markrting project

8/9/2019 Markrting Project

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PROJECT REPORTON

Consumer segmentation

Submitted toMs.G.swapnaLECTURER

Submitted byrajesh meka

(099321)


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TABLE OF CONTENTS

Sr. No Particulars PageNo1 Introduction 32 Objective 33 Methodology 44 Sample Size 4

5 Data Collection 56 Data Analysis 87 Data Interpretation 88 Implications for The marketer 109 Advantages 1210 Limitations 1211 Suggestions 1212 Field Findings 12

13 Conclusion 1314 Bibliography 1415 Questionnaire 15-20


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1.INTRODUCTION

Buying Behavior is the decision processes and acts of people involved in buying and u products. Buying behavior is more often referred as consumer behavior in marketing whi


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defined as the behavior that's consumer display in searching for purchasing, using, evaluand disposing of product and services that they think will satisfy their needs. It is importaknow how individuals make decisions to spend their available resources like time, money etc .In this aspect we have to know that individuals we are focusing on what they buy, why they from where they buy, how often they buy, how often they use it, what are their spending lietc.

2.OBJECTIVE

The objective of this project is to study the implication of typical buying behaviour of full n

(married, child less than 6 yrs of age or with no children) in three different types of purchwhich are as follows.

1. Regular grocery purchase2. Last weekend entertainment decision3. Last major purchase.

The study has been designed to analyze differences/similarities, individual/ autonomous/ jdecision making of various aspects of behavioral decision making of consumers. It implicates the opportunities for a marketer based on the response given by individual classcategories of the purchases.

3.METHODOLOGY

There are different methodologies in a research study. These are the following steps we willfollow-
http://www.blurtit.com/q779356.htmlhttp://www.blurtit.com/q779356.htmlhttp://www.blurtit.com/q779356.html


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1 )Target population :

The target population for the study of Consumers segmentation, of full nest I (married, childless than 6 yrs of age) from different economical & demographical background.

2)Geographical coverage :

a) Warangal b) Hanamkondac) Kazipeta

3)Sampling :

Sample plan:

The selection of the samples is done following the two sampling techniques, which are:- Simple random sampling

4.Sample size : -

Information is collected from a sample size of 100 customers (From warangal) respondentswhich included couples

4) Demographics of Sample

Gender In the total sample size of 100 we will consider 62 coupes .

5) Age Age(, educational background and annual income

6) Contact method: a) Structured questionnaire separate for each respondent. b) Personal interviews

5.DATA COLLECTION

STAGES OF CONSUMER BUYING PROCESS


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Six Stages to the Consumer Buying Decision Process (For complex decisions). Ac purchasing is only one stage of the process. Not all decision processes lead to a purchaseconsumer decisions do not always include all 6 stages, determined by the degree of complex

The 6 stages are:

1. Problem Recognition (awareness of need)it is the difference between the desired and the actual condition. Deficit in assortment of products. Hunger--Food. Hunstimulates your need to eat.Can be stimulated by the marketer through product information--did not know you wdeficient? I.E., see a commercial for a new pair of shoes, stimulates your recognition you need a new pair of shoes.

2. Information search--o Internal search, memory.o External search if you need more information. Friends and relatives (word

mouth). Marketer dominated sources; comparison shopping; public sources etc3. Evaluation of Alternatives--need to establish criteria for evaluation, features the bu

wants or does not want. Rank/weight alternatives or resume search. May decide that

want to eat something spicy, Indian gets highest rank etcIf not satisfied with your choice then returns to the search phase. Can you thinkanother restaurant? Look in the yellow pages etc. Information from different sources be treated differently. Marketers try to influence by "framing" alternatives.

4. Purchase decision--Choose buying alternative, includes product, package, store, meof purchase etc.

5. Purchase--May differ from decision, time lapse between 4 & 5, product availability.

FULL NEST I CATEGORY


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The household one category basically consists of people who are married, having childrewith no children(less than six years)... Both adults will typically have jobs, so they are very They also have money to spend on dinning out, expensive vacations, second house, luxuaryand time saving services. They are prime markets for financial services.

Similar study as done above has been done here to study the various aspects of buying behavin this class of house hold life cycle. Respondents were asked to indicate their responses thra questionnaire based model approach attached at the end of the project. Results of tresponses and the analyses of the implications of important factors have been highlighted be

1. Age - Respondent surveyed was in the age range of 30-35 and above.

2. Income House hold income of the respondent studied was between 4.5 lakhs and abThe house hold was single income with an estimated SDI of more than two lakh.

3. Frequency of purchase In case of grocery purchase the frequency of the respondentweekly. Here the dependence of purchase lies on the consumption pattern only. It wobserved that empty nest have plenty of spare time which they allocate in buying th products. They spend their time in purchasing major items and entertainment.

4. Source Source of general grocery purchase of the respondent was the nearby sumarket. For major purchases the respondents experienced options were they get easy asales services and the nearness of the market from their house.

5. Decision maker Respondents joint decision making in the category of grocery purcwas observed .Last major purchase decision was taken by the husband in the famEntertainment decision was a joint decision taken by the couple.

6. Need based or impulsive purchase Grocery purchase decision of the respondent need based though the entertainment decision was an impulsive one. Last major purch


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decision of the respondent was an impulsive decision based on the facilities of lifesimprovement.

7. Brand considerations Regular grocery purchase decision of the respondent was foun be in the category of brand loyal. .They considered to buy regular commodities like floor, sugar, etc in loose packages from the supermarket. Major purchase items boughthe respondent was based on various determinants like brand , its after sales servicereputation in the market, word of mouth, variety etc.

8. Effects of external sources like advertisement/word of mouth etc. Here the respond

are sensitive towards external sources like word of mouth , advertisements, etc.Theysocial and want to remain as members of the class they belong.They are highly confiof their decisions taken and want to buy the best available brand .

9. Pattern of buying Pattern depends upon the type of purchase of the respondent.

10. Determinants Determinants like Price, quality, services etc do not have much imon regular grocery purchase but they play an important role in major buying decisioRespondents in this category rated price as their major determinant followed by quaand then services

6.DATA ANALYSIS

Responses of purchases


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Observation Regular grocerypurchase

Last weekendpurchaseEntertainment

decision

Last majorpurchase

Product General items likecommodities, dailyhouse hold itemsetc

Air Conditioner Travelling andreligious prayers.

Frequency Weekly Improving livingstandard.

Monthly

Source Super market Nearest Dealer -Decision maker Joint Male JointDeterminants After sales service

consciousAfter sales serviceconscious

After sales serviceconscious

External effects Much Much Much

7.DATA INTERPRETATION :Regular grocery purchase

Number PercentageAlways 33 53.22

Sometime 23 37.09Never 6 9.67


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Last weekend purchase Entertainment decisionNumber Percentage

Always 39 62.9Sometime 15 24.19

Never 8 12.9


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Always = joint decision(both wife and husband)Sometimes = less frequent joint decisionNever = no involvement of wife in decision making

8.IMPLICATIONS FOR THE MARKETER

The purchase and consumption of many products are driven by the HLC.The reason for ththat each stage poses unique problem or opportunity to house hold members and the resolurequires the consumption of products and services.Marketting manager must analyse the h

hold decision process separately for each product category within each target market. Housemember participation in the decision process varies by involvement with the specific prodrole specialization, personal characteristics and ones culture and sub culture. Participationvaries with stage in the decision process. Most decisions are reached by consensus.


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Purchase of each of products and brands is caused by a different motive, each require a dismarketing and advertising program. Concentrating on segments like married couples marketer should study the pattern and behaviour of this class. The category consists of yorespondents who are generally price sensitive and their purchase is need based. Consumer oclass does not buy products; instead, they buy motive satisfaction or problem solution. Manmust discover the motives that their products and brands can satisfy and develop markemixes around these motives. People make such purchases for a variety of motives, inclurewarding themselves for an accomplishment. A marketer should identify the feeling relatea particular product and to be run advertising campaigns according to the feeling associated the product.Each customer will have a certain price acceptability window and different customers h

different limits in their perceptions of what price is within their range. For the market professional the trick is to figure out how customers determine what "price" means. PSensitivity Measurement method may be used. This method asks survey respondents to def possible range of prices noted in a scale called a price ladder. In order for the survey to be and not become a self fulfilling prophecy, the prices represented must be positioned on the uor lower ends of the scale and not in the middle. Survey respondents are asking to pickdifferent price points on the price scale: The point where the product is beginning to ap"expensive" or a poor value for the money, and the point where they perceive the product to"good buy".Implications for the marketer in the category of full nest I lie on their behaviour, a well selifestyle and a good financial base to support. They have free time which they enjoy in dinout, in vacations spend on new houses, luxury cars, time saving services etc.They are pmarkets for financial services. The marketer must realize various channels of promotion to tindividuals and the values which can be added to ensure complete satisfaction.


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9.ADVANTAGES:

Helps marketer to categorize market segment.

Helps marketer in understanding taste and preferences

Indentify the companys position.

10.LIMITATIONS OF THE STUDY

The research is confined to the sample of 100 respondents, which certainly does

represent the whole population of WarangalRespondents might be biased at times.

Time limitations were there.

11.SUGGESTIONS:

Companies should aggressively advertise coupled with effective sales promotions for improvcustomer recall and brand image.

Marketting manager must analyse the house hold decision process separately for e product category within each target market

A marketer should identify the feeling related for a particular product and to be advertising campaigns according to the feeling associated with the product.

Concentrating on segments like married couples the marketer should study the pattand behaviour of this class

12.FIELD FINDINGS:Most of the people arent interested in filling the questionnaire.

Especially housewives showed little interest because they misunderstood us assalesperson


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couples usually dont prefer giving their contact no.

13.CONCLUSION:

The house hold is the basic purchasing and consuming unit and is therefore a great importanmarketing managers. Family house holds also are the primary mechanism where by culturesocial class values and behaviour patterns are passed on to the next generation. The house life cycle is a useful way to develop the marketing strategy. One axis is the stage in the Hwhich determines the problem the house hold will likely to encounter, the other is a set of sstrata ,which provides a range of acceptable solutions. Each cell represents a market segmen

Family decision making involves consideration of questions such as who buys, who decideswho uses. It is complex and involves emotions and interpersonal relationship as well as proevaluation and acquisition.

Marketing managers must analyse the house hold decision process separately for each procategory within each target market. House hold member participation in the decision provaries by involvement with the specific product, role specialization personal characteristicsones culture and sub culture. Participation also varies by stage in decision process.


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14. References:


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15.QUESTIONAIR FOR LAST WEEKAND GROCERYPURCHASE

When you fill in this questionnaire please use a pen and mark () on the best response.Q1. Indicate the category you belong to?

a) Young Married ( Married in a span of one year) b) Married with no children.c) Singled) None of these.

Q2. Please mark your age slot to which you belong?a) Average couple age less than 25. b) Average couple age between 25 to 30.

c) Average couple age between 30 to 35.d) Average couple age 35 and above.

Q3. Mark your annual family income from the options given?a) Less than 2 Lakhs. b) Between 2 -3 Lakhsc) Between 3- 4.5 Lakhs.d) Above 4.5 Lakhs

Q4. Please indicate the frequency of your grocery purchases?a) Daily.

b) Weeklyc) Biweeklyd) Once in fortnighte) Monthly

Q5. Where do you generally purchase grocery products?a) Supermarkets b) Wholesalersc) Nearby kirana storesd) Internet purchasee) Others

Q6. Your latest grocery purchase if any?a) Food products b) Health productsc) Lifestyle productsd) Cosmeticse) Others


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Q7. Was the product a necessity or it was an impulse purchase?a) A necessity

b) Impulse purchasec) Both the above

Q8. Who all participates in grocery buying decision in your family?a) Husband only b) Wife onlyc) Both husband and wifed) Others

Q9. Do you consider asking others responses in decision making?a) Yes

b) NoQ10. While buying regular grocery products are u brand specific or not?

a) Yes b) Noc) Can be either of the two.

Q11. What is the normal pattern of buying grocery that you generally follow?a) Necessity first and then other purchases b) Other purchases first and then necessityc) Can be anything

Q12. Rate factors according to your preferences? (Indicate 1 as first preference and follow thsequence)?

a) Quality of the product. ( ) b) Cost of the item. ( )c) Brand Name ( )d) Place of buying ( )e) Responses of others ( )

Q13. What is your preferred mode of payment?a) Credit b) Cashc) Bothd) Other


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QUESTIONAIR FOR LAST MAJOR PURCHASE

When you fill in this questionnaire please use a pen and mark () on the best response.Q1. Indicate the category you belong to?

a) Young Married (Married in a span of one year) b) Married with no children.c) Singled) None of these

Q2. Please mark your age slot to which you belong?a) Average couple age less than 25. b) Average couple age between 25 to 30.c) Average couple age between 30 to 35.d) Average couple age 35 and above.


Q4. What major purchase you have made in the last six months?Indicate

Q5. Was the purchase really required?a) Yes it was. b) No, it was not badly needed.c) I had planned it earlier.d) No it was a spontaneous purchase.e) Just for a change.

Q6. Did you go for a particular brand?a) Yes b) No

Q7. Why did you select that brand? Mark the best alternative?a) Good Quality b) Flamboyant Looksc) Priced) Aestheticse) After sales servicef) Payment optionsg) Special discounts


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Q8. Was it your first purchase of the product or you was buying for the second time?a) Yes it was my first purchase

b) No I had that product earlier.Q9. Were you unhappy with your last brand?

a) Yes b) No

Q10. Where did you come to know about the product?a) Media advertisements. b) Magazinesc) Friends and relatives.d) Internet

e) Sales personsf) Others

Q11. Before purchasing did you surveyed the retailers/shops?a) Yes b) No (Please do not mark the next question)

Q12. What were you prime factors in the survey?a) Price b) Serviceabilityc) Discountsd) Mode of paymente) Variety in product.


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QUESTIONAIR FOR LAST WEEKAND ENTERTAINMENTDECISION

Q1. Indicate the category you belong to?a) Young Married ( Married in a span of one year) b) Married with no children.c) Singled) None of these.

Q2. Please mark your age slot to which you belong?a) Average couple age less than 25. b) Average couple age between 25 to 30.c) Average couple age between 30 to 35.d) Average couple age 35 and above.


Q4. Your entertainment decision?a) A movie in a hall. b) Shopping and outdoor purchase.c) A visit to Historical place.d) Outstation visit.e) Visit to a restaurant.f) Others.

Q5. Was your decision planned?a) Yes b) Noc) Spontaneous.

Q6. Did you look for any other option before deciding to go for the one you preferred?a) Yes b) No

Q7. How frequently you go for a decision like the one you took above?a) Twice a year. b) Once a year.c) Frequently.d) Once in a month.e) Once in a week.


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f) Fortnightly.

Q8. Who all in you family are involved in taking such decisions?a) Husband only. b) Wife only.

c) Both wife and husband.d) Influenced by family members.e) Others.

Q9. Before making an entertainment decision what is the first factor that comes to your mina) Price. b) Quality of entertainment.c) Time Constraintd) Others.

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