IMPACT OF ONLINE ADVERTISING FOR FAST FOOD RESTAURANT AS PERCEIVED BY MILLENNIALS: A BASIS FOR AN EFFECTVE
A THESIS PROPOSAL
Presented to the
Faculty of the College of Business Administration
In partial fulfillment of the requirements for the degree
BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION
MAJOR IN MARKETING MANAGEMENT
Rivera, Homer Fred M.
Pletado, Dave Torres
Montealto, Jhon Daryl
Delizo, Gerloth N.
First of all, we would like to thank God Almighty for his never ending grace and blessings. To our parents, for their financial support and giving us inspiration and encouragement in bringing out the best in us in preparing and finishing this Thesis. We are also thankful for our friends moral support. Also, we want to express our deepest gratitude to our adviser Dr. Daisy H. Estrada, CSE for her guidance and patience all through out to complete our study.
We would also want to thank our Panelist who shared their insight, feedback, knowledge and help us improved our study.
These are the people who extended their support to make this study possible and successful. Thank you everyone and God bless us all!
TABLE OF CONTENTS
Title page …………………………………………………………….. I
Dedication ……………………………………………………………. II
Acknowledgement ……………………………………………………………. III
Table of Content
I – THE PROBLEM AND ITS BACKGROUND SETTING ………………… 1
Statement of the Problem………………………………………………… 3
Hypothesis…………….…………………………………………………… 4Significance of the Study………………………………………………… 5
Scope and Delimitations………………………………………………… 6
II – REVIEEW OF RELATED LITERATURE AND STUDIES……….. 7
Review of Related Literature……………………………………….. 7
Conceptual Framework………………………………………………. 32
Output Data………………………………………………………………. 35
III – METHODOLOGY………………………………………………………. 37
Research Design………………………………………………………. 37
Research Locale………………………………………………………. 36
Respondent of the Study, Population and Sample Size………………. 38
Sampling Techniques………………………………………………. 38
Data Gathering Procedures……………………………………………….. 39
Statistical Treatment of Data………………………………………. 40
IV – BIBLIOGRAPHY
Journals and Articles………………………………………………. 44
THE PROBLEM AND ITS BACKGROUND SETTING
The fast-food industry is one of the fastest growing industries in the Philippines, with the country’s vastly improving economy; the demand for food products is constantly expanding which leads to the increase in the purchasing capabilities of individuals. This affects the purchasing behavior of customers as they demand for convenience, value for money, and wide assortment of products available. A large portion of the market of fast food restaurants are millennials, individuals classified as such are known to seek modern approach to typical activities. Moreover, millennials favor products and services that are more convenient due to their fast paced lifestyles.
Online advertising is a marketing medium which utilized the internet in order to deliver the marketing message of a company to its target market. Online advertising is being adapted by numerous businesses in different industries due to its reach and effectivity. In this study, the researchers will identify the relations between fast food restaurants, online marketing, and the millennials. Fast food restaurants are starting to utilize online advertisements in order to capture the market of millennials.
The researchers will discuss in this study the effectivity of fast food restaurants utilizing online advertisements as a marketing strategy in order to capture the millennial market. Furthermore, the researchers will identify the issues and concerns encountered by 2362205410202
millennials with the current online advertisements. With this, an effective marketing strategy for the online advertisement of fast food restaurants will be formulized.
Statement of the Problem
The researchers seek to determine the impact of Online Advertising to the millennials, this study sought to answer the following:
1. What type of online advertising is used by fast food restaurant?
Reminder advertising, and
2. How does online advertising of fast food restaurants impact the perception of the millennials in terms of:Awareness,
3. Is there a significant difference on the impact of online advertising of fast food restaurant towards millennials in terms of the variables presented on SOP1 and SOP2?
4. What are the issues and concerns encountered by millennials with the present online advertisements of fast food restaurants?
5. What online marketing program for fast food restaurants may be formulated based on the result of the study?
Ho: There is no significant difference on the impact of online advertisement of fast food restaurant towards millennials in terms of the variable on sop 1 and sop 2.
Significance of the Study
The study can be a learning paradigm that could be valuable and beneficial to the following groups:
Fast food restaurant companies. The fast food is one of the most rapidly growing industries in the global market, this is especially relevant in the Philippine setting where individuals are always on the go and have restricted time schedules. Another reason for this is the amount of convenience that fast food restaurants receive due to the shorter service time. Additionally, people eat fast food because it is significantly cheaper compared to other alternatives. These characteristics of fast food restaurants are compatible with the traits of millennials. The main focus of this study is to identify the impact of different online advertisement of fast food chain restaurants to the millennial.
Millennials. The millennials now a days, are one of the main contributor in the rapidly growing sector of the fast food chain restaurant industries, especially in the Philippine settings where millennials can be easily perceive by digital marketing through the use of online advertisements in different social media platforms.
Students: This study can serve as a reference and guide for all the students who are seeking for reference regarding the topic of online advertising of fast food restaurants.
The data that will be gathered from this study will be useful in terms of having idea and knowledge on how fast food restaurants can be competitive in the market. The findings and conclusions in this study would help fast food chains in formulating their online advertisement. Additionally, this study will aid businesses in further understanding the behaviors of the millennial market.
Scope and Delimitation
The study will focus on the effectiveness of online advertising as a marketing strategy of different fast food chains to millennials. The study limits its analysis among students and employees that are identified as millennials. The focal point of the study will be on the effects of different marketing strategies in online advertisement of fast food chains towards the perceptions of millennials based on the statement of the problem that is specified in Chapter 1. This determines the impact and effectiveness of different online advertisement uses by fast food chain to the millennials that affects the interest towards a specific product and on how likely it will affect the decisions of millennials. Moreover, the information that will be gathered in this study will be limited to fast food restaurants located in Metro Manila. To support the findings in this study, the researchers will conduct a survey and will limit the number of respondents to one hundred (100) in order to measure the impact of online advertising of fast food restaurants to millennials.
REVIEW OF RELATED LITERATURE AND STUDIES
Advertising to Millennials
A study conducted by Jang (2015) investigated whether the effect of mental simulation varies depending on the healthy brand image of the restaurant. The results indicated that mental simulation, nutrition information strength and healthy restaurant brand image positively influenced attitudes and purchasing intentions. Further, the mental simulation effect diminished the influence of nutrition information strength on attitudes and purchase intentions. Finally, the moderating effect of mental simulation varied based on the healthy brand image of the restaurant. The study also included practical implications for effective marketing communication in the context of menu item promotions in restaurants.
Millennials have come into the world at a pivotal time where the Internet, apps and mobile devices usurped IRL experiences faster than anyone anticipated. Millennials are a generation raised on the Internet and is the most fickle with brands (Schreiber, 2017).
As time passed the web world additionally became an important tool for shoppers to buy. It wasn’t that uncommon for folks to own net in their homes and a telephone by the
mid 2000s. folks began increasing their activity on-line and it showed the number of
money was being spent on on-line purchases. net penetration in 2005 was at five hundredth and has inflated annually since then (Pew research facility 2014) and was turning into abnormal part of people’s lives. This jump created the web shopper recommendations a 57378605257808
lot of prominent once it came to the shopping for expertise, and types expanded their shopper bases. The inflated on-line activity additionally created come out firms into a lot of stable businesses. firms like yelp, twitter, and Facebook, went from niche markets to being mainstream (Lambert, 2016).
It was found in the study of Wolburg (2013) that among the means of advertising, found television to be rated highest, followed by newspapers, magazines, the web and radio (with billboards and posters rated lowest). A recent Nielsen global survey found that trust levels in advertising have remained fairly consistent across earned, owned and paid formats over the past two years. Furthermore, among global respondents, self-reported action levels as a result of advertising actually exceeded trust levels for 14 of 19 advertising formats reviewed, suggesting that trust is not always a prerequisite to purchase.
The study takes a deeper look on how does age and where we live impact our trust levels and willingness to take action.
Millennials (age 21-34), who came of age with the Internet, have the highest levels of trust in online and mobile formats, followed closely by Generation X (age 35-49). While that may not come as a surprise, it’s not just online and mobile advertising formats where Millennials exceed the average. They also show the highest levels of trust in 18 of 19 advertising formats/channels, including TV, newspapers and magazines, and they’re also the most willing to take action on 16 of 19 formats.
“Millennials consume media differently than their older counterparts, exercising greater control over when and where they watch, listen and read content—and on which device,” said Randall Beard, president, Nielsen Expanded Verticals. “But even if they rely less heavily on traditional channels, their trust and willingness to act on these formats 57226205334009
remains high. While an integrated, multi-channel approach is best across all generations, it carries even more importance when reaching Millennials.”(10-3-15)
Newman (2015) Ranging from the early ’80s to the first few years of the 21stcentury, millennials will come to occupy a primary role in the United States over the next two decades. With incredible purchasing power and specific interests, this generation is much more likely to communicate their ideas and feelings over social media platforms. Brands are often behind the times in capitalizing on this age group. So why is advertising to the millennial generation such a challenge? Millennials have turned the traditional marketing strategy on its head, requiring an entirely new approach.
For marketers Millennials are a significant segment that have a huge influence on brand perception and can easily drive trends. Therefore they are eager to analyse their preferences and every insight is considered a goldmine! Every step closer to their way of thinking is a step closer to success because what a Millennial finds exceptional today it will most probably consist the trend of tomorrow. Being a generation that Internet access anywhere-anytime is essential, they are always looking for new thrills and they get easily bored. Given the fact that they are constantly exposed to a plethora of information, they are not easily impressed. After all they are aware that they have the power to either establish or abolish a brand. But what really matters to a millennial when it comes to brands? A Millennial consumer’s buying behaviour is directly linked to the user experience while online. The successful brand is the one that creates compelling applications and second to none platforms in a way that the navigation becomes a brand new and exciting experience. And what about advertising? Millennials love story telling! Considering that, it comes as no surprise why they love uninterrupted navigation. Millennials prefer ads that do not 574548052578010
disrupt their user experience and they are more likely to create a positive perception towards a brand that respects this experience. A good example of that are the in-stream ads in YouTube. It has being proven that the majority of users are choosing to skip the advert when they are given the choice. On the other hand, indirect advertising or advertising via Influencers may achieve the desire outcome for brands. Influencers not only successfully promote the brand but at the same time, according to the number of ‘followers’ they have, they have the power to create trends (Tsita, 2017).
According to a study by Tama (2018), Technology has made it easier for marketers to learn the behavior of their customers. Making the most of micro-moments and smart technology will place you well ahead of the marketing pack in 2018.
Apps can tell us the geographical location of potential customers, the types of products they usually buy and the times of day that they tend to be on the internet. This is exactly the type of information that marketers need to pay attention to in the coming year.
One of the challenges of 2018 is how marketers can tap into this information to get their messaging in front of clients exactly when and where they need it. Why would someone shop around to the competitors when the perfect product or service popped up on their cell phone just as they were about to search for it? These are called micro-moments. Micro-moments attract shoppers who are ready to buy on impulse.
A research by Mole (2014) has revealed that millennials are sharply divided from other generations in their perceptions of the relevancy of advertising. ‘Ad Campaigns Reimagined’, a report by Acxiom, highlights that more than twice as many millennials as any other age bracket believe that the adverts they see are now becoming more relevant to them. The report reveals that 22% of consumers aged 18 to 34 believe that ads they see are increasing in relevancy, compared to just 10% of those aged 35+. In fact, the perceived relevancy of adverts generally tails off the older consumers get, suggesting a greater degree of cynicism in the older consumer. The millennial age group also seems more likely to respond emotionally to advertising, with 48% of millennials having had an emotional response to an advert in the last six months compared to 38% of older generations. In addition, younger generations are more responsive to personalization and retargeting, with 26% of 18 to 34 year olds agreeing that an ad they have seen online based on a previous search has influenced them to purchase, compared to just 12% of those aged 35 and over. The question of whether older generations are more cynical with regards to advertising 575310053340011
seems well-borne out by Acxiom’s survey data. Whereas 49% of 18 to 34 year olds believe they are unaffected by advertising, 71% of those 55+ believe this to be the case. A massive 41% of those 55+ believe that nothing will make them respond positively to an advert compared to just 15% of 18-24 year olds.
In the case of Millennials, we need to look at what sets them apart from other generations. They have been the group hardest hit by the recent recession, which is why they make such tough, budget-conscious customers. And they’re digital natives — the first generation that has grown up online, in the era of infinite choice. Because Baby Boomers have been the largest segment of consumers up until now, the advertising industry has largely targeted their buying patterns. Subsequent generations, even rebellious Gen Xers, eventually grew to fit the mold of Baby Boomers. But, as mentioned above, Millennials have intrinsically different purchasing habits. The biggest threat to advertisers today is their over-reliance on “traditional” advertising, the kinds of tactics that worked on Boomers. The data suggests, after all, that the Baby Boomers will soon be eclipsed in numbers and 573786054102012
spending power by Millennials. Millennials are more cost-conscious than your average baby boomer and, as a result, their spending habits depart dramatically from “the norm.” (Hobbs, 2014).
Millennials spend countless hours on social media, but they aren’t looking to be talked at — they’re looking for genuine service and engagement. Because they’ve grown up with the internet, they are savvy customers who know how to research. Content generated by your current user base in the form of reviews and discussion will weigh more heavily on their purchasing decisions than even the most clever viral ad campaign. And they have high expectation when it comes to how technology performs. They expect a seamless experience across digital platforms, responsive support reps and near-zero downtime (Brown, 2015).
According to Ehlers (2017) millennials across a variety of socioeconomic backgrounds share associate degree more and more valuable resource: their attention. Marketers and advertisers have a historic chance to gift their worth propositions to those plugged-in viewers. consistent with Nielsen, several millennials polled perceive the need of ads and aren’t daunted by them. That range leaps from 46% to 75% once the content they’re viewing is free. Nielsen information doesn’t prove what millennials wish, however my expertise targeting the millennial marketplace for several of my purchasers has clued Maine in. supported sensible executions, I’ve learned that this generation values being acknowledged as people, being bestowed with choices, and feeling connected. They’re receptive to complete storytelling over simple ads. Millennials exhibit early adoption tendencies and develop a loyalty to brands they will trust. Millennials don’t care if content is branded; they care concerning whether or not it speaks to them.
Millennials have a great deal to supply the market, and it all starts with their valued attention. the increase of social and influencer selling exemplifies the ways that during which millennials value more highly to be a part of a brand’s language, not a passive witness to a commercial. By directly addressing this generation, brands square measure able to spark a affiliation. participating with millennials sustains these connections associate degreed transforms ads from associate degree afterthought to an expertise.
Millennials are the most tech-savvy generation that advertisers have ever targeted. The advertiser should assume that every claim the firm makes, every banner headline written, will be researched and checked against their social networks. The company must not rely on its website. The firm needs a presence and a strategy for social networks where millennials spend their time. Millennials don’t want to feel like they’re talking to a social media department; it’s important that your brand has a human face. This includes everything from writing content in a conversational voice to being honest and transparent about the products you’re selling. Millennials are more likely than any previous generation to pore through user-generated content and social sites before making a purchasing decision. A strong user-built reputation will be your brand’s greatest asset. Millennials spend 48 percent more time watching online videos than the average Internet user. While your video strategy should include interesting promotional content, you are missing an opportunity if you aren’t engaging these customers with quick informative videos and tutorials. While this stuff will likely never go viral, you have the ability to build loyal customers by providing helpful content, at a relatively low cost to your business. Millennials may report being less brand loyal than their predecessors, but there are ways to engage them. The fact that 56 percent of millennials will switch brands for a cents-off coupon means that offering discounts, coupons and rewards is one strategy to pique their interest. Speak to their values: Nearly 40 percent of millennials prefer to spend money on a good cause, even if it means paying more for a product. Socially conscious, environmentally friendly and charitable behaviors will win major points with these 575310053340013
customers. It’s more important than ever that brands adopt these behaviors and promote them through events and social content (Morris, 2015).
Millennials are an ever expanding demographic in Philippine society today. As the number of Filipinos born from the early 80s to the early 2000s continues to grow, we have seen a growth of clashing opinions about the attitude and values of young Pinoys. In one camp, there’s a prevailing opinion that millennials are too headstrong, too addicted to instant gratification, and have an inflated sense of self-worth. On the other, a school of thought says that the youth are a transformative force in various sectors of society from business, politics, culture, and education, millennials are changing the way we approach things by harnessing technology. There is a certain truth to these clashing beliefs, but for Bea Lim, managing director of integrated marketing communications agency TeamAsia, the ideas of the two camps can be reconciled to properly portray Filipino millennials. (Lim, 2013) Lim adds that the millennial spirit of curiosity, innovation, and creativity might be their greatest contribution to the future. Utilizing technology that is available to the youth today, Lim believes that millennials can shape how we shape a better world through their vision and determination to defy the status quo. Engaging the millennials is the name of the game for most of the today’s businesses. The challenge differs as each brand has its own unique customer perception to build, manage, and nurture. But it can even be more difficult for some industries, life insurance to be specific. Insurance companies have to deal with negative perceptions on their industry that have been around for quite some time. On top of that, the lack of constant interaction between insurance brands and consumers has been a challenge. Insurance has always been very transactional by nature, from policy 575310054102014
purchase to the claim payouts, touch points between the insurer and the client tend to be far and few in between.
According to Moral (2015), mobile has become ingrained into the Filipino millennial’s day-to-day living. It has become their constant companion in pursuing life’s adventures; searching for awesome surfing destinations or the latest food parks. Passion underlies everything Filipinos have grown accustomed to in the digital age. The way they interact with the world around them has been shaped by the ever-changing digital landscape. They want to do things their way and they want it now.
As the combined spending power of millennials is projected to soar, the advertising world is coming up with ways to reach the younger consumers. This would come as no surprise as the market always follows the money, and research by the University of Massachusetts Dartmouth estimates that millennials’ collective spending power last year hit $2.45 trillion global. That’s just the beginning. Marketing intelligence firm Advertising Age expects millennials to start spending more than $200 billion annually starting in 2017 and $10 trillion over the course of their lifetimes. In the Philippines, where the median age 574548054102015
is 23 and the economy is fueled by consumption, reaching this vast consumer base isn’t just essential for the future. It’s key for the here and now as the youth are already shaping the direction of the economy (Jayme, 2016).
Fajardo (2014) provided an in-depth look at how Young Millennials (those aged 18-24) are not only shaping who they want to be, but also forming eating habits they will adopt for the rest of their lives. Each of the following themes has an impact on the way Young Millennials make their food purchase decisions, both at home, and away from home. Affordability, in terms of food service, regardless of age, everyone wants some bang for their buck when dining out. What sets Young Millennials apart from mature consumers is their willingness to spend a little more for a quality dining experience. You see this behavior at Starbucks where this age group is willing to make a $5 cup of coffee part of their daily routine. Young Millennials are value-seekers, and while they are among the top users of quick service restaurants and convenience store foodservice, they’ve noted that they’d still like to see more affordable options on menus.
Food and Drink: Young Millennials also prioritize low prices when shopping for food at retail. They’re more likely than older generations to indicate the importance of a low price when buying food across several categories, and buy food at retail to save money when dining out. Young Millennials have generally positive perceptions of private label or store brand food and beverage, but they also appreciate high quality and are willing to pay more for it. Convenience food service, young millennials are seeking convenience during the morning rush, as well as during snacking occasions. Essentially, the more portable the food items are, they more likely they are to order it during breakfast or as a snack. 572262056388016
Additionally, snacking opportunities for Young Millennials in college will need to fit into their hectic schedule, since students source more snacks to commercial restaurants compared to on-campus. College and University foodservices should consider implementing food trucks on campus in order to bring hot, fresh foods to the masses.
For Young Millennials, the definition of convenient eating is snacking. They are snacking more often to replace meals and also are trading down to less expensive products, which goes back to their preference for low cost options. Young Millennials are snacking for a variety of reasons because they’re always hungry, it’s cost effective, and viewed as healthier than eating three square meals per day. They’re more likely to indulge at home, compared to away from home, and also more likely to make impulse purchases while on the go. Health Food service: Young Millennials are part of the driving forces behind the changing definition of healthful eating in America. This demographic views health through a holistic “lens,” as they are more likely to define a healthy restaurant meal as something that is organic, made with functional ingredients, or is vegetarian and vegan. Young Millennials are also more likely to use customization as restaurants as a way to create their own custom healthy dish. However, Young Millennials still have their vices and 17% feel like they are missing out when they order healthy foods when dining out. The key for operators is to strike the perfect balance of healthy and indulgent foods for this age group.
At retail, Young Millennials look for products with added health benefits, such as Omega-3s, and protein, as well as foods with low/no claims, such as low sodium, or no fat. They also are most likely to look for natural, organic, or gluten free snacks, compared to older generations. And, they tend to be more likely to diet, but not all of the time. Young Millennials also are looking for clean product labels, but don’t always trust the health-related claims found on product packaging. Nearly half of Young Millennials (49%) are confused by the number of food claims on packaging, and 59% are skeptical about health-related product claims, such as gluten-free, or GMO-free. Manufacturers should remain transparent about their ingredients and product claims, to help consumers, especially 575310053340017
younger consumers, feel less skeptical about the health claims on the products they purchase.
Customization Food service: Young Millennial’s attraction to customization stems from their cultural diversity, as well as their desire to make dining out a unique experience for themselves. This age group tends to be more adventurous with their palate, and seek out ethnic flavors like Chilean and Korean, as well as spicy peppers and flavors like jalapeños and chile de arbol. Additionally, regarding fast casual, 30% of Young Millennials say that the ability to customize is important to them when considering what restaurant to visit. For this demographic, continually offering new ways to customize foods (eg Blaze Pizza and even Arby’s “Meat Mountain”) can help keep this form of dining stay fresh into the future.
Young Millennials also enjoy the ability to customize their food experience with products they buy at retail. They tend to gravitate toward products that allow them to customize their experience, especially because the frequency of which they are snacking demands variety to keep things interesting. Several food and beverage products on the market such as the ability to create your own six pack of craft beer, or DiGiorno’s Design a Pizza kit, are examples of ways consumers can customize their experience.
Connections Food service: Valuable connections with Young Millennials are created through social media, corporate responsibility, as well as through connections with their own social circle. Brands like Taco Bell and Panera are examples of restaurants that are making the most of social media sites like Instagram and Pinterest by taking time to interact with their followers. Young Millennials are also interested in giving back to their communities with time, knowledge, and monetary donations and restaurants like Native 576072053340018
Foods have created an outlet for this kind of philanthropy. And lastly, more restaurants are creating community seating areas to encourage young diners to expand their social circle and break bread with new friends.
Young Millennials are connecting with retail brands through corporate social responsibility initiatives, including those that donate profits to charity, or recycle product packaging to create items such as backpacks or notebooks. Young Millennials are also connecting with communities and place importance on buying brands that make a difference in their community or are from local sources. They are also connecting with each other; they’re more likely to by family size or multi-serving food products, and enjoy cooking to entertain or impress their friends.
Social media such as Facebook are a rich source of consumer information; however, how to effectively use such big data remains a question. To that end, marketers need to develop personalized messages to enhance click-through rates and online purchases. In this research, we examine the interaction effect of advertising appeal (belongingness vs. uniqueness) and an individual’s sense of power (low vs. high) on click-through intention and purchase intention. The findings suggest that powerless individuals respond more favorably to the belongingness appeal, whereas powerful individuals react more positively to the uniqueness appeal. Furthermore, results from a mediation analysis reveal that self-
brand connection is the underlying mechanism that explains these effects. Managerial implications for hospitality marketers are discussed (Mattilab, 2016).
A study conducted by (Takahashib, 2016) about the satisfaction trust and loyalty of repeat online customer with the online market gathered he results that suggest that to determine an online repeat shopper’s e-satisfaction, companies need to focus their attention on their promotional activities, pricing and shopper’s experience. On the other hand, when companies are seeking to determine an online repeat shopper’s e-trust, companies need to focus their attention on product, promotional pricing and shopper’s experience. Most importantly, the results show that between e-trust and e-satisfaction, e-satisfaction has a more significant impact on repeat online shoppers’ loyalty.
Berga (2016) examined how and in what context food was presented and the type of food items that were frequently portrayed by following a youth related hashtag on Instagram. The hashtag #14år (“14 years”) was used to find adolescent users on Instagram: these users public photo streams were then searched for food items they had shared with others. Food items were identified and categorized based on type of food and how the food items were presented. Most of the adolescent users (85%) shared images containing food items. A majority of the images (67.7%) depicted foods high in calories but low in nutrients. Almost half of these images were arranged as a still life with food brand names clearly exposed. Many of these images were influenced by major food marketing campaigns. Fruits and vegetables occurred in 21.8% of all images. This food group was frequently portrayed zoomed in with focus solely on the food, with a hashtag or caption expressing palatability. These images were often presented in the style of a cook book. Food was thus presented in varied ways. Adolescents themselves produced images copying food advertisements. This has clear health promotion implications since it becomes more challenging to monitor and tackle young people’s exposure to marketing of unhealthy foods 5753431-37338020
in these popular online networks because images are part of a lifestyle that the young people want to promote. Shared images contain personal recommendations, which mean that they may have a more powerful effect than commercial advertising.
Consumers’ attitudes toward advertising ethics are of interest to marketers who understand that negative attitudes can be harmful to brands. Today advertisers increasingly depend on internet advertising. This study compares attitudes of Millennials toward internet advertising with attitudes toward advertising in traditional media. Similar to previous generations who had more negative attitudes toward TV advertising, which was their most frequently used medium; Millennials’ attitudes appeared to be more negative toward internet advertising. Thus, it was concluded that advertisers must work to engender positive relationships with Millennials through more ethical internet advertising and other innovative strategies (Faruk, 2013).
Online advertising, the pillar of the “free” content on the Web, has revolutionized the marketing business in recent years by creating a myriad of new opportunities for advertisers to reach potential customers. The current advertising model builds upon an intricate infrastructure composed of a variety of intermediary entities and technologies whose main aim is to deliver personalized ads. For this purpose, a wealth of user data is collected, aggregated, processed and traded behind the scenes at an unprecedented rate. Despite the enormous value of online advertising, however, the intrusiveness and ubiquity of these practices prompt serious privacy concerns. This article surveys the online advertising infrastructure and its supporting technologies, and presents a thorough overview of the underlying privacy risks and the solutions that may mitigate them. We first analyze the threats and potential privacy attackers in this scenario of online advertising. In 5741670-38450621
particular, we examine the main components of the advertising infrastructure in terms of tracking capabilities, data collection, aggregation level and privacy risk, and overview the tracking and data-sharing technologies employed by these components. Then, we conduct a comprehensive survey of the most relevant privacy mechanisms, and classify and compare them on the basis of their privacy guarantees and impact on the Web (Javier, 2016).
A paper by Breslowb (2016) employs the collective case studies approach in an examination of four award-winning public relations campaigns conducted across a variety of social media platforms in order to determine the best practices of, and near term trends, in the effective use of social media for public relations. In their examination of these campaigns the authors discern the following trends in best practices: social media campaigns employ digital storytelling techniques that are both immersive and emotive, and that promote various forms of content sharing; these stories involve members of the target audience in at least one form of open-ended offline engagement that involves sharing behaviors; the content is optimized for mobile displays and controls; and, finally, the content is timely. The authors conclude that, although marketers think of social media in terms of brand awareness and reputation management, the effective use of social media in Public Relations campaigns can generate conversion, facilitate brand positioning, and maintain continued brand sustenance. The authors conclude that the effective use of social media is disrupting the PR campaign cycle: the role of campaign events to generate publicity in service to a PR campaign may, in the future, be displaced by social media campaign tactics which belong to an entirely different ecosystem where the act of sharing social media content generates publicity in lieu of a campaign event.
Advertising in the 21st century is closely linked to integrated marketing communications (IMC) in many respects. While IMC involves a message dealing with buyer-seller relationships, advertising consists of paid non-personal communication through various media with the purpose of informing or persuading members of a particular audience. Advertising is used by marketers to reach target markets with messages designed to appeal to business firms, not-for-profit organizations, or ultimate consumers. Marketers use advertising messages to accomplish three primary objectives: to inform, to persuade, and to remind the target markets. Persuasive advertising attempts to increase demand for an existing goods and services. The persuasive advertising is a competitive type of promotion suited to the growth stage and the early part of the maturity stage of the product lifecycle. (Kurtz, 2013)
According to Cialdini (2016), persuasive has six key principles and this are the following. (1) Reciprocity – People tend to return a favor, thus the pervasiveness of free samples in marketing. In his conferences, he often uses the example of Ethiopia providing thousands of dollars in humanitarian aid to Mexico just after the 1985 earthquake, despite Ethiopia suffering from a crippling famine and civil war at the time. Ethiopia had been reciprocating for the diplomatic support Mexico provided when Italy invaded Ethiopia in 1935. The good cop/bad cop strategy is also based on this principle. (2) Commitment and consistency – If people commit, orally or in writing, to an idea or goal, they are more likely to honor that commitment because of establishing that idea or goal as being congruent with their self-image. Even if the original incentive or motivation is removed after they have already agreed, they will continue to honor the agreement. Cialdini 5722620-38006123
notes Chinese brainwashing of American prisoners of war to rewrite their self-image and gain automatic unenforced compliance. Another example is children being made to repeat the Pledge of Allegiance each morning and why marketers make you close popups by saying “I’ll sign up later” or “No thanks, I prefer not making money”. (3) Social proof – People will do things that they see other people are doing. For example, in one experiment, one or more confederates would look up into the sky; bystanders would then look up into the sky to see what they were seeing. At one point this experiment aborted, as so many people were looking up that they stopped traffic. See conformity, and the Asch conformity experiments. (4) Authority – People will tend to obey authority figures, even if they are asked to perform objectionable acts. Cialdini cites incidents such as the Milgram experiments in the early 1960s and the My Lai massacre. (5) Liking – People are easily persuaded by other people that they like. Cialdini cites the marketing of Tupperware in what might now be called viral marketing. People were more likely to buy if they liked the person selling it to them. Some of the many biases favoring more attractive people are discussed. See physical attractiveness stereotype. (6) Scarcity – Perceived scarcity will generate demand. For example, saying offers are available for a “limited time only” encourages sales.
Unlike direct sales in which a salesperson speaks often one-on-one to a customer, persuasive advertising can be highly impersonal. Because advertisers seek to create ads that reach a large number of potential buyers, they can only do so much to personalize the ads while not hindering their mass appeal. Because ads of this type are necessarily impersonal, business owners must do much to make their buyers feel that they are important as individuals. This means that when customers arrive at the place of sale, 5707380-37879124
business owners should make the experience as personal as possible, using the customer’s name and gathering information about him, to overcome the impersonal nature of the ad that may have brought him in. Though few business owners would intentionally engage in false advertising, it is possible for persuasive ads to give an inaccurate picture of the products they are selling. If, for example, a product is shown performing a function with ease that it actually struggles to complete, the buyer may ultimately feel misled, which could lead to the buyer developing a negative impression of the company as a whole, something that could prove very costly. To prevent this, companies should take extreme care to ensure that their advertisements are accurate interpretations of the products they offer (Schreiner, 2014).
According to the study of Kotler (2013). Informative advertising is used heavily when introducing a new-product category. In this case the objective is to build primary demands.
Enlightening promoting looks for to create beginning request for a great, administrations, organization, individual, put, thought or cause. The advancement of any unused showcase section tends to seek after this objective since promoting victory at this organize frequently depends basically on reporting accessibility. Subsequently, enlightening promoting is common within the early on organize of the item lifecycle (Kurtz, 2013).It was stated in the study conducted by Kokemuller (2015) that Informative advertising is the delivery of advertising messages through mass media with the intent of 5739765-38006125
informing a target market about the benefits offered by a new product or innovation. This is one of the three common general objectives companies can have with advertising. The other two are persuasive and reminder objectives. Informative advertising makes sense in two basic scenarios. Companies should make informing customers a focus when they are introducing an unfamiliar product or service to the market. The other common reason to use informative advertising is when a company sells a complex solution that is difficult for the target market to understand. An informative advertising objective relates to primary demand stimulation, which is advertising that presents general product category information, as opposed to selective demand stimulation, which is the use of ads to persuade customers to buy your brand. Primary demand is typically used by new companies to promote a new product innovation and inform customers about its purpose. Another common reason for primary demand messages is to promote an industry.
As noted, informing customers about the usefulness of a product or innovation makes the informative objective a common starting point with a new product or innovation. Once a product is established and the market becomes competitive, companies usually move into persuasive and reminder types of messages. Persuasive messages are common in the most competitive environments when companies compete heavily and must emphasize the merits of their own products. Reminder objectives involve promoting brand recall by continuing to brand the identity of the company and its products. Use of informative advertising to promote new product innovations is important to companies that constantly upgrade or innovate products. Keeping customers informed about the upgrades and the new features of new product iterations is critical because it often involves more cost to the customer to buy new versions of the product or updates to existing products. 5707380-38130426
Thus, companies that do this often use advertising to provide information on their new product innovations (Edmunds, 2016).
Reminder advertising strives to reinforce previous promotional activity by keeping the name of a goods and services. It is common in the latter part of the maturity stage and throughout the decline stage of the product lifecycle (Kurtz, 2013).
It has been defined as a marketing strategy typically consisting of brief messages sent with the objective of reminding a target consumer group about a product or service or of introducing a new theme into an existing marketing program. Reminder advertising might be used by a business that has already invested considerable resources in initially promoting their product or service and still wishes to maintain its competitiveness. (Colfer, 2013) Additionally, Reminder advertising is used by primarily by established brands or in a follow-up to a more extensive ad campaign in order to remind the consumer about the product or service, or to introduce new life or new theme into existing campaigns. They serve to enhance the top-of-the-mid awareness of the brand and to reinforce the key messages of the brand value and/or recent offers or products. They are often brief and mention the name of the product and testimonials of past customers etc. and are repeated to keep the public interested in, and aware of a well-established product. It can be in the form of brief messages designed chiefly to keep a product in the mind of the consumer once the product is already familiar. Reminder advertising usually follows an extensive advertising campaign, and therefore does not elaborate on the reasons to buy the product. Common examples of reminder advertisements are those found on matchbooks and pencils and in skywriting, as well as the more traditional media vehicles.
Reminder ads simply reinforce your brand message to a well-establish marketplace. The general idea is to maintain top of mind awareness and protect against competitors coming along and stealing your customers. Kokemuller (2018).
According to Bradley (2013), a sound balance between theory and practice, demonstrating how to actually carry out marketing research as well as encouraging students to think both critically and analytically. Features a unique Market Researcher’s Toolbox section in the text and on the Online Resource Centre, containing a suite of visual resources with exemplary briefs, proposals, topic guidance and sample questionnaires to provide students with the necessary tools to engage with their research.
Offers numerous case studies to illustrate marketing research in action to help contextualise the subject, and also demonstrates examples of poor research practice as well as exemplary scenarios. The bridges the gap between introductory, lower level texts and those taking a more rigorous, theoretical approach, ensuring students engage with the issues involved in marketing research while presenting material in an accessible manner, demystifies topics that have been overcomplicated, and offers newcomers an engaging and accessible insight into the world of marketing research.
A new chapter devoted to social media monitoring and web analytics techniques offers original content not currently present in any other marketing research textbook, three new checklists added to the Market Researcher’s Toolbox feature, including marketing metrics, audit of MR activities and objective verbs and chapters have been updated to reflect the most recent digital developments, including crowdsourcing, gamification, open data, 5724525-38006128
infographics, neuroscience, command center viewing, Market Research Online Communities, social media monitoring and more sophisticated web analytics techniques,
The mew and updated case studies including commercial brands such as BMW, Google, McDonalds, Whiskas, Tesco, The National Student Survey (NSS), Eurobarometer and BMI Healthcare.
The fast food industry is extremely competitive and ripe with comparative advertising. Burger King and McDonald’s constantly deliver messages emphasizing claims of “flame-broiled” or quality, as in the case of BK, or value, as with McDonald’s. Wendy’s has also participated and been a target. Subway used comparative ads to point out its health benefits relative to McDonald’s and other fast food burger shops in general (Kokemuller, 2014).
Today, a corporation operates in a highly competitive environment. If an entrepreneur wants its target consumers to know about its innovations and prioritize its products over the similar category products that its competitors sell, it has to build a good customer awareness process. However, it will not happen if a company doesn’t communicate with the customers effectively. When building customer awareness, an entrepreneur determines his/her target market, uses a very specific marketing tool or channels to engage and communicate with the consumers and help them increase product and service knowledge as stated by Reese (2015).
The three major steps that a client mindfulness program incorporates: a company makes mindfulness by indicating out the torment point of the clients. The company has to conversation more approximately the issue at this stage. The deliberate is to form customers mindful of the winning issue in case they’re not as of now. Raise mindfulness employing a exceptionally consistent message. Grant clients a arrangement to that problem within the moment step. Get customer’s consideration by displaying your arrangement as the most perfect way to solve the individual issue. Show your item or brand as the most excellent arrangement to the issue within the third stage. As the clients will know the issue they are confronting by this time, it’ll be simple for them to get it that they can overcome the issue with the assistance of the company’s brand. (Randolph, 2013)
Customer interest is crucial to the sales process. Gaining attention can be done in the initial stages but interest in the product needs to be maintained throughout the sales process. Once you have gone through the process of gaining customer attention, maintaining customer interest and then kindling desire is important. There are numerous techniques for maintaining customer interest towards the product mainly depending on the technicality of the product. One of the major reasons for using such sales techniques is to induce desire in the prospect which ultimately results in action as mentioned in the AIDAS theory (Bhasin, 2017).
According to Manoukian (2015), in sales, one of the simplest, yet very effective tools for making that sell is the Value Summary. The purpose of the Value Summary is to reiterate the value of the company’s proposed solution while sparking a sense of urgency in order to overcome another common problem: delayed decision making.
In order to build customer loyalty, it is first necessary to capture and retain their attention. Numerous commerce experts depend on nitty gritty detailing and information investigation, together with advertise inquire about and customer request to form basic showcasing and generation choices. By keeping the company’s brand current and new, modern clients can effectively be attract and existing clients will not become to be uninterested and bored with the company’s product and services (Palmer, 2013).
It is stated by Johnson (2015). In terms of building online buzz, fast-food marketers have tried some seriously strange tactics in recent years. While challenged by slumping sales and increasingly competitive fast-casual restaurants, fast-food brands lead the pack in terms of one-off marketing and PR campaigns that target millennials.
Customer desire is an emotion, and emotions can bond you with your customer. Companies that understand the powerful emotional pull of customer desire obsess about getting to know their customers and learning their desires. The first step in building customer desire is the delivery of a reliable experience to your customer – this means your service is reliable at every point of contact with your customers. If you’re still dishing out random experiences, your customers tolerate you and they will move on (Bhasin, 2017).
There are four customer touch points that are opportunities to establish reliability and future differentiation: responding to customer needs, managing customers at risk, increasing bond with relevant value add, and earning the right to revenue growth. Customer-centric companies go beyond executing tasks to delivering points of contact that connect to the underlying emotions and needs of their customers. They have achieved reliable experience and focus on memory creation to deliver an experience their customers desire. These companies build lasting bonds with their customers (Bliss, 2016).
It was stated by Suggett (2017) that If the consumer is still with you at this point, you have one job left to do. It is, of course, the most important job, and is often referred to as “closing the sale.” In a courtroom, this would be the final summation from the lawyer. He or she has already laid out the case, now it’s time to seal the deal and convince you to agree with their argument. The same is true with selling a product. And once again, infomercials do this well (although it’s crude to say the least). After demonstrating the product, and convincing you that you need it, they close the sale with an amazing offer. This is the Call To Action (CTA). They’ll start out with a high price, chop it down again and again until it’s a third of the original price, and then give you a two-for-one deal and free shipping. You’re officially on the hook at that point. You don’t have to be that blatant. If you want the Action to be making a call or visiting a website, do that. If you want them to go to a showroom for a test drive, find a way to get them out of their chairs. If you fail at step four, if they don’t take Action, then you at least want to leave a lasting and positive impression about your product.
4142229705Types of Online Advertisement
00Types of Online Advertisement
1905055880Impact of Online Advertisement Strategies as to
00Impact of Online Advertisement Strategies as to
2406347358Issues and concerns encountered by millennials with present online advertisement of fast food restaurant.
00Issues and concerns encountered by millennials with present online advertisement of fast food restaurant.
This marketing research and study will conduct survey for our respondents through questionnaires. The answered surveys are based on the interpretation of the respondents throughout their perspectives and experiences on the online advertisements of fast food restaurants. Through the gathered data, the marketing strategy that is used by different fast food restaurants will be determined and how each type of advertisement affects the respondents in terms of: awareness, interest, desire, and action.
The information gathered from the questionnaires answered by the respondents will provide the researchers further insight about how different fast food restaurants manage their online advertising capabilities and how they intend to capture their target markets.
The researchers will then be able to identify the effectiveness of the different marketing strategies and will be able to pin point which advertising activities are most effective and efficient when pertaining to the market of millennials. Through the gathered data, the researchers will be able to develop a marketing strategy that can be used by fast food restaurants in order for them to have an effective online advertisement and further understand the market segment of millennials.
Action – it is the step in the AIDA model where customers act to purchase or avail the product or service that is offered to them
Awareness – The understanding by an individual of their rights as a consumer concerning available products and services being marketed and sold. The concept involves four categories including safety, choice, information, and the right to be heard.
Comparative Advertising – is when a particular product, or service, specifically mentions a competitor by name for the express purpose of showing why the competitor is inferior to the product naming it.
Desire – a strong feeling of wanting to have something or wishing for something to happen.
Fast Food – is a mass-produced food that is prepared and served very quickly. The food is typically less nutritionally valuable compared to other foods and dishes. While any meal with low preparation time can be considered fast food, typically the term refers to food sold in a restaurant or store with frozen, preheated or precooked ingredients, and served to the customer in a packaged form for take-out/take-away.
Informative Advertising – is the delivery of advertising messages through mass media with the intent of informing a target market about the benefits offered by a new product or innovation.
Interest – the state of wanting to know or learn about something or someone.
Millennials – also known as Generation Y, are when generational demographic cohort following Generation X. There are no precise dates for when this cohort starts or ends; demographers and researchers typically use the early 1980s as starting birth years and the 5761990-37876436
mid-1990s to early 2000s as ending birth years. Millennials are sometimes referred to as “echo boomers” due to a major surge in birth rates in the 1980s and 1990s, and because millennials are often the children of the baby boomers. .
Online Advertisement – also called online marketing or Internet advertising or web advertising, is a form of marketing and advertising which uses the Internet to deliver promotional marketing messages to consumers. Consumers view online advertising as an unwanted distraction with few benefits and have increasingly turned to ad blocking for a variety of reasons.
Persuasive Advertising – is a type of product promotion that aims to persuade a consumer for buying a particular product, especially in the presence of several similar products in the same category.
Reminder Advertising – a marketing strategy typically consisting of brief messages sent with the objective of reminding a target consumer group about a product or service or of introducing a new theme into an existing marketing program.
Social Media – Social media is the collective of online communications channels dedicated to community-based input, interaction, content-sharing and collaboration. Websites and applications dedicated to forums, micro blogging, social networking, social bookmarking, social curation, and wikis are among the different types of social media.
In this chapter, the method of research and the procedures that will be used to the respondents of the study will be presented. Additionally, the statistical methods and instruments will be stated in this chapter. These will aid the researchers in interpreting the data gathered, and formulate an accurate conclusion for this study.
This study will utilize the descriptive method of research as it seeks to determine if the online advertisement of fast food chains restaurant gives an impact to the perspective of millennials. Furthermore, the study is quantitative in nature in order to arrive at an accurate and complete conclusion. This method is used in order to accurately identify the customer behaviors in the environment. This will provide the researchers an accurate representation of the data needed at the time of the research. The sampling
The research will be conducted within the city of Metro Manila. The reason for this is that Metro Manila is one of the most densely populated cities in the Philippines and it is where majority of the population are constantly using the Internet through computers or mobile devices. Additionally, it will be more convenient for the researchers because the respondents could be easily reached from Adamson University, where the researchers are studying. Moreover, Metro Manila is the country’s center of economy, 5747385-38821938
education, and government. There are a vast number of fast food restaurants in the said locale.
The instrument used for this study was a structured survey questionnaire. And those questionnaires are composed of items, that has been divided into Part 1 for the profiling of the respondent or test subject, and for part 2 is the evaluation of impact of online advertising for fast food restaurant as perceive by millennials.
Respondents of the Study, Population and Sample Size
The respondents of the study are the millennials from metro manila and a total of 100 respondents will be given the survey, all of which must be qualified to the set criteria. The criteria for the respondents are that (1) the respondent must be classified as a millennial as pertaining to their age, (2) The respondent must have had experienced viewing online advertisements of fast food restaurants, and (3) the respondent must be willing to participate in the survey. The number of respondents was set by the researchers because of the time constraint experienced by the researchers and the amount would suffice given the size of the population.
The sampling technique used in this study is Purposive Sampling. A purposive sample is a non-probability sample that is selected based on characteristics of a population and the objective of the study. Purposive sampling is utilized in situations where the researcher aims to immediately reach a sample, and where sampling for proportionality is not the main concern. The set criteria for the selection of the respondents for our survey are millennials who actively view online advertisements of fast food restaurants.
Data Gathering Procedures
In this study, the researchers will be collecting data from their respondents through surveys. Surveys are relatively inexpensive compared to other data collecting methods especially with the availability of online and mobile surveys. This will also provide anonymity to respondents with more candid and valid answers, this will encourage respondents to become honest and open as possible with their. The survey is comprised with multiple choice questions and Likert scale. The aim of the survey is for the researchers to further understand the impact of online advertisements of fast food restaurants to millennials, through analyzing the participants’ choices and evaluations of various factors in the topic. Questionnaires make it possible to contact with large number of people who couldn’t be reached. It can reach a massive group at the same time. When the researcher has to cover the group of respondents who are widely scattered, the researchers use the questionnaire in order to minimize the cost. Large amounts of information can be collected from a large number of people in a short period of time and in a relatively cost effective way.
Statistical Treatment of Data
The following statistical tools were used to analyze the data gathered in this study.
1. Frequency and Percentage
A percentage frequency distribution of data, specified the percentages of observation that exist for each data points. It was useful method of expressing the relative frequency of survey responses. This was determining the demographic profile of the respondents. It showed the relationship of the part to its whole. Researchers used this to transform the proportion to a percent by multiplying by 100. The formula is:
P = Computed Percentage
F = Frequency Response
N = Total Number of Respondents
The mean will be computed to see the central tendency of the respondents’ answers. The means for Online advertisements of fast food restaurants will be computed after gathering numerical data that shall be compared against each other in order to draw comparative generalizations. The formula is:
x = Sample Mean= Symbol of Summation
x1 = Scale RateN = Total Number of Respondents
The computed means is interpret using the Likert scale as follows:
Scale Mean Range Verbal Interpretation Symbol
4 3.51-4.00 High Extent HE
3 2.51-3.50 Moderate Extent ME
2 1.51-2.50 Low Extent LE
1 1.00-1.51 No Extent NE
Ordinal Ranking will be used to determine and rank the perception of the respondent regarding online advertisements in terms of awareness, interest, desire, and action. Likewise, the degree of impact of different forms of advertising namely: persuasive, informative, reminder, and comparative, will also be ranked in order to identify which type of advertisements are most appealing for millennials.
Anova is a statistical test which analyzes variance. It is helpful in making comparison of two or more means which enables a researcher to draw various results and prediction about the two or more sets of data. Like measuring the degree of different forms 5756275-38006142
of advertising namely: persuasive, informative, reminder, and comparative, and also be ranked in order to identify which type of advertisements are most popular for the millennials. The formula is:
F = Anova Coefficient.
MST = Mean sum of squares due to treatment.
MSE = Mean sum of squares due to error.
Formula to get the MST:
SST = Sum of square due to treatment.
P = Total number of populations.
N = Total number of samples in a population.
Formula to get MSE:
MSE= SSEN-pSSE= (N-1)S25744210-155892543
SSE = Sum of Squares due to error.
S = Standard deviation of the samples.
N = Total number of observations.
If the computed value is greater than or equal to the total value the null hypothesis will be rejected, while if the computed value is less than to the value the null hypothesis will be accepted.
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