Impact of consumer attitudes on online advertising: hotel industry in Sri Lanka

Abstract

Businesses have recognized that the Internet is the medium channel for promoting online advertising to consumers around the world. The attitude of end users plays an important role in creating effective online advertising. Hence, the objective of this study is to examine the key factors influencing consumers’ attitude towards online advertising in hotel businesses in Sri Lanka. An online survey was conducted to collect data from a sample of 150 people living in the Kandy district. The study revealed that key determinants such as information, entertainment, reliability, economy and value have a positive and significant impact on consumers' attitude towards online advertising in the hotel industry in Sri Lanka. The regression model was significant at 0.001 and the adjusted R2 of the fitted model was 0.642, indicating that 64.2% of the variance in online advertising is explained by independent variables. This research contributes to the existing knowledge by providing empirical support to explain consumers' attitude towards online advertising in hotel businesses in Sri Lanka, while adding value to various stakeholders. The fitted model and factors shall be applied to enhance the attitude of consumers in different domains in Sri Lanka