You are on page 1of 37

A PROJECT REPORT

A study of consumer perception towards green products

A capstone synopsis submitted to the

Lovely Faculty of Business and Applied Arts

In Mittal School of Business

For the partial fulfilment of the requirements for the award of Degree of

Integrated BBA-MBA

SUPERVISED BY: SUBMITTED BY:

Dr.Rayees Farooq Shivam Mishra(11507315)

Virendra Verma(11503862)

Rishabh Kumar Singh(11502065)

DEPARTMENT OF MANAGEMENT

LOVELY PROFESSIONAL UNIVERSITY

PHAGWARA (PUNJAB)

2018

1|Page
Acknowledgement

We would like to take the opportunity to express our sincere gratitude and appreciation to our
faculty mentor Dr. Raees Farooq for his valuable suggestions, which encouraged us to explore
new opportunities for our project work. He shared all his sources, all valuable suggestions to us.
His opinion has helped our study tremendously. He has not been just a mentor but our greatest
critic. Without his involvement in this work the project won’t have taken successfully.

We are extremely thankful to the individuals who spare their precious to give their response and
participated in the survey

Student Name: Shivam Mishra Virendra Verma Rishabh Kumar Singh


Registration No: 11507315 11503862 11502065
Program: Integrated BBA-MBA Integrated BBA-MBA Integrated BBA-MBA

Signature of Mentor …………………………

2|Page
Declaration

We, Shivam Mishra,Virendra Verma and Rishabh Kumar Singh bonafide students of MBA in
Lovely Professional University, Punjab, would like to declare that this Project Report on “A
study of consumer perception towards green products” submitted by us in partial fulfillment of
the requirements for the award of the Degree of “Integrated BBA-MBA” is our original work.

Place: Phagwara, Punjab Signature of Students


Date:
Shivam Mishra

( )

Virendra Verma

( )

Rishabh Kumar Singh

( )

3|Page
Table of content

Titles Page No.


Project title page………………………………………… 1
Acknowledgement………………………………………… 2
Declaration………………………………………………… 3

Sr. Chapters Page No.


No
1 Introduction
1.1. Green Products……………………………… …….4-5
1.2. Consumers …….5 – 6
1.3. Perceived value……………………………… …….6 – 7
1.4. Consumer’s attitude…………………………… …….7-8
2 Literature Review………………………………… …….09 - 13
3 Need and significance of study……………… …….14

4 Objective of the study………. …..15

5 Research Methodology
5.1 Target Population….……………………………… …….16
5.2 Sampling Technique. ..…...16
5.3 Research design…………………………………….. …….16 - 17
6 Analysis and Interpretation……………………… …….17 - 23
7 Findings……………………………………………… …….23- 27
8 Conclusion……………………………………. ….28
9 Suggestion……………………………………. …..29
10 References……………………………………………… …….30
11 Appendix (Questionnaire)…………… …….33 - 35

4|Page
List of Tables

Sr. No Details Page No.


Table 1 1.1 Regression Variable Entered/Removed ……17
1.2 Regression Variable Entered/Removed ……20
1.3 Regression Variable Entered/Removed ……22
Table 2 2.1 Regression Model Summary ……17
2.2 Regression Model Summary ……20
2.3 Regression Model Summary ……21
Table 3 3.1 ANOVA ……18
3.2 ANOVA …….21
3.2 ANOVA ……22
Table 4 4.1 Coefficients ……19
4.2 Coefficients …….21
4.3 Coefficients ……23

List of Figures

Sr. No Detail Page No.


Figure 1 Gender ……24
…………………………………………………………………..
Figure 2 Age ……24
……………………………………………………………………...
Figure 3 Occupation ……25
………………………………………………………...
Figure 4 Education ……25
……………………………………………………………….
Figure 5 Earnings ……26
…………………………………………………………………..

5|Page
1.Introduction

World environmental issues have become matter of concern for the companies and consumers as
well. As the production and consumption of products which contains harmful substances, it is
degrading the environment. And is a focal point for consumers and the companies as it also has
adverse impact on the health of the consumers. The challenges that companies and customers are
facing is to preserve and prevent Earth’s natural environment and its finite resources. Production
of goods all over the world has created a situation where environmental safety is at stake. It has
resulted into large number of environmental problem. As a result, companies are more focused
on green marketing and are trying to produce green products which are environmental friendly
and have less harmful impact on environment.
Moreover, when we talk about environment and health, the consumers are being more conscious
about this, Healthy habits are being prioritised.

1.1. Green Products:


These are the product which are generally produced from recycled components and are generally
manufactured in more energy conservative way. These are the products which do not have any
adverse impact on the health of human being and on our environment at the time of production,
consumption as well as post consumption. These products are easily decomposable and
recyclable so that it can be reused for further manufacturing, having no adverse impact on
environment and human health.

Some of the attributes of green products which are helpful for identification of the products that
whether the product offered is a green product of not are mentioned below:
 Are energy efficient products.
 Often have low maintenance requirements and are durable.
 Do not have any Ozone depleting chemical and toxic compounds.
 Do not produce any toxic by-products.
 Often made of recycled materials and are recyclable.
 Biodegradable and easily reused partially or as a whole.

6|Page
The environmental issues related concerns has been increased recently due to the awareness
related to environmental pollution, increased media exposure and the impact of industry disaster
(Kalafatis, et. al.. 1999). It resulted into consideration for the environmental protection by
customers as an important factor for their buying decision. (Fraj and Martinez, 2006).
New segment of consumers has emerged due to the concern of environmental degradation called
“green consumers”. These kinds of consumers tend to avoid the products which are possibly
dangerous for the health, environment and do not fall in the category of green products. And to
respond to the environmental needs of these consumers, A new branch of learning related green
marketing has been evolved (Raposo, Finis terra do Paco, 2008).

1.2. Consumers
People get confused between Consumers and Customers, so a customer is a person who
purchases the product and a consumer is one who consumes it. For both the parties’ product
creates value but it is majorly realized by the consumer. For example, “A” buys a notebook for
his son “B” so “A” is a customer but his son “B” who is going to use it so he will be the
consumer in this case.
There are a lot of factors that have direct impact on the purchase decision of the product, like:

Brand: A brand is a "Name, term, design, symbol, or any other feature that identifies one
seller's good or service as distinct from those of other sellers. (AMA)

 Brand Equity: The value of a brand. From a consumer perspective, brand equity is
based on consumer attitudes about positive brand attributes and favorable
consequences of brand use. (AMA)
 Brand Awareness: Brand awareness is a marketing concept that enables marketers
to quantify levels and trends in consumer knowledge and awareness of a brand's
existence. At the aggregate (brand) level, it refers to the proportion of consumers
who know of the brand. (AMA)
 Brand Image: The perception of a brand in the minds of persons. The brand image
is a mirror reflection (though perhaps inaccurate) of the brand personality or product
being. It is what people believe about a brand-their thoughts, feelings, expectations.
(AMA)

7|Page
Perception: Based on prior attitudes, beliefs, needs, stimulus factors, and situational
determinants, individuals perceive objects, events, or people in the world about them.
Perception is the cognitive impression that is formed of "reality" which in turn influences the
individual's actions and behavior toward that object. (AMA)

 Perceived Price: It is a price or cost a consumer perceive about a product based


upon the value, product will offer.
 Perceived Quality: It is referred to the Quality of products and services perceived
by the customer.
 Perceived Risk: It is a risk of uncertainty a consumer is having when he/she is
buying a product with high involvement or of high price like Cars, House or any
other expensive product.
 Perceived Value: It is a worth a product is having in the minds of consumer not
only in terms of cost but also in terms of satisfaction.

Attitude: A cognitive process involving positive or negative valences, feelings, or emotions.


An attitude toward an object always involves a stirred-up state--a positive or negative feeling
or motivational component. It is an interrelated system of cognition, feelings, and action
tendencies. (AMA)

Intention: Anticipated or planned future behavior or the decision to acquire specific goods
or services under given terms and conditions. (AMA)

1.3. Perceived Value

Perceived value refers to the value or worth that a customer believes he/she will obtain when
they will purchase any product or service. The customers don’t have the in depth knowledge
about the cost of production or other cost of the product but based on their internal feeling the
worth that product will give them.

The success and failure of any product depends upon the value their customers perceive and the
satisfaction they will get from buying that product and whether it will satisfy their needs. So it

8|Page
gets very important for marketers to develop such a product and their brand so that it leaves a
positive impact on the minds of their customers, and they don’t know how the customer will
perceive and react to the message the marketers is trying to communicate. Most of the companies
spend their resources to understand the customer’s behavior like how they think and feel and also
the factors that can have direct impact on their perception.

The factors that can stimulate customer’s perceived value are psychological factors, tangibility of
the product, social advantages, personal benefits and many more, so companies have to make
sure they consider all these factors while developing product, setting up its price and how they
are promoting the product.

9|Page
1.4. Consumer’s Attitude
Attitude is a behavior of an individual based upon learnings and past experiences which is
representation of our likes and dislikes. (Blackwell et al 2001: 289); people tend to purchase
when they like any product. Attitude includes characteristics like it is a sensitivity towards a
particular behavior, it is learned and not natural, establish a relation between person and an
Object. (Blythe, 2008: 138-139). Attitude is defined as a learned inclination of responding
towards an object in a consistently unfavorable or favorable manner (Blythe, 2008: 138). When
we talk about consumer’s attitude it refers to the behavior of the consumer based upon his
knowledge and past experience of product usage. A consumer’s attitude has a direct impact on
the purchase intention.

10 | P a g e
2. Literature Review

Roach (1991), in his studies he found that, while making purchase decisions consumers were
found considering factors like environment protection, product quality and food safety.
Consumer’s belief and attitude was found as two factors which would have impact on the
purchase intention of consumers.

N. Mahesh (2013), indicated that most of the consumers perceive green product as a quality
product and value for money. Perceive value for green products was found to be high among
the consumer of higher education and of higher income level. Employees working in private
sector and middle aged people have better and positive perceived value towards purchasing
green products.

Aaker (2001), states that intention means expectation of a person of behaving for future
towards a product or an object. Intention is an outcome of individual’s regular habit of
buying and planning horizon. It consist individual’s willingness to pay for the product. And
purchase intention refers to the conscious effort an individual makes to purchase a product.
(Spears and Singh, 2004)

Bolton (1991),in his study found that, consumer’s perceived value towards a product or a
service is described as the general assessment done by the consumer about the net benefit or
total benefit of a product is always based on the judgement done by the consumer.

Steenkamp (2006), in present scenario if any organization have to make potential customers
buy their product and services then the perceived value of their brand plays a critical role.
Organizations create direct impact on the perceived value for a customer and their purchase
intention through the value they offer through their product or services.

Zhuang (2010), in his research he has found that perceived value does not work only as a
determinant for organizations to build long-term relationships with their consumers, but also

11 | P a g e
Plays a critical role in determining the intention of a consumer to purchase the product or
avail a service of a brand.

Keller (2011) in his studies he has indicated that for green product users to buy any green
product the most important factor is their perceived value towards green product. Many of
the consumers really care about the purchases they make, accepted of the product which they
purchase in their social surrounds is important.

Vazifehdoust (2013) stated that the customer’s intention to buy green products is depended
upon their perceived value and their positive attitude towards environmental concerns and
green products. The study also considered the different factors like marketing, promotion and
consumer’s behaviour can impact the consumer’s attitude towards green products.

Ottamen (1992), indicated that for any consumer while buying green product there are two
aspects Environmental and personal. They consider purchasing green products if they fells
that it can solve environmental problems. And when it comes to personal they consider
certain factors which needs to be satisfied in order to make them purchase green products and
these factors are price, quality, performance, convenience, availability, and affordability if all
these are fulfilled they will buy the product.

Ibanez and Hartmann (2006), in their research stated that “a green brand consists set of
attributes and benefits associated with reduced adverse impact on environment and the
creation of a positive image in minds of consumers by focusing on their environmental
concern”

Norazah and Norbayah (2015a), found that Green Customers refers to those individuals who
are highly environmental conscious means care about the environment and these individuals
also have proper knowledge related to it. Based on their knowledge and consciousness
towards environment they purchase green product.

12 | P a g e
Consumers have channeled their growing concern for the environment through the demand
for eco-friendly products and this mindset of "going-green" has expanded throughout the
world due to intensified awareness of living in a healthier way (Norazah, 2013 Soyez, 2012;

Thogersen, 2015).

Lee and Oliver (2002), in their study of a car purchase intention they indicated that once they
are aware about any brands green attributes and their environmental friendliness it leads them
towards stronger purchase intention of a green product.
Vazifehdoust (2013), in his study he affirms that the individuals who have intention to buy
green product is greatly influenced by the positive attitude they have about the product or the
brand and the perceived value towards the green product and the benefits of using green
products.

Rizwan (2013), in his research he found that the attitude of a consumer whether positive or
negative have direct impact on his or her green product purchase intention. Which shows that
consumers attitude and consumers purchase intention has direct relation and his or her
attitude plays a vital role in deciding whether he/she will buy the product or not.

Mostafa (2009) showed that consumers with positive attitudes towards green products are
more apt to develop a stronger mentality to purchase green products by considering its green
brand, and rely on green brand positioning.

Rokicka (2002), in his research he stated that consumers those are having high level of
knowledge about environment and are environmental conscious have a better environmental
attitude and have a stronger intent to buy green products and services because they are well
aware about the benefits of using green products.

Green marketing studies done by different researchers have conveyed that consumers’
attitude towards environment friendly behavior influences their environmental knowledge
and have direct impact on their green product purchase intention. (Flamm, 2009; Barber et
al., 2009; Aman et al., 2012)

13 | P a g e
Yadav and Pathak (2016), in their research they have found that the consumers attitude
towards green product or services, whether positive or negative significantly have direct
influence on their purchase intention of the green products or services. Which means if a

Consumer has positive attitude towards green product he will be having strong green
purchase intention and vice-versa.

Roberts (1996), in his studies he stated that the consumers who have strong purchase
intention to buy green products are more likely to perform green consumer behavior as they
are more conscious about the environment and believe that some specific environmental
activities can improve the environmental issues.

Chris (2008), his studies indicates that consumers are becoming more environment friendly,
are getting more concerned about their health, they desire to have a sustainable life and they
want to eat food which is green. So it is like consumers are evolving as time is changing and
as the environment is changing they are getting more environment conscious.

Abdul Rahim (2009), in his studies indicated that the consumers are getting fortified towards
the increasing issues related to environment and the green products are environment friendly
and it is good for consumer’s health so due to which they have positive attitude towards
green food and green products. And this positive attitude leads them to have strong intention
to purchase green products.

Beckford (2010), on the consumer’s green purchase behavior the most significant and
important factor is green purchase intention. According to this, a consumer’s purchase
intention was positively affecting customer decision to buy green products.

Peter (2011), in his study he stated that when we talk about the green products it gives us the
guarantee that they are environment friendly, has minimum impact on the environment as

14 | P a g e
compared to the non-green products and this is due to the way these green products are
produced and the materials used to produce them.

Green brand image is the eco-friendly concerns in the minds of customers which is a
collection of notion, creativeness in conception, and dread towards a brand and all these

Directly have impact on their attitude which influences their intention to buy green product.
(Chen, 2010, p. 309)

Ko (2013), in his research he stated the significance of creating a positive image in the minds
of existing and potential customers for green products is due to green marketing, and the final
outcome comes as a consumer has strong intention to use green brand products.

Aibek Doszhanov and Zainal Ariffin Ahmad (2015), indicates that green brand awareness,
green perceived value, green brand trust is having significant relationship with customer’s
intention for buying green products. And all those acts as a supporting factor to build an
intention in minds of customer to buy green products.

15 | P a g e
3. Need and significance of the study:

Green products have gained importance as we have limited amount of resources available. And
these days most of the organizations are facing challenges related to fulfilling their requirement
of having access to the resources, so to tackle such challenges they have to develop new or better
alternatives to satisfy their requirements and it should also be sustainable for them.

So to solve such problems the green products can be a sustainable solution to save natural
resources and to save our precious environment along with it they also need to satisfy the needs
and wants of the customers both individual and industry as well as they have to achieve the
objective of the selling organization related to unlimited wants.

With this study we are focusing on finding out the factors that affects the buying decision of the
possible customers. There are various parameters on the basis of which customer select or
deselect a green product some of them being their perceived value, attitude and their intention
towards green product.

16 | P a g e
4. Objectives of the study:

1. To study the impact of consumer’s perceived value and attitude on purchase


intention of green product.
2. To study the impact of attitude on purchase intention
3. To study the impact of environmental knowledge and attitude on purchase intention

17 | P a g e
5. Research Methodology

5.1 Target Population:

When we are studying about consumer’s attitude, value they perceive and Intention of
purchasing green product, the population which is suitable for this study are the faculties and
students of lovely professional university, Phagwara, Punjab, as well as people outside the
university campus. India. As going through different literatures it was found that the youth is
more involved in purchasing green product and is more concerned about its impact on
environment.

5.2 Sampling Technique

To conduct this study and to collect data, samples are selected on the basis of Random sampling
technique. As we are not aware of the students who are actually using the green products or can
say that the consumers are not specified so we will be getting our questionnaire filled by random
students and faculties who might or might not be consuming green products.

Sample Size

For this study, we have selected 310 samples from data is collected using standard questionnaire.
Sample size is decided by taking reference of literature by N. Mahesh (2013).

5.3 Research design


 Type of Research:
Descriptive design is used for conducting this study. This study will analyse the factor
influencing the attitude and purchase intention of customer towards green products
 Data Collection
For the study the collection of primary data is done using questionnaire which will
include different variables which are identified while going through different literatures.

18 | P a g e
 Survey
We have used questionnaire as a tool for collecting primary data. The questionnaire
includes 10 questions which further includes sub questions. In this questionnaire we have
included 4 demographic questions including Age, Income, Education level and Gender.
Further it includes question regarding Attitude towards Environment, perceived value of Green
Products, Attitude towards green Products and Lastly Purchase intention of green products.

6. Analysis and Interpretation

Multiple Regressions
When we tried to find the impact of Perceived value of green product and consumer’s attitude
towards green product on Consumer’s Purchase Intention of Green Products using regression
analysis, as a result we got:

Table 1.1
Variables Entered/Removed

Model Variables Entered Variables Removed Method

1
Attitude, Perceived Valuea . Enter

a. All requested variables entered.


b. Dependent Variable: Purchase Intention

Table 2.1

Model Summary

Std. Error of the


Model R R Square Adjusted R Square Estimate
1 0.69a 0.05 0.001 .55696

a. Predictors: (Constant), Attitude, Perceived Value

19 | P a g e
Here if we look in the above table, we can find that value of Adjusted R Square is 0.1. This
means that the dependent variable is 1% defined by the observed independent variables. Which
shows moderate impact of independent variable on dependent variable? So, we can say that
Perceived value and Attitude towards green product defines 1% of Consumer’s Purchase
intention of green product.

Table 3.1
Anova

ANOVA
Model Sum of Squares df Mean Square F Sig.
1 Regression .454 1 .454 1.462 .228b
Residual 95.544 308 .310

Total 95.998 309

a. Dependent Variable: Attitude Measure


b. Predictors: (Constant), Purchase Intention

The table indicate that the regression model predict the dependent variable significantly well.
How do we know this look “Regression “row and go to the sig. column this indicates the
statistical significance of the regression that was run. Here P<0.005, which is greater than 0.5
that indicates over all the regression model significantly not predict the output variable(It is not
good fit for the data).

20 | P a g e
Table 4.1
Coefficients

Coefficients
Standardized
Unstandardized Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 2.809 .177 15.891 .000

Purchase Intention .067 .056 .069 1.209 .228


a. Dependent Variable: Attitude Measure

The Coefficients table provides us with the necessary information to predict purchase Intention from
Attitude Measure, as well as determine whether purchase Intention contributes statistically significantly to
the model (by looking at the "Sig." column). Furthermore, we can use the values in the "B" column under
the "Unstandardized Coefficients" column.

Attitude Measure=2.809+0.67(Purchase Intention)

21 | P a g e
Multiple Regression
When we tried to find the impact of Purchase Intention of green product and consumer’s attitude
and Environmental Knowledge towards green product on Consumer’s Purchase Intention of
Green Products using regression analysis, as a result we got:
Table 1.2
Variables Entered/Removed
Variables Entered/Removed
Variables
Model Variables Entered Removed Method
1 Environmental . Enter
Knowledge and
attitude, Attitude
Measure
a. Dependent Variable: Purchase Intention
b. All requested variables entered.

Table 2.2
Model Summary
Model Summary
Adjusted R Std. Error of the
Model R R Square Square Estimate
a
1 .084 .007 .001 .56980
a. Predictors: (Constant), Environmental Knowledge and attitude, Attitude
Measure

Here if we look in the above table, we can find that value of Adjusted R Square is 0.1. This
means that the dependent variable is 1% defined by the observed independent variables. Which
shows moderate impact of independent variable on dependent variable? So, we can say that
Perceived value and Attitude towards green product defines 1% of Consumer’s Purchase
intention of green product.

22 | P a g e
Table 3.2
ANOVA

ANOVA
Model Sum of Squares df Mean Square F Sig.
1 Regression .706 2 .353 1.086 .339b
Residual 99.676 307 .325

Total 100.382 309

a. Dependent Variable: Purchase Intention


b. Predictors: (Constant), Environmental Knowledge and attitude, Attitude Measure

The table indicate that the regression model predict the dependent variable significantly well.
How do we know this look “Regression “row and go to the sig. column this indicates the
statistical significance of the regression that was run.Here P<0.005, which is greater than 0.5 that
indicates over all the regression model significantly not predict the output variable(It is not good
fit for the data).
Table 4.2
Coefficients
Coefficients
Standardized
Unstandardized Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 3.009 .210 14.356 .000

Attitude Measure .089 .062 .087 1.429 .154


Environmental Knowledge and -.049 .058 -.051 -.844 .399
attitude
a. Dependent Variable: Purchase Intention

The Coefficients table provides us with the necessary information to predict purchase Intention from
Attitude Measure and Environmental Knowledge, as well as determine whether purchase Intention
contributes statistically significantly to the model (by looking at the "Sig." column). Furthermore, we can
use the values in the "B" column under the "Unstandardized Coefficients" column.

Purchase Intention=3.009+.089+(-.049)(Attitude Measure +Environmental Knowledge.

23 | P a g e
Linear Regression:
When we tried to find the impact of Consumer Perceived Value and Attitude Measure towards
green product on Consumer’s Purchase Intention of Green Products using regression analysis, as
a result we got:
Table 1.3
Variables Entered/Removed

Variables Entered/Removed
Variables
Model Variables Entered Removed Method
1 Consumer . Enter
Perceived Value,
Attitude Measure
a. Dependent Variable: Purchase Intention
b. All requested variables entered.

Table 2.3
Model Summary
Model Summary
Adjusted R Std. Error of the
Model R R Square Square Estimate
a
1 .122 .015 .008 .56758
a. Predictors: (Constant), Consumer Perceived Value, Attitude Measure

Here if we look in the above table, we can find that value of Adjusted R Square is 0.008. This
means that the dependent variable is 0.8% defined by the observed independent variables. Which
shows moderate impact of independent variable on dependent variable? So, we can say that
Perceived value and Attitude towards green product defines 0.8% of Consumer’s Purchase
intention of green product.

24 | P a g e
Table 3.3
ANOVA
ANOVA
Model Sum of Squares df Mean Square F Sig.
1 Regression 1.482 2 .741 2.300 .102b
Residual 98.899 307 .322

Total 100.382 309

a. Dependent Variable: Purchase Intention


b. Predictors: (Constant), Consumer Perceived Value, Attitude Measure

The table indicate that the regression model predict the dependent variable significantly well.
How do we know this look “Regression “row and go to the sig. column this indicates the
statistical significance of the regression that was run. Here P<0.005,which is greater than 0.5 that
indicates over all the regression model significantly not predict the output variable(It is not good
fit for the data).

Table 4.3
Coefficients
Coefficients
Standardized
Unstandardized Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 2.687 .220 12.210 .000

Attitude Measure .013 .066 .012 .189 .850


Consumer Perceived Value .133 .075 .115 1.769 .078
a. Dependent Variable: Purchase Intention

The Coefficients table provides us with the necessary information to predict purchase Intention from
Attitude Measure and Consumer Perceived value, as well as determine whether purchase Intention
contributes statistically significantly to the model (by looking at the "Sig." column). Furthermore, we can
use the values in the "B" column under the "Unstandardized Coefficients" column.
Purchase Intention =2.687+.013+.133(Attitude Measure + Consumer Perceived Value)

25 | P a g e
7. Findings

Figure 1- Gender

Gender
Female Male

50%
50%

Figure 2- Age

Age Group
27 above
25-27 7%
10%
19-21
36%
23-25
22%

21-23
25%

26 | P a g e
Figure 3- Occupation

Occupation
Business Job Student Others

4% 14%

21%

61%

Figure 4- Education Level

Education Level
College / Diploma Others Post Graduate Under Graduate PhD

7% 19%
30% 6%

38%

27 | P a g e
Figure 5- Earnings

Earning
Below 20000 20001-40000 40001-60000 60001-above

2%

16%

18%
64%

In the pie charts shown above we can find out that:


50% of the samples selected are Male and 50% are Female.
Majority of the sample is from age group of 19 – 21 years which is followed by the age
group of 21 – 23 Years. As the target population for this survey was a university and
locality near by the university, so majority of the respondents fall under youth segment.
Looking at the shown pie chart we can find that the income level of majority of the
respondents 64% fall under the bracket of “below 20,000rs” monthly. This is followed by
the group of people having monthly income of “20,001 to 40,000 rs” which is 18%.
When we look at the education level of the respondents, we can see that 38% of the
respondents, which is the major part, are “Post Graduate” followed by “Under
Graduates”- 30%.

28 | P a g e
Looking at the further responses we found that:
246 out of 310 respondents are concerned about environment protection which sums up
to 79.3% of the respondents.
31 out of 310 respondents believe that it is important to buy green products which are
equal to 10% of the total respondents.
17% of the respondents which is 54 out of 310 believe that it is important to raise
environmental awareness.
It can be seen that 50 out 310 respondents are influenced to buy green product by their
attitude towards environment.
47 out of 310 respondents know how to protect environment which sums up to 15.16%
of total.
82 out 310 respondent stated that they identify the green product while making purchase
which makes 26.45% of the total.
74 out 310 respondent said that they buy green product at least once in a week which
makes 23.87% of the total number of respondents.
12.25% of the respondents believe that green products are good for environment.
According to 12.58% of the respondents, Green Products are healthy.
According to 10.32% of the respondents, green products are less risky to use.
11.61% of the respondents believe that Green product have better performance.
According to 26.13% of the respondents, Green Foods are tastier.
According to 13.22% of the respondents, Green products are reasonably priced.
8.38% of the total respondents believe in the information given on the packaging of
green products.
14% of the respondents were found ready to pay extra money for green products.
23.87% respondents believe in green advertisements.
8.70% respondents will purchase green product because it gives Good image, 24.83%
respondent will go for green products because they want to preserve earth, 19.35% of
respondent feel that they will purchase green product as they feel trendy.
19.35% of the respondents are satisfied with their purchase of green products.

29 | P a g e
8. Conclusion

We have done the research on the topic “Consumer Perception towards Green Products”, in
Phagwara region in which the data shows the perception of the consumers towards green
products. . The consumers from different demographic factors such as age, gender may
influence their behavior to purchase the products.
In our research there are four parameters to study about the green product. The factors Consumer
Perceived value, Attitude Measure, Environmental Knowledge does not change the purchase
intention of the green products. The consumers have weak emphasis in order to buy green
products as they have less interest to buy the green products.
The attitude is another most important influential factor in consumer perception for the green
products. Consumers are normally not relying aware about the environment.
Another major aspect is knowledge about the green products it means the consumers have the
less knowledge about the green products and the consumption trusts so that they have less
intention to purchase the green products.
The Consumer Perceived Value is the one factor that stops the consumer to buy the green
products in which the price of the green products maybe the high as compares to the normal
products.

30 | P a g e
9. Suggestions

As per us the green product is good for the consumers and the environment as well. They have to
adopt the green product in place of the product that harms the environment. There is need to
change the attitude of the consumers that will help to adopt the green products.
Another suggestion is that along with the environmental aspect manufacturer should consider the
raising the customer awareness on green products to attract new customers that also will help the
companies to increase the CSR towards the society.
Government and NGO should participate in encouraging the awareness about the use and
benefits of the green products.
As per the company perspective they should go for the low cost of the green product that will
help to obtain more and more customers.
Apart from these suggestion there must be proper knowledge given to the customers so that they
can become repeat and loyal customers of the companies.
Even through the Green Product market share is continue growing rapidly .lack of understanding
about the green product means point to need for continue reach and efforts.
Customers are always looks for the extra benefits along with the purchase so the companies need
to market accordingly the behavior of customers in the different demographics and as per the
research that done by the company.

31 | P a g e
10. References

 Ajzen, I., & Fishbein, M. (1980). Understanding attitudes and predicting social
behaviour.
 Aaker, D.A. (2007), Strategic Market Management, John Wiley and Sons, New York,
NY.
 Abdul Rahim., H. (2009). Consumers’ Intention and factors affecting green food
consumption. Master dissertation, University Putra, Malaysia.
 Beckford, C.L., Jacobs, C., Williams, N., and Nahdee, R. (2010). Aboriginal
environmental wisdom, stewardship, and sustainability: lessons from the Walpole island
first nations, Ontario, Canada. The Journal of environmental education, vol, 41 no.4,
pp.239-248.

 Blythe, J. (2008). Consumer behaviour. Cengage Learning EMEA.


 Bolton, R. N., & Drew, J. H. (1991). A multistage model of customers' assessments of
service quality and value. Journal of consumer research, 17(4), 375-384.
 Burgess, S. M., & Steenkamp, J. B. E. (2006). Marketing renaissance: How research in
emerging markets advances marketing science and practice. International Journal of
Research in Marketing, 23(4), 337-356.
 Chen, Y. S. (2010). The drivers of green brand equity: green brand image, green
satisfaction, and green trust. Journal of Business Ethics. Vol. 93, pp. 307–319.
 Chris Jones (2008). Health concerns driving shift to green food consumption. Fraj, E., &
Martinez, E. (2006). Environmental values and lifestyles as determining factors of
ecological consumer behaviour: an empirical analysis. Journal of Consumer
Marketing, 23(3), 133-144.
 Doszhanov, Aibek, and Zainal Ariffin Ahmad. "Customers' intention to use green
products: The impact of green brand dimensions and green perceived value." In SHS
Web of Conferences, vol. 18. EDP Sciences, 2015
 Hartmann, P., & Apaolaza-Ibáñez, V. (2012). Consumer attitude and purchase intention
toward green energy brands: The roles of psychological benefits and environmental
concern. Journal of Business Research, 65(9), 1254-1263.

32 | P a g e
 Kalafatis, S. P., Pollard, M., East, R., & Tsogas, M. H. (1999). Green marketing and
Ajzen's theory of planned behavior: a cross-market examination. Journal of consumer
marketing, 16(5), 441-460.
 Ko, E. (2013). Green marketing' functions in building corporate image in the retail
setting. Journal of Business Research. 66, pp.1709–1715.
 Lichtenstein, D. R., Ridgway, N. M., & Netemeyer, R. G. (1993). Price perceptions and
consumer shopping behavior: a field study. Journal of marketing research, 234-245.
 Mohd Suki, N., & Mohd Suki, N. (2016). Green product purchase intention: impact of
green brands, attitude, and knowledge. British Food Journal, 118(12), 2893-2910.
 Mahesh, N. (2013). Consumers perceived value, attitude and purchase intention of green
products. Management Journal. Vol. 12 (1), pp. 33-44.
 Mostafa, M. (2009), “Shades of green: A psychographic segmentation of the green
consumer in Kuwait using self-organizing maps”, Expert Systems with Applications,
Vol. 36 No. 8, pp. 11030-11038
 Norazah, M. S., & Norbayah, M. S. (2015). Consumers’ environmental behavior towards
staying at a green hotel. Moderation of green hotel knowledge. Management of
Environmental Quality: An International Journal, 26, 103-117.
 Oliver, J.D. and Lee, S.H. (2010), “Hybrid car purchase intentions. a cross-cultural
analysis”, Journal Consumer Marketing, Vol. 27 No. 2, pp. 96-103..
 Ottman, J. (1992). Sometimes consumers will pay more to go green. Marketing new, July
6, pp. 16.
 Roberts, J. A. (1996). Green consumers in the 1990s: profile and implications for
advertising. Journal of business research, 36(3), 217-231.
 Rokicka, E., & Słomczyńska, J. (2002). Attitudes toward natural environment: A study of
local community dwellers. International Journal of Sociology, 78-90.
 Rizwan, M., Ahmad, S.U. and Mehboob, N. (2013), “Enhancing the green purchase
intention based on green marketing: an empirical study from Pakistan”, Asian Journal of
Empirical Research, Vol. 3 No. 2, pp. 208-219.
 Sharma, V., Sonwalkar, J., & Maohr, K. (2013). Consumer purchase behaviour for green
product. Nepalese Academy of Managementjga, 1(1), 95-110.

33 | P a g e
 Vazifehdoust, H., Taleghani, M., Esmaeilpour, F., & Nazari, K. (2013). Purchasing green
to become greener: Factors influence consumers’ green purchasing
behavior. Management Science Letters, 3(9), 2489-2500.

 Yadav, R., & Pathak, G. S. (2016). Young consumers' intention towards buying green
products in a developing nation: Extending the theory of planned behavior. Journal of
Cleaner Production, 135, 732-739.
 Zhuang, W. (1997). The impact of perceived value on behavior intention: an empirical
study. Journal of the Academy of Marketing Science. Vol. 4 (3), pp.34-54.

34 | P a g e
11. Questionnaire

1. What is your Gender?


Male Female

2. How old are you?


18-30 41-60
31-40 60 and more

3. How much do you earn per month?


Below 20,000 40,001-60,000
20,001-40,000 60,001 and more

4. Your Educational level?


College or Diploma
Undergraduate Degree
Post Graduate Degree
PhD and above

5. Environmental Knowledge and Attitude.


Strongly Disagree Neutral Agree Strongly
Disagree Agree
Environmental protection issues are none of
my business.
It is necessary to buy green products.
It is very important to raise environmental
awareness among people.
Environmental attitude influences me to buy
green products.
I completely understand about an environment
issues.
I know how to protect the environment better
than average people.
I identify whether the products are
environmental friendly when I buy the
products.
I know how to choose environmentally
friendly products.

Lifestyle measures
6. How often you purchase green products?
Multiple times in a week Once in two weeks.
Once in a week once in four weeks.

7. What type of Green products you purchase? (Rate between 1 to 5)


35 | P a g e
(1 being least purchased and 5 being Most Purchased)

Products Least Sometimes Neutral Often Most


Purchased Purchased Purchased Purchased
Food
Health care/ cosmetic products
Cleaning products
Other household products (e.g: bulbs
etc)

Measures for Perceived Value


8. To what extent you agree or disagree with these statements.

Green Products: Strongly Disagree Neutral Agree Strongly


Disagree Agree
Are good for the environment.
Are healthy.
Reduces risk of using any product.
Have a better quality/performance than
conventional products.
Have a good taste and/or good
Smell.(food)
Have reasonable price.
Are well promoted.
Are accessible/available in the
Supermarket.

Attitude Measure

36 | P a g e
9. To what extent you agree or disagree with the statements.

Strongly Disagree Neutral Agree Strongly


Disagree Agree
I appreciate the package/design of Green
products.
I understand the information on Green
packaging.
I believe in the information on Green
packaging.
I am willing to pay a premium price for a
Green product (e.g +10%).
I pay attention to Green advertising.
I believe in the Green advertising.
I know where the Green displays are
located in my supermarket.
I easily find Green products in a
supermarket.
I pay attention to my friends’/family
opinion concerning green product.
I recommend green products to my
friends/family.

Purchase Intention Measure.


10. Why would you purchase a green product?

Strongly Disagree Neutral Agree Strongly


Disagree Agree
They give a good image of me.
I want to preserve the earth.
I just like Green products.
I feel trendy/fashionable when I
Purchase Green products.
If I do NOT purchase, people could
judge me
I purchase Green products on
unplanned decision in a
supermarket
I was satisfied with most of
ecofriendly
products I bought

37 | P a g e

You might also like