A STUDY ON THE CHANGES IN CONSUMER BEHAVIOUR DURING

COVID-19

PROJECT REPORT

BACHELOR OF COMMERCE
UNIVERSITY OF CALICUT

Submitted By
P GAYATHRI
Registration no: THAUBCM 188
GROUP 5

Under the guidance of

Ms. LINNI WILSON
ASSISTANT PROFESSOR

DEPARTMENT OF COMMERCE
ST. THOMAS’ COLLEGE (AUTONOMOUS), THRISSUR
2020-2023
7
 DEPARTMENT OF COMMERCE
ST. THOMAS’ COLLEGE (AUTONOMOUS), THRISSUR
(Affiliated to the University of Calicut)
(Nationally reaccredited with A Grade)

CERTIFICATE

This is to certify that the project titled “A STUDY ON THE CHANGES IN

CONSUMER BEHAVIOUR DURING COVID-19” is a record of work done by
P GAYATHRI (THAUBCM188), First semester B.Com student of St. Thomas’
college, submitted in partial fulfillment for the requirement for the award bachelor
degree in commerce of Calicut University.

Date: Mr. Jophy T J Mrs.Linni Wilson

Place :Thrissur Head of the department AssistantProfessor
Department of Commerce (ProjectGuide)
Jubilee Block
 DEPARTMENT OF COMMERCE
ST. THOMAS’ COLLEGE (AUTONOMOUS), THRISSUR
(Affiliated to the University of Calicut)
(Nationally reaccredited with A Grad)

CERTIFICATE OF ORIGINALITY

This is to certify that the project titled “A STUDY ON THE CHANGES IN

CONSUMER BEHAVIOUR DURING COVID-19” is an original record of
work done by P GAYATHRI (THAUBCM188), First semester B.Com student of
St.Thomas’college.

Date: Mrs.LinniWilson
Place:ThrissurAssistantProfessor
(ProjectGuide)
 DECLARATION

I,P GAYATHRI (THAUBCM188) do here by declare that this project entitled

“CHANGES IN CONSUMER BEHAVIOURDURING COVID -19 ”is an
authentic and original record of the work done by me under the guidance and
supervision of Asst.Prof. Linni Wilson, St.Thomas’College (Autonomous) Jubilee
Block, Thrissur.

PLACE: Thrissur P GAYATHRI

DATE:

ACKNOWLEDGEMENT
We are glad to present this project report as a part of our curriculum. We take this
opportunity to express our gratitude to those who helped us in bringing out the
project.

Firstly, we would like to thank God, the almighty for the immense blessingand
guidance through theproject.

We would like to express our sincere gratitude to Principal Dr. K.L. Joy of
St.Thomas College (Autonomous), Thrissur who have given us an opportunity to
conduct this project. Then we would like to thank Vice Principals Rev.Dr.Fr.
Martin Kolambrath, Dr.Joby Thomas K, Dr.Sr.Alphonsa Mathew. We also
express our sincere gratitude to Executive Manager Rev.Fr.VargheseKuthurand
we also express our gratitude to Mr. Jophy T J (HOD - Department of
Commerce) for his utmost support and suggestion for ourproject.

And we express our heartfelt gratitude to our guide, Ms. Linni Wilson for the
valuable comments and suggestions that enabled us to complete thisproject.

Finally, we would like to thank our parents and all our friends who helped and
encouraged us for the successful completion of this project.

INDEX
SL. PAGE
NO CONTENT NO.

1 CHAPTER 1 :INTRODUCTION 1-4

2 CHAPTER 2:REVIEW OF LITERATURE 5-7

3 CHAPTER 3:THEORETICAL FRAMEWORK 8-11

4 CHAPTER4:DATA ANALYSIS 12-22

5 CHAPTER5:FINDINGS,SUGGESTIONS,CON 23-26
CLUSION
6 BIBLIOGRAPHY 27

7 APPENDIX 28-29
 CHAPTER-1

INTRODUCTION

1.1 INTRODUCTION

1
It started in late 2019 with reports of a new virus in China. The Chinese authorities
informed the World Health Organization (WHO) about several cases of a
mysterious lung disease in Wuhan, the capital of central China's Hubei province.
Several of the patients worked on a “wet market”. The WHO categorized this new
disease as the coronavirus disease (COVID-19), which comes along with a virus.
Diseases accompany people and cause a spread from city to city through flight
connections, very quickly, leading to a global pandemic.

In order to counteract the expansion of the Coronavirus, schools and universities

were closed in many countries around the globe, events were cancelled and
retailers that did not sell essential products had to close, while supermarkets
remained open. Changes were introduced in most countries quite quickly and
drastically, however, countries across the globe have taken different measures such
as quarantine rules, curfews, and border closures. The pandemic outbreak and its
following consequences have led to changes in consumer behavior.

The new consumer behaviors span all areas of life, from how we work to how we
shop to how we entertain ourselves. These rapid shifts have important implications
for retailers and ‘consumer-packaged-goods companies. Many of the longer-term
changes in consumer behavior are still being formed, giving companies an
opportunity to help shape the Next Normal.

Consumers are deeply concerned about the impact of COVID-19, both from a
health and economic perspective. People are responding in a variety of ways and
have differing attitudes, behaviours and purchasing habits. Some feel anxious and
worried, fuelling panic-buying of staples and hygiene products. At the other
extreme, some consumers remain indifferent to the pandemic and are

2
continuingtheir business as usual, despite recommendations from government and
health professionals.

The present study is undertaken to study the impact of Covid-19 on consumer

behavior in India as well as to know the impact of it on the businesses in the
country.

1.2STATEMENT OF PROBLEM

The Covid-19 pandemic and the unprecedented lockdown induced by it has

brought about some phenomenal behavioral changes in our lifestyle. To start with,
we no longer venture out of our homes without a mask on face and sanitizer in
pocket. Over the past few months, we have spent most of our time inside our
homes and markets have remained closed for the longest period at a stretch. This
has also impacted our preferences with regard to shopping. We no longer have the
leisure to throng the marketplaces and malls at our will and indulge in a shopping
spree. In fact, the new consumer behaviors span all areas of life, from how we shop
to how we work and how we entertain ourselves. As online shopping is a new
medium so the consumer behavior in the field of online shopping In order to gain
competitive edge in the market, marketers need to know the consumer behavior in
the field of online shopping. So it is important to analyze and identify the factors
which influence consumers to shop online in order to capture the demands of
consumers.

1.3 OBJECTIVE

1. To identify the challenges faced by the consumers due to COVID -19.

2. To identity the customer behaviour towards online shopping.

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1.4RESEARCH METHODOLOGY
1.4.1 SOURCE OF DATA
The study depends on primary data. It was collected by Issuing structured
questionnaires
1.4.2SAMPLING T ECHNIQUE
The sampling technique adopted for this study is random sampling. The total
sample size is 50 and the respondents were selected through a random sampling
method. Questionnaires were used to collect primary data from respondents.
1.4.3SAMPLE SIZE
This study has a sample of 50 respondents, which is selected at random to know
the online shopping preference towards consumers.
1.4.4TOOLS FOR STUDY
Questionnaires were issued to collect primary data.
1.4.5TOOLS FOR ANANLYSIS
• Bar diagram
• Pie chart

1.4.6PERIOD OF STUDY
The period of study is 21 days on a sample of 50 respondents.
1.5LIMITATIONS OF STUDY
• The period of study was limited to 21 days.
• Some respondents were not truthful while answering the questionnaires.
• The findings of study cannot be used in the long run, because customer
perception deviates frequently.

4
 CHAPTER- 2
REVIEW OF LITERATURE

5
2.1 REVIEW

1. At early stage, consumers were not more serious about the situation created
by COVID-19. Government of India has taken preventative measures and
news media uplift the issue of awareness. 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.

2. Ankur Kumar Rastogi (2010)3 pointed that online shopping is having very
bright future in India. Perception towards online shopping is getting better in
India. With the use of internet, consumers can shop anywhere, anything and
anytime with easy and safe payment options. Consumers can do comparison
shopping between products, as well as, online stores.

3. Peighambari et al. 1 (2016) they analysed 12 years of scholarly research on

consumer behaviour published in the five leading international journals in
this field. The results presented in this article suggest many implications for
the consumer behaviour research community, researchers, journal editors,
6
 and reviewers, as well as for the practitioners. In this regard, this article not
only serves to evaluate the structure and evolution of the literature in
consumer behaviour field but also presents some assumptions about further
developments in this literature

2.2 REFERENCES

1. IMPACT OF COVID-19 PANDEMIC ON CONSUMER BEHAVIOUR

Bharat Patil1*, Nerita Patil2 1Matoshri BayabaiShripatraoKadam,
KanyaMahavidyalaya, Kadegaon, Sangli, (MS), India 2Bharati Vidyapeeth
Dental College and Hospital, Sangli, (MS), India
2. Ankur Kumar Rastogi (2010), “A Study of Indian Online Consumers & their
Buying Behaviour’’, International Research Journal, Vol I, Issue 10, pp 80-
82
3. KavehPeighambari et.al (2016), “Consumer Behaviour Research: A
Synthesis of the Recent Literature”, Sage Publication, pp 1-9

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 CHAPTER - 3

THEORETICALFRAMEWORK

8
3.1 CONSUMER BEHAVIOUR

Consumer behaviour is the study of individuals, groups, or organizations and all

the activities associated with the purchase, use and disposal of goods and services,
and how the consumer's emotions, attitudes and preferences affect buying
behaviour.

3.2 CONSUMERS PRESENT SITUATIONS DURING THEPANDEMIC

SITUATION

• 90% of consumers are making lasting changes to how they live, work and
shop – signalling a need for consumer brands to embrace new approaches
for the long-term rather than wait to return to pre-pandemic strategies.
• As many as 85% of consumers in India said that they are shopping more
health-consciously and are focusing more on limiting food waste. Personal
hygiene habits are also seeing a dramatic change with 48% of consumers
increasing purchases of personal hygiene products while cutting down on
discretionary products.
• In addition, 75% of consumers said they are being more cost-conscious
when shopping for products and 71% feel that quality, safety and trust are
the most considered brand attributes in purchase decisions.
• Brands will need to explore ways to rebuild consumer confidence frayed by
the pandemic – proof of good hygiene and safety is becoming a key part of
a brand’s ability to retain shoppers’ trust.
• As consumers make more socially and environmentally sustainable and
healthy choices, consumer goods companies must tailor their offerings
accordingly and refresh their brand promise to meet these new
requirements.
9
 • Interestingly, 74% of Indian consumers are buying locally sourced products,
while nearly 80% of those surveyed want to shop at neighbourhood stores.

3.3 INDUSTRIES WITNESSING RISE IN DEMAND DUE TO COVID -19

1. Food Delivery

There has been a surge in demand for home food delivery with more and more
people staying indoors and practicing social distancing. Delivery services like
Deliveroo, Postmates and UberEats are all experiencing increased demand for their
services and have taken steps like offering contactless delivery to protect
customers and delivery drivers. This trend towards contactless delivery has created
a unique opportunity for delivery robot companies to put their technology to the
test. Driverless delivery startupNeolix Technologies recently announced it has
raised nearly $28.7 million to mass produce its self-driving vehicles.

2. Hand Sanitizer
The crisis has created a sudden demand for hand sanitizer among businesses,
hospitals, and personal consumers. The shortage has led many businesses to shift
their operations quickly to meet the demand; in Ireland, a number of alcohol
distilleries switched to producing hand sanitizer in a matter of weeks.

3. Social Media
More people are engaging with social media platforms like Twitter, Facebook and
Instagram in order to stay in contact with friends and family while in self-isolation.
Popular video sharing app TikTok has seen an uptake in users as people use it to
vent and share their experiences of how Covid19 has impacted their lives.

10
4. Online shopping apps
There has been more than 10 per cent growth in online shopping across categories
during the pandemic globally. It is expected that consumers will continue with this
practice even if brick-and-mortar stores reopen. Globally, one in five consumers
who ordered their last groceries online did so for the first time. These days, people
are buying larger pack-size products or multiple units at once.

11
 CHAPTER – 4
DATA ANALYSIS

12
 4.1 DATA ANALYSIS AND INTERPRETATION

INCREASE IN PRICE LEVEL

Table 4.1 shows the number of responses on increase in price level

Commodities No. of respondents Percentage

Medical 22 44
Food 18 36
Others 10 20
Source: Primary data

Fig 4.1 showing the above table

medical
food
others

Source: Primary data

INRERPRETATION:

During the pandemic pricing level of various products have increased as well as
some products price level decreased.

Considering survey, 44% of the respondents states that price level of the medical
related products has increased. 36% states that food products have a higher change

13
in price level. And the other 20% responds that other products rather than medical
and food has a high increase in price level.

SHORTAGE OF PRODUCTS

Table 4.2 shows whether the retail shops had shortage of products

Answer No of respondents Percentage

Yes 19 38
No 17 34
Maybe 14 28
Source: Primary data

Fig 4.2.Represents the table above table

yes
no
maybe

Source: Primary data

INTERPRETATION:

As covid 19 emerged, some products has gone to a scarcity level, considering

survey, most of the respondents that is 38% of the them responded YES they have

14
faced shortage of products. 34% of the respondents haven’t faced any shortage an
the other 28% aren’t sure about shortage terms

SHOPPED ONLINE

Table 4.3shows people who have shopped online before Covid-19

Answer No. of respondents Percentage

Yes 45 90
No 5 10
Source: Primary data

Fig 4.3 represents the above table

no

yes

0 10 20 30 40 50

Source: Primary data

INTERPRETATION:

Even before pandemic occurred, online wasn’t rarest platform for shopping.

In survey taken , most of the respondents that is 90% of them are already using
online platform for shopping, only rest 10% haven’t used online source for
shopping.

15
On the whole , most them were already online friendly thus, pandemic haven’t
made wider change in graph level.

SHOPPING ONLINE DURING COVID

Table 4.4 shows how often the respondents shopped online during Covid
Answer No of respondents Percentage
Very often 8 16
Often 17 34
Sometimes 15 30
Rarely 10 20
Source: Primary data

Fig 4.4 represents the above table

18
16
14
12
10
8
6
4
2
0
very often often sometimes rarley

Source: Primary data

INTERPRETATION :
On the survey of how often has people purchased during the pandemic,
34% of the respondents has purchased often.
16% of consumers have purchased in very often times and rest 30% and 20% of
respondents have purchased in some conditions and in rarest situations.

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PURCHASED PRODUCTS
Table 4.5 shows the products purchased online by the respondents
Products No of respondents Percentage
Food 7 14
Dress 17 34
Accessories 23 46
Others 3 6
Source: Primary data

Fig 4.5 represents the above table

others

accessories

dress

food

0 5 10 15 20 25

Source: Primary data

INTERPRETATION:
While taking a survey in what type of product have most of the consumers shopped
during online, 46% of the respondents have purchased accessories and 34% have
purchased cloths related products. Only 14% of the consumers have purchased
food related products, the other 3 % of the respondents have purchased other
products .
On the whole most of them shopped accessories.

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DIFICULTIES WHILE SHOPPING
Table 4.6 shows whether the respondents faced any difficulties while shopping
Answer No of respondents Percentage
Yes 39 78
No 11 22
Source: Primary data
Fig 4.6 represents the above table

Sales

yes
no

Source: Primary data

INTERPRETATION:
Considering difficulties faced by the people while doing online shopping are
denoted by a pie graph above.
Considering survey taken, 78% of the respondents have faced some or the other
issues while shopping online.
The rest 25 respondents haven’t faced issues or difficulties while shopping online.
Comparatively most of the respondents have some difficulties in online shopping.

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NO OF TIMES PURCHASE WAS MADE
Table 4.7 shows the number of times the respondent made an online purchase
Number of times No of respondent Percentage
10 and more 16 32
5-10 14 28
1-5 18 36
Nil 2 4
Source: primary data
Fig 4.7 represents the above table

Sales

10 and more
5 to 10
1t5
nil

Source: Primary data

INTERPRETATION:
Considering purchase level of people during the pandemic, most of the respondents
has purchased 1 to 5 times with a percentage of 36.
36% of the respondents has purchased above 10 times.
While considering category of 5 to 10, 28% of respondents has purchased.
And finally only 4% of the respondents hasn’t opted online mode of shopping
during the pandemic Covid-19.

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SATISFACTION FROM ONLINE PURCHASE
Table 4.8 shows the satisfaction level of the respondents from online purchase
Rate No of respondents Percentage
1 1 1
2 0 0
3 0 0
4 1 2
5 2 4
6 1 2
7 10 20
8 14 28
9 14 28
10 7 14
Source: Primary data
Fig 4.8 represents the above table
16
14
12
10
8
6
4
2
0
1 2 3 4 5 6 7 8 9 10

Source: Primary data

INTERPRETATION:
Online shopping is now commonly used mode so looking the rating of online
purchases, most of the consumers rated 8 – 9 which shows they are convinced but
not completely. 10 respondents rated 7 as their convenience.
Number of people whom are completely satisfied are 14 in the survey. Scrolling
most underrated reply 1.

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On the whole most of the people responded that online shopping is above average
method, while only few rated it is less satisfactory.

MOST USED SHOPPING APP

Table 4.9 shows the shopping app used by respondents
Apps No of responses Percentage
Amazon 40 80
Flipkart 29 58
Snapdeal 2 4
Myntra 10 20
Others 4 8
Source:Primary data
Fig 4.9 represents the above table

Sales

amazon
flipkart
snapdeal
myntra
others

Source: Primary data

INTERPRETATION:
In the above showed graph and table, resembles the source in which people chose
while shopping online.
Most of the people opted amazon as a source for online shopping with 80%
responces. The second opted source is flipkart with 58% response .the next opted
source is myntra with 20% response. Other platforms like trends now are having

21
next rating with 8% responses and snapdeal is most underrated platform with 2%
rating.

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 CHAPTER 5
FINDINGS, SUGGESTIONS, CONCLUSION

23
5.1 FINDINGS

Focusing on primary overall knowledge the pandemic made a start of a new

digital era.
• The improved standard of living along with an increase in public
awareness towards the importance of hygiene are some of the factors that
have fueled the growth of the hygiene product industry in recent times.
But with the outbreak of Covid-19, the demand for hygiene products has
seen as exemplary growth rate. Government and health organizations
across the country are focused on increasing awareness regarding
maintenance of hygiene with the use of sanitizers and soaps.
• In the short and medium-term, the buying behaviour is going to shift
towards purpose-driven brands. Brands that have kept trust and
credibility during the Coronavirus crisis are likely to benefit in a big way.
• Post the crisis, people might become less prone to experimenting with
“flashy” or “edgy” brands, as well as with brands that are generic and
touted as “value-for-money”. The focus will shift sharply towards brands
that have been able to win consumer trust in this time of crisis.

• The post-Covid era could also see the rise of conscious consumption and
brands that products that incorporate sustainability in their fabric will
become market leaders.

• Being toxin and chemical-free, plastic-positive, cruelty-free are all

factors that will start shaping consumer choices. Along with this, the
demand for locally made products will see a sharp rise.

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 • There has been more than 10 per cent growth in online shopping across
categories during the pandemic globally, according to Mckinsey, and it is
expected that consumers will continue with this practice even if brick-
and-mortar stores reopen.

• Globally, one in five consumers who ordered their last groceries online
did so for the first time. For consumers aged 56 years and above, this
figure was one in three, said Accenture, in a similar research report
published in April. These days, people are buying larger pack-size
products or multiple units at once.

5.2 SUGGESTIONS

• It is recommended to improve the services provided during delivery time to

improve customer loyalty.
• Cash on delivery option was not provided by the sellers. This influenced
buying decisions of many.
• The sellers must provide more genuine and quality products as there was
some dissatisfaction among some respondents on quality of products
purchased.
• The sellers should improve their presence and service to the under reserved
areas.
• Government measures should be improved as many consumers were cheated
by charging high prices .

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5.3 CONCLUSION

New consumer behaviors span all areas of life, from how we work to how we shop
to how we entertain ourselves. These rapid shifts have important implications for
retailers and consumer packaged goods companies. Many of the longer-term
changes in consumer behavior are still forming, giving companies an opportunity
to help shape the next normal.

In brief ,consumers attitudes, behaviors and purchasing habits are changing—and

many of these new ways will remain post-pandemic.

While purchases are currently centered on the most basic needs, people are
shopping more consciously, buying local and are embracing digital commerce.

On the whole consumer behavior graph has made a greater change in covid
situation mainly focusing on online sector, there occurred a wide variety of
changes.

The e-commerce sector has responded rapidly to the challenge of creating positive
experiences in response to the pandemic. Companies have invested in logistics and
supply chains and widened their product ranges. This has attracted large numbers
of consumers, and a survey earlier this year found many of them were likely to
continue to buy online for non-health reasons such as convenience, time savings
Some of the drop could be due to poor customer experiences of online
consultations. Conversely, demand for online shopping appears to be sustainable
for the long term. The fear of catching an infection may fade once COVID-19
isover, but the significantly higher perceived convenience may make the behaviour
permanent. and wider product ranges.

26
BIBLIOGRAPHY
1. http://shabdbooks.com/gallery/337-may2020.pdf
2. https://www.mckinsey.com/~/media/mckinsey/industries/retail/our%20insig
hts/how%20covid%2019%20is%20changing%20consumer%20behavior%2
0now%20and%20forever/how-covid-19-is-changing-consumer-
behaviornow-and-forever.pdf
3. https://www.accenture.com/in-en/insights/retail/coronavirus-consumer-
habits
4. https://en.wikipedia.org/wiki/Consumer_behaviour
5. https://www.thehindubusinessline.com/opinion/covid-19-impact-consumers-
move-more-towards-digital/article31337127.ece

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APPENDIX
1. What type of products got an increase in price level
• medical
• foods
• others (mention)

2. Did the retail shops near you had shortage of products

• Yes
• No
• Maybe

3. Have you shopped online before lockdown?

• yes
• no

4. How often did you shop online during Covid- 19?

• Very often
• Often
• Sometimes
• Rarely

5. Which product did you buy more online during the pandemic?
• Dress
• Food
• Accessories
• Others (mention)

6. Did you face any difficulties during online shopping?

• yes (state)
• no

7. How many purchases have you made during the pandemic?

• Nil
• 1-5
• 5-10
• 10 and more

28
8. How satisfied are you with your purchase?
• Rate from 1-10

9. Which online shopping app did you use the most?

• Amazon
• Flipkart
• Snapdeal
• Myntra
• Others

29