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American Journal of Theoretical and Applied Business

2018; 4(2): 44-47


http://www.sciencepublishinggroup.com/j/ajtab
doi: 10.11648/j.ajtab.20180402.12
ISSN: 2469-7834 (Print); ISSN: 2469-7842 (Online)

Economic Effects of Product Packaging on Consumer


Shopping Behavior: The Case of Lebanon
Bassam Charif Hamdar1, *, Mona Al Dana2, Ghida Al Chawa2
1
Department of Economics, American University of Science and Technology, Beirut, Lebanon
2
Department of Business Administration, MBA Program, American University of Science and Technology, Beirut, Lebanon

Email address:
*
Corresponding author

To cite this article:


Bassam Charif Hamdar, Mona Al Dana, Ghida Al Chawa. Economic Effects of Product Packaging on Consumer Shopping Behavior: The
Case of Lebanon. American Journal of Theoretical and Applied Business. Vol. 4, No. 2, 2018, pp. 44-47. doi: 10.11648/j.ajtab.20180402.12

Received: April 10, 2018; Accepted: April 26, 2018; Published: May 19, 2018

Abstract: In today's competitive market place, it's harder than ever to attract a consumer's attention. It's estimated that the
average consumer spends less than a second scanning shelves, and in that time, will make a decision on whether or not to
purchase any given product. The discipline of package design focuses on producing a container that will get noticed. By
skillfully teaming colorful graphics, a unique shape, or any other eye-arresting method, the package designer is a key player in
any company's marketing effort. No matter how beneficial the product inside the container may be, unless a consumer decides
to pick it up, that product will never get tested. Moreover, many studies indicate that consumers have high motivation to pay
for Packaging related to energy efficient products. Subsequently; the pristine packaging color-coded, which designed by
professionals to be the silent salesman of the brand, undoubtedly, has considerable impact on the purchasing decision. The
objective of this study is to determine the impact of packaging on customer’s buying behavior. Data have been collected
through a questionnaire and analyzed using the SPSS software. Furthermore, a sample of 200 respondents has been utilized to
indicate that design packaging has a critical role to play in the consumption of products in Lebanon. Additionally, the results of
the study reflected that packaging, especially, Color and Wrapping Design play a vital role in the decision buying process of
the consumer.

Keywords: Economic Effect, Packaging, Buying Behavior, Purchasing Decision, Independent and Dependent Variables,
Lebanon

characteristics of packaging. Packaging became an important


1. Introduction selling proposition, which stimulates buying behavior. It
People are visual creatures by nature. What differentiates a increases sales and reduces marketing and promotional costs,
bad company from a good company is the fact that, the latter a good reason for designing companies to utilize. According
knows how to attract customers’ attention with the help of to Underwood et al. [3], Packaging works as an instrument
packaging design. While an interesting and eye-catching logo for creating an image in customer’s mind, and increases
does play a big part in marketing a product, nothing comes as expectations for what is inside the displayed product.
close as the effects a visually appealing and striking design Especially, perfume commercials, where perfume cannot be
has on prospective customers. A good design should always smelled but, nevertheless, consumers buy it due to the
reflect the product and the creativity and personality of the expectations created by the bottle’s shape. This indicates that
company. There is more, however, to packaging design than people see the product image with positive attitude based on
simply ensuring a package looks appealing [1]. its packaging.
Underwood pointed out [2] that Packaging became itself
an advertisement tool for its company. The consumers are 2. Objectives of the Study
enthused by the packaging quality, color, wrapper, and other
The following main objectives are to be addressed in this
American Journal of Theoretical and Applied Business 2018; 4(2): 44-47 45

paper: 4. Research Methodology


1. To find out the effects of packaging on consumers
purchasing behavior. The hypothetical framework between independent and
2. To measure the impact of packaging on the consumer. dependent variables can be stated as follows:
3. To identify attractive elements for designing product Dependent Variable:
packaging. 1. Consumer’s Buying Behavior
Independent variables:
1. Color (Draws attention & affects mood).
3. Literature Review 2. Packaging material (consumers seek high quality
L Renaud [4] worked on the Influence of Eco-Labeling on packaging).
Consumer Behavior. The main aim of the study was to 3. Wrapper (mostly children below 18 are attracted highly
measure the importance of labeling on Packaging compared by the wrapper used).
to other product features (like brand, price, etc.) for shoppers’ 4.1. Research Approach
buying decisions. The method selected was based on choice
analysis. The study attempted to analyze whether the A questionnaire on the basis of the objectives of the study
importance of the labeling and packaging varies among including a sequence of well-arranged questions was
product groups. A total of 302 customers were surveyed; the distributed to university and school students. The data were
variables chosen within this study were, present mood, time, later collected and transformed into descriptive analysis, in a
buying purpose, and marketing technique. The most quantitative approach.
important result of the analysis was the high motivation to The Survey is designed with the following objectives:
pay for Packaging related to energy efficient products. 1. To measure the role of packaging in consumer buying
Limon et al. [5] worked on the packaging design as a behavior.
resource for the construction of brand Identity. The result was 2. To estimate the percentage of students who consider the
that there were no meaningful guidelines for developing packaging design an essential element of their purchasing
packaging design, shapes, finishes, sizes, images, colors, decision.
impressions, purchase intention, and brand. Furthermore, 3. To determine the perceptions of students concerning the
According to Karbasivar and Yarahmadi [6], cash discount impact of the packaging design on their decision to make a
and window display have important role in encouraging purchase.
impulse buying. The survey method utilized was based on a longitudinal
Garber et al. [7] indicated that Packages are claimed to study; which enables researchers to study different samples
attract attention when their appearances are not typical within from different universities and schools at different time
a product class; While, Schoormans and Robben [8] asserted horizons, by taking into consideration time changes that will
that unusual packages attract attention no matter what. allow one to better understand the students’ opinions vis-à-
However, Maiksteniene and Auruskeviciene [9] show that vis the effect of packaging design on the buying behavior.
colors and shapes attract more attention. Moreover,
Underwood [2] points out that packaging allows positioning 4.2. Population and Sample Size
to be transferred live. For this study the target population consists of students
As it accompanies products, packaging lives in consumers’ from different universities and different schools in Lebanon.
homes and potentially becomes an intimate part of their lives, The total sample size is 200 and this paper utilized a simple
creating a type of live experience between the purchaser and random sampling technique in order to generalize the
the brand [10]. finding, because it’s the most applicable for non-biased
Packaging is a very important element of the marketing answers, in addition to have different opinion from different
mix. The pristine packaging color-coded, which designed by genders, positions, age, educational background etc.
professionals to be the silent salesman of the brand,
undoubtedly, has considerable impact on the purchasing 4.3. Data Collection
decision [11]. However, Sun et al. stated that a variety of
factors affect consumers’ choices of cosmetics. These This paper utilized an exploratory research method, and
factors may include sensory appeal, convenience of usage, the questionnaire was analyzed descriptively.
health, season, color, age of the consumers, etc. Sensory Data Sources:
appeal could be a major factor that contributes to 1. Primary Data was collected from the respondents by
consumers’ choice of cosmetics. “Brightening” and administering a structured questionnaire distributed at
“illuminating” were among the most popular terms used as schools and universities.
product claims in 2013 in UK [12]. Finally, one crucial 2. Secondary Data was collected from published files and
element of successful packaging is an icon: "Emotions are reports.
often connected to brand icons as memories and feelings can 4.4. Sample Design
be brought up on sight, leading to long-term relationships
between the brand and the consumer [13]. A quantitative method is used in this paper. It aims at
46 Bassam Charif Hamdar et al.: Economic Effects of Product Packaging on Consumer Shopping
Behavior: The Case of Lebanon

measuring the effect of packaging design on buying behavior. for data analysis. Moreover, the SPSS software is used to
Random Sampling has been used to collect data from the describe, summarize, and measure central tendency (average)
respondents. Primary data was collected for this paper via a and dispersion. And finally, The Pearson's correlation is used
systematic and structured questionnaire, which was divided to find correlation between the variables.
into three sections:
1. Section A: designed to assess the respondents’ attitudes 5. Results
and opinions regarding their satisfaction level. This
series of questions was rated on a Likert scale of five It is believed that 60-70% of all buying choices are made
anchors i.e.; (1) strongly Agree, (2) Agree, (3) Neutral, in the store. The packaging is the last point of
(4) Disagree, and (5) strongly Disagree. communication between a product and a consumer. Hence,
2. Section B: designed to assess the respondents’ packaging is one of the most vital points of interaction with
demographics in order to understand their background the consumer. Normally, consumers relate packaging with
to analyze the motives behind their answers. the quality of the product and such a correlation impacts the
purchasing behavior. Therefore, companies should invest in
4.5. Data Processing and Analysis the packaging to deliver the epic brand image in the buyer’s
The questionnaires are coded using a specific code for mind. Researchers evidenced such artistic features like color,
each variable, and the variables are going to be entered into brightness and design impacts, when the customer’s eyes
SPSS software [14] that will help provide several procedures land on the shelves as follows:
Table 1. Buying Behavior.

N Minimum Maximum Mean Std. Deviation


Buying Behavior Valid N (list-wise) 200 1 5 3.63 0.912

In table 1, the minimum, maximum, mean and the values of


standard deviation of the Buying Behavior Variable have been 5.1. Economic Point of View
shown. The number of observations of each variable is 200. The The shopper's economic decisions are mainly influenced by
Minimum value is 1, while the Maximum value is 5. The Mean their needs, personality, culture, and by the sight attraction of the
value is 3.63 and the standard deviation is 0.912. product. The consumers consider the price as an opportunity
Table 2. Packing Color.
cost for the product. So, the decision depends on the total utility
from buying the good, and the more the customer likes the
Std. packaging the more he/she believes it is an addition to the utility
N Minimum Maximum Mean
Deviation
level and the image dimension. The economic view of a
Packing
200 1 5 3.52 0.934 consumer depends on his/her personality in seeking for value of
Color
the product. Buyers satisfy their needs by comparing price,
In table 2, the minimum value is 1, the maximum value is quality, and packaging of the product with the available
5, and the mean value is 3.52, while the value of standard alternatives. Nowadays, packaging plays an important role in
deviation is 0.934. Moreover, the Mean shows the central either purchasing or choosing another product.
tendency of the values of a variable.
5.2. Demand and Supply
Table 3. Packing Quality.
According to Frydman [15], “the big idea here is that
Std. perceptual processes happen in the brain in parallel with
N Minimum Maximum Mean
Deviation
economic value computations, and thus influence how
Packing
Quality
200 1 5 3.62 0.911 economic decisions are made.”
Packaging spending is one of those vague areas of supply
In table 3, the minimum value is 1, the maximum values and demand theory, where one doesn't really know exactly
is5, and the mean value is 3.62, while the value of standard what might happen. Therefore, it is guessed that packaging
deviation is 0.911. The Mean varies between +/-0.911. affects customer's preferences in a positive way, and that the
outcome would be an increase in demand (the demand curve
Table 4. Wrapper design. will shift rightward) Ellwood [16]. However, creating good
Std. and eye-catching package costs companies a lot of cash.
N Minimum Maximum Mean
Deviation
Wrapper
design
200 1 5 3.51 0.813 6. Conclusion and Recommendation
6.1. Conclusion
Table 4, shows that the minimum value is 1, the maximum
value is 5, and mean value is 3.51, while the value of standard Packaging plays a huge role in advertising and promotion
deviation is 0.813. The Mean varies between +/-0.813. campaigns. It shows to have a significant impact on
American Journal of Theoretical and Applied Business 2018; 4(2): 44-47 47

consumer buying behavior. Colors, shape, and quality catch Design as a Communications Vehicle in Cross-Cultural Values
consumer’s attention and interest. The shopper’s purchase Shopping. Journal of International Marketing: March 2009,
Vol. 17, No. 1, pp. 30-57.
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for consumer’s purchase decision. Most consumers care Effective Factors on Consumer Impact Buying Behavior,
about the packaging size, color and how easy to open and Asian Journal of Business management, 2(4):174-181.
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Most consumers like the item’s quality after they purchase Choice. Report-Marketing Science Institute Cambridge
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and Evaluation. Journal of Economic Psychology, 18(2), 271-
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thought-out aesthetic features, can affect consumers’
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design, shape, and can impact consumer’s culture with its Can Boost Revenue, Decrease Cost and Build Brand”,
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emotion that matters the most. [11] Parker, C., Roper, S., and Medway, D., (2015). Back to Basics
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