IMPACT OF T.V.

ADVERTISEMENT ON PURCHASE BEHAVIOUR OF YOUTH

SUBMITTED BY VANITA RANI 1175209 In Partial Fulfillment of the Requirement for the Degree OF MASTER OF BUSINESS ADMINISTRAION SESSION 2011-2013 Regional Institute of Management and Technology

(PUNJAB TECHNICAL UNIVERSITY, JALANDHAR) (SESSION: 2011-2013)

ACKNOWLEDGEMENT

I take this opportunity to acknowledge my hearty thanks to all those who have been instrumental in making this project on IMPACT OF T.V ADVERTISEMENT ON PURCHASE BEHAVIOUR OF YOUTH. First of all I am thankful to all those educational institutes falls under the area of my study for providing me this opportunity to undergo my final project in their esteemed organization. I am hearty grateful to Ms.Nidhi mam for continuous and invaluable guidance throughout my project. As project is never a sole outcome, so we I remain indebted to all the employees who helped me directly or indirectly during the project work. My vote of thanks also goes to Mrs. Manjali Tejpal (H.O.D) for his continuous guidance and support. Finally, my thanks are due to my parents who with their boundless love and affection have molded me in a manner that I can stride gracefully in this world with my head held high and last but not the least my deep gratitude are to the Almighty without whose grace nothing could be possible.

Vanita Sachdeva Roll no. 1175209

DECLARATION

This is to certify that the project report entitled IMPACT OF T.V ADVERTISEMENT ON PURCHASE BEHAVIOUR OF YOUTH. has been completed under the Guidance of Ms.Nidhi mam Department of Management, Reginoal Institite of Management & Technology Mandi Gobindgarh (Punjab) as per the requirements of Master of Business Administration (MBA). I hereby declare that form of content of the project mentioned are original and have not been submitted in any other part/diploma of this organization or any other degree or institute or university.

Vanita Sachdeva MBA 4th sem 1175209

TABLE OF CONTENTS
SR.NO 1 2. 3. 4. 5. 6. 7. 8. 9. 10. CONTENTS INTRODUCTION REVIEW OF LITERATURE RESEARCH METHODOLOGY OBJECTIVES OF THE STUDY ANALYSIS AND FINDINGS SUGGESTIONS LIMITATIONS AND SCOPE CONCLUSION ANNEXURE Questionnaire BIBLIOGRAPHY 50-52 53-54 PAGE NO 6-13 14-16 17-19 20-21 22-43 44-45 46-47 48-49

INTRODUCTION The impact of television is vital because of its enormous potential as an audio-visual communicator. Television (T.V.) enables the creative man to communicate by combining motion, sounds, words, color, personality and stage setting to express and demonstrate ideas to large and widely distributed audience. T.V. advertisements usually play a role in either introducing a product reinforcing the familiarity to the product and also convincing to purchase the product. Advertisements are among the most visible of the marketing strategy and have been the subject of a great deal of attention in the last ten to fifteen years. Advertisement cannot only change emotions but give subliminal message. Advertising today seems to be everywhere and ever present exerting a far reaching influence on the daily lives of people. Advertisements develop self-concepts in order to induce purchase decisions. Television advertising employs attention grabbing trick such as catchy and pleasing music, lyrics, Jingles, humor and repeated messages. The impact of the advertisements is more on television than the print media or radio. Rana (1995) undertook a study on T.V. advertisements and expressed that among the media, the impact of television advertisement on social behavior, including purchasing behavior was the greatest. The reason being that television has charm, instantaneous transmission capability and universality of appeal. Dhillon et al. (1997) investigated the factors affecting consumer behavior of durable goods and food items. Sample comprised of 100 youth The sources of information, the rural respondents gave primary importance were, advertisements through radio, followed by posters to some extent but were least affected by magazines. Urban respondents were affected the maximum by television and magazines. Mahajan and Singh (1997) studied the impact of media on lifestyle of a youth in the age group of 12-18 years of age and found that media especially television and satellite channels certainly affected the lifestyle of individuals. They tend to buy the product advertised by media, irrespective of its cost. The way of presentation mattered in case of food items whereas in case of clothing, designer label mattered. The study was conducted in Ludhiana city (Punjab). Television advertising can have a powerful influence on youth, food preferences, consumption and behavior. Advertising seen is measured by looking at impacts. Impacts provide a measure

of advertising exposure. One impact is equivalent to one member of the target audience viewing one commercial spot. Around one in five of all of the T.V. advertisement seen by youth is for a core category product. Having realized the stupendous effect T.V. advertising has not only on the purchasing pattern but also on the total lifestyle of youth a need was felt to study the impact of T.V. advertisements on the buying pattern of the youth provide more information at the information stage. It might still be a different source influencing at the application stage when the purchase is made. The results of the study revealed that the youth viewed T.V advertisements with interest and found them entertaining and informative. The main reasons for liking an advertisement was the information it provided regarding the discount, special gifts attached, brands and quality of the product. The non-informative factors like celebrities, Catchy slogans, visual effects funny advertisements, good music and action were also the reasons for liking an advertisement, in order of priority.

TELEVISION

Television (TV) is a telecommunication medium for transmitting and receiving moving images that can be monochrome (black-and-white) or colored, with or without accompanying sound. "Television" may also refer specifically to a television set, television programming, or television transmission. TV is a medium that tends to reach nearly every one these days. The Indian readership survey & National Readership Survey (1996) have provided cultural data on media habits & on the Indian consumers. Placing an advertisement on TV can result in high frequency of exposure because there is large no. of people who regularly watch TV. Advertisers obtain sponsorship for the whole program or for only a part of it. When time of exposure is particularly important, TV is a great medium to use. Merits are:

Deep Impact Selective and Flexible Mass Communication Media Upper hand in Distribution Life-like Presentation

Demerits are:-

Shortest Life Costlier The Culture Problem

According to American Marketing Association, Advertising is defined as any paid form of non-personal presentations of ideas, goods or services by an identified sponser. The term advertising is derived from the original Latin word advertere which means to turn the attention. Every piece of advertising turns the attention of the readers or the listeners or the viewers or onlooker towards the product or an idea. Therefore it can be said that anything that turns the attention to an article or a service or an idea might be well called advertising. Advertising is defined as creative communication with consumers. The area of communication is the relationship between those who have something to sell & those who have needs and wants. Advertising is a part of flow of communication which ties our economic system together. Most advertisements communicate with people about products & services made available by a firm. It informs the people and arouses their urge to inspect the products and consider the possibility of making a purchase. Advertising is tool of business employed in varying degrees by every business enterprises. Advertisements can and do create new markets. It becomes increasingly imperative for the business houses to assume humanized character and the products (or services) to have an emotive association though advertising effort. Advertising does the job of reaching out to people with a set of association and appeals. In todays highly competitive world marketing calls for more than just developing a good product, pricing it attractively and making it accessible to target consumers. To stay in business, communication is must with customers and most effective media is advertising. Advertising is million tongued salesman. It builds factories, stores, communities and keeps the wheels of industry turning. It teaches a better way of managing our affairs. Advertising gives the public the right to choose between many options, many brands. It enables consumers to opt for the best mix of quality and price. Advertising benefits both the buyers and the sellers- the buyer I smaller costs and the seller in a greater volume of sales. Manufacturers use advertising for three purposes:

To create customers for the products they manufacture, To create goodwill, To reduce marketing costs, particularly product selling costs.

IMPORTANCE OF ADVERTISING
Importance of Advertising Advertising plays a very important role in todays age of competition. Advertising is one thing which has become a necessity for everybody in todays day to day life, be it the producer, the traders, or the customer. Advertising is an important part. Lets have a look on how and where is advertising important: Advertising is important for the customers Just imagine television or a newspaper or a radio channel without an advertisement! No, no one can any day imagine this. Advertising plays a very important role in customers life. Customers are the people who buy the product only after they are made aware of the products available in the market. If the product is not advertised, no customer will come to know what products are available and will not buy the produc. Advertising is important for the seller and companies producing the products Yes, advertising plays very important role for the producers and the sellers of the products, because: Advertising helps increasing sales Advertising helps producers or the companies to know their competitors and plan accordingly to meet up the level of competition. Advertising helps creating goodwill for the company and gains customer loyalty after reaching a mature age. Advertising is important for the society

Advertising helps educating people. There are some social issues also which advertising deals with like child labour, liquor consumption, girl child killing, smoking, family planning education, etc. thus, advertising plays a very important role in society.

Types of Advertising
If you ask most people what is meant by "type" of advertising, invariably they will respond by defining it in terms of how it is delivered (e.g., television ad, radio ad, etc.). But in marketing, type of advertising refers to the primary "focus" of the message being sent and falls into one of the following four categories: Product-Oriented Advertising Image Advertising Advocacy Advertising Public Service Advertising

Types of Advertising: Product-Oriented Most advertising spending is directed toward the promotion of a specific good, service or idea, what we have collectively labeled as an organizations product. In most cases the goal of product advertising is to clearly promote a specific product to a targeted audience. Marketers can accomplish this in several ways from a low-key approach that simply provides basic information about a product (informative advertising) to blatant appeals that try to convince customers to purchase a product (persuasive advertising) that may include direct comparisons between the marketers product and its competitors offerings (comparative advertising). However, sometimes marketers intentionally produce product advertising where the target audience cannot readily see a connection to a specific product. Marketers of new products may follow this "teaser" approach in advance of a new product introduction to prepare the market for the product. For instance, one week before the launch of a new product a marketer may air a television advertisement proclaiming "After next week the world will never be the same" but do so without any mention of a product or even the company behind the ad. The goal is to create curiosity in the market and interest when the product is launched.

Types of Advertising: Image Image advertising is undertaken primarily to enhance an organizations perceived importance to a target market. Image advertising does not focus on specific products as much as it presents what an organization has to offer. In these types of ads, if products are mentioned it is within the context of "what we do" rather than a message touting the benefits of a specific product. Image advertising is often used in situations where an organization needs to educate the targeted audience on some issue. For instance, image advertising may be used in situations where a merger has occurred between two companies and the newly formed company has taken on a new name, or if a company has received recent negative publicity and the company wants to let the market know that they are about much more than this one issue Types of Advertising: Advocacy Organizations also use advertising to send a message intended to influence a targeted audience. In most cases there is an underlying benefit sought by an organization when they engage in advocacy advertising. For instance, an organization may take a stand on a political issue which they feel could negatively impact the organization and will target advertisements to voice their position on the issue. Types of Advertising: Public Service In some countries, not-for-profit organizations are permitted to run advertisements through certain media outlets free-of-charge if the message contained in the ad concerns an issue viewed as for the "greater good" of society. For instance, ads directed at social causes, such as teen-age smoking, illegal drug use and mental illness, may run on television, radio and other media without cost to organizations sponsoring the advertisement.

REVIEW OF LITERATURE

Vivica Kraak, David L. Pelletier (1998). Striving to achieve optimal nutritional well-being among children is a high priority, given our knowledge relating nutrition to disease risks and the importance of early childhood experiences in forming lifetime behavioral patterns. The eating patterns of children and teenagers have changed significantly over the past two decades. Children and teenage youth are eating more frequently, getting a greater proportion of their nutrient intake from snacks, eating more meals away from home, and consuming more fast food (4,16). Nationwide surveys show that food consumption patterns of most American children do not meet the Dietary Guidelines. The average diet of American children exceeds the recommendations for rat, saturated fat, and sodium, and childhood obesity is a growing problem across all income strata (16). Thus, it appears unlikely that the goals for children's diets for fat and saturated fat set forth in the Healthy People Objectives 2000 will be reached by the year 2000.

Larry K. Brown, M.D., Kevin J. Lourie, Ph.D., Caron Zlotnick, Ph.D., and Jennifer Cohn, B.S. (2000). This study compared the HIV-risk-related behaviors and attitudes of adolescents with and without a history of sexual abuse who were in intensive psychiatric treatment. Adolescent patients (N=208) completed measures of psychological functioning and HIV-related knowledge, attitudes, and behaviors. Among sexually active adolescents in psychiatric treatment (N=116), those with a history of abuse reported significantly less condom self-efficacy (emotional ability to use condoms), less knowledge of HIV, less impulse control, less frequent use and purchase of condoms, and significantly higher rates of sexually transmitted diseases than their peers. Multiple logistic regression indicated that a history of sexual abuse was strongly associated with inconsistent condom use. Sexual abuse was associated with HIV-risk-related attitudes and behaviors among adolescents in psychiatric treatment. Clinicians should thus view a history of sexual abuse as a marker for sexual behavior that puts adolescents at risk for HIV.

Sherry Emrey and Melanie A. Wakefield (2000). Recent state budget crises have dramatically reduced funding for state-sponsored antitobacco media campaigns. If campaigns are associated with reduced smoking, such cuts could result in long-term increases in state health care costs. Commercial ratings data on mean audience exposure to antitobacco advertising that appeared on network and cable television across the largest 75 media markets in the United States for 1999 through 2000 were combined with nationally representative survey data from school-based samples of youth in the contiguous 48 states. Multivariate regression models were used to analyze associations between mean exposure to state antitobacco advertising and youth smokingrelated beliefs and behaviors, controlling for individual and environmental factors usually associated with youth smoking and other televised tobacco-related advertising.

Mary Story and SIMONE FRENCH (2004). In recent years, the food and beverage industry in the US has viewed children and adolescents as a major market force. As a result, children and adolescents are now the target of intense and specialized food marketing and advertising efforts. Food marketers are interested in youth as consumers because of their spending power, their purchasing influence, and as future adult consumers. Multiple techniques and channels are used to reach youth, beginning when they are toddlers, to foster brand-building and influence food product purchase behavior. These food marketing channels include television advertising, inschool marketing, product placements, kids clubs, the Internet, toys and products with brand logos, and youth-targeted promotions, such as cross-selling and tie-ins. Foods marketed to children are predominantly high in sugar and fat, and as such are inconsistent with national dietary recommendations. The purpose of this article is to examine the food advertising and marketing channels used to target children and adolescents in the US, the impact of food advertising on eating behavior, and current regulation and policies.

Janine Paynter and Richard Edwards (2009). Tobacco promotion increases the likelihood that adolescents will start smoking. Much of the tobacco industry's promotional budget is spent on point of sale (PoS) promotion in many jurisdictions. Consequently, tobacco is an eye-catching feature at the PoS in many places.

We reviewed the evidence that PoS tobacco promotion influences key smoking-related behaviors and beliefs, increases susceptibility to smoking in youth, undermines smokers quit attempts, and promotes relapse among ex-smokers. We found 12 peer-reviewed studies, 10 of which were focused on children. Seven of 8 observational studies found statistically significant associations between exposure to tobacco promotion at the PoS and smoking initiation or susceptibility to smoking. Two experimental studies of children found statistically significant associations between exposure to PoS tobacco promotions and beliefs about ease of getting tobacco and smoking prevalence among their peers. An experimental study with adults found that a picture of collected tobacco pack elicited cravings for cigarettes among smokers. A cross-sectional study found that 25% of adult smokers reported impulse purchasing and a third of recent ex-smokers reported urges to start smoking after seeing tobacco displayed. Lesley A Smith and David R Foxcroft (2009).The effect of alcohol portrayals and advertising on the drinking behaviour of young people is a matter of much debate. We evaluated the relationship between exposure to alcohol advertising, marketing and portrayal on subsequent drinking behaviour in young people by systematic review of cohort (longitudinal) studies. studies were identified in October 2006 by searches of electronic databases, with no date restriction, supplemented with hand searches of reference lists of retrieved articles. Cohort studies that evaluated exposure to advertising or marketing or alcohol portrayals and drinking at baseline and assessed drinking behaviour at follow-up in young people were selected and reviewed.

RESEARCH METHODOLOGY

ACCORDING TO CLIFFORD WOODY, IT IS A PROCESS OF DEFININGAND REDEFINING A PROBLEM FORMULATING HYPOTHESISSUGGESTING SOLUTIONS,ORGANISING AND EVALUATINGTHE DATA AND FINALLY MAKINGTHE REPORTS OF DAT COLLECTED TO GENERATEINFORMATION With the ever increasing complexity of the marketing and activity, marketing research has also grown in today, carrying out research relating to customers and markets require specialized skills.

RESEARCH DESIGN:-

Design is basically a blue print of the research which includes the method of research, the instruments to be used for method of sampling etc. It is a statement of; elements of a study those that provides the details of the project. The design that is in the study is a Descriptive Design, a descriptive the phenomenon without establishing association factors, descriptive design was used because it studies variables of people or respondents who are under the study involved the survey of consumers views

Intended to produce accurate descriptions of relevant to the decision being faced without that some relationship exists between variables. It is the simplest of all the designs.

DATA SOURCES:PRIMARY SOURCE OF DATA: Questionnaire Method:

In this, the sample size of 100 Youth was taken and they were asked questions based on requirement of study.The youth were asked to give answers to both open ended and close ended questions. SECONDARY SOURCE OF DATA:

Internet Marketing books Journals and Magazines

This also included going through researches prepared by other students. Research instruments Questionnaires Sample unit. Youth Sample size..100 Area...Mandigobindgarh Data Analysis.Percentages and graphs Types of questions .open and close ended questions

CONTACT METHOD:

The respondents were personally interviewed for the research.

OBJECTIVES OF THE STUDY

To study the Perception of youth regarding the role of T.V advertisement on their buying behaviour. To identify the overall impact of T.V advertisement on youth. To study there is significant difference of t.v ads on patricular age groups.

Q1. Do you watch Television? Answer Yes No NO: of Respondent 100% 0

INTERPETATION: When the respondents were asked whether they watch television, it was found that all the respondents watch television. Thus it is evident that the T.V is very popular.

Q2: On an average how much time you spend on watching T.V daily? TIME 2 Hours 4 Hours 6 Hours More Than 6 Hours No: of Respondent 70 15 10 5

INTERPETATION: When the respondents were asked how much time you spend on T.V then it was found that 70% respondent spend two hour 15% respondent spend four hour 10% spend six hour and 5% respondent spend more than six hour.

Q3:Have you ever been motivated to purchase a product after seeing T.V advertisement? PRODUCT PURCHASE Sometimes Rarely Always Never No: of Respondents 50 40 8 2

INTERPETATION: As per analysis the 50% respondents are motivated to purchase a product after seeing the T.V advertisement

Q4: What is your reaction when you watch a T.V commercial ? REACTION Watch with Interest Switch with other Channel Indifferent No: of Respondents 40 35 25

INTERPETATION: From the analysis it can be concluded that 40% respondents watch with interest 35% respondent switch the other channel and 25% respondent use the indifferent way to watch the T.V

Q5: Do you think that T.V advertisement effect the buying behavior of youth?

ANSWER YES NO

No: of Respondents 90 10

INTERPETATION: When the respondents were asked weather they found T.V advertisement effect the buying behavior, it was found that 90% of respondent say yes and only 10% respondents say no.

Q6: What according to you is the role of T.V advertisement on buying behavior?

ROLE Giving Information of the product Convincing The Buyer Time Saver

No: of Respondents 52 38 10

INTERPETATION: It was found that out of 100 respondents(52%) said T.V giving information of the product, (38%) said T.V conceiving to buyer the product and only (10%) said T.V help in time saver.

Q7: What types of T.V advertisement attract you the most? ADVERTISEMENTS No: of Respondents

Ads Showing Stunts/Action Orient Ads Showing Vulgarity of any Kind Ads Showing Female Models Ads Showing Celebrities Any Other

33 14 26 20 7

INTERPETATION: When the respondents were asked whether they attract to purchase a product after seeing its T.V advertisements, it was found that 33% respondents were attract by stunt/action oriented,14% by vulgarity,26% by female models, 20% by celebrities(male) and 7% by any other.

Q8: T.V advertisement of which product attract you the most? PRODUCT TYPE Durable Goods Non-Durable Goods No: of Respondents 40 30

Services

30

INTERPETATION: When the respondents were asked which product you attract the most. Most of the consumers said that non durable goods attracted them the most.

Q10: Do you carry out any kind of discussions with your family before buying the product? ANSWER YES NO No: of Respondents 76% 24%

INTERPETATION: When the respondents were asked when you go to market to buy the product, you discuss with family or not then the 76% say yes and 24% say no.

Q11: Do you think T.V advertisement for product meant for adults should be banned? ANSWER YES NO No: of Respondents 36% 64%

INTERPETATION: Majority of the respondents (64%) were against banning advertisement of adult products while 36% respondents were in favor of banning.

Q12: Do you think product can be sold without T.V advertisement? RESPONSE YES NO PERCENTAGE 10% 90%

INTERPETATION: It was found that out of 100 respondents,10% say product can be sold without advertisement and 90% say product can not sold without advertisement

Q13: Following statement would help in analyzing your perception about T.V advertisement? (Note: SA-Strongly agree, A-Agree, NAND-Neither agree nor disagree, DA-disagree, SDAstrongly disagree) SR.No STATEMENTS a) b) c) SA A 67 50 36 DA 6 6 8 SDA 2 4 2

T.V Ads Effect The Buying Behavior 25 T.V Ads Provide The Right Kind of Information 16 T.V Ads Befool people/youth 14

d) e)

T.V Ads Ignites the Buying Behavior Among Youth T.V Ads Sometimes Force You To Buy Those Product that are not mean to be Bought T.V Ads Actually helps you to make better choice T.V Ads in reality confuses you by providing

36 20

30 24

4 26

8 10

f) g) h) i) J)

38 28

28 40 20 18 22

6 12 12 34 24

4 2 10 8 8

information about multiple brands T.V Ads Promote aggression among youth 40 T.V Ads is agaisint the ethics and value system of 10 India society. T.V Ads has promoted materialism and consumerism among youth. 18

FINDINGS

Mostly youth are influenced from T.V advertisements T.V advertisements change the behaviour of youth by attracting them. Mostly youth believes that T.V advertisements are good source of information regarding the product.

Youth believes that T.V advertisements help them to make a choice between various alternative products.

Mostly respondents recall the advertisements of the telecom products.

These days advertisements are shown in interesting manner and youth show interest in watching ads rather switching to other channels.

SUGGESTIONS

It is recommended that T.V advertisements should be as informative as possible. Normally youth are attracted towards T.V media so advertiser should concentrate more on T.V media for effectiveness. Advertisements should be attractive as well as creative enough to hold the viewers attention. Advertisements should be such that one can watch these sitting along with family members.

 T.V advertisements should not be presented in such a way that it promotes the aggression among youth.

LIMITATIOIONS OF THE STUDY

Due to time and resource constraints the survey was conducted within the city of Ludhiana and as such the study might not present a true picture of youth attitude towards advertising per se.

A small sample size of 100 respondents may not be representative of the universe. The respondents bias might have crept in while filling the questionnaire. Due to dynamic nature of youth there is every possibility that the findings of today may become invalid tomorrow.

SCOPE
Scope was limited to the geographical boundary of MandiGobindgarh city only. So we can say that the scope of the study is limited.

CONCLUSION

The research project titled Impact of T.V advertising on purchase behavior of youth. Is based on primary data that was collected through the survey method in order to know impact of advertisements of T.V media on youth. The sample size was 100. The instruments used for survey was structured questionnaire containing 14 questions.

While conducting survey we found following facts:The study shows that the majority of youth are regular television viewer. And this change their behavior after attract from this media.

So we can conclude that majority of youth believe that T.V ads are good source of information and help them to make a choice between various alternative products.

References and Bibliography

Books and websites : Advertising by Sontaki Marketing management by Philip Kotler Fundamentals of marketing by William. J. Stanton Advertising by Frank Jefkin

www. Google.com