E-advertising is a new platform for marketers to create awareness and influence purchase decision of the consumers. It provides a way to entice people to visit the advertiser’s site by clicking on the banner or button on the web site. Purchase decision is that decision making processes undertaken by consumers in regard to a potential market transaction before, during, and after the purchase of a product or service. In this study, we focus on the use of e-advertising for online purchasing. The aim of this paper is to examine the impact of e-advertising on purchasing decision. This research is based on study involving a survey of 100 professionals and college going students. Firstly, factors affecting E-advertising are identified using factor analysis and then the impact of these factors on purchase decision is presented using percentage method.