You are on page 1of 10

Consumer Purchase Decisions and Social –Personal Aspects

Ishwar Mittal
Research Scholar, IMSAR
Maharshi Dayanand University, Rohtak, Haryana
Dr. Ravi Kumar Gupta
Professor, Department of Management Studies
Vaish College of Engineering, Rohtak, Haryana

Abstract
A consumer purchases the goods under the influence of various forces. He may have rational
motives or irrational motives of purchase. Generally, it is perceived that a consumer
purchases according to the need but many others social circles like family, friends, relatives,
media etc. also influences the consumer purchase decision making behavior. The present
study was carried out with the objective to analyze various important social aspects of
consumer purchase decision behavior. It also outlined the correlation among various aspects
of consumer purchase decision behavior. The present study was empirical in nature. Primary
data was collected by using a structured questionnaire. A sample size of 600 respondents
was taken for the present study, which were the natives of rural and urban areas of Haryana
including NCR. Respondents of different age group, gender, education, income and
occupation were taken to get the complete scenario of the universe. The sample was collected
from rural and urban areas of Haryana only spreading across sixteen districts including
NCR region. Data was analyzed with the help of Percentage, Chi- square, Spearman‟s
correlation and presented by tables and figures. In the present study, five prominent factors
were analyzed. The study concluded that consumer is mostly derived by the need for
purchasing of goods. There is least impact of advertising on consumers‟ purchase of goods.
Consumers are more interested in self searching and comparing the products available
rather than influenced by any kind of advertisements.
Keywords: Consumer, purchase decision, advertisement, self search, compare, advice.

Introduction
A consumer is a person who consumes or uses any commodity or service available to him
either from natural resources or through a market for final consumption. Being a consumer is
tough but we cannot help being one. As markets are globalizing and consumers are
bombarded with too many choices of products and services, purchase decision making is
becoming difficult. New technologies, such as the internet, debit cards, credit cards, ATM‟s
on one hand are making the life of the consumer easier, but again pose a challenge of safety
and security before consumers. Everyday we buy various products from the market. While
purchasing products it is important to know how involved the consumer is in the purchasing
process. Motivation is the driving force within individuals that impels them to buy. A
purchase decision is driven by both emotional and rational motives. Some of the buying
motives which are prevalent for buying any product or service are desire for gain, fear of loss,
comfort and convenience, security and protection, pride of ownership, satisfaction and
emotion. In a society, family acts as a major consumption unit, where limited money income
and needs of the various members have to be kept in mind. Thus, understanding the family
dynamics is very important. Besides, friends, relatives, need etc. also plays important role in
purchase decisions. The first problem of consumer protection starts with the irrational and
wrongful purchase decisions and lack of awareness of consumers. Educated and well
informed consumers are an asset to any society. An aware consumer lays foundation for
building up a superior society. The main aim of consumer education is to enhance the skills

84 | P a g e
of rational thinking based on logic and adopt a realistic attitude towards optimum utilization
of resources. It educates the purchaser of what to buy, where to buy, how to buy and how to
make the best use of what he buys in order to get the best value for his money. In reality
consumers are often exploited due to ignorance and lack of unity amongst them. (Kapoor
Sheetal, 2008).

Review of Literature
Jain (1999) carried a study on three respondents in Haryana. He concluded that majority of
respondents had considered advertisement as most important factors in making purchase
decisions. More interestingly, the males were found to more inclined towards advertisement
than female counterparts.
Dobhal (1999) explained that the break-up of the joint and extended family has played a
significant role in the emergence of the new urban family as a customer. According to a
survey conducted by Business Today in 1971, the average urban family in India consisted of
5.46 members, where individuals had little room for bonding. In contrast in 1997, this
average came down to only 4.6 members. This reduction in the size of the family has enabled
the members of a family to relate better to one another and still enjoy their own space.
Verma and Hema (2000) concluded that by analysing the aggregate scores of consumers,
only a slim majority of consumers (58%) have a favourable attitude towards advertisements.
Only 53% of the females had a liking for them. The response of the consumers belonging to
age group of 21-40 years showed an equal division (at 48%) between those who were
favourably predisposed towards advertisements. However, the distinction on the basis of
income of consumers was not at all found to be significant.
Hundal (2001) in a study of rural buying behavior in the Amritsar district of Punjab
investigated the role of family members in making purchase decisions for durables including
refrigerators, televisions, air coolers, and washing machines. His findings projected that
product selection decisions in rural families were mostly made by spouses together but they
were highly influenced by children.
Verma and Kapoor (2003) described families as consumers display certain homogenous
characteristics irrespective of who their members are. All the purchase decision, whether for
buying a product for personal consumption or for common use , ranging from which brand to
be purchased, in what quantity, how often, and from where to purchase, entail the playing of
different roles by various family members. The precise role to be played by any member
varies according to the dynamics of a particular family, its lifestyle, the personality of the
individual member, and his relationship with other members, as also the nature of the product
bought. They argued that marketers, must therefore, take the family into consideration while
framing his marketing strategies.
Kumar (2007) hypothetically tested and proved that the level of recall ability does have an
association between gender, age, television channels, programmes watched and timing of
watching television. Most of the (80.4%) purchases made by the household are planned. This
is supported by the influence of the brand awareness. It is hypothetically tested and proved
that brand awareness has influence in purchase as well as planned purchase.
Chattopadhyay (2011) studied how advertising message strategy leaves a significant impact
on consumer‟s cognitive processing of advertisements. There exists significant interaction
between advertising appeals and advertising execution styles on the attention,
comprehension, retention, attitude and purchase motivation of consumers from all
demographic segments, differentiated by age and sex.

85 | P a g e
Research Methodology
The present study is empirical in nature which is based on empirical evidences based on data
collected. The nature of data used in the present study is primary which had been collected by
using a structured questionnaire. A survey method had been used to collect the data. The
questionnaires were filled up by 600 respondents which were the natives of rural and urban
areas of fifteen districts of Haryana. They were selected on the basis of convenience
sampling. In the present study, five prominent factors were analyzed by the help of
Percentage, Chi- square, Spearman‟s correlation and presented by tables and figures.
Consumer exploitation starts with the first decision of purchase. The study aims to find out
the consumers‟ opinion on some socio personal aspects of purchase decisions. Keeping this in
view, the following objectives had been formulated:
 To study various important social aspects of consumer purchase decision behavior.
 To examine the correlation among various aspects of consumer purchase decision
behavior.

Data Analysis and Interpretation


Table 1: Demographic Characteristics of Respondents
Demographics Frequency Proportion of Sample (%)
Up to 30 Years 385 64.2
30-50 Years 177 29.5
Age
Above 50 Years 38 6.3
Total 600 100
Male 303 50.5
Gender Female 297 49.5
Total 600 100
Urban 397 66.2
Place of Semi Urban 91 15.2
Residence Rural 112 18.7
Total 600 100
Illiterate 5 0.8
Sr. Sec.(up to 12th Class) 69 11.5
Graduate 195 32.5
Education
Post Graduate 212 35.3
Professional Degree 119 19.8
Total 600 100
Below 5,000 Rs. 47 7.8
Family‟s 5,000- 15,000 Rs. 133 22.2
Monthly 15,000- 40,000 Rs. 251 41.8
Income Above 40,000 Rs. 169 28.2
Total 600 100
Student 186 31.0
Unemployed 70 11.7
Government Service 60 10.0
Occupation Private Service 229 38.2
Self employment 50 803
Labour 5 0.8
Total 600 100

86 | P a g e
Table 2: Factors Affecting Purchase Decisions
Variables Always Sometimes Never Total
Whenever need arises 413 (68.8) 187 (31.2) 00 (00) 600 (100)
On advice of friends and relatives 38 (6.3) 419 (69.8) 143 (23.8) 600 (100)
On the basis of advertisement 34 (5.7) 378 (63.0) 188 (31.3) 600 (100)
On the advice of family members 222 (37.0) 326 (54.3) 52 (8.7) 600 (100)
By self searching and comparing products 312 (52.0) 219 (36.5) 69 (11.5) 600 (100)
Figures in parentheses indicates percentage
Table 2 explains the purchase behavior of the respondents regarding how they make purchase
decisions. 413 (68.8 percent) of the respondents always purchases whenever need arises.
419(69.8 percent) respondents sometimes purchases on the advice of friends and relatives.
As far as advertisement is concerned, only 378 (63.0 percent) respondents sometimes
purchases under influence of advertisement. Advice of family seems to have larger impact on
purchase behavior as 326 (54.3 percent) respondents sometimes purchases on the advice of
family members. Nearly half of respondents i.e. 312 (52.0 percent) always purchases any
product by self searching and comparing.

Table 3: Chi Square Statistics of Purchase Whenever Need Arises across Consumer’s
Demographics
Demographics Calculated Chi-Square Value Table value df p-value
Age 2.751 5.99 2 .253
Gender 0.648 3.84 1 .421
Place of Residence 2.653 5.99 2 .265
Education 2.102 9.49 4 .717
Family‟s Monthly Income 2.800 7.82 3 .424
Occupation 5.333 11.07 5 .377
Table 3 explains the statistical significance of purchase whenever need arises across
consumer‟s demographics using the Chi square test along with descriptive statistics.
Following null hypotheses are being tested from above statistics:
Ho1= There is no difference in purchase behavior of whenever need arises in various age groups.
Ho2= There is no difference in purchase behavior of whenever need arises in male and female
respondents.
Ho3= There is no difference in purchase behavior of whenever need arises and place of residence.
Ho4= There is no difference in purchase behavior of whenever need arises and level of education.
Ho5= There is no difference in purchase behavior of whenever need arises and level of income.
Ho6= There is no difference in purchase behavior of whenever need arises and occupation.
It was observed that the null hypotheses Ho1, Ho2, Ho3, Ho4, Ho5 & Ho6 has been accepted by chi
square test when applied at 5 percent level of significance. It is to note that the chi-square
significance (p-value) is more than .05 for all variables, so there is no statistical significance
for purchase whenever need arises across consumer‟s demographics.
Table 4: Chi Square Statistics of Purchase on Advice of Friends and Relatives across
Consumer’s Demographics
Demographics Calculated Chi-Square Value Table value df p-value
Age 2.063 9.49 4 .724
Gender 3.224 5.99 2 .200
Place of Residence 7.687 9.49 4 .104
Education 10.428 10.428 8 .236
Family‟s Monthly Income 15.163 15.163 6 .019
Occupation 20.256 18.31 10 .027
Table 4 explains the statistical significance of purchase on advice of friends and relatives
across consumer‟s demographics using the Chi square test along with descriptive statistics.
Following null hypotheses are being tested from above statistics:

87 | P a g e
Ho1= There is no difference in behavior of purchase on advice of friends and relatives in
various age groups.
Ho2= There is no difference in behavior of purchase on advice of friends and relatives among
male and female.
Ho3= There is no difference in behavior of purchase on advice of friends and relatives and
place of residence.
Ho4= There is no difference in behavior of purchase on advice of friends and relatives and
education level.
Ho5= There is no difference in behavior of purchase on advice of friends and relatives and
income level.
Ho6= There is no difference in behavior of purchase on advice of friends and relatives and
occupation.
It was observed that the null hypotheses Ho1, Ho2, Ho3 & Ho4 has been accepted by chi square
test when applied at 5 percent level of significance. It is to note that the chi-square
significance (p-value) is more than .05 for above hypothesized variables, so there is no
statistical significance of purchase on advice of friends and relatives and age, gender, place of
residence and education. Accordingly, null hypotheses Ho5 & Ho6 has been rejected which
explains that there is statistical significance for purchase on advice of friends and relatives
and their income level and occupation.
Table 5: Chi Square Statistics of Purchase on the Basis of Advertisement across
Consumer’s Demographics
Demographics Calculated Chi-Square Value Table value df p-value
Age 7.612 9.49 4 .107
Gender 6.384 5.99 2 .041
Place of Residence 1.462 9.49 4 .833
Education 7.795 10.428 8 .454
Family‟s Monthly Income 15.444 15.163 6 .017
Occupation 18.123 18.31 10 .053
Table 5 explains the statistical significance of purchase on the basis of advertisement across
consumer‟s demographics using the Chi square test along with descriptive statistics.
Following null hypotheses are being tested from above statistics:
Ho1= There is no difference in behavior of purchase on the basis of advertisement and age.
Ho2= There is no difference in behavior of purchase on the basis of advertisement among
male and female.
Ho3= There is no difference in behavior of purchase on the basis of advertisement and place
of residence.
Ho4= There is no difference in behavior of purchase on the basis of advertisement and
education.
Ho5= There is no difference in behavior of purchase on the basis of advertisement and
family‟s monthly income.
Ho6= There is no difference in behavior of purchase on the basis of advertisement and
occupation.
It was observed that the null hypotheses Ho1, Ho3, Ho4 & Ho6 has been accepted by chi square
test when applied at 5 percent level of significance. It is to note that the chi-square
significance (p-value) is more than .05 for above hypothesized variables, so there is no
statistical significance of purchase on advice of friends and relatives and age, place of
residence, education and occupation. Accordingly, null hypotheses Ho2 & Ho5 has been
rejected which explains that there is statistical significance for purchase on advice of friends
and relatives and their gender and income level.

88 | P a g e
Table 6: Chi Square Statistics of Purchase on the Advice of Family Members across
Consumer’s Demographics
Demographics Calculated Chi-Square Value Table value df p-value
Age 9.706 9.49 4 .046
Gender 5.072 5.99 2 .079
Place of Residence 11.707 9.49 4 .020
Education 24.167 10.428 8 .002
Family‟s Monthly Income 9.482 15.163 6 .148
Occupation 15.630 18.31 10 .111
Table 6 explains the statistical significance of purchase on the advice of family members
across consumer‟s demographics using the Chi square test along with descriptive statistics.
Following null hypotheses are being tested from above statistics:
Ho1= There is no difference in behavior of purchase on the advice of family members and
age.
Ho2= There is no difference in behavior of purchase on the advice of family members among
male and female.
Ho3= There is no difference in behavior of purchase on the advice of family members and
place of residence.
Ho4= There is no difference in behavior of purchase on the advice of family members and
education.
Ho5= There is no difference in behavior of purchase on the advice of family members and
family‟s monthly income.
Ho6= There is no difference in behavior of purchase on the advice of family members and
occupation.
It was observed that the null hypotheses Ho2, Ho5 & Ho6 has been accepted by chi square test
when applied at 5 percent level of significance. It is to note that the chi-square significance
(p-value) is more than .05 for above hypothesized variables, so there is no statistical
significance of purchase on advice of friends and relatives and gender, income level and
occupation. Accordingly, null hypotheses Ho1, Ho3 & Ho4 has been rejected which explains
that there is statistical significance for purchase on advice of friends and relatives and their
age, place of residence and education.
Table 7: Chi Square Statistics of Purchase by Self Searching and Comparing Products
across Consumer’s Demographics
Demographics Calculated Chi-Square Value Table value df p-value
Age 7.572 9.49 4 .109
Gender 8.158 5.99 2 .017
Place of Residence 21.548 9.49 4 .000
Education 12.760 10.428 8 .120
Family‟s Monthly Income 13.283 15.163 6 .039
Occupation 14.357 18.31 10 .157
Table 7 explains the statistical significance of purchase by self searching and comparing
products across consumer‟s demographics using the Chi square test along with descriptive
statistics. Following null hypotheses are being tested from above statistics:
Ho1= There is no difference in behavior of purchase by self searching and comparing products
and age.
Ho2= There is no difference in behavior of purchase by self searching and comparing products
among male and female.
Ho3= There is no difference in behavior of purchase by self searching and comparing products
and place of residence.
Ho4= There is no difference in behavior of purchase by self searching and comparing products
and education.

89 | P a g e
Ho5= There is no difference in behavior of purchase by self searching and comparing products
and family‟s monthly income.
Ho6= There is no difference in behavior of purchase by self searching and comparing products
and occupation.
It was observed that the null hypotheses Ho1, Ho4 & Ho6 has been accepted by chi square test
when applied at 5 percent level of significance. It is to note that the chi-square significance
(p-value) is more than .05 for above hypothesized variables, so there is no statistical
significance of purchase on advice of friends and relatives and age, education and occupation.
Accordingly, null hypotheses Ho2, Ho3 & Ho5 has been rejected which explains that there is
statistical significance for purchase on advice of friends and relatives and their gender, place
of residence and income level.
Table 8: Cross Tabulation of Different Purchase Behaviors
Whenever need arises * Pearson Chi-Square Value= 4.311; df= 2;
On advice of friends and relatives p-value= 0.116
Whenever need arises * Pearson Chi-Square Value= 2.587; df= 2;
On the basis of advertisement p-value= 0.274
Whenever need arises* Pearson Chi-Square Value= 2.888; df= 2;
On the advice of family members p-value= 0.236
Whenever need arises* Pearson Chi-Square Value= 4.113; df= 2;
By self searching and comparing products p-value= 0.128
On advice of friends and relatives* Pearson Chi-Square Value= 36.238; df= 4;
On the basis of advertisement p-value= 0.000
On advice of friends and relatives* Pearson Chi-Square Value= 35.675; df= 4;
On the advice of family members p-value= 0.000
On advice of friends and relatives* Pearson Chi-Square Value= 5.026; df= 4;
By self searching and comparing products p-value= 0.285
On the basis of advertisement* Pearson Chi-Square Value= 19.438; df= 4;
On the advice of family members p-value= 0.001
On the basis of advertisement* Pearson Chi-Square Value= 19.028; df= 4;
By self searching and comparing products p-value= 0.001
On the advice of family members* Pearson Chi-Square Value= 31.326; df= 4;
By self searching and comparing products p-value= 0.000
The above table (8) revealed the association of different purchasing behaviors. Overall, there
were five behaviors were enquired in the given study. Ten pairs of association between these
variables had been worked out by cross tabulation. The results can be described on the basis
of chi-square test as follows:
i) Pairs having no significant association (p-value>.05):
Whenever need arises and on advice of friends and relatives
Whenever need arises and on the basis of advertisement
Whenever need arises and on the advice of family members
Whenever need arises and by self searching and comparing products
On advice of friends and relatives and by self searching and comparing products
ii) Pairs having significant association (p-value< .05):
On advice of friends and relatives and on the basis of advertisement
On advice of friends and relatives and on the advice of family members
On the basis of advertisement and on the advice of family members
On the basis of advertisement and by self searching and comparing products
On the advice of family members and by self searching and comparing products

90 | P a g e
Table 9: Spearman’s Correlation between Different Purchase Behaviors

Whenever need arises 1


On advice of friends and
.062 (.131) 1
relatives
On the basis of
.044 (.279) .234* (.000) 1
advertisement
On the advice of family
-.042 (.303) .088** (.030) .116* (.004) 1
members
By self searching and
-.075 (.065) .015 (.707) -.008 (.848) .094** (.021) 1
comparing products
Whenever On advice of On the basis of On the advice of By self searching
Spearman Correlation
need arises friends and advertisement family members and comparing
Value (Sig.)
relatives products

*= Significant at 99% level (p ≤ 0.01); **= Significant at 95% level (p ≤ 0.05);


Figures in parentheses indicates significance values
Degree of linear association among all five purchase behaviors can be examined from above
table (9) which showed the Spearman‟s Correlation values. Results from above statistics
shows that purchase whenever need arises has no correlation with any other variable whereas
purchase on advice of friends and relatives has a direct correlation with purchase on the
advice of family members and purchase on the basis of advertisement. Purchase on the basis
of advertisement has also a direct correlation with purchase on the advice of family members
while purchase on the advice of family members has also a direct correlation with purchase
by self searching and comparing products.

Conclusions
Consumers‟ purchase decision behavior is very dynamic in nature. A prudent consumer
makes a purchase decision on the basis of many factors. In the present study, five prominent
factors were analyzed. It can be concluded from the preceding study that consumer was
mostly derived by the need for purchasing of goods. There was least impact of advertising on
consumers‟ purchase of goods which was in contrast with Jain‟s (1999) findings. It may be
due to less attention or awareness towards mass media or any other advertisement medium.
Advice of family members had also a deeper impact on the purchase decision while advice of
friend and relatives was not much taken care of by the consumers. Consumers were more
interested in self searching and comparing the products available rather than influenced by
any kind of advertisements. Purchasing according to need is significant among all
demographic variables. Purchase on the advice of friend and relatives have been found
significantly associated with income and occupation of consumers. Male and female
consumers have significant difference on the purchase on the basis of influence of
advertisement & self searching and comparing the products. Consumers of different age
groups are influenced differently by advice of family members while making a purchase.
Different income group consumers have shown difference in opinion while purchasing on the
basis of advertisements. Purchase whenever need arises has no linear relationship and no
association with any other purchase behavior. It shows that consumers are highly inclined for
purchase whenever there is need.

References
 Chattopadhyay, Tuhin. (2011). Advertisement and Consumer Behaviour: An
Information Processing Perspective. Eighth AIMS International Conference on
Management.
 Chitwood, Roy. (2005). World Class Selling. Mumbai: Jaico Publishing House.

91 | P a g e
 Dobhal, Shailesh. (1999, February 22). Selling to the New Urban Family. Business
Today, 66-81.
 Hundal, B.S. (2001). Consumer Behaviour in Rural Market: A Study of Durables
(Unpublished Doctoral Dissertation). Guru Nanak Dev University, Amritsar, India.
 Jain, Mahesh Kumar. (1999). Consumer Disputes Redressal Forums in Haryana- An
Appraisal of Their Working (Unpublished Ph.D. Thesis). M.D. University, Rohtak,
India.
 Kapoor, Sheetal. (2008). Consumer and the Market. Consumer Education Monograph.
New Delhi, Indian Institute of Public Administration,.
 Kumar, R. Renjith. (2007). An Evaluation of Television Advertisements of Masala
Powder in Pollachi (Tamil Nadu). Indian Journal of Marketing, 37(4), 3-19.
 Peter, J. Paul. & Olson, C. Jerry. (1987). Consumer Behaviour: Marketing Strategy
Perspectives (Richard D. Irwin, Homewood, Ill.,). Irwin Professional Publishing.
 Verma, D. P. S. & Kapoor, Sheetal. (2003). Dimensions of Buying Roles in Family
Decision-Making. IIMB Management Review, 7-14.
 Verma, D. P. S. & Hema, Istraney. (2000). Consumer Attitude towards Advertisement
Messages. Indian Journal of Marketing, XXX(1-4), 2-16.

92 | P a g e

You might also like