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Lyceum of the Philippines University

College of Business Administration

Consumer Behavior Research


On
Factors Affecting Purchasing Decisions of
Millennials on online shopping

Prepared by:
Cunanan, Jay-anne
De Jesus, Maria Theresa

Professor Juanito Victoria


May 24, 2019
Table of Contents

I. Introduction

This study aims to evaluate and analyze the factors affecting purchasing decision of
millennials on online shopping in Manila, specifically in Metro Manila. It seeks the
following questions:
1. What is the profile of the respondent with regards to,
1.1 Age
1.2 Gender
1.3 Educational Attainment

2. What are the factors affecting purchasing decision of millennials on online shopping as
perceived by the respondents in the marketing strategy of an Online Shop in terms of:
2.1 Advertising campaigns
2.2 Economic condition
2.3 Personal preferences
2.4 Group Influence
2.5 Purchasing power

Comparative questions:

Is there a significant difference between advertising campaigns and purchasing power?

Which group influence affects age of the customers?

The term ‘Millennial’ refers generally to somebody born between the 1980s and the
1990s, though many people call anyone born after 1980 a Millennial. In this respect
Generation Z didn’t exist until people made it, with its own conflicting year range with the
Millennial Generation that came before it, further emphasizing that dividing people by
generation are rather arbitrary. It clumps together people born during the same twenty-year
period and judges them by their loudest members, which is not really fair for said people.
Throughout history the youth has been accused of all sorts of things, most of which
were said to contribute to society’s inevitable downfall. Socrates denounced the youth of
Athens for not paying respect for their elders, saying that they prefer idle talk to deeper, more
meaningful conversations. During the early modern era chess and waltz were not the symbols
of class they are now, for moral guardians back then call them idle entertainment and a
degenerate and improper way of dancing, sure signs that the end of civilization was near. And
now video games are said to encourage violence in the youth and social media makes them
even more narcissistic and entitled, and the latest generation has been spoiled since birth with
gadgets and thus irredeemable. Or so the current moral guardians say. What people would
accuse the youth of in the future remains to be seen, but it seems that the more things change,
the more they remain the same.
Why does the idea of creating and stereotyping generations appeal so much to people?
It could be because man is by nature an argumentative creature, viewing the world through

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us-vs.-them lenses. Or it could be a handy way of placing all the ills of the world upon the
shoulders of somebody who usually could not fight back, as the generations were condemned
when they were still dependent on their parents or just starting out in life. Or it could be
because man is afraid of new ideas beyond his comprehension, and his condemnation of the
novel and innovative a coping mechanism before a changing world. These and more are
rather interesting perspectives on how people think, but that’s a topic outside of marketing,
and thus it ends here.
Since the idea of generations thinking and acting the same has been ingrained into
humanity itself, it is no surprise that marketers have taken some of the cues they’ve seen in
order to predict and capitalize on the current hot generation’s buying patterns. While
sweeping generalizations could fail disastrously, winning over the Millennials guarantees a
company a market very prone to spreading actual and virtual word-of-mouth, thus increasing
its overall exposure. Millennials as a whole prefer more personalized products, and are more
enthusiastic in seeking out stores that are not in the mainstream – individualism is one of
those virtues many Millennials highly value. Though this could also reveal itself in a less
favourable light, as the proliferation of selfies and other aspects of one’s personal life in
social media gave the Millennials one of their many unflattering nicknames, the Me, Me, Me
Generation – one which marketers could also exploit to their advantage.
Secondly, Millennials are statistically thriftier than the previous generations, despite
the popular perception that they all chase after the latest iPhone products and regularly eat at
expensive restaurants. With the current global situation where income has not completely
caught up with the rising living expenses like housing and healthcare, as well as the recent
housing crash and other economic recessions these last decade, not to mention the student
loans many have, Millennials are the first generation since the Second World War to be
poorer than the one preceding them. Herein comes the accusation that Millennials are killing
industries, like that of the casual dining industry, the housing industry or some other industry
the speaker likes and which the Millennials don’t. But the fact remains that lack of sufficient
economic means helps to explain why the Millennials don’t patronize the exact same
products as the ones before them. Casual dining could be rather heavy on one’s budget, not to
mention bland to many, so that Millennials either cook their own food or patronize mom and
pop restaurants that offer cheaper and more varied food. And given their relative lack of
funds, Millennials are finding it hard to afford even a small home in today’s economic
settings, so much that they either live in apartments instead or stay with their parents until
they are able to move out. And of course the present day is completely different to the good
old days many people long for. Back in the days, so they say, one can live comfortably in a
spacious house and buy a car working only as a waiter in the local chain restaurant, or as a
worker in the town factory, or in other jobs that today either no longer exist in many places or
no longer pay as handsomely as they once did. While by no means extinct, these
opportunities are no longer as prevalent as they once were.
What a marketer can glean from these two points are by no means the absolute truth
for the entire generation, but they can help him understand that their behaviour didn’t come
out of the vacuum but is rather shaped by the times of their youth and the present day. Being
the first generation to truly know the internet as people know it today, they form a huge
market for services like streaming, online shopping and others.

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Background of the Study
Millennials and Online Shopping
The Millennials as a generation grew up alongside the Internet in its second growth spurt
after the Internet bubble, this advantageous positioning coupled by the fact that they are more
computer literate than their predecessors, thanks to their exposure to computer since youth
and the presence of computer subjects in their school curricula. and unlike Generation Z they
also And given the age bracket of Millennials, that being between 19 to 39 years old, many
are either a few years from graduating from college or already beginning their tenure in the
labour force – thus they are now an emerging market segment, with their unique wants and
needs. As a whole, Millennials favour personalized goods and services catering to their desire
of uniqueness and individualism, meaning that they are more likely to seek out new brands
and not always settle for brands that are already well-known in their respective markets.
Alongside the growth of the Millennials as a significant market demographic was the
expansion and refinement of the Internet and the services it offers. Most significantly online
shopping websites are more abundant than they were ten years ago and account for greater
and greater shares in the overall economies of technologically advanced nations – for
instance, online shopping accounts for 10 percent of all retail sales in the United States for
the year 2018 (US Census Bureau, 2018), while in South Korea, 20 percent of all buyers
already use online services for their groceries (The Atlantic, 2019).

Significance of the Millennial Generation


The Millennial generation is first and foremost, amongst if not the largest generation in
history – in the US, for instance, it accounts for nearly a quarter of the entire nation’s
population (Frey, 2019). It now eclipses the size of the Baby Boomers, the generation born
after the end of the Second World War, and currently still one of the most influential sectors
in the country. Thus the Millennial generation is expected to also wield at least as much
influence as the older generation did during its peak on the 1960s and 1970s, reflected by the
fact that US Millennials compose 30 percent of the voting population as of 2019.
Alongside this sheer weight of numbers in the Millennials’ significant affinity for
technological aspects in comparison to earlier generations, most notably with regards to the
internet and social media. Not that the earlier generations spurn technological advancements
as a whole – 75 percent of Generation X and 57 percent of the Baby Boomers report using the
social media on a regular basis (Pew, 2018) – but in all categories Millennials win by
significant margins. For instance 92 percent of Millennials use smartphones, compared to 85
percent of Generation X and 67 percent of Baby Boomers.

Millennials and Reverse Branding


The buying behavior of Millennials, like any other demographic, is subject to different
factors. Since they are as a rule individualistic and outgoing, and actively seek out brands that
cater to their needs and wants rather than settling for established names, Millennials need to
be actively pandered to by marketers, and newly-established firms are not as disadvantaged
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when competing with established brands when catering to the Millennials’ needs and wants
than they would to other market segments (Forbes, 2017). They place greater emphasis on the
product itself rather than on the product’s branding and the company name that made it,
allowing a more even batting field for newly-established firms and providing marketers of
said smaller firms with opportunities to encourage their patronage, as Millennials are also
very loyal to brands that win their trust. This phenomenon, called Reverse Branding, rewards
companies who work to pull customers towards them and penalizes those who rely on brand
image only to attract their target market (Ong, 2017). Millennials also tend to vote more with
their wallets, supporting companies that conducts themselves in ways they want to – like
ethical business practices, environmentally-friendly products, to give a couple examples.

Millennials and Social Media


Their preference of social media presents the clever marketer countless opportunities to
advertise their own product without using their company’s own funds, time or manpower.
Millennials, as well as being technological savvy, are also very outspoken both personally
and digitally – more significantly on the latter, to the point that their predecessors have
criticized them as the ‘Me Generation’, a nickname which was also given to the Baby
Boomers and Generation X decades ago. This tendency of Millennials to use the social media
to excess can be exploited by marketers by providing excellent goods and services as well as
memorable first impressions and experiences – by digital word of mouth, a company’s good
reputation could be established with relative ease and with little to no involvement on its own
part. Millennials are more prone to give word of mouth and recommendations than the
average person, up to 50 percent more, and thus the effects are also magnified (Teague,
2018).

Millennials and Progressivism


Millennials are also more outgoing and progressive-minded in comparison to their
predecessors. They rarely shy away from confronting social issues and today forms a sizable
representation in several activist and political groups – coinciding with the rise of several
social causes catering to social, environmental and political reform, magnified even further
by the wide spread of today’s internet and social media. Businesses responded to this rise in
progressivism by creating or pushing into the forefront their firm’s corporate social
responsibilities, with generally Millennial-appealing notions like workers’ rights,
environmentalism and equality especially highlighted (Ong, 2017). Many are now pushing
their own pet ideologies and shaping their business practices around these, a sharp contrast to
earlier times where a company having its ethical and ideological aspects form a visible side
of its practices was more of an exception than the rule.

II. Review of the Literature

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E-COMMERCE FACTORS INFLUENCING CONSUMERS‘
ONLINE SHOPPING DECISION

Živilė Baubonienė (Glaveckaitė)


December 2015

https://www.researchgate.net/publication/307847016_E-
COMMERCE_FACTORS_INFLUENCING_CONSUMERS'_ONLINE_SHOPPING_DECISION

Purpose – The purpose of this paper is to look at the factors driving online shopping and to
develop an understanding of the factors influencing the online shopping by the consumers. This
is done by exploring the factors that encourage consumers to shop online through analysis of
such advantages as security, fast delivery, comparable price, convenience, cheaper prices and a
wider choice. At the same time, the research project reveals the factors that are discouraging for
consumers and the benefits received by buyers making purchases online. Specifically, the
research explores how online shopping can be affected by such factors as age, gender or
occupation. Design/methodology/approach – The factors that affect the consumer online
shopping have been disclosed through quantitative research by analysing data collected via a
web‐based questionnaire survey. The sample consisted of 183 Lithuanian consumers who were
purchasing online. Findings –The empirical findings of this study indicate that the main factors
influencing consumers to shop online are convenience, simplicity and better price. Analysis of
socio-demographical characteristics such as gender has shown that men shop more often online
because of the lower price. Respondents of the 25–35 year age group more often choose
shopping online for such reasons as lack of time and a wide range of products. The most
beneficial factor of shopping online was identified as a possibility to compare prices and buy at a
lower price. Research limitations/implications – This study was done regarding only general
conditions and the findings may not necessarily be applicable to a particular e-business.
Therefore, in the future it would be highly encouraged to examine consumers’ attitudes towards
specialized online shopping websites to look for differences by kind of products or
services.Practical implications – Attributes identified by this study could help e-business
developers to forme their marketing strategy, identify and remove the main obstacles to creating
a highly convenient online shopping service to customers. Online stores can devote valuable
corporate resources to better mapping of the online consumers’ behaviour, future technologies
and developments. Originality/Value – This paper may be valuable for online retailers, as it will
help them to attract consumers and enable to better form their e-marketing strategies allowing to
understand the consumers’ changing needs and lifestyles as well as to to attract them with
regard to their online shopping experience.

Aelita Skaržauskienė, Živilė Baubonienė and Gintarė Gulevičiūtė


Contribution to literature can be revealed by proposed conceptual model and variables
which includes
customer satisfaction, operational, logistic and technological influence on online
shopping decisions. The
factors influencing consumers’ online shopping behaviour and future perspectives of
e-commerce were
established with the help of quantitative and qualitative research. Suggestions, insights and
recommendations
are presented at the end of the survey

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Panda, Swar (2014) singled out associated risks in the form of Anxiety: personal
information privacy, product
guarantee, easy product-return policy, payment security, possibility to examine the
product before purchase,
service reliability, interaction and trust; Ease of Use: shopping convenience, easy
shopping process, product
comparison while shopping and user-friendliness of service; Usefulness: saves
time, availability of different
brands, shopping enjoyment and visual appeal; and Price: purchase at lower prices
and discounts.
shopping online decisions are influenced by technological factors related to
payment,
purchasing process, delivering, goods presentation, pricing,

In the theoretic part of the article, the most significant online shopping factors were
estimated to be lower
price, possibility to find a different product, lack of time, wider range, simpler and
more convenient purchase

Exploring the Factors Influencing Customers Purchase


Intention in Online Shopping

https://www.researchgate.net/publication/327994602_Exploring_the_Factors_Influencing_Custome
rs_Purchase_Intention_in_Online_Shopping

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October 2018 

Fahima Khanam

Online shopping has increasingly become popular in Bangladesh with the introduction of
globalization. Many people, specifically the younger generation, are purchasing various types of
products every day online as it is convenient and saves time. Consumers are influenced to
purchase online as a result of many factors including time-savings, fast delivery, ease of the
transaction, and a website's user friendliness, and many more. The consumer evaluation is
important to explore why a consumer intends to purchase online. The present study is an attempt
to determine the factors that influence consumers' online shopping in Dhaka. Through this
process, this study attempts to identify the critical factors that influence consumers' online
shopping in Dhaka and to evaluate the association between these factors and consumers' online
shopping habits. It also tries to determine the importance of these factors on consumers' online
purchasing habits and to identify problems and suggest possible recommendations. The factors
that are being considered include convenience factors, psychological factors, promotional
factors, technical factors, and motivational factors. Each factor has some distinct variables.
Convenience factors include less time, home delivery, and ease of transaction. Psychological
factors include domain specific innovativeness, and opinion of friends and peers. Promotional
factors include online ads, and social media exposure. Technical factors include user-friendliness
of websites, and display of product details. Motivational factors encompass utilitarian and
hedonic values. For this study the Multiple Regression Analysis Model was used. A structured
questionnaire survey was conducted on 120 consumers to obtain consumers' opinion regarding
how their purchase habits are sparked by different factors. The results reveal that only the home
delivery system and utilitarian value of online shopping makes customers consider purchasing
online. The other important influences were opinion of friend and peers, social media exposure,
and display of product details. This study can hopefully shed some new insights into consumers'
online purchasing habits.

CONSUMER PERCEPTION AND PURCHASE BEHAVIOR ON ONLINE SHOPPING


AMONG STUDENTS IN MINDANAO UNIVERSITY OF SCIENCE AND
TECHNOLOGY
Earl Michael A. Tubio, Jeanne B. Altaque, Katrina V. Lucero,
Rudynna Grace C. Tagam, Li Fini Rae E. Toling, Mary Grace C. Veri

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,
and
Dr. Ray Butch Mahinay
September 15, 2016

(PDF) CONSUMER PERCEPTION AND PURCHASE BEHAVIOR ON ONLINE SHOPPING AMONG


STUDENTS IN MINDANAO UNIVERSITY OF SCIENCE AND TECHNOLOGY. Available from:
https://www.researchgate.net/publication/309187379_CONSUMER_PERCEPTION_AND_PURCHASE_
BEHAVIOR_ON_ONLINE_SHOPPING_AMONG_STUDENTS_IN_MINDANAO_UNIVERSITY_OF_SCIENCE
_AND_TECHNOLOGY [accessed Apr 21 2019].
Consumer perception influences consumer’s purchase behavior. With this, the study determined
whether there is a significant relationship between consumer perception and purchase behavior
on online shopping among students in Mindanao University of Science and Technology.
Purposive non-random sampling was conducted to 200 respondents in four different colleges in
the University. Through a survey questionnaire adopted from three different previous studies,
three elements of perception were gauged: (1) convenience; (2) benefits; and (3) leisure, and
another three elements of behavior: (1) convenience; (2) security; and (3) leisure. It has been
found out that the respondents’ perceptions and their purchase behavior on online shopping are
both high. Correlational analysis yielded a high significant association between their beliefs and
behavior at .05 level of significance. To sustain their high perception on online shopping, it is
suggested that web developers should incorporate features on their websites regarding
convenience, security, benefits, and leisure. It is important for online marketers, entrepreneurs,
and businessmen to consider the fact that students spend more time on the internet and that this
factor will likely increase the students’ online shopping behavior.

Consumer perception theory is applied by merchants to determine how their customers


perceive them. They also use consumer perception theory to develop marketing and
advertising strategies intended to retain current customers and attract new ones (Menon &
Kahn, 2002). Mathwick et al. (2001) says that if consumers enjoy their online shopping
experience, they have a more positive attitude toward online shopping, and are likely to
adopt the Internet as a shopping medium. Likely, value perception is the part of the
consumer perception theory that attempts to understand how consumers’ perceptions of
product influence their behavior. Generally, consumer perception theory is used for
designing product or brand in marketing (Ravald & Gronroos, 1996). It is the perception of
the online shoppers that online shop owners depend and then do some adjustments. Certain
products are changed or modify to a form which becomes attractive to consumers. This
theory answers how the consumer perception affects the behavior towards a product or
service.

Examining the influence of online reviews on consumers' decision-


making: A heuristic–systematic model
November 2014

Kem Z.K. Zhang

Sesia J. Zhao

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Christy M.K. Cheung

Matthew K.O. Lee

https://www.sciencedirect.com/science/article/pii/S0167923614002097

Along with the growth of Internet and electronic commerce, online


consumer reviews have become an important source of information that
assists consumers to make purchase decision. However, theoretical
development and empirical testing in this area of research are still limited,
which greatly hinder us from understanding the influence of online reviews.
Drawing upon the heuristic–systematic model from the literature of dual-
process theories, we develop a research model to identify factors that are
important to consumers' purchase decision-making. The model is
empirically tested with 191 users of an existing online review site. We find
that argument quality of online reviews (systematic factor), which is
characterized by perceived informativeness and perceived persuasiveness,
has a significant effect on consumers' purchase intention. In addition, we
find that source credibility and perceived quantity of reviews (heuristic
factors) have direct impacts on purchase intention. The two heuristic
factors further demonstrate positive influences on argument strength. This
result is consistent with the proposition of bias effect in the heuristic–
systematic model, which elucidates the interrelationship between heuristic
and systematic factors. Based on the findings, we discuss implications for
both researchers and practitioners.

Exploring the Influential Factors of Online Purchase Intention in Finland


Heather Abrafi Agyapong

https://www.theseus.fi/bitstream/handle/10024/144428/HEATHER-THESIS_2K18.pdf?
sequence=1&isAllowed=y

Online shopping or e-commerce is a fact that is observed to be in high existence lately. Looking
closely at the rapid growth of the main players in this field proves that there is still a large market
potential for online shopping. The benefits of online shopping clarify it as a developing trend among
consumers, especially in Finland. The popularity of online shopping has raised the interest of retailers
to target this area. Finland is one of the leading countries in the adaptation of new technologies. This
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study was therefore to determine the factors influencing online purchase intention in Finland.
Electronic questionnaire was sent publicly to Finnish people with online shopping experience for
answering. 184 responses were collected and the data was then analyzed using SPSS model. The
conclusion can be interpreted that most shoppers are young adults. There are however many factors
that influence online purchase in Finland with convenience being the biggest perk. Finnish shoppers
are also keen on the quality of products that they intend to purchase. For future research,
respondents should not only be limited to experienced online shopping Finns, this will give a much
more realistic and valid results.

RESEARCH ON CONSUMER ONLINE PURCHASING DECISION AND ITS


INFLUENCING FACTORS IN CHINA
Ke Zhao 2015

https://pdfs.semanticscholar.org/e6f2/4262c65b7a028c9d97e7c28cd8b950eaadb3.pdf

E-commerce market has great potential, especially the aspect of online shopping, but before every
moves of development, we must understand the key factors that restrict the activity of consumers
shopping online. Only understand these impediments enable the online shopping to develop. The
objective of thesis aims to investigate the decision-making process of online consumption and to
evaluate how cultural, social, personal, and environmental factors could have impact on the
customers’ online shopping decision, specifically in China e-commerce market. The research
designed on the perspectives of online consumers’ characteristics and environmental stimulations.

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The respondents who have online shopping experiences on Taobao e-commerce market for
questionnaire were selected from China. A 152 sample frame was chosen for participation, but only
30 respondents obtained within 17 days of releasing. Research questions were devised on the
fundamental of four factors while items for each question were designed in terms of sub-factors
from main aspects. Consequence verified the impact of factors on customer online shopping
behavior and came up with two obstacles that negatively influence both customer online shopping
desion and online retailers. Suggestions for further study can be conducted with the expansion of
samply demand the diversification of samlpe background.

China online shopping market research report (2013) displays that online shopping customers
population penetrates from younger users to senile online citizens, the online user population
between the ages of 20 to 29 occupies 56.4% on a national scale, while the ratio of online user
population on the age between 31 to 39 is relatively less, which is 22.5% only (CNNIC, 2014)

A Study On The Influences of


Advertisement On Consumer Buying
Behavior
Tashrifa Haider, Independent University Dhaka
Shadman Shakib, Masters Independent University

2017

https://www.abacademies.org/articles/a-study-on-the-influences-of-advertisement-on-consumer-
buying-behavior-7177.html

Consumer Buying Behaviour, Advertisement, Entertainment, Familiarity, Advertisement


Spending, Social Imaging.

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Introduction
Advertising is a way of communication to encourage an audience for making purchase
decision about a product or service and conveying information to viewers. It is considered as
a vital and essential element for the economic growth of the marketers and businesses
(Ryans, 1996). Advertising is usually a paid form of exposure or promotion by some sponsor
that reaches through various traditional media such as television, newspaper, commercial
radio advertisement, magazine mail, outdoor advertising or modern media such as blogs,
websites and text messages (Ahmed & Ashfaq, 2013).

Marketers have always adapted to changing business demands when it comes to creating
new advertisements. The use of advertisements has significantly increased in the 20th Century
as industrialization expanded the supply of manufactured products. However, not many
businesses practiced advertising at the time. During the late 80s advertisements were fairly
limited to television, radio, billboards and newspapers. In the modern times, businesses are
leaning towards Digital Advertising. Companies are so focused in social media and mobile
advertisements that they may take over Television advertisement very soon. In Bangladesh,
the trend of Digital Marketing is just on the bloom. Most large local and multinational giant
companies are now practicing digital marketing in full swing.

The major aim of advertising is to impact on buying behaviour; however, this impact about
brand is changed or strengthened frequently through people’s memories. Memories about the
brand are formed by associations that are related to brand name in consumer mind (Khan,
Siddiqui, Shah & Hunjra, 2012). These brands continuously influence consideration, evaluation
and finally purchases (Romaniuk & Sharp, 2004).Consumers buying behaviour has always
been given so much importance and space in the literature study of impact of advertising
regarding its effectiveness (Ajzen, 2002). Most of the time consumers buying behaviour
depends on liking or disliking of consumer towards the advertisement of the product
advertised (Smith et al., 2006). A good quality advertisement is likely to influence consumers
into buying that product while a poor quality advertisement will do the opposite.

Previous studies have been conducted on effectiveness of advertisement and on


advertisement’s impact on consumer buying behaviour which depicted positive relationships.
However, in this paper we have introduced a combination of different variables and
attempted to examine their influence on consumer behaviour. This paper aims to determine
which of these variables carries the most importance in terms of effecting consumer
behaviour and which of these variables carries less significant impact. This will help marketers
to focus on the right factors and achieve maximum benefit from their advertisement.

We believe that the study will offer useful insights for both advertising scholars and
executives to understand the ins and outs of advertising and to assist marketers in
introducing better approaches to advertising.

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Online Advertising and Customer Satisfaction of E-Tailing
Firms in Nigeria

Author(s) Leave a comment


N. Gladson Nwokah, Doris Ngirika
January 2018

https://www.scirp.org/Journal/PaperInformation.aspx?PaperID=81596

ABSTRACT
This study examined the Impact of Online Advertising on Customers Satisfaction of E-
tailing Firms in Nigeria. A survey research design was adopted. The source of data used
in this study was mainly primary data from the issuance of questionnaire and secondary
data from the review of relevant literature bothering on both variables which formed the
basis for the argument. Out of a total of three hundred and eighty four (384) copies of
questionnaire distributed, two hundred and eighty five (285) copies was used for
analysis and analyzed using Spearman’s Rank Order Correlation Coefficient with the help
of Statistical Package for Social Sciences (SPSS). The findings of the study reveal
amongst others that there is a positive and strong relationship between online
advertising and customers’ satisfaction; and online advertising significantly affects
customer satisfaction. The study concludes that online advertising influenced satisfaction

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of the customers to a strong extent. However, online advertising is a key determinant of
customer satisfaction as it is considered as a point of interaction between customers and
the company from which they buy their products. A heuristic model was proposed to
show our contribution to knowledge that the relationship between e-mail marketing and
measures of customer satisfaction is very strong and is moderate on all other tested
hypotheses. And the study recommends that advertising managers of e-tailing firms
must develop and formulate e-mail marketing programs that will satisfy the needs of
consumers and advert should be placed on stations and places where consumers can
easily identify with them and make a purchase. Suggestions for further studies were
outlined.

The Impact of Advertisement on


Consumer's Purchase Intentions
16 Pages Posted: 29 Jul 2015

Muhammad Arshad
University of Agriculture, Faisalabad

Tanveer Aslam
University of Lahore (UOL)

Date Written: July 28, 2015

https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2636927

Abstract
This paper examines the respondent's purchase intentions appropriate to
the advertising variables and socioeconomic related variables. It therefore
sum ups the consequences and impacts related to respondent's choice of
suitable advertisement variables and socio economic variable on the
purchase intentions of the consumers. It examines some novel
improvement recooking the advertisement impacts on the consumer
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decision makings like that of the dependent variable of purchase
intentions. The purpose of this research was to focus on such kinds of
advertisements which were probably most suitable for the consumers of
Pakistan to make their purchase decisions. This necessitated conducting a
research for the evaluation of current advertising practices to check their
effect on consumer purchase intentions. Data were collected from the
sample of 120 individuals selected randomly. Pretested questionnaire was
used to collect data through personal interviews. Data analysis and
interpretations was done through regression model and descriptive
statistics. To check the impact of advertisement, the advertising related
variables were used which includes attitude to advertising (general),
attitude towards television advertising, attitude towards print advertising,
attitude towards billboard advertising, message content in ad,
advertisement time, advertising scrolling messages, repetition of ad,
celebrity endorsement and language of advertisement on the dependent
variable of consumer’s purchase intentions. The results declared most
advertisement related variables have significant impact on purchase
intentions.

IMPACT OF ADVERTISEMENTS ON CONSUMER DECISION MAKING PROCESS

K. Rama Mohan Rao* U.V. Adinarayana Rao** *

Department of Commerce and Management Studies, Andhra University, Visakhapatnam **

Associate Professor, GITAM University, Visakhapatnam

http://www.publishingindia.com/GetBrochure.aspx?
query=UERGQnJvY2h1cmVzfC8xMzE2LnBkZnwvMTMxNi5wZGY=

Abstract

Advertising is a psychological game. The advertisers make appeals to the target audience to make
them respond positively to their marketing offers. The trends all over the world are indicating that
the use of advertisements as a communicating tool is increased year by year through different media
channels. The consumers are exposed to a wide variety of advertisements of various companies and
through different media. It is necessary to know whether the advertisements are really impacting the
consumers in their behavior and purchase decision process and what kind of opinions the consumers
are having against the quality and impact of advertisement?. This paper is based on an empirical
study and makes an attempt to answer the issues identified.

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Study of the Impact of Advertising on Online Shopping Tendency for
Airline Tickets by Considering Motivational Factors and Emotional
Factors
MahsaAbayiBehnazKhoshtinat
2016
https://www.sciencedirect.com/science/article/pii/S221256711630065X

Abstract
The present study was aimed at investigating the impact of advertising on online
shopping tendency for airline tickets by considering motivational factors and
emotional factors. Current studies show that the impact of advertising on
consumers has caused them to gradually change their buying behaviors and re-
think of the products they buy. Good advertising can cause consumer tendency for
online purchases in the marketing process by making use of proper expertise and
technologies. The population of the present study consists of all the members of the
society. The research method is applied, basic and developmental in terms of
objective and descriptive-survey in terms of method. The results of the analysis
showed that emotional and motivational factors are effective in online purchases.
Also, appropriate advertising adjusts the impact of motivational and emotional
factors when shopping online. Also, the presented model has good fit and finally,
several suggestions are presented based on the obtained results.

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EFFECTS OF ONLINE SHOPPING ON CONSUMER BUYING BEHAVIOUR

● April 2018
● Ankur Kukreti

https://www.researchgate.net/publication/324694092_EFFECTS_OF_ONLINE_SHOPPING_ON_CONS
UMER_BUYING_BEHAVIOUR

This study investigates numerous factors that impact buyer's behaviour during online purchase at
any E-commerce business site. In this paper author has used Exploratory Factor Analysis to
determine the factor that put a significant impact on customer buying behaviour during online
purchase. Under this repost authors has examined 20 factors and tried to find out their impact on
buying behaviour by the means of a self-designed questionnaire. Author has examined 200
potential online customers with respect to trust and innovation and their mentalities furthermore,
expectations to shop online at specific sites. We found that Customer benefits, Fast economic
and secured purchase, Trend with technology, Easy availability were showing significant impact
on consumer buying behaviour.

III. Methodology

1. Advertising Campaigns
Questions 1 2 3 4 5
1. Do you shop online because it has a cheaper price than
solid shops?
2. Does online shops attract you in short commercials?
3. Do you shop online because it is easier to search for the
item that you want?
4. Does online advertisement save cost and raw materials?
5. Does advertising online easily educates and familiarize
the consumers in products?

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2. Economic Condition
Questions 1 2 3 4 5
1. Does the 24-hour operation attract you to shop online
because it is convenient?
2. Do you shop online for less time effort?
3. Do you shop online to avoid crowded stores?
4. Do you shop online to avoid standing on queues?
5. Do you shop online to buy goods that are not supplied
in solid shops?

3. Personal Preferences
Questions 1 2 3 4 5
1. Do online reviews strongly affect the online purchasing
decisions of what eCommerce store or vendor a
millennial chooses?
2. Are you strongly moved by online peer pressure and
social media connections in their buying decisions?
3. Are you adversely affected in their buying decisions by
affiliate links in blogs and their articles?
4. Do you flock to online social personalities, and purchase
based on their recommendations?
5. Do you expect shipping speed and instant gratification
because it is important?

4. Group Influence
Questions 1 2 3 4 5
1. Are you easily influenced by the people around you to
consume the same products as them?
2. Do you always make it a point to follow the latest trends
around you?
3. Do you find it easy to like products that people around
you also like?
4. Do you readily accept others’ product suggestions?

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5. Do you view a product’s popularity as an honest
measure of its quality?

5. Purchasing Power
Questions 1 2 3 4 5
1. Do you shop online because you can save the
transportation cost?
2. Do you shop online because you can easily compare
product prices?
3. Does purchasing online have better prices than solid
stores?
4. Can online shopping coupon codes save your money?
5. Does online shopping have no sales pressure from agents
in solid stores?

IV. Results and Discussion

Age
23-26 58
27-30 19
31-34 12
35-38 11
Total 100

Gender
Male 39
Female 61
Total 100

Monthly income
below 5000 25
5001-10000 35
10001-15000 16
15001-20000 12
20001-25000 4
25001-30000 2
30001 and above 6
Total 100

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strongly
strongly agree agree neutral disagree disagree
Advertising
Campaigns 5 4 3 2 1
1.1 24 43 25 8 100
1.2 29 30 41 2 100
1.3 38 38 18 4 2 100
1.4 28 44 24 2 2 100
1.5 30 41 27 2 100
Econ Condition 5 4 3 2 1
2.1 42 32 19 5 2 100
2.2 36 34 24 4 2 100
2.3 39 33 21 5 2 100
2.4 44 26 25 4 1 100
2.5 46 33 18 5 100
Personal
Preference 5 4 3 2 1
3.1 43 28 20 5 4 100
3.2 40 26 22 5 7 100
3.3 35 36 23 6 100
3.4 35 36 23 6 100
3.5 49 28 21 2 100
Group Influence 5 4 3 2 1
4.1 26 34 22 16 2 100
4.2 28 41 18 6 7 100
4.3 28 26 36 4 6 100
4.4 21 40 29 8 2 100
4.5 26 39 22 9 4 100
Purchasing Power 5 4 3 2 1
5.1 42 28 24 6 100
5.2 43 32 19 6 100
5.3 37 24 34 5 100
5.4 29 36 29 6 100
5.5 43 32 20 4 1 100
.
V. Conclusions and Recommendations
The results showed strong agreement on the respondents’ likeness to advertising campaigns
online in general and the benefits it comes with including ease and variety. They generally
prefer these products that go trending and believe in them. Mostly, they are influenced by
their peers and the likelihood of everyone using a said product. In relation to purchasing
power, they generally think of online shopping as cheaper and diverse, therefore, prefers this
than conventional shopping.

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