Impact of Value Proposition of Digital Marketing Communication on Car Buyers’ Attitude

Abstract

Digital marketing communication has affected almost every business along with significantly altering the consumer behaviour. Businesses around the globe are accepting digital marketing communication as an advanced, cost-effective and more relevant alternative to its traditional counterpart, that is, conventional marketing. Consumers have also become accustomed to digital technology and exercising their control over content along with dictating the terms for time and place of purchase. Marketers are resorting to digital marketing because it is interactive, personalized, relevant, informative and cost-effective. FMCG, BFSI and automobiles have been consistently ranked at top digital spenders of the country for last 5 years. The present study deals with understanding the value proposition of digital marketing in Indian car market by applying Neil Rackham’s model. The study also aimed to assess the impact of value proposition on car buyers’ attitude. Primary data were collected from 603 actual and potential car buyers using area-wise proportionate sampling from Delhi. One sample Wilocoxon-Signed Rank Test was applied as test of significance to understand the value proposition. Structural equation modeling (SEM) was used to assess the overall fit and impact of value proposition on car buyers’ attitude. Value proposition model successfully explained 67 per cent of the variation in car buyers’ attitude.