BRAND SWITCHING BEHAVIOUR OF

CONSUMER:
A STUDY ON GROCERY PRODUCTS

A summer project report

SUBMITTED BY: SAGAR KHADKA

SYMBOL NUMBER: 17054/16

REGISTRATION NO: 7-2-25-1280-2016

NEPAL COMMERCE CAMPUS

NEW BANESHWOR, KATHMANDU

SUBMITTED TO:

Office of the Dean

Faculty of management, Tribhuvan University

In partial fulfillment of the requirements for the degree of

Bachelor in Business Administration (BBA)

Kathmandu

January 2021
 STUDENT DECLARATION

This is to certify that i have completed the Summer Project entitled "Brand Switching Behaviour
of Customer" under the guidance of (Mr.Chudamani Pandey ) in partial fulfillment of the
requirements for the degree of Bachelor of Business Administration (BBA), Faculty of
Management, Tribhuwan University. This is my original work and i have not submitted it earlier
elsewhere.

Date: 28/01/2021 Sagar Khadka

 CERTIFICATE FROM THE SUPERVISOR
This is to certify that the summer project entitled "Brand switching behavior of customers” is an
academic work done by Sagar Khadka is submitted in the partial fulfillment of the requirements
for the degree of Business Administration (BBA), Faculty of Management, Tribhuvan University
under my guidance and supervision. To the best of my knowledge, the information presented by
him/her in the summer project report has not been submitted earlier.

Signature of the Supervisor

Name:

Designation:

Date:
 ACKNOWLEDGEMENTS

The study entitled "Brand Switching Behaviour of Customer" has been conducted to fulfill the
partial requirement for the degree of Bachelor Administration (BBA), Tribhuvan University.

First of all, I would like to express my sincere gratitude to the respected supervisor Mr.
Chudamani Pandey for his valuable time and consideration throughout the entire period of the
project. Without his support this research report would not have been completed on time.

My deeper gratitude goes to our Academic Director Gopal Thapa for his valuable support.
Without his support the research report would not be successfully completed.

Similarly, my gratitude goes to my family member for their patience and emotional support.
Finally, I would like to thank my friends for their support, cooperation, encouragement during
the time of preparing this project work.

Deepshikha shrestha

19/03/2017
 TABLE OF CONTENTS
Title page of the SP Report

Student Declaration

Certificate from the Supervisor

Acknowledgement

Table of Contents

List of Tables and Figures

Abbreviations

CHAPTER 1 INTRODUCTION

1.1 Background Information

1.2 Statement of the problem

1.3 Objectives of the project work

1.4 Significance of the study

1.5 Review of Related studies

1.5.1 Review of Major studies

1.5.2 Review of Recent studies

1.5.3 Conceptual Framework

1.6 Operational definitions and Assumptions

1.7 Research Methodology

1.7.1 Research Design

1.7.2 Sources of Data

1.7.3 Description of the Sample

CHAPTER 2 DATA ANALYSIS AND MAJOR FINDINGS

2.1 Data presentation and Analysis

2.2 Major Findings

CHAPTER 3 SUMMARY AND CONCLUSION

3.1 Summary

3.2 Conclusion

References

Appendix
 LIST OF TABLES
Table
Table 1.1 Review of major studies

Table 1.2 Review of recent studies

Table 2.1 Demographic characteristics of respondents

Table 2.4 Responsiveness of customer towards brand

Table 2.5 Information regarding brand

Table 2.6 Information regarding attributes of brand

Table 2.7 Information regarding Yes No Questions

 LIST OF FIGURES
Figure
Figure 1.5.3 Conceptual Framework

Figure 2.2 Gender classification of the Respondents

Figure 2.3 Age of the Respondents

 CHAPTER 1
INTRODUCTION
1.1 Background of the study

Brand switching, a situation in which someone changes from buying one brand of a product to buying a
different brand (Cambridge business English dictionary). Brand switching can be instigated by price
promotions, in-store displays, superior availability or innovations in competitive brands, desires for
novelty, number of available brands, perceived risk, frequency of purchase, changes in quality, or level of
satisfaction with the most recent purchase. Brand switching is most common with products that have no
great perceived variation in quality across brands such as bottled water, dairy products, or paper towels.

Companies often use price promotions to encourage brand switching. Consumers switch brands as a
result of intrinsic motives such as a desire to try a new brand and not by changed perceptions. They used
a field experimental approach whereby new brands of frequently purchased consumer products were
introduced in several stores. In some of the stores the brands were sold at a discounted price while in the
control stores these brands were sold at the regular price. After an introductory period the discounts were
retracted in the experimental stores, therefore, equalizing the prices charged in all stores. Over the
subsequent period a sharp reduction in sales was observed for those experimental stores where the
discount was retracted. Interestingly, following the discount retraction, total sales in the control stores
were greater than those in the experimental stores although during the discount period the opposite
pattern was observed. The changing consumers lifestyle, availability of global brands, technology
interventions and new trends have led to increase in demand of simpler options, products which are in
good quality and propositions driven by economy.

Now a day, the consumers are the key focus of marketing and even entire business, because a research
state that every year, the 83% brand failed to achieve marketing objectives, and there are 11000 products
introduced every year and only 56% products reach to the age of 5 year or more and only 8% new ideas
are converted into market offerings. The reason is, because any marketing idea, product or strategy, that
is not focusing customers or not designed according to the customers need and wants, becomes failed or
not able to deliver its full strength. The consumer behavior is always remaining under influence of
factors, which simulates the behavior of consumes towards either remain loyal with existing brand or
switch towards other brands.
1.2 Statement of the problem

The study by David Mazursky (1987) relates choice behaviour to a measure of the underlying
evaluation process and tests the extent to which price, coupon, advertisement, availability
(current brand was out of stock), desire to try a new brand and other reasons ( i.e., open ended
response) impinge on this process. This approach was carried out by focusing on actual
switching and measuring the level of satisfaction with the brand purchased before the switching
event. If consumers switched brands since the last questionnaire, they were asked to indicate the
reason for switching brands.

The research conducted by Muhammad ( 2014) where the branded grocery chains has compelled
customers to switch from traditional grocery stores to branded grocery chains or monthly grocery
purchase. Similarly, the study of Shams (2014) focuses to work out with attributes those
consumers expect in a branded tea and presence of which might create consumers' positive
perception towards brand and how this positive perception works for turning to be loyal.

The study focuses on the influence of gender brand switching and the sensitivity of customer
towards price, quality and advertisement in brand switching behaviour.

1.3 Objectives of the project work

The objectives of this study are as follows:

 To explore the factors affecting consumer brand switching behavior.

 To examine the influence of gender in brand switching.
 To examine the quality of brand customers switch.

1.4 Significance of the study

Brand switching behavior of customer is the situation where customer makes decision to stop
purchasing a particular service and shifts from one brand to another. The importance and
difficulty of keeping customers constantly features in the marketing. However, customer studies
have generally focused on loyal customers and loyalty rather than on reasons for switching
service providers. The aim of this research is to focus on the customer's switching behavior. Also
there has been less research on the customer brand switching.

The importance of the study is to determine those factors which influence consumers for brand
switching and influence of gender in brand switching. The study will help to understand
customer’s preferences towards brand and quality. The influence of price on brand switching
behavior of consumers helps to determine sensitive consumers. Also the consumers who buy
products when available are identified. The report will benefit the marketers, manufacturer,
retailers, whole sellers and people who are engaged in selling and production activities.

1.5 REVIEW OF RELATED LITERATURE

This section provides a review of major empirical studies with the relationship between customer
and brand. This section mainly deals with the customer switching of brand and its different
variables that affect the purchasing patterns of the customers. The review of empirical works
made on different periods along with major conclusion is presented in this section. The available
empirical studies are :

1.5.1 Review of major studies

1.5.2 Review of recent studies

In the subsequent section the major related literature surveys are briefly described based on two
sub headings as; review of major studies and review of recent studies.

1.5.1 Review of major studies

Review of major studies summarized in Table 1.1

Table 1.1

Study Major Findings

David Mazursky Revealed that an important predictor of switching behavior and
( 1987) subsequent loyalty to the new brand is the extent to which switching
is attributed either to extrinsic factors (e.g., promotion) or to intrinsic
motives (e.g., the desire to try a new brand)
Inger Roos (1999) Found that price was the switching determinant, the customer made a
switching decision to change his or her food purchase pattern. Also
customers appeared to be loyal to their supermarket if it succeeded in
meeting their needs.
Weiss and Anderson, Switching costs as an exit barrier plays a part in the buyer seller
1992; Smith, 1998; relation and it is because of this that customers take into account the
Jones et al., 2000, switching costs.
Jackson, 1985
Ching-F Chen and Yu- Found that switching costs are increasingly recognized as a means for
Ying Chang ( 2007) keeping customers in relationships.
David Mazursky ( 1987) revealed that an important predictor of switching behavior and
subsequent loyalty to the new brand is the extent to which switching is attributed either to
extrinsic factors (e.g., promotion) or to intrinsic motives (e.g., the desire to try a new brand). If
switching is attributed to intrinsic reasons, the rate of brand switching is likely to be smaller than
if it is attributed to extrinsic reasons. The conclusion derived from this analysis is that
promotions are indeed useful in causing switching among consumers who were loyal to the
previous brand, but they may undermine repeat purchase of the new brand if consumers attribute
switching solely to the promotion itself.

Inger Roos ( 1999) found that price was the switching determinant. The customer made a
switching decision to change his or her food purchase pattern. Also customers appeared to be
loyal to their supermarket if it succeeded in meeting their needs. Customer behavior after
complaining appears to imply that complaining causes switching. Customers react to their
switching determinants differently, depending on whether supermarkets respect them by
responding to complaints or by meeting demands concerning, for example, range of goods and
price level.

According to Weiss and Anderson (1992) , Smith ( 1998), Jones et al., (2000), Jackson ( 1985),
switching costs as an exit barrier plays a part in the buyer seller relation and it is because of this
that customers take into account the switching costs.

The study of Ching-F Chen and Yu-Ying Chang ( 2007) not only reveals the effects of brand
equity on brand preference and purchased intentions, but also shows moderating effects of
switching cost on the relationship between brand equity and purchase intentions. In practice,
switching costs are increasingly recognized as a means for keeping customers in relationships.

1.5.2 Review of Recent Studies

The review of recent literature is summarized in table 1.2

Table 1.2

Study Major findings

Muhammad Mubin Jaliawala
( 2014)
Shahpar Shams ( 2014)
The study shows that the three independent variables
(Proximity, Engagement and Environment).The
relationship of Consumer channel switching with these
variables may get affected due to increase in online
shopping these days.
Found that, marketers should increase brand awareness so
that consumers can have the knowledge about their brand.
Increased amount of advertising can increase awareness.
Besides, giving discount, coupon, free gifts etc can

Ayesha Kanwal and Samreen Lodhi This study will help the companies to identify the selling
( 2015 )
Prof. Lakshmi Nair ( 2011 )
increase consumer usage.
areas that need more attention to attract the new customers
and retain the existing ones. As now most of the companies
facing this problem and losing their customers they switch
to another brand because of price and service quality of
product.
Customers may prefer one brand over another or might be
loyal towards none of the brands as long as they feel that
their expectations are being satisfied. The study clearly
brings forth the importance of pricing as an attribute in
influencing customers.

The study of Muhammad Mubin Jaliawala ( 2014), shows that there are three independent
variables (Proximity, Engagement and Environment). The findings of the study explained the
previous study by Bitta and Loudon (1993) and suggest that strong correlation exists between
Channel Switching, Proximity, Location, Engagement and Environment. The relationship of
Consumer channel switching with these variables may get affected due to increase in online
shopping these days.

According to Shahpar Shams ( 2014 ), above and beyond, price is one aspect that consumers
think important which should also be tied within their limit. Found that, marketers should
increase brand awareness so that consumers can have the knowledge about their brand. Increased
amount of advertising can increase awareness. Besides, giving discount, coupon, free gifts etc
can increase consumer usage. Consumers’ desire is not limited only to product quality. It was
also found in this study that consumers also demand for reasonable price, availability on nearby
shops, facility to return the product whenever necessary, and even, and proper concentration by
companies in complaint management.

Ayesha Kanwal and Samreen Lodhi ( 2015 ), revealed that this study will help the companies to
identify the selling areas that need more attention to attract the new customers and retain the
existing ones. As now most of the companies facing this problem and losing their customers they
switch to another brand because of price and service quality of product. Due to availability of
many alternative and variety of products customers are being more conscious and highly
involved in switching brand. So, companies to need to improve their quality of product and also
the price of product so they can retain their existing customers and also attract new ones.

According to Prof. Lakshmi Nair ( 2011 ), Customers may prefer one brand over another or
might be loyal towards none of the brands as long as they feel that their expectations are being
satisfied. The factors influencing the purchase decision for PLBs ( Private Labels Brands ) were
concerned Perceived Quality was given the highest rank followed by Accessibility of products,
Price charged, Trust in brand, Freshness, Packaging, Healthy, Availability of Alternatives, Sales
promotion &Advertising.

1.5.3 CONCEPTUAL FRAMEWORK

A conceptual framework is a set of ideas used to structure the researcher, a sort of map that may
include the research question, the literature review, methods and data analysis. A conceptual
framework is an analytical tool with several variations and context. It is used to make conceptual
distinctions and organize ideas conceptual frameworks are abstract representations, connected to
the research project's goal that direct the collection and analysis of data (on the plane of
observation – the ground). A conceptual framework was developed to gain understanding about
the impacts of customers brand switching behaviour. A conceptual framework is developed as
illustrate in figure. The figure shows the theoretical framework of the study. The dependent
variable of this study is customer brand switching behaviour and independent variable of the
study are quality, gender and price.

Independent variables

Dependent variable
Quality

Gender Customers brand switching behavior

Price
1.6 OPERATION DEFINATION AND ASSUMPTIONS

BRAND SWITCHING

Brand switching is a situation in which someone changes from buying one brand of a product to
buying a different brand. Sometimes known as brand jumping, brand switching is the process of
choosing to switch from routine use of one product or brand to steady usage of a different but
similar product. Much of the advertising process is amid at encouraging brand switching among
consumers, thus helping to grow market share for a given brand or set of brands. The
importance and difficulty of keeping customers constantly features in the marketing literature.
The changing consumers’ lifestyle, availability of global brands, technology intervention and
new trends have led to increase in demand of simpler options, products which are of good quality
and propositions driven by economy. The consumer behavior is always remaining under
influence of factors, which simulates the behavior of consumers towards either remain loyal with
existing brand or switch towards other brands. Brand switching can be instigated by price
promotions, in-store displays, superior availability or innovations in competitive brands, desires
for novelty, number of available brands, perceived risk, frequency of purchase, changes in
quality, or level of satisfaction with the most recent purchase. Brand switching is most common
with products that have no great perceived variation in quality across brands such as bottled
water, dairy products, or paper towels.

PRODUCT QUALITY

The quality of product may be defined as "its ability to fulfill the customer's needs and
expectations". Quality needs to be defined firstly in terms of characteristics, which vary from
product to product. Quality is a complex and multifaceted concept. Customers switch brand
when they are influenced by quality. When the quality meets the expectations of the customers,
they purchase the product. Eight dimensions can be identified as a framework for thinking about
the basic elements of quality, they are: Performance, Features, Reliability, Conformance,
Durability, Serviceability, Aesthetics and Perceived Quality. Each is self-contained and distinct,
for a product can be ranked high on one dimension while being low on another. Product quality
is rapidly becoming an important competitive issue.

GENDER

Gender plays an important role in switching of brand. The study by Shahpar Shams ( 2014 ) on
selected tea brands in Bangladesh found male consumers to be more loyal in nature compared to
female consumers while buying products. It means that, female customers switch brand often.
PRICE

Price in another important factor which is responsible for customer brand switching behaviour.
Many customers buy the branded products despite of the higher price. Similarly, there are many
other buyers who buy product when the prices are affordable and have transparent price. The
income level also affects the buying pattern of the customers. Switching of the brand also occurs
when price is unreasonable.

1.7 RESEARCH METHODS

Research methodology is the systematic and theoretical analysis applied to a field of study, or the
theoretical analysis of the body of methods and principles associated with a branch of
knowledge. It encompasses concepts such as theoretical model, phases and different techniques
used in the study. In the absence of methodology, it is likely that the conclusion drawn may be
misunderstood. This research is based on inductive approach which was started from observation
through structured questionnaires.

1.7.1 RESEARCH DESIGN

Research design is a plan that describes how, when and where data are to be collected and
analyzed. The research design is exploratory research design as brand switching is occurring
very rapidly and researches about this topic are still in the preliminary phase. There has been less
research on the customer brand switching. The exploratory research design has been selected to
collect the information and data about the customers switching of brand. This research design is
also based on survey research design. This design has been employed to assess the opinion,
preferences, perceptions and characteristics of respondents.

This study focuses to find the brand switching behaviour of customers and whether or not the
respondents are influenced by price, quality, advertisement, social image and brand name of the
brands. Under this research design, a set of questionnaire related to quality, brand name, price,
gender, sensitivity of customers, availability and country of origin was prepared and distributed
among the different groups of customers of Sanothimi area to collect their opinion, perception
and attitude regarding switching of the brands and its impact on usage.

1.7.2 SOURCES OF DATA

The related data on the relationship between customer brand switching behaviour and, price,
gender and quality has been collected through a questionnaire survey. . Primary data has been
used in the form of questionnaire A structured questionnaire has been developed and distributed
to the customers of Sanothimi.

1.7.3 DISCRIPTION OF THE SAMPLE

Sample refers to the small portion of population which is selected for the study. The sample size
is 50 which are available from household buyers. The place selected for the sample is
Sanothimi/Bhaktapur.

CHAPTER 2
2.1 PRESENTATION AND ANALYSIS OF PRIMARY DATA

This section concerned with the result of questionnaire survey conducted the individual of
customer of Sanothimi. Questionnaire survey is designed to understand the view of the
respondents in relation to the relationship between customer brand switching and quality, price
and gender. This section includes analysis of the respondent's personal data such as: age and
gender.

DEMOGRAPHIC CHARACTERISTICS OF THE RESPONDENT

Demographic characteristics refers to the respondents age and gender or personal characteristics.
This section describes the demographic characteristics of the respondents of Sanothimi. Total of
50 questionnaire were distributed to the customer of Sanothimi and all the questionnaire was
collected.

Table 2.1 shows the demographic characteristics of the respondents in number and percentage of
the age and gender of respondent.

Table 2.1
Demographic characteristics of respondents

This table shows the number of respondents with the characteristics on gender and age from
population of household buyers used in questionnaire survey of this study. Number represents
the number of the respondents of each category and percentage refers to the percentage of
respondent number in particular category out of total.

Variables Total Respondents

Gender Number of respondents Percentage (%)
Male 20 40
Female 30 60
Total 50 100
Age
16-25 16 32
25-30 4 8
30-45 19 38
45 and above 11 22
Total 50 100
Source: Field Survey, 2017

Figure 2.2
Gender

The figure 2.2 shows the classification of the respondents on the basis of gender

Respondents classified by gender

Source: Field survey, 2017

The figure shows that the majority of respondents (60 percent) are female whereas the rest (40
percent) of the respondents are male.

Figure 2.3
Age

The figure 2.3 shows the classification of the respondents on the basis of age Respondents
classified by age
 Source: Field survey, 2017

Similarly, the majority of respondent from 16-25 age group were 32 percent. Likewise the
majority of respondents from 25-30 age group were 8 percent, it shows that 30-45 age group
people were the maximum in number. Similarly, the respondents of age group above 45 were
22 percent.

Table: 2.4
RESPONSIVENESS OF CUSTOMER TOWARDS BRAND

This table shows the percentage, frequency, mean of the customer perception regarding
Responsiveness of buyers of Sanothimi area. The statement is based on the responsiveness and is
measured in Five Likert scale 5 as strongly agree, 4 as agree, 3 as neutral, 2 as disagree and 1
as strongly disagree.

Respondent’s response regarding brand

Strongly Strongly
Statement Agree Agree Neutral Disagre Disagree N Mean Rank
e
Wish to F 9 20 16 4 1 50
change the
brand % 18 40 32 8 2 100 3.64 1
because of
quality of A% 58 32 10 100
product
Wish to F 8 18 13 6 5 50
change the
brand if new % 16 36 26 12 10 100 3.36 2
brand has
better quality A% 52 26 22 100
Change the F 12 24 10 4 50
brand if new
brand has % 24 48 20 8 100 2.88 5
low effect of
price A% 24 48 28 100

Wish to F 2 20 15 8 5 50
change the
brand if new % 4 40 30 16 10 100 3.12 3
brand has
attractive A% 44 30 26 100
design
Wish to F 3 16 15 15 1 50
change the
brand if % 100 2.90 4
affected by 2 30 30 32 6
the
advertisemen A% 32 30 38 100
t
Weighted Average mean 3.18
Source: Field study, 2017

Table 2.4 shows the responsiveness of customers from Sanothimi area. Among the 50
respondents maximum ( 58 percent) wish to change the brand because of quality of product. 32
percent of the respondents are neutral on their view and 10 percent of the respondents do not
wish to change the brand because of quality of product. The mean value of the statement is 3.64

The majority ( 52 percent) of the respondents wish to change the brand if new brand has better
quality. 26 percent of the respondents are neutral on their view. 22 percent of the respondents do
not wish to change the brand if the new brand has better quality. The mean value for this
statement is 3.36

The study revealed that majority ( 48 percent) of the respondents are neutral on their view if they
change the brand because new brand has low effect of price.24 percent of the respondents change
the brand if the new brand has low effect of price. 28 percent of the respondents do not change
the brand if the new brand has low effect of price. The mean value of this statement is 2.88
Among the respondents, majority (44 percent) of the respondents wish to change the brand if
new brand has attractive design. 30 percent of the respondents are neutral on their view and 26
percent of the respondents do not wish to change the brand if the new brand has attractive design.
The mean value of this statement is 3.12

According to the study it shows that majority ( 38 percent) of respondents do not wish to change
the brand if affected by the advertisement. Similarly, 32 percent of the respondents wish to
change the brand if affected by the advertisement. 30 percent of the respondents are neutral
regarding their view. The mean value of this statement is 2.90

The mean value of the statement of customer brand switching behaviour of Sanothimi,
Bhaktapur ranges from 2.90 to 3.60. Among the responsiveness of respondents, the respondents
wish to change the brand because of quality of product which is ranked as 1. The weighted mean
of the customer regarding brand switching is 3.18.

TABLE 2.5
INFORMATION REGARDING BRAND

This table shows the percentage, frequency, mean from the customers information that includes
Advertising, Word of mouth, Shop display, Attractive packaging, Dealer, Friends/Relatives and
Brand name which are to be ranked in order for collection of brand information from the
respondents (customers).

Statement First Second Third Fourth Fifth Sixth Sevent N Mea Re

priori priority Priority priorit priori priority h n ma
ty y ty priorit rks
y
F 13 9 6 9 6 3 4 50 3.22 7
Advertise
ment % 26 18 12 18 12 6 8 10
0
Word of F 11 6 5 13 8 6 1 50 3.46 4
mouth
% 22 12 10 26 16 12 2 10
0
Shop F 1 2 7 9 11 15 5 50 4.84 2
display
% 2 4 14 18 22 30 10 10
 0
Attractive F 2 7 10 3 7 12 9 50 4.56 3
packaging
% 4 14 20 6 14 24 18 10
0
Dealer F 6 2 3 3 6 10 20 50 5.22 1

% 12 4 6 6 12 20 40 10
0
Friends/ F 5 15 10 8 6 2 4 50 3.34 6
relatives
% 10 30 20 16 12 4 8 10
0
Brand F 12 9 9 5 6 2 7 50 3.36 5
name
% 24 18 18 10 12 4 14 10
0
Weighted Average mean 4
Source: Field study. 2017

Table 2.5 shows the information regarding brand and what is the perception of respondents
regarding information when it comes to ranking in orders. The table shows the priority given to
advertisement, Word of mouth, Shop display, Attractive packaging, Dealer, Friends/relatives and
brand name in order by the respondents.

In case of advertisement, advertisement is given first priority by 13 respondents, second priority

by 9 respondents, third priority by 6 respondents, fourth priority by 9 respondents, fifth priority
by 6 respondents, sixth priority by 3 respondents and seventh priority by 4 respondents. The
mean value for this statement is 3.22.

Among 50 respondents, 11 respondents gives first priority to word of mouth, 6 respondents gives
second priority, 5 respondents gives third priority, 13 respondents gives fourth priority, 8
respondents gives fifth priority, 6 respondents gives sixth priority and 1 respondent gives seventh
priority. The mean value for this statement is 3.46

Here, in case of shop display, shop display is given first priority by 1 respondent, second priority
by 2 respondents, third priority by 7 respondents, fourth priority by 9 respondents, fifth priority
by 11 respondents, sixth priority by 15 respondents and seventh priority by 5 respondents. The
mean value of this statement is 4.84
Similarly, attractive packaging is given first priority by 2 respondents, second priority by 7
respondents, third priority by 10 respondents, fourth priority by 3 respondents, fifth priority by 7
respondents, sixth priority by 12 respondents and seventh priority by 9 respondents. The mean
value of the statement is 4.56

In case of Dealer, dealer is given first priority by 6 respondents, second priority by 2

respondents, third priority by 3 respondents, fourth priority by 3 respondents, fifth priority by 6
respondents, sixth priority by 10 respondents and seventh priority by 20 respondents. The mean
value of the statement is 5.22

First priority is given by 5 respondents to friends/relatives, second priority is given by 15

respondents, third priority is given by 10 respondents, fourth priority is given by 8 respondents,
fifth priority is given by 6 respondents, sixth priority is given by 2 respondents and 4 respondents
have given seventh priority.

In case of brand name, brand name is given first priority by 12 respondents, second priority by 9
respondents, third priority by 9 respondents, fourth priority by 5 respondents, fifth priority by 6
respondents, sixth priority by 2 respondents and seventh priority by 7 respondents.

The mean value of the table 2.5 ranges from 3.34 to 5.22. The weighted mean is 4.Dealer is
ranked as 1, Shop display is ranked as 2, Attractive design is ranked as 3, word of mouth is
ranked as 4, Brand name is ranked as 5, Friends/relatives ranked as 6 and Advertisement is
ranked s 7. Here from the table we come to know that the maximum respondents receives the
information from dealer and minimum information from advertisement which helps the
respondents to switch the brand or use the brand they have been using.

Table 2.6

Information regarding attributes of brand

This table shows the percentage, frequency, mean from the information provided by customers
that includes Brand name, Transparent price, Secured, Easy availability, Quality and Social
image which are ranked in order to know what attributes attract respondents to purchase
branded products.

Statement First Second Third Fourth Fifth Sixth Mean Ran

priority priority priority priority priority priorit N k
y
Brand F 16 4 8 11 7 4 50 3.02
name
% 32 8 16 22 14 8 100 5

Transparent F 5 10 10 9 9 7 50 3.56
price
10 20 20 18 18 14 100 3
%
Secured F 3 6 7 6 12 16 50 4.32

6 12 14 12 24 32 100 2
%
Easy F 5 10 12 9 8 6 50 3.46
availability
4
% 10 20 24 18 16 12 100
Quality F 18 12 9 3 7 1 50 2.44

6
% 36 24 18 6 14 2 100
Social F 3 7 5 11 7 17 50 4.34
image
1
% 6 14 10 22 14 34 100

Weighted average mean 3.52

Source: Field study, 2017

Table 2.6 shows the influence of brand to the respondents while buying branded products. The
attributes are Brand name, Transparent price, Secured, Easy availability, Quality and Social
image. Similar to table 2.5, here also the attributes are ranked as first priority, second priority,
third priority, fourth priority, fifth priority and sixth priority by the respondents.
In the first statement, brand name is given first priority by 16 respondents, second priority by 4
respondents, third priority by 8 respondents, fourth priority by 11 respondents, fifth priority by 7
respondents and sixth priority by respondents. The mean value for the statement is 3.02

In the second statement, transparent price is given first priority by 5 respondents, second priority
by 10 respondents, third priority by 10 respondents, fourth priority by 9 respondents, fifth
priority by 9 and sixth priority by 7 respondents. The mean value of the statement is 3.56

In the third statement, secured attribute is given first priority by 3 respondents, second priority by
6 respondents, third priority by 7 respondents, fourth priority by 6, fifth priority by 12 and sixth
priority by 16 respondents. The mean value of the statement is 4.32

The fourth statement, easy availability is given first priority by 5 respondents, second priority by
10 respondents, third priority by 12 respondents, fourth priority by 9 respondents, fifth priority
by 8 and sixth priority by 6 respondents. The mean value of the statement is 3.46

The fifth statement, quality is given first priority by 18 respondents, second priority by 12
respondents, third priority by 9 respondents, fourth priority by 3 respondents, fifth priority by 7
respondents and sixth priority by 1 respondents. The mean value of the statement is 2.44

In sixth statement, social image is given first priority by 3 respondents, second priority by 7
respondents, third priority by 5 respondents, fourth priority by 11 respondents, fifth priority by 7
and sixth priority by 17 respondents. The mean value of the statement is 4.34

In the table 2.6, the weighted average mean is 3.52. The mean value ranges from 2.44 to
4.34.From among the attributes, social image is ranked as 1, secured is ranked as 2, transparent
price is ranked as 3, Easy availability is ranked as 4, brand name is ranked as 5 and quality is
ranked as 6.

Table 2.7

This table shows frequency, mean, percentage and standard deviation of the information
collected with the help of questionnaire. This yes no question regarding brands helps to get
information about the effect of price on customers, easy availability of products, country of
origin and advertisement influence to the customers.

Standard
Statement Yes No Mostly N Mean deviation Rank

Are you a 1.10 .303 4

price sensitive F 45 5 50
customer?
% 90 10 100
Do you
purchase F 7
products 27 16 50 1.78 .910 1
because they
are easily 54 14 32 100
available? %
Does country
of origin affect F 40 10 50
your product 1.20 .404 3
purchase % 80 20 100
decision?
Do you
believe
switching F 16 34 50
because of
favourite 1.68 .471 2
celebrities
used in % 32 68 100
advertisement?

Weighted average mean 1.44

Information regarding Yes No Questions

Source: Field survey, 2017

Table 2.7 shows the respondents likely and unlikely behaviour towards price, easily availability,
product country of origin and the influence of advertisements. The above statement of table helps
to know the preferences of respondents when they switch brands and also the factors which
influence them in brand switching.
The first statement is about the customer who are sensitive towards price. Among 50
respondents, majority ( 90 percent) of the respondents are sensitive or influenced by the price
i.e. 45 respondents. 10 percent of the respondents are not sensitive towards price i.e. 5
respondents. The mean value of the statement is 1.10 and the standard deviation is .303

Among 50 respondents, majority ( 54 percent) purchase products because they are easily
available i.e. 27 respondents. 14 percent of the respondents do not purchase products because of
its easy availability. 32 percent mostly purchase the product because they are easily available i.e.
16 respondents. The mean value of the statement is 1.78. And standard deviation is .910

Among the respondents, majority (80 percent) of the respondents purchase decision is affected
by the product country of origin i.e. 40 respondents. Similarly, 20 percent of the respondents
purchase decision are not affected by the product country of origin i.e. 10 respondents. The mean
value of the statement is 1.20. And standard deviation is .404

Majority ( 68 percent) of respondents do not believe switching because of favourite celebrities

used in advertisement. It means 34of the respondents among 50 respondents do not believe
switching because of favourite celebrities used in advertisement. 32 percent of the respondents
believe switching because of favourite celebrities used in advertisement i.e. 16 respondents. The
mean value of the statement is 1.68. And the standard deviation is .471

In this above table 2.7, the mean value ranges from 1.10 to 1.78. The weighted average mean is
1.44. Easy availability is ranked as 1, celebrities used in advertisement is ranked as 2, country of
origin is ranked as 3 and price sensitivity of customer is ranked as 4.The standard deviation
ranges from .910 to .303
 Major Findings
Based on the analysis of the data, the major findings of this study are summarized as under:

Weighted average mean score for responsiveness of customer towards brand is 3.18 which show
that customers are affected by the new product quality, low effect of price, attractive brand
design, advertisement and quality of brand.

Weighted average mean score for the information regarding attributes of brand is 3.52 which
show that the customers are agreeably attracted by the attributes such as brand name, transparent
price, secured, easy availability, quality and social image.

The majority ( 58 percent ) of the respondents wish to change the brand because of the quality of
product. 32 percent of the respondents are neutral on their view. 10 percent of the respondents do
not wish to change the brand because of quality of product. The mean value for the statement is
3.64

24 percent of the respondents change the brand if the new brand has low effect of price. 48
percent are neutral on their view. 20 percent of the respondents do not change the brand if the
new brand has low effect of price. The mean for this statement is 2.88

Among the total of 50 respondents, 45 respondents are sensitive towards price, which is 90
percent from total respondents. Similarly, 5 respondents are not sensitive towards price i.e. 10
percent from total respondents. It means that the large number of respondents of Sanothimi are
sensitive towards price.

The majority ( 80 percent ) of the respondents i.e. 40 respondents are affected by the country of
origin when they make product purchase decision. Remaining 20 percent i.e. 10 respondents are
not affected by the country of origin when they purchase the product.
32 percent of the respondents wish to change the brand if affected by the advertisement. 30
percent are neutral regarding their view. The majority (38 percent) of the respondents do not
wish to change the brand if affected by advertisement.

The majority (44 percent) of the respondents wish to change the brand if new brand has attractive
design. 30 percent of the respondents are neutral on their view and 26 percent of the respondents
do not wish to change the brand if the new brand has attractive design.

The majority ( 52 percent) of the respondents wish to change the brand if new brand has better
quality. 26 percent of the respondents are neutral on their view. 22 percent of the respondents do
not wish to change the brand if the new brand has better quality.

CHAPTER 3

SUMMARY AND CONCLUSION

This chapter deals with the summary of the highlighted major findings of the study. In addition,
the major conclusion are discussed in seperate section of this chapter. Likewise,
recommendations regarding the study are also presented in separate section in the same field.

SUMMARY

Price, quality and gender plays an important role in brand switching behaviour. Brand switching
can be instigated by price promotions, in-store displays, number of available brands, changes in
quality or level of satisfaction with the most recent purchase. The consumer behaviour is always
remaining under influence of factors, which simulates the behaviour of consumers towards either
remain loyal with existing brand or switch towards other brands.

Also the customer switching behaviour is being considered as complex study of factors, which
stimulate the behaviour of consumers towards switching their purchase between brands. Brand
switching behaviour of customer is the situation where customer makes decision to stop
purchasing a particular service and shifts from one brand to another. The importance and
difficulty of keeping customers constantly features in the marketing. However, customer studies
have generally focused on loyal customers and loyalty rather than on reasons for switching
service providers. The aim of this research is to focus on the customer's switching behaviour.
Also there has been less research on the customer brand switching.

The objective of the study is to explore the factors affecting consumer brand switching
behaviour. The study examines the influence of gender in brand switching and also examines the
quality of brand customer’s switch. The study is based on primary sources of data. Altogether, 50
questionnaires for 50 respondents. Total responses i.e. 50 collected from the respondents were
coded and tabulated into SPSS worksheet. Different statistical tools such as Mean, Frequency,
Percentage, Standard Deviation, Likert scales etc was used for the data analysis, data collection
procedures and for the calculation of average scores.

Conclusion

The major conclusion of the study is that, the customers are more likely to switch the brand when
affected by price. The respondents switch the brand because of the quality and the effect of
advertisement limited. Respondents switch the brands when they are attracted by attributes of
brand and get information regarding brands.

The study also concludes that the respondents purchase the product because of its easy
availability. While buying products, country of origin also effect the respondents purchase
decision. The brand information is more likely to be collected from dealers. And the attribute,
brand name is more likely to attract the respondents to purchase branded products. Similarly,
advertisement does not help respondents to switch the brand and so does the celebrities used in
the advertisement.

Recommendation

On the basis of the findings of the study, the following recommendations are made for further
improvement in Brand Switching Behaviour of Customer in relationship with Quality, Price,
Gender and Advertisement.

This study observed price as the factor which influence the customers to switch the brands again
and again. The price for the grocery items keeps on changing from time to time which results in
switching behaviour of the customers. Hence, the pricing of products should be considered.
 Customer switch the brands when they are attracted by attributes of brand. Most of the time
customers purchase branded products when they are attracted by Brand Name (attribute). Thus,
Brand Name is preferred by the customers which shows the likely influence of Brand Name as
an attribute.

This study observed that the majority of respondents are inclined to quality. Quality of product
affects the buying behaviour and switching pattern of respondents. Hence, good quality of
products are to be sold in the market so that the customers can remain loyal to the brands.

According to the study, it is found that the majority of respondents purchase decision is
affected by the country of origin. Hence, country of origin plays an important role when it comes
to switching and buying of brand of product.

This study observes that the respondents are influenced by the attractive design of the product
which makes them to switch over different brands. Hence, attractive design of the product can
make the producers and sellers easy to sell their products.
References
Mazursky (1987). When Consumers Switch Brands, New York University, Vol.4

Jaliawala Mubin and Rahman ur (2014). Channel Switching Behavior from Traditional Grocery Stores
to Branded Grocery Chains in Karachi, Vol.12

Kanwal and Lodhi (2015). Relationship between Brand Switching Behaviour & Customer
Satisfaction: A Case of Cosmetic Industry of Karachi, Jinnah University for Women, Pakistan,
Vol. 3

Shams (2014), Assessment of consumers’ loyalty and switching behaviour: A study on selected
tea brands in Bangladesh, Philosophy and Progress: Vols. LV-LVI.

Roos (1999), Switching Processes in Customer Relationships, Journal of service research, Vol.2.

Nair ( 2011), PRIVATE LABELS BRANDS IN FOOD & GROCERY: THE CHANGING
PERCEPTIONS OF CONSUMERS & RETAILERS IN INDIA- A STUDY IN THE PUNE
REGION, Indira School of Business Studies, Vol.2

Chan and Chang (2007), Airline brand equity, brand preference, and purchase intentions—The
moderating effects of switching costs, Journal of Air Transport Management
 Questionnaire
Dear Respondent,

I am student of Kathmandu Model College, Balkumari. I am going to conduct survey research on

“Brand switching behaviour of customer". So, I request you to take a few minutes to provide the
variable information regarding brand switching behaviour. I assure you, that all your response
will be kept confidential. Your opinion will be strictly used only for research study.

Sincerely,

Deepshikha Shrestha

Basic information

Age

16-25 25-30 30-45 45 and above

Gender

Male Female Others

How do you get information regarding brand? [ please rank in order]

Advertising
Word of mouth
Shop display
Attractive packaging
Dealer
Friends/Relatives
Brand name
What attributes do attract you to purchase branded products? [ please give 1 for first priority 2
for second priority, 3 for third, 4 for fourth, 5 for fifth and 6 for sixth]

Brand name
Transparent price
Secured
Easy availability
Quality
Social image

Are you a price sensitive customer?

Yes

No

Do you purchase products because they are easily available?

Yes

No

Mostly

Does country of origin affect your product purchase decision?

Yes

No

Do you believe switching because of favorite celebrities used in advertisement?

Yes

No
 1 2 3 4 5
Statement
I wish to change the brand because of quality of
product
I wish to change the brand if new brand has better
quality
I change the brand if the new brand has low effect of
price
I wish to change the brand if new brand has attractive
design
I wish to change the brand if affected by the
advertisement
Please read the following statements and put tick marks on the column nearest to your opinion.
[ 1-Strongly Disagree, 2-Disagree, 3-Neutral, 4-Agree, 5-Strongly Agree]