demographic profile and perception of respondents...

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CHAPTER 4

DEMOGRAPHIC PROFILE AND PERCEPTION OF

RESPONDENTS TOWARDS ONLINE ADVERTISING

4.1 Demographic Profile of Respondents

The sample of 1200 respondents is dominated by females who constituted

55% of the sample population. Majority (91%) of the survey population was in the

age group of 20-50 years, where age group 31-40 leads with a share of 37%. The

survey population was more or less equally represented by cities such as Delhi,

Mumbai and Kolkata. Graduates and post-graduates dominate (62%) the population in

terms of qualification. Income level of the sample population is found to be high with

81% of the population in the income group of Rs. 20,000-50,000. Businessmen and

students accounted for 64% of the sample. The frequency of internet browsing is

however found to be lower with only 19% of the population browsing daily while

46% of the sample population is found to be browsing once in a week. In the case of

browsing time, it is found that 91% of the population browses for more than 1 hour

while online. All the respondents have stated that they have noticed and clicked an

online advertisement whereas 77% of the respondents have clicked to any online

advertisements during the present week.

Table 1: Sample Composition of the respondents

Gender Male Female

Sample 540 660

Time

spend

Less than

one hour

1 to 2

hours

More than 2

hours

Sample 114 540 546

City Delhi Kolkata Mumbai

Sample 400 400 400

Profession

Govt.

employee

Private

employee Businessman Student Others

Sample 132 210 268 500 90

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Usage Daily Once a

week

Once a

month

Once in

few

months

Rarely

Sample 228 643 160 75 94

Age Under 20 21-30 31-40 41-50 51-60 Over 60

Sample 15 356 444 292 77 16

Education Primary High

school

Senior

secondary College PG

Above

Sample 80 175 150 500 244 51

Income

(Rs)

Below

10,000

10,000-

20,000

20,000-

30,000

30,000-

40,000

40,000-

50,000

Above-

50,000

Sample 327 100 200 400 93 35

4.2 Graphical representation of Demographic responses: Part-I of the

Questionnaire.

Graph 1: Gender of Respondents.

Gender

Males

Females

The gender composition of the sample consisted of 55% females and 45%

males i.e. the females were 660 as against 540 males. This also reflects that the

females have a little dominance in the sample size of this research.

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Graph 2: Time Spending Habits

Time Spend on Internet

Less than an Hour

1-2 Hours

More than 2 hours

The second demographic variable is the usage or average times spend by a

respondent per session on internet. The results show that an average of 9.5%

respondents spends less than an hour on internet during per session they visit. 45% of

respondents said they spend about 1 to 2 hours on internet in a session. Majority i.e.

45.5% said they spend more than 2 hours during a session on internet.

Graph 3: City wise sample composition

City Representation

Kolkata

Delhi

Mumbai

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The respondents were selected from three cities of India i.e. Kolkata Delhi and

Mumbai. Each city represented equal percentage i.e. 400 from each city.

The reason for selection of these cities was because of the fact that they rank

the highest among active internet users’ population in the country. (Indian Market

Research Bureau and Internet and Mobile Association of India).

Graph 4: Education of sample respondents

Education

Primary and Below

High School

Senior Secondary

College

Post-Graduate

Above PG

The education of the sample composition consisted of 6.66% of primary,

14.58% high school, 12.5%, senior secondary or pre college goers, 41% college

students and a small amount of doctorates and other above pg qualified people.

The sample has an evident composition of maximum percentage of college

goers.

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Graph 5: Profession of Respondents

Profession

Govt. employee

Private employee

Businessman

Student

Others

The sample composition consists of 11% of government employees both state

and central, 17.5% of private employees, 22% businessmen, 41% i.e. majority of

students and 7.5 of respondents that either is not working at the time of this survey or

is in some other professions.

Graph 6: Internet Usage habits of Respondents

Internet Usage

Daily

Once a week

Once a month

Once in few months

rarely

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As per the inter usage is concerned 19% of respondents use internet on daily

basis, 53% say they use it once in a week, 13% say they use it once a month, 6.25%

once in few months and 7.83% use it rarely.

Graph 7: Age of respondents

Age

Under 20

21-30

31-40

41-50

51-60

Above 60

The sample composition consisted of 1.25% under 20 of age, 29.6% of 21-30

age group, 37% of the age group of 31-40 years, 24.3% of 41-50 years age group,

6.4v of 51-60 age groups and 1.33 % above 60 years age group.

The sample composition has a dominance of young age groups of 21-30 and

30-40.

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Graph 8: Income of Respondents

Income

Below 10,000

10,000-20,000

20,000-30000

30,000-40,000

40,000-50,000

50,000 and above

As per the income of the sample is concerned, 31 % of the respondents have

income below 10,000 ₹ , 8.33% fall in the income level of 10,000 to 20,000 ₹ per

month, 16.66% of respondents fall in the income level of 20,000 to 30,000 income

level, 32.2% of respondents of the sample fall in the income group of 30,000 to

40,000, 7.75% percent fall in the income level of 40,000 to 50,000 and a small

percentage of 2.9% fall in the income group of above 50,000.

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4.3 Online Advertising in General: Part-II of the Questionnaire.

Graph 9: Essentiality of Online Advertising

32%

25%

10%

20%

13%

Online Advertsising is essential

Strongly Agree Somewhat Agree

Neither Agree nor Disagree Somewhat Disagree

Strongly Disagree

32 % of the respondents strongly agree that online advertising is essential

followed by 25% of respondents somewhat agreeing that online advertising is

essential. Only 10% of respondents feel neutral about internal advertising.

Additionally 20 somewhat disagree about the essentiality of online advertising and

13% respondents feel online advertising is not essential.

Graph 10: Standard of living

40%

20%

15%

10%15%

Online advertising helps to raise our standard of living

Strongly Agree Somewhat Agree Neither Agree nor Disagree

Somewhat Disagree Strongly Disagree

Majority i.e. 40 % of the respondents strongly agree that online advertising

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raise our standard of living followed by 20% of respondents somewhat agreeing that

online raise our standard of living. Only 15% of respondents feel neutral about

internal advertising raising their standard of living.

Additionally 10% somewhat disagree about standard of living raised by

online advertising and 13% respondents feel online advertising is not essential.

Graph 11: Better Products for Public

30%

20%20%

10%

20%

Online advertising results in better products for the public.



Strongly Disagree


results in better products for public followed by 20% of respondents somewhat

agreeing that online advertising results in better products for public.

Only 20% of respondents feel neutral about internal advertising results in

better products for public.

Additionally 10% somewhat disagree about online advertising results in better

products for public and 20% respondents disagree online advertising results in better

products for public.

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Graph 12: Undesirable Values in society

20%

20%

20%

20%

20%

Online advertising promotes undesirable values in our society.



20 % of the respondents strongly agree that online advertising promotes

undesirable values in society followed by an equal number of 20% of respondents

somewhat agreeing that online advertising promotes undesirable values in society.

20% of respondents feel neutral about internal advertising results undesirable values in

society. Additionally 20% somewhat disagree online advertising promotes undesirable

values in society and 20% respondents disagree online advertising promotes

undesirable values in society.

Graph 13: Distortion of Value of Youth

41%

5%

20%

12%

22%

Most Online advertising distorts the values of our youth.



Strongly Disagree

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41 % of the respondents strongly agree that online advertising distorts value of

our youth followed by a small number of 5% of respondents somewhat agreeing that

online advertising distorts value of our youth. 20% of respondents feel neutral about

online advertising distorts value of our youth.

Additionally 12% somewhat disagree online advertising distorts value of our

youth and 22% respondents disagree online advertising distorts value of our youth.

Graph 14: Negative effects on Society

20%

15%

20%

25%

20%

Some products in online advertising have negative effects on our society.



20 % of the respondents strongly agree that some products in online advertising have

negative effects on our society followed by 15% of respondents somewhat agreeing

that some products in online advertising have negative effects on our society. 20% of

respondents feel neutral about some products in online advertising have negative

effects on our society.

Additionally 25% somewhat disagree some products in online advertising have

negative effects on our society and 20% respondents disagree some products in online

advertising have negative effects on our society.

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Graph 15: Nations economy and Online Advertising

29%

22%14%

12%

23%

In general, Online advertising helps our nation’s economy.



Strongly Disagree

Majority of respondents i.e. 29 % of the respondents strongly agree that online

advertising helps our nations economy followed by 22% of respondents somewhat

agreeing that that online advertising helps our nation’s economy. 14% of respondents

feel neutral about that online advertising helps our nation’s economy. Additionally

12% somewhat disagree that online advertising helps our nation’s economy and 23%

respondents disagree that online advertising helps our nation’s economy.

Graph 16: Promotes Competition

32%

14%12%

22%

20%

In general, Online advertising promotes competition, which benefits the

consumer.


Neither Agree Nor Disagree Somewhat Disagree

Strongly Disagree


advertising promotes competition which benefits consumer followed by 14% of

respondents somewhat agreeing that online advertising promotes competition which

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benefits consumer followed. 12% of respondent’s feel neutral online advertising

promotes competition which benefits consumer followed.

Additionally 22% somewhat disagree online advertising promotes competition

which benefits consumer followed and 20% respondents disagree that online

advertising promotes competition which benefits consumer followed.

Graph 17: Information about latest fashion

25%

30%25%

15%

5%

Online advertising is a valuable source of information about latest fashion.




advertising is a valuable source of information about latest fashion followed by 30%

of respondents somewhat agreeing that online advertising is a valuable source of

information about latest fashion followed by 25% of respondent’s feeling online

advertising is a valuable source of information about latest fashion.

Additionally 15% somewhat disagree online advertising is a valuable source

of information about latest fashion and 5% respondents disagree that online

advertising is a valuable source of information about latest fashion.

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Graph 18: Valuable source of Information

19%

31%5%

30%

15%

Online advertising is a valuable source of information about how to establish

personal taste.




advertising is a valuable source of information about establishing personal taste

followed by 31% of respondents somewhat agreeing that that online advertising is a

valuable source of information about establishing personal taste followed by 5% of

respondent’s that online advertising is a valuable source of information about

establishing personal taste.

Additionally 30% somewhat disagree that online advertising is a valuable

source of information about establishing personal taste and 15% respondents disagree

that that online advertising is a valuable source of information about establishing

personal taste.

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Graph 19: Information Accuracy

25%

15%

15%

25%

20%

Online advertising provides accurate information about products/services.




advertising provides accurate information about products/services followed by 15% of

respondents somewhat agreeing that online advertising provides accurate information

about products/services followed by 15% of respondents that online advertising

provides accurate information about products/services.

Additionally 25% somewhat disagree that online provides accurate

information about products/services and 25% respondents disagree that that online

advertising provides accurate information about products/services.

Graph 20: Valuable source of Information about local Sales

25%

15%

23%

12%

25%

Online advertising is a valuable source of information about local sales.



Strongly Disagree

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advertising is a valuable source of information about local sales followed by 15% of

respondents somewhat agreeing that online advertising is a valuable source of

information about local sales followed by 23% of respondents that online advertising

is a valuable source of information about local sales. Additionally 12% somewhat

disagree that online advertising is a valuable source of information about local sales

and 25% respondents disagree that that online advertising is a valuable source of

information about local sales.

Graph 21: Up to date source of information

32%

10%15%

32%

11%

Onlineadvertising helps me keep up-to-date about product s/services available in the

marketplaces.




advertising helps me keep up to date about the products services available in the

marketplace followed by 10% of respondents somewhat agreeing that that online

advertising helps me keep up to date about the products services available in the

marketplace followed by 15% of respondents that that online advertising helps me

keep up to date about the products services available in the marketplace.

Additionally 32% somewhat disagree that online advertising helps me keep up

to date about the products services available in the marketplace and 11% respondents

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disagree that that online advertising helps me keep up to date about the products

services available in the marketplace.

Graph 22: over spending habits

29%

14%

14%

29%

14%

Because of Online advertising, people buy a lot of things that they do not really need



Majority of respondents i.e. 29 % of the respondents strongly agree that

because of online advertising, people buy a lot of things that they do not really need

followed by 14% of respondents somewhat agreeing that online advertising, people

buy a lot of things that they do not really need followed by 14% of respondents online

advertising, people buy a lot of things that they do not really need.

Additionally 29% somewhat disagree that online advertising, people buy a lot

of things that they do not really need and 14% respondents disagree that that online

advertising, people buy a lot of things that they do not really need.

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Graph 23: Insults intelligence of consumers

19%

21%

20%

20%

20%

Most Online advertising insults the intelligence of the average consumer.




advertising insults the intelligence of the average consumer followed by 21% of

respondents somewhat agreeing online advertising insults the intelligence of the

average consumer followed by 20% of respondents’ online advertising insults the

intelligence of the average consumer. Additionally 20% somewhat disagree that

online advertising insults the intelligence of the average consumer and 20%

respondents disagree that that online advertising insults the intelligence of the average

consumer.

Graph 24: Persuades to buy useless stuff

20%

20%

10%

40%

10%

Online advertising persuades people to buy things they should not buy.



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advertising persuades people to buy things they should not buy followed by 20% of

respondents somewhat agreeing that online advertising persuades people to buy things

they should not buy followed by 10% of respondents’ neither agreeing nor

disagreeing that online advertising persuades people to buy things they should not

buy.

Additionally majority i.e. 40% somewhat disagree that online advertising

persuades people to buy things they should not buy and 10% respondents strongly

disagree that online advertising persuades people to buy things they should not buy.

Graph 25: Promotes Materialism

14%

13%

24%17%

32%

Online advertising promotes a materialistic society.



Strongly Disagree

14 % of the respondents strongly agree that online advertising promotes a

materialistic society followed by 13% of respondents somewhat agreeing that online

advertising promotes a materialistic society followed by 24% of respondents’ neither

agreeing nor disagreeing that online advertising promotes a materialistic society.

Additionally 17% somewhat disagree promotes a materialistic society and

32% respondents strongly disagree that promotes a materialistic society.

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Graph 26: Encourages buying things for flaunting.

20%

30%

10%

35%

5%

Online advertising encourages people to buy something to impress others.



20 % of the respondents strongly agree that online advertising encourages

people to buy something to impress others followed by 30% of respondents somewhat

agreeing that online advertising encourages people to buy something to impress others

followed by 10% of respondents’ neither agreeing nor disagreeing that online

advertising encourages people to buy something to impress others. Additionally 35%

somewhat disagree online advertising encourages people to buy something to impress

others and 5% respondents strongly disagree that online advertising encourages

people to buy something to impress others.

Graph 27: make people live in fantasy

25%

20%20%

30%

5%

Online advertising makes people live in a world of fantasy.



Strongly Disagree

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makes people live in the world of fantasy followed by 20% of respondents somewhat

agreeing that online advertising makes people live in the world of fantasy followed by

20% of respondents’ neither agreeing nor disagreeing that online advertising makes

people live in the world of fantasy.

Additionally 30% somewhat disagree that online advertising makes people

live in the world of fantasy and 5% respondents strongly disagree that online

advertising makes people live in the world of fantasy.

Graph 28: Provides information about cool deals

20%

20%

20%20%

20%

Onlineadvertising provides information on what is cool.



Strongly Disagree


provides information on what is cool followed by 20% of respondents somewhat

agreeing that online advertising provides information on what is cool followed by

20% of respondents’ neither agreeing nor disagreeing that online advertising provides

information on what is cool .

Additionally 20% somewhat disagree that online advertising provides

information on what is cool and 20% respondents strongly disagree that online

advertising provides information on what is cool.

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Graph 29: Interesting and Attractive

20%

23%

15%

20%

22%

Online advertising is interesting and attractive.



Strongly Disagree

20% of the respondents strongly agree that online advertising is interesting

and attractive followed by 23% of respondents somewhat agreeing that online

advertising is interesting and attractive followed by 15% of respondents’ neither

agreeing nor disagreeing that online advertising is interesting and attractive.

Additionally 20% somewhat disagree that online advertising is interesting and

attractive and 22% respondents strongly disagree that online advertising is interesting

and attractive.

Graph 30: Enjoyable than 0ther Media Content

22%

28%

3%

27%

20%

Sometimes Online advertisements are even more enjoyable than other media

contents.



Strongly Disagree

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22% of the respondents strongly agree that online advertisements are even

more enjoyable that other media contents followed by a majority i.e. 28 % of

respondents somewhat agreeing that that online advertisements are even more

enjoyable that other media contents followed by 3% of respondents’ neither agreeing

nor disagreeing that that online advertisements are even more enjoyable that other

media contents. Additionally 27 % somewhat disagree that online advertisements are

even more enjoyable that other media contents that and 20% respondents strongly

disagree that that online advertisements are even more enjoyable that other media

contents.

Graph 31: Like to Think About What I See

29%

11%

30%

15%

15%

Sometimes, I like to think about what I see on Online advertising.

Strongly Agree Somewhat Agree Neithe Agree nor Disagree


Majority i.e. 29% of the respondents strongly agree that online advertising

makes me like to think about what I see in online advertisements followed by 11% of

respondents somewhat agreeing that online advertising makes me like to think about

what I see in online advertisements followed by 30% of respondents’ neither agreeing

nor disagreeing that online advertising makes me like to think about what I see in

online advertisements.

Additionally 15% somewhat disagree online advertising makes me like to

think about what I see in online advertisements that and 15% respondents strongly

disagree that online advertising makes me like to think about what I see in

online...Advertisements.

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Graph 32: Brand Image

26%

16%32%

21%

5%

Online advertising creates brand image.



Strongly Disagree

Majority i.e. 15% of the respondents strongly agree that online advertising

creates brand image of the products followed by 15% of respondents somewhat

agreeing that online advertising creates brand image of the products followed by 30%

of respondents’ neither agreeing nor disagreeing that online advertising creates brand

image of the products . Additionally 20% somewhat disagree that online advertising

creates brand image of the products and 20% respondents strongly disagree that

online advertising creates brand image of the products.

Graph 33: Boaring without Online Advertising

15% 5%

20%

30%

30%

It will be boring to surf on the Internet without Online advertising.



Majority i.e. 15% of the respondents strongly agree that it will be boring to

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surf online without online advertising followed by 5% of respondents somewhat

agreeing that it will be boring to surf online without online advertising followed by

20% of respondents’ neither agreeing nor disagreeing that that it will be boring to surf

online without online advertising. Additionally 30% somewhat disagree that that it

will be boring to surf online without online advertising followed and 30% respondents

strongly disagree that that it will be boring to surf online without online advertising

followed .

Graph 34: True Picture of The Products

10%

15%

24%

23%

28%

In general, Online advertising does not provide a true picture of the product

advertised.



Majority i.e. 10% of the respondents strongly agree that online

advertising does not provide a true picture of the product advertised online followed

by 15% of respondents somewhat agreeing that online advertising does not provide a

true picture of the product advertised online followed by 24% of respondents’ neither

agreeing nor disagreeing that online advertising does not provide a true picture of the

product advertised online.

Additionally 23% somewhat disagree that online advertising does not

provide a true picture of the product advertised online and 28% respondents strongly

disagree that online advertising does not provide a true picture of the product

advertised online.

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Graph 35: Impersonal Way of Selling

30%

20%20%

25%

5%

Online advertising is an impersonal way of selling.



Strongly Disagree

Majority i.e. 30% of the respondents strongly agree that online advertising is

an impersonal way of selling followed by 20% of respondents somewhat agreeing that

online advertising is an impersonal way of selling followed by 20% of respondents’

neither agreeing nor disagreeing that online advertising is an impersonal way of

selling. Additionally 25% somewhat disagree that online advertising is an impersonal

way of selling and 5% respondents strongly disagree that online advertising is an

impersonal way of selling .

Graph 36: Role in Modern Economy

20%

20%

20%

20%

20%

Online advertising plays an essential role in modern economy.



20% of the respondents strongly agree that online advertising plays an

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essential role in the modern economy followed by 20% of respondents somewhat

agreeing that online advertising plays an essential role in the modern economy

followed by 20% of respondents’ neither agreeing nor disagreeing that online

advertising plays an essential role in the modern economy.

Additionally 20% somewhat disagree that online advertising plays an essential role in

the modern economy and 20% respondents strongly disagree that online advertising

plays an essential role in the modern... ..economy.

Graph 37: Like To Think About What I See

35%

10%10%

25%

20%

Getting online will become too expensive if there is no Online advertising.



Majority i.e. 35% of the respondents strongly agree that online surfing will

become too expensive if there is no online advertising followed by 10% of

respondents somewhat agreeing online surfing will become too expensive if there is

no online advertising followed by 10% of respondents’ neither agreeing nor

disagreeing that online surfing will become too expensive if there is no online

advertising.

Additionally 25% somewhat disagree that online surfing will become too

expensive if there is no online advertising and 20% respondents strongly disagree that

online surfing will become too expensive if there is no online advertising.

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Graph 38: Expensive Without Online Advertisng

15%

25%

25%

25%

10%

Website operators will charge their users if there is no Online advertising.



15% of the respondents strongly agree that website operators will charge their

users if there is no online advertising followed by a majority 25 % of respondents

somewhat agreeing website operators will charge their users if there is no online

advertising followed again by 25% of respondents’ neither agreeing nor disagreeing

that website operators will charge their users if there is no online advertising.

Additionally 25% somewhat disagree that website operators will charge their users if

there is no online advertising and 10% respondents strongly disagree that website

operators will charge their users if there is no online advertising.

Graph 39: Government Regulation

20%

20%

20%

20%

20%

Government should regulate Online advertising.



20% of the respondents strongly agree that government should regulate online

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advertising followed by 20% of respondents somewhat agreeing government should

regulate online advertising followed by 20% of respondents’ neither agreeing nor

disagreeing that government should regulate online advertising.

Additionally 20% somewhat disagree that government should regulate online

advertising and 20% respondents strongly disagree that government should regulate

online advertising.


40%

15%15%

25%

5%

Overall, I consider Online advertising as a good thing.



A huge majority i.e. 40% of the respondents strongly agree that online advertising is a

good thing followed by 15% of respondents somewhat agreeing online advertising is a

good followed by 15% of respondents’ neither agreeing nor disagreeing that online

advertising is a good.

Additionally 25% somewhat disagree that online advertising is a good and just

a small number i.e. 5 % respondents strongly disagree that online advertising is a

good.

151


29%

31%5%

15%

20%

Overall, I like Online advertising.



Strongly Disagree

29 % of the respondents strongly agree that they like online advertising

followed by a majority of respondents i.e. 31% of respondents somewhat agreeing

that they like online advertising followed by 5% of respondents’ neither agreeing nor

disagreeing that they like online advertising.

Additionally 15% somewhat disagree that they like online advertising and

20% respondents strongly disagree that they like online advertising.

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4.4 Descriptive Analysis of Data

Table 2 Internet Users Perception about Online Advertising (Reliability using

Cronbach’s Alpha)

1. Online advertising is essential. .880

2. Online advertising helps to raise our standard of living. .709

3. Online advertising results in better products for the public .779

4. Online advertising promotes undesirable values in our society. .784

5. Most Online advertising distorts the values of our youth .803

6. Some products in Online advertising have negative effects on our

society

.850

7. In general, Online advertising helps our nation’s economy. .811

8. In general, Online advertising promotes competition, which benefits to

the consumer.

.802

9. Online advertising is a valuable source of information about latest

fashion.

.874

10. Online advertising is a valuable source of information about how to

establish personal taste.

.709

11. Online advertising provides accurate information about

products/services.

.789

12. Online advertising is a valuable source of information about local

sales.

.758

13. Online advertising helps me keep up-to-date about product s/services

available in the marketplaces.

.740

14. Because of Online advertising, people buy a lot of things that they do

not really need.

.785

15. Most Online advertising insults the intelligence of the average

consumer.

.902

16. Online advertising persuades people to buy things they should not

buy.

.884

17. Online advertising promotes a materialistic society. .755

18. Online advertising encourages people to buy something to impress

others.

.844

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19. Online advertising makes people live in a world of fantasy. .711

20. Online advertising provides information on what is cool. .842

21. Online advertising is interesting and attractive. .785

22. Sometimes Online advertisements are even more enjoyable than other

media contents.

.706

23. Sometimes, I like to think about what I see on Online advertising. .809

24. Online advertising creates brand image. .883

25. It will be boring to surf on the Online without Online advertising. .766

26. In general, Online advertising does not provide a true picture of the

product advertised.

.765

27. Online advertising is an impersonal way of selling. .703

28. Most Online advertising is misleading. .862

29. Online advertising plays an essential role in modern economy. .795

30. Getting online will become too expensive if there is no Online

advertising.

.803

31. Website operators will charge their users if there is no Internet

advertising

.788

32. Government should regulate Internet advertising. .795

33. Overall, I consider Internet advertising as a good thing. .788

34. Overall, I like Internet advertising. .718

4.5 Respondents Perception about Online Advertising

A five point Likert scale was used to record the responses respondents’ belief

about online advertising among. Results suggest that respondents viewed online

advertising informative. They agreed that Online advertising is a very valuable source

of information about latest fashion (Mean=3.97, SD= 0.84). Most of the respondents’

also agreed that Online advertising helps us to keep up-to-date about product

s/services available in the marketplaces (Mean=3.64, SD= 0.91). Respondents of this

survey also believe that online advertising promotes competition which in turn

benefits the consumer (Mean=3.70, SD= 0.81). Respondents also acknowledged the

value of online advertising in the current business environment.

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Respondents also agreed that online advertising plays an essential role in today’s

economy (Mean= 3.40, SD=0.92). Respondents of this study also believed that online

advertising helps to create brand image (Mean=3.26, SD=0.84) but generally it does

not provide a true picture of the product being advertised (Mean=3.15, SD=0.86).

On the other hand, respondents also recognized the negative side of online

advertising. They agreed that products advertised by marketers through online

advertising have negative effects on our society (Mean=3.380, SD=0.93) and

promotes a materialistic society (Mean=3.250, SD=0.97). Respondents of this study

believe that people buy a lot of things that they do not really need because of Online

advertising (Mean=3.36, SD=0.96). Most of respondents indicated that government

should regulate Online advertising (Mean=3.75, SD=1.03).

Table 3: Respondents Perception about Online Advertising

Statements

Counts

Range

Mean

Standard

Deviation

1. Online advertising is essential. 1200 1-5 3.15 .102

2. Online advertising helps to raise our

standard of living.

1200 1-5 2.92 .087

3. Online advertising results in better products

for the public

1200 1-5 2.98 .083

4. Online advertising promotes undesirable

values in our society.

1200 1-5 2.93 .086

5. Most Online advertising distorts the values

of our youth

1200 1-5 2.92 .103

6. Some products in Online advertising have

negative effects on our society

1200 1-5 3.38 .093

7. In general, Online advertising helps our

nation’s economy.

1200 1-5 3.40 .092

8. In general, Online advertising promotes

competition, which benefits to the consumer.

1200 1-5 3.67 .081

9. Online advertising is a valuable source of

information about latest fashion.

1200 1-5 3.98 .084

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information about how to establish personal

taste.

1200 1-5 3.20 .091

11. Online advertising provides accurate

information about products/services.

1200 1-5 3.27 .092


information about local sales.

1200 1-5 3.36 .090

13. Online advertising helps me keep up-to-

date about product s/services available in the

marketplaces.

1200 1-5 3.64 .091

14. Because of Online advertising, people buy

a lot of things that they do not really need.

1200 1-5 3.36 .096

15. Most Online advertising insults the

intelligence of the average consumer.

1200 1-5 2.56 .079

16. Online advertising persuades people to

buy things they should not buy.

1200 1-5 3.13 .096

17. Online advertising promotes a

materialistic society.

1200 1-5 3.25 .097

18. Online advertising encourages people

to buy something to impress others.

1200 1-5 3.14 .095

19. Online advertising makes people live in a

world of fantasy.

1200 1-5 2.95 .093

20. Online advertising provides

information on what is cool.

1200 1-5 3.48 .082

21. Online advertising is interesting and

attractive.

1200 1-5 3.37 .087

22. Sometimes Online advertisements are

even more enjoyable than other media

contents.

1200 1-5 3.01 .098

23. Sometimes, I like to think about what I see

on Online advertising.

1200 1-5 2.86 .091

24. Online advertising creates brand

image.

1200 1-5 3.26 .084

156

25. It will be boring to surf on the Online

without Online advertising.

1200 1-5 2.43 .093

26. In general, Online advertising does not

provide a true picture of the product

advertised.

1200 1-5 3.15 .086

27. Online advertising is an impersonal way of

selling.

1200 1-5 3.21 .081

28. Most Online advertising is misleading. 1200 1-5 3.02 .085

29. Online advertising plays an essential role

in modern economy.

1200 1-5 3.40 .092

30. Getting online will become too expensive

if there is no Online advertising.

1200 1-5 3.20 .097

31. Website operators will charge their users if

there is no Internet advertising.

1200 1-5 3.35 .103

32. Government should regulate Internet

advertising.

1200 1-5 3.75 .103

33. Overall, I consider online advertising as a

good thing.

1200 1-5 3.17 .089

34. Overall, I like online advertising. 1200 1-5 2.93 .084

The two research question in the questionnaire attempted to examine

Respondents’ general Attitude towards online advertising in general. Two statements

Overall, I consider online advertising as a good thing and Overall, I like online

advertising were used to measure the Attitude of respondents’ held towards online

advertising. In general, respondents had favourable attitude towards online advertising

as a whole. Respondents viewed online advertising as a good thing (Mean=3.17,

SD=0.89), (See Question 33 and 34 in Table 3)

157

Table: 4: Factor Analysis

Component Matrix of respondents’ Perception about Online Advertising.

Factors

Factor

Loading

Factor 1. Economic and Beneficial

Internet advertising is valuable source of information about local

sales.

0.791

Online advertising is valuable source of information about local

sites

0.781

Online advertising helps me to keep up to date about products

services available in the market place

0.693

Online advertising creates brand image 0.531

Online advertising promotes competition which lowers prices and

ultimately benefits the customer

0.420

Factor 2. Value Distortion

Online advertising distorts our value system 0.856

Online advertising of some products have negative effects on our

society

0.711

Online advertising promotes undesirable values in society 0.677

Online advertising insults the intelligence of the average consumer 0.591

Factor 3. Good for Economic Growth

Online advertising helps to raise the standard of our living 0.819

Online advertising is essential for business development 0.743

Online advertising results in better products and services for general

public

0.548

Online advertising helps in creating jobs 0.515

Factor 4. Materialism

Online advertising encourages people to buy something to impress

others

0.633

Online advertising promotes materialism in society 0.534

Online advertising provides information about products that are not

needed.

0.533

158

Factor 5. Negative Attitude

Online advertising is misleading 0.808

Online advertising does not provide the true picture of the products/

services advertised.

0.736

Factor 6. Consumer manipulation

Online advertising makes people buy more than what they need. 0.698

Online advertising persuades people to buy things which they would

otherwise not buy

0.616

Online advertising should be regulated buy government. .600

Factor 7. Webconomics

Online advertising helps websites to generate revenue thus making

access to these websites free for users

0.829

Website operators will charge their users if there is no Online

advertising

0.721

Factor 8. Hedonic/ pleasure

It will be boring to surf if there is no Online advertising 0.735

Sometimes Online advertising is more enjoyable than other content

in the website

0.531

I like to think about the products/ services I see on the internet .513

Factor 9. Product information

Internet advertising provides information about the products .587

4.6 Factor analysis

Factor analysis procedure was conducted in order to identify various factors of

Respondents’ perception about online advertising. This procedure allows us to

examine the nature of the interrelationships among belief variables and to reduce them

to a reasonable number of predictors. Principal component analysis with varimax

rotation was used to factor the belief statements of the respondents. This analysis

yielded nine factors with eigenvalues greater than 1.0.

159

Table: 5. Extraction Method- Principal Component Analysis: Respondents

Perception about Online Advertising.

Component Initial Eigenvalues

Total Percent of variance Cumulative percent

1

2

3

4

5

6

7

8

9

10

6.974

4.530

1.739

1.539

1.487

1.322

1.137

1.078

1.002

0.896

21.795

14.155

5.434

4.978

4.646

4.132

3.555

3.370

3.132

2.804

21.795

35.950

41.384

46.363

51.008

55.140

58.695

62064

65.197

68.001

A scree test was also employed to supplement the selection of factors. From

the scree plot, a distinct break occurs from the ninth factor to the tenth factor. This

signifies that nine factors shall be obtained as experimental evidence indicates that the

point where the scree begins denotes the true number of factors.

The Scree Plot has two lines: the lower line shows the proportion of variance

for each principal component, while the upper line shows the cumulative variance

explained by the first N components. The principal components are sorted in

decreasing order of variance, so the most important principal component is always

listed first.

160

Figure: 13 Scree Plot of Respondents Perception about Online Advertising

Both procedures generated the same number of factors to be retained. From

the cumulative percentage of variance accounted for, we see that the first nine factors

account for 68.001% of variance within the data.

The principal components methods, using varimax rotation, reduced the 34

explanatory variables to nine factors was composed of variables loaded 0.40 or above

on that factor. In two instances, if the variable loaded 0.40 or above on two (or more)

factors, the variable would be assigned to the factor where it had the highest loading.

The nine factors were:

Economical and Beneficial (F1),

Value Distortion (F2),

Good for Economic Growth (F3),

Materialism (F4),

Negative Attitudes (F5),

Consumer Manipulation (F6),

Webeconomics (F7),

Hedonic/Pleasure (F8)

Product Information (F9).

161

4.7 Predictors of Respondents Perceptions towards Online Advertising

The second research question attempted to examine the belief factors that can be used

to predict the perceptions of respondents’ perception towards online advertising.

Regression analysis was used to determine the relationships between respondents’

beliefs about online advertising and their perceptions towards online advertising. The

previous section was devoted to examine respondents’ specific perception towards

online advertising, which the results were focused within each variable. In this

section, the aim is to look at the relation between different variables.

Out of the nine belief factors, six of them contributed significantly to the prediction of

perceptions towards online advertising. These six predictor factors altogether

explained 74.1 percent of the variance in users’ perception towards online advertising.

(Refer to Table 6)

Table: 6 Hierarchical regressions predicting Respondents’ perceptions towards

internet advertising

Multiple R: 0.741

R Square: 0.544

Adjusted R Square: 0.522

Standard Error of Estimate:

0.689

Belief Factors Unstandardized Coefficient Beta T

Economic and Beneficial 0.469 9.562

Value Distortion -0.047 -0.931

Good for Economy 0.455 0.269

Materialism 0.012 0.269

Negative Attitude -0.091 -1.837

Consumer Manipulation 0.002 0.025

162

Webconomics 0.157 3.230

Hedonic/ Pleasure 0.242 4.930

Product Information 0.158 3.252

Factors having a higher belief scores predicted a higher positive perception towards

online advertising. Five out of nine factors have positive signs and sufficient

significant scores. These factors include: Economic and Beneficial, Good for

Economic Growth, Webeconomics, Hedonic/Pleasure and Product Information. In

other words, respondents who had positive beliefs about the value of online

advertising to economic and beneficial to consumer also have a positive perception to

advertising. Similarly, if the respondents have a positive belief that online advertising

is good for economic growth, Webeconomics, lead to hedonic/pleasure experience

incline to have positive perceptions towards Online advertising. On the other hand,

respondents who are less likely to believe that online advertising leads to materialism,

consumer manipulation and value distortion would hold a more positive perception

towards Online advertising as well.

4.8 Impact of Prediction of Belief Factors for Perception towards Online

Advertising

To determine if Respondents Perception about online advertising were linked with the

confounding variables, Hierarchical Regression analysis was performed. A total of

fourteen variables were selected and grouped into three components. They are

Demographics components (including Gender, Age, Education and Profession),

Internet Usage components (including Internet usage and time spend) and the belief

factor components held towards Online Advertising.

Table: 7 Hierarchical Regressions Predicting Respondents Perception towards

Online Advertising

R Square Standardized beta T

Demographics

Gender 0.051 0.649

163

Age -0.51 -0.531

Education -0.168 -2.350

Profession 0.152 1.553

R Square 0.043

Internet Usage

Time Spend 0.105 1.552

Usage -0.309 -4.489

R Square 2 0.153

Respondents Beliefs about Online advertising

Economic and

Beneficial

0.563

0.448 8.301

Value Distortion -0.090 -1.626

Good for Economy 0.454 8.839

Materialism -0.010 0.172

Negative Attitude -0.102 -2.049

Consumer

Manipulation

0.008 0.165

Webconomics 0.132 2.635

Hedonic/Pleasure 0.218 4.350

Product

Information

0.156 3.048

R Square 3

Before conducting the hierarchical regression, correlation analyses were

performed to avoid multi-co-linearity among the components. Results suggested that

correlation within different components were low. Thus, variables within the

components were kept in the hierarchical regression.

Demographic components as a group contributed 4.3% only of the variance in

respondents’ perception towards online advertising. Thus, demographic variables

include Gender, Age, Education and Profession played rather an insignificant role in

the model. Internet usage components as a group accounted for 14.8% of the variance

164

in respondents’ perception towards online advertising. It is found to be a better

predictor than demographic components. However, it became less significant when

the belief factors were included later in the study. (Refer to Table 7) The R Square for

the beliefs about online advertising is 0.563; this means that belief factors explained

the greatest amount (i.e. 56.3%) of the variance among the three components. Among

the eight belief factors, Economic and Beneficial, Good for Economic Growth and

Hedonic/Pleasure showed a higher value in the standardized beta, denoting that they

are positively contributing to the perceived value of online advertising in general.

After controlling the identified variables, the predictive impact of belief factors about

online advertising in respondents’ perception towards online advertising is stable. It

suggested that there shall be a theoretical link between users’ beliefs and perception

toward online advertising.

demographic profile and perception of respondents...

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