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Analyzing the Dynamic Behaviour towards Electronic Goods: The Consumer and
Sellers Perspective

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Jour of Adv Research in Dynamical & Control Systems, Vol. 12, 07-Special Issue, 2020

Analyzing the Dynamic Behaviour towards

Electronic Goods: The Consumer and Sellers
Perspective
Avinash Pawar, Savitribai Phule Pune University.
Balkrishan Sangvikar, Savitribai Phule Pune University.
Atish Chintamani, Savitribai Phule Pune University.
Surabhi Jain, Savitribai Phule Pune University.
Rajesh Pahurkar, Savitribai Phule Pune University.
Abstract--- In this competitive electronic era, to understand the unknown mindset of consumer is a challenging task
for electronic product manufacturers. The aim of this research is to study the consumer buying behaviour towords
the electronic goods, the factors that influences a buyers decisions and realise the seller’s perception towords the
sale of electronic goods. This paper outlines the consumer behavior while buying an electronic product of television.
It deliberates on the effects of promotional strategies adopted by of electronic manufacturers and product dealers on
consumers. The study helps us to understand the important factors a consumer considers before buying the product
and provides an interesting insights about the consumers towords the purchase of television. Furthermore the
research gives us some interesting particulars about the dealers, customers handling and their perspective for
television brands and products. The analysis of the research highlights the consumer and dealers elements and raises
highlights various aspects of consumer behavior and promotional strategies of companies. The outcome of the paper
is helpful to marketing professionals, manufacturers and dealers.
Keywords--- Electronic Goods, Consumer Behavior, Television, Brands, Marketing, Dealer Marketing, Customer
Orientation, Product Purchase Decision, Household Products.

I. Introduction
The Indian television market is expected to reach $13 billion by the year 2023. The market growth is driven by
increasing demand from a growing number of separate residences and commercial segments. Since 2016, India
included more than 180 million television units in households and hence the figure is projected to grow in the years
to come. In the current situation, consumers are constantly demanding to update their TV equipment, which is
designed to push the market substantially. In addition, thriving e-commerce industries and increasing customer
spending power are expected to further lead to rising television sales across the country in the coming years. The
Indian television market has undergone shifts in market level, advertising schemes and delayed payment choices in
the last several years. Multi-National firms have examined the dominant role of Indian leading companies to obtain
cutting edge advantages in the changing world.
India's television industry is expected to cross US$ 17.56 billion the year 2020, though in 2019 the Indian
demand for appliances and consumer electronics (ACE) hit US$ 10.93 billion. The appliances and consumer
electronics industries are projected to be well over US$ 21.18 billion by the year 2025. In the nation's electronics
hardware production reached up to US$ 5.5 billion. Indian consumer electronics exports exceeded US$ 451.29
million in the year 2019. On the other hand, there is plenty of room for expansion in rural markets as demand
expected to increase as the brand awareness rises. As the government aims to spend substantially in rural
electrification, demand for durable goods are also likely to see rising demand on the rural markets in the coming
years. In January 2020, the index of consumer durables under the Industrial Production Index (IIP) grew by around 6
percent. Moreover, the consumer long-term loans in India rose by 65 percent and the sales of consumer electronics
in has increase by 11 percent in the year 2019. The consumer electronics and home appliances market in India is
projected to expand over the period 2017-2021 at a CAGR of 11 per cent. Through the automated process and 51
percent of FDI in multi-brand retail, India's government has approved 100 percent Foreign Direct Investment (FDI)
in the consumer electronics and home appliances manufacturing sector. This has grown into a big attraction for
international investors. In addition, the National Electronics Policy (NPE), which was drafted in 2011 to improve the

DOI: 10.5373/JARDCS/V12SP7/20202384
ISSN 1943-023X 2516
Received: 24 May 2020/Accepted: 25 June 2020
Jour of Adv Research in Dynamical & Control Systems, Vol. 12, 07-Special Issue, 2020

Electronic Device Design & Manufacturing (ESDM) industry, plays a crucial role in the development and upgrading
of the Indian consumer electronics and home appliances markets.
The marketing influences the consumers on a larger front (Sangvikar et al., 2019). The increasing awareness,
ease of access and raising preferences have been main drivers of development for the consumer market. Even, the
companies are investing for strengthening their employer brand strategy (Pawar, 2016) and organisations are
working on improving their processes for developing the brands (Pawar and Charak, 2015). The industry
development is the introduction of smart, sophisticated features in home appliances. Convenience is the most
important thing customers weigh when making a choice on a product which is also applicable to retail (Veer, Pawar,
& Kolte, 2018). This led to the creation of smart products that would reduce manual work. The new smart home
paradigm has stimulated the growth of smart home devices, which can be remotely controlled when linked to
customer smartphones. The economic liberalization along with technology and channels revolution caused a change
in consumer psyche. They wanted much better TV’s with more channels, more features, good durability and service.
The increasing income of Indian middle class also helped in increasing demand of television. The advent of global
players like LG, Thomson, and Sony brought in new technology like Flat Screen, Plasma TV, LED TV, 3D TV and
increased competition. The competition in the retail business the growing in India (Sangvikar, Kolte, & Pawar,
2019). The profit margins of the companies began to fall due to cutthroat competition even as the electronic goods
market was growing at the rate of 40% annually. This lead to the Television manufacturing companies coming up
with new schemes to woo customers like credit facilities, 0% finance, exchange offer, 4 years warranty scheme,
cricket world cup to world cup warranty, Free gifts like mobiles, Iron, Scratch card schemes etc. On this
background, the prime objective of this paper is to study the consumer buying behaviour towords the electronic
goods, the factors that influences a buyers decisions and realise the seller’s perception towords the sale of electronic
goods.

II. Review of Literature

India ranks among the world's fastest growing markets. The promise exists not only in urban region but also in
rural region of India. The research was conducted to distinguish rural householders purchasing behavior from urban
householder. Generally, there were no major variations amongst rural and urban customers in regards of their timing
of purchasing, buying the same brand of other durable goods, number of products, and preparation time prior
purchasing. The consumer region has an income connection for the timing of product purchases. There is also a link
between environment and income in terms of planning length for various periods of time until a commodity is
purchased (Singh, 2011). Furthermore, the television purchasers have a very high degree of Brand Expectations. The
brand expectations are largely dependent on product factors, promotional factors and on the effects of similar
products. Now, after purchasing, the buyers will compare their expectations vis-a-vis actual experience or
performance of the products. If the actual performance exceeds the expectation, buyers will be emotionally satisfied.
It is found out from the study that actual usage experience or product performance in respect of television
purchasing is very poor. So, the television making companies should give more importance to attributes related to
the product so that customers get more satisfied. They will be dissatisfied if actual performance falls below the level
of expectation. Expectancy confirmation will take place when actual performance matches expectation (Chowdhury,
2018). The Indian economy has faced multiple economic challenges (Sangvikar, Pawar, & Pahurkar, 2019) which
affected the Economic Turbulence Calamity of India (Sangvikar, Pawar, Bora, & Thite, 2019). The market have also
witnesses many changes and volatility effects (Roy et al., 2019).
Today consumers in the 21st century are blessed with the technologies such as internet, smartphone, and
networks that enables them to recognize the changing market dynamics, patterns, brands, goods, and services. With
the growing population of higher disposable income, their utilization of electronic products per capita is rising. With
widening firms, India's electronic sector is envisioned as a dynamic industry. The behavioral research offers insight
through the different factors affecting consumer purchasing decision and it includes product quality, features, scale,
color, weight, style, advertising, availability, credit facility etc. Understanding customer behavior regarding these
aspects would allow the organization to develop manufacturing strategies that are acceptable to market expectations
(Ravikanth & Rao, 2016). On the basis of consumer buying behaviour, Altekar & Keskar (2014) examined market
sustainability affecting and decision-making and reported that while advertisement performs a prominent function
during the introduction phase in bringing the brand to the customer. While, family members play the most important
role in stages affecting decision-making in brand selection. In addition, it was stressed that the partner is the
predominant influential variable for home appliances, while children are the dominant factor in the family with

DOI: 10.5373/JARDCS/V12SP7/20202384
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Jour of Adv Research in Dynamical & Control Systems, Vol. 12, 07-Special Issue, 2020

respect to electronic goods. The consideration of factors influencing the preference of shopping modes, individual
stores, and income plays a deciding role in customer decision-making was critical.
The consumer behavior through buying of a television set changes as per the consumer preferences. The
consumer decision-making process involves the simultaneous selection of elements of television brands, display
technologies and screen sizes. Hence, there is a relationship between brand and product features in television
consumer decision making process. Moreover, it was highlighted that customers display typical preference to
brands, technologies and screen sizes. (Prabu & Kazi, 2017). In addition, the components of social influences,
physical factors, and marketing mix were closely correlated with Indian customer purchasing behaviour (Pahurkar et
al., 2020). This has the power to create rules regulating customer decision-making. It assists producers and sellers of
electronic home appliances in recognizing customer behavior and increasing customer satisfaction (Vijayalakshmi &
Mahalakshmi, 2013). With the exponential rise of the internet and the higher market prospects of e-commerce in
India, therefore, growing numbers of industries are engaging their businesses digitally. The e-market growth
signifies customers having more and greater standard of service while shopping than before (Varma, Dhakane, &
Pawar, 2020). But in this dynamic online age it is a very difficult and daunting job for online services to grasp the
uncertain attitude of consumers (Veer, Pawar, & Kolte, 2019; Kumar & Dash, 2015).
The most specific and important outcome of India's economic development is the unprecedented increase in
standard of living and purchasing power towards a growing proportion of the population. The increasing sections of
the population today are moving closer to keeping good lifestyle. The population size, affluence of media and
impact of technology to be the foremost driving forces in for upliftment of Indian market (Hubacek, Guan, and
Barua, 2007; Pahurkar, Kolte, & Jain, 2020). However, Badgaiyan and Verma (2014) demonstrated that the effect of
intrinsic variables on impulsive purchasing activity was not gender-specific. Furthermore, the identification of
intrinsic factors, and particularly the personality traits in influencing impulsive purchasing, and the fact that people
purchase products that match their personality type requires to be extended by integrating certain intrinsic variables
into the framework. Though, Bandyopadhyay (2014) suggested that the ethnocentric Indian customers seem to have
positive views their nation and goods made domestically. Nevertheless, ethnocentrism sometimes does not turn into
derogatory views of goods from other countries. The consumer purchase patterns have altered and included multiple
channels at the same time for their decision making (Zaware, Pawar, Samudre, & Kale, 2020).
The contribution of Ciochetto (2008) examined India's profile of modern marketing in the broader context of
global marketing patterns, significant shifts in India's economy and culture, and concerns related to the cultural
influence of international marketing on India. The nation experienced a huge proliferation of advertisement,
international marketers, and companies with a greater degree of focus soon took over the market. In general brand
preferences of Indian consumers vary substantially through categories of products. While, the customer knowledge
and brands penetration is lower; Indian customers are experimenting with brands; and are typically characterized as
cost conscious (Mukherjee, Satija, Goyal, Mantrala, & Zou, 2012). Product’s country image also strongly affects
consumer’s brand attitude; and consumer education on brand’s country of origin can change consumer brand
attitudes (Magnusson, Westjohn, & Zdravkovic, 2011). Global consumers extensively differ in consumer behavior;
while Indian consumers have lower perception of brand quality, they are affirmative about cost value, and feel
uncomfortable about ingesting; thus indicating heterogeneity in consumption across cultures (Maxwell, 2001).
Literature indicates significant influence of individual and brand personality on the consumer brand preference
(Banerjee, 2016). Relationship of brand trust and brand identification with brand love; and further brand love
leading to brand commitment, positive word-of-mouth, and willingness to pay premium; have been reported by the
literature (Albert & Merunka, 2013).

III. Research Methods

In order to achieve the objectives of study, the researchers have collected the data using a comprehensive
questionnaire for customers and dealers. The interviews are also conducted to collect the qualitative findings. The
data from 250 consumers and 25 dealers are collected from pune city. The research design for this study is
descriptive and deals with defining the attributes of a particular person, or community. The research dealing with
precise forecasts, analysis of evidence and features relating to persons, classes or circumstances. The researchers
have also collected the secondary data from books, articles and websites. The sampling design, which we have
selected for this research is non-probability purposive sampling. For this form of sampling, the investigation
organizers deliberately selected the specific units of the universe to constitute a sample based on the assumption that
the smaller mass they so choose from a massive one would be reflective for the population.

DOI: 10.5373/JARDCS/V12SP7/20202384
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Jour of Adv Research in Dynamical & Control Systems, Vol. 12, 07-Special Issue, 2020

IV. Analysis and Findings

Typically, data analysis entails transforming collected data to reasonable size, designing descriptions, searching
for trends and implementing statistical methods to turn data into information. Researchers will explain these findings
in the context of the study problem or decide if the outcomes are compatible with the assumptions and observations.
The analysis in this study is deliberated in two parts, the consumer data analysis and dealer data analysis.
A) Consumer Data Analysis
The consumer data analysis involves the assessment of electronic goods possessed by consumers, information
source of consumers, factors influencing a customer for buying television, role of media in advertisements, product
information sources, factors for customer ranking, and brand distribution in population
A.1. Electronic Goods Possessed by Consumers:
The current passion of the electronic goods of the consumer are collected and analysed. The outcome is as
below.

Figure 1: Possession of Electronic Goods

From the above figure it can be seen that Television and Refrigerator constitute majority of Electronic Home
appliances as compared to Music system and VCD/DVD player. The reason can be that Television and Refrigerator
are been seen as necessities rather than luxuries. As far as Music Systems and VCD/DVD’s are concerned they have
been changing drastically due to advances in technology and tape recorders are on the verge of becoming obsolete.
As the VCD/DVD players are of new technology so the pricing initially was high and therefore did not fit into the
budgets of many people. Other important reason was the advent of new satellite channels in which you can watch
the latest movies.
A.2. Information Source of Consumers:
There are various ways through which consumers sources the information for their buying decisions. The
information sources of consumers are presented below.

Figure 2: Consumer Information Sources

This figure shows the breakup of who have helped the customers to initiate the buying process. It shows an even
distribution amongst Peers, Family, Self and neighbors for initiating the buying process.

DOI: 10.5373/JARDCS/V12SP7/20202384
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Jour of Adv Research in Dynamical & Control Systems, Vol. 12, 07-Special Issue, 2020

A.3. Factors Influencing a Customer for buying Television

There are various Factors Influencing a Customer for buying Television as presented below

Figure 3: The Factors Influencing a Customer

From the above figure it is clear that the customers consider Television more as a need rather than a luxury item.
Very few people see Television, as a status symbol while the financial condition does not play an important role
while buying a Television.
A.4. Role of Media in Advertisements
The role and influence of different media in advertisements on the consumers in their buying decisions are as
below.

Figure 4: Role of Media in Advertisements

The above figure clearly indicated the impact of Television/Radio and Newspapers, which form 77% of the
media segment, which is able to reach and influence the potential customers. Furthermore, it is realised that there is
an advertisement impact on consumers, around 78% of consumers agrees that there is an impact of advertisements.
From the data collected it becomes clear that advertisements play a major role in influencing the customer which
brand to buy.

DOI: 10.5373/JARDCS/V12SP7/20202384
ISSN 1943-023X 2520
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Jour of Adv Research in Dynamical & Control Systems, Vol. 12, 07-Special Issue, 2020

A.5. Product Information Sources

The collection of information about the products related to specification or technicalities involved are accessed
by the consumers as below.

Figure 5: Product Information Sources

An important point coming out of the survey is that customers visit the dealers the most to get the information
about the Television. The problem related to this point is that dealers may promote the product giving them better
margins. Customers also gather data from their friends as well as other users in order to get firsthand information
about a new product.
A.6. Important Factors for Customer Ranking
The consumers evaluates the electronic good based on the following factors as per their rankings as below.

Figure 6: Factors for Customer Ranking

This shows that the most important factor considered by customers before buying the product is price and
audio/video quality while the brand image comes a close second. While appearance, size and guarantee also become
an important factor for customers before selecting a Television. Service and discount also figure in factors, which
some people consider important before buying. Credit facility and discounts are the least sought factors.
A.7. Brand Distribution in Population
The researchers have analysed the brand distribution in the population and presented as below.

DOI: 10.5373/JARDCS/V12SP7/20202384
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Jour of Adv Research in Dynamical & Control Systems, Vol. 12, 07-Special Issue, 2020

Figure 7: Brand Distribution in Population

From the data gathered and analyzed we found that the major players in the Television market are Videocon
(17%) then Onida (10%), then LG (14%), then Philips (8%), then Sony (11%), then Samsung (7%) and BPL (10%).
The survey conducted had 21 players out of which the above 7 players account for almost 77% of the market.
B) Dealers Data Analysis
The dealer’s data analysis is done with strategies of dealers, advertisement media of dealers, availability of
trained staff and after sales service, and dealer preferences and least complaint brand.
B.1 Strategies of Dealers
The dealers uses various strategies to attract consumers and increase the sale. The usage analysis of strategies is
presented below.
Table 1: Usage of Strategies of Dealers
No Strategy Usage (%)
1 Combined Purchase 11
2 Credit or Instalments 24
3 Exchange Offers 18
4 Free Gifts 33
5 Offers and Discounts 14
Most of the dealers are inclined towards giving free gift in order to attract customers, followed by
Installments/credits, exchange offers, discounts. Whereas combine purchase is the least preferred strategy.
B.2 Advertisement Media of Dealers:
The dealers uses various Advertisement Media for promotion of their shop and products as below

Figure 8: Usage of Advertisement Media by Dealers

DOI: 10.5373/JARDCS/V12SP7/20202384
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Jour of Adv Research in Dynamical & Control Systems, Vol. 12, 07-Special Issue, 2020

Print media i.e. newspaper and pamphlets are the major ones used for the advertisements. Cable TV also plays an
important role followed by other media such as Internet, hoardings, etc.
B.3 Trained Staff and After Sales Service:
The availability of trained staff and the level of after sales service provided to consumers by dealers is analysed
and presented below.

Figure 9: Trained Staff and After Sales Service

Majority of the dealers gave a positive response for trained staff with few exceptions. With few exceptions after
sales service is provided by each dealer.
B.4 Dealer Preferences and Least Complaint Brand:
The dealer Preferences and Least Complaint Brand for Selling are evaluated highlighted as below.
Table 2: Dealer Sale Preferences and Least Complaint Brand
Brands Preference for Selling Least Complaint Brand
LG 47 43
Philips 11 14
Samsung 23 24
Sansui 6 5
Sony 12 9
Thomson 1 5
It is realised that LG is the most preferred brand for selling followed by Samsung. Philips and Videocon are
equally preferred but less than Samsung whereas Sansui is the least preferred brand for selling by the dealers.

Figure 10: Dealer Sale Preferences and Least Complaint Brand

DOI: 10.5373/JARDCS/V12SP7/20202384
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Jour of Adv Research in Dynamical & Control Systems, Vol. 12, 07-Special Issue, 2020

In this category also LG is ahead of its biggest competitor Samsung. Sansui and Thomson are at par with each
other but the brand with more complaints. Philips stood at the third place followed by Sony.

V. Conclusion
Television and Refrigerator constitute majority of electronic home appliances as compared to music system and
DVD players. The reason can be that Television and Refrigerator are been seen as necessities rather than luxuries.
Very few people see Television, as a status symbol while the financial condition does not play an important role
while buying a Television. From the data collected it becomes clear that advertisements play a major role in
influencing the customer which brand to buy. In case of advertisement TV/Radio and newspaper plays major role to
influence people. This study highlighted that the most important factor considered by customers before buying the
product is price and audio/video quality while the brand image comes a close second.
It is found that Videocon, LG, Sony are the major players in the market.
Most of the dealers are inclined towards giving free gift in order to attract customers. Print media i.e. newspaper
and pamphlets are the major ones used for the advertisements. Majority of the dealers gave a positive response for
trained staff with few exceptions. With few exceptions after sales service is provided by each dealer. LG is the most
preferred brand for selling followed by Samsung. In Least Complaint Brand category also LG is ahead of its biggest
competitor Samsung. Some smaller brands are having to adjust to higher costs thanks to rupee depreciation. Industry
executives said bigger brands like Samsung and LG, which are also large manufacturers of TV panels, can hold on
to lower prices. This will also help them bridge the price gap with online brands, which are now 30-40% cheaper to
them. This research is limited to the geographical location of pune and while the majority of the responses are from
the middle income families. The future scope lies in the further study of the effectiveness of marketing strategies of
dealers to attract more consumers and identifying more factors associated with the consumer buying decision
towords the electronic household products. This research is useful for dealers and marketers of electronic products to
effectively redesign their marketing strategies for success.

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DOI: 10.5373/JARDCS/V12SP7/20202384
ISSN 1943-023X 2525
Received: 24 May 2020/Accepted: 25 June 2020

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