A

MINI PROJECT REPORT

ON
“A Study On Effect of Branding On Consumer Behaviour Towards Samsung Smartphone”
Submitted to:
In the partial fulfillment for the award of the degree of
Master of Business Administration

Submitted to Submitted by
Dr. Megha Vimal Ashish Tomar
HOD

i
Dr.A.P.J Abdul Kalam Technical University, Lucknow

Batch: 2023-24

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 TOWHOM ITMAY CONCERN

This is to certify that Mr. Ashish Tomar is a bonafide student of MBA I semester in our
Institute. He has submitted the Mini Project Report titled “A Study On Effect of Branding On
Consumer Behaviour Towards Samsung Smartphone” to fulfill the partial requirement of
AKTU, Lucknow .He has completed Mini Project Report under the guidance of Dr. Megha
Vimal.

Director

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 DECLARATION

‘I declare that this dissertation that I have submitted to Dr. A.P.J Abdul Kalam Technical
University, Lucknow for the award of Master of Business Administration is the result of my own
investigations, except where otherwise stated, where it is clearly acknowledged by references.
Furthermore, this work has not been submitted for any other degree.’

Ashish Tomar

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1.1CompanyProfile:

Infiniti Retail Ltd, a wholly owned subsidiary of Tata Sons, owns and operates Croma, a retail
network of consumer and electronic durables stores. Small kiosks in high-traffic malls and 101
storefronts make up the chain's retail network in 25 locations. Home appliances, PCs and
peripherals, games, mobile phones, and home entertainment systems are just some of Croma's
offerings.

CromahasalsoreleasedAndroid-poweredtablets,vacuumcleaners,LCDs,refrigerators,andhard
drivesunderitsownbrand.Cromahasarevenueofover3000crores,with6000goods,andwants to
expand its footprint in India in the near future.

Croma was founded in 2006, and since then, the company has grown at an incredibly rapid pace.
Inthefinancialyear2012-13,itgrewby55percentandwasnamedthe"mostadmiredretailer"by the India
Retail Association for the sixth time.

Customersmaynowaccessthecompany'sitems24hoursaday,sevendaysaweek,thankstothe
company's e-retail site.E-commerce site cromaretail.com has benefited from the wide dispersion
of its stores throughout the country's major cities.

Croma'sprivatelabelhasshowedsteadydevelopmentoverthelastseveralyears.Lastyear,itgrew by 30
percent, despite the rise in food prices and the presence of other significant brands on the market.
In response to the changing demographics of clients, such as the younger generation
becomingmoretech-savvy,spendingmoreongadgets,andwomen'spreferenceandbuyingpower, the
company has expanded its line of items in electronics and personal grooming.

By linking up with Apple and Amazon, it has been able to provide the most up-to-date and
inspiring devices to the nation, resulting in a large number of customers and hence big revenues
forthecompany.WithTataBusinessSupportServices,ithasalsoestablisheda24-hourcustomer service
centre. The number of items and outlets has grown significantly over time.

ItisexpectedthatCromawillexpandinthefuture.Consumerdurablesandinformationtechnology are
expected to account for 20% of the total market share by the year 2020. Foreign Direct
Investment (FDI) is welcomed by even them. Woolworth, Australia, has made it possible for the
company to engage with overseas businesses.

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SamsungGroupisaSouthKoreanmultinationalconglomerateheadquarteredinSamsungTown,
Seoul.Itcomprisesnumerousaffiliatedbusinesses,mostofthemunitedundertheSamsungbrand, and is
the largest South Korean chaebol (business conglomerate).

Samsung was founded by Lee Byung-chul in 1938 as a trading company. Over the next three
decades, the group diversified into areas including food processing, textiles, insurance, securities
and retail. Samsung entered the electronics industry in the late 1960s and the construction and
shipbuildingindustriesinthemid-1970s;theseareaswoulddriveitssubsequentgrowth.Following Lee's
death in 1987, Samsung was separated into four business groups – Samsung Group,
ShinsegaeGroup,CJGroupandHansolGroup.Since1990,Samsunghasincreasinglyglobalised
itsactivitiesandelectronics;inparticular,itsmobilephonesandsemiconductorshavebecomeits most
important source of income.

Notable Samsung industrial affiliates include Samsung Electronics (the world's 2nd largest
informationtechnologycompanymeasuredby2015revenues,and5thinmarketvalue),Samsung
Heavy Industries (the world's 2nd largest shipbuilder measured by 2010 revenues), and Samsung
Engineering and Samsung C&T (respectively the world's 13th and 36th largest construction
companies). Other notable subsidiaries include Samsung Life Insurance (the world's 14th largest
life insurance company), Samsung Everland (operator of Everland Resort, the oldest theme park
in South Korea) and Cheil Worldwide.

Samsung has a powerful influence on South Korea's economic development, politics, media and
culture and has been a major driving force behind the "Miracle on the Han River".Its affiliate
companiesproducearoundafifthofSouthKorea'stotalexports.Samsung'srevenuewasequalto 17% of
South Korea's $1,082 billion GDP.

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History1938

to1970

In 1938, Lee Byung-chull (1910–1987) of a large landowning family in the Uiryeong county
moved to nearby Daegu city and founded Samsung Sanghoe. Samsung started out as a small
tradingcompanywithfortyemployeeslocatedinSu-dong(nowIngyo-dong).Itdealtindried-fish,
locally-grown groceries and noodles. The company prospered and Lee moved its head office to
Seoul in 1947. When the Korean War broke out,he was forced to leave Seoul. He started a sugar
refinery in Busan named Cheil Jedang. In 1954, Lee founded Cheil Mojik and built the plant in
Chimsan-dong, Daegu. It was the largest woolen mill ever in the country.

Samsung diversified into many different areas. Lee sought to establish Samsung as leader in a
wide range of industries. Samsung moved into lines of business such as insurance, securities and
retail. President Park Chung Hee placed great importance on industrialization. He focused his
economic development strategy on a handful of large domestic conglomerates, protecting them
from competition and assisting them financially.

In 1947, Cho Hong-jai, the Hyosung group's founder, jointly invested in a new company called
Samsung Mulsan Gongsa, or the Samsung Trading Corporation, with the Samsung's founder Lee
Byung-chull.Thetradingfirmgrewtobecomethepresent-daySamsungC&TCorporation.After a few
years, Cho and Lee separated due to differences in management style. Cho wanted a 30 equity
share. Samsung Group was separated into Samsung Group and Hyosung Group, Hankook Tire
and other businesses.

In the late 1960s, Samsung Group entered the electronics industry. It formed several electronics-
related divisions, such as Samsung Electronics Devices, Samsung Electro-Mechanics, Samsung
CorningandSamsungSemiconductor&Telecommunications,andmadethefacilityinSuwon.Its first
product was a black-and-white television set.

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 Galaxy A52
IntroductionoftheTopic

Industry

Mobile phones have become as common as televisions. Phenomenal adoption of mobiles across
theglobehasincreasedduetoriseindigitalmobilityandconnectivity.Themarketsizeofmobiles has
exponentially increased globally. Indian market does not remain untouched from this
phenomenon. With independence all foreign telecommunication companies were nationalized to
form Post, Telephone and Telegraph, a monopoly run by the Government of India. The Indian
mobilesectorlikemostotherinfrastructuresectorshascontrolledbythestate.TheDepartmentof
Telecommunications (DoT) is the key body for policy issues and regulations apart from being a
basicserviceprovidertorestofcountry.Fullyautomaticmobilenetworkswerefirstintroducedin the
early to mid-1980s (the 1G generations). Until the early 1990s, most mobile phones were too
largetobecarriedinapocketsotheywereusuallypermanentlyinstalledinvehiclesascarphones. With
the advance of miniaturization and smaller digital components, mobile phones got smaller and
lighter. In current scenario, daily activities have been revolutionized by the mobiles. It has
become central part of everyday life.

MobilePhonesMarketGrowthinIndia

According to theInternational Data Corporation’s (IDC)Quarterly Mobile Phone Tracker, the

Indiansmartphonemarketstartedtheyearwithahealthy18%year-over-year(YoY)growthinthe 1Q21
(Jan-Mar), totaling 38 million units, but declined by 14% from a strong 4Q20. While the
vaccineroll-outprogramatthebeginningoftheyearinstilledpositivesentiments,theonsetofthe
secondwaveofCOVID-19infectionstowardstheendofthequarterresultedinsubduedconsumer
demand. Thus, the inventory cycle which had shrunk earlier in 2H20 started to get longer since
mid-1Q21.

“TheApril-Junequarterisexpectedtofacegrowthchallengesundertheweightofthesecondwave of
infections. However, the high shipments from the first quarter should be able to suffice for the
immediatedemand.ButIDCestimatestheimpacttobelesspronouncedcomparedwithlastyear,
withfactoriesbeingoperationaltodayandonlylimitedrestrictionsonlogistics/transportationand state-
level lockdowns instead of a nationwide lockdown”, saysNavkendar Singh, Research Director,
Client Devices & IPDS, IDC India.

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"The recovery in 2021 might not be as smooth as expected earlier, with uncertainty around the
lasting impact of the second wave and a possible third wave in next few months. IDC expects a
rebound in consumer sentiments in the second half of 2021, resulting in a single-digit growth
annually.However,thedegreeofgrowthwillberestrictedduetoreduceddiscretionaryspending,
supplyconstraints,andanticipatedpricehikesincomponentsinupcomingquarters,”addsSingh.

Thekeymarkettrendsfor1Q21included:

 Online channels continued their growth momentum ahead of the overall market at 25%
YoY,despiteaslipinitsshareto46%quarter-over-quarter(QoQ),whileofflinechannels grew at
13% YoY. However, both the channels started to face higher channel inventory towards
the second half of the quarter.
 MediaTek-based smartphone shipments continued to lead for three consecutive quarters
with a share of 52%, widening the gap with Qualcomm, which had a 35% share.
 Almost7%ofoverallshipmentswere5G,leadingtoa3%YoYincreaseinASPtoUS$176. Further,
the premiumsegment (US$500+), grew 143% YoY, with 71% of those based on
5G.Apple,Samsung,andOnePluscontinuedtodominateinthatspace;theiPhone11and 12
together accounted for 28% of shipments; followed by the debut of the Galaxy S21 series
and the OnePlus 9 series.
 Separately,featurephoneshipmentsdeclinedby8% YoY,despiteRelianceJiolaunching its
new 4G device bundled with telco offers. However, the 2G segment witnessed 3%
growth driven by iTel and Lava.

"IDC expects a boost in 5G shipments with more affordable options, stickiness through
financing/trade-in programs, and steeper discounts/cashback offers. Additionally, vendors
continue to focus on India as a manufacturing hub, which can be seen in their efforts in locally
sourcing more components, ongoing investments in R&D capabilities, and adding new surface-
mountinglinestocatertothegrowinglocaldemandaswellasforexportsfromIndia," says Upasana
Joshi, Associate Research Manager, Client Devices, IDC India.

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6
 Theoretical Background

Among the progress and growth of developed and developing economies in the world, India has
become one of the fastest growing economies throughout the world. Indian economy has placed
in the fourth position by the year 2050 according to Goldman Sachs BRICS. One of the dazzling
facts that grow India’s economic cycle has been the dynamism of the service sector.

Thetelecomsectoranditsserviceshavebeenrecognizedasanimportanttoolforsocioeconomic
development for a nation. Globalization, Liberalization and Privatization are the three Indian
growth boosters. The growth of telecom sector in the pre-liberalization has been phenomenal.
Indian service sector flooded performance is the forwarded step in the growing economies of the
world. In the telecom sector the significant role of consumers can’t be undermined. The mobile
phone market is one of the vast areas to study the technological revolution in the mobile sector
escort booming market for the mobile phones.

ThemobilephonesectorinIndiahasbecomeverypopularnowadays.Itsgrowthissoprodigious that it
has crossed most of the industries. Undoubtedly, consumers have made an indelible landmark on
the economic landscape due to their premeditated importance in reengineering the
productsandservices.Thereisasignificantimpactofconsumerbehavioronthestrategicdecisions made
by the mobile sector companies. In technology driven businesses, understanding the voice
ofconsumers and their buying patterns has emerged a tough challenge for the mobile companies.
Thereasonforthegrowthofthissectorisconsumerinvolvementashuman beingspends most of his
time in interacting with others. In modern business scenario consumers are considered as the
inception point and the last corner of marketing activities. In the era of diversified competition
where customer is the king, success depends not only on the efficiency of the managers in
deliveringwhattheyhavepromisedbutatthesametimeresponsibilityliesontheorganizationto develop
such a harmonious atmosphere and culture within the organization where value for the
servicesareprovidedandqualityservicescouldbeofferedtoachievethehigherlevelmotivational need
of customer satisfaction. An organization has to synchronize all its activities towards the
enhancement and achievement of satisfaction of the consumer at every stage. For achieving
customer satisfaction, understanding of dynamic consumer behavior is essential. Understanding
the consumer behavior is the most prominent topic to understand by the marketers so as to frame
marketingstrategiesforcustomersatisfaction.Indiabeingadevelopingmarketandbeinganation

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of diverse cultures and traditions, it becomes mandatory for mobile companies to have a deep
understanding of buying behavior of consumer and buying patterns of mobile phones by Indian
consumers. With the advent of globalization and the sequel changes in the country many mobile
companieshavestartedmakingaforayintoIndianmobilemarketduetoitssky-scrapingpotential. As a
result of tremendous growth in mobile sector, mobile penetration in the mobile market has
overshadowed all other means of communication.

Customerand Consumer

Studyofconsumerbehaviorhasemergedasanapplieddiscipline.Marketershavetodealwithtwo
inseparable market participants –Customers and Consumers.

A customer is also called a client, a buyer, a shopper or immediate purchaser or final user of the
product. The term ‘customer’ is typically used to refer to one who regularly purchase a product
fromaparticularstoreorcompanybuthemaynotbetheactualconsumerofaproduct.Acustomer
canalsobeawisesearcheroftheproductorservicethatisgoingtobesoldinspiteofdecidingto buy or not
to buy them. Customers will buy a product only if consumer has demand for that product.

Aconsumerisanindividualwhopaystoconsumethegoodsorservicesproducedbyaseller.The
consumer engages in any of the following activities;

 Evaluatingofgoodsandservices
 Acquisitionofgoodsand services
 Usingofgoods and services
 Disposingofgoodsand services

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A consumer firstly determines his wants then buys a product and uses it further for personal use
or organizational use. Consumer can be categorized into two categories:

Figure2.1:Categorizationofconsumers

Personal consumer purchases goods for the personal use. Organizational consumer buys product
and services in order to run their own business.

(Hippel2005)observedthattheroleofconsumerhasnotbeenremainedrestrictedtopassive recipient of
product but also has emerged as an active participant in production.

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 ConsumerBehaviorandBuyerBehavior

Consumer behavior reflects the totality of consumer’s decision for acquiring, consuming and
disposing of goods, services, time and ideas. Consumer behavior is a decision-making process as
wellasmentalandphysicalactivityinwhichanindividualengagesinevaluating,acquiring,using or
disposing of goods and services. Consumer behavior is “the study of individuals, groups or
organizationsandtheprocessestheyusetoselect,secure,useanddisposeofproducts,servicesor ideas to
satisfy needs and the impacts that these processes have on the consumer and society".

Consumer Behavior is a branch which deals with the various stages a consumer goes through
before purchasing products or services for his end use. Buyer Behavior is the study of decision-
making units as they buy goods for themselves or others. Thus, buying behavior particularly
involves collective response of buyers for selecting, evaluating, deciding purchasing and post
purchasingbehavior.Buyerbehavioristhestudyofhumanresponsetoservicesandmarketingof
products and services. Buyer behavior is broadly defined by various scholars and researchers as:

 Itisthebehaviordisplayedbytheconsumersduringtheacquisition,useanddispositionof
products, services, time and ideas by decision making units.
 Itisthebodyofknowledgewhichstudiesvariousaspectsofpurchaseandconsumptionof
products and services by individuals with various social and psychological variables.
 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.

Consumerbehaviorhasbeendefinedbyvariouspsychologists are:

The study of consumer behavior deals with the decision-making process and physical activity an
individual engages in when evaluating, acquiring, using or disposing of goods and services
(Loudon and Bitta, 2002). It is concerned to understand an individual’s buying and consuming
activities. It involves the study of organizing acquired information and its application in making
buyingdecision.Butitbecomesdifficulttounderstandtheselectioncriteriaofvariousproductsin case
ofruralconsumers. Consumer behavior is affected by perceptions, cultural forces and social
factors.(SternthalandCraig,1982).Consumerbehaviorisconcernedabouttheprocessesthatare
involvedwhenpeopleselect,decidetopurchaseanduseproducts,servicesorexperiencesinorder

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 nsumerDecisionMaking

In today’s competitive business scenario companies are not only curious to explore the change in
tastes and preferences of consumers but they also try to decode the influential sources of
informationofconsumers.Sourceofinformationplaysaninfluentialroleindecidingconsumer’s
decision.Theconsumerdecisionmakingprocessinvolvesnumberofrelatedandcorrelatedstages of
activities. The decision-making process begins with the identification and recognition of an
unsatisfiedneedorwant.Itthentransformsintodrive.Consumerenhanceshisproductknowledge from
various sources of information. This search converts into total information about various
alternatives and finally choosing the best one among all. Then buyer evaluates the post purchase
behaviortoknowthelevelofsatisfaction.Aconsumergenerallypassesthroughvariousstagesin
decision making process.

Thesearepresentinginaflow-chartformat.

Figure1.2:ConsumerDecisionMakingProcess

 Problem Recognition-Problem recognition stage is the first stage of consumer decision

making process. Consumer recognizes need for the product. The need recognition is the
firstandmostimportantstepinthebuyingprocess.Ifthereisnoneed,thereisnopurchase. This
recognition happens when there is a lag between the consumer’s actual situation and the
ideal and desired one.

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 Information Search-Once the need is identified then the consumer seeks information
about possible solutions to the problem. Consumer will search more or less information
depending on the complexity of the choices to be made.
 Evaluation of Alternatives-After recognizing need and searching information about the
desired product consumers become crystal clear about various requirements they want in
theirproducts.Theconsumerwillthenusetheinformationpreviouslycollectedtoestablish a set
of evaluation criteria, desirable or wanted features, classify the different products
availableandevaluatewhichalternativehasthemostchancetosatisfyhim.Inordertodo
so,hewillevaluatetheirattributes.Consumerssearchforvariousavailablealternativesin the
product range is evaluated the alternatives on various criteria.
 Purchase Decision–Purchasing a particular product or not also depends upon the
information collected in this stage. A consumer makes up his mind on the products, store
and payment options. The consumer has evaluated the different solutions and products
available for respond to his need, a consumer is now able to choose the product or brand
that seems most appropriate to his needs. Then actual purchase can be taken.
 Post-Purchase Evaluation–The satisfaction level of consumers from the performance of
productisevaluatedinthisstage.Theconsumerdeterminestheirsatisfactionlevelwiththe
purchasing outcome. Once the product is purchased and used, the consumer will evaluate
theadequacywithhisoriginalneedsandwhethertherightchoicehasbeenmadeinbuying
thisproductor not.A consumer is ableto feelasense ofsatisfaction or dissatisfactionfor the
product in this stage.

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 ConsumerBehaviorintheMarketingContext

A market is, “An aggregate of people who as an individuals or organizations, have needs for
products in a product class and who have the ability, willingness and authority to purchase such
products”.Theaimofmarketingistomeetandsatisfytargetcustomerneedsandwants.Studying
consumer behavior provides knowledge to marketers in the introduction stage of product and
furtherimprovingproductsorservices,fixingtheirprices,makingmessagesanddevelopingother
marketing activities. Marketers are always looking for emerging trends in marketing field. In the
introductionstage ofconsumer behavior, it is indispensable to understand the consumer behavior
in all in relation to marketing.

The main concern was to improve the production capabilities in the firms. In this era, consumers
aresatisfiedtogetagenericformofaproduct;theyhadleastinterestinthevarietyoftheproducts. So,
neither the consumer nor the manufacturer concentrates on the product differentiation. The
focusinthistimedurationistosellwhatisproduced.Themainconcernwastoselltheadditional
productsbeingproduced.Inthisphasesupplyexceededdemandintheproductionsomotiveisto sell the
products produced in the manufacturing concerns.

In the marketing orientation time, the focus was to know more about the consumer’s needs and
preferences. Due to growing interest of the consumers in the products and services, companies
shiftedfromthesalesorientationtomarketingorientation.Consumer’spreferencesweretakenas first
priority by the manufacturers rather than focusing more on the production or selling of products.
Once a marketer identifies an unfulfilled need, or partially fulfilled one, he has an opportunity to
exploit. To this end he has to determine the appropriate marketing mix. The
marketerhastojudgetheconsumerbehaviorconstantlysoastomarkettheirproductsattheright time. In
a broad sense all the markets can be divided into two categories: seller’s market and
buyer’smarket.Inanumberofconsumerproductcategories,advertisingorothercommunication
strategies are given a lot of importance in the formulation of brand strategy.

Thebasicbeliefofmarketing-orientedcompanyisthatthecustomeristheattractionpointaround
whomthebusinessrevolves.Therefore,understandingaboutpeopleingeneralandwhat makes a
customerhappyisavitalpartofbusinesssuccess.Marketintoday’sworlditselfmeans–meeting
customerneedsanddelightingcustomers.Itistheonlycustomeraroundwhomallthemarketing

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strategies are formulated and implemented. In order to meet competition at the market place, the
marketing managersareusing various methods to add value to the final product which willreach
inthehandsoftheconsumers.Marketingasanever-changingenvironmentandduetothegrowing
concernorawarenessamongmarketerstogoforacarefulstudyoftheconsumerbehavioraround which
all marketing activities are made.

DifferentTypesofConsumerBuying Roles

Consumer buying behavior refers to the buying behavior of final consumers. Consumers make
variousdecisionsregardingpurchasesthatdependonthedirectcommunicationwiththemarketers.
Consumers of different products coming from different age-groups, different social -cultural
backgroundsandfromdifferentgeographicallocationsbehavedifferentlywhilemakingselection.
Consumerbehaviorhastermedasnomenclatureforthepatternofactionsfordecision-makingthat the
consumers employ while making a purchase.

Thefivemain buyingroles areas follows:

Figure1.3:Buyingroleofconsumers

 Initiator–Thepersonwhodecidestostartthebuyingprocess.
 Influencer–Thepersonwhotriestoconvinceotherstopurchasetheproduct.
 Decider–Thepersonwhomakesthefinaldecisionof purchase.
 Buyer–Thepersonwhoisgoingtobuytheproductdirectlyfromtheshop.
 User–Thepersonwho usesa product.

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 FactorsInfluencingConsumerBehavior

Consumer buying characteristics affect buying behavior as consumer purchases are influenced
strongly by cultural, social, personal, psychological characteristics. Whenever a consumer buys
anything from the market, final decision is affected by various factors like:

 Cultural
 Social
 Personal
 Psychological

Thefirststageofunderstandingbuyerbehavioristofocusonthefactorsthatdeterminethe“buyer
characteristics” in the “black box”. The marketer must be aware of these factors to develop an
appropriate marketing mix and strategies for its target market.

Figure1.4:FactorsInfluencingConsumer Behavior

1. CulturalFactors

Consumerbehaviorisdeeplyinfluencedbyculturalfactorssuchasbuyer’sculture,subcultureand social
class.

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  Culture –It is the part of every society and is the important cause of person wants and
behavior. The influence of culture on buying behavior varies from region to region.
 Subculture -Each culture contains different subcultures such as religions, nationalities,
geographic regions, racial groups etc. Marketers can use these groups by segmenting the
market into various small portions.
 Social Class -People from different social classes tend to have different desires and
consumptionpatterns.Disparitiesresultingfromthedifferenceintheirpurchasingpower.
According to some researchers, behavior and buying habits would also be a way of
identification and belonging to its social class. In this way marketing activities could be
tailored according to different social classes.

2. SocialFactors

Socialfactorsimpactthebuyingbehaviorofconsumers.Theimportantsocialfactorsare:reference
groups, family, role and status.

 Reference Groups -Reference groups have potential in forming a person attitude or

behavior. The impact of reference groups varies across products and brands.
 Family -Buyer behavior is strongly influenced by the members of a family. Therefore,
marketers are trying to find the roles and influence of the husband, wife and children. If
the buying decision of a particular product is influenced by wife, then the marketers will
try to target the women in their advertisement.
 RolesandStatus-Eachpersonpossessesdifferentrolesandstatusinthesocietydepending upon
the groups, clubs, family, organization etc. to which he belongs. For example, a
womanisworkinginanorganizationasafinancemanager.Atthesametime,sheisplaying two
roles simultaneously: role of a finance manager as well as role of a mother.

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3. PersonalFactors

Personal factors can also affect the consumer behavior. Some of the important personal factors
that influence the buying behavior are: lifestyle, economic situation, occupation, age, personality
and self-concept.

 Age -Age and life-cycle have potential impact on the consumer buying behavior. It is
obvious that the consumer’s taste and preferences about goods and services changes with
the passage of time. Family life-cycle consists of different stages such young singles,
married couples, unmarried couples etc. which help marketers to develop appropriate
products for each stage.
 Occupation-Theoccupationofapersonhassignificantimpactonthebuyingbehaviorof
consumer. For example, a marketing manager of an organization will try to purchase
business suits, whereas a low-level worker in the same organization will purchase rugged
work clothes.
 Economic Situation -Consumer’s economic situation has great influence on his buying
behavior.Iftheincomeofacustomerishigh,thenchoiceofmoreexpensiveproductswill be there
and a person with low income will purchase inexpensive products.
 Lifestyle -Lifestyle of customers is another import factor affecting the consumer buying
behavior. Lifestyle refers to the way a person lives in a society and purchases the things
according to his surroundings.
 Personality -Personality changes from person to person, time to time and place to place.
Italsohasagreatinfluenceonthebuyingbehaviorofcustomers.Personalityisthetotality of
characteristics of a man.

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4. Psychological Factors

Therearefourimportantpsychologicalfactorsaffectingtheconsumerbuyingbehavior.Theseare
perception, motivation, learning, beliefs and attitudes.

 Motivation -The level of motivation affects the buying behavior of customers. Every
person has different needs such as physiologicalneeds, biological needs,social needsetc.
 Perception -Selecting, organizing and interpreting information in a way to produce a
meaningful experience of the world is called perception. There are three different
perceptual processes which are selective attention, selective distortion and selective
retention.
 Beliefs and Attitudes -Customer possesses specific beliefs and attitudes toward various
products.Sincesuchbeliefsandattitudesmakeupbrandimageandaffectconsumerbuying
behavior therefore marketers are interested in them. All these factors combine to perform
a comprehensive model of consumer behavior that reflects consumer decision making
process. The major factors and the process of decision-making shape the behavior and
preferences of consumer behavior.

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Themainfactorsofmorecompetitionare:

 Customerswantbetterservicesandproductsatalowercost.
 A number offunctions in justone mobile phone:E-mail, textmessaging, internetsurfing,
3D, wifi, gaming, Mp3, Mp4.
 Newtechnologyimprovementin mobilephonesas4Dtechnologyinsmartphones.
 Betternetwork services

According to ibef.org report; Mobile phone services have recognized the world over as an
importanttoolforsocio-economicdevelopmentofanation.Indiaiscurrentlytheworld’ssecond- largest
telecommunications market and has registered exceptional growth in the past few years. The
reasons for growth of the telecom sector in India are reform measures by the Government of
India, active participation of the private sector and wireless technology. With the intense
competition operators need to work closely with mobile handset makers and software developers
to match their handset portfolios according to consumer’s desires and needs. The increasing
availabilityand rapid take up of sophisticated connected devices is changing the way of our lives
and communication.

Theconvergenceofmobilephonesbroadcastandinternetmarketshascreatedaburdenofchoice for
consumers –the choice to consume more than ever before, anywhere, anytime and anyhow. This
study of consumer behavior deals with deeper understanding of consumption patterns and
behavior of consumer for mobiles. The scope of consumer behavior includes not only the actual
buyerbutalsothevariousrolesplayedbydifferentindividuals.Inrecentyear,adoptionofmobile phone
has exceptionally rapid in many parts of the world and especially in India. The Indian
telecommunicationsmarketischaracterizedbyalargenumberofnationalandinternationalmobile
players. The mobile industry has become more competitive. It is necessary to identify the
consumerattitudeandbehaviortowardsproduct.Exchangeofinformationbecomesthenecessity of life
to a common man. Consumer purchase behavior for mobile phone and its influence in the
decision–makingofitspurchaseismorecomplex.Forthis,thereisaneedtodoacomprehensive detailed
study to understand consumer behavior towards mobile phone.

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 OBJECTIVEOFTHE STUDY
Statementofthe Problem

ThepasttwodecadeshaveseenanincreaseinthesmartphoneconsumptioninIndia.In2016,India
recordedanannualgrowthof65percentintheSamsungphonemarketandthenumberofhighnet worth
individuals increased by 60.5 percent. Emerging markets like China and India hold huge
potential for companies and marketers of Samsung products, to target India in a big way. The
youngpopulationofIndiaaremajorcontributorstotheconsumptionofSamsungproducts.There
aremanystudiesonsmartphoneconsumptionbyyouthinotheremergingmarkets,butthereexist very
few studies in the Indian context. Therefore, this study intends to examine the perception value,
social value and marketing mix factors that influence the buying intention of smartphone
products, among the Indian youth, and recommend effective marketing strategies that will draw
each of these segments towards smartphone consumption.

ScopeoftheStudy

 ThestudyisconductedinBangalorecityanditisdecidedtoconsiderdifferentmobile phones
 Tounderstand roleofonline advertising.
 Changeinadvertisingtrendafterinternet revolution.
 TounderstandthecustomerbehaviorwhopurchasesSamsungSmartphonesthrough Online
and Offline Stores.
 ToKnowtheFeaturesandcharacteristicsofSamsung Smartphoneswhichareintrend.

Objectives

 TounderstandthecoreconceptofOnline brandingofSamsung smartphone.

 TostudytheeffectonConsumerBehavioronSamsungsmartphones.
 Tofindoutwhatinfluencedcustomer’sbuyingdecisiononSamsungsmartphones.
 TostudythemajorcompetitorsandmarketpositionoftheSamsungphones.
 ToknowthebrandedproductbuyingbehaviorlevelofcustomerstowardsSamsung
smartphones.

20
 RESEARCHMETHODOLOGY

Data Analysis

Descriptiveresearch

Descriptiveresearchisusedtodescribecharacteristicsofapopulationorphenomenonbeing studied. It
does not answer questions about how/when/why the characteristics occurred.

Thisprojectisalsoadescriptiveresearch;itdescribesanalysisofemployeeproductivityand motivation.

Research Design:

Aresearchlayoutistheassociationofsituationforseriesandanalysisofinformationinamanner which
might also bring about an economy in method. It stands for strengthen making plans for
collection of the applicable facts and the strategies for use in evaluation, maintaining in view the
objective of the research availability of time.

Sampling

Samplingmethod:Convenient Sampling

Wide variety of the sampling devices selected from the populace is called the size of the pattern.
Pattern of 100 respondents were acquired from the populace. Sampling method is convenience
sampling. Comfort sampling (sometimes called clutch or possibility sampling) is a sort of non-
possibilitysamplingwhichincludesthesamplebeingdrawnfromthatapartofthepopulacewhich is
close to hand. This is, a sample population selected because it is with no trouble available and
handy.

SamplingArea:Bangalore

21
ToolsforData Collection

Toolused:Questionnaire Survey

SourcesofDataCollection:

 Primarydata:Usingthequestionnaireandtelephonicinterviewtechniquedatawillbe
collected from the respondents.

 Secondarydata:Secondarydataareintheformoffinishedproductsastheyhavealready been
treated statistically in some form or other. Secondary data will be collected through
Online Journals, Online Articles, Books, Magazines, Social Networking Sites

ImportanceoftheTopic:

In the current highly competitive mobile phone market, manufacturers constantly fight to find
additional competitive edge and differentiating elements to persuade consumers to select their
brand instead ofa competitor’s. There are various studiesconducted to identify factors that make
companies better than their competitors in influencing the customers purchase decision.
Consumers’ of mobile phone found throughout the world greatly influenced by those different
factors affecting mobile phones purchase decision. These factors may be related to the
characteristics of the consumer and the features associated with the mobile phones. This leads
mobilephonecompaniestocomeupwithavarietyofmobileswithdifferentbrandsandfeatures. There
are various research studies conducted to identify factors affecting consumers’ choice of mobile
phones. These studies indicated a range of items as a determinant factor influencing purchase
decision.

22
NeedtoStudytheTopic:

 This study need to understand the impact of the perception value, social value and
marketing mix factors influencing the buying behavior on the development of marketing
strategy for smartphone among Indian youth.
 When a consumer is motivated to buy Samsung smartphone because he perceives it to be
valuableandgetspersonalhappinessorsatisfactionbypossessingtheproduct,itisknown as
Perception Value Factor.
 When a consumer is motivated to buy Samsung smartphone with an intention to showoff
in front ofhis peer groupor to belongto a group,then itis known as SocialValue Factor.
 TheStudyhelpsustoknowthefeaturesoftrendingSmartphonesinthe market.
 TheStudyhelps toknowthesalesmanagement ofthe company.

23
 PROFILEOFTHESELECTEDRESPONDENTS

1. Analysisof Gender

Tableno.3.1

Gender No.of Respondents Percentage

Male 50 50%
Female 50 50%
Total 100 100%

Chartno.3.1

Gender

Male
50% 50% Female

Interpretation:

Fromtheabovetableitcanbeseenthat50%oftherespondentsaremaleand50%ofthe respondents are

females.

24
 2. Age

Tableno.3.2

AgeGroup No.of Respondents Percentage

18 - 25 years 33 33%
26 - 35 years 24 24%
36 -45 years 30 30%
Above45 years 13 13%
Total 100 100%

Chartno.3.2

AgeGroup
35

30

25

20

15

10

18-25 years 26-35 years 36-45 years Above45years

AgeGroup

Interpretation:

Table 3.3 reveals that 33% of the respondents are of the age group of 18-25 years, 24% of the
respondents are of the age group of 26-35 years, 30% of the respondents are of the age group of
36-45 years and 13% of the respondents are of the age group of 45 years and above.

25
 3. Educationalqualification

Tableno.3.3

Educationalqualification No.of Respondents Percentage

Upto SSC 29 29%
HSC 21 21%
Graduate 37 37%
Postgraduate 13 13%
Total 100 100%

Chartno.3.3

Educationqualification
40

35

30

25

20

15

10

0
UptoSSC HSC Graduate Postgraduate

Educationqualification

Interpretation:

Table 3.4 reveals that 29% of the respondents have an education qualification of up to SSC, 21%
of the respondents are HSC qualified, 37% of the respondents are graduates and 13% of the
respondents are post graduates.

26
 4. Occupation

Tableno.3.4

Occupation No.of Respondents Percentage

Government Employee 36 36%
Professional 8 8%
Self Employed 17 17%
Private Employee 39 39%
Total 100 100%

Chartno.3.4

Occupation
45
40
35
30
25
20
15
10
5
0

GovernmentEmployee Professional SelfEmployed PrivateEmployeee

Occupation

Interpretation:

Theabovetablerevealsthat36%oftherespondentsaregovernmentemployees,8%are professionals,
17% are self-employed and 39% are private employees.

27
 5. AnnualFamily Income

Tableno.3.5

AnnualIncome No.of Respondents Percentage

Upto 200000 17 21%
200000-400000 18 23%
400000-600000 32 40%
Above600000 13 16%
Total 100 100%

Chartno.3.5

AnnualFamilyIncome
35

30 32

25

20 BrandOwnership
15 18
17
Others
10 13
HuaweiSonyOppo
5 LG

0 BlackberryI-PhoneSamsung
Nokia
Upto200000 200000-400000 400000-600000 Above600000

AnnualFamily Income

Interpretation:

The above table reveals that 21% of the respondents have an income up to 200000, 23% of the
respondents have an income of 200000-400000, 40% of the respondents have an income of
400000-600000 and 16% of the respondents have and income of above 600000.
lephonebrandownership
0 5 10 15 20 25 30 35 40

Tableno.4.1
BrandOwnership

28
BrandOwnership No.of Respondents Percentage
Nokia 12 12%
Samsung 38 38%
I-Phone 13 13%
Blackberry 2 2%
LG 2 2%
Oppo 3 2%
Sony 6 7%
Huawei 9 9%
Other 15 15%

Chartno.4.1

29
Interpretation:

Themostownedbrandwasshownbythestudyresults(Figure6)tobeSamsung,withafrequency of 38%,
followed by 15% of respondents that owned other brands, indicating that most of the
respondentsowned mobilephonebrandsthatwerenotincludedonthelistprovided.I-Phoneand Nokia
followed, with 13% and 12%, respectively. Huawei, Sony and Oppo held 9%, 6% and 3%
respectively,whilstBlackberryandLGweretheleastownedbrands,with2%and2%respectively.

30
 1. Pricerangesformobile phones

Tableno.4.2

PriceRange No.of Respondents Percentage

Lessthan 10,000 24 24%
10,001 – 20,000 30 30%
20,001 – 30,000 16 16%
More than 30,001 30 30%

Chartno.4.2

PriceRange
35

30
30 30
25
24
20

15 16

10

0
Lessthan10,000 10,001-20,000 20,001-30,000 Morethan30,001

PriceRange

Interpretation:

Respondentswereaskedthepricerangesofthemobilephonetheypurchased(Figure7)Theresults
indicated that most of the respondents, at 30%, purchased mobile phones with a price range
between 10,001 and 20,000, 24% purchased mobile phones for less than 10,000, 30% purchased
in the price range above 30,001, and the fewest, at 16%, purchased phones with price ranges
between20,001and30,000.Thisshowsthatmostofthestudentswereprice-sensitivewhenbuying
mobile phones.

31
indings

 ThemostownedbrandwasshownbythestudyresultstobeSamsung,withafrequencyof
38%,followedby15%ofrespondentsthatownedotherbrands,indicatingthatmostofthe
respondents owned mobile phone brands that were not included on the list provided. I-
PhoneandNokiafollowed,with13%and12%,respectively.Huawei,SonyandOppoheld
9%,6%and3%respectively,whilstBlackberryandLGweretheleastownedbrands,with 2%
and 2% respectively.
 Respondentswereaskedthepricerangesofthemobilephonetheypurchased. Theresults
indicatedthatmostoftherespondents,at30%,purchasedmobilephoneswithapricerange
between 10,001 and 20,000, 24% purchased mobile phones for less than 10,000, 30%
purchasedinthepricerangeabove30,001,andthefewest,at16%,purchasedphoneswith
pricerangesbetween20,001and30,000.Thisshowsthatmostofthestudentswereprice-
sensitive when buying mobile phones.
 Of the brand preferences offered in the survey, Samsung was ranked the most preferred
brand by students, with a 37% approval rate. Apple and Nokia scored 14 and 13%
respectively, and 10% preferred other mobile phone brands that were not specified.
BlackberryandLGheldtheleastrespondentapproval,withonly3%and3%respectively.
 Morethan halftherespondents(52%), preferredmobile phone brandsbased on theirown
choices, 22% were motivated by brand advertising, 15% were referred brands by other
people, and 11% had other reasons why they preferred certain mobile phone brands over
the others available.
 27% of the respondents agree and 8% strongly agree that they consider brand popularity
when choosing a mobile phone, 22% of the respondents were neutral whereas 28% of the
respondents disagree and 15% of the respondents strongly disagree.
 29%oftherespondentsagreeand11%stronglyagreethattheyassociatebrandpopularity with
mobile phone quality, 31% of the respondents were neutral whereas 23% of the
respondents disagree and 6% strongly disagree.
 21%oftherespondentsagreeand14%stronglyagreethattheyassociatebrandpopularity with
the choices they make, 25% of the respondents were neutral whereas 31% of the
respondents disagree and 9% strongly disagree.

32
 22% of the respondents agree and 11% strongly agree that price affects the mobile phone
brand they prefer, 23% of the respondents were neutral whereas 30% of the respondents
disagree and 14% strongly disagree.
 16% of the respondents agree and 10% strongly agree that price is important when they
choose a mobile phone, 17% of the respondents were neutral whereas 44% of the
respondents disagree and 13% strongly disagree.
 21% of the respondents agree and 10% strongly agree that they associate mobile phone
price with quality of the phone, 18% of the respondents were neutral whereas 27% of the
respondents disagree and 24% of the respondents strongly disagree.
 25%oftherespondentsagreeand19%stronglyagreethattheyconsiderthedurabilityand
reliability of mobile phones, 15% of the respondents were neutral whereas 27% of the
respondents disagree and 14% of the respondents strongly disagree.
 21% of the respondents agree and 11% strongly agree that they consider quality when
choosing amobile phone brand, 15% ofthe respondents were neutral whereas 42% ofthe
respondents disagree and 11% strongly disagree.
 67%ofthecustomersbelievesthattheSamsungsmartphonesareGood.Andareratedas excellent
by the 19% of the respondents and as by the 14% respondents says fair.
 Satisfactory results with spares concerned with price factor, which stands at 80%. No
respondents consider it as low price. Too costly as next to follow with 20% respectively
 67%ofthecustomersbelievesthattheSamsungsmartphonesareGood.Andareratedas excellent
by the 19% of the respondents and as by the 14% respondents says fair.

33
LimitationoftheStudy:

 StudyislimitedtoBangalore location
 Timeperiodislimitedto4 weeks
 Thecompany maynotdiscloseandprovidedatafortheirconfidentialitypurposes.
 Theinformationgathered mayor maynotbetrueprovidedbythe respondents.

34
 Conclusion

To sum up the art of consumer behaviour plays a very significant role contributing to the
organization’s goals, image, survival and growth.

When consumer satisfaction is improved it spreads satisfaction to the employees, supervisors,

manager. It even helps society and the nation through better utilization of the resources of the
Samsung.

The Samsung has adopted so many new techniques to attract the customers. But there is no
effectiveimplementation.IfdoneeffectivelytheSamsungnotonlysatisfythecustomersbutitcan also
delight them, which is very important for the growth of business of the bank.

Many experts have played very important role in consumer behaviour technique. Every bank or
organizations has to select the right techniques suitable for the organization so as to give full
satisfaction to the customers.

35
Recommendations

1. Schemes:AttractiveschemesshouldbeprovidedforthecustomersandalsotheSamsung should
start giving more facility to its customers without much complications.
2. Compliments: Samsung can provide its customers with compliment gifts like “calendar”
or a “dairy” notifying where the customers are delighted.
3. Customerresearchstudy:TheSamsungcandoacustomerresearchstudy,yearlyorhalf yearly
to get more information about the customer’s likes, dislikes and can change the attitudes
and policies to provide satisfaction to the customers.
4. Advertisement: Samsung customer are unaware of its schemes, other schemes, simply
because the lacks publicity, so it requires more advertisement.
a. Advertisement can be made in the following ways according to the Samsung
convenient:
5. Advertisementcanbemadethroughprintmedia&TV
6. Training schemes for employees: The Samsung should implement a well-designed
trainingschemeforemployeeswithregardtothepropermethodlikeTQM(TotalQuality
Management), PD (Product development), stimulation which helps in dealing with
customersthatinturnwillhelpboththecustomersandalsotheSAMSUNGtoimproveits
business.
7. Theforemostsuggestion,whichIhavetogive,isreductioninminimumbalanceandinitial
deposit. They must reduce to some minimum amount.
8. Reception area: To avoid waiting time of customers the Samsung can provide enough
numberofchairswithTVandlightmusicfacility,whichinturnhelpinreducingtheburden of
waiting time.
9. Samsungshouldprovidetheconvenientparkingfacilitytothe customers.
10. Response from the employees: All employees should give proper response to the
employees when customers have any doubts.
11. Majorityofthecustomers ofSamsungfeel thatserviceis goodbutnot excellent.
12. AwarenessofsomeoftheserviceslikeCampus,Seniorcitizen’sservicesamongthepeople is
less.
13. Door service facility: Samsung was introducing the door service facility but they are not
implementing effectively. So customers are dissatisfying with this facility.

36
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