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CHAPTER 1

INTRODUCTION: Consumer Buying Behavior is the behavior that a consumer


display while buying the product or a service. Each and every consumer has
his/her own buying behavior that he displays it during purchase of different
products. This behavior displayed by the consumer is the result of a number of
influences which he/she receives from the environment. These influences can be
categorized into four factors viz. Cultural factors, Social factors, Personal factors
and Psychological factors.
Cultural Factors: - culture, subculture and social classes are particularly
important in buying behavior. Culture is the fundamental determinant of a
person’s wants and behavior. Each culture consists of smaller subcultures that
provide more specific identification and socialization of its members. Subculture
includes nationalities, religions, racial groups and geographic regions.
Social Factors: - In addition to cultural factors a consumer’s behavior is
influenced by such social factors as reference groups, family and social roles and
statuses. A person’s reference group consists of all the groups that have a
direct (face to face) or indirect influence on the person’s attitudes or behavior.
Groups that have direct influence on a person is called as membership groups.
Some membership groups are also called as primary groups, such as family,
friends, neighbors and coworkers with whom the person interacts fairly
continuously and informally. People also belong to secondary groups such as
religious, professional and trade union groups which tend to be more formal and
require less continuous interaction. Aspirational groups are those a person
hopes to join; dissociative groups are those whose values and behavior an
individual rejects. The family is the most important consumer buying
organization in society, and family members constitute the most influential
primary reference group. A person participates in many groups-families, clubs,
organizations. The persons position in each group can be defined in terms of

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role and status. A role consists of the activities a person is expected to perform.
Each role carries a status.
Personal Factors: - A buyer’s decisions are also influenced by personal
characteristics. These include the buyer’s age in the life cycle, occupation,
economic circumstances, lifestyle and personality and self concept.
People buy different goods and services over a lifetime. They eat baby food in
the early years, most foods in the growing matured years and special diet in the
later years.
Occupation also influences consumption patterns. A blue collar worker may buy
work clothes, work shoes and lunch boxes. A company president may buy
expensive suits, air travel and country club membership.
People from same subculture, social classes and occupation may lead quite
different lifestyles. A lifestyle is a person’s pattern of living in the world expressed
in activities, interest and opinions.

Psychological Factors: - A person’s buying choices are influenced by four


major factors viz. motivation, perception, learning, believes and attitudes.

In the light of growing competition in the Indian retail industry each and every
company is trying its best to attract new customers as well as at the same time
retain the existing customers. Hence this can be done by keeping a track on the
buying behavior of the customers. Therefore my topic on buying behavior of
consumer shows the different factors which influence the consumer buying
behavior while shopping.

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The Retail Industry: - India's vast middle class and its almost untapped retail
industry are key attractions for global retail giants wanting to enter newer
markets. Driven by changing lifestyles, strong income growth and favourable
demographic patterns, Indian retail is expected to grow 25 per cent annually.

Modern retail in India could be worth US$ 175-200 billion by 2016. With the
economy booming, competition in the marketplace is fierce. According to 'Retail
in India Getting Organised to Drive Growth', a report by AT Kearney and the
Confederation of Indian Industry, retail is one of India's fastest growing industries
with a 5 per cent compounded annual growth rate and expected revenues of US$
320 billion in 2007. Rising incomes, increasing consumerism in urban areas and
an upswing in rural consumption will fuel this growth to around 7-8 per cent.

KSA-Technopak, a retail consulting and research agency, predicts that by


2010, organised retailing in India will cross the US$ 21.5-billion mark from
the current size of US$ 7.5 billion.

Retail space

Retailers in India are the most aggressive in Asia in expanding their businesses,
thus creating a huge demand for real estate. Their preferred means of expansion
is to increase the number of their outlets in a city, and also expand to other
regions, revealed the Jones Lang LaSalle third annual Retailer Sentiment
Survey-Asia.

Deutsche Bank's research report on 'Building up India' says India's burgeoning


middle class will drive up nominal retail sales through 2010 by 10 per cent per
annum. The country may have 600 new shopping centres by 2010.

Food retail

Food dominates the shopping basket in India. The US$ 6.1 billion Indian foods
industry, which forms 44 per cent of the entire FMCG sales, is growing at 9 per

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cent and has set the growth agenda for modern trade formats. Since nearly 60
per cent of the average Indian grocery basket comprises non-branded items, the
branded food industry is homing in on converting Indian consumers to branded
food.

The mobile revolution

The retail market for mobile phones -- handset, airtime and accessories -- is
already a US$ 16.7 billion business, growing at over 20 per cent per year. In
comparison, the consumer electronics and appliance market is worth US$ 5.6
billion, with a growth rate that is half of the mobile market.

Kids retail

When it comes to Indian children, retailers are busy bonding--and branding:

Monalisa, the Versace of kids is coming to India.

Global lifestyle brand Nautica is bringing Nautica Kids.

International brand Zapp tied up with Raymond to foray into kids' apparel.

Disney launched exclusive chains which stock character-based stationery.

Pantaloon's joint venture with Gini & Jony will set up a retail chain to market kids'
apparel.

Swiss kidswear brand Milou is collaborating with Tirupur-based Sreeja Hosieries.

Turner International India Pvt Ltd. will launch Cartoon Network Townsville and
Planet POGO--two theme parks designed around its channels--in the National
Capital Region.

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Sahara One Television has also signed a Memorandum of Understanding to
source content from Spacetoon Media Group, Middle East's largest kids'
entertainment brand for animation and live action content.

Leading the kids' retail revolution is the apparel business, which accounts for
almost 80 per cent of the revenue, with kids' clothing in India following
international fashion trends. According to research firm KSA Technopak, the
branded segment comprises US$ 701.7 million of the total kids' apparel market-
size of over US$ 3 billion.

Industry experts say kids' retailing will touch annual growth of 30-35 per cent.
Toys, stationary, sportswear, outerwear, tailored clothing, eyewear, watches,
fragrance, footwear, theme parks, TV channels… the segment is growing rapidly
at 10 per cent per annum. Margins are in the range of 20-25 per cent (for dealers
and distributors), while companies enjoy an average gross margin of about 10
per cent.

Agricultural retail

Agriculture across India is heralding the country's second Green Revolution. 14


states, including Maharashtra, Punjab, Andhra Pradesh and Rajasthan amended
the Agricultural Produce Marketing Committee (APMC) act this year, along the
lines of the Model APMC Act, '02, which allows farmers to sell their produce
directly to buyers offering them the best price. Agricultural sectors such as
horticulture, floriculture, development of seeds, animal husbandry, pisciculture,
aqua culture, cultivation of vegetables, mushroom under cultivated conditions
and services related to agro and allied sectors are open to 100 per cent FDI
through the automatic route.

For its e-Choupal scheme, ITC built internet kiosks in rural villages so farmers
can access latest information on weather, current market prices, foods-in-
demand, etc.

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With a US$ 5.6 billion, multi-year investment in agriculture and retail, Reliance
Retail will establish links with farms on several thousand acres in Punjab, West
Bengal and Maharashtra.

FieldFresh, planning to become India's first large-scale exporter of produce, will


annually pay farmers over US$ 30,000 to lease land for vegetables, to hire
tractors and to pay their workers.

Besides a five-year program with the Punjab government to provide several


hundred farmers with four million sweet-orange trees for its Tropicana juices by
2008, PepsiCo--with agriculture exports worth US$ 40 million--also introduced
farmers to high-yielding basmati rice, mangoes, potatoes, chilies, peanuts, and
barley for its Frito-Lay snacks.

Export potential and a rapidly growing domestic demand for reliable produce
from new supermarket chains is driving change. With 77 per cent of India's
population relying on agriculture for a living, improved efficiency and new
markets can benefit a large number of people.

International retailers

The Australian government's National Food Industry Strategy and Austrade


initiated a test marketing food retail in India wherein 12 major Australian food
producers have tied up with India-based distributor AB Mauri to sell their
products directly at retail outlets.

The largest-ever 150-member British business delegation in India committed


investments in the areas of food processing, agri retail and manufacturing. It is
also likely to press for the liberalisation of sectors like financial & legal services
and retail.

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US-based home delivery and logistics company, Specialised Transportation Inc,
will enter the Indian market through a strategic alliance with Patel Retail, a
subsidiary of Patel Integrated Logistics.

Among other big international players, Wal-Mart has announced its plans for
India in partnership with Bharti, Tesco is sure to try again, and Carrefour too
might finally find the right partner.

Retail reform

The Government regulations allow 100 per cent FDI in cash and carry through
automatic route and 51 per cent in single brand. Besides, the franchise route is
available for big operators. Now, the Government also proposes further
liberalisation in the retail sector allowing 51 per cent FDI in consumer electronics
and sports goods.

The retail road ahead

The Indian retail market is estimated at US$ 350 billion. But organised retail is
estimated at only US$ 8 billion. However, the opportunity is huge--by 2010,
organised retail is expected to grow to US$ 22 billion. With the growth of
organised retailing estimated at 40 per cent (CAGR) over the next few years,
Indian retailing is clearly at a tipping point. India is currently the ninth largest retail
market in the world. And it is names of small towns like Dehradun, Vijayawada,
Lucknow and Nasik that will power India up the rankings soon.

Indian retail industry is going through a transition phase. Most of the retailing in
our country is still in the unorganized sector. The spread out of the retails in US
and India shows a wide gap between the two countries. Though retailing in India
is undergoing an exponential growth, the road ahead is full of challenges.

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What is retailing?

The word "Retail" originates from a French-Italian word. Retailer-someone who


cuts off or sheds a small piece from something. Retailing is the set of activities
that markets products or services to final consumers for their own personal or
household use. It does this by organizing their availability on a relatively large
scale and supplying them to customers on a relatively small scale. Retailer is a
Person or Agent or Agency or Company or Organization who is instrumental in
reaching the Goods or Merchandise or Services to the End User or Ultimate
Consumer.

SCENARIO OF RETAILING IN INDIA

Retailing is the most active and attractive sector of last decade. While the
retailing industry itself has been present since ages in our country, it is only the
recent past that it has witnessed so much dynamism. The emergence of retailing
in India has more to do with the increased purchasing power of buyers,
especially post-liberalization, increase in product variety, and increase in
economies of scale, with the aid of modern supply and distributions solution.

Indian retailing today is at an interesting crossroads. The retail sales are at the
highest point in history and new technologies are improving retail productivity.
though there are many opportunities to start a new retail business, retailers are
facing numerous challenges.

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KEY CHALLENGES:

1) LOCATION:
"Right Place, Right choice"
Location is the most important ingredient for any business that relies on
customers, and is typically the prime consideration in a customers store choice.
Locations decisions are harder to change because retailers have to either make
sustainable investments to buy and develop real estate or commit to long term
lease with developers. When formulating decision about where to locate, the
retailer must refer to the strategic plan:

* Investigate alternative trading areas.


* Determine the type of desirable store location
* Evaluate alternative specific store sites

2) MERCHANDISE:
The primary goal of the most retailers is to sell the right kind of merchandise
and nothing is more central to the strategic thrust of the retailing firm.
Merchandising consists of activities involved in acquiring particular goods and
services and making them available at a place, time and quantity that enable
the retailer to reach its goals. Merchandising is perhaps, the most important
function for any retail organization, as it decides what finally goes on shelf of
the store.

3) PRICING:
Pricing is a crucial strategic variable due to its direct relationship with a firm's
goal and its interaction with other retailing elements. The importance of pricing
decisions is growing because today's customers are looking for good value
when they buy merchandise and services. Price is the easiest and quickest
variable to change.

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4) TARGET AUDIENCE:
"Consumer the prime mover"
"Consumer Pull", however, seems to be the most important driving factor behind
the sustenance of the industry. The purchasing power of the customers has
increased to a great extent, with the influencing the retail industry to a great
extent, a variety of other factors also seem to fuel the retailing boom.

5) SCALE OF OPERATIONS:
Scale of operations includes all the supply chain activities, which are carried out
in the business. It is one of the challenges that the Indian retailers are facing. The
cost of business operations is very high in India.

PRESENT INDIAN SCENARIO

* Unorganized market: Rs. 583,000 crores


* Organized market: Rs.5, 000 crores
* 5X growth in organized retailing between 2000-2005
* Over 4,000 new modern Outlets in the last 3 years
* Over 5,000,000 sq. ft. of mall space under development
* The top 3 modern retailers control over 750,000 sq. ft. of retail space
* Over 400,000 shoppers walk through their doors every week
* Growth in organized retailing on par with expectations and projections of the
last 5 Years: on course to touch Rs. 35,000 crores (US$ 7 Billion) or more by
2005-06

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Major players

- Food and grocery


- Fashion
- Others
- Food world
- Shoppers' Stop
- Vivek's
- Subhiksha
- Westside
- Planet M
- Nilgris
- Lifestyle
- Music World
- Adani- Rajiv's
- Pyramid
- Crossword
- Nirma-Radhey
- Globus
- Life spring

TRADITIONAL RETAIL SCENE IN INDIA


India is the country having the most unorganized retail market. Traditionally the
retail business is run by Mom & Pop having Shop in the front & house at the
back. More than 99% retailers function in less than 500Sq.Ft of area. All the
merchandise was purchased as per the test & vim and fancies of the proprietor
also the pricing was done on ad hock basis or by seeing at the face of customer.
Generally the accounts of trading & home are not maintained separately. Profits
were accumulated in slow moving & non-moving stocks which were to become
redundant or consumed in-house. Thus profits were vanished without their

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knowledge. The Manufactures were to distribute goods through C & F agents to
Distributors & Wholesalers. Retailers happen to source the merchandise from
Wholesalers & reach to end-users. The merchandise price used to get inflated to
a great extent till it reaches from Manufacturer to End-user. Selling prices were
largely not controlled by Manufacturers. Branding was not an issue for majority of
customers. More than 99% customers are price sensitive & not quality or Brand
Sensitive at the same time they are Brand conscious also. Weekly Bazaar in
many small tows was held & almost all the commodities were on the scene
including livestock. Bargaining was the unwritten law of market. Educational
qualification level of these retailers was always low. Hence market was controlled
by handful of distributors &/or Wholesalers. Virtually there was only one format of
retailing & that was mass retail. Retailer to consumer ratio was very low, for all
the categories without exception. Varity in terms of quality, Styles were on
regional basis, community based & truly very low range was available at any
given single place. Almost all the purchases / (buying) by mass population was
need oriented & next turn may be on festivals, Marriages, Birthdays & some
specific occasions.

Impulsive buying or consumption is restricted to food or vegetables etc. Having


extra pair of trousers or Shirts or Casuals & Formals & leisure wear & sports
wear & different pair of shoes for occasions is till date is a luxury for majority
population except for those living in Metros. Purchasing power of Indian urban
consumer is very low and that of Branded merchandise in categories like
Apparels, Cosmetics, Shoes, Watches, Beverages, Food, Jewellery, are slowly
seeping into the lifeline of Indian City folks. However electronic & electrical home
appliances do hold appropriate image into the minds of consumers. Brand name
does matter in these white goods categories. In the coming times also majority of
organized retailers will find it difficult to keep balance with rest of the unbranded
retail market which is very huge.

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INDIAN RETAIL IS MOVING INTO SECOND GEAR

1) FIRST GEAR:
(Create awareness)
* New retailers driving awareness
* High degree of fragmentation
* Real estate groups starting retail chains
* Consumer expecting 'value for money' as core value

2) SECOND GEAR:
(Meet customer expectations)
* Consumer-driven
* Emergence of pure retailers
* Retailers getting multi-locational and multi-format
* Global retailers evincing interest in India

3) THIRD GEAR:
(Back end management)
* Category management
* Vendor partnership
* Stock turns
* Channel synchronization
* Consumer acquisition
* Customer relation's management

4) FOURTH GEAR:
(Consolidation)
* Aggressive rollout
* Organized retail acquitting significant share
* Beginning of cross-border movement
* Mergers and acquisitions

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CHAPTER 2

RESEARCH DESIGN: Research design is a frame work or blueprint for


conducting the market research project. It details the procedure necessary for
obtaining the information needed to structure or solve marketing research
problem.

Statement of the problem: -


To determine the buying behavior of the consumer with respect to ladies ethnic
section.

Significance of the study: -


The study done on the above topic will give an idea of how the shopping
behavior of the customers’ changes and what behavior they display while
shopping. The project will be help full in finding out what strategies to make in
order to fulfill the needs and wants of customers and create a competitive
advantage in the retail market.

Objectives:-
• To determine the customer profile.
• To determine the shopping behavior/buying behavior of the customers.
• To determine the brand preferences and reasons thereof.

Operational concept:-
Descriptive study- A type of conclusive research which has it’s major objective
the description of something – usually market characteristics or functions.
Population -The aggregate of all the elements, sharing some common set of
characteristics, comprising the universe for the purpose of the marketing
research problem.

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Sample – A subgroup of the elements of the population selected for participation
in the study.
Primary data – Information that is collected on field in the form of surveys,
interviews and observation.
Secondary data – Information that is collected through journals, magazines,
company brochures, previous reports and government publishing.
Questionnaire – Questionnaire is a part of survey where in questions are framed
in a structured manner in order to draw information from the respondents
regarding the topic.
Scaling and Measurement – The assignment of numbers or other symbols to
characteristics of objects according to certain prespecified rules is called
measurement. The generation of a continuum on which measured objects are
located.

Hypothesis:-
Ho: the proportion of sample who ranked Shoppers Stop 1st is 50%.
H1: the proportion of sample who ranked Shoppers Stop 1st is more then 50%.

Scope of the study:-


The population was limited to only those customers who came to ladies ethnic
section only.

Methodology:-
The type of study used is Descriptive Study
Population – all those customers who came to shoppers stop in a month (April
2007).
Sample size – 180
Sampling technique – Convenience Sampling
Primary data – primary data was collected using a structured questionnaire.
Secondary data – secondary data was collected from the company website and
brochure, marketing text books.

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Tools and Techniques of data collection:-
The technique used to collect the primary data was a Survey. A well structured
questionnaire was prepared and given to the respondents to be filled.
The information obtained from the questionnaire was edited, cross tabulated and
an appropriate test was applied to get the result.
The test used was Z test.

Limitations:-
• Limited time was given for data collection.
• Some of the customers were not cooperative.
• Responses from the customers were different during weekdays and
weekends.
• The findings were based on the information given by the customers and
can be biased.

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CHAPTER 3

COMPANY PROFILE:-

History - The foundation of Shoppers' Stop was laid on October 27, 1991 by the
K. Raheja Corp. group of companies. Being amongst India's biggest hospitality
and real estate players, the Group crossed yet another milestone with its lifestyle
venture - Shoppers' Stop.

From its inception, Shoppers' Stop has progressed from being a single brand
shop to becoming a Fashion & Lifestyle store for the family. Today, Shoppers'
Stop is a household name, known for its superior quality products, services and
above all, for providing a complete shopping experience.

With an immense amount of expertise and credibility, Shoppers’ Stop has


become the highest benchmark for the Indian retail industry. In fact, the
company’s continuing expansion plans aim to help Shoppers’ Stop meet the
challenges of the retail industry in an even better manner than it does today.

Nature – Shoppers Stop is a retail store which sells multiple branded products.

Products and Services – Shoppers Stop deals with

Apparels (Men, Women and Children)

-Ladies western wear, Ladies ethnic wear, Men’s formal, Men’s


semiformal, Casual wear, Sports wear and Kids wear.

Accessories (men and women)

-Cosmetics, Perfumes, Goggles, Watches, Handbags, Footwear, Fashion


Jewellary.

Gifts and Toys.

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Organizational Structure -

MANAGING
DIRECTOR

CHIEF EXECUTIVE
OFFICER

CHIEF FINANCE
OFFICER

General General General General General


manager manager manager manager manager

ROM ROM

DM DM

CSE CSE

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Competitors – The major competitors of Shoppers Stop are:-
Westside.
Central.
Lifestyle.
Some of the other competitors are:-
Pantaloons.
Globus.
Big Bazar.

Number of branches – Currently Shoppers Stop has twenty branches across


India and they are:-
Delhi- Ansal Plaza.
Ghaziabad – Indirapuram.
Gurgaon - Metropolitian Mall.
Jaipur - Malviya Nagar.
Lucknow - Gomti Nagar.
Bangalore - Bannerghatta Road.
Bangalore - Bannerghatta Road.
Chennai – Chetpet.
Mumbai – Andheri.
Mumbai – Bandra.
Mumbai – Chembur.
Mumbai – Juhu.
Mumbai – Malad.
Mumbai – Mulund.
Pune - Shivaji Nagar.
Pune – Camp.
Kolkata - Forum Mall.
Kolkata - Salt Lake City.

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CHAPTER 4

ANALYSIS AND INTERPRETATION

In this chapter analysis carried out on the research is reported


AGE, GENDER AND OCCUPATION

SELF EMPLOYED SALARIED STUDENTS


Males Females Males Females Males Females
<20 YEARS - - - 0.6% 3.2% 13%
21-30 YEARS 2% 2% 12% 44% 1.2% 14%
31-40 YEARS - 2% 3% 2% - 0.6%
41> YEARS 0.6% - 0.6% - - -

Table no: 1

80% of the customers who come to shoppers stop are females and 20% are
males.
75% among them fall under the age category of 21-30 years.
62% of the customers are salaried.
-44% are females and 12% are males.
31% of the customers are students.
-27% are females and 4% are males.
6% are self employed.
13% are housewives.

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INCOME, OCCUPATION AND GENDER

SELF EMPLOYED SALARIED


Males Females Males Females
5000-15000 1% 1% 1% 9%
15000-25000 2% 2% 10% 36%
25000-35000 1% 1% 4% 10%
35000-45000 - - 2% 8%
45000> 1% 1% 6% 5%

Table no:2

Among the salaried customers 36% are females and 10% are males both have a
monthly income of Rs 15000-25000.
It is seen that females accounts to the majority salary earner when compare to
males who contribute to only 10% among total salaried customers.

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FREQUENCY OF SHOPPING AND OCCUPATION

SELF SALARIED STUDENTS HOUSEWIVES


EPMLOYED
ONCE A 1% 16% 10% 7%
WEEK
ONCE IN 2% 9% 5% 1%
TWO WEEKS
ONCE IN - 6% 2% 0.5%
THREE
WEEKS
ONCE A 3% 23% 11% 3%
MONTH

Table no: 3

40% of the customers shop at least once a month.


-23% are salaried and 11% are students.
34% of the customers shop once a week.
-16% are salaried and 10% are students.
Referring from the previous slide salaried customers had monthly income of Rs
15000-25000 and belonged to the age category of 21-30 years.

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25

20

15

10

0
ONCE A WEEK ONCE IN TWO ONCE IN THREE ONCE A MONTH
WEEKS WEEKS

SELF EMPLOYED SALARIED STUDENTS HUOSEWIVES

Graph no: 1

FREQUENCY OF SHOPPING, OCCUPATION AND TIME

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(Self Employed and Salaried)

SELF EMPLOYED SALARIED


10am- 1pm- 5pm- 10am- 1pm- 5pm-
1pm 5pm 10pm 1pm 5pm 10pm
ONCE IN A WEEK - 2% - - 9% 18%
ONCE IN TWOWEEKS - 1% 2% 2% 3% 12%
ONCE IN THREE - - - - 4% 5%
WEEKS
ONCE A MONTH - 1% 3% 5% 9% 23%

Table no: 4

63% of the shoppers prefer shopping between 5pm-9pm among whom 92% are
salaried.
29% prefer shopping between 1pm-5pm among whom 86% are salaried.

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60
50
40
30
20
10
0
10AM-1PM 1PM-5PM 5PM-9PM

SELF EMPLOYED SALARIED

Graph no: 2

FREQUENCY OF SHOPPING, OCCUPATION AND TIME


(Students and Housewives)

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STUDENTS HOUSEWIVES
10am- 1pm- 5pm- 10am- 1pm- 5pm-
1pm 5pm 10pm 1pm 5pm 10pm
ONCE IN A WEEK - 12% 13% - 9% 9%
ONCE IN TWOWEEKS - 4% 7% - 3% -
ONCE IN THREE - 1% 3% - 1% -
WEEKS
ONCE A MONTH 3% 12% 13% - 4% 4%

Table no: 5
49% of the shoppers prefer shopping between 5pm-9pm, among them 73% are
students.
46% of the shoppers like to shop between 1pm-5pm, among whom 63% are
students.

40

30

20

10

0 10AM-1PM 1PM-5PM 5PM-10PM

STUDENTS HOUSEWIVES
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Graph no: 3

FREQUENCY OF SHOPPING OF EACH SALARY GROUP

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ONCE A ONCE IN ONCE IN ONCE A
WEEK TWO WEEKS THREE MONTH
WEEKS
5000-15000 2% 5% 1% 5%

15000-25000 15% 7% 4% 21%

25000-35000 4% 2% 3% 9%

35000-45000 4% 1% 1% 4%

45000> 5% 4% 2% 2%

Table no: 6

63% prefer shopping in malls among whom 33% are salaried and 20% students.
33% like shopping in both stores and malls among whom 19% are salaried and
8% are students.

OCCUPATION AND PREFERED PLACE OF SHOPPING

SELF SALARIED STUDENTS HOUSEWIVES


EMPLOYED

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STORE 0.5% 2% - 0.5%

MALLS 3% 33% 20% 7%

BOTH 1.5% 19% 8% 4.5%

Table no: 7

63% prefer shopping in malls among whom 33% are salaried and 20% students.
33% like shopping in both stores and malls among whom 19% are salaried and
8% are students.

40

30

20

10

0
STORES MALLS BOTH

SELF EMPLOYED SALARIED 29


STUDENTS HOUSEWIVES
Graph no:4

SHOPPING PLACE AND TIME FOR SHOPPING

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STORE MALLS BOTH

10am-1pm 0.6% 3.5% 0.6%

1pm-5pm 1.5% 24% 10.5%

5pm-9pm 1% 38% 20%

Table no: 8

Among those customers who preferred shopping in malls 40% of them like
shopping between 5pm-9pm and 26% shop between 1pm-5pm.
Among those customers who preferred both stores and malls 20% of them like to
shop between 5pm-9pm and 11% preferred shopping between 1pm-5pm.

40
35
30
25
20
15
10
5
0
10AM-1PM 1PM-5PM 5PM-9PM

STORES MALLS BOTH


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Graph no: 5

30
25
20 COMPANIONS FOR SHOPPING AND OCCUPATION
15
10
5
0
Parents Husband Wife Friends Alone Family Parents- Others
Friends

Self Employed Salaried 32


Students Housewives
Graph no: 6

39% of the customers prefer shopping with friends.


-27% are salaried and 12% are students.
12% prefer shopping with both parents and friends
- 6% are salaried and 6% are students.

OCCUPATION AND MONTHLY SHOPPING EXPENSES

SELF SALARIED STUDENTS HOUSEWIVES


EMPLOYED
<1000 1% 1.5% 2% 1%

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1000-3000 3% 31% 18% 3%

3000-5000 1% 14% 9% 4%

5000-10000 - 6% 1.5% 3%

10000> 1.5% - - 1.5%

Table no: 9
49% of the customers have a monthly shopping expense of at least Rs 1000-
3000.
-31% among them are salaried with an average monthly income of
Rs 15000-25000.
-18% are students.
23% of the customers have a monthly shopping expense of Rs 3000-5000.
-14% are salaried with a monthly income of Rs 25000-35000.
-9% are students.

OCCUPATION, INCOME AND SHOPPING EXPENSES

34
SALARIED

5000-15000 15000-25000 25000-35000 35000-45000 45000>

<1000 - 1% - 1% -

1000-3000 12% 25% 12% 7% 3%

3000-5000 1% 12% 5% 3% 4%

5000-10000 - 7% - 1% 4%

10000> - - - - -

Table no: 10

37% of the salaried customers have a monthly shopping expense between 1000-
5000 and from the previous interpretation these customers had an average
monthly income of Rs 15000-35000 with an average age of 21-30 years.

RANKING THE IMPORTANT SHOPPING PARAMETERS -OCCUPATION


WISE

35
SELF SALARIED STUDENTS HOUSEWIVES
EMPLOYED
VARIETY 9 4 4 7

DISCOUNTS 5 6 5 4

LOCATION 6 8 8 6

BRANDS 1 2 6 2

PRICE 4 5 3 3

STYLE 2 3 1 5

QUALITY 3 1 2 1

FABRIC 7 7 7 8

AMBIENCE 8 9 9 9

Table no: 11
Self employed-The first three parameters ranked are Brands, Style and Quality.
Salaried- The first three parameters ranked are Quality, Brands and Style.
Students- The first three parameters ranked are Style, Quality and Price
Housewives- The first three parameters ranked are Quality, Brands and Price.

10
8
6
4
2
0
S

IC
E
Y

E
D

E
NT

IT
IC
T

NC
YL
AN

BR
IE

AL
AT

PR
U

ST
BR

E
R

FA
O

BI
C
VA

Q
LO

AM
IS
D

SELF EMPLOYED SALARIED


36STUDENTS HOUSEWIVES
Graph no: 7

RANKING THE IMPORTANT SHOPPING PARAMETERS -INCOME WISE

5000- 15000- 25000- 35000- 45000>

37
15000 25000 35000 45000
VARIETY 5 4 6 5 3

DISCOUNTS 6 6 5 6 4
LOCATION 7 7 8 7 8
BRANDS 2 3 2 4 1
PRICE 3 2 4 3 5

STYLE 4 5 3 2 7
QUALITY 1 1 1 1 2
FABRIC 9 8 7 9 9
AMBIENCE 8 9 9 8 6

Table no: 12
5000-15000- The first three parameters ranked are Quality, Brands and Price.
15000-25000- The first three parameters ranked are Quality, Price and Brands.
25000-35000- The first three parameters ranked are Quality, Brands and Style.
35000-45000- The first three parameters ranked are Quality, Style and Price.
45000>- The first three parameters ranked are Brands, Quality and Variety.

10
8
6
4
2
0
VARIETY DISCOUNT LOCATION BRANDS PRICE STYLE QUALITY FABRIC AMBIENCE

5000-15000 15000-25000 25000-35000 38 35000-45000 45000 above


Graph no: 8

OVERALL RANKING OF THE PARAMETERS BASED ON PREVIOUS


90 RANKINGS
80
70
60
50
40
30
20
10
0
Shopping Parameters

VARIETY DISCOUNTS LOCATION BRANDS PRICE 39


STYLE QUALITY FABRIC AMBIENCE
Graph no: 9

From the graph it is clear that Quality, Brands and Style are ranked higher.
The least ranked parameters are Ambience, Location and Fabric.

FAVOURITE SHOPPING STORE


(BASED ON OCCUPATION)

SHOPPERS WESTSIDE CENTRAL LIFESTYLE OTHERS


STOP

40
SELF 2% 2% 0.6% 0.6% -
EMPLOYED
SALARIED 24% 15% 7% 1% 5.5%

STUDENTS 14% 6.5% 2% 2% 3%

HOUSEWIVES 5% 4% - 2% 0.6%

Table no: 13

45% the respondents’ favorite shopping store is Shoppers Stop.


-24% are salaried, 14% students and 7% self employed and
housewives.
28% of the respondents prefer going to Westside.
-15% are salaried and 6.5% are students.

50
40
30
20
10
0 SHOPPERS STOP WESTSIDE CENTRAL LIFESTYLE OTHERS

STORES
41
Graph no: 10

FREQUENCY OF SHOPPING IN SHOPPER STOP AND OCCUPATION

ONCE A ONCE IN ONCE IN ONCE A


WEEK TWO WEEKS THREE MONTH
WEEKS

42
SELF 1% 0.6% 1% 2%
EMPLOYED
SALARIED 6.5% 10% 4% 32%

STUDENTS 6.5% 6.5% 2% 13%

HOUSEWIVES 2% 2% 1% 8%

Table no: 14

55% of the respondents come to Shoppers Stop once a month.


-32% are salaried and 13% are students.
19% come once in two weeks.
-10% are salaried and 6.5 % are students.
16% come once a week and 8% of them come to Shoppers Stop once in three
weeks.

43
35

30

25

20

15

10

0
ONCE A WEEK ONCE IN TWO WEEKS ONCE IN THREE ONCE A MONTH
WEEKS

SELF EMPLOYED SALARIED STUDENTS HOUSE

Graph no: 11

FREQUENCY OF SHOPPING IN SHOPPER STOP AND INCOME

ONCE A ONCE IN ONCE IN ONCE A


WEEK TWO WEEKS THREE MONTH

44
WEEKS

5000-15000 - 3% 1% 8%

15000-25000 9% 8% 2% 30%

25000-35000 2% - 3% 9%

35000-45000 - 4% - 6%

45000> 2% 3% 3% 5%

Table no: 15

58% of the respondents shop in Shoppers Stop once in a month.


-30% of them have an income of Rs 15000-25000.
-9% have an income of Rs 25000-35000.
18% shop once in two weeks.
-8% have an income of Rs 15000-25000.
13% shop once in a week and 9% of them shop once in three weeks
respectively.

45
30

25

20

15

10

0
ONCE A WEEK ONCE IN TWO ONCE IN THREE ONCE A MONTH
WEEKS WEEKS

5000-15000 15000-25000 25000-35000 35000-45000 45000 above

Graph no: 12

46
FAVORITE BRANDS AND INCOME

INCOME BRANDS

5000-15000 Lee, Levis, Westside, Weekender and


Stop.
15000-25000 Levis, Reebok, Allen Solly, UCB,
Scullers, Wills, Stop, Kashish, Westside
and UMM.
25000-35000 Lee, Levis, Allen Solly, Westside, Biba,
Fab India, Bossini, Wlls and Van
Heusen.
35000-45000 Levis, Westside, Stop, Allen Solly and
Wills.
45000> Addidas, Wills, Biba, Allen Solly, Nike,
Kashish and Van Heusen.

Table no: 16

• 5000-15000- Customers falling under this category are price conscious


and had ranked quality as first. Hence they like Lee, Levis, Westside
Weekender and Stop.
• 15000-25000- Customers falling under this category look for variety apart
from quality and price. Hence they prefer Levis, Reebok, Allen Solly, UCB,
Scullers, Westside, Stop, Kashish and UMM.
• 25000-35000- Customers in this category like style and fashion apart from
quality and brands and therefore their preferences are Levis, Lee, Allen
Solly, Nike, Westside, Biba, Fab India, Bosssini, Van Heusen and Wills.
• 35000-45000-These customers too like style and quality but are not brand
conscious. Their preferences are Levis, Stop, Westside, Allen Solly and
Wills.

47
• 45000>- Here customers are highly brand conscious and deem quality
and variety as important factors. Therefore they like Addidas, Allen Solly,
Wills, Nike, Biba, Kashish, Van Heusen.

48
RANKING SHOPPERS STOP WITH OTHER STORES

SHOPPERS WESTSIDE CENTRAL LIFESTYLE OTHERS


STOP
VARIETY 1.4 1.9 1.8 1.9 1.9

DISCOUNTS 1.8 1.6 1.8 1.7 1.9

BRANDS 1.2 1.9 1.8 1.9 2.0

PRICE 1.6 1.5 1.9 1.9 1.9

DISPLAY 1.2 1.9 1.8 1.9 1.9

QUALITY 1.4 1.7 1.9 1.9 1.9

DESIGN 1.3 1.7 1.9 1.9 1.9

AMBIENCE 1.2 1.8 1.8 1.9 1.9

FASHION 1.3 1.8 1.9 1.9 1.9

FABRIC 1.4 1.7 1.8 1.9 1.9

OVERALL 1.3 1.7 1.9 1.9 1.9

Table no: 17

From the table it is clear that except discount and price customers ranked
Shoppers Stop higher on all other parameters.
Customers ranked Westside higher for discounts and prices.

49
HYPOTHESIS TESTING

Ho: the proportion of sample who ranked Shoppers Stop 1st as overall is 50%.
H1: the proportion of sample who ranked Shoppers Stop 1st as overall is more
then 5o%

Ho; Po=50%
H1; P1>50%

Therefore; Z=P-Po
√Po.Qo/n

Hence the value of Zcal=3.6


Zά=1.96

Zcal>Zά, Reject Ho

Therefore the proportion of sample who rank Shoppers Stop 1 st (overall) is more
then 50%.

CHAPTER 5

50
The study on buying behavior of consumer has brought out the following findings
and recommendations.

FINDINGS AND INTERPRETATION

Summary: -
• The primary customers who come to the ladies ethnic section of Shoppers
Stop are females.
• Among these 62%% of them are salaried with an average monthly income
of Rs 15000-25000.
• The next 31% of customers belong to the students’ category having an
average age of 20 years.
• The rest of the population constitute of self employed and housewives.
• Majority of the customers shop once a month between 5pm-9pm and are
salaried with a monthly salary of Rs 15000-25000 per month and fall
under the age category of 21-30 Years.
• The second major customers who shop once a month are students with
an average age of 20 years.
• 63% of the customers like shopping in malls and the preferred time for
shopping is between 5pm-9pm.
• 39% of the customers preferred shopping with friends and 12% preferred
shopping with both friends and parents.

51
• Among those who preferred shopping with both parents and friends are
majority students.
• Those customers who have a monthly income of Rs 15000-25000 spend
at least Rs 1000-3000 per month on shopping.
• Customers ranked Quality, Brand, Style and Price as 1st, 2nd, 3rd and
4th. Variety, Discount, Fabric, Location and Ambience are ranked as 5th,
6th, 7th, 8th and 9th respectively.
• Majority of the customers prefer shopping in Shoppers Stop followed by
Westside, Central and Lifestyle.
• Majority of those who prefer shopping in Shoppers Stop are salaried with
an income of Rs 15000-25000 per month and are aged between 21-30
years. This class of customers spends at least Rs 1000-3000 per month
on shopping in Shoppers Stop.
• Customers preferred brands like Lee. Levis, Stop, Biba, Allen Solly, Wills,
Westside, Kashish and Van Heusen.
• Shoppers Stop was ranked as the highest on overall parameters except
discounts and prices.

52
RECOMMENDATIONS

• Shoppers Stop should target the salaried and students class as they
account for the majority visitors to their store.
• More branded wears should be kept as the salaried class preferred going
for brands and are brand conscious.
• The merchandise should be stylish and fashionable as it appeals to the
student class who are more of style conscious.
• As ladies spend more time shopping in the same section seating
arrangements should be made so that their companions (Friends,
Husbands, Parents and Children) can sit till they finish shopping.
• In house brands account for less preferred once and hence stylish,
fashionable and designer wears should be brought out in order to increase
the sales.

53
BIBLIOGRAPHY

• Philip Kotler; “Marketing Management” 11th edition, Prentice hall, New


Delhi-2002.
• Naresh K Malhotra; “Marketing Research”, 3rd edition, Pearson
education, Delhi-2003.
• Website;Google.com/Indian Retail Industry: Current Scenario by
Shyamlal Sharma, Sardar Patel University, Gujrath-2004-2006;
email- shyamsharma_2001@rediffmail.com/rock_0021@yahoo.co.uk.
• Company website; www.Shoppersstop.com/aboutus/management
structure.

54