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Sample Research Proposal on The Influence and Impact of Advertising to Consumer Purchase Motive

Introduction

 

Today's market is characterised by highly competitive organisations which are all vying for consumer's loyalty. Firms are faced with the challenge to maintain their own competitive edge to be able to survive and be successful. Strategies are carefully planned and executed to gain the ultimate goal of all: company growth. However, external factors are not the only elements which influence growth. There are also internal factors, components working within the organisation which shape the direction of the company.

Along with the changing business world, customers change as well, becoming more demanding and knowledgeable than before. In turn, company management had shifted their focus on their clients or customers so as to stay successfully in business. This transition meant that organisations have to completely reformulate their conventional business aims and purposes from being process-focused to customer-centred. Hence, in order to bring out exceptional customer services within the company operations, the management should employ fine-tuned organisational restructuring. Moreover, employing proactive customer commitment involves the consideration on culture and infrastructure (Lowenstein, 1997).     

Despite the economic and technological conditions that make it possible now to promote products and services in a larger consumer market, there are other factors that still need to be considered for a business organisation reach out easier to their target market. Looking into the characteristics and thought processes of the people still holds as the most significant factor to be looked into by the individuals in the field of sales and marketing. The large scope of market can pose a hindrance to a successful marketing strategy in terms of over generalised definition of the target or niche market.

 

Review of Related Literature

According to Perner (2003) the use of a two-sided appeal strategy by companies can be uncertain. In some cases, the strategy backfires and the consumer forms a more negative opinion of the product (Perner, 2003). This appears to be especially the case for low involvement products, where the consumer may merely notice that something negative is being said while not taking the time to discover the significance of this predicament and compensating factors.

            The major objective of marketing is to regard the product as a service from the viewpoint of its connecting value rather than its use value  It is more imperative for the company to know how its product can provide service and support the tribe in its very being, than how to deliver the offer to the consumer.(Cova, B. & Cova V., 2002) Here the belief of ritual is significantly essential to depict the way companies marketed to the in-line roller tribe ("intensive tribal marketing"). According to Kotler, P & Armstrong, G (2001), rituals provide a social reality with permanence. Like every social relationship requires some kin of ritual to establish and sustain it self, so too a tribe relies on rituals to pronounce its existence and sustain its membership.

In a marketplace where there is often little differentiation between brands, the organisation, its people, its policies and its attitude can often be the point of difference. In many product categories the service, back-up and support is as important as the product itself.  Customers need to have confidence in the organisation. Consumer crises such as product recalls usually relate to one product but they will put other products, brands and even the whole company under the spotlight.  Companies are finding it increasingly difficult to remain anonymous behind their brands.  Consumers are more aware than ever before, and with the proliferation of media titles and access to new media, they have access to more information.

For many companies the brand is the company which means that it's necessary to invest in the brand and the corporate reputation. But reputation has to be earned.  It is an asset with a value as important as any other within an organisation.  And like all assets it has to be managed with its own disciplines, budgets and ROI (return on investment) criteria. Good reputation is vital to support marketing.  In good times it provides that extra bonus.  In bad times it can minimise problems.  And it can help recruit better people and attract the best business partners.

Some researchers have hypothesised that consumer's personality profiles affect decision making in their assessments of credibility in advertising content. As a result, consumers are more responsive to advertising claims tailored to a specific personality profile in product ads than to advertising claims not tailored to a specific personality profile. Therefore, the current research explores consumers' response tendencies to advertising claims when the source of such claims is identified as tailored to a specific personality profile or not tailored to a specific personality profile. The study also examines the relative impact of tailoring the advertisement to a specific personality profile on consumers' assessments of credibility in advertising content. This can be accomplished by examining whether consumers' beliefs', competency, or perceived goodwill are affected by credibility information when advertisements are tailored to a specific personality profile versus advertisements not tailored to a specific personality profile. Accordingly, advertising claims whose credibility has been challenged by governmental or by consumer groups are more likely to affect consumers' action than are unchallenged advertising claims. The findings have implications for understanding the role of personality profiles in shaping visual imagery and message content of advertising claims.

In the field of advertising research, as it applies to exploratory correlation between personality and advertising message response, there is no dearth of literature and we have a long history surrounding the myriad of topics associated with this concept (Plummer, 2000). However, given the vast literature present, there is an absence of consensus in both theories and frameworks that address much of the often conflicting reasons of advertising's interaction in consumer decision-making. Accordingly, there have been weak empirical relationships found between prediction of product use or choice with personality behaviour. (Lastovicka, JL., Erich A., & Joachimsthaler, 1988) Some researchers have, however, demonstrated and analysed brand personality to the extent that effective designs can aid in their influence (Aaker, 1997; Greengrove, 2002; Neal and Wurst, 2001). Attempts at segmenting markets on the basis of personality similarities and differences have not achieved researchers' desired results. The main reason for disappointing results is that research efforts have primarily focused on profiling exercises rather than putting their endeavours into theories based on consumer personalities (Plummer, 2000). Accordingly, empirical personality work has tended to be weak because trait measures often have questionable reliability, validity, and the traits investigated lacked the conceptual relevance to the behaviour being studied (Lastovicka, John L., Erich A., Joachimsthaler, 1988). Accordingly, there has been ample research on source effects that concentrated on the impact of the competence, believability, and trustworthiness of the spokesperson in the fields of psychology, advertising, and communication literature (Bush, Moncrief, and Ziethaml 1987). There is, however, little research on relative impact of personality profiles on consumers' assessments of credibility in advertising content.

 

 

Aim of the Study

This research will conduct an experimental study to examine the effect of advertising on consumer purchase motive or preferences and loyalty in Australian setting. The research will perform surveys in order to obtain needed information to attain the objectives of the study. Furthermore, this study would assess relevant literature review on the same topic.

 

 

Objectives

This study will investigate and evaluate the impact of advertising on the consumer preferences and loyalty in regards to the product/service promotion of different businesses in Australia. Essentially, this research aspires to study the topic through reviewing related articles and also by getting the perceptions of knowledgeable individuals regarding the topic through surveys. These individuals are the consumers/customers of different products/services offered by different business organisations in Australia.

            The major objective of this study is to observe and determine the impact of advertising to the purchasing motive, loyalty and preferences of consumers. Moreover, this study will focus on the following objectives:

1.      To examine the awareness of the consumers about advertised products.

2.      To examine if these advertisements of different businesses in Australian affect the purchasing motive, preferences and loyalty of their consumers.

 

Significance of the Research

This study will be a significant endeavour in promoting advertising awareness among the citizen of Australia. This study will be beneficial to the consumers and business industries in Australia particularly in product/service promotion. By understanding the needs of the consumers and the benefits of effective advertisement, these business industries will be assured of a competitive advantage. Moreover, this research will provide recommendations on how to evaluate the performance of a certain institution in accordance to their advertisement or promotion of product/services.

 

Research Questions

While researchers have examined varying formats for presenting credibility information, they have not compared the relative impact of presenting the same information in advertisements tailored to personality profiles. The current study was designed to determine, if consumers are more responsive to advertising claims when the source is identified as credible, i.e. competent, believable or has some good will component in product advertisements tailored to a specific personality profile? For clarity, it attempts to evaluate if advertising affects the purchasing motive, loyalty and preferences of consumers Thus, to address this issue, the first research question is:

 

1. Do consumers' beliefs about advertised products differ when the ad content of an advertising claim to which consumers are exposed is specifically tailored to their buying preferences or purchase motives?

While advertisements often include information that cross cut all personality profiles, some consumers ignore some of this information and rely primarily on advertising claims and on personal experience in forming judgments about advertised products. On the other hand, some consumers defer decisions until the advertising claims have some credibility behind them before making product purchase decisions. Therefore, the current studies compares consumers' beliefs about advertised products either when consumers are exposed to advertising claims, through ad content, specifically tailored to their personality profile or are exposed to advertising claims, through ad content, not specifically tailored to their personality profile.

There are distinct processing differences between dominant, influencing, steadiness and conscientiousness individuals. These differences should affect how consumers perceive and evaluate information provided by advertising message and imagery. The first question explores whether advertisements containing dominant, influencing, steadiness, conscientiousness type messages or visuals are more believable by those corresponding personality behaviour consumers as compared to advertisements that contain incongruous type messages or visuals. The basic hypothesis is that advertisements containing ad content that is consistent with subjects' perceiving/type behaviour preferences will be viewed as believable compared to advertisements that contain ad content that is inconsistent with their perceiving-type preferences. Therefore:

1.) Response tendencies.                            Predictor (Independent)

2.) Believability of ad content                       Criterion (Dependent)

H1: Individuals will believe advertisements tailored to their specific response tendencies more (less) than advertisements tailored contrary to their response tendencies.

Response tendencies associated with the advertisement will also transfer to the product being advertised (MacKenzie, Lutz, and Belch, 1986). This will result in a direct effect on the response tendencies toward the brand being advertised and have an indirect effect on future predicted behaviour.

H2: Individuals will believe advertisements tailored to their specific response tendency more (less) than advertisements tailored contrary to their response tendencies.

 

Thus, the second research question is:

2. Do consumers' beliefs about advertised products differ when consumers are exposed to advertising claims specifically tailored by their preferences that include credibility information versus when consumers are exposed to advertising claims that are specifically tailored by their preferences that do not include credibility information? Therefore:

            1.) Response tendencies.                                 Predictor (Independent)

2.) Credibility of ad content                               Criterion (Dependent)

H1: Individuals will find advertisements more credible where belief supporting information is included in the ad that is tailored to their specific response tendencies more (less) than advertisements where belief supporting information is included in the ad that is tailored contrary to their response tendencies.

H2: Individuals will believe advertisements tailored to their specific response tendency more (less) than advertisements tailored contrary to their response tendencies.

While consumers' processing of credibility information and advertising claims specifically tailored to personality profiles will be examined previously, the credibility information may be consistent with the advertising claims presented to consumers. However, these studies do not shed much light on the problem of advertising claims that are perceived as potentially misleading. Therefore, the current study examines the impact on consumer beliefs of including credibility information along with advertising claims that have been contested by the Government or consumer groups. 

 

Methodology

The research method that will be used for this study will be qualitative method combined with descriptive method. With the subject of the study focusing on the characteristics and consumer behaviour of those who purchase a certain product, it will be better to gain the analyses of the respondents to the advertisement, and couple it through the use of the descriptive research method will be highly competent in depicting the behaviours of the consumers. Moreover, qualitative coupled with descriptive methods are more likely to be used for the analysis and the study of the culture and their effect on society, which makes it the ideal method to be used for the study of their causes and effects, as well as helps with the possibility in isolating several factors; it also helps to provide closure with regards to the outcome of the study that focuses on qualitative analyses backed by the statistical evidences (Anzul, Ely, Friedman et al, 1991: 210) as well as continuity that occurs within the community despite the possible biases that this may bring to the study (Yow, 2004).

            With this, it is then understood that the study will be focusing on information gathered from both respondents and from the researcher's account and notes concerning the advertisements. Gathered information will lend to the credibility of the study and is important to isolate factors that may have affected the success of an advertised product. Descriptive analyses will also study the methods used by business organisations to ensure that the advertisements reach out to the correct group of people. As such, the information-gathering will then be based on the method of the research being done and will also be utilising a combination of both information gathered from the respondents as with the information taken from the literatures.

 

Sample

One hundred and eighty adults who are their households' primary shoppers will be  recruited at two large regional shopping malls in a major metropolitan area on the West Coast. A quota sample will be used so that for each of the three treatments, half of the respondents selected will be between the ages of 21 and 35 years old and half of the respondents will be 35 years of age and older. This procedure will be used to ensure that there is sufficient representation of both younger and older respondents. Aside from Australian respondents, approximately there would be 10 percent of African-American, Asian, or Hispanic respondents. A lottery ticket will be offered as an incentive to participate. 

 

Design

For the research design, the use of survey and interview questionnaires will be initiated. The questionnaire is prepared based on the research questions that were presented. This is to ensure that the questions that will be asked from the respondents will be able to yield the necessary information for the formulation of the conclusion. Along with a letter to the respondents, the questionnaire will contain the following: the first part is for knowing the basic characteristics of the respondents for their identification; the second part focuses on the perceived methods that the product uses for addressing the needs of their target consumers; the third focuses on the consumers' preferences and loyalty with regards to information on the product; finally, the fourth is on the effects of the product's advertisements to the consumers.

            Together, these questions will be used for the gathering of information from the respondents and will assist in putting together an assessment of the consumers' perception of product advertising methods.

            As discussed, the method of analysis that this study will be using is based on the gathered information that provide methods of assessing the characteristics and the consumer behaviours especially based on the media that presents the product. Since the products are being advertised using several medias that will be included in this study, limited however to television and magazine advertisements, these will be used to evaluate how products will impact the different classes. The primary method of analysis that will be used for this study, however, will be focused on the information gathered from the respondents. Careful assessment must be done on the literatures themselves and notes were taken that helped in finding information that related primarily to the consumer behaviour and how culture affects the choices that the customers make. A combination of the information will be helpful for the study.

            One of the problems that the researcher must deal with is to ensure that biases will not be given to the study; as the information will be based primarily on the information gathered from the literatures, which are secondary sources, this may be a problem that the researcher may face. As such, the researcher will then strive to ensure that the method of information analysis will be conducted in a very objective manner, and will not in any way affect the outcome of the study.

 

Products and Advertising Claims

Two brands from each of the following product categories will be selected: computers, automobiles, soup, clothing, and beverage. For each category, one of the brands will make an advertising claim that has been contested by a consumer group or the Government, and one of the brands will make an advertising claim that is uncontested.

A control brand with similar product characteristics and credibility information as the brand with the contested advertising claim will be selected for each of the products. 

 

 

 

Procedures

Before data collection will begin, a pilot test will be conducted at one of the mall intercepts where the surveys will be administered. Five subjects will be recruited and each subject will be taken to an office in the mall where the questionnaire can be administered. This will flush out any problems encountered with the subjects' understanding or completion of the survey. Each respondent will be timed to complete the survey.

Each subject will be brought into an office and an explanation and purpose of the study and the procedure will be given as follows. "This study involves your reaction to information taken from a number of advertisements. We will be showing you these advertisements and asking you a number of questions about them. Please take as long as is necessary to become familiar with the information in these advertisements."

Then, each participant will be given a copy of each stimulus and told to look at the material for as long as desired. Once the participant is finished looking at the stimulus, the information will be removed and a series of questions will be asked to measure their beliefs about the brand on nine credibility-related attributes: believability, competence, trustworthiness, reliability, acceptability, sureness, certainty, persuasion, and good will towards others. For example, the respondent will be asked, "Based on the information in the advertisement, tell me the number between one and five that indicates how strongly you agree or disagree that the product in the ad is believable." Accordingly, the same question for trustworthiness, reliability, etc.

Each respondent would be shown a card with the scale points listed from one (strongly disagree) to five (strongly agree). This procedure could be repeated for each of the nine attributes. However, the statement could be reworded according to the attribute in question. For example, participants could be told to give a number between one and five that indicated how strongly they agreed or disagreed that the advertisement, using soup as an example, "is low in fat" or "reduces the risk of heart disease."

Next, the respondent could be shown a second stimulus (ad) and asked to rate the product on the same nine credibility-related attributes, using the same five-point scale. The process would continue for the five product categories. After exposure to ten stimuli and after all belief ratings were obtained, a count would be done. Accordingly, each respondent would answer a series of questions about their shopping habits, such as the importance and use of credibility information. Demographic data would be collected at the end of the questionnaire.

 

Ethical Consideration

            The data generated will be used solely to understand the impact of advertising to product consumers in Australia. Furthermore, the researcher is solely responsible for conducting the whole research process and shall abide all the policies regarding the organisation as well as the university. The data will not be transferable for any means in person or organisation. The research is being done according to the guidelines and rules and regulations of the university. The researcher does not belong to any professional bodies to share the outcome of the research results. The four stages of ethics in doing research are followed by the way of a good design, modes of data collection, analysis of data and for proper dissemination. Both confidentiality and anonymity will be maintained of the informants who have participated or shared information in the research. There will be no Coercion or force to take advantage from the informants. Full voluntary guarantee will be taken from the informants. Due consideration and approval will be taken from the organisation which is being studied. Prior objectives and motive of the research will be intimated. There shall be no misrepresentation or misuse of the data collected from the organisation. Strict confidentiality shall be maintained. Finally, the University for dissemination of academic purposes might take the interview results.


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