Impact of Marketing Communication Mix on Customer Buying Decisions

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This report presents a research methodology examining the impact of the marketing communication mix on customer buying decisions, using Giant Hypermarket as a case study. The study explores various marketing communication tools like advertising, sales promotion, and public relations, and their influence on consumer behavior. The research includes qualitative and quantitative approaches, data collection methods such as surveys and interviews, and data analysis to identify key factors influencing customer choices. The report also covers research philosophy, data analysis, reliability and validity, and provides recommendations and areas for future research. The findings highlight the significance of marketing strategies in shaping customer preferences and driving sales, with a focus on the strategies employed by Giant Hypermarket to gain a competitive advantage. The report provides tables and figures to illustrate the data collected and analyzed.
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Research Methodology 1
AN EXAMINATION ON THE IMPACT OF MARKETING COMMUNICATION MIX ON
CUSTOMER BUYING DECISION: A CASE STUDY OF GIANT HYPERMARKET
By (Name)
Course
Professor’s name
University name
City, State
Date of submission
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Research Methodology 2
Table of Content
1.0 Introduction..............................................................................................................................4
1.1 Background of the Study........................................................................................................4
1.2 Research Questions................................................................................................................5
1.3 Research Aims & Objectives.................................................................................................5
1.4 Rationale of the Study............................................................................................................6
2.0 Research Methodology............................................................................................................6
2.1 Research Philosophy............................................................................................................6
2.1.1 Positivism........................................................................................................................7
2.1.2 Interpretivism..................................................................................................................7
2.1.3 Realism............................................................................................................................7
2.2 Qualitative and Quantitative Approach..................................................................................7
2.3 Research Strategy...................................................................................................................8
2.3.1 Data collection forms......................................................................................................9
2.3.2 Sample plan and size.......................................................................................................9
2.4 Data collection.....................................................................................................................10
3.0 Data Analysis..........................................................................................................................12
4.0 Reliability and validity..........................................................................................................15
5.0 Gantt Chart............................................................................................................................16
6.0 Conclusion..............................................................................................................................16
6.1 Outcomes of the Analysis....................................................................................................16
6.1.1 Overall Findings............................................................................................................16
6.1.2 Achieving study Goals..................................................................................................17
6.2 Recommendations................................................................................................................17
6.3 Areas of future research study.............................................................................................18
References.....................................................................................................................................19
Appendices....................................................................................................................................22
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Research Methodology 3
List of Tables
Table 1: Suggestions provided by customers................................................................................11
Table 2: Major influence while buying a product.........................................................................11
Table 3: Factors of influence on products features........................................................................12
List of Figures
Figure 1: Market share increase for Giant Hypermarket...............................................................14
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Research Methodology 4
1.0 Introduction
The world is like a moving cyclone that keep on changing its shape in almost all the sectors of
the economy due to advancement in technology and creation of new ideas due to globalization.
The revolutionized world is in its ripe stage of borderless markets where products travel from
one corner of the world to another. Moreover, this has also been achieved in a much easier way
due to technology revolution through the introduction of internet access. Today, we are able to
purchase products that are miles away from us by just a click of a button on the internet. Their
main idea is to engage the public and give consumers information of products available in the
market to distinguish their products from others. Therefore, the marketing techniques and tools
are gaining more recognition in communicating to customers in the modern day market. Having
a success marketing tool will definitely shape the customer’s choice when purchasing a product
among so many other alternatives (Ali, et al., 2010). Businesses use this strategy to penetrate into
the market to capture the tension of a loyal group of customers and suppliers. Moreover, an
effective marketing tool can also create a good image for the company among all other rivals.
This research will analyze the different communication mix on the purchasing decision of
customers with reference to a case of Giant hypermarket Company in Asia.
1.1 Background of the Study
The world market is inundated with so many products from the domestic and international
producers due to the concept of globalization. The flooding of products in the market has made
the customers unaware of the products currently existing in the market. This has made
companies to invent marketing mix strategies to create awareness of their products in the market
by disseminating the products information and creating a customer base for their business.
Developing a more effective tool for marketing have had a great impact on the choice of
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Research Methodology 5
customers when it comes to purchasing of products in the crowded market (Beristain & Zorrilla,
2011).
1.2 Research Questions
The primary purpose of these research is to identify some of the undiscovered impacts of
marketing communication mix on the purchasing behavior of customers with regard to Giant
hypermarket in Malaysia. The research question mentioned above can be answered as follows;
1. Is there a tangible relationship between the buying behavior of customers and the
marketing communication?
2. How communication in marketing can influence the purchasing behavior of customers.
1.3 Research Aims & Objectives
The primary objective of this research is to carry out an analysis of marketing communication
mix strategies on the purchasing behavior of customers in Giant hypermarket in Asia. However,
to accomplish our main goal, we have to look at some of the supporting objectives that will lead
us to the research aim. Some of these objectives include;
1. To investigate on the available marketing communication mix in Malaysia and identify
the ones used by Giant hypermarket.
2. To evaluate the level of impact the marketing communication mix have on customer’s
purchasing behavior.
3. To assess the feasibility of introducing a new brand in the market that will build customer
loyalty created through the marketing efforts.
4. To identify more sophisticated marketing strategies used by Giant hypermarket.
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Research Methodology 6
1.4 Rationale of the Study
Giant hypermarket Company has faced serious competition from its main business counterparts
such as Billion, Econsave, Aeno, the store and so on. They are all large retail supermarkets that
sell consumer goods having used a number of marketing communication techniques. However,
in the recent past, giant hypermarket have experienced a great upward pull in their sales
attributed to unique marketing strategies.
2.0 Research Methodology
This chapter discusses on the methodology and research design used in the study. Research
methodology is a systematic and theoretical overview of the methods utilized to search for
knowledge. The research methodology incorporate structures, models, strategies and segments
that work in harmony to meet research study objectives in a logical and scientific way. It also
gives the outline of the research which assists the researcher to choose the best method for
conducting the study effectively. Research methodology comprises of samplings, analyzing
strategies and data collection methods. To meet the objectives of this study, the following
research methodology will be used.
2.1 Research Philosophy
The researcher strategies and plans to obtain knowledge to shape research study philosophy. The
research philosophy literature that will dominate this is as follows:
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Research Methodology 7
2.1.1 Positivism
It is the first view of the research philosophy. In this case, the law of nature will take over the
mind. According to Anuar and Mohamad (2012), positivism outlook results into a generalization
that is based on proven and recognized laws.
2.1.2 Interpretivism
With regard to Interpretivism, researchers tend to disagree with generalization laws. Researchers
may argue that the social aspects may decrease their inherent quality if positivism fully following
in carrying social studies.
2.1.3 Realism
The realism concept indicates that there is a realism that is independent of beliefs, prejudices and
human thoughts. Clow (2010) stipulate that there exist powerful social forces that influence
individuals without informing them of the impact of their understanding and behavior.
2.2 Qualitative and Quantitative Approach
Information type and sources used by Giant Hypermarket
Giant hypermarket used a number of communication mode such as advertising, sales promotion,
public relation, online marketing, personal selling and direct marketing.
Qualitative research tools
Giant hypermarket used the qualitative research to identify what really influence customers’
choice when buying. The customers were engaged in discussions regarding what different
communication modes influence their decisions when buying. The main research tools used
included in home visit, in store interview, focus group discussion.
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Research Methodology 8
Quantitative research tool
Giant hypermarket also employed the use of quantitative research tool in a wider scope. These
tool helped the company to identify the most influential communication modes among
customers. The sample sizes used were larger while personal interaction was minimal.
2.3 Research Strategy
Giant hypermarket is a multinational company with resources that has enabled it explore all the
possible marketing communication mix. The company uses a number of methods of collecting
data to determine the impact of marketing communication mix on customers buying decision.
The data was obtained through information processing technology, report and salesperson
experiences.
Other methods of collecting data included the primary method which involved:
Telephone survey: calling our loyal consumers and asking them questions on which
marketing communication mix mainly influence their decision when buying products
such as detergents, food and beverages.
Mail surveys: the survey department designed a survey filling form that included the
different methods of communication mix used by the company for clients to choose
the most convincing method that always caught their attention thus drawing them to
buying such products.
Door to door interviews was used to get the direct contact with customers to feel their
expression towards certain communication mix.
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Research Methodology 9
2.3.1 Data collection forms
Structured questionnaire was used to support certain facts of communication mix that influence
customer decision when buying products. A number of customers suggested that advertising on
TV and billboards played a very important part in their decision making, followed by loyalty
cards, brand ambassadors, Corporate Social Responsibility, slogans. Some were also influenced
by relatives, friends, and neighbors to choose certain products. We also discovered that quality,
price and quantity play a role in role despite the method used in marketing communication mix.
Various convincing marketing communication mix
A number of customers were interviewed on which marketing communication mix impacted on
their choice to buy certain products as shown in appendix A.
2.3.2 Sample plan and size
The sampling event was done in Malaysia in six pop up temporary locations. Our main purpose
was to create awareness of the company and to find out the impact of the marketing
communication tool to customers’ choice when buying products. Most of the Malaysians
claimed that their choices were influenced by the advertisements made on television
commercials and radios.
Sales promotion was carried out by stylists by giving tips to the public who volunteered to be
interviewed. In addition, celebrities made appearance to attract the attention of the general
public.
There were also a different team roaming around the streets asking the public whether they are
familiar with the products offered by Giant and rewarding them with gift hampers. Pedi cab on
the other hand offered customers free rides and supplied the rest of the samples to the rest of the
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Research Methodology 10
city. The basic sampling involved the company representatives who visited people on a door –
door method to teach customers on the available products in the market.
2.4 Data collection
Data collection is one of the most important piece in acquiring raw data from 160
correspondents, however, this can be subjected to mistakes that should be taken care of to ensure
validity of information assimilated. When conducting the field survey, difficulties are prone to
occur such as language barrier hence there is need to have a translator.
Another problem may be the ignorance of some people who never took me serious or turned me
down at the gate. Moreover, the experience gave me a first-hand experience how real life survey
are done in the field.
Researchers were able to identify peoples thinking when it comes to models of marketing tools
with the urban dwellers aware of the online marketing while the rural dwellers dumb on such
issues and the impact an income pose and the experience they have really influence their buying
choices. One major concern was the brand loyalty among all income level families, as long as the
product always satisfy their needs, then are a good to go with it anytime, any day and anywhere.
However, the use of billboards and advertisement on TV and radios seemed to be more
convincing to a large number of people. In addition, the use of online marketing by displaying
their products online seemed to be more convincing. Most of the respondents were a little bit
confused while giving their answers, although they were aware of what they were saying and
gave satisfactory answers. Despite the challenges, we managed to gather some tangible data.
Some of the data collected are shown below:
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Table 1: Suggestions provided by customers
Convincing communication tool Number of people
Advertising 36
Sales Promotion 29
Sponsorship 21
Public Relations 20
Interactive marketing 30
Personal selling 8
Word of mouth 7
No comment 9
Source: (Author)
Major influence while buying a product
Table 2: Major influence while buying a product
Factor of influence Number of people
Friends & relatives 35
Self-experience 42
Communication modes/tools 46
Neighbours 30
Others 7
Source: (Author)
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Research Methodology 12
Table 3: Factors of influence on products features
Factors of influence Number of people
Brand loyalty 28
Price 65
Quality 50
Quantity 15
No comment 2
3.0 Data Analysis
The data collected helps the company to interpret and analyses the data in order to get to know
the impacts of different marketing communication mix on customers’ on their purchasing
behavior. The data collected were analyzed in a more precise manner in a bid to accomplish the
research question and supporting objectives. The analysis is divided into two parts, the first part
tend to achieve the research objectives while the second part answers the research question stated
in the beginning of the study.
Advertisement being the most powerful tool of Giant hypermarket’ marketing communication
mix. The advertisement strategies involve having TV commercials, billboards and promotion
strategies.
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