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WHY SOME TV COMMERCIALS ARE POPULAR AND OTHERS ARE NOT SO POPULAR?
SECTION 2 GROUP 7
Aditi Tiwari - DM23205
Aditya Chiplunkar - DM23206
Chirag Agarwal - DM23213
Harini B - DM23221
Nayan Lahiry - DM23421
Srisashank Srinivasan - DM23442
CONTENTS
Sr. No. Particulars
1 INTRODUCTION
1.1 Marketing
1.2 Advertisement
1.3 Television Advertisement
1.4 Types of TV Advertisement
1.5 Need and Significance of the Study
3 LITERATURE REVIEW
3.1 Title: Impact of Commercial advertisements on TV viewers
3.2 Title:: A study of audience behavior towards television advertisement
3.3 Topic: Title of Thesis: Commercial advertising: awareness and its impact
3.4 Topic: Title of Thesis: Role of animation in advertising
3.5 Topic: Impact of Media Advertisements on Consumer Behavior
3.6 Topic: Perceived Influential Aspects of TV Advertising
3.7 Topic: Impact of Effective Advertisement on Consumer Attitude
3.8 Topic: Influence of Lifestyles on Consumers’ Buying Behavior
4 QUALITATIVE RESEARCH
4.1 Justification for the Qualitative Research
6 QUESTIONNAIRE
7 ANALYSIS
7.1 Reliability
7.2 correlations
7.3 Factor Analysis
7.4 Regression
1 INTRODUCTION
In the era of technological dominance that has transformed the world into a global village, the need for goods and services have gone to
disproportionate height which is credited to increased consumership all over the world. In such an environment, commercial advertising is of
paramount importance. Advertising is the interaction between the companies and the consumers wherein the former persuades the latter to
buy their products. This interaction is usually carried out through various channels of communication - TV and radio commercials, print media,
billboards and product placement. Ads are strategically placed where the corporate believe they will reach the largest and most relevant
audience. The benefits of advertising are manifold. It reinforces the buying behavior of consumers. Along with that it is a presumed power for
molding opinions, attitudes and behavior. Commercial Advertising is a pillar in the structure of consumerism ensuring increased product sale
and profits thereby plays a crucial role in the development of industry.
The study mainly focuses on what makes some TV Commercials popular and why some are not so popular. The following section explains the
elements which are related to this study.
1.1 Marketing
Marketing refers to activities a company undertakes to promote the buying or selling of a product or service. Marketing includes advertising,
selling, and delivering products to consumers or other businesses. Some marketing is done by affiliates on behalf of a company.
1.2 Advertisement
Advertising is a marketing communication that employs an openly sponsored, non-personal message to promote or sell a product, service or
idea. Sponsors of advertising are typically businesses wishing to promote their products or services. Advertising is differentiated from public
relations in that an advertiser pays for and has control over the message. It differs from personal selling in that the message is non-personal,
i.e., not directed to a particular individual. Advertising is communicated through various mass media, including traditional media such as
newspapers, magazines, television, radio, outdoor advertising or direct mail; and new media such as search results, blogs, social media,
websites or text messages. The actual presentation of the message in a medium is referred to as an advertisement: advert or ad for short.
1.3 Television Advertisement
A television advertisement (also called a television commercial, commercial, advert, TV advert or simply an ad) is a span of television
programming produced and paid for by an organization. It conveys a message promoting, and aiming to market, a product or service.
Advertisers and marketers may refer to television commercials as TVCs.
Advertising revenue provides a significant portion of the funding for most privately-owned television networks. During the 2010s, the number
of commercials has grown steadily, though the length of each commercial has diminished. Advertisements of this type have promoted a wide
variety of goods, services, and ideas ever since the early days of the history of television.
1.4 Types of TV Advertisement
a. TOPICAL VIDEO COMMERCIALS:
These types of TV commercials are quick highlights of the products or services that a business offers. The topical video commercial is
produced to provide consumers a glimpse into a product or service that they will have interest in and potentially purchase, try, or
otherwise convert towards.
2.2 Hypothesis
H1: Popularity of Advertisement is dependent on Brand Ambassador.
H2: Popularity of Advertisement is dependent on Music.
H3: Popularity of Advertisement is dependent on content.
H4: Popularity of Advertisement is dependent on tagline.
H5: Popularity of Advertisement is dependent on Attitude.
H6: Popularity of Advertisement is dependent on Connect.
3 Literature Review
3.1 Title: Impact of Commercial advertisements on TV viewers
Venkata Rammurthy K, Gopinath Marula & K.S.V Kiran Kumar highlighted that the TV’s commercial ads have a direct impact on the viewer’s
buying behaviour and their lifestyle. The objective of their study is to understand the importance of TV ads in consumer’s buying behaviour.
They collected the data through a research schedule questionnaire and analysed them using statistical tools like Chi-square test and simple
ranking method. From the questionnaire, it was seen that most of the respondents proposed that the unnecessary promotional content in the
ads makes it ineffective. Around 70 respondents felt that creative and innovation in TV ads makes the ad popular among the viewers. It was
also interpreted that there is a significant relationship between creating awareness and impact of attracting new brands. From the analysis, it
was interpreted that detailed information about the product and product quality will have a significant impact on the viewers. They also
analysed that certain factors like slogans, captions, music, creativity in the ads makes the advertisement more effective. Through this study,
the authors suggested that by presenting the reality of the products in the ads and telecasting it at a proper time, more customers could be
attracted.
The study shows that both Male and Female spend 4-5 hours watching TV on an average of which majority is under the age of 35 years. And
they ranked 14 attributes of any TV Advertisement which made them like any Ad in the following manner, they ranked ‘Easily Understandable’
as 1, ‘Entertaining’ as 2, ‘Worth Remembering’ as 3, ‘Informative’ as 5, ‘Familiar’ as 6, ‘Helpful to decide a brand’ as 7, ‘Simple’ and ‘Believable’
as 8, ‘Convincing’ , ‘Interesting’ , ‘Recallable’ and ‘Meaningful’ as 10 and ‘Likeable’ as 14. This paper concluded that Advertisements play a
major role in the purchase decision of the television audience and they are driven by several factors, their level of significance is 99% (p value =
0.000).
3.3 Topic: Title of Thesis: Commercial advertising: awareness and its impact
Name of the Researcher: Geetanjali, Name of the Guide: Sharma, Tejinder
Year: 2014
Consumers of both durable and non-durable products find a source of motivation in advertisements. The study reveals that advertisements
motivate consumers to make their purchase decision. Consumers are stimulated significantly by advertisements when the motive is quality
and price. Their purchase attitude and behaviour are influenced by a variety of advertisements which cover product evaluation and brand
recognition.
Celebrity with mass appeal and generally a large influence over people, is more likely to affect customers‟ purchase intentions if he/she is the
one endorsing that particular product thereby being able to persuade customers to buy that product.
Logo (27.60%), visual effects (24.89%) and message (24.43%) content in durable products have a greater impact on buying behaviour of
consumers while logo (26.2%), slogan (20%), message (20.0%) and content (16.8%), and model have a greater impact in consumers‟ buying
behaviour in case of non-durable products.
Intensity i.e. frequency and reach of an advertisement might affect the customer‟s buying intention. People might show different behaviour
when they are exposed to advertisements in various degrees of frequency, and might respond differently.
Majority of respondents (78 percent) viewed advertisements on “TV”. 13 percent of the respondents viewed commercial advertisements in
“All media” and 7 percent viewed commercial advertisements in “Newspaper/periodicals”. Heads of households who viewed advertisements
on “Hoardings” and “Signboards” constitute 1 percent each. Models in the advertisement attracted 67 percent of the respondents; the balance
33 percent of the respondents were not influenced by models. The analysis also reveals that respondents falling within the low-income group
were more influenced by models in the advertisements than respondents in the other two categories.
Discovered that The best way to reach the targeted audience is to use television commercials. This is the best way to attract customer and
create in them an intention to buy. Some commercials are popular than the others because they advertise in such a way that they inform
about the brand well and position them highly. They also capture the best features of the product being advertised and make it more
appealing to the general audiences. A good commercial grabs the attention of the audience right away. Whether or not the viewer’s purchase,
they should proceed to the next step in the sales funnel.
In his journal states that even well-known businesses like Pepsi have been known to develop advertising for which they later apologised. Their
Kendall Jenner ad, which was launched in 2017, generated controversy. No one would purposefully create an ad that would result in so much
hatred, thus this was most likely not their objective. They aren't the only ones, unfortunately, demonstrating that these things do happen.
Because it's a hit-or-miss business, the only way to learn to tell the difference between good and bad advertising is to study some examples.
Here are five good commercials to get you inspired, as well as five awful commercials to avoid at all costs.
4 QUALITATIVE RESEARCH:
We did In depth interview with 24 people with the majority of the sample taken is in the age range of 20-25, they are from varied professions
and majority are from India while we have also collected a few responses from Indians living in foreign.
We felt that for this topic doing an in depth interview as Qualitative Research would be apt because in that way we could eliminate any known
or unknown bias. If we would have chosen a focus group then after listening to the answer of one respondent, others might have changed the
answer or known what to say. Also in the focus group all the respondents tend to come to a common consensus and we can only have a
limited number of respondents. We did not want that.
We wanted heterogeneity in our data to increase the validity of our research. Respondents have a longer time to respond. Therefore we went
with In Depth Interviews.
Popularity of
Commercials 1 Brand ambassador 1 Location
2 Jingle 2 Profession
3 Content 3 Age Group
a Creativity
b Humor
c Out of the box
d Weird
e Illogical to the product
f Use of animation
j Use of catchy music
4 Tagline
5 Frequency
6 Duration
6 QUESTIONNAIRE :
Where 1 stands for ‘Strongly Disagree’ and 5 stands for ‘Strongly Agree’.
Content:
Connect:
1. This ad appeal to me
2. This ad kept me engaged
3. This ad made me laugh
4. I did not connect with this ad*
Celebrity:
Music:
Tagline:
Purchase Intend:
1. I will purchase the product after watching this ad. (When Needed)
2. I will not buy the product only based on this ad.*
Frequency:
Duration:
Trust in Ads:
7 WAY FORWARD:
We will find out the right sampling method and collect pilot data to run a dummy test. After getting the results and doing necessary changes
we will collect the actual data. We will run the Cronbach Alpha test to check the reliability of the data. If the independent variable have some
interaction effect then we will do a Multicollinearity Test otherwise we will do the Regression Analysis.
7.1 Reliability
Cronbach alpha reliability test was carried out to assess the reliability of questions which constitute a scale of a variable, whether these scales
are internally consistent with each other or not. Cronbach Alpha varies from 0 - 1 and a score of 0.6 or less indicates unsatisfactory internal
consistency reliability.
Correlations
Attitude Content Connect Celebrity Music Tagline Trust ContxConn ContxMusic C
Attitude Pearson Correlation 1 .729** .704** .489** .537** .593** -.080 .738** .672**
Sig. (2-tailed) .000 .000 .000 .000 .000 .293 .000 .000
N 176 176 176 176 176 176 176 176 176
Content Pearson Correlation .729** 1 .792** .459** .544** .603** -.013 .921** .791**
Sig. (2-tailed) .000 .000 .000 .000 .000 .867 .000 .000
N 176 176 176 176 176 176 176 176 176
Connect Pearson Correlation .704** .792** 1 .511** .551** .598** -.082 .947** .709**
Sig. (2-tailed) .000 .000 .000 .000 .000 .278 .000 .000
N 176 176 176 176 176 176 176 176 176
Celebrity Pearson Correlation .489** .459** .511** 1 .445** .531** -.120 .501** .511**
Sig. (2-tailed) .000 .000 .000 .000 .000 .112 .000 .000
N 176 176 176 176 176 176 176 176 176
Music Pearson Correlation .537** .544** .551** .445** 1 .661** -.122 .568** .920**
Sig. (2-tailed) .000 .000 .000 .000 .000 .106 .000 .000
N 176 176 176 176 176 176 176 176 176
Tagline Pearson Correlation .593** .603** .598** .531** .661** 1 -.061 .621** .707**
Sig. (2-tailed) .000 .000 .000 .000 .000 .419 .000 .000
N 176 176 176 176 176 176 176 176 176
Trust Pearson Correlation -.080 -.013 -.082 -.120 -.122 -.061 1 -.066 -.102
Sig. (2-tailed) .293 .867 .278 .112 .106 .419 .384 .177
N 176 176 176 176 176 176 176 176 176
ContxConn Pearson Correlation .738** .921** .947** .501** .568** .621** -.066 1 .793**
Sig. (2-tailed) .000 .000 .000 .000 .000 .000 .384 .000
N 176 176 176 176 176 176 176 176 176
ContxMusic Pearson Correlation .672** .791** .709** .511** .920** .707** -.102 .793** 1
Sig. (2-tailed) .000 .000 .000 .000 .000 .000 .177 .000
N 176 176 176 176 176 176 176 176 176
ContxCeleb Pearson Correlation .671** .770** .700** .895** .565** .640** -.103 .777** .735**
Sig. (2-tailed) .000 .000 .000 .000 .000 .000 .175 .000 .000
N 176 176 176 176 176 176 176 176 176
ContxTag Pearson Correlation .700** .852** .754** .556** .677** .906** -.055 .849** .848**
Sig. (2-tailed) .000 .000 .000 .000 .000 .000 .468 .000 .000
N 176 176 176 176 176 176 176 176 176
CelebxTrust Pearson Correlation .297** .320** .317** .698** .240** .329** .582** .320** .304**
Sig. (2-tailed) .000 .000 .000 .000 .001 .000 .000 .000 .000
N 176 176 176 176 176 176 176 176 176
ConnxCeleb Pearson Correlation .665** .676** .799** .897** .567** .642** -.133 .791** .696**
Sig. (2-tailed) .000 .000 .000 .000 .000 .000 .079 .000 .000
N 176 176 176 176 176 176 176 176 176
Popularity Pearson Correlation .843** .658** .597** .493** .520** .559** -.088 .642** .631**
Sig. (2-tailed) .000 .000 .000 .000 .000 .000 .247 .000 .000
N 176 176 176 176 176 176 176 176 176
**. Correlation is significant at the 0.01 level (2-tailed).
The reliability statistics and Cronbach alpha values for each of the seven constructs are given as follows.
7.2 Correlations
Multi collinearity is the measure of the presence of correlation between independent variables. To determine whether our independent
variables are correlated or not, we performed a bivariate Correlation analysis.
We checked the data for intercorrelations in order to ensure that there is no multicollinearity in the data.
The test result showed the presence of correlation between multiple independent variables. This will lead to discrepancy in the results of
regression. Hence to get around this, the variables have been reduced into orthogonal Eigen values for better interpretation of variable effect
and then run a factor analysis.
Component Matrixa
Component
1 2 3
MCAttitude .794 -.120 .099
MCContent .868 -.123 .242
MCConnect .859 -.124 .103
MCCelebrity .745 .364 -.543
MMusic .738 -.221 .124
MCTagline .795 -.094 .099
MCTrust -.068 .757 .641
MCContxConn .907 -.143 .168
MCContxMusic .886 -.207 .171
MCContxCeleb .919 .183 -.278
MCContxTag .923 -.120 .166
MCCelebxTrust .512 .844 -.016
MCConnxCeleb .911 .165 -.321
Extraction Method: Principal Component Analysis.
a. 3 components extracted.
Rotated Component Matrixa
Component
1 2 3
MCAttitude .759 .281 -.013
MCContent .879 .221 .076
MCConnect .817 .310 -.012 Factor analysis is done to reduce the data and form factors.
MCCelebrity .301 .944 -.036 From the Eigenvalue table we can see that there are 3 factors
MMusic .754 .182 -.078 but there are high loadings in multiple factors and the loading
MCTagline .750 .295 .007 are illogical and there was difficulty in naming the factors so
MCTrust -.063 -.073 .990 we had to perform Factor Rotation.
MCContxConn .890 .281 .014 So, the 3 factors are named accordingly 1- Ad Content 2 -
MCContxMusic .895 .234 -.034
Celebrity Endorsement 3- Brand Perception
MCContxCeleb .615 .760 -.008
MCContxTag .895 .303 .032
MCCelebxTrust .146 .717 .662
MCConnxCeleb .597 .775 -.050
Extraction Method: Principal Component Analysis.
Rotation Method: Varimax with Kaiser Normalization.a
a. Rotation converged in 5 iterations.
7.4 Regression
Coefficientsa
Standardized
Unstandardized Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) .054 .269 .201 .841
Ad Content .736 .058 .668 12.777 .000
Celebrity Endorsement .333 .058 .303 5.702 .000
Brand Perception -.019 .058 -.018 -.335 .738
Age group -.042 .101 -.022 -.417 .677
Gender .022 .118 .010 .183 .855
a. Dependent Variable: MCPopularity
Regression is performed and from the coefficient table it is clear that Ad Content and Celebrity Endorsement are significant and Brand
Perception is not significant. Covariates Age and Gender are also not significant.
RESULTS:
1. We accept H1: Popularity of Advertisement is dependent on Brand Ambassador.
2. We accept H2: Popularity of Advertisement is dependent on Music.
3. We accept H3: Popularity of Advertisement is dependent on content.
4. We accept H4: Popularity of Advertisement is dependent on tagline.
5. We accept H5: Popularity of Advertisement is dependent on Attitude.
6. We accept H6: Popularity of Advertisement is dependent on Connect.
RECOMMENDATIONS
1. As Celebrity Endorsement is significant, companies can focus on choosing a celebrity who identifies with the brand.
2. Companies which do not use music in their commercials need to focus on selecting good music for their next commercials, companies
which already use music in their commercials may continue to do so as it is significant.
3. Companies which do not use taglines in their commercials need to focus on adding taglines for their next commercials, companies
which already use taglines in their commercials may continue to do so as it is significant.
4. Ad Content drives popularity of advertisement, companies should look to invest in content creators and ensure that the brand
produces engaging content.
5. Brand attitude is significant, try to convey the USP’s effectively through commercials.
6. Connect also drives popularity in commercials, focusing on creating engaging content that identifies with the brand as well as the
customer.
7. Gender and Age does not drive popularity as they are not significant. Focus on creating good content and celebrity endorsements
irrespective of gender and target audience.