Impact of Packing Elements on Consumer Buying Behavior

Impact of Packing Elements on Consumer Buying Behavior Introduction Nowadays consumers have become more and more conscious about the packaging available to them from products. The role of packaging has changed over the years since primarily due to the changing lifestyles and needs of the consumers. Companies have started bring innovations in packaging since their beliefs over the years have changed that good and unique packaging can stimulate consumer buying behaviors. It has become the source of customers attraction towards products or services, increases the image of the brand and increases the perceptions of the consumer for the product (Rundh 2005). In marketing context packaging plays a very vital role in communicating the product to the consumers and ultimately increases consumers purchase decisions. According to Underwood, Klein Burke, 2001; Silayoi Speece, 2004 a good package communicates unique values about products, and also helps in differentiating the products from other products, hence helping the consumers in choosing the right produc t from a wide range of similar products, and as a result stimulates consumers buying behaviors. (Wells, Farley Armstrong, 2007). In the past the primary function of packaging was to protect the product, but nowadays according the changing marketing environments packaging is being used as a tool for promoting sales, attracting customers and communicating the product to the consumers. (Kotler et al. 1998). The major objectives of a good packaging, which should be achieved are that is should be able to identify the product to the consumer, conveys descriptive and persuasive information about the product, facilitates the product protection and transportation, aid product consumption, and assists at-home storage. Consumers in daily life are exposed to a very wide range of products having different packaging ranging from different product categories displayed in markets, supermarkets and any other place of shopping. Products can then be differentiated from the external packaging having different shapes, sizes, colors, labeling, etc. what is actually inside the package can only be judged through a creative and innovative packaging. The issue here arises that can a good package design impact consumers buying behaviors? Does packaging color impact the behaviors? Do innovations impact these behaviors? Do the labels on packaging impact these behaviors? It is very easy gaining examples from our daily lives. The package design helps the consumer is judging what the package is carrying. If we take the example of Nestle Orange Juice the package reveals that the product contains a very healthy orange juice. The package design should be able to communicate to the consumer what the product is. According t o Schoormanns and Robben (1997) a new package design can be negatively related to the consumers influences of taste perceptions. This is likely due to the consumers past experiences with the product, the perceptions they develop by judging the product by its packaging design. Thus it is very important that the packaging design is the key to developing consumers perceptions about the product or brand. These perceptions may be negative or positive, so it is essential for marketers to bring creativeness and innovations in the packaging design. Consumers are very much likely to judge the product on the basis of price, package color, design, labeling etc. (Implicit Product Theory of Pinson 1986). Background Problem Formulation Previous Studies Deficiencies Significance Purpose Statement The purpose of this cross-sectional survey study is to determine the impact of Packaging Elements on Consumer Buying Behavior in Pakistan. In this context Quantitative Method has been used, the purpose of this survey is to study the various packaging elements that influence the consumers buying behavior. The present study focuses on packaging elements including design, color, labeling, and innovations. Packaging is a wide term in which different elements describe and identify a product or service. It is considered a science, art and technology which not only protects, stores, and distributes a product but also helps the consumer in identifying a product (Wiki). Orth Malkewitz 2006; Underwood Klein 2002 argue that the importance of packaging is increasing due to the increased significance it is playing in buying decisions in store, the presence of it at the time of purchase decisions, and its ability to reach to a wider audience of product purchasers. Rundh 2005 further argues that packaging has the ability of differentiating products from each other. In todays global and competitive environment, packaging can also provide a source of competitive advantage. This study will identify the impacts of packaging elements on the consumer buying behavior in Pakistan using questionnaire survey method. Significance of Study The topic under research will study the impact of packaging elements on consumer buying behavior of Pakistan. For this purpose four packaging elements have been selected; packaging color, design, innovation and printed information. According to Cruden 1989, over the years the, introduction of new packaging concepts have accelerated. This study will be of value in a number of ways. The topic of research is highly under researched and least research has been done regarding the impact of packaging elements on consumer buying behavior of Pakistan. This study will not only help the marketers in bringing innovations and creativeness into the packaging of products but will also provide the policy makers in implementing effective decisions in bringing changes and creative strategies in packaging. This study will contribute immensely through Quantitative research. Theoretically Practically Methodologically Theoretical Framework Theoretical Stances Model: Color pPa Design Consumer Buying Behavior Printed Information Innovation Research Objectives Main Objective The main objective of the study is to: To determine the impact of packaging elements on consumer buying behavior of Pakistan. Sub Objectives The sub objectives of the study are: To provide a basis for future research and to facilitate the administration in implementing and introducing effective and creative packaging elements in order to influence the consumers buying behavior in a positive way. Research Questions and Hypothesis Main Research Question Impact of Packaging Elements on Consumer Buying Behavior. Hypothesis H1 = Does package color influence the consumer buying behavior? H2 = Packaging design has an impact on consumer buying behavior? H3 = Does labeling influence the consumer buying behavior? H4 = Do innovations in packaging impact the buying behaviors? Chapter 2 Literature Review Introduction Nowadays consumers have become more and more conscious about the packaging available to them from products. The role of packaging has changed over the years since primarily due to the changing lifestyles and needs of the consumers. Companies have started bring innovations in packaging since their beliefs over the years have changed that good and unique packaging can stimulate consumer buying behaviors. It has become the source of customers attraction towards products or services, increases the image of the brand and increases the perceptions of the consumer for the product (Rundh 2005), further argued by Rita Kuvykaite (2009) that a package attracts the attention of the consumers for a particular brand. In marketing context packaging plays a very vital role in communicating the product to the consumers and ultimately increases consumers purchase decisions. According to Underwood, Klein Burke, 2001; Silayoi Speece, 2004 a good package communicates unique values about products, and a lso helps in differentiating the products from other products, hence helping the consumers in choosing the right product from a wide range of similar products, and as a result stimulates consumers buying behaviors. (Wells, Farley Armstrong, 2007). It has become a significant issue that the consumers buying behaviors are influenced by the packaging elements. According to Kotler 2003 six packaging elements are the important elements that should be evaluated while employing packaging decisions, these include; size of package, package form, package material, color, text and the brand using that package. According to a study conducted by Bed Nath Sharma in 2008, the respondents response was 84.37% in which they responded that product labels are a simple tag which is attached to any product or consider it as a graphical design which an essential part of a package. In another study in support of packaging belongs to Alice Louw (2006) in which he studied the responses of university students in which it was concluded that in the marketing arena packaging has played a very vital role and he concluded that the right packaging helps in creating unique place in the market as well as in the minds of the consumers. In another research conducted by Renaud Lunardo (2007) the impacts of label on particular brand consumption showed that many consumers buying behavior has been influenced by the labeling. In support of packaging influencing the buying behavior of consumers another study has been conducted by Bytyqi Hysen Vegara Mensur (2008) on how consumers purchase or buy diary products in Kosovo. The results that generated from the research show that majority of the respondents feel that packaging has much to do while purchasing diary products. Various studies have found that packaging is a mean of attracting customers attention towards a product (Underwood et al., 2001; Garber et al., 2000; Goldberg et al, 1999; Schoormans Robben, 1997). Goldberg et al. (1999) emphasized that if non-verbal communication like colors etc, if they are removed from packaging and the use of verbal communication is increased (like images) then it highly attracts the customers specially when the brand in unfamiliar with the consumers. (Underwood et al., 2001). Futher it is argued that package color (Gordon et al., 1994), name of brand (Rigaux-Bricmont, 1981), and package material (McDaniel Baker, 1977) all communicate the meaning of the brand to the consumer. Despite these finding researchers argue that physical appearance is not all that attract consumers towards a particular brand (Garber et al., 2000; Schoormans Robben 1997) while others argue that package colors and shapes are the main source of product attraction and attention (Garber et al., 2000; Schoormans Robben 1997). According to a research conducted by Pires Gon (2008) it is unable for the consumers to preceive what a product is all about, they heavily rely upon the packaging of any product. So the essential packaging elements are the color and shape of the package as well as labeling which communicate the product message to the consumers. Literature Flow Diagram Packaging Elements Color Design Labeling Innovation Conclusion Introduction Consumer Buying Behavior: History of consumerà ¢Ã¢â€š ¬Ã‚ ¦ Packaging Color Consumer Buying Behavior: Packaging Design Consumer Buying Behavior: Bridging the gapà ¢Ã¢â€š ¬Ã‚ ¦. dkvà ¢Ã¢â€š ¬Ã‚ ¦ Packaging Labeling Consumer Buying Behavior: Packaging Innovation Consumer Buying Behavior: Summary Chapter 3 Methodology This chapter deals with the methodology used in investigating the collected data. A systematic way has been provided which includes the procedures taken for the purposes of data collection and analysis. Introduction For the purpose of this research Quantitative Research Method has been used. Paradigm: Research Approach: The research approach used in this study is Quantitative Research. For this purpose a self administered questionnaire was designed. Research Design: Quantitative research approach is implied in this study in which questionnaires will be undertaken for the purpose of data collection. The questionnaire respondents were the employees of the Telecom sector. (Sampling, validity reliability, cross sectional survey) Research Site: Population/Sample: For the purpose of data collection the site selected for this study includes general consumers from which the data has been selected. Strategy of Inquiry: Method: Data collection method was questionnaire which was self administered. The method of sampling was random sampling. Survey method has been used Validity and Reliability: Reliability means that the result is applicable whereas validity means that the measurement are accurate and whether they are measuring what they intend to measure. In reliability checked the results through statistical procedure of internal consistency. To increase the reliability of questionnaire a pilot test was made from 5 respondents. Errors and ambiguities were removed during this process. Analysis Procedure: After setting the sample size, site, the tool for data collection, various analyses were done using SPSS. Summary Chapter 4 Analysis and Results Introduction Analysis and Results Summary Chapter 5 Discussion Conclusion and Recommendations Introduction Discussion Conclusion Suggestions and Recommendations Impact of Packing Elements on Consumer Buying Behavior Impact of Packing Elements on Consumer Buying Behavior Nowadays consumers have become more and more conscious about the packaging available to them from products. The role of packaging has changed over the years since primarily due to the changing lifestyles and needs of the consumers. Companies have started bring innovations in packaging since their beliefs over the years have changed that good and unique packaging can stimulate consumer buying behaviors. It has become the source of customers attraction towards products or services, increases the image of the brand and increases the perceptions of the consumer for the product (Rundh 2005). In marketing context packaging plays a very vital role in communicating the product to the consumers and ultimately increases consumers purchase decisions. According to Underwood, Klein Burke, 2001; Silayoi Speece, 2004 a good package communicates unique values about products, and also helps in differentiating the products from other products, hence helping the consumers in choosing the right produc t from a wide range of similar products, and as a result stimulates consumers buying behaviors. (Wells, Farley Armstrong, 2007). In the past the primary function of packaging was to protect the product, but nowadays according the changing marketing environments packaging is being used as a tool for promoting sales, attracting customers and communicating the product to the consumers. (Kotler et al. 1998). The major objectives of a good packaging, which should be achieved are that is should be able to identify the product to the consumer, conveys descriptive and persuasive information about the product, facilitates the product protection and transportation, aid product consumption, and assists at-home storage. Consumers in daily life are exposed to a very wide range of products having different packaging ranging from different product categories displayed in markets, supermarkets and any other place of shopping. Products can then be differentiated from the external packaging having different shapes, sizes, colors, labeling, etc. what is actually inside the package can only be judged through a creative and innovative packaging. The issue here arises that can a good package design impact consumers buying behaviors? Does packaging color impact the behaviors? Do innovations impact these behaviors? Do the labels on packaging impact these behaviors? It is very easy gaining examples from our daily lives. The package design helps the consumer is judging what the package is carrying. If we take the example of Nestle Orange Juice the package reveals that the product contains a very healthy orange juice. The package design should be able to communicate to the consumer what the product is. According t o Schoormanns and Robben (1997) a new package design can be negatively related to the consumers influences of taste perceptions. This is likely due to the consumers past experiences with the product, the perceptions they develop by judging the product by its packaging design. Thus it is very important that the packaging design is the key to developing consumers perceptions about the product or brand. These perceptions may be negative or positive, so it is essential for marketers to bring creativeness and innovations in the packaging design. Consumers are very much likely to judge the product on the basis of price, package color, design, labeling etc. (Implicit Product Theory of Pinson 1986). Purpose Statement The purpose of this cross-sectional survey study is to determine the impact of Packaging Elements on Consumer Buying Behavior in Pakistan. In this context Quantitative Method has been used, the purpose of this survey is to study the various packaging elements that influence the consumers buying behavior. The present study focuses on packaging elements including design, color, labeling, and innovations. Packaging is a wide term in which different elements describe and identify a product or service. It is considered a science, art and technology which not only protects, stores, and distributes a product but also helps the consumer in identifying a product (Wiki). Orth Malkewitz 2006; Underwood Klein 2002 argue that the importance of packaging is increasing due to the increased significance it is playing in buying decisions in store, the presence of it at the time of purchase decisions, and its ability to reach to a wider audience of product purchasers. Rundh 2005 further argues that packaging has the ability of differentiating products from each other. In todays global and competitive environment, packaging can also provide a source of competitive advantage. This study will identify the impacts of packaging elements on the consumer buying behavior in Pakistan using questionnaire survey method. Significance of Study The topic under research will study the impact of packaging elements on consumer buying behavior of Pakistan. For this purpose four packaging elements have been selected; packaging color, design, innovation and printed information. According to Cruden 1989, over the years the, introduction of new packaging concepts have accelerated. This study will be of value in a number of ways. The topic of research is highly under researched and least research has been done regarding the impact of packaging elements on consumer buying behavior of Pakistan. This study will not only help the marketers in bringing innovations and creativeness into the packaging of products but will also provide the policy makers in implementing effective decisions in bringing changes and creative strategies in packaging. This study will contribute immensely through Quantitative research. Research Objectives Main Objective The main objective of the study is to: To determine the impact of packaging elements on consumer buying behavior of Pakistan. Sub Objectives The sub objectives of the study are: To provide a basis for future research and to facilitate the administration in implementing and introducing effective and creative packaging elements in order to influence the consumers buying behavior in a positive way. Research Questions and Hypothesis Main Research Question Impact of Packaging Elements on Consumer Buying Behavior. Hypothesis H1 = Does package color influence the consumer buying behavior? H2 = Packaging design has an impact on consumer buying behavior? H3 = Does labeling influence the consumer buying behavior? H4 = Do innovations in packaging impact the buying behaviors? Literature Review Introduction Nowadays consumers have become more and more conscious about the packaging available to them from products. The role of packaging has changed over the years since primarily due to the changing lifestyles and needs of the consumers. Companies have started bring innovations in packaging since their beliefs over the years have changed that good and unique packaging can stimulate consumer buying behaviors. It has become the source of customers attraction towards products or services, increases the image of the brand and increases the perceptions of the consumer for the product (Rundh 2005), further argued by Rita Kuvykaite (2009) that a package attracts the attention of the consumers for a particular brand. In marketing context packaging plays a very vital role in communicating the product to the consumers and ultimately increases consumers purchase decisions. According to Underwood, Klein Burke, 2001; Silayoi Speece, 2004 a good package communicates unique values about products, and a lso helps in differentiating the products from other products, hence helping the consumers in choosing the right product from a wide range of similar products, and as a result stimulates consumers buying behaviors. (Wells, Farley Armstrong, 2007). It has become a significant issue that the consumers buying behaviors are influenced by the packaging elements. According to Kotler 2003 six packaging elements are the important elements that should be evaluated while employing packaging decisions, these include; size of package, package form, package material, color, text and the brand using that package. According to a study conducted by Bed Nath Sharma in 2008, the respondents response was 84.37% in which they responded that product labels are a simple tag which is attached to any product or consider it as a graphical design which an essential part of a package. In another study in support of packaging belongs to Alice Louw (2006) in which he studied the responses of university students in which it was concluded that in the marketing arena packaging has played a very vital role and he concluded that the right packaging helps in creating unique place in the market as well as in the minds of the consumers. In another research conducted by Renaud Lunardo (2007) the impacts of label on particular brand consumption showed that many consumers buying behavior has been influenced by the labeling. In support of packaging influencing the buying behavior of consumers another study has been conducted by Bytyqi Hysen Vegara Mensur (2008) on how consumers purchase or buy diary products in Kosovo. The results that generated from the research show that majority of the respondents feel that packaging has much to do while purchasing diary products. Various studies have found that packaging is a mean of attracting customers attention towards a product (Underwood et al., 2001; Garber et al., 2000; Goldberg et al, 1999; Schoormans Robben, 1997). Goldberg et al. (1999) emphasized that if non-verbal communication like colors etc, if they are removed from packaging and the use of verbal communication is increased (like images) then it highly attracts the customers specially when the brand in unfamiliar with the consumers. (Underwood et al., 2001). Futher it is argued that package color (Gordon et al., 1994), name of brand (Rigaux-Bricmont, 1981), and package material (McDaniel Baker, 1977) all communicate the meaning of the brand to the consumer. Despite these finding researchers argue that physical appearance is not all that attract consumers towards a particular brand (Garber et al., 2000; Schoormans Robben 1997) while others argue that package colors and shapes are the main source of product attraction and attention (Garber et al., 2000; Schoormans Robben 1997). According to a research conducted by Pires Gon (2008) it is unable for the consumers to preceive what a product is all about, they heavily rely upon the packaging of any product. So the essential packaging elements are the color and shape of the package as well as labeling which communicate the product message to the consumers. Literature Flow Diagram Summary Chapter 3 Methodology This chapter deals with the methodology used in investigating the collected data. A systematic way has been provided which includes the procedures taken for the purposes of data collection and analysis. Introduction For the purpose of this research Quantitative Research Method has been used. Paradigm: Research Approach: The research approach used in this study is Quantitative Research. For this purpose a self administered questionnaire was designed. Research Design: Quantitative research approach is implied in this study in which questionnaires will be undertaken for the purpose of data collection. The questionnaire respondents were the employees of the Telecom sector. (Sampling, validity reliability, cross sectional survey) Research Site: Population/Sample: For the purpose of data collection the site selected for this study includes general consumers from which the data has been selected. Strategy of Inquiry: Method: Data collection method was questionnaire which was self administered. The method of sampling was random sampling. Survey method has been used Validity and Reliability: Reliability means that the result is applicable whereas validity means that the measurement are accurate and whether they are measuring what they intend to measure. In reliability checked the results through statistical procedure of internal consistency. To increase the reliability of questionnaire a pilot test was made from 5 respondents. Errors and ambiguities were removed during this process. Analysis Procedure: After setting the sample size, site, the tool for data collection, various analyses were done using SPSS.