Professional Documents
Culture Documents
ACKNOWLEDGEMENT
The training intends to facilitate interaction of the concept of management with the practice of
the same PGDM course is a professional one; the worth of which is proved in the ability and skill
of student’s decision for talking problems. In the real managerial situation, this calls for not only
the acquisition of knowledge. It is rightly said; that management is science and art both.
The student learns the science of management in the institute premises through classroom and
discussions and the art of management are learned through such studies as presented here. I
personally find myself lucky enough for getting the admission in ITS, Ghaziabad.
As all we know that “NOT A SINGLE GRAM CAN BREAK THE WHOLE VESSEL “same
my mentor’s has supported me in accomplishing my project report as I am very deeply grateful
to my faculty guide Prof. VINITA SRIVASTAVA for her co-operation and advice in
completing this report and also my sincere thanks to my Industry guide Mr.SAHANAWAZ
(A.S.M) and Ms NAVIDITA (HR HEAD) for his valuable guidance and direction at every
stage of my research.
DECLARATION
I Mr. DEEPAK KUMAR SINGH do hereby declare that the project report titled “EFFECT
OF ADVERTISEMENT ON CONSUMER BUYING BEHAVIOR” is a genuine research
work undertaken by me and it has not been published anywhere earlier.
CERTIFICATE OF
Place:……………….
Date:………………...
EFFECT
OF
ADVERTISEMENT
ON
CONSUMER
BUYING
BEHAVIOR
SUBMITTED
BY:-
DEEPAK KUMAR
SINGH
(PGDM)
7
CONTENTS:-
Introduction of report - 8
Objective of study - 12
COMPANY PROFILE -
14
MISSION AND VISION -
16
SERVICES OF COMPANY -
17
AVAILABLE HANDSHET -
19
BRIEF REPORT -
25
RESEARCH METHODOLOGY -
56
DATA ANALYSIS AND
INTERPRETATION -
59
8
FINDINGS -
72
SUGGESTION -
75
CONCLUSION -
78
BIBLiOGRAPHY -
81
QUESTIONAIRE -
83
INTRODUCTION OF THE
REPORT
9
India is a big country with 28 states over one billion population and 120 languages.
In India 70% population with 56% of the national income, 64% of total
expenditure and 1/3 of total savings are living in 6,27,000 villages or rural areas,
(NCAER 2005). So for a marketer, it is a very difficult task to tap the market, but
10
most of the companies are trying to tap this market because there is a lot of
potential for growing. Low priced products can be more successful in rural market.
There are many factors driving handset manufacturers and operators to the market.
Though India is emerging as one of the biggest telecom markets, metros and tier-2
cities are already reaching saturation point. Hence, companies have no option but
to explore newer markets to sustain the growth. As of now, India is adding around
8 mn subscribers a month, and in July 2008 the country added 9 mn subscribers.
Falling handset prices along with services available at extremely competitive
prices have made mobility accessible to the lower strata of the society, which has
mostly remained untapped. Handsets are available for as less as Rs 1,000, and
affordable prepaid packages are making mobility very tempting for the mass
market.
Another driver for this market is that the Department of Telecom is planning to
launch the second phase of mobile phone expansion covering around 2 lakh
villages. About 11,000 additional towers will be installed under the scheme to
cover habitats with population of 500. The details of the scheme are being worked
out and locations of the towers are being identified.
Possibly, the most crucial element in catering to the market is pricing. The market
is believed to be extremely price conscious. Thus, affordability is a major plank for
handset manufacturers, most of whom believe that pricing is going to be crucial to
tap first-time buyers in the rural segment. "Affordability is one of the key factors,
and our effort will be in the direction of making our products more accessible to
consumers, be it easier finance or pricing itself," says Sunil Dutt, country head,
Samsung Mobile Business.
11
Though many players say that pricing is just one of the factors, the prices of the
handsets are continuously falling, making mobility more appealing. Moreover, the
customers are looking at total cost of ownership. "Handset manufacturers have to
come out with features which are specific to the needs of the rural consumer.
Basically, affordability, access, and availability are going to play a key role," says
Naresh Priyadarshi, head of Synovate Business Consulting India.
Spice recently introduced a handset priced at just Rs 800. LG has the Bullet series
phones targeted at this segment. LG has also recently launched the KP106B
catering the rural segment. This basic phone is targeted at high capacity users with
high talktime requirements, and also supports the best-in-class battery.
Colors launched their mobile phones few months back and almost going to cover
the market very soon, targeting poor, middle class upper middle class by launching
the mobile phones in different range.
Motorola, on the other hand, has its Motoyuva series, Moto flip W220, Moto flip
W375, and Motorola W218. The company has come out with features targeted at
the rural segment like Hinglish predictive text input, Hindu calendar, Indian
wallpaper, Hindi texting, phonebook storage, and vernacular languages, which it
believes are likely to appeal to the rustic part of the country.
12
OBJECTIVES OF RESEARCH
13
COMPANY
PROFILE
15
Colors TeleTech Pvt. Ltd. enjoys strong business association with exclusive list of
supplier for the development of mobile handsets and accessories for India
market.
Colors-Mobile Colors TeleTech Pvt. Ltd. is also looking forward in working with
CDMA and GSM telecom operators in India to explore potential business
opportunities and provide the operators with inputs to bolster the industry and keep
pace with the international technology.
COMPANY VISION
Company's vision is to offer quality product and service for telecom and IT sector
and to be the premier mobile handset player (both GSM & CDMA) in the country.
FINANCIAL STATUS
Sales volume : 9 Crore P.M
operates through a number of distributor and retailer base across the country. The
strong supply chain network of the company has enabled Colors TeleTech Pvt. Ltd
to venture into GSM and CDMA mobile handset market with launch of COLORS?
Colors TeleTech Pvt. Ltd. enjoys strong business association with exclusive list of
supplier for the development of mobile handsets and accessories for India market.
Fact Sheet
Nature of : Whole seller, Trader
Business
Major Markets : Indian Subcontinent, East Asia, Middle East and South
East Asia
Contact Details
Head Office:
Colors TeleTech Pvt. Ltd.
A264, 2nd Floor
Okhla Industrial Area Phase 1
New Delhi 11002
19
AVAILABLLE HANDSETS(PRODUCTS)
From research to presentation, everything about your business, now on the go.
For the highly mobile professionals, the Colors Q Series keeps you in sync with the
office without losing touch with the rest of the world. Offering true efficiency,
flexibility and control, this mobile is made for those who are passionate about
balancing business with pleasure. Whether it's business or social, colors Q1 helps
you keep in touch with life with Dual SIM Feature.
>Q1
20
>Q5
>Q7 >W1
Go beyond entertainment with the new series of Multimedia Phones. Enjoy a non-
stop supply of entertainment, songs, Videos, FM, High Resolution Camera, and
many more Exciting features; so that your world of entertainment is right there in
your pockets.
21
> G-206
> G-215
> CG-111
HANDSET FEATURES
MODEL Q-1
Full qwerty keypad
22
Dual sim
Wide screen
GPRS
BluetoothA2DP
Long battery
2.0 Mega pixel camera
Expandable memory upto 4GB
MP3/MP4 Player
Games
1500mah Battery
MODEL Q-7
Mp3
GPRS
BlutoothA2DP
Dual sim
2GB Memory support
G-206
FM Radio
MP3/MP4 player
2.0 Mega pixel camera
Steel finish panel
Bluetooth A2DP
SLIM Design
4GB Memory support
GPRS
Torch light
Games
24
G-215
Privacy lock
Touch screen
30 days Battery back up
1.3 Megapixel camera
High quality video recorder
GPRS
4GB Memory support
Dual sim
Radio
25
BRIEF REPORT
26
BRIEF REPORT
Black Box Model:
The black box model shows the interaction of stimuli, consumer characteristics,
decision process and consumer responses. It can be distinguished between
interpersonal stimuli (between people) or intrapersonal stimuli (within
people). The black box model is related to the black box theory of behaviorism,
where the focus is not set on the processes inside a consumer, but
the relation between the stimuli and the response of the consumer.
The marketing stimuli are planned and processed by the companies, whereas the
environmental stimulus is given by social factors, based on the economical,
political and cultural circumstances of a society. The buyer’s black box contains
27
the buyer characteristics and the decision process, which determines the buyer’s
response.
The black box model considers the buyers response as a result of a conscious,
rational decision process, in which it is assumed that the buyer has recognized the
problem. However, in reality many decisions are not made in awareness of a
determined problem by the consumer.
There are several stages through which the consumer exhibit before deciding to
purchase goods or services. The process includes following six stages:-
a) Reduction of stock
b) Dissatisfaction with goods in stock
c) Environmental changes
28
Example: Its when a person recognizes that she cannot make a call from her
mobile phone that’s when she recognizes that her phone has been damaged i.e.
the phone has hardware problems and needs to be repaired or buying a new
mobile.
Information search: after the consumer has recognized the need, he /she will try
to find the means to solve that need. First, he/she will recall how he used to solve
such kind of a problem in the past, this is called nominal decision making.
Secondly, a consumer will try to solve the problem by asking a friend or goes to
the market to seek advice for which product will best serve his need, this is called
limited decision making.
a) Personal sources
b) Commercial sources
c) Public sources
d) Personal sources.
Example: The user of the phone after recognizing that her phone is damaged,
she will eventually try to find out how she can repair her phone. If she cannot
repair it herself she will ask a friend to help out, if the friend cannot solve the
problem she will go to mobile repair shop, if they also can’t repair it then she
will try to find which mobile phone is good and that can serve her need. In this
process of information collection it will yield awareness of set of brands of
mobile phones she can buy.
29
Example: when that user got enough information concerning the different brands
of mobile phones available in the market, she will decide which kind of mobile
phone and brand she’s going to purchase depending upon her need for that
particular mobile, either a mobile for multimedia and entertainment, smart phone
or classic phone.
Purchase decision: Once the alternatives have been evaluated, the consumer is
ready to make a purchase decision. Sometimes purchase intention does not result in
an actual purchase. The marketing organization must facilitate the consumer to act
on their purchase intention. The provision of credit or payment terms may
encourage purchase, or a sales promotion such as the opportunity to receive a
premium or enter a competition may provide an incentive to buy now. The relevant
internal psychological process that is associated with purchase decision is
integration.
Example: After selecting brand of the phone and model from different alternatives
of mobile phones, she will make a final decision of where to buying that phone.
Purchase: This stage involves selection of brand and the retail outlet to purchase
such a product. Retail outlet image and its location are important. Consumer
usually prefers a nearby retail outlet for minor shopping and they can willingly go
to a far away store when they purchase items which are of higher values and which
30
involve higher sensitive purchase decision. After selecting where to buy and what
to buy, the consumer completes the final step of transaction by either cash or
credit.
Example: After taking a decision to purchase the mobile phone she make the final
transaction procedures.
Example: if she decided to buy a multimedia phone she will try to compare the
quality of music it provides and pictures taken if they meet her expectation. If she
will find that her expectations are meet, she will be satisfied, if she found that there
are more additional features that she did not expect this mobile phone to have, she
will be delighted, otherwise she will be dissatisfied.
31
Why company needs to analyze the factors, influence the buying Behavior of
the consumers:
loss of exercise . Modern advertising developed with the rise of mass production in
the late 19th and early 20th centuries. Mass media can be defined as any media
meant to reach a mass amount of people. Several types of mass media are
television, internet, radio, news programs, and published pictures and articles.[1]
In 2007, spending on advertising was estimated at more than $150 billion in the
United State and $385 billion worldwide.
ADVERTISING AND
33
CONSUMER BEHAVIOUR
Introduction
The role of advertising in determining consumer behaviour has been under the
microscope for several years. However, some of the arguments, assumptions and
policy options proposed – for example in relation recently to food advertising - are
not based on an in-depth understanding of the way advertising works with
consumers and its influence on markets. The misconceptions seem to be based on
an entirely understandable intuitive reaction: how can advertisers claim that
advertising does not increase consumption and sales and still spend so much
money on it?
Towards a theoretical explanation
In the academic literature on the effects of advertising on consumer behaviour
there are broadly two schools:
1) Advertising as a strongly persuasive force (Barry 1987, Shankar 1999)
This is the intuitive view, ingrained in the collective mind, despite being criticised
for the last three decades by other eminent academics (Ehrenberg, 1997, Ambler
2000).
Proponents of this view are invariably critical of advertising. They contend that
accurate knowledge about consumers – how they buy, why they buy and where
they buy – is unnecessary as it is possible to manipulate hapless buyers into parting
with their money in return for products that they do not want.
These types of models have survived despite various empirical studies showing
- Awareness creates
- reminds and refreshes to ensure top of mind awareness and that a brand is
in consumers consideration set
… it does not persuade consumers against their will to do things they do not
wish to do, or to purchase things they do not wish to purchase.
36
Every time we open a newspaper or we turn on the TV, we see sellers of almost
identical products spending huge amounts of money in order to convince us to buy
40
their brands. Every year, each typical American watches 1550 hours of TV, listens
1160 hours on radio, and spends 290 hours reading newspapers and magazines. So
every day, each American watches 100 TV advertisements, 100 to 300 ads through
other mass media, and in one single year receives 216 pieces of direct mail
advertising, and almost 50 phone calls from telemarketers 2). All these, because
sellers of everything, from computers to detergents, believe that advertising is
essential to the product. The critics state that advertising is really beneficial to the
consumers: They believe that advertising “creates” consumers that are better
informed about the characteristics of the commodities, and that it does not alter the
way in which the companies evaluate their products. Also, they believe that
advertising creates price sensitivity for the consumers that buy the best products
for their value. Finally, they think that with advertisement, entries for new brands
are much easier because of the communication with the potential consumers that
commercials offer. Advertising, collective term for public announcements
designed to promote the sale of specific commodities or services. Advertising is a
form of mass selling, employed when the use of direct, person-to-person selling is
impractical, impossible, or simply inefficient. It is to be distinguished from other
activities intended to persuade the public, such as propaganda, publicity, and
public relations.
The scope of advertising has a lot of future to go because in present life the
technology has been increased that much. The scope of advertising management
mainly depends on the change in technology,for example now-a-days advertising
can make a blender by increase the sale of onething to many people by publicity
such publicity can create along sale and services towards the product used by them.
The same advertising techniques used to promote commercial goods and services
can be used to inform, educate and motivate the public about non-commercial
issues, such as HIV/AIDS, political ideology, energy conservation and
deforestation.
43
Marketing Mix
The marketing mix has been the key concept to advertising. The marketing mix
was suggested by Jeremy McCarthy, professor at Harvard Business School, in the
1960’s. The marketing mix consists of four basic elements called the four P’s
Product is the first P representing the actual product. Price represents the process
of determining the value of a product. Place represents the variables of getting the
product to the consumer like distribution channels, market coverage and movement
organization. The last P stands for Promotion which is the process of reaching the
target market and convincing them to go out and buy the product.Geana, Mugur
Valentin. [9]
Types of advertising
44
Paying people to hold signs is one of the oldest forms of advertising, as with this
Human directional pictured above
A bus with an advertisement for GAP in Singapore. Buses and other vehicles are
popular mediums for advertisers.
A DBAG Class 101 with UNICEF ads at Ingolstadt main railway station
Virtually any medium can be used for advertising. Commercial advertising media
can include wall paintings, billboards, street furniture components, printed flyers
and rack cards, radio, cinema and television adverts, web banners, mobile
telephone screens, shopping carts, web popup, skywriting, bus stop benches,
human billboards, magazines, newspapers, town criers, sides of buses, banners
45
Television
The majorities of television commercials feature a song or jingle that listeners soon
relate to the product.
Radio advertising
Radio advertisements are broadcasted as radio waves to the air from a transmitter
to an antenna and a thus to a receiving device. Airtime is purchased from a station
or network in exchange for airing the commercials. While radio has the obvious
limitation of being restricted to sound, proponents of radio advertising often cite
this as an advantage.
Press advertising
In-store advertising
47
Celebrities
: Celebrity branding
This type of advertising focuses upon using celebrity power, fame, money,
popularity to gain recognition for their products and promote specific stores or
products. Advertisers often advertise their products, for example, when celebrities
share their favorite products or wear clothes by specific brands or designers.
Celebrities are often involved in advertising campaigns such as television or print
adverts to advertise specific or general products.
The use of celebrities to endorse a brand can have its downsides, however. One
mistake by a celebrity can be detrimental to the public relations of a brand. For
example, following his performance of eight gold medals at the 2008 Olympic
Games in Beijing, China, swimmer Michael Phelps' contract with Kellogg's was
terminated, as Kellogg's did not want to associate with him after he was
photographed smoking marijuana.
Sales Promotions
48
Sales promotions are another way to advertise. Sales promotions are double
purposed because they are used to gather information about what type of customers
you draw in and where they are, and to jumpstart sales. Sales promotions include
things like contests and games, sweepstakes, product giveaways, samples coupons,
loyalty programs, and discounts. The ultimate goal of sales promotions is to
stimulate potential customers to action. [17]
Increasingly, other media are overtaking many of the "traditional" media such as
television, radio and newspaper because of a shift toward consumer's usage of the
Internet for news and music as well as devices like digital video recorders (DVRs).
Digital signage is poised to become a major mass media because of its ability to
reach larger audiences for less money. Digital signage also offer the unique ability
to see the target audience where they are reached by the medium. Technology
advances has also made it possible to control the message on digital signage with
much precision, enabling the messages to be relevant to the target audience at any
given time and location which in turn, gets more response from the advertising.
Digital signage is being successfully employed in supermarkets. Another
successful use of digital signage is in hospitality locations such as restaurants. and
mall]
Niche Marketing
49
Criticism of advertising
While advertising can be seen as necessary for economic growth, it is not without
social costs. Unsolicited Commercial Email and other forms of spam have become
so prevalent as to have become a major nuisance to users of these services, as well
as being a financial burden on internet service providers.[26] Advertising is
increasingly invading public spaces, such as schools, which some critics argue is a
form of child exploitation.[27] In addition, advertising frequently uses psychological
pressure (for example, appealing to feelings of inadequacy) on the intended
consumer, which may be harmful.
50
Industry Future
Global Advertising
Advertising has gone through five major stages of development: domestic, export,
international, multi-national, and global. For global advertisers, there are four,
potentially competing, business objectives that must be balanced when developing
worldwide advertising: building a brand while speaking with one voice, developing
economies of scale in the creative process, maximising local effectiveness of ads,
and increasing the company’s speed of implementation. Born from the
evolutionary stages of global marketing are the three primary and fundamentally
different approaches to the development of global advertising executions:
exporting executions, producing local executions, and importing ideas that travel.
knows what works in an ad, that idea or ideas can be imported by any other
market. Market research measures, such as Flow of Attention, Flow of Emotion
and branding moments provide insight into what is working in an ad in any country
or region because the measures are based on the visual, not verbal, elements of the
add.
Advertising Education
Advertising education has become widely popular with bachelor, master and
doctorate degrees becoming available in the emphasis. A surge in advertising
interest is typically attributed to the strong relationship advertising plays in cultural
and technological changes, such as the advance of online social networking. A
unique model for teaching advertising is the student-run advertising agency, where
advertising students create campaigns for real companies.[119] Organizations such as
American Advertising Federation and AdU Network partner established companies
with students to create these campaigns.
Advertising research
children in the tub (since it floats). The benefits of the product suggest
reasons to buy and use Ivory Soap and thus provide a basis for persuading
consumers. Different benefits are important to different customers. Thus, to
realize its full potential as a persuasive tool, advertising must often be
tailored to emphasize those benefits that are important and meaningful for a
particular type of customer or a particular use of the product.
Advertising has a very long history. It existed in ancient times in the form of
signs that advertised wares in markets. In Europe and colonial America,
criers were often employed by shopkeepers to shout a message throughout a
town. Medicine shows, in which there was a combination of entertainment
and an effort to sell a product, usually a patent medicine or elixir, presaged
modern advertising by creating an entertainment context in which
advertising was embedded. Advertising became especially important in the
second half of the nineteenth century as retailers began to advertise products
and prices that would bring customers to their stores. Advertising for patent
medicines also played a prominent role in the development of advertising,
and by the end of the nineteenth century, the firms that would become
advertising agencies had already begun to form.
Advertising and Psychology
Although advertising has a very long history, serious study of advertising
and its effects on consumers did not begin until early in the twentieth
century. Psychologists began to recognize that advertising was an important
form of communication and began to apply the theories and methods of
psychology to its study. Individuals such as Harlow Gale began to conduct
experiments designed to determine the power of individual advertisements to
attract attention and persuade consumers to buy. Walter Dill Scott of
Northwestern University wrote the book The Theory of Advertising (1903),
55
Getting Attention
In the context of advertising, the first hurdle for an advertiser is to obtain the
attention of the consumer. This involves two important actions. First, it is
important for the advertiser to know where a communication should be place
to increase the odds of reaching a particular type of consumer; this is the
media decision. Careful analysis of the consumer use of various media (e.g.,
what television shows they watch, what route they take to work, and what
magazines they read) allows the advertisers to identify those media to which
target consumers are most likely to be exposed. Placing an advertisement in
a place where relevant consumers are unlikely to see it assures that the
advertising will be ineffective. However, just because a consumer happens
to view a television show or read a magazine in which an advertisement is
placed does not a guarantee that the consumer will see the advertisement.
Processing Information
Consumers may attend to advertisements for a variety of reasons. Attention
alone is not sufficient to make the advertising successful. Advertisements
that are interesting, entertaining, and even irritating can attract attention;
however, such advertisements may not result in the consumer attending to or
understanding the intended message of the advertiser. Assuring that
consumers attend to and understand the intended message rather than
peripheral characteristics (such as a joke or song) requires careful crafting of
the advertising message. Advertising research has demonstrated that the
message must be clear and meaningful to the consumer; if the consumer
does not comprehend the message, it will not have the desired effect. Thus,
it is important when creating the advertisement to understand how
consumers think about products and product benefits and to use language
57
that the consumer will understand. It is also important that the product and
the product message be the focal point of the advertisement.
Information Evaluation
After a consumer has processed information, there is a need to evaluate it.
The consumers will need to determine how believable the information is and
how relevant it is to their individual situation in life and to their behavior as
consumers. This evaluation phase poses significant problems for advertisers.
Most consumers tend to discount the information in advertising because they
understand that the purpose of the advertising is to persuade. Making an
advertising message believable is not easy; though often it is sufficient to
make the consumer curious enough to try the product. Such curiosity is often
referred to as interested disbelief. Advertisers use a variety of devices to
increase the believability of their advertising: celebrities or experts who are
the spokespersons for the product, user testimonials, product
demonstrations, research results, and endorsements.
58
Research Methodology
59
To fulfill the objectives of the research, various techniques been used to collect the
Data. Primary data was collected through an unstructured interview with the
people and a structured questionnaire will be given to fill by the
respondents..Secondary data will be collected through various journals, periodicals
research reports and online data. The questionnaire will be based on the price,
looks, quality and on the advertisement. The respondent’s demographic profile will
be categorized on the basis of age, gender, income, education and profession. The
researcher will be focused only effect of advertisement on consumer buying
behavior, For this research, researcher will be used different tools like, sampling
size, Filling of questionnaire through people, Making proper use of excel sheet for
framing pie and Bar graph.
1) DATA SOURCES: This study is mainly based on primary data from people
living in Delhi and Ghaziabad.
2) RESEARCH APPROACH: Survey research
3) SAMPLING SIZE: 100 people.
4) RESEARCH INSTRUMENT: Structured questionnaire in English.
5) SAMPLING UNIT: Respondents visits the cell phone communication.
6) RESEARCH DESIGN: Descriptive Research
Research Design
60
Data Analysis
And
Interpretation
62
10% 15%
20% below 20
20-30
30-40
40-50
above 50
35%
20%
27%
MALE
FEMALE
73%
Q3.Educational Qualification:
Below 12th under graduate, graduate
post graduate
64
10%
23%
23% BELOW 12
UNDERGRADUATE
GARADUATE
POST GRADUATE
44%
Q4.Profession /Occupation
Agriculture service Business
labor class
Other______________
65
3% 8% 8%
AGRICULTURE
SERVICE
35% BUSINESS
LABOUR
OTHERS
46%
Agriculture prefer 8%
Labor prefer 3%
Others 8%
8%
22%
BELOW 5000
27% 5000-10000
10000-15000
ABOVE 15000
IF ANY OTHER SPECIFY
43%
15%
YES
NO
85%
15% responded no
32%
yes
no
68%
32%
Yes
No
68%
Q.9 what motivates you to purchase the mobile phone after seeing
the advertisement?
Models
15%
25%
Features
Design
Colors
33% 17% Price
Models
10%
LG
11% Reliance
NOKIA
Micromax
15% 39% SONY
SAMSUNG
MOTOROLA Colors
LG
2% RELIANCE
4% MICROMAX Others
COLORS
3% OTHERS
21% 6%
Nokia prefer
by 39% Sony prefer by 6%
LG prefer by 4% Reliance by 2%
2% 3%
5%
14% NEWSPAPER
37% T.V
INTERNET
MOBILE PHONE RETAILER
MAGZINE
RADIO
13% FRIEND
OTHER Newspaper
influence 37%
26% TV influence
26%
Friend influence 3%
Q.12 who helped you for making a decision to purchase the mobile phone?
7%
25%
15%
SELF DECISION
FRIENDS
FAMILY
MOBILE PHONE RETAILERS
Advertisement
18%
35%
Self decision25%
Friends suggests 35%
Family suggests 18%
Mobile phone retailer suggests 15%
Advertisement 7%
74
FINDINGS
Findings
CUSTOMER PROSPECTIVE
75
The retailer for the promotion of the colors handset they hire
PROMOTER’S to make the awareness to those customer who
haven’t seen the advertisement.
T-shirts of colors mobile distributed by the company to the retail
outlet employees for promotions.
Along with the colors mobile handset the free gifts such as
Memory card, Sim card or mobile cover was been provided by the
retailer personally.
Small Banners of colors mobile been placed by the retailer in and
outside of the outlet store.
RESEARCHER OBSERVATION
The retailer is not fixed with one price in selling the colors
handset; it varies from customer to customer.
As the retailer is also keeping the other Brand, so it can’t
stick to colors mobile only. (pressure from other Brand is
also there)
A colors company is not providing any free Accessories on
the purchase of the Handset to the customers, what others do.
Non availability of all models in the Retail outlet.
Distribution channel is weak.
Customer focus& Belief are more on the Advertisements .
77
SUGGESTIO
NS
Conclusion
The mobile telecom services are now being widely consumed by the Indian
society. Rather these have become an essential part of their lives. Besides
communication, people now seek entertainment and other features that are
compatible to their self-image and lifestyle. The self-image and lifestyle may vary
among genders, income, profession, education and different age groups. Therefore,
the study was carried out among consumers of different age, income, profession,
and education and gender groups to understand the importance of factors that
influence their mobile handset buying. The intense competition between
manufacturers has forced them to expand their market base. The study concludes
that the users of age group of 20-30 years is a very big segment of mobile users
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than other groups; rather they consider ‘ price, quality, brand name, discount,
camera, MP3/FM etc are more important than users of any other age groups. This
may be due to the reason that majority of Indian youth seeks excitement in the
products and also they are more exposed to new technological developments than
other age groups particularly mature ones. The mature consumers on the other
hand may have priorities for other products due to other obligations. That is why
they are more price-sensitive. Also they have less knowledge about new featured
mobile (especially in rural) and therefore, consider ‘Quality, price, brand and
discounts. Overall, people have given the least preference to the ‘two-in-one pack.
The research found out the large target segment (under the age group of 20-30
years) to focus for mobile companies. And the source which provides the
information about the mobile phones is newspapers. The research also provides the
effective strategies to focus the target segment.
Managerial Implications
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BIBLIOGRAPHY
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1) Consumer Behavior, ninth edition (Leon G. Schiff man, Leslie lazar Kanuk)
2) Foundation of advertising (S.A chunawalla & K.C sethia)
3) Colors websites(www.colors-mobile.com)
4) http://www.udel.edu/alex/chapt6.html
5) Marketing Management Text And Cases, S H H Kazmi
6) http://en.wikipedia.org/wiki/consumer_behaviour
7) http://en.wikipedia.org/wiki/buyer_decision_processes
8) Ganesh, J., Arnold, M. J. and Reynolds, K. E. (2000).Understanding the Customer
Base of Service Providers: An Examination of the Differences between Switchers and Stayers.
Journal of Marketing, 64 (3), pp. 65-87.
9) Goldsmith, R. E. (2002). Some personality traits of frequent clothing buyers. Journal of Fashion
Marketing and Management, 6 (3), pp. 303-316.
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10) Marketing management(Philip kotler)
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ANNEXURE
Questionnaire in English
Questionnaire
EFFECT OF ADVERTISEMENT ON CONSUMER BUYING BEHAVIOR
2. City_________________________________
5. Educational Qualification:
Below 12th under graduate, graduate post graduate
Other______________
6. Profession /Occupation
Agriculture service Business labor class
Other______________
7. Self income/Family income(p.m.)
Below Rs. 5,000 Rs.5, 000-10,000 Rs.10, 000-15,000
Yes No
Yes No
12. What motivates you to purchase the mobile phone after seeing the advertisement?
14.Who helped you for making a decision to purchase the mobile phone?
Advertisement
15.Please indicate the importance of each of the characteristics in choosing your mobile phone.
Extremely important (5) some- what important (4) neither important nor unimportant (3)
5 4 3 2 1
a) Price of mobile
b) Quality of mobile
c) Style of mobile
d) Attributes/function of mobile
e) Brand mobile
16. Please specify the importance of each of the characteristics in choosing your mobile phone? (use
the instructions of same as question no. 12th ).
a) Two-in-one pack
b) Discounts
c) Camera
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d) Mp3 player/ FM
e) Display (B/W&/Color)
17.Any other features that you would like to see in your phone which you have not seen in the
advertisement so far.(suggestion if any)