The effect of advertisement on consumer behaviour - Research Paper Example

The effect of advertisement on consumer behavior The research paper is aimed at studying the effects of advertisements on the Qatari consumers in the age group of 18-26 years. In order to conduct the research, the research question has been framed in the very beginning post which a review of the literature on the consumer behavior and the ways in which it has been influenced by the advertisements have been studied. The data and information, on consumer behavior of the age group of 18-26 years and the way it has been affected by advertisements in Qatar, have been collected with the help of questionnaire and secondary sources. The data and information have then been analyzed to find the effects of advertisement on consumer behavior of Qatari age group of 18-26 years. The analysis has been followed by recommendations on the importance of advertisements in influencing consumer behavior for the benefit of business and commerce. Introduction The consumer behaviors are guided by the principle of achieving the maximum benefits from the activities of purchase. The companies who sell consumer products, therefore, carry out research in the field of consumer behavior in order to maximize their revenues by tapping the opportunities available in the market. In order to do this, the study of consumer behavior in the different markets by the companies is extremely crucial. The changing global environment, the use of technology and innovative approached adopted by the organizations in this age of globalization and cut-throat competition has led to important changes in the consumer behavior (Hill and Gareth 85). The various forms of advertisements and the gradual shift to online advertisements by the companies have had crucial effects on the consumer behavior. This research paper would provide a deep insight on the effects of advertisement on the consumer behavior in the age group of 18-26 in Qatar. Research Question The research question for this paper is, “What is the effect of advertisement on the consumer behavior in Qatar for people in the age group of 18-26?” The research question is important to understand how consumers of the age of 18-26 years have been influenced by the advertisement of the companies aimed at achieving competitive advantage in the markets. Literature Review The review of literature of the effects of consumer behavior on advertisements have been done with the review of the several factors that guides the consumer behavior and the influence of advertisements in catalyzing those factor that stimulate consumer behavior and decision making for purchase of products and services. The aspect of consumer behavior encompasses the response of the customers from the point of viewing the product to the point of making decision for purchasing it and then going beyond to value the experience after purchase to decide on the acceptability of the product in the long term. The decision making aspect is the most important part of consumer behavior which is influenced by the advertisers through their attempt for promotion of the product and service in the market (Hutt and Speh 67). The first step that the consumers go through after seeing the product and the service is the recognition of need of the product for use in future. Once the consumer has recognized the need of the product, it is considered by them for the purpose of evaluation. In this stage the consumer studies the various options available and the substitutes of the product in the market. In order to judge the aspect of the value for money, the consumer behavior takes into account the relative cost and benefits of the purchase. By comparing the competitor products and the substitutes, the consumers decide to purchase the product based on the several characteristic features which are unique to different age groups of the consumers. These features of the products that influence the consumer behavior and the decision making for purchase are the quality, price, durability, guarantee, discounts, post-sale service and also social image of the brand. In case of existing products, the experience obtained from the past use of the product and the customer service as well as post sales service received by the customer influence the consumer behavior and the decision making process. The companies and the advertisers aim to tap the potential needs of the consumers and influence the decision making aspect for purchase of the products by highlighting the various characteristic features of the products and the service that would fulfill the need of the consumers. The advertisements aim to connect the needs of the customers to the characteristics of the product which is required to be asserted in the competitive markets where the consumers have high bargaining power, ample choices with less time to think. The advertisements help the consumers to derive the benefits of the product more easily which would have otherwise remained unstated. This influences pace of decision making as the consumers are able to think on the same lines of the manufacturers and the advertisers (Jenster, Hayes and David 45). The theories of Maslow’s hierarchy and Freud’s psychoanalytic theory are useful to explain the effects of advertisement on the consumer behavior. According to Maslow’s hierarchy, the five needs of the consumers, namely the physiological, safety, social, self-esteem and self-actualization needs are addressed by the advertisements. Freud’s theory also explains that advertisements bring out the hidden statements in the product that addresses the needs of the consumer that remain in the subconscious state. The review of literature of the effects of advertisements on consumer behavior shows that the advertisements have played an important role in bringing about changes in the attitude and lifestyle of the consumers. The uses of online advertisements that have come up in response to the changing lifestyles of the society have supported the sustainability of the changes attitude of the consumers. The advertisements influence the perception of the consumers about the brand and also create impression that results into adoption and imitation of the style of the brand (OaShaughnessy 89). The advertisements also change the perception of consumer for the other brands in the market. The advertisements play an important for integrating consumer behavior with the latest social-economic trends. Due to the advent of internet and the social media, the consumer behavior has resulted in a shift towards the online marketing mode with more convenience of choosing wide variety of products from the desk, availing online payments and services. Research Methodology The research methodology for this research paper have been adopted by considering the consumers of Qatar in the age group of 18-26 years and the effects that advertisement have had on their consumer behavior. The research has been conducted with the collection of data based on questionnaires supplied to the respondents belonging to the age group of 18-26 years in Qatar. The respondents of the mentioned age group are mainly students of high school, universities and young working professionals in Qatar. The questionnaire has been designed with questions that are close-ended and the responses to those questions have been taken as inputs for the purpose of research analysis. The sample questionnaire used for collection of data has been presented in the table given below. Questionnaire Yes (Y) No (N) Don't Know (DK) 1 Are you between 18-26 years of age? Y     2 Do you follow advertisements of the products that you use? Y     3 Are you indifferent to advertisements while making decision on purchase?   N   4 Do you find interest in advertisements of products that you don't use? Y     5 Do you feel that advertisements over commit on product offerings?     DK 6 Have advertisements been able to increase your brand consciousness? Y     7 Has your utility level increased after looking at the advertisements? Y     8 Have you become brand loyal as a result of advertisements?   N   9 Do you prefer online mode of shopping? Y     10 Has social media advertisements worsened your decision making process for purchase?   N   11 Has online advertisements changed your attitude towards purchase? Y     A sample set of questionnaire have been selected for the purpose of analyzing the responses obtained from the questionnaires. The sample set of responses have been obtained by the method of systematic sampling in order to reduce the chances of error in the findings of the research. The second part of the research methodology includes collection of secondary data on the effects of advertisements on the consumers of the age group of 18-26 years in Qatar. The secondary data and information on the influence of advertisements on the Qatari consumers of the said age group have been collected from the online sources, books, etc. The secondary data that have been used in the research have provided an insight of the changes in the consumer behavior due to the various advertisements in Qatar. The analysis of this information has been done in order to validate the responses obtained from the use of questionnaire. Thus, the research methodology adopted in this research was a systematic one and has less chances of error in finding the results on the effects of advertisement on consumer behavior of Qatar in the age group of 18-26 years. Analysis and Findings The consumer behavior of the age group of 18-26 years in Qatar and the effects of advertisements on the consumer behavior of the said age group has been analyzed as follows. Qatar has attracted international investments in the various sectors of the economy and the top retail chains in Qatar have identified this opportunity to set up establishments and expand their business in Qatar. The big names that have tapped the potential consumer demands in Qatar are Carrefour, Marks and Spencer, etc. In this highly competitive market, advertisements by these companies have played a crucial role in influencing the consumer behavior in Qatar. The analysis of the consumers of Qatar in the age group of 18-26 years reveal that this target customer segment is young and energetic which follows the latest changes in the technological advancements and is aware of the value for money spent for purchase of products. The analysis of the sample questionnaires reveal that the consumers of the age group of 18-26 years in Qatar closely follow the advertisements of the products that they use. These consumers in the Qatari market prefer to socialize with the products by identifying as the best possible option that would satisfy their needs. These consumers are updated with the happenings of the market and even follow the advertisements of the products that they do not use (Kozami 94). The socialized consumers comprise of 21% of the entire set of consumers in the Qatari market. Although the consumers of the Qatari market are responsive to the advertisements of the products and services, they are silent on the fact whether the advertisements tend to over-commit on the product offerings. Although advertisements have influenced the decision making of the socialized consumers of Qatar, the highest consumer segment is captured by the escapist customers who form 22.5% of the total consumers of the segment considered in this analysis. This consumer segment in Qatar lacks brand loyalty and changes decision on selecting the brands mainly due to the confusion created in choosing the best alternative option. The consumer behavior has reflected disloyalty towards a particular brand among the age group of 18-26 years who have high ambitions and are brand conscious and are efficient in judging the best alternative product for use. The disloyal set of customers comprise of 19.8% of the sample set (Jamala, Daviesa, Chudryb and Al-Marric 75). Looking at the behavior of the consumers in the age group of 18-26 years in Qatar, it could be understood that the advertisements have been able to grow the consciousness of various brands among the consumers of the said age group who also view these advertisements with deep interest in gathering useful information for the purpose of decision making. Due to the advertisements, the Qatari consumers of the age group of 18-26 years have been able to align themselves with the changes in the market trends of the economy. The age of globalization and the gradual shift of advertisements and promotion through the online mode by making use of internet have led to the changes in the consumer behavior. The consumers are able to replace the physical mode of shopping as they could view several alternative options over the internet. The Qatari consumers in the age group of 18-26 years have been quick to adapt to the changes that have increased the utility level of the products. The Qatari consumers have undergone a change in their attitude towards shopping which is stimulated by the online form of advertisements and marketing. The growth of online promotions and advertisements of the companies have resulted in more transparency of the products offered by the competitors in the market (McLoughlin and David 48). This has changed the perspective of the Qatari consumers of not only the brands that they use but also on the brands that are not used by them. Overall, the changes in the consumer behavior and the changes in lifestyle has been influenced by the online advertisements that offer quick mode for decision making, purchase, payments and service. Results and Discussions The results obtained from the research analysis on the effects of advertisements on the Qatari consumer behavior of the age group of 18-26 years have been discussed as follows. It could be observed that a major part of the consumers in the age group of 18-26 years use the online medium for marketing and hence accesses the online advertisements and promotions. This has been due to the increase in the number of global players in the Qatari markets that have adopted the online medium and the social media for advertisements and promotions. As a result, the advertisements have brought about changes in the consumer behavior in terms of the access to information for evaluating the best alternative product among the options, the cost and convenience attached to the adoption of e-commerce. The consumers in the age group of 18-26 years in Qatar who are adaptable to changes and accept the challenges and benefits of online marketing are able to take quick decisions on purchase and make quick online payments to receive the services. The advertisements have been able to stimulate the subconscious needs of the consumers which have changed the perception of the brands that they use and the brands that are not used them. The advertisements have brought about a change in the lifestyle of the young consumers of Qatar and there has been a change in the pace of life with the scope of access to information on the products available in the markets and the chance to undertake financial transactions in quick time. Conclusion and Recommendation The advertisements have always influenced the behavior of the consumers by understanding their needs and connecting them to the characteristic features of the products that are offered by the companies. The changing global trends and the transition from the physical form of business to the online form of advertisements and marketing in order to tap the market demands have influenced the consumer behavior of the young population of Qatar. The Qatari consumers of the age group of 18-26 years have undergone a change in their attitude with the scope of quickly available information on the products available in the market. The advertisements have made them brand conscious, changed the perception of different products and services in the market and in the process, enhanced decision taking power for purchase of the products. Based on the research, it could be recommended that the advertisers should try to indentify the changing global, lifestyle and demands of the consumers so that the product and its service features could be connected to the needs of the customer. The advertisement not only influences the consumer behavior but integrate the business products with the consumer demands. Work Cited Hill, Charles. and Gareth, Jones. Strategic Management Theory: An Integrated Approach. New York: Cengage Learning, 2009. Print. Hutt, Michael. and Thomas, Speh. Business Marketing Management: B2b. New York: Cengage Learning, 2012. Print. Jamala, Ahmad ., Fiona, Daviesa., Farooq, Chudryb. and Mohamed, Al-Marric. Pro?ling consumers: A study of Qatari consumers’ shopping motivations. 2005. Web. 16 November, 2013. . Jenster, Per., Michael, Hayes. and David, Smith. Managing Business Marketing & Sales: An International Perspective. Denmark: Copenhagen Business School Press DK, 2005. Print. Kozami, Azhar. Business Policy and Strategic Management,2e. New Delhi: Tata McGraw-Hill Education, 2002. Print. McLoughlin, Damien. and David, Aaker. Strategic Market Management: Global Perspectives. New Jersey: John Wiley & Sons, 2010. Print. OaShaughnessy, John. Competitive Marketing: A Strategic Approach. New York: Routledge, 1995. Print. Read More