MALLS: THE BEST ADVERTISING AND PROMOTION TOOL: WITH SPECIAL REFERENCE TO STUDENT VISITORS TO DB MALL, BHOPAL(20-25)

Transcription

1 MALLS: THE BEST ADVERTISING AND PROMOTION TOOL: WITH SPECIAL REFERENCE TO STUDENT VISITORS TO DB MALL, BHOPAL 1 Ravi Chatterjee Assistant Professor at Institute of Professional Education and Research, Bhopal. contactravic@gmail.com 2 Madhukar Saxena Assistant Professor at Institute of Professional Education and Research, Bhopal. madhukar_jayant@yahoo.com Abstract - Nowadays, advertisement is the tool which many companies and enterprises use to inform prospective customers about their products and services. Today, it is about casting customers in a story, reflecting their desires and aspirations, and building long-lasting relationships. It is like self-destruction for a brand if it does not involve into advertisement/ promotion. Malls have emerged as one of the best locations for advertisement and promotion activities for the kind of footfalls they generate. There are very limited research done in this area, thus the need for studying this aspect is important. This paper critically analyses, the various factors involved in making Malls a suitable place for advertisement and promotion activities. Both secondary and primary data suggests that the factors like Brand Value/ Brand Image, Ambiance and Décor, Shopping Experience/ Overall Satisfaction and Location Distance/ Approach/ Proximity holds importance in making advertisement and promotion activities successful at DB Mall. Keywords: Advertisement and promotion, Mall preferences, Consumer perception, purchase preferences 1. INTRODUCTION The Indian retail industry is largely unorganised though it is growing rapidly within the organised sector, also referred to as Modern Retail. The Indian market is among the largest and fastest growing in the world. Indian modern retail employs around a million people whereas the unorganised retail sector employs close to 120 million people directly or indirectly. Having a population of over 1.2 Billion and household size of 4 to 5 on an average, it is not difficult to see the potential attractiveness this market offers. With increasing disposable incomes, increasing business activity and expansion of retail outlets within different categories, the retail sector in India is poised to grow exponentially. Already growing at a brisk pace of 16%, the Indian retail will grow at the rate of 19% CAGR by 2015, touching a sum of Rs.4780 billion in value. It is evident that a lot of promotional activities go on within the premises of the malls. As shopping malls are one of the preferred places for introducing a product or service, advertisers remain in the lookout for the same. Shopping malls provide ample opportunity to the advertisers for showcasing their advertisements to a huge audience with strategic advantage. Reputation of a mall and the brands they host creates credibility which in turn influences the buying decisions of customers. A good advertisement at prominent location in a Mall adds-on to the whole effect and fortifies their buying decision. The scope of advertisement within the premises of the mall is enormous, how well the synergy of brand and place can be explored depend on the ad agencies, advertisers and mall management. As per the vicinity of the mall the advertisers decide for the best suiting location for a particular advertisement for having maximum impact. It is an understood fact that majority of the mall visiting population comprises of college going students. Hence, the study concentrates specifically on the student population. 1.1 MALL SCENARIO IN BHOPAL Bhopal, the city of Lakes has developed a lot in the last 5 years and has seen huge investment in Infrastructure sector. With a population of around 20 lacks this city is emerging as a potential market for national and International brands/ retailers. Majority of the population out here is young, either they are students or are into private services other majority is of government employees being the state capital. With the overall growth of the city there has been substantial rise in the overall population. New job opportunities has brought better pay scale and has empowered the growing middle class to afford better standard of living. In some families it is also seen that they spend more than what they earn in-order to match-up to the changing society. In Bhopal retail is very new and it was three years back when it got its first Mall as the Dainik Bhaskar Mall (DB Mall). Prior to this the customers had lot of difficulty getting international brands; either they had to visit Indore/ metro city or do away without it. DB Mall has been very successful and has brought in a change in the customers shopping preference towards the organised segment. The market is fully developed for the organised players and DB Mall plays a vital role in bringing in this change. 2. OBJECTIVE 1. To identify the attributes governing good advertisements. Vol. 1(2), July 2014 (ISSN: ) Page 20

2 2. To assess the effectiveness of these attributes in making DB Mall a suitable place for advertisement on the student community. 3. To evaluate the various promotional activities conducted in DB Mall. 3. LITERATURE REVIEW As V. Iljin (2000), D. Jokubauskas (2003) states, it is proven by the research of psychologists that the perception of advertising information is determined by a multitude of aspects. However, the psychological ones cognitive, emotional and behavioural - play the most important role. The largest amount of information is perceived by seeing. Visual presentation of advertising is the simplest way of pertaining information, as to perceive visual information the human uses least energy. At least one visual aspect in the ad has to affect the customer subconsciously. [1][2] According to Levy and Weitz (2007) most communications are directed towards potential customers. Retailers communicate with the customers using five major vehicles i.e. advertising, sales promotion, publicity, store atmosphere, visual merchandising and personal selling. Parameter for the comparison of the communication methods are control, flexibility, credibility, and cost. Different audience has different characteristics, so different messages and media mix is required to reach them. [3] The promotion or communication mix follows three broad strategies, Pull, Push and Profile strategies. Pull strategy communicates directly with the end-user consumers. Push strategy is aimed communicate with the channel partners which can be a distributor or retailer, they themselves do not consume the products. Push strategy also stresses on direct selling. Profile Strategy aimed to develop the retailer s image, emphasis is on the public relations and sponsorships Madaan (2009). [4] Yancey et al. (2009) examined the relationship between sales promotions with brand equity and sales. They examined that in short run sales promotion affect the sales but this effect is not in long run. They further argued that the strong sales promotion activity increase brand personality which leads toward sales growth and this effect is only for the short time period. [5] Berman and Evans (2010) in their book have stated that promotional objectives or goals are dependent on the product range of the company. These help in raising customer traffic, inform customer about goods and services, popularize the store/venture, capitalize on manufacturing support, enhance customer loyalty, and stimulate impulse and reminder buying. Implementation of the promotional mix is important which involves finding a specific media to use, timing, content of the message, makeup of sales force, specific sale promotion tools and responsibility for coordination. The effect of different promotion or communication mix creates a sequence of consumer thought states which can be termed as hierarchy of effects. These thought stats are from awareness to knowledge to liking to preference to conviction to purchase. [6] Ramkishen (2010) has discussed that the integrated communications approach involves promoting brand image and direct audience behavior simultaneously by coupling devices such as brand advertising and public relations communications with consumer sales promotions and direct response tools within an organization s marketing communication materials, particularly advertisements. Retailers marketing communication strategy should consist of desired blend of available tools like advertising, sales promotion, personal selling, public relation and direct marketing. [7] Pradhan (2011) in her book states that, Sales promotions are aimed at to grab the attention of the consumers and convert them into a prospective buyer. The book also speaks about the concept of retail communication mix, according to the author it is a tool for bringing awareness about a product or store or to create specific image. It is also to create desire or want for a product/ service, to identify the advertiser and to reinforce the corporate identity. [8] Jain and Shrivastava (2012) in their research paper stated that the malls have emerged because Central Business District (CBDs) and commercial streets in cities today are not in a position to support the growth required by the retailers. Malls in India are facing few challenges in terms of design issues, few promotional activities, facility management, and parking, lack of feasibility or market research prior to the development of a mall. Ambience management includes the management of the parks, fountains and overall look of the mall. [9] 4. RESEARCH METHODOLOGY Research Design Description Sampling Frame Shoppers from DB Mall Sampling Unit College going students from different demographic profiles Sampling Size 113 Sampling Method Judgmental sampling Nature of Data Primary data Method of data collection Questionnaire method Type of Questionnaire Structured non disguised questionnaire Type of questions Close ended Vol. 1(2), July 2014 (ISSN: ) Page 21

3 5. DATA ANALYSIS AND FINDINGS The demographic information collected out of the questionnaires filled by 113 respondents is as under: Table1: Demographic characteristics of the respondents From the above data it is evident that the male visitors are far more in numbers than the female visitors at DB Mall. As the study was focused on the students, maximum numbers of visitors falls in the age group of 18 to 28 and are unmarried. Qualification of these young visitors is also in accordance to their age, 43% are undergraduates, 48% are graduates and few of the respondents are postgraduate or have professional qualification. The study reveals that majority of the respondents have a yearly family income to be between 2 to 5 lakhs followed by Less than 2 lakh and 5 lakh and above. 61% of the respondents live in a nuclear family and 39% live in joint family. The following is the pattern and the frequency in which people visit DB Mal Fig1: Frequency and duration of DB Mall visit Frequency and time gap retales to the acceptance and success of any shopping destination. The frequency of customers visit to DB Mall is very high, which means more viewership for the advertisemnts. This process stimulates the customers to venture into shopping. Through Literature review the following parameters were identified: 1. Brand Value/ Brand Image 2. Ambiance and Décor 3. Shopping Experience/ Overall Satisfaction Vol. 1(2), July 2014 (ISSN: ) Page 22

4 4. Location Distance/ Approach/ Proximity In order to test the effectiveness of the identified attributes in making DB Mall a suitable place for advertisement the following tests were conducted. 5.1 DESCRIPTIVE Table 2: Customers rating for the various attributes of DB Mall Frequencies Fig 2: Mean value of the customers rating for the various attributes of DB Mall The Fig. 2 depicts that most of the Mall visitors do get influenced by the identified mall attributes because mean value of almost all dimension is higher than midpoint 3 (Min + Max/2, 1+5/2 = 3). 5.2 CHI-SQUARE TEST Table 3: Chi-square test for the identified DB Mall attributes Interpretation A chi-square test was performed and a strong consumers acceptance was found for all the attributes of DB Mall, [{X 2 (4, N = 113) = , p <.001},{X 2 (5, N = 113) = Vol. 1(2), July 2014 (ISSN: ) Page 23

5 86.867, p <.001},{X 2 (5, N = 113) = , p <.001},{X 2 (5, N = 113) = , p <.001}] The parameters governing Mall visits were marked in the following order of importance: Fig 3.1: The customers rating for the Brand value/ Brand Image of DB Mall Distance has always been a decisive factor for visiting a shopping destination, in case of DB Mall it is convenient for most of the respondents as 72% of them are highly satisfied. Due to the strategic location of DB Mall, the desired numbers of viewers are available; hence the advertisers find DB Mall to be suitable place for their promotion activities. It is evident from the above mentioned figure, DB Mall as a brand has a strong acceptance within the youth population. This has an added impact on any product or services being advertised or promoted at DB Mall. Fig 3.4: The customers rating for the Shopping Experience/ Overall Satisfaction of DB Mall Out of total surveyed visitors 72% (32% Satisfactory, 20% Good, 19% Very Good) have significantly high, positive shopping experience. This reflects that the student community prefers to shop at DB Mall which creates greater footfalls making the Mall a suitable place for advertisement and promotional activities. To evaluate the various promotional activities conducted in DB Mall descriptive analysis has been conducted. Fig 3.2: The customers rating for the Ambiance and decor of DB Mall With the changing life style, people prefer visiting places having good Ambience and Décor. It plays a vital role in influencing purchase decisions as good Ambience and Décor brings freshness and creates shopping impulse within the consumers. In case of DB Mall the respondents have rated this attribute to be good. Fig 3.3: The customers rating for the Location Distance/ Approach/ Proximity of DB Mall Fig 4: Mean value of the customers rating for the various promotional activities conducted in DB Mall The Fig. 4 depicts that most of the Mall visitors do get influenced by the identified mall attributes because mean Vol. 1(2), July 2014 (ISSN: ) Page 24

6 value of almost all dimension is higher than midpoint 3.5 (Min + Max/2,2+5/2 = 3.5). Fig 5: Consumer perception for advertisements in encouraging them for shopping from various categories in DB Mall Purchse decisions for the categories of the products refelects that respondents preferances for grocery/food product is highest at 27%, 20% prefer to buy Apparels/Textiles & 21% Music/Book/Stationery, Health/Beauty/Cosmetics & Gems/Accessories is prefered by 17% and 15% respectively from the Mall. It is evedent that the data is rational and for all catagories of the produsts customers prfers to buy form the Mall. Thus, we can comprihend that DB Mall creates win-win prospect for all the parties involved i.e. Mall owners, Business houses, Advetisers and last but not the least the customers. 6. CONCLUSION Emergence of a Mall is associated with the Brand Value/Brand Image it establishes with the visitors. DB Mall has distinct features like Brand Image, ambience and décor, proximity which is found to have high acceptance within the surveyed group. As we find from our study that majority of the customers visit the Mall quite frequently, it reinstates the above mentioned statement. Due to the above stated reasons all the advertisement and promotional activities have greater impact on consumers buying behaviour. The positive impact of all these parameters is visible not only in the product categories like Apparels, Gems/Accessories, Beauty/Cosmetics, Books & Music but also in Grocery were the purchases are very high. Thus the study reveals that DB Mall has been very successful incorporated advertisement and promotion activities along with the various components. Further research can be taken up by broadening the respondent base and the number of malls. [1] Iljin, V. Retrieved February 15, from: / [2] Jokubauskas, D. Reklamos poveikio etapai. Retrieved February 11, from:// [3] Levy, M. and Weitz, B.A. (2007), Retailing Management (edition 5), New Delhi, India: Tata McGraw-Hill. [4] Madaan, KVS. (2009), Fundamentals of Retailing, New Delhi, India: Tata McGraw-Hill. [5] Yancey et al. (2009), A cross-sectional prevalence study of ethnically targeted and general audience outdoor obesityrelated advertising, Milbank quarterly, pp. 87, [6] Berman, B. and Evans J.R. (2010), Retail Management: A strategic Approach (edition 10), Noida, India: Pearson Prentice Hall. [7] Ramkishen, Y. (2010), International Retail Marketing Strategies, Delhi, India: Jaico Publishing House. [8] Pradhan, S. (2011), Retailing Management (edition 6), New Delhi, India: Tata McGraw-Hill. [9] Jain, M. and Shrivastava, S. (2012), Mall Management: Emerging concepts and challenges, Emerging Trends in Retail Management, Bhopal, India, pp : Indra Publish House. AUTHORS Ravi Chatterjee is MBA (Marketing and Systems) from West Bengal University of Technology in and have done BCA from Barkatullah University in He is pursuing his PhD. into Retail Management and has interest into Retail Training and development. Madhukar J Saxena is MBA (Marketing & HRM) from Punjab Technical University Jalandhar in B.Sc. (PCM) from Meerut University in Research interest is in organized and unorganized retail, advertising and promotion. BIBLIOGRAPHY Vol. 1(2), July 2014 (ISSN: ) Page 25