CHAPTER – I

INTRODUCTION

Consumer behaviour is influenced by several aspects namely socio-

economic, cultural, psychological and physiological environment. Apart from

these, the consumer behaviour is molded by the external environment namely,

opinion leaders, friends and relatives, resource persons, retailers, reach of

media, caste and religion. The behaviour of the consumer depends upon the

product he wants to purchase. The behaviour is highly dynamic even in the

consumption of one single product.

Consumption is the soul and the purpose of all production. So Peter

Drucker was apt in saying, „it is the consumer who determines what the

business is‟. A consumer is one who does some physical activities and

deliberates to take decisions concerning purchase and to dispose-off to evaluate

products and services. Consumer behaviour reflects the totality of consumer‟s

decisions with respect to purchase, consumption and disposition of goods,

services, time and ideas. It also includes whether, why, when, where, how, how

much and how often and how long consumer will use or dispose of an offering.

The markets are customer driven these days and the target of all marketing

activities is consumers. Understanding consumers are not easy jobs as his

behaviour is mostly unique and unpredictable. This has made firms to step into

the shoes of the customers to understand from their point of view regarding

selection and purchase of products and services. Marketers need to identify the

end users of product, services, and frame marketing plans than considering the

1
wholesalers and retailers who actually are the intermediaries in the process of

purchase. Marketers therefore should consider the consumers and then develop

their plans of action. Here lies the essence of marketing. The consumer is the

king and all actions should start with this notion in mind.

1.1 IMPORTANT CONCEPTS

1.1.1 Consumer Behaviour

Consumer behaviour is the study of how people buy, what they buy,

when and why they buy. It is a sub category of marketing that blends elements

from psychology, sociology, socio-psychology, anthropology and economics. It

attempts to understand the buyer‟s decision making. It studies the

characteristics of individual consumer such as demographics, psychographics

and behavioural variables in an attempt to understand people‟s wants. It also

tries to assess influences on the consumers from groups such as family, friends,

reference groups and society in general. It is the acts of individuals in obtaining

and using goods and services, including the decision process that precede and

determine these acts. Consumer behaviour influences purchase decision

process and the act of purchasing is one of the acts in the process. In order to

understand consumer‟s behaviour clearly, one must understand the events that

precede and follow from purchase act. Consumer behaviour results from

individual and environmental influences. Consumer behaviour is determined by

the individual's psychological make-up and the influence of others. Thus it is

the result of the interaction of the consumer's personal influences and the

pressures exerted upon them by outside forces in the environment. A consumer

2
buying a brand of home appliances, for example, is motivated by a need to own

the category and the particular brand (based on functional and emotional

benefits) from an outlet. This buying behaviour involves several psychological

factors and these factors govern the individual thinking process (like

motivation, personality, perception and attitude), decision-making steps involve

in buying (decision-making process), interaction of the consumer with several

groups like friends, family and colleagues (group-oriented concepts) and

selection of the brand and outlet depending on price and features and emotional

appeal (marketing mix elements in a given environment). Consumer behaviour

links these four aspects to enable a marketer to formulate marketing strategies.

The basic elements of consumer behaviour are what the consumer buys, how

he buys, when and where he buys and how much she buys and should be

understood by the interaction of different factors associated with consumer

behaviour.

1.1.2 Non-Durable Goods

Non-durable goods are products consumers purchase with the plan to

use for a short period of time. Also referred to as consumable goods, most non-

durable goods are expected to be consumed or used in three years or less.

Because of this basic characteristic, non-durable goods can be a wide variety of

products.

Non-durable goods are also called „Fast Moving Consumer Goods‟,

(FMCGs). Basically these are things that deteriorate over time so have to move

to market. For examples, Fruits, Vegetables, Meat and so on.

3
 There are essentially three types of non-durable goods. They may be

literally consumed, as with food and drinks. They can also be utilized until they

are gone, such as deodorant, toothpaste or dish soap. The third type of non-

durable goods is a product that is used and no longer needed, intended for one

use, or wears out from normal use, such as socks, paper plates and light bulbs.

Examples of Non-durable goods include Fast Moving Consumer Goods

(FMCG) such as cosmetics and cleaning products, food, fuel, beer, cigarettes,

medication, office supplies, packaging and containers, paper and paper

products, personal products, rubber, plastics, textiles, clothing, and footwear.

1.2 SIGNIFICANCE OF THE STUDY

To understand the factors influencing the buying behaviour in the

families and the marketers can persuade the persons involving in initiation,

information seeking, influencing and finally the decision - making. Marketing

strategies would work better if the marketers properly understand the extent of

family members involvement in purchase decision making, By studying the

family buying behaviour, the marketers could understand the psychology of

members in the family, how they think, reason, and select between different

alternatives and how the consumer is influenced by his / her environment. This

will provide a frame work to the marketers for designing marketing

communication, which strike the right chord with the target audience. Thus, it

is important for the marketer to understand as to what role played by various

family members while making decisions on various aspects of the consumer

non-durables to be purchased.

4
1.3 STATEMENT OF THE PROBLEM

In fact, everybody in this world is a consumer. We are buying and

consuming incredible variety of goods and services. However we all have

different tastes, likes, dislikes and adopt different behaviour patterns while

making purchase decisions. This is exactly the truth about the consumers in all

areas. Consumer behaviour may be defined as behaviour exhibited by people in

planning, purchasing and using economic goods and services. Consumer

behaviour is an integral part of human behaviour and cannot be separate from

it. The field of consumer behaviour is complex, involving interplay of

individual, social-cultural processes. A mountain of explanation and data from

the behavioural sciences and consumer research has told us a lot about it. As

the understanding of consumer behaviour is so crucial to the development of

sound marketing strategy, the search for explanation will go on. It is identified

that there is a need for research work in the field of consumer behaviour of

non-durable in Vellore City. The research deals with the questions like what

the brand purchased is, who the buyer is, how it is bought, how much money is

spent on the purchase and preferences between the branded and unbranded

products.

1.4 OBJECTIVES OF THE STUDY

1. To explore the awareness and perception of consumers towards non-

durable goods.

2. To ascertain the consumer‟s attitude towards branded non-durable

goods.

3. To study the factors that influences the consumers in the purchase of

non-durable goods.

4. To study the consumer‟s loyalty towards branded non-durable goods.

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1.5 RESEARCH METHODOLOGY

The methodology of the study is based on the primary as well as

secondary data. The study depends mainly on the primary data collected

through a well-framed and structured Interview schedule to elicit the well-

considered opinions of the respondents. Convenient sampling was used by the

researcher for the present study. This study employs both analytical and

descriptive type of methodology. The study is conducted in two stages format,

with a preliminary pilot study followed by the main study. The secondary data

are collected from journals, magazines, publications, reports, books, dailies,

periodicals, articles, research papers, websites, company publications, manuals

and booklets. The statistical tools used in the research are Simple Percentage,

Factor analysis, Chi-square and Structural Equation Modeling.

1.5.1 Selection of the products

The choice of product was decided after a brainstorming session

between the scholar and supervisor. It has been noted that certain product

categories lend themselves well to the consumers. For the purpose of research

Non-durable goods were selected. After conducting a pilot study among the

selected areas the mostly used on non-durable goods among the five

classifications were identified and selected for the study. The application of

ranking analysis clearly revealed high awareness of consumers on Non-durable

goods. So the researcher concluded the suitability of Non-durable goods based

on their frequent usage. The products include,

 Cosmetics

 Biscuits

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  Textiles

 Footwear and

 Paper products.

1.5.2 Pilot Study

A pilot study was undertaken by the researcher to find out the feasibility

of collecting the required Information by administering the interview on 30

Consumers – A study on Select Non-durable goods. Based on the pilot study,

the interview was modified to suit the requirement of the present study. To test

the reliability and validity of the interview Cronbach - Alpha reliability test

was applied and the result was 0.834. Therefore it was found that the interview

schedule used for the pilot study can be used for the purpose of the study.

1.5.3 Interview Schedule

The researcher has developed a self-styled interview schedule for the

present study. The interview schedule consists of five parts. The first part of

the questionnaire comprises demographic factors with optional questions. The

second part consists of statements relating to theawareness and perception,

information search and evaluation of alternatives with Likert‟s 5 point scale.

Some optional questions are included along with the rating questions and also

yes or no questions.The third part contains statements about theattributes and

benefits of non-durable goods with Likert‟s 5 point scale.The fourth part of

the questionnaire relates to the factors influencing purchase decision.With

Likert‟s 5 point scale.The fifth and final part of the questionnaire contains

statements relating to the brand loyalty with Likert‟s 5 point scale. All relevant

statements are included to derive responses.

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1.5.4 Scaling technique in the interview schedule

The interview schedule of the research consists of both optional type

and statements in Likert‟s 5 point scale. The responses of these sections were

obtained as shown below from the non-durable goods users in Vellore City.

5 – Strongly Agree

4 – Agree

3 – Neutral

2 – Disagree and

1 – Strongly Disagree.

This allowed for the standardization of results as well as making it easier

for respondents to complete the interview schedule. The author and supervisor

discussed the Likert‟s 5 point scale and decided to assign the numerical value

three for undecided or neutral. The numerical value 3 is assigned to neutral

after referring the several approaches in statistics. Undecided has a connotation

that, the statements in the interview schedule do not have proximity to the

respondents. But neutral implies that they are well acquainted with the

statements in the interview schedule but they want to remain equidistant from

the two extremities of agreement and disagreement.

1.5.5 HYPOTHESES OF THE STUDY

To carry out the objectives of the study, the researcher has developed

following null hypothesis, through which, findings can be statically validated.

1. H01 = There is no significant difference between consumer perception

and attribute towards non-durable goods.

8
 H11 = There is significant difference on the consumer perception with

attribute towards non-durable goods.

2. H02 = There is no influence of demographic variables on brand

evaluation and purchase behaviour.

H12 = There is influence of demographic variables on brand evaluation

and purchase behaviour

3. H03 = There is no association between influencing factor and purchase

behaviour.

H13 = There is association between influencing factor and purchase

behaviour.

4. H04 = There is no relationship between brand awareness, brand

knowledge and brand loyalty of the consumer.

H14 = There is relationship between brand awareness, brand knowledge

and brand loyalty of the consumer.

1.6 CHAPTERIZATION

This Dissertation is divided into five chapters.

Chapter – I : Introduction.

Chapter – II : Review of Literature.

Chapter – III : Conceptual Framework.

Chapter – IV : Analyse the data and interprets with the literatures.

Chapter - V : Findings, Suggestions and Conclusion.

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 CHAPTER – II

REVIEW OF LITERATURE

This chapter provides both the national and international literature

relating to Consumer Behaviour towards the selected Non-durable goods. The

relevant facts and data are analysed in more depth and elucidates the important

issues that remain unanswered. It gives panoptic analysis regarding Product

Awareness, Consumption Pattern, Factors Influencing Consumer Choice,

Consumer Decision Making and Brand Loyalty.

2.1 PRODUCT AWARENESS

Rajeev Batra (2000)1 hastested whether the brand has perceived a non-

local country of origin especially from the West, and the consumers are

attitudinally preferred to brands seen as local, for reasons not only of perceived

quality but also of social status. The results, thus, suggest that in developing

countries, a brand's country of origin not only serves as a quality halo or

summary of product quality (cf. Han, 1989), but also possesses a dimension of

no localness that, among some consumers and for some product categories,

contributes to attitudinal liking for status-enhancing reasons.

Kevin J. Clancy (2001)2 has conducted research into the state of brands

in America. The results demonstrate that consumers cannot see differences

between major brands in most product and service categories. As a result, more

people buy products based on price.

10
 Kim, Forsythes et al. (2002)3 have argues that customer values get

influenced by product attributes and consumption behaviour and they consider

customer values as an output of culture. Advertisement can influence customer

perception. Due to cultural differences, the perception may differ. Little

attention has been focused on the Indian culture and their perception to global

advertisement. Therefore, this can be helpful to global brands, especially when

India is one of the top emerging markets.

2.2 CONSUMPTION PATTERN

Aaker David (2000)4 regarded brand awareness as a remarkably durable

and sustainable asset.It provided a sense of familiarity (especially in low-

involvement products such as soaps), a sense of presence or commitment and

substance and it was very important to recall at the time of purchasing process.

Apart from the conventional mass media, there were other effective means to

create awareness viz., event promotions, publicity, sampling and other

attention-getting approaches.

2.3 FACTORS INFLUENCING CONSUMER CHOICE

Gupta and Verma (2000)5 have examined the influence of husband,

wife and children and the interaction between them in the purchase decision

process. The study also focused on the influence of socio-economic variables

like age, education, income and employment in the decision dimensions and

found that income of the family and women employment is the major factor

influencing family decision making. In the purchase decisions, husbands tend

11
to concern themselves with relatively important and functional product

attributes like price while wives concentrate on relatively minor aesthetic

product attributes like colour.

Hawkins, Best et.al, (2001)6 have analysed that it is the group whose

presumed perspectives or values are used by an individual‟s a basis for his or

her current behaviour.

Kumar (2003)7 has revealed that the majority of consumers are highly

enlightened and are concerned of quality of the products. He also revealed that

the consumers uniformly, both in urban and rural areas, desire to have quality

of the products at reasonable price and trust more, the advice of the retailers.

Ramasamy, Kalaivanan et al. (2005)8 have revealed that the buying

behaviour is vastly influenced by awareness and attitude towards the product.

Commercial advertisements over television was said to be the most important

source of information, followed by displays in retail outlets. Consumers do

build opinion about a brand on the basis of which various product features play

an important role in decision making process. A large number of respondents

laid emphasis on quality and felt that price is an important factor while the

others attached importance to image of manufacturer.

Zacharias, Jose et al. (2009)9 have found that irrespective of the

occupation, respondents of their study felt that friends and relatives strongly

influence a consumer decision. They also found no significant different in the

influence of these two types of influencers.

12
 Erda (2009)10 has found that personal sources; especially family and

friends' influence consumer decision making in rural markets. He found that

about 29% of the sample was influenced by family and 18% by friends, while

taking a decision to purchase products.

Vani, Ganesh et al. (2010)11 have conducted many research in this area,

and they given only few suggestion, but there is no final conclusion. As per the

ideas given by the researchers, there are two factors influencing the consumers

such as intrinsic and extrinsic factors. It is difficult to classify consumers by

conventional demographic factors and unless their thought process and buying

behaviour are fully understood, decisions on product designs and packaging,

branding and distribution channels are likely to be misplaced. With the

inevitability of change looming large over the horizon, Indian companies must

learn from their western counterparts; not only to identify the sources, timing

and direction of the changes likely to affect India, but also the new

competencies and perspective that will enable them to respond to these

changes, comprehensively and effectively. This study mainly focused on

understanding the external factors like demographic, social, cultural, price,

quality, and product attributes etc for buying toothpaste. The market share of

any product is highly determined by the purchasing behaviour of the

consumers. The study is conducted by the researcher to find out the behaviour

of the consumers, to analyze the preference of consumers and consumer

awareness. Descriptive research design was adopted and the data was collected

through primary and secondary sources. The method adopted for conducting

survey is questionnaire; Simple random sampling technique was adopted for

selecting the consumers.

13
 Srividhya.S and Thanasingh.S (2015)12 said that the aim of the study is

to examine the consumer behaviour of FMCG product in rural marketing. The

behaviour of consumer plays a vital role in market. The consumer‟s needs and

wants are fluctuating day by day according to the modern trend. The primary

data required for this study was collected through structured questionnaire was

from 400 samples by random sampling technique in the Tiruchendure taaluk‟s

rural area. The tools used for analysis are percentage analysis and Chi-square

test. This study proves that most of the respondent‟s buying behaviour is

influenced by the quality and brand name of FMCG.

Anandarajan.S and Manikandan.A (2016)13 have revealed the motive

of this research work to study the consumer behaviour towards Fast Moving

Consumer Goods (FMCG) in Chennai of Tamilnadu. The data for the study

had been collected by performing face-to-face interview with the respondents

with the distribution of questionnaire. This study collects data from 400

consumers at various places in Chennai. This study was started with the

objectives of examining socio-economic background of respondents, analyzing

the factors influencing consumer behaviour towards selected FMCG products,

checking the level of satisfaction of consumers and knowing expectation of the

consumers. This study revealed that consumer behaviour is largely affected by

place, product, price, promotional, psychological and people. This article

highlighted the consumers‟ expectation towards fast moving consumer goods

in Villupuram district.

14
2.4 CONSUMER DECISION MAKING

Park and Parker (1981)14 said that defined experience based prior

knowledge has been defined in term of three components of familiarity with

products: search experience, usage experience, and ownership. Subjective prior

knowledge has been defined as consumer self-assessment of product domain

knowledge.

Brucks (1985)15 has notified that Objective prior knowledge is the

preferred conceptualization of prior knowledge, because it is based on the

actual content and organization of knowledge held in memory, namely product

attributes, general attribute evaluation, specific attribute evaluation, general

product usage, brand facts, and purchasing/decision making procedures.

Alba and Hutchinson (1987)16 have defined concept of prior knowledge

in terms of the extent of experience and familiarity that one has a product

(good or service); and commonly refers to information that is (1) accessible

from memory and (2) generally accessed before external search occurs. Prior

knowledge has been defined in at least three conceptually different ways: (1)

experience-based prior knowledge, (2) subjective prior knowledge, and (3)

objective prior knowledge.

Willam and Narasimham (1994)17 have developed a theory of the

evolution of choice decision for consumer durable products which addressed

information acquisition behaviour and the duration of the purchase deliberation

process itself.

15
 Jayasankar (1995)18 has examining the performance of BPL, found that

despite the minor role played by impulse in the purchase decision of consumer

durables, emotional involvement had also been found important in recent years.

Involvement refers to the personal relevance or importance of a product or

service that a consumer perceives in a given situation.

Marsden and Littler (1998)19 said that in order to develop a framework

for the study of consumer behaviour it is helpful to begin by considering the

evolution of the field of consumer research and the different paradigms of

thought that have influenced the discipline.

Yadav (1998)20 has opined that the decision for buying vegetable for

family consumption is dominated by wife, influenced by the likes and dislikes

of the family members and by the influence of electronic media on the

children.

Brown, Mcllveen and Strugnell (2000)21 have reported that the need

for effective nutritional education for young consumers has become

increasingly apparent, given their general food habits and behaviour,

particularly during adolescence and analyzed that the interaction between

young consumers' food preferences and their nutritional awareness behaviour,

within three environments (home, school and social). The results indicated that

the perceived dominance of home, school and social interaction appears to be

somewhat overshadowed by the young consumers, while developing an

'independence' trait, particularly during the adolescent years. The authors

suggested that food preferences are often of a 'fast food' type and consequently

16
the food habits of many young consumers may fuel the consumption of poorly

nutritionally balanced meals. While young consumers were aware of healthy

eating, their food preference behaviour did not always appear to reflect such

knowledge, particularly within the school and social environments.

Broadbridge and Eric (2002)22 have explored grocery-shopping

behaviour of rural inhabitants in Scotland. The survey reveals that the trading

feature for small rural shops is difficult with the majority of the consumers

using them only for supplementary shopping. Also that the study concluded, if

local shops provide a differentiating and unique offer than supermarkets, then it

may increase the customers visit to local shops. Local shops need to have

commitment and willingness to cater for the local community wants and needs.

The relative proximity of alternative shopping facilities and the quality of local

shopping provision combine to influence the degree of food out shopping from

a community.

Losarwar. S.G (2002)23 has attempted an in-depth study of this

behavioural pattern and the same can be used as a workable guideline for

formulation of affective marketing strategy by the company‟s desire of selling

their products in the urban and rural areas.

Kuldeep Singh and Varshney (2003)24 have observed that shrinking

market share and reduction in sale do not mean consumers have actually been

cutting back on their use of toilet soaps. They also stated that it is not the lack

of awareness but lack of affordability, which restricts consumers from buying

toilet soaps.

17
 Christy M.K. Cheung, Lei Zhu (2003)25 has examined under various

contexts over the years. Although researchers from a variety of business

disciplines have made significant progress over the past few years, the scope of

these studies is rather broad, the studies appear relatively fragmented and no

unifying theoretical models is found in this research area. In view of this, they

provide an exhaustive review of the literature and propose a research

framework with three key building blocks (intention, adoption, and

continuance) so as to analyze the online consumer behaviour in a systematic

way. This framework not only provided us with a cohesive view of online

consumer behaviour, but also serves as a salient guideline for researchers in

this area. They concluded their paper with a research agenda for the study of

online consumer behaviour.

Kotler (2004)26 explained that consumer-buying behaviour is defined as

“The buying behaviour consumers – individuals and households who buy

goods and Services for personal consumption.” the term „consumer‟ can be

described as a person who acquires goods and services for self-satisfaction is

often used to describe two different kinds of consuming entities: the personal

consumers and the organizational consumers. The personal consumers buy

goods and services for his/her own use. In the context the goods are bought for

final use by individual, who are organizational consumers, encompasses for

profit and not for profit business, government agencies, Institutions, all of them

must buy products, equipment and services in order to run their organization.

18
 Lokhande.M.A (2004)27 said that all the FMCG companies namely

HLL, Pepsi, Coca cola, Britannia, and Colgate Palmolive etc. are concentrating

their marketing activities in rural markets, because of the awakening of the

rural consumer towards his needs and up gradation of his standard of living,

information technology, Government policies, corporate strategies and satellite

communication and so on.

Polegato and Zaichkowsky (2004)28 have observed that husbands are

seen increasingly willing to take on food shopping and revealed that 25 to 45

percent of husbands share family food shopping role with their wives.

Malini Majumderand Arun Kumar Singh (2015)29 have given the

objective of their paper as to address to the area of consumer decision making,

with special focus on brand awareness in order to maintain “the competitive

edge of superiority” of the product. In this study titled “Importance of brand

awareness in purchase decision of FMCG products for consumers: a

comparison between urban, semi urban and rural markets” the researchers have

assessed the purchase decision of FMCG for consumers, what they look for?

Why and in which situation? And level of brand awareness present in urban

and rural market consumer or people, role of media to create brand awareness.

The brand awareness in rural areas particularly in respect of beauty care

and health care products is showing an increasing tendency. (Most of the

people both from illiterate and literate groups prefer branded products with the

belief that quality is assured as the manufacturers are reputed companies. For

19
example Colgate Tooth Paste, Clinic shampoo). There is an increasing trend

among the people of rural areas about the awareness of various brands of the

daily consumption goods. People of rural areas are becoming more conscious

about their health and other aspects of life. This change in the attitude to spend

more on the highly priced branded products among high-income groups in rural

areas clearly suggests that there is an ample scope for such products to capture

the markets in these areas by increasing the supply of these products. Usage of

branded products is seen as status elevator in the villages. The need of the hour

is only to make aware the rural customers regarding the brand availability of

daily consumption goods by educating them about the need to the use of

branded products.

2.5 BRAND LOYALTY

Holbrook, Morris et al. (1982)30 have opined that variety seeking or

exploratory purchase behaviour are to be explained by experimental or hedonic

motives rather than by utilitarian aspects of consumption. Preference towards

new varieties has been identified as a determinant factor in brand switching.

Singh and Prabhakar (1989)31 have stated that on the basis of

consumer perception a consumer would take the purchase decision and a

particular brand was getting priority over other brands. They also observed that

the marketers realized the importance of consumer perception and attempted to

create a unique image for their products, which enable to achieve an advantage

over the competitors‟ products.

20
 Susan Fournier and David Glen Mick (1999)32 saidwhether the

customer is satisfied with the purchase depends on after-sales service in

relation to the consumer‟s expectation. In general, satisfaction is a person‟s

feelings of pleasure or disappointment, resulting from comparing a product is

perceived performance (or outcome) in relation to his or her expectation. If the

performance falls short of expectation, the customer is dissatisfied. If the

performance matches the expectations, the customer is satisfied. If the

performance exceeds expectations, the customer is highly satisfied or

delighted.

Broundbridge and Morgan(2001)33 in their study on „consumer

buying behaviour of and perception towards retail brand baby products‟ found

that consumers need to feel confident with the product in terms of reliability

and performance and brand names provided this assurance of quality with baby

products. Further it appeared that the more distinctive a brand positioning is,

the less likelihood that the consumers will accept a substitute or own brands.

GihanWijesundera(2010)34 has explored how the marketing mix and

demographical factors influence the brand preference and purchasing

behaviour of beauty soap among the female consumers in the greater Colombo

region. The results indicated that there were statistical relationships between

price, product, education, occupation and band preference and there was no

statistical relationship between place, promotion, age, income level, marital

status, skin type, social factors, and substitute product with the brand

preference.

21
 Ratika Rastogiand Sonia Chaudhary (2012)35 have believedin this era

of competition understanding the consumer is a necessity for producers. The

consumer behaviour suggest how individual, groups and organization select,

buy, use and dispose of goods, services, ideas or experience to satisfy their

needs and wants. Consumer needs and preferences are continuously changing

given the changes in factors like demographics and lifestyles. Rural areas are

scattered and it is next to impossible to ensure the availability of a brand all

over the country. It is true that Consumer India is flourishing, but at the same

time, Indian Consumer has his roots deep into his traditions. This is what calls

it as 'The Indian Way'. This study is an attempt to examine the purchase

motivators (viz., Item of necessity, symbol of social status, marketing

influence, brand reputation) for television, washing machine and refrigerator in

the rural areas of Meerut region. This study is helpful to the manufactures to

identity the consumer perception, beliefs, and behaviour for improving them to

introduce new strategies and increase in sales. Moreover, it discusses about

how to find the modern way for marketing implementation and value addition.

Muthu Velayutham.C (2012)36 in his study titled “The Study of

Consumer Brand Loyalty on FMCG-Cosmetic Products with Special Reference

to Madurai” analyzes the relationship between demographic variables on the

brand loyalty of the consumers and tries to identify the consumer‟s switching

factors in selected product category. This study is essentially a correlation

study. A randomly selected sample of 600 from Tamil Nadu State, South India,

particularly Madurai, Tuticorin, Kanyakumari districts were selected to

22
analyze. To indicate the amount of correlation between the variables, Chi-

square test was used in this study. Results show that among the variables age,

education level and gender have the most significant impact on consumer‟s

brand loyalty.

ENDNOTES

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pp 83-95.

2. Kevin J. Clancy (2001). “Save America‟s Dying Brands Counter intuitive approaches can
keep brands from sliding into commodity oblivion” Marketing Mastermind, pp.37-41.

3. Kim J, Forsythes, Gu Q and Moon S. J. (2002). “Cross Cultural Consumer values, Needs
and Purchases Behaviour, The Journal of Consumer Marketing Vol.19, No. 6, pp481-
502.

4. Aaker David., (2000). “Building Strong Brands” The Free Press, New York.

5. Gupta, S.S. and Verma, D.P.S. (2000). We not me who will buy.
Indian.Agmt.Vol.39:pp.61-65.
6. Hawkins, D.I., Best. R.J and K.A. Coney (2001). Consumer Behaviour – Building
Marketing Strategy, Tata McGraw Hill, New Delhi.
7. Kumar, S. (2003). “A Study of the Consumer Behaviour with reference to Selected
Products”. Finance India, Vol.17, Issue 4, pp.10-15.
8. Ramasamy, K. Kalaivanan.G., and Sukumar.S. (2005). “Consumer Behaviour towards
Instant Food Products”. Ind. J. marketing. 35 (6): pp.24-25.
9. Zacharias, S. M. C. Jose, A. Salam, B. Kruvilla and D.Anand (2009). “Rural Consumer's
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 CHAPTER – III

CONCEPTUAL FRAMEWORK

3.1 CONSUMER BEHAVIOUR

Any person engaged in the consumption process is a consumer. These

consumers can be identified by the type of markets to which they belong. On

the basis of this, consumers are of two types: industrial and final consumers.

The present study is concerned with the final consumers, individuals who buy

for personal consumption or to meet the collective needs of the family and

households needs. The consumer behaviour refers to those actions and related

activities of persons involved specifically in buying and using economic goods

and services. It includes both mental and physical actions. In other words it

reflects the totality of consumer decisions with respect to acquisition,

consumption and disposition of goods and services, time and idea by (human)

decision making units. It also includes whether, why, when, where, how, how

much and how often and how long consumption depends. An understanding of

the consumer behaviour will help us in understanding different market

segments and evolve strategies to effect penetration with these markets. It also

seeks to identify the gaps in shaping their desires and aspirations and solving

many of the consumer‟s day-to-day problems in purchase.

Adam Smith1 at the end of 18th century wrote consumption is the sole

end and purpose of all production and the interest of the producer ought to be

attended to only, so far as it may be necessary for promoting that of consumer.

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The field of consumer‟s behaviour really began to develop in the early 1960s,

when the Ford foundation commissioned a two year study of the state of

knowledge of marketing in American Business School2. Later many theories

were developed which viewed consumer behaviour from different angles and

the marketers used these theoretical base for studying consumer behaviour and

for framing various marketing strategies and programmes based on the interest,

attitudes and perception of consumers.

Lalitha Ramakrishnan (2005)3 defines Consumer as the basic

foundation of every business. What consumer sees, thinks, prefers and buys is

of great importance to marketers to fine-tune their marketing offers and achieve

high level of consumer acceptance and satisfaction. The emergence of rural

market as a viable proposition has sparked a new interest among marketers to

explore and understand them.

3.2 BRANDS

3.2.1 COSMETICS

I. Lakme

Lakme is an Indian cosmetics brand which is owned by Hindustan

Unilever. Having Shraddha Kapoor as the ambassador, it ranked at number 1

among the cosmetics brands in India. Lakme started as a 100% subsidiary of

Tata Oil Mills (Tomco). It was named after the French opera Lakme, which

itself is the French form of Lakshmi (the goddess of wealth) who is renowned

for her beauty. It was started in 1952 famously, because the Prime Minister

27
Jawaharlal Nehru was concerned that Indian women were spending precious

foreign exchange on beauty products and personally requested JRD Tata to

manufacture them in India. Simone Tata joined the company as director and

went on to become the chairperson. In 1996, Tata sold off their stakes in

Lakme Lever to HLL, for Rs 200 Crore (45 million US$).

In the Brand Trust Report 2012, Lakme was ranked 104th among India's

most trusted brands and following the next year it was ranked 71st among

India's most trusted brands. In 2014, Lakme was ranked 36th among India's

most trusted brands according to the Brand Trust Report 2014. The company is

the title sponsor for Lakme Fashion Week (LFW) a bi-annual fashion event

which takes place in Mumbai.

II. L’oreal

L‟Oreal is one of the giants in the cosmetic segment in the world. Jean-

Paul Agon is the chairman and CEO. The Company has been present in India

for about 20 years. Today, L‟Oreal India is a subsidiary of L‟Oreal which is

growing at a very fast rate. L‟Oreal Paris is one of the trademark brands of this

company. In 2013 L‟Oreal decided to invest Rs.970 crores in India. Moreover

in the same year L‟Oreal made its first acquisition in India - Cheryl‟s

Cosmeceuticals, thus entering the professional skincare segment. In 2013 the

company grew at a commendable rate of 70%.

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III. Maybelline

Mass-market makeup brand Maybelline was founded in 1915 by 19-

year-old entrepreneur named Tom Lyle Williams. Williams noticed his older

sister Mabel applying a mixture of Vaseline and coal dust to her eyelashes to

give them a darker, fuller look. He adapted the mixture with a chemistry set

and produced a product sold locally called lash-in-brow-line. Williams

renamed his eye beautifier Maybelline, in honour of his sister Mabel, who gave

him the idea. In 1996, Maybelline was acquired by L‟Oreal and adopted its

current advertising slogan, “Maybe she‟s born with it. Maybe it‟s Maybelline.”

Maybelline now has over 200 products and is available in 129 countries

worldwide.

IV. Himalaya

The Beginnings . . . making of an Indian multinational

The legacy of researching nature forms the foundation of Himalaya's

operations. Himalaya has pioneered the use of modern science to rediscover

and validate ayurveda's secrets. Cutting edge technology is employed to create

pharmaceutical-grade ayurvedic products. As a confirmation that Himalaya is

dedicated to providing the highest quality and consistency in herbal care, the

Company was awarded an ISO 9001:2000 certification in 2003.

Since its inception, the company has focused on developing safe, natural

and innovative remedies that will help people lead richer, healthier lives.

Today, Himalaya products have been endorsed by 400,000 doctors around the

globe and consumers in 90 countries rely on Himalaya for their health and

personal care needs.

29
 Starting off operations in Dehradun way back in the 1930s, the company

later spread its wings to Mumbai and across the country. In 1975, the company

set up an advanced manufacturing facility in Makali, Bengaluru, India. In 1991,

the company relocated its R&D facility to Bengaluru. Himalaya Global

Holdings Ltd. (HGH) is the global headquarters of all Himalaya subsidiaries.

V. Elle 18

The brand Elle 18 is owned by Hindustan Unilever Limited (HUL). It was

launched in 1998. Elle 18 is aimed at the youth as it has bright colours along

with neon shades in its products. The pricing of the products are also done

keeping in mind the youth.

3.2.2 BISCUITS

I. Parle Products Pvt. Ltd

Founded in 1929, Parle Products Pvt. Ltd ranks among the top biscuit

brands in India. The company has 7 manufacturing units of its own and 51

manufacturing units on contract. Accounting for about 30-35% of market share

in the biscuit industry this company is famous for brands like Parle – G,

Krackjack, Hide & Seek Milano, Hide and Seek, Magix and Monaco.Parle has

been one of the leading biscuit brands in India for the last 8 decades. Parle-G is

reputed to enjoy the most sales among all biscuit brands in the world. Its

biscuits offer a fantastic combination of quality, taste, and nutrition. Parle

biscuits are available even in faraway villages.

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 At present the company has a 40 percent share of the Indian market for

biscuits and is a multi-million dollar organization.

II. Britannia Industries Ltd

Based in Bangalore Britannia Industries Ltd is reputed as being one of

the top biscuit brands in India. The company was established way back in 1892

and till today has managed to maintain a distinctive position in the Indian

biscuit industry specially with its most popular brand called Tiger.

Britannia is presently one of the biggest brands in India and also the

leading food related brand. It is well known for its ground breaking approach

towards product manufacturing and marketing. Forbes Global has rated it as

one of the Top 200 Small Companies of the World and it is also the second

most trusted brand in India.

III. Horlicks

Horlicks Biscuits were introduced during 1992 and since then the brand

has witnessed increasing popularity. These are liked by both children and

parents. Every pack provides 100 percent calcium and the biscuits are available

in elaichi and standard flavors.

IV. Sunfeast

In July 2003, ITC made a foray into the biscuits market by launching the

Sunfeast range of biscuits. Since then, Sunfeast biscuits have always stood for

quality and are known for offering innovative and wholesome biscuits.

Sunfeast connotes happiness, contentment, satisfaction and pleasure. Within a

span of 12 years, Sunfeast has well-established presence in almost all

categories of biscuits.

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 V. Dukes

Dukes biscuits are marketed by Ravi Foods Private Limited. The

organization has set up many plants in Hyderabad that are at par with ISO 9001

requirements. Yet another plant is being set up at Rudrapur in Uttarakhand.

3.2.3 TEXTILES

I. Bombay dyeing

Bombay Dyeing is the second largest producer of textile in India. It is

the flagship company of the Wadia Group. The full names of the company is

“The Bombay Dyeing & Mfg. Co. Ltd”. It was established by Nowrosjee

Wadia in 1879.

Currently, Nusli Wadia is the chairman of Bombay dyeing. The

company is headquartered in Ballard Estate, Mumbai, India. The key products

of the company include: Towels, Bed linen and Furnishings. Apart from textile

manufacturing, the company is also involved in the manufacturing of

chemicals.

II. Raymond

Raymond is the 89 years old (as in 2014) Indian textile manufacturing

company established in 1925. It is headquartered in Thane, Mumbai,

Maharashtra, India. The chairman and managing director of the company is Mr.

Gautam Singhania. Raymond Industries is the largest producer of worsted

fabric in India.

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 The company is involved in 3 major segments: Textiles, Engineering

and Aviation. It is the largest woolen fabric and one of the largest textile

exporter of India, with exports to countries like Japan, Europe, Middle East,

US, Canada.

Apart from manufacturing, the company also makes ready made suiting

& shirting and sells it them under its various brands.

III. Otto

OTTO Textile Ltd was incorporated in1989 as a private ltd company.

The company was initially formed for processing and exporting of specially

knit garments with woven & sweaters. How ever subsequently, state of the art

plant and equipments were added for handling all kinds of knitted fabrics. Now

OTTO Textile Ltd is a leading manufacturer & exporters of all kinds garments.

OTTO Textile Ltd. Is a 100% export oriented.Composite knitting, dying,

finishing & garment manufacturing company.OTTO Spinning Mills Ltd is

sister concern of OTTO Textile Ltd. It is producing high quality yarn for

fabrics.

IV. Peter England

Peter England established in Ireland and in 1997 it was launched in

India by Madura Fashion & Lifestyle (then known as Madura Garments) in the

mid-price shirt segment in 1997, the company acquired the world rights for the

brand in the year 2000.

33
 Peter England is the largest menswear brand in India with over 5 million

garments sold every year] First launched by Madura Fashion & Lifestyle (then

known as Madura Garments) in the mid-price shirt segment in 1997, the

company acquired the world rights for the brand in the year 2000. Peter

England has 643 stores and over 1600 multi-brand outlets in more than 300

towns and also available at top online shopping sites

Peter England etched its beginnings in the latter half of the 19th century,

when the foundation for a five-storey building was laid in Londonderry,

Ireland, in the summer of 1885. By the turn of the century, the British war

ministry placed an order with Peter England to outfit the troops being sent to

fight in the Boer War. This marked a turning point in the history of the brand.

The order meant that the highest quality apparel had to be delivered at a

good price, a challenge that Peter England met with outstanding success.

Charged with the honourable duty of outfitting British troops for battle, Peter

England was born, donning the soldiers in the finest khaki. Since then, Peter

England's popularity has filled chapters of clothing history, by offering

excellent quality at honest-to-goodness prices. Today, Peter England is the

largest menswear brand in India with over 10 million garments in sales.

V. Lee

American jeanswear brand Lee has become India‟s most trusted

casualwear brand for the second year in a row ahead of Levi‟s. In a stark

contrast to the 2 per cent difference between the two brands last year, this year

Levi‟s trails 16 per cent behind Lee, according to The Brand Trust Report –

India Study 2016.

34
 The report has been compiled by TRA Research Pvt Ltd., India's

foremost data insights company, dedicated to understanding, simplifying and

researching aspects that makes the intangibles of brands more measurable.

For The Brand Trust Index (BTI), the Apparel Category, populated with

50 brands, was split into 14 categories. The largest of these categories is

Casualwear with 14 brands and since the first Brand Trust Report in 2011, Lee

and Levi‟s have taken turns at the first and second positions in this Category.

Lee Cooper is ranked third in the BTI at a massive 72 per cent behind

Levis. Pantaloons are fourth, ahead of fifth-placed Lacoste by 68 per cent.

3.2.4 FOOTWEAR

I. Bata

Bata India is the largest retailer and leading manufacturer of footwear in

India and is a part of the Bata Shoe Organization. Incorporated as Bata Shoe

Company Private Limited in 1931, the company was set up initially as a small

operation in Konnagar (near Calcutta) in 1932. The Company went public in

1973 when it changed its name to Bata India Limited. Today, Bata India has

established itself as India‟s largest footwear retailer. Its retail network of over

1200 stores present in good locations.Bata‟s smart looking new stores

supported by a range of better quality products are aimed at offering a superior

shopping experience to its customers.

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 II. Khadim’s

A name now synonymous with the shoes that India walks in, Khadim‟s

made giant strides into the world of footwear in the year 1965 when Mr. Satya

Prasad Roy Burman took over a small shop in Chitpur and turned it to a major

brand. With its foray in footwear retailing in 1993 Khadim‟s has scripted one

of the biggest success stories in the footwear industry. Khadim‟s is the 2nd

largest footwear retailer in India in term of organized footwear retailing. It has

more than 625 exclusive retail outlets across the country. And by far, the

leading shoe retailer in the East. In the era of globalization Khadim‟s loves to

face challenge, keeps on revising its own capability upwardly and has a passion

for excellence.

III. Liberty

Liberty Shoes has been fashioning footwear, for well over 50 years now,

for the style- conscious people around the globe. Currently with an annual

turnover exceeding U.S. $150 million, Liberty Shoes figure amongst the top 5

manufacturers of leather footwear of the world producing more than 50,000

pairs a day using a capacity of more than 3 lacs square feet of leather per

month. Liberty dresses up the feet of the fashion-driven and quality-seeking

customers in more than 25 countries, which includes major international

fashion destinations like France, Italy and Germany, with a worldwide

distribution network of 150 distributors, 350 exclusive showrooms and more

than 6000 multi-brand outlets.

36
IV. VKC

VKC Group is a manufacture and marketing of Footwear Company,

based in the Kozhikode district of Kerala state, in India.

It is considered to be one of the biggest in the organised footwear

sectors. It is also the largest branded PU footwear manufacturers in

India.V.K.C Mammed Koya is the founder of VKC Group. The Group was

established on 17 August 1984 with venturing into a Hawai Sheet

manufacturing unit. Later on Hawai straps were also inducted to the production

line and in 1986, VKC group launched the first product with its own brand

name VKC Hawai in the market with an initial production of 600 pairs per day.

By 1989 the production increased to 5000 pairs a day and by 1996 it was

increased to 17000 pairs.

In 1987, the group initiated the floating of the first RPVC (Rigid

Polyvinyl Chloride) footwear manufacturing unit in the Kozhikode, Kerala.

This product also got very good acceptance in the market. This has paved the

way for a rapid change in the footwear industry itself. Within a few years the

number of Rubber and RPVC units grew to more than 80 numbers in this

region.

In 1994 the group ventured the first unit in Kerala to manufacture

footwear from virgin PVC. This resulted in a drastic change and the

multinational brands confronted competitions from the local brands. In 1998

the group ventured into the first Micro Cellular PVC footwear in Kerala with

the help of imported plant and machinery. "Quality at affordable price" made

the VKC groups products popular in the market day by day.

37
 In 2001 the group introduced the first Air Injected PVC DIP footwear

manufacturing unit in the South India. In 2003 the group missioned the first

Injected EVA manufacturing unit in South –Central India. In 2006 the group

started backward integration to produce EVA compound for Injection and

initiated the first EVA compounding plant in the South –Central India.

In 2007, the group initiated the Manufacturing of PU DIP footwear at

affordable price for common man. The production capacity also shoots up to

two lakhs of PU footwear per day.

The company had achieved a prominent position in the footwear market

of India. The main markets which are being focused by the company are South

& South-Central part of India & Expanding to the rest part of India. Apart from

India, the Group have its market in more than 15 countries including GCC

Countries, Singapore & Malaysia.

V. Paragon

Paragon Polymer Products Pvt Ltd is an Indian based company which

carries on business of manufacturing, buying, selling, importing, exporting,

processing, supplying, developing and dealing in all kinds of footwear,

components and accessories such as hawai sheets, V- straps, M.C.sheets,

bunwar, rubber moulded goods, linings, V- belts, oil seals, bushes, door mats,

car mats, injection moulded goods, elastic threads, rubber latex products made

of any materials including natural rubber, rubber latex, synthetic…

38
 Paragon Footwear is one of the well-known shoe manufacturing

companies in Nepal. We are manufacturing different kinds of quality shoes

specialized for men, such as formal, casual, school and college shoes.

Our stylish and comfortable items are offered at reasonable prices. We

always use 100% genuine leather and other high-quality raw materials to

ensure excellent craftsmanship. We offer a six-month warranty for every pair

of shoes for your added assurance

3.2.5 PAPER PRODUCTS

I. TNPL

The Tamil Nadu Newsprint and Papers Limited (TNPL) was established

by the Government of Tamil Nadu to produce newsprint and writing paper

using bagasse, a sugarcane residue. The Government of Tamil Nadu listed the

paper mill in April 1979 as one of the most environmentally compliant paper

mills in the world under the provisions of the Companies Act of 1956. The

factory is situated at Kagithapuram 11.0488°N 77.9977°E in the Karur District

of Tamil Nadu. The registered office of the company is located in Guindy,

Chennai.

Tamil Nadu Newsprint and Papers Limited (TNPL) is engaged in the

business of printing and writing paper. The Company's segments include paper,

energy and cement. It also produces newsprints. The Company's products

include Print Vista, TNPL Elegant Maplitho, Hi-Tech Maplitho, TNPL

Pigment Paper, Radiant Printing, TNPL Offset Printing, Creamwove, Copy

39
Crown, TNPL Copier, Students' Favourites, Super Print Maplitho, Hardbound

Notebook, Perfect Copier and Ace Marvel. It caters to the requirements of

multifunctional printing processes, such as sheet-fed, web offset, and digital

printers. It manufactures printing and writing papers in substances ranging

from 50 grams per square meter (GSM) to 110 GSM. The Company has a

Multilayer Double Coated Board Plant with an annual capacity of

approximately 600,000 metric tons (MT) per annum, as a green field project in

Mondipatti village, Manaparai taluk, Trichy District. The Company also

exports its products to over 50 countries.

II. Classmate

Classmate is an Indian brand of student stationery products. ITC

Limited (formerly Indian Tobacco Company) launched its Classmate brand in

2003 with the notebooks category. Subsequently, the Company added new

products to its portfolio, including pens, pencils, mechanical pencils and

geometry boxes. Classmate has 900 distributors who make the products

available in over 70,000 outlets in India.

Launched in 2003, with an array of student notebooks, Classmate

currently is India's No.1 Notebook Brand and offering a comprehensive

stationery portfolio with writing instruments (ball, gel & roller pens and wood-

cased & mechanical pencils), mathematical instruments (geometry boxes and

compass kits), scholastic products (erasers, sharpeners and rulers) and art

stationery products (wax crayons, plastic crayons, sketch pens and oil pastels).

40
 Classmate stands for identifying and celebrating the uniqueness of every

child. The brand encourages each user to nurture the skills and interests that

make them special, with confidence, to make their dreams, reality.

The Classmate philosophy is simple: Everyone is born unique.

Classmate stands for the celebration of this uniqueness within every individual

to ensure that the seed of originality does not get lost. Classmate encourages its

users to nurture their true talent, follow their true calling and become whatever

they truly want to be.

Classmate aids in this by offering high quality products that are

affordable. After all, in the right hands, a pen can be much more than a pen,

and a notebook can be a window to the world. As a partner and friend to

children during their most important years, Classmate attempts to create an

environment for them to learn and grow in, as they write their own futures,

encouraging them to, 'Likho Apna Kal!

III. Faber castell

Faber-Castell is one of the world's largest and oldest manufacturers of

pens, pencils, other office supplies (e.g., staplers, slide rules, erasers, rulers)

and art supplies, as well as high-end writing instruments and luxury leather

goods. Headquartered in Stein, Germany, it operates 14 factories and 20 sales

units throughout the globe. The Faber-Castell Group employs a staff of

approximately 7,000 and does business in more than 100 countries. The House

of Faber-Castell is the family which founded and continues to exercise

leadership within the corporation.

41
IV. JK

JK Paper Limited is a paper manufacturing company. The Company's

products/services include Paper and Paper board. The Company offers products

under various categories, including coated paper and board, uncoated paper and

board, packaging broad and office documentation. Its office documentation

products include JK Copier Plus, JK Copier, JK Easy Copier, JK CMax, JK

Cedar, JK Excel Bond, JK Bond and JK Ledger. Its uncoated paper and board

products include JK SS Maplitho (SHB), JK MICR Cheque paper and JK SS

pulpboard. Its coated paper and board products include JK Cote (Matt/Gloss),

JK Superkote/JK Cote Premium and JK Cote Chromo (Matt/Gloss). Its

packaging boards include JK Ultima, JK TuffCote, JK TuffPac, JK Endura, JK

Club Card and JK IV Board. Its office documentation papers include

photocopy and multi-purpose papers for use in desktop, inkjet and laser

printers, fax machines, photocopiers and other devices. Its manufacturing units

include JK Paper Mills and Central Pulp Mills.

V. Camlin

Camlin presents to you High Quality Notebooks!! Camlin Notebooks

come with some of the Vibrant & Choicest Cover Designs! These are High

Quality Notebooks with Brighter & Smoother pages! Camlin Notebooks are

available in 11 types of rulings. Keeping you in mind, we have also introduced

some exciting & innovative features for the 1st time in India. Some of the

landmark features include: Preview of the notebook ruling on the cover page

42
 Margin line no‟s on all pages (5, 10, 15 etc.) Marking on top & bottom

of the page for straight linesSo go ahead – buy it from a store near you or

online!!

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 CHAPTER – IV

DATA ANALYSIS AND INTERPRETATION

This chapter dealt with the detailed analysis of the data collected for the

purpose of study. The primary data collected from the consumers are analyzed

by using Statistical Package for Social Science (SPSS) to obtain the results

concerning the objectives of the study. Apart from the frequency distribution

on demographics, Factor analysis, One Way Analysis of Variance, Multiple

Regression and Chi-square Analysis are applied for analyzing the responses of

non-durable goods consumers of in Vellore city.

4.1 DEMOGRAPHIC PROFILE OF THE RESPONDENTS

Demographic characteristics are vital in any marketing research for the

segmentation purpose. Demographics describe a population in terms of its size,

distribution, and structure. Demographics influence consumption behaviours

both directly and by affecting other attributes of individuals, such as their

personal values and decision styles. This segmentation is useful for the

marketers and the manufacturers to produce the required products and also to

alter its appearance, colour and characteristic features.

4.1.1 Gender of the respondents

Gender is one of the most important factors that determine the level

perception of male and female respondents.

44
 Table 4.1

Gender of the respondents

Gender Frequency Percent Cumulative Percent

Male 82 41.0 41.0

Female 118 59.0 100.0

Total 200 100.0

Source: Primary Data

It is found from the table 4.1 that 41.0% of the respondents are male and

59.0% of them are female. Thus, the majority of the respondents are female in

the study area.

4.1.2 Age of the respondents

Age of the consumers certainly influences purchase decisions.

Consumers are categorized into three age-groups. Consumers of 25 years and

below, 26-30 years, and 30 years and above.This analysis explains which age

group consumers are using the non-durable goods.

Table 4.2

Age of the respondents

Age Frequency Percent Cumulative Percent

Below 25 78 39.0 39.0
26-30 84 42.0 81.0
Above 30 38 19.0 100.0
Total 200 100.0
Source: Primary Data

45
 Age wise representation shows that more number of consumer belong to

the age group of 26 to 30 (42.0 percent) followed by the age group below 25

(39 percent). So, in total 81.0 percent of the non-durable goods are purchased

by the age group of 30 years and below. Middle age consumers come next in

non-durable goods purchaser. The persons above 30 years of age, are also

purchased non-durable goods but their percentage is less. They constitute 19

percent of the total consumer in the survey.

4.1.3 Marital status of the respondents

The consumption pattern and behaviour of thenon-durable goods

normally vary with the marital status.

Table 4.3

Marital status of the respondents

Marital Status Frequency Percent Cumulative Percent

Married 114 57.0 57.0

Unmarried 86 43.0 100.0
Total 200 100.0
Source: Primary Data

From the table 4.3, it is found that 57.0% of the respondents are married

and the remaining 43.0% of them are unmarried. Thus, majority of the

respondents are married in the study area.

46
4.1.4 Educational qualification of the respondents

Educational qualification of the consumers is also analyzed. Educational

qualification is categorized into 5-categories namely those who have only

school education, Graduate, Post Graduate, Professional, and Diploma Holders.

The analysis is shown in table 4.4.

Table 4.4

Educational Qualification of the respondents

Educational Cumulative
Frequency Percent
Qualification Percent
School Level 12 6.0 6.0
Graduate 66 33.0 39.0
Post-graduate 54 27.0 66.0

Professional 44 22.0 88.0

Diploma 24 12.0 100.0
Total 200 100.0
Source: Primary Data

Educational qualification of the respondents influences the perception

and attitude towards the products to be selected. It is very well understood from

the table 4.4 that 33.0% + 27.0% of the respondents are graduates and post-

graduates.Where 22.0% and 24.0% of the respondents are professional and

diploma.So the consumers are well educated and they have sufficient

knowledge on the quality, price and media. It is this factor, which assumes that,

the consumers are matured enough to comment and answer on the customer

behaviour and other variables which are related to products.

47
4.1.5 Occupational Status of the respondents

The profession of the respondents is taken as one of the important

demographic factors. Occupation plays important role in determining consumer

attitudes and behavioural aspects of the products.

Table 4.5

Occupational status of the respondents

Cumulative
Occupational Status Frequency Percent
Percent
Govt. Employee 26 13.0 13.0
Pvt.Employee 68 34.0 47.0
Self Employed 40 20.0 67.0
Housewife 46 23.0 90.0
Others 20 10.0 100.0
Total 200 100.0
Source: Primary Data

It is clear from table 4.5 that 34.0% of the respondents are working in

private sector, 13.0% of them are in Government sector, 20.0% of the

categories are self-employed, 23.0% are Housewives and 20% others. Thus,

majority of the respondents are working in the private sector.

4.1.6 Family Type of the respondents

The consumption pattern and behaviour of the non-durable goods

normally vary with the family type. Details of the types of family in which the

respondents belong is shown in table 4.6.

48
 Table 4.6

Family Type of the respondents

Family Type Frequency Percent Cumulative Percent

Joint 96 48.0 48.0

Nuclear 104 52.0 100.0

Total 200 100.0

Source: Primary Data

Table 4.6 represents that 52 percent of respondents belong to nuclear

family and the rest from joint family. Therefore, this research tells the fact that

there is no much considerable difference between consumers, belong to joint

family and consumers belong to nuclear family. This is because non-durable

goods are required by everyone else irrespective of the fact whether he/she

belong to joint family or nuclear family.

4.1.7 Family Size of the respondents

The size of the family plays a vital role in determining the quantity of

purchase and compromise on the quality of the product bought. Family

members constitute the most influential primary reference group. Marketers are

interested in the roles and relative influence of the husband, wife and children

in the purchase of large variety of products and services. For the purpose of this

study, family size of the respondents is divided into four group‟s viz., “family

with members up to three”, “four to six member‟s family” “seven to nine

member‟s family” and “nine and above member‟s family”.

49
 The consumption pattern and behaviour of the non-durable goods are

associated to one more factor called family size. Details of the family size of in

which the respondents belong are shown in table 4.7.

Table 4.7

Family Size of the respondents

Family Cumulative
Frequency Percent
Size Percent
Below 3 40 20.0 20.0
4-6 98 49.0 69.0
7-9 52 26.0 95.0
Above 9 10 5.0 100.0
Total 200 100.0
Source: Primary Data

Table 4.7 shows the size of family in the study area, majority of them

have fourto six members in their family and represent a potential decision

makers for purchase.

4.1.8 Monthly Income of the respondents

In the consumption of non-durable goods definitely the monthly income

levels of consumers play a major role in their purchase decisions. Thus, income

is generally more effective as a segmentation variable when used in

conjunction with other demographic variables. The disposable income is

indispensable in deciding over the issues relating to brand to be purchased,

quality of the goods considered and frequency of purchase of particular

product. The consumers are divided into six income groups i.e., consumers
50
who earn up to Rs.25,000, Rs.25,001-35,000, Rs.35,001-45,000, Rs.45,001-

55,000, Rs.55,001-65,000 and Rs. 65,000 and above, here income represents

net income. The frequency distribution is as follows.

Table 4.8

Monthly Income of the respondents

Monthly Cumulative
Frequency Percent
Income Percent
Below 25000 70 35.0 35.0
25001-35000 32 16.0 51.0
35001-45000 26 13.0 64.0
45001-55000 24 12.0 76.0
55001-65000 18 9.0 85.0
Above 65000 30 15.0 100.0
Total 200 100.0
Source: Primary Data

Table 4.8 reveals that 35 percent of respondents in this study area come

under the category of income Rs.25,000 and below. Next comes the income

group Rs.25,001-35000 16 percent, Rs.35,001 – Rs.45,000 constitute 13

percent, Rs.45,001 – Rs.55,000 constitute 12 percent, Rs.55001– 65000

constitute 9 percent and the income group above Rs.65,000 constitute 15

percent. So, it can be concluded that the consumers of all income groups use

non-durable goods.

51
4.2 FACTOR ANALYSIS

The assignment of numerical values in Likert five point scales for each

variable creates co-variances and the variables in the same domain. These co-

variances and co-efficient of correlation are useful statistical parameters to

group likely variables to form an innovative factor. This mechanism is

achieved through a statistical tool called Factor Analysis by Principal

Component Method. It reduces the numerous variables into major factors; each

factor comprises likely variables with nearest co-variance and correlation

value.

4.2.1 Brand Loyalty

The main purpose of this exploratory factor analysis is to extract

predominant factors influencing the performance of consumer behaviour in

Vellore city.

Table 4.9

KMO and Bartlett's Test

Kaiser-Meyer-Olkin Measure of Sampling Adequacy. .534

Approx. Chi-Square 253.103

Bartlett's Test of
df 36
Sphericity
Sig. .000

It is found from table 4.9 that KMO and Bartlett‟s Test sampling

adequacy value as 0.534 and the Chi-Square value for Bartlett‟s Test of

sphericity 253.103 which are statistically significant at 5% level. This means

that the 9 variables relating to brand loyalty which is presented in the

Communality table 4.10

52
 Table 4.10

Communalities

Initial Extraction

Brand has good reputation 1.000 .714

Quality wise the brand is very good 1.000 .886

Brand marketed is very impressive 1.000 .663

Stick to the same brand 1.000 .644

Adjust with the shortcomings of the brand 1.000 .761

Do not tolerate the non-availability of the brand 1.000 .754

Enjoy using this brand 1.000 .463

Appreciate those who use the same brand 1.000 .826

Share views of the brand with others 1.000 .889

Extraction Method: Principal Component Analysis.

From table 4.10, it is found that the variance of the 9 variables of brand

loyalty ranges from 0.463 to 0.889. Therefore this varies from 46% to 89%.

The upper limit of the variance is statistically significant and as the implication

of properly segregated predominant factors as expressed in table 4.11.

53
 Table 4.11

Total Variance Explained

Rotation Sums of Squared

Initial Eigenvalues
Loadings
Component
% of Cumulative % of Cumulative
Total Total
Variance % Variance %
1 1.985 22.056 22.056 1.819 20.209 20.209

2 1.422 15.804 37.860 1.324 14.716 34.924

3 1.112 12.351 50.211 1.189 13.211 48.135

4 1.065 11.833 62.044 1.148 12.761 60.896

5 1.017 11.297 73.341 1.120 12.445 73.341

6 .845 9.394 82.735

7 .730 8.115 90.849

8 .610 6.777 97.626

9 .214 2.374 100.000

From table 4.11, it is found that the 9 variables are reduced into 5 major

factors with Eigen values 1.819, 1.324, 1.189, 1.148 and 1.120arestatistically

significant. The 4 major factors also possess significant individual values

20.209, 14.716, 13.211, 12.761 and 12.445with total cumulative variance

73.341. This clearly indicates the very existence of 5 major factors with their

respective variable loadings and are presented in table 4.12.

54
 Table 4.12

Rotated Component Matrixa

Component

1 2 3 4 5

Share views of the brand with others .942

Quality wise the brand is very good .936

Stick to the same brand .795

Enjoy using this brand .604

Brand marketed is very impressive .552

Appreciate those who use the same brand .884

Adjust with the shortcomings of the brand .854

Brand has good reputation .579

Do not tolerate the non-availability of the brand .836

Extraction Method: Principal Component Analysis.Rotation Method: Varimax with Kaiser

Normalization. a. Rotation converged in 6 iterations.

From table 4.12, it is clear that there are five factors to be considered for

the brand loyalty.

The first factor consists of 2 variables.

a. Share views of the brand with others (.942)

b. Quality wise the brand is very good(.936)

Hence, the first factor is named as “Quality recognition”.

55
The second factor consists of 3 variables.

a. Stick to the same brand(.795)

b. Enjoy using this brand(.604)

c. Brand marketed is very impressive (.522)

Hence, the second factor is named as “Convenient Brand”.

The third factor consists of one variable.

a. Appreciate those who use the same brand (.884)

Hence, the third factor is named as “Brand appreciation”.

The fourth factor consists of two variables.

a. Adjust with the shortcomings of the brand (.854)

b. Brand has good reputation (.579)

Hence, the fourth factor is named as “Reputation”.

The fifth factor consists of one variable.

a. Do not tolerate the non-availability of the brand (.836)

Hence, the fifthfactor is named as “Non-availability”.

HYPOTHESIS TESTING 1:

H01 = There is no relationship between brand loyalty of the consumer.

The application of factor analysis on the nine variables of brand loyalty

indicated fivefactors with total variance of 73.341%. It indicates that the

hypothesis is rejected at 5% level and concluded that the factors brand loyalty

of the consumer differ significantly.

56
4.2.2 Factors Influencing the Consumer Behaviour

The main purpose of this exploratory factor analysis is to extract

predominant factors influencing the consumer behaviour in Vellore city. The

parsimonious scale consists of five items pertaining to the factors influencing

the consumer behaviour. The application of Principal Component Factor

Analysis is presented in table 4.13

Table 4.13

KMO and Bartlett's Test

Kaiser-Meyer-Olkin Measure of Sampling Adequacy. .513

Approx. Chi-Square 146.718

Bartlett's Test of
df 66
Sphericity
Sig. .000

It is found from table 4.13 that KMO and Bartlett‟s Test sampling

adequacy value as 0.513 and the Chi-Square value for Bartlett‟s Test of

sphericity 146.718 which are statistically significant at 5% level. This means

that the 12 variables relating to the factors influencing the consumer behaviour

are adequate in demonstrating its concept and the sampling distribution is also

normal to explain the factors influencing the consumer behaviour which is

presented in the Communality table 4.14.

57
 Table 4.14

Communalities

Initial Extraction

Price 1.000 .562

Taste 1.000 .513

Package 1.000 .573

Color 1.000 .593

Smell 1.000 .632

Availability 1.000 .680

Quality 1.000 .659

Quantity 1.000 .551

Shopkeepers 1.000 .318

Habitual 1.000 .434

Personal Linking 1.000 .598

Family Linking 1.000 .694

Extraction Method: Principal Component Analysis.

From table 4.14, it is found that the variance of the 12 variables of

influencing factors ranges from 0.318 to 0.694. Therefore this varies from 32%

to 69%. The upper limit of the variance is statistically significant and as the

implication of properly segregated predominant factors as expressed in table

4.15.

58
 Table 4.15

Total Variance Explained

Rotation Sums of Squared

Initial Eigenvalues
Co Loadings
mponent % of Cumulative % of Cumulative
Total Total
Variance % Variance %
1 1.628 13.566 13.566 1.427 11.895 11.895

2 1.576 13.134 26.700 1.413 11.772 23.667

3 1.340 11.169 37.869 1.413 11.772 35.439

4 1.169 9.739 47.608 1.327 11.060 46.498

5 1.094 9.116 56.724 1.227 10.225 56.724

6 .954 7.949 64.673

7 .893 7.440 72.113

8 .845 7.038 79.151

9 .701 5.842 84.994

10 .664 5.536 90.530

11 .631 5.258 95.788

12 .505 4.212 100.000

From table 4.15, it is found that the 12 variables are reduced into 5

major factors with Eigen values 1.427, 1.413, 1.413, 1.327 and 1.227 are

statistically significant. The 5 major factors also possess significant individual

values 11.895, 11.772, 11.772, 11.060 and 10.225 with total cumulative

variance 56.724. This clearly indicates the very existence of 5 major factors

with their respective variable loadings and are presented in table 4.16.

59
 Table 4.16

Rotated Component Matrixa

Component

1 2 3 4 5

Smell -.692

Taste .674

Family Linking -.808

Color .596

Quality .801

Quantity -.525

Personal Linking .705

Habitual .526

Shopkeepers .464

Price .455

Availability .776

Package .558

Extraction Method: Principal Component Analysis.

Rotation Method: Varimax with Kaiser Normalization.
a. Rotation converged in 12 iterations.

From table 4.35, it is clear that there are five factors that are influencing

the consumer behaviour. The first factor consists of 2 variables.

a. Smell (-.692)

b. Taste (.596)

Therefore this first factor is named as “Fragrances”.

60
The second factor consists of 2 variables

a. Family Linking(-.808)

b. Color(.596)

Therefore this factor is named as “Color”.

The third factor consists of two variables namely

a. Quality(.801)

b. Quantity(-.525)

Therefore this third factor is named as “Quality”.

The fourth factor consists of four variables

a. Personal Linking(.705)

b. Habitual(.526)

c. Shopkeepers(.464)

d. Price(.455)

Therefore this factor is named as “Price”.

The fifth factor consists of twovariables.

a. Availability (.776)

b. Package (.558)

Therefore this fifth factor is named as “Package”.

61
HYPOTHESIS TESTING 2:

H02 = There is no association between influencing factor and consumer

behaviour.

The application of factor analysis on the twelve variables of the factors

influencing the consumer behaviour indicated five factors with total variance of

56.724%. It indicates that the hypothesis is rejected at 5% level and concluded

that the influencing factors and purchase behaviour of the consumer differs

significantly.

4.3.1 Association between Age and Cosmetics

Chi-square Analysis is applied to find out the intensified association

between demographic segmentation and various independent variables. Table

4.17 to 4.32 constructed to found the association between these variables.

Table 4.17

Chi-Square Tests (Age and Cosmetics)

Asymp. Sig. (2-

Value df
sided)
Pearson Chi-Square 28.344a 8 .000

Likelihood Ratio 29.377 8 .000

Linear-by-Linear Association 1.141 1 .285

N of Valid Cases 200

a. 2 cells (13.3%) have expected count less than 5.The minimum expected count is 3.80.

From table 4.17 it is found that chi-square=28.344, p=.000 concluded

that there is an association between age and cosmetics.

62
4.3.2 Association between Age and Biscuits

Table 4.18

Chi-Square Tests (Age and Biscuits)

Asymp. Sig.
Value df
(2-sided)
Pearson Chi-Square 32.775a 8 .000
Likelihood Ratio 33.188 8 .000
Linear-by-Linear Association 5.769 1 .016
N of Valid Cases 200
a. 2 cells (13.3%) have expected count less than 5. The minimum expected count is 2.28.

From table 4.18 it is found that chi-square=32.775, p=.000 concluded

that there is an association between age and biscuits.

4.3.3 Association between Age and Textiles

Table 4.19

Chi-Square Tests (Age and Textiles)

Asymp. Sig.
Value df
(2-sided)
Pearson Chi-Square 6.593a 8 .581
Likelihood Ratio 6.915 8 .546
Linear-by-Linear Association .069 1 .793
N of Valid Cases 200
a. 0 cells (0.0%) have expected count less than 5. The minimum expected count is 5.70.

From table 4.19 it is found that chi-square=6.593, p=.581 concluded that

there is no association between age and textiles.

63
4.3.4 Association between Age and Footwear

Table 4.20

Chi-Square Tests (Age and Footwear)

Asymp. Sig.
Value df
(2-sided)
Pearson Chi-Square 10.937a 8 .205
Likelihood Ratio 11.378 8 .181
Linear-by-Linear Association .966 1 .326
N of Valid Cases 200
a. 0 cells (0.0%) have expected count less than 5. The minimum expected count is 5 .32.

From table 4.20 it is found that chi-square=10.937, p=.205 concluded

that there is noassociation between age and footwear.

4.3.5 Association between Age and Paper products

Table 4.21

Chi-Square Tests (Age and Paper products)

Asymp. Sig.
Value df
(2-sided)
Pearson Chi-Square 22.963a 8 .003
Likelihood Ratio 24.607 8 .002
Linear-by-Linear Association .325 1 .569
N of Valid Cases 200
a. 1 cells(6.7%) have expected count less than 5. The minimum expected count is 4.18.

From table 4.21 it is found that chi-square=22.963, p=.003 concluded

that there is an association between age and paper products.

64
4.4.1 Association between Educational qualification and Price

Table 4.22

Chi-Square Tests (Educational qualification and Price)

Asymp. Sig.
Value df
(2-sided)
Pearson Chi-Square 28.645a 16 .026
Likelihood Ratio 31.008 16 .013
Linear-by-Linear Association .407 1 .523
N of Valid Cases 200
a. 12 cells (48.0%) have expected count less than 5. The minimum expected count is .72.

From table 4.22 it is found that chi-square=28.645, p=.026 concluded

that there is an association between educational qualification and price.

4.4.2 Association between Educational qualification and Taste

Table 4.23

Chi-Square Tests (Educational qualification and Taste)

Asymp. Sig.
Value df
(2-sided)
Pearson Chi-Square 25.293a 16 .065
Likelihood Ratio 30.735 16 .015
Linear-by-Linear Association 2.900 1 .089
N of Valid Cases 200
a. 11 cells (44.0%) have expected count less than 5. The minimum expected count is .60.

From table 4.23 it is found that chi-square=25.293, p=.065 concluded

that there isnoassociation between educational qualification and taste.

65
4.4.3 Association between Educational qualification and Package

Table 4.24

Chi-Square Tests (Educational qualification and Package)

Asymp. Sig.
Value df
(2-sided)
Pearson Chi-Square 18.227a 12 .109
Likelihood Ratio 22.362 12 .034
Linear-by-Linear Association 3.756 1 .053
N of Valid Cases 200
a. 7 cells (35.0%) have expected count less than 5. The minimum expected count is .24.

From table 4.24 it is found that chi-square=18.227, p=.109 concluded

that there is noassociation between educational qualification and package.

4.4.4 Association between Educational qualification and Color

Table 4.25

Chi-Square Tests (Educational qualification and Color)

Asymp. Sig.
Value df
(2-sided)
Pearson Chi-Square 49.975a 16 .000
Likelihood Ratio 55.372 16 .000
Linear-by-Linear Association 7.718 1 .005
N of Valid Cases 200
a. 12 cells (48.0%) have expected count less than 5. The minimum expected count is .48.

From table 4.25 it is found that chi-square=49.975, p=.000 concluded

that there is an association between educational qualification and color.

66
4.4.5 Association between Educational qualification and Smell

Table 4.26

Chi-Square Tests (Educational qualification and Smell)

Asymp. Sig.
Value df
(2-sided)
Pearson Chi-Square 26.047a 16 .053
Likelihood Ratio 29.032 16 .024
Linear-by-Linear Association .003 1 .957
N of Valid Cases 200
a. 10 cells (40.0%) have expected count less than 5. The minimum expected count is .36.

From table 4.26 it is found that chi-square=26.047, p=.053 concluded

that there is noassociation between educational qualification and smell.

4.4.6 Association between Educational qualification and Availability

Table 4.27

Chi-Square Tests (Educational qualification and Availability)

Asymp. Sig.
Value df
(2-sided)

Pearson Chi-Square 32.978a 16 .007

Likelihood Ratio 39.570 16 .001
Linear-by-Linear Association .518 1 .472
N of Valid Cases 200
a. 14 cells (56.0%) have expected count less than 5. The minimum expected count is .36.

From table 4.27 it is found that chi-square=32.978, p=.007 concluded

that there is an association between educational qualification and availability.

67
4.4.7 Association between Educational qualification and Quality

Table 4.28

Chi-Square Tests (Educational qualification and Quality)

Asymp. Sig.
Value df
(2-sided)

Pearson Chi-Square 45.813a 16 .000

Likelihood Ratio 54.262 16 .000
Linear-by-Linear Association 11.340 1 .001
N of Valid Cases 200
a. 10 cells (40.0%) have expected count less than 5. The minimum expected count is .36.

From table 4.28 it is found that chi-square=45.813, p=.000 concluded

that there is an association between educational qualification and quality.

4.4.8 Association between Educational qualification and Quantity

Table 4.29

Chi-Square Tests (Educational qualification and Quantity)

Asymp. Sig.
Value df
(2-sided)
Pearson Chi-Square 65.497a 16 .000
Likelihood Ratio 61.522 16 .000
Linear-by-Linear Association .094 1 .759
N of Valid Cases 200
a. 11 cells (44.0%) have expected count less than 5. The minimum expected count is .60.

From table 4.29 it is found that chi-square=65.497, p=.000 concluded

that there is an association between educational qualification and quantity.

68
4.4.9 Association between Educational qualification and Shopkeepers

Table 4.30

Chi-Square Tests (Educational qualification and Shopkeepers)

Asymp. Sig.
Value df
(2-sided)
Pearson Chi-Square 47.871a 12 .000
Likelihood Ratio 48.655 12 .000
Linear-by-Linear Association 1.160 1 .281
N of Valid Cases 200
a. 6 cells (30.0%) have expected count less than 5. The minimum expected count is 2.04.

From table 4.30 it is found that chi-square=47.871, p=.000 concluded

that there is an association between educational qualification and shopkeepers.

4.4.10 Association between Educational qualification and Habitual

Table 4.31

Chi-Square Tests (Educational qualification and Habitual)

Asymp. Sig.
Value df
(2-sided)

Pearson Chi-Square 27.757a 16 .034

Likelihood Ratio 29.913 16 .018
Linear-by-Linear Association .002 1 .963
N of Valid Cases 200
a. 11 cells (44.0%) have expected count less than 5. The minimum expected count is .36.

From table 4.31 it is found that chi-square=27.757, p=.034 concluded

that there is an association between educational qualification and habitual.

69
4.4.11 Association between Educational qualification and Personal Linking

Table 4.32

Chi-Square Tests (Educational qualification and Personal Linking)

Asymp. Sig.
Value df
(2-sided)
Pearson Chi-Square 39.484a 16 .001
Likelihood Ratio 44.526 16 .000
Linear-by-Linear Association .607 1 .436
N of Valid Cases 200
a. 11 cells (44.0%) have expected count less than 5. The minimum expected count is .12.

From table 4.32 it is found that chi-square=39.484, p=.001 concluded

that there is an association between educational qualification and personal

linking.

4.4.12 Association between Educational qualification and Family Linking

Table 4.33

Chi-Square Tests (Educational qualification and Family Linking)

Asymp. Sig.
Value df
(2-sided)
Pearson Chi-Square 27.865a 16 .033
Likelihood Ratio 33.490 16 .006
Linear-by-Linear Association .132 1 .716
N of Valid Cases 200
a. 10 cells (40.0%) have expected count less than 5. The minimum expected count is .60.

From table 4.33 it is found that chi-square=27.865, p=.033 concluded

that there is an association between educational qualification and family

linking.

70
 CHAPTER – V

FINDINGS, SUGGESTIONS AND CONCLUSION

5.1 FINDINGS

 It is found that 41.0% of the respondents are male and 59.0% of them

are female. Thus, the majority of the respondents are female

in the study area.

 It is found that more number of consumer belong to the age group of 26

to 30 (42.0 percent) followed by the age group below 25 (39 percent).

So, in total 81.0 percent of the non-durable goods are purchased by the

age group of 30 years and below. Middle age consumers come next in

non-durable goods purchaser. The persons above 30 years of age, are

also purchased non-durable goods but their percentage is less. They

constitute 19 percent of the total consumer in the survey.

 It is found that 57.0% of the respondents are married and the remaining

43.0% of them are unmarried. Thus, majority of the respondents are

married in the study area.

 It is found that 33.0% + 27.0% of the respondents are graduates and

post-graduates. Where 22.0% and 24.0% of the respondents are

professional and diploma. So the consumers are well educated and they

have sufficient knowledge on the quality, price and media. It is this

factor, which assumes that, the consumers are matured enough to

comment and answer on the customer behaviour and other variables

which are related to products.

71
 It is found that 34.0% of the respondents are working in private sector,

13.0% of them are in Government sector, 20.0% of the categories are

self-employed, 23.0% are Housewives and 20% others. Thus, majority

of the respondents are working in the private sector.

 It is found that 52 percent of respondents belong to nuclear family and

the rest from joint family. Therefore, this research tells the fact that there

is no much considerable difference between consumers, belong to joint

family and consumers belong to nuclear family. This is because non-

durable goods are required by everyone else irrespective of the fact

whether he/she belong to joint family or nuclear family.It is found that

majority of them have fourto six members in their family and represent a

potential decision makers for purchase.

 It is found that 35 percent of respondents in this study area come under

the category of income Rs.25,000 and below. Next comes the income

group Rs.25,001-35000 16 percent, Rs.35,001 – Rs.45,000 constitute 13

percent, Rs.45,001 – Rs.55,000 constitute 12 percent, Rs.55001– 65000

constitute 9 percent and the income group above Rs.65,000 constitute 15

percent. So, it can be concluded that the consumers of all income groups

use non-durable goods.

 It is found that the variance of the 9 variables of brand loyalty ranges

from 0.463 to 0.889. Therefore this varies from 46% to 89%. The upper

limit of the variance is statistically significant and as the implication of

properly segregated predominant factors.

72
HYPOTHESIS TESTING 1:

 H01 = There is no relationship between brand loyalty of the consumer.

 It is found that the application of factor analysis on the nine variables of

brand loyalty indicated fivefactors with total variance of 73.341%. It

indicates that the hypothesis is rejected at 5% level and concluded that

the factors brand loyalty of the consumer differ significantly.

 It is found that the variance of the 12 variables of influencing factors

ranges from 0.318 to 0.694. Therefore this varies from 32% to 69%. The

upper limit of the variance is statistically significant.

HYPOTHESIS TESTING 2:

H02 = There is no association between influencing factor and consumer

behaviour.

 It is found that the application of factor analysis on the twelve variables

of the factors influencing the consumer behaviour indicated five factors

with total variance of 56.724%. It indicates that the hypothesis is

rejected at 5% level and concluded that the influencing factors and

purchase behaviour of the consumer differs significantly.

 It is found that there is an association between age and cosmetics.

 It is found that there is an association between age and biscuits.

 It is found that there is no association between age and textiles.

 It is found that there is no association between age and footwear.

 It is found that there is an association between age and paper products.

73
 It is found that there is an association between educational qualification

and price.

 It is found that there is no association between educational qualification

and taste.

 It is found that there is no association between educational qualification

and package.

 It is found that there is an association between educational qualification

and color.

 It is found that there is no association between educational qualification

and smell.

 It is found that there is an association between educational qualification

and availability.

 It is found that there is an association between educational qualification

and quality.

 It is found that there is an association between educational qualification

and quantity.

 It is found that there is an association between educational qualification

and shopkeepers.

 It is found that there is an association between educational qualification

and habitual.

 It is found that there is an association between educational qualification

and personal linking.

74
  It is found there is an association between educational qualification and

family linking.

 It is found that there is a weak relationship between gender and purchase

from a particular shop.

 It is found that there is a strong relationship between gender and

Promotional offers

 It is found that there is a weak relationship between educational

qualification, family size, income brand awareness.

 It is found that there is a weak relationship between educational

qualification, family size, income brand knowledge.

 It is found that there is a weak relationship between educational

qualification, family size, income brand loyalty.

5.2 SUGGESTIONS

1. Marketing is a game of warfare when a large number of sellers and

buyers are operating in the market. Under the globalization

environment there is increasing competition from national as well as

multinational giants to the cutting edge state, for almost all products

falling under the category of durables and to a certain extent non

durables.

2. The findings of the study expose the dynamics of consumer

behaviour pattern in Vellore city. The first and foremost task in

planning a marketing strategy is to create awareness of the existence

of a particular brand in the market.

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3. The study also highlighted the fact that price conscious consumers

are shifting to quality conscious nowadays. The stresses the need for

providing quality products at reasonable price to consumers.

4. In the research, the product attribute and brand knowledge play a

vital role in determining the behaviour of consumers therefore it is

suggested that the manufacturing company may advertise the Non-

durable goods by giving more thrust to the product attributes

characteristics and nature of product. The celebrity endorsement of

the product can also be given to reach the consumer and to induce

the brand knowledge.

5. The studies revealed that majority of the consumers are using

branded products. Consumers are associating superior quality,

reasonable price and social status to branded products

6. It is found from the study that majority of the consumers purchase

products from shops located in town /city visiting the nearer town or

city once or twice in a month is usually a normal practice amongst

the consumers. While visiting, they purchase products from shops in

the town/city. If this trend has to be changed, the village shops must

be made to stock multiple varieties of brands in the same product

line. Consumers must be given a choice to select the product

availability of the products in the village shops. There should be an

important guideline given by the distributors of the different product

76
 categories. All this is possible only if the distributors execute a

proper credit system; ensure adequate space to keep their products

and offer good profit margin to the shopkeepers in order to improve

their business.

7. It is found from the study that advertisement plays a major role in

educating consumers. Among the media of advertisements,

television advertisements take the leading role in informing the

consumers. The merit goes to the sudden surge of satellite television

networks. Radio, newspaper and magazines also aid information

campaign made by leading brands of consumer non-durables.

8. It is suggested that departmental stores can be started in semi-village

and village to make availability of all the products to the customers.

9. The quality control mechanism should be aimed to produce pre-

determined quality products and if any deviation from the standard

quality, remedial measures should be taken on time.

10. Better customer relationship management should be maintained in

order to enhance the satisfaction level of the customers and

maintaining the existing customers.

11. The Government should take steps to publicize the concept of

consumerism, through print and mass media more vigorously by

using simple regional languages.

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 12. Markets can be segmented based on the life style of the consumers,

so that they could redesign their products and plan for promotional

campaigns while marketing the consumer non-durable goods.

13. Essential goods should have a quality control system and

adulteration in no form should be encouraged. Self Help Groups has

become most popular in the country which gives employment

opportunities as well as the products that they produce do have

quality with less cost also. So government can encourage more self

help group to improve the quality especially in essential

commodities.

The discount offer, free gifts, price cut, special offer, Rebate and sale of

products without promotional offers had been considered effective in markets

for all product segments. Though there is no predominant influence of these

offers, these attempts will help consumer to move on to an expected level in

purchase of at least select items. Hence, the manufacturer of products shall pay

their attention to these aspects and try the possibility of winning the market

through these promotional offers.

5.3 CONCLUSION

The manufacturing sector plays a significant role in the economy and it

serves the needful and requirement of the people. The non-durable consumer

products are the important one which is widely used by the people in their day

to day life. A substantial portion of people‟s income is being spent on these

78
items. At the same time it is important to study that how they are supplied these

products and their level of satisfaction attained from them. Under this study,

select non-durable products were chosen and the satisfaction of the sample

respondents towards them was studied.

It was found that the buying pattern of the respondents rely mainly on

few factors such as price of the products, the quality and quantity of the

products concerned, their colour, package, availability and durability, though

they are nondurable. The select sample respondents were highly sensitive to the

price, quality and quantity. It was also found that the purchasing pattern differ

from one respondents to another due to differences in their socio economic

environment. As far as the present study is concerned, the respondents are

satisfied with the selection of non-durable products but at the same time they

are far away from the fullest satisfaction. It is duty of business firms to enhance

the satisfaction of their customers since they are king of the market. If the

above mentioned suggestions are fulfilled the customer - producer relationship

would be ensured and the win-win situation can be attainable.

79
 APPENDIX – A

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 APPENDIX – B

INTERVIEW SCHEDULE

A STUDY ON CONSUMER BEHAVIOUR TOWARDS

SELECT NON-DURABLE GOODS
IN VELLORE CITY

INTERVIEW SCHEDULE

PART I - PERSONAL DATA

Please put your answer by a tick (√ ) mark:

1. Gender : Male Female

2. Age :

3. Marital Status : Married Unmarried

4. Educational
Qualification : School Level Graduate Post-graduate

Professional Diploma

5. Occupational
Status : Govt.Employee Private employee

Self employed Housewife

Others

6. Family Type : Joint Nuclear

7. Family Size :

8. Monthly Income of the family :

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 PART II - AWARENESS AND PERCEPTION

1. Are you fully aware of the significance of Non-durable goods?

Yes No

2. How do you come to know about Non-durable goods?

(Tick the most preferable one)
TV Radio Newspaper Magazines Friends

Neighbors Colleagues Relatives

3.Brand Awareness
Please tick (√ ) the suitable scale regarding the awareness of the brand you use

Sl. Statement SA A N DA SDA

No.
Wide advertisement in the media increases
i)
the consumer awareness
Able to distinguish one brand from the other
ii)
by its performance
Able to discriminate between brands, as I
iii)
have prior knowledge about them
Awareness of the other brands produced by
iv)
the same manufacturer
Good exposure to the brand plays an
v)
important role for remembrance.
Brand recognition of the Non-durable goods
vi)
is due to its performance.

4. Brand Knowledge
Please tick (√ ) the suitable scale regarding the knowledge you have about the
brands

Sl. Statement SA A N DA SDA

No.
i) Sure decision about the brand before buying
ii) Helps to recall the attributes of the product
Brand knowledge helps to identify the
iii)
ingredients of the product
iv) Stimulates the use of the same brand
Enables one to understand the image of the
v)
brand
Able to distinguish between original brand and
vi)
spurious brand

84
 PART III – CONSUMERS ATTITUDE

1. Please give the brand names of Non-durable goods you buy.(Please select one
brand)

COSMETICS BISCUITS TEXTILES

Lakme Parle Bombay dyeing

L‟Oreal Britannia Raymond

Maybelline Horlicks Otto

Himalaya Sunfeast Peter England

Elle 18 Dukes Lee

FOOTWEAR PAPER PRODUCTS

Bata TNPL

Khadim‟s Classmate

Liberty Faber castell

Vkc JK

Paragon Camlin

2. How long have you been using the above-mentioned brands of each type of Non-
durable goods? (Please tick mark in the relevant box)

No. Of Cosmetic Biscuits Textiles Foot Paper

Years wear Products
Below
3 years
3-6 years
6-9 years
Above
9 years

3. How would you prefer the most to buy Non-durable goods from (tick anyone)

Shop in rural area Shop in town Departmental stores

From anywhere it is available

85
4. If you buy only from a particular shop, state the reason
(If there are more than one reason please rank them)

Nearness of the shop

Availability of various brands
Availability of credit facilities
Standard price and quality
Courteous treatment
Relative or friend‟s shop
Sufficient stock
Sales service on time

5. How would you prefer to buy Non-durable goods only on /with promotion offer
like (If there are more than one reason please rank them)

Discount offer
Price cut
Rebate
Free gift
Special offer
Without promotional offer

6. Please tick (√ ) the suitable scale regarding the attributes and benefits of the brand
of your usage.
(SA – Strongly Agree, A – Agree, N – Neutral, DA – Disagree, SDA – Strongly
Disagree)

A. COSMETICS
S.NO Attributes and Benefits SA A N DA SDA
i) Fairness
ii) Sun protection
iii) Self-esteem
iv) Anti-aging properties
v) Reduce infections and sickness

B. BISCUITS
S.NO Attributes and Benefits SA A N DA SDA
i) High in fiber
ii) Reduces nausea
iii) High in antioxidants
iv) Anti-inflammatory effects
v) Treats diabetes

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 C. TEXTILES
S.NO Attributes and Benefits SA A N DA SDA
i) Visual Properties
ii) Clothing Fit
iii) Textile Physical and Mechanical Properties
iv) Clothing Comfort
v) Fashion Apparel

D. FOOTWEAR
S.NO Attributes and Benefits SA A N DA SDA
i) Quality
ii) Style Statement
iii) Innovative
iv) Comfort
v) Reliability

E. PAPER PRODUCTS
S.NO Attributes and benefits SA A N DA SDA
i) Good quality paper and the paper is white
ii) Brighter & smoother pages
iii) Variety of sizes
iv) Eco- friendly
v) Availability

PART IV- INFLUENCING FACTORS

Please tick (√ ) the suitable scale regarding the factors that influenced you to purchase
the above mentioned branded items.

Statements SA A N DA SDA
i) Price
ii) Taste
iii) Package
iv) Color
v) Smell
vi) Availability
vii) Quality
viii) Quantity
ix) Shopkeepers
x) Habitual
xi) Personal liking
xii) Family linking
87
 PART V – BRAND LOYALTY

Please tick (√ ) the suitable scale regarding the brand loyalty

Sl. SA A N DA SDA
No Statement
i) The brand chosen has a good reputation
ii) Quality wise the brand in very good
The way in which the brand is marketed is very
iii)
impressive
iv) Stick to the same brand
v) Adjust with the shortcomings of the brand
vi) Do not tolerate the non-availability of the brand
vii) Enjoy using this brand
viii) Appreciate those who use the same brand
ix) Share views of the brand with others

88