Advertising Appeals

Dissertation On Study of advertising appeals used by the top Indian brands and its impact on consumer purchase. By SHARMA  PRATEEK JAYANT A0102210041 MBA (M&S) Class of 2012 Under the Supervision of Mrs. TEENA BAGGA FACULTY Department of Marketing In Partial Fulfillment of the Requirements for the Degree of Master of Business Administration –Marketing & Sales AMITY BUSINESS SCHOOL AMITY UNIVERSITY UTTAR PRADESH, SECTOR 125, NOIDA – 201303, UTTAR PRADESH, INDIA-2011 AMITY BUSINESS SCHOOL DECLARATION I, Sharma Prateek Jayant student of Masters of Business Administration from Amity Business School, Amity University Uttar Pradesh hereby declare that I have completed Dissertation on â€Å"Study of advertising appeals used by the top Indian brands and its impact on consumer purchase. † I further declare that the information presented in this project is true and original to the best of my knowledge. Date: Sharma Prateek Jayant Enrollment No: A0102210041 MBA Class of 2010 Place: Noida AMITYUNIVERSITY UTTAR PRADESH AMITYBUSINESSSCHOOL CERTIFICATE Dissertation: Progress Review Stage 1 I, Mrs. Teena Bagga hereby certify that Sharma Prateek Jayant student of Masters of Business Administration at Amity Business School, Amity University Uttar Pradesh has completed first two chapters of dissertation on â€Å"Study of advertising appeals used by the top Indian brands and its impact on consumer purchase†, under my guidance Mrs. Teena Bagga Faculty Department of Marketing TABLE OF CONTENTS CHAPTER- 1 INTRODUCTION 1. 1 Advertising appeals: The Indian â€Å"TOP BRANDS† perspective 1. 2 Purpose of the study 1. 3 Context to the study CHAPTER- 2 REVIEW OF LITERATURE CHAPTER 1: INTRODUCTION 1. 1 Advertising appeals: The Indian â€Å"TOP BRANDS† perspective. The reason to buy any product of any brand is derived by an advertising appeal. An advertising campaign can have more than one advertising appeal. Only one appeal can be used and it can have sub themes in an advertising campaign. The appeal must be unique and must give a positive impression about the product/brand to the target audience. Every appeal that is used by the brands in advertising is as per their competitors. Also, an important aspect of appeal is that it needs to be believable by the audience (Kumar, 1998). The audience tries to comprehend the advertisement and only then their purchase behavior gets inclined towards the brand. Only when the audience behavior is molded by the advertiser towards the brand, their purpose of advertisement is achieved. In order to do so advertisers understand the psychological aspects of the audience and then they try to develop the advertising appeal which can position their attitude towards the brand. For the advertiser it is very important to understand â€Å"How the diffusion of the message takes place in the target audience†. And in order to have a positive diffusion advertiser creates a favorable environment. Advertising mediums play an important role in the advertising message as it directly affects the mind of the target audience. These mediums can be Television, Radio, Internet, Print etc. Psychologists feel that all the human activities are based on the needs (Lamb et al. , 1992, Schewe, 1987). A consumer may have different types of needs like physiological, physical or latent. An individual who has a specific need always looks for the information from the marketing world. When there is a cue which is as per the need of the consumer, then an individual responds for the product/brand. Drivers that are present in individuals, vary at different levels. Consumers may be inclined towards the product because of the aura of prestige which is associated with the advertising appeals. Advertising appeal is the main central message in the advertising message. It arouses the desires and addresses the human need that can be satisfied by the product/brand which is advertised. Appeal is the underlying content in advertising. Advertising appeal and execution are usually interdependent. Advertising appeal can be used in all types of media but the execution style is different for different type of media. Advertising appeal is something which attracts the consumers and develops interest in esteem, sex, fear, security and sensory pleasure. Advertiser uses the word appeal to emphasize on the creativity. Commonly appeals persuade the consumer to invest in the product. Appeals not always have all the product attributes but they create an atmosphere where the target audience’s desires are evoked towards the product. For example, if there is a product for the housewives then the appeal would be related to family. The Indian top brands for the year 2011: India Rank (2011) | Brand Name| Category| | Amul| Milk Powder/Milk/Ice cream| 2| Kingfisher| Beer/Full-service airlines| 3| Big Bazaar| Retail| 4| ICICI Bank| Bank| 5| State Bank Of India| Bank| 6| Airtel| Mobile service provider| 7| LIC| Insurance| 8| Cafe Coffee Day| Coffee| 9| Titan| Watch| 10| Lakme| Cosmetics| SOURCE: Campaign Magazine which releases Asia’s top 1000 brand list every year. have had the best of the advertisi ng mixes with appeals reaching to the audience 1. 2 PURPOSE OF THE STUDY To find out the extent to which consumer purchase gets affected by advertising appeals used by the top Indian brands. . 3 CONTEXT TO THE STUDY Everyday consumers are bombarded with different advertising campaigns but they do not respond to everything as they need something other than just tangibles. There is a need to explore something more than tangibles that can attract their attention. The top brands in India have been able to do this in an excellent manner and today they have reached the top of the charts for the same reason. They were able to do this by using appropriate advertising appeals in their advertising campaigns. CHAPTER 2: REVIEW OF LITERATURE †¢ (Verma, 2009) No communication is complete without feedback or reaction. The intent behind advertising is to persuade consumers to purchase and repurchase the product over and over again, but does the consumer respond to all communications sent by the advertisers? The human brain has a limited processing capacity and consumers have the tendency to process the most useful and appealing information first. Advertisers use different types of appeals and demonstrations to attract and retain customers, but the literature review shows very less work on evaluating the differential impact of various types f appeals on consumer purchase decisions. This study empirically tests the differential influence various advertising appeals create on consumer purchase decisions. †¢ (J. Hornik, August 2010) Marketing managers and scholars have focused substantial attention on the role of advertising message appeal in the persuasion process. The most common appeals (fear, humor, sex, comparative, gain/loss frame, t wo or one sided, and metaphor) have been compared to determine their relative effectiveness. Separate analysis for each response variable, to assess the contribution of several moderating effects on the results has also been performed. A test of heterogeneity indicated the presence of moderators on observed relationships. To supplement the quantitative analysis, a qualitative comparative analysis has been done. Results show that the overall appeal effect between conditions is of small to moderate size and that profound differences exist between appeals while some moderating variables have significant effects on effect sizes in appeal studies. All methods provided the opportunity to obtain results of theoretical and practical interest. †¢ (Nathalie Dens, Sept. 2010) The aim of this study is to investigate interaction effects between branding strategy (new brand versus established brand), advertising execution strategies (informational, positive emotional and negative emotional) and product category involvement (low and high) on consumers’ attitudes towards the product, purchase intention and the (parent) brand. Two analyses are performed in which involvement is manipulated at product category and at individual level. The results show that in general, line extensions of established brands are preferred over new brands. Furthermore, advertising strategy has little impact on consumer responses to line extensions of familiar brands. The type of advertising strategy used does have a significant impact on product and brand attitude and purchase intention for new brands, where negative emotional appeals lead to significantly more negative responses. The results are further moderated by product category involvement. Informational appeals score especially well in high-involvement situations, whereas positive emotional appeals perform better in low-involvement situations. Interestingly, the differences between advertising appeals in both low- and high-involvement conditions are greater for new brands than for extensions. †¢ (Mishra, 2009) Everyday consumers are bombarded with different advertising campaigns but they do not respond as they need something other than tangibles. There is need to explore something more than tangibles that can attract their attention. This can be done by using appropriate advertising appeal in the advertising campaign. If advertising appeal is interesting then it grabs the attention of the customers. It was revealed that persuasiveness, distinctness, perfectness, fascinating, sensational, energetic, aesthetic, elegant and captivating were the factors that emerged for the advertising appeal and dimensions were energetic, sensational, persuasiveness, distinctness and captivating. Factor and dimensions are compared on the basis of gender. It was found that persuasiveness, perfectness, sensational factors and energetic, sensational and persuasiveness dimensions do not vary on the basis of gender as males and females both feel that these factors and dimensions are important but females perceive that distinctness factor and dimension and aesthetic factor is more important than males but for males fascinating factor is more important than the females. †¢ As per the books referred There are mainly two types of appeals rational and emotional appeals. Rational appeal addresses the consumer’s functional needs of the product. Kotler (2000) opined that rational appeal is based on logic and product are been sold by highlighting the product attributes, quality, its problem solving capacity and its performance. Rational appeals are informative in nature and it focuses on the suitability of the product. This appeal is used by consumer durables and in competitive advertising. There are different types of rational appeal like feature appeal that focuses on important traits and features of the product. Information content in such kind of advertisement is very rich. It is used by high involvement product. There is another type of appeal named as competitive advantage appeal which gives a comparative picture of two or more brands. Comparison can be direct or indirect depending upon the brand and the product category. Price appeal is another type of rational appeal which focuses on the price or value of the product. This appeal is also used during the festival season. News appeal is used when a new product is introduced in the market or if certain modifications are done in the existing products. When the message is to be communicated to a larger audience and it is the established brand then popularity appeal is used as it emphasizes on the experience of the satisfied consumers. Rational appeals are based on the logic and reason to buy to product. In the actual scenario both the appeals i. e. , rational and emotional appeals works together. Emotional appeals are woven with the sensation of fun, love, enjoyment, fear etc. Ramaswamy and Namakumari, 2002). Kotler (2000) opined that there could be positive emotions as well as negative emotions but in the advertising campaign negative emotions can be converted to positive emotions. Emotional appeal is the feeling associated with the product. There are certain dreams and hope which are present in the individual which works consciously or subconsciously and gives pleasant feeling in the individual’ s psyche. Emotions also help in arousing and directing the behavior of an individual (Morris, 1999). Emotions also affect the consumer’s memory. When the state of mind is excited or agitated then it prompts the consumer to buy the product (Chunawalla et al, 1998). Therefore, emotional appeals are known as transformational appeals as they transform the feelings of the consumers towards the product. It gives positive mood to the consumers as it is related to the psychological attribute of the consumer. Emotional appeals are more effective for the older market then the newer or the younger market. When the emotional appeals are used in the advertising then consumption pattern of the product is very enjoyable. Sex appeal is used in the advertisement of soaps Audience is attracted as the desire is evoked and then it helps in selling the product. Sex appeal mainly helps in attracting the opposite gender masculine or feminine (Wright, 2000). According to Bradley (1995) sex appeal considered to be an offence sometimes depending upon the culture and the country but if the sex appeal is not obscene then it is acceptable in the society. For the perfumes and cosmetics love appeal is used. These appeals are used more younger generation.