1

CHAPTER-I

INTRODUCTION
1.1 Background of Study

Advertising is the key for building, creating and sustaining brands. Advertisements
play a major role in persuading, informing and reminding both potential and existing
customers towards making a purchase decision (Ingavale, 2013). Most advertising is
intended to be persuasive to win comments to a good, service or idea. The advertising
objective declares

Advertising plays a vital role in shaping dreams and aspirations and helps
customers take conscious product and brand decisions. Often, advertisement with
endorsements creates easy remembrance for the customer’s for the advertised product.
The customer tends to associate the brand with the celebrity and can easily register the
brand in their mind (Ingavale, 2013). Perceptually, the role that advertising play in
consumer’s culture is why it is necessary to research on the impact of advertising on
the consumer’s purchase decisions. William Bernbach, a U.S. advertising executive
states that “Advertising is not a science. It’s a persuasion. And persuasion is an art”
(Encarta Student ,2009). The promotion practice of advertising is strategically used to
“induce consumers to purchase goods and services”
Advertising media refers to the various media channels through
which advertising is done. Advertising media isused for showcasing promotional
content which communicated in various forms such as text, speech, images, videos
using TV, radio, online, outdoor etc. Advertising media refers to the various media
channels through which advertising is done. Advertising media is used for showcasing
promotional content which communicated in various forms such as text, speech,
images, videos using TV, radio, online, outdoor etc. Basically they are channels
through which companies can advertise their products and services to reach to
customers.

For every type of advertising media, there are different parameters based on which
they can be measured:
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1. For a print or a TV/radio ad, a phone number or email can be given for customers
to contact the company if they want, and through the number of people who have tried
to contact, we can measure the impact of the ad.

2. For an internet ad which is placed on different website homepages, if the company

or brand has an online website too, the number of clicks which direct the customer to
the company website measures the impact of the ad. But if the company does not have
a website, contact information can be displayed on the banner as in the case of print
ads, and the impact can be measured similarly.

In general, feedback devices like coupons, toll-free numbers, or feedback registers in

shops can estimate the impact of advertising media.

1.2 Profile of The Dugar Spices & Food Products Pvt Ltd.
Dugar Spices & Food Products Pvt. Ltd, a member organization of Century Group of
Companies, is an ISO certified manufacturer of exotic blended and powder spices,
snacks, CTC tea, pickles and glucose, based in the industrial city of Biratnagar, Nepal,
the century known for its breathtakingly beautiful Himalayan Range and the highest
peak in the world, Mount Everest.
Registered under the company Act-1991, DSF has been the first choise of our valued
clients since the inception of the company. The primary belief for the company is that
customer courtesy and customer satisfaction play pivotal roles in the success of any
organization. It is dire for us, as part of the DSF community, to prioritize and work
towards customer's preferences and feedbacks.
Dugar Spices and Food Products Private Limited has been established and registered
under the Act-1991 at industrial city Biratnagar in Nepal. Dugar Spices and Food
Products Private limited (DSFPPL) has been established and registered under the
Company Act-1991 at industrial city Biratnagar in Nepal (expressly famous as
Himalayan kingdom of the world) which has the world’s highest Himalaya named
Mount Everest. It has its own history of beginning. It has been the first choice of our
valued clients. Along with the Nepalese, our premium range of spices have won the
hearts of Indian, Burmese, Bangladeshi, Sri Lankan, Malaysian, Middle Eastern and
Japanese people who relish the quality of our export-quality products.
Outside of Asia, our products are exported to Australia, New Zealand and United
States of America. Our spices have also been the first choice of people who migrate to
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foreign countries and miss the taste of home food. Registered under the Company
Act-1991, DSF has been the first choice of our valued clients since the inception of
the company. The primary belief for the company is that customer courtesy and
customer satisfaction play pivotal roles in the success of any organization. It is dire
for us, as part of the DSF community, to prioritize and work towards customer’s
preferences and feedbacks.

1.3 Statement of Problem

A sales manager who fails to realize that advertising can make sales people more
productive does the company and injustice and possible harm as does the advertising
or telemarketing manager who thinks his respective resources are so powerful that
they can do the entire sales job. The statement of problem of the study is:
 Does advertising increased consumer's desire to buy a Dugar Food and
Species Pvt Ltd ?
 Does advertising help in motivating consumer brand choice for a Dugar
Food and Species Pvt Ltd ?
 Does consumer actually believe in product's benefits claims being
advertised?
1.4 Objectives of the study
The general objectives of advertising is to create awareness for a product or
services, arouse interest, build a desire and consequently get the consumer in a
favorable state of mind to take a decision to purchase the product. As company have
objective to raise its sales, build brand image and earn maximum profit. The objective
of this study are:
 To know if advertising increase the quality of Dugar Food and Species Pvt Ltd
product brought by consumer who are expressed to it relative to whose who
are not.
 To know if the money spent on advertising a Dugar Food and Species pvt ltd
product is actually justified.
 To know about the factor that influences advertising effectiveness in demand
promotion of Dugar Food and Species Pvt Ltd.
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1.5 Significance of the Study

The main significance of this study is that it has done a through analysis and
exploration advertisement media of Dugar Food and spices Pvt Ltd. operations.
Observed and evaluated the individual employees activities and synchronized them
into this study.
 Cost
 Employ Management
 and organization management
1.6 LITERATURE REVIEW

This chapter expressed on the ideas and theories propounded by different authors
in the field of Contribution of advertising on Sales improvement. It also focused on the
researches done by others related topics.

# Conceptual Framework

This part specifically answers research questions in chapter one, it is important

and necessary to explain how each research is conceptualized. According to Miles and
Huber man (1994), conceptualization is a method for deciding on what part should be
the fundamental for researcher.
# Informative Advertising
In relation to the above model informative advertising is to create awareness
among customers regarding the products or services the company offers for them first
time. The customers are not knowing about the new product or service has been
launched by the company. At that time the advertisement is given with the objective
to inform them regarding the efforts of the company. This objective is only to create
awareness of the prospects. For example, when a company introduces its new model
of a car first time and interested to inform customers regarding this.

# Reminder advertising
When the advertiser gives advertisement second time or repeatedly its objective is
not to inform first time to create awareness but to remind regarding the first
advertisement. Further, when the company is interested to inform its existing
customers regarding its products or services already existing in market is to remind
the customers. They should not forget the offers of the advertisers. This helps in
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keeping update knowledge of the customers regarding products availability in the

markets. Most of the companies are giving advertisement with this objective in
market competitive situation.
# Persuasive advertising
The advertiser is giving advertisements with the interest to remind them
repeatedly so that it would become difficult for them to avoid advertisement. One day
sooner or later they have to pay attention and agree for the products of the company.
The efforts are to make them agree for buying the products of the company. The
objective is to persuade them for the desired action. Only thing is that if time taken by
the customer to get persuade is longer than it may be costly for the advertiser due to
repeated advertisements for longer period.

# Previous Study:
Niazi et al. (2012) conducted a research on effective advertising and its influence
on consumer buying behaviour (information management and business review). This
research established that advertising is an effective tool to attract people and to divert
their attitude positively toward a product. The research revealed that there is a moderate
relationship between consumer purchase attention, environmental factors and emotional
factors. If the consumer is emotionally attached with the product, he or she will prefer to
patronize that product. Sometimes people change their brands just to test the other brands.
Purchasing powers of people also change with a change in factors such as income level
and men mostly prefer the advertisement than women according to Variawa (2010).
Advertisement convinces people to use the product at least once in their lives. Celebrities
used in advertising also contribute a greater positive influence on people. Mostly, people
rely on advertisements rather than other sources like family, friends and reference group
opinions regarding products (Bashir & Malik, 2009). Consequently, advertising has a
vital role in modern age because it is a mechanism to build the behaviour of society
regarding products. People get access to information and make decisions regarding
product purchase (Niazi, et al., 2012: 114-119).

Yelbert (2010) conducted a research on the effects of advertisement of hair products on

students’ purchasing habit. She had the ultimate objective to determine whether the
information provided during advertising was adequate to fully inform students about the
effects of the product. Yelbert was also interested in whether students buy product
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because of models in advertisements. She considerably looked at the effects of

advertising image on cultural perceptions of students. Yelbert’s research revealed that
some people had a negative perception about advertising. They described advertising as a
way of promoting inferior products to increase sales. Also, advertisers did not give full
information about product her research findings indicated that many students are
influenced to adopt hairstyles in advertisements. They buy a particular product due to the
quality of the product portrayed in the advertisement. Yelbert concludes that advertising
has a positive and negative effect on
A recent study “The impact of point of purchase advertising on consumer buying
behaviour” by Amechi & Long (2013) reveals a connection between advertising and the
point of purchase of the consumer. The study which was, states that “Consumer buying
behaviour in recent time is been driven by point of purchase advertising.” Existing
queries on marketing communications effectiveness initiates an increase in sales volume
and brand building. This study focuses on advertising strategies, medium, message,
method, timing and their implications on achieving tactical marketing and sales
objectives.

1.7 Research Methodology

Any study will be impossible without research and data collection for which Field
Survey(BS. 2076) is necessary .The research methodology of study are :research
design, area of research, population and sample size, sources of data, data collection
methods & tools, techniques for analysis of data.

# Types of Research
Research is an objectives and systematic search for relevant information on a
particular subject or topic .It aims at finding answers to questions by implementing
scientific procedures .Qualitative and Quantitative research design are used to & end
out research objectives.
Descriptive research is defined as a research method that describes the characteristics
of the population or phenomenon that is being studied. This methodology focuses
more on the “what” of the research subject rather than the “why” of the research
subject. In other words, descriptive research primarily focuses on describing the
nature of a demographic segment, without focusing on “why” a certain phenomenon
occurs. In other words, it “describes” the subject of the research, without covering
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“why” it happens . Quantitative research is a structured way of collecting and

analyzing data obtained from different sources. It involves the use of
computational/statistical mathematical tools to desire resells.

# Population and sample

There are different media and other media in Biratnagar at present period out of these
is selected have away various customer and employees only 30 have been selected as
sample.

# Sources of data
There are two sources for data collection they are primary and secondary sources
# Secondary data
Secondary data are collected by someone use but used by other. It is available is
already made from so that they are time and cost effective. Some of its important
sources are trade promotion centre, Nepal chamber of commerce, research agencial,
articles etc.

# Data collection methods

The collected data through questionnaires, interviews and documents edited,
coded, tallied, tabulated and converted into frequencies. Respective percentage
calculated and therefore interpreted accordingly. This allowed some sort of reliability
Overall research depends on the data collected .The researcher as far as possible
focused to collect reliable and accurate data. for this purposed structured
questionnaire is provided to the respondents .The questionnaire is designed such that
accurate information is collected .In addition previous reports , and internet have also
been used for data collection.

# Tools/techniques for analysis of data

.The collected data are tabulated as per requirements of the study and various figure,
pie chart, bar graph have been prepared for analysis purpose.
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1.8 Limitations of the study

Research is the systematic analysis on specific topic. The research requires a lot of
information for in depth study but is not possible to gather information of many years
and not possible to take entire population for the study purpose. There for there are
many limitation within which the study has to be conducted. The research on
consumer buying decision on Dugar Spicies & food products industries Biratnagar is
based on following limitations.
 The study is made within limited time frame and limited data.
 This study is carried out on a small sample size i.e 30 respondents.

1.8 Organization of the Study

The present Study is organized into 3 chapters.

Chapter I: Introduction
 Background of the study
 Purpose of the study
 Significance of the study
 Literature Survey
 Research methods used for data collection and analysis
Chapter II: Result and Analysis
 Data Presentation and analysis
 Findings
Chapter III: Summary and conclusions
 Summary
 Conclusion
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CHAPTER –II
RESULTS AND ANALYSIS

2.1 Presentation and Analysis of data

The research as far as possible tried to present the data on the tabulation system as well as pie
chart, bargraph and line graph. Analysis have been made upon the presented data to extract
the conclusion.

2.1.1 Advertisement Media used.

Table No.1
Different Media used by the Dugar Spices and Foods product.
Particulars No. of respondent

Radio 8
Print 1
Television 16
Wall advertise 2
Internet 3
Total 30
Note: Field Survey(BS. 2076)

Figure No 1
Showing the highly beneficial media of advertisement.
18
16
16
14
12
10
8
8
6
4 3
2
2 1
0
RADIO PRINT TELEVISION WAL ADVERTISLY Internet
The
above Table No 1 and figure No 1 shows that 8 of the respondents believe on Radio,
and 16 believe of television, and rest of them are believe in Newspaper and remaining
respondent believe in Internet. It plays an important role in media of advertisement.

2.1.2 Table Showing that why TV media is highly used.

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Table No. 2

Customer response about TV Media

Particulars No. of respondent Percentage

Focus to target customer 9 30%

More important 21 70℅

High coverage 0 0
Total 30 100℅
Note: Field Survey(BS. 2076)

Figure No 2

Showing that why TV media is highly used.

40
36 36
35

30

25

20

15

10

5
0
0
Brand Name Quality Name High Coverege

Sales

The above table and figure shows that 30% of the respondent focus on target
customer, 70% on more impressive, and rest of them are 0 respectively. Due to data
compression digital TV can support more than one program in the same channel
bandwidth
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2.1.3 Table showing that what reason to choose Dugar Spicies and Foods
Products pvt ltd is.

Table No.3

Different factors that helps to choose products in the company.

Particulars No. of respondent Percentage

Brand Name 3 10%

Quality service 3 10℅

Reasonable Price 24 80℅
Total 30 100℅
Note: Field Survey(BS. 2076)

Figure No 3

Showing that what is the reason to choose Dugar Spicies and Foods Products pvt
ltd.

350

300 288

250

200

150

100

50 36 36

0
Brand Name Quality Service Reasonable Price

Sales

The above table 3 and figure 3 shows that 10 % of the respondents believe in brand
name so they purchase the product, 10% of the respondents believe in Quality of the
product and 80 % of the respondent buy the product at reasonable price.
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2.1.4 Table showing that how do you know about Dugar Spicies and Foods
Products pvt ltd.

Table No:- 4

Awareness about the products through different media.

Particulars No. of respondent Percentage

Radio 3 10℅
Newspaper 2 7%
Television 24 14℅
Friendly 21 70%
Total 30 100℅
Note: Field Survey (BS. 2076)

Figure No 4

Showing that how do you know about Dugar Spicies and Foods Products pvt ltd.

300
252
250

200

150

100
50
50 36
24

0
Radio Newspaper Television Friendly

The above table 4 and figure 4 shows that out of 30 respondents 10 % of the
respondent know about the product from Radio media, 7% of the respondents know
about the products through Newspaper , 14 % of the respondent through TV and 70 %
of the respondent through Friendly.

2.1.5 Table showing that what kind of advertising would you like to prefer?
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Table No: - 5

Responces of customer about different advertisement Media.

Particulars No. of respondent Percentage

Television 15 50℅
Radio 6 20%
Well painting 9 30℅
Newspaper 0 0
Poster 0 0
Total 30 100
Note: Field Survey(BS. 2076)

Figure No 5

Showing that what kind of advertising would you like to prefer.

200
180
180

160

140

120 108
100

80 72

60

40

20
0 0
0
Television Radio Well painting Newspaper Poster

The above Table No 5 and figure 5 shows that 50% of the respondent prefer on
television they like to watch tv advertisement, like wise 20% is based on radio and of
30% on wall painting respectively. and 30% of the respondent likes wall painting
advertisemnent..

2.1.6Table showing that if the advertising is through social media , which of the
following you like to go.
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Table No :- 6

Social Media mostly used by customers.

Particulars No. of respondent Percentage

Facebook 21 70℅
Instagram 3 10%
Youtube 6 20℅
Twitter 0 0
Total 30 100℅
Note: Field Survey(BS. 2076)

Figure No 6

Social Media mostly used by customers.

300

252
250

200

150

100
72

50 36

0
0
Facebook Instagram Youtube Twitter

The above table No 6 and figure No 6 shows that 70% of the respondent use facebook
so they prefer facebook advertisement, likewise 10 % of the respondent prefer
instagram advertisement, 20 % of the respondent prefer youtube advertisement .

2.1.7 Table showing that are you satisfied with the advertisement pattern of
Dugar spices.

Table No:- 7

Customer about different advertisement media.

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Particulars No. of Respondents Percentage

Highly 0 0
Satisfied 21 70%
Average 9 30%
Not Setisfied 0 0
Total 30 100&
Note: Field Survey(BS. 2076)

Figure No 7

Customer about different advertisement media.

25

20

15

10 21

5 9

0 0 0
0
Highly Satisfied Satisfied Average Not Setisfied

The above table no 7 and figure no 7 shows that out of 21 Number of respondents are
satisfied with the advertisement pattern of Dugar spices and rest 9 number of
respondent are in average.70% of the respondent like the pattern of advertisement
which is used by Dugar spices and Foods products.

2.1.8 Table showing that have you heard about Dugar spices.

Table No. 8

Customers responses about the Dugar Spices and Foods products.

Particulars No. of respondents

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Yes 30
No 0

Total 30

Note: Field Survey(BS. 2076)

Figure No 8

Showing that have you heard about Dugar Spicies and Foods Products Pvt Ltd.

35

30

25

20

15 30

10

0
0
Yes No

The above table 8 and figure 8 shows that 30 number of respondent have heard about
Dugar Spicies and Foods Products pvt ltd and rest of them are not heard about the
Department store.

2.1.9 Table showing that Do you think advertising helps to increase the
coverage of the market.

Table No. 9

Customer responses about the market coverage

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Particulars No. of respondent percentage

Strongly 10 33%
Agreed 5 17%
Dis. Agreed 10 33%
Strongly Dis. Agreed 5 17%
Total 30 100%
Note: Field Survey(BS. 2076)

Figure No 9

Customer responses about the market coverage.

12

10

6
10 10
4

5 5
2

0
Strongly Agreed Dis. Agreed Strongly Dis. Agreed

The above table no and figure shows that 10 number of respondent strongly agreed
on advertising has increased the coverage market likewise 5 number of respondent
agreed , 10 number of respondent disagreed and rest 5 number of respondent strongly
disagreed respectively.

2.1.10 Table showing that which form of advertising do you believe more.

Table No. 10

Customer response about the believable advertisement media.

Particulars No. of respondent Percentage

Print Media 5 17%
Radio 10 33%
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Television 10 33%
Hoarding 5 17%
Total 30 100%
Note: Field Survey(BS. 2076)

Figure No 10

Customer response about the believable advertisement media.

12

10

6
10 10
4

5 5
2

0
Print Media Radio Television Hoarding

The above table and figure shows that 17 % of the respondent believe on print media
advertisement 33% of the respondent believe on Radio, 33% of the respondent believe
on Television Advertisement and 17 % of respondent believe on Hoarding
advertisement.

2.2 Result and Analysis

Advertising media selection is the process of choosing the most efficient media for an
advertising campaign. To evaluate media efficiency, planners consider a range of
factors including: the required coverage and number of exposures in a target
audiences; the relative cost of the media advertising and the media environment.
Media planning may also involve buying media space. Media planners required an
intricate understanding of the strengths and weakness of the main media options. The
media industry is dynamic - new advertising media options are constantly emerging.
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Digital and social media are changing the way that consumers use media and are also
influencing how consumers acquire product information.

2.3 Major Finding

The study show that advertising on the behavior of buying and consume plays an
important role in selling products. Also most of consumers are interested in brand
products. It is found that temporary price discount occupy an important place in
buying decision, and sponsorship has a negative effect on buyers. Many consumers go
at fairs and exhibitions attracted by the new product, by the producer’s prices or the
diversified supply. Very important to mention is the fact that the online advertising
influences the buying decision.

 The organization has been using different media for advertising such as radio,
television, newspaper, poster and wall advertising.
 The organization has highly used radio media for the advertisement.
 The respondent are more aware to TV media.
 It indicates that use print and other media are considerably decreasing as
compared to Radio and Television.

CHAPTER 3

SUMMARY AND CONCLUSION

3.1 Discussion

“Consumer behavior is the processes involved when individuals or groups select,

purchase, use or dispose of products, services, ideas or experiences to satisfy needs
and desires” (Solomon and Bamossey, 2006, p6). Schiff man and kanuk (2007, p3)
 20

also take a similar approach defining consumer behavior as the “behavior that
customers display in searching for, purchasing, evaluating and disposing of goods and
services they expect will satisfied them”. Advertising used properly is a major tool in
the hands of marketing managers which helps enable them to sell products, services
and ideas. The idea is to sell products to the consumers.

Traditionally, advertising is carried out on the television, radio and in newspaper

however disruptive technology like the internet and the phenomena it has made
possible has changed advertising and the effect it can have on consumers particularly
where it concerns their purchasing decision.

 Advertising is the foundation of every business. It should based on variety and

reality. Advertising needs to be effective for the success of every business.
 The advertiser should have to keep this thing in the mind that an advertisement
conveys direct information about the product rather than to show fashion and
style.
 It should always have to present bare fact about the product rather glamour
and exaggeration.

3.2 Conclusion

Advertising is an internal part of our social and economic system. Advertising is

powerful technique of sale-promotion has been doing wonder in the domain of
distribution because it is quite capable of infusing the course of consumption affecting
the course of production, enlarging the exchange and diversify the distribution.
Advertising is primary a means by which sponsor communicate to prospective buyers
the worth of the product and services. In the basis tools of marketing for stimulating
the demand. The role of the advertising in the modern era can be analyzed from five
distinct angles namely manufactures, middle man, salesman, consumers and the
society. The

study of role is incomplete of one doesn’t take into account of the limitation.
Advertising informs guides and educates consumers so that can make better buying
decision. So, in order to make remember the brand name time and again, advertising
plays a vital role.
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Advertising provides employments opportunities. A large number of people are

employed by advertising business in the areas of creations, developments and
communication of advertisements. Advertising can be successfully used to build up or
change public opinion to create awareness of social causes or problems, and to
introduces social reforms.

 Advertising is the function of every business. Its should be based on variety and
reality.
 The advertisement should have to keep this thing in the mind that an
advertisement conveys direct information about product rather than to show the
fashion and style of the model therefore it should always have to present bare
facts about the product rather glamour and exaggeration.
 Dugar Spicies and Foods Products pvt ltd has been highly invested budget in
advertising.
 The organization has been highly used radio media.
 The respondents are highly influenced by the radio.
 BIBLIOGRAPHY

Aaker, D., Kumah, V. & Leone, R., 2012. Marketing research. (11th ed.)New Delhi
Wiley Global Education.

Bashir, A. & Malik, N. I., 2009. Effects of advertisement on consumer behaviour of

university students. s.l.:s.n.

Belch, G. E. & Belch, M. A., 2003. Advertising and Promotion : An integrated marketing
communications perspective. (6th ed.) New Delhi. The McGraw Hill Company.

Chung, C. & Kaiser, H. M., n.d. Measurement of Advertising effectiveness using

altenative measures of advetising exposure. New Delhi. The McGraw Hill
Company
Dana VanDen Heuvel, 2009. Marketing Savant. [Online] Available at:
http://www.marketingsavant.com/wp-content/upload/2009/06/think-feel-do_1-
300x207.jpg [Accessed 23 January 2014].

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website
www.google.com
www.asianthaifoods.com.np
 Appendix
QUESTIONNAIRE

Dear respondent
I am Srija Bhattarai student of BBS at Mahendra Morang Adarsha Multiple
Campus, Biratnagar. This research conducted in order to fulfill the partial
requirement for the TU degree of Bachelor of Business Studies. So, I request
you to fill the form. Your responses will be confidential and will be used for
academic purpose only.
Thank you !
1. What is the highly beneficial media of advertisement?
 Radio
 Print
 Television
 Wall advertise
 Internet
2. what reason to choose Dugar Spicies and Foods Products pvt ltdis ?
 Brand Name
 Quality service
 Reasonable Price
3. how do you know about Big Bazaar store ?
 Radio
 Newspaper
 Television
 Friendly
4. what kind of advertising would you like to prefer?
 Television
 Radio
 Well painting
 Newspaper
 Poster
5. What is the advertising is through social media , which of the following
you like to go ?
 Facebook
 Instagram
 Youtube
 Twitter
6. How are you satisfied with the advertisement pattern of Dugar spices ?
 Highly
 Satisfied
 Average
 Not Setisfied
7. How have you heard about Dugar spices. ?
o Yes
o No
8. Do you think advertising has increased the coverage market ?
 Strongly
 Agreed
 Dis. Agreed
 Strongly
 Dis. Agreed
9. which form of advertising do you believe more ?
 Print Media
 Radio
 Television
 Hoarding