Perception towards Internet Advertising: A Study with Reference to Delhi, Mumbai and Kolkata
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Résumé
AbstractOne of the most significant developments to affect advertising worldwide in 21st century has been the development of internet as a medium of mass communication. As a communication tool, internet is emerging as a new challenge to mass media advertising. As a result of this, many advertising companies are modifying their traditional techniques to cater to a wider range of public. Internet has enormous potential as an advertising medium because internet offers many advantages over traditional media. The potential of internet advertising is vast as the audience of it is genuinely global. Previous studies have shown certain types of internet advertising are very effective.Keywords: Internet Advertising, Purchase, Metro Cities.IntroductionInternet advertising is a very fast moving area. The techniques and formats used to advertise are changing constantly as advertisers try to adapt to this medium. Projections for the financial growth of Internet advertising are going up year by year.U.S. Internet advertising revenues hit $6.4 billion in the third quarter of 2010, internet advertising revenues in the U.S. hit $7.88 billion for the third quarter of 2011, representing a 22 percent increase over the same period in 2010. In the first half of 2012, internet advertising revenues climbed to an all-time high of $17 billion, representing a 14 percent increase year-over-year. At $9.6 billion, first quarter of 2013 digital advertising revenues in the U.S. hit landmark numbers, according to a survey conducted by the Interactive Advertising Bureau IAB, 2013. The figure is a 15.6 percent increase over the $8.3 billion figure reported in the first quarter 2012. This huge spending figure illustrates that marketers recognize that internet advertising has become one of the leading Medias for marketers to promote their products.Indian internet advertising market is expected to reach 2,938 crore by March 2014 as per latest report released by Internet and Mobile Association of India and IMRB International. Group M (2012) report states that the internet advertising market, comprising of search, display, mobile, social media, email and video advertising, has grown by 29 percent year over year to 2,260 crore by March, 2013. It was valued at INR 1,750 crore in financial year 2011-12. Share of digital marketing spend of the total Indian advertising spend was 7% in 2012. The number of Internet users in India is expected to nearly triple from 125 million in 2011 to 330 million by 2016, says a report by Boston Consulting Group (BCG). This rise in Internet penetration will lead an increase in digital influence on people's purchase decisions.Review of LiteratureWhile advertisers were generally keen to use the Web to communicate product information, they were concerned about security/privacy and uncertain how to measure the effectiveness of Internet advertising. Website managers perceived the Web to be a cost effective means of advertising, well-suited for conveying information, precipitating action and creating brand/product image, awareness and objectives. However, it was seen as ineffective for stimulating emotions or getting attention. If we turn to users' perceptions, Ducoffe7 studied the attitudes of 318 business users to Web advertising and reported that it was perceived as more informative than valuable or entertaining. Respondents were asked to rank seven media in terms of their value as a source of advertising.Schlosser et al19 found wide variation among Internet users' attitudes towards Internet advertising. Equal numbers of respondents liked, disliked and felt neutral towards it. Enjoyment of looking at web advertisements contributed more than the informativeness or utility of the ad towards consumer attitudes towards web advertising. This finding was mirrored by the responses of a demographically weighted-to-match sample who answered questions on advertising in general, showing that the reported perceptions of Internet advertising were not just a reflection of the demographics of Internet users. …
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