CHAPTER ONE

INTRODUCTION

1.1 Background to the study

From the genesis, advertisement has a lengthy history that may be traced back to ancient culture.

To reinstate a product as top-of-the-mind for consumers, organizations from all areas of the

world spend huge amounts on advertisement (Zhao & Yan, 2020). Advertisements are regarded

as a widely accepted source of information among the consumers compared to other marketing

sources, and hence, media mix decisions are crucial for advertisers (Shrivastava, 2019). Internet

advertisements are unique in the way that consumers visit the advertisements, when compared to

traditional print and TV media, where advertisements are placed in front of the viewers (Sama,

2019). Advertisement on every media platform has a different composition that engages the

consumers in a distinct way. According to research on the consumer behaviour of internet users,

internet and web advertising provided advertisers a way to make product globally recognized

(Shrivastava, 2019). With the passage of time there is a change in the way the world perceives

advertisement.

In the current era, it becomes a dynamic concept of how organizations manage their customer

relationships and what kind of marketing strategy should be adopted for the customer (Ahmad,

2022). Nowadays, different advertising means is not only used for information purposes but also

as an avenue for buying and selling goods and services between the buyer and seller (Danish,

2019). To survive in this highly diverse market, it becomes essential for organizations to adopt

different marketing tools through advertisements to attract their customers. The preference level

of the customer is continuously changing due to the higher technological influence on their living

pattern (Islam & Rahman, 2020). Being a seller, it becomes crucial to consider the importance of

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advertisement in their operating, marketing, and sales department (Gul, 2022). Thus, in the

current digital era, internet advertisement has become a fascinating variable for the management

and entrepreneurs to gain market share and customer satisfaction in the competitor’s market and

also to secure the future of a company (Nwokah & Ngirika, 2021).

In an economy, it is often difficult to have a consistent and consistent increase in an enterprise's

performance because of the country's political and socioeconomic instability, which directly

affects consumers' standard of living and purchasing power (Suryaprakash & Pawar, 2021).

Marketing issues frequently have far-reaching consequences for any company and, if ignored,

can pose a significant threat to the company's continued existence, particularly in the area of

advertising as an aspect of corporate communication. Some organizations place little emphasis

on advertising their products, which has a negative impact on business performance. Others use

various advertising media such as television, the internet (Facebook; email), newspapers,

magazines, and so on to communicate their marketing messages to their target group (Chukwu,

Kanu & Ezeabogu, 2019). Advertisements which are strategically targeted attracts more attention

due to its resource like size and position or site; color benefits; lighting signs; and mass appeal.

As a result, advertising is the most visible form of marketing (Benson-Eluwa, 2019). Advertising

is a useful channel of communication for drivers and pedestrians because the posters stand alone

and make their presence known in a manner that no other kind of marketing does (Swallehe,

2021). The availability of appropriate conditions for the use of advertisements and the increased

spending on them does not necessarily mean that advertisements work with the required

effectiveness and efficiency, and thus perform their important role and functions to the fullest

(Suditu, Valceanu, Dumbraveanu, Gheorghilas, & Tentis, 2020).

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According to Chukwu, Kanu, and Ezeabogu (2019), the primary concern of managers is

maintaining customer interest in the products they sell through advertising expenditures.

Additionally, they must comprehend the factors that affect consumer behaviour. Consumers

exhibit purchasing behaviour as consumers when they search for, spend, utilise, evaluate, and

dispose of products that they feel will satisfy their needs (Haider & Shakib, 2019). Customer

purchasing behaviour outlines the techniques used whenever individuals or teams choose, gather,

utilise, or dispose of items, ideas, or encounters that correspond with their necessities and tastes.

The term "consumer behavior" refers to actions and decisions that factor into a customer's

purchase. Businesses and marketers study consumer behavior to understand what influences a

consumer's shopping preferences and selection of products and services (Oke, Kamolshotiros,

Popoola, Ajagbe, & Olujobi, 2020). Customers are becoming more powerful, more

knowledgeable and more sophisticated, and research into modern consumer behaviour is

increasingly important for businesses according. Advertising to attract consumers, providing

better environment, product, services and policies is important in improving today’s consumer

experience to support businesses in retaining customers (Shende, 2019). Surfing skill, ease of

access, advert content, location of advert on and offline, and the quality of advertised products

are the major determinants of successful advertisement (Okon, Efremfon, & Akaninyene, 2020).

Consumers will immediately terminate the visit if they find that the web advertisement is not

useful (Priyanka, 2019). In addition, consumers behavior on advertising may evolve from time to

time thus there are still lack of understanding and information on how consumers react to

advertising in Nigeria, hence the study intends to examine the effect of advertisement on

consumer buying behavior in Ilorin, Kwara State, Nigeria.

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1.2 Statement of the Problem

Over the years, the way businesses or organizations communicate with customers through ads

has changed and this is due to several factors including printing press, radio, tv, and social media.

As a result of this advancement of means of communication, businesses lacked behind due to the

failure in investing on media advertisements through this means to achieve their goals. The odds

of communicating effectively to the consumer if it does not advertise are very low. Nowadays,

the media has practically become a weapon and is playing a major role in advertising. The way

businesses operate, and particularly the methods they use to raise public awareness of their goods

and services, have radically changed. Therefore, advertisers are continually trying to find new

ways to improve the intensity and efficiency of their advertisements in today's cluttered media

environment.

Also, considering its wide coverage, video advertisement can be used by advertisers to inform

potential clients on the availability of certain goods and services. Apart from informing,

advertisers use video advertisement with the intention of manipulating the consumers so as to

influence their purchasing decisions. However, most of the consumers are not aware of the

influence that video advertisements have on their perceptions and choice of products and

services. At the same time, the modern society has been largely criticized for video

advertisements inclination to consumerism. Therefore, it is important to investigate how these

advertisements affect consumer behaviour.

Furthermore, the internet revolution is phasing out the traditional means of advertising. However,

online penetration in Nigeria is very low compared the state of Nigeria as a growing economy.

Despite the several advantages of online advertising and sales over other forms of commerce,

many Nigerians are yet to adopt this technology in their daily buying and selling activities. Some

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don’t notice the social media adverts, some people visit social media only to source for

entertainment; they are skeptical about online advertisements as they feel it is not what they need

and as well due to some factors like fraud, distrust, privacy risk, data insecurity, customers don’t

pay attention to social media advertisement. The question, then, is what should be done by web

advertisers, to make Nigerian consumers patronize products and services seen on social media.

Even though the existence of several studies in this field, very few studies have considered the

effect of online advertising on consumer buying behaviour in a developing country context.

Thus, the broad objective of the study is to examine advertising and consumer buying behaviour

among students of the University of Ilorin, Nigeria.

1.3 Research Questions

i. Do media advertising have an impact on awareness of nestle product among

undergraduates of the University of Ilorin?

ii. Does video advertising influence interest of nestle product among undergraduates of the

University of Ilorin?

iii. How does online advertising affect desire and action of nestle product among

undergraduates of the University of Ilorin

1.4 Research Objectives

The study sought to investigate advertising and consumer buying behavior while specific

objectives include;

i. to consider the impact of media advertising on awareness of nestle product among

undergraduates of the University of Ilorin;

ii. to determine the influence of video advertising on interest of nestle product among

undergraduates of the University of Ilorin; and

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 iii. to examine the effect of online advertising on desire and action of nestle product among

undergraduates of the University of Ilorin.

1.5 Research Hypotheses

H01: media advertising has no significant impact on awareness of nestle product among

undergraduates of the University of Ilorin

H02: there is no relationship between video advertising and interest of nestle product among

undergraduates of the University of Ilorin

H03: online advertising does not affect desire and action of nestle product among undergraduates

of the University of Ilorin

1.6 Significance of the Study

The company involved in this study, will greatly from the information provided by this study

particularly in terms of buying decisions for their advertisements, especially considering that the

company are multinationals. Organizations will benefit from findings from this study because

they will be able to come up with online advertisement strategies, they can use to develop online

advertising tactics to attract new and existing customers.

Additionally, marketing practitioners, research firms and students pursuing consumer behaviour

in marketing and advertising studies will find this research very useful for their studies, not only

in Ilorin but also other parts of the country and also outside the nation for the ones that are

interested to understand the consumer behaviour in developing countries.

This study will be of significant in informing the consumers about the impact of the

advertisement thus making them make informed choices instead of being swayed by what they

see. In the process, they will develop a certain perception or attitude towards certain products

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thus becoming loyal customers and this will benefit the companies offering the products they

choose.

Lastly, the study will lay the foundation for further research on the influences that advertisement

have on consumer behaviour. The study would serve as reference to future academic studies

hence provide more information on advertisement and customer buying behavior. The study will

also add more knowledge to existing information.

1.7 Scope of the Study

The study focused on the consumers of Nestle products among the undergraduates of the

university of Ilorin, Ilorin, Kwara State. Advertisement is important in this digital era as one of

the influencing factors of marketing in influencing consumer buying behavior. This study will

be limited to the data and information collected from undergraduates of the University of Ilorin

on their purchase behavior to advertisements. The study was limited to Ilorin, Kwara state,

Nigeria. This study covered a period of three (3) years ranging from 2021-2024. The period of 3

years was considered to enable in evaluating the operations of Nestle Plc on their advertisement

processes in influencing consumer buying behavior. The study will concentrate on information

concerning advertisement as the independent variable and consumer buying behavior as the

dependent variable.

1.8 Definition of Key Terms

Advertisement: Advertisement is defined as device which attracts and induces people to accept

a product

Media advertisement: this is a form of advertisement through print or broadcast means

Video advertisement: this is an advertising which consist of using motion and graphic means to

deliver information to the customers

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Online advertisement: this is the process for reaching out to many existing and potential

customers as possible using the internet.

Consumer buying behaviour: According to Chen (2020), consumer behaviour is the product

perception as per the consumer’s point of view. It is the general action towards the product

displayed by the potential buyer.