The Impact of Marketing on Consumer Attitude and Purchase Intention in Saudi Arabia
In Saudi Arabia, marketing has a significant impact on consumer attitude towards the brand and purchase intention. The brand awareness and preference are high in Saudi Arabia due to the intense level of marketing and advertising. There are different elements of marketing mix such as product, price, promotion, place etc. which play an important role in purchase decision making process of consumers (Kotler & Keller, 2009). Marketing mix helps the marketers to develop an effective marketing strategy by which they can target the potential consumers and persuade them to buy their products or services (Baker, 2008). It is important to understand the consumer behavior in Saudi Arabia so that organizations can develop an effective marketing strategy. The purchasing power of consumers is increasing rapidly in Saudi Arabia due to the development of economy and change in lifestyle (Mozaffar, 2011). The aim of this research is to investigate the impact of marketing on consumer attitude towards the brand and purchase intention in Saudi Arabia. In order to achieve this aim, this research will be structured into five main chapters. Chapter one will provide an introduction about marketing and its importance. Chapter two will review the relevant literature related to this study. Chapter three will present the theoretical framework. Chapter four will describe the research methodology used in this study. Finally, chapter five will present the findings and analysis followed by conclusion and recommendations in chapter six.
The concept of marketing has been evolving since its inception and organizations are using different marketing strategies to target the potential customers (Kotler & Keller, 2009). Marketing is defined as “the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large” (American Marketing Association 2011). Kotler & Keller (2009) describes that organizations use different channels such as mass media, internet etc. to promote their products or services among target customers with an aim to influence their purchasing decision. There are different elements of marketing mix such as product, price, promotion etc. which play an important role in influencing consumer behavior (Baker, 2008). Product refers to the physical goods or services offered by an organization to its customers (Kotler & Keller, 2009). Price is defined as “the amount of money charged for a product or service” or “the sacrifice consumers make to obtain a product or service” (Kotler & Keller 2009; Kotler et al. 2002). Place means distribution channels through which organizations make their products available to their target consumers (Kotler & Keller 2009). Promotion is defined as “the total communications mix used by an organization” which include advertising, public relations etc. (Kotler & Keller 2009; Kotler et al., 2002).
In order to understand consumer behavior it is important for organizations to segment the market so that they can develop an effective marketing strategy (Baker 2008; Kotler & Keller 2009). Perreault et al., (2013) defines market segmentation as “the process of dividing a heterogeneous market into relatively homogeneous submarkets or segments”. Marketers use different criteria for market segmentation such as geographical criteria, demographic criteria etc. For example geographic criteria includes region, city size etc. while demographic criteria includes age group gender etc. (Perreault et al., 2013). Organizations segment the market on the basis of consumer needs so that they can develop an effective marketing mix and targeting strategy (Baker, 2008). Kotler & Keller (2009) states that targeting is the process of evaluating each market segment’s attractiveness and selecting one or more segments to enter. There are three main types of targeting strategies which are undifferentiated targeting, differentiated targeting and concentrated targeting. In undifferentiated targeting strategy, organizations develop a single marketing mix for the entire market (Kotler & Keller, 2009). Differentiated targeting strategy is used when organizations develop separate marketing mix for each market segment (Kotler & Keller, 2009). Concentrated targeting strategy is used when organization select one or few market segments and develop an effective marketing mix to target those segments (Kotler & Keller, 2009).
The concept of brand has been evolving since many years and it is defined as “a name, term, design, symbol, or other feature that distinguishes an organization or product from its rivals in the eyes of the customer” (Kotler & Keller, 2009; Kotler et al., 2002). Brand equity is defined as “the differential effect that knowing the brand name has on customer response to the marketing of that brand” (Aaker 1991). Brand equity is very important for organizations in order to remain competitive in the market and sustain in the long run (Keller, 1993). There are different elements of brand equity which include brand awareness, brand loyalty etc. Brand awareness is defined as “consumers’ ability to recognize or recall the brand under different conditions” (Keller, 1993). Brand loyalty is defined as “repeated purchases of a particular product or service over time despite situational influences and marketing efforts having the potential to cause switching behavior” (Oliver 1997). Aaker (1991) describes four dimensions of brand personality which include sincerity, excitement, competence and sophistication. Sincerity includes traits such as down-to-earth, honest and wholesome. Excitement includes traits such as daring, spirited and imaginative. Competence includes traits such as reliable, intelligent and successful. Sophistication includes traits such as upper class and charming.
There are different theories which explain the consumer behavior such as cognitive dissonance theory, theories of planned behavior etc. Cognitive dissonance theory was developed by Festinger in 1957 and it states that people have a tendency to seek consistency between their beliefs and their behaviors (Festinger 1957; Perry & Hammack 2007). This theory is based on the assumption that people are rational and they make decision on the basis of logic (Perry & Hammack 2007). Theory of planned behavior was developed by Ajzen in 1985 which states that human beings are rational decision makers who take into consideration all available information before making a decision (Ajzen 1985; Perry & Hammack 2007). This theory is based on three constructs which are attitude towards behavior, subjective norms and perceived behavioral control (Ajzen 1985; Perry & Hammack 2007). Attitude towards behavior refers to individual’s evaluation about performing a particular behavior (Ajzen 1985; Perry & Hammack 2007). Subjective norm refers to individual’s perception about what other people think about him performing a particular behavior (Ajzen 1985; Perry & Hammack 2007). Perceived behavioral control refers to individual’s perception about how easy or difficult it is to perform a particular behavior (Ajzen 1985; Perry & Hammack 2007).
The theoretical framework for this study is based on the concepts of marketing, consumer behavior and brand equity. Marketing has a significant impact on consumer attitude and purchase intention. In order to understand consumer behavior, it is important for organizations to segment the market and target the potential consumers. Brand equity is very important for organizations in order to create a competitive advantage in the market.
This research will be conducted using both secondary and primary data sources. Secondary data sources include books, journals, articles etc. while primary data sources include interviews and surveys. The secondary data will be used to develop a better understanding about the topic while the primary data will be used to test the hypotheses developed for this study. A questionnaire will be designed to collect the primary data from the respondents. The sample size for this study will be 100 and the respondents will be selected from different cities of Saudi Arabia such as Jeddah, Riyadh etc. SPSS software will be used to analyze the data collected from the respondents.
Findings and Analysis:
The findings and analysis will be presented in this chapter.
Conclusion and Recommendations:
The conclusion and recommendations will be presented in this chapter.