Impact of Advertisement on Consumer Buying Behavior

Introduction

As being incorporated or associated with the marketing process, advertising finds its position in every organization. Advertising can be defined as another strategy as an approach towards competitive advantage. Various advertising concepts are in the stream of the media and papers but still there is a little evidence that advertising can significantly help the organization boosts its performance. In terms of sales, it is true that the application of the marketing and its associate strategies can gain the consumers’ trust and loyalty, and in return, can enjoy the benefits of the market share.

Background of the Study

Many businesses explore various options in order to achieve the success. From the traditional research and development, to the training of the people, and the intervention of the various technologies, there is no doubt that organizations are trying make a difference against the other. Obviously, the organizations’ actions towards the threats and challenges in globalization enable the propellers and the people to work to meet their corporate objectives and long-term goal. However, the simple marketing concept is viewed by the business analysts as an effective strategy if the organization is planning to gather and/or keep the loyalty of the consumer. The use of the advertising within an organization is interestingly growing and various researches value its importance as an important factor that can influence the buying behavior of the consumers.

Rationale

The interest paid by the past researchers on the function of the advertising in the organization is considered as one reason of the study. In addition, maintaining and extending the purpose of the advertising from the simple operation of the organization creates the similar interest. If the idea on how powerful the advertising can be, the organization can find its own place in the market and can play with the other competitors.

Research Objectives

The first objective of the study is to understand the role of advertising within the organization and as part of the marketing. The second objective is to determine the level of influence that the advertisements can create to manipulate or influence the buying behaviors of the consumers. And the third objective is to set other functions of advertisement aside from meeting the trust and loyalty of the consumers.

Research Questions

The study understands the various point-of-views of the business leaders and marketers regarding the application of the advertising in their organization. In this case, the study prepared several questions that can help the study meet its own objectives.

1. What the factors that usually contributes to the buying perception and behavior of the consumers?

2. What is the common goal of advertising?

3. What are the recognized faces of advertising within the organization and to the consumers?

Literature Review

The role of advertisement changes unto what the organization wants them to do. There were times that an organization use the advertising to help them survive from the impacts of economic trends. Still, the economists views that the advertising plays a significant effect on the consumer behavior. And in a long process, the advertising can lead the organization to competition. Based on the understanding regarding the advertising, the approach rooted in the organization’s search for the right answer on the effects of the competition. Consequently, the accepted basic role of the advertising is to provide the consumers with the right amount of information regarding the product or services, which is related to the objective of the competition and that is to deliver the consumer satisfaction. In this view, the level of advertising affects the consumer who is the focus of the organization (Park, 1996). Based on the previous studies regarding the consumer behaviors, there are three influential factors that affect the consumer decision when buying. They are enumerated as external influences, internal influences and the marketing influences in which the advertising, product promotion, and pricing technique are found. Definitely, the marketing activity such as advertising affects both internal and external behavior of the consumer. Most especially, the consumers’ perceptions are influence through the exposure such as seeing an advertisement; attention which means that the consumer recognizes the advertisement; awareness which is common if the advertisement involves some humor; and the retention that keeps or stays in the mind of the consumer (Chen and Lee 2005). Advertisements also affect the knowledge by giving information, attitude, personality, lifestyles of the consumers, and the culture of the consumer. The concept of advertising makes it possible to involve the consumers which greatly affect the buying decisions of the consumers (Tsai, Liang, and Liu, 2007).

References:

Park, D., 1996. Advertising and the Meaning of Competition [Online] Available at: http://www3.ntu.edu.sg/nbs/sabre/working_papers/24-96.pdf [Accessed 17 March 2010]

Chen, W., & Lee, C., 2005. The Impact of Web Site Image and Consumer Personality on Consumer Behavior, International Journal of Management, Vol. 22, No. 3.

Tsai, M., Liang, W., & Liu, M., 2007. The Effects of Subliminal Advertising on Consumer Attitudes and Buying Intentions, International Journal of Management, Vol. 24, No. 1