K. V. Gayani Krishanthi 419021422 Professional Project Module GDM - - PDF document

The influence of Advertising on Consumer Brand Preference: A study on Anti-bacterial Soaps, Sri Lanka

• K. V. Gayani Krishanthi

419021422

Professional Project

Module GDM 406

xxxx Words

05 April 2015

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DECLARATION

I declare that this Professional Project is an original work carried out by me under the supervision of Ms. Himashi De Silva, Module Tutor and submitted in the partial fulfillment of the requirement for the award of Graduate Diploma in Management. Signature: Name:

• K. V. Gayani Krishanthi

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Table of Contents

ABSTRACT ................................................................................................................ 8 CHAPTER 01 - INTRODUCTION .............................................................................. 9 1.0 Background ...................................................................................................... 9 1.1 Overview/ Rational.......................................................................................... 10 1.2 Current Situation ............................................................................................. 11 1.3 Problem Statement (or, Research Question) .................................................. 12 1.4 Academic Aims and Objectives ...................................................................... 12 CHAPTER 02 - LITERATURE REVIEW .................................................................. 13 2.0 Introduction ..................................................................................................... 13 2.1 Definition of Advertising .................................................................................. 13 2.2 Attitude towards Advertising ........................................................................... 17 2.3 Advertising and Consumer behavior ............................................................... 18 2.4 Brand and Brand Equity .................................................................................. 19 2.4.1 Brand Awareness .................................................................................. 20 2.4.2 Brand Image .......................................................................................... 21 2.4.3 Brand Association .................................................................................. 21 2.4.4 Perceived Quality .................................................................................. 22 2.4.5 Brand Loyalty ......................................................................................... 22 2.5 Brand Preference ........................................................................................... 23 CHAPTER 03 – METHODOLOGY ........................................................................... 25 3.0 Introduction ..................................................................................................... 25 3.1 Overview of the Research ........................................................................ 25 3.2 Research philosophy and Objectives ....................................................... 26

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3.3 Research Approach .................................................................................. 28 3.4 Research strategy .................................................................................... 29 3.5 Research methodology ............................................................................. 30 3.6 Time Horizon ........................................................................................... 31 3.7 Data Collection Method............................................................................ 31 3.8 Populations/ Sampling Technique ............................................................ 33 3.9 Pilot Survey .............................................................................................. 34 3.10 Data Analysis .......................................................................................... 34 3.11 Limitations of Research methodology ..................................................... 35 3.12 Ethical approach to research .................................................................. 35 CHAPTER 04 -FINDING AND ANALYSIS ............................................................... 36 4.0 Introduction ..................................................................................................... 36 4.1 Evaluation of the questions ............................................................................. 37 CHAPTER 06 - CONCLUSION AND RECOMMENDATION ................................... 53 5.0 Introduction ..................................................................................................... 53 5.1 Reviews of the research objectives ................................................................ 53 5.2 Key evidence presented in the literature......................................................... 54 5.2.1 Advertising ............................................................................................. 54 5.2.3 Attitudes towards ad .............................................................................. 54 5.2.4 Advertising and consumer behavior ...................................................... 55 5.2.5 Brand awareness ................................................................................... 55 5.2.6 Brand image .......................................................................................... 55 5.2.7 Brand association .................................................................................. 55 5.2.8 Perceived quality ................................................................................... 56 5.2.9 Brand loyalty .......................................................................................... 56

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5.2.10 Brand Preference ................................................................................ 56 5.3 Key findings and analysis ............................................................................... 56 5.4 Limitations of the research .............................................................................. 58 Recommendations ................................................................................................ 58 CHAPTER 06 - REFERENCES ............................................................................... 60 CHAPTER 7 - APPENDIX ....................................................................................... 80 7.1 Timeline for the Project ................................................................................... 80 7.2 Questionnaire ................................................................................................. 81 7.3 Summary of Literature reviewed ..................................................................... 82 7.4 Project Rationale Table .................................................................................. 83

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List of Tables Table 2.1.1 – Types of Advertisements .................................................................... 16 Table 2.1.2 – Steps of Advertising influence on consumers .................................... 17 Table 3.2.1 - Comparison of Research philosophy .................................................. 27 Table 3.3.1 - Differences between Deductive and Inductive approach .................... 28 Table 3.4.1 - Benefits and limitations of Descriptive study ....................................... 29 Table 3.5.1 - Benefits and Limitations of Quantitative Research Method ........... Error! Bookmark not defined.0 Table 3.6.1 - Benefits and Limitation of Cross Sectional Analysis ... Error! Bookmark not defined.1 Table 3.7.1 - Benefits and limitations of using close ended questionnaire ......... Error! Bookmark not defined.2 Table 3.8.1 - Benefits and Limitations of Convenience sampling ..... Error! Bookmark not defined.3 Table 4.1 - Question 01 Analysis ............................. Error! Bookmark not defined.7 Table 4.2 - Question 02 Analysis ............................. Error! Bookmark not defined.8 Table 4.3 - Question 03 Analysis ............................. Error! Bookmark not defined.9 Table 4.4 - Question 04 Analysis ............................................................................. 40 Table 4.5 - Question 05 Analysis ............................................................................. 41 Table 4.6 - Question 06 Analysis ............................................................................. 42 Table 4.7 - Question 07 Analysis ..............................4Error! Bookmark not defined. Table 4.8.1 - Question 08 Analysis .......................................................................... 44 Table 4.8.2 - Question 08 Analysis .......................................................................... 45 Table 4.8.3 - Question 08 Analysis .......................................................................... 47 Table 4.8.4 - Question 08 Analysis .......................................................................... 48

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Table 4.8.5 - Question 08 Analysis .......................................................................... 49 Table 5.5 - Recommendations ................................................................................. 57 List of Figures Figure 1.0.1 - Total Market Shares in Value (2014) ................................................. 11 Figure 1.1.1 - Total Soap Market Volume (2013 to 2014) ....... 1Error! Bookmark not defined. Figure 3.1.1 - Research Onion ................................. Error! Bookmark not defined.6 Figure 4.1.1 - Anti-bacterial soaps Users ................................................................. 38 Figure 4.2.1 - Gender ............................................................................................... 39 Figure 4.3.1 - Age influenced by Advertising ........................................................... 40 Figure 4.4.1 - Brand preference ............................................................................... 41 Figure 4.5.1 - Sources of Awareness ....................................................................... 42 Figure 4.6.1 - Preferred Media ................................................................................. 43 Figure 4.7.1 - Attitude towards the Ad ...................................................................... 44 Figure 4.8.1.1 - Brand Awareness ........................................................................... 45 Figure 4.8.2.1 - Brand Image ................................................................................... 47 Figure 4.8.3.1 - Brand Association ........................................................................... 48 Figure 4.8.4.1 - Perceived Quality ............................................................................ 49 Figure 4.8.5.1 - Brand Loyalty .................................................................................. 51

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ABSTRACT

The purpose of this study is to investigate the influence of advertising on consumers’ brand preference of antibacterial soaps. Due to its persuasive impact through developing positive attitudes towards the product, advertising has been considered as a major tool in the marketing mix by multiple authors including Kotler (2013). Thus, understanding how and what made consumers to be motivated towards purchasing a particular brand brings value to organisation with increased sales and market share. Similarly, creating brand preference has become an imperative indicator for any business in the world today. Brand preference is a process which involves brand awareness, brand image, brand association, perceived quality and brand loyalty. Accordingly, 150 respondents were selected using convenience sampling method and questionnaires were distributed among them in order to identify the research problem within the market segment of antibacterial soaps. Descriptive analysis used by the researcher to analyse the results which revealed that age groups as well as gender were equally influenced by advertising for their preferred brand of soap. Further, research results indicate that advertising create major influences on consumers’ preferring a particular brand in terms of the brand preference factors identified as brand equity factors as highlighted above. The necessity for high preference to advertising is therefore highlighted for companies in

• rder to retain and increase their market share through developing advantageous

marketing strategies for the brands. KEYWORDS Advertisement, attitude towards Ad, brand Equity, brand awareness, brand image, perceived quality, brand loyalty, brand preference

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CHAPTER 01 - INTRODUCTION

1.0 Background Understanding the intensity of advertising is imperative for researchers as well as practitioners (Clark et al., 2009) as it manipulates and propagates consumer purchase intentions than other aspects of the marketing mix (Belch and Belch, 2003,

• p. 18) due to its ability of reaching a vast audience at a considerably lower cost

(Etzel et al., 1997). Yet, advertising considered to be more expensive promotional method in the marketing communication mix. Marchand (1985, p.28) identifies advertising from public perception as an “economic waste” against the advertisers’ perception that has been viewed as a tool to acquire public recognition as well as admiration that leads to increase sales and customer satisfaction. In Sri Lanka companies spend heavily on advertising to generate, maintain or increase market share (Lalanananda, 2007). According to industry data, annual advertising expenditure in Sri Lanka has risen up to Rs. 5.5 billion in 2013 (Nielsen, 2015) compared to Rs. 2 billion in 2000 (Lalanananda, 2007). Corporate sector in Sri Lanka views advertising as an investment an organisation make for future (The Island, 2007). Hence, this research is focused on identifying the research problem; the influence of advertising on consumer brand preference within the vicinity of anti- bacterial soap market segment in Sri Lanka. Modern day advertising is far more competitive where advertisers employ various advertising strategies and techniques in attracting, persuading and convincing target groups directly influencing their purchasing decisions and patterns in ways such as

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constructing a problem diplomatically which can be solved only by using a certain

• product. Similarly, anti-bacterial soaps advertisers target consumers with

comprehensive advertisement methods which contain comparative data and problem solvencies to explore and influence consumer behaviours increasing constant demand and competition. According to LMRB data, Total Sri Lankan soap market value is Rs. 20 billion in the year 2014 whereas the total volume of the soap is 39,464MT. Lifebuoy maintains a considerably large market which is 68% among four brands including Dettol. It is evidence that anti-bacterial soaps have an emergent demand among consumers as a hygienic product used to prevent illnesses. 1.1 Overview/ Rational In Sri Lanka private sector’s involvement in driving the economy is 80% (Athukorala, 2013). Hence, consumer demands with the inflationary pressure affecting them, to be maintained smoothly. Below graph reflects the fluctuations in the soap industry within a period of two years. Thus, Lifebuoy shows a decline in the market volume 68% 5% 9% 18% Figure 1.0.1 - Total Market Shares in Value (2014) LIFEBUOY DETTOL LUX VELVET

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compared to other brands that shows a slight increase. Athukorala (2013) identifies corporate sector has demonstrated a resilient growth in business still investing on brand building. Consequently, Rs. 34 billion has been spent on advertising by 15 key companies in first half of the year 2013 to attract consumers and to create brand loyalty, driving mind awareness. However, advertising to create brand preference to be linked with consumer lifestyles comprehending how and why brand preference is vary as it is utmost important for advertisers to validate if sales are generated subsequently for the money spent on advertising. 1.2 Current Situation An increasing number of anti-bacterial soap brands are available in the market directly facilitating the amplified competition for increased market share. Out of several brands, Lifebuoy and Dettol devotedly struggle for market leadership. Lifebuoy, being in the market for more than 120 years (Unilever, 2015) has

2000 4000 6000 8000 10000 12000 2013 2013.2 2013.4 2013.6 2013.8 2014 Tonnage Year

Figure 1.1.1 - Total Soap Market Volume (2013 to 2014)

LIFEBUOY DETTOL LUX VELVET

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established their brand in consumers’ mind for more than ten decades employing exceptional advertising and branding strategies. Dettol, however, was a popular brand name in the country for more than 55 years with Dettol anti-bacterial liquid, has re-launched their range of products accumulating antibacterial soaps in the year 2010 (Sunday Observer, 2010) further establishing their brand in Sri Lanka becoming an intensive competitor to Lifebuoy. 1.3 Problem Statement (or, Research Question) Understand and evaluate how advertising creates impact on consumer brand preference towards purchasing Antibacterial soaps. (As a research question, “How does advertising create impacts on consumer brand preference towards purchasing antibacterial soaps?”) 1.4 Academic Aims and Objectives

• To review literature critically examining the influence of advertising on consumer

brand preference;

• to review literature critically analysing the relationship between advertising and

consumer buying behaviour;

• to determine the mediating effect of attitudes towards advertising and determine

the relationship between advertising and brand equity factors;

• to undertake primary research by means of questionnaires to gain quantitative

data related to consumer brand preference;

• to make recommendation analysing the information based on the theoretical

literature and the practical findings for future improvement of advertising strategies for anti-bacterial soaps advertisers.

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CHAPTER 02 - LITERATURE REVIEW

2.0 Introduction According to Sekaran and Bougie (2010, p.38) literature review is a step by step process involves in identifying published or unpublished work provided through secondary data on relevant topics, problem identification and documentation. On the

• ther hand, Fink (2005, p.3) identifies research as a systematic, explicit and

reproducible approach for discovering, evaluating and combining existing work produced by different bodies. Knopf (2006, p. 127) stresses the benefits of conducting a literature review includes providing a general overview of a body, reveal the past work, offer new ideas and assist determining problems or flaws. A good literature review, however, provides the base to develop a comprehensive theoretical framework for further investigations, preventing waste of resources, simply avoid “reinventing the wheel’ (Sekaran and Bougie, 2010, p.39). 2.1 Definition of Advertising Advertising definitions proliferate in today’s world. Accordingly, Kotler et al. (2014, p. 429) delineates advertising as “any paid form of non personal presentation and promotion of ideas, goods and/ or services by an identified sponsor”. On the other hand, Green (2012, p.6) defines advertising as a “paid form of communication by individuals or companies, with an aim of influencing people to think or act in a particular way providing information”. Further, Yeshin (2006, p.1) sees advertising as a paid, non personnel method that used to communicate and manipulate consumer behavior.

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Common advertising objectives are identified as, behavioral constructs that generate trial purchases, attitude changes and measurements, position, brand building and creating brand awareness (Sawanth, 2012, p.56). Hitherto, the driving force of advertising is to create brand awareness inducing potential consumers to consider as well as to remind existing consumers of an existing brand (Ntiamoah, Egyiri, and Kwamega, 2014) leading to create a positive effect on brand preference over competitive brands influencing the brand choice purpose (Barker, 1999). In contrast, Ewen (2008) is of the belief that the basic purpose of advertising is to provide efficient and massive distribution of products whereas the functional goal is creating consumers’ desires or habits. Further, Ibid’s (n.d cited in Tahtinen, 2006, p. 156) indicates advertising as a paid, mediated form of communication which premeditated in persuading enabling the receiver to make an action. This is further illustrated by Tom and Eves’s (1999, p.39) perception of the principle of advertisements that is to inform as well as to persuade. Furthermore, Hussain et. al., (2008, p.29) state advertising involves in delivering allied information of product or service to potential consumers affecting their purchase intention. Several studies suggest advertising facilitate the effectiveness of advertisements in terms of brand recall, persuasion or brand preference (Keller, Macdonald and Sharp, 2000). Nonetheless, Belch and Belch (2008) argue advertising is not the strongest determinant of purchasing behavior as the consumer is more reactive towards messages of preferred brands and total advertising rarely affect the total market size (Vakratsas and Ambler, 1999). However, Martin et al. (2002) argue that several

• ther aspects including demographic factors induce the effectiveness of advertising.

Confirming the above, Wijesundara and Abeysekara (2010) distinguish demographic factors, by means of age group and gender as significant attributes in consumer behavior and brand preference due to its impact on a person’s attitude towards a brand may vary in maturity and due to the difference of each brand’s target market.

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However, as Aaker and Norris (1982); Rossiter and Percy (1978); Stern, Krugman and Resnik (1981) depict advertising to be effective in increasing brand preference is based not only on being verbal or informative but also on visual and emotional

• elements. Hence, Milgrom and Roberts (1986); Nelson, (1974) argue advertising’s

role is informing consumers, either directly or indirectly (via “signalling”; about brand attributes and/or prices where organisations employ various techniques of advertising and brand management. As Koteler et al. (2009) identifies, there are four types of advertisement used to increase consumer preference as give below. Table 2.1.1 – Types of Advertisements Types Description Informative advertisements Informative advertisements are used to provide in detail information over a product, attributes, quality and other features where consumers’ have the opportunity to test before they actually purchase the product. (Dukes, 2009). Persuasive advertisements Persuasive advertisements are comparative marketing tools which create consumers’ preference, liking or conviction with the intention of gaining competitive advantages (Kotler et al, 2009,

• p. 487).

Reminder advertisements Reminder advertisements are focused on convincing consumers more often stimulating brand related attributes for repeat purchasing (Dukes, 2009). However, consumers may get irritated on the advertisements as they already aware of the brand or the product (Kotler et al, 2009). Reinforce advertisements Reinforce advertising is used to promote convenience good which needs more detailed information as the consumers’ unawareness of the product until they consume (Dukes, 2009, p.5). Companies whose products ranges are wide, aggressive advertisements are used to reach brand switchers (Kotler et al,

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2009). Author Developed (2015) Considering the above, as Trehan and Trehan (2009) describe, selecting the right media that carries the advertiser’s message to target audience is important for

• rganizations to obtain a maximum output. Hence, Wells, Burnett and Moriarty

(1995) Identifies television as a traditional medium provides a strong consumer based advertising, which is an appealing medium due to its extensive coverage of the market, geographic flexibility and consumers’ positive attitude towards the medium than other mediums such as radio, display ads, social media and or

• magazines. Supporting to the above, Lavidge and Steiner (1961) describes the

process of steps in advertising that force consumers with their purchasing attitude as given below in the table 2.1.2. Table 2.1.2 – Steps of Advertising influence on consumers

• 1. Potential purchasers yet unaware of the existence of the product;
• 2. Simply aware of the existence of products or services,
• 3. Awareness of the products’ offer,
• 4. Having favorable attitudes over products or services;
• 5. Having a preference of certain brands over other aspects or brands;
• 6. Preference and desire to make the purchase,
• 7. Actual purchase attitude

Source: Lavidge and Steiner, 1961 Supporting to above communication perspective, Campbell and Keller (2003, P. 293) affirm “Negative uncertainty created by unfamiliarity should be higher for a new ad from an unfamiliar brand sponsor as compared with a familiar brand sponsor”. However, as Tellis (1988, p.142) stress consumers’ exposing repeatedly to a

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favorable ad may result getting further opportunities for attention, retention and cognitive collaboration where positive attitudes provide more ability of recalling than the negative attitudes (Goldsmith et al., 2002). 2.2 Attitude towards Advertising Attitude towards the ad is an effort influencing consumer preference through a favorable attitude created towards the advertisement transferring to the advertised brand influencing brand choice (Shimp, 1981, p. 9; Gresham and Shimp, 1985, p. 10). As MacKenzie, Lutz and Belch (1986) identify attitude toward the advertising is a predisposition created through continuous exposure to an advertisement which leads consumers to respond favorably or unfavorably towards a brand. Psychologically, Ajzen and Madden (1985, p.454) identify attitude towards behavior and subjective norm as two predictors that determine the behavioral intention. Accordingly, they believe a person’s attitude influences the total outcome of his responses towards an object. Nonetheless, Kraus, (1990, p.7) in his research found attitude-behavior relationship is affected by variables refers to as attitudinal, behavioral, personal, and situational mediated with direct experience, certainty or accessed from memory. Thus, attitude envisages future behavior in a significant and substantial manner. According to Moore and Hutchinson (2005) brand attitudes are influenced by the consumer beliefs and advertising reactions. Thus, generating positive or negative attitudes through advertising facilitates brand consideration. On the other hand, Ajzen and Fishbien (1975) argue beliefs are the sole mediator for developing attitudes and change of consumers. However, evidences support as to beliefs as well as cognitions related to products affecting consumer purchase intention and brand attitude (Batra and Ray, 1986, p.234; Mitchell and Olson, 1981; MacKenzie, Lutz and Belch, 1986). Nonetheless, Tellis and Fornell (1988) stress advertising sends a signal of the quality of the product, where consumers are less responsive towards advertising compromise with low quality.

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However, as Berlyne (1970) cited in Stang, (1975, p.1) and Cacioppo and Petty (1979) depict message effectiveness increases at lower levels and decrease with the increase of repetition. Even so, consumer attitudes toward the ad can be interactively determined by the negative publicity, advertising, and existing brand attitude (Stammerjohan et al., 2005). Hence, MacKenzie and Lutz (1989); Brown and Stayman (1992) and Batra and Ray (1986) identify attitude toward the ad as a significant mediator in developing brand attitudes shaping consumer behavior. 2.3 Advertising and Consumer behavior Adelaar et al. (2003, p.253) classify consumer buying behavior as the product purchase intention. The consumer is ‘rational’; where a variety of factors manipulates consumers’ purchasing behavior (Watson et al., 2002). Reaching and influencing potential consumers’ awareness, attitudes and buying behavior are the critical endeavor of advertising (Abideen and Saleem, 2011, p.56). Conversely, Schiffman and Kanuk (2009, p. 23) outline consumer behavior as consumers’ activities related to actions such as search, purchase, usage, evaluation and disposing of products and or services satisfying their needs. Further, effective advertisement manipulates the attitude towards a brand leading to purchase intention (Abideen and Saleem, 2011, p.56) influencing consumers to switch to the advertised brands (Raj, 1982, P.77), stimulating and reinforcing brand image and loyalty. Tellis (P. 142) argues advertising is not the strongest determinants of purchasing behavior, but the brand loyalty. In contrast, Nelson (1974, p. 732) stress advertising creates less impact towards creating brand loyalty due to its effect on current purchase than future purchases. Accordingly, consumer behavior can be scrutinized by means of brand awareness, association and loyalty (Malik et al., 2013, p.118; Shehzad et al., 2014) which all together considers as brand equity (Kotler, 2013).

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2.4 Brand and Brand Equity The brand, is defined as a combination of mark, logo, name, symbol, word, sentence that companies use to differentiate their product from others in the market (Investopedia, 2014). Brand as a whole is a trademark proclaiming a promise comprised of distinctive characteristics linked to a brand (Phillips, 1998, p.43). Building and reinforcing the brand image is a key to profitability and growth (Belch and Belch, 2003, p.15). On the other hand, brand equity is defined as the differential effect of brand knowledge on consumer response to the marketing of the brand (Keller, 1993, p.1). Brand equity arises the time consumer recognizes or seizes an exceptional brand in memory, where repeat exposure facilitates the consumer ability to recall and recognize any brand. According to Donthu, (2000, p.195) Higher advertising cost is often related to higher brand equity. Conversely, Tuominen (1999) stresses brand equity is utmost important for advertisers to create differentiation that direct to competitive advantages in situations where value is a nonentity. Accordingly, intangibles such as trademarks/ patents, the technology used or technical/ manufacturing know how add value to brand equity through marketing investment. Brand equity, in forms of increase advertising effectiveness, constructing brand loyalty, improved profit and uniqueness generate value to organizations. Moreover, Brand equity is a multidimensional conception of brand awareness, brand association, brand image, perceived quality and brand loyalty (Keller, 1993; Donthu, 2000; Aaker, 1996; Tuominen, Chi et. al. (2009) which are further discussed below.

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2.4.1 Brand Awareness Brand awareness refers to the salience of a brand in consumers’ mind (Aaker, 1995, p.141). Huang and Sarigöllü (2012, p.92) see brand awareness as ‘decision heuristic’ due to its nature of impacting consumer decision making. On the other hand, brand awareness is identified as the first element distinguishing brand knowledge which consists of consumer brand recognition and brand recall performance (Keller, 1993, p.3; Tuominen, 1999). Brand recall is the ability of consumers’ prior exposure to a particular brand where brand recognition refers to the unaided reclamation of a brand from consumers’ memory. Accordingly, Hoeffler and Keller (2002, p.79) brand awareness is the consumers’ ability of recalling and/or recognizing a particular brand distinguished through terms depth and width. Depth refers to the level of consumers recall or recognition where as width refers to the arising of any brand in the consumers mind when purchasing

• r consumption state. Hence, higher depth or width in brand awareness aid

increased sales. In low involvement conditions, frequent exposure to brand advertisement, increase the level of brand awareness (Yoo, Donthu and Lee, 2000, p.206) Hence, raising brand awareness consequently facilitates a brand to be included in the consideration set of purchase (Macdonald and Sharp, 2000, p.12; Hoyer and Brown, 1990; Baker et. al., 1986; Nedungadi and Hutchinson, 1985). In his research that replicated Hoyer and Brown’s (1990) brand awareness of choice theory, Macdonald and Sharp (2000, p.12) indicates brand awareness creates a strong effect on consumers’ preference for a repeat purchase than the price effect influencing perceived quality where consumers will choose a known brand even at a high price. Hence, Hoyer and Brown (1990, p.141) identify brand awareness as the basic level of brand knowledge that involves at a slightest recognition of the brand name.

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Conversely, Brondoni (2001) sees brand awareness as a crucial point of difference between a brand and its competitors. Accordingly, Anh (2013, p.9) stress, having a high level of awareness and familiarity of a brand contributes to brand equity. 2.4.2 Brand Image Consumers’ concepts, feelings or attitudes over a brand refer to as the brand image (Tuominen, 1999). Brand image is identified as a subjective and perceptual

• ccurrence produced through consumer interpretation, reasoned or emotional.

Strong brand images improve a person’s personality (Keegan, Moriarty and Duncan). In contrast, Padgett and Allen (1997, p.50) affirm that brand image acts to delineate the product for consumers’ differentiating organization’s offer from competitive offers. Further, they describe that concept of brand image is consumers’ association and understanding of attributes, functional consequences as well as symbolic meanings of a brand which directly connected to advertising. As Kotler and Amstrong (1996) and Shimp (1997) define the purpose of advertising is to inform, persuade and remind consumers, increasing brand related stimulation (Padgett and Allen, 1997, p.50). 2.4.3 Brand Association Brand association refers to the knowledge pertaining to any brand in consumers’ mind which represents the entire brand equity Huang and Sarigöllü (2012, p.93). On the other hand, Tuominen (1999, p.76) elucidates brand associations as ‘informational nodes’ connected to the brand in memory containing the denotation for consumers that included related or unrelated attributes to the product as well as figurative or the attitudes. Accordingly, the presentation of information related to a brand consistently facilitates strong brand association that occurs with consumers identification of the need arises through attributes and benefits they possess (Keller, 1993).

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2.4.4 Perceived Quality Fornell et al. (1996) believe that brand quality perception has an effect on customer’s satisfaction that affected future buying behaviors. Due to perception is an emotional connection, consumer’s purchase decision could be decided based on the perception of a brand quality, not the actual quality. Therefore, a bad publicity could negatively affect the brand even the actual quality is good (ALG, 2012). Dhadhal (2011) claimed that through brand equity, perceived quality is one of the few factors that provide value enhancing consumer satisfaction. He believed usage experiences, perceived quality and brand relations can affect customer’s

• satisfaction. Grönroos (1984) categorized customers’ perceived quality of service in

three dimensions, refers to as functional (process of delivery to customers), technical (outcomes of the service, to the customers), and image (customers’ view of the company). Applying to the scope of this study, knowing the anti-bacterial soaps are from a good quality brand can affect the experience of using it. Therefore, better perception of quality leads to higher success possibility of brand (Allenby and Rossi, 1991; Chang and Wildt, 1994; Dawar and Parker, 1994).The higher the overall perception on quality will translate into higher perception on the brand. Perception of quality of product and its brand is influenced by other factors such as product variety (Berger et al., 2007), product attributes (Holbrook, 1992) and packaging (Banks, 1950, Brown, 1958, McDaniel and Baker, 1977, Miaoulis and d'Amato, 1978). 2.4.5 Brand Loyalty Brand loyalty refers to the behavior of consumers’ repeatedly purchasing a particular

• brand. Oliver (2010, p.433) identifies four phases of brand loyalty refers to as,

cognitive loyalty (loyalty based on brand attributes/ performance), affective loyalty (attitude towards the brand based on satisfaction), conative loyalty (behavioral

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intention or repeat purchase) and action loyalty (consumer readiness to act facilitating to repurchase). Hence, brand loyalty is defined as an intense detained commitment in repurchasing a preferred brand constantly despite of situational influences or advertising effects that create brand switching behavior (Oliver (2010, p.434). According to Keller (1993, p.8) loyalty occurs with repeat purchasing behavior influenced through beliefs and/ or attitudes. Better promotional strategies involve in creating a positive brand purchase intention of consumers. Hence, Raj (1982, p.77) distinguishes; persuading consumers who are not loyal to switch to the advertised brand whilst retaining the loyal consumers’ drifting to competing brands as a defensive role of advertising. In contrast, Shum (2004, p.241) recognize advertising as an attractive/ effective method that stimulate demand yet neutralizes the propensity of brand loyalty toward repeat purchasing and facilitate reducing the switching cost. 2.5 Brand Preference Brand preference is the consumers’ tendency toward certain brands that vary at a particular time depending on one’s salient beliefs (Ajzen and Fishbein, l976, P.889) which is identified as a measure of brand loyalty where selecting a certain brand

• ver competing brands, yet consumers’ accepting substitutes at a discrepancy

(Christian and Sunday, 2013, P.79). Confirming the above, Wijesundera and Abeysekera (2010) recognize brand preference as the measure of brand loyalty where consumers’ select a particular brand among competitive brands. Due to its persuasive impact towards consumer brand preference, Tellis (1988 p. 142), in his research found advertising can be effective in increasing the volume purchased by loyal buyers than wining new buyers. Thus, consumers recognize the value of any brand with regard to the characteristics and service quality (Rio et al., 2013, P.412). However, brand preference or attitude is considered as a symbol of

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status due to consumers’ preference in purchasing branded items than non branded items (Malik et al., 2013, p.118). According to Belch and Belch (2008) well known brands create a major competitive

• advantage. Asch and Wolfe (2001) claimed that human’s situational perception does

affect their action in deciding a purchase. This is due to different people can have different kind of brand perception of the same anti-bacterial soap. For instance, the promotional messages get into the unconscious level of recognition.

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CHAPTER 03 – METHODOLOGY

3.0 Introduction This chapter starts providing definitions for research; research methodology and marketing research consequently. Further, the researcher intends to furnish an

• verall view of the methods, techniques, tools and time frames to be used in carrying
• ut the research.

3.1 Overview of the Research Walliman (2011, p.16) identifies research as a term used to identify various investigations that anticipate uncovering remarkable or new specifics whereas the research methods are the variety of procedures, schemes or algorithms that have been used in the research contributing to collect, analyze and find solutions. Whereas, marketing research is identified as a systematic and objective approach to achieve and develop information towards formulating imperative decision making in marketing (Kinnear and Taylor, 1996). However, this can be recapitulated as discovering a solution to a problem or better performances responding to consumer behaviors. Saunders, Lewis and Thornhill (2003) relate research approach to an ‘onion’, where the external stratum is named as research philosophy. Research approach lies beyond the research philosophy leading to the third stratum called research strategy, moving towards the data collection stage determining ‘time horizons’ for the

• research. Hence, the researcher has applied this terminology in her research

identifying the key areas in this research as presented below.

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Figure 3.1.1 - Research Onion Research Philosophy Research Approach Research Strategy Research Method Time Horizon Data Collection Method Source: Author developed (2015) Based on Saunders, Levin and Thornhill (2009) 3.2 Research philosophy and Objectives Saunders and Tosey (2012, p.58), understanding the research philosophy is important for researchers in developing an appropriate as well as a coherent research design that can be justified and explained. Accordingly, Saunders and Tosey (2012) identify three research philosophies described in Table 3.2.1 below. Positivism Deductive Survey Quantitative Cross Setional

Sampling

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Table 3.2.1 - Comparison of Research philosophy Positivism Realism Interpretivism Pragmatism Scientific method which proposes and test theories Associated with scientific inquiry Study of social phenomena in their natural environment Research questions are considered as the important determinant Highly structured and measurable data Researcher is influenced by world views and their own experiences Focuses upon conducting research amongst people rather than

• bjects

Possibility of working with variations Quantitative data with large samples Use quantitative and qualitative data Qualitative data from in-depth investigations with small samples Use quantitative and qualitative data Concerned with law-like generalizations Concerned with gathering rich insights into subjective meanings Practical consequences Continuum philosophy rather than opposite positions Statistical hypothesis testing Consider the underlying complexity Research is value bound multiple realities. Study what the researcher is interested in Source: Author developed 2015 based on Saunders and Tosey (2012) Considering the above, the researcher will adopt positivism philosophy which involves quantitative data obtained from a large sample to measure the below

• bjectives;
• a. To determine the influence of age and gender on advertising;
• b. to measure variables such as consumer brand preference, media preference

and awareness sources;

• c. to measure the mediating effects of attitude towards advertising;

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• d. to determine the relationship between advertising and brand equity.

3.3 Research Approach Research methods vary in terms of measurability criteria, features and characteristics (Murthy and Bhojanna, 2008) that can be quantitative, qualitative or mixed method (Creswell, 2008). The researcher decides to adopt a deductive method to observe the relationship between variables such as advertising influence

• n consumer brand preference and test the proposition using quantitative data. As

Saunders, Lewis and Thornhill (2009, p.489) describe the deductive method involves in deducing a hypothesis from theory and or proposing relationship between variables testing and modifying the theory using numerical data which is analyzed using statistical procedures (Malhotra and Peterson, 2000). Table 3.3.1 - Differences between Deductive and Inductive approach Deductive Inductive Scientific principles moving from theory to data Gain an understanding

• f

the meaning humans attach to events Need to explain causal relationships between variables A close understanding of the research context Quantitative data is collected Qualitative Data is collected Application of controls to ensure validity

• f the data

Flexible structure to permit changes of research emphasis as the research progresses Operationalisation of concepts to ensure clarity of definition a realization that a researcher is part

• f the research process

Researcher independence of what is being researched Less concern with the need to generalize Necessary to select sufficient size of samples to generalize conclusions Process of falsification leads to a devastating result of total rejection of a theory (Walliman 2011,p.19)

29

Source: Saunders, Lewis and Thornhill (2009), Walliman (2011) 3.4 Research strategy Sekaran and Bougie (2010) discuss four research approaches; exploratory study, descriptive study, hypothesis testing and case study. Descriptive analysis is widely used in marketing research analysing hypothesis (Murthy and Bhojanna, 2008, p. 50). Hence, descriptive analysis to be adopted to analyze the variables using the background information as well as the respondents’ profiles pertaining to their preference of brands and media. Table 3.4.1 - Benefits and limitations of Descriptive study Benefits Limitations Descriptive study has scientific value in addressing appropriate research questions (Oxford University, No date). A “snapshot” is provided at certain times and some variables are difficult to measure (Frazee, 2005, p.1; Gable, 1994, p. 2). Surveys facilitates documenting norm, recognize extreme

• utcomes

and

• utline relationships among variables

accurately (Gable, 1994). Accurate questionnaires are needed and adequate time and money to be spent on surveys (Malhotra, 2008). Generalized for large populations, facilitating direct comparisons within groups (Frazee, 2005, p.2). The researcher is responsible for illustrating accurate results (Thomas, 2003). Sources: Author Developed (2015)

30

3.5 Research methodology Research methods vary in terms of measurability criteria, features and characteristics (Murthy and Bhojanna, 2008) hence, classified as quantitative, qualitative or mixed method (Creswell, 2008). Quantitative data is measurable where data will be numerical in nature (Murthy and Bhojanna, 2008) and numbered data to be analyzed using statistical procedures (Malhotra and Peterson, 2000). Hence, the researcher will be adopting a quantitative research method to measure the variables

• f media preference and brand awareness.

Table 3.5.1 - Benefits and Limitations of Quantitative Research Method Benefits Limitations Numbered data can be measured more

• r less accurately (Walliman, 2011,

p.87) Probability of undertaking quantitative method is limited in certain researches such as social welfare and social benefits (Stern, p.35) Opinions, attitude or behaviors can be quantified to understand certain issues (Sukamolson, 2005) Gathering, measuring and analyzing data will lead to statistical errors to be

• ccurred (Thomas, 2003).

Objectives are easily achieved and recommended (Holden and Lynch, 2004). Exploring problems in depth is not possible (Sukamolson, 2005) Large population can be easily measured (Sukamolson, 2005) Author developed (2015)

31

3.6 Time Horizon Cross Sectional analysis to be used due to this research is being a descriptive study by means of a survey (Walliman, 2011) to measure the influence of advertising on consumer brand preference. Table 3.6.1 - Benefits and Limitation of Cross Sectional Analysis Source: Levin (2006) 3.7 Data Collection Method Primary data will be collected using questionnaires as Cohen, Manion and Morrison, (2007, p.318) describe, they are generally being used in descriptive or explanatory researches to collect large samples of data developed to maximize response rate, reliability as well as validity concerning on the research question and objectives (Saunders, Lewis and Thornhill (2007, p.355). Accordingly, structured questionnaires consist of closed ended rating questions indicating consumer opinions (Corbetta, 2003, p.126) and dichotomous questions with fixed-alternative options (Business Dictionary, 2015) to measure the variables. Due to its ability of getting direct responses and feedback efficiently and effectively, self administered questionnaires will be used with indicating the purpose of the study Benefits Limitations Inexpensive and less time consuming Difficulties in making a causal inference Many outcomes and risk factors can be assessed Only a snapshot is provided at a certain time Useful for generating hypotheses Prevalence-incidence bias

32

to respondents as it will provide a higher reliability of the information (Saunders, Lewis and Thornhill, 2007). Table 3.7.1 - Benefits and limitations of using close ended questionnaire Benefits Limitation Time and cost effective since specifically scaled questionnaire, limit the unnecessary data gathering (Baren et al., 2003) Less chance to researcher to gain new knowledge since questions and answers may set in predictable ways (Ward et al., 1996). Multiple choice questions and Likert scale questions facilitate higher reliability, accuracy, and validity (Park, Loomis, and Creel, 1991) Uncertainty of respondent’s reliability and inappropriate responses (Akbayrak, 2000, p.3) Answers can be selected from multiple options (Kaplowitz, Lupi and Hoehn, 2004) Limit the respondent to the set of alternatives being offered (Reja et. al., 2003, p.161; Walliman, 2011, p.98) Greater consistency of measurement (Akbayrak, 2000, p.3) Only limited data can be gathered due to the specific scales and frames compare with interviews

• r
• pen

ended questionnaires (Baren et al., 2003). Greater precision, uniformity, easier recall for the respondent, easier coding and easier analysis (Foodborne Disease Outbreaks, No date) Researcher’s failures creating questions reflecting the purpose of research, leads to limited/ invalid information, inadequate

• ptions for respondents to

choose Penwarden (2013) Source: Author developed (2015) As Saunders et al. (2011) state secondary data contains either published summaries

• r raw data with comprehensive background information on concerned topics.

33

Accordingly, the researcher has extracted secondary data from sources such as journal articles, web sites, reports and other publications. 3.8 Populations/ Sampling Technique Failure or success of a research depends not only on the suitability of the methodology but also the appropriateness of the sampling strategies adopted (Walliman, 2008). Sampling is a scientific process of obtaining representative data from a group (Som, 1996, p.1) and a critical point in the study of research (Saunders, Lewis and Thornhill 2009, p.168). Sharp, peters and Howard, (2002, p. 143) stress “any statistical method that requires a certain size of the sample to be collected to satisfy requisite levels of confidence”. In confirming the above, Borg and Gall (1979, p.195) suggest having larger sample sizes as a general rule where many variables are available and relationships are expected or

• predicted. Hence, 150 respondents are selected in the vicinity of Colombo out of

“2,323,826 population” (Census and Statistics, 2012, n.p) to gather data from, where processing entire statistics is not possible (Wolman, 1954). Furthermore, in this research, non-probability sampling technique will be used, as Saunders, Lewis and Thornhill (2011, p.235) affirms there is no probability over the samples being selected within the population. Hence, a convenience sampling method is to be adopted due to its being an easy method where respondents are selected wherever convenient for the researcher (Jackson, 2014, p.98) concerning the demographic area selected. Table 3.8.1 - Benefits and Limitations of Convenience sampling Benefits Limitations Easy and simple Highly vulnerable to selection bias

34

Useful for hypothesis generation Unclear generalizability Less Time consuming and Cost effective Highest possibilities of sampling errors Source: Research Methodology (2015) 3.9 Pilot Survey The pilot test is a feasibility study to ascertain the limitation of questionnaires before planning a large scale investigation (Thabane et. al, 2010, p. 1). According to Kvale (2007) cited in Turner III (2010, P.757) Pilot Test allows the researcher to identify errors, limitations or any other faults lies within the research design which require alteration prior to the implementation of the research. Similarly, the researcher completed pilot testing using 05 respondents who had consent over with the prepared questionnaires. However, none of the respondents were able to pinpoint any error or misinterpretation of the questions asked in the

• questionnaire. Hence, as there was no amendment needed, the researcher

continued the investigation with the same questionnaire distributed to 150 respondents. 3.10 Data Analysis Walliman (2011) describes the importance of statistical analysis in descriptive study, which requires checking the accuracy of the data gathered from the sample and to understand the findings easily. In supporting to this Miles and Huberman (1994) state that quantitative data analysis facilitates explaining and representing research findings in a significant manner and to illustrate the distribution and relationship among variables. Accordingly, data will be analyzed using IBM SPSS 20 software and MS excel and to be presented through graphs and pie charts in chapter 04.

35

3.11 Limitations of Research methodology As Saunders, Lewis and Thornhill (2007) identify time; expenses and accessibility prevent researcher gaining information from the entire population. Hence, Colombo being selected as the research population, entirely accurate probability sampling is not possible due to the inabilities of reaching every subdivision in the district. Furthermore, gaining new knowledge is restricted due to researcher considering only close ended questionnaires whereas open ended telephone questionnaires and or

• bservation methods might expand the knowledge and give new insights to the

research (Walliman, 2011, p.101; Moll et al., 1992). Researcher has to adopt convenience sampling method with self administered questionnaires due to poor time management and to avoid unnecessary delays and misunderstandings occurs in simple random sampling and personally administered questionnaires. Finally, as Graaf and Levy (2011) argue conducting a fully ethical research is impracticable and the success rate of any research or survey is difficult to ascertain due to non availability of specific tool to measure. 3.12 Ethical approach to research The researcher will be adhered to strictly ethical guidelines when sampling and data

• collecting. Voluntary participants who have direct consent (Drew, 2007, p.69) over,

to be informed the purpose of the study and the procedures of data collecting ensuring to protect privacy and confidentiality (Given, 2013, P. 10) respecting their right to refuse at any stage (Greener, 2008). Participants will not be harmed in any manner physically or psychologically and no incentives will be offered to avoid the bias of respondent. Further, assurance is given concerning anonymity clarifying the limit and the usage of data which will be used only for only for academic purposes.

36

Secondary data used for the research are accurately referenced and cited to credit the original authors.

CHAPTER 04 -FINDING AND ANALYSIS

4.0 Introduction The indispensable aim of the research was to evaluate the influence of advertising

• n consumer brand preference. Consequently, this chapter summarises the author’s

attempt to primary research while evaluating the outcome in order to reveal the understanding of the related theories and principles. Research results of the questionnaires were assessed in a coherent manner using quantitative methods mentioned in chapter 03 with regards to the literature reviewed in Chapter 02. As Silverman (2011) describes, an appropriate and accurate analysis refers to more comprehensively simplifying the obstacles associated with a large number of data whilst restraining the unnecessary efforts of findings and/or comparisons of variables considered in research. Hence, the data were analyzed using Chi square analysis to test the link between variables such as advertising and brand equity using SPSS 20

• software. Similarly, graphs and pie charts were illustrated using MS Excel by the

researcher to easily demonstrate the research result with percentage values. Further, inferential analysis is used to test the variables such as antibacterial soap usage, age, gender, sources of awareness, consumers’ media preference and attitude towards ad using a descriptive method as Sekaran and Bougie (2011) and Murray et al. (2001) define that descriptive methods are sensory testing methods which is ideal when searching for behavioral changes with regard to varied attributes exploring consumers’ tendencies towards brand preference.

37

4.1 Evaluation of the questions Table 4.1 - Question 01 Analysis Main Aim To indicate the usage of antibacterial soaps Question Rationale Do you use Antibacterial Soap? Antibacterial soaps have an emerging demand among consumers as a hygienic product preventing illnesses (Lifebuoy, 2015%) 84% 16% Figure 4.1.1 - Anti-bacterial soaps Users Yes No

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The first question in this study sought to determine the usage of anti-bacterial soap among the consumers in the vicinity of Colombo district. The results of this study indicate that 84% of consumers are devoted users of anti-bacterial soaps. This finding was unexpected and suggests that consumers are more focused on purchasing products which has the higher antimicrobial active ingredients. The results further confirm the LMRB data that show the highest market share possessed by Lifebuoy which is 68%. A possible explanation for these results may be the increased level of awareness, knowledge and exposure gained through several sources which repeatedly substantiate the importance of using anti- bacterial soaps than normal regular soaps. Table 4.2 - Question 02 Analysis Main Aim To determine the gender influenced by advertising Question Rationale Gender Advertising involves in delivering allied information about a product or service to potential consumers affecting their purchase intention (Hussain et. al., 2008, p.29; Ntiamoah, Egyiri, and Kwamega, 2014).

39

The second question was to determine the purchasing behavior of consumers’ gender wise. According to the research done considering on similar population of both sexes, the research findings indicate 52% of male consumers purchase Antibacterial soaps which is higher than that of females. This suggests the gender neutrality in the consumption of consumer brands. Table 4.3 - Question 03 Analysis Main Aim To determine the age influenced by advertising Question Rationale Age Advertising rarely determine the purchasing behavior and total advertising rarely affect the total market size (Vakratsas and Ambler, 1999). 52% 48% Figure 4.2.1 - Gender Male Female

40

The third question was to determine the age manipulated by purchasing decisions. As presented in Figure 4.3 that indicates the consumers’ age range in between, under 20 to over 50. Accordingly, age group 20 – 30 as the most influenced age group which is 38% of the total sample population. Over 29% of respondents are from the age range of 31 – 40. The most obvious finding to emerge from the analysis is that the generation Y and Z’ dominance in the market, which is 67%, followed by generation x and baby boomers that has taken considerable active parts which shows 27% of the total population. Table 4.4 - Question 04 Analysis Main Aim To determine the brand preference of consumers Question Rationale What is your preferred Brand? Brand preference is the consumers’ tendency toward certain brands that vary at a particular time depending on one’s salient beliefs (Ajzen and Fishbein, l976, 6% 38% 29% 14% 13% Figure 4.3.1 - Age influenced by Advertising Under 20 20 - 30 31 - 40 41 - 50 Over 50

41

P.889). The present study was designed to determine the brand preference of antibacterial

• soaps. With respect to the fourth research question, it was found that 43% of total

population prefers the brand Lifebuoy where 36% prefers the brand Dettol. This seems to be consistent with those of LMRB research which highlights the higher competition of the industry where lifebuoy being as the market leader in the antibacterial soap segment and the necessity for rigorous efforts made by the companies in order to maintain and increase market share. Table 4.5 - Question 05 Analysis Main Aim To identify the sources of awareness Question Rationale How did you hear about anti-bacterial soaps? Ewen (2008) is of the belief that the basic purpose of advertising is to provide efficient and massive distribution

• f

43% 36% 20% Figure 4.4.1 - Brand preference Lifebuoy Dettol Other

42

products whereas the functional goal is creating consumers’ desires or habits. The fifth question in this study sought to determine the sources of consumer awareness of the product they prefer. Figure 4.5 above, indicates 70% respondents were aware of the antibacterial soaps through advertising, whereas 23% from word

• f mouth and sales promotion. However, 4% of the population could not remember

how they came across the brand name. These results are consistent with those of Ayanwale, Alimi and Ayanbimipe (2005) who found advertising as the major source of consumers’ awareness of the drink Bournvita. This result may be explained by the fact that businesses investing a higher amount of money on brand building which was recorded as 34 billion in the first quarter of 2013 (Athukorala, 2013). Table 4.6 - Question 06 Analysis Main Aim To identify the preference of media Question Rationale What is your preferred Media? Consumers’ purchase intention is highly affected by advertising (Adelaar et al., 2003) where selecting the right media is 70% 4% 9% 14% Figure 4.5.1 - Sources of Awareness Advertising Word of Mouth Sales Promotion Can't remember

43

utmost important (Trehan and Trehan, 2009). Figure 4.6 above indicates 68% of consumers have selected television as their preferred media followed by Social media, which is 20% of the total population, especially among the young generation and together 12% for Radio and

• Magazines. These results somewhat match those observed in earlier studies of

Ayanwale, Alimi and Ayanbimipe (2005). However, the findings of the current study do not support the previous research as it shows no evidence of social media which currently has become a major advertising tool. However, they are consistent with studies of Kumar and Raju (2013) who found social media plays a major role in the modern marketing mix. A possible explanation for these results may be the advancement of the technology and the growing interests of consumers using new technology. Table 4.7- Question 07 Analysis Main Aim To determine the mediating effect of attitude towards advertising Question Rationale What do you think of anti-bacterial soap advertisement? As Abideen and Saleem (2011, p.56) and Moore and Hutchinson (2005) illustrate 68% 7% 5% 20% Figure 4.6.1 - Preferred Media Television Radio Magazines Social Media

44

positive or negative reactions to the advertisements increase or decrease the possibilities

• f

uplifting consumers’ purchase intention towards certain brands. Question 07 was to identify the effect of attitude towards advertising on consumer brand preference. According to the research findings, it is clear that the majority of the representative sample has positive attitudes towards antibacterial soap

• advertisement. As per the figure 4.7.1 above, 60% of respondent consider

advertisement as appealing, whereas 67% believe advertisements are pleasant. Further, 57% of respondent are in the opinion that advertisements are high quality. However, this result has not previously been described. But, it further supports the idea of Ajzen and Madden (1985, p.454) who recognize the person’s attitude manipulates the total outcome of his/her responses towards an object. Table 4.8.1 - Question 08 Analysis Main Aim To indicate the brand Awareness including brand recall and brand recognition Question Rationale

4% 7% 29% 40% 20% 2% 10% 32% 32% 25% 2% 3% 27% 40% 27% 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% Strongly Disagree Disagree Neither Disagree nor agree Agree Strongly Agree

Figure 4.7.1 - Attitude towards the Ad

Appealing High Quality Pleasent

45

I purchase my preferred brand of Anti- bacterial soap due to; Brand name/ Logo I am familiar with the brand Brand awareness creates impact

• n

consumer decision making (Huang and Sarigöllü, 2012, p.92) by means of higher recalling

• r

recognizing the brand ultimately increasing sales (Hoeffler and Keller (2002, p.79). The question was to determine the mediating effect of brand awareness towards consumer preference of antibacterial soaps. Accordingly, a strong relationship between advertising and brand awareness has been reported in the literature (Ayanwale, Alimi and Ayanbimipe, 2005). Accordingly, as figure 8.2.1 indicates, 85% of consumers agree with the fact that they purchase their preferred brand considering the brand name or logo, which represents the brand recall factor and 91% due to brand recognition by means of brand familiarity. Therefore, in the current study, a significant effect of advertising on consumers’ awareness of antibacterial soap brands can be ascertained as per the Figure 8.2.1

• above. The observed relation between advertising and brand awareness might be

explained in this way, brand awareness directly facilitates preference of certain antibacterial soap brands by consumers’ ability of recalling and recognizing through

2% 2% 12% 56% 29% 1% 1% 7% 52% 39% 0% 10% 20% 30% 40% 50% 60% Strongly Disagree Disagree Neither Disagree nor agree Agree Strongly Agree

Figure 4.8.1.1 - Brand Awareness

Brand name/ Logo Brand Familiarity

46

terms depth and width (Hoeffler and Keller, 2002, p.79). Therefore, advertising could be a major factor, if not the only one, causing brand to be in the consideration set with raising awareness (Macdonald and Sharp, 2000, p.12; Hoyer and Brown, 1990; Baker et. al., 1986; Nedungadi and Hutchinson, 1985). Table 4.8.2 - Question 08 Analysis Main Aim To determine the mediating effect of brand image influenced by advertising towards brand preference Question Rationale I purchase my preferred brand of Anti- bacterial soap due to; It is categorized as anti-bacterial soap It is unique Brand image is a symbol representing a brand to consumers acting as a competitive advantage differentiating a company’s product from those

• f

competitors which is increased through continuous advertising (Padgett and Allen, 1997, p.50).

47

The question was to determine the mediating effect of brand image influenced by advertising towards the preference of antibacterial soaps. According to the figure 4.8.1 above, 73% of the respondent make their purchasing decisions as their preferred brand’s being categorized as Antibacterial soap where 38% consider the uniqueness of the product at the brand considering stage. Consequently, advertising’s creating a significant effect on brand image can be determined studying the table 4.8.2.3 above. These results further support the idea of Kotler and Amstrong (1996) and Shimp (1997) as to the purpose of advertising is to increase brand related stimulation thereby affecting consumer brand preference. There are several possible explanations for this result which either or may include consumers’ beliefs or attitudes produced over a brand through interpretation, reasoned or emotional factors (Keegan, Moriarty and Duncan, N.d).

2% 6% 18% 48% 25% 6% 16% 40% 28% 10% 0% 10% 20% 30% 40% 50% 60% Strongly Disagree Disagree Neither Disagree nor agree Agree Strongly Agree

Figure 4.8.2.1 - Brand Image

Categorisation Uniqueness

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Table 4.8.3 - Question 08 Analysis Main Aim To indicate the mediating effect of Brand association influenced by advertising towards brand preference Question Rationale I purchase my preferred brand of Antibacterial soap due to; Past experience with brand name Availability Product attributes/ benefits Presentation of information related to a brand consistently facilitates strong brand association that occurs with consumers identification of the need arises through attributes and benefits they possess (Keller, 1993). The question was to identify the mediating effect of brand association. Hence, with reference to the Table 4.8.3.3 above, it is as certain that there may be a considerable effect of advertising on brand association due to the fact that, 83% of respondent consider their preferred brand’s availability, whereas 62% of respondents believe their purchase intentions are manipulated by the product attributes and past experience with the brand name. This result further confirms the literature reviewed on brand association where Keller (1993) explains that brand

6% 11% 21% 45% 17% 2% 2% 12% 49% 34% 2% 10% 26% 40% 22% 0% 10% 20% 30% 40% 50% 60% Strongly Disagree Disagree Neither Disagree nor agree Agree Strongly Agree

Figure 4.8.3.1 - Brand Association

Past experience Availability Product attributes

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association increases with presenting and promoting brand related information affecting consumers’ identification when their needs occur. Table 4.8.4 - Question 08 Analysis Main Aim To indicate the mediating effect of perceived quality Question Rationale I purchase my preferred brand of Antibacterial soap due to; Product variety Perception of the quality presented through Ad Packaging is attractive Perception of the quality has an effect on consumer purchase intention (Fornell et

• al. (1996), leading to increase success
• f the brand, increasing the brand

preference (Allenby and Rossi, 1991; Chang and Wildt, 1994; Dawar and Parker, 1994).

17% 19% 23% 36% 5% 4% 10% 27% 39% 20% 3% 13% 35% 37% 11% 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% Strongly Disagree Disagree Neither Disagree nor agree Agree Strongly Agree

Figure 4.8.4.1 - Perceived Quality

Product variety Perception of the quality Attractive Packaging

50

The question was to determine the mediating effect of perceived quality influenced by advertising towards brand preference. As per the table 4.8.4.3 above, where the data indicates the percentage of each factors’ contribution towards the brand perefrence, whereas 41% of respondent consider product variety, and 48% judge packaging attractiveness whereas 59% make their purchase intention based on the perception of the quality presented through the advertisements. Hence, a significant relation between advertising and its effect on perceived quality can be determined relating to the test statistics presented above. Accordingly, these results confirm the association between quality, packaging and product variety further supporting the idea of Berger et al. (2007); Holbrook (1992); Banks (1950); Brown (1958); McDaniel and Baker (1977) and Miaoulis and d'Amato (1978) presented in the literature review under perceived quality. Table 4.8.5 - Question 08 Analysis Main Aim To indicate the mediating effect of brand loyalty influenced by advertising towards brand preference Question Rationale I purchase my preferred brand of Antibacterial soap due to; Overall Quality Reliability Cheap alternative brand advertised Advertising facilitates retaining loyal consumers and persuade non loyal consumers’ switching to the advertised brands (Raj, 1982, p.77). However, Kotler (1993) is of the opinion that loyalty is influenced by repeat purchasing.

51

Very little was found in the literature with respect to the research question that is to determine the mediating effect of brand loyalty affected by advertising towards consumer brand preference. Consequently, figure 4.8.5 above illustrate the information related to consumers’ purchase intention of antibacterial soaps. In view

• f that, it could be identified that 80% of respondent consider the overall quality of

the brand at the purchasing stage whereas 80% believe in the reliability of the

• brand. Moreover, 18% shows the possibility of switching to alternative brands

effected through advertisements. Considering the above statistics, the researcher identifies the most obvious finding to emerge from the analysis is the consumers’ tendency towards purchasing their preferred brand is based on how loyal they are to a particular brand where reliability and overall quality are significant factors. These results seem to be consistent with

• ther research which found advertising as an attractive and efficient technique that

can be used to stimulate demand by retaining loyal buyers while facilitating

• rganizations with reduced switching cost (Shum, 2004, p.241).

1% 5% 14% 59% 21% 2% 0% 17% 58% 23% 21% 29% 31% 10% 8% 0% 10% 20% 30% 40% 50% 60% 70% Strongly Disagree Disagree Neither Disagree nor agree Agree Strongly Agree

Figure 8.4.3.1 - Brand Loyalty

Overall quality Brand reliability Alternative brand

52

Considering the above outcomes obtained after careful review and analysis the data gathered through 150 respondents, it can be concluded that advertising has a great impact towards consumer brand preference that has been created through brand awareness, positive brand images, enhanced brand association, and perceived quality and brand loyalty among prospective consumers. This will be further discussed in Chapter 06 under the topic ‘Conclusion and recommendation’.

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CHAPTER 06 - CONCLUSION AND RECOMMENDATION

5.0 Introduction This chapter seeks to illustrate conclusions on the research topic; influence of advertising on consumer brand preference. Author initiates the study by providing a brief introduction to the subject where background information, rationale and current situation of the market segment of Antibacterial soaps are illustrated in detail. The literature review is presented using secondary sources related to the concerns, focusing mainly on the aspects of advertising, attitudes towards advertising, brand equity and brand preference which is elaborated further as a critical discussion collaborated with respective theories which provide basic knowledge and support to the research findings. Further, the researcher has indicated the methods and techniques used in conducting the research under methodology chapter. Accordingly, research is reviewed using the data presented in the literature review comparing with the results

• f findings and analysis. Recommendations are provided discussing the limitations
• f the research.

5.1 Reviews of the research objectives

• To review the literature critically examining the influence of advertising on

consumer brand preference;

• to review the literature critically analyzing advertising and consumer buying

behavior, attitude towards advertising and brand equity;

• to determine the mediating effect of attitudes towards advertising and

advertising and brand equity factors;

54

• to undertake primary research by means of questionnaires to gain quantitative

data related to consumer brand preference;

• to make recommendation analyzing the information based on the theoretical

literature and the practical findings for future improvement of advertising strategies for anti-bacterial soaps advertisers. With respect to the above, the first two objectives were successfully achieved through analyzing several concerned sources and theories of multiple authors presented through the literature review critically describing the concept of advertising and consumer behavior, attitudes towards ad and brand equity elaborating its key aspects refers to as brand awareness, brand image, brand association, perceived quality and brand loyalty. Accordingly, the researcher identified advertising acts as a great spur enhancing consumer brand preference. 5.2 Key evidence presented in the literature 5.2.1 Advertising Advertising is a paid promotional method of communication (Kotler et al., 2014) consists of verbal, informative, visual and emotional elements (Aaker and Norris,1982; Rossiter and Percy, 1978; Stern, Krugman and Resni, 1981) used to enhance brand equity (Sawanth, 2012; Ntiamoah, Egyiri, and Kwamega, 2014) manipulating consumers’ behavior (Yeshin, 2006; Green, 2012) for positive brand preference (Barker, 1999). 5.2.3 Attitudes towards ad Attitude toward the advertising is used to measure the advertising effectiveness (Brown and Stayman, 1992; Batra and Ray, 1986) which oblige consumers respond favorably or unfavorably towards a brand (MacKenzie, Lutz and Belch, 1986).

55

5.2.4 Advertising and consumer behavior Effective advertisements have a great impact on consumers’ purchase intention (Adelaar et al., 2003) by increasing awareness, attitudes and buying behavior (Abideen and Saleem, 2011) while stimulating and reinforcing brand equity (Raj, 1982; Malik et al., 2013; Shehzad et al., 2014; Kotler, 2013). 5.2.5 Brand awareness Advertising increase the level of brand awareness (Yoo, Donthu and Lee, 2000) leading brand to be in the consideration set of purchase (Macdonald and Sharp, 2000, p.12; Hoyer and Brown, 1990; Baker et. al., 1986; Nedungadi and Hutchinson, 1985) creating a strong effect on consumers’ preference for a repeat purchase (Macdonald and Sharp, 2000, p.12). 5.2.6 Brand image Advertising increase brand related stimulation (Padgett and Allen, 1997) through informing, persuading and reminding (Kotler and Amstrong, 1996; Shimp, 1997) leading to a higher level of brand image which delineates products from competitive

• ffers (Padgett and Allen, 1997).

5.2.7 Brand association Advertising facilitates strong brand association (Huang and Sarigöllü, 2012) that

• ccurs with consumers identification of the need arises through attributes and

benefits they possess (Keller, 1993) influencing preference (Yoo, Donthu and Lee, 2000).

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5.2.8 Perceived quality Effective advertising contributes higher overall perception of quality leading towards higher perception on brand (Allenby and Rossi, 1991; Chang and Wildt, 1994; Dawar and Parker, 1994) leading to brand preference (Fornell et al., 1996). 5.2.9 Brand loyalty Advertising facilitates controlling brand switching behavior (Oliver, 2010) persuading neutral buyers to switch to the advertised brand (Raj, 1982) and retain loyal consumers’ drifting to competing brands (Shum, 2004) and persuade repeat purchasing (Keller, 1993). 5.2.10 Brand Preference Advertising aid higher brand equity (Donthu, 2000) which increases the level of brand preference that act as a symbol of status due to consumers’ preference in purchasing branded items than non branded items (Malik et al., 2013). 5.3 Key findings and analysis According to the literature reviewed, advertising was found to be the most significant factor contributing to consumer brand preference as multiple authors have presented different views and opinions as to how and to what extent advertising can create an impact on brand preference. However, Secondary data together with primary data collected using a quantitative method and analyzed through SPSS 20 software enabled the researcher to identify the third and fourth objectives of the research. According to the literature reviewed, advertising was found to be the most significant factor contributing to consumer brand preference as multiple authors have presented different views and opinions as to how and to what extent advertising can create an

57

impact on brand preference. However, Secondary data together with primary data collected using a quantitative method and analyzed through SPSS 20 software enabled the researcher to identify the third and fourth objectives of the research. Respondents’ demographic profiles were analyzed to identify their attitudes towards the product. Accordingly, results indicated that age is an imperative factor affecting purchasing behavior of antibacterial soaps where majority 67% of the respondents were included in age categories of 20 to 30 and 31 to 40. Further, results indicate gender neutrality in the purchasing of antibacterial soaps. The most interesting finding to emerge from the analysis is the consumers’ preference for lifebuoy which resulted 43% confirming several other researches

• earlier. However, 36% of respondents’ brand preference of Dettol indicates the

highly aggressive competition among two major brands in increasing market share. The majority (70%) of respondents’ influenced by advertising to purchase the brand, whereas 68% selection of television as their preferred media than that of 37% altogether who preferred social media, radio and magazines indicate the influence of advertising on purchasing decisions. Results indicate that the majority of the respondents have favorable attitudes towards antibacterial soap advertisements which further confirms the findings of MacKenzie and Lutz (1989); Brown and Stayman (1992) and Batra and Ray (1986) that recognize attitude towards ad as a mediator influencing brand preference. Brand equity is directly associated with brand awareness, brand image, brand association, perceived quality and brand loyalty (Severi and Ling, 2013). Accordingly, in this study, it could be identified that most of the respondents’ behavior in purchasing their preferred brand is manipulated by advertising strategies used by organizations in brand building, especially on the physical attributes such as brand name/ logo, perception of the quality, product attributes and benefits,

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attractive packaging and categorization of the brand as antibacterial soaps. It could also be noticed that, reliability and overall quality are the most significant factors contributing towards brand preference which further confirms the suggestion of Kotler and Amstrong (1996) and Shimp (1997) that brand related stimulation is increased with advertising that highly affect consumer brand preference. 5.4 Limitations of the research The limitation in this research is subject to taken into account when considering the preparation of the concluding chapter, which is based on three aspects such as literature review, data collection and variables contemplated. The author’s choice of the Antibacterial soap market as the study population that consist of existing and new consumers of different age groups facilitated more reliability and accuracy of the responses. However, only few variables were measured under the study relating to brand equity, which means that the value of the brand from consumers’ perception is partially measured as it may include other variables such as consumers’ purchase intention and the reasons of brand preference that would have brought the research into a new dimension with remarkable findings. Further, research outcomes and findings are incompetent in explaining the possibilities of observed patterns in the study due to the limitations of cross sectional study (Easterly-Smith, Thorpe and Lowe (2003) and generalizing the outcomes of this research is ineffectual due to using the convenience sampling technique. Using quantitative method restricted the research to gather more information which could enhance the knowledge (Moll et al, 1992). Recommendations Appropriate recommendations are given to the issues identified with regard to the research topic as described in the table 5.5 below.

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Table 5.5 - Recommendations Issues identified Recommendations Cross-sectional analysis may not properly display the experiential changes in models and the causality of the brand equity (Smith et al., 2003). Longitudinal studies that measure representative sample population continuously for a particular period of time is recommended for future studies (Burns and Bush, 2003). Researcher’ selecting convenience sampling is restricted generalization of the findings. The probability sampling technique is recommended to be used for future studies to improve and enhance the validity and generalization of findings. Researcher’s using only close ended questions restricted the author gaining additional information for a more successful research. Open and close ended questions can be used for more meaningful research (Walliman, 2011; Moll et al., 1992).

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CHAPTER 7 - APPENDIX

7.1 Timeline for the Project Description Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7 Week 8 Submit Proposal Prepare Introduction Search Literature Prepare Literature Review Prepare Methodology Chapter Prepare Primary Data Questions based on Literature Review Begin gathering Primary Data Analyse Primary Data and discuss Prepare findings and analysis Chapter Prepare Conclusions and Recommendations Chapter Submit The Project

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7.2 Questionnaire

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7.3 Summary of Literature reviewed Developed Questions Literature reviewed Author What do you think of anti- bacterial soaps advertisement? Appealing/ High Quality/ pleasant direct experience, certainty

• r accessibility from

memory beliefs and advertising reactions Moore and Hutchinson, 2005 Kraus, 1990 Attractive advertisements Brand name/ Logo I am familiar with the brand Brand Name Familiarity Keller, 1993 Anh (2013 It is categorized as Anti- bacterial soap It is unique concepts, feelings or attitudes Tuominen, 1999 Keller, 1993 Past experience with brand name Availability Product attributes/ benefits attributes to the product figurative or the attitudes Tuominen, 1999 Keller, 1993 Product variety Perception of the quality presented though Ad Packaging is attractive perception on quality product variety packaging Fornell et al., 1996 Allenby and Rossi, 1991, Banks, 1950, Brown, 1958 Overall quality is high Brand is reliable Alternative brand advertised was cheaper Beliefs brand attributes/ performance brand switching behaviour Keller, 1993 Oliver, 2010

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7.4 Project Rationale Table Question 01 Do you use Anti-bacterial Soap? Rationale To indicate the usage of antibacterial soaps Relation to the Literature Anti-bacterial soaps have an emergent demand among consumers as a hygienic product preventing illnesses (Lifebuoy, 2015%). Question 02 Gender Rationale To determine the gender influenced by advertising Relation to the Literature Advertising involves in delivering allied information of product or service to potential consumers affecting their purchase intention (Hussain et. al., 2008, p.29; Ntiamoah, Egyiri, and Kwamega, 2014). Question 03 Age Rationale To determine the age influenced by advertising Relation to the Literature Advertising rarely determine the purchasing behaviour and total advertising rarely affect total market size (Vakratsas and Ambler, 1999). Question 04 What is your preferred Brand? Rationale To understand the brand preference of consumers Relation to the Literature Brand preference is the consumers’ tendency toward certain brands that vary at a particular time depending on one’s salient beliefs (Ajzen and Fishbein, l976, P.889). Question 05 How did you hear about anti-bacterial soaps? Rationale To identify the sources of awareness

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Relation to the Literature Ewen (2008) is of the belief that the basic purpose of advertising is to provide efficient and massive distribution of products whereas the functional goal is creating consumers’ desires or habits. Question 06 What is your preferred media? Rationale To identify sources of brand awareness Relation to the Literature Consumers’ purchase intention is highly affected by advertising (Adelaar et al., 2003) where selecting the right media is utmost important (Trehan and Trehan, 2009). Question 07 What do you think of anti-bacterial soaps advertisement? Rationale To understand the effect of attitude towards advertising Relation to the Literature As Abideen and Saleem (2011, p.56) and Moore and Hutchinson (2005) illustrate positive or negative reactions to the advertisements increase or decrease the possibilities of uplifting consumers’ purchase intention towards certain brands. Question 08 I purchase my preferred brand of Anti-bacterial soap due to; Attractive advertisements Brand name/ Logo I am familiar with the brand Rationale To indicate the brand Awareness including brand recall and brand recognition Relation to the Literature Brand awareness creates impact on consumer decision making (Huang and Sarigöllü, 2012, p.92) by means of higher recalling

• r recognizing the brand ultimately increasing sales (Hoeffler

and Keller (2002, p.79). Question 08 I purchase my preferred brand of Anti-bacterial soap due to; It is categorized as Anti-bacterial soap

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It is unique Rationale To indicate the mediating effect of Brand image influenced by advertising towards brand preference Relation to the Literature Brand image is a symbol representing a brand to consumers acting as a competitive advantage differentiating a company’s product from those of competitors which is increased through continuous advertising (Padgett and Allen, 1997, p.50). Question 08 I purchase my preferred brand of Anti-bacterial soap due to; Past experience with brand name Availability Product attributes/ benefits Rationale To indicate the mediating effect of Brand association influenced by advertising towards brand preference Relation to the Literature Presentation of information related to a brand consistently facilitates strong brand association that occurs with consumers identification of the need arises through attributes and benefits they possess (Keller, 1993). Question 08 I purchase my preferred brand of Anti-bacterial soap due to; Product variety Perception of the quality presented though Ad Packaging is attractive Rationale To indicate the mediating effect of perceived quality influenced by advertising towards brand preference Relation to the Literature Perception of the quality has an effect on consumer purchase intention (Fornell et al. (1996), leading to increase success of the brand increasing the brand preference (Allenby and Rossi, 1991; Chang and Wildt, 1994; Dawar and Parker, 1994).

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Question 08 I purchase my preferred brand of Anti-bacterial soap due to; Overall quality is high Brand is reliable Alternative brand advertised was cheaper Rationale To indicate the mediating effect of Brand loyalty influenced by advertising towards brand preference Relation to the Literature Advertising facilitate retaining loyal consumers and persuade non loyal consumers’ switching to advertised brands (Raj, 1982, p.77). However, Kotler (1993) is in the opining that loyalty is influenced by repeat purchasing.