATURE

CHAPTER-IV

REVIEW OF LITERATURE

Advertising, sales promotion and public relations are mass-communication tools

available to marketers. As its name suggests, mass communication uses the same
message for everyone in an audience. The mass communication tools trade off the
advantage of personal selling, the opportunity to tailor a message to each prospect, for
the advantage of reaching many people at a lower cost per person (Etzel et al., 1997).

29
Today, definitions of advertising abound. We might define it as communication
process, a marketing process, an economic and social process, a public relations
process or information and persuasion process (Arens, 1996). Dunn et al. (1978)
viewed advertising from its functional perspectives, hence they define it as a paid,
non-personal communication through various media by business firms, non-profit
organization, and individuals who are in some way identified in the advertising
message and who hope to inform or persuade members of a particular audience.
Morden (1991) is of the opinion that advertising is used to establish a basic awareness
of the product or service in the mind of the potential customer and to build up
knowledge about it. Kotler (1988) sees advertising as one of the four major tools
companies use to direct persuasive communications to target buyers and public noting
that “it consists of non-personal forms of communication conducted through paid
media under clear sponsorship”. According to him, the purpose of advertising is to
enhance potential buyers’ responses to the organization and its offering, emphasizing
that “it seeks to do this providing information, by channeling desire, and by supplying
reasons for preferring a particular organization’s offer. While writing on advertising
nature and scope, Etzel et al. (1997) succinctly.

Capture all advertising as having four features:

(i) A verbal and or visual message
(ii) A sponsor who is identified
(iii) Delivery through one or more media
(iv) Payment by the sponsor to the media carrying the message.

Summarizing the above, they conclude that “advertising then consist of all the
activities involved in presenting to an audience a nonpersonal, sponsor- identified,
paid-for message about a product or organization”.

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Those views of Etzel et al. (1997) coincide with the simple but all- embracing
definitions of Davies (1998) and Arens (1996). For instance, while Davies states that
“advertising is any paid form of non-personal media presentation promoting
ideas/concepts, good s or services by an identified sponsor. Arens expressing almost
the same view describes advertising as “the personal communication of information
usually paid for and usually persuasive in nature about products (goods and services)
or ideas by identified sponsors through various media”. From the foregoing, it could
be concluded that the purpose of advertising is to cerate awareness of the advertised
product and provide information that will assist the consumer to make purchase
decision, the relevance of advertising as a promotional strategy, therefore, depends on
its ability to influence consumer not only to purchase but to continue to repurchase
and eventually develop-brand loyalty. Consequently, many organizations expend a
huge amount of money on advertising and brand management.

A brand is a name given by a manufacturer to one (or a number) of its products or

services. Brands are used to differentiate products from their competitors. They
facilitate recognition and where customers have built up favorable attitude towards the
product, may speed the individual buyers through the purchase decision process.
Individual purchasers will filter out un favorable or un-known brands and the
continued purchase of the branded product will reinforce the brand loyal behavior.
Without brands, consumer couldn’t tell one product from another and advertising then
would be nearly impossible

Advertising is a non-personal form of promotion that is delivered through selected

media outlets that, under most circumstances, require the marketer to pay for message
placement. Advertising has long been viewed as a method of mass promotion in that a
single message can reach a large number of people. But, this mass promotion
approach presents problems since many exposed to an advertising message may not
be within the marketer’s target market, and thus, may be an inefficient use of

31
promotional funds. However, this is changing as new advertising technologies and the
emergence of new media outlets offer more options for targeted advertising.
Advertising also has a history of being considered a one-way form of marketing
communication where the message receiver (i.e., target market) is not in position to
immediacy respond to the message (e.g., seek more information). This too is
changing.

For example, in the next few years technologies will be readily available to enable a
television viewer to click a button to request more details on a product seen on their
favorite TV program. In fact, it is expected that over the next 10-20 years advertising
will move away from a one-way communication model and become one that is highly
interactive. Another characteristic that may change as advertising evolves is the view
that advertising does not stimulate immediate demand for the product advertised.

That is, customers cannot quickly purchase a product they see

advertised. But as more media outlets allow customers to interact with the messages
being delivered the ability of advertising to quickly stimulate demand will improve.

Advertising is only one element of the promotion mix, but it often considered
prominent in the overall marketing mix design. Its high visibility and pervasiveness
made it as an important social and encomia topic in Indian society. Promotion may be
defined as “the co-ordination of all seller initiated efforts to set up channels of
information and persuasion to facilitate the scale of a good or service” promotion is
most often intended to be a supporting component in a marketing mix promotion
decision must be integrated and co-ordinate with the rest of the marketing mix,
particularly marketing mix strategy. The promotion mix consists of four basic
elements.
They are-

32
  Advertising
 Personal selling
 Sales promotion, and
 Publicity

Advertising is the dissemination of information by non-personal means through paid

media where the source is the sponsoring organization.
 A personal selling is the between audience and employees of the sponsoring
organization. The source of information is the sponsoring organization.
 Sales promotion is the dissemination of information through a wide variety of
activities other than personal selling, advertising and publicity. Which
stimulate consumer purchasing and dealer effectiveness.
 Publicity is the disseminating of information by personal or non- personal
means and is not directly paid by the organization and the organization is not
source.

CHAPTER-V
33
 RESEARCH METHODOLOGY

CHAPTER-V

Research Methodology

This project is prepared with the help of theoretical knowledge as well as practical
knowledge & a crumb of advises & suggestions from the concerned professors. As far
as practical is concerned, all the information about the companies information
available on internet. The theoretical pert taken from the various books & magazines
available on this subject. And other recent happing in marketing is taken from

34
magazines & news paper. Overall this mission has been completed with the
combination of all those things & it had been with the best of my facts & information.

Research methodology refers to search for knowledge. Redman and Mory define
research as a “Systematized effort to gain new knowledge. Research is an academic
activity and such the term should be used in technical sense. According to Clifford
Woody, Research comprises defining and redefining problem, formulating hypothesis
or suggested solutions; collecting, organizing and evaluating data; making deductions
and research conclusions; and at last carefully testing the conclusions to determine
whether they fit the formulating hypothesis.

Research is thus an original contribution to the existing stock of knowledge making

for its advertisement. It is pursuit of truth with the help of study, observation,
comparison and experiment. In short the search for knowledge through objective and
systematic method of finding solution to problem is research.

RESEARCH DESIGN

A Research design is the arrangement of conditions for collection and analysis of data
in a manner that aims to combine relevance to the Research purpose with economy in
procedure. In fact the Research design is the conceptual structure within which
Research is conducted: it constitutes the blueprint for the collection measurement and
analysis of data.

It must be able to define clearly what they want to measure and must find adequate
methods for measuring it along with a clear cut definition of population wants to
study. Since the aim is to obtain complete and accurate information in these studies,
the procedure to be used must be carefully planned. The research design must make
enough provision for protection against bias and must maximize reliability with due

35
concern for the economical completion of the search study.

Descriptive research is adopted for this study. It includes surveys and fact
finding enquires of different kinds. The major purpose of descriptive research is
description of the state affairs as it exists at present. The main characteristic of this
method is that the researcher has no control over the variables. He can only report
what has happened or what is happened.

SAMPLING DESIGN
A sample design is a definite plan for obtaining a sample from the sampling frame, it
refers to the technique or procedure the researcher would adopt in selecting some
sampling units from which interferences about the population is drawn. Sampling type
used is Simple Random sampling technique.

POPULATION AND SAMPLE SIZE

A decision has to be taken concerning sampling unit before selecting sample. 150
employees were undertaken for the study.

DATA COLLECTION

For achieving the specific objectives of this study, data were gathered from both
primary and secondary sources.

Primary Sources:

 Direct conversation with the employees.

 Employee’s opinion towards recruitment and selection procedure of the

36
 company.

Secondary Sources:

 Various records of the Company.

 Different Types of system information.
 Different newsletters.

37
 CHAPTER-VI
DATA ANALYSIS & INTERPRETATION

CHAPTER VI

Presentation, Analysis and Interpretation of Data

Table 1: Age group of Respondents

AGE GROUP OF RESPONDENTS NO. OF RESPONDENTS
20-25 50
26-30 42
31-35 22
36-40 29
41-45 7

38
Interpretation:
The above chart shows that most of the respondents were of the age group of
20-25 years and the least respondents were of 41-45 years.

Table 2: Respondents of different gender

RESPONDENTS NO. OF RESPONDENTS

MALE 86
FEMALE 64

39
Interpretation:
The above chart shows that mostly the male are more interested in branded
products than the female category.

Table 3: Which are the favourite brands?

FAVOURITE BRANDS NO. OF RESPONDENTS

LEVIS 40
PEPE JEANS 13
WEST SIDE 12
ADIDAS 28
NIKE 16
SONY 16
REEBOK 15

40
Interpretation:
The above chart shows that the most liked brand is Levis followed by Adidas
which are both apparel companies.

Table 4: Why the brands are preferred by the respondents?

PREFERENCE CRITERIA NO. OF RESPONDENTS

QUALITY 62
COMFORTABLE 42
STYLISH 23
RELIABLE 16
FEATURES 7

41
Interpretation:
The above chart shows that the brands like Levis and Adidas and many more are liked by the
respondents because of the good quality which shows a percentage of 41 and comfortable
which has a percentage of 28.The brands are even liked because they are stylish, reliable and
because of its features.

Table 5: From where you get the information about these

brands?

INFORMATION SOURCE NO. OF RESPONDENTS

NEWSPAPERS 32
TELEVISION 66
RADIO 6
INTERNET 10
HOARDINGS 11
WORD OF MOUTH 25

42
Interpretation:
The above chart shows that the respondents said that they got the information of these brands
from different media like television, newspaper, radio and word of mouth etc. according to
the survey television has given information to 44% respondents, newspaper to 215, through
word of mouth to 17% respondents, from radio to 4% internet 7% and last hoardings to 7%
of respondents. This shows that a television creates more impact on customer.

Table 6: If you are searching for information of a brand which

media will you look for?

MEDIA PREFERENCE NO. OF RESPONDENTS

PRINT MEDIA 25
ELECTRONIC MEDIA 79
OTHER MEDIA 17
WORD OF MOUTH 29

43
Interpretation:
The above chart shows that the respondents have said about their preference of media to get
information about their brands 53% have said that they prefer electronic media like
television, internet 17% have voted for print media like newspaper, magazines 19% said that
they go with word of mouth from friends, family, relatives, etc. and 11% choose other media.

Table 7: Do you rely on advertisement?

DO YOU RELY ON NO. OF RESPONDENTS

ADVERTISEMENT
YES 58
NO 24
SOMETIMES 56
RARELY 12

44
Interpretation:
The above chart shows that the respondents were asked whether they believe on
advertisements.39% said that they rely on advertisements and utilize
theinformationgiven,16% said that they do not believe,37% said that they sometmes believe
if they find the information rational, and 8% rarely believe.

Table 8: Do you change your perception of a product by just

seeing the advertisement?
CHANGE OF PERCEPTION NO. OF RESPONDENTS
DUE TO ADVERTISEMENT

YES 21
NO 52
SOMETIMES 59
RARELY 18

45
Interpretation:

The above chart shows that respondents were asked if they change they
thinking about a product after seeing advertisement 14% said that it is rarely
that change their perception after seeing an advertisement.

Table 9: Do you think advertisement is necessary for your

decision making?
NECESSITY OF NO. OF RESPONDENTS
ADVERTISEMENT IN
DECISION MAKING
ALWAYS NECESSARY 36
SOMETIMES NECESSARY 88
NOT NECESSARY 26

46
Interpretation:
The above chart shows that respondents were asked how much they feel advertisement is
necessary in their decisin making 24% said that it is always necessary in decision making,
59% said that advertisement sometimes plays a necessary part when they take a decision,
and 17% said that advertisement is not necessary in decision making .

Table 10: What are the factors which influence your decision
making process?

FACTORS INFLUENCE NO. OF RESPONDENTS

DECISION MAKING PROCESS
PRODUCT FEATURES 55
ADVERTISEMENT 29
COST 37
OPINION OF FRIENDS 20
OTHERS 9

47
Interpretation:
The above chart shows that the factors considering which a respondent will be influenced to
decide to buy a product.37% said that the features of the product will influence them,19%
said that advertisement will influence them to decide as they will get lots of formation about
the product,25% said that the cost of the product makes them decide to buy a product,13%
said that they will go by the opinion of friends and rest 6% said that there may be other
factors which will influence them to decide

Table 11: What do you look for in an advertisement?

WHAT YOU LOOK FOR IN AN NO. OF RESPONDENTS

ADVERTISEMENT
PRICE 59
BENEFITS 32
BRAND ENDORSERS 20
OFFERS 18
QUALITY 21

48
Interpretation:
The above chart shows that the respondents were asked what are the apspect that they see in
anad..40% said that they see the price,21% said that they see that benefits shown in
thaad.,13% see the brand endorsers,12% see the offers given and 14% see the quality tp of
the product shown in the ad. This shows that in larger amount customers see the price aspect
when they see an ad .

Table 12: Do you purchase a product just because your favorites

celebrity is endorsing it?

DO IT YOU PURCHASE A NO. OF RESPONDENTS

PRODUCT BECAUSE YOUR
FAVOURITE CELEBRITY IS
ENDORSING

YES 72
NO 50
SOMETIMES 28

49
Interpretation:
The above chart shows that the question asked to the respondents was if they purchase a
product because their favorite celebrity is endorsing a particular product.

50
 CHAPTER-VII
FINDINGS & SUGGESTIONS

CHAPTER-VII

FINDINGS & SUGGESTIONS

FINDINGS:

On the basis of Analysis of available table following findings are drawn by the

researcher.

 The most preferred brand is Levis with 48 respondents out of 150

51
 Respondents.
 62 respondents prefer their brands because of its quality.
 66 of the respondents acquire information about their brands from
Television.
 79 respondents said that they would prefer electronic media than any Other media to
get information about a brand.
 58 respondents said that they rely on advertisement which shows that Advertisement
is important.
 59 respondents said that sometimes they change their perception of a Brand by seeing
an advertisement.
 55 respondents have said that product features influence their decision Making
process.
 59 respondents out of 150 said that they look for the price of a product in an
advertisement.
 72 respondents said that they purchase a product because their favorite Celebrity is
endorsing it.
 50 respondents said that value for money shown in an ad makes them change their
brand loyalty.

SUGGESIONS

On the basis of the findings following suggestions are given by the researcher.

 Companies should research continuously for quality improvement.

 Develop more effective advertising campaigns
Advertising messages should both be persuasive and reminder-oriented.
Comparative advertising is useful in this regard.

52
 Television combines motion, sound, and special visual effects for which it is the
most preferred media for advertisements.
 To employ integrated advertising of their product.
 More budgets could be devoted to TV adverts in view of the Consumers.

53
 CHAPTER-VIII
LIMITATIONS

LIMITATIONS:

1. The accuracy of the study is based on the information given by the respondents.

2. Due to time constraints the sample size had to be confirmed to 150.

54
3. The respondents were unable or unwilling to give a complete and accurate response
to certain questions

55
 CHAPTER-IX
CONCLUSION

CONCLUSION:

 According to this study, it has found out that people notice advertisements and the
awareness level of the brand is good only because of advertisements.
 Based on this study I would say television advertisements have more reach to the
people. Customers prefer television in comparison to other media since they get both

56
 the audio and visual effects .This also proves that customer’s rely on advertisements
shown in media
 Customers of the age group of 20-25 are more interested in advertisements and
brands.
 The customers like branded products because of the quality it possesses..
 For an advertisement to be effective the price, the music and the tag line should be
highlighted. These three aspects create a great impact in brand preference.
 Hoardings and banners also create brand awareness of a product and are important to
increase brand preference.
 The customer’s also spread word of mouth after they use a product.
 This survey also makes it clear that customer’s(especially of the younger generation)
refer internet before they purchase and they search for the product features shown in
internet advertisements.

57
 CHAPTER-X
REFERENCES

REFERENCES

BOOKS

58
Research Methodology : C.S.R. Kothari

Principles of Marketing : Philip Kotler, Prentice Hall of India

Fundamentals of Marketing : William J. Stanton, Mc Graw Hill, New Delhi

Websites:-

1) www.scribd.com
2) Slideshare.com
3) Wikepedia.com

59
 CHAPTER-XI
ANNEXURE

RESEARCH SURVEY QUESTIONNAIRE ON IMPACT OF ADVERTISEMENT

I am a student of A.P.S University, Rewa pursuing B.B.A. with Marketing Specialization. I

am currently doing a survey regarding “The Impact of Advertisement of Consumer’s
Goods on Customer’s Brand Preference”. Please spend your precious time by filling up

60
this questionnaire. Your feedback will be kept confidential. Your answers are valuable to my
research. Thank you for your kind cooperation.

1. Why the brands are preferred by the respondents?

(a) Quality
(b) Comfortable
(c) Stylish
(d) Reliable
(e) Features

2. From where you get the information about these brands?

(a) Newspapers
(b) Television
(c) Radio
(d) Internet
(e) Hoardings
(f) Word of Mouth

3. If you are searching for information of a brand which media will you look for?
(a) Print media
(b) Electronic media
(c) Other media
(d) Word of mouth

4. Do you rely on advertisement?

(a) Yes
(b) No
(c) Sometimes
(d) Rarely

5. Do you change your perception of a product by just seeing the advertisement?

(a) Yes
(b) No
(c) Sometimes
(d) Rarely
6. Do you change your perception of a product by just seeing the advertisement?
(a) Yes
(b) No
(c) Sometimes
(d) Rarely

7. Do you think advertisement is necessary for your decision making?

(a) Always necessary
61
(b) Sometimes necessary
(c) Not necessary

8. What are the factors which influence your decision making process?
(a) Product features
(b) Advertisement
(c) Cost
(d) Opinion of friends
(e) Others

9. What do you look for in an advertisement?

(a) Price
(b) Benefits
(c) Brand Endorser
(d) Offers
(e) Quality

10. Do you purchase a product just because your favorites celebrity is endorsing it?
(a) Yes
(b) No
(c) Sometimes

11. Do you purchase a product just by getting attracted to the product?

(a) Yes
(b) No
(c) Sometimes
(d) Rarely

12. What are the factors in an advertisement which will make you change your brand
loyalty?
(a) Benefits
(b) Value for money
(c) New features
(d) Discount
(e) Word of mouth

62