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CONTENTS Page no CHAPTER-I INTRODUCTION Need for the study Objectives of the study Research methodology Scope of the study Limitations of the study CHAPTER-II COMPANY PROFILE CHAPTER-III THEORETICAL BACKGROUND ABOUT THE TOPIC CHAPTER-IV DATA ANALYSIS CHAPTER-V FINDINGS CONCLUSIONS SUGGESTIONS QUESTIONNARE BIBLIOGRAPHY 53 42 22 11 03
The last summer was particularly sweltering one. If demand continues to increase annually at an average of 20 percent. With growth rates zooming into the double digits.INTRODUCTION Need for the study With the economic liberalization in India a number of global companies have been coming forward to invest in India and tapping perhaps and world's biggest growing market. As the floodgates have been opened up for Multinational Companies. bottlers have been propelled into expanding capacities. where it is four times as much. In India. then volumes could reach one billion cases within ten years. they found themselves short of capacity and having to turn around their trucks faster and faster to slake the greater Indian thirst. In the peak season. 4 . long dominated by small-time businessmen. the global giant Coca-cola also decided to make an entry into the Indian market. With their big-time plans. bottles were disappearing from shelves faster than they could be replaced. the multinationals have changed the face of this business. with temperatures hitting the high 40's in some places yet. the per capita consumption of soft drinks is at rock bottom level even less than our neighboring countries Pakistan and Bangladesh.
The real race to quench his thirst has just begun 5 .12. infrastructure. As they concoct their strategies.00 and Rs. make their bottlers more available and more affordable. Also.9. There are 5.00 are expensive when measured against purchasing power. 00. ultimately there's only one guy they have to watch out for. soft drinks which retail at any where between Rs.000 retailers stocking soft drinks in India. keeping an eye on each other all the time. who will determine their fortunes: the consumer.These arc ambitious targets and to reach them the cola makers will have to build capacity.
Objectives of the study • • • • To study about the consumer preference with regard to soft drink To study about the consumer perception with regard Coca — Cola To understand the Promotional Strategies To find out the medium which is most effective in reaching the consumers? 6 .
Demographic Segmentation 2. Data Analysis is done both qualitatively and quantitatively. Sociocultural Segmentation 3. Random Sampling consists of 1. Use-Situation Segmentation Analysis 1. 2.Research methodology Data will be collected from a sample size 1000 and distributed over different areas by using simple Random Sampling. Use-Related Segmentation 4. The analysis is presented pictographically using bar graphs PERIOD OF THE STUDY: The period of the study is past one year 7 .
The Indian market has undergone considerable changed as a direct consequence of many of these policies and soft drink industry is no exception to this.Cola in the India market arc inevitably facing stiff competition but the ultimate winner is customer/consumer.alcohol carbonated flavored or otherwise sweetened beverages. Keeping the above . Soft drinks include ail types of non . of India adopted in the mid eighties were given further impetus by the early nineties. the researcher has selected soft drink market.Scope of the study The new economic policies of the Govt. The entry of Pepsi and the reentry of Coca . Companies are evolving marketing strategies by studying the demands of the market place increasingly penetrating into appropriate market segments introducing differentiated products to improve their market share.mentioned perspective in the background. The soft drink market has achieved an accelerated growth in the past decade. This has led the researcher to study me perception of consumers towards different brands of soft drinks and to gauge out the 8 . since the marketing task his became more challenging and intensive competition has opened up new vistas.
interpreting the responses to study the perception of the consumers. Limitations of the study 1. Despite the soft drink industry is growing at a very healthy pace and stands at 18% per annum. Now the people with changing life styles and increase in income levels have made the soft drink a common man drink. Liven through the existing system of marketing of soft drink has not tapped such a big market in the interiors of the country specially the rural areas.promotional strategic being adopted by the marketers to lure promiscuous buyers and win a larger share in the markets. companies must develop their product and marketing slraleiues to suit their needs. The study made use of both the primary and secondary sources of information. The researcher has conducted a detailed survey. The market for cool drinks comprises of adults in the 35 years age group who are largest consumers of the soft drink in the country followed by young adults in the age group of 15-25 years and children in the age group of 614 years hence. The accuracy and authenticity of statistics depends of the accuracy of the second 9 . The study is conducted with in the confines of the twin cities 2. as marketing in the suburban and rural areas is developing slowly. The cola wars are intensifying and bringing manifold changes in the soft drink industry.
the errors might creep into the study.source itself. Therefore. Study is confined to consumers belonging to age group between 20 --. the limitation of the secondary source is also bound to be present in the analysis too. Hence. size and method implications are bound to be present in the findings. 4. In spite of all the care taken to translate the feelings and opinions of the respondents.25 years 10 . may be because of the reason that consumers may fail to articulate their feelings properly. The method adopted for sampling is convenient. the findings cannot be taken for granted for generalization for the whole population. 3. Therefore. Due to lack of time and finances. the sample size is confined to hundred only.
CHAPTER-II COMPANY PROFILE 11 .
which are generally consumed by the individuals to quench the thirst and for a good flavour. flavorings. acidulates.COMPANY PROFILE 2. sweeteners. which classify the soft drinks under consumer products. The basic constituents of soft drinks are water. are their easy availability and their reasonable high degree standardization. leman and orange are carbonated drinks while mango drinks come under non-carbonated category. colorings.1 INDUSTRY PROFILE Soft drinks are typical and necessary consumer products. perishable items) soft drinks is considered nonessential and as a luxury item. foaming agents and preservatives. 12 ..e.carbonated drinks and noncarbonated drinks. Coca Cola and Pepsi products for example. The two main reasons. Both have enormous market. The soft drink market is dominated by a few brands. Among the listed consumer goods (i. A prolonged visible and sparking effervescence is sought after to produce soda taste in such drinks. In case of carbonated beverages the effectiveness of carbon-dioxide is the main factor in determining the quality. and it is considered to be the symbol of social status. Cola. Soft drinks can be classified into two broad categories.
Cola made its first debut in the Indian market. These soft drink companies will sponsor for many of the sport events in order to have good edge over the competitor as per as the publicity is considered. They take special care in casting the popular figures. SOFT DRINK 1NDUSTR Y IN INDIA The entry of carbonated soil drink into the Indian soil is relatively new. particularly after the exit of Coca-Cola. For that reason the soft drink marketers concentrate more on the advertisement part and they keep on designing new advertisements. These soft drink markets also include some offers like tours to someplace and so on. The credit for introducing branded soil drink goes to pure drinks private Ltd. The exit of Coca-Cola from India during the late seventies gave a bolter scope to several Indian soft drink companies to grow. The perishable items like soft drinks need a lot of advertisement. in 1950. This 13 .Cola export corporation. Most of the consumer consume just for fun & refreshment purpose and not and for nay other special reason. These were a rapid growth in this industry but each one aggressively competed with one another to capture a major share in the market. Coca . The competition was very high even in terms of advertising. Accordingly. as they are not necessary for the consumer. Delhi. Later this company became the franchised bottler of Coca .Soft drink industry in India has witnessed phenomenal growth in the recent past. which conquer the heart of the consumer.
Coke will be investing more than that and vice versa. it grabbed considerable market share from parley. The exit of coke becomes a boom to national manufactures and all the players started increasing their business. Pepsi entered into the market. Coke also reentered India after 16 years of exile. fearing that. Consequently by world standards India's per capita consumption of three servings is rock bottom less even 14 Cola for $40 Million November. Parle emerged as the leader in the Indian soft drink market. 300 core.is the story about the origin of soft drinks in India. The exit of Pepsi made coke the undisputed leader in the soft drinks market. Parle sold itself to Coca 1993. In 1990. Besides this. The total investment is of a size and scale that the Rs. 3048 cork soft drink businesses have never seen before. it cannot cling to its market leadership. Modem foods. If Pepsi invests Rs. This company too was forced to leave India due to its non compliance with the rules and regulations of the Government in 1977. Pepsi rccntcrcd India and started making more noise in the market. Where swigging a carbonated beverage is still considered a treat virtually a luxury. Both players see enormous potential in this country. Spencer's and parley. Among the many national players like pure drinks Me Dowels. By buying over local competition the two American Cola giant share cleared up the arena and are packing all their power behind building the Indian franchise of their global girdling brands. It is believed that by the end of 1989. All the same. Parle captured more than 75% of the national soft drink market. . After Coca — Cola.
searching for a quick cure for head aches. same way. As incomes improve so do life styles a pattern they have seen in many of the 195 countries they sell their universal products.COLA ATLANTA BEGINNINGS (1868 . JOHAN PEMBHRTON.1892): It was 1886 in NEW YORK harbor. In this first year the company sold about 9 glasses of coca cola a day. the cola giants feel that per caps can only go up and up. I Icrc. his stipend up a fragrant Carmel colored liquid in a three legged pot. To this day.COLA and wrote it out in his distinct script. He loved tinkering with medicinal formulas. COCA . Over 15 .COLA is written in the. So Jacob's pharmacy put it on sale for five cents a glass. When it was done. and one afternoon. was inspired by simple curiosity. Where is four times as much so. A century later the coca-cola company has produced over ten billion gallons of syrup. 800 miles away another great symbol was about to be unveiled. the mixture was combined with carbonated water and sampled by customers who all agreed this new drink was something special.than over neighbors Pakistan and Bangladesh. PEMBERTON'S book keeper FRANK ROBINSON named the mixture COCA . Like many people who change the history. workers are constructing the statue of the liberty. he was more of an inventor than a businessman and had no idea that the had invented one of the greatest products of the world. Unfortunately for Pemberton. HISTORY OF COCA . a civil war veteran & Atlanta pharmacist. he carried it a few doors down to Jacob's pharmacy.
By 1895. Lie knew there were thirsty people out there and Candler found brilliant and innovative ways to introduce them to this exciting new refreshment. In 1894. BEYOND A TLANTA (1893 . Benjamin.the course of 3 years 1881 . Thomas and Joseph b. Despite being a brilliant and innovative businessman. who responded without enthusiasm. Candlcr would become the company's first president and the first to bring real vision to the business and the brand.Cola every where and the aggressive promotion worked. Candler had built syrup plants in Chicago. Dallas and Los Angeles.Cola would be with portable. a Mississippi businessman named Joseph Bernhard became the first to put the drink in bottles. He gave away coupons for complimentary first tastes of Coca — Cola brand. he didn't realize then that the heart of Coca. Whitehead secured exclusive rights from him to bottle and sell the beverage lor the sum of one dollar. a natural born salesman transformed Coca Cola from invention to a business. the soda's popularity led to a demand for it to be enjoyed in new ways.1904) : As a Candler. He sent of them to Candler. two Chattanooga lawyers. People saw ('oca . Pemberton sold the company to Atlanta businessman Asa Griggs Candlcr for the total of about $ 2300. Inevitably. bottled beverage customers could take anywhere. SAFEGAURD1NG THEBKANOfl905-1918) : 16 . He still didn't realize it five years later when in 1899.1891.
Imitation may be the sincerest of flattery, but the Coca - Cola Company was none too pleased about the proliferation of copycat beverages taking the advantage of its success. This was great brand. Both needed to be protected. Advertising focused on the authenticity of Coca - Cola, urging can summers to "demand the genuine'' and "accept no substitute". The company also created a distinct bottle shape to assure people they were actually getting a real Coca -Cola. In 1916, the Root glass company of Treat, Indiana began manufacturing the famous contour bottle. The counter bottle for its attractive appearance, original design and the fact that, even in the drink, you could identify the genuine article. As the country roared into the new century, the Coca Cola Company grew
rapidly moving into Cuba. Puerto Rico, France and other countries. In 1900 there were two bottles of Coca Cola, by 1920, there would be about 1000.
THE WOODRUFF LEGACY: Perhaps no person has more impact on the Coca - Cola company the Robert Woodruff In 1923, five years after his father Ernest purchased the company from Asa Candler, Woodruff become the company president. While Candler had introduced the U.S. Coca - Cola, he would nearly spend 60 years as company leader introducing the beverage to the world beyond. Woodruff was marketing genius who saw opportunities for expansion every where the captivated foreign markets with his innovative campaigns. Coca Cola traveled with the U.S. team to the 1928 Amsterdam Olympics to the logo was emblazed on racing dog sleds in Canada & the walls of bull fighting arenas in Spain. He pushed
development & distribution of the six-pack, the open top cooler and all innovations that made it easier for people to drink Coca Cola. When it became
clear to the company that housewives would be more inclined top buy six-packs they could open easily at home, women were sent door to door, installing branded Coca Cola openers, this is exactly the kind of "out side the box'" thinking that Cola not just a huge
thrived under Woodruffs leadership and it made Coca success, but a big party of people's lives. THE WAR & ITS LEGACY:
In 1941 America entered into World War II thousands of men & women were sent overseas. The country & Coca - Cola rallied behind them. Woodruff ordered that every man in uniform gets a bottle of Coca - Cola for 5 cents, wherever he is, whatever it cost the company 1943, General Dwight D.Eisenhower sent urgent cablegram to Coca - Cola requesting shipment of materials for 10 bottling plant. During the war many Europeans enjoyed their first taste of beverage and when peace finally came, Coca - Cola be placed within ''arm's reach desire'", was coming true from the rnidf-40's until 1960, the number of countries with bottling operations nearly doubled. Post war America alive with optimism & prosperity. Coca - Cola was a part of fun, carefree America lifestyle & the imagery of its advantage happy couples at the drive in, carefree moms driving are yellow convertibles reflection of the spirit of the limes. A WORLD Or CUSTOMERS (1960- 1981):
is a wonderful
After 75 years of amazing success with brand Coca - Cola, the company decided to expand with new flavors sprite in 1961, TAB in 1963 and Fresco in 1966. The company's presence worldwide was growing rapidly year after year, Coca Cola found a home in more & more places. Cambodia, Montserrat, Puce,
Turkey &. more advertising for Coca - Cola always an important & exciting part of its business really came into its own in the 70's and reflects a brand totally in tune with fun, playfulness and freedom. The international appeal of Coca- Cola was embodied buy 1971 commercial, where a group of young people from all over the world gathered on a hill top in Italy to sing "I'd like to buy the world a coke". In 1978, the ('oca Cola Company was selected as the only company allowed
selling packaged cold drinks in the peoples Republic of China. DIETCOKESA NEWCOKE (1982 - 1989): The 80's the era of legwarmers, head bands and the fitness craze and a time of much change and innovation at the Coca - Cola Company. In 1981. Roberto C. Goizucta became chairman of the board of directors & CEO of the Coca- Cola Company. He who fled Castro's Cuba in 1961. completely overhauled the company with a strategy he called "intelligent risk taking" among his bold moves was organizing the numerous U.S. bottling operations into a new public company, Coca Cola enterprises, Inc. he also released diet coke, the very first extension of Cola trade mark within two years, it had become top low calorie drink Cola. One of Goi/ueta's other
in the world, second in success only to Coca
but Draft's vision is to have the company operate as a collection of smaller. Coca . But Goizueta. drinking brands like Ambassa.COLA NOW (1990 . the first change in formulation in 99 years.Cola a huge international company.Cola has customers from Boston to Bahrain. The original formula was return to the market as Coca increase its lead over the competition Cola classic. T hat's why Coca-. In the real world they had a deep emotional attachment to the original and they had a deep emotional attachment to the original and they bagged and pleaded to get it back. COCA . "decides to enjoy one of our products globally". livery ten seconds.NOW) : In 1886. In taste people loved the new formula. Veitabela and freseolita. Now well at 2nt century. "No one". was the release of new taste for Coca Cola.In February 2000. Doug Daft was named company chairman. had a knack for turning " lemins into lemonade". In the remotest corners of the globe. Daft points out.incentives in 1985.Cola committed to local markets. Critics called it the biggest marketing blunder ever. 1. as Warren Buffet once said. the product began to a lead that continues to this day. Coca .Cola brought thrilling refreshment to patrons of a small Atlanta pharmacy. locally run business. with each of it's 230+ and ever growing brands.00 people choose to reach for one of the Coca 20 . in 200 countries. you can still find Coca Cola.26. the company's goal is to provide that magic every time. Coca . to paying attention to what people from different cultures and backgrounds like to drink and where and how they want to drink.
COLA : To be a proactive & service oriented business partner for influencing change & contributing to increase share owner value through a dedicated & creative team. Gold spot. Coca-. VISION OF COCA .COLA IN INDIA MARKET: Coca . l. Maa/a.Cola to float its range of products. This has been its reentry in the India market after withdrawal of its operation in 1970s.Cola has acquired the soft drink brands like Thumps Up.COLA : Provide "clients" with appropriate "systems solutions" for "effective & profitable" business use adopting a " quality management approach" maintains a ''competitive edge" with the help of latest and user friendly information technology.imea. 21 . MISSION Or COCA . COCA . Thus these products became a part of Cola. Bisleri soda etc which were floated by parle as these products have achieved a strong consumer base and formed a brand image in Indian market during the reentry of Coca range of products of Coca Cola in 1993.Cola company brands & it is the company's mission to make the choice exiling & satisfying every single time.The Indian market offers a strong consumer potential as majority of the population is in middle class category which is a strong consumer base for any FMCG company like Coca .Cola has started its operation in Indian market in October 1993.
OBJECTIVE OF COCA ~ COLA : To develop a business strategy for systems implementation which is "simple. effective & practiced'" to execute in a timely manner for bottling system. CHAPTER-III THEORETICAL BACKGROUND ABOUT THE TOPIC 22 .
attitudes.THEORETICAL BACKGROUND ABOUT THE TOPIC Consume r Behaviour. Group influence and opinion leadership. motivation. social class and economic influences. lifestyles. reference group influence. personality. religious. attitude change and persuasive communications Social and cultural influences: the consumer as a group member. demographics and household decision making. purchase and post-purchase "Some issues that arise during stages in the consumption process" Consumer's perspective 23 . self-concept and sex roles. learning. The Marketing Process and Models of Consumer Decision-making Psychological influences: the consumer as an individual Perception. ethnic. age and regional groups The consumer as a decision maker Individual decision-makin g.
medium or high level models. The aim is to provide a simplified portrayal of consumer processes to aid our description.CONSUM BEHAVIO ER UR "A model in this context is a representation of Consumer Behaviour. explanation and control of buying behaviour".so a low level model would be a relatively simple representation of the phenomenon while a Simple models 24 . In this case the level refers to the level of complexity . Blackwell and Minored • Howard-Sheath • Nicosia Perhaps the most useful set of categories is that of low. Types of consumer behaviour models: • Black Box models • Personal variable models • Personal • Engel.
explanation. description. Aiding researchers in their task of developing 'better' hypotheses and theories about the relationships and processes involved in consumer behaviour Models can be evaluated against their ability to satisfy either or both of these objectives.high level model of the same event would be much more complex and detailed and include more variables. In the marketing context the modeling approach has two key objectives: 1. Study on Consumer Behaviour 25 . prediction (and ultimately control of consume behaviors) and/or 2.
evaluate alternatives . beliefs and values. One classic example of the personal variable model is the fisheye model. fall into three broad categories . which makes them. Personal variable models . = B. They focus on inputs and outputs without concerning themselves with the intervening mental processes. summarized as A.decide . Decision process models .attempt a simple description of the stages consumers' progress through in reaching purchasing decisions. 26 . motivation. falls into the comprehensive model category. o.internal elements and processes such as perception.implement monitor. These approaches give a sound basis for marketers seeking to devise strategies that are appropriate for each stage.black box models. So these models focus on the mental processes of decision-making . Inevitably they are not strong on explanation or prediction without considerable elaboration. Black Box models .do not consider internal variables. which might determine the outcomes. decision process models and personal variable models.SIM PLE M ODELS OF CONSUM BEHAVIOUR ER Lower level or simple models. in contrast. Most are variations on the classic problem solving/decision making process of: Define problem generate alternative solutions .the personal variable models omit external variables.
The primary psychological influences on consumer behaviour are: • • • • • Perceptions Motives Ability and knowledge Attitudes Personality Even though these psychological factors operate internally. 27 .Where A0 = the attitude towards object o8. it will become apparent that consumers are also very much affected by social forces outside the individual" CONSUMER BEHAVIOUR: LEARNING AND MEMORY Learning is a change in behaviour that is caused by experience. = the evaluation aspects of 6 n = the number of beliefs Study on Consumer Behaviour Individual Determinants of Consumer Behaviors Psychological Factors Influencing The Buying Decision Process "Psychological factors operating within individuals partly determine people's general Behaviour and thus influence their behaviour as consumers. = the strength of belief about o a.
This process is the basis for such marketing strategies as licensing and family branding. instrumental occurs when reinforcement is delivered following a response to a stimulus. Over time. where a consumer's positive associations with a product are transferred Operant or instrumental conditioning Occurs as the person learns to perform behaviour that produce positive outcomes. Reinforcement is positive if a reward is delivered following a response. While classical learning to other contexts. the second stimulus (the conditioned stimulus) comes to elicit the response as well Study on Consumer Behavior This response can also extend to other. It is negative if a negative outcome is avoided by not performing a response. Punishment occurs when a response is followed by unpleasant events. similar stimuli in a process known as stimulus generalization. 28 .Learning can occur through simple associations between a stimulus and response. outcomes and avoid those that result in negative conditioning involves the pairing of two stimuli. or via a complex series of cognitive activities Behavioral learning theories assume that learning occurs responses to Classical conditioning occurs when a stimulus that naturally elicits a response (an unconditioned stimulus) is paired with another stimulus that does not initially elicit this response.
Information is not stored in isolation: it is incorporated into knowledge structures. observational learning takes place when the consumer performs behaviour as a result of seeing someone else performing and being rewarded for it. Memory refers to the storage of learning information. The way when it is perceived determines how it will be known as sensory memory. The location of product information in associative networks and the level of abstraction at when and how this information will influence the likelihood of salience (or which it is coded. and whether the information was presented in pictorial or written form. and long-term memory each play a and processing information from the outside world. For example. role in retaining information is encoded stored in memory.Extinction of the behaviour will occur if reinforcement is no longer received. Cognitive learning occurs as a result of mental processes. its prominence) in memory. Some factors that retrieval include the level of familiarity with an item. where it is associated with other related data. The memory systems short-term memory. help to determine be activated at a later time. 29 .
30 ." (See Solomon 1994 137-138) Learning theories. Consumers are more likely to recognize an advertisement if it is presented to them than to recall one without being given any cues. which may be more person alternatives. individual through front door and stored in responds to advertisement offering bathroom. found acceptable loan. When usual shampoo runs to solve the problems with a single out.From loan sharks A positive emotional response is the generation of higher-order Generated by the use of a particulate conditioning allows the customer to Classical pop tune. Memory for product information can be measured through either recognition or Recall techniques. does not consciously pay expensive than e. Learns the cost of borrowing and purchased (or not). even though the product. trial pack is used.Products also play a role as memory markers: they are used by consumers to retrieve memories about past experiences (autobiographical memories) and are often valued for their ability to do this. attention to the advertising luxury goods. Marketing and Involvement Theory Examples of low involvement Examples of high involvement Free sample of hair shampoo delivered Faced with mounting debts.g. This function also contributes to the use of nostalgia in marketing strategies. This becomes associated have positive feelings about a Conditioning with a product.
conditioning consumer continues to purchase that Further cloths of the same label are brand bought. difficulties with parking decides to learning Customer buys 'the Independent' purchase mountain bike to solve the instead problem Consumer spots 'low salt. low sugar' Consumers as a family. decide that they can now learning Remembers healthy eating afford their 'dream car. the pools. Choose advertisements and purchases tin model they have always wanted A child learns parental roles by Individual observes reaction to a Vicarious observation but without really friend s new style sutt before deciding learning thinking about it to purchase Car taken to garage for service. An individual learns that Amstrad Keen cooks learn about various Iconic rote makes personal computers without makes of kitchen knives by careful learning ever consciously focusing on PCs or reading of Study on advertisements with they Amstrads advertisements find enjoyable Consumer Behaviour The Guardian' unavailable at Commuter. They taste 'OK 1 .A common brand of baked beans id Clothes purchased and worn give Operant purchased. The rise to numerous complements. Commuter finds level of smoke Customer offered a new higher-Experimental pollution on upper deck of bus too powered model to use for 31 . having won Latent beans on the supermarket shelf. distressed by daily Insight newsagents when on holiday.
the consumer travel on lower deck decides to move up the range when the time comes to change car.the day-learning offensive to tolerate and decides to Impressed by the car. Consumer Decision Processes The most common. everyday problem solving sequence is: 32 .
The information search stage is also affected strongly by individual differences and environmental factors e.In the marketing context. past learning. is shown to be a significant source even in extended problem solving situations. 34 . but external search is more usual with high involvement purchases. Similarly. stored in the memory system. Opinion leadership and word-of-mouth communication will be significant at this stage. Engel. the traits and orientation of some individual’s means that they have the personality characteristic of caution . Similarly families and reference groups are likely to make significant contributions to the amount and style of search conducted.such people will tend to conduct extensive and detailed information search. as well as the more formal marketing and advertising messages.g. In low involvement consumer decisions this may often be the case. Blackwell and Minored suggest that this becomes: S Information search S Evaluate alternatives S Purchase and Outcomes Stage I: Information Search The first step in this stage is often internal memory search to establish whether the individual possesses enough information about the available options to make a decision without further action.
Many of our decisions are often made on less than complete information.the obvious criterion for a purchasing decision is 'did it achieve its objective?' However a number of sub issues are involved here: What objective? It is likely that we have multiple objectives. 35 . The important point is that the purchaser feels that enough information has been gathered. Note the importance of the role of criteria in the process of evaluation . appraising or valuing almost everything that comes within their purview". judging. the perception of the value of continued search is likely to be significantly higher in high involvement decisions. Study on Consumer Behavior In the light of the differences between high and low involvement purchasing. The external search is dominated by marketing messages and the information so gathered should be fed into the memory system via processes similar to the research on Perception: Exposure Attention Comprehension Acceptance Retention Stage 2: Alternative evaluation "Humans are apparently so constituted that they cannot refrain from evaluating.
During this stage consumers must 36 . When should we measure outcomes? Here we may be looking at the difference between first impressions and longer-term satisfaction Do we look for unexpected outcomes? The criteria we use stem from our values.motivation. Satisfaction is affected by a number of factors .so a variety of criteria may be necessary against which to judge the effectiveness of our purchase. "Alternative evaluation represents the decision-making stage in which consumers evaluate alternatives to make a choice. values.Internal or external outcomes? These possibly conflicting objectives can be seen as being internal or external to the decision-making unit .we may satisfy our family but not impress our friends. beliefs. However it is not unusual for people to seek a single measure that will pin down the payoffs required. attitudes and intentions. expectancy. and self-image . The reality appears to be that people adopt some form of compensation strategy in which a perceived weakness in one attribute can be offset by strength in others.
The salience of evaluative criteria depends on a host of factors: e. brand name and country of origin. Price may be a Dominant dimension in some decisions and yet rather unimportant in others. 2) Decide which alternatives to consider Consumers must determine the set of alternatives from which a choice will be made (that is.g. situational. 1) Determine the evaluative criteria to use for judging alternatives Consumers may employ a number of different evaluative criteria. These criteria will usually vary in their relative importance or salience. in making their decision. The cutoffs or ranges of acceptable values That consumers impose for evaluative criteria will strongly determine whether a given Alternative is viewed as acceptable. the consideration set). Determine the evaluative criteria to use for judging alternatives Decide which alternatives to consider Assess the performance of considered alternatives Select and apply a decision rule to make the final choice. including: price. (3) Assess the performance of considered alternatives Consumers may also rely on their existing knowledge for judging how well alternatives Perform along the salient evaluative criteria. Study on Consumer Bead four 37 . product and individual factors.
'must be at least nutritious'.' must be under £2'. such as lexicographic. then comparisons continue down the list of attributes in order of importance. however the consumer Imposes 'cutoffs' e. brands Are first evaluated on the most important attribute. Non-compensatory rules: Lexicographic under this decision strategy. the strategies and procedures used for making the final choice are called decision rules. brands are compared on the most important attribute. As before. elimination by aspects. Another important distinction is between compensatory and no compensatory decision rules. 38 .(4) Select and apply a decision rule to make the final choice Finally.g. If there is a tie. Now. In contrast compensatory rules do allow product weaknesses to be compensated by product strengths. Non-compensatory rules. and conjunctive do not permit product strengths to offset product weaknesses. Elimination by Aspects: Very similar to lexicographic procedure. Decision rules vary considerably in their complexity. whilst ties continue. then the second the most important attribute is considered.
The relative salience of relevant evaluative criteria is also incorporated into the decision rule. Each brand is compared. Cutoffs are established for each salient attribute. The consumer engages in more refined judgments about the alternatives' performances simple whether it is favorable or unfavorable. If the brand meets the cutoffs For all attributes. If several brands meet the cutoff. There are two types of compensatory rules: simple and weighted additive. then it is chosen. Simple additive: here the consumer simply counts or adds the numberoftimes each alternative is judged favorably in terms of the set of sailevaluativecriteri. a weighted additive rule is equivalent to the multiattribute attitude models 39 . on at a time Against this set of cutoffs. Processing by brand is required. 2. Study onConsum er Behaviour 1. Failure to meet the cutoff for any attribute leads to In contrast compensatory rules do allow product weaknesses to be compensated by Product strengths. Weighted additive: a more complex form of the compensatory rule. Conjunctive: Cutoffs are also important for the conjunctive decision procedure.If only one brand meets the cutoff on the most important attribute it is chosen. In essence. The alternative having the largest number of positive attributes is chosen. then the next most important attribute is selected and the process continues until the tie is broken.
effort) on consumption related items.Phased decision strategies: These involve the sequential use of at least two different decision rules as a means of coping with a large number of choice alternatives. Significance of Consumer Behaviour: The study of Consumer Behaviour is the study of how individuals make decisions to spend their available resources (time. It includes the study of What they buy Why they buy it When they buy it Where they buy it How often they buy it How often they use it Study on Consumer Behavior 40 . In the initial stage. Phased strategies typically consist of a two-stage process. money. A second decision rule is then applied to the remaining alternatives to make the final choice. one type of rule is used as a screening device to help narrow down the choice set to a more manageable number.
Purchasing. Evaluating and Disposing of products and services that they will satisfy their needs Definition of Consumer Behaviour: Consumer behaviour is defined as activities undertake when obtaining. Consumer behaviour also can be defined as a field of study. Analysis of consumption behaviour represents a broader conceptual framework than buyer behaviour does because it includes issues that arise after the purchase process occurs. so has its scope. consuming. why and how people consume in addition to why and how they buy. Simply stated. consumer behaviour has traditionally been thought of as the study of "Why people buy". As the study of consumer behaviour has evolved. and disposing. the study of consumer behaviour focused on buyer behaviour or "Why people buy".obtaining. Consumer Behaviour research goes far beyond these facets of consumer behaviour and encompasses all of the behaviour that consumers display in searching for. More recently. Using. focusing on consumer activities.Consumer Behavior focuses on how and why consumers make decisions to buy goods and services. and disposing of products and services. Historically. There are several activities included in the definition of consumer behaviour . With the premise that it becomes easier to develop strategies to influence consumers once a marketer knows why people buy certain products or brands. Obtaining: It refers to the activities leading up to and including the 41 . researchers and practitioners have focused on Consumption analysis. consuming.
when and under what circumstances consumers use products. Slav on Consumer Behaviour 42 . where. Disposing: It includes how consumers get rid of products and packaging.Purchase or receipt of a product. Consuming: It refers to how.
CHAPTER-IV DATA ANALYSIS 43 .
OF % OF RESPONDENT S 95% 05% The above table depicts that 95% of the consumers consume soft drinks.DATA ANALYSIS 1. OF RESPONDENTS % OF RESPONDENT S 44 . ATTRIBUTES RESPONDENTS Yes No 95 05 No. A question was asked to the consumers to know how often they consume ATTRIBUTES No. yes no I. A question was asked to the consumers whether they consume soft drinks or not and the following are the results.
OF RESPONDENTS % OF RESPONDENT 45 . ATTRIBUTES No. A question was asked to the consumers that about their favourite soft drink and the following are the results. chart 2 Daily Twice in a week Once in a week Once in a month 3.Daily Twice in a week Once in a week Once in a month 32 43 13 07 34% 45% 14% 07% The above table depicts that 45% of the consumers consume soft drink twice in a week and the major percentage of consumers consume soft drink daily.
46 . chart 3 Coca-Cola ThumsUp Sprite-Pepsi 7 up Dew Others 4. A question was asked to the Consumers whether the product price is Affordable or not and the following are the results. 15% of Consumers consume Coca-Cola. 35% of the Consumers consume Sprite.Coca-Cola ThumsUp Sprite-Pepsi 14 34 33 03 S 15% 36% 35% 03% 7 up Dew Others 02 03 06 02% 03% 06% The above table depicts that 36% of the Consumers consume ThumsUp.
OF RESPONDENTS Affordable 71 Costly Lesser Can't say 12 06 06 % OF RESPONDENTS 75% 13% 06% 06% The above table depicts that 75% of respondents can afford. 13% of respondents feel the product is costly. A question was asked to the Consumers about (he reasons for preferring The drink and following are the results. Affordable Costly Lesser Can't say 5. 6% of the respondents cannot say about the product price. OF % OF 47 .ATTRIBUTES No. 6% of the respondents feel the product is less costlier than it should be. ATTRIBU No.
A question was asked to the consumers about the role of flavour in the Product promotion and following are the results. chart 5 Taste Quenching thirst Strong Gas Content Others 6. 48 .TES Taste RESPONDENTS RESPONDENT ! 38 40% 09% 13% 09% 29% Quenching 09 thirst Strong 1I Gas Content Others 09 28 The above table depicts that 40% of the Consumers consume the product preferring the Taste. 09% of the consumers consume the product to quench the thirst and 09% of the consumers consume the product for its gas content.
Efficient Very Efficient OF % OF RKSPONDEINTS RESPONDENT 50 53% 11 35% Neither Efficient Nor Inefficient Inefficient 07 05 07% 05% The above table depicts that 53% of the consumers feel the flavour is efficient. 35% of the consumers feel the flavour is very efficient. 49 . chat 6 Efficient Very Efficient Neither Efficient Nor Inefficient Inefficient 7.ATTRIBUTES No. A question was asked to the Consumers about their opinion on packaging of the product and the following are the results. 5% of the consumers feel the flavour is inefficient. 7% of the consumers feel the flavour is neither efficient nor inefficient.
ATTRIBUT No. OF ES RESPONDENTS Very Good 14 Good 71 % OF RESPONDENTS 15% 74% Neither Good Nor Bad 10 Bad 00 11% 00% ch art 7 V ery Good G ood Neither G ood Nor B ad B ad 8. 50 . A question was asked to the consumers about the impact on Product Promotion and following are the results.
ATTRIBUTES Very Efficient Efficient No. OF RESPONDEN TS 24 51 13 07 % OF RESPONDENT S 25% 54% 14% 07% Neither Efficient Nor Inefficient Inefficient c at8 hr V r Ef ie t ey fic n Ef ie t fic n Nith r Ef ie t e e fic n Nr I ef ie t o n fic n I ef ie t n fic n 51 .
A question was asked to the consumers about the product availability and the following are the results. RESPONDENTS With in the reach 72 So far Difficult to get 13 10 % OF RESPONDENTS 75% 14% 13% - chart 9 With in the reach So far Difficult to get 52 . ATTRIBUTES OF No.9.
and the following are the results. OK RESPONDENTS T. A question was asked to the consumers about the media.V News Paper Hoarding Internet 60 05 14 16 % OF RESPONDENT* 63% 05% 14% 17% 53 . which shows impact on product promotion.10. ATTRIBUTES No.
chart 10 T.V News Paper Hoarding Internet 54 .
They are 1. 2. Besides the factors mentioned above the other important factors that Influence the purchase decisions were found to be advertising and Price. The important factors that influence the purchase decisions for a soft drink is the taste and flavour. The product is very much popular for its easy 55 .CHAPTER-V FINDINGS CONCLUSIONS & SUGGESTIONS FINDINGS CONCLUSIONS & SUGGESTIONS The study undertaken has highlighted certain facts. 3. Sales promotion program taken up by the company is also popular Among the respondents.
56 . Company should improve the quality of packaging. 2. 1. Introduction of a new flavour is suggested to make the product promotion more efficient. 4.availability 6. It is suggested that the company should increase the usage of Internet for further Promotional activities. 3. Efficient Promotional activities pertaining to consumers are to be taken up.2 SUGGESTIONS Suggestions have been made based on certain factors as highlighted by the study.
QUESTIONNARE STUDY ON CONSUMER BEHAVIOUR 1 ) Whether you consume soft drinks or not? • Yes • No 2) How often will you consume soft drinks? • Daily • Once in a week 3) What is your favourite soft drink? • Coca-Cola • Twice in a week • Once in a • Thums Up month 57 .
• • Others Pepsi • 7up 4) Whether the product price is Affordable or not? • Affordable • Costly Laser • Can't say • 5) What is the reasons for preferring the drink? • thirst • Content • Others Taste • Quenching Strong • Gas 6) What is the role of flavour in the Product promotion? • Very Efficient • Neither Efficient Nor Inefficient • Efficient • Inefficient 58 .
V • Hoarding • Newspaper •Internet .7) • • Bad What is your opinion on packaging of the product? Very Good • Good Neither Good Nor Bad • 8) What is the impact on Product Promotion? • Very Efficient • Neither Efficient Nor Inefficient • Efficient • Inefficient 9) What is the product product availability? • With in the reach • So far • Difficult to get 10) What about the media. which shows impact on product promotion? • T.
WEBSITES WWW.BIBLIOGRAPHY 1) 2) CONSUMER BEHAVIOUR CONSUMER BEHAVIOUR .COCA-COLA . .Matin Khan.Hawkins Best Coney.
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