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Current Trends in Business Management(CTBM)

ISSN: 2995-4010 | DOI: 10.33140/CTBM

Research Article - (2024) Volume 2, Issue 1

Factors Affecting Consumer Response towards Digital Advertising and Buying Behaviour

A. Malarvizhi 1 * and P. Deivanai 2
 
1PhD Research scholar department of commerce. Avinashilingam, Institute for Home Science and Higher Education for women Coimbatore, India
2Assistant professor, Department of commerce. Avinashilingam, Institute for Home Science and Higher Education for women Coimbatore, India
 
*Corresponding Author: A. Malarvizhi, PhD Research scholar department of commerce. Avinashilingam, India

Received Date: Dec 09, 2023 / Accepted Date: Dec 28, 2023 / Published Date: Jan 08, 2024

Copyright: ©©2024 A. Malarvizhi. et al. This is an open-access article distributed under the terms of the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original author and source are credited.

Citation: Malarvizh, A., Deivana, P. (2024). Factors Affecting Consumer Response towards Digital Advertising and Buying Behaviour. Curr Trends Business Mgmt, 2(1), 01-07.

Abstract

The present situation is full of urgent needs for the future, which have been essentially becoming such a fundamental part of our everyday lives. In the area of communication and the media, there have been several significant changes in recent years. Many new concepts popped up and new media advertising is one of them. New media advertisement is a synonym for digital advertising. The volume and coverage of Digital advertisements are increasing dramatically. Businesses are investing more in digital marketing than in the past. The primary objectives of this study are to identify the effectiveness of digital adverting also analyze the factors influencing consumer buying behaviour of digital advertising. 120 Coimbatore respondents make up the sample size. Tools used for the study are simple percentage analysis, factor analysis, and ANOVA. The output of the study shows that Entertainment, easy to use and attractive advertisement are the main factors of the respondents to choose digital advertainments. Due to the effevtiveness of digital advertisement people choose for promoting their business and customers also choose digital advertisement for promote their product and services.

Keywords

Digital Advertising, Digital Marketing, Consumer Behavior, Attitute Towards Digital Advertising and Purchase Inten¬tion.

Introduction

The internet has become one of the main channels for marketing communication in recent years, and both large- and small-scale advertising campaigns now routinely use digital advertising. E-advertising, often known as internet advertising or "digital advertising," has substantially changed the way that person perceives advertising digital marketing is the process of pushing products or services via internet platforms [1]. Due to its many benefits over traditional media, the internet has tremendous promise as a tool for advertising [2, 3]. According to Different types of digital advertising use different technology [4]. Digital advertising can include sound, pictures, and cartoons and is as interesting as other advertising media. More than ever, consumers use digital networks and tools regularly. The most efficient method to reach both rural and urban people is via digital advertising. Due to its unique features of versatility, interaction, and customization, digital advertising has experienced a massive spike in both its usage and volume of users [5]. The significant revolution produced by information systems has a significant impact on people's day-to-day lives globally. Publisherf: f Phi Learning; 1St Edition (1 January 2006) Digital advertising is a powerful method for delivering appropriate marketing messages and promotional offers to target consumers [6]. Digital advertising is significant for determining consumer attitudes, creating a positive consumer attitude, and impacting consumers' decision to buy the goods or services advertised [7].

Scope of the study

The rapid technology development and the rise of new media and communication channels tremendously changed the advertisement business landscape. However, the growing dependency on internet as the ultimate source information and communication, make it a leading advertisement platform. Due to its distinct advantages of adaptability, transparency, awareness, and involvement, digital advertising has experienced a dramatic improvement in both its applications and its subscriber base [8]. According to Advertising has a great effect on consumers choosing products and services [9]. Both consumers and advertisers use digital advertising to choose and promote their products and services. As this is evident, digital advertising factors influence consumers ability to easily make buying decisions.

Objectives

• To Study the Effectiveness of Digital Adverting.

• To Analyze the Factors Influencing Consumer Buying Behaviour of Digital Advertising.

Hypothesis

Ho1: There is no significant relationship between factors of digital advertising and buying behavior.

Ho2: There is a significant relationship between factors of digital advertising and buying behavior.

Review of Literature

Growth of Digital Advertisement: Defines that, the rise in digital ads, media platforms, internet video advertising, and mobile applications is responsible for the rise to end audiences all around the world are more impacted by technology due to increasing mobile and internet usage [10]. This provides advertisers and marketers the ability to make the right people at the right moment, anywhere in the universe.

Factors Influencing of Online Advertising: In their study, argues that the interaction of the digital advertising environment offers them the opportunity to gather customer feedback, which is a method of collecting information on the requirements, tastes, beliefs, and behavior of customers [11]. The results from this study reveal that the main factor influencing digital advertisements is "in formativeness". It creates more positive thoughts and significantly increases purchase intention [12]. As a result, digital advertising is a more effective tool than traditional forms of advertising.

Effectiveness Of Digital Media Advertising: Show that customers' preferences to make purchases have also been extensively and positively influenced by electronic media advertising [13]. “Fast-moving consumer goods (FMCG)” and services sectors gain from the brand sustainability that digital media advertisements create. In their research, they discovered that animation advertisements and billboards with text files are particularly efficient tools for digital advertising that aim to persuade customers to purchase a product and also helps in the recall of the goods [14].

Scope of the Study: A powerful device for reaching specific customers with relevant marketing communications and promotional efforts is digital advertising [4]. It is fundamental to creating a positive customer perception and impacting consumer preferences and influencing their decisions on the products and services they like to buy offered in commercials. Everyone now needs the internet because of its integration into daily life. People now use digital media in all aspects of their daily lives. Due to the huge number of daily users from around the world, these websites are excellent for promoting goods and services every day [15].

Consumer Buying Behavior: Consumer buy behavior refers to the processes utilized when individuals or groups select, acquire, use, or discard goods, concepts, or experiences to their requirements and preferences. According to consumer behaviour is associated with both internal and external stimuli [9, 5]. There are most common stimuli are culture, values, and personal decisions besides advertising factors such as information, ease of search, choosing alternatives, and good sources of product information. The actions being taken by a consumer while searching for, getting, applying, evaluating, and rejecting goods and services they believe will meet their requirements.

Methodology and Design

This study used descriptive research design. The population of the study consisted 120 respondents in Coimbatore district. Convenient sampling used for collect the data. Primary data was the major source of data collection for the study. The primary data was obtained directly from respondents through the questionnaire. Tools used for this study is Simple percentage Analysis, Factor Analysis and Anova.

Gender Of The Respondents

Gender

Frequency

Percent

Male

78

65.0

Female

42

35.0

Total

120

100.0

Marital Status Of The Respondents

Marital Status

Frequency

Percent

Married

88

73.3

Unmarried

32

26.7

Total

120

100.0

Educational Level Of The Respondents

Educational Level

Frequency

Percent

School Level

29

24.2

Technical Education

11

9.2

Under Graduation

48

40.0

Post-Graduation

21

17.5

Others

11

9.2

Total

120

100.0

Occupational Status Of The Respondents

Occupational Status

Frequency

Percent

Student/unemployed

16

13.3

Employed

27

22.5

Professional

18

15.0

Business

28

23.3

Housewife

21

17.5

Agriculture

10

8.3

Total

120

100.0

Monthly Income Of The Respondents

Monthly Income

Frequency

Percent

No Income

37

30.8

Below Rs.30,000

17

14.2

Rs.30,001-Rs.40,000

13

10.8

Rs.40,001-Rs.50,000

16

13.3

Rs.50,001 – Rs. 1,00,000

14

11.7

Above Rs. 1,00,000

23

19.2

Total

120

100.0

                                                                                        Source: Primary data

                                                       Table 1: Demographic Profile of Respondents

Demographic Profile of Respondents

Demographic information used in this research are gender, age, nationality, educational level, and Job. Table 1 shows the results of frequency and percentage of responses. The majority (65.0%) of respondents were male remaining (35.0%) respondents are female. Majority (73.3%) are married people and remaining (26.7%) of them are unmarried. In case of Educational Level (24.2%) are having School Level Education, (9.2%) were having Technical Education, (40. %) are Qualifying Under Graduates, (17.5%) were Post Graduates and remaining (9.2%) respondents come under other categories of Educational Background. As per Occupational status of the respondents (13.3%) Student/ unemployed followed by (22.5%) Employed (15%) of them are professional workers, (23.3%) are doing business, followed by (17.5%) respondents are house wife’s and remaining (8.3%) are doing Agriculture. As per the monthly income status (30.8%) of them not earning any incomes, followed by (14.2%) Earning Below Rs 30,000, followed by (10.8%) Earning Rs.30,001-Rs.40,000, (13.3%) of the respondents’ earnings Rs.40,001-Rs.50,000, (11.7%) of the respondents Earnings Rs.50,001 – Rs. 1,00,000 reaming (19.2%) Earnings Above Rs. 1,00,000 per month.

BARTLETTS TEST

Kaiser-Meyer-Olkin Measure of Sampling Adequacy.

.663

Bartlett's Test of Sphericity

Approx. Chi-square

439.637

Df

36

Significant.

1.000

                                                         Table 2: Factors Influencing to See the Digital Advertisements

Table 2 presents a positive correlation of variables with the KMO value Sampling is .663 the factor analysis can be conducted for these variables and that is evident through the Bartlett test of sphericity (1.000).

The analysis of individual variances has shown in the commonalities that the 9 variables have their variances ranging from 0.572 to 0.882 this implies the 9 variables are statistically significant.

Communalities

Communalities

Initial

Extraction

Digital advertisements are trendy

1.000

.591

Animation and music

1.000

.718

Entertainment to see

1.000

.710

Attractive to all

1.000

.572

Interest to see

1.000

.644

Easy accessibility

1.000

.836

Privacy of the user

1.000

.882

Facilitate passing others

1.000

.770

Convenient to see at free times

1.000

.764

Extraction Method: Principle compound analysis.

Component

Initial Eigenvalues

Extraction Sums of Squared Loadings

Rotation Sums of Squared Loadings

Total

% of Variance

Cumulative

%

Total

% of Variance

Cumulative

%

Total

% of Variance

Cumulative

%

1

3.188

35.422

35.422

3.188

35.422

35.422

3.176

35.290

35.290

2

2.217

24.632

60.054

2.217

24.632

60.054

1.699

18.880

54.171

3

1.083

12.028

72.082

1.083

12.028

72.082

1.612

17.912

72.082

4

.798

8.863

80.946

 

 

 

 

 

 

5

.500

5.558

86.504

 

 

 

 

 

 

6

.439

4.883

91.387

 

 

 

 

 

 

7

.307

3.407

94.794

 

 

 

 

 

 

8

.272

3.026

97.820

 

 

 

 

 

 

9

.196

2.180

100.000

 

 

 

 

 

 

Extraction Method: Principal Component Analysis.

                                                                            Table 3: Total Variance Explained

The table displays the findings of the factor analysis with principal component analysis of 9 items of factors influencing with 3 factors which extracted out, by the three values, such as 35.422, 24.632 and 12.028 respectively are greater than the recommended level of 1. Before rotation, the table presented an indicative list of factor loadings. All nine variables are loaded onto different factors. To uncover the underlying structure among the variables, a “Rotated Component matrix” is constructed, and the table below shows the loadings of all the variables on the three Factors.

 

Component

 

 

1

2

3

Digital advertisements are trendy

.732

-.038

-.234

Animation and music

.843

.048

.073

Entertainment to watch

.838

-.022

.090

Attractive to see

.746

-.092

-.087

Interest to see

.797

.021

.091

Easy accessibility

-.050

.007

.913

Privacy to users

.079

.935

.026

Facilitate passing others

-.157

.818

.274

Convenient to see at free times

.066

.376

.787

Extraction Method. Principle of compound analyses.

 

 

 

Rotation Method: Variables max with Kaiser Normalisation.

a. In four repetitions, rotation converged.

                                                                             Table 4: Rotated Component Matrix

The variables loaded are consolidated in table 6 as follows;

Components

Constructs

Factors

1

Digital advertisements are trendy

Promotion

Animation and music

Entertainment

Attractive

Interest to see

2

Easy accessibility

Handy

Convenient to see at free times

3

Privacy

Privacy

Facilitate passing others

                                                                                            Table 5: Factors Loaded

Table 6 - contains the factors that are loaded as components 1, 2, and 3. The first component is loaded with five constructs and named Promotion, the second component is loaded with two constructs and named as Handy and the third component is loaded with two constructs and named as Privacy.

Hypothesis

H0: There is no significant difference between factors and personal information of respondents The hypothesis can be sub-hypothesized as.

H0: There is a significant difference between factors and gender of respondents.

Values

Sum of Squares

Df

Mean Square

F

Sig.

Promotion

Between groups

1.524

1

1.524

1.853

.026*

Within Groups

97.068

118

.823

 

 

Total

98.592

119

 

 

 

Handy

Between Groups

1.385

1

1.385

1.692

.006**

Within Groups

96.606

118

.819

 

 

Total

97.992

119

 

 

 

Privacy

Between Groups

.725

1

.725

.619

.033*

Within Groups

138.200

118

1.171

 

 

Total

138.925

119

 

 

 

                                                    SOURCE: primary data  *5 % significance**1 % significance

                                                                             Table 7: Anova

Table 8- presents the analysis of variance to check the difference between the factors and the gender of respondents. It can be inferred from the table that the factors desire promotion, handy, and privacy are found significant at 1 percent and 5 percent respectively. Hence, the null hypothesis is rejected and concluded that there is a significant difference between factors and gender of respondents via; promotion, handy, and privacy.

H0: There is No Significant Difference Between Factors and Marital Status of Respondents.

Values

Sum of Squares

Df

Mean Square

F

Sig.

Promotion

Between Groups

1.603

1

1.603

1.950

.065

Within Groups

96.989

118

.822

 

 

Total

98.592

119

 

 

 

Handy

Between Groups

3.401

1

3.401

4.242

.042*

Within Groups

94.591

118

.802

 

 

Total

97.992

119

 

 

 

Privacy

Between Groups

.206

1

.206

.175

.016*

Within Groups

138.719

118

1.176

 

 

Total

138.925

119

 

 

 

                                                   SOURCE: primary data  *5 % significance **1 % significance

                                                                                         Table 8: Anova

Table 8 presents using variance analysis to see how respondents' marital status and various characteristics differ. It can be inferred from the table that the factors that desire handy and privacy are found significant at 5 percent. Hence, it is determined that there is a substantial difference between factors and respondents' married status by the use of handy and private, and the null hypothesis is rejected.

H0: There is No Significant Difference Between Factors and The Educational Level of Respondents.

Values

Sum OF squares

df

Mean square

F

Sig.

Promotion

Between Groups

5.519

4

1.380

1.705

.004**

Within Groups

93.073

115

.809

 

 

Total

98.592

119

 

 

 

Handy

Between Groups

2.362

4

.590

.710

.587

Within Groups

95.630

115

.832

 

 

Total

97.992

119

 

 

 

Privacy

Between Groups

5.491

4

1.373

1.183

.022*

Within Groups

133.434

115

1.160

 

 

Total

138.925

119

 

 

 

                                                         SOURCE: Primary Data  *5 % significance **1 % significance

                                                                                      Table 9: Anova

Table 9 demonstrates the analysis of variance to determine whether the respondents' educational level and the factors differ. It can be inferred from the table that the factors of desire for promotion and privacy are found significant at 1 percent and 5 percent respectively. Hence, the null hypothesis is rejected and concludes that there is a significant difference between factors and the educational level of respondents via; promotion and privacy.

H0: There is No Significant Difference Between Factors and Occupational Status of Respondents.

 

Sum of square

Df

Mean Square

F

Sig.

Promotion

Between Gropes

2.997

5

.599

.715

.014*

Within Groups

95.595

114

.839

 

 

Total

98.592

119

 

 

 

Handy

Between Groups

2.626

5

.525

.628

.679

Within Groups

95.366

114

.837

 

 

Total

97.992

119

 

 

 

Privacy

Between Groups

2.473

5

.495

.413

.039*

Within Groups

136.452

114

1.197

 

 

Total

138.925

119

 

 

 

                                                            Source: Primary data *5 % significance **1 % significance.

                                                                                         Table 10: Anova

Table 10 presents the analysis of variance to check the difference between the factors and the occupational status of respondents. It can be inferred from the table that the factors of desire for promotion and privacy are found significant at 5 percent. Hence, the Null hypothesis is rejected and concluded that there is a significant difference between factors and occupational status of respondents via; promotion and privacy.

H0: There is No Significant Difference Between Factors in The Monthly Income of Respondents.

Values

 

Sum of Squares

df

Mean Square

F

Sig.

Promotion

Between Groups

2.234

5

.447

.529

.004**

Within Groups

96.358

114

.845

 

 

Total

98.592

119

 

 

 

Handy

Between Groups

2.446

5

.489

.584

.012**

Within Groups

95.545

114

.838

 

 

Total

97.992

119

 

 

 

Privacy

Between Groups

1.970

5

.394

.328

.005**

Within Groups

136.955

114

1.201

 

 

Total

138.925

119

 

 

 

                                                     SOURCE: PRIMARY DATA  *5 % significance **1 % significance   

                                                                                            Table 11: Anova

Table 11 presents the variance analysis to examine the relationship between respondents' monthly income and several parameters. It can be inferred from the table that the factors desire promotion, handy, and privacy are found significant at 1 percent and 5 percent respectively. The conclusion is that there is a significant difference between factors and respondents' monthly income via promotion, handiness, and privacy, and the null hypothesis is thus rejected.

Limitations of the Study

The study's main limitation is that the sample size is limited to only 120 respondents. The area is restricted to selected places in the Coimbatore district only. The results can be variable depending on the respondents' own opinions. The other limitations of the research are that research did not evaluate advertisement on specific digital media [16].

Conclusion

Digital advertising is important from the standpoint of both consumers and advertisers. The factors influencing digital advertising are important ones to determine which consumers choose their purchase decisions. In the future, most of the work will be digital only. advertising companies are well advised to design their advertising messages carefully and also plan their digital advertising campaigns and target groups thoroughly. So, the study concludes that digital advertisements are important to people for selecting their products.

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