Dissertation: Advertising's Influence on Consumer Behaviour – Nike UK

This dissertation investigates the influence of advertising on consumer behavior, using Nike UK as a case study. The study explores the crucial role of advertising in a competitive market, examining its impact on short-term consumer behavior, brand awareness, and consumer attitudes. It delves into the use of various communication channels like television, the internet, and social media to reach a mass audience. The research aims to identify key factors affecting consumer behavior, determine the link between advertising and consumer choices for Nike products, and recommend effective advertising strategies for the company. The methodology includes a literature review, research philosophy, research design, data collection via questionnaires, and data analysis. The study highlights the importance of effective advertising in building brand loyalty, influencing purchasing decisions, and ultimately enhancing sales and profitability. The dissertation also includes an introduction, literature review, research methodology, data analysis, conclusions, recommendations, and appendices.

Dissertation-
The influence of advertising on
consumer behaviour- a case
study of Nike, UK.

ACKNOWLEDGEMENT
The present dissertation is crucial reflection of the efforts being made by different
individuals and thus it is my responsibility to pay humble gratitude for the time and efforts given
by my mentor in order to accomplish the research. I would also like to thank all mighty, friends
and relatives who gave me support and guidance whenever required while completing the
dissertation. At last, I would like to thank my parents who supported me throughout my study so
that best results can be attained.

Abstract
In the present study it assesses that at the time of marketing the product, advertising is
considered as crucial because of high competition in market that also offers similar product or
services. However, it intends to encourage short term consumer behaviour as well as spreading
awareness of the brand and influencing consumers attitude. In order to develop a good
advertisement, different modes of communication are used. For instance, use of different
channels such as television, radios, internet, newspapers, billboard and banners. Such mode of
communication are considered as the best way of reaching mass audience to influence buying
behaviour of clients. Thus, it is the best way of advertising the products or services used by
firms.
However, it has also been evaluated that marketing team to consider different cultural
factors so that taste and preference of consumers can be identified in relation to enhance the
business performance. Nike should adopt effective advertising strategies in relation to influence
consumer buying behaviour and thus enhance sales and profitability. Further, it can be identified
that company focuses upon building brand image and trust among consumers so that it could
enhance sales and profitability. However, firm also needs to provide quality assurance in order to
make sure that whatever goes to the advertisements coincides with the quality of the products.

Table of Contents
CHAPTER 1: INTRODUCTION....................................................................................................1
1.1 Title...................................................................................................................................1
1.2 Overview of study............................................................................................................1
1.3 Aims and objectives.........................................................................................................3
1.4 Research questions...........................................................................................................4
1.5 Relevance of study...........................................................................................................4
1.6 Framework and analysis...................................................................................................4
1.7 Dissertation structure........................................................................................................5
CHAPTER 2: LITERATURE REVIEW.........................................................................................7
2.1 Introduction......................................................................................................................7
2.2 Key factors affecting consumer behaviour.......................................................................7
2.3 Determining the link between advertising and consumer behaviour.............................10
2.4 Recommend ways through to develop better advertisement strategies for influencing
consumer behaviour..............................................................................................................12
CHAPTER 3: RESEARCH METHODOLOGY...........................................................................14
3.1 Introduction....................................................................................................................14
3.2 Research philosophy.......................................................................................................14
3.3 Research approach..........................................................................................................14
3.4 Research design..............................................................................................................15
3.5 Data collection................................................................................................................15
3.6 Sampling.........................................................................................................................16
3.7 Data analysis...................................................................................................................16
3.8 Research limitations.......................................................................................................17
3.9 Accessibility issues.........................................................................................................18
3.10 Ethical consideration....................................................................................................18
CHPATER 4: DATA ANALYSIS................................................................................................19
4.1 Introduction ...................................................................................................................19
4.2 Data analysis- Questionnaire .........................................................................................19
CHAPTER 5: CONCLUSION AND RECOMMENDATION.....................................................33

5.1 Introduction....................................................................................................................33
5.2 Conclusion......................................................................................................................33
5.3 Recommendation............................................................................................................34
REFLECTIVE................................................................................................................................36
REFERENCES..............................................................................................................................37
APPENDIX....................................................................................................................................40
Consent form..................................................................................................................................42
Participant Information Form........................................................................................................44
Section A: The Research Project....................................................................................44
Section B: Your Participation in the Research Project...................................................45

CHAPTER 1: INTRODUCTION
1.1 Title
“To determine the influence of advertising on consumer behaviour”- a case study on
Nike, UK.
1.2 Overview of study
In the current era of globalisation, advertisement plays a crucial role in the growth and
success of firm. Advertisement is considered as the mode of promoting the product to the
potential consumers. However, it helps in describing the product's quality and expected results
after purchasing the products by consumers. Hence, it is therefore, considered as the big pool
used buy firms to sell their products (Solomon, 2014). At the time of marketing the product,
advertising is considered as crucial because of high competition in market that also offers similar
product or services. However, it intends to encourage short term consumer behaviour as well as
spreading awareness of the brand and influencing consumers attitude. In order to develop a good
advertisement, different modes of communication are used. For instance, use of different
channels such as television, radios, internet, newspapers, billboard and banners. Such mode of
communication are considered as the best way of reaching mass audience to influence buying
behaviour of clients. Thus, it is the best way of advertising the products or services used by firms
(Solomon, Russell-Bennett and Previte, 2012).
Further, it is essential for businesses to implement effective advertising strategy so that
they can survive their product for long run in market. Thus, it helps firm to establish brand
loyalty among consumers and thus reach potential consumers over time. In the current era, it
results into rising of so many similar products by different firms which leads to a higher supply
of product than its demand (Smith, 2014). Therefore, in such type of situation, advertising the
product is inevitable and failure to do so affects the firm which leads to low profits or minimum
sale. Here, advertisement is considered as a pillar to enhance sales and profitability of firm in
market. Through such way firm persuades a consumer to make crucial decisions regarding
whether to purchase the product or not. Advertisement is considered as the tool of promotion and
maintaining public relation (Gunter and Furnham, 2014).
The present study aims to investigate how advertisement influences consumer behaviour
towards obtaining right product in market. Research is undertaken focusing upon Nike Company
1

UK. It is one of the major sports brands in the world. Business aims to influence consumer
behaviour by offering them quality products or services. Nike is a renowned brand for designing,
development, manufacturing and marketing of footwear, apparel and other sport products. Nike
advertises their products on television, newspapers and internet influencing buyers to make
purchase decision (Schiffman and et. al., 2013). Firm also maximizes upon any opportunities
arise as well as other sources regarding launch of new products in market. Furthermore, company
has greatly contributed towards their consumer proposition and helps in winning over different
market players. Research also aims at identifying the major elements influencing buying
behaviour of consumers. It involves different elements based upon personal attitudes i.e. age,
family, personality, social status, cultural belief, motivation etc. Further, study also aims to
determine the connection between advertising and consumer behaviour of Nike. However,
advertising using visual images provides consumers a sense of need for given product and thus
influences buyers to make purchase decision (Foxall, 2014). At the end, study aims to
recommend the strategies that Nike could employ to improve the mode of advertising that
influences consumer behaviour.
In the modern days, advertisement plays a major role in the growth of the company. It is
a mode of promoting a product to the potential consumers. It describes a product's quality and
the expected outcomes after buying it to consumers. It is, therefore, a big tool used by
companies to sell their commodities. In marketing a product, advertising is crucial due to high
competition with other similar items, which offer the same taste and service. It intends to
motivate short-term consumer behaviour as well as spreading awareness of a brand and
influencing consumer’s attitude. In achieving a good advertisement, various modes of
communication are used. For example, use of mass media television and radios, internet,
newspapers, billboard, and banners. These modes of communication are preferred for reaching
the mass audience at the same time. They have, on the other hand, become the most effective
ways of advertising products used by most of the companies.
Survival of product in the market requires a proper advertising strategy by a
company. A firm should establish its consumers; thus, coming up with appropriate methods
to reach out to those clients. It has resulted from the rising of so many similar products by
different companies leading to a higher supply of a product than a demand (Shimp and
Andrews, 2013). In such a situation, advertising a product is inevitable and failure to which
2

a company may have minimal sale leading to low profits or even making a great loss.
Advertising is thus a pillar to good sales (Kulbaev and et al. 2014, p438). It is one way that a
company persuades a consumer to make decisions about whether to buy a product or not. It
thus a tool used for promotion and in public relation through media (Ayanwale, Alimi and
Ayanbimipe, 2005). It, therefore, enlightens a consumer more about a product from
company; thus, bringing out the aspect of products comparison.
The research will be aiming at investigating how advertisement influences consumers
towards acquiring a product on the market. The research will be looking at the Nike
Company in the United Kingdom as the case study. Nike Company is one the major brands
in the world. They influenced a consumer’s behaviour throughout the world. The brand is
renowned for designing, development, manufacturing, and marketing foot wears, apparel,
and other sporting gears. Nike Company has contracted effective advertisement strategies
and has a strong brand image. Nike Company advertises their apparel on television, internet,
and newspapers. They also maximize on any opportunities when they arise as well as on
other sources regarding the launch of new products. They embark on modification of
existing products which comes along with some new offers and discounts.
On the other hand, the company has contributed greatly toward their customer
proposition; thus, winning over the market players. Firstly, the research will be aiming at
identifying the major elements affecting the behaviour of the consumers. The elements will
include the personal attitude based on age, personality, family, social status, cultural beliefs,
motivation, perception, roles, and reference groups. The research, on the other hand, will be
trying to determine links between advertising and consumers behaviour of Nike. Advertising
in visual images gives the consumers a sense of need for a given product. It brings out the
link between adverts and consumers decisions to acquire a product. At the end of the
research, it will be in a position to recommend the strategies Nike can employ to enhance its
mode advertising that would influence the consumers behaviours.
1.3 Aims and objectives
Aim of the research is “To determine the impact of advertising on consumer behaviour”-
a case study on Nike, UK. Following are the objectives that will be developed-
 To identify the key factors affecting consumer behaviour.
 To determine the link between advertising and consumer behaviour of Nike.
3

 To recommend the ways through which Nike can develop better advertisement strategies
for influencing consumer behaviour.
1.4 Research questions
Research questions helps in developing an in-depth understanding regarding the selected
topic for the study. It aids in defining particular research issues for the study and develops
appropriate structure report. Following are the research questions such as-
 What is the key factors affecting consumer behaviour?
 Determine the link between advertisement and consumer behaviour?
 What are the ways through which Nike can develop better advertisement strategies for
influencing consumer behaviour?
1.5 Relevance of study
It is essential for companies to develop and improve existing advertising strategies that
helps in boosting the sales of firm in market. In order to begin with, business should identify its
target group such as sporting club and sportsperson. Nike needs to embark on advertising their
sporting products through sponsoring and rewarding the best sportsperson and women by
providing them Nike products (Buil, De Chernatony and Martínez, 2013). Further, business can
also join with other firms for instance packaging bag company, ball point pen and notebooks to
have some of their products branded. Through branding other products apart from what they
produce, Nike enhances the surface area for advertising themselves. Further, company is
required to engage themselves more on banner advertising. It helps them to gain repeat
customers as banners aids in repeating the brand severally which leads to recall of the brand and
gain potential consumers. For instance, using a large picture of the sportsperson and women on
the banners wearing the Nike branded sports gears helps in advertising company's apparel and
shoes. Hence, it helps in effectively developing the brand image of firm in market. Through
carrying out the study it helps in evaluating the significance of advertising strategy that helps in
influencing consumer behaviour (Fall Diallo and et. al., 2013).
1.6 Framework and analysis
Research approach- In the current research, it can be evaluated that inductive research
approach has been implied as there is no specific theory to test the outcomes of the study.
However, the results of the study moves from specific to general and thus it can be evaluated that

inductive approach is best suited for the study. It is considered as one of the crucial part and
helps in developing appropriate facet for overcoming research problems. Furthermore, it also
aids in evaluating the study and collect relevant data to attain desired results.
5

Research philosophy- Additionally, interpretivism philosophy is adopted because it results into
executing the best results for the study. Through adopting such philosophy it assists scholars to
gain an in-depth understanding about the research title.
Research design- Further, the scholar assessed that aims and objectives framed for the study and
for that descriptive research design is implied that helps in describing the research objectives
effectively and efficiently. With the help of such aspect of the study it helps in carrying out the
research efficiently and obtain desired outcomes to fulfil the stated aim.
Data collection- Both primary and secondary sources of data collection are used that aids in
obtaining valid and reliable results. Primary data has been collected by designing a well
structured questionnaire and responses have been collected from Nike customers. While,
secondary data has been collected through different sources such as books, journals etc.
The research uses inductive approach in carrying out the study. The results, on the other
hand, will be moving from the specific to general. Hence, an inductive approach is the most
appropriate. Nonetheless, the philosophy of interpretive will be widely used in carrying out an
effective study that will expound on the desired findings. This philosophy requires the
researcher to interpret the study elements; thus, it includes a researcher's interest. In this
research work, the philosophy assists in getting deeper and wider knowledge on impacts of
advertisement on consumer behavior (Silverman, 2013).Considering the nature and the
objectives of this research, the use of descriptive design describes the elements in the study.
1.7 Dissertation structure
Here, it can be assessed that the research comprises of different chapters which are as
follows-
Chapter 1: Introduction- In this chapter of dissertation, introduction is provided which focuses
upon information regarding the background of the study, company's products or services etc. It
also discusses regarding the aims and objectives of the research and finally research questions.
Chapter 2: Literature review- Here, it focuses upon reviewing the past researches through
collecting information through secondary sources such as articles, journals and internet sources.
It helps readers to understand regarding the research topic and gain in-depth understanding so
that detail analysis can be done.
Chapter 3: Research methodology- This particular chapter includes the methodology of the
research including the data collection, sampling method and data analysis method.
6

Chapter 4: Findings and analysis- Here, the findings are provided with detailed interpretation
of the results through carrying out the survey and data collection.
Chapter 5: Conclusion and recommendation- It is the last chapter of the dissertation, that
provides information in the summarized form and thus helps reader to understand the results of
the study.
7