Resale value

1

Impact of Promotional Activities, After Sale Services, Mileage and

Resale Value on the Purchase Decision. - A Consumer Behaviour

Study in Four wheeler Industry. Dr. Rakesh Kumar Assistant Professor in Commerce

Shaheed Bhagat Singh College University of Delhi- India Email ID: [email protected]

ABSTRACT

In this researc h paper an a t tempt has been made to know the Impact of Promotional

Activities, After Sale Services, Mileage and Resale Value on the Purchase Decision. The research wi l l

he lp the manu fac ture rs o f fou r whee le rs in tak i ng sui tab le decis ions regard i ng

Promotional Activities, After Sale Services, Mileage and Resale Value. It wil l fu r the r he lp the

manu fac tu res to m ake necessary c hanges i n the ir Promotional Activities, After Sale Services,

Mileage and Resale Value . The study was carried out in Himachal Pradesh state. The researcher has

used both primary and secondary data for this research. The researcher has collected primary data from

the owners of four wheeler. Consumer behaviour is the process whereby, individuals decide whether, what,

when, where, how, and from whom to purchase goods and services. The automobile industry today is the

most lucrative industry. Due to the increase in disposable income in both rural and urban sector and easy

finance being provided by all the financial institutes, the passenger car sales have been significantly

increased.

Key Words: - Consumer Behaviour, Promotional Activities, After Sale Services, Mileage and Resale Value.

INTRODUCTION CONSUM ER BEHAVIOUR

Consumers make purchase decisions in each and every aspect of their life. Thus studying

consumer behaviour becomes more vital. All marketing decisions & activities are based on assumptions

about consumer behavior. Consumer behaviour deals with the behaviour that consumer displays in the

consumption of goods right from purchasing, using, evaluating & disposing them. Each step in the

consumer decision making process is highly influenced by both internal and external factors. The internal

factors include the individual's own motivation, personality, perception, learning attitude and his own past

experience in addition to the internal influencing factors, the external factors like the company's marketing

efforts, ideas/opinions of friends, relations, family members and reference group members also have

profound impact on the purchase decision of individuals. Consumer is the focus of all the marketing

activities. Knowledge of his activities and behaviour is one of the most importan t aspects of the marketing.

2 The consumers buy the goods to satisfy a number of needs and drives. Human wants are unlimited and

varying time to time; from place to place and man to man. The study of consumer behaviour holds great

interest for us as consumers, as students and scientists, and as marketers. As consumers, we need

insights into our own consumption related decisions: what we buy, why we buy, and how we buy. The study

of consumer behaviour makes us aware of the subtle influences that pursued us to make the product or

service choices we do. Consumer Behaviour is a rapidly growing discipline of study. It means more than

just how a person buys products. It is a complex and multidimensional process and reflects the totality of

consumer’s decisions with respect to acquisition, consumption and disposal activities. There are number of

reasons why the study of consumer behaviour developed as a separate marketing discipline. Marketing

scientists had long noted that consumer did not always act or react as economic theory would suggest. The

various reasons why the study of consumer behaviour developed as a separate marketing discipline are

shorter product life cycles, increased interest in consumer protection, growth in marketing services, growth

of international marketing, development of computer and information technology and increasing

competition.

REVIEW OF LITERATURE

The chap te r deals wi th the ex is ti ng s tud ies av ail ab le on the re la ted top ic , to

exp lo re the ex is ti ng researc h g ap . The m ain conside ra tion i n rev iewi ng the research

work a lre ady done in this concerned fie ld is to evalua te suc h stud ies, in o rde r to

fo rmul a te the p resen t s tudy and to avo id dup lic a tion o f the work. F u r the r, th is may

p rov ide valuab le i n fo rm ation regard i ng the me thodo log ies, analy tica l too ls , e tc . al ready

emp loyed along wi th the me thodo log ical weaknesses, i f any. Th is wil l no t o nly he lp in

tailo ring the p resent s tudy, but in consonance o f the ob jectives o f the s tudy.

Jo seph D. Br o wn (1972), s tud ied bo th the degree o f loyalty and the fac to rs appeari ng

to a f fect i t we re s tud ied i n this p ro jec t, which was based on in te rv iews with 198

shoppers in the M uncie , Ind iana, me tropo litan a rea. Bo th me thodo logy and p rocedures

were we ll cove red in the rep or t. I t was found tha t one - th ird o f food shoppers were

comp le te ly loyal to one sto re ; 81 pe rce n t purc hased at leas t one p riv a te b rand ; one -

thi rd o f the shoppers were loyal pu rchasers o f p r iva te leve ls ; s to re loyal ty appeared to

be a mino r fac to r i n exp lai n ing loy al ty to p riv a te b rands; be tween the two most

important loyalty facto rs -p rice and quality , p rice tended to be more important.

Carl E. Blo ck (1972), a ttemp ted to analyse search behaviou r o f low -i ncome

househo lds. A samp le o f 350 househo lds in a S t. Lo uis ghe t to was po lled to de te rmi ne

sources and types o f i n fo rm ation used i n p l anni ng pu rc hases. S to re pa tronage pa t te rns

3 in the purc hase o f g roce ry p roduct we re also surveyed . In fo rmat ion re l a ted to deale rs

was fa r less impor tan t than p roduc t-o rien ted i n fo rm ation. A ve ry sma ll pe rcen tage

checked compara tive p r ices and experience o f o the rs, p rim arily because so m any had

to shop wi thi n wa lk ing d is tance o f the ir homes. Rad ios and te lev is ion se t were owned

by 84 pe rcen t and nearly two thirds saw a ne wspaper dai ly ; bu t the ir read i ng ti me was

l imi ted . Ne wspaper was v iewed as the best sou rce o f p roduct i n fo rm ation. Two thi rds o f

the g roup bought most g roce ries i n a superm arke t; one fo ur th pa tro nized a co rne r

s to re . Those who read the most were concerned wi th p rices ; where as wi th l i t tle read i ng

to p rimary patronage facto rs were convenience and se rv ice .

Lond on, E. L air d (1974) , the p resent s tudy p resen ts p repurc hase suppor t fo r a se lf

concep t/purc hase i n ten tion l ink and a lso ind ica tes tha t some sub jects p redominan tly

ma tch p roduc t- image wi th se l f -im age while o the rs te nd to m a tch p roduct -i mage wi th

ideal se lf-images.

Olash avsky, Richard W. and Do nal d H. Gran boi s (1979), s tud ied consume rs p re -

purc hase behaviou r and suggested that a substan ti al p roport ion o f pu rchase d id no t

invo lve decis ion making , no t even in the fi rs t purc hase . The heavy emphasis in c ur ren t

researc h on decis ion making migh t d iscourage invest iga tion o f o the r impor tan t k i nds o f

consumer behaviour.

An derson, Paul F. (1986), exp l ained i n his ar t ic le tha t a cr i tica l re la tiv is t pe rspec tive

on researc h in cons umer and buyer behavio ur. I t was a rgued tha t a re l a tiv is tic

construal o f tha t a rea was fa r superio r to a positiv is tic app roach because : ( I) I t

p rov ided a more acc ura te descrip tion o f how knowledge was ac tually genera ted i n the

fie ld , (2) I t o f fe red a more rigo ro us and to uch -mi nded approac h to the eval ua tion o f

knowledge c laims i n the d isc ip li ne , and (3 ) I t suggested a f ramework fo r comi ng to

g rips wi th the va rious p rob lems tha t ar ise in d ay - to -d ay research. The a r tic le deve loped

a ne w mode l o f the researc h genera tion p rocess in soc ia l sc ience and emp loyed a we l l -

known "case study" in consumer research to i l lustrate many o f its key po ints .

Palan, Kay M. and Rob er t E. Wil kes (1997), the s tudy p resents a c lass i f ica tio n o f bo th

ado lescent i n fl uence s tra teg ies and pa ren tal response stra teg ies, deve loped from in –

dep th i n te rv iews with ado lescents, mo the rs and fa the rs. In add it ion, the pe rce ived

e f fective ness o f ado lescent in fl uence s tra teg ies is exami ned , revealin g tha t

ado lescents are mos t s uccessful i n the ir in f lue nce a t tempts when they emu la te adul t

s trateg ies. Imp lications o f these find ings fo r future research are d iscussed .

4 Bago zzi , Ri ch ar d P. (2000) , p urpose o f his s tudy was to encourage research on the

soc ial aspects o f cons umer behaviou r, par t icul a rly as found in g roups o f cons umers

and m an i fested th rough g roup ac tio n. Based on work by lead ing con temporary

philosophers, a new concep t o f soc ial fac ts is p resen ted tha t is g ro unded in the way

members o f a g roup see themse lves and the imp lic a tions o f th is fo r g roup ac tion. Gro up

ac tion, in tu rn, is shown to requi re d i f fe re n t concep tua l sc hemes than commonly used

fo r i nd iv idual ac tio n o r in te rpe rso nal and mac ro soc ial pe rspectives. Among o the r

ideas, the no tion o f wha t i t means fo r a g ro up member to inte nd tha t the g roup ac t and

how ind iv idual intentions are contributo ry to g roup action are d iscussed .

Bat tol i o, Raymon d C., Ed win B. Fisher (2005) , s tudy describes the genera l s t ruc tu re

o f contro lled economic enviro nme nt and reports the res ul ts o f a se ries o f

experimentally i nduced p rice changes on consumer behaviou r is one s uch e nvi ronment.

The experimen tal resul ts demons tra te the sui tab il i ty o f con tro lled economic

environments as labo ra to ries fo r the experimen ta l a nalys is o f co nsume r behavio ur and

add to our unders tand i ng o f consume r behaviou r, pa r tic ul ar ly wi th repor t to the

continuing e ffects o f temporary p rice change on the composition o f consumption.

Ad val, Rashmi (2012 ), s tudy reveals tha t p ar t ic ipan ts exper ienc ing positive o r

nega tive a f fect j udged p roducts described by b rand and a t t ribu te i n fo rm ation. Fo ur

s tud ies us i ng pa ramete r-es tim a tion and reac tion - ti me p rocedures de te rmi ned whe the r

the impac t o f a f fec t o n b rand name was the res ul t o f i ts i n fl uence on (a) pa r tic ip an t’s

percep tion o f i ts eval ua t ive imp lic a tions a t the ti me o f encod ing o r (b ) the i mpor tance

they a t tac hed to i t while i n teg ra t ing i t wi th o the r i n fo rm ation to compu te a j udgment.

Resul ts sho wed tha t pos itive af fec t inc reased the extremi ty o f the b rands evalua tive

imp lica tio n ra the r than the impor tance tha t pa r tic ipan ts a t tac hed to i t. A f i f th

experiment demons tra ted the imp lic a tio ns o f these fi nd ings fo r p roduc t c ho ices made

24 hours afte r affect was induced .

OBJECTIVES OF THE STUDY:

5 1. To know the Impact of Promotional Activities, After Sale Services, Mileage and Resale Value on

the Purchase Decision of four wheeler. 2. To he lp the manu fac ture rs o f fou r whee le r i n tak ing su i tab le decis ions

regard ing Promotional Activities, After Sale Services, Mileage and Resale Value.

HYPOTHESIS:

Null Hypothesis -H0 : Price and Quality s ignificantly affect the marke t o f durable products.

Altern ati ve Hypo th esi s -H 1: P rice and Qua li ty do no t af fec t the m arke t o f durable

products.

RESEARCH METHODOL OHY:

The p resent s tudy has been conducted wi th the he lp o f p rim ary and secondary

data to unders tand the consumer behaviou r towards Four Whee le r . The p r im ary d a ta

fo r the s tudy has been co llected wi th the he lp o f in te rv iews, pe rsona l obse rva tion,

p ilo t su rvey and ques tionnai re . The secondary da ta has been co llected f rom the books

and jou rnals , researc h repor ts , deale rs , m agazi ne s, ar t ic les f rom ne wspapers and

websites. The comp le te Him achal Pradesh ac ts as the unive rse and eve ry cons umer

who has fou r whee le r o f any company in the s ta te under s tudy is the populatio n fo r the

s tudy. Keep ing in v iew the time fac to rs fo r the comp le tion o f the p resen t s t udy only a

samp le o f 1000 consumers has been se lected . The samp le cons ti tu tes p roport iona te ly

all ma jo r b rands o f fou r-whee le r so ld by d i f fe ren t companies in the s ta te under s tudy.

Fu r the r, des igning a samp le , due ca re has been taken to cove r al l demograph ic

vari ab les l ike age , sex, income, educatio n, backg round o f consumers, e tc . in o rde r to

make the samp le more rep resenta tive . M ul tip le -s tage samp li ng has been used : Stage

One : A t this s tage , us i ng c l uste r s amp li ng , the who le a rea o f Him achal Pradesh has

been d iv ided into fou r g ro ups, tak i ng th ree d is tric ts i n e ach g roup . S tage Two: A t this

s tage , by us ing judgment-c um -convenie nce samp li ng each g roup has been d iv ided into

ru ral & urb an a rea. S tage Three : At this s tage , by us ing quo ta samp li ng , a samp le o f

1,000 consume rs has been taken p roport iona te ly f rom ru ra l and u rban popula tion

keep ing in v iew the number o f fou r whee le r so ld in ru ra l & urban a reas. S tage Four: At

this s tage , the ul tim a te samp le was se lec ted on the basis o f convenien t -c um -j udgment

samp li ng . Fo r d ata analyz ing and i n te rp re ta tion pe rcen tage and ch i -square me thods

have been used .

6

DATA ANALYSING AND INTERPRET ATION:

Impact o f P romotional Activit ies , After Sa le Services , Mileage and

Resale Value on the Purchase Decision:

In this c hap te r we made an a t tempt to kno w whe the r the p romo tional ac tiv i ties,

a f te r sale se rv ices, mileage and resa le value a f fec ts the purchase decis ion o f

consumer o r no t. The research dep ic ted tha t p romotio na l ac tiv i ties, a f te r sale se rv ices,

mileage a nd res ale va lue high ly a f fec ts the pu rchased decis ion o f consumer. This

chap te r wil l he lp the m anu factu re rs i n the p repara tion o f the ir p romo tio nal s t ra teg ies.

Manu fac tu re rs o f va rious b rands can access the quali ty o f the i r a f te r s ale se rv ices,

mileage and resale value .

TABLE-1.1

SEX OF CONSUMER AND AFFECT OF PROMOTIONAL ACTIVITIES ON

THE PURCHASE DECISION

SEX

PROMOTIONAL ACTIVITIES ON PURCHASE

DECISION

TOTAL

HIGH IMPACT

MODERATE IMPACT

LOW IMPACT

NO IMPACT

MALE 531

(63.8)

301

(36.2)

- - 832

(100.0)

FEMALE 98

(58.3)

70

(41.7)

- - 168

(100.0)

TOTAL 629

(62.9)

371

(37.1)

- - 100

(100.0)

²=1.805

P<0.05

Note: Figures in parenthesis depicts the percentage

Source: Data collected through questionnai re .

7 I t is obse rved f rom the tab le 1. 1 tha t Majo ri ty o f consumers i r respective o f the ir

sex accep ted tha t p romo tional ac tiv i ties a f fec t the pu rc hase decis ion o f

consumer. While ² tes t is app lied , i t is found tha t c alc ul a ted val ue o f ² (1. 805) is less

than tab le va lue a t 5% leve l o f s igni fic ance . Wh ich le ads to concl ude tha t op inio n o f

d if fe ren t sex o f cons umers ove r the a f fec t o f p romo tional ac t iv i ties on pu rchase

decis ion is no t equally d is tributed .

TABLE-1.2

MARITAL STATUS OF CONSUMER AND AFFECT OF PROMOTIONAL ACTIVITIES ON THE PURCHASE DECISION

MARITAL STATUS

PROMOTIONAL ACTIVITIES AFFECT THE

PURCHASE DECISION

TOTAL

HIGH IMPACT

MODERATE IMPACT

LOW IMPACT

NO IMPACT

MARRIED 487

(61.9)

300

(38.1)

- - 787

(100.0)

UNMARRIED 142

(66.7)

71

(33.3)

- - 213

(100.0)

TOTAL 629

(62.9)

371

(37.1)

- - 1000

(100.0)

²=1.645

P<0.05

Note: Figures in parenthesis depicts the percentage

Source: Data collected through questionnai re .

I t is c lea r f rom the tab le 1.2 tha t ir respective o f the ir mari tal s ta tus all

consumers op ined tha t p romotio nal ac tiv i t ies a f fect the pu rchase decis ion o f

consumer. While app ly i ng ², i t is found tha t calc ul a ted val ue o f ² test (1.645) is less

than tab le va lue a t 5% leve l o f s ig ni fic ance . Thus, i t c an be concl uded the re is no

s igni fican t d i f fe re nce in the op inion o f consumer ove r the a f fect o f p romo tional

activ ities on purchase decis ion.

TABLE-1.3

EDUCATION OF CONSUMER AND AFFECT OF PROMOTIONAL

ACTIVITIES ON THE PURCHASE DECISION

PROMOTIONAL ACTIVITIES AFFECT PURCHASE THE

8 EDUCATION DECISION TOTAL

HIGH IMPACT

MODERATE IMPACT

LOW IMPACT

NO IMPACT

BELOW

MIDDLE

58

(46.0)

68

(54.0)

- - 126

(100.0)

MIDDLE TO PLUS TWO

208 (68.2)

97 (31.8)

- - 305 (100.0)

GRADUATION & ABOVE

363 (63.8)

206 (36.2)

- - 569 (100.0)

TOTAL 629

(62.9)

371

(37.1)

- - 1000

(100.0)

²=19.226

P<0.05

Note: Figures in parenthesis depicts the percentage

Source: Data collected through questionnai re .

I t is no ted f rom the tab le 1. 3 tha t p romot ional ac tiv i ties e i the r h ighly a f fec t the

marke t o f fou r whee le r o r modera te ly a f fec t the marke t o f fo ur whee le r. No consumer

has rep lied tha t i t does no t a f fect the m arke t o f fo ur whee le r. Co nsumers be long ing to

high educa tio n g ro up have s trong ly s upported this s ta temen t tha t p romo tional ac tiv i ties

a f fect the purc hased decis ion o f consumer. The calc ul a ted value o f ² tes t (19. 226) is

found g rea te r than the tab le val ue a t 5% leve l o f s ig ni fic ance . Whic h le ads to re ject

nu ll hypo thesis . So , it can be concluded the re is s ignific an t d i f fe rence in the op inion o f

d if fe ren t educ a tion g ro up ove r the a f fect o f p romo tional ac t iv i ties on the pu rchase

decis ion.

TABLE-1.4

BACKGROUND OF CONSUMER AND AFFECT OF PROMOTIONAL ACTIVITIES ON THE PURCHASE DECISION

BACKGROUND PROMOTIONAL ACTIVITIES AFFECT THE

PURCHASE DECISION

TOTAL

HIGH IMPACT

MODERATE IMPACT

LOW IMPACT

NO IMPACT

RURAL 406 (64.2)

226 (35.8)

- - 632 (100.0)

URBAN 223

(60.6)

145

(39.4)

- - 368

(100.0)

TOTAL 629 (62.9)

371 (371.)

- - 1000 (100.0)

²=1.322

P>0.05

Note: Figures in parenthesis depicts the percentage

Source: Data collected through questionnai re .

9 I t is ev ident from the tab le 1. 4 tha t whe the r the consume r be longs to ru ral o r

urb an are as al l have accep ted and op ined tha t p romotio na l ac tiv i t ies a f fect the

purc hase decis ion. Whi le ² test is app lied i ts v alue (1.322) is fo und less than the tab le

value a t 1% leve l o f s ignif icance , wh ic h leads to concl ude tha t the re is no s igni fic an t

d if fe rence in the op inion o f d if fe re n t backg round o f consumers ove r the a f fect o f

p romotional activ ities on the purchase decis ion.

TABLE-1.5

BRAND OF FOUR WHEELER AND RATING OF PROMOTIONAL

ACTIVITIES

BRAND

RATING OF PROMOTIONAL ACTIVITIES

TOTAL EXCELLENT VERY

GOOD GOOD POOR

MARUTI

SUZUKI 132

29.3%

235

52.%

83

18.4%

- 450

100.0%

MAHINDRA &

MAHINDRA

40

20.0%

65

32.5%

58

29.0%

37

18.5%

200

100.0%

TATA MOTORS

60

60.0%

40

40.0%

- - 100

100.0%

HYUNDAI

MOTORS 60

60.0%

40

40.0%

- - 100

100.0%

TOYOTA MOTORS

- - 40

80.0%

10

20.0%

50

100.0%

ANY

OTHER* - 10

20.0%

10

20.0%

30

60.0%

50

100.0%

TOTAL 284

28.4%

430

43.0%

209

20.9%

77

7.7%

1000

100.0%

²=505.733

P<0.01

Note: Figures in parenthesis depicts the percentage

Source: Data collected through questionnai re .

10 Any other*: Fiat, Ford, Skoda, Honda, Chevrole t etc.

I t is c lea r f rom the tab le 1. 5 tha t p romo tional ac tiv i ties o f Hyundai, M aru ti and

Ta ta Mo to rs a re ve ry good , p romotional ac tiv i ties o f M ahi nd ra & Mahi nd ra a re ave rage

and p romotio nal ac t iv i ties o f Toyo ta Mo to rs and o the r b rand a re poor. So , i t is

suggested to Mahi nd ra & M ah ind ra, Toyo ta Mo to rs and o the r b rand o f fou r whee le r

companies to improve the leve l o f the ir p romo tional ac tiv i t ies. Af te r app ly i ng ² tes t its

value (505. 733) is found g rea te r than tab le val ue a t 1% leve l o f s igni f icance . So null

hypo thesis is re jec ted and al te rna tive hypo thesis is accep ted . Thus, it c an be

concluded tha t the re is s igni fic an t re l a tions hip be tween b rand o f fo ur whee le r and

rating o f p romotional activ ities.

11

TABLE-1.6

SEX OF CONSUMER AND AFFECT OF AFTER SALE SERVICES ON

PURCHASE DECISION

SEX

AFTER SALE SERVICES AFFECT THE PURCHASE DECISION

TOTAL

STRONGLY

AGREE

MODERATELY

AGREE

DISAGREE

MALE 596

(71.6)

206

(24.8)

30

(3.6)

832

(100.0)

FEMALE 101

(60.1)

57

(33.95)

10

(6.0)

168

(100.0)

TOTAL 697

(69.7)

263

(26.3)

40

(4.0)

1000

(100.0)

²=9.052

P<0.05

Note: Figures in parenthesis depicts the percentage

Source: Data collected through questionnai re .

I t is ev iden t from the tab le 1. 6 tha t m ales are h igher in pe rcen tage who a re

s trong ly ag reed wi th the s ta temen t tha t a f te r sale se rv ices a f fec t the purc hase decis ion

o f consumer. Fem ale consume rs are hig her in pe rcen tage who are modera te ly ag reed

wi th the s ta temen t tha t a f te r sale se rv ices a f fect the pu rchase decis ion o f

consumer. While ² test is app lied its va lue (9. 052) is found g rea te r than tab le value a t

5% o f leve l o f s ignificance which furthe r supported the above analys is .

TABLE-1.7

EDUCATION OF CONSUMER AND AFFECT OF AFTER SALE SERVICES

ON PURCHASE DECISION

EDUCATION

AFTER SALE SERVICES AFFECT THE PURCHASE DECISION

TOTAL

STRONGLY

AGREE

MODERATELY

AGREE

DISAGREE

BELOW 78 48 - 126

12 MIDDLE (61.9) (38.1) (100.0)

MIDDLE TO

PLUS TWO 216

(70.8)

80

(26.2)

9

(3.0)

305

(100.0)

GRADUATION & ABOVE

403

(70.8)

135

(23.7)

31

(5.4)

569

(100.0)

TOTAL 697

(69.7)

263

(26.3)

40

(4.0)

1000

(100.0)

²=18.219

P<0.05

Note: Figures in parenthesis depicts the percentage

Source: Data collected through questionnai re .

The tab le 1.7 i nd ica tes tha t a f te r sale se rv ices a f fect the pu rchase dec is ion o f

consumer. The consumer whose educat ion leve l is lower, have no t supported the

s ta temen t s trong ly tha t a f te r s ale se rv ices a f fect the p urc hase decis ion. Whi le app ly i ng

² tes t, i t is found tha t calc ul a ted value o f ² (18. 219) is highe r than tab le v alue a t 5%

leve l o f s igni fic ance . I t means the re is s igni f ican t re la tio nship be tween two va ri ab les

name ly education o f consumer and affect o f afte r sale se rv ices on purchase decis ion.

TABLE-1.8

INCOME OF CONSUMER AND AFFECT OF AFTER SALE SERVICES ON PURCHASE DECISION

INCOME

AFTER SALE SERVICES AFFECT THE

PURCHASE THE DECISION

TOTAL

STRONGLY AGREE

MODERATELY AGREE

DISAGREE

BELOW

7,500 29

(50.0)

20

(34.5)

9

(15.5)

58

(100.0)

7,500 TO 15,000

269

(66.3)

127

(31.3)

10

(2.5)

406

(100.0)

15.000 TO

22.500 304

(78.1)

76

(19.5)

9

(2.3)

389

(100.0)

ABOVE 22,500

95

(64.6)

40

(27.2)

12

(8.2)

127

(100.0)

13

TOTAL 697

(69.7)

263

(26.3)

40

(4.0)

1000

(100.0)

²=51.332

P<0.01

Note: Figures in parenthesis depicts the percentage

Source: Data collected through questionnai re .

The tab le 1. 8 dep ic ts tha t the consumers whose income leve l is highe r they a re

s trong ly ag reed wi th the arg ument tha t a f te r s ale se rv ices af fec t the purc hase decis ion

and the cons umer whose income leve l is low they a re no t s t rong ly ag reed with the

above said argument. They a re e ithe r modera te ly ag reed o r d isag reed with the

arg ument tha t a f te r s ale se rv ices a f fect the pu rc hase decis ion o f cons umer. Whi le ²

tes t is app lied , it is found tha t the re is s igni fic an t d i f fe re nce in the op inion o f d i f fe ren t

income leve l o f cons umers ove r the a f fec t o f a f te r s ale se rv ices on the pu rchase

decis ion.

TABLE-1.9

BRAND OF FOUR WHEELER AND RATING OF AFTER SALE SERVICES

BRAND

RATING OF AFTER SALE SERVICES

TOTAL EXCELLENT VERY

GOOD GOOD POOR VERY

POOR

MARUTI SUZUKI

150

(33.3)

235

(52.2)

56

(12.4)

9

(2.0)

- 450

(100.0)

MAHINDRA &

MAHINDRA

- 20

(10.0)

63

(31.5)

98

(49.0)

19

(9.5)

200

(100.0)

TATA MOTORS

- - 19

(12.7)

110

(73.3)

21

(14.0)

150

(100.0)

HYUNDAI MOTORS

- - 40

(40.0)

50

(50.0)

10

(10.0)

100

(100.0)

TOYOTA MOTORS

- - 10

(20.0)

30

(60.0)

10

(20.0)

50

(100.0)

ANY OTHER*

- 20

(40.0)

20

(40.0)

10

(20.0)

- 50

(100.0)

14

TOTAL 150

(15.0)

275

(27.5)

208

(20.8)

307

(30.7)

60

(6.0)

1000

(100.0)

²=776.867

P<0.01

Note: Figures in parenthesis depicts the percentage

Source: Data collected through questionnai re .

Any other*: Fiat, Ford, Skoda, Honda, Chevrole t etc.

I t is obv ious from the tab le 1.9 tha t consume rs are hig hly sa tis fied wi th a f te r

sale se rv ices o f M aru ti, modera te ly sa t is fied wi th a f te r s ale se rv ices o f o the r b rand and

uns a tis fied wi th a f te r s ale se rv ices o f Mah ind ra, Ta ta Mo to rs, Toyo ta Mo to rs and

Hyundai. The above d iscussion is also suppor ted by ²tes t, whose val ue is found

g reate r than tab le value at 1% leve l o f s ignificance .

TABLE-1.10

MARITAL STATUS OF CONSUMER AND AFFECT OF MILEAGE ON

PURCHASE DECISION

MARITAL STATUS

MILEAGE AFFECT THE PURCHASE DECISION OF CONSUMER

TOTAL

YES NO CAN NOT

SAY

MARRIED 636

80.8%

101

12.8%

50

6.4%

787

100.0%

UNMARRIED 193

90.6%

20

9.4%

- 213

100.0%

TOTAL 829

82.9%

121

12.1%

50

5.0%

1000

100.0%

²=17.116

P<0.05

Note: Figures in parenthesis depicts the percentage

Source: Data collected through questionnai re .

I t is ev ident f rom the tab le 1.10 tha t unm ar ried consume rs have s trong ly

supported the s ta temen t tha t m ileage a f fect the purc hase decis ion. Whi le ² test is

app lied , it also supported the above d iscussion.

15 TABLE-1.11

EDUCATION OF CONSUMER AND AFFECT OF MILEAGE ON PURCHASE DECISION

EDUCATION

MILEAGE AFFECT THE PURCHASE

DECISION

TOTAL

YES NO CAN NOT SAY

BELOW

MIDDLE 108

85.7%

18

14.3%

- 126

100.0%

MIDDLE TO PLUS TWO

235

77.0%

60

19.78%

10

3.3%

305

100.0%

GRADUATION

& ABOVE 486

85.4%

43

7.6%

40

7.0%

569

100.0%

TOTAL 829

82.9%

121

12.1%

50

5.0%

1000

100.0%

²=39.265

P<0.05

Note: Figures in parenthesis depicts the percentage

Source: Data collected through questionnai re .

I t is ev iden t f rom the tab le 1.11 tha t co nsume rs whose educa tion leve l is be low

midd le and above g radua tio n, they have strong ly supported the s ta temen t tha t m ileage

a f fects the purc hase decis ion o f fou r whee le r. The consumers whose education leve l is

be tween midd le to p lus two , 19% o f the m have op ined tha t mi leage does no t a f fect the

purc hase decis ion.A f te r app ly ing ² tes t i t is found tha t the re is s ig ni fic an t d i f fe rence in

the op inion o f d i f fe ren t educa tio n leve l o f cons umers ove r the a f fect o f mile age on the

purchase decis ion.

TABLE-1.12

BACKGROUND OF CONSUMER AND AFFECT OF MILEAGE ON PURCHASE DECISION

BACKGROUND

MILEAGE AFFECT THE PURCHASE THE DECISION

TOTAL

YES NO CAN NOT SAY

RURAL 523 79 30 632

16 (82.8) (12.5) (4.7) (100.0)

URBAN 306

(83.2)

42

(11.4)

20

(5.4)

368

(100.0)

TOTAL 829

(82.9)

121

(12.1)

50

(5.0)

1000

(100.0)

²=.452

P>0.05 Note: Figures in parenthesis depicts the percentage

Source: Data collected through questionnai re .

I t is ev iden t f rom the tab le 1. 12 tha t 82. 8% ru ra l consumers and 83. 2% urb an

consumers have op ined tha t mi leage a f fects the pu rchase decis ion.Wi th ² test is

app lied , its val ue (. 452 ) found less than tab le v alue . So , i t c a n be concl uded tha t the re

is no s igni fic an t d i f fe rence i n the op inio n o f d if fe ren t backg ro und o f cons umers ove r the

affect o f mileage on the purpose decis ion.

TABLE-1.13

INCOME OF CONSUMER AND AFFECT OF MILEAGE ON PURCHASE

DECISION

INCOME

MILEAGE AFFECT THE PURCHASE DECISION

TOTAL

YES NO CAN NOT SAY

BELOW 7,500 58

(100.0)

- - 58

(100.0)

7,500 TO 15,000

346

(85.2)

40

(9.9)

20

(4.9)

406

(100.0)

15,000 TO 22,500

310

(79.7)

59

(15.2)

20

(5.1)

389

(100.0)

ABOVE 22,500

115

(78.2)

22

(15.0)

10

(6.8)

147

(100.0)

TOTAL 829

(82.9)

121

(12.1)

50

(5.0)

1000

(100.0)

²=19.790

P<0.05 Note: Figures in parenthesis depicts the percentage Source: Data collected through questionnai re .

17 The tab le 1.13 ind ic a tes tha t the re is a s ign i fican t re la t ionsh ip be tween

income o f cons umer and op inio n on the s ta temen t tha t m ileage a f fect the pu rchase

decis ion. The consumers whose income leve l is lower, they s tro ng ly supported the

s ta temen t tha t mile age a f fects the p urc hase decis ion and the co nsume rs whose i ncome

leve l is highe r they have no t s t rong ly suppor ted the above sta temen t. A f te r app ly ing ²

tes t, i t is fo und tha t the re is s igni fic an t d if fe rence in the op inion o f d i f fe re n t income o f

consumers ove r the affect o f mileage on the purchase decis ion.

TABLE-1.14

BRAND OF FOUR WHEELER AND RATING OF MILEAGE

BRAND

RATING OF MILEAGE

TOTAL EXCELLENT VERY

GOOD GOOD POOR VERY

POOR

MARUTI SUZUKI

113

(25.1)

225

(50.0)

112

(24.9)

- - 450

(100.0)

MAHINDRA

& MAHINDRA

- 58

(29.0)

100

(50.0)

42

(121.0)

- 200

(100.0)

TATA

MOTORS - 18

(12.0)

110

(73.3)

22

(14.7)

- 150

(100.0)

HYUNDAI MOTORS

70

(70.0)

30

(30.0)

- - - 100

(100.0)

TOYOTA

MOTORS - 20

(40.0)

30

(60.0)

- - 50

(100.0)

ANY OTHER*

- 10

(20.0)

10

(20.0)

20

(40.0)

10

(20.0)

50

(100.0)

TOTAL 183

(18.3)

361

(36.1)

362

(36.2)

84

(8.4)

10

(1.0)

1000

(100.0)

²=771.521

P<0.01

Note: Figures in parenthesis depicts the percentage

Source: Data collected through questionnai re .

Any other*: Fiat, Ford, Skoda, Honda, Chevrole t etc.

18 The tab le 1.14 dep ic ts tha t consume rs are hig hly sa tis fied wi th the mileage o f

Maru ti Suz uki and Hy unda i Mo to rs, modera te ly sa tis fied wi th the mi leage o f Toyo ta

Mo to rs and less sa tis fied wi th the mileage o f M ahi nd ra & Mahi nd ra, Ta ta Mo to rs and

o the r b rand s o f fou r whee le r. While ² test is app lied , it is found the re is s igni fic an t

re lationship be tween b rand o f four whee le r and rating to its mileage .

TABLE-1.15

SEX OF CONSUMER AND AFFECT OF RESALE VALUE ON PURCHASE

DECISION

SEX

RESALE VALUE AFFECT THE

PURCHASE DECISION

TOTAL

STRONGLY AGREE

MODERATELY AGREE

DISAGREE

MALE 446

(53.6)

324

(38.9)

62

(7.5)

832

(100.0)

FEMALE 59

(35.1)

79

(47.0)

30

(17.9)

168

(100.0)

TOTAL 505

(50.5)

403

(40.3)

92

(9.2)

1000

(100.0)

²=28.174

P<0.05

Note: Figures in parenthesis depicts the percentage

Source: Data collected through questionnai re .

The tab le 1.15 reveals tha t m ales a re higher in pe rce n tage who have s trong ly

supported the s ta temen t resale va lue a f fec ts the pu rc hase decis ion o f cons umer,

whe reas fem ales and h igher in pe rcen tage who e i the r modera te ly ag reed wi th the

s ta temen t o r d isag ree wi th the s ta temen t. Wh ile ² test is app lied , its va lue (28.174) is

found highe r than tab le val ue a t 5% leve l o f s ignif icance wh ich fu r the r suppor ts the

above d iscussion.

TABLE-1.16

19 BACKGROUND OF CONSUMER AND AFFECT OF RESALE VALUE ON

PURCHASE DECISION

BACKGROUND

RESALE VALUE AFFECT THE PURCHASE

THE DECISION

TOTAL

STRONGLY AGREE

MODERATELY AGREE

DISAGREE

RURAL 297

(47.0)

262

(41.5)

73

(11.6)

632

(100.0)

URBAN 208

(56.5)

141

(38.3)

19

(5.2)

368

(100.0)

TOTAL 505

(50.5)

403

(40.3)

92

(9.2)

1000

(100.0)

²=15.065

P<0.05

Note: Figures in parenthesis depicts the percentage

Source: Data collected through questionnai re .

I t is obse rved from the tab le 1.16 tha t m ajo ri ty o f consume rs have op ined tha t

resale val ue a f fec ts the pu rchase decis ion. I t c an be concluded f rom the tab le tha t

whe the r cons umers be long to ru ra l a reas o r urb an are as more tha t 90% have ag reed

tha t resale v alue a f fects the purc hase decis io n. Bu t consumers o f u rban a rea a re

higher i n pe rcen tage who s trong ly op ined tha t resale va lue a f fects the pu rchase

decis ion. Whe n ² tes t is app lied , it is found tha t the re is s igni fic an t d i f fe rence i n the

op inion o f d i f fe re n t backg round consume rs ove r the a f fect o f resale val ue on pu rchase

decis ion.

TABLE-1.17

INCOME OF CONSUMER AND AFFECT OF RESALE ON

PURCHASE DECISION

INCOME

RESALE VALUE AFFECT THE

PURCHASE DECISION

TOTAL

HIGH IMPACT

MODERATE IMPACT

NO IMPACT

20

LOW INCOME

19

(32.8)

29

(50.0)

10

(17.2)

58

(100.0)

MIDDLE INCOME

205

(50.5)

140

(34.5)

61

(15.0)

406

(100.0)

HIGH INCOME

228

(58.6)

140

(36.0)

21

(5.4)

389

(100.0)

SUPER

HIGH INCOME

53

(36.1)

94

(63.9)

- 147

(100.0)

TOTAL 505

(50.5)

403

(40.3)

92

(9.2)

1000

(100.0)

²=80.392

P<0.01

Note: F i g u r e s i n p a r e n t h e s i s d e p i c t s t h e p e r c e n t a g e

Source: Data collected through questionnai re .

I t c an be observed from the tab le 1. 17 tha t cons umers whose income leve l is low

and the cons umers whose i ncome leve l is ve ry hig h m ajo ri ty o f them have accep ted

tha t resa le val ue modera te ly a f fects the pu rc hase decis ion bu t the cons umers

be long ing to remai ni ng g roups have accep ted tha t resale val ue highly a f fec ts the

purc hase decis ion. While ² tes t is app lied , it is found tha t the re is s ig ni fic an t

d if fe rence i n the op inion o f d i f fe ren t i ncome g roup consume rs ove r the a f fect o f resa le

value on the purchase decis ion o f consumer.

TABLE-1.18

BRAND OF FOUR WHEELER AND RATING OF RESALE VALUE

BRAND

RATING OF RESALE VALUE

TOTAL EXCELLENT VERY

GOOD

GOOD POOR VERY

POOR

MARUTI SUZUKI

112

(4.9)

262

(8.2)

76

(6.9)

- - 450

(100.0)

MAHINDRA

& - 30 71 88 11 200

21 MAHINDRA (5.0) (35.5) (44.0) (5.5) (100.0)

TATA

MOTORS - 45

(30.00)

46

(30.7)

59

(39.3)

- 150

(100.0)

HYUNDAI MOTORS

- - 30

(30.0)

60

(60.0)

10

(10.0)

100

(100.0)

TOYOTA MOTORS

- - - 50

(100.0)

- 50

(10.00)

ANY OTHER*

- 10

(20.0)

20

(40.0)

20

(40.0)

- 50

(100.0)

TOTAL 112

(11.2)

347

(34.7)

243

(23.3)

277

(27.7)

21

(2.1)

1000

(100.0)

²=670.026

P<0.01

Note: Figures in parenthesis depicts the percentage

Source: Data collected through questionnai re .

Any other*: Fiat, Ford, Skoda, Honda, Chevrole t etc.

I t obse rved from the tab le 1. 18 tha t co nsume rs have ra ted the resale val ue o f

Maru ti as ve ry good , resale value o f Ta ta Mo to rs as ave rage and resale va lue o f

Mahind ra, Hy und ai and o the r b rand as poor. Af te r app ly i ng ² test, i t is found tha t

the re is s igni f ican t d i f fe rence i n the op inion o f cons umers ove r the ra t ing o f resa le

value .

CONCLUSION:

It is observed from the table 1.1 that Majority of consumers irrespective of

their sex accepted that promotional activities affect the purchase decision

(1.805) is less than table value at 5% level of significance. Which leads to

conclude that opinion of different sex of consumers over the affect of

promotional activities on purchase decision is not equally distributed

22

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2. Anderson, Paul F ., "Method in Consumer -Res ear ch ," ( 1986) .

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( 2000) .

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( 1972) .

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Making," ( 1997) .

Websites:

www.maru t i s uz u ki . co m

www.hy un da i. co m

www.tat am otor s. c om

www.to yot a. co m

www.mah i ndra . com

www.car wa le. c om

23 www.gaa di . co m

www.google.com