mrkting-teenagaer reasearch

8/8/2019 mrkting-teenagaer reasearch

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SIGNATURE PAGE

I certify that I have read this document. In my opinion, it is satisfactory in scope and

quality as a project in partial fulfillment for the graduate course of Managing Operationsand Technology held at the Kathmandu University School of Management.

Date: 26th May 2009

______________________

Instructor, Marketing Management

Ms. Ajanta Das Dutta

Kathmandu University School of Management

COPY RIGHT

All rights reserved

No part of this report may be reproduced, stored or transmitted in any form, or by any

means, without the prior permission of the authors. No patent liability is assumed with


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respect to the use of the information, contained therein. Although every precaution has

been taken in the preparation of this report, the authors assumes no responsibility for

errors or omission.

Date: 26th May 2009

Kathmandu University School of Management

DECLARATION

We, declare that this project is a result of our own work and analysis conducted on the

topic Spending habit of teenagers in the year 2009. It has not been previously

submitted for the award of any degree of any other university or institution.


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________________________

Namuna Joshi (08109)

MBA 2nd Term

________________________

Pragya Adhikari (08113)

MBA 2nd Term

________________________

Preeti Singal (08115)MBA 2nd Term

________________________

Rashmi Agrawal (08122)

MBA 2nd Term

________________________

Sushant Murarka(07326)

MBA 2nd Term

________________________

Swasti Thapa (08132)

MBA 2nd Term

ACKNOWLEDGEMENT

Our primary indebtedness goes to Ms. Ajanta Das Dutta, Course Instructor Marketing

Management for her guidance and support. Without her guidance the completion of the

report was not possible.


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We would like to thank all the students of Shuvatra School, National Institute of Science

and Technology, and Kathmandu College of Management, who helped us by filling our

questionnaire. Without their support the completion of this research and project would

not have been possible.


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EXECUTIVE SUMMARY


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Table of content

Introduction

Market research

Role of market research

Market information

Market segmentation

The Market Research Process

Quantitative Research

Qualitative Research

Using Market Research Data

Conclusion

Recommendation


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Chapter 1

Introduction

Background of the research

This research is conducted for the partial fulfillment for the requirement of Marketing

Management held at Kathmandu University School of Management. MBA II Term

students were assigned to work in group and conduct research on assigned topics. For this

purpose our group was assigned to conduct research on the spending habit of teenagers.

The research required students to develop questionnaire and generate required

information to support their research.. The project provided us with an opportunity to use

our theoretical knowledge of marketing research in a practical real life sitaution. Theresearch and report conatains the infromation tabulated regarding the spending habit of

fifty teenaged students from Shuvatara School, National Institute of Science and

Technology, and Kathmandu College of Management.

Purpose of the research

To identify the spending habit of teenagers.

Help us understand how real life market research is conducted.

Provide an opportunity to apply theoretical knowledge into a practical application.

To develop team work ability among students.

Objective of the simulation project

Develop questionnaire

Select the appropriate sample size

Tabulate the information generated

Preparation of research report

Limitations of the research

As there was time constrain making a detail study was not possible.

The validity of filled questionnaire is questionable.


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Chapter 2

Market research

Market Research is a systematic, objective collection and analysis of data about a

particular target market, competition, and environment. It always incorporates some form

of data collection whether it be secondary research or primary research which is collected

direct from a respondent.

The purpose of any market research project is to achieve an increased understanding of

the subject matter. As the markets throughout the world increasing to be more

competitive, market research is now the agenda of many organizations.

Market research is done for discovering what people want, need, or believe. It can also be

involved in discovering how they act. Once the research is completed, it can be used to

determine how to market the product. Examples of market research would be in the form

of questionnaires and surveys.

Marketing research is a form of business research and is generally divided into two

categories: consumer market research and business-to-business (B2B) market research.

The goal of marketing research in business is to identify and assess how changing

elements of the marketing mix impacts customer behavior.

Role of market research

Market research plays prized role in competitive market. The primary task of marketing

research is to provide with relevant, accurate, reliable, valid, and current information.

Market information

Market information is the informations about the relevant topic which can be obtained in

several different varieties and formats.
http://en.wikipedia.org/wiki/Marketing_mixhttp://en.wikipedia.org/wiki/Marketing_mix


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Primary research is conducted by gathering original data. Such data collected for the first

is known as primary data.

Secondary research is conducted on data published previously and usually by someone

else. Secondary research costs far less than primary research, but seldom comes in a form

that exactly meets the needs of the researcher. Data collected and possibly processed by

people other than the researcher is known as secondary data.

Market segmentation

Market segmentation is the division of the market or population into subgroups with

similar motivations. It is done on the basis of geographic differences, personality

differences, demographic differences, use of product differences and psychographicdifferences.

The Market Research Process

To conduct market research, organizations may decide to undertake the project

themselves or they might choose to commission it via a market research agency or

consultancy. Whichever, before undertaking any research project, it is crucial to define

the research objectives i.e. what are you trying to achieve from the research? and what do

you need to know?

After considering the objectives, Market Researchers can utilize many types of research

techniques and methodologies to capture the data that they require. All of the available

methodologies either collect quantitative or qualitative information. The use of each very

much depends on the research objectives but many believe that results are most useful

when the two methods are combined.

Quantitative Research

Quantitative research is numerically oriented research. It requires significant attention to

the measurement of market phenomena and often involves statistical analysis. The main

rule with quantitative research is that every respondent is asked the same series of


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questions. The approach is very structured and normally involves large numbers of

interviews/questionnaires.

The most common quantitative technique is the market research survey. Quantitative

surveys can be conducted by using post (self-completion), face-to-face (in-street or in-

home), telephone, email or web techniques. The questionnaire is one of the more

common tools for collecting data from a survey.

Qualitative Research

Qualitative research provides an understanding of how or why things are as they are.

Unlike quantitative research there are no fixed set of questions but, instead, a topic guide

is used to explore various issues in-depth. The discussion between the interviewer and the

respondent is largely determined by the respondents' own thoughts and feelings.

There are also various types of qualitative methodologies. Research of this sort is mostly

done face-to-face. One of the best-known techniques in this type of market research is

group discussions. These are usually made up of 6 to 8 targeted respondents, a research

moderator whose role is to ask the required questions, draw out answers, and encourage

discussion. In addition, qualitative research can also be conducted on a one on one basisi.e. an in-depth interview with a trained executive interviewer and one respondent and a

mini group discussion (4-5 respondents).

Using Market Research Data

After compiling the data, Market Researchers evaluate it and make conclusions and

recommendations to their client or employer based upon their findings. They provide an

organizations management with information needed to make decisions on the promotion,

distribution, design, and pricing of products or services information that meets the

initial research objectives.


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Methodology

The sources of information required to conduct the marketing research are primary data

and secondary data. Primary research is research used to collect data for a specific task. It

includes information that is obtained directly from first-hand sources. Secondary data is

data that have been collected for another project and have already been published. It is

information compiled inside or outside the organization for some purpose other than the

current investigation. The sources of secondary data can be in-house or external.

The source that we used to collect information in order to conduct this research is

primary data. Primary data can be collected through various methods such as surveys,

observation, experimentation or questionnaire. Among these methods, the method that we

chose to collect the required information is the questionnaire method.

While using the questionnaire method, the first things that we did was developing a

questionnaire. The questionnaire was developed keeping in mind the various kinds and

extent of information that would be required to conduct our research. Thus we developed

a questionnaire in such a way that would address and extract all the needed information.

After developing the questionnaire the next thing that we did was that we decided the

sample size. We selected the sample size of 50 students. The reason behind choosing this

number was that 50 students would be an achievable target. Choosing too large or too

small sample size would not give the accurate results and findings. Further, we decided to

sample 25 males and 25 females (total 50 students). Keeping this 50:50 gender ratio

would help us to know about the spending patter gender wise and also to make any

further necessary comparison required.

After choosing the sample size the next step was to choose among the educational

institutes where the survey would be conducted. The factors that we considered while

choosing the institutes were location accessibility, reliability, accuracy and validity of

information provided. After considering the above mentioned factors we chose to conduct


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our survey in three different educational institutes. We chose one school, one

intermediate level college and lastly one bachelor level college.

The school that we chose was Shuvatara English Boarding School which is located at

Jhamshikhel. Here we chose to survey the students of class 9 and 10 as they would be

able to provide relevant information in a proper manner. The sample size chosen was 25

students. The gender ratio of approximately 50:50 was maintained while doing the survey

in this school. For this, we surveyed 13 male students and 12 female students.

The college that we chose for the intermediate level students was National School of

Science and Technology which is located at Lainchour. The sample size chosen was 15

students. The gender ratio of approximately 50:50 was maintained while doing the survey

in this school. For this, we surveyed 7 male students and 8 female students.

Lastly, the college that we chose for the bachelor level students was Kathmandu College

of Management which is located at Gwarko. The sample size chosen was 10students. The

gender ratio of approximately 50:50 was maintained while doing the survey in this

school. For this, we surveyed 5 male students and 5 female students.


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Chapter 3

Findings

1. Basis of getting pocket money

Time Number Percentage

Daily 5 10

Weekly 30 60

Monthly 9 18

Only when needed 6 12

Total 50 100

Frequency of Geting Pocket Money

10%

60%

18%

12%

Daily

Weekly

Monthly

Only when needed

We have taken sample size of fifty teenaged students. Among the fifty students five

students said that they get pocket money on daily basis, which constituted 10% of the

total sample. Thirty students got pocket money on weekly basis, which constitute of 60%

of total sample size. Nine students said that they get pocket money on monthly basis,

which constituted 18% of total sample size. Remaining six said that they get pocket

money only when they need it, which constituted 13% of the total sample size. Majority


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of students of Shuvatara English Boarding School said that they get money on weekly

basis. From this we can interpret that majority of school going students gets pocket

money on weekly basis. Among the students of National Institute of Science and

Technology few said that they get pocket money on weekly basis and few on monthly

basis. Here we have taken students of class eleven and twelve from National Institute of

Science and Technology. From this we can interpret that majority of plus 2 students get

pocket money on weekly and monthly basis. Majority of the students of Kathamndu

College of Management, who represents the bachelors level students, said that they get

pocket money on monthly basis. From this we can interpret that majority of bachelor

level student get pocket money on monthly basis. Thus we can interpret that the basis in

which teenagers get their pocket money is influence both by their family as well as their

academic level.

2. Monthly pocket money (in Rs.):

Amount Number Percentage

0-500 22 44

501-1000 21 42

1001-1500 5 10

1500-above 2 4

Total 50 100


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22

44

21

42

5

10

24

0

5

10

15

20

2530

35

40

45

Students No./

Percentage

0-500 501-1000 1001-1500 1500-above

Amount

Total Monthly Pocket Money

Number

Percentage

Among the fifty teenaged students twenty-two students said that the pocket money they

get range between Rs. 0-500, which constituted 44% of the total sample. Twenty-one

students said their pocket money range between Rs. 501-1000 which constitute of 42% of

total sample size. Five students said that their pocket money range from Rs. 1001-1500,

which constituted 10% of total sample size. Remaining two students said that their pocket

money is above Rs.1500, which constituted 4% of the total sample size. Majority of

students of Shuvatara English Boarding School said that their pocket money range

between Rs. 0-500. From this we can interpret that school going students get pocket

money upto Rs.500. Majority of the students of Kathmandu College of Management and

National Institute of Science and Technology, said that the pocket money they get range

from Rs. 501-1000. From this we can interpret that the amount of pocket money that one

receives is based on age as well as their academic level.


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3. Awareness regarding spending habit

Number Percentage

Always aware 18 36

Have a general idea 27 54

Neither 5 10

Total 50 100

Awareness of Spending Habit

36%

54%

10%

Always aware

Have a general idea

Neither

Among the fifty teenaged students eighteen students, who comprised of 36% of totalsample size, said that they are aware regarding their spending habit. They said that they

always calculate and properly manage their spending. Twenty- seven students i.e. 54%

said that they have general idea regarding their spending habit. But they do not calculate

and make an effort to manage their spending. Five students i.e. 10% of the total sample

size said that they are not aware and do not consider how they spend their pocket money.

Majority of the student of Shuvatara i.e. school going student said that they just have a

general idea or are not at all aware regarding their spending habit. Whereas, students of

Kathmandu College of Management and National Institute of Science and Technology,

said that they are always aware or have a general idea about their spending habit. From

this we can interpret that the majority of the teenagers who goes to school are not really

conscious about their spending habit whereas, college going teenagers have clear or

general idea regarding their spending habit.


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4. Pocket money spending items

Items Percentage

Restaurants 8

Movies 11

Canteen 24

Stationary 26

Shopping 6

Mobile 3

Gifts 4

Music 2

Transportation 14

Others 2

Total 100

By tabulating the information obtained from the fifty filled questionnaire, we found out

that majority of the pocket money i.e. 26% is spent on stationary items. 24% of money is

spent on canteen food, and 14% is spent on transportation. Remaining amount is spent on

factors like restaurants, movie, shopping, mobile, gifts, music, and other items. From this

we can interpret that majority chuck of pocket money is spend on stationary items like:

pen, pencil. Copy etc. Teenagers also spent a big portion of their pocket money on

canteen food. Majority of school going teenagers responded that their money of

stationary items. Whereas college going students said that their money is spent mostly onstationary, transport and canteen food.

5. Ability to limit spending

Number Percentage

Never 2 4

Rarely 4 8

Sometimes 6 12

Often 11 22

Always 27 54

Total 50 100


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Ability to Limit Spending

2 46

11

27

48

12

22

54

0

10

20

30

40

50

60

Never Rarely Sometimes Often Always

Ability

StudentsNo./

Percentage

Number

Percentage

From the gathered information we found that 27 students i.e. 54% of the total sample size

are always able to limit their spending. Eleven students i.e. 22% are often able to control,

and manage their spending habit. 6 students i.e. 12% said that only sometimes they are

able to limit their spending habit. Four students i.e. 8% said that only few times they are

able to limit their spending habit. And remaining 2 i.e. 4% said that they are never able to

manage and limit their spending habit. There was not a distant pattern regarding the

ability to mange the spending habit among the teenagers falling into different age group

and academic level. The response was mixed. From the received data we can say that

majority of teenagers have the ability to mange and limit their spending habit.

6. Saving pocket money

Number Percentage

Yes 18 36

No 32 64

Total 50 100

Pocke


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From the gathered information only eighteen students i.e.36% is saving their pocket

money. Remaining 32 students i.e. 64% said that they never save their pocket money.

From this we can interpret that teenagers are not engaged in saving behavior. Among the

36%, who said that they save their pocket money, mostly were the students of

Kathmandu College of Management. From this we can know that more than school going

teenagers and plus 2 level students, bachelor level students are engaged more in spending

habit.

7. Is your pocket money sufficient for you?

Number Percentage

Yes 9 18

No 41 82

Total 50 100


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Adquacy of Pocket Money

Yes

18%

No

82%

Only nine among fifty students i.e. just 18% said that they feel that their pocket money is

adequate for them. Remaining 41 students i.e.82% said that they the pocket money they

are getting is not adequate for them. Majority of the students who were satisfied from

their pocket money, were from Shuvatara English Boarding School. This shows that

majority of school going students are satisfied with their pocket money compared to plus

2 and bachekor level students.

8. Who influence your spending behavior?

Factors Number Percentage

Friends 19 38

Parents 21 42

No one 10 20

Total 50 100


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Factors Influencing Spending Habit

13

27

10

50

26

54

20

100

0

20

40

60

80

100

120

Friends Parents No one Total

Factors

StudentsNO.

/Pe

rcentace

Number

Percentage

Among the fifty students, nineteen students i.e. 38% said that their spending habit is

influence by their friends. Twenty one students i.e.42% said that their spending habit are

influenced by their parents. Ten students i.e. 20% said that their spending habit is not

influenced by anyone, and they themselves decide their spending behavior. Majority of

school going teenagers said that their spending habit is influenced by their parent.

Whereas, majority of plus 2 students and bachelor level student said that their spending

habit is influenced by their friends.

9. How often would you say you spend money on things you cant afford?

Number Percentage

Often 8 16

Sometimes 17 34

Rarely 21 42

Never 4 8Total 50 100


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8

16 17

34

21

42

48

0

5

10

15

20

2530

35

40

45

Students No. /

Percentage

Often Sometimes Rarely Never

Frequency

Frequency of Spending on Unaffordable Things

Number

Percentage

Among the fifty students, eight students i.e. 16% said that they often spend on item thatthey cant afford or goes beyond their limit of pocket money. Seventeen students i.e. 34%

said that only at times they spend on things that are above the range of their pocket

money. Twenty-one students i.e. 42% said that only rarely they spend on unaffordable

items. Remaining four students i.e. 8% said that they never spend money.

Chapter 4

Conclusion

Change in life style

Due to various source of information system such as movies, internet, daily soaps, etc.

life style of the teenagers has changed. This has increased in fashion trends.

Change in available facilities

Due to increase in number of shopping malls and sophisticated movie theaters, increase

in availability of electronic items such as mobile phones, I-pod etc. spending habit has

subsequently increased among the teenagers, so has the amount of pocket money.

Initiators of spending decision


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In the early teen ages generally spending decision is influenced and initiated by the

parents but as the time passes, they spend with their own initiation or by the influences of

the friends.

Change in needs and awareness

mrkting-teenagaer reasearch

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