FUNCTIONAL SPECIALISATION

PROJECT REPORT

ON

“A STUDY OF IMPACT OF COVID-19

PANDEMIC ON CONSUMER BUYING
BEHAVIOUR”
A detailed study done in

MMS SEM IV “MARKETING”

Submitted in partial fulfillment of the requirement for the award of degree of

Master of Management Studies (MMS) under the University of Mumbai

Submitted by

ASHISH ASHOK DHONDE

ROLL NO: 2019MMS007 PRN: 2016016400529821

BATCH: 2019-2021 ACADEMIC YEAR: 2020-2021
Under the guidance of

DR. ASMAT ARA SHAIKH

Bharati Vidyapeeth’s
Institute of Management Studies& Research
Navi Mumbai

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 (i)

ACKNOWLEDGEMENT

I would like to express my deepest gratitude and appreciation to all those who provided me the
possibility to complete this report. A special and sincere gratitude I give to my project guide
Dr. Asmat Ara Shaikh for contributing towards stimulating suggestions and encouragement,
helped me to coordinate my project especially in writing this project report titled “a study of
impact of covid-19 pandemic on consumer buying behavior”.

I am thankful to my college director, Dr. Anjali Kalse for providing me a platform and
supporting me towards the successful completion of the project.

Last but not the least, I would like to extend my thanks to all my fellow peers who helped me
with the ever-daunting task of gathering information, feedback and comments for the
completion of project.

Signature of the Student

(ASHISH ASHOK DHONDE)

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 (ii)
CERTIFICATE
This is to certify that the ‘Functional Specialization’ Final Project titled “A STUDY OF

IMPACT OF COVID-19 PANDEMIC ON CONSUMER BUYING BEHAVIOUR” is

successfully completed by Mr. Ashish Ashok Dhonde, Roll No. 2019MMS007, Batch: 2019-

2021, a student of Bharati Vidyapeeth’s Institute of Management Studies and Research,

submitted in partial fulfilment of Master of Management Studies programme affiliated to the

University of Mumbai during the Semester IV of the academic year 2020-2021.

Date :___________

_____________________ _________________
Dr. Asmat Ara Shaikh Dr. Anjali Kalse
Project Guide Director
BVIMSR BVIMSR

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 (iii)
EXECUTIVE SUMMARY

This project report was created to study the impact of covid-19 pandemic on consumer buying
behavior. This project report is a summary of the research work. The study attempted to
understand the effect of novel coronavirus disease (COVID19) on the consumers buying
behavior. In India at early stage of novel coronavirus disease cases was more reported by
international travelers. Domestic travelers by air, train and bus caused to increase the positive
test of patients of COVID-19 in India. Indian market seriously affected by novel coronavirus
disease.

Consumer behavior has suddenly changed in lockdown situation. At early stage, consumers
were not more serious about the situation created by COVID-19. At that time people are
hesitated and confused and taking care. When nationwide lockdown was declared the public
went to the market to purchase the essential goods. Sellers were black-marketing of essential
goods, drugs, face masks, hand gloves and sanitizers. After declaration of lockdown consumers
experienced fear and felt unsecured. The news from television channels and multimedia
drastically effected to change behavior of people. Consumers predicted the shortage of essential
goods and they rushed in the market for purchase. Online marketing companies suspended their
services to protect and care the life of consumers and their staff during lockdown. In that period
consumers were not more conscious about specific brands of goods.

Apart from this, objectives of the study, Research methodology. One can have understanding
about the changing consumer behavior in pandemic situation. Apart from this the factors are
also been studied which consumers usually face while buying the goods in the pandemic.

The second part of the project consist of data and its analysis collected through survey done on
200 people. Where I observed that not that brand loyal while purchasing the goods than before
the pandemic situation. Majority of them didn’t spend on any luxury products. Price of
product and availability itself is the major element due which consumers are influenced to
buy the product. The data collected has been well organized and well presented & the objective
of this research is to find the major factors affecting changes in consumer buying behavior.

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 (iv)
TABLE OF CONTENTS

Sr. No Title Page No.

1. Acknowledgement (i)

2. Certificates (ii)

3. Executive Summary (iii)

4. Table of Contents (iv)

5. Chapter 1 : Introduction of the Project 6-27

1.1 Introduction to the Study 7-25

1.2 Objective of the Study 25

1.3 Scope of the Study 25

1.4 Limitations of the Study 26

1.5 Literature Review 27

6. Chapter 2 : Research Methodology 28-30

2.1 Research Design 29

2.2 Sources of Data 29

2.3 Data Collection Tools and Techniques 30

2.4 Sample Design 30

7. Chapter 3 : Data Analysis & Interpretation 31-42

8. Chapter 4 : Conclusion and Suggestion 43-47

4.1 Findings 44

4.2 Suggestions 45

4.3 Conclusion 46

4.4 Learning Experience 47

9. Bibliography 48

10. Annexure 49-50

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 CHAPTER 1
INTRODUCTION TO THE
PROJECT

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1.1 INTRODUCTION TO THE STUDY
All Globalization creates opportunities and threats in international business. World economic
growth depends on the level of liberalization, privatization and globalization. Apart from this
economic growth depends on optimum utilization of natural resources, funds invested,
manpower, technology used in production and consumption level of peoples. Global peace and
cooperative approach of the different countries results to enhance international trade. World
Health Organization officially declared COVID-19 to be a pandemic on 23rd March, 2020. A
pandemic is a disease situation that has person-to-person spread over different countries. It
creates fear among the people. When first lockdown was declared rush in market was suddenly
increased.

The stocks of essential goods in shops were remarkable at lowest level. Face masks and
sanitizers were out of stock in various medical shops during early stage of lockdown. It resulted
to black marketing of essential and medical goods. A fight against coronavirus is started by
government and public. Minimum distance of one meter between two persons must be required
to maintain in breaking the chain of COVID-19. The role of common man is to break the chain
of spread of disease is important.

Consumers are required to obey the orders issued by the government to control of disease. Care
taking instructions against COVID-19 given by medical team which are essential and required
to followed by all consumers. During lockdown period, IPC section 144 was applied in some
area to maintain the discipline and control the crowd. More enthusiastic people are wandering
on the roads and police force is taking actions against such people. When lockdown was
declared consumers entered in the market to purchase and stock the essential goods. Novel
coronavirus has a global reference so every country has required aggressive action against it.
Meat and chicken market collapsed in India due to rumors. COVID-19 disease affects buying
approach of the consumers and market situation.

Lockdown was declared by the Central government and suddenly changes occurred in the
consumer behavior. After declaration of first lockdown all shops of essential commodities were
crowded with consumers. It becoming difficult for the shopkeeper to manage huge crowed who
came to purchase essential goods.

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IMPACT OF LOCKDOWN ON CONSUMERS

Consumers were in confused state of mind due to shortage of goods in the market. Population
was highly susceptible. Consumers were refocused for the application of preventative
measures. Government arranged more attention to fight against COVID-19. Instructions were
given to the consumers to obey the rules and regulations while entering for purchase of essential
goods. Items such as face masks, sanitizers and medicines were seen the large jump. In
lockdown period financial, nonfinancial, psychological, social & cultural and some other
factors were affected on the consumer buying behavior.

Financial items include family income, future earnings, credit facility, saving attitude of the
consumers and government policies to control the prices of goods and services. Non-financial
items include consumerism culture, family culture, and profession, surroundings such as rural-
urban, fashions, technology development, advertisement and physical structure of the
consumer. Psychological factors related to motivation to buy, perception, learning and beliefs
and attitude. Social and cultural factors include culture, social class and reference groups of
consumers.

Apart from this other factor which influence consumer behavior included economic
development of the country, revolution in communication and transportation devices, import
policy and development of consumer movement in the country. Supply chain management was
disrupted due to nationwide lockdown. Central and State governments had taken appropriate
decision at the right time to lockdown which was essential to fight against COVID-19 and
protection of health of the public. Lockdown decision assists to restrict to spread of COVID-
19 in the country.

The ongoing lockdown to combat Covid-19 has altered consumers’ purchase decisions higher
spending on health and hygiene products, adapting to limited product availability, and
preferring home deliveries over store visits. The current crisis is affecting the brand and
category preferences, shopping behavior and spends. In the chaos created by the pandemic,
consumers are stocking up on kitchen supplies; hence the supermarkets and grocery stores are
experiencing spike in-store visits. With the consumers preferring home-cooked meals,
restaurants have seen a drop in visits.

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Consumers found difficulties in sourcing the food and grocery essentials. Consumers are
experiencing issues obtaining hand sanitizers and hand washing supplies. There has been a
shift in the behavior of the price-conscious customer now relying on promising brands and
high-quality products in the personal care category over the price.

According to Capgemini research of consumer sentiment, most of the Indian consumers’

appetite for online shopping is expected to increase in the current scenario to over the next six
to nine months in this crisis of Covid-19, even non-essential services/goods brands must engage
with customers by communicating on social media. The social relationship of customers with
the brands always have impacted the consumer purchase decisions.

CONSUMER BEHAVIOUR

Consumer behavior is the study of how individual customers, groups or organizations select,
buy, use, and dispose ideas, goods, and services to satisfy their needs and wants. It refers to the
actions of the consumers in the marketplace and the underlying motives for those actions.
Marketers expect that by understanding what causes the consumers to buy particular goods and
services, they will be able to determine—which products are needed in the marketplace, which
are obsolete, and how best to present the goods to the consumers.

The study of consumer behaviour assumes that the consumers are actors in the marketplace.
The perspective of role theory assumes that consumers play various roles in the marketplace.
Starting from the information provider, from the user to the payer and to the disposer,
consumers play these roles in the decision process.
The roles also vary in different consumption situations; for example, a mother plays the role of
an influencer in a child’s purchase process, whereas she plays the role of a disposer for the
products consumed by the family.

Some selected definitions of consumer behaviour are as follows:

1. According to Engel, Blackwell, and Mansard, ‘consumer behaviour is the actions and
decision processes of people who purchase goods and services for personal
consumption’.

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 2. According to Louden and Bitta, ‘consumer behaviour is the decision process and
physical activity, which individuals engage in when evaluating, acquiring, using or
disposing of goods and services.

NATURE OF CONSUMER BEHAVIOUR:

1. Influenced by various factors:

The various factors that influence the consumer behaviour are as follows:
• Marketing factors such as product design, price, promotion, packaging, positioning and
dis-tribution.
• Personal factors such as age, gender, education and income level.
• Psychological factors such as buying motives, perception of the product and attitudes
towards the product.
• Situational factors such as physical surroundings at the time of purchase, social
surroundings and time factor.
• Social factors such as social status, reference groups and family.
• Cultural factors, such as religion, social class—caste and sub-castes.

2. Undergoes a constant change:

Consumer behaviour is not static. It undergoes a change over a period of time depending on
the nature of products. For example, kids prefer colourful and fancy footwear, but as they grow
up as teenagers and young adults, they prefer trendy footwear, and as middle-aged and senior
citizens they prefer more sober footwear. The change in buying behaviour may take place due
to several other factors such as increase in income level, education level and marketing factors.

3. Varies from consumer to consumer:

All consumers do not behave in the same manner. Differ-ent consumers behave differently.
The differences in consumer behaviour are due to individual factors such as the nature of the
consumers, lifestyle and culture. For example, some consumers are technoholics. They go on
a shopping and spend beyond their means.

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They borrow money from friends, relatives, banks, and at times even adopt unethical means to
spend on shopping of advance technologies. But there are other consumers who, despite having
surplus money, do not go even for the regular purchases and avoid use and purchase of advance
technologies.

4. Varies from region to region and country to county:

The consumer behaviour varies across states, regions and countries. For example, the behaviour
of the urban consumers is different from that of the rural consumers. A good number of rural
consumers are conservative in their buying behaviours.

The rich rural consumers may think twice to spend on luxuries despite hav-ing sufficient funds,
whereas the urban consumers may even take bank loans to buy luxury items such as cars and
household appliances. The consumer behaviour may also varies across the states, regions and
countries. It may differ depending on the upbringing, lifestyles and level of development.

5. Information on consumer behaviour is important to the marketers:

Marketers need to have a good knowledge of the consumer behaviour. They need to study the
various factors that influence the consumer behaviour of their target customers.

The knowledge of consumer behaviour enables them to take appropriate marketing decisions
in respect of the following factors:

a. Product design/model

b. Pricing of the product

c. Promotion of the product

d. Packaging

e. Positioning

f. Place of distribution

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6. Leads to purchase decision:

A positive consumer behaviour leads to a purchase decision. A consumer may take the decision
of buying a product on the basis of different buying motives. The purchase decision leads to
higher demand, and the sales of the marketers increase. Therefore, marketers need to influence
consumer behaviour to increase their purchases.

7. Varies from product to product:

Consumer behaviour is different for different products. There are some consumers who may
buy more quantity of certain items and very low or no quantity of other items. For example,
teenagers may spend heavily on products such as cell phones and branded wears for snob
appeal, but may not spend on general and academic reading. A middle- aged person may spend
less on clothing, but may invest money in savings, insurance schemes, pension schemes, and
so on.

8. Improves standard of living:

The buying behaviour of the consumers may lead to higher stan-dard of living. The more a
person buys the goods and services, the higher is the standard of living. But if a person spends
less on goods and services, despite having a good income, they deprive themselves of higher
standard of living.

9. Reflects status:

The consumer behaviour is not only influenced by the status of a consumer, but it also reflects
it. The consumers who own luxury cars, watches and other items are considered belonging to
a higher status. The luxury items also give a sense of pride to the owners.

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FACTORS AFFECTING CONSUMER BUYING BEHAVIOUR

Consumer behavior is influenced by many different factors. A marketer should try to

understand the factors that influence consumer behavior. Here are 5 major factors that influence
consumer behavior:

1. PSYCHOLOGICAL FACTORS

Human psychology is a major determinant of consumer behavior. These factors are difficult to
measure but are powerful enough to influence a buying decision.
Some of the important psychological factors are:

i. Motivation

When a person is motivated enough, it influences the buying behaviour of the person. A person
has many needs such as the social needs, basic needs, security needs, esteem needs and self-
actualization needs. Out of all these needs, the basic needs and security needs take a position
above all other needs. Hence basic needs and security needs have the power to motivate a
consumer to buy products and services.

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ii. Perception

Consumer perception is a major factor that influences consumer behavior. Customer perception
is a process where a customer collects information about a product and interprets the
information to make a meaningful image about a particular product. When a customer sees
advertisements, promotions, customer reviews, social media feedback, etc. relating to a
product, they develop an impression about the product. Hence consumer perception becomes
a great influence on the buying decision of consumers.

iii. Learning

When a person buys a product, he/she gets to learn something more about the product. Learning
comes over a period of time through experience. A consumer’s learning depends on skills and
knowledge. While a skill can be gained through practice, knowledge can be acquired only
through experience. Learning can be either conditional or cognitive. In conditional learning the
consumer is exposed to a situation repeatedly, thereby making a consumer to develop a
response towards it. Whereas in cognitive learning, the consumer will apply his knowledge and
skills to find satisfaction and a solution from the product that he buys.

iv. Attitudes and Beliefs

Consumers have certain attitude and beliefs which influence the buying decisions of a
consumer. Based on this attitude, the consumer behaves in a particular way towards a product.
This attitude plays a significant role in defining the brand image of a product. Hence, the
marketers try hard to understand the attitude of a consumer to design their marketing
campaigns.

2. SOCIAL FACTORS

Humans are social beings and they live around many people who influence their buying
behavior. Human try to imitate other humans and also wish to be socially accepted in the
society. Hence their buying behavior is influenced by other people around them. These factors
are considered as social factors. Some of the social factors are:
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i. Family

Family plays a significant role in shaping the buying behavior of a person. A person develops
preferences from his childhood by watching family buy products and continues to buy the same
products even when they grow up.

ii. Reference Groups

Reference group is a group of people with whom a person associates himself. Generally, all
the people in the reference group have common buying behavior and influence each other.

iii. Roles and status

A person is influenced by the role that he holds in the society. If a person is in a high position,
his buying behavior will be influenced largely by his status. A person who is a Chief Executive
Officer in a company will buy according to his status while a staff or an employee of the same
company will have different buying pattern.

3. CULTURAL FACTORS

A group of people are associated with a set of values and ideologies that belong to a particular
community. When a person comes from a particular community, his/her behavior is highly
influenced by the culture relating to that particular community. Some of the cultural factors
are:

i. Culture

Cultural Factors have strong influence on consumer buyer behavior. Cultural Factors include
the basic values, needs, wants, preferences, perceptions, and behaviors that are observed and
learned by a consumer from their near family members and other important people around
them.

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ii. Subculture

Within a cultural group, there exists many subcultures. These subcultural groups share the same
set of beliefs and values. Subcultures can consist of people from different religion, caste,
geographies and nationalities. These subcultures by itself form a customer segment.

iii. Social Class

Each and every society across the globe has form of social class. The social class is not just
determined by the income, but also other factors such as the occupation, family background,
education and residence location. Social class is important to predict the consumer behavior.

4. PERSONAL FACTORS

Factors that are personal to the consumers influence their buying behavior. These personal
factors differ from person to person, thereby producing different perceptions and consumer
behavior.

Some of the personal factors are:

i. Age

Age is a major factor that influences buying behavior. The buying choices of youth differ from
that of middle-aged people. Elderly people have a totally different buying behavior. Teenagers
will be more interested in buying colorful clothes and beauty products. Middle-aged are
focused on house, property and vehicle for the family.

ii. Income

Income has the ability to influence the buying behavior of a person. Higher income gives higher
purchasing power to consumers. When a consumer has higher disposable income, it gives more
opportunity for the consumer to spend on luxurious products. Whereas low-income or middle-

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income group consumers spend most of their income on basic needs such as groceries and
clothes.

iii. Occupation

Occupation of a consumer influences the buying behavior. A person tends to buy things that
are appropriate to this/her profession. For example, a doctor would buy clothes according to
this profession while a professor will have different buying pattern.

iv. Lifestyle

Lifestyle is an attitude, and a way in which an individual stay in the society. The buying
behavior is highly influenced by the lifestyle of a consumer. For example when a consumer
leads a healthy lifestyle, then the products he buys will relate to healthy alternatives to junk
food.

5. ECONOMIC FACTORS

The consumer buying habits and decisions greatly depend on the economic situation of a
country or a market. When a nation is prosperous, the economy is strong, which leads to the
greater money supply in the market and higher purchasing power for consumers. When
consumers experience a positive economic environment, they are more confident to spend on
buying products. Whereas, a weak economy reflects a struggling market that is impacted by
unemployment and lower purchasing power.

Economic factors bear a significant influence on the buying decision of a consumer. Some of
the important economic factors are:

i. Personal Income

When a person has a higher disposable income, the purchasing power increases simultaneously.
Disposable income refers to the money that is left after spending towards the basic needs of a
person. When there is an increase in disposable income, it leads to higher expenditure on

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various items. But when the disposable income reduces, parallelly the spending on multiple
items also reduced.

ii. Family Income

Family income is the total income from all the members of a family. When more people are
earning in the family, there is more income available for shopping basic needs and luxuries.
Higher family income influences the people in the family to buy more. When there is a surplus
income available for the family, the tendency is to buy more luxury items which otherwise a
person might not have been able to buy.

iii. Consumer Credit

When a consumer is offered easy credit to purchase goods, it promotes higher spending. Sellers
are making it easy for the consumers to avail credit in the form of credit cards, easy
installments, bank loans, hire purchase, and many such other credit options. When there is
higher credit available to consumers, the purchase of comfort and luxury items increases.

iv. Liquid Assets

Consumers who have liquid assets tend to spend more on comfort and luxuries. Liquid assets
are those assets, which can be converted into cash very easily. Cash in hand, bank savings and
securities are some examples of liquid assets. When a consumer has higher liquid assets, it
gives him more confidence to buy luxury goods.

v. Savings

A consumer is highly influenced by the amount of savings he/she wishes to set aside from his
income. If a consumer decided to save more, then his expenditure on buying reduces. Whereas
if a consumer is interested in saving more, then most of his income will go towards buying
products.

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TYPES OF BUYING DECISION BEHAVIOUR

A consumer’s buying decision depends on the type of products that they need to buy. The
behavior of a consumer while buying a coffee is a lot different while buying a car.
Based on observations, it is clear that purchases that are more complex and expensive involve
higher deliberation and many more participants.

Consumer buying behavior is determined by the level of involvement that a consumer shows
towards a purchase decision. The amount of risk involved in a purchase also determines the
buying behavior. Higher priced goods tend to high higher risk, thereby seeking higher
involvement in buying decisions.

1. COMPLEX BUYING BEHAVIOR

Complex buying behavior is encountered particularly when consumers are buying an expensive
product. In this infrequent transaction, consumers are highly involved in the purchase decision.
Consumers will research thoroughly before committing to invest.

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Consumer behaves very different when buying an expensive product or a product that is
unfamiliar to him. When the risk of buying a product is very high, a consumer consults friends,
family and experts before making the decision.

For example, when a consumer is buying a car for the first time, it’s a big decision as it involves
high economic risk. There is a lot of thought on how it looks, how his friends and family will
react, how will his social status change after buying the car, and so on.
In complex buying behavior, the buyer will pass through a learning process. He will first
develop beliefs about the product, then attitudes, and then making a thoughtful purchase
choice.

For complex buying behavior customers, marketers should have a deep understanding of the
products. It is expected that they help the consumer to understand about their product. It is
important to create advertising message in a way that influences the buyer’s beliefs and
attitudes.

2. DISSONANCE-REDUCING BUYING BEHAVIOR

In dissonance-reducing buying behavior consumer involvement is very high. This might be due
to high price and infrequent purchase. In addition, there is a low availability of choices with
less significance differences among brands. In this type, a consumer buys a product that is
easily available.

Consumers will be forced to buy goods that do not have too many choices and therefore
consumers will be left with limited decision making. Based on the products available, time
limitation or the budget limitation, consumers buy certain products without a lot of research.

For example, a consumer who is looking for a new collapsible table that can be taken for a
camping, quickly decides on the product based on few brands available. The main criteria here
will be the use and the feature of the collapsible table and the budget available with him.

Marketers should run after-sale service camps that deliver focused messaging. These
campaigns should aim to support consumers and convince them to continue with their choice

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of their brand. These marketing campaigns should focus on building repeat purchases and
referrals by offering discounts and incentives.

3. HABITUAL BUYING BEHAVIOR

Habitual Buying Behavior is depicted when a consumer has low involvement in a purchase
decision. In this case the consumer is perceiving only a few significant differences between
brands.

When consumers are buying products that they use for their daily routine, they do not put a lot
of thought. They either buy their favorite brand or the one that they use regularly – or the one
available in the store or the one that costs the least.

For example, while a consumer buys a loaf of bread, he tends to buy the brand that he is familiar
with without actually putting a lot of research and time. Many products fit into this category.
Everyday use products, such as salt, sugar, biscuits, toilet paper, and black pepper all fit into
this product category.

Consumer just go for it and buy it – there is no brand loyalty. Consumers do not research or
need information regarding purchase of such products. Habitual buying behavior is influenced
by radio, television and print media. Moreover, consumers are buying based on brand
familiarity. Hence marketers must use repetitive advertisements to build brand familiarity.
Further to initiate product trial, marketers should use tactics like price drop promotions and
sales promotions.

Marketers should attract consumers using visual symbols and imagery in their advertising.
Consumers can easily remember visual advertisements and can associate with a brand.

4. VARIETY SEEKING BUYING BEHAVIOR

In variety seeking consumer behavior, consumer involvement is low. There are significant
differences between brands. Here consumers often do a lot of brand switching. The cost of
switching products is low, and hence consumers might want to try out new products just out of

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curiosity or boredom. Consumers here, generally buy different products not because of
dissatisfaction but mainly with an urge to seek variety.

For example, a consumer likes to buy a cookie and choose a brand without putting much
thought to it. Next time, the same consumer might may choose a different brand out of a wish
for a different taste. Brand switching occurs often and without intention.

Brands have to adopt different strategies for such type of consumer behavior. The market leader
will persuade habitual buying behavior by influencing the shelf space. The shelf will display a
large number of related but different product versions.

Marketers avoid out-of-stock conditions, sponsor frequent advertising, offer lower prices,
discounts, deals, coupons and free samples to attract consumers.

THE BUYER DECISION PROCESS

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1. NEED RECOGNITION

The buying decision process begins when a consumer realizes they have a need. They become
aware they have a problem they want to solve or a gap they want to fill. At this point, the
customer may or may not know what will solve their problem. They may only be aware that
they want to change their reality or situation. Or they may have an idea about what will help
them but are not quite sure which brand, product, service, or solution will provide the best
option.

Customer Examples: A consumer buying process example at this phase could be a college
freshman, Sarah, who has a computer that is starting to run slowly. She is getting ready to start
the semester and needs a computer that will efficiently help her with her assignments.
Or, it could be a project manager, Joe, who is tired of his team using an outdated method of
Excel spreadsheets for keeping track of their projects. He needs a new tool or system for project
management.

2. INFORMATION SEARCH

The next phase of the buying decision process begins when the customer starts looking for
information that will help them solve their problem. They know they need something to fix
their situation but aren’t sure which solution is best for them. The customer starts searching for
information that will help him or her better understand their situation and identify what will fix
their issues. At this point, the customer frequently turns to online research and conducts
searches to find solutions.

Customer Examples: Sarah, the college student may start seeking information to help resolve
her immediate problem, which is speeding up her computer. Depending on what she finds, she
may also begin searching for options for purchasing a new computer.
The project manager, Joe may start researching topics about improving project management
and may find multiple software solutions that could improve his processes.

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3. OPTION EVALUATION

Once the initial information search is complete, customers start reflecting on what they learned
or discovered. They begin to evaluate their options to determine which is the best solution for
their problem. Customers at this point in the buying decision process have a lot to consider.
They must determine what solution is the most trustworthy, affordable, highest quality, and
highest performing. They look for reasons to believe why one solution has more benefits than
the other.

Customer Examples: In this phase, Sarah might be making a comparison list of multiple
computers. The list may include prices, features, and reviews.
Joe is at the point where he is doing product demos to see which software best fits his needs.

4. PURCHASE DECISION

At this point of the buying decision process, the customer is ready to pull the trigger and make
a purchase. They have made their decision about which product, service, brand, or solution is
best for them, and they are ready to buy. The research and evaluation are over, so now the
customer just needs a clear pathway to purchase. For a brand to help customers through this
phase, you need to make it simple to buy. You also need to present additional reinforcements
(like great reviews, testimonials, discounts, etc.) that will lead to purchase and avoid negative
reinforcements (like bad reviews, additional expenses, barriers, etc.), which will cause
customers to turn away.

Customer Examples: Now that the college student, Sarah, has decided to buy, she is likely
eager to make the purchase and get her computer. She may, therefore, be more likely to buy
the computer if she gets free and expedited shipping.
Joe, the project manager may need final approval for making his purchase, but he will also be
eager to get going, so a free trial may be the way to get him through this phase.

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5. POST-PURCHASE EVALUATION

At the last step of the five-stage consumer decision-making process, the path to buying is
complete. The customer has made a purchase. But that doesn’t mean the customer journey is
complete. Now is the time when the customer reflects on whether they made the right decision.
The customer will consider if the solution accurately and fully meets their needs. They will
decide if it was worth the cost and if the brand delivered on their promises. They will feel either
satisfaction or buyer’s remorse. If it’s the former, the customer could come back to make
another purchase. But if it’s the latter, the customer could reject the brand, never make another
purchase, and even share their negative experience with others.

Examples: When Sarah makes it to this phase of her buying decision process, she is using the
computer and discovering what she likes and doesn’t like. Reading resources that show her
how to better utilize the computer could make her like it more.
Joe is going through a similar process. He is utilizing the tool, distributing it to his team, and
hearing feedback from his colleagues. Seeing articles about how this software has helped
people like him will likely improve his perception of the product.

1.2 OBJECTIVE OF THE STUDY

• To study the changes in buying behavior of consumers due to pandemic.
• To study the factors that are affecting consumers buying behavior in pandemic situation
arisen due to COVID-19.
• To analyze the influence of COVID-19 on the life style and product decisions of the
consumers.

1.3 SCOPE OF THE STUDY

• This study helps to find the factors that affect consumers buying behavior in pandemic.
• This study will help us to know the changes in customer preference towards particular
products.

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1.4 LIMITATION OF STUDY

In attempt to make this project authentic and reliable, every possible aspect of the topic was
kept in mind. Nevertheless, despite of fact constraints were at play during the formulation of
this project. The main limitations are as follows: -

• Due to limitation of time only few people were selected for the study. So, the sample
of respondents was not enough to generalize the findings of the study.

• The main source of data for the study was primary data with the help of self-
administered questionnaires. Hence, the chances of unbiased information are less.

• People were hesitant to disclose the true facts.

• The chance of biased response can’t be eliminated though all necessary steps were taken
to avoid the same.

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1.5 REVIEW OF LITERATURE
T.Narayana Rao and K.Ratnamadhuri (2018) both concluded that small differences exist in
the income level that implies the different groups prefer or opinion differs on consumer buying
behaviour. It created a curiosity to find out which group really differing on the opinions. Every
person plays multiple roles in their daily life, professional role or social role. Each of these
roles has a certain effect on consumers buying behaviour. Each role has a particular status in
society and consumer behaviour is considerably depended on the status factor. If marketers
understand the factors that mainly influence in buying decision the sales can be increased a lot.

Belch and Belch (2007) defines consumer behaviour as 'the process and activities people
engage in when searching for, selecting, purchasing, using, evaluating, and disposing of
products and services so as to satisfy their needs and desires. In other words, it reflects the
totality of consumer decisions with respect to acquisition, consumption and disposition of
goods, services, time and idea by (human) decision making units.

Gangal & Kumar (2013) signified that the shopping habits and the purchase patterns of the
Indian consumers have seen a drastic change in the past decade. Customer buying habits or
behavior patterns are not permanently fixed. Many factors are operating in combination to
change customer purchase behavior patterns.

According to Market research firm Euro monitor International report titled, ’Coronavirus
Effect on Indian FMCG Industries and Services’ report dated 20th April 2020this pandemic is
likely to result in a more permanent shift in consumers’ attitudes and shopping behaviour,
especially in urban areas, with increased usage of home and personal hygiene products and an
accelerated shift to digital purchases.

According to a survey conducted by National Retail Federation dated March 31, 2020 the
findings show consumer behaviour changes during Covid-19 that is 9 in 10 consumers have
changed their traditional shopping habits. Also, as per the survey more than 50% of consumers
have ordered products online that they would normally purchase at the store and 6 in 10
consumers say they are worried about going to the store due to fear of being infected.

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 CHAPTER 2
RESEARCH METHODOLOGY

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2.1 RESEARCH DESIGN
This study used Descriptive research which involved gathering data that describe event and
organizes, tabulates and describes and data collection.
• Identify the problem
• Review the Literature
• Clarify the problem
• Clearly defines terms and concepts
• Collection of Data
• Execution of projects
• Analysis of Data
• Drawing conclusions and recommendations

Type of research - Descriptive research

Data source - Primary and Secondary data.
Data collection method - Online Survey
Data collection tools - Questionnaires
Sample size - 200

2.2 SOURCES OF DATA COLLECTION

DATA COLLECTION

Information was collected from both Primary Data and Secondary Data.

PRIMARY SOURCES: Primary Data are those, which are collected afresh for the first time,
and thus happen to be original in character. In this study primary data was collected by
conducting surveys through Questionnaire.

SECONDARY SOURCES: Secondary data are those which have already been collected by
someone else and which already have been passed through the statistical processes. In this
study the secondary data has been collected through internet, research papers etc.

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2.3 DATA COLLECTION TOOLS AND TECHNIQUES
Online Survey is the technique and tools used for data collection. The survey is conducted by
sending the survey links on various social networking sites like Whatsapp, Facebook, LinkedIn
etc. and even emailing the survey to various customers. Questionnaire were made of multiple
choice questions so that respondents can choose from given choices. It was expected from the
respondents to answer the questions by their own knowledge.

2.4 SAMPLE SIZE

It represents that how many candidates you’ve chosen to be filled your questionnaire or
candidates upon whom you can study. In this study the sample size of 200 candidates is taken.

2.5 DATA ANALYSIS TECHNIQUE

The technique that was adopted to conduct the survey was Non probability convenience
Sampling technique.

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 CHAPTER 3
DATA ANALYSIS AND
INTERPRETATION

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3.1 DATA ANALYSIS AND INTERPRETATION

QUESTIONNAIRE

1. A) Classification of the survey on basis of the “AGE GROUP”

The survey results can be further more classified on the basis of the age group who have
responded to the given Questionnaire.

NUMBER OF PERCENTAGE OF
AGE IN YEARS RESPONDENTS RESPONDENTS

BELOW 20 4 2%

20-30 136 68%

30-40 42 21%

40 ABOVE 18 9%

AGE GROUP
9% 2%

21%

68%

Below 20 20-30 30-40 40 ABOVE

INTERPRETATION

Among 200 respondents 68% of respondents comes under the age group of 20-30 where as
21% are respondents belongs to the age group of 30-40. Only 9% are above the age of 40 and
2% are from below the age of 20.

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B) Classification of the survey on basis of the “GENDER”

NUMBER OF PERCENTAGE OF
GENDER RESPONDENTS RESPONDENTS

MALE 136 68%

FEMALE 64 32%

GENDER

FEMALE, 32%

MALE, 68%

MALE FEMALE

INTERPRETATION

From the above data 68% are Male respondents and 32% are female respondents. So it can be
concluded that majority are male respondents.

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2. HOW OFTEN DID YOU BUY GOODS DURING PANDEMIC THAN
BEFORE?

RESPONSE TOTAL TOTAL

NUMBER PERCENTAGE
WHEN NEEDED 78 39%
WEEKLY 64 32%
TWICE A WEEK 32 16%
ONCE A MONTH 22 11%
NOT SURE 4 2%

BUYING GOODS DURING PANDEMIC THAN BEFORE

45%

40%

35%

30%

25%

20%

15%

10%

5%

0%
When needed Weekly Twice a week Once a Month Not Sure
TOTAL 39% 32% 16% 11% 2%

INTERPRETATION

Above diagram shows that 39% of the respondents bought goods when needed during
pandemic than before and 32% bought weekly followed by 16% twice a week and 11% once a
month and 2% of the respondents were not sure.

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3. HAS YOUR FREQUENCY IN BUYING GOODS INCREASED OR
DECREASED DURING PANDEMIC THAN BEFORE ?

RESPONSE TOTAL TOTAL

NUMBER PERCENTAGE
INCREASED 90 45%
DECREASED 110 55%

FREQUENCY IN BUYING GOOD DURING PANDEMIC

THAN BEFORE

45%

55%

increased decreased

INTERPRETATION

From the above data it can be observed that 45% of the respondents responded that frequency
in buying goods during the pandemic than before has increased and 55% of the respondents
responded that frequency in buying goods during the pandemic than before has decreased.

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4. WHICH MODE OF SHOPPING YOU MOSTLY PREFERRED
DURING THE PANDEMIC?

RESPONSE TOTAL TOTAL

NUMBER PERCENTAGE

OFFLINE 85 42.5%

ONLINE 115 57.5%

MODE OF SHOPPING MOSTLY PREFERRED

70.00%

60.00% 57.50%

50.00%
42.50%
40.00%

30.00%

20.00%

10.00%

0.00%
OFFLINE ONLINE

INTERPRETATION

As figure shows that majority of respondents preferred shopping through online mode during
pandemic was 57.50% and respondents who preferred shopping through offline mode during
pandemic was 42.50%

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5. DID SHORTAGE OF GOODS AND HIKED PRICES IMPACT YOUR
PURCHASE DECISION?

RESPONSE TOTAL TOTAL

NUMBER PERCENTAGE

YES 135 67.5%

NO 26 13%

MAY BE 39 19.5%

IMPACT ON PURCHASE DECISION DUE TO HIKED

PRICES AND SHORTAGE OF GOODS

19.5%

13%

67.5%

YES NO MAY BE

INTERPRETATION

The figures shows that 67.5% of the consumers are agree that their purchase decision was
impacted by hiked prices and shortage of goods. Where as 13% responded that their purchase
decision was not impacted by hiked prices and shortage of goods. 19.5% of respondents were
not sure about impact on purchase decision due to hiked prices and shortage of goods.

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6. HAVE YOU PURCHASED ANY LUXURY PRODUCTS DURING
THE PANDEMIC?

RESPONSE TOTAL TOTAL

NUMBER PERCENTAGE
YES 15 7.5%
NO 185 92.5%

PURCHASED ANY LUXURY PRODUCTS DURING THE

PANDEMIC
YES, 7.5%

NO, 92.5%

INTERPRETATION

From the above data it can be observed that 92.5% of the respondents responded that they have
not purchased any luxury goods during the pandemic and 7.5% of the respondents responded
that they have purchased any luxury goods during the pandemic.

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7. HAS PANDEMIC CHANGED YOUR PREFERENCE IN BUYING A
PARTICULAR PRODUCT THAN BEFORE?

RESPONSE TOTAL TOTAL

NUMBER PERCENTAGE
YES 125 62.5%

NO 69 34.5%

MAY BE 6 3%

CHANGED PREFERENCE IN BUYING A PARTICULAR

PRODUCT THAN BEFORE

3.0%

34.5%

62.5%

YES NO MAY BE

INTERPRETATION

The above graph shows that 62.5% of respondents have changed their changed preference in
buying a particular product than before and 34.5% have not changed their changed preference
in buying a particular product than before in pandemic. 3% of respondents are not sure about
their changed preference in buying a particular product than before.

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 8. WHAT FACTORS DID YOU CONSIDER WHILE BUYING GOODS
IN PANDEMIC?

FACTORS TOTAL TOTAL

NUMBER PERCENTAGE
PRICE 154 27.20%
QUALITY 94 16.60%
HYGIENE 101 17.80%
AVAILABILITY OF GOODS 123 21.70%
BRAND VALUE 64 11.30%
DISCOUNTS 30 5.30%

FACTORS CONSIDERED WHILE BUYING GOODS IN

30.00%
27.20%
PANDEMIC
25.00%
21.70%

20.00% 17.80%
16.60%
15.00%
11.30%
10.00%

5.30%
5.00%

0.00%
Price quality hygiene availability of brand value discounts
goods

INTERPRETATION

Figures shows that majority of respondents 27.20% consider Price as a major factor while
buying goods in pandemic followed by availability of goods with 21.70%. The other factors
considered while buying goods in pandemic are hygiene with 17.80% and quality of goods
with 16.60%. While brand value with 11.30% and discounts with 5.30% are the least
considered factors while buying goods in pandemic.

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9. WHAT WAS YOUR SATISFACTION LEVEL WITH THE PURCHASE
DECISION YOU MADE DURING PANDEMIC?
SATISFACTION LEVEL TOTAL TOTAL
NUMBER PERCENTAGE

VERY SATISFIED 19 9.5%

SATISFIED 25 12.5%

NEUTRAL 80 40%

DISSATISFIED 24 12%

VERY DISSATISFIED 52 26%

SATISFACTION LEVEL WITH THE PURCHASE DECISION

YOU MADE DURING PANDEMIC

VERY DISSATISFIED 26.0%

DISSATISFIED 12.0%

NEUTRAL 40.0%

SATISFIED 12.5%

VERY SATISFIED 9.5%

0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% 40.0% 45.0%

INTERPRETATION

The majority of the 40% of respondents were neutral with the satisfaction level to purchase
decision made during pandemic and 26% of respondents were very dissatisfied and 12% were
dissatisfied with the purchase decision. 12.5% of the respondents were only satisfied and 9.5%
of respondents were very satisfied with the purchase decision made during the pandemic.

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10. WERE YOU LOYAL TO THE BRAND WHILE PURCHASING A
PRODUCT DURING PANDEMIC?

RESPONSE TOTAL TOTAL

NUMBER PERCENTAGE
YES 45 22.5%
NO 155 77.5%

FREQUENCY IN BUYING GOOD DURING PANDEMIC

THAN BEFORE

22.5%

77.5%

NO YES

INTERPRETATION

From the above data it can be observed that 77.5% of the respondents responded that they were
not brand loyal in buying goods during the pandemic. 22.5% of the respondents responded that
that they were brand loyal in buying goods during the pandemic.

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 CHAPTER 4
CONCLUSION AND
SUGGESTIONS

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4.1 FINDINGS

• 39% of the respondents bought goods when needed during pandemic than before and
32% bought weekly followed by 16% twice a week and 11% once a month.
• 45% of the respondents responded that frequency in buying goods during the pandemic
than before has decreased and 45% of the respondents responded that frequency in
buying goods during the pandemic than before has increased.
• 57.50% of respondents preferred shopping through online mode during pandemic and
respondents who preferred shopping through offline mode during pandemic was
42.50%.
• 67.5% of the consumers are agree that their purchase decision was impacted by hiked
prices and shortage of goods. Whereas 13% responded that their purchase decision was
not impacted by hiked prices and shortage of goods. 19.5% of respondents were not
sure.
• 92.5% of the respondents responded that they have not purchased any luxury goods
during the pandemic and 7.5% of the respondents responded that they have purchased
any luxury goods during the pandemic
• 62.5% of respondents have changed their changed preference in buying a particular
product than before and 34.5% have not changed their changed preference in buying a
particular product than before in pandemic. 3% of respondents are not sure.
• 27.20% of respondents consider price as a major factor while buying goods in pandemic
followed by availability of goods with 21.70%. The other factors considered while
buying goods in pandemic are hygiene with 17.80% and quality of goods with 16.60%.
• 40% of respondents were neutral with the satisfaction level to purchase decision made
during pandemic and 26% of respondents were very dissatisfied and 12% were
dissatisfied with the purchase decision.
• 77.5% of the respondents responded that they were not brand loyal in buying goods
during the pandemic. 22.5% of the respondents responded that that they were brand
loyal in buying goods during the pandemic.

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4.2 SUGGESTIONS AND RECOMMENDATIONS

• It is suggested that there should be more promotion of online shopping habits among
the consumers to avoid the effect of COVID-19 disease.
• It is suggested that appropriate measures should be taken by the consumers while
purchasing essentials like grocery items, vegetables, milk and medicine. More alert
about consuming services of banks, post offices and transportation.
• It is suggested to take aggressive steps by the administration against black marketing,
adulteration of food stuff, sale of forbidden goods, charging extra prices of goods and
fabrication of weights and measures for protection of rights of the consumers.
• It is high time to give an attention towards proper diet taken by the consumers to
enhance the level of immunity power to maintain physical and mental health.
• There should be strong financial and food security schemes to the unorganized
employees in different sectors for safeguard poor consumers.
• Government and public should take care of homeless people and beggars and provide
them shelter and food during nationwide lockdown.
• Consumers should not rely on rumors which creates hesitation in the market.
• It is strongly recommended that consumers required keeping social distancing while
entering for purchase of goods in the market.

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4.3 CONCLUSION

• The COVID-19 pandemic is assumed to have affected consumer behavior worldwide,

impacting local and global economies. Studies have shown that consumer behavior has
changed in response to the pandemic. Thus, many companies are innovating to adapt to
the new circumstances. Notably, technology has become more influential in the daily
lives of consumers and businesses as most of them are moving online.

• Studies show that COVID-19 has negatively impacted worldwide economies,

disrupting both supply chains and sales channels. People are living differently, buying
differently and in many ways, thinking differently. Consumers across the globe are
looking at products and brands through a new lens.

• Result of a survey conducted showed that, most of the respondents strongly agree
COVID-19 impact on buying behavior and the majority of the respondents spending
the money only essential goods and not on any luxury during COVID-19 and changed
their brand preferences, most of the respondents prefer to use online shopping mode for
purchasing goods. We can conclude that the pandemic has impacted the consumer
buying behavior.

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4.4 LEARNING EXPERIENCE
• The project helped me think proactively on a topic of interest.
• Challenges of consumers while purchasing
• Negative aspects on consumers and retailers and overall, the market condition
• Understanding the perceptions of consumers while buying goods and changed buying
behavior in pandemic.

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BIBLIOGRAPHY

• 1. Kaveh Peighambari et.al (2016), “Consumer Behaviour Research: A Synthesis of the

Recent Literature”, Sage Publication, pp 1-9 2.
• T.Narayana Rao and K.Ratnamadhuri (2018), “Digital Marketing Communication and
Consumer Buying Decision Process: An Empirical Study in the Indian Passenger Bike
Market”, International Journal of Management, Technology And Engineering, Volume
8, Issue XII, pp 3092-3107
• 3. Ankur Kumar Rastogi (2010), “A Study of Indian Online Consumers & their Buying
Behaviour’’, International Research Journal, Vol I, Issue 10, pp 80-82
• 4. Manu Nanda et al. (2019) “Consumer Buying Behaviour in Computer Peripherals
Brick & Mortar Stores in India”, International Journal of Recent Technology and
Engineering, Volume-7, Issue-6S3, pp 1531-1542
• 5. Lia van der Hoek et al. (2004) “Identification of a novel human coronavirus”, Nature
Medicine, Vol. 10, Number 4, pp 368-373
• 6. Chaolin Huang (2020) et al. (2020) “Clinical features of patients infected with 2019
novel coronavirus in Wuhan, China” Lancet, Published Online, pp 497–506,
doi.org/10.1016/ S0140-6736(20)30183-5
• https://www.researchgate.net/publication/345507104_Impact_of_COVID-
19_on_consumer_buying_behavior_toward_online_shopping
• https://www.academia.edu/44345024/Effects_of_Covid_19_on_consumer_behavior_
Ecuador_case
• https://www.researchgate.net/publication/342720024_A_STUDY_ON_CORONAVI
RUS_COVID19_IMPACT_OF_CONSUMER_BUYING_BEHAVIOR_WITH_SPE
CIAL_REFERENCE_TO_CHENNAI_CITY
• https://www.researchgate.net/publication/343153169_Impact_of_COVID-
19_on_Consumer_Behavior_in_India

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ANNEXURE

QUESTIONNAIRE

1. Personal Details:
(a) Name:
(b) Age

a. 15-20 b. 20-25

c. 25-30 d. Above 30

(c) Gender

a. Male b. Female

2. How often did you buy goods during pandemic than before?

When needed Weekly Twice a week

Once a Month Not Sure

3. Has your frequency in buying goods increased or decreased during pandemic than
before?

Increased Decreased

4. Which mode of shopping you mostly preferred during the pandemic?

Online Offline

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5 Did shortage of goods and hiked prices impact your purchase decision?

Yes No May Be

6. Have you purchased any luxury products during the pandemic?

Yes No

7. What factors did you consider while buying goods in pandemic?

Price Quality

Hygiene Availability of goods

Brand Value Discounts

8. Has pandemic changed your preference in buying a particular product than before?

Yes No May be

9. What was your satisfaction level with the purchase decision you made during
pandemic?

Very Satisfied Satisfied Neutral

Dissatisfied Very Dissatisfied

10. Were you loyal to the brand while purchasing a product during pandemic?

Yes No

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