an analysis of advertising

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An Analysis of the Impact of Advertising on Perceived Quality: A Case of Tesco UK

Research Proposal

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Perceived Quality %

Ta+le of Contents

Conte,tual Bac-ground....................................................................................../

Research Aims and 0+1ectives............................................................................../

Research Questions...........................................................................................%Pro+lem 2tatement............................................................................................%

2ignificance of the 2tudy....................................................................................3

Rationale of the 2tudy........................................................................................4

)iterature Revie5.............................................................................................4

Advertising..................................................................................................6

Perceived Quality...........................................................................................7

Relationship +et5een Advertising and Perceived Quality............................................8

9ethodology...................................................................................................8

Research #esign and #ata Collection 9ethod.........................................................

Research Approach.........................................................................................

#ata Analysis...............................................................................................

2ampling Techni*ue and 2ampling 2i;e................................................................<

=thical Considerations.....................................................................................<

References....................................................................................................//



Perceived Quality /

Proposal B: An Analysis of the Impact of Advertising on Perceived Quality: A Case of Tesco UK

Contextual Background

Perceived *uality is an intangi+le feeling a+out a specific +rand> This is depended on the

characteristics of the product associated 5ith +rand image such as relia+ility and its performance

?Aa-er @ Biel$ %&/3$ p> /6> Therefore$ perceived *uality is depended on the individual

evaluation of customers a+out the *uality of considered product> Researchers e,plain the

relationship of perceived *uality 5ith +rand a5areness$ loyalty and other aspects of +rand e*uity>

Perception of the customer a+out the services of a product is related 5ith their prior e,perience

and e,pectations of the consumers and their e,periences 5ith the competitors and su+stitutes>

Therefore$ it is essential to study the role of advertising in developing a +rand perception among

customers a+out a specific product> In retail industry$ advertising helps to create an improvised

perceived *uality of a product> Better advertisement strategies help in improving the perceived

*uality of a +rand and therefore add to the overall +rand value ?0uinn$ et>al$ %&/4$ p> %%>

Advertisement enhances the chances of attracting ne5 selling points and customers$ +ased on the

improved perception a+out the *uality>

Research Aims and Objectives

The main aim and focus of the study is to analyse the impact of advertising on perceived

*uality$ +y considering the case of Tesco in UK> Research aims and o+1ectives are mentioned as

follo5s:

• To analyse advertising in Tesco

• To analyse the perceived *uality relating to Tesco +rand



Perceived Quality %

• To analyse the impact of advertising on perceived *uality

• To provide recommendations to Tesco to improve advertising to ensure positive influence

on perceived *uality

Research Questions

9entioned are the research *uestions for this paper:

• Dhat is the relationship +et5een advertising and perceived *ualityE

• Fo5 do advertising strategies of Tesco affect the perceived *uality of its products and

servicesE

• Dhich are the most effective advertising strategies used +y TescoE

Problem Statement

In recent years$ a lot has +een spent on advertising of the products> Companies have

understood the value of investing in advertising$ for the purpose of encouraging more customers

to opt their +rands> Fo5ever$ from customer perspective$ choosing a +rand is dependent on t5o

main phenomena first is their personal preference a+out the product> 2econd is general

perception of people a+out the +rands *uality and its preference among its competitor> 2imilarly$

it is necessary to understand the impact of advertising on these t5o conditions> Researchers have

highlighted the importance of advertising on promoting a +rand$ +ut the core issues of +randing

have not +een assessed> Therefore$ it is essential to understand the impact of advertising on

perceived *uality ?2everi @ )ing$ %&/3$ p/%6> It has also +een identified that companies are

un5are a+out the concept of perceived *uality and its impact on companies revenue> The

importance of advertising and its impact on perceived *uality is still unidentified$ 5hich



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eventually results in the loss of potential clients> 9oreover$ perceived *uality is important in

retaining e,isting customers as 5ell as targeting ne5 customer> Considering the direct impact of

advertising on perceived *uality$ it is important for companies to analyse its effects on the

gro5th of company> Tesco is involved in +ul- +uying 5ith e,tended inventory that might lead to

issues maintaining *uality> Tesco advertised miss.spelt signage$ misleading advertisement for

horse and por-s meat to +e used in +eef +urgers ?25eney$ %&/3> It influenced the perception of

consumers against perceived *uality> Therefore$ there is need to identify effective strategies for

advertisement +y Tesco to +e used in UK so as to improve the perceived *uality of the

productsG+rand>

Significance of the Study

This study is aimed to highlight the impact of advertising on perceived *uality$ 5hich

5ill guide the supermar-et industry a+out consumer +ehaviour> It 5ill also ena+le them to utili;e

these findings to design an effective mar-eting strategy to increase the perceived *uality of their

products> 2ome of the -ey +enefits of this research are identification of consumer +ehaviour and

ho5 they perceive *uality$ this 5ill provide an insight to the companies for planning their

advertising strategies> This study articulates different factors related to advertising and provide

potential information to advertiser and mar-eters to gain a competitive edge in the mar-et +y

+etter planning of advertising strategies and reali;ing its impact on perceived *uality>

Rationale of the Study

It has +een identified that there is an utmost re*uirement to measure the impact of

advertisement on perceived *uality> Tei,eira ?%&/4 e,plained the fundamentals of advertising$



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i>e> persuasion$ information and complementarity> Persuasion e,plains the changes in +rand

image and its value$ information is necessary for customers to gain an insight a+out the value of

product and complementarity adds value to the product and service> 9easuring the effectiveness

of advertisements is one of the most difficult issues that advertising agencies face ?9a-asi$

ovender and Ru-5e;a$ %&/4$ p>%7/4> By studying these factors$ one can understand the impact

of advertising on customer perception a+out the *uality of a product>

Properly mar-eted product that fulfils these three criteria 5ill attract more customers$

5hile poorly e,ecuted advertisement strategies 5ill fail to persuade$ inform and add value to the

product> This 5ill eventually fail the company in achieving its desired targets$ i>e> to attract more

customers +y creating a good +rand *uality> Therefore$ this research 5ill identify the issues of

advertising in creating a sense of +rand e*uity and ho5 advertising can +e effectively utili;ed to

influence +etter perceived *uality of the product and service> Hindings of this research 5ill lead

to +etter understanding of consumer purchasing pattern>

iterature Revie!

This study is focused on theory provided +y Kotler ?/<<8$ p> /6$ perception depends

not only on the physical stimuli but also on the stimuli’s relation to the surrounding field and on

conditions within the individual J> 9ost of the previous researches are focused on e,trinsic factor$

price$ +rand name and store name> Fo5ever$ in todays competitive mar-et it is necessary for

firms to focus on analysing the impact of advertising> As +usiness e,pand huge sum of money

and their resources on advertising the product$ it is necessary to assess its return on +usiness

performance> Advertising strategies should not only +e intended to create +rand a5areness a+out

the product$ +ut to achieve its desired target of capturing and engaging attention of ne5



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customers> 2imilarly$ it is also necessary to understand the impact of advertising on +rand e*uity$

image$ perceived *uality and +rand loyalty ?25eney$ %&/3>

Advertising

Advertisement is an attempt to creativity$ 5hich motivates the consumers to +uy a

particular product> Advertisement creates a positive perception of a product in the customers

mind> Advertisement is dependent on rational and emotional appeals$ as emotional appeal is

designed to meet consumers psychological and emotional re*uirement$ 5hile rational appeal is

focused on descri+ing the +enefits of the product> Researcher e,plains that advertisement is 5ay

to communicate 5ith its target audience> Advertisement can +e considered as a magic$ +ecause it

5ill changes the perception of the consumer and sometime create needs among people>

People are highly affected +y mar-eting concepts of companies introducing ne5 products

and services> In present era$ mar-eters are focused on customer rule that is customers are their

first preference> This provides a motivation for companies to gain the -no5ledge a+out customer

needs and demands ?Fuang @ 2arigllL$ %&/%$ pp><%.<<> Keeping these things in mind$

advertising strategies should +e designed to understand customer rational decisions$ so that they

can provide the +est product in mar-et> 2imilarly$ irrational factors should +e considered as 5ell$

that includes promotional activities$ ensuring the customer a+out the *uality of the product>

=motional association of customer 5ith a +rand is also an important aspect of advertising$

therefore$ mar-eter should promote such +rands that consumers are li-ely to relate 5ith their

needs and pro+lems>



Perceived Quality 7

Perceived Quality

Perceived *uality is one of the five dimensions of +rand e*uity as identified +y Aa-er

?/<</$ including +rand a5areness$ +rand association$ +rand loyalty and other proprietary assets>

According to Meithaml ?/<$ perceived *uality is the products overall e,cellence or

superiorityJ and involves the e,periences and perceptions of a customer> Perceived *uality is the

consumer perception a+out the *uality of a particular product or service> This perception is +ased

on their e,pectation and comparison of the product 5ith its competitor +rand> In more simple

5ords$ perceive *uality is an assessment of customer +eliefs> According to Aa-er$ +uyers

perception a+out the *uality of a particular product is +ased on seven elements> By evaluating

these seven elements consumer 5ill develop a thought$ 5hether the product or services is aligned

5ith their desired *uality or not> People usually +uy the product 5hen they +elieve in the value

of 5hat they are getting in return of their investment$ and also assess it on factors li-e perceived

*uality ?9a1eed @ Ra;;a-$ %&//>

Hinancial performance of company is deemed to +e associated 5ith +rands perceived

*uality> Perceived *uality is an intangi+le feeling$ a+out a product or service and can +e

o+1ectively determined> It is essential to understand that customers vary according to their

personalities$ needs and preference$ 5hich influences their 1udgements a+out a product>

Therefore$ it can +e concluded that perceive *uality of a product or service is dependent on fe5

essential factors that includes characteristics of the product$ its relia+ility$ performance and

association 5ith a +rand>



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Relationship between Advertising and Perceived Quality

The purpose of this study is to identify the relationship +et5een perceived *uality and

advertising$ 5hich is the most common issue faced +y advertising agencies> As advertisement

helps the company improving the perceive *uality of a product 5ith passage of time> Investing in

advertisement 5ill improve the perceived *uality of the product in mar-et> 2imilarly$ perceive

*uality of a +rand is improved 5hen +etter advertisement strategies are developed -eeping in

mind the current re*uirement of customers> It 5ill also improve the overall perception of a +rand$

and address its uni*ue selling points> But there are limited researches availa+le on the studied

topic in conte,t of UK>

Customers 5hile shopping at supermar-ets$ often face difficulty in choosing a particular

product that have identical characteristics and assures same level of *uality> !et$ customers are

more inclined to pay higher prices for products that are affiliated 5ith particular +rands that are

5ell -no5n for its perfect *uality> Popularity and perceived high *uality of a product is referred

as +rand e*uity and desira+ility of the product of a particular +rand> Considering all these

reasons$ it is very critical for a company to understand the relationship of advertising and

perceived *uality that 5ill directly impact its revenue and profita+ility>

"ethodology

Research methodology highlights the action plan of the researcher to achieve the main

aims and o+1ective> Hor the purpose of this research$ descriptive research method is used to

determine the fre*uency of something occurring in relationship of t5o varia+les>



Perceived Quality

Research Design and Data Collection Method

Hor the purpose of this research$ the author has used primary data collection method +y

using *uantitative research method or design> This research 5ill also utili;e survey analysis

method$ to gain the -no5ledge a+out the impact of advertising on +rands perceived *uality>

2urvey analysis 5ill provide an insight of consumer perception a+out shopping at Tesco and its

retail outlets>

Research Approach

Research approach identifies the method of the plan or layout of data collection> There

are t5o +asic types of research approaches that is deductive approach or inductive approach> This

research uses deductive research approach or top.to.+ottom approach that is +ased hypothesis

testing> #ata 5ill +e collected from secondary research to formulated hypothesis and then 5ill +e

accepted or re1ected>

Data Analysis

By using survey analysis$ researcher 5ill +e a+le to collect *uantitative data from

respondents and understand the relationship +et5een independent and dependent varia+les>

2urvey analysis$ 5ill provide a self.administered *uestionnaire for data collection$ in 5hich

respondents 5ill ans5er the *uestions regarding the course of study> Research methodology also

descri+es the data analysis plan of the researcher> In this study$ researcher 5ill collect

*uantitative data from survey analysis of Tesco UK> The data 5ill +e analysed using statistical

soft5are 2P22 ?2tatistical Pac-age for 2ocial 2ciences> Fypothesis 5ill +e developed to test the

relationship +et5een t5o varia+les therefore$ deductive approach 5ill +e used> 2tatistical test



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applied using 2P22$ 5ill include fre*uency distri+ution and correlation among the studied

varia+les> Analysis 5ill identify the impact of advertising on perceived *uality of a particular

product>

Sampling echni!ue and Sampling Si"e

Researcher 5ill opt for non.pro+a+ility sampling techni*ue method$ in 5hich

convenience sampling is more preferred ?9a1eed @ Ra;;a-$ %&//> Hor the purpose of this study$

customers of Tesco 5ill act as respondents and provide valua+le information a+out the concept

of perceive *uality in relation to advertising> Customers of Tesco UK that are 5illing to

participate in this research and are easily availa+le 5ill +e considered for survey> This research

5ill +e conducted at different retail outlets of Tesco in UK> This method 5ill reduce overall cost$

and minimi;e the time re*uired to conduct this research> Hor this research$ & participants for

survey analysis 5ill +e selected from Tesco retail store>

#thical Considerations

There are several +udget constraints involved 5hile conducting this research> To

minimi;e the cost of this study$ researcher 5ill utili;e past researches$ peer revie5ed articles and

pu+lications> Researches that re*uire su+scription and mem+ership fees 5ill not +e considered$ to

avoid additional cost> 2imilarly$ steps 5ill +e ta-en to minimi;e geographical and time related

constraints$ as this study is limited to UK only 5ith limited time allocation>

As this research$ 5ill utili;e primary data collection method that involves respondents

therefore$ it 5ill -eep the identities confidential> 2imilarly personal information of the

respondents 5ill only +e used for research purpose> =thical issues 5ill also +e ta-en under



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consideration from the researcher$ to enhance the credi+ility of the data collection> Before

conducting this research$ respondents 5ill +e informed a+out the aims and o+1ectives of this

research to avoid any ethical issue>



Perceived Quality //

References

Aa-er$ #> A> ?/<</ Managing $rand #!uity% Capitalising on the value of a brand name> (e5

!or-: The Hree Press>

Aa-er$ #> A> and Naco+son$ R> ?/<<4 The financial information content of perceived *uality>

&ournal of mar'eting research$ pp>/</.%&/>

Aa-er$ #> A>$ @ Biel$ A> ?%&/3> $rand e!uity ( advertising% advertising)s role in building

strong brands> Psychology Press>

Fuang$ R>$ @ 2arigllL$ => ?%&/%> Fo5 +rand a5areness relates to mar-et outcome$ +rand

e*uity$ and the mar-eting mi,> &ournal of $usiness Research$ 76?/$ <%.<<>

Kotler$ P>$ @ 2cheff$ N> ?/<<8> Standing Room *nly% Strategies for Mar'eting the Performing

Arts> Farvard Business Press>

)i$ )> ?%&//> A 2tudy of the Relationship among Perceived Quality$ Country.of.origin$ Brand

)oyalty$ and Brand =*uity at a Hoot5ear Company in (an1ing$ China> A+,-S$ e,

&ournal. 4?/>

9a1eed$ 2>$ @ Ra;;a-$ 2> ?%&//> The Impact of Television Advertisement Repetition$ Cele+rity

=ndorsement and Perceived Quality on Consumer Purchase #ecision> Australian &ournal

*f $asic And Applied Sciences$ 6?/%$ 3&44.3&6/>

9a-asi$ A>$ ovender$ K> and Ru-5e;a$ C> ?%&/4 Building Brand =*uity through

Advertising> Mediterranean &ournal of Social Sciences$ /?%&$ pp>%7/3.%7%4>

2everi$ =>$ @ )ing$ K> C> ?%&/3> The mediating effects of +rand association$ +rand loyalty$ +rand

image and perceived *uality on +rand e*uity> Asian Social Science$ <?3$ p/%6>



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25eney$ 9>$ ?%&/3$ Tesco criticised over OmisleadingO horsemeat ad$ The uardian$ data

retrieved from$ http:GG555>theguardian>comGmediaG%&/3GsepG&4Gtesco.horsemeat.ad$

accessed on /3G//G%&/6"

Tei,eira$ T> 2> ?%&/4 The Rising Cost of Consumer Attention: Dhy !ou 2hould Care$ and Dhat

!ou Can #o a+out It> Dor-ing Paper" 0arvard $usiness School1 Availa+le from:

http:GG555>h+s>eduGfacultyGPu+lication%&HilesG/4.&66%ef%/e8e.86%<.474.+&f&.

c74e4/7<e/8f>pdf Accessed 8th (ovem+er$ %&/6"

Meithaml$ > A> ?/< Consumer Perceptions of Price$ Quality$ and alue: A 9eans end 9odel

and 2ynthesis of =vidence> &ournal of Mar'eting $ 6%$ pp>%.%%>

an analysis of advertising

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