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Consumer Behaviour Towards Ready To Eat Food Products PDF
Consumer Behaviour Towards Ready To Eat Food Products PDF
FOOD PRODUCTS
By
RENUKA HIREKENCHANAGOUDAR
ADVISORY COMMITTEE
DHARWAD
August, 2008
(H.S. VIJAYAKUMAR)
MAJOR ADVISOR
Approved by :
Chairman :
Members :
___________________________
(H.S. VIJAYAKUMAR)
1. _________________________
(P.R. SUMANGALA)
2. _________________________
(R.A. YELEDHALLI)
3. _________________________
(C. MURTHY)
CONTENTS
Sl. No.
Chapter Particulars
CERTIFICATE
ACKNOWLEDGEMENT
LIST OF TABLES
LIST OF FIGURES
LIST OF APPENDICES
INTRODUCTION
REVIEW OF LITERATURE
2.1
2.2
2.3
Brand preference
2.4
2.5
METHODOLOGY
3.1
3.2
3.3
RESULTS
4.1
4.2
4.3
4.4
4.5
DISCUSSION
5.1
5.2
5.3
5.4
5.5
Sl. No.
7
Chapter Particulars
REFERENCES
APPENDICES
ABSTRACT
LIST OF TABLES
Table
No.
Title
4.1
4.2
4.3
4.4
Brand awareness of consumers about fruit juice among different age groups
4.5
Brand awareness of consumers about ice creams among different age groups
4.6
4.7
4.8
4.9
Reasons for not purchasing ready to eat food products by consumers of Hubli
Dharwad
4.10
4.11
4.12
4.13
4.14
4.15
4.6
4.17
4.18
4.19
4.20
4.21
4.22
4.23
4.24
Table
No.
Title
4.25
4.26
4.27
LIST OF FIGURES
Figure
No.
Title
2.
3.
4.
5.
6.
7.
LIST OF APPENDICES
Appendix
No.
1
Title
Questionnaire
1. INTRODUCTION
There is nobody in the world who is left out of the class of consumers. The consumerhood continues till ones last breath in the world.
The consumer purchases a variety of goods and services to satisfy his wants and he
is always influenced in his purchasing activities by some considerations which lead him to
select a particular commodity or a particular retail store in preference to others. So, consumer
buying is more complex. Consumer purchases are likely to be influenced by physiological,
psychological and sociological factors. The commodities and services are brought by the
consumer to satisfy his basic needs, for comfort, pleasure, recreation and happiness. Every
individual has physiological need such as hunger, shelter, thirst, etc., which have to be
satisfied for survival. The psychological factors like status prestige and social factors like
friends, neighbours, job and relatives influence their purchasing activities.
People bear certain beliefs and attitudes towards certain types of goods, brands of
commodities and retail outlets based on their previous experience. When there is a need,
they are able to discover some new commodities capable of satisfying their needs. Before the
commodities and brands are selected, these commodities must compete successfully against
alternatives in the market. The selection of a particular commodity becomes important for
consumer since there are wide varieties of consumer goods in the market. Again selection of
a particular commodity depends on income of the consumer and necessity of the product to
the individual. Before the selection of the commodity purchased, an individual requires
information regarding the various sources of supply of the commodity, its brands, relative
merits and demerits, uses and value of their characteristic features and services offered. The
common sources through which individual gathers information are from advertising media
(television, radio and news papers), friends, retailers in the locality, displays in shops and
food labels.
India is one of the largest food producers of the world with the organised sector
accounting for food output worth US $34827 million, only a small percentage of its farm
produce is processed into value-added products. For instance, even though the country is the
second largest producer of fruits and vegetables, hardly two per cent of the production is
processed. This underlines the enormous scope for investing in the processed food sector in
the areas of infrastructure, packaging and machinery. India, in fact, needs US $28 billion of
investment to raise its food processing levels by 8-10 per cent.
The potential for investment in this sector is further accentuated by the following
factors:
A 30 million upper and middle class segment of the total population consume
processed and packaged food with another 200 million people, projected to shift to
this group by 2010. Thanks largely to rapid urbanization and changing lifestyles.
53 food parks approved to enable small and medium food and beverage units to set
up and to use capital intensive common facilities such as cold storage, warehouse,
quality control labs, effluent treatment plant, etc.
Over the past five decades, India has taken giant steps in producing food grains, milk,
fruits and vegetables. The production of raw food materials is estimated to worth over Rs.
60,000 crore. After primary, secondary and tertiary processing, the total size of the industry is
estimated to be as high as Rs. 1,10,000 crore. This cost overrun reflects the opportunities that
food processing industry offers to the economy as a whole and entrepreneurs in individual.
Big opportunities lie in upgradation from commodities to packaged and branded products and
convenient foods, which offer value for money, products focused towards children and young
adults and products catering to those who lead a fast modern day life. Realizing the potential
and in order to provide further boost, the government has exempted from excise duty for
condensed milk, ice cream, preparations of meat, fish and poultry, pectins, pasta and yeast.
Further, excise duty on certain ready-to-eat packaged foods is reduced to 8 per cent from 16
per cent. The food processing industry will also be benefited from the reduction in excise duty
on paper, a cut in customs duty on major bulk plastics and a reduction of customs duty on
packaging machines, which would reduce packaging costs (Budget, 2007).
The Food Processing Industry In India
The Food processing industry has an important role to play in linking the farmers to
the final consumers in the domestic as well as the international markets. Food processing
combined with marketing has the potential of solving the basic problems of agricultural
surpluses, wastages, rural jobs, and better remuneration to the growers. In the next ten years,
food production is expected to double. These produces, if processed and marketed smartly,
can make India a leading food supplier of the world.
India with a population of 1.08 billion (growing at about 1.70% per annum) provides a
large and growing market for food products. Food products are the single largest component
of private consumption expenditure, accounting for as much as 49.00 per cent of the total
spending. Furthermore, the upward mobility of income classes and increasing need for
convenience and hygiene is driving demand for (a) perishables and non food staples and (b)
processed foods. Also, eating out is a booming practice in urban India and processed foods
are accepted as alternative to the home cooked food because of the convenience it offers.
Also, with the globalization of trade and availability of high speed logistics, food retailers in
developed countries are sourcing an year-round supply of fruits and vegetables from
developing countries. Thus, both for local consumption as well for export there is a year round
opportunity for fruits and vegetables, meat and poultry products and ready-to-eat processed
foods.
The total exports of Indian food processing industry had increased by about three
times to Rs. 53,000 crores in 2003-04, from Rs. 17,600 crores in 2002-03. Considering the
greater potential for food processing industry in India, government had committed to
encourage various activities for the development of this sector. Indian government had been
giving importance to the food processing sector, by way of fiscal incentives to encourage
commercialization and value addition of agricultural produce, for minimizing pre/post harvest
wastage, generating employment and export growth. The government gave five-year tax
holiday for new food processing units in fruits and vegetable processing. From 2000-01 to
2006-07 government had also approved proposals for joint ventures; foreign collaboration,
industrial licenses and 100.00 per cent export oriented units envisaging an investment of Rs.
19,100 crores during 2002-03. Out of this, foreign investment was over Rs. 9100 crores.
The processed food industry should introduce innovative new products of high quality
at low cost in small package sizes in ready-to-eat format. To cash on this booming
opportunity, smart players have to enter the growing market with a high potential of retail
Foreign Direct Investment (FDI).
Ready-to-eat food products
Unlike olden days where man used to have his food lavishly and slowly, the present
trend changed the habits of foods, which are simple and easy to digest. Hence, the existence
of these foods fulfilled all the needs of modern human being. Canned foods, convenience
foods, fast foods, frozen foods, instant products, dried foods, preserved foods, etc. all comes
under ready-to-eat foods. The food habits in India have changed due to the western influence
and the usage of these foods is also on the rise.
In India, majority of food consumption is still at home. Nevertheless, out of home food
consumption is increasing due to increase in urbanization, breaking up of the traditional joint
family system, desire for quality, time which translates into an increased need for
convenience, increasing number of working women, rise in per capita income, changing
lifestyles and increasing level of affluence in the middle income group had brought about
changes in food habits. In the last two decades, the share of urban population has increased
from 23.30 per cent in 1981 to 27.80 per cent in 2001. During the same period the female
work participation rate had increased from 19.70 to 25.70 per cent. The per capita income
increased from Rs. 7,328 in 1980-81 to Rs 10,306 in 2000-01. The change in food habits was
evident from the growth of food processing industries.
Generally, food is prepared depending on the habits, tastes, social status, economic
factor, availability, traditions, habitats, etc., of the people of that region. The most sought after
in the present age are the ready- to- eat foods.
Ready-to-eat food is food offered or exposed for sale without additional cooking or
preparation, which is packaged on the premises where they are being sold and are ready for
consumption.
With the income level rising, demand for milk, meat, fish, fruits and vegetables is also
increasing in India. With more urbanization, Indian families also consume more processed
foods, more ready-to-eat foods, etc. Asian Americans, now numbering over 10 million along
with the other 13 million persons of Indian origin spread all over the world are a huge potential
market for the Ready-to-eat (RTE) foods out of India. This creates a scope for the producers
to come out with a long range of dishes including the usual meals. India had been at the
forefront for variety of dishes both in domestic and global market. Ready-to-eat foods are very
popular in the western region of the world. Even India is being influenced by these ready-toeat foods.
Development of the metropolitan cities due to increase in population, emergence of
industries, evolution of various new factors, time factor, etc., created the need for ready-to-eat
foods in the market. Due to industrialization, the labour category is getting attracted to it
because of better emoluments and hence there is shortage of home maid-servants. Due to
this, the housewives, in order to save time started using ready-to-eat foods.
As the literacy rate is increasing among the women, a large number of them in our
country are taking up jobs to setup their own status in the society and to use the extra income
generated. These are creating the need for ready-to-eat foods. Earlier times, a single family
consisted of many people i.e., a group of several nuclear families were living in a single place.
Hence, larger quantities of the food were used to be prepared. But as these joint families
started disappearing due to various reasons, each single family started using these ready-toeat foods in order to save time and energy.
Due to establishment of multi- national companies in India, the lady of the house also
started working, because of which there is no time to prepare food at home. Hence, this
created the need for using ready-to-eat foods. The standard of living is also changing due to
raise in income level, influence of western countries, more global trade, traveling etc., hence,
people are changing their taste to ready-to-eat foods more compared to the old traditionally
prepared foods.
In the modern era, the media, particularly electronic and print media, are playing an
important role in creating awareness of the products manufactured and released in the
market.
All these factors are responsible for the popularity of ready-to-eat food products in Indian
market. The marketers should see to it that the ready-to-eat food is available to the
consumers without any difficulty at competitive rates. The products should be provided to
consumers by keeping in mind as when they want, where they want and the manner in which
they want. These methods help in increasing the sales of the product with good feed back
from the customers and creating niche for ready-to-eat foods in the market.
Problem focus
Several firms had been engaging in production and marketing of ready-to-eat food
products. Hence, the consumers had a greater option to choose from. In this context, a study
on consumer behaviour was seemed to be important to understand the buying behaviour and
preferences of different consumers. Understanding the consumer behaviour would help the
firms in formulating strategies to cater to the needs of the consumer and thereby increase
their market share. Consumers taste and preference were found to change rapidly, especially
in a dynamic environment. Keeping in view the importance of consumer behaviour and
consumption pattern, the present study was under taken with the following objectives.
Objectives of the study
The specific objectives of the study were :
i.
ii.
iii.
iv.
v.
2. REVIEW OF LITERATURE
In this chapter, research work done in the past regarding awareness, purchase
behaviour, brand preference, factors influencing brand preference and alternative purchase
plans has been reviewed and presented under the following sub-headings.
2.1
2.2
2.3
Brand preference
2.4
2.5
purchase of the soft drinks by Brand Name. The major source of brand awareness was
word of mouth followed by advertisements, family members, relatives and friends.
Ramasamy et al. (2005) reported 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.
2.2
and main market (mean score of 0.88 for rural and 1.38 for urban) as their first and second
preference of order respectively for the purchase of food items. The prime factor indicated by
the rural respondents for buying their food items was appearance with mean score of 4.01,
followed by price, quality and place of buying to which they ranked second, third and fourth
with mean scores of 3.81, 3.45 and 2.96 respectively. But urban respondents visualized these
factors little differently and ranked quality, appearance, place of buying and expiry date as
first, second, third and fourth ranks with mean score of 4.69, 4.01, 3.20 and 3.05 respectively.
Singh et al. (1995) examined the factors influencing consumer preferences for milk.
They were milk quality, convenient, availability, supply in quantity desired, flavour, colour,
freshness and mode of payment which showed higher levels of consumer satisfaction.
Purchasing practices of consumers in Parbhani was studied by Kulkarni and Murali
(1996). The results revealed that 83.50 per cent of consumers were seeking the information
from television regarding the products availability and this was followed by neighbours
(71.00%) and newspapers (69.50%). Consumers preferred retail market for the purchase of
groceries (65.00%), milk and milk products (100.00%), vegetables (100.00%), fruits
(100.00%) and snacks (75.00%) and they adopted cash payment. Majority (75.00%) of the
consumers preferred quality for the purchase of food.
Sundar (1997) revealed that, grocery department of Saravana Bava Cooperative
Supermarket, Cuddalore was enjoying favorable images of consumers in the attributes, such
as, equality of price, behaviour of sales persons, moving space, location, correctness of
weight, packaging of goods, number of sales persons and convenient shopping hours. At the
same time, the image was weak in the attributes, such as, quality of goods, availability of
range of products, variety of goods, acceptance of returns, credit facility, door delivery and
sales promotional measures.
Amitha (1998) studied the factors influencing the consumption of selected dairy
products in Bangalore city. The results of the study revealed that, income and price
significantly influenced the consumption of table butter. Price had a negative impact and
income a positive impact on consumption.
A socio-economic influence of rural consumer behaviour studied by Sayulu and
Reddy (1998), concluded that frequency of purchase of commodities by rural consumers was
highly influenced by the type and nature of the products. Products like groceries (40.35%) and
others which included vegetables, milk etc. (48.25%) purchased on daily basis and 33.33 per
cent and 42.98 per cent of them purchased these products on weekly basis. Cash purchase
was highest in case of products like groceries (44.74%) followed by credit purchase with
38.60 per cent and 21.06 per cent respectively. Price of the goods was considered to be the
most important factor by more than 88.00 per cent of the respondents followed by easy
availability (66.66%) and neighbours (54.00%).
Kamalaveni and Nirmala (2000) reported that, there is complete agreement between
ranking given by the housewives and working women regarding the reasons promoting them
to buy Instant Food Products. Age, occupation, education, family size and annual income had
much influence on the per capita expenditure of the Instant Food Products.
Srinivasan (2000) revealed that, consumer with higher educational level was found to
consume more processed products. The quantities of processed fruit and vegetable products
were consumed more in high income group. The tolerance limit of price increase identified
was less than 5 per cent, any price change above this limit, would result in discontinuance of
the use of the processed product. Consumers preferred processed products because of
convenience of ready-to-eat form.
Hugar et al. (2001) carried out a study on dynamics of consumer behaviour in
vegetable marketing in Dharwad city. Low income groups purchased lesser quantity (3.25
kg/week) of vegetables as compared to medium (5.40 kg/week) and high income groups
(4.66 kg/week). Majority of low income group preferred to purchase vegetables from
producers because of reasonable price. High and medium income families preferred stall
vendors for the purchase of vegetables because of better quality and correct weighment.
Prell et al. (2002) conducted a study to examine the factors influencing adolescents
fish consumption in school. Fish consumption was assessed by observation on 4 occasions.
Attitudes towards the fish, friends behaviour and perceived control were important predictors
of the intention to eat fish and barriers for fish consumption were a negative attitude towards
both smell and accompaniments and fear of finding bones. But the eaters of fish were more
satisfied with the taste, texture and appearance of the fish and rated safety significantly higher
than those who resisted. They also thought to a greater extent that the fish was healthy and
prepared with care. The results suggested that, it is important to alter dishes so that they
appeal to children and to pay attention to the whole meal, accompaniments included. Finally it
was recommended to convey the pupils that the fish served would be healthy and prepared
with care.
Nagaraja (2004) opined that, buying behaviour is very much influenced by experience
of their own and of neighbour consumers and his family. Above all, the quality of the product
and its easy availability were the primary and the vital determinants of his buying behaviour.
Consumers were influenced by touch and feel aspect of any promotional activity.
Shivkumar (2004) showed that the consumer, irrespective of income groups, was
mainly influenced by the opinions of their family members to purchase. Consumers were also
influenced by the dealers recommendation, followed by advertisement.
2.3
BRAND PREFERENCE
Gluckman (1986) studied the factors influencing consumption and preference for
wine. The explicit factors identified were, the familiarity with brand name, the price of wine,
quality or the mouth feel of the liquid, taste with regard to its sweetness or dryness and the
suitability for all tastes. Some of the implicit factors identified through extensive questioning
were colour and appearance. Most of the consumers seemed to prefer white wine to red.
Consumers preferred French or German made wines to Spanish or Yugoslavian wines.
Kumar et al. (1987) observed the factors influencing the buying decision making of
200 respondents for various food products. Country of origin and brand of the products were
cross- tabulated against age, gender and income. Results revealed that the considered
factors were independent of age, education and income. The brand image seemed to be
more important than the origin of the product, since the consumers were attracted by the
brands.
Shanmugsundaram (1990) studied about soft drink preference in Vellore town of
North Arcot district in Tamil Nadu. The study revealed that, the most preferred soft drink
among respondents as Gold spot (26.00%), followed by Limca (24.80%). It was found that the
taste was the main factor for preference of particular brand and among the media; television
played a vital role in influencing consumer to go for a particular brand. Because of
convenience in carrying, tetra pack was most preferred one.
Ali (1992) studied the brand loyalty and switching pattern of processed fruit and
vegetable products in Bangalore city by using Markov Chain analysis. The result of study
revealed that Kissan brand of jam and Maggi brand of ketchup had a maximum brand loyalty
among consumers and less amount of brand switching occurred for these brands.
Sabeson (1992), in his study stated that high quality, price and taste of the product
were the major criteria based on which the customers selected a brand of processed fruits
and vegetable products.
Hans et al. (1996) revealed that, the brand switching of consumer was based on
variety seeking behaviour, motivations, curiosity and price motive.
Veena (1996) studied brand switching and brand loyalty of processed fruit and
vegetable products in Karnataka state by using Markov Chain analysis. The result of the
study revealed that Maggi, Sil and Kissan were having market retention of 74.20, 55.78 and
48.74 per cent, respectively for jam products. The equilibrium shares determined in order to
predict future market position among the different brand showed that in long run shares of
Kissan, Rex. Other brands were likely to decline, mainly on account of increased market
shares of Gala, Sil and Maggi.
Padmanabhan (1999) conducted study on brand loyalty, which revealed that the price
of the preferred brand, efficiency of the preferred brand and influence of advertisement
significantly influenced the brand loyalty. Only when the price of a particular brand is
comparatively low, the farmers would naturally prefer to low priced brand. Otherwise farmers
would naturally continue to purchase the same brand.
Low and Lamb Jr. (2000) came out with an interesting conclusion that well known
brands tend to exhibit multi-dimensional brand associations, consistent with the idea that
consumers have more developed memory structures for more familiar brands. Consumers
might be willing to expend more energy in processing information regarding familiar brands
compared to unfamiliar brands.
Kamenidou (2002) presented the findings on the purchasing and consumption
behaviour of Greek households towards three processed peach products: canned peaches in
syrup, juice and peach jam. The results revealed that 47.50 per cent of the households
purchased canned peaches in syrup, 67.40 per cent purchased peach juice and 42.60 per
cent purchased peach jam. Reasons for such purchase were satisfactory taste and qualities
and households perception that they were healthy products. The results also indicated that
the consumption quantities were considered low, while households usually purchased the
same brand name, meaning that there was a tendency for brand loyalty.
Sampathkumar (2003) studied about brand preference in soft drinks in Telangana
region of Andra Pradesh. He found that in rural market about 37.50 per cent of consumers
preferred Thumbs-up (urban 30%), followed by Coca cola (28.50%) (urban 37.50%), Pepsi
12.50 per cent (urban 9.00%), Limca (4.00%) (urban 8.50%). Most of the urban consumers
(67.00%) purchased soft drinks in nearest Kirani stores (rural 73.00%), followed by super
bazaar (27.00%) (rural 26.00%) and others (6.00%) (rural 1.00%). The method of physical
distribution played very vital role in companys success and failure in the market.
Transportation was among the major functions of physical distribution. Transport adds time
and place utility for the product.
Kim-Hyunah et al. (2005) analyzed the relationship among brand equity factors
(brand awareness, brand image, brand preference and brand loyalty) and suggested a
strategy for brand management in contract food service management companies. He
concluded that brand awareness has positive effect on brand image and brand preference
and recommended that the contract food service companies should focus on improving brand
awareness as a brand strategy. In addition, brand preference and brand image had significant
positive effects on brand loyalty. Thus, the companies should strive to strengthen brand
loyalty through building brand preference and brand image. Brand loyalty promoted more
customer visits, which was directly related to profitability of contract food service management
companies, the authors concluded.
Kubendran and Vanniarajan (2005) studied that, the change in consumption pattern
was due to changes in food habits. If income and urbanization increase among consumers,
the percentage of income spent on consumption increased. The urban consumers preferred
mostly branded products compared to rural consumers. The most significant factors
influencing buying decisions were accessibility, quality, regular supply, door delivery and the
mode of payment.
Narang (2006) opined that, a buyer does not stick to one brand in case of food
purchasing. They should be able recall different brand names when they go for purchase.
Repititive advertising can be used to promote brand recall. The product should be associated
with style and trend, so that it appeals to the youth and the brand name should be developed
as a fashion statement. Promotional schemes such as discounts and free offers with
purchase were suggested to increase rates.
Vincent (2006) studied brand consciousness among children. The study showed that
children start to recognize product brands at an early age, which influence family buying
behaviuor. It was helpful for parents in making purchase decision of durable goods for the
family.
2.4
Singh and Singh (1981) found that consumers had single or multi-brand loyalty based
on the nature of product, like necessities or luxuries. Brand choice and store loyalty were
found to affect the brand loyalty of the consumer. The factors that influence and strengthen
loyalty to brand were quality of product, habit of use and ready and regular availability.
Sabeson (1992) in his study stated that, high quality, price and taste of the products
were the major criteria based on which the consumers selected a brand of processed fruits
and vegetable products.
Ashalatha (1998) studied the factors influencing the performance of BAMUL milk for a
sample of 100 respondents. The study revealed that the factors such as door delivery, clean
packing, quality, hygienic preparation, time saving and reliability, good value for money,
freshness and desired flavour were important in the order in influencing the decision of buyers
for BAMUL milk.
The study undertaken by Sheeja (1998) in Coimbatore district considered the quality
aspects like aroma, taste, freshness and purity as the major factors deciding the preference
for a particular brand of processed spices.
Raj Reddy and Pruthviraju (1999) studied about buying motives of rural consumers
about seeds and different sources of information about brands with regard to seeds. It was
found that factors influencing brand loyalty of farmers were dealers suggestions, quality
product and co-farmers. The problems faced by farmers were supply of seed or poor quality
seed, higher price, adulteration and irregular supply of seeds.
Gaur and Waheed (2002) conducted a study on buying behaviour for branded fine
rice in Chennai and Coimbatore city. The study indicated that retailers were ranked as the
prime source of information and the family members as the next important source of
information about the branded fine rice. Rice mandy formed the major source of purchase for
Chennai (73.00%) and Coimbatore (70.00%) households. Quality and image of the brand
were ranked as first and second factors influencing brand preference in both Chennai and
Coimbatore cities.
Sanjaya et al. (2002) reported that, the decision for purchasing branded fine rice was
mostly made by the wives of the family. The retailers were ranked as the prime sources of
information about branded fine rice. The monthly purchase was the most preferred frequency
of purchase, which might be due to the fact that most of the respondents were of monthly
salaried class and they would have planned their purchase accordingly along with other
provision items. The quality and the image of the brand were ranked as the major factors for
brand preference in the purchase of branded fine rice.
In a study conducted by Sarwade (2002) it has been observed that the price was the
factor, which influenced the purchasing decision as against the quality of the product. It is
very interesting to find out that the company image and brand image were not totally
considered by the households.
Nandagopal and Chinnaiyan (2003) conducted a study on brand preference of soft
drinks in rural Tamil Nadu, using Garrets ranking technique, to rank factors influencing the
soft drinks preferred by rural consumer. They found that, the product quality was ranked as
first, followed by retail price. Good quality and availability were the main factors, which
influenced the rural consumers of a particular brand of a product.
Kubendran and Vanniarajan (2005) founded that, the change in consumption pattern
is due to changes in food habits. If income and urbanization increase among consumers, the
percentage of income spent on consumption increases. The urban consumers prefer mostly
branded products compared to rural consumers. The most significant factors influencing
buying decisions were acceptability, quality, regular supply, door delivery and the mode of
payment.
Ramasamy et al. (2005) studied consumer behaviour towards instant food products in
Madurai, the second largest city in Tamil Nadu and observed that 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 (78.00%) laid emphasis on quality
and 76.00 per cent on price which was an important factor, while 64.00 per cent of the
respondents attached importance to the image of the manufacturer and 50.00 per cent
considered packaging as an important factor and an equal percentage (50.00%) felt longer
shelf life influenced them.
Banumathy and Hemameena (2006), while studying consumer brand preference with
respect to soft drinks, found that after globalization most of the consumers like the
international brands such as Pepsi and Coco-cola. Consumers preferred a certain brand or a
particular drink mainly because of its taste and refreshing ability.
Vincent (2006) elicited that quality was an important factor that draws consumer
towards branded products. Branded products were accepted as good quality products.
People do not mind paying extra for branded products, as they get value for money. Media is
a key constituent in promoting and influencing brand. A childs insistence affects familys
buying behaviour. Children are highly aware and conscious of branded items. Although
unbranded products sometimes give same satisfaction as branded products, customers
would still prefer to purchase a branded product.
2.5
Rajarashmi and Sudarsana (2004) revealed that, almost all sample respondents
preferred branded products and if their favorite brand is not available in the retail shop, they
will go for another store and purchase their favorite brand. If it is not available in the market,
the respondents were ready to postpone their purchase decision.
Anandan et al. (2007) studied that, majority of the respondents (54.00%) will buy
another brand if preferred brand is not available, 18.00 per cent of the respondents will go to
the nearby town for buying the preferred brand. Fifteen per cent of the respondents will
postpone their purchase decision. It was revealed from the study that customers cannot
postpone the decision of buying the detergents, as it was one of the essential commodities.
3. METHODOLOGY
The present study was undertaken to know the awareness of consumers towards
branded ready-to-eat food products, purchase behaviour of ready-to-eat food products, brand
preference of the consumers, factors influencing brand preference and to study the alternative
purchase plans of the consumers. This chapter covers the following aspects:
3.1
3.2
3.3
3.1
Dharwad and Hubli are the fastest growing cities in the state next to Bangalore. The
population is heterogeneous with diverse cultural, religious and economic background. This
urban conglomeration covers an area of 190 square kilometers with a population of 7.86 lakhs
(2001 census). Because of the existence of various linguistic, religious and ethnic groups, it
has been a very good marketing centre for launching new products. Since, the twin cities
provide an ideal setting to study the behaviour of consumers towards ready-to-eat food
products, the present study was undertaken.
3.2
Below 20 years
Between 21 40 years
Between 41 60 years
: General information like name, age, education, sex, occupation, food habit,
family income and family type. Monthly expenditure on food items in general
and ready- to- eat food products in particular.
Part II
Secondary data
The secondary data on location, demography and regarding population of the study
area were collected from District Statistical Office and published sources.
3.3
The data collected for the study was processed and analyzed by using suitable
statistical techniques. Frequency, percentage, mean, standard deviation and Garrets ranking
techniques were used to present the collected data. A detailed description of the analytical
tools employed in the study is presented below.
Factors
1
10
11
12
13
14
15
10
10
10
In the second stage: Thus assigned ranks by the individual respondents were counted into
percent position value by using the formula.
Per cent position = 100 (Rij 0.5)/Nj.
th
th
Where, Rij stands for rank given for the i factor by the j individual.
Nj stands for number of factors ranked by jth individual.
The per cent position value for the same assigned ranks by the respondents as follows.
Respondent
No.
Factors
10
11
12
13
14
15
45
15
85
95
35
25
75
65
55
25
15
65
95
55
35
75
85
45
25
55
75
95
15
65
85
45
35
Stage III For each per cent position scores were obtained with reference to Garretts tables
and each per cent position value was converted into scores by reference to Garretts Table.
Eg: Garretts table scores for the per cent position values as follows
Respondent
No.
Factors
10
11
12
13
14
15
52
82
70
30
18
57
63
37
42
47
63
70
42
18
47
57
82
37
30
52
63
47
37
18
70
82
42
30
52
57
In the fourth stage Summation of these scores for each factor was worked out for the
number of respondents who ranked for each factor.
Respondent
No.
Factors
1
10
11
12
13
14
15
52
82
70
30
18
57
63
37
42
47
63
70
42
18
47
57
82
37
30
52
63
47
37
18
70
82
42
30
52
57
126
169
124
107
48
36
47
127
221
63
79
67
30
196
104
In the fifth stage Mean scores were calculated by dividing the total score by the number of
respondents.
Respondent
No.
Factors
10
11
12
13
14
15
52
82
70
30
18
57
63
37
42
47
63
70
42
18
47
57
82
37
30
52
63
47
37
18
70
82
42
30
52
57
126
169
124
107
48
36
47
127
221
63
79
67
30
196
104
Mean
63
56.33
62
53.50
24
18
47
63.50
73.66
63
39
33.50
30
65.33
52
In the last stage Overall ranking was obtained by assigning ranks 1, 2, 3 . etc. in the
descending order of the mean score.
Respondent
No.
Factors
10
11
12
13
14
15
52
82
70
30
18
57
63
37
42
47
63
70
42
18
47
57
82
37
30
52
63
47
37
18
70
82
42
30
52
57
Mean
63
56.33
62
53.50
24
18
47
63.50
73.66
63
39
33.50
30
65.33
52
Ranks
IV
VI
VII
XIII
XIV
IX
III
IV
XI
XII
II
VIII
4. RESULTS
The results of the study are presented under the following headings.
4.1
4.2
4.3
4.4
4.5
4.1
Percentage
64
32.00
110
55.00
18
9.00
4.00
Male
78
39.00
Female
122
61.00
Illiterate
General information
Age
Sex
Education
Family type
Family size
Food habit
Occupation
Categories
Primary school
2.00
High school
20
10.00
PUC
60
30.00
Degree
88
44.00
PG
28
14.00
Joint
22
11.00
Nuclear
178
89.00
Small (below 5)
82
41.00
Medium ( 5-7)
88
44.00
30
15.00
Vegetarian
146
73.00
Non - vegetarian
54
27.00
80
40.00
68
34.00
52
26.00
Student
136
68.00
House wife
18
9.00
Business
3.00
Government employee
24
12.00
16
8.00
Private
Note : AG1 Age group 1 (Below 20 years)
AG2 Age group 2 (21-40 years)
AG3 Age group 3 (41-60 years)
AG4 Age group 4 (>60 years)
brands were well known to 96.87 per cent each of the respondents. Among AG2, majority of
the respondents were familiar with Frooti and Maaza brands (94.54% each). Slice, Appy,
Pulpy orange and Real fresh brands were familiar among 85.45, 83.63, 69.09 and 63.63 per
cent of the respondents. About 49.09 per cent of the respondents were aware of Tropicana
twister brand. All the respondents of AG3 were conscious of Maaza brand. Frooti, Slice and
Real fresh brands were familiar among more than 70.00 per cent of respondents. Less
percentage of the respondents were aware of Tropicana twister brand (22.22%). Among AG4
only 25.00 per cent each of the respondents knew Maaza and Slice brands. It was also
observed from the table that Real fresh, Appy, Tropicana twister and Pulpy orange brands
were not known to any of the respondents of AG4.
Table 4.2. Brand awareness of consumers about biscuits among different age groups
Age group
Brands
AG1
(n=64)
AG2
(n = 110)
AG3
(n = 18)
AG4
(n = 8)
Overall
(N=200)
Parle G
64 (100.00)
108 (98.18)
18 (100.00)
8 (100.00)
198 (99.00)
Tiger biscuits
62 (96.87)
106 (96.36)
16 (88.88)
8 (100.00)
192 (96.00)
Marie gold
62 (96.87)
106 (96.36)
18 (100.00)
8 (100.00)
194 (97.00)
Britannia 50-50
42 (65.62)
100 (90.90)
14 (77.77)
4 (50.00)
160 (80.00)
Sunfeast snacky
42 (65.62)
72 (65.45)
10 (55.55)
124 (62.00)
Sunfeast glucose
46 (71.87)
72 (65.45)
10 (55.55)
128 (64.00)
Good day
64 (100.00)
108 (98.18)
16 (88.88)
4 (50.00)
192 (96.00)
Krack jack
64 (100.00)
106 (96.36)
16 (88.88)
6 (75.00)
192 (96.00)
50 (78.12)
94 (85.45)
14 (77.77)
2 (25.00)
160 (80.00)
Glucose
54 (84.37)
84 (76.36)
16 (88.88)
8 (100.00)
162 (81.00)
34 (53.12)
44 (40.00)
8 (44.44)
86 (43.00)
34 (53.12)
66 (60.00)
12 (66.66)
112 (56.00)
Parle Monaco
48(75.00)
92 (83.63)
14 (77.77)
2(25.00)
156 (78.00)
40(62.50)
88 (80.00)
12 (66.66)
140 (70.00)
Note : Figures in parentheses indicate the percentage to the total number of respondents in
the category.
99
97
96
100
96
90
96
80
80
81
78
80
70
Percentages
70
62
64
56
60
43
50
40
30
20
10
0
rle
Pa
G
T
is
rb
ige
its
cu
M
ie
ar
ld
go
Br
ia
nn
ita
y
k
y
e
ek
ck
ac
da
os
se
d
kj
na
uc
l
o
&
s
g
o
ac
t
e
r
t
s
G
d
s
K
i
ea
H
ea
nf
nf
Su
Su
0
-5
50
Brands
e
ts
co
ss
ies
os
ar
na
pa
ok
uc
he
e
co
Mo
Gl
le
im
t
p
t
i
e
T
i
l
rl
ch
ia
ia
Pa
te
nn
nn
it a
o la
it a
r
r
c
B
B
ho
Table 4.3. Brand awareness of consumers about chips among different age groups
Age group
Brands
Uncle chips
Bingo
Lays
Haldiram chips
Lip chips
Dimond chips
Lehar
AG1
AG2
AG3
AG4
Overall
(n=64)
(n = 110)
(n = 18)
(n = 8)
(N=200)
60
88
14
166
(93.75)
(80.00)
(77.77)
(50.00)
(83.00)
38
80
14
134
(59.37)
(72.72)
(77.77)
(25.00)
(67.00)
64
106
16
192
(100.00)
(96.36)
(88.88)
(75.00)
(96.00)
38
78
10
(59.37)
(70.90)
(55.55)
28
40
(43.75)
(36.36)
(11.11)
22
40
(34.37)
(36.36)
(11.11)
32
58
10
(50.00)
(52.72)
(55.55)
126
(63.00)
70
(35.00)
64
(32.00)
100
(50.00)
Note : Figures in parentheses indicate the percentage to the total number of respondents in
the category.
96
100
90
83
80
67
63
Perentages
70
60
50
50
35
32
40
30
20
10
0
Uncle chips
Bingo
Lays
Haldiram chips
Lip chips
Diamond chips
Brands
Lehar
Table 4.4. Brand awareness of consumers about fruit juice among different age groups
Age group
Brands
Real fresh
Frooti
Appy
Maaza
Tropicana twister
Pulpy orange
Slice
AG1
AG2
AG3
AG4
Overall
(n=64)
(n = 110)
(n = 18)
(n = 8)
(N=200)
40
70
14
(62.50)
(63.63)
(77.77)
64
104
16
192
(100.00)
(94.54)
(88.88)
(100.00)
(96.00)
50
92
10
(78.12)
(83.63)
(55.55)
62
104
18
186
(96.87)
(94.54)
(100.00)
(25.00)
(93.00)
30
54
(46.87)
(49.09)
(22.22)
32
76
(50.00)
(69.09)
(44.44)
62
94
16
174
(96.87)
(85.45)
(88.88)
(25.00)
(87.00)
124
(62.00)
152
(76.00)
88
(44.00)
116
(58.00)
Note : Figures in parentheses indicate the percentage to the total number of respondents in
the category.
96
93
100
87
90
76
80
Percentages
70
62
58
60
44
50
40
30
20
10
0
Real fresh
Frooti
Appy
Maaza
Tropicana
twister
Pulpy orange
Brands
Slice
Table 4.5. Brand awareness of consumers about ice creams among different age
groups
Age group
Brands
Amul
Arun
MTR
Nandini
Kwality walls
Hangya
Vadilal
Dairy day
Dinshaws
AG1
AG2
AG3
AG4
Overall
(n=64)
(n = 110)
(n = 18)
(n = 8)
(N=200)
64
110
16
198
(100.00)
(100.00)
(88.88)
(100.00)
(99.00)
44
76
10
132
(68.75)
(69.09)
(55.55)
(25.00)
(66.00)
36
80
16
(56.25)
(72.72)
(88.88)
44
74
14
(68.75)
(67.27)
(77.77)
32
80
12
(50.00)
(72.72)
(66.66)
26
44
(40.62)
(40.00)
(44.44)
36
62
12
112
(56.25)
(56.36)
(66.66)
(25.00)
(56.00)
32
54
10
98
(50.00)
(49.09)
(55.55)
(25.00)
(49.00)
16
24
10
(25.00)
(21.81)
(55.55)
132
(66.00)
132
(66.00)
124
(62.00)
78
(39.00)
50
(25.00)
Note : Figures in parentheses indicate the percentage to the total number of respondents in
the category.
99
100
90
80
66
Percentages
70
66
66
62
56
60
49
50
39
40
25
30
20
10
0
Amul
Arun
MTR
Nandini
Kwality walls
Hangya
Vadilal
Dairy day
Brands
Dinshaws
Overall
Biscuits
Chips
Fruit juice
Ice creams
Television
184 (92.00)
186(93.00)
172(86.00)
162(81.00)
704 (26.13)
Radio
40 (20.00)
20(10.00)
26(13.00)
24(12.00)
110 (4.08)
Newspapers
132 (66.00)
114(57.00)
112(56.00)
124(62.00)
482 (17.89)
Magazines
78 (39.00)
64(32.00)
76(38.00)
80(40.00)
298 (11.06)
Friends/relatives
102(51.00)
124(62.00)
118(59.00)
128(64.00)
472 (17.52)
Shopkeeper/retailer
96(48.00)
82(41.00)
74(37.00)
88(44.00)
340 (12.62)
Window display
86(43.00)
68(34.00)
68(34.00)
66(33.00)
288 (10.69)
Total = 2694 (100.00)
Note : Figures in the parentheses indicate percentage to the total sample size.
4.2
High price and low quality were the reasons for not consuming ice creams by 16.66 per cent
each of the respondents.
needed. Thirteen per cent of the respondents bought ice creams from bakeries. Very few of
them purchased from retail outlets (4.91%) and departmental stores (3.27%). This was
followed by once in a week purchase from ice parlors (94.11%), bakeries (23.52%), retail
outlets (17.64%) and 11.76 per cent of them purchased from departmental stores.
Products
Biscuits
Chips
Fruit juice
Ice creams
Age group
Buyers
(N= 200)
Non-buyers
64 (100.00)
110 (100.00)
18 (100.00)
AG4 (n= 8)
8 (100.00)
Total (N = 200)
200 (100.00)
64 (100.00)
108 (98.18)
2 (1.81)
12 (66.66)
6 (33.33)
AG4 (n= 8)
8 (100.00)
Total (N = 200)
184 (92.00)
16 (8.00)
64 (100.00)
106 (96.36)
4 (3.63)
16 (88.88)
2 (11.11)
AG4 (n= 8)
8 (100.00)
Total (N = 200)
186 (93.00)
14 (7.00)
62 (96.87)
2 (3.12)
108 (98.18)
2 (1.81)
18 (100.00)
AG4 (n= 8)
8 (100.00)
188 (94.00)
12 (6.00)
Total (N = 200)
Note : Figures in the parentheses indicate percentage to the total number of respondents in
each age group.
Television
Radio
Newspapers
Magazines
Friends/relatives
Shopkeeper/retailer
Window display
10.69
26.13
12.62
4.08
17.52
17.89
11.06
Table 4.8. Reasons for purchasing ready-to-eat food products by consumers of Hubli
Dharwad
Products
Reasons
Readily available
Taste
Satisfaction
Any other
Biscuits
Chips
Fruit juice
Ice creams
(n=200)
(n=184)
(n=186)
(n=188)
106
86
104
64
(53.00)
(46.73)
(55.91)
(34.04)
92
148
110
116
(46.00)
(80.43)
(59.13)
(61.70)
120
58
68
74
(60.00)
(31.52)
(36.55)
(39.36)
30
68
82
84
(15.00)
(36.95)
(44.08)
(44.68)
78
48
28
48
(39.00)
(26.08)
(15.05)
(25.53)
130
118
50
26
(65.00)
(64.13)
(26.88)
(13.82)
86
96
88
104
(43.00)
(52.17)
(47.31)
(55.31)
46
72
92
52
(23.00)
(39.13)
(49.46)
(27.65)
18
(1.08)
(9.67)
Note : Figures in parentheses indicate the percentage to the total number of users of the
respective product.
Table 4.9. Reasons for not purchasing ready-to-eat food products by consumers of
Hubli Dharwad
Products
Reasons
Biscuits
Chips
Fruit juice
Ice creams
(n=0)
(n=16)
(n=14)
(n=12)
12
(50.00)
(42.85)
(100.00)
10
(50.00)
(71.42)
(16.66)
10
(62.50)
(28.57)
(16.66)
High price
Low quality
Health conscious
Any other
16
(100.00)
-
8
(66.66)
12
(85.71)
(33.33)
Note : Figures in parentheses indicate the percentage to the total number of non-users of the
respective product.
Cereals
Pulses
Average
Income group
Low income
Middle income
High income
283.15
541.47
588.46
450.60
(18.08)
(22.22)
(21.41)
(21.12)
241.50
327.94
398.07
311.60
(15.42)
(14.06)
(14.48)
(14.61)
244.25
314.70
398.46
308.30
(15.59)
(13.49)
(14.50)
(14.45)
261.25
394.11
423.07
348.50
(16.68)
(16.90)
(15.39)
(16.34)
311.25
545.61
516.17
418.30
(19.87)
(23.40)
(18.78)
(19.61)
224.00
298.52
423.07
301.10
(14.30)
(12.80)
(15.39)
(14.11)
1566.00
2331.35
2747.60
2133.30
(100.00)
(100.00)
(100.00)
(100.00)
Cereals
Pulses
14.11
21.12
19.61
14.61
16.34
14.45
Income group
Average
Biscuits
Chips
Fruit
juice
Ice creams
Total
Low income
Middle income
High income
60.70
82.94
128.38
85.86
(35.77)
(34.45)
(35.51)
(35.17)
28.87
46.02
55.96
41.75
(17.01)
(19.11)
(15.48)
(17.10)
38.87
61.91
8153
57.80
(22.91)
(25.71)
(22.55)
(23.67)
41.25
49.85
95.57
58.70
(24.31)
(20.70)
(26.44)
(24.04)
169.69
240.72
361.44
244.11
(100.00)
(100.00)
(100.00)
(100.00)
Biscuits
Chips
Fruit juice
Ice creams
24.04
35.17
23.67
17.1
Fortnightly (n = 12)
22
(78.57)
6
(21.42)
16
(57.14)
28
(41.17)
48
(70.58)
48
(70.58)
28
(42.42)
42
(63.63)
38
(57.57)
6
(50.00)
6
(50.00)
20
(76.92)
24
(92.30)
20
(76.92)
Biscuits
(n
=
200)
Daily (n = 2)
Chips
(n
=
184)
2
(100.00)
12
(60.00)
8
(40.00)
18
(90.00)
10
(41.66)
6
(23.07)
22
(91.66)
6
(20.00)
12
(40.00)
28
(93.33)
26
(24.07)
32
(29.62)
84
(77.77)
Fortnightly (n = 24)
I
-
4
(50.00)
4
(50.00)
4
(50.00)
4
(28.57)
2
(14.28)
12
(85.70)
6
(42.85)
8
(30.76)
6
(23.07)
14
(53.84)
4
(15.38)
10
(41.66)
12
(50.00)
12
(50.00)
26
(22.80)
36
(31.50)
58
(50.87)
38
(33.33)
Daily (n = 4)
Ice
creams
(n
=
188)
Fortnightly (n = 30)
Daily (n = 8)
Fruit
juice (n
= 186)
Twice in a week (n = 6)
Fortnightly (n = 22)
4
(100.0)
4
(66.66)
6
(100.0)
6
(17.64)
4
(11.76)
8
(23.52)
32
(94.11)
2
(9.09)
2
(9.09)
8
(36.36)
20
(90.90)
6
(4.91)
4
(3.27)
16
(13.11)
118
(96.72)
B Bakeries
I Ice parlors.
Age group
Products
Biscuits
(n=200)
Nature of purchase
decision
Fruit juice
(n = 186)
Ice
creams
(n= 188)
AG1
68
(61.81)
AG2
(n
8
(44.44)
AG3
(n
8
(100.00)
AG4
(n=64)
= 108)
= 12)
(n = 0)
12
(100.00)
44 (68.75)
Planned purchase
20 (31.25)
80
(74.07)
AG1
(n=64)
= 106)
= 16)
AG1
54
(50.94)
52
(49.05)
AG2
(n
8
(50.00)
8
(50.00)
AG3
(n
AG4
(n=62)
= 108)
= 18)
(n = 0)
12 (66.66)
6
(33.33)
20 (31.25)
Planned purchase
44 (68.75)
purchase
42
28
(25.92)
AG2
(n
Impulsive buying
Nature
of
decision
AG4
10 (55.55)
Impulsive buying
purchase
(n
(38.18)
46 (71.87)
= 110)
AG3
(n = 8)
Planned purchase
Nature
of
decision
(n
= 18)
18 (28.12)
purchase
AG2
(n=64)
Impulsive buying
Nature
of
decision
Chips (n
= 184)
AG1
Impulsive buying
22 (35.48)
Planned purchase
40 (64.51)
62
(57.40)
46
(42.59)
AG3
(n
Overall
70
(35.00)
130
(65.00)
Overall
136
(73.91)
48
(26.08)
AG4
(n = 0)
-
Overall
82
(44.08)
104
(55.91)
Overall
96
(51.06)
92
(48.93)
Note : Figures in the parentheses indicate percentage to the total number of users in each
age group.
Income group
Biscuits (n = 200)
Parents
Children
Friends
Neighbours
Shopkeeper
Self decision
Low (n = 80)
37 (46.25)
42 (52.50)
20 (25.00)
8 (10.00)
12 (15.00)
62 (77.50)
Medium (n=68)
35 (51.47)
30 (44.14)
18 (26.47)
10 (14.70)
18 (26.47)
40 (58.82)
High (n = 52)
20 (38.46)
16 (30.76)
16 (30.76)
4 (7.69)
8 (15.38)
32 (61.53)
Total
92 (46.00)
88 (44.00)
54 (27.00)
22 (11.00)
38 (19.00)
134 (67.00)
6 (8.00)
24 (32.00)
26 (34.66)
10 (13.33)
6 (8.00)
44 (58.66)
Medium (n=62)
18 (29.03)
30 (48.38)
20 (32.25)
12 (19.35)
10 (16.12)
46 (74.19)
High (n = 47)
8 (17.02)
18 (38.29)
20 (42.55)
2 (4.25)
2 (4.25)
28 (59.57)
Total
32 (17.39)
72 (39.13)
66 (35.86)
24 (13.04)
18 (9.78)
118 (64.13)
Low (n = 77)
20 (25.97)
12 (15.58)
32 (41.55)
12 (15.58)
6 (7.79)
44 (57.14)
Medium (n=59)
32 (54.23)
20 (33.89)
20 (33.89)
2 (3.38)
12 (20.33)
44 (75.57)
High (n = 50)
26 (52.00)
10 (20.00)
20 (40.00)
4 (8.00)
36 (72.00)
Total
78 (41.93)
42 (22.58)
72 (38.70)
14 (7.51)
22 (11.82)
124 (66.66)
Low (n = 70)
4 (5.71)
30 (42.85)
26 (37.14)
8 (11.42)
2 (2.85)
42 (66.00)
Medium (n=68)
6 (8.82)
20 (29.41)
38 (55.88)
6 (8.82)
8 (11.76)
30 (44.11)
High (n = 50)
6 (12.00)
24 (48.00)
28 (56.00)
6 (12.00)
4 (8.00)
36 (72.00)
Total
16 (8.51)
74 (39.36)
92 (48.93)
20 (10.63)
14 (7.44)
108 (57.44)
Low (n = 75)
Chips
(n=184)
Note : Figures in parentheses indicate percentage to the total number of users in each income group.
Table 4.15. Influence /impact of education to make purchase decision on ready-to-eat food products
Products
Biscuits
(n = 200)
Education level
Parents
Children
Friends
Neighbours
Shopkeeper
Self decision
Primary school (n = 4)
4 (100.00)
1 (25.00)
20 (100.00)
6 (30.00)
6 (30.00)
4 (20.00)
4 (20.00)
8 (40.00)
PUC (n = 60)
44 (73.33)
6 (10.00
6 (10.00)
2 (3.33)
18 (30.00)
22 (36.66)
Degree (n = 88)
22 (25.00)
66 (75.00)
31 (35.22)
16 (18.18)
16 (18.18)
86 (97.72)
2 (7.14)
10 (35.71)
10 (35.71)
18 (64.28)
Primary school (n = 2)
2 (100.00)
6 (37.50)
6 (37.50)
10 (62.50)
4 (25.00)
4 (25.00)
6 (37.50)
PUC (n = 55)
2 (3.63)
6 (10.90)
25 (45.45)
2 (3.63)
20 (36.36)
22 (25.58)
35 (46.69)
13 (15.11)
16 (18.60)
14 (16.27)
74 (86.04)
PG ( n = 25)
25 (100.00)
18 (72.00)
18 (72.00)
Primary school (n = 0)
10 (55.55)
6 (33.33)
6 (33.33)
4 (22.22)
4 (22.22)
8 (44.44)
PUC (n = 59)
6 (10.16)
4 (6.77)
12 (20.33)
2 (3.38)
2 (3.38)
18 (30.50)
Degree (n = 85)
52 (61.17)
24 (28.23)
50 (58.82)
10 (11.76)
16 (18.82)
80 (94.11)
PG ( n = 24)
10 (41.66)
8 (33.33)
4 (16.66)
18 (75.00)
4 (20.00)
6 (30.00)
8 (40.00)
20 (100.00)
2 (10.00)
6 (30.00)
PUC (n = 60)
2 (3.33)
2 (3.33)
12 (20.00)
50 (83.33)
2 (3.33)
5 (8.33)
10 (11.76)
52 (61.17)
66 (77.64)
30 (35.29)
10 (11.76)
75 (88.23)
22 (95.65)
PG ( n = 28)
Chips
(n = 184)
Fruit juice
(n = 186)
Degree (n = 86)
Primary school (n = 0)
Ice creams
(n = 188)
Degree (n = 85)
PG ( n = 23)
14 (60.86)
6 (26.08)
Note : Figures in parentheses indicate percentage to the total number of users in each education level.
In the case of chips, all the respondents of primary education level were influenced by
their parents while taking purchase decisions. Majority of the respondents of high school level
and PUC level were influenced by friends (62.50% and 45.45% respectively). Degree holders
mostly took self decision (86.04%) while making purchase decisions. Most of the post
graduates were influenced by children (100.00%) while making purchase decisions.
In case of fruits juice, majority of the respondents of high school level were influenced
by parents while taking purchase decisions (55.55%). Most of the respondents of PUC level,
degree holders and post-graduate took their own decision while purchasing (30.50%, 94.11%
and 75.00% respectively) fruit juice.
Ice cream purchasing decision was mainly influenced by neighbours in high school
and PUC level respondents (100.00% and 83.33% respectively). Most of the respondents
took self decision while purchasing in case of post graduate respondents (88.23% and
95.65% respectively).
4.2.10
Table 4.16 presents preference for type of biscuits among different age groups. It was
observed from the table that, among the first age group (AG1) maximum of the respondents
preferred sweet biscuits (65.62%), followed by cream biscuits (50.00%), salted biscuits
(18.75%) and wafers (12.50%) were less preferred. Cream biscuits were mostly preferred
(54.54%) in the AG2, followed by salted biscuits (41.81%), sweet biscuits (38.18%), high fibre
content biscuits (18.18%) and wafers (16.36%). In the AG3, 66.66 per cent of them preferred
sweet biscuits. Cream biscuits, wafers and salted biscuits were preferred by 55.55 per cent
each. Only 33.33 per cent of them did go for high fibre content biscuits in this age group. All
the respondents of AG4 preferred sweet biscuits. Fifty per cent of the respondents also
preferred salted biscuits. Only a small percentage of the respondents (25.00%) preferred high
fibre content biscuits. In the last age group none of respondents preferred cream biscuits and
wafers. None of the respondents preferred high fibre content biscuits in the AG1 . Overall,
more than 50.00 per cent of the respondents preferred sweet biscuits and cream biscuits.
Only a small percentage of the respondents (14.00%) did go for high fibre content biscuits.
4.2.11
Table 4.17 shows preference for variety of chips among different age groups. It could
be seen from the table that preference for potato chips was found to be highest (78.26%)
followed by banana chips (51.08%), jack fruit chips (31.52%) and only 10.86 per cent of them
did go for sweet potato chips. Potato chips were mostly preferred by cent per cent, 81.25 per
cent and 74.07 per cent of AG3, AG1 and AG2 respondents accordingly. Among the first two
age groups i.e., AG1 and AG2 the next preference was given for banana chips (40.62% and
61.11% respectively) followed by jack fruit chips (37.5% and 27.77% respectively) and sweet
potato chips were less preferred among these two age groups i.e., AG1 (12.50%) and AG2
(9.25%). In the AG3 category jack fruit chips were preferred by 33.33 per cent of the
respondents, banana chips and sweet potato chips were preferred by less number of
respondents (16.66% each).
4.2.12
Table 4.18 depicts preference for flavour in chips among different age groups. The
table reveals that, maximum of the respondents preferred chilly flavoured/masala chips
(69.56%) followed by tomato flavoured (48.91%) chips and 41.30 per cent of the respondents
preferred salted/plain chips. Chilly flavoured / masala chips were most preferred among AG1
and AG2 (68.75% and 70.37% respectively), followed by tomato flavoured chips by 40.62 per
cent and 55.55 per cent of AG1 and AG2 respondents respectively and salted/plain chips
were less preferred by 28.12 per cent and 46.29 per cent of AG1 and AG2 consumers
accordingly. In the AG3 salted / plain chips were most preferred (66.66%) and 33.33 per cent
each of the respondents preferred tomato flavoured and chilly flavoured / masala chips.
4.2.13
Table 4.19 presents preference for type of fruit juice among different age groups. The
table reveals that maximum of the respondents preferred mango juice (61.29%) followed by
apple juice and orange juice (46.23% each). Thirty one per cent of them preferred pineapple
juice and strawberry was preferred only by 13.97 per cent of the respondents. In the first age
group (AG1), majority of the respondents preferred apple juice (56.25%), subsequently
orange juice was preferred by 50 per cent, mango juice by 46.87 per cent, 25 per cent of
them did go for pineapple juice and only 15.62 per cent preferred strawberry juice. Mango
juice was preferred by most of the respondents (69.81%) in AG2, followed by orange juice
(43.39%), 35.84 per cent of them preferred pineapple juice, 30.18 per cent did go for apple
juice and strawberry juice was least preferred (13.20%) among AG2 respondents. In the AG3
category, apple juice was preferred by all the respondents. In addition, 62.50 per cent of them
preferred mango juice, 50.00 per cent of them did go for orange juice, pineapple juice was
preferred by 25.00 per cent of the respondents and only 12.50 per cent of them preferred
strawberry juice.
4.2.14
Table 4.20 presents preference for type of ice creams among different age groups. It
could be noticed from the table that among the first two age groups i.e., AG1 and AG2 most
of the respondents did go for cone ice creams (77.41% and 75.92% respectively). This was
followed by cup ice creams (38.70% and 38.88% of the respondents of AG1 and AG2
respectively). Ninteen and twenty six per cent of the respondents of AG1 and AG2
respectively preferred candy. Scoop was preferred among 16.12 per cent and 22.22 per cent
of the respondents of AG1 and AG2 accordingly. A meagre percentage of respondents
(1.85%) preferred family packs in AG2, but none of the respondents of AG1 preferred family
packs. In the third age group, majority of them did go for cone ice creams (66.66%). Cup ice
creams were preferred by 44.44 per cent and 22.22 per cent preferred scoop. Candy and
family packs were preferred by 11.11 per cent each of the respondents. At the aggregate
level, major proportion of respondents preferred cone ice creams (75.53%) followed by cup
(39.36%), candy (22.34%), scoop (20.21%) and family packs were preferred by only 2.12 per
cent of the respondents.
4.2.15
An analysis of preference for flavour in ice creams among different age groups is
depicted in Table 4.21. It was observed from the table that chocolate flavour was highly
preferred among the first age group (70.96%), followed by vanilla (54.83%), pista (41.93),
butterscotch (25.80%), strawberry (9.67%) and mango (6.45%).
In case of AG2, maximum of the respondents preferred vanilla flavour (55.55%)
followed by pista flavour (40.47%), chocolate flavour (35.18%), mango (22.22%), strawberry
(20.37%) and butterscotch (7.40%). The results also revealed that, about 77.77 per cent of
the respondents of AG3 preferred vanilla flavour, pista flavour was preferred by 66.66 per
cent of the respondents and chocolate flavour was less preferred in this age group (11.11%).
Strawberry, mango and butterscotch were preferred by 22.22 per cent each of the
respondents of this age group.
At the overall level, vanilla flavour was most preferred (57.44%), followed by
chocolate flavour (44.68%), pista (43.61%), mango and strawberry flavours (17.02% each)
and least preferred flavour was butter scotch (14.89%).
4.3
Table 4.22 to Table 4.25 shows the rank matrix of common brands preferred among
the products. The brands have been considered based on mean scores of preferential order
of brands considered by the consumers. Preferential order of brands were obtained based on
Garretts ranking test.
Table 4.16. Preference for type of biscuits among different age groups
Age group
Type of biscuits
AG1
AG2
AG3
AG4
Overall
(n=64)
(n = 110)
(n = 18)
(n = 8)
(N=200)
32
60
10
Cream biscuits
102
-
(50.00)
(54.54)
(55.55)
18
10
Wafers
(51.00)
36
-
(12.50)
(16.36)
(55.55)
(18.00)
12
46
10
72
(18.75)
(41.81)
(55.55)
(50.00)
(36.00)
42
42
12
104
(65.62)
(38.18)
(66.66)
(100.00)
(52.00)
20
28
(18.18)
(33.33)
(25.00)
(14.00)
Salted biscuits
Sweet biscuits
Note : Figures in the parentheses indicate percentage to the total number of users in each
age group.
Table 4.17. Preference for variety of chips among different age groups
Age group
Variety of chips
AG1
(n = 64)
AG2
(n = 108)
AG3
(n=12)
AG4
(n = 0)
Banana chips
26
(40.62)
66
(61.11)
2
(16.66)
94
(51.08)
Potato chips
52
(81.25)
80
(74.07)
12
(100.00)
144
(78.26)
8
(12.50)
10
(9.25)
2
(16.66)
20
(10.86)
24
(37.50)
30
(27.77)
4
(33.33)
58
(31.52)
Overall
(n=184)
Note : Figures in the parentheses indicate percentage to the total number of users in each
age group.
Table 4.18. Preference for flavour in chips among different age groups
Age group
Flavour in chips
AG1
(n = 64)
AG2
(n = 108)
AG3
(n=12)
AG4
(n = 0)
Overall
(n=184)
18
(28.12)
50
(46.29)
8
(66.66)
Salted/ plain
76
(41.30)
26
(40.62)
60
(55.55)
4
(33.33)
Tomato flavoured
90
(48.91)
Chilly flavoured /
Masala
44
(68.75)
76
(70.37)
4
(33.33)
128
(69.56)
Note : Figures in the parentheses indicate percentage to the total number of users in each
age group.
Table 4.19. Preference for type of fruit juice among different age groups
Age group
Type of fruit
juice
AG1
(n
AG2
= 64)
(n = 106)
30
74
AG3 (n=16)
AG4
Overall
(n = 0)
(n=186)
10
Mango
144
-
(46.87)
(69.81)
(62.50)
36
32
16
Apple
(61.29)
86
-
(56.25)
(30.18)
(100.00)
32
46
Orange
(46.23)
86
-
(50.00)
(43.39)
(50.00)
10
14
Strawberry
(46.23)
26
-
(15.62)
(13.20)
(12.50)
16
38
Pineapple
(13.97)
58
-
(25.00)
(35.84)
(25.00)
(31.18)
Note : Figures in the parentheses indicate percentage to the total number of users in each
age group.
Table 4.20. Preference for type of ice creams among different age groups
Age group
Type of ice
creams
AG1
(n
AG2
= 62)
(n = 108)
48
82
AG3 (n=18)
(n
= 0)
12
Cone
Overall
(n=188)
142
(77.41)
(75.92)
(66.66)
24
42
Cup
(75.53)
74
-
(38.70)
(38.88)
(44.44)
10
24
Scoop
(39.36)
38
-
(16.12)
(22.22)
(22.22)
12
28
Candy
(20.21)
42
-
(19.35)
Family pack
AG4
(25.92)
(11.11)
(22.34 )
4
-
(1.85)
(11.11)
(2.12)
Note : Figures in the parentheses indicate percentage to the total number of users in each
age group.
Table 4.21. Preference for flavour in ice creams among different age groups
Age group
Flavours
AG1
AG2
(n = 62)
(n = 108)
34
60
AG3 (n=18)
AG4
Overall
(n = 0)
(n=188)
14
Vanilla
108
-
(54.83)
(55.55)
(77.77)
22
Strawberry
(57.44)
32
-
(9.67)
(20.37)
(22.22)
44
38
Chocolate
(17.02)
84
-
(70.96)
(35.18)
(11.11)
24
Mango
(44.68)
32
-
(6.45)
(22.22)
(22.22)
26
44
12
Pista
(17.02)
82
-
(41.93)
(40.74)
(66.66)
16
Butterscotch
(43.61)
28
-
(25.80)
(7.40)
(22.22)
(14.89)
Note : Figures in the parentheses indicate percentage to the total number of users in each
age group.
Rankings
Mean score
Parle-G
69.99
Good day
II
69.62
Marie gold
III
61.14
IV
54.74
Tiger biscuits
53.79
Krack jack
VI
52.86
Britannia 50-50
VII
48.76
VIII
45.61
Parle Monaco
IX
43.68
Glucose
43.41
Sunfeast snacky
XI
42.13
XII
38.95
XIII
38.88
Sunfeast glucose
XIV
37.44
Rankings
Mean score
Lays
71.55
Uncle chips
II
59.67
Bingo
III
51.03
Haldiram chips
IV
49.90
46.25
Lehar
VI
42.00
Diamond chips
VII
39.90
Lip chips
VIII
38.68
4.4
Table 4.26 shows the rank matrix of common factors influencing the brand preference
among the products.
While preferring a particular brand in biscuits quality was considered as the foremost
factor (mean score of 75.74). Second important factor was taste with a mean score of 74.79.
Reasonable price was ranked as third factor (mean score of 64.60). Quantity and availability
of the brands were ranked fourth and fifth ranks respectively (mean score of 59.08 and 56.70
respectively). While preferring a particular brand in chips, fruit juice and ice creams, taste was
considered as the foremost factor in all the products (mean score of 80.35, 77.29 and 79.05
respectively). Quality was considered as the second important factor by the consumers (mean
score of 71.22, 75.23 and 74.18 respectively). Third criteria considered was reasonable price
in all the three products (mean score of 62.46, 62.29 and 64.21 respectively). Quantity and
brand image were considered as fourth and fifth criteria respectively (mean score of 59.92,
60.04 and 57.43, and 54.57, 56.15 and 55.70 respectively).
In case of all the four products retailers influence was considered as the last criteria
for the preference of a particular brand (mean score of 27.91, 30.32, 28.53 and 31.45
respectively).
4.5
Table 4.27 reveals alternative purchase plans of ready-to-eat food products. Majority
of the respondents in case of biscuits (80.00%), chips (60.86%), fruit juice (58.06%) and ice
creams (56.38%) would go to other shops if preferred brand was not available. In the case of
biscuit consumers, 27.00 per cent of the respondents would postpone their purchase decision
if their preferred brand was not available, 22.00 per cent of them bought other brand and
26.00 per cent of the respondents placed order to get required brand. In case of chips, 40.21
per cent of the respondents opined to buy other brand if their favourite brand was not
available, 36.95 per cent of them would postpone the purchase decision and only 23.91 per
cent of the respondents planned to place order to get their required brand. In case of fruit
juice, if required brand was not available in the market 34.40 per cent of the respondents
were ready to postpone their purchase decision, 38.70 per cent of the respondents opined
that they would buy other brand and 21.50 per cent of them said they would place order to get
their required brand. In case of ice creams, 40.42 per cent of the respondents opined that
they would postpone the purchase decision of their preferred brand was not available in the
market, 32.97 per cent of them would buy some other brands and 34.04 per cent of the
respondents said they would place order to get required brand.
Rankings
Mean score
Maaza
62.81
Frooti
II
62.61
Slice
III
56.00
Appy
IV
48.89
Real fresh
44.17
Pulpy orange
VI
38.59
Tropicana twister
VII
35.91
Rankings
Mean score
Amul
74.95
Kwality walls
II
56.21
MTR
III
53.82
Arun
IV
52.52
Nandini
52.12
Vadilal
VI
48.97
Dairy day
VII
41.48
Hangya
VIII
38.59
Dinshaws
IX
31.28
Biscuits
Factors
Chips
Fruit juice
Ice creams
Ranking
Mean
score
Ranking
Mean
score
Ranking
Mean
score
Ranking
Mean
score
Reasonable price
III
64.60
III
62.46
III
62.29
III
64.21
Taste
II
74.79
80.35
77.29
79.05
Quality
75.74
II
71.22
II
75.23
II
74.18
Quantity
IV
59.08
IV
59.92
IV
66.04
IV
57.43
Brand image
VI
54.73
54.57
56.15
55.70
Availability
56.70
VI
54.38
VI
53.43
VI
51.57
Advertisements
VII
50.76
IX
45.72
VII
50.21
VII
49.37
Packaging design
42.65
42.18
43.79
42.25
Friends
XII
37.62
XI
41.42
XII
39.30
XII
38.51
Labeling
XIII
32.76
XIII
36.14
XIII
35.23
XIII
36.70
Offers
XIV
32.13
XIV
33.04
XIV
31.27
XIV
33.94
Freshness
VII
52.30
VII
50.46
VIII
49.60
VIII
47.60
Retailers influence
XV
27.91
XV
30.32
XV
28.53
XV
31.45
IX
48.89
VIII
47.32
IX
47.26
XI
42.20
Availability
products
XI
39.34
XII
40.42
XI
40.32
IX
45.78
of
range
Go to other shop
Post pone the
purchase
Will buy other brand
Products
Biscuits
(n=200)
Chips
(n=184)
Fruit juice
Ice creams
(n=186)
(n=188)
160
112
108
106
(80.00)
(60.86)
(58.06)
(56.38)
54
68
64
76
(27.00)
(36.95)
(34.40)
(40.42)
44
74
72
62
(22.00)
(40.21)
(38.70)
(32.97)
52
44
40
64
(26.00)
(23.91)
(21.50)
(34.04)
Note : Figures in the parentheses indicate percentage to the total number of users of the
respective products.
5. DISCUSSION
The results of the investigation presented in the previous chapter are discussed in
this chapter under the following heads.
5.1
5.2
5.3
5.4
5.5
5.1
respondents. About 36.36 per cent each were aware of Lip chips and Diamond chips among
AG2. Fifty per cent of the respondents were aware of Uncle chips and 25.00 per cent of the
respondents were conscious of Bingo brand in case of AG4 respondents. It could also be
seen from the table that, none of the respondents of this age group were familiar with
Haldiram chips, Lip chips, Diamond chips and Lehar brands.
Ready-to-eat food products are the delicacy of lower age groups as compared to the
old age people, who usually do not consume them much. Chips were no exception to this.
The younger generations are the innovators of various brands in the market due to varied
taste, attractive packing, advertisements through different media or influence by friends.
Hence, the recent brands like Lip chips, Haldiram chips, Diamond chips and Lehar brands
were more known to young age group.
5.1.4 Brand awareness of consumers about fruit juice among different age
groups
It was noticed from Table 4.4 that Frooti brand was very popular among 96.00 per
cent of respondents, followed by Maaza brand (93.00%) and Slice by 87.00 per cent of
respondents. All the respondents of AG1 and AG4 were conscious of Frooti brand. Among
first age group Appy, Maaza and Slice brands were well known to more than 70.00 per cent of
the respondents. Among AG2, majority of the respondents were familiar with Frooti and
Maaza brand (94.54% each), Slice, Appy, Pulpy orange and Real fresh brands were familiar
among 85.45, 83.63, 69.09 and 63.63 per cent of the respondents. All the respondents of
AG3 were conscious of Maaza brand. Frooti, Slice and Real fresh brands were familiar
among more than 70.00 per cent of respondents. Among the first three age groups Tropicana,
twister brand was less familiar. Because this brand is a new entrant in the market. It was also
noticed from the table that Real fresh, Appy, Tropicana twister and Pulpy orange brands were
not known to any of the respondents of AG4. Because of the reasons discussed in earlier
section, all the brands were known to the younger age group as they were brand innovators.
5.1.5 Brand awareness of consumers about ice creams among different age
groups
Amul brand is one of the popular brand for milk products in our country. Because of
its quality products this brand is very well known to almost all the people in our country.
Similarly, it was observed that all the respondents of AG1, AG2 and AG4 and also most of the
respondents of AG3 (88.88%) were aware of Amul brand. More than half of the respondents
AG1 were conscious of all other brands like Arun, MTR, Nandini, Kwality walls, Vadilal, Dairy
Day except Dinshaws brand (only 25.00%). Dinshaws brand was introduced into market
recently and hence it was not very popular. Among the first three age groups MTR and
Kwality walls were also popular brands. MTR is a very popular brand in south India and also
Kwality walls is a famous brand in the whole country, hence these brands accounted for a
higher percentage of awareness among the consumers. In case of AG4 none of the
respondents were aware of MTR, Nandini, Kwality walls, Hangya and Dinshaws brands as
observed from Table 4.5.
More brands of all the products were known among the first three age groups, when
compared to the last age group. More exposure to the media and also interest in ready-to-eat
food products among the younger generations had promoted them to know about different
brands of ice creams.
regarding various brands. Apart from this, newspapers (17.89%) and friends/relatives
(17.52%) were also the major sources of information for brand awareness. This is because
newspapers are the cheapest and easily available means of getting information regarding
various brands. Friends/relatives were considered as important source may be because, the
respondents easily get information through word of mouth from their friends / relatives.
Radio was the least preferred media for brand awareness of all these four products
(i.e., Biscuits, Chips, Fruit juice and Ice creams).
The study conducted by Yee and Young (2001) on food industry awareness of the
high fat content of pies show that the major sources of brand awareness were word of mouth
followed by advertisements, family members and relatives and friends.
5.2
they disliked the product, 66.66 per cent of them were not purchasing this product since they
were health conscious and 33.33 per cent of the respondents said other reasons like allergy
due to cold. Seventeen per cent of each of the respondents were not purchasing ice creams
due to high price and low quality of the product.
The study of reasons for not purchasing ready-to-eat food products revealed that the
cosmopolitan people of Hubli-Dharwad were more of health conscious and quality conscious.
Price was not an important criteria to purchase the products as only 50.00 per cent of the
respondents thought about the price while making purchases. Hence, this sort of studies send
red alert to the ready-to-eat food manufacturers, that they cannot compromise on quality of
the products in a view to offer the products at cheaper price.
departmental stores (29.62%) and only 24.07 per cent of the respondents purchased from
retail outlets. Even in case of fruit juice maximum of the respondents purchased from bakeries
(50.87%) and a least per cent of the respondents purchased from retail outlets (22.80%).
Even in case of ice creams, very few (4.91%) of the respondents purchased from retail
outlets. It is not the source, but the availability of these products in the sources which had
significantly influenced the purchase behaviour of the consumers. Usually bakery people will
have their own refrigerators to maintain bakery items. Along with that they keep fruit juice and
ice creams. But retail provision stores have to make special provision to keep such items for
sale.
5.2.10
It could be inferred from Table 4.16 that, among the first age group (AG1) maximum
of the respondents preferred sweet biscuits (65.62%) followed by cream biscuits (50.00%)
and salted biscuits (18.75%). None of the respondents of this age group preferred high fibre
content biscuits. Age group one (AG1) contains the children and teens who always look at the
taste rather than nutritive value of any product. Therefore many of them preferred cream and
sweet biscuits. But as and when the people become old, they give more weightage to nutritive
value of the food rather than the taste. The results of the study also supports the
phenomenon. At the aggregate level, people gave less importance to nutritive value as
compared to taste. Biscuits are mainly consumed for their taste rather than any nutritive
value. Hence, the manufacturers of biscuits, planning for marketing strategy by attaching
nutritive value for their product have to think seriously before launching the product.
5.2.11
It was observed from Table 4..17 that preference for potato chips was found to be
highest (78.26%) followed by banana chips (51.08%), jack fruit chips (31.52%) and only
10.86 per cent of them did go for sweet potato chips. Among the first three age groups potato
chips were highly preferred by the respondents. The next preference was given for banana
chips followed by jack fruit chips and sweet potato chips in case of AG1 and AG2
respondents. Food habits of the people largely depend upon the availability of the food
material in the locality. Since, potato is being grown in large quantities in Hubli-Dharwad area,
raw material availability is not a problem. Hence, large quantities of potato chips were
prepared and supplied to meet consumers satisfaction. Price is another factor which influence
on the preference of the product. Banana, jack fruit and sweet potato were to be produced
from distant markets, which adds to cost of production. All these factors would definitely
reflect higher prices for the products in the market. Therefore, cheapest among all varieties of
chips, the potato chips were much preferred by the consumers of all age groups.
5.2.12
It was revealed from the Table 4.18 that among the first two age groups AG1 and
AG2 chilly flavoured/masala chips were highly preferred (68.75% and 70.37% respectively).
Whereas in case of AG3 salted/plan chips were preferred by more number of respondents
(66.66%). The first two age groups mainly comprise of children below 20 years. There
consumption of chips was mainly because of taste. Children usually like the masala and
tomato flavoured chips and eat them by relishing the taste in it. While the older age group
consumers use chips as tea time snacks. Therefore, salted or plain chips would be more
suited to this age group people.
5.2.13
It was noticed from Table 4.19 that maximum of the respondents preferred mango
juice (61.29%) followed by apple juice and orange juice by 46.23 per cent each of the
respondents , 31.18 per cent of them preferred pineapple juice and strawberry juice was
preferred by 13.97 per cent of the respondents. Majority of the respondents of AG1 and AG3
preferred apple juice (56.25% and 100.00% respectively). In case of AG2 most of the
respondents preferred mango juice (69.81%). Among the first three age groups strawberry
juice was less preferred. Mango and apple are the most commonly consumed fruits and inturn
their juices are also most preferred because of the taste acquaintance.
5.2.14
It was observed from Table 4.20 that among the first two age groups i.e., AG1 and
AG2 most of the respondents did go for cone ice creams (77.41% and 75.92% respectively).
This was followed by cup ice creams, candy and scoop. Only a meager per cent of the
respondents preferred family packs (1.85%) in case of AG2. It was also observed from the
table that none of the respondents of AG1 preferred family packs. Among the third age group
more than half of the respondents preferred cone ice creams. Overall, majority of the
respondents preferred cone ice creams (75.53%) followed by cup (39.36%), candy (22.34%),
scoop (20.21%) and family packs were preferred by only few of the respondents (2.12%). Ice
creams are mostly impulsive buying products. People eat and enjoy them wherever they are
because they cannot be carried to longer distances and kept for longer hours. Hence,
individual packs were much preferred to family packs. Family packs are preferred only during
certain occasions when entire family will involve in some sort of celebrations. But, ice creams
are more of pass time food products. Eat and go would be the usual way which the people
follow in the twin cities. The convenience of the container can also be another factor which
influence on the preference of cone and cup ice creams than scoops, candy and family packs.
5.2.15
It could be seen from the Table 4.21 that chocolate flavour was highly preferred
among the first age group (70.96%) followed by vanilla (54.83%) and pista (41.93%) flavours.
Younger generations like chocolates very much and hence they prefer the respective flavour.
In case of AG2, maximum of the respondents preferred vanilla (55.55%) followed by pista
(40.74%) and chocolate flavours (35.18%). The results also revealed that, about 77.77 per
cent of the respondents of AG3 preferred vanilla flavour, pista flavour was preferred by 66.66
per cent of the respondents and chocolate flavour was less preferred among this age group
(22.22%). Overall, maximum of the respondents preferred vanilla (57.44%) followed by pista
(43.61%), chocolate flavour (44.68%), strawberry and mango flavour by 17.02 per cent each
of respondents and butterscotch was preferred by only 14.89 per cent of the respondents.
5.3
5.4
Table 4.26 presents the factors influencing brand preference. While, preferring a
particular brand in biscuits quality was considered as the foremost factor (mean score of
75.74). Second factor was taste with a mean score of 74.79. Reasonable price was ranked as
third factor (mean score of 64.60). While preferring a particular brand in chips, fruits juice and
ice creams taste was considered as the foremost factor in all the products (mean score of
80.35, 77.29 and 79.05 respectively). Quality was considered as the second factor by the
consumers (mean score of 71.22, 75.23 and 74.18 respectively). Third criteria considered
was reasonable price in all the three products (mean score of 62.46, 62.29 and 64.21
respectively). Similar to this study, the study undertaken by Sheeja (1998) in Coimbatore
district inferred that consumers considered the quality aspects like aroma, taste, freshness
and purity as the major factors deciding the preference for a particular brand of processed
spices. In the same line, the study conducted by Nandagopal and Chinnaiyan (2003) on
brand preference of soft drinks in rural Tamil Nadu revealed that the product quality followed
by retail price were the deciding factors of brand preference.
The study was conducted on an elite group of respondents, who were the residents of
Hubli-Dharwad city. Quality of the product will definitely be the prime factor for preference to a
brand and price would become secondary for a elite group.
It does not mean that all other factors like brand image, advertisements, packing
decision, offers etc. would not have any influence on brand preference. These factors coupled
with the above three prime factors would influence the brand preference.
5.5
Table 4.27 depicts alternative purchase plans of ready-to-eat food products. Majority
of the respondents in case of biscuits (80.00%), chips (60.86%), fruit juice (58.06%) and ice
creams (56.38%) would go to other shops if their preferred brand was not available. This was
because the consumers were more loyal to their preferred brands. In case of biscuits and ice
creams, 27.00 per cent and 40.42 per cent of the respondents respectively would postpone
their purchase decision if their preferred brand was not available. This shows the extent of
brand loyalty of the consumers to a particular brand. About 40.21 and 38.70 per cent of the
respondents of chips and fruit juice buyers would buy other brands, if preferred brand was not
available. This indicates that consumers try to resist the postponement of purchase of these
two products as these are fun eat products.
ii.
iii.
iv.
v.
The study was carried out in the twin city of Hubli and Dharwad. Hundred sample
respondents each for Hubli and Dharwad were selected randomly and thus the total number
of samples aggregated to 200. Required data were collected from the respondents with the
help of pre-structured and pre-tested schedules through personal interview method. Data was
coded, tabulated, analysed and interpreted using suitable statistical techniques viz., Garretts
ranking technique etc.
Findings of the study
The important findings of the study are summarized and suitable conclusions are
drawn and presented below.
1. Maximum number of respondents belonged to age group two (21 years to 40 years).
More than half of the respondents were females. Most of the respondents were
degree holders (44.00%). A very few percentage (2.00%) of them had finished
primary school. It was found that among the selected respondents none of them were
illiterates. Maximum number of respondents (44.00%) belonged to the medium family
size of 5-7 members and most of them belonged to nuclear families (89.00%). The
data on food habits revealed that most of them were vegetarians (73.00%). Most of
the respondents (40.00%) belonged to low income group (<Rs.8615.70/month). As
per the occupation classification, 68.00 per cent of them were students.
2. The brand awareness of consumers about biscuits among different age groups
showed that, majority of the respondents were aware of Parle-G brand (99.00%)
followed by Marie gold (97.00%) and Tiger biscuits, Good day and Krack jack brands
(96.00% each). But Chocolate chip cookies brand was found less familiar among the
respondents (43.00%). The first age group of respondents were conscious of ParleG, Good day and Krack jack brands. In case of AG2, most of the respondents i.e.,
98.18 per cent each were aware of Parle-G and Good day brands, followed by 96.36
per cent each being aware of Tiger biscuits, Marie-gold and Krack jack brands. ParleG and Marie-gold biscuits were popular among all the respondents of AG3 and AG4.
Also, Tiger biscuits and Glucose brands were known to all the respondents of AG4.
But none of the respondents of AG4 were aware of Chocolate chip cookies brand,
Sunfeast snacky, Sunfeast glucose, Britannia Time pass and also Britannia little
hearts brands.
3. The brand awareness of consumers about chips among different age groups
revealed that, most of the respondents were aware of Lays (96.00%), Uncle chips
(83.00%) and Bingo (67.00%) brands. In case of AG1 all the respondents knew Lays
brand. Uncle chips, Bingo, Lays, Haldiram chips and Lehar were familiar among more
than half of AG2 and AG3 respondents. Lays brand was known to 75 per cent of the
respondents of AG4. None of the respondents of this age group were familiar with
Haldiram chips, Lip chips, Diamond chips and Lehar chips.
4. Brand awareness of consumers about fruit juice among different age groups showed
that, Frooti brand was very popular i.e. 96.00 per cent of respondents were aware,
followed by Maaza brand (93.00%) and Slice (87.00%). Tropicana twister brand was
less familiar (44.00%), among the respondents. All the respondents of AG1 and AG4
were conscious of Frooti brand. Among AG2, majority of the respondents were
familiar with Frooti and Maaza brands (94.54% each). All the respondents of AG3
were conscious of Maaza brand. It was also found that Real fresh, Appy, Tropicana
twister and Pulpy orange brands were not known to any of the respondents of AG4.
5. Brand awareness of consumers about ice creams among different age groups
showed that, majority of the respondents were aware of Amul brand (99.00%),
followed by Arun, MTR and Nandini brands (66.00% each). Only a small percentage
of the respondents (25.00%) were aware of Dinshaws brand. All the respondents of
AG1, AG2 and AG4 were aware of Amul brand. In case of AG3 majority of the
respondents were aware of Amul and MTR brands (88.88% each). It was found that
more brands were known to AG1, AG2 and AG3 respondents as compared to AG4
respondents. None of the respondents of AG4 were conscious of MTR, Nandini,
Kwality walls, Hangya and Dinshaws brands.
6. Influence of media to create awareness about the brands in the study area showed
that, in case of biscuits television was the major source for getting information about
the brands (92.00%). This was followed by newspapers (66.00%) and
friends/relatives (51.00%). In case of other products i.e., chips, fruit juice and ice
creams, majority of the respondents were influenced by television (93.00%, 86.00%
and 81.00% respectively). Radio was the least preferred media for brand awareness
of all the four products. Overall, television was preferred as the major source of
information for brand awareness (26.13%) followed by newspapers and
friends/relatives (17.89% and 17.52% respectively). Only a meager percentage of
the respondents were influenced by radio (4.08%).
7. Buyers and non-buyers of ready-to-eat food products presented that, biscuits were
consumed by all the respondents in the study area. About 92.00 per cent, 93.00 per
cent and 94.00 per cent of the respondents consumed chips, fruit juice and ice
creams respectively. All the respondents of AG1 consumed chips and fruit juice. Ice
creams were mostly consumed by all the respondents of AG3. None of the
respondents of AG4 consumed chips, fruit juice and ice creams.
8. The major factors considered by the respondents for purchasing biscuits were
convenience as snacks (65.00%), liking of the family members (60.00%) and ready
availability (53.00%). Taste was the main reason for purchase of chips (80.43%), fruit
juice (59.13%) and ice creams (61.70%). Convenience to use as snacks, satisfaction
and ready availability were other important factors considered while purchasing chips
(64.13%, 52.17% and 46.73% respectively). In case of fruit juice, ready availability
(55.91%), save time of preparation (49.46%) and satisfaction (47.31%) were other
important factors considered by the respondents. About 55.31 per cent and 44.68 per
cent of the respondents consumed ice creams because of satisfaction and influence
of friends or relatives.
9. All the respondents did not purchase chips since they were health conscious. The
other reasons for not consuming chips were low quality of the product (62.50%),
dislike towards the product and high price (50.00% each). In case of fruit juice,
majority of the respondents (85.71%) were not purchasing this product because they
preferred home made products. High price (71.42%) was the other important reason
for not purchasing fruit juice. In case of ice creams all the respondents did not
purchase because they disliked the product. More than half of the respondents said
they were not consuming ice creams because they were health conscious.
10. The average monthly expenditure on ready-to-eat food products was found to be
highest in the case of high income group (Rs. 423.07) followed by middle income
group (Rs. 298.52) and low income group (Rs. 224.00).
11. It was inferred that majority of the respondents purchased biscuits twice in a week
from bakeries and departmental stores (70.58% each). Most of the respondents
purchased chips, fruit juice and ice creams whenever needed. Maximum number of
respondents purchased chips and fruit juice from bakeries (77.77% and 50.87%
respectively). Ice creams were mostly purchased in ice parlours (96.72%).
12. In case of biscuits and fruit juice, majority of the respondents did go for planned
purchase (65.00% and 55.91% respectively). But in case of chips and ice creams
majority of the respondents did impulsive buying (73.91% and 51.06% respectively).
13. Influence of income on purchase decisions on ready-to-eat food products showed
that, in case of biscuits, chips and fruit juice majority of the respondents of all the
three income groups took their own decision while purchasing the products. In case
of ice creams, majority of the respondents of low and high income groups took self
decision. In the middle income group, maximum of the respondents were influenced
by friends while taking purchase decision on ice creams.
Influence/impact of education to make purchase decision on ready-to-eat
food products showed that, in case of biscuits, fruit juice and ice creams most of the
degree and post graduate level respondents took their own decision while
purchasing. It clearly shows that education level of the respondents has prompted
them to take independent decision.
14. It was inferred that maximum number of respondents preferred sweet biscuits
(52.00%) followed by cream biscuits (51.00%) and salted biscuits (36.00%).
15. It was found that preference for potato chips was found to be highest in case of all the
three age groups. Banana chips (51.08%) and jack fruit chips (31.52%) were also
highly preferred among the respondents.
16. Chilly flavoured/masala chips (69.56%) were mostly preferred among the
respondents followed by tomato flavoured chips (48.91%) and salted / plain chips
(41.30%).
17. Mango juice (61.29%), apple juice and orange juice (46.23% each) were mostly
preferred juices among the respondents.
18. Majority of the respondents preferred cone ice creams (75.53%) followed by cup
(39.36%) and candy (22.34%) ice creams, family packs were least preferred among
the respondents (2.12%). It was found that none of the respondents of AG1 preferred
family packs.
19. Maximum number of respondents preferred vanilla flavour (57.44%) followed by pista
flavour (43.61%) and chocolate flavour (44.68%). Chocolate flavour was highly
preferred in case of first age group respondents (70.96%).
20. In the case of biscuits, Parle-G, Good day and Marie gold biscuits were highly
preferred brands among the respondents. Most of the respondents preferred Lays,
Uncle chips and Bingo brands in the case of chips. In case of fruit juice Maaza, Frooti
and Slice were highly preferred brands. In case of ice creams majority of the
respondents preferred Amula brand followed by Kwality walls and MTR.
21. The factors that influenced brand preference of biscuits were quality, taste and
reasonable price. In case of chips, fruit juice and ice creams the major factors
influenced brand preference were taste, quality and reasonable price.
22. Maximum number of respondents in case of all the four products would go to other
shops if preferred brand was not available.
POLICY IMPLICATIONS
1. Majority of the residents in Hubli-Dharwad city purchased these ready-to-eat products
viz., biscuits, chips, fruit juice and ice creams. This indicates that there is a wide
scope for all the intermediaries who are involved in this business. Since all these
product manufacturing firms come under small and medium enterprises, there is
encouragement from government side also. Since, Hubli-Dharwad is a fast growing
twin city, there is ample scope for this type of business.
2. Ready-to-eat food products are impulse purchase products and generally fun eat
foods. Consumer buys such products only if it catches his eye at the outlet. So
players/manufacturers need to stress on attractive packaging and sales promotion.
Further, study also indicated that those firms which resorted to advertisements
through mass media, particularly television and newspapers could get better share in
the market. This calls for the attention of other competing firms in the business to
improve their sales promotion activities by making use of such mass media to
improve their business.
3. The cosmopolitan people of Hubli-Dharwad were found more health and quality
conscious while choosing a ready-to-eat food product. Price was less important to
them. This sends a message to the manufacturers of ready-to-eat food products, that
they cannot compromise on quality of the products in view to offer the products at
cheaper prices, particularly to such cosmopolitan consumers.
4. Ready-to-eat food products are impulse purchase and fun eat products. Lower age
groups, particularly children and teens consume them the most. Taste and other
organoleptic quality aspects count more while preparation of the products. Hence,
manufacturers, planning for marketing strategy by attaching nutritive value for the
products have to think seriously before launching such products.
5. Brand loyalty is an important factor in such ready-to-eat food products. It is very
difficult to induce the consumers for brand switching. Any new firm entering into the
market should study these things very critically. The quality aspects coupled with
competitive price may lead to change of brands. The innovative firms should keep
these points in mind while entering into such type of business.
6. Study of alternative purchase plans of ready-to-eat food products suggested that
majority of the residents of Hubli-Dharwad are brand loyal as they either go to other
shops in search of the particular brand or they postpone their purchases until they get
their required brands. Hence, supply chain management of the popular brands should
be such that the product of these brands should be readily available in all the retail
outlets.
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APPENDIX I
INTERVIEW SCHEDULE
CONSUMER BEHAVOUR TOWARDS READY TO-EAT-FOOD
PRODUCTS
QUESTIONNAIRE FOR CONSUMERS
(The Data will be used for research purpose only)
I. General Information
1. Name of the respondent
2. Address
3. Age
4. Sex
5. Education
6. Occupation
7. City
Vegetarians/Non vegetarians
Joint/Nuclear
12. Family
Family members
Adult males
Adult females
Children
Total
Illiterate/Primary/High/PUC/Degree/PG
Dharwad/Hubli
Number
Items
Cereals
Pulses
Total
Ready-to-eat products
Biscuits
Chips
Fruit juice
Ice creams
Yes/No.
Biscuits
Chips
Fruit juice
Ice creams
Ready available
Taste
Liked by the family members
Influence of friends of relatives
Easily available in the shops
Convenient to use for snacks
Satisfaction
Save time of preparation
Any other
3. What are the reasons for not purchasing ready-to-eat food products ?
Reasons
Lack of awareness of products
available in the market
Dislike the product
High price
Low quality
Not available in the shops
Health conscious
Any other
Biscuits
Chips
Fruit juice
Ice creams
Yes
No
Biscuits
Chips
Fruit juice
Ice creams
Biscuits
Chips
Fruit juice
Ice creams
Biscuits
Chips
Fruit juice
Ice creams
Biscuits
Chips
Fruit juice
Ice creams
Television
Radio
Newspapers
Magazines
Friends/relatives
Shopkeeper/retailer
Window display
Any other
6. Frequency of purchase
Frequency
Daily
Twice in a week
Once in a week
Fortnightly
Whenever needed
7. Nature of purchase decision
Nature of purchase decision
a. Impulsive buying
b. Planned purchase
8. Place of purchase
Place
Retail outlets
Departmental stores
Bakeries
Ice parlors
Biscuits
Parents
Children
Friends
Neighbours
Shopkeeper
Self decision
10. Which type of biscuits do you prefer most ?
a.
b.
c.
d.
e.
f.
Cream biscuits
Wafers
Salted biscuits
Sweet biscuits
High fibre content biscuits
Any other (specify)
Salted/plain
Tomato flavoured
Chilly flavoured/Masala
Any other (specify)
Banana chips
Potato chips
Sweet potato chips
Jack fruit chips
Any other (specify)
Mango
Apple
Orange
Strawberry
Pineapple
Any other (specify)
Chips
Fruit juice
Ice creams
Cone
Cup
Scoop
Candy
Any other (specify)
Vanilla
Strawberry
Chocolate
Mango
Pista
Any other
Ranks
17. What are the factors influencing to prefer a particular brand ? (Give rankings)
Biscuits
Chips
Fruits juice
Ice creams
Reasonable price
Taste
Quality
Quantity
Brand image
Availability
Advertisements
Packaging design
Friends
Labeling
Offers
Freshness
Retailers influence
Long shelf life of the products
Availability of range products
18. What are the alternative purchase plans, if preferred brand is not available ?
Alternative purchase plans
a. Go to other shop
b. Postpone the purchase
c. Will buy other brand
d. Place order to get required
brand
e. Any other
Biscuits
Chips
Fruits juice
Ice creams
ABSTRACT
The present investigation made an attempt to analyze the buying behaviour of ready-toeat food products by consumers of Hubli and Dharwad. A total sample of 200 respondents was
selected for the study.
Majority of the respondents were aware of Parle-G, Lays, Frooti and Amul brands in case
of biscuits, chips fruit juice and ice creams accordingly. Television was the major source for
getting information about various brands in all the four products.
Biscuits were consumed by all the respondents because of their convenience to use as
snacks. About 92 per cent, 93 per cent and 94 per cent of the respondents consumed chips, fruit
juice and ice creams respectively. Taste was the main driving force for purchase of chips, fruit
juice and ice creams. Health consciousness was the main factor for not purchasing chips among
the respondents. Majority of the respondents were not purchasing fruit juice because they
preferred home made products. Dislike towards the product was the main reason for not
purchasing ice creams. The average monthly expenditure on ready-to-eat food products was
found to be highest in case of high income group. Planned purchase was common among
majority of the respondents for biscuits and fruit juice. However, most of the respondents did
impulsive buying for chips and ice creams.
Parle-G, Lays, Maaza and Amul brands were highly preferred brands of biscuits, chips,
fruit juice and ice creams respectively. The main factors influencing brand preference for biscuits,
chips, fruit juice and ice creams were quality, taste and reasonable price. Most of the respondents
would go to other shops if preferred brand in all the four products was not available. Thus, the
study revealed that the younger generation preferred more ready-to-eat food products than the
other age groups. The consumer behaviour also varies from product to product.