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RESEARCH METHODOLOGY

Customer Perception on Domino’s Pizza Outlet


IIT Kanpur (Campus)

MEANING OF RESEARCH:

THE ENTIRE PROCESS BY WHICH WE ATTEMPT TO SOLVE ANY OR A GIVEN


PROBLEM IS CALLED RESEARCH.RESEARCH INVOLVES A SERIES OF WELL THOUGHT EFFORTS
AND CAREFULLY EXECUTED ACTIVITIES THAT WILL ENABLE A MANGER TO KNOW HOW
ORGANISATIONAL PROBLEMS CAN BE SOLVED OR MINIMISED.

MEANING OF BUSINESS RESEARCH:

IT IS A SYSTMATIC AND ORGANISED EFFORT TO INVESTIGATE A SPECIFIC


PROBLEM ENCOUNTERED IN THE WORK SETTING, THAT NEEDS A SOLUTION.IT COMPRISES OF
SERIES OF STEPS DESIGNED AND EXECUTED WITH THE GOAL OF FINDING ANSWERS TO THE
ISSUES THAT ARE OF CONCERN TO THE MANAGER IN THE WORK ENVIRONMENT.

PROBLEM FORMULATION:
Marketing Problem:

 To conduct a feasibility study for opening up a Domino's Pizza outlet at IIT Kanpur
campus.

Marketing Research Problem

 To understand the food habits and preferences of Customers of IIT Kanpur.

 To estimate the potential market for a fast food joint like Domino's Pizza

OBJECTIVE:
 To understand the parameters that are important to customers when eating out

 To understand general spending habits

 To understand the perception about Domino's Pizza in the minds of IIT Kanpur
students
CONCEPTUAL Vs EMPIRICAL:
Conceptual research is related to certain ideas or theory. It is generally used by philosophers
and thinkers to develop new concepts or to reinterpret existing ones. Empirical research lies on
experience or observation alone without due regard for system and theory. And it is data based
research coming up with conclusions which are capable of being verified by observation or
experiment.

INTRODUCTION:
 IITK houses 3500 students,(90% males)

 Residents are from diverse cultural backgrounds

 Various food joints available at IITK:

 Hall canteens

 Campus restaurant

 Shopping complex

 CC Canteen

 IME canteen

 MT

QUANTATIVE Vs QUALITATIVE:

Quantitative research is based on the measurement of quantity or amount. It is


applicable to phenomena that can be expressed in terms of quantity. Qualitative research
involves quality or kind.

METHODOLOGY ADOPTED:
Phase I: Qualitative study:

 7 In-depth Interviews lasting 1-1.5 hour.


 2 Focus Group Discussions with 8 members each.

Phase II: Descriptive Research using quantitative study:

 Target Population: - The Students of IIT Kanpur


 Sampling Technique: -Two stage method, Quota followed by Convenience
sampling
 Intercept Points: - Hall canteens of hostels 1, 4, 6 and GH, campus food outlets
like CC Canteen, IME Canteen
 Sample Size

 Target – 80 respondents (72 Males, 8 Females)


 Actual – 75 Respondents (61 Males, 14 Females)

Issues discussed during Phase I:


 Mess v/s Canteen

 Price Sensitivity

 Regional Preferences

 Conveyance

 Perception of Fast Food

Methodology for Data Analysis: After Data have been collected from a representative
sample of the population, the next step is to analyze them to test the research hypothesis

 Collection and coding of data.

 Questionnaire

 Tool: MS Excel

 SSPS

 Frequency Calculation

HYPOTHESIS: It can be defined as a logically conjectured relationship between two or more


variables expressed in the form of a testable statement

 H0 = Residents of IIT Kanpur are not variety seeking.

 H1= Residents of IIT Kanpur are variety seeking.


PARSIMONY:

Simplicity in explaining the problems that occur, and in generalizing solutions for
the problems, is always preferred to complex research frameworks that consider an
unmanageable number of factors.

Example

If 3 variables are identified and changed in an organisation that can increase


work participation to 45%, that would be more useful to the organsiation, than if changing 10
variables and getting 48%rise in work participation.

Opinion of Food in Campus:


 48% of the respondents feel that the quality of food is good

O p in io n o f t h e F o o d in t h e c a m p u s

0%

4% 3%

V e ry G o o d
G ood
A ve r a g e
45% 48%
B ad
V e ry B a d

 45% of them feel that its average

 Most of the candidates (96%) not unhappy with the food

Need for another Outlet:


 Previous chart shows students to be happy with present facilities

 Yet 68% of the respondents feel a need for another outlet


N e e d fo r a n o t h e r o u t l e t

C a n 't s a y
13%
No
Y es
19%
No
C a n 't s a y
Y es
68%

 Hence null hypothesis rejected.

 Alternative Hypothesis

Factors Affecting Food Preference:


 Hygiene (93%)

 Taste (83%)

 Variety (50%)

 Service (47%)

 Price (38%)

 Ambience (24%)

Daily Expenditure and Pricing:


 Over 60% of respondents have average daily expenditure greater than Rs.16

 63% of respondents feel that Domino's Pizza is not over priced


P e rc e p tio n a b o u t M c D o n a ld s P ric in g

37%
U nder P ric ed
E c onom ic ally P ric ed
54% O ver P ric ed

9%

A verage Daily E x penditure

> 45
31-45 9% 0-15
11% 32%
0-15
16-30
31-45
> 45

16-30
48%

Location:

L o c a t io n P r e f e r e n c e
G TR o a d

11% 3% 16% P a rk
7%
M T
3%
S h o p p in g C e n t e r
30% A c a d e m ic A re a
30%
SAC
O th e r

 Equal Preferences to both Academic Area & Shopping Center(30% each)


Frequency of Visit to Domino's Pizza Last Semester vis-à-vis daily expenditure on
food:

Frequency/ 0 1-3 >3 TOTAL

Expenditure

0-15 45.5 45.5 9 100

16-30 32.5 56.5 11 100

31-45 20 80 0 100

>45 0 60 40 100

Expected no. of Visits at Domino's Pizza vis-à-vis daily expenditure on food:

Expected >Week Weekly Fortnight Once in a Never


Frequency/Expenditure month

0-15 13.6 36.4 22.7 27.3 0

16-30 21.6 29.7 24.4 21.6 2.7

31-45 20.0 20.0 40.0 0 20.0

>45 10.0 70.0 20.0 0 0


Expected Revenue:

Frequency/ >week Weekly Fortnight Once in a Never Total (Rs.)


month
Expenditure

0-15 270 240 75 45 0 630

16-30 2160 990 405 180 0 3735

31-45 450 150 150 0 0 750

>45 630 1470 210 0 0 2310

Expected Revenue from our Sample = 7425

Current expenditure of 75 students outside mess:

Monthly expenditure Average monthly Number of Total expenditure


range expenditure respondents
(Rs.)

0-450 225 22 4950

450-900 675 37 24975

900-1350 1125 5 5625

>1350 1575 10 15750

51300

Current Market Share=14.5%


Our Recommendations:
 Domino's Pizza should open an outlet at IIT Kanpur campus

 It should be a fully fledged outlet.

 The outlet should be located in the Shopping Center or Academic Area

Limitations of the Methodology:


 Sample size of 7 is small.

 The duration of interview varied across the sample.

 Possibility of the interpreter’s bias or moderator bias

 Although care was taken that the sample is a representation of IIT Kanpur residents in
terms of sex, under-graduates, post-graduates it may not be the true representation of
the population.

Limitations of quantitative phase:


 Non-probabilistic technique of convenience sampling used which can skew the analysis.

 The sample size was not statistically computed but was chosen on the discretion of the
group.

 It was assumed that the sample is representative of the population.

 The group assumed that the respondent would rationally and patiently fill up the
questions. Since there were no incentives given for filling up the questionnaire our
assumption might not be valid.

Conclusion:
Before any Research is undertaken, there should be an agreement between the person who
authorizes the study and the research as to the problem to investigated, the methodology to be
used, the duration of the study, and its cost. This research Process has been done basically
contains the following details.
Research Analysis Report
On
Customer Perception on Domino’s Pizza
By
Parthiban.R
MBA-B
Reg No.:0929123