A Peer Reviewed International Journal - ICMRR ... APRIL FULL.pdf · the marketers are making use of behavioural sciences and trying ... indirect prepositions are trying to carve ...

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SR. NO. P A R T I C U L A RS PAGE NO.

1.

CONSUMER BEHAVIOUR TOWARDS REFRIGERATOR IN

MADURAI CITY

Dr. S. VIJAYAKUMAR Dr.K.SELVAKUMAR

1-17

2.

A STUDY ON CUSTOMER PREFERENCE AND THEIR

SATISFACTION REGARDING THE M&M 4 WHEELER WITH

REFERENCE TO TIRUPUR TAMILNADU

Dr. T. SHIVA SHANMUGAM

18-21

3.

CONSUMERS DECISION MAKING PROCESS IN PURCHASING

OF DURABLES WITH REFERENCE TO ERODE CITY

K.T.KALAISELVI Dr.D.MURUGANANDAM

22-31

4.

A STUDY ON EFFECTIVENESS OF MARKETING TECHNIQUES

WITH SPECIAL REFERENCE TO MORE RETAIL LIMITED,

CHENNAI

K.ARUN GOWRI SHANKAR

32-47

Volume 1, Issue 2 (April, 2013)

INTERCONTINENTAL JOURNAL OF MARKETING RESEARCH REVIEW

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A Peer Reviewed International Journal

IJMRR


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CONSUMER BEHAVIOUR TOWARDS REFRIGERATOR IN MADURAI CITY

Dr. S. VIJAYAKUMAR1 Dr.K.SELVAKUMAR

2

1Associate Professor of Commerce, Madurai Kamaraj University College, Madurai - 2 2Assistant Professor of Commerce, Madurai Kamaraj University College, Madurai -2

ABSTRACT

Consumer Behavior refers to the buying behavior of ultimate consumers. Those persons who buy

for personal or household use and not for business purposes are called consumers. The efficiency with

which a business concerns functions depends on the extent of understanding on consumer and consumer

preferences. It is also relevant in case of consumer durables such as Household appliances. In the Indian

Scenario both men and women are going for employment not only to meet their financial demand but also

to live with comfort. As a result, the needs and wants of the people have increased. The consumer

behavior models have helped in giving a framework for studying the buying preferences of the

consumers. The changes taking place in their order in view of the fast changes occurring in the Socio-

economic environments in all parts of the world. The consumer market consists of all the households and

individuals who buy goods and services for their personal use. Consumers differ tremendously in

income, educational level, taste and age. So it is necessary for the marketers to divide consumers into so

many groups and to develop products or services designed to suit their needs

In olden days, marketers had close and direct contact with the consumers which enabled

them to understand consumers. But the growths in the size of firms and markets have made it impossible

on the part of the marketers to have such a close contact. This necessitated the present day marketing

managers to conduct consumer research to have an idea about the behavior of consumers. Our consumer

market is growing at a tremendous pace. The changing socio-cultural, political and economic orders have

transformed people into sophisticated consumers. The thoughts of consumers have undergone a sea

change. Many of the Indian Households are buying a number of consumer durables like pressure cooker,

water Heater, Television, Refrigerator, washing Machine, Mixer, Wet Grinder, Fan, Vacuum cleaner to

name a few.

Key words: Consumer Behavior, consumer durables, Household Appliances, Preferences, Environment.


IJMRR


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1.INTRODUCTION

Refrigerator is a high value item with high technical content. Usually the quality of refrigerator is

associated with the image of manufacturer, their brand image and the distribution channel. All the

refrigerators available in the market are branded. The promotional activities of all the manufacturers are

embarked in order to educate the consumers about the availability, quality of their refrigerators and the

utility it offers. In turn the consumer comes to the decision of purchase of a specific brand after long

deliberation by evaluating the available brands, quality of each brand of refrigerator, the price of each

brand of refrigerator, models and Designs of each brand available. So the manufacturer‟s of refrigerators

resort to massive promotion to establish their brand image and good will.

Due to technology improving day by day, there has been an increased expectation in the

customers mind for newer products and improved alternatives for the existing ones. The key to success

lies in retaining customer‟s loyalty by providing them value – added products to fulfill their needs. Even

the marketers are making use of behavioural sciences and trying very hard to establish a certain degree of

brand loyalty among a new class of decision – makers in the family. In fact, marketers by direct or

indirect prepositions are trying to carve out a niche in the minds of consumers. In the recent years, many

manufacturing companies have diversified their business activities to meet both the needs of the

Households and Industrial users. People have become more demanding; they want everything to be kept

ready, to full fill his needs Refrigerator is one of the appliances the modern man has invented. These

refrigerators are used for both domestic and commercial purposes.

Before the invention of refrigerators, people found it difficult to preserve their food

items, but it is not the case now, there are different types of refrigerators are available in the market for

different purposes and preserve different things. In case of domestic users, they like to preserve

vegetables and other things. In case of business they may use to preserve anything which is perishable in

nature which they want to sell in fresh. So by this, a refrigerator is necessary for all sectors of users but

what matters their buying decision are the factors, which the people find it important to them, it differs

from people to people.

This study was made to ascertain some of the factors, which influence the buying

behaviour of a consumer. Some of the factors which are taken into consideration are brand name, door

facility, capacity, price, utility, Guarantee and after sales service. These factors are taken because each of

them are combined with others influences the buying decision of the consumer.

2. STATEMENT OF THE PROBLEM

In the market for Household appliances consumer is confused about the existence of different

products with different brand names. In the market for household appliances there is a keen competition

among the marketers in every class of products. In case of television there is a stiff competition among

SONY, LG, SAMSUNG, ONIDA, BPL, VIDEOCON , Television companies. As records refrigerator

there are a keen competition among VIDEOCON, BPL, WHIRLPOOL, GODREJ, SAMSUNG etc

In recent years, refrigerator has become the most sought after household appliance. The opinion

about the refrigerator has started changing. Now manufactures are providing more and more new –

features related to their product. But the consumers are insisting to their particular choice of brand. Even

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some don‟t know exactly what the features of their preferred brands are so essentially we confront with a

question “what are the reasons contributing to such behavior? Hence this study on consumer attitude

towards Refrigerators among the people of Madurai was undertaken.

3. OBJECTIVES OF THE STUDY

The following are the major objectives of the study. They are;

1. To examine the brand awareness of consumers in Madurai city.

2. To examine the brand preferences of the consumer in the Madurai city.

3. To offer suitable suggestions based on the analysis to improve the awareness of the brands as well

as brand preferences in Madurai city.

4. RESEARCH METHODOLOGY

Researcher has adopted both primary as well as secondary data, to carry out the study on “consumer

behavior towards refrigerators” effectively. The Primary data have been collected by the researcher by

way of using an interview schedule. The secondary data have been collected from various books and

periodicals, Newspapers and related dissertations for the purpose of collecting 120 samples in Madurai

city, the researcher has divide the study area into four categories, ie Madurai East, West, North and South.

The researcher has adopted simple random sampling method to collect necessary data for this particular

study

Primary Data

Primary data were collected by interviewing the respondents using the interview schedule in the

city of Madurai.

Secondary Data

Secondary data concerned with House hold appliances about the Refrigerator was collected from

secondary sources like company records and magazines.

Tools of Analysis

Researcher has adopted only percentages analysis to analyze the collected information in the Madurai

City.

5. SOCIO ECONOMIC FACTORS AND BRAND PREFERENCES

Socio Economic Factors consist of age, Gender, Marital Status, Nature of family,

Educational Qualification, Occupation, Income level and size of the family.

Age of Sample Consumers:

Services availed of by Sample consumers differ according to their age. Hence age is considered

as an important factor for this study. Table 1 shows the age wise distribution of the sample consumers.

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TABLE 1

Table showing age wise classification of sample respondents

S.No. Age No. of Respondents Percentage (%)

1

2

3

4

Below 26

26-35 Years

36-45 Years

above 45 Years

22

56

24

18

18

47

20

15

Total 120 100

Source: Primary Data

Table.1 shows the age wise classification of the sample respondents. Out of 120 sample

respondents 22 respondents (18%) belong to the category of below 26. Again 56 sample respondents

(47%) falls in between 26-35 category, and 24 sample respondents (20%) are between 36-45 categories.

Only 18 sample respondents (15%) have come under the age group of above 45. Concluded that majority

of the sample respondents are in the category of 26-35.

Gender of the Sample Consumers

It is a known factor that both male and female consumers. the habit of thrift is common

both to male and female consumer. They save to satisfy their life expectations. It is evident that gender is

an important variable which influences the service provides the classification of consumers according to

gender is given in table 2.

The various demographic characteristics of the sample mass like their age, sex, size of the family,

etc., have been presented in this section.

TABLE 2

Table Showing Gender Wise Classification of Sample Respondents

S.No. Gender / Sex No. of Respondents Percentage (%)

1

2

Male

Female

58

62

48

52

Total 120 100

Source : Primary Data

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Table 2 shows the gender wise classification of Sample respondents. Out of 120

respondents 58 respondents (48%) are male and 62 respondents are female. There fore it is concluded

that majority of the sample respondents are female.

Marital status of the Sample Consumers.

Marital Status is one of the factors which may influence them, the services needed by an

unmarried woman/man is entirely different from that of a married couple.

TABLE 3

Table showing the classification of sample respondents according to their Marital Status:

S.No. Marital Status No. of Respondents Percentage (%)

1

2

Married

Unmarried

94

26

78

22

Total 120 100


From the above Table.3 it is clear that 94 sample respondent (78%) are married and rest

26 sample respondents (22%) are unmarried. We can conclude that majority of the sample respondents

are married.

Nature of the Family of Sample Consumers

Under Indian family system, families are divided into two kinds namely,

joint and Nuclear. Normally the joint family is the more popular in villages. Whereas the semi-urban,

and the urban mass prefer nuclear family system.

Type of family will also determine the decision making process. In order to know the

role of family type in the service availed by the sample customers, the researcher has framed the

following table 4

TABLE 4

Table shows the Nature of the Family of Sample Respondents

S.No. Nature of the Family No. of Respondents Percentage (%)

1

2

Joint Family

Nuclear Family

50

70

42

38

Total 120 100


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From the table.4, it is inferred that out of 120 families 50 families (42%) were joint

family and the remaining 70 families (58%) wee Nuclear family. Most of the families were Nuclear

family.

Educational Qualification of Sample Consumers

Educational Qualification provides a better awareness of the facilities that could be

availed of by companies, only literate people are aware of these facilities and only such consumers make

the best use of their services. Hence the profile of sample customers in terms of educational Qualification

has been highlighted in Table 5

TABLE 5

Table showing Educational Qualification wise classification of sample respondents

S.No. Educational Qualification No. of Respondents Percentage (%)

1

2

School Level

College Level

30

90

25

75

Total 120 100


As could be seen from Table.5 out of 120 sample respondents, 25% have

studied up to school level, and the training 75% sample respondents are educated college level. Therefore

it is concluded that most of the respondents are educated college level.

Occupation of the Sample Consumers

People who are better employed or well placed in business enjoy a status in society and

accordingly they change their pattern of life. Occupation is one of the important variables which

influence the consumers. The researcher has divided the occupation level into four groups such as

business men, employed in govt. organization. employed in private organization and professional. Table

6 in which the respondents are grouped according to their occupation.

TABLE: 6

Table Showing Occupation Wise Classification of Sample Respondents

S. No Occupation

No. Of

Respondents Percentage (%)

1.

2.

3.

4.

Business men

Employed in Govt.Organisation

Professional

Employed in Private Organisation

26

32

30

32

21

27

27

25

Total 120 100

Source: Primary data

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Table.6 shows that, Out of 120 sample respondents, 26 sample respondents are businessmen [21%], 32

respondents [27%] are Government employees, 32 respondents [27%] are Private employees and the

remaining 30 respondents [25%] are professionals. So, it is concluded that the most of the respondents are

employed in Private Organization.

Income Level of the Sample Consumers

The income of an individual may depend upon his personal background, his individual

abilities, his education, due to changes in lifestyle, and factors like the employment of the family women,

the perception of refrigerators is changing. In the past it was considered as a luxury and a proof of a

family‟s social status. As it reduces household chores to a great extent it is liked by the middle income

group also. It is evident from the following table 7 that refrigerators are owned by both middle income

group and high income group.

TABLE: 7

Table Showing Income Wise Classification of Sample Respondents

S. No. Income Level No. Of. Respondents Percentage (%)

1.

2.

3.

4.

Below 10000

10000-20000

20000-30000

Above 30000

34

52

24

10

28

44

20

8

Total 120 100


Table.7 explains that Income wise classification of sample respondents.

Out of 120 sample respondents 34 respondents [28%] belong to the category of below Rs.10000. Again

52 respondents [44%] fall in-between Rs.10000-20000 category, and 24 sample respondents belong to the

category of Rs.20000-30000. Only 10 respondents [8%] have come under the income group of above

Rs.30000.Concluded that the majority of the respondents have a monthly income between Rs.10000-

20000.

Size of the family of sample Consumers

The family is not just a social group. It is also an earning consuming and decision

making unit and it is of importance to the marketers because of the influence that family members have

on purchase and consumption decisions. In purchase decisions, purchase roles or tasks are assigned and

carried out by one and more family members.

It is assumed that small families require less money for their day to day expenses than large

families. Size of the family is divided into three kinds, namely those having less than 5 members,

between 5-7, and above 7. Table 8 explains the size of the family of sample consumers.

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TABLE.8

Table showing Size of the Family of sample respondents:

S. No Members In Family No. Of Respondents Percentage (%)

1.

2.

3.

Less Than 5

Between 5-7

Above 7

70

40

10

58

33

9

Total 120 100


It is obvious that From the Table.8 58% of the sample respondents have lessthan5 members in their

family, and 33% and in between 5-7 categfory 40 members and the rest of 9% have above 7 members.

Therefore, it is concluded that the majority of the respondents have less than 5 members in their family.

BRAND PREFERENCE

Refrigerators have become one of the essential household items of late. There were a few

brands tin some years before. But today there is lot of brands available with different specialized

systems.The main objective of the study is to find out the brand preference of the respondents and to

relate it with different factors influencing their brand preference. As the first step the respondents were

asked to mention their preferred brand of refrigerators. Their answer is presented in Table 9.

TABLE.9

Table Showing Brand Wise Classification of Sample Respondents

S. No. Brand No of Respondents Percentage (%)

1.

2.

3.

4.

5.

6.

7.

8.

VOLTAS

KELVINATOR

GODREJ

BPL

ALLWYN

VIDEOCON

WHIRLPOOL

LG

6

16

24

6

2

18

30

18

5

13

20

5

2

15

25

15

Total 120 100


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From Table.9 It is infered that 6 respondents [5%] are using VOLTAS, 16 respondents

[13%] are using KELVINATOR, 24 respondents [20%] are using GODREJ, 6 respondents [5%] are using

BPL, 2 respondents [2%] are using ALLWYN, 18 respondents [15%] are using VIDEOCON, 30

respondents [25%] are using WHIRLPOOL and the rest of 18 respondents [15%] are using LG. So

Concluded that the most of the respondents are using WHIRLPOOL Brand.

CAPACITY OF REFRIGERATOR

This section presents the various considerations which the consumers made before

landing into a particulars brand. To later the needs of various persons now-a-days the companies are

manufacturing refrigerators of different capacities. Respondents were asked to give the capacity of the

refrigerators.

TABLE.10

Table Showing Capacity of Refrigerator

S. No. Capacity No. Of respondents Percentage (%)

1.

2.

3.

4.

Below 100 Litre

165-230 Litter

230-320 Littre

Above 320 Litter

10

102

8

-

8

85

7

-

Total 120 100


Table 10 clearly shows that 165-230 litter capacity refrigerator were preferred by many respondents

ie 102 (85%) have preferred this size and the remaining 15% of thd respondents and 8% respondents

preferred only 100 litres. . So Concluded that the majority of the respondents prefer 165-230 litre

capacity.

REASON FOR PURCHASE

Various reasons are available for purchasing Refrigerators. Namely preserving foods, for

cold water and Ice cubes, for business purpose and other reasons. Table 11 shows the reason for purchase

of Refrigerators.

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TABLE.11

Table Showing Classification on The Basis of Reason for Purchase

S. No Reason No. Of.

Respondents Percentage (%)

1.

2.

3.

4.

Preserving Foods

For cold water& Ice cubes

Business

Others

94

16

10

0

78

13

9

-

Total 120 100


Table..11 shows that the classification on the basis of reason for purchase of

refrigerator. Out of 120 sample respondents, 94 respondents [78%] are purchasing refrigerator for

preserving foods, 16 respondents [13%] for cold water & Ice cubes and 10 respondents [9%] for business

purpose. We can conclude that the majority of the respondents prefer to buy refrigerator for preserving

foods.

PERIOD FOR USING REFRIGERATOR

The sample respondents are classified on the duration of their refrigerator usage in

Madurai city. When did the respondents purchase their refrigerator? Did they purchase before three or

four years? This was felt to know as if the respondents had purchased their refrigerators 3 years before

then they wouldn‟t be much brands for their choice. Table 12 gives the answer for the question.

TABLE.12

Table Showing Period for Using Refrigerator

S. No. Period No. Of. Respondents Percentage (%)

1.

2.

3.

4.

Below 3 Years

3-5 Years

5-10 Years

Above 10 Years

44

48

26

2

36

40

22

2

Total 120 100


From Table.12, It is inferred that 44 respondents [36%] are using refrigerator for below 3

years, 48 respondents [40%] are using 3-5 years, and 26 respondents [22%] using 5-10 years and the

remaining respondents are using refrigerator for above 10 years .There fore Concluded that the most of

the respondents are using refrigerator for 3-5 years.

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MODE OF PURCHASE

The importance of presenting this aspect is that recently the financial institutions, banks

and private financial companies, and offering loan facilities to purchase household durable goods (Ex)

Big buy scheme of S.B.I. How for the respondents have availed this facility to purchase refrigerator.

Table 13 shows the mode of purchase.

TABLE.13

Table showing classification according to the mode of Purchase

S. No Mode Of Purchase No. Of. Respondents Percentage (%)

1.

2.

Cash

Credit

98

22

82

18

Total 120 100


Table .13 shows that the classification according to the mode of purchasing refrigerator. Credit

extension as to purchase refrigerator has less influence. It is found 82% for cash purchase and 18% for

credit. Most of the respondents were found purchased their preferred brand for cash. The influences of

credit were found very little.

SEASON FOR PURCHASE

Manufacturers are making a lot of sales promotional measures in the present marketing set-up.

One among them is price reduction offer during important occasions like New Year, Diwali etc., in the

context, though it is not any way a cultural aspect presentation of Budget In parliament has become an

important economic event. People do go for purchase before the presentation of budget thinking that the

price may go up. Smutting their behavior of the consumers, now-a-days the companies have started

offers like pre-budget purchase packages.

Do the respondents consider these promotional measures? the related data‟s are presented in

table. .14.

TABLE.14

Table showing season wise classification of Sample Respondents

S. No Season No. Of. Respondents Percentage (%)

1.

2.

3.

4.

NEW YEAR

DIWALI

PONGAL

WHENEVER YOU NEED

28

46

16

30

23

38

14

25

Total 120 100


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Table.14, explains that, 28 respondents [23%] are purchasing refrigerator during New year, 46

respondents [38%] are purchasing Diwali 16 respondents [14%] prefer Pongal, and 30 respondents [25%]

are purchasing whenever their need.

Therefore conclude that the majority of the respondents prefer DIWALI season for buying

refrigerator.

FACTORS INDUCES TO BUY A SPECIFIC BRAND

There are lot of factors that influence in the preference of brand choice, like off season sale,

guarantee, after sales service, foreign company products and the additional facilities viz., PUF system or

Defrost system which factors influence them more to go for a particular brand. This is presented in Table.

15.

TABLE.15

Table Showing Factors That Induces to Buy a Specific Brand

S. No Category No. Of. Respondents Percentage (%)

1.

2.

3.

4.

Off Season Sale

Guarantee

After Sales Service

Foreign Company

44

54

16

6

37

45

13

5

Total 120 100


From the Table.15, It is inferred that 44 respondents [37%] prefer off season sale, 54 respondents

[45%] prefer guarantee, 16 respondents [13%] prefer after sales service and 6 respondents [5%] prefer

foreign company. It can be concluded that buyer behavior towards refrigerator are mostly influenced by

guarantee.

FACTOS ATTRACTING THE CUSTOMERS

The purchase decisions will be influenced by various factors. Such as quality, price brand image

are the critical attributes for the consumers. This is presented in Table..16.

TABLE.16

Table Showing Factors Attracting the Customers

S. No Category No. Of Respondents Percentage (%)

1.

2.

3.

4.

Colour and Quality

Price

Brand Name

Advertisement

34

20

56

10

28

17

47

8

Total 120 100


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Table.16 shows that the factors attracting the Customers. out of 120 sample respondents, 34

respondents [28%] are attracted by colour and quality of the refrigerator, 20 respondents [17%] are

attracted by brand name, and the remaining 10 sample respondents [8%] are attracted by advertisement.

Most of the respondents are attracted by brand name of the refrigerator.

COLOUR PREFERENCES

A lot manufacturing companies are bringing out their products in different colours to

catch the attention and needs of the consumers. And this different colour is having strong influence over

the purchase decision of the consumers. How the consumers have been attracted by the different colours.

Table 17 gives the answer.

TABLE.17

Table showing colour preferences

S. No Color No. Of. Respondents Percentage (%)

1.

2.

3.

4.

RED

WHITE

BLUE

OTHERS

30

28

36

26

25

23

30

22

Total 120 100


From Table.17, It is found that 30 respondents [25%] preferred RED colour, 28 respondents

[23%] preferred WHITE colour, 36 respondents [30%] preferred BLUE colour and 26 respondents

preferred other colour of refrigerator. Majority of the respondents prefer BLUE colour of refrigerator.

DESIGN

In the initial period when the refrigerator was introduced there were only single door

refrigerators. But now the companies are introducing refrigerators with multi door system. Table 18

shows the above factors.

TABLE.18

Table Showing Classification on the Basis of Design

S. No Design No. Of. Respondents Percentage (%)

1.

2.

Single door

Double door

82

38

68

32

Total 120 100


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Table.3.18 reveals that the classification on the basis of design of the refrigerator. Out of 120

sample respondents and 82 respondents [68%] are using single door model and the remaining 38

respondents [32%] are using double door model refrigerator, It is concluded that the most of the

respondents prefer single door facility.

GUARANTEE

Guarantee is an important factor that influences the purchase decision of the consumers. The

researcher has divided the guarantee into four groups. Such as 2 years, 3 years, 4 years and above 4

years. Table. 19 which the consumers are grouped according to the guarantee.

TABLE.19

Table Showing Guarantee Need for Refrigerator

S. No. Category No. Of Respondents Percentage (%)

1.

2.

3.

4.

2 Years

3 Years

4 Years

Above 4 Years

2

60

40

18

2

50

33

15

Total 120 100


From Table.19, It is inferred that 2 respondents [2%]are wanted guarantee for 2 Years, 60

respondents [50%] are need guarantee for 3 Years, 40 respondents [33%] are need guarantee for 4 Years,

and 18 respondents are wanted guarantee for above four years. Majority of the respondents need

guarantee for 3 Years.

FEATURES IN REFRIGERATOR

There is lot of features in refrigerators in the preference of brand choice. Like price,

service, durability and other features. This is presented in Table .20.

TABLE.20

Table Showing Features in Refrigerator

S. No. Features No. Of. Respondents Percentage (%)

1.

2.

3.

4.

Service

Durability

Low Price

Others

56

38

16

10

47

32

13

8

Total 120 100


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It is found from table.20. Out of 120 respondents, 56 respondents [47%] are require

service, 38 respondents [32%] prefer durability, 16 respondents [13%] prefer low price and 10

respondents required other features. Most of the respondents are satisfied with service ability of the

Product.

6. SUMMARY OF FINDINGS

1. Most of the respondents are female, and majority of them are under the age group of 26-

35 years.

2. As for marital status of the Most of the respondents are as Nuclear families.

3. As for educational qualification of the respondents is concerned most of them are

graduators.

4. Most of the respondents are employed than that of their counterparts is private,

employees, government employees, professional, business men.

5. Under Income group, majority of the respondents fall in the income bracket of Rs.10,000

– 20,000 followed by below Rs.10,000.

6. Majority of the respondents belong to medium size as they survive with less than 5

members is their family.

7. Whirlpool is the most preferred brand among the various brands of refrigerators. Godraj

occupied the second place in preference and the followed by LG, Videocon, Kelinator

etc.,

8. Out of the sample respondents conducted for the purpose of the study, a vast majority of

them preferred 165-230 litres capacity refrigerator as compared with other sizes of

refrigerators.

9. Most of the respondents purchase refrigerator for preserving foods.

10. Regarding the duration of holding majority of the respondents hold refrigerators for 3 – 5

years.

11. Majority of the respondents preferred to buy only for cash.

12. From the study, it is evident that consumer behaviour is influenced by the offers during

special season like Diwali, Pongal, New year. Most of the respondents prefer Diwali

season for buying refrigerator

13. The most influencing factor for buying the brand, irrespective of the brand, was found as

guarantee.

14. Majority of the respondents are attracted by brand name of the refrigerator.

15. Blue was the most preferred color among the different colors available under various

brands of refrigerators.

16. As a matter of fact as multi-door system has been introduced very recently in the

refrigerator market, majority of them hold only single door system of refrigerator.

17. Most of the respondents need guarantee for 3 years.

18. Majority of the respondents were informed about the features like service and followed

by durability, price etc., Service of the sellers of the concerned brands.

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7. SUGGESTIONS

i. Irrespective of the brands preferred all of the respondents are not satisfied with the after

sales service of the concerned company. Most of the respondents wanted regular visits of technicians of

the concerned company to the residence of the respondents with set intervals. Most of them are not happy

about the handle of the refrigerators. So it is better if the concerned companies come forward to satisfy

the consumers with regard to the handles and visits of the technicians.

ii. In order to avoid some unwanted dangerous events, respondents revealed that the back

portion of the refrigerator should be fully closed.

iii. Regarding the compressor used in the refrigerator, the respondents in general suggested

that the compressor should not make unnecessary sounds. If the concerned companies consider this point

of the respondents would be highly satisfied.

iv. As per colour of the refrigerator is concerned majority of them prefer only medium

colour. They like neither light colour nor dark colour. So the companies concentrate the colour of the

refrigerators also.

v. while installing the refrigerators they face difficulty with regard to stand, which is

required for it. Most of the company‟s manufacturing refrigerators are not involved in supplying the

stand for it. The company should provide it at the time of purchase.

vi. Free service and guarantee period to be extended.

vii. All though the respondents accept the present price of their preferred brands they are in

the view that the price should be reduced.

viii. Respondents feel the refrigerators consume more electricity of which the cost is too

much. They worry much on the cost of electricity than that of the investment on the refrigerator.

8. CONCLUSION

As per this study Whirlpool is the most preferred brand of refrigerator closely followed by Godrej

which becomes the choice of the higher income group. Suggestions of the study reveal that in spite of

various innovative and inventive steps taken by the manufacturers like multi-door system, PUF system,

and increased compressor efficiency and like period, yet they have fully satisfied the customers. The

study reveals that the main criteria for the choice of refrigerator as the quality. Further study shows that

the consumers were not satisfied with the after sales service. The accessory things; which is to be

provided by the manufacturer and also the consumption of electricity.

Though the price reduction offer has shows a considerable influence in the brand preference the

compliments. The manufacture offered has fallen short of its purpose of influence in the brand

preference. The study reveals that the brand preference has been dominated by females than their

counterparts Consumers of today look for quality backed by reputation of the producer. Once this if

sound satisfactory, they consider their own purchasing power. Since the product, they buy is expensive

and sophisticated. They want reasonable assurance regarding the technical perfection of the product and

after sales service. They want these assurances to cover a reasonable periods.

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Producers of most popular brand concede that a respectable warranty should cover a reasonable

period. However, buyers‟ are not unduly influenced by lengthy warranty periods. Both dealers and

consumers agree that most warranty terms issued by producers are now favourable to buyers. Most

consumers concede that normally warranty terms are fulfilled both by dealers and by companies. Most of

the repairs that cropped up during the warranty period were minor repairs and the dealers are by and large

satisfied with the service offered by them

The awareness of buyers regarding warranty terms and after sales service is increasing. It is a

good sign both for the consumers and for the producers. The producers are put on their guard and made

to maintain strict quality control and consumers are also put on the alert.

Finally it is worth concluding as refrigerator a necessary one rather than a luxury.

9. REFERENCES

1. Anderson, Durston, Poole, Thesis and Assignment writing, Wiley Eastern Limited, New Delhi

1991.

2. Bellur.v.v, and Harold W. Berkman Readings in Marketing Management. Himalaya Publishing

House, Girgaon, Bombay 1987.

3. Cundiff, Still, Govoni Foundamentals of Marketing, Prentice Hall of India Private Limited, New

Delhi 1982.

4. David, L. Loundon and Albert J.Della Bitta, Consumer Behaviour Concepts and Applications Mc

Graw Hill, New York, 1993.

5. David J. Luck, Ronald S. Rubin, Marketing Research, Prentice Hall of India Private Limited New

Delhi 1992.

6. Harper W. Boyd. Jr. Ralph West fall Stanley F. Stasch, Marketing Research- Text and Cases

Seventh edition, 1994.

7. John A. Horward, Consumer Behaviour, Application Theory, Mc Graw Hill books com., New

York.

8. Peter D. Bennet, Consumer Behaviour, Prentice Hall of India Private Limited, New Delhi-110

001.

9. Rajan Nair N. Marketing, Sultan Chand and sons,23, Daryaganj, New Delhi-110 002.

10. Walter C.G.and Paul GW, Consumer Behaviour.

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A STUDY ON CUSTOMER PREFERENCE AND THEIR SATISFACTION REGARDING THE

M&M 4 WHEELER WITH REFERENCE TO TIRUPUR TAMILNADU

Dr. T. SHIVA SHANMUGAM

Director, Management Studies, AVS College of Science, Salem – 636 106

ABSTRACT

The automotive industry designs, develops, manufactures, markets, and sells motor vehicles, and

is one of the earth‟s most important economic sectors by revenue. The term automotive industry usually

does not include industries dedicated to automobiles after delivery to the customer, such as repair shops

and motor fuel filling stations. This study in particular deals with the estimation of customer preference

and satisfaction regarding the 4-wheeled vehicles (personal category) of Mahindra & Mahindra Ltd. The

present study is to identify most important income factor which influence customers for brand preference

and to study Customer‟s attitude towards various factors like speed, comfort/space, and other facilities in

the vehicle. It is one of the biggest and popular dealers of Mahindra & Mahindra. A structured, formal

and focused, open-ended type of questionnaire related to the study was framed and circulated to the

respondents and the real feed-back was collected and the findings were reported and interpreted.

Convenient sampling method was adapted. The conclusion will be given.

Key words: Brand Preference, Customer Attitude, Customer preference, Customer Satisfaction

1. INTRODUCTION

The automotive industry designs, develops, manufactures, markets, and sells motor vehicles, and

is one of the earth‟s most important economic sectors by revenue. The term automotive industry usually

does not include industries dedicated to automobiles after delivery to the customer, such as repair shops

and motor fuel filling stations.

Supply Chain of Automobile Industry

The order‟s of the industry arise from the bottom of the supply chain i.e., from the consumers and

goes through the automakers and climbs up until the third tier suppliers. However, the products, as

channeled in every traditional automotive industry, flow from the top of the supply chain to reach the

consumers. Automakers in India are the key to the supply chain and are responsible for the products and

innovation in the industry.


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Economy

Around the world, there were about 1022 million cars and light trucks on the road in 2012,

consuming over 560 billion US gallons of gasoline and diesel fuel yearly. The automobile is a primary

mode of transportation for many developed economies. The Detroit branch of Boston Consulting Group

predicts that, by 2014, one-third of world demand will be in the four BRIC markets (Brazil, Russia, India

and China). Other potentially powerful automotive markets are Iran and Indonesia. Emerging auto

markets already buy more cars than established markets.

Automotive industry in India

The automotive industry in India is one of the largest in the world and one of the fastest growing

globally. India‟s passenger car and commercial vehicle manufacturing industry is the sixth largest in the

world, with an annual production of more than 4.2 million units in 2012. The Indian Automobile Industry

manufactures over 11 million vehicles and exports about 1.5 million each year. The dominant products of

the industry are two-wheelers with a market share of over 75% and passenger cars with a market share of

about 16%. Commercial vehicles and three-wheelers share about 9% of the market between them. About

91% of the vehicles sold are used by households and only about 9% for commercial purposes.

About the Study

This study in particular deals with the estimation of customer preference and satisfaction

regarding the 4-wheeled vehicles (personal category) of Mahindra & Mahindra Ltd. It is one of the

biggest and popular dealers of Mahindra & Mahindra. A structured, formal and focused, open-ended type

of questionnaire related to the study was framed and circulated to the respondents and the real feed-back

was collected and the findings were reported and interpreted.


To identify important sources of brand awareness.

To identify most important income factor which influence customers for brand preference?

To study Customer‟s attitude towards various factors like speed, comfort/space, and other

facilities in the vehicle.

3. RESEARCH DESIGN

The researcher has undertaken descriptive study to find out the customer preference and their

satisfaction regarding the personal category 4 wheeler vehicles of Mahindra and Mahindra Company

among the customers.

Sample size

The sample size of this study is restricted to 160 samples. Convenient sampling method was

adapted.

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4. DATA ANALYSIS AND INTERPRETATION

Analysis was done for the income group and preference factor, ranking tool was applied to study

the correlation between the income group and preference.

Table 2 is formulated to analyse the relationship between the factors that appeals the customers of

various brand. Chi square test was applied to find the dependency between vehicle brand and appealing

factors.

Table No-1

Respondents Ranking of Some Factors Regarding Preference

The following table indicates the respondent‟s ranking of some factors Regarding Preference:

Ranking of

factors

Income group>1,00,000

Rx

Income group>1,00,000

Ry D

2= Rx- Ry

Brand 1 2 1

Mileage 2 1 1

Luxury 3 5 4

Comfort/Space 5 4 1

Pick-up 4 3 1

8

60% correlation between the ranks given by two income people. All the income level people prefer the

factors of M&M 4 wheeler vehicles.

Table No-2

Factors particular appeals in each of these vehicles

Factors Vehicle Name Total

Xylo Bolero Scorpio Verito Xyloxuv500 Quanto

Colour 4 5 6 3 2 4 24

Speed/ Mileage 15 8 24 12 10 9 78

Value For

Money 7 4 4 0 0 0 15

Luxury 9 6 11 3 1 0 30

Comfort/Space 7 5 1 0 0 0 13

42 28 46 18 13 13 160

H0: Vehicle Brand Name and appealing factors are independent

2(r-1)(c-1)d.f

Calculated value of 2=11.843

Table value of 2(s) degree of freedom @ 5% level of significance=11.09

Therefore vehicle brand and appealing factor depend on each other.

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5. SUGGESTIONS RECOMMENDATIONS

Managing customer preference can be a delicate balancing act. It can seem like an arduous task,

but ultimately the work will pay off: Your customers will thank you and that gratitude will eventually

show up in tangible measures of increased customer loyalty, spending and revenues. Here are five best

practices marketers should consider when collecting and managing their customers‟ preferences:

Make it easy and intuitive for your customers and provide them with choices that make sense.

Create an extensible permissions framework that allows you to capture opt-ins at a very granular level.

Create an audit trail to ensure you can trace the lineage of permissions.

Make preference reconciliation consistent, easy and flexible.

6. RECOMMENDATIONS

To understand the financial link between satisfaction and profits

Turn customers who are simply satisfied into vocal advocates

Empower frontline employees to do the right thing

Use problem resolution as an opportunity to make new

A customer‟s experience with a retailer, call center, or web site should be positive. At a

minimum, any company‟s customer service department should acknowledge its customers, answer their

calls, and be capable of processing their orders. Customer service is one of the hottest new topics in the

world of marketing. Most executives seem to understand that if you give people a negative experience,

they will tell their friends over and over again, but those same executives often fail to see that the

company call center-full of tired and unmotivated customer service employees who make up a growing

industry in itself- may not be the best way to give customers what they want in the first place. Satisfaction

is really intended for practicing professionals, it is an appropriate acquisition for corporate as well as

business. Customer satisfaction is worthless, customer loyalty is priceless.

7. CONCLUSION

In today‟s world, there are no services without a competition. The only important matter the

marketers think is-how they should differ from others?. Here lies the start of a true success. Customer is

the king and he plays a vital role in service marketing. Customer care and satisfaction is important for the

survival of the industry. From this study, it is found that a majority of the customers are aware of the

product. To enable the customer to satisfy fully, the company must take an effective, powerful steps or

plan which will be beneficial to both the parties.

8. REFERENCES:

1. Modern Marketing Management - K.C.Nair, Jose Paul, C.J.George, J.John

2. Marketing Management - C.B.Mamoria, Satish Mamoria

3. Principles of Marketing - Philips Kotler, Gary Armstrong

4. Marketing - Ramasamy & Namakumari

5. Marketing Management And Strategy - Peter Doyle

6. Marketing Research - G.C.Beri

7. Research Methodology - C.R.Kothari, P.Saravanavel

8. Business Statistics - S.P.Gupta, M.P.Gupta

9. Brand Positioning - Subrote Sengupta

10. Internet - Google.Com, Google Chrome

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CONSUMERS DECISION MAKING PROCESS IN PURCHASING OF DURABLES

WITH REFERENCE TO ERODE CITY

K.T.KALAISELVI1 Dr.D.MURUGANANDAM

2

1Assistant Professor, Department of Management Studies, Surya Engineering College, Erode-638 107,

Tamilnadu, India. 2Associate Professor, School of Management studies, Kongu Engineering College, Perundurai - 638 052,

Tamilnadu, India.

ABSTRACT

Consumers buy products for different reasons, they buy in different ways and use their purchases

differently. Since there is enormous variability among consumers, the companies need to understand their

requirements to be able to cater to them effectively. Consumer durable industry consists of a large number

of household use items like refrigerators, washing machines, televisions, computers, air conditioners, and

a large number of household and kitchen appliances like mixer-grinders, toasters and etc. The consumer

is influenced by various internal and external factors that shape his behavior. The external factors that

shape a consumer are mostly observable or easily measurable, and are often used to segment the market.

The internal factors, though unobservable, cast a huge influence on consumer decisions. The main

objective of the study is to identify the various socio-economic, cultural and psychological factors those

influence the purchasing pattern of respondents; and to ascertain the various factors those are considered

by the consumers before purchasing.

Key words: Consumer, Purchase, Durable, Product.

1. INTRODUCTION

The consumer purchase decision process is generally viewed as consisting of sequential steps or

stages through which the buyer passes in purchasing a product or service. The various steps in this

process as well as the relevant internal psychological processes that occur at each stage such as

motivation, perception, attitude, formation, integration and learning.


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Consumers buy products for different reasons, they buy in different ways and use their purchases

differently. Since there is enormous variability among consumers, the companies need to understand their

requirements to be able to cater to them effectively. Consumers play different roles in the buying process.

The same individual can assume different roles according to the type of product in question. An

individual can play multiple roles, or several members in a group can assume different roles in the same

purchase process. Roles evolve over a period of time.

The decision making process of consumers comprises several steps:

Problem recognition

Information search

Evaluation of alternatives

Purchase and

Post purchase evaluation of decision.

Problem recognition:

It may be of a routine nature, or it may be realized over a period of time. Some problems arise as

emergencies. While some problems are rational, others have emotional underpinnings. Consumers tend to

prioritize their problems/ needs. The degree to which the consumer intends to resolve the problem

depends on several factors – the magnitude of discrepancy between desired and present situation, the

relative importance of the problem, and the presence of need inhibitors.

Information search:

Customers may conduct an internal search (memory) or an external search while looking for

information. External search for information can involve personal sources such as friends and family

members, or it may involve non personal sources such as advertisements and retailers. Customers

evaluate the information thus collected on the basis of their choice criteria.

Evaluation of alternatives:

At this time the consumer compares the brands and products that are in their evoked set.

Consumers evaluate alternatives in terms of the functional and psychological benefits that they offer. The

customer makes the purchase after evaluation.

Purchase Decision:

Once the alternatives have been evaluated, the consumer is ready to make a purchase decision.

The purchase may involve several more steps such as financing the buy, selecting the mode of purchase

selecting the mode of delivery, installment of product and training required.

Post purchase evaluation of decision:

The consumer decision process does not end once the product or service has been purchased.

After using a product or service the consumer compares the level of performance with expectations.

Satisfaction occurs when the consumer‟s expectations are either met or exceeded, while dissatisfaction

results when performance is below expectations. Another possible outcome of purchase is cognitive

dissonance which refers to a feeling of psychological tension or post-purchase doubt a consumer may

experience after making a difficult purchase choice.

Factors Influencing Consumer Decision Making Process:

The consumer is influenced by various internal and external factors that shape his behavior. The

external factors that shape a consumer are mostly observable or easily measurable, and are often used to

segment the market. These include factors such as:

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1. Culture

2. Subculture

3. Social class

4. Reference groups and the family of an individual.

These factors influence a person due to his belongingness to the group.

The internal factors, though unobservable, cast a huge influence on consumer decisions. Internal

factors include:

1. Perceptions

2. Motivation

3. Attitude

4. Personality

5. Learning

6. Beliefs

7. Lifestyle and Life cycle.

Consumer Durable Industry:

It consists of a large number of household use items like refrigerators, washing machines,

televisions, computers, air conditioners, and a large number of household and kitchen appliances like

mixer-grinders, toasters and etc. In 2005-06 the total expenditure on consumer durables was about

Rs.76000 million.

An analysis on the Indian market reveals the dramatic changes that occurred since 1990s resulting in

manifold increase in the purchase of consumer durable products. The various changes that transformed

the Indian market for consumer goods in the last one decade (1991- 2001) are presented below:

1. A shift from sellers market to buyers‟ market- characterized by intense competition, variety, and

consumer insistence for value for money leading to the redefinition of necessities and luxuries

2. Sheltered market to competitive market – the entry of Multinational Corporations with global

network, acknowledged superior technology, product quality and money power to backup their

marketing efforts offered a severe jolt to the Indian companies

3. Changing consumption pattern – Indian markets have transformed both in terms of sophistication

and variety, resulting in a substantial change in the disposition of the customers towards quality,

price, delivery and service leading to new processes

4. Emergence of distinct market segments – urban, rural, youth, children, working women etc;

5. Changes in the distribution channels – Innovative distribution channels like convenience shops,

departmental stores, discount stores, super markets, mail-order retailing, video shopping, internet

shopping and multilevel marketing, have begun to change the face of distribution format

2. REVIEW OF LITERATURE

In the Indian market, companies have faced many ups & downs while managing their products. While

purchasing products, consumers are commonly assumed to progress through the decision phases of

problem recognition (or need arousal), information retrieval from memory, external search, alternative (or

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brand) evaluation, choice and post purchase evaluation (Engel, Blackwell, & Miniard, 1993; Howard,

1989).

For frequently purchased products, the external search and evaluation stages are extremely

limited due to the routine nature of such decisions. Consumers have considerable product-related

information stored in memory, prompting them to base these purchase decisions on simplifying purchase

heuristics such as high brand name recognition, low price, last brand purchased, etc. (Hoyer, 1984;

Dickson & Sawyer, 1990).

For consumer durable purchases, the phases in the decision process are somewhat more

distinguishable due to the extended nature of such purchases. Yet, even here, we can expect consumers to

rely on strategies intended to simplify their purchase decisions (Bettman, Luce, & Payne, 1998). Several

studies on consumer decision-making have speculated on the potential dependencies that may exist

between the earlier and later phases of the choice process (Bettman & Park, 1980; Park, Hughes,

Thunkral, & Friedman, 1981). Reviews of consumer decision- making have identified this link as a

significant area for additional research (Bettman, 1986; Jacoby, Johar & Morrin, 1998).

The first four factors correspond to purchase motives that have previously been identified to be

important (Rossiter, 1997) and are relevant for consumer durables. The fifth factor attempts to capture the

distinction between the „„actual‟‟ vs. „„desired‟‟ states (Bruner & Pomazal, 1988) with regard to

satisfaction.

There is considerable evidence to suggest that the consumer purchase decision process contains

distinct „„screening‟‟ and „„evaluation‟‟ phases (Kahneman, Slovic, & Tversky, 1982; Klein, 1983).

Thus, the purpose of this study is to examine the behavioral and cognitive act that signifies the

start of the purchase process and the nature of subsequent information search and consideration set

formation.

3. HYPOTHESIS DEVELOPMENT

Some of the macro level marketing variables that have a bearing on the marketing front may be

examined under the following heads. They are demographic, economic, social and cultural, and

psychological/personal variables related to consumers. It is important to study the influence of each of

these variables on consumer purchasing pattern.

Objectives of the Study

1. To identify the various socio-economic, cultural and psychological factors those influence the

purchasing pattern of respondents;

2. To ascertain the various factors those are considered by the consumers before purchasing.

3. To recommend some marketing strategies that can be followed by the consumer durable companies.

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4. RESEARCH DESIGN

The researcher has taken Erode city as the study area. The respondents are the users of consumer

durables. Sampling method is systematic random sampling. The details of the customers were collected

from the dealers of durable products.

From that detail the respondents were selected randomly for data collection. Sampling method is

systematic random sampling. Sample size of the study is 200. The primary data collection was done with

the help of structured interview schedule. The researcher has collected the secondary data related to the

study from various magazines, books and websites.

Statistical Tools Used For the Study

The data has been mainly analyzed by using the following methods and tests.

1. Percentage Analysis

2. Chi – Square Test

3. Correlation

a. Percentage Analysis

Simple percentage analysis was done to tabulate and to interpret the data collected through

interview schedule. Percentage refers to a special kind of ratio in making comparison between two or

more data and to describe relationships. Percentage can also be used to compare the relation terms the

distribution of two or more sources of data.

Number of Respondents

Percentage of Respondents = ------------------------------- x 100

Total Respondents

b. Chi – Square Test

The Chi – square method is the application of testing the significant relationship between

observed and expected values.

Null Hypothesis (H0)

The hypothesis, or assumption, about a population parameter the researcher wishes to test, usually

an assumption of the status quo.

Alternative Hypothesis (H1)

The conclusion will be accepted when the data fail to support the null hypothesis.

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Statistical Test:

Chi–square test (2) =

E

EO 2)(

Degrees of freedom = (r-1) (c-1)

Row Total Column Total

E = ----------------------------------

Grand Total

Level of Significance ( ):

A value indicating the percentage of sample values that is outside certain limits, assuming the null

hypothesis is correct, that is, the probability of rejecting the null hypothesis when it is true.

c. Correlation Analysis

Correlation analysis deals with the association between two or more variables. When the

relationship is of a quantitative nature, the appropriate statistical tool for discovering the relationship and

expressing it in brief formula is known as correlation.

It is a measure of such a tendency i.e. the degree to which the two variables are interrelated is

measured by a co-efficient, which is called co-efficient of correlation.

Karl Pearson correlation = 22 YX

XY

5. ANALYSIS AND INTERPRETATION

The data collected through the schedule were tabulated in master chart, incorporating all the

details of the schedule and the statistical tools above mentioned were used to analyze the data in order to

have a deep understanding about the relationship between variables, for deriving meaningful inferences.

The following is the analysis and interpretation of the data. The important details of the percentage

analysis are given and the first part of this topic gives details about the chi square analysis.

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Table 1. Chi square Analysis

Variable 1 Variable 2 DF C.V T.V L.O.S Result

Age Influence of Source

of information 16 26.296 46.485 5% No

Gender Product attributes

considered 1 13.852 3.841 5% Yes

Educational

Qualification

Opinion on price of

product 4 14.689 9.488 5% Yes

Family income Influence of Sales

promotional policy 16 28.668 26.296 5% Yes

Occupational status Need for comfort 4 12.936 7.65 5% Yes

Age

Availability of

cheap source of

borrowing funds

for purchasing

16 25.56 23.267 5% No

Subculture Influence on

Purchase decision 1 12.543 4.695 5% Yes

Table 1 represents that there is no significant relationship between age and influence of source of income.

There is a significant relationship between gender and product attributes considered for purchase. There is

a significant relationship between educational qualification and opinion on price of the product.There is a

significant relationship between family income and influence of sales promotional policy. There is a

significant relationship between occupational status and need for comfort. There is no significant

relationship between age and availability of cheap source of borrowing funds for purchasing.There is a

significant relationship between subculture and purchase decision.

6. FINDINGS FROM PERCENTAGE ANALYSIS:

From demographic factors:

Majority (43.5%) of the respondents belong to the age group of 30-40 years, 53.5% of the

respondents belong to the male group. 35.5% of the respondents are having only under graduate level

qualifications. 82% of the respondents are married. Only 26% of the respondents are in the field of own

business and non-government, 33% of the respondents are living in joint family system.

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Findings from correlation:

For analyzing the impact of economic condition the researcher has selected the following factors

as important elements - increase in family income, availability of cheap sources of borrowing

funds, availability of attractive sales promotional schemes, the changes in the rate of taxes and

duties levied by the government, availability of surplus funds, availability of additional sources of

income, pricing strategies of companies and the perceived risk in terms of technological

obsolescence.

Whenever the income of an individual increases, the demand of an individual also increases at a

medium level. The availability of attractive sales promotional schemes announced by companies

had medium level of influence in purchase of durable products.

The pricing strategies of companies also having a medium level of influence in purchasing of

durable products. The product quality and price of the product have major influences on

purchasing of durable products.

Technological improvement is often inevitable due to foreign collaborations any consumer

prefers to make use of the most recent technological advancement.

A consumer‟s behavior also is influenced by social factors, such as the consumer‟s small groups,

family and social roles and status.

Increase in the number of nuclear families, sophistication, education and level of occupation have

a high level of influence on purchasing pattern of durable products.

Standard of living has major influence on purchasing pattern of durable products.

Influence of reference group, chance of more interactions among family members and learning

attitudes of individuals played a vital role in purchasing of durables.

A person‟s buying choices are mostly influenced by four major psychological factors: motivation,

perception, learning and beliefs and attitudes.

The increase in competition among sellers of various brands has a high level of influence on

purchasing pattern.

7. RECOMMENDATIONS

The marketers can introduce various attractive promotional plans, exchange offer and multiple

offer purchase to get more consumers.

The consumers purchase decision is mainly based on the technological advancement of the

product. So the manufactures may use high level technologies to attract the customers.

To meet the competitive edge and customer retention, the manufacturers and marketers should

concentrate on the pricing strategies of the organization.

The mode of purchase and flexible repayment system is an important factor in consumers‟

purchase of durables. So, the marketers should understand the consumers‟ mind-set and arrange

an easy system of repayment.

The user friendly environment also motivates the consumers to accept and change their living

standards.

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8. CONCLUSION

This paper examines how a consumer‟s decision making process is done in purchasing of

durables. The findings indicated that the consumers‟ decision making process is influenced by many

factors of economic, psychological, social and cultural factors. The important considerations in

purchasing durables are: Operational convenience, promotional efforts made by the marketer, pricing

strategies, product availability, and worthiness of the product after sales service The personal factors like

knowledge of an individual, involvement, lifestyles and reference groups also influence the purchase

decisions of consumers.

Abbreviations and symbols used

C.V Calculated value

c Number of columns

DF Degrees of freedom

E Expected frequency

L.O.S Level Of Significance

K Constant

N Number of samples

O Observed frequency

r Number of rows

T.V Table value

% Percentage

9. REFERENCES

1. Adusaleh Shariff, India Human Development Report, National Council of Applied Economic

Research, 1999, p.70.

2. Ajay Macaden, Status India‟s Top Symbols, A& M – Acnielsen survey, A&M, 15th April 2001,

pp.36 –40.

3. Ashok, D & Ms. Subashree P, „Key challenges confronted by Indian Industries in Liberalization

era‟, The Economic Challenger, No.03, Issue: 10, Jan- March 2001, pp. 25-26.

4. Aswathappa K, Business Environment, 1999, Sixth edition, Himalaya Publishing House.Baker M J,

Sampling in Research for Marketing, 1991, Macmillan, London, pp 100-113.

5. Basu C.R., Multinational Enterprises, Business Organization and Management, Tata McGraw-Hill

Publishing Company Ltd., 1998.

6. Beales, Howard, Mazis, Michael B., Salop, Steven C., and Richard Staelin (1981),

7. “Consumer Search and Public Policy,” Journal of Consumer Research, 8 (June), 11-22.

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8. Brucks, Merrie (1985), “The Effects of Product Class Knowledge on Information Search Behavior,”

Journal of Consumer Research, 12 (June), 1-16.

9. Chandra Mohan .N. „India‟s Global Players of the Future‟, Indian Business Through the Ages,

FICCI, Oxford University Press, Delhi. 1999, pp. 310- 312.

10. Dave Nalini V. „MNC's: Threats & Opportunities‟, Yojana, July 1998, pp. 25-28

11. Donald R. Cooper and Pamela S. Schindler, Business Research Methods, Sixth Edition, Tata

McGraw –Hill, 2000, pp.11-12.

12. Frank H. Albert & Michael A. Kamins, An Empirical Investigation of Consumer

13. Jacoby, Jacob, Chestnut, Robert W., and William A. Fisher (1978), “A Behavioral Process Approach

to Information Acquisition in Nondurable Purchasing,” Journal of Marketing Research, 15

(November), 532-544.

14. Leon G. Schiffman & Leslie Laser Kanuk, Consumer Behavior, Sixth Edition, Prentice‟ Hall of

India Private Limited, 1999, pp. 6 and 20.

15. Losarwar S.G, „Consumer Behavior Towards Durable Products – A study with reference to

Marathwada region, Indian Journal of Marketing, Nov.2002, pp.6-9.

16. Mallikarjuna Reddy K, „Marketing Strategy: Linkages with Consumer Behavior, Indian Journal of

marketing, November 2002, pp.7-9.

17. Mashelkar R.A, „Science, Technological Innovation and Industry‟ Indian Business Through the

Ages, FICCI, Oxford University Press, Delhi, 1999, pp. 188-198.

18. Memory, Attitude and Perceptions towards Pioneer and Follower Brands‟, Journal of Marketing,

Vol. 59, Oct.1995, pp.34-45.

19. Nageswara Rao D, Consumerism in India, Indian Journal of Marketing, September 2002, pp. 121-

126.

20. Neelamegham S, Marketing in India (Cases and Readings), 2000, Third edition, Vikas Publishing

House Pvt. Ltd.

21. Nelson, Philip (1970), “Information and Consumer Behavior,” Journal of Political Economy, 78 (2),

311-329.

22. Neha Kaushik, „Small is Big Business‟, Catalyst, Business Line, Feb. 21, 2002.

23. Ramanuj Majumdar, „Product Management in India‟, Second edition, Prentice-Hall of India Pvt.

Limited, 1999.

24. Rao S. L & I Natarajan, „Markets for Consumer Product in India‟, NCAER, New Delhi, 1994,

Global Business Press under arrangement with AIMA-CME.

25. Schiffman & L.L Kanuk, Consumer Behavior, Prentice Hall of India, 1997 September 2002, pp.3-5.

26. Shankar Rao C.N, Sociology-Primary Principles, Third Revised and Enlarged Edition, 2001, S.

Chand and Company Ltd.

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A STUDY ON EFFECTIVENESS OF MARKETING TECHNIQUES WITH SPECIAL

REFERENCE TO MORE RETAIL LIMITED, CHENNAI

K.ARUN GOWRI SHANKAR

VIT Business School, VIT University, Chennai

ABSTRACT

This article examines the effectiveness of marketing strategies used by “MORE” store Chennai.

The primary objective of the study was to discover the extent to which customers use and are influenced

by marketing strategies. In addition, the impact that these strategies have on customer loyalty and the

development of customer-department store relationships was explored. The dominant conclusion arising

from this study is that customers do perceive that relationships exist between the customer and the

supermarket. These relationships develop as a result of positive personal interactions between customers

and “MORE” retail staff and as a result of certain value driven relationship marketing strategies.

Essentially it was determined that the development of these relationships is predicated upon customer

satisfaction. Once satisfied a customer is more likely to become loyal and develop a relationship with one

store over another. This research concludes that the challenge for department stores is to identify the

drivers of satisfaction and in doing so build positive relationships with their customers.

KEYWORDS: Marketing Techniques, Marketing Strategies, Customers

1. INTRODUCTION

Retailing is the interface between the producer and the individual consumer buying for personal

consumption. This excludes direct interface between the manufacturer and institutional buyers such as

the government and other bulk customers. A retailer is one who stocks the producer‟s goods and is

involve in the act of selling it to the individual consumer, at a margin of profit. As such, retailing is the

last link that connects the individual consumer with the manufacturing and distribution chain. Some of the

key features of retailing include

o Selling directly to customers without having any intermediaries

o Selling in smaller units / quantities, breaking the bulk

o Present in neighborhood or in the location which is quite convenient to the customers.


IJMRR


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o Very high in numbers.

o Recognized by their service levels.

o Fitting any size or location.

It is assumed that due to the entry of a number of retail outlets in the urban and semi urban areas, the

mindset of the existing customers have undergone drastic changes. Besides it is also reported that the

traditional retailing such an age old Grocery shops have directly faced competition with the organized

retailing sector. In some parts of the country, it is reported that the traditional retails are resisting the entry

of organized shopping malls.

ORGANIZED VS UNORGANIZED RETAIL

In the developed economies, organized retail is in the range of 75-80 percent of total retail, whereas in

developing economies, the unorganized sector dominates the retail business. The share of organized retail

varies widely from just one per cent in Pakistan and 5 per cent in India to 36 per cent in Brazil and 55 per

cent in Malaysia Modern retail formats, such as hypermarkets, superstores, supermarkets, discount and

convenience stores are widely present in the developed world, whereas such forms of retail outlets have

only just begun to spread to developing countries in recent years. In developing countries, the retailing

business continues to be dominated by family-run neighbourhood shops and open markets. As a

consequence, wholesalers and distributors who carry products from industrial suppliers and agricultural

producers to the independent family owned shops and open markets remain a critical part of the supply

chain in these countries.

Country Sales (US$ bn) Share of Organized Retail (%)

USA 3183 85

Japan 1282 66

China 885 20

United Kingdom 575 80

France 536 80

Germany 521 80

India 410 5

Source: Planet Retail and Technopak Advisers Pvt. Ltd

INDIAN RETAIL: PAST Vs PRESENT

It is widely accepted that the retail industry has undergone a drastic change in last five years and there is

yet more to come. Let us compare the image of Indian retailing in 2006-07 to that of its status in 2009-10

in the following table: Magnification of the Indian Retail Industry

Yardstick Situation in 06-07 Situation in 09-10

Value of retail sales Rs. 10,20,000 crore Rs 14,00,000 crore

Annual growth rate 5% 7.7%

Value of organized market Rs 35,000 crore Rs 56,000 crore

Share of organized market in the sector 3.4% 5%

Forecasts about growth rate of organized retail market Around 30% Around 35%

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The above table clearly shows that the retail market as well as the mindset required for it has experienced

a thorough revisal in the last three years. This is just the beginning and Indians are sanguine that the

sector will see rosy days in the future. This confidence has helped India acquire the No.1 position among

30 most attractive retailing destinations in the world according to the Global Retail Development Index of

2009 (by AT Kearney, India). Among emerging markets, India holds the second position after China in

the list of most favored retail destinations. The retail industry employs a huge share of the total workforce

in India. It is the second largest employer after India. Presently 7 percent of the total labor force is

employed in the retail sector. According to available data it is also the largest employer in the services

sector and maximum growth in the non-agricultural sector has been witnessed by retail trade. According

to market analysts 300 new malls, 1,500 supermarkets and 325 departmental stores are going to come up

in India in the next few days. The shopping revolution that has led to this retail boom is going to continue

and this is good news for the government as well as those who wish to work in the organized sector.

1.2. REVIEW OF LITERATURE

Miller and Besser (2000) has conducted a research to identify the factors influences satisfaction of

customers with local independent retailers and the subsequent relationships of consumer satisfaction to in-

shopping, community attachment, and support of local independent retailers. Their business strategies

were being examined to meet the changing expectations of their local consumers. It is essential that

independent retailers know their local customers and exploit niche strategies that big-box retailers do not

provide.” The authors conducted the research and found out what are the factor that influences small town

consumers and their satisfaction level when they deal with retailers from unorganized sector.

Sen (2000) studied that in India; some empirical studies provided important information about consumer

behavior and its responses to the development of organized retail. Economical and social changes are

major contributors for a growing fragmentation of consumers into multiple segments with different values

and buying priorities. Consumers have become more pragmatic, educated and demanding, learning how

to manage money and time more efficiently. The focus on low prices was gradually replaced by a value

for money perspective. He confirms this in the study undertaken in Indian context. He confirms that in the

case of hypermarkets, the main motives for preferences are: low prices, the possibility of buying

everything in the same place and the general appearance of the store.

Anand (2003) found that before 20th century there were no so much supermarkets in our country but after

20th century the need of the same came into existence but there is a direct competition of these from

hawkers or kirana holders because they have already created their goodwill in the market but the retail

sector make this position in the market and run their business successfully after that organized retailing

spread their presence felt in different parts of the country in the year 2000 approx. 400,000 crores retail

markets are un-organized there is a large trend of super market in the Indian market. They also have to

face competition from them so as to reduce this, they adopted a method to provide the customers

discounts and better home delivery facility and create goodwill & he can also try to remove the hawkers

from the roadside to increase their sale & saw.

Radhakrishnan (2003) studied that the traditional Retailers Perceptions about Organized retail.

Organized retail has deeply changed the Indian commercial structure. However, it is not exclusively

responsible, as other changes (economical, social and cultural ones) have occurred simultaneously.

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Concerning the more direct effects of organized retail on different types of commerce, it is possible to

verify that the major impact is felt on traditional retail and, in particular, on the food sector. The impact of

organized retail is also significant on other types of retail, namely toys, stationery goods and household

appliances; moreover, it is probable that competition gets more intense in other sectors, such as clothing

and furniture.

Griffin, J (2004) has studied to determine the benefits offered to customers and activities taken by

retailers whether or not they have formal customer loyalty programmes, whether there are differences in

benefits/activities of retailers with or without formal loyalty programs. A shift in focus from finding

customer to keeping customers are adopted by broad spectrum of retailers, The benefits of participating

retailers are demonstrated having customer interest heart, identifying customer‟s preferences and

recording them to guide further action. In addition model was developed that was used to predict the

retailers with or without formal loyalty programs.

Klein and Dawar (2004), has studied to find out which retail business practices lead to perception of

CSIR from customer‟s perspective and to develop a measurement scale for this construct. The analysis

was conducted using quantitative data from paper based and online survey, a high order, multi-group

confirmatory factor analysis. It was found that there were factors i.e. natural environment, local business,

foreign economies, local employment, societal rules, employee benefits, employee wages, local working

conditions, employee discrimination, foreign labour, sales practices, dishonesty, offensive materials and

pricing policies which represent perception of CSIR in retailing.

Shivakumar (2007) written that organized retail has not penetrated and will not penetrate rural India for

obvious reasons – it is just unviable. It is only the urban areas that organized retail is slowly but not

steadily growing in.

Joseph and Gupta (2008) studied that the Indian retail sector is booming and modernizing rapidly in line

with India‟s economic growth. In this review the author talked about the impact of organized retailing on

traditional retailing. With the increase in number of various formats for shopping like malls, departmental

stores, hypermarkets etc the Indian consumer‟s preferences are changing towards and that‟s the reason

foreign investors like the king of retail Wal-Mart also came into the Indian retail ground in collaboration

with Bharti. There is a huge untapped market is present in India right now which contains a number of

opportunities for retailers.

Joseph et al. (2008) studied how consumers and farmers benefit from organized retailers. The study has

also examined the impact on intermediaries and manufacturers. The results are indicative of the mega-

and-mini- metro cities around a limited number of organized retail outlets. Based on the results of the

surveys, the study has made a number of specific policy recommendations for regulating the interaction of

large retailers with small suppliers and for strengthening the competitive response of the unorganized

retailers.

Kacker (2008) written that it is quite possible for both the organized and unorganized sector retailers to

co-exist and flourish. He said that India has a huge potential for growth in retailing sector. It is picking up

at a reasonable pace. The organized and unorganized retail sectors will go from strength to strength

together. Whatever problems the unorganized sector retailers are facing today need to be articulated and

should be addressed.

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Goswami and Mishra (2009) found that customer patronage to grocery stores was found to be positively

related to location, helpful, trustworthy salespeople, home shopping, cleanliness, offers, quality and

negatively related to travel convenience. Kiranas do well on location but poorly on cleanliness, offers,

quality, and helpful trustworthy salespeople. The converse is true for organized retailers and also found

that Kiranas have major disadvantages on all customer perception scores except location. These scores

being less important determinants of patronage compared with location, in the short run kiranas may not

be ousted out of customers‟ favour. However, in the long run if they do not work on these other factors,

they would face oblivion.

Sadasivan and Premkumar (2009) studied that organized retail segment has been growing at a

blistering pace, exceeding all previous estimates. According to a study by Deloitte Haskins and Sells,

organized retail has increased its share from 5 percent of total retail sales in 2006 to 8 per cent in 2007.

The fastest growing segments have been the wholesale cash and carry stores (150 per cent) followed by

supermarkets (100 per cent) and hypermarkets (75-80 per cent). Further, it estimates the organized

segment to account for 25 per cent of the total sales by 2011. India tops the AT Kearney‟s annual Global

Retail Development Index (GRDI) for the third consecutive year. The Indian retail market, which is the

fifth largest retail destination globally, according to industry estimates is estimated to grow from the US$

330 billion in 2007 to US$ 427 billion by 2010 and US$ 637 billion by 2015.

Sharma (2009) said that there would be no negative impact of organized retailing on the unorganized

sector, which accounts for 96 per cent of retail business. Moreover, 3.5 crores people have got jobs in the

retail sector and the incomes too have increased in recent times. He added the study reveals that

unorganized retail sector is expected to grow at about 10 per cent per annum with sales rising from $309

billion in 2006-07 to $496 billion in 2011-12. He also added that there is no restriction on the entry of

domestic investors into retail sector.

Shukla (2009) studied that the marketing function depends heavily on the presence of intermediaries

between the Producer and consumer. These intermediaries provide broad and convenient access to

products for a wide range of customers. The retailing function adds value for producers and consumers in

a number of ways, most of which are difficult for manufacturers to replace.

Wadekar (2009) studied that with huge malls and skyscrapers coming all over the country and with cry

for customer delight and satisfaction getting shriller, it was expected that organized marketing would

make a buyers paradise. Right from selling vegetables to banking services, marketing is believed to be

getting organized to gain customer loyalty and enriched customer experience. Indian consumers had never

dreamt it before, everything available under a roof, with facilities for children care and a café to relax

with crunchy snacks and a central air conditioning keeping them cool and a low music adding up in their

high, it was a sheer luxurious purchasing experience. The researcher conducted a survey in different

malls, in the city of Pune to verify the claims of the malls of serving ultimate quality at a reasonable price

rather a price lower than the ruling market price. The findings of the survey however are quite different

from the presumptions. The survey poignantly shows the sophisticatedly manipulated prices, overcharged

items and declaring of sales and discounts are a big eye-wash. Malls and super/big bazaars may have been

a hit in the metros and urban centers, however how long would it last.

Krishnan(2010) found that it is important to note that value is function of not just price, quality and

service but can also be enhanced by personalization and offering a memorable experience. In fact,

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building relationships with customers can by itself increase the quality of overall customer experience and

thus the perceived value. But most importantly for winning in this intensely competitive marketplace, it is

critical to understand the target customer's definition of value and make an offer, which not only delights

the customers but also is also difficult for competitors to replicate.


Primary Objective

To discover the extent to which customers use and are influenced by marketing strategies

followed by “more” supermarket, Chennai.

Secondary objectives

To know the impact of using pamphlets and giving offers to increase the sales.

To understand the satisfactory level of the customers regarding the marketing practices followed

by “more” supermarket, Chennai.

To offer possible suggestions to improve the marketing techniques followed in “more”

supermarket.

3. RESEARCH METHODOLOGY

Research methodology is a way of systematically solving the research problems. It may be

understood as a science of studying how research is done significantly. In this chapter, the various steps

that are generally undertaken by the researcher in studying the research problem is presented along with

the logic behind them.

3.1 Research Design

A research design is the arrangement of conditions for collection and analysis of data in a

manner that aims to combine relevance to the research purpose with economy in procedure. The research

design undertaken for the present study is Descriptive research design. Descriptive research studies are

those studies that are concerned with describing the characteristics of a particular individual or of a group.

3.2 Sampling Design

Non-probability convenience sampling method was found as suitable method for this study. It

involves a deliberate selection of particular units of the universe for constituting a sample which request

the universe. Non probability sampling technique is a technique in which elements will not have the equal

opportunities of being included in a sample. The researcher identified 200 respondents as a sample size of

this study.

3.3 Data Collection

Both Primary and Secondary Data were used by the researcher for this research study.

3.3.1 Primary Data

Primary data involves collection of data from respondents through questionnaires.

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3.3.2 Secondary Data

Most of the data used for the study is secondary in nature and has been collected from the

company files and websites, pertinent literatures and concepts were taken from library books and web

resources.

3.4 TOOLS USED FOR DATA ANALYSIS

Data collected through questionnaire were presented in a master table. From the table, sub tables were

prepared. For analysis and interpretation of the data, simple statistical tools like percentage analysis and

were employed by the researcher and the diagrammatic representations were given through pie- diagram

and bar-charts.

1. Percentage analysis:

2. Weighted Average Method:

4. DATA ANALYSIS AND INTERPRETATION

Table No. 4.1 GENDER-WISE CLASSIFICATION OF THE RESPONDENTS

Interpretation

From the above table it is inferred that 84 % of the respondents are male and remaining 16% of the

respondents are female.

Table No.4.2 MARITAL STATUS OF THE RESPONDENTS

Marital Status No. of Respondents Percentage

1 Married 136 68.00

2 Single 64 32.00

Total 200 100%

Interpretation

The above table shows that 68% of the respondents are married and remaining 32 % of the respondents

are unmarried.

Gender No. of Respondents Percentage

1 Male 168 84.00

2 Female 32 16.00

Total 200 100%

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Table No. 4.3 AGE GROUP OF THE RESPONDENTS

Interpretation

From the above table, it is inferred that 52% of the respondents belong to the age group of 31 to 40 years,

36% of the respondents belong to the age group of below 30, 8% of the respondents fall under 41 to 50

years and remaining 4% of the respondents fall under the age group of 51 to 60.

Table No. 4.4 OCCUPATION OF THE RESPONDETENTS

Interpretation

It is inferred from the above table that 58% of the respondents are salaried, 34% of the respondents are

self-employed and remaining 8% of the respondents are in others category.

Age No. of Respondents Percentage

1 Below 30 72 36.00

2 31 years to 40 years 104 52.00

3 41 years to 50 years 16 8.00

4 51 years to 60 years 8 4.00

5 61 and above - -

Total 200 100%

OCCUPATION No. of Respondents Percentage

1 Salaried 116 58.00

2 Self-Employed 68 34.00

3 Retired - 0

4 Others 16 8.00

Total 200 100%

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Table No. 4.5 EDUCATIONAL QUALIFICATION OF THE RESPONDENTS

Educational Qualification No. of Respondents Percentage

1 10th

and Below 0 0

2 10th to 12 4 2.00

3 Graduate 108 54.00

4 P/G and Above 88 44.00

Total 200 100%

Interpretation

From the above table it is understood that, 54 % of the respondents are graduates, 44% of the respondents

are PG degree holders and remaining 2% of the respondents are having only HSC qualification.

Table No. 4.6

SERVICES PROVIDED BY “MORE” IS MEETING THE EXPECTATIONS OF THE

CUSTOMERS

Interpretation:

From the above table it is inferred that, 31.5% of the respondents „strongly agreed‟ that services

provided by “more” is meeting their expectations, 31 % of the respondents „agreed‟, 16 % of the

respondents were „neutral‟, 12 % of the respondents „disagreed‟ and remaining 9.5% of the respondents

„strongly disagreed‟ with the above said statement.

Table No. 4.7

MEDIA WHICH HELPS CUSTOMERS TO KNOW THE OFFERS OF “MORE”

Opinion Respondents % of Respondents

Newspapers 77 38.5

TV 0 0

Radio 61 30.5

Posters 62 31

Total 200 100


Product Availability 54 27

Service 46 23

Good will 64 32

Quality 36 18

Total 200 100

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Interpretation:

From the above table it is observed that, 38.5 % of the respondents came to know about the offers

through newspaper advertisements, 30.5 % of the respondents came to know about the offers through

radio advertisements, and remaining 31 % of the respondents came to know about the offers through

posters.

Table No. 4.8 FREQUENCY OF VISIT


Weekly Twice 62 31

Yearly 26 13

Monthly 52 26

Weekly 27 13.5

Daily 33 16.5

Total 200 100

Interpretation:

From the above table it is observed that, 31 % of the respondents are purchasing products

from “more” twice in a week, 26 % of the respondents are purchasing once in a month, 16.5 % of the

respondents are visiting “more” daily, 13.5 % of the respondents are visiting “more” once in a week,

and remaining 13 % of the respondents are visiting “more” once in a year.

Table No. 4.9 SOURCES OF AWARENESS

Interpretation:

From the above table it is understood that 35.5 % of the respondents came to know about

“more” through newspapers, 27% of the respondents came to know about “more” through radio, 11.5 %

of the respondents came to know about “more” through posters, and remaining 26 % of the respondents

came to know about “more” through friends/relatives.


Newspapers 71 35.5

Radio 54 27

Posters 23 11.5

Friends/Relatives 52 26

Total 200 100

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Table No. 4.10

UTILIZATION OF OFFERS AND DISCOUNTS


Yes 166 83

No 34 17

Total 200 100

Interpretation:

From the above table it is inferred that 83 % of the respondents are utilizing/availing the offers,

discounts provided by “more” , and remaining 17 % of the respondents are not utilizing/availing the

offers, discounts provided by “more”.

Table No. 4.11

AMOUNT SPENT BY THE CUSTOMERS IN SINGLE PURCHASE

Interpretation:

From the above table it is identified that 25.5% of the respondents are purchasing for less than

Rs.500 in a single purchase, 22.5% of the respondents are purchasing between Rs.1000 to 2000, 21.5 %

of the respondents are purchasing between Rs.500 to 1000, 16 % of the respondents are not interested to

answer this question, and remaining 14.5 % of the respondents are purchasing for more than Rs.5000.

Respondents % of Respondents

Less than 500 51 25.5

Between 500 to 1000 43 21.5

Between 1000 to 2000 45 22.5

More than 5000 29 14.5

Not interested to answer 32 16

Total 200 100

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Table No. 4.12

CUSTOMERS’ OPINION ON AREA OF IMPROVEMENT

Interpretation:

From the above table it is found that, 29 % of the respondents are looking for improvement in

Product Quality, 23.5 % of the respondents are looking for improvement in Offers/Promotions, 23% of

the respondents are expecting improvement in Clubmore membership, 15.5% of the respondents are

looking for improvement in Service, and remaining 9 % of the respondents are expecting improvement in

ambience of the store.

Table No. 4.13

EFFECTIVE MEDIA OF ADVERTISEMENT (WEIGHTED RANK TABLE)

Interpretation:

From the above table it is identified that newspaper media is the best media of advertisement and

most of the people are preferring newspaper advertisement. It is followed by radio advertisement, TV

advertisement and posters.


Offers/Promotions 47 23.5

Clubmore.membership 46 23

Product Quality 58 29

Service 31 15.5

Ambience 18 9

Total 200 100

Mode of

Advertisement

1 2 3 4 Total Score Rank

Newspapers 88 48 26 17 68 179 1

TV 52 69 16 5 49 142 3

Radio 64

33

36 14 59 147 2

Posters 16 12 16 9 24 53 4

200

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Table No. 4.14

CUSTOMERS’ ARE SATISFIED WITH THE DOOR DELIVERY SYSTEM

Interpretation:

From the above table it is inferred that, 28.5 % of the respondents agreed that they are satisfied

with the door delivery system followed by “more”, 20.5 % of the respondents strongly agreed, 19 % of

the respondents disagreed, 18 % of the respondents strongly disagreed and remaining 14 % of the

respondents were neutral for this statement.

Table No. 4.15

“CONSTANT VISIBILITY OF NEWLY LAUNCHED PRODUCTS INDUCED

CUSTOMERS TO BUY”


Strongly Agree 61 30.5

Agree 52 26

Neutral 33 16.5

Disagree 12 6

Strongly disagree 42 21

Total 200 100

Interpretation:

From the above table it is observed that 30.5 % of the respondents strongly agreed that the

constant visibility of a newly launched product induces them to try it once, 26% of the respondents agreed

for this statement, 21 % of the respondents strongly disagreed, 16.5 % of the respondents were neutral,

and remaining 6 % of the respondents disagreed this statement.


Strongly Agree 41 20.5

Agree 57 28.5

Neutral 28 14

Disagree 38 19

Strongly Disagree 36 18

Total 200 100

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Table No. 4.16

CUSTOMER MINDSET ABOUT BRANDS


Switch over to the other one 56 28

Shall stick to favorite 76 38

Can‟t say 68 34

Total 200 100

Interpretation:

From the above table it is identified that 38% of the respondents are sticking to their favourite

brands always, 34 % of the respondents were not ready to answer this question and remaining 28 % of the

respondents said that they will switch over to the new brand when the quality is equivalent.

Table No. 4.17

FEEDBACK ABOUT IN-STORE PROMOTIONAL SCHEME

Interpretation:

From the above table it is inferred that 37% of the respondents are highly satisfied with the in-store

promotional schemes offered by “more”, 31.5% of the respondents are satisfied, 16% of the respondents

are highly dissatisfied and remaining 15.5% of the respondents are dissatisfied with the in-store

promotional schemes.

5. FINDINGS

Most of the respondents about 31.5% are satisfied with the services provided by “more”.

From the analysis, it is found that 32% of the customers prefer “more” for its goodwill.

38.5% of the respondents get to know about the offers through newspaper advertisements.

26 % of the respondents are visiting more once in a month.

35.5 % of the respondents get to know more through newspapers.

83% of the respondents are utilizing/availing offers, discounts provided by “more”.

Feed Back No. of Respondents Percentage of Respondents

Highly Satisfied 74 37%

Satisfied 63 31.5%

Neutral 0 0

Dissatisfied 31 15.5%

Highly dissatisfied 32 16%

Total 200 100

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25.5 % of the respondents purchasing less than 500.

29 % of the respondents opined that “more” has to improve the quality of the product.

68 % of the respondents prefer newspaper advertisements.

29.5 % of the respondents strongly agree that more having attractive display promotions.

28.5 % of the respondents satisfied with the door delivery system followed by “more”.

30.5 % of the respondents agree that the greater visibility of a newly launched product induces

them to try it once.

38 % of the respondents stick to their favourite brand.

37 % of the respondents are highly satisfied with the in-store promotional schemes offered by

“more”.

42.5 % of the respondents are having their membership card.

44.7 % of the respondents who have membership card are using it for last 1-3 yrs

68.6 % of the respondents who are not having clubmore membership card are not aware of

clubmore membership.

44.5 % of the respondents agree that radio advertisement is more effective.

6. SUGGESTIONS

Advertisement plays a vital role in building the awareness about a retailing unit. More is

concentrating only on word of mouth kind of advertisement and it does not have good impact on

building the awareness. So that it is suggested by the researcher that the company can concentrate

on broadcasting media like TV and Radio and print media like news paper and magazine.

Communication should be more preferred than advertising to the people who do not prefer buying

products through social networking sites. So, if the brand is communicated well and remembered

by the audience, then it is a greatest success to the company for their promotion through social

media. Promotional way of advertising is best for “MORE”: the usual banner ads and pop-up ads

make the users to ignore them. So advertising must be interactive, promotional and in innovative

form to hold the audience. Adding more multimedia elements to have more interactive factors in

fan pages and group would benefit the user.

Most of the customers are suggesting the company to increase features of the club more

membership card. Because as shown in the analysis part 68.6% of the respondents are not aware

of the usage of clubmore membership card. So it is strongly recommended by the researcher that

the customers should be educated on clubmore membership card and its validity.

The company should improve the quality of products and the quality of service to increase its

profit and to avoid negative influence of Word of Mouth effect.

7. CONCLUSION

The expectations of customers of fast moving consumer goods are frequently changing in terms

of their wants, needs, desires, and problems and the service providers have to understand who their

customers are, what they prefer, why they buy, who makes the purchase decision and how the consumer

uses the product and service. In conformity with these changes, there should be changes in the retail in

outlet services, training, attitudes and images, marketing strategies and patterns of organization and

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control. New technology driven products blended with the traditional ones and personalized service will

enable retail outlets to extend a variety of customer services under one roof.

India is being seen as a potential goldmine. It has been ranked 2nd in Global Retail Development Index of

30 developing countries drawn up by A.T.Kearney. Government of India has also opened the door for the

retailing giants to enter into the markets. Many foreign investors are also showing keen interest to enter

into the Indian market. If FDI in retail sector sees the light of the day it will see many changes in the

coming years. As more and more organized retail outlets are dotting the Indian topography, competition is

no more restricted between organized and unorganized retailing, it is now quite evident between

organized retailers as well.

8. BIBLIOGRAPHY

Kothari C.R-Research Methodology, Wishwa Prakashan, New Delhi, 2003.

Excel Books, 2005

Marketing Management by Philip Kotler

WEBSITES

www.scribd.com

www.google.com

www.morestore.com

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