consumer perception of advertising media in fiji: a comparative study of tv and newspaper

297 Pages·2012·1.63 MB·English

CONSUMER PERCEPTION OF ADVERTISING MEDIA IN FIJI:
A COMPARATIVE STUDY OF TV AND NEWSPAPER

By

Rejeli Nakaora Enasio Liligeto

A thesis submitted in fulfillment of the
requirement for the degree of
Doctor of Philosophy

Copyright © 2012 by Rejeli Nakaora Enasio Liligeto

School of Management and Public Administration
Faculty of Business Economics
The University of the South Pacific
Suva Fiji

August 2012
DECLARATION OF ORIGINALITY

State of Author
I, Rejeli Nakaora Enasio Liligeto, declare that this thesis is my own work and that, to
the best of my knowledge, contains no materials published, or substantially
overlapping with materials submitted for the award of any other degree at any
institution, except where due acknowledge is made in the text.

Signature…………………………………….. Date ………………………..

Name………………………………………………………………………….

Student ID No…………………………………………………………………

Statement by Supervisor
The research in this thesis was performed under my supervision and to my knowledge
is the sole work of Rejeli Nakaora Enasio Liligeto.

Signature…………………………………….. Date ………………………..

Name………………………………………………………………………….

Designation…………………………………………………………………
DEDICATION
This thesis is dedicated to my boys—VonErik, SamRoy, KemRaj and ZanKruz—in
encouraging them to know that success is only a blessing from God.
ACKNOWLEDGEMENT

The completion of this thesis would not have been possible without the support, help,
advice and encouragement of many individuals.

First of all I would like to thank the Lord for His blessings and providence enabling
me to reach this academic level. Also my deep appreciation and vinaka vakalevu to
the Fiji Government –The I Taukei Affairs for believing in me and offering a
scholarship to pursue the PhD study for without the financial support this journey is
impossible. My two guarantors—cousin Philip Hereniko and nephew Tony Lemeki—
faiaksia e hanisi. I also thank the Faculty of Business and Economics Research Board
of The University of the South Pacific for the research grant that assisted me in the
field work and for binding the thesis.

My research supervisor—Associate Professor Dr Gurmeet Singh—thank you for your
academic support in guiding this write up and morally pushing me to complete and
submit. My appreciation to my research assistant, Adi Lina Motea Vuinakelo, for
distributing the questionnaire and ensuring that they are filled and returned. Mrs
Barbra Ha’ofa, thank you so much for editing the book. Susan Tafuna’i-Mani thank
you for formatting my thesis. To all the respondents, thank you for giving your time
in filling the questionnaire—as without your responses, it would have been impossible
to access the data. My two research host families Vivian and Satea Prasad (Levuka)
and Oscar and Rosarie Toma (Rotuma) thank you very much. My two friends, Dr
Rafia Naz and Naolah Pitia, thank you for the friendship and encouragement.

My deepest love and gratitude to my husband, Alfred Liligeto and the children,
VonErik, SamRoy, KemRaj and ZanKruz. Thank you for being the wind beneath my
wings. Your encouragement and unswerving love have been my strength in ensuring
that I reach the end. My brothers and sisters – thank you for your prayers.

TO ALL FAIAKSIA AND VINAKA VAKA LEVU.

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ABSTRACT

The study of consumer perception and the decision making process is said to be a
complex phenomenon despite the depth of research undertaken in the area. This is
because what one perceives is substantially different from the perception of another
person, even if they are presented with the same object and in the same conducive
environment. The difficulty in exacting consumer perception leaves a gap for
researchers to pursue the cause continuously in order to understand consumer
perception better. As a result, acquiring the knowledge and recognizing the challenges
and the impact that consumer perception can have in the market is a valuable edge for
businesses since the success of the business is dependent on consumers having
positive perception and positive responses.

The research study proposed four hypotheses aimed at analyzing consumer perception
to Fiji TV and Newspaper advertising. The four hypotheses are:
(1) The media selected to advertise influences consumer perception to advertising.
(2) Consumer perception to TV and newspaper advertising in Fiji is influenced by
personal characteristics, socio-cultural and economic factors.
(3) Product Information and Attribute (which are perceived product price, perceived
product quality, perceived product value, perceived product benefits, perceived
product country of origin, perceived product popularity and perceived company
image) influence consumer perception towards TV and newspaper advertising in
Fiji.
(4) Consumer behavior towards TV and newspaper advertising in Fiji is affected by
consumer perception.

The measurement tests identified for Hypothesis 1, is Correlation test which
determines whether there is a relationship of variables between media choice and
consumer perception to TV (CPTV) and consumer perception to newspaper (CPNP).
A chi-square test is also used to solidify the findings for hypothesis 1. For Hypothesis
2, Linear Regression is used to find out whether the hypothesized dependent variable,
in this case consumer perception, is dependent on the independent variables, which
are personal characteristics, economic and socio-cultural factors. Similar testing is
conducted for Hypothesis 3, with different independent variables (perceived product
ii
price, perceived product quality, perceived product value, perceived product benefits,
perceived product country of origin, perceived product popularity and perceived
company image). For Hypothesis 4, a Correlation test is used to find out if consumer
behavior is affected by consumer perception.

The analysis of consumer perception to TV and newspaper advertising in Fiji shows
that hypothesis one is denied and that is consumer perception is not influenced by
media selection. Hypothesis analysis for 2 and 3 showed that the identified variables
do contribute to Fiji advertising model, though the values are not sufficient to be
stated as a factor. The only variable that stands out in significance in value and
contributes strongly to the model is the education level of the consumers. For
hypothesis 4, the model variables showed that there is a relationship between
consumer perception and their behavior though it is also not statistically significant.

The finding challenges the status quo for Fiji businesses, who tend to use the stated
pillar variables as a means to induce consumers to buy, as consumer behaviour were
not influenced buy those variables; rather it is the perception of consumers towards
advertisments that directs their behavioural responses.

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TABLE OF CONTENT
CHAPTER 1: INTRODUCTION AND OVERVIEW 1
1.1 The definition of the research concept 3
1.2 The functions of advertising and consumer perceptions 7
(1) Differentiating products from one another 7
(2) Communicating information 8
(3) Inducing consumers to try products and suggesting reuse 9
(4) Stimulating the distribution of the product 11
(5) Increasing product usage and building brand preference and
loyalty 11
1.3 The effects of advertising and consumer perception 12
1.4 Perception towards advertising in general 14
1.5 Statement of problem 15
1.6 Purpose of the study 16
1.7 Intended contribution of the study 17
1.8 Research challenge aims and objectives 17
1.9 Thesis structure and overview 19
CHAPT ER 2: LITERATURE REVIEW 21
Introduction 21
2.1 The phases of advertising in Fiji 21
2.2 Advertising in nature and people’s perceptions 22
2.3 Traditional advertising and people perception: A look at a Rotuman and
Fijian village life 26
2.4 The insurgence of contemporary advertising in Fiji and consumer
perception 28
2.5 A prelude to Fiji rural, island and urban consumer perception to
advertising 29
2.6 Fiji advertising media and the environment 34
2.7 Comparison in advertising and consumer perception 35
(a) A study of TV advertising and consumer perception 36
(b) A study of newspaper advertising and consumer perception 40
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2.8 Reflections 43
2.9 Creativity in advertising design and consumer perception: A lesson to
learn 44
2.10 The impact of consumer perception towards advertising on the micro-
and Macroeconomic aspects of the market 50
(a) Microeconomic Impact 51
Impact on product value 51
Impact on product price 51
Impact on consumer demand 52
Impact on product price 53
Impact on market share 53
(b) Macroeconomic Impact 54
Impact on competition 54
Impact on the economy 54
2.11 Summary 55
CHAPTER 3: THE THEORETICAL FRAMEWORK AND THE
DEVELOPMENT OF THE HYPOTHESES 56
Introduction 56
3.1 Review of theories and prior empirical models on consume
perception to advertising 58
3.2 Proposed primary determinants that may influence Fiji consumer
perception to advertising and the formation of the hypotheses 64
(A) Perceived type of Advertising Medium 65
Hypothesis 1 Development 66
(B) Personal Characteristics, Economic and Sociocultural Factors 66
(i) Personal Characteristics 66
Age 67
Gender 68
Ethnicity 70
Occupation 70
Education 71
Area of residence 72
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Marital Status 73
(ii) Social and Cultural Factors 78
Religion 78
Traditional and cultural beliefs 80
Family, friends and colleagues 81
Consume past experience 84
Consumer views on fashion 85
Hypothesis 2 Development 86
(C) Perceived product information and attributes 87
Perceived product price 88
Perceived product quality 88
Perceived product value 90
Perceived product benefit 91
Perceived product country of origin 92
Perceived product popularity 93
Perceived company image 94
Hypothesis 3 Development 95
(D) Consumer behaviour is affected by consumer perception 95
Hypothesis 4 Development 96
3.3 Summary 97
CHAPTER 4: EMPIRICAL DESIGN AND METHODOLOGY 98
Introduction 98
4.1 Nature of research 98
(a) Quantitative research 99
(b) Qualitative research 99
(c) Interpretive research 100
4.2 Building in theory 102
4.3 Research design method and instrument 102
4.4 Questionnaire format 105
4.5 Questionnaire administration and challenge 106
4.6 Pretesting 108
4.7 Sampling and data collection 109
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4.8 Research validity and reliability 111
4.9 Research hypotheses and measurement 113
4.10 Summary 114
CHAPTER 5: HYPOTHESES TESTING INTERPRETATION AND
DISCUSSION OF RESULTS 115
Introduction 115
5.1 Description of data set 115
Gender 115
Ethnicity 116
Age 117
Area of residence 118
Status 119
Occupation 119
Education level 120
Media choice 121
5.2 Measurement of hypotheses and interpretations 122
Hypothesis 1 122
Hypothesis 1 measurement for TV 123
Interpretation of hypothesis 1 data for TV 124
Hypothesis 1 measurement for newspaper 124
Interpretation of hypothesis 1 data for newspaper 125
Chi Square measurement for TV and newspaper 126
Interpretation of Chi Square data for TV and newspaper 126
Discussion on the result of (H 1a) and (H 1b) for Fiji TV viewers
and Newspaper readers 127
Hypothesis 2 142
Hypothesis 2 measurement for TV 143
Interpretation of hypothesis 2 data for TV 144
Hypothesis 2 measurement for newspaper 145
Interpretation of hypothesis 2 data for newspaper 146
Discussion on the results of (H 2a) and (H 2b) for Fiji TV viewers
and newspaper readers 148
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