final datconsumer behaviour tata teleservicesa

8/13/2019 Final Datconsumer Behaviour Tata Teleservicesa

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INTRODUCTION

MARKETING

A market consists of all the potential customers sharing particular need or want

that might be willing and able to engage to satisfy that need or want. Marketing is total

plan system of business activities designed to plan, price, promote and distribute want

satisfying product, service and ideas to target markets in order to achieve organizational

objectives.

American Marketing Association defined marketing as the process of planning

and executing the conception, pricing, promotion and distribution of ideas, goods and

services to create exchange, that satisfy individual and organizational objectives.

Marketing research is the function, which links the consumer and public of the

market through information. nformation used to identify and define marketing

opportunities and problems, generate and define and evaluate marketing action. Monitor

monitoring performance and improve understanding of marketing is a process.

Marketing research specifies the information re!uired to address the issues, design

the methods of collecting information. Marketing "esearch process starts with collecting

data and ends with analyzing theirs results and communicates the finding and their

implications.

#enerally, the Marketing Management is mostly interested in obtaining the sales potential

for each of the geographic market. t serves to help and determine the amount of sales

effort that should be allocated to a specific market. Market or $ales potential must be

started for a given period of time period for market potential and sales forecast. Market

potential is typically referred to total sales promotion.

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MARKETING FUNCTIONS

1) Functions of Exchange

$elling

&uying

'emand creation

(rice 'etermination

) Functions of !h"sica# Su$$#"

)ransportation

$torage

%) Functions of Changing Fo&' of !&o(uct

#rading and $tandardization

(ackaging

) Functions of Faci#itating

*inancing

"isk taking

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The Ma&*eting Conce$t+

)he marketing conceptis the philosophy that firms should analyze the needs of their

customers and then make decisions to satisfy those needs, better than the competition.

)oday most firms have adopted the marketing concept, but this has not always been the

case.

n %- in The Wealth of Nations, Adam $mith wrote that the needs of producers should

be considered only with regard to meeting the needs of consumers. hile this philosophy

is consistent with the marketing concept, it would not be adopted widely until nearly +//

years later.

)o better understand the marketing concept, it is worthwhile to put it in perspective by

reviewing other philosophies that once were predominant. hile these alternative

concepts prevailed during different historical time frames, they are not restricted to those

periods and are still practiced by some firms today.

After orld ar , the variety of products increased and hard selling no longer could be

relied upon to generate sales. ith increased discretionary income, customers could

afford to be selective and buy only those products that precisely met their changing needs,

and these needs were not immediately obvious. )he key !uestions became0

hat do customers want1

2an we develop it while they still want it1

3ow can we keep our customers satisfied1

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n response to these discerning customers, firms began to adopt the marketing concept,

which involves0

*ocusing on customer needs before developing the product

Aligning all functions of the company to focus on those needs

"ealizing a profit by successfully satisfying customer needs over the long5term

hen firms first began to adopt the marketing concept, they typically set up separate

marketing departments whose objective it was to satisfy customer needs. 6ften these

departments were sales departments with expanded responsibilities. hile this expanded

sales department structure can be found in some companies today, many firms have

structured themselves into marketing organizations having a company5wide customer

focus. $ince the entire organization exists to satisfy customer needs, nobody can neglect a

customer issue by declaring it a 7marketing problem7 5 everybody must be concerned

with customer satisfaction.

)he marketing concept relies upon marketing research to define market segments, their

size, and their needs. )o satisfy those needs, the marketing team makes decisions about

the controllable parameters of the marketing mix.

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http://www.netmba.com/marketing/mix/http://www.netmba.com/marketing/mix/


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T,E !RODUCTION CONCE!T

)heproduction conceptprevailed from the time of the industrial revolution until the early

%9+/:s. )he production concept was the idea that a firm should focus on those products

that it could produce most efficiently and that the creation of a supply of low5cost

products would in and of itself create the demand for the products. )he key !uestions that

a firm would ask before producing a product were0

2an we produce the product1

2an we produce enough of it1

At the time, the production concept worked fairly well because the goods that wereproduced were largely those of basic necessity and there was a relatively high level of

unfulfilled demand. ;irtually everything that could be produced was sold easily by a sales

team whose job it was simply to execute transactions at a price determined by the cost of

production. )he production concept prevailed into the late %9+/:s.

The Sa#es Conce$t+

&y the early %94/:s however, mass production had become commonplace, competition

had increased, and there was little unfulfilled demand. Around this time, firms began to

practice the sales concept the

goal simply was to beat the competition to the sale with little regard to customer

satisfaction. Marketing was a function that was performed after the product was

developed and produced, and many people came to associate marketing with hard selling.

?ven today, many people use the word 7marketing7 when they really mean sales.

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CONSUMER -E,A.IOUR+

2onsumer behavior is stated as the behavior that consumer display in searching

for, purchasing, using, evaluating and disposing of products, services and ideas that theyexpect will satisfy their needs. )he study of 2onsumer &ehavior is concerned not only

with whatconsumers buy/butalso withwhy they buy it, when and how they buy it, and

how often they buy it0 t is concerned with learning the specific meaning that products

hold for consumers. 2onsumer research takes places at every phase of consumption

process, before the purchase, during the purchase and after the purchase.

)he term 2onsumer is used to denote two different kinds of consumers, entitled

i.e., (ersonal or ndividual 2onsumer and 6rganizational consumer. )he (ersonal

consumer is the individual who buys goods and services for his own use or for his

household usage. )hey buy goods for ultimate consumption, hence they are called ad

?nd BsersC or Bltimate BsersC.

According to 'avid Dondon and Albert E. 'ella &itta 2onsumer &ehaviour may

be defined as the (ecision $&ocess an( $h"sica# acti2it" in(i2i(ua# engage in 3hen e

2a#uating/ ac4ui&ing/ using an( (is$osing of goo(s an( se&2ices50

According to (hilip Fotler consumer behavior is defined as all psychological,

social and physical behavior of potential customer as they become aware of evaluate,

purchase, consume and tell others about products and services

)he scope of consumer behavior includes not only the actual buyer and his act of

buying but also various roles played by different individuals and the influence they exert

on the final purchase decision. ndividual consumer behavior is influenced by economic,

social, cultural, psychological and personal factors. here as organizational consumer

behavior is influenced by environmental, organizational, interpersonal and individual

factors.

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CONSUMER !URC,ASE DECISIONS+

A decision is the selection of an action from two or more alternative choices.2onsumer decision to purchase the goods from the available altelrnative choices is known

as 2onsumer purchase decisionG.

)he various options of the consumer may be classified into five main types of

decisions. )hey are

%. hat to buy1

+. 3ow much to buy1

4. here to buy1

8. hen to buy1

@. 3ow to buy1

)he participants in the buying decision may be classified as the in initiator, influencer,

decider, buyer and users. )he marketing management should initiate all the participants in

the purchase decision to make the purchases of his product at different stages and through

different marketing strategies.

According to $iebert the three recognized stages in decisions making of adoption

process are0

10 !&e 6 Decision stage0 0 Decision stage0 %0 !ost 6 Decision stage0

)he various steps in the decision making process include

%. (erceived want or desire and involvement level.

+. nformation search.

4. ?valuation of alternatives.

8. (urchase decision and (ost purchase ?xperience and behavior.


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.ARIOUS T7!ES OF CONSUMER -U7ING -E,A.IOUR+

%. 2omplex &uying &ehavior

+. 'issonance H "educing buying behavior

4. 3abitual buying behavior.

8. ;ariety seeking buying behavior.

)here are number of reasons why the study of consumer behavior developed as separate

marketing discipline. Marketers had long noted that consumer did not always act or react,

as marketing theory would suggest. )he size of the consumer market is the country was

vast and constantly expanding> millions of dollars were being spent on goods and services

by millions of people. 2onsumer preferences were changing and becoming highly

diversified.

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O-8ECTI.ES OF T,E STUD7+

%. )o examine the factors influencing purchase decisions towards ;arun motors

products.

+. )o examine the decision maker and the point of decision for purchase.

4. )o find out how promotional schemes are influencing the purchase decisions of

;arun motors products.

8. )o examine the consumer awareness of ;arun motors J services.

@. )o identify the factors influencing the brand preference towards )ata ndicom.

-. )o examine the influence of media and effectiveness of advertising on the

purchase decisions of ;arun motors customers.

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SCO!E OF T,E STUD7+

)he scope of project work is to get the opinions from respondents on the issues

mentioned earlier. t is limited to the tri cities of arangal.

)he present study is to know the buyerCs preference in knowing their behaviour in

the using of ;arun motors services and their decision making levels.

RESEARC, MET,ODO9OG7+

6nce the objective is identified the next step is to collect the data which is

relevant to the problem identified and analyze the collected data in order to find out the

hidden reasons for the problem. )here are two methods to collect the data namely,

1) !RIMAR7 DATA

)he primary data is original in nature and is collected first hand. )he study is

conducted through !uestionnaire and through personal interview of customers.

) SECONDAR7 DATA

t is the data already existing, which has gone through some standard analysis. )he

secondary data was collected through textbooks, newspapers J journals and ebsiteK.

Sa'$#e Si:e+ )he sample size was %//.

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9IMITATIONS FOR T,E STUD7+

%. $tudy was limited to 3L'?"A&A' city only.

+. $ample size is only %// so, we cannot generalize .

4. )he study is limited to the public amongst the consumer behaviorC of varun

motorsG.

8. "espondents might have not responded with the actual feelings of facts in filling

up of the !uestions.

@. )he study was limited upto 8@ days only.

-. )his study is restricted to ;arun motors only it cannot be compared with other

companies.

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%+


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T,EORITICA9 FRAME ;ORK

The consu'e&

)he term consumer is used to devote two different kinds of consuming entities.

)hey are0

%= ndividual 2onsumer

+= 6rganizational 2onsumer.

)he individual consumer is the individual who buys goods and services for his

own use of household. ndividual consumers buy the goods for the ultimate consumption

and hence, they are called as end users or ultimate users.

)he organizational consumer encompasses private business, #overnment agencies

and institutions, all of which buy goods and services in order to run their institution.

)herefore, the organizational consumer is not the ultimate consumer. 3e plays an

intermediary role between the process and ultimate consumption.

Consu'e& -eha2io&+

According to (hilip Fotler consumer behavior is all psychological, social and

physical behavior of potential customers as they become aware of, evaluate, purchase,

consume and tell others about products and servicesG.

2onsumer behavior is defined as the behavior that consumers discipline in

searching for purchasing, using, evaluating, and disposing of products and services and

ideas they except will satisfy their needs. )he study of consumer behavior is concerned

not only with that consumers buy, but also with why they buy it> it is concerned with

learning the specific meanings that products hold for consumers.

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2onsumers vary tremendously in age, education, tastes and other factors.

Marketers must understand how consumers transform marketing and other marketing

inputs into buying responses. 2onsumer behavior is influenced by the buyerCs

characteristics and by the buyerCs decision process. &uyer characteristics include four

major factors0 cultural, social, personal and psychological.

2ulture is the most basic determinant of a personCs wants and behavior. t includes

basic values, perceptions, preferences, and behaviors that a person learns from family and

other important institutions. Marketers try to truck cultural shifts that might suggest new

ways to serve consumers. $ub5cultures are cultures with in culturesG that has distinct

values and life styles. $ocial classes are sub5cultures whose members have similar social

prestige based on occupation, income, education, wealth and other variables. (eople with

different cultural, sub5cultural and social class characteristic develop different product

and brand preferences. Marketers may want to focus their marketing programmers on

these special needs of certain groups.

$ocial factors also influence a buyerCs behavior. A person references groupCs

family, friends, social organizations, professionals associations, strongly affects product

and brand choices. )he personCs position with in each group can be defined in terms of

role and status. A buyer chooses products and brands that reflect his or her role and status.

)he buyerCs age lifecycle stage, occupation, economic circumstances, lifestyle,

personality and other personal characteristic influence buying decisions. Loung

consumers have different needs and a want from older consumerCs the needs of young

married couples differ from those of retires0 consumers with higher income by differently

from those who have less to spend. 2onsumer lifestyles the whole pattern of acting

influence of buyers choices.

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*inally, consumer5buying behavior is influenced by four major psychological

factors0 motivation, perception, learning and attitude. ?ach of these factors provides a

different perspective the workings of the buyers black boxG.

Motivation is the driving force with in individuals that implies them to action with

this driving force is produced by a state of uncomfortable tension, which exists as the

result of an unsatisfied need. All individuals sub conscious drive to reduce needed5

included tension results in behavior that he or she anticipates will satisfy needs and thus

bring about a more comfortable state.

(erception is the process by which individuals select, organize and interpret

stimuli into a meaningful and coherent picture of the world. (erception as strategy

implications for markets, because consumers make decisions based on what they

perceive, rather than based on objective reality.

2onsumer learning is the process by which individuals ac!uire the purchase and

consumption knowledge and experience they apply to future related behavior. hile

some learning is nternational, much learning is incidental> basic elements that contribute

to an understanding of learning, motivation, cues, response and reinforcement.

hen it comes to attitude formation, it is useful to remember that attitudes are

learned, and that different learning theories provide uni!ue insights as to how attitudes

initially may be found. Attitude formation is facilitated and experience of friends and

family members, and exposure to mass media. n addition, it is likely that an individual

personality plays a major role in attitude formation. )hese same factors also have an

impact on attitude changes.

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A personCs buying behavior is the result of the complex interplay of all these

cultural, social personal and psychological factors. Marketers cannot control many of

these factors, but they are useful in identifying an understanding the consumers that

marketers are drying to influence.

FACTORS INF9UENCE T,E CONSUMER -E,A.IOR+

2onsumer varies tremendously in their ages. ncome, education5 level, mobility

pattern, tastes and preferences. Around two decades ago, it was argued, that economic

was marketing mother discipline this is because it was seen that the consumer purchasing

decisions are governed by their income and mental forces creates desire and wants in the

minds of consumerCs. &y the above behavior of the consumer is strongly influenced by

number of factors such as economic, psychology, sociology, socio5psychology, cultural

and anthropology.

Econo'ics !s"cho#og" Socio#og"

Socio) CU9TURA9 AND ANT,RA!O9OG7+

2ultural factors they broadcast and deepest influence in consumer behavior the

marketer needs to understand the role played by the buyers culture, subculture, cross

culture and social culture.

Cu#tu&e+2ulture is most basic cause of a personCs wants and behavior culture is

defined as the some, total of direct the consumerCs behavior of members of a

particular society. &y our definition it is easy to see how an understanding of

various culture of society help marketers predicts acceptance of their products.

Su?cu#tu&e+ $ubculture is defined as distinct cultural group that exists as on

indefinable segment with in a large more complex society. ?ach culture contains

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smaller subculture or groups of people with shared values systems based on

common life experience and situation. )he following sections examine a number

of important sub culture category nationality, religion, geographic location, race,

age and sex.

C&oss cu#tu&e+ 2ross culture consumer analysis is defined as the effort to

determine to what extent the consumer of two or more nations and similar or

different such analysis can provide marketers with an understanding of the

psychological social and cultural characteristics of the foreign consumer. )hey

target so that they can design effective marketing strategies for each of the

specific national markets involved.

Socia# c#ass+Almost every society has some form of social class structure. )he

social class is identified as the division of memberCs of the society in to distinct

states so that members of each class have relatively the same statues similar

values. nterest, behavior and members of all other classes have more or less

status.

STAGES IN T,E -U7ER DECISION !ROCESS

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2onsumer makes many buying decisions everyday. Most large companies research

consumers buying decisions. )hey want to answer the !uestions in great what consumer

buy, where they buy, how and how much buy, when they buy and why they buy. e can

now examine the stage buyer pass through to reach a buying decision.

nformation

$earch

?valuation ofAlternatives

(urchase

'ecision

+/

(roblem

"ecognition

(ost (urchase &ehavior


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ANA97SIS @ INTER!RETATION

)he total numbers of respondents of the survey %// are from arangal )ri5cities

only.

)he main aim of the survey is to know the satisfaction level of 2onsumer

&ehavior of the ;arun motors existing customers and consumers.

)he data collected is through primary source, through interviewing the concerned

respondents by giving them a structured !uestionnaire, which includes few open H ended

!uestions.

+%


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Ta?#e


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Ta?#e


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Ta?#e


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Ta?#e


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Ta?#e

@. hat is the reason for choosing this service 1

No0 of Res$on(ents !e&centage

ider network coverage %/ %/N

?conomically priced -/ -/N

&rand image %@ %@N

Ouality $ervice %@ %@N

)otal %// %//N

No. of Respondents

10%

60%

15%

15%

+ider net)or covera-e

"cono#ica$$ priced

&rand i#a-e

'a$it Service

Inte&$&etation+

*rom the above table it is observed that -/N of respondents said that they choose

it by economically priced, %@N of the respondents choose it from brand image,%@N of

respondents choose it from !uality service and %/N of the respondents choose it from

wider network coverage .

+-


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Ta?#e


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Ta?#e


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Ta?#e


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Ta?#e


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Ta?#e


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Ta?#e


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Ta?#e


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Ta?#e


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Ta?#e


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Ta?#e

%@. 'o you recommend this product to your friends or colleagues0

No0 of Res$on(ents !e&centage

Les I/ I/N

o +/ +/N

2anCt say // //N

)otal %// %//N

No. of Respondents

es

No

2an8t sa

Inte&$&etation+

*rom the above analysis it is observed that I/N of respondents said that they will

recommend the product to their friends and colleagues and +/N of respondents said that

they will not recommend to others.

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CONC9USIONS

-/N of the respondents are subscribers of )ata ndicom, and they are using post5paid

service

8@N of respondents are in middle income group with average income of "s.@,///5

,///.

/N of the respondents came to know about the ;arun motors from electronic

media .

I@N of the respondents are using this service as part of their occupation to keep in

contact and communicate with their colleagues.

-/N of respondents are influenced by the friends who appear to be the prime

motivators in making their purchase decisions influence consumer behavior of the

respondents.

9/N of the respondents believe the tariff structure is reasonable.

@N of the respondents are satisfied with the existing features that are been provided

by the )ata ndicom, to itCs post5paid, pre5paid users.

9@N of the respondents said that they are satisfied with the time limit given in terms

of bills and recharge cards.

9/N of the respondents said that they are fully satisfied with the !uality of service

been provided by the ;arun motors for its products.

-/N of the respondents said that they choose it as it is economically priced.

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SUGGESTIONS

;arun motors should create more awareness about its products and services .

;arun motors should increase coverage of its cellular services by installing more

towers, and increase its coverage in semi5urban, and rural areas in the state.

)he service needs to be improved for further growth.

;alue added services like easy down loads of games, news, ring tones, and other

triviaG should be introduced for the customers.

$pecial promotion schemes to be launched especially for the youth segment .

6nline billing should be introduced and regular bill updates to be provided

through $M$ for the convenience of the customers

.

;arun motors should focus on after sale services.

Ouality of service need to be further strengthened in terms of !uality of

connectivity.

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UESTIONNAIRE

ame of the "espondent 0

Age 0

#ender 0

Address 0

Signatu&e

%. hat type of service you are using 1


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%/. ho has influenced you, in purchase decision towards ;arun motors product0


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-I-9IOGRA!,7

-OOKS

Marketing Management 5 (hilip Fotler.

final datconsumer behaviour tata teleservicesa

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