Professional Documents
Culture Documents
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CHAPTER - I
1.1. INTRODUCTION
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The increasing interest in smart phone among the people is the main reason that has amplified
the interest to research the topic. People’s obsession about smart phones has been increasing
rapidly. The aim of this research is, therefore, to find out consumer behavior of smart phone
buyers in Indian Market. The research aims to find out the reasons behind people purchasing
smart phones, the factors influencing the purchase decision and the motivations behind the
purchase decision. Different consumers have different characteristics in their life that also
influences their buying behavior. Social factors such as (family, groups, roles, and status) and
personal factors (such as age, occupation, lifestyle, personality and self-concept) are those
characteristics that could influence the buyer behavior in making the final decision.
Here we provide a review and synthesis of the literature; it explains the consumer decision-
making process with the model which is used as the research framework. This explains all the
external and internal factors which influence the consumer in the decision-making process.
This chapter also includes literature for smart phone and its characteristics. It explains the
factors which are affecting the consumer in purchasing a smart phone. This chapter also
explains the important of brand influence on the consumer in the smart phone industry. This
chapter uses a consumer decision-making model to explain the consumer buying behavior for
smart phone industry in India. Literature review contents are linked to research questions and
research objective of this research.
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Mobile phone with highly advanced features.
The majority of these devices run on any of these popular mobile operating system:
Android, Symbian, ios, Blackberry OS and Windows Mobile.
NOKIA
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Nokia is a finnish multinational telecommunications, information techonology, and
consumer electronics company founded in 1865. Nokia’s headquarters are in Espoo,
in the greater Helsinki metropolitan area.
Website: www.nokia.com
SAMSUNG
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Samsung is a South Korean multinational conglomerate headquartered in Samsung
Town, Seoul. It comprises numerous affiliated businesses, most of them united under
the Samsung brand, and is the largest South Korean chaebol.
Industry: Conglomerate
Website: samsung.com
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APPLE
Website: apple.com
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LENOVO
Website: www.lenovo.com
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VIVO
Area served: China, South Asia, South East Asia, Russia, India
Website: www.vivo.com/en/
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XIAOMI
Area served: India, Malaysia, Pakistan, Russia, Hong kong, Mexico, United Stated.
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OPPO
Website: www.oppo.com/en
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1.3. OBJECTIVES OF THE STUDY
PRIMARY OBJECTIVES:
SECONDARY OBJECTIVES:
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1.4. NEED OF THE STUDY
Also this project gives an outlook of how the Smartphone are performing in the
current market situation as the result of what may be the future industry.
This study on Smartphone it informative to the students who want to understand and
undertake assignment in the industry
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1.5. SCOPE OF THE STUDY
The study helps us to know about the customer attitude towards Smartphone.
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1.6. LITERATURE REVIEW
Tajzadeh Namin Aidin (2012) analyzed that the process of deciding over
(choosing) a brand may be influenced by situation and contents. The findings
suggest a significant relationship between the variables “brand attitude”, “corporate
attitude”, and “product (cell phone) choice”. In addition, no significant relationship
was found between individual decision making processes (independent or
mediated) and product choice.
Lynda Andrews (2012) examine the nature of consumer’s perceptions of the value
they drive from the everyday experiential consumption of mobile phones and how
mobile marketing (m-marketing) can potentially enhance these value perceptions. The
findings highlight ways to tailor m-marketing strategies to complement consumer’s
perceptions of the value offered through their mobile phones.
Ajax Persaud (2012) concludes that consumer’s shopping style, brand trust, and
value are key motivations for engaging in mobile marketing through their Smart
phones. Further research should focus on specific tactics marketers use to engage
customers beyond marketing messages, that is, how they engage customers in
dialogue to build relationships, encourage purchases and build loyalty. This could
reveal how customers really want to engage in mobile marketing.
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due to lack of awareness. Such a categorization can help phone manufactures enhance
their mobile phones in regards to security, preferably transparently for the user.
Jonathan (2001) analyzed that moderating role of switching costs in the customer
satisfaction-loyalty link; and to identify customer segments and to retain them. Thus
the purposes of this paper are: to examine the moderating role of switching costs in
the customer satisfaction–loyalty link; and to identify customer segments and then
analyze the heterogeneity in the satisfaction-loyalty link among the different
segments. An empirical example based on the mobile phone service market in France
indicates support for the moderating role of switching costs. Managerial implications
of the results are discussed.
Ozhan Karimi (2012) had presented and empirical study to investigate the effects of
different marketing efforts on brand equity in mobile industry. The results show that
there is a positive and meaningful relationship between marketing mix efforts and
brand equity. In other words, more advertisement could help better market exposure,
which means customers will have more awareness on market characteristics. Among
all mixed efforts, guarantee influences more on brand equity, which means customers
care more on product services that other features. Finally, among different
characteristics of brand equity, product exclusiveness plays an important role. In other
words, people are interested in having exclusive product, which is different from
others.
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Asta Salmi (2008) signifies that the general features (high power distance, femininity,
high uncertainty avoidance) characterizing Russian culture affect preferred mobile
phone design. Long-term values are seen, for example, in family orientation, which
affects the use of mobile phones. Changing cultural and socio-economic features are
seen in the strict division of consumers into distinct segments. Current aspects of
society, such as high level of street crime, are apparent in the desired features of
products. The emerging Russian markets seem to consist of very different consumer
groups and simultaneously represent both old new cultural features and norms. Design
has become a central tool for affecting product marketing, and an influential
community of designers and a design industry are emerging.
Fred Robins (2003) analyzed that the marketing of the next generation of mobile
phones. It begins with comments on the state of the telecom industry and draws
attention to elements of technological and product convergence, highlighting the point
that while industry convergence on digital technology is a fact, today’s mobile
telephony marketplace is nonetheless characterized by three generations of
technology and the latest generation, 3G, embraces three related but competing
standards. The research examines 2G, 2 and half G and 3G developments around the
world and identifies factors relevant to the marketing of 3G, including recognition of
geographical and user diversity and the consequent need for marketers to keep these
various user perspectives in mind. However, customer desire for personalisation,
including personalised 3G services, are important features of the marketplace, as will
be the availability of simple, secure payment system.
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1.7. RESEARCH METHODOLOGY
RESEARCH DESIGNS:
Descriptive research:
AREA OF STUDY:
The area of the study is confined to "A study of consumer buying behavior towards
smart phone at Tambaram"
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1.7.3. DATA COLLECTION METHOD:
1. Primary data
2. Secondary data
PRIMARY DATA:
The primary data is collected fresh and for the first time and thus happens to be the
original character. The primary data is collected through structured questionnaire
method. The questions are based on the objectives of the study.
SECONDARY OBJECTIVES:
The secondary data are those which have been already collected by someone else and
which have already been passed through statistical process. The secondary data for
this study is collects from records, research papers, magazines and internet sources.
To analysis the data and interpret the results, various tools are applied are
PERCENTAGE ANALYSIS
In this project percentage method test was used. The percentage method is used to
know the accurate percentages of the data we took, it is easy to graph out through the
percentages. The following are the formula
No of respondents
Percentage of respondent = --------------------------- x 100
Total No of respondents
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CHI-SQUARE ANALYSIS
Chi-square test is a statistical test, which test the significance between observed
frequencies and corresponding theoretical frequency of distribution, without any
assumption about the distribution of population. Chi-square is one of the simplest and
most widely used non-parametric tests in statistical work. It is a distribution free
which can be used in any type of distribution of population.
X2 = ∑(Oi - Ei)
___________
Ei
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1.8. LIMITATION OF THE STUDY
The study has been conducted only in Tambaram area. Hence the results of the study
may not be applicable to others places.
The finding are based on the views of only 70 respondents. Hence they cannot be
generalized.
The accuracy of findings is limited by the accuracy of statistical tools used for
analysis.
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CHAPTER - II
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2.1. PERCENTAGE ANALYSIS
57.1
20.0
11.4 11.4
INTERPRETATION:
From the above table it is inferred that 57% of the respondents are 18-24 years, and 20% of
the respondents are more than 30, and 12% of the respondent are 25-30, and 11% of the
respondents are Less than 18 years.
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GENDER FREQUENCY PERCENTAGE
MALE 21 30
FEMALE 49 70
TOTAL 70 100
70
30
male female
INTERPRETATION :
From the above table it is inferred that 70% of the respondents are Female, and 30%
of the respondent are male.
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BELOW 15000 9 13
15001-30000 5 7
30001-45000 8 11
ABOVE 45000 3 4
NOT APPLICABLE 13 19
PREFER NOT TO 32 46
ANSWER
TOTAL 70 100
45.7
18.6
12.9
11.4
7.1
4.3
below 15000 15001-30000 30001-45000 above 45000 not applicable prefer not to answer
INTERPRETATION:
From the above table it is inferred that 46% of the respondents are prefer not to answer,
and 19% of the respondents are not applicable, and 13% of the respondents are below
15000, and 11% of the respondents are 30001-45000, and 7% of the respondents are
15001-30000, and 4% of the respondents are above 45000.
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EMPLOYED 20 29
BUSINESSMAN 4 6
STUDENT 37 53
HOMEMAKER 8 11
PREFER NOT TO 1 1
ANSWER
TOTAL 70 100
52.9
28.6
11.4
5.7
1.4
INTERPRETATION
From the above table it is inferred that 53% of the respondents are Student, and 29%
of the respondents are Employed, and 11% of the respondents are Homemaker, and
6% of the respondents are Businessman and 1% of the respondents are Preferred not
to answer.
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CHART NO: 2.1.5. MOBILE PHONE OF THE RESPONDENTS
92.9
65.0
1
2
5.0 7.1
Frequency Percent
INTERPRETATION:
From the above table it is referred that 93% of the respondents have only 1
Smartphone, and 7% of the respondents have 2 Smartphone.
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LENOVO 14 20
OTHER 10 14
TOTAL 70 100
14.3
11.4 11.4
10.0
7.1
5.7
INTERPRETATION:
From the above table it is inferred that 20% of the respondents have Lenovo, and 20% of
the respondents have Samsung, and 14% of the respondents have other mobile, and 12%
of the repondents have Xiaomi, and 12% of the repondents have Xiaomi, and 11% of the
respondents have Micromax, and 10% of the respondents have Motorola, and 7% of the
respondents have Nokia, and 6% of the respondents have Apple.
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47.1
42.9
7.1
2.9
INTERPRETATION:
From the above table it is inferred that 47% of the respondents phone price are
10001-20000, and 43% of the respondents phone price are Less than 10000, and 7%
of the respondents phone price are More than 30000, and 7% of the respondents
phone price are More than 30000, and 3% of the respondents phone price are 20001-
30000.
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CHART NO: 2.1.8. EXPERIENCE YOUR SATISFACTION WITH THE
BRAND OF SMARTPHONE
48.6
44.3
5.7
1.4
INTERPRETATION:
From the above table it is inferred that Experience your satisfaction with the brand of
Smartphone 49% said Very good, and 44% said Good, and 6% said Moderate, and
1% said Bad.
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CHART NO: 2.1.9. REASON FOR CHOOSING CURRENT
SMARTPHONE
34.3
27.1
24.3
12.9
1.4
INTERPRETATION:
From the above table it is inferred that Reason for choosing current Smartphone 34%
by Peers/Family members using or satisfaction with this brand I have using this brand
for a long time, 27% by on-line/Print/visual media review, and 24% by Catchy and
attractive advertisement, and 13% by It was a gift, and 1% by other.
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40.0
24.3
20.0
INTERPRETATION:
From the above table it is inferred that Phone previously own 40% said This is my
first phone, 24% said Samsung, 20% said Nokia, 4% said Motorola, 4% said other
mobile, 3% said Apple, 3% said Micromax, 2% said Lenovo.
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37.1 37.1
22.9
2.9
INTERPRETATION:
From the above table it is inferred that how often do you change your mobile 37%
said 1 - 2 year, and 37% said 2 - 3 year, and 23% More than 4 years, and 3% said
Less than 1 year.
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44.3
32.9
17.1
5.7
INTERPRETATION:
From the above table it is inferred that 44% by Peers/family phone or retail store, 33% by
Social media, 17% by News or T.V.ad, 6% by other.
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31.4
24.3
20.0
17.1
7.1
extremely influential very influential moderately influential slightly influential not at all influential
INTERPRETATION:
From the above table it is inferred that Level of influence by social media 32% said
Very influence, 24% said Moderately influence, 20% said Extremely influence, 17%
said Not at all influence, 7% said slightly influence.
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41.4
28.6
21.4
4.3 4.3
INTERPRETATION:
From the above it is inferred that 42% said Family, and 29% said Self, and 21% said
Friends, and 4% said Relatives, and 4% said Spouse.
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60.0
37.1
2.9
INTERPRETATION:
From the above table it is inferred that majority of the respondents 60% are extremely
important, and 37% are very important, and 3% are moderately important.
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CHART NO: 2.1.16. FEATURE OF PROCESSOR
31.4
28.6
25.7
12.9
1.4
extremely important very important moderately important slightly important not at all important
INTERPRETATION :
From the above table it is inferred that majority of the respondents 31% are extremely
important, and 29% are very important, 26% are moderately important, and 13% are
slightly important, and 1% are not at all important.
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CHART NO: 2.1.17. FEATURE OF CAMERA QUALITY
48.6 48.6
2.9
INTERPRETATION :
From the above table it is inferred that majority of the respondents 49% are very important,
and 48% are extremely important, and 3% are moderately important.
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CHART NO. 2.1.18. .FEATURES OF BATTERY PERFORMANCE
65.7
31.4
2.9
INTERPRETATION :
From the above table it is inferred that majority of the respondents 66% extremely
important, and 31% are very important, and 3% are moderately important.
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55.7
34.3
10.0
INTERPRETATION :
From the above table it is inferred that majority of the respondents 56% are extremely
important, and 34% are very important, and 10% are moderately important.
PHONE
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42.9
40.0
12.9
4.3
INTERPRETATION :
From the above it is inferred that 43% in on-line shopping, and 40% in Company
showroom, and 13% are Authorized retailer, and 4% are others.
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27.1
8.6
2.9
1.4
INTERPRETATION :
From the above table it is inferred that majority of the respondents 60% use Daily,
and 27% said rarely, and 9% use once a week, and 3% use Once a month, and 1% use
Twice a week.
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31.4
21.4
20.0
17.1
10.0
INTERPRETATION :
From the above table it is inferred that majority of the respondents 32% use Daily,
and 21% use rarely, and 20% use once a month, and 17% use once a week 10% use
Twice a week.
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27.1 27.1
18.6
15.7
11.4
INTERPRETATION :
From the above table it is inferred that majority of the respondents 27% use Daily,
and 27% use once a week, and 19% use rarely, and 16% use once a month and11%
use Twice a week.
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35.7
20.0 20.0
14.3
10.0
INTERPRETATION :
From the above table it is inferred that majority of the respondents 36% use Daily,
and 20% use Twice a week, and 20% use rarely, and 14% use once a week, 10% use
once a month.
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57.1
15.7
10.0 10.0
7.1
INTERPRETATION:
From the above table it is inferred that majority of the respondents 57% use rarely,
and 16% use once a week, and 10% use Daily, and 10% use Twice a week, and 7%
use once a month.
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97.1
68.0
yes
no
2.0 2.9
Frequency Percent
INTERPRETATION:
From the above table it is inferred that 97% said Yes it is Beneficial for daily life,
and 3% said No it is not beneficial for daily life.
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CHART NO: 2.1.27. RECOMMENDATION TO BY SMARTPHONE
41.4
38.6
18.6
1.4
INTERPRETATION:
From the above table it is inferred that 41 said Agree, and 39 said Strongly agree,
and 19 said Neutral, and 1 said Strongly disagree.
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female 5 10 2 3 6 4 11 8 49
Total 5 14 4 8 8 7 14 10 70
Chi-Square Tests
N of Valid Cases 70
a..11 cells (68.8%) have expected count less than 5. The minimum expected count is 1.20.
INFERENCE:
The calculated value (0.286) is more significant value of (0.05) there for HO is accepted
hence there no significant relationship between the gender of the respondents and method of
name of the brand are concerned.
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CHAPTER - III
SUMMARY
3.1. FINDINGS
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The following are the findings of the “A STUDY ON CONSUMER
BUYER BEHAVIOR TOWARDS SMARTPHONE IN
TAMBARAM”
It is found that of the respondents 57 % are between the age group of 18-24
years.
It is found that of the respondents 70% are Female.
It is found that of the respondents 53% are Students.
It is found that of the respondents 46% prefer not to answer.
It is found that of the respondents 93% have 1 smart phone.
It is found that of the respondents 20% have Samsung & Lenovo.
It is found that of the respondents 47% current phone price is between 10001-
20000.
It is found that of the respondents 49% are satisfied with the brand of smart
phone.
It is found that of the respondents 44% by Peers/Family members using or
satisfaction with this brand I have using this brand for a long time it is the
reason behind choosing current smart phone.
It is found that of the respondents 40% said This is my first mobile.
It is found that of the respondents 37% are change their smart phone in 1-2
year & 2-3 year.
It is found that of the respondents 44% by Peers/family phone or retail store by
their obtain the information to purchase current smart phone.
It is found that of the respondents 31% said Very influence it is the level of
influence by social media.
It is found that of the respondents 41% said is by Family motivated at the time
of purchasing new smart phone.
It is found that of the respondents 60% said extremely important in respect of
RAM.
It is found that of the respondents 31% said extremely important in respect of
processor.
It is found that of the respondents 49% said extremely important and very
important in respect of camera quality.
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It is found that of the respondents 66% said extremely important in respect of
battery performance.
It is found that of the respondents 56% said extremely important in respect of
sound quality.
It is found that of the respondent 43% said they purchase their smart phone in
on-line shopping.
It is found that of the respondents 60% use Daily in respect of SMS.
It is found that of the respondents 31% use Daily in respect of music listening.
It is found that of the respondents 36% use Daily in respect of photo shooting.
It is found that of the respondents 27% use Daily and once a week in respect
of video/movie watching.
It is found that of the respondents 57% use Rarely in respect of gaming.
It is found that of the respondents 97% said yes it is Beneficial for daily life.
It is found that of the respondents 39% said Agree that recommend my friend
to buy smart phone.
3.2. SUGGESTIONS
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From the result inferred by the data collected and little secondary information the following
suggestions are given to improve consumer buying behavior.
To explore the market, mobile industry have to concentrate more on youth segment by
giving more advanced features.
Compared to urban and suburban the mobile phone usage in rural is low so the mobile
companies have to go for campaigns to create awareness among the rural people
3.4. RECOMMENDATION
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1. Smartphone companies should more focus more on advertisements on internet
websites.
2. As consumer want more and more features so smart phone manufacturers should
increase the number of features.
3. Smartphone brand must maintain their good will and increase service.
3.5. CONCLUSION
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The main reason for smart phone purchase is its
features.
Internet retailers / review / technology websites is an important source of information
to consumer.
Mostly consumer wants to opt for different smart phone brands instead of looking for
same brand.
The most effective medium of advertisement of smart phone is internet websites.
There is no difference between preferences for features of smart phones on the basis
of gender.
All the respondents agreed that Smartphone is really essential to make their daily life
easier.
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APPENDIX
QUESTIONNARIES
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A STUDY ON CONSUMER BUYING BEHAVIOR TOWARDS SMART
PHONE IN TAMBARAM
2. Age:
3. Gender:
4. Occupation:
5. Monthly income:
A. 0 B. 1 C. 2 D. 3 E. 4
G. Lenovo Other__________________________
8. In what price band does your current phone falls (at the time of buying)?
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D. More than 30,000
9. Based on your own experience how you would rate your satisfaction with the brand of
Smart Phone:
10. What is the reason behind choosing your current Smart Phone (multiple Better
features
A. Less than 1 year B. 1 year – 2 year C. 2 year – 3 year D. More than 3 year
13. Where did you obtain the information to purchase your current Smart Phone?
D. Other____________
14. What level of influence did social media have when you purchased your mobile
phone?
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A. Extremely influential B. Very influential C. Moderately influential
Other__________________
16. Please rate the features of Smart Phone on the basis of its important:
Cost
Design
Camera quality
Battery performance
Status symbol
Sound quality
Processor
RAM
Storage capacity
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Brand name
D. Other__________________
18. How often do you use following function of your Smart phone?
SMS
Video call
Music listening
Daily
Video / Movie
watching
Photo shooting
Web Surfing
E – Mail
Social network
Gaming
App / Software
download
Map / GPS
News reading
Documents
reading / editing
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A. Yes B. No
3.6. REFERENCE
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WEBSITES
WWW.GOOGLE.COM
WWW.WIKIPEDIA.COM
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