TABLE OF CONTENTS

Sr. CONTENT
no

1. INTRODUCTION

LITERATURE REVIEW
2.
RESEARCH OBJECTIVES
3. & METHODOLOGY

DATA ANALYSIS
4.

RESEARCH FINDINGS
5.
CONCLUSION,RESEARCH
SUGGESTIONS AND
6.
LIMITATIONS

BIBLOGRAPHY
7.

Appendices
8.

Introduction

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Online advertising 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. Many consumers find online
advertising disruptiveand have increasingly turned to ad blocking for a variety of reasons.
When software is used to do the purchasing, it is known as programmatic advertising.

It includes email marketing, search engine marketing (SEM), social media marketing,
many types of display advertising (including web banner advertising), and mobile
advertising. Like other advertising media, online advertising frequently involves both a
publisher, who integrates advertisements into its online content, and an advertiser, who
provides the advertisements to be displayed on the publisher's content. Other potential
participants include advertising agencies who help generate and place the ad copy, an ad
server which technologically delivers the ad and tracks statistics, and advertising
affiliates who do independent promotional work for the advertiser.

In 2016, Internet advertising revenues in the United States surpassed those of cable
television and broadcast television. In 2017, Internet advertising revenues in the United
States totaled $83.0 billion, a 14% increase over the $72.50 billion in revenues in 2016.

Many common online advertising practices are controversial and increasingly subject to
regulation. Online ad revenues may not adequately replace other publishers' revenue
streams. Declining ad revenue has led some publishers to place their content behind pay
walls.

A major advantage of online advertising is the quick promotion of product information

without geographical boundary limits. A major challenge is the evolving field of
interactive advertising, which poses new challenges for online advertisers.

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Online advertisements are purchased through one of the following common
vehicles:

 Cost per Thousand (CPM): Advertisers pay when their messages are
exposed to specific audiences.
 Cost per Click (CPC): Advertisers pay every time a user clicks on their ads.

 Cost per Action (CPA): Advertisers only pay when a specific action
(generally a purchase) is performed.

History
In early days of the Internet, online advertising was mostly prohibited. For
example, two of the predecessor networks to the Internet, ARPANET and NSFNet,
had "acceptable use policies" that banned network "use for commercial activities
by for-profit institutions". The NSFNet began phasing out its commercial use ban
in 1991.

Email
The first widely publicized example of online advertising was conducted via
electronic mail. On 3 May 1978, a marketer from DEC (Digital Equipment
Corporation), Gary Thuerk, sent an email to most of the ARPANET's American
west coast users, advertising an open house for a new model of a DEC
computer. Despite the prevailing acceptable use policies, electronic mail marketing
rapidly expanded [ and eventually became known as "spam."

The first known large-scale non-commercial spam message was sent on 18 January
1994 by an Andrews University system administrator, by cross-posting a religious
message to all USENET newsgroups. In January 1994 Mark Eberra started the first

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email marketing company for opt in email list under the domain
Insideconnect.com. He also started the Direct Email Marketing Association to help
stop unwanted email and prevent spam.

Four months later, Laurence Canter and Martha Siegel, partners in a law firm,
broadly promoted their legal services in a USENET posting titled "Green Card
Lottery – Final One?" Canter and Siegel's Green Card USENET spam raised the
profile of online advertising, stimulating widespread interest in advertising via both
Usenet and traditional email. More recently, spam has evolved into a more
industrial operation, where spammers use armies of virus-infected computers
(botnets) to send spam remotely.

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Display ads

Online banner advertising began in the early 1990s as page owners sought
additional revenue streams to support their content. Commercial online
service Prodigy displayed banners at the bottom of the screen to
promote Sears products. The first clickable web ad was sold by Global Network
Navigator in 1993 to a Silicon Valley law firm. In 1994, web banner advertising
became mainstream when Hotwired, the online component of Wired Magazine,
sold banner ads to AT&T and other companies. The first AT&T ad on Hotwired
had a 44% click-through rate, and instead of directing clickers to AT&T's website,
the ad linked to an online tour of seven of the world's most acclaimed art museums.

Search ads

GoTo.com (renamed Overture in 2001, and acquired by Yahoo! in 2003) created

the first search advertising keyword auction in 1998.Google launched its "Ad
Words" search advertising program in 2000 and introduced quality-based ranking
allocation in 2002, which sorts search advertisements by a combination of bid price
and searchers' likeliness to click on the ads.

Recent trends

More recently, companies have sought to merge their advertising messages into
editorial content or valuable services. Examples include Red Bull's Red Bull Media
House streaming Felix Baumgartner's jump from space online, Coca-Cola's online
magazines, and Nike's free applications for performance tracking. Advertisers are

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also embracing social media and mobile advertising; mobile ad spending has
grown 90% each year from 2010 to 2013.

Delivery methods

Display advertising

Display advertising conveys its advertising message visually using text, logos,
animations, videos, photographs, or other graphics. Display advertisers
frequently target users with particular traits to increase the ads' effect. Online
advertisers (typically through their ad servers) often use cookies, which are unique
identifiers of specific computers, to decide which ads to serve to a particular
consumer. Cookies can track whether a user left a page without buying anything,
so the advertiser can later retarget the user with ads from the site the user visited.

As advertisers collect data across multiple external websites about a user's online
activity, they can create a detailed profile of the user's interests to deliver even
more targeted advertising. This aggregation of data is called behavioral
targeting. Advertisers can also target their audience by using contextual to deliver
display ads related to the content of the web page where the ads
appear.Retargeting, behavioral targeting, and contextual advertising all are
designed to increase an advertiser's return on investment, or ROI, over untargeted
ads.

Advertisers may also deliver ads based on a user's suspected geography

through geotargeting. A user's IP address communicates some geographic

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information (at minimum, the user's country or general region). The geographic
information from an IP can be supplemented and refined with other proxies or
information to narrow the range of possible locations. For example, with mobile
devices, advertisers can sometimes use a phone's GPS receiver or the location of
nearby mobile towers. Cookies and other persistent data on a user's machine may
provide help narrowing a user's location further.

Web banner advertising

Web banners or banner ads typically are graphical ads displayed within a web
page. Many banner ads are delivered by a central ad server.

Banner ads can use rich media to incorporate video, audio, animations, buttons,
forms, or other interactive elements using Java applets, HTML5, Adobe Flash, and
other programs.

Pop-ups/pop-under

A pop-up ad is displayed in a new web browser window that opens above a

website visitor's initial browser window. A pop-under ad opens a new browser
window under a website visitor's initial browser window. Pop-under ads and
similar technologies are now advised against by online authorities such as Google,
who state that they "do not condone this practice".[

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Floating ad

A floating ad, or overlay ad, is a type of rich media advertisement that appears
superimposed over the requested website's content. Floating ads may disappear or
become less obtrusive after a preset time period.

Expanding ad

An expanding ad is a rich media frame ad that changes dimensions upon a

predefined condition, such as a preset amount of time a visitor spends on a
webpage, the user's click on the ad, or the user's mouse movement over the
ad. Expanding ads allow advertisers to fit more information into a restricted ad
space.

Trick banners

A trick banner is a banner ad where the ad copy imitates some screen element users
commonly encounter, such as an operating system message or popular application
message, to induce ad clicks. Trick banners typically do not mention the advertiser
in the initial ad, and thus they are a form of bait-and-switch. Trick banners
commonly attract a higher-than-average click-through rate, but tricked users may
resent the advertiser for deceiving them.

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News Feed Ads
"News Feed Ads", also called "Sponsored Stories", "Boosted Posts", typically exist
on social media platforms that offer a steady stream of information updates ("news
feed") in regulated formats (i.e. in similar sized small boxes with a uniform style).
Those advertisements are intertwined with non-promoted news that the users are
reading through. Those advertisements can be of any content, such as promoting a
website, a fan page, an app, or a product.

Some examples are: Facebook's "Sponsored Stories" LinkedIn's "Sponsored

Updates",] and Twitter's "Promoted Tweets".

This display ads format falls into its own category because unlike banner ads
which are quite distinguishable, News Feed Ads' format blends well into non-paid
news updates. This format of online advertisement yields much higher click-
through rates than traditional display ads.

Display advertising process overview

The process by which online advertising is displayed can involve many parties. In
the simplest case, the website publisher selects and serves the ads. Publishers
which operate their own advertising departments may use this method.

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Online advertising serving process - simple publisher case

The ads may be outsourced to an advertising agency under contract with the
publisher, and served from the advertising agency's servers.

Online advertising serving process using an ad agency

Online advertising serving process using online bidding

Alternatively, ad space may be offered for sale in a bidding market using an ad

exchange and real-time bidding. This involves many parties interacting
automatically in real time. In response to a request from the user's browser, the
publisher content server sends the web page content to the user's browser over the
Internet. The page does not yet contain ads, but contains links which cause the
user's browser to connect to the publisher ad server to request that the spaces left

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for ads be filled in with ads. Information identifying the user, such as cookies and
the page being viewed is transmitted to the publisher ad server.

The publisher ad server then communicates with a supply-side platform server. The
publisher is offering ad space for sale, so they are considered the supplier. The
supply side platform also receives the user's identifying information, which it sends
to a data management platform. At the data management platform, the user's
identifying information is used to look up demographic information, previous
purchases, and other information of interest to advertisers.

Broadly speaking, there are three types of data obtained through such a data
management platform:

First party data refers to the data retrieved from customer relationship
management (CRM) platforms, in addition to website and paid media
content or cross-platform data. This can include data from customer
behaviors, actions or interests.

Second party data refers to an amalgamation of statistics related to cookie pools on

external publications and platforms. The data is provided directly from the source
(adservers, hosted solutions for social or an analytics platform). It is also possible
to negotiate a deal with a particular publisher to secure specific data points or
audiences.
Third party data is sourced from external providers and often aggregated from
numerous websites. Businesses sell third-party data and are able to share this via
an array of distribution avenues.

This customer information is combined and returned to the supply side platform,
which can now package up the offer of ad space along with information about the
user who will view it. The supply side platform sends that offer to an ad exchange.

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The ad exchange puts the offer out for bid to demand-side platforms. Demand side
platforms act on behalf of ad agencies, who sell ads which advertise brands.
Demand side platforms thus have ads ready to display, and are searching for users
to view them. Bidders get the information about the user ready to view the ad, and
decide, based on that information, how much to offer to buy the ad space.
According to the Internet Advertising Bureau, a demand side platform has
10 milliseconds to respond to an offer. The ad exchange picks the winning bid and
informs both parties.

Mobile advertising

Mobile advertising is ad copy delivered through wireless mobile devices such

as smartphones, feature phones, or tablet computers. Mobile advertising may take
the form of static or rich media display ads, SMS (Short Message Service)
or MMS (Multimedia Messaging Service) ads, mobile search ads, advertising
within mobile websites, or ads within mobile applications or games (such as
interstitial ads, "advergaming," or application sponsorship). Industry groups such
as the Mobile Marketing Association have attempted to standardize mobile ad unit
specifications, similar to the IAB's efforts for general online advertising.

Mobile advertising is growing rapidly for several reasons. There are more mobile
devices in the field, connectivity speeds have improved (which, among other
things, allows for richer media ads to be served quickly), screen resolutions have
advanced, mobile publishers are becoming more sophisticated about incorporating
ads, and consumers are using mobile devices more extensively. The Interactive
Advertising Bureau predicts continued growth in mobile advertising with the
adoption of location-based targeting and other technological features not available
or relevant on personal computers..

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Email advertising

Email advertising is ad copy comprising an entire email or a portion of an email

message. Email marketing may be unsolicited, in which case the sender may give
the recipient an option to opt out of future emails, or it may be sent with the
recipient's prior consent (opt-in).

Chat advertising

As opposed to static messaging, chat advertising refers to real time messages

dropped to users on certain sites. This is done by the usage of live chat software or
tracking applications installed within certain websites with the operating personnel
behind the site often dropping adverts on the traffic surfing around the sites. In
reality this is a subset of the email advertising but different because of its time
window.

Online classified advertising

Online classified advertising is advertising posted online in a categorical listing of

specific products or services. Examples include online job boards, online real
estate listings, automotive listings, online yellow pages, and online auction-based
listings. Craigslist and eBay are two prominent providers of online classified
listings.

Adware

Adware is software that, once installed, automatically displays advertisements on a

user's computer. The ads may appear in the software itself, integrated into web
pages visited by the user, or in pop-ups/pop-under. [ Adware installed without the
user's permission is a type of malware.

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Affiliate marketing

Affiliate marketing occurs when advertisers organize third parties to generate

potential customers for them. Third-party affiliates receive payment based on sales
generated through their promotion. Affiliate marketers generate traffic to offers
from affiliate networks, and when the desired action is taken by the visitor, the
affiliate earns a commission. These desired actions can be an email submission, a
phone call, filling out an online form, or an online order being completed.

Content marketing

Content marketing is any marketing that involves the creation and sharing of media
and publishing content in order to acquire and retain customers. This information
can be presented in a variety of formats, including blogs, news, video, white
papers, e-books, infographics, case studies, how-to guides and more.

Considering that most marketing involves some form of published media, it is

almost (though not entirely) redundant to call 'content marketing' anything other
than simply 'marketing'. There are, of course, other forms of marketing (in-person
marketing, telephone-based marketing, word of mouth marketing, etc.) where the
label is more useful for identifying the type of marketing. However, even these are
usually merely presenting content that they are marketing as information in a way
that is different from traditional print, radio, TV, film, email, or web media.

Online marketing platform

Online marketing platform (OMP) is an integrated web-based platform that

combines the benefits of a business directory, local search engine, search engine
optimisation (SEO) tool, customer relationship management (CRM) package

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and content management system (CMS). Ebay and Amazon are used as online
marketing and logistics management platforms.

On Facebook, Twitter, YouTube, Pinterest, LinkedIn, and other Social

Media, retail online marketing is also used. Online business marketing platforms
such as Marketo, Aprimo, MarketBright and Pardot have been bought by major IT
companies (Eloqua-Oracle, Neolane-Adobe and Unica-IBM).

Unlike television marketing in which Neilsen TV Ratings can be relied upon

for viewing metrics, online advertisers do not have an independent party to verify
viewing claims made by the big online platforms.

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Benefits of online advertising
Cost

The low costs of electronic communication reduce the cost of displaying online
advertisements compared to offline ads. Online advertising, and in particular social
media, provides a low-cost means for advertisers to engage with large established
communities. Advertising online offers better returns than in other media.

Measurability

Online advertisers can collect data on their ads' effectiveness, such as the size of
the potential audience or actual audience response,how a visitor reached their
advertisement, whether the advertisement resulted in a sale, and whether an ad
actually loaded within a visitor's view.This helps online advertisers improve their
ad campaigns over time.

Formatting

Advertisers have a wide variety of ways of presenting their promotional messages,

including the ability to convey images, video, audio, and links. Unlike many
offline ads, online ads also can be interactive. For example, some ads let users
input queries or let users follow the advertiser on social media. Online ads can
even incorporate games.

Targeting

Publishers can offer advertisers the ability to reach customizable and narrow
market segments for targeted advertising. Online advertising may use geo-targeting
to display relevant advertisements to the user's geography. Advertisers can
customize each individual ad to a particular user based on the user's previous

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preferences. Advertisers can also track whether a visitor has already seen a
particular ad in order to reduce unwanted repetitious exposures and provide
adequate time gaps between exposures.

Coverage

Online advertising can reach nearly every global market, and online advertising
influences offline sales.

Speed

Once ad design is complete, online ads can be deployed immediately. The delivery
of online ads does not need to be linked to the publisher's publication schedule.
Furthermore, online advertisers can modify or replace ad copy more rapidly than
their offline counterparts.

Concerns

Security concerns

According to a US Senate investigation, the current state of online advertising

endangers the security and privacy of users.

Banner blindness

Eye-tracking studies have shown that Internet users often ignore web page zones
likely to contain display ads (sometimes called "banner blindness"), and this
problem is worse online than in offline media. On the other hand, studies suggest
that even those ads "ignored" by the users may influence the user subconsciously.

Fraud on the advertiser

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There are numerous ways that advertisers can be overcharged for their advertising.
For example, click fraud occurs when a publisher or third parties click (manually
or through automated means) on a CPC ad with no legitimate buying intent. For
example, click fraud can occur when a competitor clicks on ads to deplete its rival's
advertising budget, or when publishers attempt to manufacture revenue.

Click fraud is especially associated with pornography sites. In 2011, certain

scamming porn websites launched dozens of hidden pages on each visitor's
computer, forcing the visitor's computer to click on hundreds of paid links without
the visitor's knowledge.

As with offline publications, online impression fraud can occur when publishers
overstate the number of ad impressions they have delivered to their advertisers. To
combat impression fraud, several publishing and advertising industry associations
are developing ways to count online impressions credibly.

Technological variations
Heterogeneous clients

Because users have different operating systems, web browsers and computer
hardware (including mobile devices and different screen sizes), online ads may
appear to users differently from how the advertiser intended, or the ads may not
display properly at all. A 2012 comScore study revealed that, on average, 31% of
ads were not "in-view" when rendered; meaning they never had an opportunity to
be seen. Rich media ads create even greater compatibility problems, as some
developers may use competing (and exclusive) software to render the ads (see
e.g. Comparison of HTML 5 and Flash).

Furthermore, advertisers may encounter legal problems if legally required

information doesn't actually display to users, even if that failure is due to

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technological heterogeneity’s In the United States, the FTC has released a set of
guidelines indicating that it's the advertisers' responsibility to ensure the ads
display any required disclosures or disclaimers, irrespective of the users'
technology.

Ad blocking

Ad blocking, or ad filtering, means the ads do not appear to the user because the
user uses technology to screen out ads. Many browsers block unsolicited pop-up
ads by default Other software programs or browser add-ons may also block the
loading of ads, or block elements on a page with behaviors characteristic of ads
(e.g. HTML autoplay of both audio and video). Approximately 9% of all online
page views come from browsers with ad-blocking software installed, and some
publishers have 40%+ of their visitors using ad-blockers.

Anti-targeting technologies

Some web browsers offer privacy modes where users can hide information about
themselves from publishers and advertisers. Among other consequences,
advertisers can't use cookies to serve targeted ads to private browsers. Most major
browsers have incorporated Do Not Track options into their browser headers, but
the regulations currently are only enforced by the honor system.

Privacy concerns

The collection of user information by publishers and advertisers has raised

consumer concerns about their privacy. Sixty percent of Internet users would use
Do Not Track technology to block all collection of information if given an
opportunity. Over half of all Google and Facebook users are concerned about their
privacy when using Google and Facebook, according to Gallup.

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Many consumers have reservations about online behavioral targeting. By tracking
users' online activities, advertisers are able to understand consumers quite well.
Advertisers often use technology, such as web bugs and respawning cookies, to
maximizing their abilities to track consumers. According to a 2011 survey
conducted by Harris Interactive, over half of Internet users had a negative
impression of online behavioral advertising, and forty percent feared that their
personally-identifiable information had been shared with advertisers without their
consent. Consumers can be especially troubled by advertisers targeting them based
on sensitive information, such as financial or health status.]Furthermore, some
advertisers attach the MAC address of users' devices to their 'demographic profiles'
so they can be retargeted (regardless of the accuracy of the profile) even if the user
clears their cookies and browsing history.

Trustworthiness of advertisers

Scammers can take advantage of consumers' difficulties verifying an online

person’s identity, leading to artifices like phishing (where scam emails look
identical to those from a well-known brand owner) and confidence schemes like
the Nigerian "419" scam. The Internet Crime Complaint Center received 289,874
complaints in 2012, totaling over half a billion dollars in losses, most of which
originated with scam ads.

Consumers also face malware risks, i.e. malvertising, when interacting with online
advertising. Cisco's 2013 Annual Security Report revealed that clicking on ads was
182 times more likely to install a virus on a user's computer than surfing the
Internet for porn For example, in August 2014 Yahoo's advertising network
reportedly saw cases of infection of a variant of Cryptolocker ransomware.

Spam

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The Internet's low cost of disseminating advertising contributes to spam, especially
by large-scale spammers. Numerous efforts have been undertaken to combat spam.

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LITERATURE REVIEW

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Advertising on the Internet
By-Robbin Lee ZeffBradley
Aronson

How today's most successful online advertisers and marketers maximize their
online presence, and how you can too
This updated and expanded Second Edition of the bestselling guide to online
advertising is must reading for everyone who wants to take advantage of the most
important new advertising medium since television. A complete primer on online
advertising for businesses of all sizes, it gets you up to speed on the crucial issues,
hot new trends, and most effective new technologies in Internet advertising.
Loaded with examples of some of today's most successful online advertising and
marketing initiatives, it gives you the inside track on: *Successful online ad models
*Market research online *Direct marketing, including opt-in e-mail, promotions,
and sweepstakes *Targeting and personalization *Internet advertising management
tools *Traffic measurement and gauging the effectiveness of your ads *Buying and
selling ads on your Web site *Advertising locally *Advertising to an international
market *Legal aspects of Internet advertising *How to advertise for free, or almost
free (contributed by Eric Ward, the father of grassroots advertising strategies)

Enhanced online advertising system by- Ellis, J. R., Katiyar

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The system provides an automatically targeted network for text and graphical
advertising based on cost-per-action bidded pricing, wherein actions comprise
any of acquisitions, purchases, downloads, registrations, donations, clicks, and
impressions. Contextual, search and behavioral relevance features are
integrated to optimize ad selection for advertisers, who enter action objectives,
associated bids, and creatives or catalog assets. The assets are automatically
analyzed and stored, and ads are automatically constructed for catalog assets.
When an ad request is received from a user terminal in regard to a publisher
asset, e.g. a web page, the ad request is matched to a stored contextual analysis
of at least a portion the publisher asset if available, and preferably to a profile
associated with the user of the user terminal. The best advertisements are
determined, based upon a predicted response, and are then served, i.e.
displayed, at the user terminal, based upon available ad space.

Online Display Advertising: Targeting and Obtrusiveness

By- Avi GoldfarbCatherine Tucker

We use data from a large-scale field experiment to explore what influences the
effectiveness of online advertising. We find that matching an ad to website content
and increasing an ad's obtrusiveness independently increase purchase intent.
However, in combination, these two strategies are ineffective. Ads that match both
website content and are obtrusive do worse at increasing purchase intent than ads
that do only one or the other. This failure appears to be related to privacy concerns:
the negative effect of combining targeting with obtrusiveness is strongest for
people who refuse to give their income and for categories where privacy matters
most. Our results suggest a possible explanation for the growing bifurcation in

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Internet advertising between highly targeted plain text ads and more visually
striking but less targeted ads.

Privacy Regulation and Online Advertising

By- Avi GoldfarbCatherine E. Tucker

Advertisers use online customer data to target their marketing appeals. This has
heightened consumers' privacy concerns, leading governments to pass laws
designed to protect consumer privacy by restricting the use of data and by
restricting online tracking techniques used by websites. We use the responses of
3.3 million survey takers who had been randomly exposed to 9,596 online display
(banner) advertising campaigns to explore how privacy regulation in the European
Union (EU) has influenced advertising effectiveness. This privacy regulation
restricted advertisers' ability to collect data on Web users in order to target ad
campaigns. We find that, on average, display advertising became far less effective
at changing stated purchase intent after the EU laws were enacted, relative to
display advertising in other countries. The loss in effectiveness was more
pronounced for websites that had general content (such as news sites), where non-
data-driven targeting is particularly hard to do. The loss of effectiveness was also
more pronounced for ads with a smaller presence on the webpage and for ads that
did not have additional interactive, video, or audio features.

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System and method for social networking interactions using online consumer
browsing behavior, buying patterns, advertisements and affiliate
advertising, for promotions, online coupons, mobile services, products,
goods & services, entertainment and auctions, with geospatial mapping
technology

By- Heath, S. (2013). U.S. Patent Application No. 13/369,244.

Systems and methods are provided using combined technologies for social
networking interactions using tracking, predicting, and implementing online
consumer communications, browsing behavior, buying patterns, and
advertisements and affiliate advertising and communications, for online coupons,
mobile services, products, goods & services, entertainment shopping, auctions,
bidding, bidding behavior, bidding results for targeting and filtering of promotions,
online coupons, mobile services, products, goods & services, penny auctions or
online auctions, advertisements and affiliate advertising or services on a three
dimensional geospatial platform using geospatial mapping technology, company-
local information, social networking, and social networking communities (“PGS-
GM-CL/I-SN”).

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The Impact of Perceived Channel Utilities, Shopping Orientations, and
Demographics on the Consumer's Online Buying Behavior
By- Hairong Li Cheng Kuo Maratha G. Rusell

This study proposed and tested a model of consumer online buying behavior. The
model posits that consumer online buying behavior is affected by demographics,
channel knowledge, perceived channel utilities, and shopping orientations. Data
were collected by a research company using an online survey of 999 U.S. Internet
users, and were cross-validated with other similar national surveys before being
used to test the model. Findings of the study indicated that education, convenience
orientation, experience orientation, channel knowledge, perceived distribution
utility, and perceived accessibility are robust predictors of online buying status
(frequent online buyer, occasional online buyer, or non-online buyer) of Internet
users. Implications of the findings and directions for future research were
discussed.

Electronic commerce is fundamentally changing the way consumers shop and buy
goods and services. Consumers have begun to learn how to act in an ever-changing
electronic market environment. Like any diffusion of innovation, there is a learning
curve for most consumers to behave in electronic commerce in a way they feel the
most comfortable. For some consumers, shopping and buying online have become
part of their daily lives, whereas others may consider it, without taking any action
yet. What factors can explain the differences in online buying behavior among
Internet users? Our purpose in this study is to identify what factors determine
whether Internet users choose to buy or not buy online, and how frequently they
make such purchases.

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This study focuses on factors that are deemed important from both theoretical and
practical perspectives. Although demographics are useful in describing
characteristics of online shoppers and buyers, other factors may profile this new
group of consumers better. This study investigates the impact of shopping
orientations on how consumers use the Internet as a buying venue. It also examines
the influence of channel knowledge and perceived channel utilities. Finally, the
study proposes a conceptual model of online buying behavior and tests it using
empirical data from a national online survey

Buying, Searching, or Browsing: Differentiating Between Online Shoppers

Using In-Store Navigational Click stream
By-Wendy W.Moe

In the bricks-and-mortar environment, stores employ sales people that have learned
to distinguish between shoppers based on their in-store behavior. Some shoppers
appear to be very focused in looking for a specific product. In those cases, sales
people may step in and help the shopper find what they are looking for. In other
cases, the shopper is merely “window shopping.” The experienced sales person can
identify these shoppers and either ignore them and let them continue window
shopping, or intercede and try and stimulate a purchase in the appropriate manner.
However, in the virtual shopping environment, there is no sales person to perform
that role.

Therefore, this article theoretically develops and empirically tests a typology of

store visits in which visits vary according to the shoppers’ underlying objectives.
By using page-to-page clickstream data from a given online store, visits are
categorized as a buying, browsing, searching, or knowledge-building visit based on
observed in-store navigational patterns, including the general content of the pages

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viewed. Each type of visit varies in terms of purchasing likelihood. The shoppers,
in each case, are also driven by different motivations and therefore would respond
differentially to various marketing messages. The ability to categorize visits in
such a manner allows the e-commerce marketer to identify likely buyers and
design more effective, customized promotional message.

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RESEARCH OBJECTIVE, RESEARCH DESIGN &
METHODOLOGY

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 RESEARCH OBJECTIVE & METHODOLOGY

Research methodology is the way in which research problems are solved

systematically. It is a science of studying how research is conducted scientifically.

The term research is also used to describe an entire collection of information about
a particular subject. Research is defined as human activity based on intellectual
applications in the investigation of manner.

Business research can be defined as a systematic and objective process of

gathering, recording and analyzing data that provides information to guide business
decision.

Research Approach:
The purpose of this study is to gain consumer preference towards ONLINE
ADVERTISING in India.

Research Design:
The respondents will be the consumers who are influenced through the
Online Advertising there data and information is being collected in the form
(pie shape and bar graph) who are interested to cooperate. To collect the data
the in-depth interview method with help of questionnaire is used.

Sampling Method:

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 The in-depth interview for this study was limited to North zone only due to
certain limitations. Also, it has been mentioned earlier that, the interview
was only on the consumers and users of Samsung phone. They were
requested to fill the form. The sample size was 155 for this study. Random
Sampling method was used for selecting samples

Research Instrument:
Contacting the customer personally and studying the response from the
online questionnaire filled.

Data Analysis Method:

The data analysis of this research was represented on qualitative as well as
quantitative manner. Application packages like Office (Microsoft Word,
Microsoft Excel and Google forms) and SPSS were used.

Data Collection:
Primary Data;
Questionnaires for in-depth discussions with various respondents to be
interviewed during primary survey were designed during this phase. List of
contacts were also prepared during this phase. This involved in-depth face-
to- face discussions using semi-structured questionnaires with various
respondents.

Pilot field survey

Pilot field survey was conducted with the intention of testing the validity of
the questionnaires for fulfilling the objectives to the study. The
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 questionnaires and the list of contacts were modified based on responses of
pilot field survey.
TYPE OF RESEARCH

DESCRIPTIVE RESEARCH

Descriptive research consists of surveys and fact-finding enquiries of different

types. The main objective of descriptive research is describing the state of affairs
as it prevails at the time of study.

Descriptive research is undertaken to describe answers to questions of who, what,

where, when and how.

Descriptive research is desirable when we wish to project a study’s finding to a

larger population, if the study’s sample is representative.

CLASSIFICATION OF DESCRIPTIVE RESEARCH

Two basic classifications:

• Cross-sectional studies
• Longitudinal studies

Cross-sectional studies measure units from a sample of the population at only one
point in time.
Longitudinal studies repeatedly measure the same sample units of a population
over time.

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Longitudinal studies often make use of a panel which represents sample units who
have agreed to answer questions at periodic intervals.
CROSS SECTIONAL DESIGN

Involve the collection of information from any given sample of population

elements only once.
• In single cross-sectional designs, there is only one sample of respondents and
information is obtained from this sample only once.
• In multiple cross-sectional designs, there are two or more samples of respondents,
and information from each sample is obtained only once. Often, information from
different samples is obtained at different times.

SAMPLE DESIGN

A sample design is a definite plan for obtaining a sample from a given population.
It refers to the technique or the procedure the researcher would adopt in selecting
items for the sample. Sample design may as well lay down the number of items to
be included in the sample i.e., the size of sample. Sample design is determined
before data are collected.

The process of selecting the right individuals, objects or events for the study is
known as sampling.

Sampling involves the study of a small number of individuals, objects chosen from
a large group.

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Sample size
I have taken the sample size of 155 individuals for the research.

Sample Unit
In this, the target population will be sampled. Once the sampling unit is determined
sampling frame has to be prepared so that each and every one in the target
population has an equal chance of being sampled.

Sampling Area
The sample area of my research project was North Zone.

Data Analysis
The data analysis is done with the help of bar graphs and pie charts.

Technique of Sampling

There are 2 types of sampling techniques: -

1. Non-probability sampling technique
2. Probability sampling technique
The technique used for the research is non-probability sampling technique.

1. Non-probability sampling technique

Under non-random sampling each and every unit of population do not have an
equal chance of being selected in the sample. In this method, the selection of
sampling units depends entirely on the personal judgment of the investigator.

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2. Probability sampling technique
When each and every unit of the population has an equal and independent chance
(probability) of being selected in the sample, it is called random sampling. Equal
chance means that probability of each unit to be selected in the sample will be
same. Independent chance means that the selection of one unit is not dependent
upon the selection of another unit.

Type of Data collection

Primary Data
Primary research refers to research that has involved the collection of original data
specific to that particular research methods such as questionnaires.
The primary data are those which are collected a fresh and for the first time, and
thus happen to be original in character.

Survey refers to the method of securing information concerning phenomena under

study from all or a selected number of respondents of the concerned universe. In a
survey, the investigator examines those phenomena which exist in the universe
independent of his action.

Collection of Primary Data

There are several methods of collecting primary data, particularly in surveys and
descriptive researches. Important ones are: -

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A. Through questionnaires.
B. Through schedules.

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Questionnaire Method
A questionnaire, whether it is a schedule, Interview form, or measuring instrument,
is a formalized set of questions for obtaining information from respondents.
A questionnaire is a set of questions to be asked from respondents in an interview,
with appropriate instructing indicating which questions are to be asked and in what
order.

Sampling
Research Design: Descriptive
Sample Unit: Individual (both male and female)
No. of Respondent: 155 Respondents
Sample Technique: Random
Data Collection: Primary data, secondary data

Methodology of the Study

The population of the study included random Online User. In order to collect the
data, a questionnaire was developed, which consisted questions and had been
designed to seek information and opinions of the Online users . Its help to tell
actual position of Advertising Effect.The questionnaire was floated through Google
Forms and their response was recorded. The responses were analyzed and
interpreted on percentage basis.

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Research Objectives
a. To analysis consumer’s attitude towards internet advertising and its
effect on their purchase behavior pattern.
b. To verify whether online advertisement provides mores services than
traditional advertisement.
c. To check out whether they use online advertisement as a medium for
buying
d.

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DATA INTERPRETATION

40
 1. Different Gender Responded

Figure No.1.

Table no: -1

Gender No. of respondents

Male 55%
Female 45%
Prefer not to say 0

Data Interpretation
Out of 100 %( 155 Respondents), 55% are Male are respondents and 45% are
female.

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2. Different Age group Respondents.

Figure No.2

Table no: -2

Age No. of Respondents

Under 18 2%
18-25 91%
26-40 4%
Above 40 3%

Data Interpretation
Out of 155 respondents 2% are of age group Under 18, 91% are of age group
between 18-25years, 4% are of age group between 26-40 years and 4% are above
40 years.

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 3. Educational Background of the Respondents

Figure No.3

Table No.3

Educational Background No. of Respondents

Intermediate 6%
Under-Graduate 57%
Graduate 29%
Post- Graduate 8%

Data Interpretation
Out of 155 respondents 6% are Intermediate, 57% are Under-Graduate, 29% are
Graduate and 8% are Post-Graduate.

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Occupation of Respondents.

Figure No. 4

Table N0.4

Occupation No. of Respondents

Business 3%
Home-Maker 4%
Professional 6%
Employee 2%
Student 82%
Self-Employed 2%
Fashion 1%
Photographer

Data Interpretation
Out of 155 respondents 3% have Business, 4% are home maker, 6% are
Professional, 2% are employee, 82% are students, 2% are Self-employed and 1%
are Fashion Phtographer.

4. Different Income Group

Figure no: -5

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Table No. 5

Income level No. of Respondents

Less than 2.5 lakhs 57%
2.5 lakhs- 5 Lakhs 14%
5lakhs- 10lakhs 18%
10 lakhs or above 11%

Data Interpretation
Out of 155 respondents 57% have income level less than 2.5lakhs, 14% have .
25lakhs- 5lakhs, 18% have 5lakhs- 10lakhs and 11% income level above than 10
lakhs.

o you use Internet?

Figure No.- 6

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 Table No.6

Internet Users No. Of Respondents

Yes 99%
No 1%

Data Interpretation
Out of 155 respondents 99% respondents use internet, and only 1 % of respondents
do not access internet.

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Data Interpretation
Out of 155 respondents 149 votes that they use internet on their Smartphone, 64
votes are for the laptop users, 21 votes for the tablet or I-Pad, and 18 votes for the
Desktop users.

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Data Interpretation
Out of 155 respondents 107 votes that Video Ads influence them, 68 votes for the
display Ads, 25 votes for the Text Ads and 1 vote for the none.

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9. Do you think online advertisements are valuable source of information
about the product or services?

Figure No.9

Table no.9

Information Impact No. of Respondents

Yes 63%
No 3%
Sometimes 34%

Data Interpretation
Out of 155 respondents 63% says the online advertisements are valuable source of
information, 3% says No and 34% says sometimes it is valuable.

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10. Do you think, Online advertisement influence customer purchase?

Figure No.10

Table No. 10

Customer Purchase No. of Respondents

Yes 76%
No 4%
Sometimes 20%

Data Interpretation
Out of 155 respondents 76% say yes that advertisement influences the customer
purchase, 4% says No and 20% says they do effect but sometimes.

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Data Interpretation

51
Out of 155 respondents 107 votes are for the Facebook, 28 for Gmail, 90 votes for
the Instagram, 19 votes for the Snapchat, 9 for the Twitter, 9 for the YouTube, 2 for
the Whatsapp, and 1-1 each for Hotstar and flipkart.

12. Sometime Do Advertisement irritates you?

Figure No-12

Table no.12

Advertisement Irritation No. of Respondents

Yes 70%
No 5%
Sometime 25%

Data Interpretation

52
Out of 155 respondent 70% says that Advertisement do irritate them, 5% says No
and 20% says sometime they got irritated with them.

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13. How many hours (approx), do you spend time online in a day?

Figure no.13

Table no. 13

Spending time No. of Respondents

0-4 hours 55%
5-8 hours 37%
More than 8 hours 8%

Data Interpretation

Out of 155 respondents, 55% spend 0-4 hours online a day, 37% spends 5-8
hours in a day and 8% spend more than 8 hours in a day.

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14. Do you Think online Advertisements are important?

Figure no. 14

Table no. 14

Online Importance of Advertisement No. of Respondents

Yes 76%
No 6%
Sometimes 18%

Data Interpretation

Out of 155 respondents 76% Seems to have importance of online

advertisement, 6% says No to online advertisement and 18% Sometime it is
important to have Online Advertisement.

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RESEARCH FINDINGS

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 Findings
 Out of 100 %( 155 Respondents), 55% are Male are respondents and 45%
are female
 Out of 155 respondents 2% are of age group Under 18, 91% are of age group
between 18-25years, 4% are of age group between 26-40 years and 4% are
above 40 years
 Out of 155 respondents 6% are Intermediate, 57% are Under-Graduate, 29%
are Graduate and 8% are Post-Graduate.
 Out of 155 respondents 3% have Business, 4% are home maker, 6% are
Professional, 2% are employee, 82% are students, 2% are Self-employed and
1% are Fashion Photographer.
 Out of 155 respondents 57% have income level less than 2.5lakhs, 14% have
.25lakhs- 5lakhs, 18% have 5lakhs- 10lakhs and 11% income level above
than 10 lakhs.
 Out of 155 respondents 99% respondents use internet, and only 1 % of
respondents do not access internet
 Out of 155 respondents 149 votes that they use internet on their Smartphone,
64 votes are for the laptop users, 21 votes for the tablet or I-Pad, and 18
votes for the Desktop users.
 Out of 155 respondents 107 votes that Video Ads influence them, 68 votes
for the display Ads, 25 votes for the Text Ads and 1 vote for the none.
 Out of 155 respondents 63% says the online advertisements are valuable
source of information, 3% says No and 34% says sometimes it is valuable.
 Out of 155 respondents 76% say yes that advertisement influences the
customer purchase, 4% says No and 20% says they do effect but sometimes
 Out of 155 respondents 107 votes are for the Facebook, 28 for Gmail, 90
votes for the Instagram, 19 votes for the Snapchat, 9 for the Twitter, 9 for the
YouTube, 2 for the Whatsapp, and 1-1 each for Hotstar and flipkart.

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  Different users have different perspective of thinking and voted according to
it
 Out of 155 respondent 70% says that Advertisement do irritate them, 5%
says No and 20% says sometime they got irritated with them
 Out of 155 respondents, 55% spend 0-4 hours online a day, 37% spends
5-8 hours in a day and 8% spend more than 8 hours in a day.
 Out of 155 respondents 76% Seems to have importance of online
advertisement, 6% says No to online advertisement and 18% Sometime
it is important to have Online Advertisement


Conclusion
At the end I would like to conclude that it is New Digital World and most of
the consumers uses internet as it is shown in the Findings. So, Companies are
moving towards the digital marketing technique which is good as Digital
marketing have large coverage and easy to access so everyone can be targeted
from this.

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Online advertisement is part of digital marketing companies are mainly
focusing on this thing as consumer prefer more to access internet information
rather than any other in today’s worlds.

Companies and Firms seems to have less and less cost on internet marketing
and consumer wanted to get best in a value so they prefer online shopping
now a days,

All the things have positive and negative side too as it can be widely and easily
spread so it can be a wrong and disaster information too which can degrade
value or brand image or anything you advertise their things online.

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 Suggestion: -
The study was conducted in to very vast group of respondents and
so its reflection and interpretation provide a suggestion platform
me as.
1. Advertisement should not be over content. Like via social
media and e-mail.
2. Small jingle, funny message and customer feelings connection
must be used preferably.
3. Approach of advertisement should not be like TV
advertisement but it must be more in outdoors and social
media.

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 Limitation: -
1. In this project, I have tried to present facts with figures
penetrating to my survey skills it has some limitation which are
there in this project need identification.
2. The sample survey is done on a very small number of people
thus the results drawn may be different from the opinion of the
universe.
3. The time of one month is very less for covering all the aspects
of the project.
4. The feedback received from individual is according to his
perception, limited exposure and personal knowledge level.
5. Very less time was there for interacting with corporate clients.
6. Problem with the person to fulfill questionnaire.
7. Online forms were asked to submit which result in lack of
interaction with the respondents.

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 

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