A SUMMAR INTERNSHIP PROJECT REPORT

ON
“A Study On Effect of Branding On Consumer Behaviour Towards Samsung Smartphone”
Submitted to:

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

In the partial fulfillment for the award of the degree of

Master of Business Administration
(Degree Programme of AKTU, Lucknow)

Batch: 2019-21

Under the Guidance of:

Prof. Divya rana
Associate Professor

Submitted by:
Yaksh Ahlawat
2002630700070
Semester: 4th

VIDYA SCHOOL OF BUSINESS

VIDYA KNOWLEDGE PARK,
BAGHPAT ROAD, MEERUT-250002
i
ii
 VIDYA SCHOOL OF BUSINESS
VIDYA KNOWLEDGE PARK,
BAGHPAT ROAD, MEERUT-250002

Date: ………………….

TO WHOM IT MAY CONCERN

This is to certify that Mr. Yaksh Ahlawat is a bonafide student of MBA 4th semester in our
Institute. He has submitted the Summer Internship 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 Summer Internship Project Report under the
guidance of Prof. Divya rana.

Dr. Vasudha Sharma

Director

iii
 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.’

Signed: YAKSH AHLAWAT

Roll Number: 2002630700070

Date:

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 TABLE OF CONTENTS

Chapter CONTENTS Page No.

1 Company Profile 1

2 Introduction of the Topic 8

Objective of the study 41

Research Methodology 42

3 Profile of the Respondents 46

4 Data Classification, Analysis & Interpretation 52

5 Findings of the study 71

Limitations of the study 73

Conclusion of the study 74

Bibliography 76

Annexures 78

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 LIST OF TABLES

Table No. Particulars Page No.

1 Frequency Distribution of Gender of the Respondents 46
2 Frequency Distribution of Age Group of the Respondents 47
3 Frequency Distribution of qualification of the Respondents 48
4 Frequency Distribution of Occupation of the Respondents 49
5 Frequency Distribution of Annual Family Income 50
6 Frequency Distribution of Mobile phone brand ownership 52
7 Frequency Distribution of Price ranges for mobile phones 54
8 Frequency Distribution of Levels of mobile phone brand preferences 55
9 Frequency Distribution of Motivations for mobile phone brand 56
preferences
10 Frequency Distribution of consider brand popularity when choosing a 57
mobile phone.
11 Frequency Distribution of associate brand popularity with mobile 58
phone quality.
12 Frequency Distribution of associate brand popularity with the choices 59
I make.
13 Frequency Distribution of Price affects the mobile phone brand I 60
prefer.
14 Frequency Distribution of Price is important when I choose a mobile 61
phone.
15 Frequency Distribution of associate mobile phone price with quality 62
of the phone.
16 Frequency Distribution of consider the durability and reliability of 63
mobile phones.
17 Frequency Distribution of consider the portability of mobile phone 64
brands.

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18 Frequency Distribution of consider quality when choosing a mobile 65
phone brand.
19 Frequency Distribution of How will you rate the new technology in 66
Samsung Products?
20 Frequency Distribution of How will you rate the Samsung product 67
concerned with price?
21 Frequency Distribution of Are you satisfied with the service of 68
Samsung product?

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 LIST OF FIGURES

Table No. Particulars Page No.

1 Bar graph represents Gender of the Respondents 46
2 Bar graph represents Age Group of the Respondents 47
3 Bar graph represents qualification of the Respondents 48
4 Bar graph represents Occupation of the Respondents 49
5 Bar graph represents Annual Family Income 50
6 Bar graph represents Mobile phone brand ownership 52
7 Bar graph represents Price ranges for mobile phones 54
8 Bar graph represents Levels of mobile phone brand preferences 55
9 Bar graph represents Motivations for mobile phone brand preferences 56
10 Bar graph represents consider brand popularity when choosing a 57
mobile phone.
11 Bar graph represents associate brand popularity with mobile phone 58
quality.
12 Bar graph represents associate brand popularity with the choices I 59
make.
13 Bar graph represents Price affects the mobile phone brand I prefer. 60
14 Bar graph represents Price is important when I choose a mobile 61
phone.
15 Bar graph represents associate mobile phone price with quality of the 62
phone.
16 Bar graph represents consider the durability and reliability of mobile 63
phones.
17 Bar graph represents consider the portability of mobile phone brands. 64
18 Bar graph represents consider quality when choosing a mobile phone 65
brand.

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19 Bar graph represents How will you rate the new technology in 66
Samsung Products?
20 Bar graph represents How will you rate the Samsung product 67
concerned with price?
21 Bar graph represents Are you satisfied with the service of Samsung 68
product?

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 Executive Summary

Marketing studies are increasingly looking at how people use their cellphones. In particular,
customer behaviour in the smartphone business has been a key subject of marketing research, from
the incentive to use a smartphone through the post-use behaviour. Consumers' perceptions,
motivations, and lifestyles are all affected by the regulatory emphasis, according to the findings of
the study. One of the world's fastest-growing economies, India is also one of the world's fastest-
growing smartphone markets. Customers' cellphones have become a vital component of both their
private and professional lives. There has been a huge change in consumer attitudes and desires as
a result of the rise in disposable money. When it comes to buying a smartphone, there are several
external and internal considerations that play a role. Consumer attitudes about cellphones and the
effect of brand name on purchase choices are also the subject of the study. Across all sexes and
ages, the recent surge in smartphone use can be clearly seen. Therefore, this study uses quantitative
analysis to investigate some of the most important aspects that are thought to influence customer
attitudes and actions when it comes to purchasing a smartphone.

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 CHAPTER 1

COMPANY PROFILE
1.1 Company Profile:

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.

Croma has also released Android-powered tablets, vacuum cleaners, LCDs, refrigerators, and hard
drives under its own brand. Croma has a revenue of over 3000 crores, with 6000 goods, and wants
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.
In the financial year 2012-13, it grew by 55 percent and was named the "most admired retailer" by
the India Retail Association for the sixth time.

Customers may now access the company's items 24 hours a day, seven days a week, thanks to the
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's private label has showed steady development over the last several years. Last year, it grew
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
becoming more tech-savvy, spending more on gadgets, and women's preference and buying power,
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
for the company. With Tata Business Support Services, it has also established a 24-hour customer
service centre. The number of items and outlets has grown significantly over time.

It is expected that Croma will expand in the future. Consumer durables and information technology
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.

1
It has also shifted its marketing strategy in this way. The corporation has shifted its focus to
emerging platforms as a result of the rise in Internet and social media usage. The introduction of
online events is a way to generate excitement, publicity, and grow a following.

With ESPN and the Star and Zee Networks in mind, Croma is trying to expand its media footprint.
Despite having 101 locations, the company expects to open another 10-15 locations each year.
High-quality, private-label items are on the horizon for the company. Croma's future and
development are a little out of the ordinary, but that's what makes it so interesting.

2
Samsung Group is a South Korean multinational conglomerate headquartered in Samsung Town,
Seoul. It comprises numerous affiliated businesses, most of them united under the Samsung brand,
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
shipbuilding industries in the mid-1970s; these areas would drive its subsequent growth. Following
Lee's death in 1987, Samsung was separated into four business groups – Samsung Group,
Shinsegae Group, CJ Group and Hansol Group. Since 1990, Samsung has increasingly globalised
its activities and electronics; in particular, its mobile phones and semiconductors have become its
most important source of income.

Notable Samsung industrial affiliates include Samsung Electronics (the world's 2nd largest
information technology company measured by 2015 revenues, and 5th in market value), 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
companies produce around a fifth of South Korea's total exports. Samsung's revenue was equal to
17% of South Korea's $1,082 billion GDP.

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History

1938 to 1970

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
trading company with forty employees located in Su-dong (now Ingyo-dong). It dealt in dried-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. The trading firm grew to become the present-day Samsung C&T Corporation. 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
Corning and Samsung Semiconductor & Telecommunications, and made the facility in Suwon. Its
first product was a black-and-white television set.

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 CHAPTER 2

INTRODUCTION

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Introduction of the Topic

2.1 Industry

Mobile phones have become as common as televisions. Phenomenal adoption of mobiles across
the globe has increased due to rise in digital mobility and connectivity. The market size of mobiles
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
mobile sector like most other infrastructure sectors has controlled by the state. The Department of
Telecommunications (DoT) is the key body for policy issues and regulations apart from being a
basic service provider to rest of country. Fully automatic mobile networks were first introduced in
the early to mid-1980s (the 1G generations). Until the early 1990s, most mobile phones were too
large to be carried in a pocket so they were usually permanently installed in vehicles as car phones.
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.

Mobile Phones Market Growth in India

According to the International Data Corporation’s (IDC) Quarterly Mobile Phone Tracker, the
Indian smartphone market started the year with a healthy 18% year-over-year (YoY) growth in the
1Q21 (Jan-Mar), totaling 38 million units, but declined by 14% from a strong 4Q20. While the
vaccine roll-out program at the beginning of the year instilled positive sentiments, the onset of the
second wave of COVID-19 infections towards the end of the quarter resulted in subdued consumer
demand. Thus, the inventory cycle which had shrunk earlier in 2H20 started to get longer since
mid-1Q21.

“The April-June quarter is expected to face growth challenges under the weight of the second wave
of infections. However, the high shipments from the first quarter should be able to suffice for the
immediate demand. But IDC estimates the impact to be less pronounced compared with last year,
with factories being operational today and only limited restrictions on logistics/transportation and
state-level lockdowns instead of a nationwide lockdown”, says Navkendar 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, the degree of growth will be restricted due to reduced discretionary spending,
supply constraints, and anticipated price hikes in components in upcoming quarters,” adds Singh.

The key market trends for 1Q21 included:

• Online channels continued their growth momentum ahead of the overall market at 25%
YoY, despite a slip in its share to 46% quarter-over-quarter (QoQ), while offline channels
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.
• Almost 7% of overall shipments were 5G, leading to a 3% YoY increase in ASP to US$176.
Further, the premium segment (US$500+), grew 143% YoY, with 71% of those based on
5G. Apple, Samsung, and OnePlus continued to dominate in that space; the iPhone 11 and
12 together accounted for 28% of shipments; followed by the debut of the Galaxy S21
series and the OnePlus 9 series.
• Separately, feature phone shipments declined by 8% YoY, despite Reliance Jio launching
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-
mounting lines to cater to the growing local demand as well as for exports from India,"
says Upasana Joshi, Associate Research Manager, Client Devices, IDC India.

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2.2 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.

The telecom sector and its services have been recognized as an important tool for socio economic
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.

The mobile phone sector in India has become very popular nowadays. Its growth is so prodigious
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
products and services. There is a significant impact of consumer behavior on the strategic decisions
made by the mobile sector companies. In technology driven businesses, understanding the voice
of consumers and their buying patterns has emerged a tough challenge for the mobile companies.
The reason for the growth of this sector is consumer involvement as human being spends 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
delivering what they have promised but at the same time responsibility lies on the organization to
develop such a harmonious atmosphere and culture within the organization where value for the
services are provided and quality services could be offered to achieve the higher level motivational
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
marketing strategies for customer satisfaction. India being a developing market and being a nation

11
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
companies have started making a foray into Indian mobile market due to its sky-scraping potential.
As a result of tremendous growth in mobile sector, mobile penetration in the mobile market has
overshadowed all other means of communication.

2.2.1 Customer and Consumer

Study of consumer behavior has emerged as an applied discipline. Marketers have to deal with two
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
from a particular store or company but he may not be the actual consumer of a product. A customer
can also be a wise searcher of the product or service that is going to be sold in spite of deciding to
buy or not to buy them. Customers will buy a product only if consumer has demand for that
product.

A consumer is an individual who pays to consume the goods or services produced by a seller. The
consumer engages in any of the following activities;

• Evaluating of goods and services

• Acquisition of goods and services
• Using of goods and services
• Disposing of goods and 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:

Figure 2.1: Categorization of consumers

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

(Hippel 2005) observed that the role of consumer has not been remained restricted to passive
recipient of product but also has emerged as an active participant in production.

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2.2.2 Consumer Behavior and Buyer Behavior

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
well as mental and physical activity in which an individual engages in evaluating, acquiring, using
or disposing of goods and services. Consumer behavior is “the study of individuals, groups or
organizations and the processes they use to select, secure, use and dispose of products, services or
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
purchasing behavior. Buyer behavior is the study of human response to services and marketing of
products and services. Buyer behavior is broadly defined by various scholars and researchers as:

• It is the behavior displayed by the consumers during the acquisition, use and disposition of
products, services, time and ideas by decision making units.
• It is the body of knowledge which studies various aspects of purchase and consumption of
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.

Consumer behavior has been defined by various psychologists 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
buying decision. But it becomes difficult to understand the selection criteria of various products in
case of rural consumers. Consumer behavior is affected by perceptions, cultural forces and social
factors. (Sternthal and Craig, 1982). Consumer behavior is concerned about the processes that are
involved when people select, decide to purchase and use products, services or experiences in order

14
to satisfy needs and wants. Consumer behavior has two aspects: the final purchase activity which
is visible to us and the decision process which may involve the interplay of a number of complex
variables not visible to us. In fact, purchase behavior is the end result of a long process of consumer
decision-making. The study involves what consumer buy, why they buy it, how they buy it, when
they buy it, where they buy it, how frequently they buy it and how they dispose of the product after
its use (Solomon, et al. 2002). Consumer behavior deals with the study of behavior that consumers
display in searching for, purchasing, using, evaluating, and disposing of products and services that
they expect will satisfy their needs (Schiffman and Kanuk, 2007). Consumer behavior is the field
of study of actions a person takes in purchasing and using product and services including the
mental and social process that precede and follow these actions. It involves the study of what
people consume, where, how often and under what condition these goods and services are
consumed (Berkowitz et al. 1990). Consumer behavior is concerned with the mental and emotional
processes and the observable behavior of consumers during searching for, purchasing and post
consumption of a product or service (Engel, et al. 1990). Buying Behavior is the decision processes
and acts of people involved in buying and using products. Consumer behavior is all about purchase
related activities, thought and influences that occur before, during and after the purchase itself as
performed by buyers and consumers of products and services and those who influence the
purchase. According to the American Marketing Association, Consumer behavior is “the dynamic
interaction of affect and cognition, behavior and environmental events by which human beings
conduct the exchange aspects of their lives.” Consumer behavior covers all the grounds that are
related to the selection of a product or service, buying and then consumption of the goods or
services (Kotler, 2002). Consumer behavior is perceived as the study of the individuals or the
groups of the individuals when they think about the selection of the product or service. Then it is
the purchase and finally consumes in order to satisfy the needs and wishes (Perner, 2001).
Consumers play a vital role at various levels of economy-local, national and international. The
individual buys good and services for his own and household use both for family members and for
others. What consumers buy? What consumers think about product and services? How consumers
make decision? How and how much consumers spend? What consumers do in leisure time?

Marketing professionals want to know the answers to these questions. They know that once they
do have those answers, they will have a much better chance of creating and communicating about
products that a consumer likes to buy. Marketers need to understand the group and personal

15
influences that affects consumer buying decisions on overall society and how these decisions are
made. Marketers not only need to know the choices of consumers but also at the same time they
need to know the voice of their target audiences.

Consumer behavior is defined as “the process and activities that people engage in when searching
for, selecting, purchasing, using, evaluating, and disposing of products and services so as to satisfy
their needs and desires” (Belch and Belch, 1993). It is the only consumer who consumes goods
and services in the market. The attraction point for every marketer is consumer. To study consumer
marketers are always ready to understand various aspects of marketing in order to satisfy them.
Consumer behavior is elaborated as the dynamic interaction of affect and cognition, behavior, and
environmental events by which human beings conduct the exchange aspects of their lives (Anon,
2004). The study of consumer behavior deals with individuals, groups or organizations and the
processes they use to select, secure, use, and dispose of products, services, experience (Hawkins,
Best and Coney, 2004).

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2.2.3 Consumer Behavior: An Emerging Field of Study

Consumer behavior is a branch which deals with various stages a consumer goes through before
purchasing products for his end uses. Consumer behavior has become an integral part of strategic
market planning. Consumer behavior should be the main focus of every stage of the firm’s
marketing activities. (Blackwell et al, 2007). Consumer plays a very crucial role as they are the
ones who finally buy goods and services of the firm and the firm always makes influential efforts
to attract them towards its goods and services to earn revenue and enhance profitability. It has
different point of views:

• Product Mix -Products of an extreme range of attributes

• Price Mix -Wide range of cost and payment choices
• Place Mix –Place of order (door step or anywhere else)
• Promotion Mix –Various sources of advertising and promotion

2.2.3.1 Consumer Behavior from Marketers point of view

Today’s customer is more educated, informed, knowledgeable and highly demanding. The
marketer’s main aim is to convince them to buy their products. The global marketplace is a study
of diversity among consumers, producers, marketers, retailers, advertising media, cultures and
customs and of course the individual or psychological behavior. The study of consumer behavior
is also very important to the marketers because it enables them to understand and predict buying
behavior of consumers in the marketplace.

Consumer research is the methodology used to study consumer behavior; it takes place at every
phase of the buying process. It starts before the purchase of a product continues during the purchase
and even after the purchase. Researchers viewed two different buyers buying the same product for
different reasons, paid different prices, used in different ways and have different emotional
attachments towards the things. The market strategies are framed and reframed again and again to
achieve organizational objectives by knowing and influencing their consumers. Therefore, the
knowledge and information about consumers is critical for making successful marketing strategies.

17
The relationship between consumer buying behavior and marketing strategy must be consistent to
attain organizational objectives.

Consumer behavior is interdisciplinary approach based on concepts and theories about people that
have developed by behavioral scientists, philosophers and researchers in diverse disciplines of
psychology, sociology, social psychology, cultural anthropology and economics. The study of
consumer behavior also helps management to understand consumer needs to recognize the
potential of consumer in lieu of new technology and to articulate new things in term of the
consumers’ needs so that products will be universally accepted in the market well.

18
2.2.4 Consumer Decision Making

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
information of consumers. Source of information plays an influential role in deciding consumer’s
decision. The consumer decision making process involves number of related and correlated stages
of activities. The decision-making process begins with the identification and recognition of an
unsatisfied need or want. It then transforms into drive. Consumer enhances his product knowledge
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
behavior to know the level of satisfaction. A consumer generally passes through various stages in
decision making process.

These are presenting in a flow-chart format.

Figure 1.2: Consumer Decision Making Process

• 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
first and most important step in the buying process. If there is no need, there is no purchase.
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
their products. The consumer will then use the information previously collected to establish
a set of evaluation criteria, desirable or wanted features, classify the different products
available and evaluate which alternative has the most chance to satisfy him. In order to do
so, he will evaluate their attributes. Consumers search for various available alternatives in
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
product is evaluated in this stage. The consumer determines their satisfaction level with the
purchasing outcome. Once the product is purchased and used, the consumer will evaluate
the adequacy with his original needs and whether the right choice has been made in buying
this product or not. A consumer is able to feel a sense of satisfaction or dissatisfaction for
the product in this stage.

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2.2.5 Consumer Behavior in the Marketing Context

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”. The aim of marketing is to meet and satisfy target customer needs and wants. Studying
consumer behavior provides knowledge to marketers in the introduction stage of product and
further improving products or services, fixing their prices, making messages and developing other
marketing activities. Marketers are always looking for emerging trends in marketing field. In the
introduction stage of consumer 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
are satisfied to get a generic form of a product; they had least interest in the variety of the products.
So, neither the consumer nor the manufacturer concentrates on the product differentiation. The
focus in this time duration is to sell what is produced. The main concern was to sell the additional
products being produced. In this phase supply exceeded demand in the production so motive is to
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
shifted from the sales orientation to marketing orientation. Consumer’s preferences were taken as
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
marketer has to judge the consumer behavior constantly so as to market their products at the right
time. In a broad sense all the markets can be divided into two categories: seller’s market and
buyer’s market. In a number of consumer product categories, advertising or other communication
strategies are given a lot of importance in the formulation of brand strategy.

The basic belief of marketing-oriented company is that the customer is the attraction point around
whom the business revolves. Therefore, understanding about people in general and what makes a
customer happy is a vital part of business success. Market in today’s world itself means –meeting
customer needs and delighting customers. It is the only customer around whom all the marketing

21
strategies are formulated and implemented. In order to meet competition at the market place, the
marketing managers are using various methods to add value to the final product which will reach
in the hands of the consumers. Marketing as an ever-changing environment and due to the growing
concern or awareness among marketers to go for a careful study of the consumer behavior around
which all marketing activities are made.

2.2.5.1 Different Types of Consumer Buying Roles

Consumer buying behavior refers to the buying behavior of final consumers. Consumers make
various decisions regarding purchases that depend on the direct communication with the marketers.
Consumers of different products coming from different age-groups, different social -cultural
backgrounds and from different geographical locations behave differently while making selection.
Consumer behavior has termed as nomenclature for the pattern of actions for decision-making that
the consumers employ while making a purchase.

The five main buying roles are as follows:

Figure 1.3: Buying role of consumers

• Initiator–The person who decides to start the buying process.

• Influencer–The person who tries to convince others to purchase the product.
• Decider–The person who makes the final decision of purchase.
• Buyer–The person who is going to buy the product directly from the shop.
• User–The person who uses a product.

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2.2.6 Factors Influencing Consumer Behavior

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

The first stage of understanding buyer behavior is to focus on the factors that determine the “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.

Figure 1.4: Factors Influencing Consumer Behavior

1. Cultural Factors

Consumer behavior is deeply influenced by cultural factors such as buyer’s culture, subculture and
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
consumption patterns. Disparities resulting from the difference in their purchasing power.
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. Social Factors

Social factors impact the buying behavior of consumers. The important social factors are: 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.
• Roles and Status -Each person possesses different roles and status in the society depending
upon the groups, clubs, family, organization etc. to which he belongs. For example, a
woman is working in an organization as a finance manager. At the same time, she is playing
two roles simultaneously: role of a finance manager as well as role of a mother.

24
3. Personal Factors

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 -The occupation of a person has significant impact on the buying behavior of
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. If the income of a customer is high, then choice of more expensive products will
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.
It also has a great influence on the buying behavior of customers. Personality is the totality
of characteristics of a man.

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4. Psychological Factors

There are four important psychological factors affecting the consumer buying behavior. These are
perception, motivation, learning, beliefs and attitudes.

• Motivation -The level of motivation affects the buying behavior of customers. Every
person has different needs such as physiological needs, biological needs, social needs etc.
• 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. Since such beliefs and attitudes make up brand image and affect consumer buying
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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2.2.7 Consumer Behavior in Mobile Phones

India is the second largest consumer market in the world. The Indian consumer profile has been
changed in terms of education, income, age, gender, occupation and reference groups. There is a
shift in consumer brand preferences for daily need products to high end technologies with the
explosion of technology. The consumer buying preferences are rapidly changing and this result to
change in the consumer behavior for a product. Products that were previously considered luxury
items have become a necessity because of the changing lifestyle and rising income levels. In
today’s era of communication, the traditional ways of conveying messages through post and mails
have replaced by e-mails and mobile phones. Use of mobile phone does not remain restricted to
higher class but it has become an integral part of lower and below poverty line class.

Study of consumer behavior in mobile phone industry has emerged as an interested area for
researchers. The growth of mobile phone sector in India has become so stupendous that it has
surpassed most of the other industries. The reason behind its rapid growth is the change in life
style of consumers and in technology and innovation. Today every human being wants to remain
in touch with others all the time and at any cost. Mobile phones have emerged as the most effective
communication source as a result of this, penetration of mobiles in the segment has overshadowed
all other means of communication. Frequent changes and challenges in the mobile phone industry
have been made on regular basis.

The penetration of mobile phone handsets and the diffusion of mobile technologies have
dramatically increasing in recent years. Although a mobile phone was initially designed for voice
communication, its functionalities have increasingly expanded to perform various tasks and fulfill
different purposes such as listening to mp3 music, playing WAP games, watching video. Mobile
phones can be used for a list of m -commerce services (Anckar and D'Incau, 2002).Based on
previous studies the use of a mobile phone can be categorized into four main categories:
communication-oriented (sending or receiving e-mail etc.), entertainment-oriented (listening to
music, playing a game, and watching a movie clip etc.) personal information-oriented (using
personal organizer, alarm clock, and office applications etc.) and commercial transaction-oriented
(checking bank account, doing shopping, and paying bills etc.) (Sheng and Nah, 2004).

27
The mobile phone market has become broader within the last three to five years due to more
affordable mobile phones along with lower service costs. This market is very competitive as it
offers the same products and services with different features and different costs in the phones
which buyers have choices to choose from. Effective marketing strategies always start with “a
thorough understanding of how and why consumers behave as they do” (Merenski, 1998).
Specifically, in order to find out solutions to customer needs and desires, the marketer requires a
thorough knowledge of buyer motivations and decision-making processes along with all the
environmental and other factors that also have an influence upon them.

To tailor various strategies that suit the consumer, marketers must find out the solutions to the
following questions:

• Why does the customer want to buy a particular product or service?

• How will he or she decide which option to purchase?
• What factors influence his decision?

Consumer behavior is all about purchase related activities, thought and influences that occur
before, during and after the purchase itself as performed by buyers and consumers of products and
services and those who influence the purchase. Consumer is he who really consumes or uses the
product. Consumer behavior refers to the mental and emotional process and the observable
behavior of the consumers during searching, purchasing and post consumption of a product or
service. Mobile industry has become very competitive by introducing innovative products at lower
cost.

It radically changes the standard of living of people. It is well perceived fact that consumer
behavior has become the important factor of business success. However, many conclusions have
drawn with regard to marketing strategy. But there are very few studies related with marketing
strategy in mobile sector with special reference to India. In Indian mobile sector mobile telephony
is called as “sun-rise industry’’.

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The main factors of more competition are:

• Customers want better services and products at a lower cost.

• A number of functions in just one mobile phone: E-mail, text messaging, internet surfing,
3D, wifi, gaming, Mp3, Mp4.
• New technology improvement in mobile phones as 4D technology in smart phones.
• Better network services

According to ibef.org report; Mobile phone services have recognized the world over as an
important tool for socio-economic development of a nation. India is currently the world’s second-
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
availability and rapid take up of sophisticated connected devices is changing the way of our lives
and communication.

The convergence of mobile phones broadcast and internet markets has created a burden of choice
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
buyer but also the various roles played by different individuals. In recent year, adoption of mobile
phone has exceptionally rapid in many parts of the world and especially in India. The Indian
telecommunications market is characterized by a large number of national and international mobile
players. The mobile industry has become more competitive. It is necessary to identify the
consumer attitude and behavior towards product. Exchange of information becomes the necessity
of life to a common man. Consumer purchase behavior for mobile phone and its influence in the
decision –making of its purchase is more complex. For this, there is a need to do a comprehensive
detailed study to understand consumer behavior towards mobile phone.

29
2.3 Review of Literature

Androulidakis; G. Kandus (2011) correlated the brand of mobile phone to users’ security practices.
Users show different behavior in an array of characteristics, according to the brand of the mobile
phone they are using. As such, there is a categorization of areas, different for each brand, where
users are clearly lacking security mind, possibly due to lack of awareness. Such a categorization
can help phone manufacturers enhance their mobile phones in regards to security, preferably
transparently for the user.

Tajzadeh Namin A. A.; Rahmani Vahid; Tajzadeh Namin Aidin (2012) analysed that the process
of deciding over (choosing) a brand may be influenced by situation and content. The findings
suggest a significant relationship between the variables “brand attitude”, “corporate attitude” and
“product (cell phone) choice”. In addition, no significant relationship was found between
individual decision-making processes (independent or mediated) and product choice.

Serkan Aydin, Gökhan Özer, Ömer Arasil, (2005) had focused on to measure the effects of
customer satisfaction and trust on customer loyalty, and the direct and indirect effect of “switching
cost” on customer loyalty. The findings of this study show that the switching cost factor directly
affects loyalty, and has a moderator effect on both customer satisfaction and trust

Jonathan, Lee, Janghyuk, Lee and Lawrence, Feick, (2001) analysed that moderating role of
switching costs in the customer satisfaction-loyalty link; and to identify customer segments and to
retain them. Thus, the purposes of this paper are: to examine the moderating role of switching costs
in the customer satisfaction-loyalty link; and to identify customer segments and then analyze the
heterogeneity in the satisfaction-loyalty link among the different segments. An empirical example
based on the mobile phone service market in France indicates support for the moderating role of
switching costs. Managerial implications of the results are discussed.

The Dream Catchers Group (2008) investigated if demographic variables or if telephone features
included on phones students already owned were predictive of young consumers' perceptions of
bundled features. In addition, this study set out to determine if there were any significant
differences in students' perceptions of bundled features across demographic variables (rural vis-a-
vis HBCU, gender, grade level, cellular telephone brand, major, and age).

30
Oyeniyi, Omotayo Joseph -Abioudun, Abolaji Joachim (2010) emphasis on customer loyalty and
customer switching cost. Switching cost is one of the most discussed contemporary issues in
marketing in attempt to explain consumer behaviour. The present research studied switching cost
and its relationships with customer retention, loyalty and satisfaction in the Nigerian
telecommunication market. The study finds that customer satisfaction positively affects customer
retention and that switching cost affects significantly the level of customer retention.

Rodolfo Martínez Gras; Eva Espinar Ruiz (2012) highlight a new dimension in information and
technology with respect to teenagers in Spain. The main objective of this article is to analyze the
relationship between Information and Communication Technologies and Spanish adolescents.
Specifically, researchers have studied, through qualitative methodology, the characteristics of
teenagers’ access and uses of technological devices. And analyzed the purposes that motivate the
utilization of Information and Communication Technologies, highlighting a close relationship
between technologies and peer communication and entertainment. On the contrary, there is an
under-utilization of all these devices for teaching and learning purposes.

Wafa' N. Muhanna; Awatif M. Abu-Al-Sha'r (2009) aims at investigating Jordanian university

undergraduate and graduate students' attitudes towards the learning environment where cell phones
are used as learning tools in classroom. The study comprised two independent variables, level and
gender, as covariates. The findings indicate that undergraduates are more favorable to cell phone
environment than graduate students. The study also reveals that cell phone has more influence on
male students than on female students.

Nasr Azad; Ozhan Karimi; Maryam Safaei (2012) had presented an empirical study to investigate
the effects of different marketing efforts on brand equity in mobile industry. The results show that
there is a positive and meaningful relationship between marketing mix efforts and brand equity. In
other words, more advertisements could help better market exposure, which means customers will
have more awareness on market characteristics. Among all mixed efforts, guarantee influences
more on brand equity, which means consumers care more on product services than other features.
Finally, among different characteristics of brand equity, product exclusiveness plays an important
role. In other words, people are interested in having exclusive product, which is different from
others.

31
Nasr Azad; Maryam Safaei (2012) states that there are many evidences to believe that customers
select their products based on brand name. Products also maintain their own characteristics, which
make them differentiable from others. In this paper, researchers have presented an empirical study
to determine important factors influencing customers' purchasing intend for cellular phones in
capital city of Iran, Tehran. The results of the study show that there are some positive relationships
between exclusive name and quality perception, between exclusive name and word of mouth
advertisement, between quality perception and fidelity, between word of mouth advertisement and
brand name and between brand name image and brand name.

Mehran Rezvani; Seyed Hamid Khodadad Hoseini; Mohammad Mehdi Samadzadeh (2012)
investigates the impact of Word of Mouth (WOM) on Consumer Based Brand Equity (CBBE)
creation. WOM characteristics such as, volume, valence, and source quality are studied to find
how intensely they each affect brand awareness, perceived quality, and brand association. The
results suggested that volume and valence, two elements of WOM, affect CBBE and no significant
relationship between source type and brand equity was seen.

Sany Sanuri Mohd. Mokhtar; Ahmed Audu Maiyaki; Norzaini bt Mohd Noor (2011) explores the
relationship between service quality and customer satisfaction on customer loyalty with regards to
mobile phone usage among the postgraduate students of a university in Northern Malaysia. The
results show that both service quality and customer satisfaction significantly affect the level of
customer loyalty of mobile phone users in Malaysia. It was therefore, recommended that mobile
service providers should pay special attention to their service quality and the factors that drive
customer satisfaction.

Shakir Hafeez; SAF Hasnu (2010) states that Customer satisfaction is a crucial element for the
success of all businesses. One of the biggest challenges for a market is how to satisfy and retain
the customers. This study is based on Mobilink’s prepaid customers. The findings suggest that
overall customer satisfaction and customer loyalty is comparatively low among the customers of
Mobilink. The Customer loyalty in Pakistan’s mobile sector is relatively low because it is an
emerging industry, new players are entering in this market and customers are more fascinated to
try the new service providers. However, it is expected that when the industry will be well
established, the results will be more comparable to other studies.

32
Harsha de Silva, (2011), generally shows that adoption of (primarily) mobile telephones has
significant benefits not just to the adopter, but to the community at large. In this context, the
objective of the current article is to examine, from a user perspective, the influences (as well as
the interplay of these influences) on mobile phone adoption by the poor in a selected set of
countries in the emerging Asian region.

Brenda, Mak, Robert Nickerson and Henri Isaac (2009), investigates the factors affecting the
attitudes towards the social acceptance of mobile phones in public places and how this attitude
affects its usage Results of the analysis indicate that the attitudes about mobile phone use in public
places depend on country, and age factors. This attitude in turn significantly affects the usage
frequency of mobile phones. In addition, usage frequency also is affected by gender and work
status.

Ramakrishnan Venkatesakumar, D. Ramkumar and P. Thillai Rajan, (2008), confirms that Brand
loyalty and brand switching behaviour of the consumers are evergreen issues of research and
strategic importance to the marketers and academic researchers. The current research aims to
address the significance of product attributes in brand switching behaviour through multi-
dimensional scaling and results suggest that a set of product attributes trigger the intention to
switch the current brand.

Heikki Karjaluoto, Jari Karvonen et al, (2005), had analyzed that Mobile phone markets are one
of the most turbulent market environments today due to increased competition and change. Thus,
it is of growing concern to look at consumer buying decision process and cast light on the factors
that finally determine consumer choices between different mobile phone brands. On this basis, this
research deals with consumers’ choice criteria in mobile phone markets by studying factors that
influence intention to acquire new mobile phones on one hand and factors that influence on mobile
phone change on the other are some general factors that seem to guide the choices. The two studies
show that while technical problems are the basic reason to change mobile phone among students;
price, brand, interface, and properties are the most influential factors affecting the actual choice
between brands.

Luca Petruzzellis (2010), referred and concluded that technology nowadays is overcome by
customer preferences and needs. In particular, the role of the brand is to be analysed with respect
to its influence in shifting customer preferences from the technical performances (tangible
33
elements) to the emotional/symbolic ones (intangible elements). The researchers had provided an
analysis of the brand attitude and perception tested and viewed through user eyes.

Chu-Mei Liu (2002), inferred that Branding is important to manufacturers, retailers and
consumers. Brands with higher brand equity have higher sales. The growth of mobile phone
subscriptions is considerably faster in the Philippines. Advertising and promotion are undertaken
through cooperation between the service providers and mobile phone manufacturers. The study
tries to find out the effects of the different activities on consumer choice of mobile phone brands.

Hans Kasper, Josée Bloemer, Paul H. Driessen, (2010), has thrown light on how consumers cope
with confusion caused by overload in information and/or choice. The paper investigates whether
consumers who face different degrees of confusion use different coping strategies depending upon
their decision-making styles. The researchers found that consumers of mobile phones can be
characterized by combinations of decision-making styles and find three clusters based on decision-
making styles: “price conscious and cautious” consumers, “brand-loyal and quality-driven”
consumers, and “functionalist” consumers. Results show significant main effects of the degree of
confusion and the decision-making styles on the use of coping strategies as well as a significant
interaction effect of these two.

Anne Martensen, (2007), examine tweens' (8-12 year-olds) satisfaction with and loyalty to their
mobile phones and the relationship between these. The results indicate that tweens are far more
satisfied with their mobile phones than adults are and that the mobile phones fulfill children's
expectations to a much higher degree. Still, brands are not able to turn tweens into loyal customers
who will recommend their mobile phones to friends.

Tweens' loyalty is lower than what is experienced for adults and the relationship between
satisfaction and loyalty is very weak.

Pratompong Srinuan, Mohammad Tsani Annafari, Erik Bohlin, (2011), states that subscriber
characteristics, including age, government officer, self-employed, internet use, central region, and
southern region, are significant in explaining the switching behavior of Thai mobile subscribers.
This study also shows that the largest mobile operators will gain more switching subscribers than
smaller operators. The study shows that the expected impact of implementing MNP without
national mobile roaming regulations would be worse for smaller mobile operators. The smaller

34
operators need to compete on both price and quality improvement. In the short run, it would not
be possible for the smaller operators to compete with the larger operators due to the inequality in
the quality of network coverage.

Ajax Persaud, Irfan Azhar, (2012) concludes that consumers' shopping style, brand trust, and value
are key motivations for engaging in mobile marketing through their smartphones. Further research
should focus on specific tactics marketers use to engage customers beyond marketing messages,
that is, how they engage customers in dialogue to build relationships, encourage purchases and
build loyalty. This could reveal how customers really want to engage in mobile marketing.

Ahmed Alamro, Jennifer Rowley, (2011) explored that there are 11 antecedents of brand
preference; these can be theoretically clustered into three groups: awareness antecedents
(controlled communication (advertising), and uncontrolled communication (publicity, word of
mouth); image antecedents (service value attributes (price, quality), provider attributes (brand
personality, country of origin, service (employee + location), and corporate status (corporate
image, corporate reputation); and, customer attribute antecedents (satisfaction, perceived risk, and
reference group). Multiple regression showed the contribution of each of these antecedents to
brand preference.

Hande Kimiloglu, V. Aslihan Nasir, Süphan Nasir, (2010), aims to discover consumer segments
with different behavioral profiles in the mobile phone market. Pragmatic consumers are found to
give high importance to the functional, physical and convenience-based attributes of the product.
The abstemious group also gives importance to functionality along with design. While value-
conscious consumers focus strongly on price, the charismatic segment represents the want-it-all
group valuing many attributes such as technological superiority, practicality, durability,
functionality, and design. The study also includes findings and discussions about the differences
these clusters display in terms of their involvement and loyalty styles.

Lynda Andrews, Judy Drennan, Rebekah Russell-Bennett, (2012) examine the nature of
consumers' perceptions of the value they derive from the everyday experiential consumption of
mobile phones and how mobile marketing (m-marketing) can potentially enhance these value
perceptions. The findings highlight ways to tailor m-marketing strategies to complement
consumers' perceptions of the value offered through their mobile phones.

35
Asta Salmi, Elmira Sharafutdinova, (2008) signifies that the general features (high power distance,
femininity, high uncertainty avoidance) characterizing Russian culture affect preferred mobile
phone design. Long-term values are seen, for example, in family orientation, which affects the use
of mobile phones. Changing cultural and socio-economic features are seen in the strict division of
consumers into distinct segments. Current aspects of society, such as high level of street crime, are
apparent in the desired features of products. The emerging Russian markets seem to consist of very
different consumer groups and simultaneously represent both old and new cultural features and
norms. Design has become a central tool for affecting product marketing, and an influential
community of designers and a design industry are emerging.

Kurt Matzler, Sonja Bidmon, Sonja Grabner-Kräuter, (2006) explore the relationship among two
personality traits (extraversion and openness), hedonic value, brand affect and loyalty. It argues
that individual differences account for differences in the values sought by the consumer and in the
formation of brand affect and loyalty. It was found that extraversion and openness are positively
related to hedonic product value and that the personality traits directly (openness) and indirectly
(extraversion, via hedonic value) influence brand affect which in turn drives attitudinal and
purchase loyalty.

Fred Robins, (2003) analyzed that the marketing of the next generation of mobile phones. It begins
with comments on the state of the telecom industry and draws attention to elements of
technological and product convergence, highlighting the point that while industry convergence on
digital technology is a fact, today’s mobile telephony marketplace is nonetheless characterized by
three generations of technology and the latest generation, 3G, embraces three related but
competing standards. The research examines 2G, 2 and a half G and 3G developments around the
world and identifies factors relevant to the marketing of 3G, including recognition of geographical
and user diversity and the consequent need for marketers to keep these various user perspectives
in mind. However, customer desire for personalization, including personalized 3G services, are
important features of the marketplace, as will be the availability of simple, secure payment
systems.

Jaakko Sinisalo, Jari Salo, Heikki Karjaluoto, Matti Leppäniemi, (2007) states that the purpose of
this study is twofold. First, in order to guarantee a coherent discussion about mobile customer
relationship management (mCRM), this paper presents a conceptualization of mCRM delineating

36
its unique characteristics. Second, the authors develop the empirically grounded framework of the
underlying issues in the initiation of mCRM. Researchers have identified issues that can be divided
into three categories (exogenous, endogenous and mCRM-specific) the company has to take into
account when moving towards mCRM.

S. Sukumar (2006): He explain a present study aims to descriptive study the “consumer awareness
relates to the usage of mobiles”, The study concludes that there is significance between socio
economic factors and awareness of mobiles. Majority of the consumers required water proof
mobile and increase facilities in mobiles; opinion to reduce the mobile health effects, and free from
problems. However, in the present competitive scenario acquiring consumer’s satisfaction is a
tough task. Indian mobile market adopts various new innovative techniques to handle their
consumers. The promotional measures are adopted likely Free and more accessories, low cost,
service Centre and spare parts availabilities, insurance scheme for mobile, mobile safety locking
system, mobile exchange system, at most care for consumer complaints etc.

Raymond K. Dziwornu (2007): This article he is explained “factors affecting mobile phone
purchase decision” in the Greater Accra Region of Ghana. Results of the descriptive statistic show
that Nokia and Samsung phones were the two main brands of phones used by majority of the
respondents interviewed. The result of the binary log it regression model revealed that advanced
technology features such as internet browsing and durability or quality of mobile phone handsets
are the two main factors that are likely to positively and significantly affect mobile phone purchase
decision. This study analyzed the factors affecting mobile phone purchase decision in the Greater
Accra Region of Ghana, using the binary log it regression model. The study revealed that majority
of the respondents who expressed their intention to acquire new phones were male, age between
21-30, single and have attained education up to the tertiary level. The study also shows that the
two main factors significantly affecting mobile phone purchase in the study area are advanced
technology features and durability or quality of mobile phones.

Md Reaz Uddin and Nusrat Zahan Lopa (2008): This study has put efforts to uncover the
underlying “factors those affect customers in choosing mobile phones”. The results show that the
most important factor is physical attributes. Some other factors are pricing, charging and operating
facilities, size and weight, friends’ and colleagues’ recommendations, neighbors’
recommendations and advertising. The research was to find out the underlying factors those have

37
a role to determine the brands while customers purchase mobile phone. It has been seen from the
previous discussion that there are lots of variables customers consider before choosing brand of
mobile phones. Some of the factors influence customers’ decision greatly while others have
comparatively low impact on the purchase decision. At the time of survey, it was observed that
various types of facilities are expected by the customers. But this research work does not deal with
the customer expectation. The research has identified that many factors are deemed as selection
criteria of mobile phones.

Hassan Jawad Soomro (2009): This article besides studying brand selection by the “consumers to
understand the overall purchase behaviour of this segment of consumers”. The results of this study
will provide insight and information for administrators, practitioners, and researchers about the
behaviour of consumers towards various mobile brands. The results concluded that a large number
of respondents prefer the purchase the mobile phone with value added facilities like camera, large
screen, familiar brand and low price. The main purpose of this study was to find out the opinion
of the respondents from various preferences in purchasing mobile phone handset and mobile
phones. This study is exceptional in the sense that it has investigated the general opinion of young
generation regarding the purchase of mobile phones. the study also concluded that the purchase
preference is not discriminated by the gender of the respondents. The current study has opened
new avenues of research for the research scholars in Pakistan.

Mridanish Jha (2010): The purpose of this paper is to “investigate the buying behaviour of
consumers” in Bihar and compare the consumers’ behaviour of urban and rural consumers in Bihar
with regard to mobile phone. This paper attempts to draw attention towards different buying
behaviour of urban and rural market. The paper examines the preferences of rural and urban
consumers towards the mobile phone. It also reports to understand the factors which influence the
consumers for making the purchase decision and compares the buying behaviour of urban and
rural consumers. The findings from the study suggest some discernible points about the buying
behaviour of urban and rural consumer. The rural consumers have also become value conscious as
reflected by their buying behaviour. The success of micromax, Karbon mobile in rural market
highlights the fact that a marketer has to focus on the unmet needs of the consumer and then build
its value proposition. Both these mobile companies first of all targeted the rural market with their

38
long battery backup benefit. The reach of the print medium is very low in rural Bihar due to the
high level of illiteracy.

S.M. Hasan:(2011): The purpose of present research is to discuss the various “mobile phones
purchase behaviour” in the Uttrakhand State. Have found the study should be consumer’s
satisfaction with the different types of mobile phones. Total 306 respondents included in the study
from conveniently selected respondents from different part of Uttrakhand State. It is concluded
that the knowledge of “what the customer thinks” and “what consequently would contribute to his
satisfaction”, is at the requirement of the marketer for successful positioning of the mobile phonest.
The present study aims to assess the consumer’s attitude towards different types mobile phones
companies in Uttarakhand State. It also intends to know the consumer’s satisfaction their purchase
decision. From the analysis it is observed that there is poor awareness about advance feature
provided in the mobile phones. It is also founded that different factors to purchasing a mobile
phone with their level of education and income.

Thanika Devi Juwaheer, (2012): In this article explores the various factors which “impact on the
selection of mobile phones among young customers”. This paper reviews the determining factors
impacting on the selection of mobile phones among young customers. It reports upon the empirical
findings of the customer survey on the various factors impacting on the selection of mobile phones
by the questionnaire method. The analysis has revealed that young customers have identified
pricing as a key determinant while selecting mobile phones. The results of the analysis have also
suggested that top of mind awareness and perceived brand value are key factors contributing
towards mobile phone selection. Results also unveiled mobile phone features and young
consumer’s lifestyle impacting on mobile phones selection.

Mesay Sata (2013): The purpose of this study she, investigate the “decision of buying mobile
phone devices” in Hawassa town from this analysis, it was clear that consumer’s value price
followed by mobile phone features as the most important variable amongst all and it also acted as
a motivational force that influences them to go for a mobile phone purchase decision. The study
suggested that the mobile phone sellers should consider the above-mentioned factors to equate the
opportunity. The objective of this research was to investigate the underlying factors that determine
the decision to purchase mobile phone devices. According to the study, majority of the consumers

39
own Nokia mobile phones. Moreover, most of Nokia mobile phone users have a plan to shift to
other brands such as Samsung, Apple and BlackBerry.

Dr. Abdul Ghafoor Awan and Ms. Arooj Fatima: (2014) This research aims to study the “youth
purchasing behaviour in selection of mobile phones”. Have founded the study has focused that
how these strategies used by mobile phone companies in Pakistan influence the purchase decision
of youth in selection of their mobile phones. This type of research which was conducted to find
the impact of various independent variables on the purchasing behaviour. The study included both
male and female respondents to show that how marketing strategies used by marketers in terms of
service quality, pricing, value offered, trust and switching cost affects the purchasing behaviour.
Youth is considered as the largest and important segment of customers which cannot be ignored
by cellular companies if they want to increase their profits.

A. Mohankumar and U. Dinsesh kumar (2015) In their article they explained “customer purchase
behaviour towards mobile phones”. The present study is conducted in Erode city and it is decided
to consider different mobile phones’ like Nokia, Sony Ericsson, Samsung, HTC and Micromax.
This study helps to know the factors which influencing the consumer to purchase Mobile Phones.
Have report to know the buying behaviour of the consumer while choosing Mobile Phones. This
study also helps to know the consumer’s satisfaction level towards different branded mobile
phones. This study also helps to know the reason for the dissatisfaction of the consumer. From this
study I have gained lot of practical exposure about consumer buying behaviour towards mobile
phones. The consumer buying a variety of mobile phones which satisfy his wants and they are
always influenced by his purchasing activities by some considerations which lead him to select a
particular brand or a particular store in preferred to others. Consumers mostly preferred Nokia
mobile phones.

40
 OBJECTIVE OF THE STUDY
Statement of the Problem

The past two decades have seen an increase in the smartphone consumption in India. In 2016, India
recorded an annual growth of 65 percent in the Samsung phone market and the number of high net
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
young population of India are major contributors to the consumption of Samsung products. There
are many studies on smartphone consumption by youth in other emerging markets, but there exist
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.

Scope of the Study

• The study is conducted in Bangalore city and it is decided to consider different mobile
phones
• To understand role of online advertising.
• Change in advertising trend after internet revolution.
• To understand the customer behavior who purchases Samsung Smartphones through
Online and Offline Stores.
• To Know the Features and characteristics of Samsung Smartphones which are in trend.

Objectives

• To understand the core concept of Online branding of Samsung smartphone.

• To study the effect on Consumer Behavior on Samsung smartphones.
• To find out what influenced customer’s buying decision on Samsung smartphones.
• To study the major competitors and market position of the Samsung phones.
• To know the branded product buying behavior level of customers towards Samsung
smartphones.

41
 RESEARCH METHODOLOGY

Data Analysis

Descriptive research

Descriptive research is used to describe characteristics of a population or phenomenon being

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

This project is also a descriptive research; it describes analysis of employee productivity and
motivation.

Research Design:

A research layout is the association of situation for series and analysis of information in a manner
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

Sampling method: 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-
possibility sampling which includes the sample being drawn from that a part of the populace which
is close to hand. This is, a sample population selected because it is with no trouble available and
handy.

Sampling Area: Bangalore

42
Tools for Data Collection

Tool used: Questionnaire Survey

Sources of Data Collection:

 Primary data: Using the questionnaire and telephonic interview technique data will be
collected from the respondents.

 Secondary data: Secondary data are in the form of finished products as they have already
been treated statistically in some form or other. Secondary data will be collected through
Online Journals, Online Articles, Books, Magazines, Social Networking Sites

Importance of the Topic:

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 of a competitor’s. There are various studies conducted 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
mobile phone companies to come up with a variety of mobiles with different brands and features.
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.

43
Need to Study the Topic:

• 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
valuable and gets personal happiness or satisfaction by possessing the product, it is known
as Perception Value Factor.
• When a consumer is motivated to buy Samsung smartphone with an intention to show off
in front of his peer group or to belong to a group, then it is known as Social Value Factor.
• The Study helps us to know the features of trending Smartphones in the market.
• The Study helps to know the sales management of the company.

44
 CHAPTER 3

PROFILE OF THE SELECTED

RESPONDENTS

45
 PROFILE OF THE SELECTED RESPONDENTS

1. Analysis of Gender

Table no. 3.1

Gender No. of Respondents Percentage

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

Chart no. 3.1

Gender

Male
50% 50%
Female

Interpretation:

From the above table it can be seen that 50% of the respondents are male and 50% of the
respondents are females.

46
 2. Age

Table no. 3.2

Age Group No. of Respondents Percentage

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

Chart no. 3.2

Age Group
35

30

25

20

15

10

0
18-25 years 26-35 years 36-45 years Above 45 years

Age Group

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.

47
 3. Educational qualification

Table no. 3.3

Educational qualification No. of Respondents Percentage

Up to SSC 29 29%
HSC 21 21%
Graduate 37 37%
Post graduate 13 13%
Total 100 100%

Chart no. 3.3

Education qualification
40

35

30

25

20

15

10

0
Upto SSC HSC Graduate Post graduate

Education qualification

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.

48
 4. Occupation

Table no. 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%

Chart no. 3.4

Occupation
45

40

35

30

25

20

15

10

0
Government Employee Professional Self Employed Private Employeee

Occupation

Interpretation:

The above table reveals that 36% of the respondents are government employees, 8% are
professionals, 17% are self-employed and 39% are private employees.

49
 5. Annual Family Income

Table no. 3.5

Annual Income No. of Respondents Percentage

Up to 200000 17 21%
200000-400000 18 23%
400000-600000 32 40%
Above 600000 13 16%
Total 100 100%

Chart no. 3.5

Annual Family Income

35

30 32

25

20

18
15 17

13
10

0
Up to 200000 200000-400000 400000-600000 Above 600000

Annual Family 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.

50
 CHAPTER 4

DATA ANALYSIS AND INTERPRETATION

51
1. Mobile phone brand ownership

Table no. 4.1

Brand Ownership 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%

Chart no. 4.1

Brand Ownership

Others

Huawei

Sony

Oppo

LG

Blackberry

I-Phone

Samsung

Nokia

0 5 10 15 20 25 30 35 40

Brand Ownership

52
Interpretation:

The most owned brand was shown by the study results (Figure 6) to be Samsung, with a frequency
of 38%, followed by 15% of respondents that owned other brands, indicating that most of the
respondents owned mobile phone brands that were not included on the list provided. I-Phone and
Nokia followed, with 13% and 12%, respectively. Huawei, Sony and Oppo held 9%, 6% and 3%
respectively, whilst Blackberry and LG were the least owned brands, with 2% and 2% respectively.

53
 2. Price ranges for mobile phones

Table no. 4.2

Price Range No. of Respondents Percentage

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

Chart no. 4.2

Price Range
35

30
30 30
25
24
20

15
16

10

0
Less than 10,000 10,001-20,000 20,001-30,000 More than 30,001

Price Range

Interpretation:

Respondents were asked the price ranges of the mobile phone they purchased (Figure 7) The results
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
between 20,001 and 30,000. This shows that most of the students were price-sensitive when buying
mobile phones.

54
3. Levels of mobile phone brand preferences

Table no. 4.3

Brand Preference No. of Respondents Percentage

Nokia 13 13%
Samsung 37 37%
I-Phone 14 14%
Blackberry 3 3%
LG 3 3%
Oppo 6 6%
Sony 5 5%
Huawei 9 9%
Other 10 10%

Chart no. 4.3

Brand Preference

Others

Huawei

Sony

Oppo

LG

Blackberry

I-Phone

Samsung

Nokia

0 5 10 15 20 25 30 35 40

Brand Preference

55
Interpretation:

Of the brand preferences offered in the survey (Figure 8), 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. Blackberry and LG held the
least respondent approval, with only 3% and 3% respectively.

56
 4. Motivations for mobile phone brand preferences

Table no. 4.4

Motivation No. of Respondents Percentage

Advertisement 22 22%
Referrals 15 15%
Own choice 52 52%
Other 11 11%

Chart no. 4.4

Motivation
60

50
52

40

30

20
22

10 15
11

0
Advertisement Referrals Own choice Other

Motivation

Interpretation:

More than half the respondents (52%), preferred mobile phone brands based on their own 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.

57
 5. I consider brand popularity when choosing a mobile phone.

Table no. 4.5

Opinion No. of Respondents Percentage

Strongly disagree 15 15%
Disagree 28 28%
Neither agree nor disagree 22 22%
Agree 27 27%
Strongly agree 8 8%

Chart no. 4.5

Opinion
30

28
25 27

20 22

15
15
10

8
5

0
Strongly disagree Disagree Neither agree nor Agree Strongly agree
disagree

Opinion

Interpretation:

From the above table it is clear that 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.

58
 6. I associate brand popularity with mobile phone quality.

Table no. 4.6

Opinion No. of Respondents Percentage

Strongly disagree 6 6%
Disagree 23 23%
Neither agree nor disagree 31 31%
Agree 29 29%
Strongly agree 11 11%

Chart no. 4.6

Opinion
35

30
31
29
25

20 23

15

10
11

5
6

0
Strongly disagree Disagree Neither agree nor Agree Strongly agree
disagree

Opinion

Interpretation:

From the above table it is clear that 29% of the respondents agree and 11% strongly agree that they
associate brand popularity with mobile phone quality, 31% of the respondents were neutral
whereas 23% of the respondents disagree and 6% strongly disagree.

59
 7. I associate brand popularity with the choices I make.

Table no. 4.7

Opinion No. of Respondents Percentage

Strongly disagree 9 9%
Disagree 31 31%
Neither agree nor disagree 25 25%
Agree 21 21%
Strongly agree 14 14%

Chart no. 4.7

Opinion
35

30
31

25
25
20
21

15
14
10
9
5

0
Strongly disagree Disagree Neither agree nor Agree Strongly agree
disagree

Opinion

Interpretation:

From the above table it is clear that 21% of the respondents agree and 14% strongly agree that they
associate brand popularity with the choices they make, 25% of the respondents were neutral
whereas 31% of the respondents disagree and 9% strongly disagree.

60
 8. Price affects the mobile phone brand I prefer.

Table no. 4.8

Opinion No. of Respondents Percentage

Strongly disagree 14 14%
Disagree 30 30%
Neither agree nor disagree 23 23%
Agree 22 22%
Strongly agree 11 11%

Chart no. 4.8

Opinion
35

30
30
25

20 23
22

15
14
10
11

0
Strongly disagree Disagree Neither agree nor Agree Strongly agree
disagree

Opinion

Interpretation:

From the above table it is clear that 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.

61
 9. Price is important when I choose a mobile phone.

Table no. 4.9

Opinion No. of Respondents Percentage

Strongly disagree 13 13%
Disagree 44 44%
Neither agree nor disagree 17 17%
Agree 16 16%
Strongly agree 10 10%

Chart no. 4.9

Opinion
50
45
40 44

35
30
25
20
15 17 16
10 13
10
5
0
Strongly disagree Disagree Neither agree nor Agree Strongly agree
disagree

Opinion

Interpretation:

From the above table it is clear that 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.

62
 10. I associate mobile phone price with quality of the phone.

Table no. 4.10

Opinion No. of Respondents Percentage

Strongly disagree 24 24%
Disagree 27 27%
Neither agree nor disagree 18 18%
Agree 21 21%
Strongly agree 10 10%

Chart no. 4.10

Opinion
30

25 27
24
20
21
18
15

10
10
5

0
Strongly disagree Disagree Neither agree nor Agree Strongly agree
disagree

Opinion

Interpretation:

From the above table it is clear that only 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.

63
 11. I consider the durability and reliability of mobile phones.

Table no. 4.11

Opinion No. of Respondents Percentage

Strongly disagree 14 14%
Disagree 27 27%
Neither agree nor disagree 15 15%
Agree 25 25%
Strongly agree 19 19%

Chart no. 4.11

Opinion
30

25 27
25
20
19
15
15
14
10

0
Strongly disagree Disagree Neither agree nor Agree Strongly agree
disagree

Opinion

Interpretation:

From the above table it is clear that only 25% of the respondents agree and 19% strongly agree
that they consider the durability and reliability of mobile phones, 15% of the respondents were
neutral whereas 27% of the respondents disagree and 14% of the respondents strongly disagree.

64
 12. I consider the portability of mobile phone brands.

Table no. 4.12

Opinion No. of Respondents Percentage

Strongly disagree 18 18%
Disagree 23 23%
Neither agree nor disagree 12 12%
Agree 25 25%
Strongly agree 12 12%

Chart no. 4.12

Opinion
30

25
25
23
20

18
15

10 12 12

0
Strongly disagree Disagree Neither agree nor Agree Strongly agree
disagree

Opinion

Interpretation:

From the above table it is clear that 25% of the respondents agree and 12% strongly agree that they
consider the portability of mobile phone brands, 12% of the respondents are neutral whereas 23%
of the respondents disagree and 18% strongly disagree.

65
 13. I consider quality when choosing a mobile phone brand.

Table no. 4.13

Opinion No. of Respondents Percentage

Strongly disagree 11 11%
Disagree 42 42%
Neither agree nor disagree 15 15%
Agree 21 21%
Strongly agree 11 11%

Chart no. 4.13

Opinion
45

40 42
35

30

25

20
21
15
15
10
11 11
5

0
Strongly disagree Disagree Neither agree nor Agree Strongly agree
disagree

Opinion

Interpretation:

From the above table it is clear that 21% of the respondents agree and 11% strongly agree that they
consider quality when choosing a mobile phone brand, 15% of the respondents were neutral
whereas 42% of the respondents disagree and 11% strongly disagree.

66
 14. Please rate the quality of Samsung Smart Phones

Table no. 4.14

Opinion No. of Respondents Percentage

Excellent 19 19%
Good 67 67%
Fair 14 14%
Poor 0 0%
Total 100 100%

Chart no. 4.14

Opinion
80

70
67
60

50

40

30

20
19
10 14
0
0
Excellent Good Fair Poor

Opinion

Interpretation:

From the above table it is clear that 67% of the customers believes that the Samsung smart phones
are Good. And are rated as excellent by the 19% of the respondents and as by the 14% respondents
says fair.

67
 15. Rate the Samsung Smart phones concerned with Price

Table no. 4.15

Opinion No. of Respondents Percentage

Cheap 0 0%
Reasonable 80 80%
Too Costly 20 20%
Total 100 100%

Chart no. 4.15

Opinion
90

80
80
70

60

50

40

30

20
20
10
0
0
Cheap Reasonable Too Costly

Opinion

Interpretation:

This table clearly shows that the respondents have shown 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

68
 16. Satisfaction towards service of Samsung Smart Phones.

Table no. 4.16

Opinion No. of Respondents Percentage

Excellent 18 18%
Good 72 72%
Fair 10 10%
Poor 0 0%
Total 100 100%

Chart no. 4.16

Opinion
80

70
72
60

50

40

30

20
18
10
10 0
0
Excellent Good Fair Poor

Opinion

Interpretation:

From the above table it is clear that 67% of the customers believes that the Samsung smart phones
are Good. And are rated as excellent by the 19% of the respondents and as by the 14% respondents
says fair.

69
 CHAPTER 5

FINDINGS, CONCLUSIONS AND

RECOMMENDATIONS

70
5.1 Findings

• The most owned brand was shown by the study results to be Samsung, with a frequency of
38%, followed by 15% of respondents that owned other brands, indicating that most of the
respondents owned mobile phone brands that were not included on the list provided. I-
Phone and Nokia followed, with 13% and 12%, respectively. Huawei, Sony and Oppo held
9%, 6% and 3% respectively, whilst Blackberry and LG were the least owned brands, with
2% and 2% respectively.
• Respondents were asked the price ranges of the mobile phone they purchased. The results
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 between 20,001 and 30,000. This shows that most of the students were price-
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.
Blackberry and LG held the least respondent approval, with only 3% and 3% respectively.
• More than half the respondents (52%), preferred mobile phone brands based on their own
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% of the respondents agree and 11% strongly agree that they associate brand popularity
with mobile phone quality, 31% of the respondents were neutral whereas 23% of the
respondents disagree and 6% strongly disagree.
• 21% of the respondents agree and 14% strongly agree that they associate brand popularity
with the choices they make, 25% of the respondents were neutral whereas 31% of the
respondents disagree and 9% strongly disagree.

71
• 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% of the respondents agree and 19% strongly agree that they consider the durability and
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 a mobile phone brand, 15% of the respondents were neutral whereas 42% of the
respondents disagree and 11% strongly disagree.
• 67% of the customers believes that the Samsung smart phones are Good. And are rated as
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% of the customers believes that the Samsung smart phones are Good. And are rated as
excellent by the 19% of the respondents and as by the 14% respondents says fair.

72
5.2 Limitation of the Study:

 Study is limited to Bangalore location

 Time period is limited to 4 weeks
 The company may not disclose and provide data for their confidentiality purposes.
 The information gathered may or may not be true provided by the respondents.

73
5.3 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
effective implementation. If done effectively the Samsung not only satisfy the customers but it can
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.

74
5.4 Recommendations

1. Schemes: Attractive schemes should be provided for the customers and also the Samsung
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. Customer research study: The Samsung can do a customer research study, yearly or half
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. Advertisement can be made through print media & TV
6. Training schemes for employees: The Samsung should implement a well-designed
training scheme for employees with regard to the proper method like TQM (Total Quality
Management), PD (Product development), stimulation which helps in dealing with
customers that in turn will help both the customers and also the SAMSUNG to improve its
business.
7. The foremost suggestion, which I have to give, is reduction in minimum balance and initial
deposit. They must reduce to some minimum amount.
8. Reception area: To avoid waiting time of customers the Samsung can provide enough
number of chairs with TV and light music facility, which in turn help in reducing the burden
of waiting time.
9. Samsung should provide the convenient parking facility to the customers.
10. Response from the employees: All employees should give proper response to the
employees when customers have any doubts.
11. Majority of the customers of Samsung feel that service is good but not excellent.
12. Awareness of some of the services like Campus, Senior citizen’s services among the people
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.

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 REFERENCES
1. A. Mohankumar, U. Dinesh kumar the IOSR Journal of Business and Management, “customer
purchase behavior towards mobile phones”, November 2015, volume no:1, Issue No: 2319-7668,
p-p 04-08.

2. Dr. Abdul Ghafoor Anand, Arooj Fatima British Journal of Marketing Studies, “youth
purchasing behavior in selection of mobile phones”, Volume No: 4, pp.72-80, August 2014.

3. Mesay Sata the Mediterranean Journal of Social Sciences,” Decision of buying mobile phone
devices” Volume no 4, p-p 1-19 November2013

4. Thanika Devi Juwaheer the International Journal of Advanced Research “impact on the selection
of mobile phones among young customers”, Volume 1, Issue 4, 326-339: p-p 01-06,18 May 2012

5. S.M. Hasan ‘Annals of Management Research, “mobile phones purchase behavior” Volume
number1, p-p 61- 88 September – October 2011

6. Mridanish Jha International Journal of Advanced Research in Management and Social Sciences,
“Buying behavior of urban and rural consumers in mobile phones” Vol. 2 No. 4 p-p 04-31April
2010.

7. Hassan Jawad Soomro European Scientific Journal “consumers to understand the overall
purchase behavior of this segment of mobile phones” November 2009 edition vol.9, No.31 ISSN:
1857 – 7881p-p 144-161 (Print) e - ISSN 1857- 7431.

8. Md Reaz Uddinand Nusrat Zahan Lopa International Journal of Managing Value and Supply
Chains (IJMVSC) “This study has put efforts to uncover the underlying factors those affect
customers in choosing mobile phones” Vol.5, No. 2, p-p124-261 June 2008.

9. Raymond K. Dziwornu International Journal of Marketing Studies “factors affecting mobile

phone purchase decision” Vol. 5, No. 6; 2013ISSN 1918-719X E-ISSN 1918-7203,7
february2011.

10. S. SUKUMAR the International Journal of Commerce, Business and Management “consumer
awareness relates to the usage of mobiles” (IJCBM), ISSN: 2319–2828 Vol. 2, No.2, April 2006.

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BOOKS:

1. C. R. Kothari, Research Methodology, new age international publishers, third reprint Edition
2004.

2. Greenstein firsman, electronic commerce Tata McGraw hill,1999.

3. saroj kumar, bhanu prakash verma: Integrated marketing communication,

4. Paul Szwarc, (2010) “Researching Customer Satisfaction & Loyalty: How to find out what
people Really Think”, Kogan Page India Private Ltd.

5. R Woodruff, (2011), “Latest Approach Understanding Customer Value and satisfaction”,

Infinity Books.

WEB REFERENCES:

www.google.com

www.seminorprojects.com

www.managementparadise.com

www.encyclopedia.com

www.indiainfoline.com

www.managementparadise.com

 www.script.com

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 QUESTIONNAIRE

1. Analysis of Gender
a) Male
b) Female

2. Age of the Respondents

a) 18 - 25 years
b) 26 - 35 years
c) 36 -45 years
d) Above 45 years

3. Educational qualification
a) Up to SSC
b) HSC
c) Graduate
d) Post graduate

4. Occupation
a) Government Employee
b) Professional
c) Self Employed
d) Private Employee

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5. Annual Family Income
a) Up to 200000
b) 200000-400000
c) 400000-600000
d) Above 600000

6. Mobile phone brand ownership

a) Nokia
b) Samsung
c) Blackberry
d) HTC
e) LG
f) Sony
g) Oppo
h) Huawei
i) Others

7. Price ranges for mobile phones

a) < 10,000
b) 10,001 - 20,000
c) 20,001 - 30,000
d) >30,001

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8. Levels of mobile phone brand preferences
a) Nokia
b) Samsung
c) I-Phone
d) HTC
e) LG
f) Oppo
g) Sony
h) Huawei

9. Motivations for mobile phone brand preferences

a) Advertisement
b) Referrals
c) Own choice
d) Other

10. I consider brand popularity when choosing a mobile phone.

a) Strongly disagree
b) Disagree
c) Neither agree nor disagree
d) Agree
e) Strongly agree

11. I associate brand popularity with mobile phone quality.

a) Strongly disagree
b) Disagree
c) Neither agree nor disagree
d) Agree
e) Strongly agree

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12. I associate brand popularity with the choices I make.
a) Strongly disagree
b) Disagree
c) Neither agree nor disagree
d) Agree
e) Strongly agree

13. Price affects the mobile phone brand I prefer.

a) Strongly disagree
b) Disagree
c) Neither agree nor disagree
d) Agree
e) Strongly agree

14. Price is important when I choose a mobile phone.

a) Strongly disagree
b) Disagree
c) Neither agree nor disagree
d) Agree
e) Strongly agree

15. I associate mobile phone price with quality of the phone.

a) Strongly disagree
b) Disagree
c) Neither agree nor disagree
d) Agree
e) Strongly agree

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16. I consider the durability and reliability of mobile phones.
a) Strongly disagree
b) Disagree
c) Neither agree nor disagree
d) Agree
e) Strongly agree

17. I consider the portability of mobile phone brands.

a) Strongly disagree
b) Disagree
c) Neither agree nor disagree
d) Agree
e) Strongly agree

18. I consider quality when choosing a mobile phone brand.

a) Strongly disagree
b) Disagree
c) Neither agree nor disagree
d) Agree
e) Strongly agree

19. How will you rate the new technology in Samsung Products?
a) Fair
b) Good
c) Excellent
d) Poor

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20. How will you rate the Samsung product concerned with price?
a) Cheap
b) Reasonable
c) Too costly

21. Are you satisfied with the service of Samsung product?

a) Fair
b) Good
c) Excellent
d) Poor

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