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field of marketing communications. This paper analyzes consumers attitudes towards the interactive. Methodology: This study used an empirical survey on a convenience sample of consumers in the locality of KIIT University. Findings: Three main hypotheses researched in this paper are: consumers have a more positive attitude toward interactive marketing communication than toward one-way communication (H1); Among Internet users, men are more predisposed to online shopping than women.(H2). Young people are more predisposed to interactive marketing than older Internet users (H3).All the three hypotheses were accepted after a brief analysis by using various tests using SPSS 15.0 version.
Implications: These findings have implications for the direction of relationship development with consumers. They provide an insight into how consumers want to communicate with companies and organizations and what level of personalization they expect or require. In addition, the findings indicate what companies or organizations should do in order to draw consumers into interactive personalized relationships. There are also gaps between the different segments of the consumer society in terms of gender & age.
KEYWORDS: Advertising effectiveness, Electronic commerce, Interactive marketing, Consumer behavior, Brand equity, Internet shopping, WOM, Telemarketing, Direct marketing
Introduction Interactive Marketing allows customers and prospects to participate in the process of building a brand's image in a certain market or target group's minds. Interactive marketing communication and consumer behavior represent some of the most recent developments in the field of marketing communication and marketing in general. Technology developments (both software and hardware) have enabled cost effective interactive communication and thus cost effective management of personalized relationships with each consumer individually. Thus, if adequately implemented, interactive communication that enables relationship personalization could result in substantial savings for companies and could lead to a significant increase in satisfaction for consumers. This paper is the result of wide research in this field. In this paper, analysis is concentrated on analyzing consumers attitudes toward interactivity as contemporary developments in interactive marketing communication. In order to analyze consumer attitudes toward relationship personalization and interactive communication, the concepts first need to be clearly defined.
marketing; this does not represent a short-term hit but rather a long-term strategy which includes a change of business philosophy where consumers become partners. Definitions of interactive marketing communication are numerous. Interactive communication could be defined as communication where the sources exchange the roles of transmitter and receiver. One of the most relevant basic definitions was given by Blattberg and Deighton, who define it as the opportunity for people and businesses to communicate directly, regardless of space and time constraints. Interactive marketing communication can also be viewed from the point of view of communication and information control. Interactivity can also be defined as the degree of influence of the given participants on each other, the communication media, the message and the synchronization of these in three main dimensions: active control, two-way communication, and
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synchronization. These definitions indicate that interactivity enables certain benefits like convenience, diversity, relationship, and intellectual challenges alongside the very important aspect of control of communication and relationships. After a thorough analysis of the mentioned definitions, it is possible to show the most important concepts related to interactive marketing communication. Interactive marketing communication: y includes at least two parties who have a capability of communication and information control y y Includes two-way communication. Includes personalization of communication, that is, adaptation of the communication form and content to each consumer individually. y Implies the possibility of instantaneous feedback from all the included parties through the same medium or different ones. y y y Abolishes time-space constraints. Enables precise measurability of results. Can be initiated through non-interactive media.
In our research work we have selected various types of interactive marketing channels like online marketing, shopping at malls, door to door marketing, telemarketing and other media of communications.
consumers, and analyzing data in order to obtain strategic information that could be used to develop more efficient and profitable interactions with consumers. Other concepts are one-to-one marketing and relationship marketing, which are the most closely related concepts to relationship personalization. With technological advances, some authors have renamed relationship marketing as technological marketing in order to stress the importance of technology in marketing. Personalization includes the mentioned concepts, but also relates to some additional factors: y y y y y Knowledge exchange Intangible aspects which add value Increased consumer expectations caused by interaction and personalization Cost factors Reduction of choice complexity due to personalization
Thus, relationship personalization can be defined as a marketing concept, which assumes the development of a relationship between consumers and companies or organizations based on mutual understanding and developed and continuous knowledge exchange through interactive communication with the goal of achieving added value for all the parties involved.
Research Methodology
The aim of this paper is to analyze consumers attitudes toward relationship personalization and interactive marketing communication. Thus, three main hypotheses were set:
H1: Consumers have a more positive attitude toward interactive marketing communication than toward one-way communication. H2: Among Internet users, men are more predisposed to online shopping than women. H3: Young people are more predisposed to interactive marketing than older Internet users.
After the literature review, a questionnaire was developed to study the consumer behavior in choosing different interactive communication channels for their buying purposes. The questionnaire includes the demographic profile, Internet use and attitude towards interactive shopping. The questionnaire is based on a five-pointLikert's scale and other methods. The respondents were asked to rate the options according to their choices. Random sampling
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technique has been used for collecting the data. The sample includes the locality of KIIT University. Data has been collected from students, academicians and job holders. A total of 50 questionnaires were distributed from which all the questionnaires were received. From those only 900 were usable responses and completely filled questionnaires. Chi-square, mean, standard deviation and factor analysis have been used to find the trends of Interactive marketing use and factors affecting E-shopping.
Valid
Frequency 33 14 3 50
Valid
Frequency 36 14 50
We have selected a sample size of 50 amongst them 36 men and 14 women. We also have taken age group ranging from 18 to 40.Given below are representations of the questionnaires conducted by us .To give a clear picture we have given pie chart distribution to know about the frequencies of various variables we have taken.
How many hours per week do you spend on-line excluding reading e-mail?
Valid
Frequency 4 9 17 20 50
Valid
Frequency 12 3 5 10 20 50
Which form of marketing do you think is the best way to get your products & services to customers?
Valid
e-mail marketing door to door markting online marketing at shops and malls Total
Frequency 3 4 14 29 50
Have you ever visited any on-line shopping website? Cumulative Percent 88.0 100.0
Which form of marketing do you think is the best way to get your products & services to customers? Cumulative Percent 6.0 14.0 42.0 100.0
Valid
e-mail marketing door to door markting online marketing at shops and malls Total
Frequency 3 4 14 29 50
Which type of interactive marketing channels influence you most on your buying decision ? Cumulative Percent 28.0 42.0 94.0 100.0
Valid
Frequency 14 7 26 3 50
If the product has the same price both in shops and on internet where do you prefer to buy? Cumulative Percent 42.0 82.0 100.0
Valid
Frequency 21 20 9 50
Valid
yes no Total
Frequency 28 22 50
Could you tell us how often you buy products through on-line on average? Cumulative Percent 8.0 22.0 34.0 94.0 100.0
Valid
once a week once every 2-3 wek once a month on every 4-6 months once a year Total
Frequency 4 7 6 30 3 50
How much on average have you spent on on-line shopping in last six month?(in rupees) Cumulative Percent 36.0
Valid
0-500
Frequency 18
Percent 36.0
10
9 19 3 1 50
what kind of stuff do you buy online Cumulative Percent 16.0 46.0 60.0 64.0 98.0 100.0
Valid
books apparel and more electronics home and kitchen all categories none Total
Frequency 8 15 7 2 17 1 50
which of the following services will you used to settle the payment for online shopping
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Valid
Frequency 14 31 5 50
what kind of stuff do you buy online Cumulative Percent 16.0 46.0 60.0 64.0 98.0 100.0
Valid
books apparel and more electronics home and kitchen all categories none Total
Frequency 8 15 7 2 17 1 50
Do you think it is important for high the street retailors nowdays to have an online shopping facility
12
Valid
Frequency 32 7 11 50
what do you believe are the biggest shortcomings in emails about Product and service offerings that buyers receive on mobile devices? Cumulative Percent 50.0 66.0 82.0 90.0 96.0 100.0
Valid
lack of ability to customize lack of relevance difficult to navigate poorly organized lack of ability to customize appearance others Total
Frequency 25 8 8 4 3 2 50
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Social network
Valid
0 2 5 10 15 20 25 30 40 Total
Frequency 1 2 7 16 1 15 2 5 1 50
Percent 2.0 4.0 14.0 32.0 2.0 30.0 4.0 10.0 2.0 100.0
Direct mail Cumulative Percent 2.0 4.0 8.0 38.0 72.0 76.0 92.0 98.0 100.0
Valid
0 1 2 5 10 15 20 30 40 Total
Frequency 1 1 2 15 17 2 8 3 1 50
Percent 2.0 2.0 4.0 30.0 34.0 4.0 16.0 6.0 2.0 100.0
Valid Percent 2.0 2.0 4.0 30.0 34.0 4.0 16.0 6.0 2.0 100.0
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E-mail Cumulative Percent 2.0 6.0 8.0 32.0 34.0 36.0 78.0 88.0 96.0 100.0
Valid
0 2 3 5 7 9 10 15 20 30 Total
Frequency 1 2 1 12 1 1 21 5 4 2 50
Percent 2.0 4.0 2.0 24.0 2.0 2.0 42.0 10.0 8.0 4.0 100.0
Valid Percent 2.0 4.0 2.0 24.0 2.0 2.0 42.0 10.0 8.0 4.0 100.0
Internet Search Cumula Valid tive Percent Percent 2.0 2.0 2.0 4.0 2.0 6.0
Va lid
0 2 3
Frequ ency 1 1 1
15
4 5 10 15 20 25 30 50 To tal
1 7 21 5 6 1 5 1 50
Print Cumulative Percent 2.0 4.0 6.0 8.0 28.0 62.0 64.0 72.0 92.0 94.0 100.0
Valid
0 2 3 3 5 10 12 15 20 25 30 Total
Frequency 1 1 1 1 10 17 1 4 10 1 3 50
Percent 2.0 2.0 2.0 2.0 20.0 34.0 2.0 8.0 20.0 2.0 6.0 100.0
Valid Percent 2.0 2.0 2.0 2.0 20.0 34.0 2.0 8.0 20.0 2.0 6.0 100.0
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Electronic media Cumulative Percent 2.0 40.0 46.0 58.0 60.0 78.0 80.0 82.0 96.0 98.0 100.0
Valid
5 10 15 20 25 30 34 35 40 50 60 Total
Frequency 1 19 3 6 1 9 1 1 7 1 1 50
Percent 2.0 38.0 6.0 12.0 2.0 18.0 2.0 2.0 14.0 2.0 2.0 100.0
Valid Percent 2.0 38.0 6.0 12.0 2.0 18.0 2.0 2.0 14.0 2.0 2.0 100.0
Valid
0 5 10
Frequency 1 9 19
17
15 20 30 40 Total
4 9 7 1 50
Is product, price and quality, the factors influencing online shopping decision? Cumulative Percent 36.0 86.0 92.0 98.0 100.0
Valid
strongly agree slightly agree neither slightly disagree strongly disagree Total
Frequency 18 25 3 3 1 50
Is after sales service the factors influencing the online shopping decision? Cumulative Percent 42.0 84.0 94.0 100.0
Valid
Frequency 21 21 5 3
18
Total
50
100.0
100.0
Is convenience and save time the factors influencing the online shopping decision? Cumulative Percent 32.0 70.0 84.0 100.0
Valid
Frequency 16 19 7 8 50
Is website provides sufficient product information and explanation the factors influencing online shopping decision? Cumulative Percent 26.0 70.0 78.0 100.0
Valid
Frequency 13 22 4 11 50
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I have a more positive attitude toward interactive marketing Cumulative Percent 10.0 24.0 46.0 68.0 100.0
Valid
Frequency 5 7 11 11 16 50
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TESTING OF HYPOTHESIS
Hypothesis 1: Consumers have a more positive attitude toward interactive marketing communication than toward one-way communication. For the analysis of H1, we used the samples and the key claim on a 5-point Likert scale I have a more positive attitude toward interactive marketing communication than toward one-way communication. The hypothesis was tested using a t-test (under the assumption that the number 3 represents a neutral attitude). The result of the t-test conducted on the representative sample of KIIT University locality is 3.52 (t=18.523; df=49; P=.0001) which represents a significant shift toward the positive end of the Likert scale. Thus, H1 is accepted. One-Sample Statistics Std. Error Mean .190
Mean 3.52
Test Value = 0 Mean Differenc e Upper 95% Confidence Interval of the Difference Upper 3.14 3.90
df Upper 49
Lower 3.520
RELIABILITY TEST AND VALIDITY TEST Reliability test was carried out using SPSS and the reliability test measures. The value of Cronbachs Alpha: 0.789. Validity of the questionnaire was checked using face validity method and was found to be high.
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N of Items 28
In addition to the mentioned claim, further analysis was done. We also analyzed other factors/ variables which are described further. For instance we have taken one variable i.e. frequency of using on-line shopping.
Could you tell us how often you buy products through on-line on average? Cumulative Percent 8.0 22.0 34.0 94.0 100.0
Valid
once a week once every 2-3 wek once a month on every 4-6 months once a year Total
Frequency 4 7 6 30 3 50
The above table and graph shows that on every 4-6 months the respondents are using on-line shopping.
Testing of hypothesis 2
H2: Among Internet users, men are more predisposed to online shopping than women. So in order to prove this hypothesis we have taken one key attribute i.e. Trust for on-line shopping and we compared it with the gender variable by chi-square test. Following are the detailed descriptions.
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Chi-Square Tests Asymp. Sig. (2-sided) .462 .675 .459 .537 .531 1 .466 .340 Exact Sig. (2-sided) Exact Sig. (1-sided)
Pearson Chi-Square Continuity Correction(a) Likelihood Ratio Fisher's Exact Test Linear-by-Linear Association
df 1 1 1
N of Valid Cases 50 a Computed only for a 2x2 table b 0 cells (.0%) have expected count less than 5. The minimum expected count is 6.16. Symmetric Measures Asymp. Std. Error(a)
Nominal by Nominal
Approx. T(b)
After analyzing the table we infer that the chi square value is very high and the significance level is much higher than the standard level (.462).So the null hypothesis is rejected and we conclude that men are more predisposed to online shopping than women and the value of Cramers shows that both variables are strongly related.
TESTING OF HYPOTHESIS3
H3: Young people are more predisposed to interactive marketing than older Internet users. In this hypothesis we will have to test about the associatedness of the two variables i.e. age and usage & trust in interactive marketing. In order to obtain a decisive result we cross tabbed the key factors & calculated chi-square value. Then we also analyzed through various factors by regression analysis. Given below table shows the general characteristics of the age variable.
Descriptives
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age group
Mean 95% Confidence Interval for Mean 5% Trimmed Mean Median Variance Std. Deviation Minimum Maximum Range Interquartile Range Skewness Kurtosis Lower Bound Upper Bound
Statistic 1.40 1.23 1.57 1.33 1.00 .367 .606 1 3 2 1 1.260 .623
.337 .662
In this case the null hypothesis will be H0: there is no difference in inclination towards interactive marketing among younger & older generation. Given below is the chi-square analysis of the said hypothesis.
age group * Do you trust on-line shopping? Crosstabulation Do you trust on-line shopping? yes age group 18-25 Count % within Do you trust on-line shopping? 25-40 Count % within Do you trust on-line shopping? Count 19 67.9% 8 28.6% 1 no 14 63.6% 6 27.3% 2
>40
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% within Do you trust on-line shopping? Total Count % within Do you trust on-line shopping? Chi-Square Tests
3.6% 28 100.0%
9.1% 22 100.0%
6.0% 50 100.0%
df 2 2 1
a 2 cells (33.3%) have expected count less than 5. The minimum expected count is 1.32.
Approx. T(b)
.142 .142
.560 .420
a Not assuming the null hypothesis. b Using the asymptotic standard error assuming the null hypothesis. c Based on normal approximation.
From the tables it is clear that the significance level of chi-square is more than the ideal level. So null hypothesis is rejected & we conclude that young people are more predisposed to interactive marketing than older Internet users. We have again cross tabbed some more variables in this regard for realization. SOME MORE CROSS-TAB ANALYSIS FOR H1 & H2
age group * If the product has the same price both in shops and on internet where do you prefer to buy? Crosstabulation Count If the product has the same price both in shops and on internet where do you prefer to buy?
Total
25
internet 12 7 1 20
df 4 4 1
a 4 cells (44.4%) have expected count less than 5. The minimum expected count is .54.
gender * If the product has the same price both in shops and on internet where do you prefer to buy? Crosstabulation If the product has the same price both in shops and on internet where do you prefer to buy? Total i dont high street really high street retailers internet care retailers 16 17 3 36
gende r
male
Count % within If the product has the same price both in shops and on internet where do you prefer to buy?
76.2%
85.0%
33.3%
72.0%
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female
Total
Count % within If the product has the same price both in shops and on internet where do you prefer to buy? Count % within If the product has the same price both in shops and on internet where do you prefer to buy?
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23.8%
15.0%
66.7%
28.0%
21
20
50
100.0%
100.0%
100.0%
100.0%
df 2 2 1
a 1 cells (16.7%) have expected count less than 5. The minimum expected count is 2.52.
In all these cross tab tables we are getting that null hypothesis is rejected as significance level is higher. So both the hypothesis are correct. We also have done the regression analysis of various variables to support our findings. According to different buying behavior of the consumers we have segmented them demographically. Here weve given a regression & correlation test models & it explains how the consumers are dispersed in buying products on-line in terms of frequency.
Correlations Which form of markting do you think is the best way to get your products & services to customers? 1 18.000 -.259 .069 -10.200
age group age group Pearson Correlation Sig. (2-tailed) Sum of Squares and Cross-
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products Covariance N Pearson Correlation Sig. (2-tailed) Sum of Squares and Crossproducts Covariance N .367 50 -.259 .069 -10.200 -.208 50 85.920 1.753 50 -.208 50 1
Which form of markting do you think is the best way to get your products & services to customers?
Model 1
Method Enter
a All requested variables entered. b Dependent Variable: Which type of interactive marketing channels influence you most on your buying decision ? Model Summary Adjusted R R R Square Square .532(a) .010 -.032 a Predictors: (Constant), age group, gender Model 1 Std. Error of the Estimate .979
ANOVA(b) Sum of Squares df Mean Square F Sig. Regression .469 2 .235 .245 .784(a) Residual 45.051 47 .959 Total 45.520 49 a Predictors: (Constant), age group, gender b Dependent Variable: Which type of interactive marketing channels influence you most on your buying decision ? Model 1
Correlations Which form of markting do you think is the best way to get your products & services to customers ? 1
Which form of
Pearson
gender -.117
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markting do you think is the best way to get your products & services to customers? gender
Correlation Sig. (2-tailed) Sum of Squares and Crossproducts Covariance N Pearson Correlation Sig. (2-tailed) Sum of Squares and Crossproducts Covariance N
.419 85.920 1.753 50 -.117 .419 -3.440 -.070 50 10.080 .206 50 -3.440 -.070 50 1
All the tables above describes the variables are related strongly with each other and if we take various models in regression we can find that the regression models are explaining the variables more than 50%.
When all the mentioned factors are taken into account, some very indicative implications can be drawn for companies that seek to develop interactive personalized relationships: y They need to be aware of the industry they are in and of general consumer perceptions toward that industry.
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Their reputation (it has the strongest effect on consumers willingness to start and maintain both interactive communication and personalized relationships).
y y y
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