The Journal of Commerce, Vol. 2, No. 1 ISSN: 2218-8118 ...joc.hcc.edu.pk/articlepdf/JOCYousaf_et_al_2_1__pp_31_43.pdf · Methodology- The attitudes towards economic, ethical, personal,

The Journal of Commerce, Vol. 2, No. 1 ISSN: 2218-8118 Hailey College of Commerce, University of the Punjab, PAKISTAN

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General Attitudes of Cell Phone Users towards Television Advertising by Mobile Network Operators

Usman Yousaf1 Dr Muhammad Aslam Khan2 Muhammad Aslam Khan3

Abstract

Purpose- The researchers have attempted to examine the attitude of viewers of television towards television advertising by Mobile Network Operators in terms of its hedonic/pleasure value, societal, personal, ethical, economic consequences and regulatory aspects.

Methodology- The attitudes towards economic, ethical, personal, societal consequences, and regulatory aspects were measured using Polly and Mittal (1993), attitudes towards Hedonic/pleasure value were measured using a 3 item scale for measuring the same by Ramaprasad and Thurwanger (1998) while general attitudes towards television advertising by mobile network operators were measured using a 3 item scale by Muehling (1987). A five point Likert scale has been used in order to measure the respondent’s attitudes.

Data- A total of 200 hundred questionnaires were personally administered among the students of two universities in Islamabad and one in Rawalpindi, out of the 195 questionnaires returned 6 were rejected and 189 were selected for final analysis.

Results- The chi square test results of general attitudes of the respondents towards television advertising by Mobile Network Operators were not encouraging as the general attitudes of the viewers are not positive. Among the most important contributions of the television advertising perceived by respondents were the hedonic/pleasure aspect of the television advertising and the

1 Corresponding author is Lecturer at University of Sargodha,

Sargodha Pakistan and Ph.D. Scholar.

[email protected]; 0345-8720880 2 [email protected]; 0300-5555084 3 M.B.A (Marketing) Global Executive (Galileo - Pakistan) [email protected]; 0321-5534755

resulting increase in competition providing quality services at reduced rates. However the respondents generally rated television advertising by Mobile Network Operators as unbelievable, deceptive and damaging the values of the youth of the society.

Main Contribution- This study is the first of its kind in Pakistan which gives valuable insight into the attitudes of mobile phone users towards multiple dimensions of television advertising by Mobile Network Operators in Pakistan. This study will help the Mobile Network Operators to shape their advertising strategies in order to make them more effective.

Keywords: Advertising Attitudes, Mobile Network Operators, Television Advertising

Paper Type: Research Paper

INTRODUCTION

Since deregulation the telecommunications sector in Pakistan has been facing an enormous rate of growth and change. The deregulation and the subsequent entry of new players have increased the

competition among the existing players in the cellular services industry. The cellular services market has increased fourteen times since 2000, having an estimated 78.7 million users in 2008. This

shows that the subscriber base of mobile network operators is increasing at an estimated rate of 14% each year. All this has resulted in immense competition and all the players have made all out

frantic efforts to lure in and snatch more and more customers by using different advertising strategies where television advertising has been in the center stage. Researchers around the globe (Petrovici, 2007; Taylor and Okazaki, 2006; Kenneth and Cole, 2006; Taylor and Okazaki, 2006; William, 2006; Leiss, 2005; White et al., 2003) have found viewer attitudes towards advertising to be a critical precursor of their attitudes towards brands. Similar other Asian

researchers from Pakistan (Shabbir et al., 2008), India (Singh and Sandeep, 2008), Bangladesh (Chowdhury et al., 2006) and China (Liu, 2002) have

General Attitude of Cell Phone Users towards Television Advertising by Mobile Network Operators

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also established that advertisements influence viewer’s behavior about brand advertised which in terms has an effect on their purchase behavior. But

there have been lingering questions over the effectiveness of these advertising strategies with some voices even pointing towards the fallouts of these campaigns in the form of negative customer

attitudes towards television advertising by Mobile Network Operators as there have been debates over the regular element of exaggeration, puffery, and deception along with the exploitation of female models and distortion of societal values.

LITERATURE REVIEW

Attitude of the target audiences towards the advertisements is termed as the mediator in the advertising process, using which it attempts to produce the desired results (MacKenzie et al., 1986). When shown an ad, viewers develop feelings and views about that ad which in terms formulates their

attitude towards that particular ad and their overall beliefs about the brand that is being advertised (Batra and Ray, 1986). Similarly other researchers (Edell and Burke, 1987; Rose et al. 1998) also

propagate same views that advertisements not only affect our attitudes towards that particular ad but they also influence the way viewer’s rate the brand that is being advertised.

Viewers not just take advertisements as a source of information about a product or its features but they may also derive pleasure and fun from the way they

are being shown (Haller, 1974; Mittal, 1994). The future belongs to the advertising that involves its views and is more enjoyable (Hoffman and Novak 1996). Involving the viewers in the advertisements

is essential for influencing their attitudes and motivating them for the desired actions Rothschild (1984, p. 214). In a study Polly and Mittal (1993) proposed a model presenting the benefits of advertisements; among the major benefits three included information benefit, social image and pleasure derived from advertisements. This is further supported by the fact that affective states can not be separated from each other because they

are related to one another in a systematic manner (Mehrabian and Russell, 1974; Russell, 1980; Russell et al., 1989; Smith and Ellsworth, 1985).

Along with the affects on the attitudes of the individual, advertisements also have social implications which include its consequences on the overall economy in the form jobs and revenues

generated from the television industry as well as advertising agencies which provide jobs and contribute to the economy. According to Polly and

Mittal (1993) advertising positively contributes towards the economy. Advertising helps the customers by saving time and enable them to make the best possible choose from a wide array of

options available while not going through the hassle of physically visiting the market place (Korgaonkar et al2001). Advertisements also help the producers in introducing newer offerings. Advertisements also result in more competition among the product/service providers therefore resulting in decreased prices and providing the customers with better economic opportunities (Anders 1998). Therefore the capacity of the advertisements to provide information related to product quality, features, price and functioning make them interesting for the viewers (Web advertising and Hispanics). A longitudinal study by Clow et al (2009) reveals that advertisements have a positive influence on the service quality as they increase competition between the service providers to be more competitive and customer oriented in their approach.

Levels of exaggeration in the advertisements, vague messages and complicated product usage

information result in skeptical attitudes of the consumers towards advertising (Shrum et al 1995; Mayer et al, 1993). Calfee and Ringold (1994) have provided empirical proof that most of the customers feel that advertisements are deceptive and they try to induce people in making purchases that they do not really need, therefore proposing that advertisements must be more tightly regulated. When information related to price the price of a product/service is advertised employing deceptive tactics, viewers develop negative attitudes towards that particular advertisements as well as the brand

being advertised. Researchers have studied the effects of television advertising on the values of the youth primarily due to reservations that they negatively affect the values of the youth (Sherry et

al 1999). Findings of Loroz (2006) reveal that youth belonging to generation Y often react more positively to ads that contain sex appeal as compared to mature customers. Such tactics of advertising that deliberately employ sexually

explicit messages to challenge existing social values/trends can result in negative consumer attitudes (Andersson et al., 2004; De Pelsmacker and Van Den Bergh, 1996; Ve´zina and Paul, 1997).


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Television advertising can effect the spending patterns in a society in a number of ways either by directly inducing, motivating the target audience to act in a particular manner or through indirect means like peer/spouse pressure and by influencing the children. Children’s consciousness of advertisement messages and their influence on parent’s purchase decision have a significant effect on children’s attitudes towards advertising (Ghani and Zain 2004). Over the last few years the advertiser’s user of sexual metaphors and script to attract consumer attention has increased in today’s

competitive environment (LaTour and Henthorne, 1994; Reichert, 2007; Reichert and Carpenter, 2004; Severn et al., 1990; Streitmatter, 2004). However research has found that advertisements having

lower levels of sexual intensity may not be able to draw the attention of the consumers but those having higher levels of sexual intensity may divert the attention from the core issue e.g. the product/service being advertised (Alexander and

Judd, 1978). Further research found that people show negative attitudes towards advertisements that openly manifest sexual appeals (Andersson et al., 2004; LaTour and Henthorne, 1994).

There are a variety of ways through which advertising industry is regulated in different countries that include laisser-faire, self regulation

and through a regulatory authority setup by the government (Boddewyn, 1985). The global era of free trade is pushing towards an open environment for the advertising to be self regulated. However

government role is always important (LaBarbera, 1983) and is therefore alleged as a key restriction to standardized international advertising (Duncan and Ramaprasad, 1995; Papavassiliou and

Stathakopoulos, 1997). The role of self-regulation in advertising has also been debated by a number of other studies in this area (e.g. Neelankavil and Stridsberg, 1980; Miracle and Nevett, 1987; Boddewyn, 1992; Harker, 1998).

METHODOLOGY

The questionnaire used in the study consisted of three parts. The first part of the questionnaire measured mobile phone user’s attitudes towards regulatory aspects and hedonic/pleasure value along with ethical, economic, societal and personal consequences of the television advertising by

Mobile Network Operators in Pakistan. The second part of the questionnaire consisted of questions

measuring the general attitudes of mobile phone users towards television advertising by Mobile Network Operators. The last part collected data about the mobile phone user’s socio-demographic information i.e. age, education level, city, contact details etc. The attitudes towards economic, ethical, personal, societal consequences, and regulatory aspects were measured using Polly and Mittal (1993) with 3 items each for the economic, ethical, societal consequences and two items each for the personal and regulatory aspects. Hedonic/pleasure dimension was measured using a 3 item scale for

measuring the same by Ramaprasad and Thurwanger (1998) while general attitudes towards television advertising by mobile network operators were measured using a 3 item scale by Muehling

(1987). A five point Likert scale has been used in order to measure the respondent’s attitudes ranging from Strongly Disagree (1) to Strongly Agree (5). The language of the questionnaire was customized in order to adapt it to the perspective of Pakistan’s

television advertising and cellular services industry. As cellular services subscribers in Pakistan refer to their Mobile Network Operator as “their mobile company” therefore the term “mobile company” was

used in the questionnaire in place of mobile network operators. For more clarity following note was placed in the beginning of the questionnaire; (Note: The term “Cellular Services Providers” here refers to the Mobile Network Operators in Pakistan i.e. Mobilink, Ufone, Warid, Telenor and Zong). A pilot study covering 50 respondents was conducted in order to check the comprehensibility of the questionnaires by the cell phone users. Statements of two items were simplified and the meaning of the word “exaggeration” was mentioned in Urdu language as well along with the original word as a

few respondents had some problems understanding it. As the questionnaire was in English and needed a basic level of skill and expertise on the part of the respondents therefore individuals having at least intermediate level of education were probed in the study. A total of 200 hundred questionnaires were personally administered among the students of two universities in Islamabad and one in Rawalpindi, out of the 195 questionnaires returned 6 were

rejected and 189 were selected for final analysis.

Hypothesis:

H1: Most viewers believe that Television Advertisements by Mobile Network Operators provide pleasure.


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H2: Most viewers believe that Television Advertisements by Mobile Network Operators is good for the economy.

H3: Most viewers believe that Television Advertisements by Mobile Network Operators provide personally useful information. H4: Most viewers believe that that Television

Advertisements by Mobile Network Operators is unethical. H5: Most viewers believe that that Television Advertisements by Mobile Network Operators negatively affects society. H6: Most viewers believe that that Television Advertisements by Mobile Network Operators need to be strictly controlled. H7: In general viewers have positive attitudes towards Television Advertisements by Mobile Network Operators.

ANALYSIS

H1: Most viewers believe that Television Advertisements by Mobile Network Operators provide pleasure.

INSERT TABLE 1-3 HERE

Based on the above pattern as shown in the frequency tables, at least 59% of the respondents believe that the television advertising by Mobile Network Operators provides pleasure. Chi square values of all the three facets of Hedonic/Pleasure value are also significant therefore the results can be extrapolated to the population. Therefore we accept H1.

H2: Most viewers believe that Television Advertisements by Mobile Network Operators is good for the economy.

INSERT TABLE 4&5 HERE

Based on the above pattern as shown in the

frequency tables, at least 77% of the respondents believe that the television advertising by Mobile Network Operators contributes to competition which results in better quality and low prices. Chi square values of all the three facets of Hedonic/Pleasure value are also significant therefore the results can be extrapolated to the population. Therefore we accept H2.

H3: Most viewers believe that Television Advertisements by Mobile Network Operators provide personally useful information.

INSERT TABLE 6 & 7 HERE

Based on the above pattern as shown in the frequency tables, the respondents believe that the television advertising by Mobile Network Operators do not benefit them in terms of information or any contribution to their daily life. Chi square values of all both the facets are also significant therefore the results can be extrapolated to the population. Therefore we will not accept H3.

H4: Most viewers believe that that Television Advertisements by Mobile Network Operators is unethical.


Based on the above pattern as shown in the frequency tables, majority of the respondents believe that the television advertising by Mobile Network Operators is not ethical. Chi square values

of all the three facets of Ethical values are also significant therefore the results can be extrapolated to the population. Therefore we will not accept H4.

H5: Most viewers believe that that Television Advertisements by Mobile Network Operators negatively affects society.


Based on the above pattern as shown in the frequency tables, majority of respondents believe that the television advertising by Mobile Network Operators negatively affects the society. Chi square values of all the three facets of societal aspects are also significant therefore the results can be extrapolated to the population. Therefore we will not accept H5.

H6: Most viewers believe that that Television Advertisements by Mobile Network Operators need to be strictly controlled.


Based on the above pattern as shown in the frequency tables, majority of the respondents believe that the television advertising by Mobile Network Operators needs to be more strictly


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regulated. Chi square values of all the three facets of Regulatory aspects are also significant therefore the results can be extrapolated to the population. Therefore we will not accept H6.

H7: In general viewers have positive attitudes towards Television Advertisements by Mobile Network Operators.


Based on the above pattern as shown in the frequency tables, the respondents do not have positive attitudes towards television advertising by Mobile Network Operators. Chi square values for

attitude in general are also significant therefore the results can be extrapolated to the population. Therefore we will not accept H7.

Factor Analysis

INSERT TABLE 16 HERE

Based on the Alpha reliability values of the

individual factors we eliminate the Social Consequences from the factor analysis as it showed very low (0.307) reliability which is unacceptable.


The above table shows that the sample is adequate enough to conduct a factor analysis as it explains 60% of the variance in the sample.


Factor1: (Ethical Consequences)

Ethical1 0.621

Ethical2 0.797

Ethical3 0.816

All the three facets for the Ethical Consequences are

showing high loading, which measure the attitudes of the viewers towards ethical consequences of television advertising by Mobile Network Operators. This suggests that the ethical

consequences of television advertising are an important area of concern for the viewers therefore Mobile Network Operators shall take into

consideration the ethical consequences of television advertising on the viewers in Pakistan.

Factor2: (Pleasure Value)

Hedonic1 .720

Hedonic2 .677

Hedonic3 .703

All the three facets of hedonic/pleasure value are showing high loadings on the second component, these three areas measure the importance the

respondents placed on the level of pleasure they derive from watching television advertising by Mobile Network. Therefore providing fun/pleasure value to the viewers along side the core message is important for the Mobile Network Operators.

Factor3: (Proper Regulations)

Economy1 0.524

Regulations1 0.645

Regulations2 0.717

Economy1 deals with the contribution of television advertising towards the growth of the national economy while Regulations1 and Regulations2 deals with the regulatory aspects concerning the level of control needs to be exercised to regulate the

television advertising by Mobile Network Operators in Pakistan.

Factor4: (Competition)

Economy2 0.708

Economy3 0.842

The fourth component shows high factor loadings

for Economy2 and Economy3 which deal with the economic consequences of television advertising by Mobile Network Operators in terms of product and price competition.

PRACTICAL IMPLICATIONS

Keeping in view the findings of the research it is very clear that the mobile network operators shall frame their advertising campaigns in a way that


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they shall he more informative while advertising their services in a realistic and honest manner. To ensure this more trials/pre-test must be launched

before launching an advertising campaign. In order to avoid offending/irritating the viewers especially television audiences the mobile network operators shall focuses more on targeted advertising

campaigns instead of simply bombarding all the channels on peak hours. Special efforts in the form of documentaries shall be carried out in order to create awareness among viewers about the positive contributions of advertising towards the society and the economy in terms of consumer awareness, enhanced competition, jobs and circulation of wealth. PEMRA (Pakistan Electronic Media Regulatory Authority) shall play a more proactive role by setting clear guidelines and standard operating procedures for the mobile network operators.

DISCUSSION

The study and the corresponding analysis reveal that the viewers of television advertising do not have positive attitudes towards television

advertising by Mobile Network Operators in Pakistan. Areas in which advertising was believed to be having positive advertising are its contribution towards the economy in the form of revenue

generated from the television advertising and the resulting competition between cellular services providers contributing in the form of better product quality and decreased tariffs. While viewers have strongly reservations over the adverse consequences on ethical values and society stemming from too much emphasis on the use of female models, distorting the values of the nation’s youth and promoting unnecessary spending.

Similarly the factor analysis reveals that in order to be effective in Pakistani settings the two core areas that the television advertising needs to take care of are the hedonic/pleasure value provided by it and its economic benefit for the society as well as the consumers.

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Table-1 Descriptive Statistics

Variable N Mean Std. Deviation

T.V Ads by MNOs provide pleasure 189 3.93 .590

TV ads by MNOs are good for economy 189 3.80 .667

TV ads by MNOs are beneficial in the daily life of an individual 189 2.75 .768

T.V ads by MNOs are ethical 189 2.57 .733

T.V ads by MNOs are good for the society 189 2.19 .598

T.V ads by MNOs do not need to be regulated 189 2.55 .874

General Attitutdes towards T.V ads by MNOs 189 3.23 .633

Table-2 Hypothesis Testing Using Non Parametric Chi-Square Test

Variable Facet1 Facet2 Facet3

Pleasure value T.V ads by MNOs are more enjoyable than other media

T.V ads by MNOs provide pleasure when recalled

T.V ads by MNOs contain suprises and are exciting

Strongly Disagree 1.6 ---- -----

Disagree ---- 9.5 9.5

Neither Agree nor Disagree

6.3 30.2 17.5

Agree 54.0 44.4 50.8

Strongly Agree 38.1 15.9 22.2

Table-3

Variable Facet1 Facet2 Facet3 Decision

Pleasure value T.V ads by MNOs are more enjoyable than other media

T.V ads by MNOs provide pleasure when recalled

T.V ads by MNOs contain surprises and are exciting

Accept H1

Chi-Square 144.143a 55.000a 73.286a

df 3 3 3

Asymp. Sig. .000 .000 .000


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Table-4 HYPOTHESIS TESTING


Good for Economy T.V ads by MNOs help the economy

T.V ads by MNOs result in better product quality

T.V ads by MNOs result in low product price

Strongly Disagree 6.3 1.6 3.2

Disagree 14.3 9.5 7.9


34.9 1.6 11.1

Agree 34.9 44.4 46.0


Table-5


Good for Economy T.V ads by MNOs help the economy

T.V ads by MNOs result in better product quality

T.V ads by MNOs result in low product price

Accept H2

Chi-Square 73.143a 180.286a 125.048a

Df 4 4 4

Asymp. Sig. .000 .000 .000

Table- 6 Hypothesis Testing

Variable Facet1 Facet2

Benefit for individual

T.V ads by MNOs are related to my daily life

T.V ads by MNOs provide me sufficient information

Strongly Disagree 7.9 14.3

Disagree 28.6 38.1


31.7 23.8

Agree 30.2 20.6


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Strongly Agree 1.6 3.2

Table-7

Variable Facet1 Facet2 Decision

Benefit for individual

T.V ads by MNOs are related to my daily life

T.V ads by MNOs provide me sufficient information

Do not accept H3

Chi-Square 75.524a 62.190a

Df 4 4

Asymp. Sig. .000 .000

Table-8 Hypothesis Testing


Ethical values

T.V ads by MNOs are not deceptive

T.V ads by MNOs are not exaggerative

T.V ads by MNOs do not promote undesirable values in youth


Disagree 22.2 36.5 46.0


31.7 28.6 17.5

Agree 34.9 15.9 4.8

Strongly Agree 7.9 3.2 -----

Table-9


Ethical values T.V ads by MNOs are not deceptive

T.V ads by MNOs are not exaggerative

T.V ads by MNOs do not promote undersirable values in youth

We do not accept H4

Chi-Square 75.048a 62.667a 72.143b

Df 4 4 3

Asymp. Sig. .000 .000 .000


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Societal aspects T.V ads by MNOs do not promote unnecessary spending

T.V ads by MNOs do not create confusion

T.V ads by MNOs do not exploit the use of female models


Disagree 47.6 50.8 39.7


17.5 17.5 19.0

Agree 19.0 7.9 9.5

Strongly Agree ----- ------ ------

Table-11


Societal aspects T.V ads by MNOs do not promote unnecessary spending

T.V ads by MNOs do not create confusion

T.V ads by MNOs do not exploit the use of female models

We do not accept H5

Chi-Square 51.952a 76.714a 40.524a

Df 3 3 3

Asymp. Sig. .000 .000 .000


Variable Facet1 Facet2

Regulatory aspect Number of T.V ads by MNOs shall not be reduced

There is no need of stricter laws to control T.V ads by MNOs

Strongly Disagree 7.9 30.2

Disagree 27.0 47.6


31.7 9.5

Agree 23.8 7.9

Strongly Agree 9.5 4.8


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Table-13

Variable Facet1 Facet2 Decision

Regulatory aspect Number of T.V ads by MNOs shall not be reduced

There is no need of stricter laws to control T.V ads by MNOs

Accept H6

Chi-Square 43.143a 127.905a

Df 4 4

Asymp. Sig. .000 .000



Attitude in general In general T.V ads by MNOs are good

In general T.V ads by MNOs are helpful

In general T.V ads by MNOs are believable

Strongly Disagree ----- ----- 4.8

Disagree 23.8 11.1 34.9


22.2 33.3 31.7

Agree 49.2 52.4 27.0


Table-15


Attitude in general In general T.V ads

by MNOs are good

In general T.V ads by MNOs are helpful

In general T.V ads by MNOs are believable

Do not accept H7

Chi-Square 75.952a 112.524a 92.667b

Df 3 3 4

Asymp. Sig. .000 .000 .000


43

Table- 16 Reliability Statistics

Cronbach's Alpha Number of Items

0.600 19

Table-17 KMO and Bartlett's Test

Kaiser-Meyer-Olkin Measure of Sampling Adequacy.

.559

Bartlett's Test of Sphericity

Approx. Chi-Square 334.238

Df 55

Sig. .000

Table-18 Rotated Component Matrixa

Component

1 2 3 4

T.V ads by MNOs are more enjoyable than other media (Hedonic1) .137 .720 .044 -.118

T.V ads by MNOs provide pleasure when recalled (Hedonic2) -.018 .677 -.379 .227

T.V ads by MNOs contain suprises and are exciting (Hedonic3) -.072 .703 .387 .109

T.V ads by MNOs help the economy (Economy1) .376 .026 -.524 .102

T.V ads by MNOs result in better product quality (Economy2) -.117 .309 -.185 .708

T.V ads by MNOs result in low product price (Economy3) .097 -.089 .111 .842

T.V ads by MNOs are not deceptive (Ethical 1) .621 -.182 .275 .327

T.V ads by MNOs are not exaggerative (Ethical 2) .797 .146 -.161 .032

T.V ads by MNOs do not promote undersirable values in youth (Ethical 3)

.816 .032 -.010 -.154

Number of T.V ads by MNOs shall not be reduced (Regulations1) .162 -.143 .645 .414

There is no need of stricter laws to control T.V ads by MNOs (Regulations2)

.014 .157 .717 -.073

Extraction Method: Principal Component Analysis. Rotation Method: Varimax with Kaiser Normalization.

a. Rotation converged in 9 iterations.

Documents

The Journal of Commerce, Vol. 2, No. 1 ISSN: 2218-8118 ...joc.hcc.edu.pk/articlepdf/JOCYousaf_et_al_2_1__pp_31_43.pdf · Methodology- The attitudes towards economic, ethical, personal,