Understanding consumer behavior attitudes towards advertising

Total 2010 UK advertising costs amounted to 14. 5 billion. Of this, more than 80 % was allocated to display advertising in the press, broadcast, print out and outdoor marketing. (Source: The Advertising Relationship) Under the current circumstances, advertising signifies one of the major industries throughout the market with millions of staff worldwide. The efficiency of functioning of the market in general, to a considerable degree, will depend on that sector. Advertising accompanies competition between companies and can be an essential attribute of the marketplace economy.

1. 2 Background

Companies need to understand consumer behaviour and discover the best way on how to move demand of products in their favour. When companies have the ability to discover the reasons why consumers make particular purchasing decisions, they can adapt their marketing work to raised suit the needs of the consumers. Understanding consumer behavior may result in increased sales and improved profit performance of the business.

Classical microeconomic ideas of consumer behaviour have centered on the ideas of logical consumer behaviour, which implies that consumers' choice is generally a subject of personal choices, whereas tool theory of consumer behaviour maintains that consumer selections reflect their try to secure maximum usefulness from their financial resources. Citation!

While classical ideas still apply in modern day american societies, the role of media, internet and different facet of modern culture may have fundamentally changed many elements in the understanding of consumer behavior. Also marketing opportunities available in the digital information era have altered just how how consumer choice has been designed and used for income.

Advertising is perhaps the very first thing that people think about when considering marketing. Companies must do more than make good products - they need to inform consumers about product benefits and carefully position products in consumers' intellects. To get this done, they need to skilfully use the mass-promotion tools of advertising.

Advertising strategy consists of two major elements: creating advertising communications and selecting advertising marketing. Media organizers consider many factors when coming up with their media selections. The media behaviors of target consumers will affect advertising choice - advertisers look for media that reach target consumers effectively.

Target people are placed to give attention to different organizations: adults, teenagers, pre-schoolers and other organizations. It is vital to be familiar the prospective market, their patterns, behaviours and frame of mind to advertising generally. It is known that pupil young ones is less traditional in their views and decisions, checking to others years and social communities.

1. 3 Research Goals and Rationale

Based on these information, the main aim of the research is to research the degree to which the purchasing decisions of students in the UK are affected by the advertising campaign campaigns.

During the prep of the current research newspaper a questionnaire was completed among Queen Mary's students, which aimed to review their frame of mind to advertising. Study sample covered views of 20 teenagers between the age ranges of 21-24, that is students in their previous years of studies. The choice of the audience had not been random.

The survey possessed a probing persona and could not stand for the aggregate of the university student youth population or even more standard adult audience with statistical detail. However it offers a specific representation of dominating tendencies in personal preferences and opinions of the chosen audience, which is the key aim of mass advertising.

1. 4 Put together of the Project

Chapter 2: Literature review

Advertising is an important means by which economic enterprises communicate with both their current and customers. It is said that to be effective an advertisements must be read, recognized, believed, kept in mind and acted upon (Adcock, Halborg, Ross, 2001)

There are five main ways that a business can communicate with its markets

Media advertising (commercial tv set and radio, the press, posters, theatre and direct mail/internet)

Public relations activities

Selling

Merchandising

Packaging (Chisnal, 2001)

These promotional activities are at the heart of effective marketing strategies. According to Adcock, Halborg, Ross, (2001) advertising strategy includes two major elements: creating advertising announcements and selecting advertising multimedia. The major steps in press selection are: deciding on reach, regularity and impact; choosing among major mass media types; selecting specific mass media vehicles; and choosing press timing.

The current research paper is concerned with determining an appropriate mass media type (medium) which better suits patterns and personal preferences of the experienced population.

Media organizers consider many factors when coming up with their media choices. The media behaviors of goal consumers will have an impact on mass media choice - marketers look for media that reach concentrate on consumers effectively (Kotler, Armstrong, 1997). For example fashions are best publicized in colour periodicals and daily newspaper publishers are an initial account in advertising real real estate. Different types of messages may require different multimedia.

Cost is another major element in marketing choice. Whereas tv set is very expensive, for example, publication advertising costs much less. Arranging the advertising budget is a sophisticated activity. Some critics bill that large consumer packaged-goods organizations have a tendency to spend too much on advertising, and commercial companies generally underspend on advertising. They declare that the top consumer companies use a lot of image advertising without really knowing its effects. They overspend as a kind of 'insurance' against not spending enough. (Kotler, Armstrong, 1997)

For quite a while, television and magazines have dominated in the advertising mixes of advertisers with other mass media being neglected (Jobber, 1995). Lately, however, costs of the media have risen and followers have dropped. Marketers are now more and more turning to alternative press, such as outdoor advertising or internet. The question that concerns companies remains the same: how much advertising spending really has on consumer buying and branding royalty? To be able to answer it media impact must be re-examined regularly.

As summarized in the stand the major marketing types are papers, television, radio, mags, and outdoor. It is important to list advantages and limits of mediums, as they will end up being guidelines in the interpretation of the discovered results.

Medium

Advantages

Limitations

Newspapers

Flexibility; timeliness; good local market coverage; high believability

Short life; small pass-long audience

Television

Good mass market coverage; combines look, sound, and movement; appealing to the senses

High overall costs; high mess; fleeting subjection;

Less audience selectivity

Radio

Good local; approval, high geographic and demographic selectivity; low cost

Audio only, fleeting vulnerability; low attention; fragmented audiences

Magazines

High geographic and demographic selectivity; reliability and prestige; extended life and good pass-along readership

Long advertisement purchase lead time; high cost; no assurance of position

Outdoor

Flexibility; High replicate exposure; low cost; low note competition; good positional selectivity

Little audience selectivity; creative limitations

Chapter 3: Research Method and Procedure

3. 1 Introduction

This section reviews the study methods which were found in this project. It's important for a researcher to choose a suitable method for the problem. To obtain a full picture a mixture of qualitative and quantative research examination is preferred. This research will take the following technique: define the research objectives, develop research strategy, analyse results and make a finish.

3. 2 Research Aims.

This research needs under consideration three main goals. Firstly, to find out respondents' behaviour to advertising in general. Secondly, to identify student's tastes among different types of media. The ultimate objective of any survey is concerned with evaluating the impact of advertisement promotions on the purchasing decisions of students in the UK.

3. 3 Research Methodology and Musical instruments.

There are several ways of collecting data for research. In the current paper the principal data was accumulated for the first time using questionnaires. This technique has proved to be effective way in getting both quantative and qualitative data.

The questionnaire (Appendix 1) integrated both main types of questions which are generally used in research: open-ended questions and shut questions. Open up questions are interesting due to spontaneity and specific flavour of the replies, but frequently it is difficult to 'compress' free answers into limited range of codings. Studies in sealed questions provided the research with statistical evidence, whereas wide open questions offered to the study depth and selection of information.

Interviewer was documenting all answers verbatim since there is always a danger of interviewer bias through inaccurate taking.

3. 4 Reasons for specific questions

In giving an answer to the question 1: "What is your attitude to advertising generally?" respondents acquired a considerable independence in phrasing an answer, which may be lengthy and detailed, and in his or her own words.

In the question 3 respondents could actually choose from a range of possible answers. The easy follow up question invited to provide a more specific explanation on the subject.

Questions 4 to 6 6 were shut down type questions, which call totally limited reactions. The respondents were offered a choice of alternative replies from which he or she was likely to select a remedy corresponding to his / her personal views on a particular subject. The study used simple alternate questions: YES/NO.

3. 5 Summary

The results of this process will appear within the next chapter.

Chapter 4: Results

4. 1 Introduction

The project looked for to examine media recognition among students and discover to what level advertising affects their purchasing decisions. To achieve the research project's purpose and rationale, a questionnaire was implemented as stated in the last chapter. The next section will present and analyse results of the survey.

4. 2 Findings. Part 1

As shown in Diagram 1, the vast majority of respondents prefer television set, whereas magazines had taken the second place. The results reveal that the Internet is the 3rd popular advertising, while paper and outdoor advertising show the fourth place. Percentages indicate the proportion of votes students offered to a specific advertising out of total votes. For instance out of total 37 only one 1 vote was given to advertising on the radio.

Popularity of television set had not been a shock as it combines view, sound and action. It was referred to by respondents as the utmost effective and the best medium for advertising. It advantage lies in extensive mass market coverage.

Magazines charm to students because of its trustworthiness and prestige; long life and good pass-along readership. Students described that it's best for fashion, and pictures of celebrities make it getting.

Outdoor multimedia was defined the most creative and eyesight catching. It really is interesting to notice that on the contrary (Author) talked about little creativeness as a negative side of the type of media.

Newspapers appeal for its timeliness and high believability. It is well-liked by those respondents who spend lots of time travelling.

Internet advertising is relatively new multimedia type however volume of its admirers develops. It could be explained with growing attractiveness of online shopping. Another edge is the fact it has no time limitation and can be looked at day and night. However spam is often described as its negative point.

Radio came previous, probably due to its disadvantages: audio only, fleeting exposure and low attention. Not minimal of the factors was that most of the students are in halls of house, which lack radio equipment.

4. 2 Finding. Part 2

Bar Graph 1 shows replies to questions. The club chart obviously shows students thoughts on specific content.

Majority of students have good attitude to advertising and commonly cite its beneficial function, quite simply in creates recognition. Some students start to see the artistic value in some commercials.

Advertising creates understanding, so no question that majority prefers publicized product over unadvertised. However there is a strong thoughts and opinions that quality products don't need advertising.

There have been a number of commercials that state that product of the company is preferable to competitor's product. The results show that vast majority do not consider those commercials. It could be a good notion for companies not to utilize such advertising strategies.

Just more than a 1 / 2 of respondent believe advertisements help them to make an improved purchase. Individuals are better off when subjected to some information about the product before buying it. However 45% prefer to do their own research about the product.

Answers to the question 7 obviously show the energy of advertising. 85% of students wanted to try something just because they found its commercial. Most respondents were curious and wanted try it to see whether it was as good as commercial said it to be.

It is important to note that 70% respondents sing sounds from commercials. This might establish as an signal for companies - adding a 'catchy' melody to a commercial can increase sales.

Chapter 5: Conclusion

5. 1 Introduction

This section will summarize conclusions of this research project, highlight a few of the interesting conclusions, offer practical implications, cite limits of this project and give suggestions for further research.

Summary of Results and Interesting Findings

The purpose of the current study was to recognize an advertising marketing with a major exposure and find out the result it has on its market. Results were analysed in the previous chapter. Functional implications of the research were also considered.

Identifying and understanding target audience is important. The evidence from this review suggests that the television as an advertising medium appealed to nearly all respondents. Mags and the Internet took the next and the 3rd place respectively. It may help companies to better allocate their advertising space. Students have positive attitude towards advertising on the whole because it carries an useful function and creates awareness.

The results indicate that most students prefer advertised products over unadvertised products and believe that advertisements help them to make a better purchase. The greater part wished to try something just because they observed it in a commercial.

Some interesting results were found. An advertising strategy whenever a company positions their products superior to competitor's products turned out inadequate as only few students trusted such commercials. Another implication possibility from this research is that commercials with songs charm to consumers. Companies may consider using this strategy to their benefits.

Limitations of the Research

The current review was limited for the size of the test and imbalance regarding the students' country of origin. Because every one of the respondents who responded in this task were international students, the studies do definitely not reflect the practices and opinions of all students. This is important since an advertising usually targets the beliefs of the american societies and various ethnicities may have different attitudes towards advertising. Therefore, it would be important to conduct further research in this area of media effect and require more respondents from western-culture countries.

Recommendations for further studies

This research has raised many questions in need of analysis. The designed questions weren't perfect so some other aspects may be had a need to investigate what plays a part in making a purchase decision. Some factors evaluated in this research affect consumers but not necessarily mean that they can make a genuine purchase. For instance, further research may investigate what advertising strategies such as verbal or aesthetic elements appeal to consumers.

Endnote

This job has been worried about advertisings' affect on students' purchasing decisions and the study implies that choosing the correct advertising strategy is a crucial element in a highly effective online marketing strategy.

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