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Volume:01, Number:06, Oct-2011 Page 25 www.theinternationaljournal.org A study on Challenges and Impact of Advertisement for Impulse Goods Mr. Pradeep Narwal (MBA, Ph.D) Assist. Prof. ABS Amity University, Noida UP Mr. Anil Kumar (LLB, MBA, MPhil.) Research Scholar, Singhania University Faculty Amity University, Noida UP. Abstract: In Impulse goods market, competition is very intense. Marketers use advertising as a tool to differentiate their products from the other competitive products. Research is done to study the impact of Advertising on the buying of variety of impulse goods likes Confectionary, Chips, Cold- Drinks. , Biscuits etc. Various competitors adopt different advertising appeals in their ads to differentiate from their competitors. In confectionary market, Perfetti, lotte, ITC, Cadbury, Nestle etc. are the main brands. Perfetti uses humor, animation appeals and also brand ambassadors. Cadbury uses emotional and rational appeals. In chips market, lays fully rely on its brand ambassador’s image to drive the brand through ads on the other hand ITC’s Bingo ads are purely humor based. Parle’s Hippo uses a mascot to distinguish itself from the competitors. In Cold – drinks market both Pepsi and Coke use brand ambassadors but coke uses celebration & happiness themes in its ad campaigns. Biscuits market is dominated by Britannia , Parle, ITC, Priya gold . Britannia uses Sonic branding tool in its adverts . Parle , ITC Sun feast have brand ambassadors for certain type of biscuits. Brand Recognition, Brand Recall due to the Advertisements. Factors in the Advertisements that persuade consumers to buy that brand are - Who is more effective- Brand Ambassadors or Mascots used in advertisements that persuade the buyers to buy those specific brands. Advertising in the form of Print Media, T.V. Media, Social Networking, Packaging & labeling is used for the research purpose. Which media has more effect like Print Media , T.V. media, Social networking , packaging & Labeling on consumer’s buying decision of impulse buying goods.

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Page 1: A study on Challenges and Impact of Advertisement for

Volume:01, Number:06, Oct-2011 Page 25 www.theinternationaljournal.org

A study on Challenges and Impact of Advertisement for Impulse Goods

Mr. Pradeep Narwal (MBA, Ph.D) Assist. Prof. ABS

Amity University,

Noida UP

Mr. Anil Kumar (LLB, MBA, MPhil.)

Research Scholar, Singhania University

Faculty Amity University,

Noida UP.

Abstract:

In Impulse goods market, competition is very intense. Marketers use advertising as a tool to

differentiate their products from the other competitive products. Research is done to study

the impact of Advertising on the buying of variety of impulse goods likes Confectionary,

Chips, Cold- Drinks. , Biscuits etc.

Various competitors adopt different advertising appeals in their ads to differentiate from their

competitors. In confectionary market, Perfetti, lotte, ITC, Cadbury, Nestle etc. are the main

brands. Perfetti uses humor, animation appeals and also brand ambassadors. Cadbury uses

emotional and rational appeals. In chips market, lays fully rely on its brand ambassador’s

image to drive the brand through ads on the other hand ITC’s Bingo ads are purely humor

based. Parle’s Hippo uses a mascot to distinguish itself from the competitors. In Cold –

drinks market both Pepsi and Coke use brand ambassadors but coke uses celebration &

happiness themes in its ad campaigns. Biscuits market is dominated by Britannia , Parle, ITC,

Priya gold . Britannia uses Sonic branding tool in its adverts . Parle , ITC Sun feast have

brand ambassadors for certain type of biscuits.

Brand Recognition, Brand Recall due to the Advertisements.

Factors in the Advertisements that persuade consumers to buy that brand are - Who is more

effective- Brand Ambassadors or Mascots used in advertisements that persuade the buyers to

buy those specific brands. Advertising in the form of Print Media, T.V. Media, Social

Networking, Packaging & labeling is used for the research purpose. Which media has more

effect like Print Media , T.V. media, Social networking , packaging & Labeling on

consumer’s buying decision of impulse buying goods.

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Volume:01, Number:06, Oct-2011 Page 26 www.theinternationaljournal.org

INTRODUCTION

1.1 FMCG Sector in India

India, 2nd

most populous country in the world, 3rd

largest economy in Asia and one of the

fastest growing economies in the world, provides lot of potential market for FMCG goods.

Fast moving consumer goods are often purchase on impulse basis mostly daily need items.

FMCG sector is worth Rs.80,000 crores constituting 4th

largest sector in the economy as on

2009. It has a well established distribution network, intense competition between the

organized and un organized segments and low operational cost. India has a competitive

advantage because of the availability of key raw materials, cheaper labor costs and presence

across the entire value chain

Major categories in FMCG Sector are-

Household Care fabric -laundry soaps and synthetic detergents

Household cleaners –Dish /wash cleaners, Toilet cleaners, Mosquito repellents etc

Cakes, Biscuits. Chips , Chocolates, Ice cream, Tea, Coffee

Soft drinks, Branded rice, floor, canned fruits

Vegetables, Dairy products.

Personal Care products, Oral , hair , skin Care etc.

There is a untapped market in India especially in rural India in Household products, Personal

care, Food etc. Spending pattern of Households is like 40% on Grocery items & around 8%

on personal care. Due to the increased awareness about the global brands, demand is also

increasing. Global players are launching their products in India. Still there is a dominance of

unbranded products which are available at cheaper price than the competitors. But increasing

awareness and more disposable income certainly giving rise to the demand of branded

national & international products.

The investment potential is in rural markets. Vast untapped rural market offers excellent

investment opportunities. 41% of middle class & around 58% of total disposable income is in

rural India. FMCG Sector is poised to grow by 60% by 2010. Hair care, Household care,

Male grooming, Female hygiene, and confectionery categories are estimated to be the fastest

growing segments according to the HSBC’s report.

1.2 Impulse Goods

All FMCG goods are generally Impulse goods. Impulse goods are low involvement products.

An impulse purchase is an unplanned buying of a product or service, made just before a

purchase. Emotions and Feelings play a decisive role in purchasing by seeing the product or

upon exposure to a well intended promotional message.

Marketers and retailers exploit impulses tied to the basic want. E.g. Shopper not specifically

shopping for a confectionary but might buy confectionary if he intends on the spot.

Alternatively Impulse buying can happen when the buyer sees something which he

passionately desires. Hence, these things are placed in such a manner to catch the attention.

Impulse buying can also extend to items such as automobiles and home appliances. This

disrupts rational decisions of the consumers. Logical thinking is replaced by personal

gratification. . Impulse items are mostly appeal to the emotional side of consumers. Product,

Packaging, In-store displays, Offers etc. often persuade consumers to buy the products. In

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low involvement products only at the time of buying you think and after wards you don’t

think about the risks associated with it. Hence, a low involvement product is high

involvement the first time you buy it. - In Impulse goods market, competition is very

intense. Marketers use advertising as a tool to differentiate their products that from the other

competitive products. Impacts of advertisement actually make consumers buy that specific

Impulse good’s brand. For the research purpose, four main categories of Impulse goods are

chosen.

1. Confectionary - The organized confectionery market one of the biggest sectors in

impulse goods is estimated to be about Rs. 2,500 crore and estimated to grow at a pace of 9

per cent per annum. In India it is the largest among the food processing industries which has

an annual turnover of around Rs 3,500 crores with huge potentials. (Including the organized

and the non-organized sector) .Organized confectionary market consist of 4 main categories -

chocolate confectionery, sugar confectionery, gum and cereal bars. Hard boiled candy

accounts for 18%, Éclairs and Toffees accounts for 18%, Gums and Mints account for 13%.

Digestive Candies and Lollipops account for 2.0% share respectively A large part of the

confectionery industry in India comprise of the local subsidiaries of global confectionery

majors like Perfetti, Lotte, Wrigley's and Cadbury.

2. Biscuits- Bakery industry roughly manufactures around 30 MT of Biscuits out of which

the organized sector accounts for 65% and the unorganized sector accounts for 35% of the

total industry volume. The organized sector is about Rs 8000 crores worth. The biscuit

industry is poised to grow around 15-17% in the next few years. In India, the per capita

consumption of biscuits is 2.0 kg. Glucose, Marie, Sweet, Salty, Cream & Milk are some

types popular in biscuits in India. Glucose biscuits accounts for more than 50% of the total

biscuit market value, Parle G, world’s largest selling biscuit dominates this market with more

than 60% share followed by Britannia and ITC. Major brands are Parle, Britannia, and

Sunfeast. Also the category has strong regional brands like Priya Gold-(North), Cremica-

(North & West), Dukes-(South) and Anmol-(East & North). Horlicks and United Biscuits of

UK entered Indian biscuits market.

3. Chips- US$ 265 million market of Chips is very lucrative for the marketers in India.

Before 2006, Indian food (Snack Industry) was only dominated by Frito-Lay with around

60% market share in India. Highly growing organized snacks market is now shared by brands

like Frito Lay, Parle Agro, and ITC Foods etc. They are targeting to new health conscious

consumers through new product offerings. Given the increasing demand for healthy food,

chips markets provide lot of opportunities for the marketers. There are some other regional

players like Haldirams, Balaji wafers etc. which give Bingo, Hippo, Lays etc. a tough fight.

Intensive advertising & Branding is done by all the brands.

4. Soft drink- Fruit drinks and soft drinks constitute the total non-alcoholic beverage

market. Fruit drinks include drinks like fruit juices and squashes. Soft drinks are segmented

on the basis of carbonation, flavor or place of consumption. Soft drinks are basically

classified into carbonated and non-carbonated drinks.. Cola products account for 60% of the

total soft drink market which include popular brands like Coca-Cola, Pepsi, Thumps Up etc.

Non-cola segment is over 35% of the market and can be divided into four sub groups –

Orange: Fanta, Mirinda Orange etc.

Clear lime: 7Up, Sprite

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Volume:01, Number:06, Oct-2011 Page 28 www.theinternationaljournal.org

Cloudy lime: Limca, Mirinda Lemon

Mango: Maaza, Slice

Indian Middle class, Lower middle class and Lower class constitute around 90% of the soft

drink market. Pepsi has the largest market share in Indian soft drink market followed by

rival coke. The major players in the segment of concentrated soft- drink market are Rasna,

Kissan and Roohafza with Rasna ruling the roost with over 82% of the total concentrated

soft-drink market .

The intense competition in the sector is characterized by the advertising & promotional

campaigns made by both Pepsi & Coke.

Research Design

Objectives of the Study

1. To find out which Advertisement medium & Advertisement appeal is most effective

in impulse goods category.

2. To find out Brand Awareness created through different types of advertisements in

Confectionary, cold drinks, Biscuits and in Chips category.

Research is Descriptive in nature. Research aims to find out most influential Medium of

Advertisement, Advertising appeal in Confectionary, Chips, Biscuits & Soft drinks category

with the help of structured questionnaire in Delhi NCR region.

Sampling Technique:

Sample Size- 200 respondents selected randomly from Delhi NCR as per the convenience of

the researcher

Research Instrument- Close ended Questionnaire

Statistical Tools: Statistical tools help us to correctly analysis the data. Hypothesis is tested

using various statistical tools.

Hypothesis-

1. Null Hypothesis: There is a significant impact of Advertisement on purchasing of

Impulse goods.

Alternative Hypothesis: There would be no significant impact of advertisement on

Purchasing of Impulse goods.

2. Null Hypothesis- Television is the most effective medium of advertisement in case

of Impulse goods purchase.

Alternative Hypothesis- Television is not the most effective medium of

advertisement in case of impulse goods purchase.

SPSS 17.0 software is used to carry out the analysis & test the hypothesis.

1. For the rating questions, Mean & Standard Deviation is used to find out the most

effective factor.

2. Hypothesis testing is done by using Chi- Square test.

3. Cross Tabulation is done to find out effective medium in advertising of Impulse

goods.

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Data Analysis:

Advertisement Play an Important role in Buying Behavior

Graph 1: Role of Advertising in buying behavior

Interpretation-

The above pie- chart clearly shows that, out of the total respondents around 163 think that

Advertisement play an important role in buying behavior of the consumer in case of

Impulse Goods. Still 37 respondents do not think that Advertising actually influences their

buying behavior in case of Impulse goods.

Frequency of purchase for items like Confectionary, Cold drinks & Chips.

Graph 2- Frequency of purchase of Impulse goods.

Please rate the following factors that influence your buying decision in case of impulse

goods on a scale of 1 to 5. ( 1 being least influential & 5 being most influential)

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Volume:01, Number:06, Oct-2011 Page 30 www.theinternationaljournal.org

4)Please rate

the

following

factors that

influence

your buying

decision in

case of

impulse

goods on a

scale of 1 to

5. [1)Price

& discount]

4)Please rate the

following

factors that

influence your

buying decision

in case of

impulse goods

on a scale of 1

to 5. [

2)Advertisement

& Sales

promotion]

"4)Please rate

the following

factors that

influence your

buying

decision in

case of

impulse goods

on a scale of 1

to 5.

[3)Visual

Merchandising

]"

4)Please rate

the

following

factors that

influence

your buying

decision in

case of

impulse

goods on a

scale of 1 to

5. [4)Brand]

4)Please rate

the

following

factors that

influence

your buying

decision in

case of

impulse

goods on a

scale of 1 to

5.

[5)Income]

N Valid 200 200 200 200 200

Missing 0 0 0 0 0

Mean 3.4350 4.1450 3.3550 3.6050 2.5000

Std. Deviation 1.26641 1.02921 .92913 1.02186 1.16049

Table 1 - Factors influencing buying decision.

Interpretation-

In the above question, There are 5 factors on which rating has been done . So, Mean &

Standard Deviation is calculated of all the factors to Rank them as per most influential to

least influential. From the above table we can interpret,

Most Influential- Advertising & Sales Promotion.

Influential - Brand.

Neutral- Price & Discounts.

Not so Influential- Visual Merchandising.

Least Influential - Income.

Hence, from the above data we can clearly infer that Advertising & Sales Promotion is the

most influential factor in case of purchase of Impulse goods.

Media in advertisement that drive the most to buy Impulse goods.

Table 2- Most Influential Advertising Medium

Medium Frequency Percent

Valid

Percent

Cumulative

Percent

Valid Televisio

n

98 49.0 49.0 49.0

Radio 17 8.5 8.5 57.5

Print

Media

35 17.5 17.5 75.0

Outdoors 50 25.0 25.0 100.0

Total 200 100.0 100.0

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Graph 3- Most Influential Advertising Medium

Interpretation-From the above graph we can clearly infer that Television is by far the most

influential & successful medium in advertisements of Impulse goods with 98 respondents.

Outdoors which includes Banners, In- store flyers, Posters etc. is the 2nd

most effective

medium in Advertisement of Impulse goods with 50 respondents. Print Medium is the 3rd

most effective medium in advertisement with 35 respondents which include News papers &

Magazines.

The main motive of advertisement for Impulse Goods.

Table 3 - Motive of Advertisement of Impulse goods

Motives Frequency Percent Valid Percent

Cumulative

Percent

Valid Brand awareness,

Company is trying to

promote itself

95 47.5 47.5 47.5

Show products are cheaper

than the Competition

21 10.5 10.5 58.0

Product is of High Quality 20 10.0 10.0 68.0

Just trying to sell the

Product

20 10.0 10.0 78.0

Entice People to try the

Product

44 22.0 22.0 100.0

Total 200 100.0 100.0

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Graph 4 - Motive of Advertisement of Impulse goods

Interpretation- About 95 Respondents feel that company do advertisements for Brand

Awareness for promoting itself. 44 respondents feel that company is enticing people to try

the product through Advertisements. Around 20 feel that company is advertising to show

pricing, quality or just doing hard selling in case of impulse goods.

Rate the following Advertising Campaigns on the order of 1 to 5 that has influenced you

the most. (1 being least influential & 5 being most influential)

Table 4- influential Advertising Campaign

8) Please

rate the

following

Advertising

Campaigns

on the order

of 1 to 5 that

has

influenced

you the

most. [1)

Cadbury’s

Kuch Mitha

Ho Jaaye

campaign.]

8) Please

rate the

following

Advertising

Campaigns

on the order

of 1 to 5 that

has

influenced

you the

most. [2)

Nestle Kit

Kat’s

dancing

Squirrels ad

8) Please

rate the

following

Advertising

Campaigns

on the order

of 1 to 5 that

has

influenced

you the

most. [3)

ITC Bingo’s

campaign.]

8) Please

rate the

following

Advertising

Campaigns

on the order

of 1 to 5 that

has

influenced

you the

most. [4)

Coke’s

Open

Happiness

campaign]

8) Please

rate the

following

Advertising

Campaigns

on the order

of 1 to 5 that

has

influenced

you the

most. [5)

Parle Hide

& Seek Ad

campaign of

Hrithik

Roshan]

8) Please

rate the

following

Advertising

Campaigns

on the order

of 1 to 5 that

has

influenced

you the

most. [6)

Pepsi's

Youngistan

Ad

Campaign]

8) Please

rate the

following

Advertising

Campaigns

on the

order of 1

to 5 that

has

influenced

you the

most. [7)

Lay's Dil

Logical Ad

Campaign]

N

Valid 200 200 200 200 200 200 200

Missing 0 0 0 0 0 0 0

Mean 3.8700 3.2600 3.4400 3.2600 2.4500 3.4100 3.3650

Std.

Deviation

1.31978 1.40795 1.23043 1.16153 1.25514 1.43604 1.34193

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Interpretation-

Above question is about various ad campaigns rated from 1 to 5 according to their level

of influence. Means of all the 7 Ad campaigns is taken and they are ranked based on the

means from Most Influential to Least Influential.

Advertising Campaigns -

Most Influential- Cadbury’s Kuch Mitha Ho Jaye Ad campaign (Mean 3.87)

2nd

Most influential- ITC Bingo’s Ad campaign (Mean 3.44)

Influential - Pepsi’s Youngistan Ad campaign.(Mean 3.41)

Neutral - Lays Dil Logical Ad campaign. (Mean 3.36)

Sparsely Influential - Coke’s Open happiness Ad campaign(Mean 3.26)

Not much Influential - Nestle Kit Kat’s Dancing Squirrels Ad campaign (Mean

3.26)

Least Influential - Parle Hide & Seek Ad campaign (Mean 2.45)

We can infer that,

Cadbury has maximum brand recognition in Confectionary.

Bingo has max. brand recognition in Chips category followed by Lays.

In Cold- drinks category, Pepsi’s Youngistan ad campaign has max. brand

recognition and more influencing than Coke’s ad campaign.

Factor in any Impulse Good’s advertisement that influence the most.

Table 5- Advertising Appeals

Appeal

Frequency Percent Valid Percent

Cumulative

Percent

Valid Emotion 56 28.0 28.0 28.0

Humor 46 23.0 23.0 51.0

Aspiration 31 15.5 15.5 66.5

Music 18 9.0 9.0 75.5

Transformational 12 6.0 6.0 81.5

Dramatization 17 8.5 8.5 90.0

Animation 20 10.0 10.0 100.0

Total 200 100.0 100.0

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Graph 6- Advertising Appeals

Interpretation-From the above graph we can infer that Emotion is the most influential

advertising appeal in any Impulse goods advertisement. Humor is the 2nd

most influencing

appeal in impulse goods advertisement. Aspiration is the 3rd

most influencing appeal in

advertisements.

Brand name is easy to recall with its punch line/ Jingle.

Table 6- Brand Recognition

Brands

Frequenc

y Percent

Valid

Percent

Cumulative

Percent

Valid Cadbury 74 37.0 37.0 37.0

Britannia 26 13.0 13.0 50.0

Pepsi 18 9.0 9.0 59.0

Parle 9 4.5 4.5 63.5

Mentos 35 17.5 17.5 81.0

ITC Bingo 10 5.0 5.0 86.0

Lays 12 6.0 6.0 92.0

Coke 16 8.0 8.0 100.0

Total 200 100.0 100.0

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Graph 7- Brand Recognition

Interpretation- Above Bar diagram shows that, Cadbury is having highest brand

awareness with 74 respondents. Mentos other brand in the Confectionary is the second

leading. In Biscuits , there is more brand awareness of Britannia than Parle with respect

to recalling punch lines and Jingles. In Cold- drinks, Pepsi is leading with 18 respondents

and Coke has 16. In Chips, Lays is leading than Bingo in brand awareness.

Chi- Square Test

Do you try a brand/ product immediately after seeing its advertisement?

Table 11 - Frequency

.

Hypothesis-

(H0) : There is a significant impact of advertisement on Purchasing of Impulse goods.

(H1) : There would not be any significant impact of advertisement on Purchasing of Impulse

goods.

Level of significance is 0.05 and degree of freedom is 1

Factor Observed N Expected N Residual

Yes 106 100.0 6.0

No 94 100.0 -6.0

Total 200

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Interpretation-

There is a association or significance difference with the impact of advertisement respect to

purchasing of Impulse goods.

The above table depicts the number of respondents who prefer to try a Brand Immediately

after seeing its Advertisement. Chi square test has been applied to find out if Advertisement

has a significant Impact in case of Impulse goods purchase at 5% level of significance.

Hypothesis: “Adverting has a significant impact in case of purchasing of Impulse goods”

The above table explains that based on the chi-square test, with the value of 0.396 there is

a significant Impact of Advertising on purchase of Impulse goods at 5% level of

significance and hence Hypothesis is accepted and Alternate Hypothesis is rejected.

Thus, Advertising has an impact on the purchase of new brands in the impulse goods

category . As there is stiff competition in impulse purchases ,companies use advertising as

a tool to differentiate their products from the competitors and create brand recognition.

More advertisements of the same brand affect on buying decision.

Frequency Percent Valid Percent

Cumulative

Percent

Valid Yes 111 55.5 55.5 55.5

No 89 44.5 44.5 100.0

Total 200 100.0 100.0

Table 13- Advertising of a same brand

Graph 9- More Advertising of same Brand

10) Do you try a brand

immediately after seeing its

advertisement?

Chi-Square .720a

Df 1

Asymp. Sig. .396

Table 12- Chi-square value

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Interpretation- From the above pie- chart we can infer that, 111 respondents say that more

Advertisement of the same brand affect their buying decision in case of Impulse

goods. More advertisements increases visibility of the brand and increases brand

awareness. That is why all companies in the Impulse goods categories like Confectionary,

Chips, Cold-drinks and Biscuits spend heavily on different ad campaigns through out the

year. Still, 89 do not get influenced with more advertisements of the same brand.

In- store merchandising of the products at retailers shelf affecting buying decision.

Table 14- In- store Merchandising

Graph 10- In-store Merchandising

Interpretation-

From this pie-chart we can infer that, 155 respondents feel that In-store merchandising at

retailer’s shelf affect their buying decision. Companies give lot of attention to increase In-

store Merchandising at the retailers shelf in case of Impulse goods. 45 respondents feel that

In-store merchandising does not affect their buying decision.

Factor Frequency Percent Valid Percent

Cumulative

Percent

Valid Yes 155 77.5 77.5 77.5

No 45 22.5 22.5 100.0

Total 200 100.0 100.0

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Cross- Tabulation

Table 15- Cross Tabulation Frequency

Hypothesis-

H0- Television is the most effective medium of advertisement in case of Impulse goods

purchase.

H1- Television is not the most effective medium of advertisement in case of impulse goods

purchase.

Level of significance is 0.05 & degree of freedom is 3.

Interpretation-

There is a association or significant difference in case of Television being the most effective

medium of Advertisement in case of Impulse goods.

The above table depicts the number of respondents who are influenced by Advertisements

and who are influenced by Television Advertisements. Chi square test has been applied to

find out if Television is the most effective medium of Advertisement of Impulse goods at 5%

level of significance.

Hypothesis: “Television is the most effective medium of Advertisement in case of Impulse

goods purchase”

The above table explains that based on the chi-square test, with the value of 0.118 , there is

no change that Television is the most effective medium at 5% level of significance and

hence the hypothesis is accepted and Alternative hypothesis is rejected.

1)Does Advertisement Play an Important role in your Buying Behavior * 4) Which

media in advertisement drive you the most to buy Impulse goods? Cross tabulation

5) Which media in advertisement drive you the most

to buy Impulse goods?

Total Television Radio Print Media Outdoors

2) Does

Advertisement Play

an Important role in

your Buying Behavior

Yes 86 13 28 36 163

No 12 4 7 14 37

Total 98 17 35 50 200

Chi-Square Tests

Value Df

Asymp. Sig.

(2-sided)

Pearson Chi-Square 5.873a 3 .118

Likelihood Ratio 5.815 3 .121

Linear-by-Linear

Association

5.281 1 .022

N of Valid Cases 200

Table 16- Chi-square cross tabulation

a. 1 cells (12.5%) have expected count less than 5. The

minimum expected count is 3.15.

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Hence, Television is the most effective medium of Advertisement in case of impulse

goods purchase.

Conclusion

It has been proven that Advertisement do play a very significant role in the purchase

of Impulse goods.

In Impulse goods purchase, apart from Advertising Brand, price & Discounts &

Visual Merchandising are the influential factors. Brand awareness is created through

advertisement.

With the research it has been proved that Television is by far the most influential

medium of advertising in case of impulse goods. In India, all the FMCG companies

are investing a huge amount of money on ads just to place its product, create brand

awareness in consumer’s mind. With Innovation , Product differentiation and

creating more and more awareness these brands like Cadbury, Nestle, Pepsi, Lays,

Coke , Parle, Britannia, ITC are competing against each other.

Consumer study shows that maximum respondents think that companies are

advertising to create brand awareness about their products and promoting itself.

Celebrity in any ad of Impulse brand has a significant impact on consumer.

With the help of this research it has been found out that Cadbury’s Ad campaign-

Kuch Mitha ho jaye is the most effective campaign. It really changed the consumers

perception about chocolates and created a benchmark for the brand in the

Confectionaries. In chips, ITC Bingo’s Ad campaign is the most effective and overall

2nd

most effective.

Emotional appeal is the most effective appeal in impulse goods purchase followed by

the Humor appeal.

In soft drinks, Pepsi has more recognition than Coke with its effective Youngistan

campaign though coke’s new Open happiness campaign is liked by the consumers.

In Biscuits, Parle’s campaign is not a success amongst Impulse buying consumers.

In recalling Punch line/Jingle, Cadbury again scored in terms of brand recognition in

confectionaries followed by the Mentos with its humorous punch- line. In biscuits,

Britannia has more awareness than the Parle with respect to recalling jingles.

Britannia has focused much on its sonic branding. In soft- drinks, Pepsi has more

recall ability than Coke.

Repeated ad campaigns have a good impact in getting brand awareness for Impulse

goods. Companies in impulse goods never let their customers forget about their brand

with the help of repeat ads.

In –store merchandising plays very important role in influencing buying decision of

the consumers in case of impulse goods.

Further Scope:

Impulse goods category has very intense competition. Marketers use Advertising as a tool to

differentiate their products and create brand awareness. More and more emphasis should be

given by the companies to advertised more on television as it’s the most influential. They can

use Viral Marketing to promote their brands through online.

Companies should focus on building recognition for their brands with continuous

advertisements. Focusing on Above the line & Below the line advertisements.

Page 16: A study on Challenges and Impact of Advertisement for

Volume:01, Number:06, Oct-2011 Page 40 www.theinternationaljournal.org

Trend in Impulse purchases is people are more inclined towards Emotion & Humor based ads

, Thus ,all companies in confectionary, chips, Biscuits & Soft drink should create campaigns

with Emotion & Humor based ads. Coke has just launched a humor themed ad in its Open

happiness campaign which has been accepted quite well.

Parle must focus more on intensifying its television ad campaigns. It has done quite well in

radio ads and print ads.

Though celebrity is more influential in an ad, concept of having mascots is growing faster.

Companies should focus on this concept and develop an unique recognition for their brands.

Innovation with products, with advertising is the key for companies to get more and more

business.

REFERENCES:

Ali Muhammad; Rehman Kashif(2009) “Empirical study of consumer impulse buying

behavior in local markets” European Journal of Scientific research, 28(4), 522-532.

Chaudhari Rajita (November 2010) “ Top Impulse goods brands that made it big this year”

4P’sMagazine V(20), 128-130.

Hawkins Scott; Levy-Meyers Joan ; Hoch Stephen (2001) “ Low-involvement learning

:Repetition & coherence in familiarity & belief” Journal of Consumer Psychology, 11(1), 1-

11.

Kumar Ruchika(August 2010) “Parle Hippo- New brand leverage itself on new packaging ,

different product & use of a unusual brand mascot” Pitch Magazine , 10(VII), 8-9.

Marketing research- an applied orientation(5th edition) by Naresh .k. Malhotra

Ratti Pragati(August 2010) “The brand face off: Mascots vs. Celebs” Pitch Magazine

,10(VII),50-52

Sriastava k. Rajesh (2010) “ Effectiveness of global advertisement on culture of India: an

emerging market” International journal of emerging markets, 5(1), 102-113.

.

http://marketing-trends-india.blogspot.com/2009/09/mint-candies-in-india- cold-

war.html

http://www.parleproducts.com/brands/parlehideandseek/

http://www.coca-colaindia.com/media/media_tv_commercials.aspx

http://www.britannia.co.in/tvcs.htm

http://www.nestle.in/ChocolatesConf.aspx?OB=4&id=4

http://pepsicoindia.co.in/Media/audiovisuals.aspx

http://www.aef.com/on_campus/classroom/book_excerpts/data/1504

http://www.cadburyindia.com/downloads/adslisting.asp?cat_id=1

http://www.warc.com/LatestNews/News/ArchiveNews.news?ID=26250

http://www.adcracker.com/involvement/Low_Involvement_Rational.htm

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