Impact Of Product Packaging On Consumer Behaviour

Project Objective

Product packaging is the last step in production of a product before it is sold in the market. It is to pack, store, protect, and promote a product. Product packaging is important to define a product, product quality and quantity, its content, and instructions to use the product. Product packaging includes label, material, and colour (Breetz, 2014). Product packaging is also designed to attract customers. There are various aspects that a customer considers before buying any product like price, need, quantity, quality, and discounts. These factors with various other factors like advertisements and recommendations affect customers’ buying behaviour (Gbadamosi, 2013). In this respect, this research will be focused on understanding the impact of product packaging on customer buying behaviour.

The aim of this research is to analyse the impact of product packaging on buying behaviour of customers. In relation to the aim, certain objectives will be met while conducting the research. These objectives are as follows:

• To gain an in-depth knowledge of product packaging, its attributes, and factors required to be considered for designing product packaging
• To understand the meaning, types, and theories of customer buying behaviour
• To understand the factors influencing buying behaviour of customers
• To analyse the effect of product packaging as a factor influencing buying behaviour of customers

The present research aims to analyse the impact of product packaging on customers’ buying behaviour. In order to meet this objective, the proposed research will conduct a survey of customers at Woolworths and Coles and literature review will also be conducted to gain knowledge on the research subject. This research will help management of manufacturing industries to decide on various aspects of product packaging in order to attract and retain customers, set brand image, and introduce innovation in packaging of products according to the changing demands of the customers.

Various researchers and scholars have conducted research on the topic of this research, which have been analysed to gain knowledge on research topic. As per Stolzenbach et al. (2013), main attributes of packaging include labelling, colour, and shape (Stolzenbach et al., 2013). In addition to these, Hogg et al. (2016) categorised essentials of packaging into informational and visual attributes. Informational elements include details about product and technology used in manufacturing. Visual elements include colour, size, logo, and shape (Hogg et al., 2016). According to Van Ooijen et al. (2016), packaging is used for protecting product, ensuring usability, promoting brand, and safeguarding product from environmental damages (Van Ooijen et al., 2016). Product labelling details ingredients of product, which helps customers in taking buying decisions (Nikolova and Inman, 2015). As per Grunert, Hieke and Wills (2014), packaging material protects product and also represents brand and quality (Grunert, Hieke and Wills, 2014).

Customer behaviour relates to perception according to which customer decides to purchase a product or service. According to Gifford and Nilsson (2014), there are two types of approach in consumer behaviour, which are, cardinal approach, which is measurable in terms of utility or satisfaction level and ordinal approach, which states that utility cannot be quantified. The literature classifies customer behaviour in four types, which are, variety seeking behaviour, dissonance buying behaviour, habitual buying behaviour, and complex buying behaviour (Konstantoglou et al., 2016).

The literature review helps in concluding that customers’ buying behaviour is influenced by product packaging and so, management of production companies keep on reviewing and formulating influential packaging to attract customers by studying new trends and customer buying patterns.

Project Scope

The literature problem relates to reliability of data. In order to meet this issue, data will be collected from reliable sources like Emerald insight and Sage Publications. Additionally, latest data will be collected for qualitative analysis so that updated trends are studied. Literature gap of type of packaging influencing customers, demand of customers regarding innovation in packaging, and packaging influencing customers to decide on features of the product will be met by collecting customers’ view by conducting a survey. In addition, literature review will also be carried out to review the views of various authors and scholars.

Primary Question

What is the extent to which product packaging influences buying decision of customers?

Secondary Questions

Q1. What type of packaging influences customers’ buying decision?

Q2. What are the expectations of customers in relation to innovation in packaging?

Q3. How customers use packaging attributes in determining features of a product?

Q4. Does packaging helps in attracting and retaining customers?

Research Hypothesis

H0: Product packaging influences customer buying behaviour

H1: Product packaging does not influence customer buying behaviour

Theoretical Framework

The dependent and independent variables can be identified from the following theoretical framework.

The independent variables that have been identified by the researcher include product packaging style of the product, level of creativity and innovation in the packaging of the product and the attractiveness of the product. All of these variables, directly or indirectly affect the consumer behaviour and hence, the buying decision.  

The dependent variable in the study is consumer behaviour or buying behaviour. This has been selected as the dependent variable because a change in the independent variable will result in change in the dependent variable.

This research will follow positivism research philosophy as it seeks to analyse the impact of product packaging on customers’ buying behaviour by implementing empirical analysis (Walliman, 2015). In the proposed research, deductive approach will be applied as it aims to test the relationship between attributes, which are, product packaging and its effect on customers’ buying behaviour. Deductive approach will help in analysing the cause and effect relationship between these two attributes by testing existing theory (Wahyuni, 2012).Most appropriate research design for this research is exploratory design as it facilitates studying of variables by applying various data collection methods (Flick, 2015).

This research will use both qualitative and quantitative research method for data collection. Quantitative research method will be used for primary data collection by using random sampling method (Bernard, 2012). Data will be collected from 50 consumers at Woolworths and Coles using survey questionnaire, which will include both close-ended and open-ended questions. The questionnaire will be constructed keeping in mind research aim and objectives, findings of literature review, and hypothesis. The questionnaire will be designed to understand the gap in literature, factors influencing customer buying behaviour, and impact of product packaging on the purchase decision making of customers. The data collected would be reliable as questionnaires will be filled by customers and hence, information will be unbiased and not manipulated. The collected data will be analysed using graphical representation, which is easy to understand and interpret (Bernard, 2012). Graphical presentation will be supported by descriptive analysis. Quantitative analysis will help in analysing the relationship between the two variables, that are, product packaging and its impact on buying behaviour of customers. Analysis of data collected through survey questionnaires will also help in testing the hypothesis as data will be analysed using empirical method of data analysis. It will be taken care that data when analysed is not manipulated and is true representative of the sample collected, so that the proposed research is reliable and presents true relationship between the two variables. It will be also taken care that customers are not forced to fill-in questionnaire; their consent will be taken first and they will not be pressurised to participate in the survey unwillingly (Flick, 2015).

Literature Review

Qualitative data will be collected with the help of journals, books, online publications, and articles by various authors and scholars who have conducted research in the subject similar to the aim of proposed research. It will be a source of secondary data collection method, which helps in understanding prevailing theoretical concepts in relation to the research aim and lays foundation for research (Crowther and Lansacter, 2012). Secondary data is referred to the data, which already exists and is used for gaining understanding of existing theories and concepts. Descriptive analysis will be applied to analyse the secondary data gathered. Descriptive analysis is used to analyse subjective or theoretical information. The data collected using secondary data collection method will be accomplished by collecting data from authentic and reliable sources of information (Crowther and Lansacter, 2012). Publications by Sage Publication and Emerald Insight will be given preference as these are considered as sources providing authentic and true data. In addition to this, information collected will only be used for gaining knowledge on the research subject. The information will not be copied or plagiarism will not be done anywhere in the research study. The work of different authors and scholars that will be used in the proposed research will be credited through in-text citations at all required places (Flick, 2015). It will be taken care that data is collected from reliable and authentic sources and patent law is not violated. It will be also taken care that no rules, regulations and law is violated while carrying out the proposed research.

Quantitative and qualitative methods of data collection are used in this research as these will help in making the research valid and reliable. Qualitative data will help in gaining knowledge about customers’ buying behaviour and various aspects of product packaging. In addition to this, it will also help in understanding the relation between the two variables, which are product packaging and its impact on buying behaviour of customer. This will help in setting the foundation of the research study, and it will also help the researcher in understanding views of different authors and existing theories in the same aspect (Bernard, 2012). Quantitative data will help in understanding the perceptions and thoughts of customers in relation to product packaging. This will help in gaining true insight of customers’ thoughts in relation to various aspects of product packaging and thus, presenting a true picture of the sample related to the research question. It will help in making the proposed research authentic and reliable representing true picture of customers’ buying behaviour, which is affected by various attributes of product packaging in the present dynamic market.

The research will be completed by selecting most appropriate research methodology, which is restricted by limitations of its techniques (Walliman, 2015). The flaws in the techniques would be considered while conducting the research for enhancing reliability. Data will be collected by surveying customers at Woolworths and Coles. Customers may lack interest in filling questionnaire and may not also provide true and complete information. It is also difficult to find information on this particular topic as consumer behaviour changes with time and trend. In order to mitigate this, latest information will be collected from reliable resources.

Activities	1st quarter	2nd quarter	3rd quarter	4th quarter	5th quarter	6th quarter	7th quarter	8th quarter
Research Proposal
Literature Review
Research Methodology
Data Collection
Data Analysis
Conclusion & Recommendations
Compilation & Submission

The literature reveals that product packaging style, colour and the level of innovation involved with the development of a product directly affects the buying behaviour of the consumer. Hence, it is expected that after the main research study, the outcome will support the null hypothesis which is, product packaging affects the consumer behaviour. However, this should be noted that this outcome will only be true of the results of the primary data will be the same as the findings of secondary data.

References

Bernard, H.R. 2012. Social Research Methods: Qualitative and Quantitative Approaches. Los Angeles: SAGE.

Breetz, C. 2014. The Impact of Product Packaging on Consumers’ Value Perception. GRIN Verlag.

Crowther, D. and Lansacter, G. 2012. Research Methods. (2^nd Edition). Hungray: Routledge.

Flick, U. 2015. Introducing Research Methodology: A Beginner’s Guide to Doing a Research Project. London: SAGE.

Gbadamosi, A. 2013. Principles of Marketing: A Value-Based Approach. London: Palgrave Macmillan.

Gifford, R. and Nilsson, A., 2014. Personal and social factors that influence pro?environmental concern and behaviour: A review. International Journal of Psychology, 49(3), pp.141-157.

Grunert, K.G., Hieke, S. and Wills, J., 2014. Sustainability labels on food products: Consumer motivation, understanding and use. Food Policy, 44, pp.177-189.

Hogg, M. et al. 2016. Children as food consumers: contrasting effectiveness of television advertisement to in-store activity and product packaging. [Online]. Available at https://www.ieseg.fr/wp-content/uploads/2012/03/2016-MKT-02_Hota.pdf

Konstantoglou, A., Kokmotos, E., Folinas, D. and Fotiadis, T.A., 2016, June. Significance of packaging elements from marketing and logistics points of view. In 4 th International Conference on Contemporary Marketing Issues ICCMI June 22-24, 2016 Heraklion, Greece (p. 392).

Nikolova, H.D. and Inman, J.J., 2015. Healthy choice: the effect of simplified point-of-sale nutritional information on consumer food choice behavior. Journal of Marketing Research, 52(6), pp.817-835.

Stolzenbach, S., Bredie, W.L., Christensen, R.H. and Byrne, D.V., 2013. Impact of product information and repeated exposure on consumer liking, sensory perception and concept associations of local apple juice. Food research international, 52(1), pp.91-98.

Van Ooijen, I., Fransen, M.L., Verlegh, P.W. and Smit, E.G., 2016. Atypical food packaging affects the persuasive impact of product claims. Food Quality and Preference, 48, pp.33-40.

Wahyuni, D. 2012. The research design maze: understanding paradigms, cases, methods and Methodologies. Journal of applied management accounting research 10(1), pp. 69-80.

Walliman, N. 2015. Social Research Methods. (2^nd Edition).Croydon: SAGE.