Group 3

Name Roll Number

SAJAN ABRAHAM URUMBATH EPGPKC05018
PRATHIBA P K EPGPKC05050
RAKHEE RC EPGPKC05054 OCTOBER 27, 2019
SHIVRINDER PAL EPGPKC05060
SHRIKANT S EPGPKC05061

CONSUMER INSIGHTS FOR 1.5 TONNE

(SPLIT) VOLTAS AIR CONDITIONER
CONSUMER BEHAVIOR PROJECT
 1. Introduction & Context:
This project is undertaken to study the Consumer Insights on a given product “Voltas
1.5-ton split Air Conditioner”. The purpose of this study is to find the Consumer
behaviour towards about this given product in terms of Need, Motivation, buying and
decision-making process. We shall also analyze the communications given in the
market through various channels of advertisements to check whether it is aligned with
product and the message perceived by the customers.

2. Product Category: Home appliance -> Air conditioner (AC)

2.1 Industry Insights

Market Size USD 4.3 Billion (2017) expected to grow by USD 11 Billion by 2023.
Growth Rise in infrastructure development, Increased demand of residential
Motivation for and commercial spaces, Increased purchasing power especially of
Industry Middle class segment, Rise in global temperature, Technologically
advancements, Multiple & Easily available options in terms of buying
on credit or buying convenience like Online etc.
Product Types o Light Commercial Air Conditioners, Ductable Splits, VRF, Chillers
User’ Profile Biggest Consumer are Commercial Users. Household penetration is
very low in India at just 4% where bigger cities are main
contributors. Smaller cities and Rural areas are still untapped
opportunity which is also a great motivator for AC industry for
projecting 20% - 23% growth in coming years.

2.2 Consumer Insights

o Need for Buying o Increase in temperature had made the environment as hot & humid
AC which leads to increased demand for AC’s. Highly increase in
pollution motivate people to keep their windows closed and looking
AC as an alternate, Uprising of middle class and its purchasing power
AC is a symbol of social status, Changing life style (prefer to stay
inside culture) also lead to the need for buying ACs.
o Usage of AC o Mainly used in summer to avoid the effect of high temperature and
heat. In coastal states like Kerala the ACs are effectively used to
counter the humid environment. (Keeping this in mind some
companies run special campaigns as All Weather AC’s) In bigger and
polluted cities ACs are also seen as an alternate of fresh and pure air.
o Benefits of Using
o As mentioned in above points the basic benefits are avoiding Hot
AC and humid environment and an alternate of breathing fresh air in
 polluted areas. In addition to that there are social benefits as usual
tendency of Indian users are focusing more on social benefits
especially in the home appliance segments.
o Motivation for
o Few of main motivations for buying ACs are: The first motivation is
Buying ACs the basic need because of climate change lead to hot and humid
environments. Second is the social motivation especially for middle
class having ACs is the Status symbol. The third motivation is from
technology advancements which has led to the decreased cost,
availability of high technology advanced ACs and multiple channels
for easy buying.
o
3. Brand Communications:
3.1 Product Insights:
Brand : Voltas
Type : Split AC
Size : 1.5 Ton

3.2 Television Advertisement : Voltas (Cost Savings Ad)

https://www.youtube.com/watch?time_continue=37&v=hH5WZLL-TsQ

Communication Cost Savings by Using Adjustable Voltas 1.5-Ton AC

Target Audience
Target Message
Character used in Ad
AD Plot
Cognitive Components
Affective Components
Elaboration Likely hood Model
Analysis
Peripheral Route of Persuasion
Middle Class Family
Savings on Electricity Bill
A middle-aged parent and a young son who is portrayed
as modern and updated
Father is trying to cool off heat by covering his head
using the Cold wet towel. When his son asked him why
he is not using AC then he told that he can adjust 34-35-
degree temperature by doing this to save money. Then
Son replies why you are adjusting when our AC Voltas
can adjust to temperature. Then AD focus on the Voltas
with a message that Voltas can save money aby
adjusting between 1.0 ton and 1.5 ton depending upon
the temperature.
Advanced Adjustable Technology, Inverter technology,
Savings on electricity,
Family, advice giving father, Young and modern son,
Happy Father at the end
Central & Peripheral Route of Persuasion
The advertisement starts with Peripheral route of
persuasion where father was conveying the message

Central Route of Persuasion
3.3 Television Advertisement: Voltas (Steady Cooling and Steady Savings)
https://www.youtube.com/watch?v=nputQJZerEo
Communication
Target Audience
Target Message
Character used in Ad
AD Plot
Cognitive Components
Affective Components
Elaboration Likely hood Model
Analysis
Peripheral Route of Persuasion
Central Route of Persuasion
that use of AC will increased the electricity bill and
therefore, they should try other methods of getting cool.
This part we can say that it is negatively framed in
respect of using the ACs
The Second part is positively framed and taking the
Central route where son describes that their Voltas AC is
an advanced adjustable AC which can adjust between
1.0-ton and 1.5ton depending upon the heat. This
feature along with Inverter technology saves lot of
money because of reduced electricity bills.
Continuous cooling with continuous savings
Head of household (Middle aged Men)
Steady Cooling and Steady Savings
Two middle-aged men portrayed as neighbourly friends
One neighbour shown as entering as unwanted guest in
another friend’s house and taking his coffee and
pampering him by saying that his house is very cool and
pleasurable. Then other friend is clarifying that his friend
don’t want to use AC for long hours in his house to avoid
high electricity bills and here he is using full time AC. The
AD ending with a message that I am also smart as I have
bought VOLTAS which gives steady cooling and savings so
he is not worried about using AC for long hours.
Two stage steady cool compressor, 5 start energy rating,
Inverter technology, low on electricity,
Friendship, hospitality, Savings, bonding through coffee
(Target at south Indian customers)
Central & Peripheral Route of Persuasion
The advertisement starts with Peripheral route of
persuasion where unwanted guest of Mr. Murthy is
saying that his house is like a heaven, so cool and
comfortable and he enjoys having coffee in his house.
Then Mr. Murthy explains that his friends visits his house
to enjoy AC as he doesn’t want to do in his own house to
save on electricity bills. We did not find any negative
frame in this advertisement
The Second part is positively framed and taking the
Central route when Mr. Murthy claims that is being
smart has taken a VOLTAS AC where he is getting steady
cooling and savings because of two stage steady cool
compressor technology.
 3.4 News Paper AD – Voltas (Delhi times – 31st Aug 2019)
See Annexure A
Communication
Target Audience
Target Message
Cognitive Components
Affective Components
Elaboration Likely hood Model
Analysis
Peripheral Route of Persuasion
Central Route of Persuasion
3.5 News Paper AD – Voltas (Times of India – 28th April 2019)
See Annexure B
Communication
Target Audience
Target Message
Cognitive Components
Affective Components
Elaboration Likely hood Model
Analysis
Peripheral Route of Persuasion
Central Route of Persuasion
5 Years Warranty with 5% Cashback. Detailed &
informative AD where the benefits are explained in the
form of Icons and text. Also written are the terms and
conditions of offer.
Young People , Newly married Couples
Cash Savings and Extra Savings because of 5 year
warranty
Financial benefits, 5 year warranty hinting better
product, Visual graphics of technical benefits, Cashback
offers on selected cards, contact details for further help
A happy couple with extra savings and extra warranty
Central & Peripheral Route of Persuasion
No Noticeable peripheral persuasion
The AD is direct central route where you can buy VOLTAS
AC and can enjoy 5 years Warranty and 5% cashback.
Displayed features and details also direct to the central
route of persuasion.
New Technology i.e. Adjustable Invertor AC. The
meaning of Adjustable Invertor AC is written just below
the Message making it easier to understand. Other
benefits are in visual graphics explained in the form of
Icons and text.
Newly married Couples
Benefits of New Adjustable Technology and Invertor AC.
New Adjustable Technology which runs on different load
under different conditions, Visual graphics of technical
benefits, customer care number, payment options and
their offers are also mentioned.
A happy couple, enjoying coffee in better environment
Central & Peripheral Route of Persuasion
No Noticeable peripheral persuasion
The AD is direct central route with a message of
Adjustable technology which runs in different mode in
different situations. Displayed features and details also
direct to the central route of persuasion.
4. Consumer Level Data:
4.1 A Household at Kaloor Cochin

The household with four members. Husband a businessman in stock trading

business, wife is house making, Two school going kids (10 th & 8th Std). Using the
Voltas 1.5-ton Split AC since last 3 years.

Identification of Need: As the house in Kaloor Junction, therefore a highly polluted

and noisy place. This was further added by the construction of Metro network. The
sound and dust forced the residents to stay with closed windows.

Information Search: There was not much Information search as Husband’s Friend
is an authorized dealer of Voltas in Manorama Junction.

Alternate Evaluation: Daikin was considered as it is used in their parent’s house

but they bought Voltas because of ease of buying and trust in Friend’s store.

Purchase: It was outright cash purchase. Model selected was Voltas 1.5 Ton AC with
remote control. Compact size and better looking was a factor for selecting this
specific model.

Post purchase evaluation: Happy Customer, No complaint in last 3 years. Regular

serviced by Dealer, Only incident was a complaint with Remote which was
immediately replaced by the dealer.

4.2 A Household at Vazhakala Cochin

This household is with three members. Both Husband & Wife are IT professionals
(Upper Middle Class) with a school going boy kid. Using the Voltas 1.5-ton Split AC
since last 1.5 years.

Identification of Need: Being IT professionals and working in ACs during office

hours, therefore it became very difficult at home in the hot and humid weather of
Cochin. Moreover, they also mentioned that Cochin is also becoming more and
more hotter day by day.

Information Search: Being IT guys they did extensive search on Internet, gone
through the User ratings, Price Comparisons, friend’s referrals and advertisements.
.
 Alternate Evaluation: Daikin, Voltas, Whirlpool and Samsung was considered. Their
prices (Online portals), offers and models were shortlisted. But it was decided to
go on shop for purchasing.

Purchase: Nandilath G mart showroom at Edapally was selected because of

earlier experience and wide range of options and models are available under one
roof. After looked at selected models the final purchase was Voltas. The friendly
salesman at showroom also played a crucial role in final selection. He convinced
on high service guarantee and no complaints from the previous Voltas users.

Post Purchase Evaluation: A very happy Customer. AC was installed within 3 days
of purchase. As on today there is no complaint and they are satisfied with the
performance of product.

5. Managerial Implications:
5.1 Linkage between Product Category and Brand Communications:
Product Category Brand Communication
• AC with 1.5- ton capacity Brand Communications seems to be
• Adjustable Technology within 1.0 and purely aligned with the message they
1.5-ton want to communicate.
• Inverter Technology The main message in both TV Ads were
• All Star Rating focusing on savings on electricity bills
• 5 Years Warranty which was clearly aligned with adjustable
technology, all star rating and invertor
technology.

In Newspaper Ads the above message is

also communicated along with the
financial benefits through the 5 years
Warranty and 5% cashback offers.

5.2 Gaps Between the User Communication and user experience

Even thought the all Ads were focused on saving the electricity bills by showcasing
adjustable technology, all star energy ratings and Invertor ACs but our study with these
two cases shows that Purchase was due to basic need and brand image in terms of
availability of servicing and other influence. Still we feel that customers at this moment
are not too much considering the low bills evaluation which takes long time and
analysis to make judgements and purchase still happen because of other attributes
like Price, current offers, availability of servicing and spare parts etc.
5.3 Internal & External Influences:

External Influences Internal Influences

• Culture - Changing Lifestyle
• Demographics – Increased paying
capacity
• Social Status – Status Symbol
• Reference Groups – Friends,
Colleagues, neighbours
• Marketing Activities – Advertisement
with easy EMI, higher Warranty,
Purchase on credit etc.
• Perception – Modern and stylish
home appliance.
• Learning – Through the use of ACs
environments in Office, Malls,
Theatres etc.
• Motives – Basic Needs and Social
status
• Personality – Smart, updated with
new technology
• Emotions: Enjoying and happy
moods due to better environment at
home
• Attitudes: Intelligent (savings, latest
technology), Modern looking (Social
status.

5.4 Other insights specific to the product category

We found that Voltas score high on service quality and availability of service centres,
which was not highlighted in their Ads. We feel that focus on these attributes also will
benefit VOLTAS.

6. Conclusion:
We took this case study to fulfil the academic requirement of course -Consumer
Behaviour. We were able to complete this case study because of equal contribution
of all the group members and the knowledge/skills we gained during the course
classes. The biggest take from this course is understanding that Consumer behaviour
is a very complex and dynamic process which requires continuous and on-going
reviews, surveys , analysis etc. we are very thankful to our Prof Omkumar Krishnan to
provide us this opportunity of learning under his guidance.
Appendix A : News Paper AD – Voltas (Delhi times – 31st Aug 2019)
Appendix B : News Paper AD – Voltas (Times of India – 28th April 2019)