Impact of Advertising on Customer Buying Behaviour: A Study on Zara

The given report highlights the impact of advertising on a customer buying behaviour. Advertising is one of the method through which company can promote their products and services in front of customers. This study focus on having relationship between advertisement and customer buying behaviour. A given report consist of background of topic, research aim and objectives. Further it includes literature review to collect in depth knowledge about particular topic. Thereafter it includes research methodology to analyses several method to collect data and information.

Research methods
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Abstract
The given report highlights the impact of advertising on a customer buying behaviour.
Advertising is one of the method through which company can promote their products and
services in front of customers. This study focus on having relationship between advertisement
and customer buying behaviour. A given report consist of background of topic, research aim and
objectives. Further it includes literature review to collect in depth knowledge about particular
topic. Thereafter it includes research methodology to analyses several method to collect data and
information.
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Table of Contents
Abstract ...........................................................................................................................................2
Introduction .....................................................................................................................................4
Research aim and objectives .................................................................................................4
Research questions.................................................................................................................4
Problem statement..................................................................................................................5
Justification of chosen topic...................................................................................................5
Value of this study..................................................................................................................5
Literature review .............................................................................................................................6
What is the importance of advertising within business environment?...................................6
What is the impact of advertising on customer behaviour?...................................................7
What are the challenges faced by managers of Zara while implementing advertisement
techniques within business environment?..............................................................................8
Research methodology.....................................................................................................................9
Research design......................................................................................................................9
Time plan..............................................................................................................................11
References......................................................................................................................................13
Books and journals ..............................................................................................................13
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Introduction
Advertising refers to the main source of communication tool between customer and
producer. Communication is done through various tool such as advertising, newspaper, music
and videos and internet etc. Advertising is regarded as the subset of promotion mix which is one
of the element of marketing mix. Advertising is the mass media which influences audience, but
television has having mass reach which is becomes a strong medium of advertising. The main
goal of advertiser is to reach to the potential customers and impact their buying behaviour,
attitude and awareness (Ene, 2021). Advertising resulting in impacting on changing in brands
frequently in mind of customers. Customer behaviour is depending on the advertisements which
is received from company. Advertising can be done through various methods such as television,
radio, newspapers and sponsors etc. which helps in attracting large base of customers.
Advertisements is creating personal contacts with targeting customers.
On the other hand, many of the organisation did not attach importance in advertisement
and this becomes an adverse impact on their output in context of sale of a products and services.
Companies are spending major part of their budget on advertising strategies to enhance
customers and promote products and services. These strategies result in impacting customer
buying behaviour (Chetioui, Butt and Lebdaoui, 2021).The organisation selected within present
report is Zara. It is a Spanish apparel retailer company which specialises in fast fashion and other
items such as accessories, clothes, shoes and beauty products. This report covers research aim
and objective and questions. Further, it consists of literature review and research methodology to
analyse data and information.
Research aim and objectives
Aim : “To identify the impact of advertisements on customer behaviour.” A study on Zara.
Objectives :
 To determine the importance of advertising within business environment.
 To analyse the impact of advertising on customer behaviour.
 To examine the challenges faced by managers of Zara while implementing advertisement
techniques within business environment.
Research questions
 What is the importance of advertising within business environment?
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 What is the impact of advertising on customer behaviour?
 What are the challenges faced by managers of Zara while implementing advertisement
techniques within business environment?
Problem statement
Advertising is one of the element of an organisation process. Companies are facing losses
due to lack of promotion of products and services. Most of the people did not know about the
products and that is why they cannot be able to purchase those products. For that, it is important
to have effective and attractive advertisement within business function. Advertisements needs to
be attractive and it could attract customer emotions. Nowadays, organisations are doing
advertisements to increases their sales of products and services. This impacts customer buying
behaviour (Krishna Kumar, 2021). Sometimes, company does not do more advertisement of their
products and services, so this resulting in reducing sales of company and resulting in reducing
demands of a brand among customers.
Justification of chosen topic
Advertising results in making bond with customers through promotion of products and
services. Many of the advertisements are oriented towards groups rather than an individual. This
results in enhancing organisational sales and profits. While creating advertisement effectively,
company can impact customer buying behaviour. If advertisements does not be effective, then it
could not attract customers towards purchasing of that product.
Value of this study
The value of choosing this topic of advertising is that it is more important within business
functions to promote products and services company offers. Many of the organisation are
focusing on providing effective and attractive advertisements to the customers because this helps
in attracting potential customers towards the brand and enhancing sales as well. Further, in Zara,
company is creating attractive advertisements on television, radio, newspaper and blogs. They
are creating unique content on internet so attract customers towards their brand and resulting in
increasing sales (Tseng, Mai, and Dong, 2021). In addition, conducting this research helps
researcher in enhancing personal and professional career. Researcher will be able to enhance
communication and time management skills. In this report, there is a use of primary and
secondary data collection method to collect information. This enhance researcher skills and they
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get to know details about Zara advertising techniques. Further, there is a use of Gantt chart and
WBS to complete given research on time.
Literature review
What is the importance of advertising within business environment?
According to the views of Sam Thomas, (2021) Advertising is the act of calling public
attention to an offer through paying announcements by a known sponsor. It is one of the paid
form of non-personal presentation and promotion of goods and services and ideas by an
identified sponsor. There are certain characteristics of advertising like it is in paid form and a
tool for promotion of goods and services for an organisation. It is regarded as a one-way
communication that can be personal for non-personal. Advertising is done by every organisation
nowadays because it helps in increasing sales and profits. Advertising is providing importance to
customer as well as businesses. In context to Zara, the firm is effectively using advertising and
providing importance to their businesses and customers. For business, it is creating awareness
among customers- it enhance brand awareness in market and among customer as well (Ali and
Anwar, 2021). Zara is making advertising on effective basis which results in attracting customers
towards their brand. The another importance of advertising is building brand image- by using
clever advertising, business could be able to enhance their brand image in a market and among
customers also. In Zara, they make brand personality in minds of a customers through effective
and clever advertisements (The Zara's 0$ Advertising Strategy And Why It Succeeds, 2021).
The next importance is product differentiation- advertising helps in differentiating
company’s products from their competitors. It communicates products features and advantages to
potential customers. Zara is having certain competitors like Chanel, Prada, Gucci etc. which are
also using advertising techniques effectively and by using advertising, Zara could be able to
differentiate their products from its competitors. Further, advertisement help in increasing
goodwill and value of money- advertising delivers a message to wide audience which tends to
increases in value for money when it is compared with other elements in marketing mix. On the
other hand, it also provides importance to customers such as it helps them in having convenience
while making any type of decision regarding choosing of a product and service. It creates
awareness and educates customers about products company is delivering. This helps in
comparing products with the other brand and making decision accordingly. In addition, Zara is
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getting other benefits from using advertisement techniques such as reducing per unit cost and
helping in launching new products (Tomar, 2021). It also results in boosting up of existing
confidence of a brand. This all results in enhancing brand sale and increasing profit level as well.
What is the impact of advertising on customer behaviour?
As per the opinion of Topalova and Todorova, (2021) Customer buying behaviour is
regarded as mental, physical and emotional activity in which people pursue at a time when
selecting, buying, using and disposal of products in order to satisfy their needs and demands. It is
a decision of person to choose a product from large number of varieties which can satisfy their
needs and wants. If advertising is done effectively by an organisation, then it results in
developing opportunities to attract customers towards the brand. In relation with Zara, they are
creating advertisements through several techniques such as Print advertisements, celebrity
advertisement, TV advertisements etc. This results in enhancing customer purchasing behaviour.
Advertisements develops brand image which build reputation in a market (Bañares, Silva and
Rodríguez, 2021). Increasing reputation of brand results in attracting customers to purchase
product and services. Customer buying behaviour is an occurrence that considers three fields of
social science, these are societal, psychology and cultural anthropology. Advertising is creating
positive impact on customer behaviour of purchasing. It is finding positive relation with
advertising and perceived quality. In Zara, managers are focusing on delivering many
advertisement strategies which results in selecting customers the best and results in purchasing of
a product effectively.
Zara is doing endless supply of advertisements by making affective campaigns and using
attractive tag lines (IMPACT OF ADVERTISEMENT ON CONSUMER BUYING BEHAVIOUR,
2020). By having fancy and entertaining products, company can grab more attention. Because
boring advertisements could not sustain within customer mind. Thus, entertainment is regarded
as one of the advertising strategy to attract customer towards the brand. By having social role
and effects of images, the advertisement influence individual lifestyle. Further, through
advertisements, customers learned more about company’s products and services. Also, they
develop knowledge about new trends and new features of a product and service offered to them.
Advertising boost lifestyle and social messages that is through art the position of an individual
customers and it excite them towards social act that is buying of a product. These all consequent
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in getting influence by advertisements and impacting customer buying behaviour positively
towards Zara.
What are the challenges faced by managers of Zara while implementing advertisement
techniques within business environment?
According to the views of Lee, (2021) Advertising is one of the activity used by
organisations to promote their products and services. Advertising is done through many methods
such as television, print media, radio etc. These helps in gaining customer attraction and
developing more opportunities for selling of a products. There are certain challenges which
comes in while implementing advertisement strategies within market or in business environment.
Some of challenges faced by Zara while implementing advertisement techniques within market.
These are budget limits- Company is having restricted budget of advertising because they have to
go with other activities also. For that, it requires to identify a right audience, techniques and
platforms to handle all the limited resources. It is important to allocate resources for the
businesses to test the market because uncertainties lie forward (Croes, and Bartels, 2021). The
other challenge faced by managers of Zara is compelling content- the major challenges is to craft
a right message and transform it into something new. It is not easy to craft a sales pitch because
many of the people are already aware about those overused lines such as “buy now before it’s
too late”. So, that is why content should be effective and creative which could honest and
provides answers to the needs and demands of customers (Top Advertising Problems Today,
2021).
The another challenge faced by Zara managers while implementing advertisement
techniques are rising through competition- company is having certain competitors such as Gucci,
Prada etc. which are also creating unique advertisements of products and service and providing it
to the customers. With having less spend on advertisements, it is difficult for company to
compete with other brands. For that, they have to use different content and provide honest and
reliable services to the customer so that they could attract them and develop more opportunities.
Further, Zara is facing some other challenges like advertising confuses customers because many
of the advertisement are created by many of the brands, so this confuse customers as what to buy
and what to leave. Some of the advertisements also lead to sale of inferior products which are not
be great for customers (HARTNETT, GELZINIS and SHARP, 2021). So, these challenges
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should be considered by managers of Zara and they should adopt effective advertisements
strategies to promote their products and services.
Research methodology
Research methodology is a procedure used by researcher to collect and analyse data and
information in most effective manner. It helps in achieving research aim and objectives
systematically. Further, it brings reliable and valid information about a specific topic. In this
current study, researcher is using research onion model to analyses several methods. It consists
of different layers which analyse information.
Research design
Research design refers to a model which helps in analysing and gathering data and
information. There are three types of research design such as descriptive, experimental and
exploratory. In current research, investigator is using descriptive research design because this
design is depends on specific population and situation (Munsch, 2021). Researcher is usually
focusing on analysing quantitative research which includes numerical information. It helps in
analysing and gathering descriptive data about a given topic.
Research Philosophy: This is a first layer of research onion framework. It consists of
two philosophy. These are positivism and interpretaivism philosophies. In this current study,
researcher is using positivism philosophy to analyse data and information. Positivism philosophy
is used in quantitative research. It analyses data and interpretation and results in getting reliable
and valid information.
Research approach: Research approach on the other hand is the next layer of onion
framework (Li, 2021). It consists of two types of approaches such as inductive and deductive
approach. These approaches help in analysing data and information in effective manner. In
current study, researcher is using deductive approach of research because this brings quantitative
information by taking use of graphs and charts. Further, it brings numerical information about a
specific topic.
Research strategy: Research strategy helps in collecting data and information effectively
and achieving research objectives. There are various types of strategies such as action research,
experimental research, interviews, survey, literature review and case study etc. In current study,
investigator is choosing survey and literature review. Survey is conducted through questionnaire
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which consist of open and close ended questions. On the other hand, literature review is
conducted through analysing books and journals. This brings in-depth knowledge about a topic.
Research method: Research method is the another layer of onion framework. There are
two types of research method such as qualitative research and quantitative research. Quantitative
research is that which consist of numerical information. It includes statistical data. On the other
hand, qualitative data brings non numeric information about a topic. Present study is based on
quantitative research which includes use of numeric information and data. Investigator has used
questionnaire survey which consist of close and open ended questions and to be answered by
respondents.
Data collection method: Data is being collected through two different methods. These
are primary and secondary data collection method. Primary data brings practical and numerical
information which uses graphs and tables to collect data and information. On the other hand,
secondary data is that which brings non numeric information which is collected through
analysing different articles and books. On current study, researcher is using both of the methods
of data collection because they both brings valid and reliable information. Primary data is
collected through questionnaire survey which consist of close and open ended questions. Further,
it makes use of tables and graphs to get true interpretation (Aufegger, Yanar and Bicknell, 2021).
On the other hand, secondary data is collected through analysing different books and journals
which is presented in a form of literature review. It develops in depth knowledge about a topic.
Primary data is a first information which directly collected from respondents. However, it is
more costly as compared to secondary method.
Data analysis : Data is being analysed through frequency table to bring reliable and valid
information. There is a use of questionnaire survey to collect answers from respondents.
Sampling: Sampling is a method of selecting samples from large set of population.
Sampling consisting of two types of methods these are probabilistic and non-probabilistic
method. Within current research, investigator is using probabilistic sampling because it provides
random sampling which provides equal chance to every respondent to be selected in a sample.
Further, sample size which is taken in given research is 35, who are the employees of Zara.
Researcher has provided a questionnaire to respondents to answer those questions in order to get
reliable results.
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Time horizons: Time horizon are used to complete research on a definite time period.
There are two types of time horizons. These are cross sectional and longitudinal. Current
research is based on cross sectional time horizon because it helps in gaining actual data and
completing it within shorter time limit (Hamza, Othman and Anwar, 2021). This approach helps
in achieving research objectives in a definite time period. Further, for completion of research,
Gantt chart and WBS is used to manage all activities according to the schedule.
Time plan
Task Week
1
01.03-
07.03.
2021
Week
2
08.03-
14.03.
2021
Week
3
15.03-
21.03.
2021
Week
4/ 5/ 6
22.03-
11.04.
2021
Week
7
12.04-
18.04.
2021
Week
8
19.04-
25.04.
2021
Week
9
26.04-
02.05.
2021
Week
10
17.05-
23.05.
2021
Week
9
24.05-
30.05.
2021
Week 10
31.06-
06.06.2021
Project
formulation
and Project
Planning
Literature
Review
Methodolo
gy
Data
Collection
and
Analysis
Discussion
of
the results
Report
writing
Presentatio
n of the
project to
the Board
of Directors
Ethical issues: There are certain ethics which are to be followed by researcher such as
they have to maintain confidentially of the information received from respondents. The
information should not be leaked to any third party. Further, investigator should maintain
honesty and integrity while choosing samples and respondents to fill questionnaire. Researcher
should have the responsibility to analyse data appropriately so that true findings could be taken
out.
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Reliability and validity: The reliability of given research is that questionnaire survey is
used to analyse and gather accurate data and findings. This results in gaining reliable and valid
information about a given topic (Shah, Sohu and Chouhan, 2021). Further, researcher makes use
of statistical data and findings to get true interpretation about a topic in order to get reliable and
valid information.
Limitation of a study : The major limitation of a project is lack of financial resources
and lack of gaining true and reliable information. This leads to become an limitation and these
could be faced by investigator.
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References
Books and journals
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HYDERABAD. Turkish Journal of Physiotherapy and Rehabilitation, 32, p.2.
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Marketing, pp.1-18.
Krishna Kumar, R., 2021. Marketing Intelligence Practices on Consumer Preferences by the
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Explore the Impact of Private Brand Avatar and Advertising Attitudes on Consumer
Repurchase Intentions. In 2021 International Conference on Enterprise Management
and Economic Development (ICEMED 2021) (pp. 410-416). Atlantis Press.
Ali, B.J. and Anwar, G., 2021. Business strategy: The influence of Strategic Competitiveness on
competitive advantage. International Journal of Electrical, Electronics and Computers,
6(2).
Tomar, H., 2021. Post-COVID Emergent Trends in Consumer Buying Behaviour for Pharma-
OTC Sector.
Topalova, N. and Todorova, D., 2021. The impact of marketing through Instagram influencers on
consumer behavior in the fashion industry: comparison of Millennials and Generation Z
in Russia.
Bañares, A.B., Silva, M.F.S. and Rodríguez, S.R., 2021. Green but ignored? The irrelevance of
television advertisements on energy sustainability in Spain and its impact on consumer
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Lee, H.J., 2021. IMPACT OF THE ANTI-CONSuMPTION LIFESTYLE ON BRAND
ATTITuDES VIA GREEN ADVERTISING: THE MODERATING EFFECT OF
MESSAGE TYPES. Marketing, 17(2), pp.58-68.
Croes, E. and Bartels, J., 2021. Young adults’ motivations for following social influencers and
their relationship to identification and buying behavior. Computers in Human Behavior,
p.106910.
HARTNETT, N., GELZINIS, A., BEAL, V., KENNEDY, R. and SHARP, B., 2021. When
Brands Go Dark: Examining Sales Trends when Brands Stop Broad-Reach Advertising
for Long Periods. Journal of Advertising Research.
Li, M., 2021. Influence for social good: exploring the roles of influencer identity and comment
section in Instagram-based LGBTQ-centric corporate social responsibility advertising.
International Journal of Advertising, pp.1-38.
Munsch, A., 2021. Millennial and generation Z digital marketing communication and advertising
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Aufegger, L., Yanar, C., Darzi, A. and Bicknell, C., 2021. The risk-value trade-off: price and
brand information impact consumers’ intentions to purchase OTC drugs. Journal of
Pharmaceutical Policy and Practice, 14(1), pp.1-13.
Hamza, P.A., Othman, B.J., Gardi, B., Sorguli, S., Aziz, H.M., Ahmed, S.A., Sabir, B.Y., Ismael,
N.B., Ali, B.J. and Anwar, G., 2021. Recruitment and Selection: The Relationship
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between Recruitment and Selection with Organizational Performance. International
Journal of Engineering, Business and Management, 5(3), pp.1-13.
Ene, S., 2021. NEUROMARKETING PRACTICES AND THEIR ROLE IN AFFECTING
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Shah, S.M.M., Sohu, J.M., Dakhan, S.A., Ali, R.S., Junejo, I. and Chouhan, I.M., 2021. The
Reinvesting Impact of Promotional Activity and Store Atmosphere on Impulse Buying
Behavior: The Mediating Role of Payment Facility. TEM J, 10(1), pp.221-225.
Online
The Zara's 0$ Advertising Strategy And Why It Succeeds, 2021. [Online] Available through
<https://avada.io/resources/zara-advertising.html>
IMPACT OF ADVERTISEMENT ON CONSUMER BUYING BEHAVIOUR, 2020. [Online]
Available through
<https://www.researchgate.net/publication/344692582_IMPACT_OF_ADVERTISEM
ENT_ON_CONSUMER_BUYING_BEHAVIOUR>
Top Advertising Problems Today, 2021. [Online] Available through
<https://www.carmagnets.com.au/blog/top-advertising-problems-today/>
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