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Faith Andrew Proj Corrch12345 R-1

This document discusses internet advertising and its impact on consumer purchase decisions. It provides background on the growth of internet usage and online advertising in Nigeria. The statement of the problem notes that while internet advertising is promising, fraudulent ads have undermined trust. The research questions examine the extent to which consumers are interested in and affected by internet ads, how fraud has impacted the online market, and potential solutions. The objectives are to examine consumers' scrutiny of internet ads and the relationship between improving Nigeria's online market and economic development.
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0% found this document useful (0 votes)
57 views57 pages

Faith Andrew Proj Corrch12345 R-1

This document discusses internet advertising and its impact on consumer purchase decisions. It provides background on the growth of internet usage and online advertising in Nigeria. The statement of the problem notes that while internet advertising is promising, fraudulent ads have undermined trust. The research questions examine the extent to which consumers are interested in and affected by internet ads, how fraud has impacted the online market, and potential solutions. The objectives are to examine consumers' scrutiny of internet ads and the relationship between improving Nigeria's online market and economic development.
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND TO THE STUDY

Over the years many efforts and resources have been put by companies, firms and individuals,

dedicated towards promoting products and services. There have been several effective methods of

marketing activities in Nigeria; including television, radio, roadside boards, person to person

marketing, news papers and internet advertizing (social media and online shopping applications).

In many countries, the use of internet has not been strange to them over many years ago.

However, in Nigeria, the popularity of internet usage especially social media marketing and online

shopping applications is only recent.

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

advertisements has changed and this is due to several factors including printing press, radio, tv,

and social media. As a result of advancement in communication, businesses do not hesitate to

invest in advertisements to achieve their goals. Advertising is currently much more flexible than

ever. Whenever and wherever, whether they like it or not, people are exposed to advertisements,

and sometimes without even knowing. The effect of the online revolution on the advertising

industry has dramatically changed the reach and accessibility to wider audiences drawn to

contents from social media (Nekatibeb, 2012).

Entertainment owes it all. In fact, entertainment according to Haider & Shakib (2017) has been

identified as a major promotional strategy for increasing advertising efficacy and persuading

consumers to make a purchase. Today nobody can escape from the wide influence of mass media

(newspapers, television, advertising, videos, films, billboards music, movies, magazines, and the
2

internet) etc, among the whole marketing tools. Basically advertisement is a tool of the

promotional mix that includes the 4p‟s of the marketing mix as well as Product, Price, Place and

Promotion. Now a day‟s advertisement is a great source for promoting the business in the whole

market. The consequences of advertisement continue to accelerate. Advertising has become a vital

issue and Kotler 2016 pointed out that appeal of advertising is the main idea of an advertisement,

and to get the attention of the audience. Now in twenty first century the messages can be delivered

by different mode of media that consist of newspaper, radio, magazines, mail order, direct mail,

outdoor displays, to mention a few. According to Herhold (2017), we live in an information-

obsessed environment; thus, the odds of a company surviving if it does not advertise are very low.

We can say that nowadays, social media has practically become a weapon and is playing a major

role in advertising. The way businesses operate, and particularly the methods they use to raise

public awareness of their goods and services, have been radically changed by the Internet and

social media. Therefore, advertisers are continually trying to find new ways to improve the

intensity and efficiency of their advertisements in today's cluttered media environment (Muda,

Musa & Putit 2010). Jos North is a local government area in Plateau State, Nigeria has its

headquarters are in the city center of Jos. The postal code of the area is 930.

It has an area of 291 km2 and a population of 729,300 at the 2006 census. The ethnic groups found

in this area include: Berom, Anaguta and Afizere (NIPOST, 2019). Internet Advertising refers to

digital marketing of goods and services to the minds of existing and prospective consumers. While

consumer purchase decision refers to the thought process that leads a consumer from identifying a

need, generating options, and choosing a specific product and brand. (Stoner. V 2019). Consumers

play more active role in searching for useful information online with some goal in mind and that
3

goal can influence individual behaviors and responses to online information and advertisements

(Smith, 2002). With the rapid advancement in the information and communication technology

(ICT), many companies have made the Internet as part of their advertising media mix to take

advantage of the online technologies (Clasir, 2003).

There is a growing need for knowledge and information regarding the online purchasing behavior

of consumers due to radical changes in e-commerce, which is also known as electronic commerce.

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

relationships and what kind of marketing strategy should be adopted for the customer.

Nowadays, the internet is not only used for information purposes but also as a platform for buying

and selling goods and services between the buyer and seller. To survive in this highly diverse

market, it becomes essential for organizations to adopt different marketing tools through the

internet to attract their customers. The preference level of the customer is continuously changing

due to the higher technological influence on their living pattern. Being a seller, it becomes crucial

to consider the importance of technology in their Operation, Marketing, and Sales Department.

Thus, in the current digital/online era, there is the need to analyze the effect of internet advertizing

on consumers purchase decisions.

Online shopping has become a fascinating variable for the management and entrepreneurs to gain

market share and customer satisfaction in the competitor‟s market and also to secure the future of

a company.

Online banner advertising began in the early 1990s as page owners sought additional revenue

streams to support their content. Commercial online service Prodigy displayed banners at the

bottom of the screen to promote Sears products up till today.


4

The first clickable web ad was sold by Global Network Navigator in 1993 to a Silicon Valley law

firm. In 1994, web banner advertising became mainstream when HotWired, the online component

of Wired Magazine, and Time Warner's Pathfinder sold banner ads to AT&T (American

Telephone and Telegraph Company) and other companies.

The first AT&T (American Telephone and Telegraph Company) advert on HotWired had a 44%

click-through rate, and instead of directing clickers to AT&T's website, the ad linked to an online

tour of seven of the world's most acclaimed art museums.

According to Becker and Murphy (1993) TV advertising increases directly and indirectly

consumers‟ marginal willingness to pay for a brand. This effect is associated with the impact of

advertisement on the flattening of the demand curve as it reduces the elasticity of demand for the

advertised good. The direct effect automatically leads to an increased willingness to pay for the

particular advertised goods or services.

In its history, advertising shares some similarity with many other vibrant Nigerian industries as its

beginning can be traced to the era of colonialism in Nigeria. The establishment of West African

Publicity Limited played a major role in paving the way for the development of advertising in

Nigeria. The company [West African Publicity Limited), which was set up in 1928, served as a

spin-off of UAC. Its establishment was meant to provide colonial masters in Nigeria and entire

West Africa with marketing needs. In 1929, West African Publicity Limited achieved a

tremendous transformation into an absolute advertising company regarded as LINTAS (Lever

International Advertising Services) and was divided into two subsidiary companies namely

Pearl/Dean and Afromedia. At the point of establishment, the companies were controlled by

foreigners.
5

1.2 STATEMENT OF THE PROBLEM

Due to the rapid development of information technologies and market relations, Internet

advertising is one of the most promising areas of the advertising market. 10% of all world

advertising is placed on the Internet.

Fraudulent adverts in the field of Internet marketing remain relevant to this day. After getting

caught on unscrupulous advertising, users stopped trusting Internet marketing in general, which

negatively affects the online advertising market.

Consequently, in spite of the performance of internet marketing globally, there are serious

controversies especially in the Nigerian market space concerning issues of integrity and internet

penetration. Therefore it is important to investigate more closely its effects in sub-markets in

Nigeria; hence this study focuses on Jos North Local Government Area of Plateau state – Nigeria.

1.3 RESEARCH QUESTIONS

This study investigates the effects of internet advertising on consumer purchase decisions. The

study seeks answers to the following questions;

1. To what extent have consumers been interested in internet advertising over the years?

2. To what extent have internet advertizing affected consumers purchase decisions?

3. To what extents are fraudulent activities affected the internet market?

4. To what extent have solutions been provided for the plagues befalling the Nigeria‟s

internet market?

5. Is there a relationship between improving the internet market and development of Nigeria?
6

1.4 RESEARCH OBJECTIVES


Due to the growing interest and concern towards knowing the contribution and defects of internet

advertising to the general economic interests of the government and the masses, this research

work has a general objective to examine the impact of internet advertising on demand in Nigeria.

Other specific objectives are;

1. To ascertain how consumers scrutinize internet adverting.

2. To evaluate the effect of internet advertising on consumers purchase decision over the

last seven years.

3. To ascertain whether internet advertising had trust issues.

4. To find out the factors responsible for any poor performance of internet advertising.

5. To investigate the relationship between internet adverting and the development of

Nigeria.

1.5 HYPOTHESIS.

This research work is guided by the following hypothesis to investigate the effect of internet

adverting on the consumer purchase decision. The hypothesis is postulated as following the null

hypothesis (H0)

H01 Internet Advertising does not have impact on consumers‟ interests

H02 Internet Advertising does not have impact on consumers‟ purchase decision.

H03 Internet Fraud does not have impact on the internet market.

H04 The government does proffer solutions to the problems affecting the internet market.

H05 There is no relationship between the internet market and Nigeria‟s development.
7

1.6 SIGNIFICANCE OF THE STUDY

Internet advertising is a catalyst to the development of every nation. Therefore, greater use and

more secure access to it is critical to the achieving a sustainable and continuous economic growth

and development in Nigeria.

This study is also a challenger to me. As the researcher, it solidifies the relationship between my

academic pursuit and field work. This is a well awaited means to apply the various learnt analytic

tools in reaching philosophical conclusions. This research will also broaden the knowledge of the

researcher, and give vibrant experience in embarking on projects, and in thesis writing.

This study may encourage the government to escalate its interest in internet adverting, as well as

encourage consumers to patronize internet advertised goods. It will also reduce the incidences of

street advertising, as well as street trading.

The result of this research is may be used as a guide to marketers, policy makers, consumers, with

the hope that the decision they draw from this work will lead to the development of the country at

large.

The recommendations that will be made at the end of this study will encourage further studies in

this area, and add to other existing literatures for the deepening of knowledge. The contribution of

this study will catalyze the progress of industries and the nation at large.

1.7 SCOPE OF THE STUDY

This study covers the Nigerian Internet advertising sector, its roles, challenges and its effect on the

performance of other productive sectors that make use of internet advertizing. The research work
8

is concentrated on the Nigerian advertizing sectors, and data used for this research is limited to

information from 2016 through 2022.

1.7.1 Content Scope

This research contains five unique chapters. The chapter one of this research is dedicated to

introductions. It provides the background information about the internet advertising in the socio-

economic development of Nigeria.

The chapter two addresses reviews of related literatures on this concept, theories and findings on

this research and discusses the impact of internet advertising on demand in attaining a profiting

and secure internet market in Nigeria.

Chapter three contains the methodology of this research. These are the research design, types of

data, sources of data, sample specifications and technique of analysis.

Chapter five carries detailed data results, analysis discussion and presentation.

Finally, the chapter five summarized this research, offered recommendations and drew

conclusions on this work.

1.7.2 Geographical Scope


The aim of this research is to collects information about the effect of demand on internet

advertising from the resident and business people around Jos North Local Government Area,

Plateau state, Nigeria.

The aim will be achieved through the following objectives;

1. Studying researches on existing media of adverting.

2. Evaluating the people of Jos North Local Government Area, Plateau state, Nigeria, vis a

vis demand.
9

1.8 OPERATIONAL DEFINITION OF TERMS

This study will identify core operational terms and concepts in advance of full development of the

methodology. The following represents an initial identification of some of these terms and

concepts;

 ADVERTISEMNET: is a notice or announcement usually paid for in a public medium

promoting a product, service, or event.

 CONSUMER: a person who purchases goods and services for personal use.

 PURCHASE: is to acquire (something) by paying for it; to buy.

 DECISION: is a conclusion or resolution reached after consideration.

 RELIABILITY: refers to the consistency of evaluation of result which is expressed

as a correlation coefficient. It indicates the degree to which an instrument is consistent in

measuring whatever it measures (Danjuma, 2005)

 INTEREST: is the feeling of wanting to know or learn about something or someone. The

section of this study will analyze the rate of people who are interested in the internet

market. This will include those who are exposed to both internet gadgets like computers

and internet mobiles, and also have fair access to internet connectivity.

 ADVERT: This section will analyze the affects of internet advertisement on consumers.

 FRAUD: is a wrongful or criminal deception intended to result in financial or personal

gain. This section will analyses the impact of fraud on the internet market (affecting both

the consumers and the marketers)


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 GOVERNMENT: is the group of people with the authority to govern a country or state.

This part will deal with the extent to which the government aids the internet market and

how it has been able to suppress the activities of fraud

 DEVELOPMENT: to grow or cause to grow and become better, advanced, or elaborate.

Here we check the extent to which the internet market adds or subtracts from the growth of

a country.
11

CHAPTER TWO

LITERATURE REVIEW

2.1 CONCEPTUAL REVIEW

2.1.1 Concept of Advertising

According to the Advertising Association of the UK, (Fox, 2011). – Advertising is any

communication, usually paid-for, specifically intended to inform and/or influence one or more

people. Advertising is a form of communicating information, in persuasive purposes for products

(goods, services and ideas) by acknowledged sponsors through numerous media.

In 1905, John E. Kennedy, then a relatively unknown copywriter, described advertising as

„salesmanship in print„. He later joined Lord & Thomas (which is present day DraftFCB) and

went on to become a hugely successful copywriter of his time. Those 3 words, „salesmanship in

print‟ have been used to describe advertising for over a century now – with new „media‟ being

added to the definition.

Albert Lasker (1905) defined advertising as “salesmanship in print, driven by a reason why.”

Advertising is directly related to the groups of people, rather than to individuals and therefore, it is

a non-personal or mass communication. Those individuals could be consumers, people who buy

products or business people who would buy large quantities of products for resale in their stores.

Mass communication in advertising is very important, because the whole purpose of advertising

would be getting the message across to those who will purchase goods, to consumers.

The relic of advertising reaches to the preindustrial age. Preindustrial age indicates the beginning

period of written history and approximately the start of the nineteenth century. Up to the industrial
12

revolution, advertising and production remained primarily a local phenomenon. Items such as

land, slaves, and transport (goods and services) were the one who were promoted. Later, after the

invention of the paper and the Gutenberg‟s printing press, advertising started to develop and it

became more popular. People no longer had to rely on their memories, and they had posters,

handbills, and signs to remember them about certain product or service. Advertising became

popular on the radio as well. Radio had a great role in promotion, because radio stations had the

specific program that included advertising.

The four distinct groups in advertising business are advertisers, agencies, suppliers and the media.

Advertisers are companies that advertise by sponsoring for themselves and their products.

Advertising agencies are organizations that organize advertising plans and other promotional tools

for advertisers. Suppliers are people and organizations that assist both advertisers and agencies in

the preparation of advertising materials, such as photography, illustration, printing, and

production.

Local advertisers typically are dealers and local franchisees of national companies, stores that sell

a variety of branded merchandise, specialty business and services, and governmental and

nonprofit organizations. Local advertising is sometimes called retail advertising, and it is

important because most consumer sales are made locally.

The Nigeria Advertising had its humble beginning rooted in colonial history. Advertising

development could be traced to about 1928 with the birth of West African Publicity Limited. An

off shoot of UAC (United Africa Company) of Nigeria, the company was set up to cater for the

marketing activities of the colonial masters in both Nigeria and West Africa. This company was
13

later to transform to a fully fledged advertising firm in 1929 known as Lintas with two other

subsidiaries newly Afro media, the outdoor medium and Pearl/Dean, the cinema arm

2.1.1 Concept of Internet-Advertizing


Internet advertising, also known as online marketing, Online advertising , digital advertising or

web advertising, is a form of marketing and advertising which uses the Internet to promote

products and services to audiences and platform users.

In its simplest definition, online advertising refers to ads that appear in emails or websites. It‟s a

marketing strategy that uses the internet to generate website traffic and deliver specific marketing

messages to the right customers. Digital advertising helps persuade targeted customers to take

specific actions like purchasing.

There are 9 common internet advertising. They are;

1. SEM (Search Engine Marketing) & SEA (Search Engine Advertising)

2. Native Advertising

4. Mobile Advertising

5. Social Media Advertising

6. Video Marketing

7. Retargeting and Remarketing

8. Email Marketing

9. Digital Signage

Unlike traditional advertising strategies, advertising products online enables you to target a

specific demographic, such as gender, generation, or geographic region. Online ads are
14

interactive; meaning that users can respond through actions like clicking and visiting your

website.

Like other advertising media, online advertising frequently involves a publisher, who integrates

advertisements into its online content, and an advertiser, who provides the advertisements to be

displayed on the publisher's content. Other potential participants include advertising agencies that

help generate and place the ad copy, an ad server which technologically delivers the ad and tracks

statistics, and advertising affiliates who do independent promotional work for the advertiser.

Many common online advertising practices are controversial and, as a result, have become

increasingly subject to regulation. Many internet users also find online advertising disruptive and

have increasingly turned to ad blocking for a variety of reasons. (Wikipedia – 2016)

In the early days of the Internet, online advertising was mostly prohibited. For example, two of the

predecessor networks to the Internet, ARPANET and NSFNet, had "acceptable use policies" that

banned network "use for commercial activities by for-profit institutions". The NSFNet began

phasing out its commercial use ban in 1991.

The first widely publicized example of online advertising was conducted via electronic mail. On 3

May 1978, a marketer from DEC (Digital Equipment Corporation), Gary Thuerk, sent an email to

most of the ARPANET's American west coast users, advertising an open house for a new model

of a DEC computer. Despite the prevailing acceptable use policies, electronic mail marketing

rapidly expanded and eventually became known as "spam."

The first known large-scale non-commercial spam message was sent on 18 January 1994 by

an Andrews University system administrator, by cross-posting a religious message to


15

all USENET newsgroups. In January 1994 Mark Eberra started the first email marketing company

for opt in email lists under the domain Insideconnect.com. He also started the Direct Email

Marketing Association to help stop unwanted email and prevent spam.

Online banner advertising began in the early 1990s as page owners sought additional revenue

streams to support their content.

2.1.2 Concept of The Consumer


A consumer is someone who buys things for a non-commercial purpose, either for themselves or

for others. A consumer is a person or a group who intends to order, or use purchased goods,

products, or services primarily for personal, social, family, household and similar needs, who is

not directly related to entrepreneurial or business activities.

"Consumers, by definition, include us all," said President John F. Kennedy, offering his definition

to the United States Congress on March 15, 1962.

In an economy, a consumer buys goods or services primarily for consumption and not for resale or

for commercial purposes. Consumers pay some amount of money (or equivalent) for goods or

services) then consume (use up). As such, consumers play a vital role in the economic system of

a capitalist system and form a fundamental part of any economy.

Without consumer demand, producers would lack one of the key motivations to produce: to sell to

consumers. The consumer also forms one end of the chain of distribution.

Recently [2020 till date] in marketing, instead of marketers generating broad demographic

profiles and Fisio-graphic profiles of market segments, marketers have started to engage
16

in personalized marketing, permission marketing, and mass customization to target potential

consumers.

Largely due to the rise of the Internet, consumers are shifting more and more towards

becoming prosumers, consumers who are also producers (often of information and media on

the social web) - they influence the products created (e.g. by customization, crowdfunding or

publishing their preferences), actively participate in the production process, or use interactive

products.

2.1.3 Concept of Consumer Purchase Decision


Consumer Purchase Decision otherwise termed Consumer buyer behavior is considered to be an

inseparable part of marketing and Kotler and Keller (2011) state that consumer purchase decision

is the study of the ways of buying and disposing of goods, services, ideas or experiences by the

individuals, groups and organizations in order to satisfy their needs and wants.

The table below illustrates how various Authors defined consumer purchase decision;

Authors How they define Consumer Purchase Decision


Faison and Edmund “The assumption that people have series of needs which lead to
(1977) drive state.”

Engel, et al. (1986) “Those acts of individuals directly involved in obtaining, using,
and disposing of economic
goods and services, including the decision processes that precede
and determine these acts”

Kotler (1994) Consumer behaviour is the study of how people buy,


what they buy, when they buy and why they buy.
17

Solomon et al. (1995) Consumer is the study “of the processes involved when
individuals or groups select, purchase, use, or dispose of products,
services, ideas, or experiences to satisfy needs and desires”

Schiffman (2007) “the behaviour that consumers display in searching for,


purchasing, using, evaluating, and disposing of products and
services that they expect will satisfy their needs”
Table 1: Examples of previous research used to define consumer behaviour

Buyer behavior has been defined as “a process, which through inputs and their use though process

and actions leads to satisfaction of needs and wants” (Enis, 1974, p.228). Decision has numerous

factors as a part of it which are believed to have some level of effect on the purchasing decisions

of the customers.

Alternatively, consumer purchase decision “refers to the buying behaviour of final consumers,

both individuals and households, who buy goods and services for personal consumption” (Kumar,

2010, p.218). From marketers‟ point of view issues specific aspects of consumer behaviour that

need to be studied include the reasons behind consumers making purchases, specific factors

influencing the patterns of consumer purchases, analysis of changing factors within the society

and others.

The following popular definitions have been proposed for the term of consumer purchase

decision:

 According to Blackwell et al (2006); consumer purchase decision is itself is a complex,

dynamic issue which cannot be defined easily and commonly. Therefore, the concept of

consumer buying behaviour has been defined in different ways by different researchers.
18

 The definition formed by Solomon et al (1995) describes consumer purchase decision as a

process of choosing, purchasing, using and disposing of products or services by the individuals

and groups in order to satisfy their needs and wants. Similar definition of consumer purchase

decision is offered by Schiffman and Kanuk (2000) in which they describe it as behaviour that

consumers express when they select and purchase the products or services using their available

resources in order to satisfy their needs and desires.

 Consumer purchase decision is defined by Stallworth (2008) as a set of activities which

involves the purchase and use of goods and services which resulted from the customers‟

emotional and mental needs and behavioural responses. It is further stated by Gabbot and Hogg

(1998) that the process may contain different activities and stages.

Although the definitions given above are various, they all lead to common view that consumer

purchase decision is a process of selecting, purchasing and disposing of goods and services

according to the needs and wants of the consumers. However, there is a general consensus among

the researchers and academics that this process is subject to continual change over time as the

purchase characteristics of the customers change due to their physical and psychological needs.

In the mean time, Kotler and Keller (2011) highlight the importance of understanding consumer

purchase decision and the ways how the customers choose their products and services can be

extremely important for manufacturers as well as service providers as this provides them with

competitive advantage over its competitors in several aspects. For example, they may use the

knowledge obtained through studying the consumer purchase decision to set their strategies
19

towards offering the right products and services to the right audience of customers reflecting their

needs and wants effectively.

Another valuable argument is provided by Egen (2007) on the importance of understanding the

consumer behaviour. According to the author, better awareness of consumer purchase decision is

a positive contribution to the country‟s economic state. The author further argues that the quality

of goods and products are exceptionally good in countries where buying behaviour of consumers

is well understood. This in turn increased the competitiveness of the products and services in

international market increasing the export potential of the country. Meanwhile, high quality of

domestic products and services lead to sophisticated domestic customers‟ base (Blackwell et al,

2006).

In addition to efforts of better understanding the consumers‟ buying behaviour, companies also

engage in advertising and promotion activities to influence the consumers‟ purchasing decision.

However, when they are engaging in such types of activities, they need to consider other external

factors such as the overall economic conditions of the country, politics, technology and ethnic

culture all of which are beyond the control of both the company and consumer Lancaster et al

(2002).

To sum up all the arguments stated above, it is clear that better understanding the consumer

purchase decision through studying and identifying their needs leads to huge long term benefits to

the businesses. However, as stated by Kotler et al (2005) it is essential to mention that despite the

great efforts to learn and understand the buying behaviour of consumers, it is very difficult to

identify the exact reasons why a consumer purchases and prefers one product or service over
20

another one. This is because consumers sometimes make purchasing decisions based on their

emotional beliefs which they even themselves are not well aware of.

Consumer theory is the study of how people decide to spend their money based on their

individual preferences and budget constraints. In a branch of microeconomics, consumer theory

shows how individuals make choices subject to how much income they have available to spend

and the prices of goods and services.

Understanding how consumers operate makes it easier for vendors to predict which of their

products will sell more and enables economists to get a better grasp of the invisible hand, the

unseen forces that shape the economy.


21

2.2 CONCEPTUAL FRAMEWORK

For this research, we shall be focusing our energy on these types of internet advertizing; Search

Engine Marketing, Video Marketing, Social Media Marketing and Email Marketing.

The conceptual framework for this study is represented diagrammatically based on the

relationships of constructs of study and their order of influence (Figure 2.1.). The first flow of

influence in this framework is initiated from direct relationship of internet advertizing with

consumer purchase decision.

The second flow in the conceptual framework is initiated relating jobs of adverts with customer

retention. While, the third flow of influence in the framework is of the effect of these jobs on

positive words of mouths from the consumer. This broad framework of the study proposes

hypotheses for testing based on the relationship of constructs included in the study. In summary,

this conceptual framework proposes three main relationships, that is,


22

Internet Consumer
Advertising Purchase
decision
Interest

Adverts
Customer
Retention
Fraud

Governernment
Positve word of
mouth
Developent

Source: Researcher’s Design -2023


Figure 2.1. Conceptual model of the study

2.3 THEORETICAL REVIEW

2.3.1 Theories of Advertisement


The switch from printed ads to the digital technology driven ads in the 21st century has been rapid

and flamboyant. The figure of advertising channels has expanded in the last decade, and presently

ads are everywhere. When advertising is fruitful, it has a direct impact on sales and brand

awareness. Advertising has to be innovative, expressive, and inspiring for people to pay attention

to it, which integrates delivering messages and showcasing videos that will give an edge to your

advertisement in comparison to the other advertisements out there. Advertising has various

objectives including communicating with potential customers and prompting them to purchase a

particular product.
23

The advertising theories illustrate how and why advertising is effective in influencing the

customers‟ behavior and accomplishing its objectives. There are various theories on advertising

and most of them propagate that the success of advertising is controlled by the main practices

being carried out which include frequent brand exposure and repetitive advertising.

2.3.2 Theories of Advertising and Consumer Behaviour


Marketers may spend significant time trying to parse the thoughts, patterns, and behaviors of

consumers. The better they understand their target audience, the more they can cater to that

audience‟s wants and needs. This study seeks to explore the relationship between internet

advertisement and consumer purchase decisions. Over the years, many people have invented

theories to try and streamline what they believe explains these behaviors. This study is

theoretically supported by the following five theories;

2.3.2.1 THEORY OF REASONED ACTION


Martin Fishbein and Icek Ajzen (1967) originally conceived the theory of reasoned action: a

consumer behaviour theory that focuses on the relationship between marketing and the pre-

existing attitudes consumers bring to their purchasing decisions.

According to the theory of reasoned action, consumers act on behaviors that they believe will

create or receive a particular outcome, familiar or otherwise. As such, rational decision-making is

the chief element of what drives consumers to make purchases.

This consumer behavior concept leans on the significance of specificity over obtuseness. In other

words, a consumer may only take a specific action when given a reason to believe there will be a
24

specific desired result. From the time the consumer decides to move forward with a decision to the

moment the action is finished, the consumer can change their mind or select a different course of

action.

This has led marketers to several insights, the first being how they must associate a purchase with

a specific positive result. For example, AXE markets its body spray products in such a way that all

who use them might believe they have improved desirability with women. The theory then

emphasizes the importance of moving consumers through the sales pipeline, rather than keeping

them idle, where they might have an opportunity to talk themselves out of a purchase or decide to

spend their money on a competing brand.

Relevance; The Theory of Reasoned Action postulated that there are two conceptually

independent determinants for predicting intention: attitudes toward the behaviour and subjective

norm. First, attitude toward the behaviour refers to the degree to which an individual evaluates the

behaviour favourably or unfavourably (Ajzen, 1991). Various studies have examined and

successfully explained the positive influence of attitudes toward a behaviour on the intention to

perform the behaviour (Bosnjak et al., 2006; Davis et al., 1989; Gopi and Ramayah, 2007; Hsu et

al., 2006; Mathieson, 1991; Taylor and Todd, 1995; Shih and Fang, 2004). For example, the more

positive consumers‟ attitudes are toward internet purchasing, the stronger their intention to

purchase online (George, 2002). The results of previous studies allow us to expect that more

favourable attitudes toward creating social media content will lead to a stronger intention to create

content in social media.


25

2.3.2.2 ENGEL KOLLAT BLACKWELL MODEL


The Engel Kollat Blackwell (EKB) Model (1968) is a natural evolution of the ideas found in the

theory of reasoned action. This theory of buyer behavior operates on a four-phase process that

influences how consumers make purchasing decisions: input, processing information, decision

stages, and variables in the decision-making process.

Input is the first phase, which is simply the stage when consumers take in the most marketing

materials either through billboards, internet advertisements, or in-person displays. Through the

data collected in these materials, they graduate to information processing, during which they

combine that input with experience and expectations to make the best decision for their current

circumstances. Rational insight leads them to the next step, which is where they actually make a

purchasing decision based on the information they collected.

The decision process also has five phases: recognition of need, information searching, evaluating

alternatives, purchasing (or choosing), and post-purchase outcomes.

Relevance: During the initial information stage of the EKB model of consumer behavior theory,

input is the most valuable. The current day living has put many consumer exposed to activities of

the internet, and there most of the time also exposed to these advertisement inputs over the

internet. Consumers receive enough information from the internet about the product or service to

easily recall or turn to the company‟s products for future needs, and again during the external

influence phase. One industry that has a good grasp of this sequence is the lifestyle industry,

where brands know exactly how to market their products to trigger a desire in the consumer,

usually so they look, smell, or feel better than they would if they used competing brands.
26

2.4 EMPIRICAL REVIEW

Many researchers have worked to elaborate on the direct relationship between online

advertisement and customer satisfaction levels. According to Hanif and Asgher, an online

advertisement depicts that the majority of the advertisements are occurring through the internet by

using different platforms, like Email, YouTube, Facebook, Instagram, Daraz.com, and other

advertisement supporting websites (Hanif and Asgher, 2018). According to them, an online

advertisement is one of the most significant marketing tools in today's digital world, even though

most organizations do not think of capturing the market share without advertisement. They stated

that in the current era, the style of marketing research is becoming modernized because of the

impact of upgraded communication technology on the advertisement factor which adds value to

the buyer's choice. It is hard for an advertiser to maintain the effectiveness of online

advertisements to get a positive reaction from consumers (Ahmadiond Gul. 2021: Bukhar et al

2021).

According to Nazi et al. (2018), the growth of media and communication networks has altered the

business landscape of advertising. So an online advertisement becomes an essential approach to

increase the profit margin of a company (Nazi et al. 2018). Advertising properties, such as the

design, quality, duration, or location of an advertisement, can affect the effectiveness of such

advertisement. Such an attractive source of marketing helps company to maintain its position in

the market.

According to the researchers (2017). e-commerce promised a "perfect' arrival in the market by

introducing product and price comparison websites, the so-called shopping robots (Phillips et al..

2017). They stated that technology is about to achieve what economists could only undertake in
27

the past: "near-perfect information." Nunan et al. (2018) stated that customer satisfaction is an

accumulated attitude based on his or her experiences. They stated that there must be a feeling of a

customer that can be gauged directly. Customer satisfaction is directly related to a firm's

profitability. Customers may be satisfied by different factor such as product design product

advertisement, etc. (Nunan et al., 2018). These researchers point out the three obstacles to online

shopping, namely; failure to buy security, and service fear hindrances. At the end of their critical

analysis, they concluded that more and more people have to shop online or indeed provide

information to web providers for access to information (Ali et al., 2021; Gulet al., 2021b).

In Ghazali et al. (2016) stated that a deprived account of the online customer experience is based

on a 24% loss in annual online revenue, more than $50 billion losses in the United States, and a

£14 billion lost in the United Kingdom each year (Ghazali et al., 2016). According to them, a

basic strategic aim for many firms is to upgrade the customer's experience level and the perception

level regarding the company's products and services will ultimately affect the firm's profitability.

For this purpose, customer satisfaction is a crucial factor in any firm's existence.

2.5 RESEARCH GAP

Having consulted a lot of research works, it was found that the bulk of existing researches have

taken their context outside the perimeters of our localities, and even outside the country, Nigeria,

and therefore there is a lack of rich insight and texture that this study within Nigeria could

provide. Because of this, there is the need to locally investigate the internet market and advertising

and check to what extent it affects the way consumers react in relation to the activities of the

market.
28

2.4 SUMMARY OF THE LITERATURE REVIEWED


After going through other research works on the subject of online advertizing and buyer purchase

decision, it was deemed fit for this study to center on how internet advertizing affects the purchase

decision of the consumer.

Also, this study will employ the use of a marketing research technique known as the Primary

survey method, principally to check the relationship between internet advertising and consumers

reactions from 2018 to date.


29

CHAPTER THREE
METHODOLOGY

This study examines The Effects of internet advertising on consumers purchase decision in Jos

North Local Government Area – Plateau State, Nigeria. The main goal of the research brief is to

set clear objectives in the form of questions and design appropriate research. This chapter presents

a comprehensive plan with regards to how the study will be conducted, methods employed, and

the methods used for data analysis. In this chapter, the research design, population, sample size,

sampling technique, instrument for data collection and instrument for data analysis are discussed.

3.1. RESEARCH DESIGN

The key objective of this research is to understand impact of internet advertising on demand in

Nigeria. This and all other specific objectives will be manifested in the questions of the

questionnaire. The data collection method will be in a form questionnaire, and objectives will

address the customers‟ attitude towards internet advertising. The questions will also categorize the

consumers by internet penetration segments, depending on the characteristic of interest, such as

Social Media, Search Engine, Video Marketing, and Email. In addition, it is important to find out

purchase habits and consumer preferences to find a niche. Lastly, media consumption preferences

will be asked, which will help during the marketing process.

The overall design will be descriptive survey design quantitative research methods. The

hypothesis that may be drawn from surveys can be comprehensively tested and mathematically

analyzed using standard quantitative research methods.


30

3.2. POPULATION AND SAMPLE SIZE

3.2.1 Population

The population of interest consists of people who identify themselves as Nigerians, and aged

between 16 and 65 year olds because these are most likely to be the target group for active

internet users. To minimize the overall costs of the research, we shall use a smaller sample size

with minimal margin error. It is stated that 1000 people will be the most suited sample size, where

a further increase in the sample will not yield better results (Hair et al., 2017). However, it will

still be costly. So, for the main reason of saving costs, the sample size of less than 500 internet

users may be purposively selected for study.

3.2.2 Sample Size

The research work cannot be carried out by conducting the finding on the entire population size. It

would be extremely expensive and time-consuming to gather data from the entire population of

Jos North, Plateau state. So we shall carefully sample our demographic to build a possible

accurate picture of our target audience using common trends from the results. The Taro Yamane

method for sample size calculation is used to determine the research‟s sample size from the

population of the study. The formula is stated below as;

n = N
1 + N (e)2

Where:

n - Signifies the sample size

N - Signifies the population under study

e - Signifies the margin error (0.05)


31

The population of people in Jos North Local Government Area of Plateau state is currently

643,200;

Therefore, n = __643,200
1 + 643,200 (0.05)2

__643,200
= 1 + 643,200 x 0.0025

Therefore = 643,200
1+1608 = 399.751

A sample size of 400 people will be used for this study

3.3. SAMPLING TECHNIQUE

For more accurate result, we shall employ the method of systematic sampling. With this,

random persons are going to be selected with the consciousness that they are internet users from

the various locations at 4pm to 6 pm of the day for four days, one day for each selected location.

A „yes‟ and a „no‟ papers will be squeezed for respondents to pick from and those who pick

„YES‟ items will form the population that fills the questionnaire.

3.4. SOURCES OF DATA

Accurate and systematic data collection is critical to conducting this research. The source of data for

this research is primary. The sample geographical location is Jos north Local Government Area of

Plateau state, however the questionnaires will be distributed only to these key areas; Gada Biyu,

Jos North Junction of Rukuba Road, Tudun Wada Market and Farin Gada Market. For the purpose

of this research data shall be collected from primary source using the instrument of a

questionnaire.
32

3.5. INSTRUMENT FOR DATA COLLECTION

Questionnaires and interviews shall be employed to retrieve information from the selected

samples. Part of the questionnaires will be distributed printed on paper. The other part will be

prepared electronically and distributed online via social media and emails.

3.5.2. MEASUREMENT

The questions for the measurement of the variables were adopted from past researches.

3.5.3. QUESTIONNAIRE ADMINISTRATION

Self-administered questionnaires were carried out. 150 questionnaires were distributed among the

statistical population. The first part of the questionnaire asked questions on the respondents‟

characteristics. The second questionnaire includes 4 questions and evaluates the disposition of the

respondent to the instruments of internet and access to the internet. The third questionnaire

includes 4 questions and evaluates the respondent of the awareness of internet advertisements.

The fourth part of the questions includes 20 questions, spitted into 4, five questions that evaluates

consumer‟s perception each on Search Engine Advertisement, Social Media marketing, Video

Marketing and Email marketing. Lastly, the fifth part of the question have 1 question and

evaluates the general perception of the respondent on the focused four media of internet

advertising.
33

3.5. RELIABILITY AND VALIDITY OF THE RESEARCH INSTRUMENT

The study tests the validity and reliability of the research instrument to ensure instrument measure

what it should measure and established the consistency or dependability of a measurement

technique.

3.5.1. Reliability of Instrument

The internal consistency of the instruments was determined using split-half method. Split-half

reliability is another form of internal consistency reliability. A basic assumption of split-half

reliability is that the two halves of the test should yield similar true scores and error variances.

This comes from another assumption that the test items are focused on the construct.

3.5.2 Validity of Instrument

To ensure that the instrument is valid, three experts, an educationist, a curriculum expert, a

test and measurement expert made their inputs. They judge its adequacy in terms of learning

experience (content) and intellectual process (learning objectives) as well as the appropriateness

of its format.

3.6 INSTRUMENT FOR DATA ANALYSIS

Data collected from the research work will be analyzed using proper statistical tools such as

frequency tables, statistical tools. Hypotheses will be tested using Chi-square and t-test.

Questionnaire will be collected manually from the respondents. All the test tools will be applied

using Statistical Packages for Social Science (SPSS) window software analysis.

Decision Rule

Respondent questionnaire who submit to no knowledge of the internet of the internet will be

disregarded.
34

Items whose mean is equal or above 2.5 point will be accepted, while any item whose mean is

below 2.5 will be rejected.


35

CHAPTER FOUR
DATA INTERPRETATION AND ANALYSIS
To satisfactorily deconstruct and interpret the facts collected, various statistical methods were

used with the aim of arriving at a valid conclusion. Descriptive simple percentage table was used.

4.1 DATA INTERPRETATION

The response rate and background information of the respondents were considered to be very

useful in understanding the logic of the responses given by the respondents in the questionnaire

and descriptive statistics.

4.1.1 Response Rate

Four hundred copies of questionnaires were distributed to the respondents. Out of this, ten copies

were not returned. This gives a 97.58% response rate.

4.1.2 Respondents Profile

Table 4.1: Respondents Attributes


AGE Frequency Percentage (%)
< 20 years 90 23
20-30 years 126 32
30 > years 174 45
Gender Frequency Percentage (%)
<Male 181 45
Female 211 55
OCCUPATION
Student 129 32
Self employed 199 50
Employee 18 5
Others 53 13
Source: Field Survey; August 2023.

Table 4.1, shows that, out of 390 respondents 90(23%) are less than 20 years in age, 126 (32%)

are between 20-30 years, 175(45%) above 30 years. This implies that, more of respondents are

youths (about 55%).


36

As 181(45%) of the respondents are male while 211(55%) are female, we see that we had more

females compared to male.

129(32%) of the respondents are students of various degrees, 199 (50%) self employed, 18 (5%)

employees and 129 other occupations occupy 13%. This shows that majority of the respondents

are self employed.

4.2 DATA ANALYSIS

Research Question 1:
To what extent have consumers been interested in internet advertising over the years?

Table 4.2: Internet Advertising and Consumers’ interests.


S/N Statement SA A D SD UD
X
5 4 2 1 3
1 People have fair access to a computer or a smart phone. 350 20 9 7 4 4.79

2 People have fair access to internet. 148 121 98 19 4 3.72

3 People are aware of online advertisements and know 99 42 89 121 39 2.76


what it means.
4 People check online ads while browsing the internet. 60 76 95 111 48 2.67

5 People frequently make purchases online. 101 85 95 89 20 3.04

Source: Field survey, 2023.

Table 4.2, shows the responses to items that sought the impact of internet advertising on customer

interests. It may reveal that most the respondents agreed to the fact that the internet market is an

interesting marketplace. The highest mean score of 4.79 and the least of 2.67. This is a clear

enough to show that people are aware of the internet market, but more needs to be done to expand

awareness if need be.

Research Question 2:
To what extent have internet advertizing affected consumers purchase decisions.
37

Table 4.3: Internet Advertising and consumers’ purchase decision.


S/N Statement SA A D SD UD
X
5 4 2 1 3
1 Internet advertisements are more informative 287 69 2 13 19 4.58

2 Most people feel better after buying internet advertized


65 77 119 116 13 2.63
products.
3 People will make purchases because the product is 88 44 100 76 82 2.92
advertised online compared to physical ads.
4 People make purchases after seeing an online 20 32 178 154 6 1.94
advertisement.
5 Online products make shopping easier. 132 90 43 38 87 3.603

Source: Field survey, 2023

Table 4.3 above show responses to items that sought the impact of internet advertising on

consumer‟s purchase decisions. Even though is clear that internet advertisement is informative,

scoring a point of 4.58, it is also giving that making purchases online is somewhat below average.

Further analysis may give us a better conclusion to the result.

Research Question 3:
To what extents have fraudulent activities affected the internet market?

Table 4.4: Internet Fraudulent activities and consumer purchase decisions.


S/N Statement SA A D SD UD
X
5 4 2 1 3
1 The internet market is infiltrated with fraudulent 321 68 1 0 0 4.82
activities.
2 Internet fraud poses significant financial consequences 384 5 0 0 1 4.98
for people.
3 The prevalence of internet fraud has eroded trust among 381 8 1 0 0 4.97
consumers against marketers.
4 The socioeconomic implications of internet fraud in 372 10 1 1 6 4.93
Nigeria are profound.
5 The prevalence of internet fraud in Nigeria has strained 363 14 12 1 0 4.86
diplomatic relation with other countries.
6 The prevalence of internet fraud has prevented people 154 178 32 20 6 4.06
from making purchases online
Source: Field survey, 2023
38

The above table (4.4) shows the relationship between internet fraud related activities and

consumer purchase decisions. From the results, it is clear that internet fraud have strong negative

effects on how people decide to make purchases via the internet.

Research Question 4: To what extent have solutions been provided for the plagues of fraud

befalling the Nigeria‟s internet market?

Table 4.5: Internet Advertising, and Governmental Solutions to fraudulent Activities.


S/N Statement SA A D SD UD
X
5 4 2 1 3
1 The Government has good enough laws against cyber 116 76 136 41 21 3.23
crimes.
2 The crime fighters are successfully suppressing cyber 0 0 1 388 1 1.01
criminals
3 Cyber crime is on the decrease in Nigeria. 0 8 220 161 1 1.63

4 The internet market has little a financial threat to 21 19 186 125 39 2.04
customers.
Source: Field survey, 2023

Table 4.5, shows responses to items that sought the relation between Internet Advertising, and

Governmental Solutions to fraudulent Activities. From the result, it may appear as though there are good

laws and government policies against cyber crimes, but other factors responsible to cob the criminal may

need to improve on the affectivity.

Research Question 5: Is there a relationship between improving the internet market and

development of Nigeria?
39

Table 4.6: Internet Advertising and Nigeria’s Development


S/N Statement SA A D SD UD
X
5 4 2 1 3
1 Improved internet market improves market efficiency 99 191 44 3 53 3.87
through online transactions and communication.
2 The internet market provides platforms for innovation 76 268 23 3 20 4.00
and global competition
3 The internet market makes it efficient and transparent for 28 76 139 38 109 2.79
the government to retrieve taxes electronically.
4 The internet market improves social connectivity, and 74 301 4 2 9 4.13
facilitates cultural exchange.
5 The internet market has improved healthcare services in 90 100 197 1 2 3.208
Nigeria (patience can consult doctors remotely)

The table 4.6 above sought to seek how improved internet market would affect the development

of a Nigeria as whole, and from the results, we may likely conclude that improved internet market

will improve the country in areas of innovations, relationships, health, quality education, e-

commerce.

4.3 TEST OFHYPOTHESES

We shall use the between groups t-test because the dependant variable (consumer purchase

decision) in this research is continuous. The males and the females from our survey results are

going to be compared. These two groups are non-experimental. The null hypothesis (H0) shall be

used.

The results of the findings base on the research hypotheses are shown below;
40

Research Hypotheses One

Internet Advertising does not have impact on consumers’ interests

Table 4.7. The t-test of the significant impact of internet advertisement on consumers’
interests.
Internet Advertising N Mean Sd Df t-cal t-crit

Males 181 15.9 11.2 230 4.0 1.99

Females 221 16.4 18.9


p> 0.05

where Sd= standard deviation, Df = Degree of Freedom.

The t-calculated value is 4.00 and the t-critical value is 1.99 as shown in table 4.7 above. Since

the calculated t-value of 4.00 is greater than the critical value of 1.99 (t-cal>t- crit) at alpha value

α=0.05 level of significance, then the decision is to reject the H0 (null hypotheses). This means

consumer have significant interest in internet advertisements.

Research Hypotheses Two

Internet Advertising does not have impact on consumers’ purchase decision.

Table 4.8. The t-test of the significant impact of internet advertisement on consumers’
purchase decision
Internet Advertising N Mean Sd Df t-cal t-crit

Males 181 14.8 11.2 230 4.0 1.99

Females 221 15.6 18.9


p> 0.05

The t-calculated value is 4.00 and the t-critical value is 1.99 as shown in table 4.7 above. Since

the calculated t-value of 4.00 is greater than the critical value of 1.99 (t-cal>t- crit) at alpha value

α=0.05 level of significance, then the decision is to reject the H0 (null hypotheses). This means

that internet advertisements have significant impact on consumer purchase decisions.


41

Research Hypotheses three

Internet Fraud does not have impact on the internet market .

Table 4.9.
The t-test of the significant impact of internet fraud on the internet market.
Internet Advertising N Mean Sd Df t-cal t-crit

Males 181 29.1 11.2 230 4.0 1.99

Females 221 23.7 18.9


p> 0.05

The t-calculated value is 4.00 and the t-critical value is 1.99 as shown in table 4.7 above. Since the

calculated t-value of 4.00 is greater than the critical value of 1.99 (t-cal>t- crit) at alpha value

α=0.05 level of significance, then the decision is to reject the H0 (null hypotheses).

This means that internet fraud have significant impact on internet market.

Research Hypotheses four

The government does proffer solutions to the problems affecting the internet market.

Table 4.10. The t-test of the significant impact of the government on the problems of the
internet market.
Internet Advertising N Mean Sd Df t-cal t-crit

Males 181 9.7 11.2 230 1.89 1.99

Females 221 12.1 18.9


p> 0.05

The t-calculated value is 1.89 and the t-critical value is 1.99 as shown in table 4.9 above. Since the

calculated t-value of is less than the critical value of 1.99 (t-cal<t- crit) at alpha value α=0.05 level

of significance, then the decision is to accept the H0 (null hypotheses).


42

This means that the government does not have significant solution to the problems befalling the

internet market.

Research Hypotheses five

There is no relationship between the internet market and Nigeria’s development.

Table 4.11. The t-test of the relationship between internet market and the development of
Nigeria.
Internet Advertising N Mean Sd Df t-cal t-crit

Males 181 16.7 11.2 230 3.98 1.99

Females 221 18.0 18.9


p> 0.05

The t-calculated value is 3.98 and the t-critical value is 1.99 as shown in table 4.9 above. Since the

calculated t-value of is greater than the critical value (t-cal<t- crit) at alpha value α=0.05 level of

significance, then the decision is to reject the H0 (null hypotheses).

This means that the internet market have significant relationship with the development of Nigeria.

4.4 DISCUSSION OF FINDINGS

From the result of the analyses in the tables 4.7, 4.8, 4.9 and 4.11, the hypotheses tested are

rejected, and the result from table 4.10 was accepted. As such, this indicates that;

23% are in age less than 20 years, 32% are between 20-30 years, 45% are above 30 years. This

implies that, more of respondents are quite young (55%). 45% of the respondents are male while

55%) are female. This shows that majority of the respondents are female. 32% of the respondents

are students, 50% are self-employed, 5% are employees and 13% of the respondents occupation

are unknown. This shows that majority of the respondents are self employed.
43

The internet market is an interesting marketplace. For internet marketers, the theoretical

framework of internet marketing includes all the strategies on how to best reach this online

audience. This might include email marketing, direct message marketing to reach people on their

mobile devices, video streams, and social media announcements. Another example of digital

marketing theories includes customer-led positioning theory Slater and Narver (1998). This holds

that the customer is the one showing the marketers what they want in the product or service. The

customer can offer insights to the product team by gathering data about prices, product features,

product function and more.

Another theory about online business revolves around people's use of their mobile phones. Smart

Insights points out that over half of all internet traffic is now conducted via our mobile devices.

Using a few finger swipes and a click or two, consumers can buy and sell goods and services,

check bank balances, purchase stocks, buy a car and many other things that were unthinkable 25

years ago. This is why so many new companies and existing merchants have set up online stores

to allow customers to show 24 hours a day, seven days a week, and 365 days a year. Digital

marketers are trying to get people's attention while on their phones, in order to convince them to

buy various goods and services. In essence, it's the always-on economy, for those who use their

mobile phones in this way.

Anyone with a mobile phone, an internet connection and a credit card can buy just about anything

they want, whenever they want.


44

Internet advertisements have significant impact on consumer purchase decisions. Danaher and

Mullarkey (2003), in their study, have mentioned that web advertisement has a large impact on

consumers. It helps them to recognize the product and recall their memory about the product.

Moshrefjavadi et al. (2012) under their study, researchers close different factors that were

affecting consumer buying behaviour. Under this study, they identified that there are financial and

non-delivery risks that negatively affect the attitudes of consumers towards online shopping. But

simultaneously it also affected some consumers positively. One of the factors was an online

advertisement that was influencing the consumer buying decision. The online advertisement also

helped to gain the trust of the consumers.

Mir 2012 reveals that there is a favourable attitude of consumers toward social media

advertising. It drastically influences the consumers to click on the ads that show their positive

attitude towards online advertisements. In another paper “Factors affecting Consumer attitude

user-generated product content on YouTube” (Anwar and Reham 2013), the conclusion showed

that YouTube content related to products has a significant effect on consumer attitudes and it

helps in changing the perception of consumers. It also has significant implications for social

media advertisers.

Internet fraud has significant impact on internet market.

During the eight-year duration from 2008 to 2014, the overall volume of the trade rose from

$268billion to $ 1.5 trillion. The study carried out the quantitative approach in a questionnaire

distribution across a given number of data collection respondents and has shown that financial

crime and its success contribute directly. The findings indicated that the greater the fraud, the
45

poorer the bank's performance, the more the online fraud appears to impact the financial

performance of banks adversely.

Online manipulation is the biggest field that has been opened up. Online fraud has been more

widespread as technical innovation coupled with internet penetration and resulting improvements

have arisen. (Luigi Pio Leonardo Cavaliere – July, 2021). The seriousness of online fraud renders

the remedy and avoidance of fraud a huge worldwide problem.

For them, the vocabulary is wide and ever-expanding: from words like „streets‟ to „clients‟ to

„updates‟ to „cashout‟ and so on, the language, inspired by some of Nigeria`s most contrarian but

popular musicians is a tool, and also a driver. Many of Nigeria‟s fraudulently rich also count

among their models.

The saying that the devil makes work for idle hands is proving terrifyingly true in Nigeria as a

sprawling army of internet fraudsters dreaming of the dreamy exploits of the likes of Hushpuppi,

and a bevvy of others is crashing into Nigeria`s cyberspace. (The Guardian – Novermber, 2021)

The government does not have significant solution to the problems befalling the internet market.

One of the main justifications for government intervention in the market is to correct market

failures. The major problem may not be the government itself nor its policies but the agencies that

work for the government that are meant to cob cyber crime, but instead area themselves involved

in the criminal acts, making it easier for the actual cyber criminal to gain access and continuous

success in their criminal activities.


46

The internet market has significant relationship with the development of Nigeria. The internet

market can have a significant impact on the development of a country.

Here are a few ways in which it can affect development;

1. Economic Growth: The internet market provides opportunities for businesses to expand their

customer base, reach new markets, and improve efficiency through online transactions and

communication. This can contribute to economic growth by creating new jobs, attracting

investments, and increasing productivity.

2. Access to Information and Education: The internet allows easy access to a vast amount of

information and educational resources, enabling individuals to acquire knowledge and skills that

can contribute to personal and professional development. It can bridge the digital divide and

provide equal opportunities for education and learning, especially in rural or remote areas.

3. Innovation and Entrepreneurship: The internet market provides a platform for innovation and

entrepreneurship. It enables startups and small businesses to compete on a global scale, fosters

creativity, and encourages the development of new products and services. This can lead to

technological advancements, increased competition, and overall economic development.

4. E-Government and Public Services: The internet market facilitates e-government initiatives,

allowing governments to provide online services, such as electronic tax filing, online registration

systems, and digital public service delivery. This can lead to more efficient and transparent

governance, improved public service delivery, and increased citizen engagement.


47

5. Social Connectivity and Communication: The internet market connects people from different

parts of the world, fostering social connectivity and communication. It enables individuals to stay

connected with family and friends, facilitates cultural exchange, and enhances social interactions.

This can contribute to social cohesion and cultural understanding.

It's important to note that the development and impact of the internet market can vary across

countries due to factors such as infrastructure, government policies, and digital literacy.

The internet market has had a significant impact on the development of Nigeria. It has played a

crucial role in various sectors such as education, e-commerce, healthcare, and communication.

In terms of education, the internet has provided access to online courses, research materials, and

educational platforms that have helped improve the quality of education in Nigeria. It has also

allowed for distance learning programs, making education more accessible to people in remote

areas.

In the business sector, the internet has opened up opportunities for e-commerce, allowing

businesses to reach a wider customer base both within Nigeria and internationally. It has also

facilitated the growth of small and medium enterprises, providing them with a platform to

showcase their products and services, and grow their businesses.

Moreover, the internet market has improved healthcare services in Nigeria. It has enabled
48

telemedicine, where patients can consult with doctors remotely, reducing the need for physical

visits. Additionally, the internet has made it easier to access health-related information and

resources.

Furthermore, the internet has enhanced communication and connectivity in Nigeria. It has

provided platforms for social interaction, allowing people to connect with friends, family, and

colleagues. This has contributed to social cohesion and cultural understanding.

However, it's important to note that the development of the internet market in Nigeria is not

uniform across the country. Factors such as infrastructure, government policies, and digital

literacy can affect access to the internet and its benefits. Efforts are being made to bridge the

digital divide and ensure that internet access is available to all Nigerians, regardless of location or

socioeconomic status.
49

CHAPTER FIVE
SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS

This chapter presents the summary of the findings of the study, conclusions made based on the

summary and appropriate recommendations and educational implications were equally suggested.

Limitations to the study and suggestions for future research were brought to the fore.

5.1 SUMMARY OF FINDINGS

The study investigated Relationship Effects Of Internet Advertising On Consumers Purchase

Decision In Jos North Local Government Area – Plateau State, Nigeria. From the analysis so far,

the following summary of findings were made. More of respondents are young under the age of

30, female, single and OND/NCE holders.

Concerning the interest of consumers on internet market, it revealed that the consumers are

somewhat significantly intrigued by the system of internet market. In spite this, efforts may have

to be made to improve the internet market and therefore increase consumer interests

Concerning the effect of internet advertising on consumer purchase decision, it revealed that

internet advertisements have significant impact on consumer purchase decisions, and that online

advertisement may also help to gain the trust of the consumers.

The findings further indicated that the greater the fraud in the internet market, the poorer the

performance, the more the online fraud appears to impact the financial performance of advertisers

and consumers adversely.


50

The research further revealed that the government may need to look into the activities of the

agencies assigned to look into cyber crime and call them to not be the criminal themselves, and

finally, the internet market will directly proportionally affect the development of the country.

5.2 CONCLUSION

Based on the findings, the researcher concluded that consumers demand is encouraged

through internet advertising when advertisers make proper ads and the both the government and

the advertisers are as well concerned about proper security of the internet market. Also, the

internet market is a huge, good and a reliable tool for the development of the country, and even

beyond.

5.3 RECOMMENDATIONS

These recommendations are based on the summary of the findings and conclusions

reached thereafter. The recommendations are:

i. More study should be made concerning the result gotten from the analysis of how people

react after seeing and online advertisement.

ii. Advertisers should make gaining trust of consumers over the internet market a topmost

priority. The can achieve this by continuously educating their customers and potential

customers about how to recognize original products and payment channels, and also

debunk fliers that frauds tars use. This means they have to continuously get information.

about how and what these fraud stars do, and then expose their strategies to consumers

iii. The government and crime fighter should be deliberate in catching and penalizing

criminals. This will not only server as deterrent to potential criminals, but will boost the

confidence of bother consumers and marketers.


51

5.4 LIMITATIONS TO THE STUDY

The researcher encountered some constraint in the course of the study.

First it was the finance. Money had to be put into printing, transportation to locations distribution

and retrieval of some questionnaires. Financing these was not easy, especially because of my low

financial capacity.

Finally, there was no previous research work available locally (within Nigeria). Most of

the related works were carried out by foreigners, and there since majority reviews came from

foreign research, one had to very careful to pick philosophies that may likely relate to the

populace of Nigeria.

5.5 CONTRIBUTION TO KNOWLEDGE

The research work will add more knowledge to the marketing managers, human resources and

other managers and supervisors in various organizations. They may get to know techniques to be

used in order to attract customer. Students and future researchers who are opportune to lay hands

on this research work may understand in full strategies to be used to get to potential buyers.

5.6 SUGGESTIONS FOR FURTHER RESEARCH STUDIES

This research work has been an interesting journey, and I must confess that I have learnt a lot

from it. This work has great potentials if dogged dipper. A further research will guarantee that the

researcher will encounter interesting facts and findings. With regards to this, I suggest that

subsequent researchers on this topic may pay closer attention to the aspects of limitations of

internet advertisement. Part of the questionnaires was distributed online. Even though it may have

been seen as a limitation because a fair distribution of questionnaires online may have not been

accounted for, I suggest that the researcher put this into consideration.
52

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APPENDIX

APPENDIX ‘A’

Faculty of Management Science


Department of Marketing,
University of Jos, Nigeria

15th August,2023.

Dear Respondent,

REQUEST FOR INFORMATION

I am a final year student of the above institution, researching on “The Effect of Internet

Advertising on Consumer Purchase Decision”. This is a partial fulfillment of the requirement for

the award of Degree in Marketing.

I humbly write to request for your assistance by answering the attached questionnaires.

Please be assured that any information provided will be treated confidentially.

Thank you for the anticipated cooperation.

Yours faithfully,

Andrew Faith.
56

APPENDIX ‘B’

QUESTIONNAIRE
EFFECTIVENESS OF INTERNET ADVERTISING
USER NAME □
Gender: Male. ☼ Female. ☼
Age Group: Below 20 ☼ 20 – 30 ☼ Above 30 ☼
Occupation: Student ☐ Self employed ☐ Employee ☐ Others ☐

Internet Advertising and Consumers’ interests


People have fair access to a computer or a smart phone.
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼
People have fair access to internet.
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼
People are aware of online advertisements and know what it means.
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼
People check online ads while browsing the internet.
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼
People frequently make purchases online.
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼

Internet Advertising and consumers’ purchase decision


Internet advertisements are more informative;
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼
Most people feel better after buying internet advertized products;
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼
People will make purchases because the product is advertised online compared to physical ads;
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼
People make purchases after seeing an online advertisement;
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼
Online products make shopping easier;
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼

Internet Fraudulent activities and consumer purchase decisions

The internet market is infiltrated with fraudulent activities;


57

Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼


Internet fraud poses significant financial consequences for people;
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼

The prevalence of internet fraud has eroded trust among consumers against marketers;
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼
The socioeconomic implications of internet fraud in Nigeria are profound.;
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼
The prevalence of internet fraud in Nigeria has strained diplomatic relation with other countries;
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼
The prevalence of internet fraud has prevented people from making purchases online;
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼

Internet Advertising, and Governmental Solutions to fraudulent Activities


The Government has good enough laws against cyber crimes;
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼

The crime fighters are successfully suppressing cyber criminals;


Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼
Cyber crime is on the decrease in Nigeria;
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼
The internet market has little a financial threat to customers;
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼

Internet Advertising and Nigeria’s Development


Improved internet market improves market efficiency through online transactions and communication;
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼
The internet market provides platforms for innovation and global competition;
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼
The internet market makes it efficient and transparent for the government to retrieve taxes electronically;
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼
The internet market improves social connectivity, and facilitates cultural exchange;
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼
The internet market has improved healthcare services in Nigeria (patience can consult doctors remotely)
Strongly Disagree ☼ Disagree ☼ Undecided ☼ Agree ☼ Strongly Agree ☼

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