Influence of google shopping ads on intention to purchase among generation y in Cape Town

Abstract

Advertising has been a key component of marketing strategies for decades, and traditional advertising methods such as television, radio, and print are still used effectively by many businesses today. The proliferation of technology has given rise to novel advertising channels, with the internet being a prominent example that has undergone substantial expansion in recent times. The emergence of novel advertising techniques such as social media advertising, pay-per-click (PPC) campaigns and search engine optimisation has been facilitated by this development. The efficacy of these platforms in reaching desired audiences and generating leads has been demonstrated, owing to their capacity for enhanced targeting and customisation of promotional communications. Notwithstanding the expansion and efficacy of contemporary advertising platforms, scholarly attention has not kept pace with this domain of inquiry. The challenge lies in the comprehension of the influence of advertising endeavours on the intended audience, particularly the youth cohort, which poses a significant hurdle for enterprises. Recent research has provided insights into the efficacy of digital marketing, specifically in relation to the buying behaviour of Generation Y respondents. The ascendance of Google in South Africa was assessed, alongside the involvement of Generation Y in procuring Google advertisements within the designated research demographic. The problem statement was thoroughly elucidated with regards to the research potential and necessity of undertaking this study, which seeks to fill the existing research voids and limited investigations in developing nations. This will be achieved by investigating the impact of various factors, such as brand awareness, trust, credibility, value, irritation, product risk, time risk, and security risk, on the purchase intention of Generation Y individuals residing in Cape Town, South Africa. These theoretical aspects were derived from three distinct research models: the hierarchy of effects model, the advertising value model, and the perceived risk model, which were encompassed in the conceptual research model of this study. Furthermore, the research undertook a comprehensive examination of usage patterns and demographic variables, including factors such as accessibility, duration of internet usage, frequency of internet usage, time spent on internet activities, gender, age, and various other demographic factors. The literature review elucidated the expansion of usage in digital marketing landscapes and examined the prominent search engine companies, namely Google, Microsoft Bing, Yahoo, Baidu, and Yandex, each of which offers its own iterations of search engine advertisements. In the context of South Africa, empirical data indicates that search engine advertisements are widely utilised as a prevalent form of digital advertising. These advertisements function by presenting pertinent products or services in reaction to search queries. The efficacy of search engine advertisements can surpass that of search engine optimisation in isolation. Google Shopping ads are a form of search engine advertising that showcases visual representations of products along with their corresponding prices. The expenses associated with search engine advertisements exhibit variability contingent upon factors such as the level of competition and the available targeting options. This section also delved into the distinct advertising opportunities presented by various digital platforms, including Facebook, Instagram, and TikTok.

The aims of this study were formulated according to the research questions, hypotheses, conceptual framework, and six autonomous variables, namely brand awareness, trust, perceived value, irritation, product risk, and time risk, which were assessed for their linear associations with purchase intention. The research and methodology chapter provides a succinct summary of the research framework, the process of selecting the sample, the methods of data collection, the design of the questionnaire, and the procedures for analysing the data. The study describes the methodology used for sampling, which involved the use of a convenience sampling approach. The current study utilised a quantitative approach to collect primary data via a self-administered questionnaire, which resulted in the collection of 5 808 questionnaires. The survey instrument consisted of three distinct sections, specifically focused on consumption patterns, demographic information, and customer attitudes. According to empirical research, individuals belonging to Generation Y exhibited a preference for Google Shopping advertisements. Brand awareness, trust, and perceived value were found to have a positive impact on purchase intent as a result of Google purchasing advertisements, and irritation, product risk, and time risk were found to have a negative impact. The positive desire to purchase was found to greatly increase the use of Google Shopping ads by young customers when accessed by tablets and/or cell phones, used for one year or less, and used for a greater number of hours. Generation Y participants who were women, from the Black population group, aged 23-32 years, and/or with Grade 12 and higher education levels showed the strongest purchasing intentions due to Google Shopping ads. Ultimately, Google Shopping ad utilisation has the potential to yield advantages for diverse demographic cohorts. The implementation of data-driven and personalised communication strategies has the potential to enhance the connection between advertisers and their target audience. In order to effectively identify client segments that exhibit interest in a product, marketers could employ the utilisation of keywords. This will assist advertisers to understand their target audience and deliver a tailored message. Given the significant purchasing power of individuals who are employed or engaged in social activities, it is imperative that advancements in technology and societal revitalisation efforts prioritise the enhancement of literacy skills and functional capabilities. The study showed that there are numerous factors that influence the purchase intent related to Google Shopping ads, which should be taken into consideration to enhance customer expenditure and e-commerce businesses.