A STUDY ON CONSUMER

PERCEPTION- BIGBASKET
VERSUS GROFERS

Submitted by:
1. Bhumika Bothra
2. Sejal Kajaria
3. Tushar Pareek
4. Shubham Saraogi
 OBJECTIVES

• Evaluating quantum and frequency of purchase of household FMCG from online websites
• To understand the preference and factors affecting the decisions while purchasing FMCG
• Understanding appeal for promotion
• Understanding brand preference of customers
 INTRODUCTION

• Value of consumers and their perception

• Growth of E-Commerce
• BigBasket and Grofers – “The market leaders”
• History of these ventures
 LITERATURE REVIEW

• Nicky LaMarco on “Consumer Perception Theory” (Published: 5th November 2018)

• Jane Smith on “Consumer Perception Theory” (Published: 12th October 2018)
• Mugdha Variyar on reforms bought by BigBasket (Published: Economic Times, 27 th April 2017)
• Sayan Chakraborty on the strategies of BigBasket and Grofers to scale the industry (Published:
Forbes India, 26th October 2018)
 RESEARCH METHODOLOGY

• Primary data through self-prepared questionnaire

• Frequency test of the data collected
• Data grouped under 4 headings:
i. Demographic Profile
ii. Attitude towards online shopping
iii. Perception about online market for FMCGs
iv. Perception about BigBasket and Grofers
 RESULTS AND DISCUSSIONS

A. Analysis of demographic data

1. Occupation

Housewife 30
Student 20
Business 14
Service 9
1. Housewives
a) Responsible for household jobs
b) Spare leisure time
c) Engage in other household activities

2. Students
a) Newer methods of shopping
b) Discovery oriented mind
c) Live alone
d) Busy schedule

3. Businessmen
a) Judicious expenditure
b) Offers and incentives

4. Service
a) Busy schedule
b) On-the-go shopping
2. Age Group

< 25 years 18
25 – 50 years 45
>50 years 10

• Youngsters looking to discover

• Young adults and adults and open to unconventional methods
• Elderly trust the conventional method and keep distance from complications
3. Gender

Female 49
Male 24

• Female more active towards online shopping

• Household responsibilities on women
• Men engaged in jobs
3. Marital Status

Single 22
Married 51

• Data collected mainly from housewives

• Married people form the major consumer portion for these ventures
4. Annual Family Income

<10,00,000 12
10,00,000 – 50,00,000 31
50,00,000 – 1,00,00,000 13
1,00,00,000 – 5,00,00,000 9
>5,00,00,000 8

• Female more active towards online shopping

• Household responsibilities on women
• Men engaged in jobs
5. Level of Education
Class 12 Pass 14
Undergraduate 29
Post-Graduate 29
Doctorate 1

• Higher Education is directly proportional to acceptability.

• Students open to these methods of shopping
6. Type of Motor Possesion

Two – wheeler 25
Four – wheeler 28
Both 17
None 3

• Two wheeler owners find difficulty in carrying the shopped goods home
• Those who possess four wheeler are also comfortable with shopping
online because of parking issues
 FACTORS INFLUENCING PURCHASE
DECISIONS

• Whether online market for FMCGs is taking the front seat

Yes 48
No 10
Maybe 15

• 66% are positive

• 20% not sure – lack of knowledge, misinterpretations, etc.
• Whether the groceries are adulterated when bought online

Yes 9
No 17
Maybe 47

• 23% believe that they quality is pure and unadulterated

• 65% unsure about the quality – lack of knowledge about functioning and
production; dissonance
• Very small portion of population believe that it is adulterated.
 INFLUENCE OF PROMOTIONAL APPEALS
AND INCENTIVES
• Which of the firms; BigBakset or Grofers; offers more number of promotional incentives

BigBasket 39
Grofers 34
• More or less same amount of incentives
• Copying the competitors’ strategy with own creativity
• Keep the playing field levelled at all instances
 INFLUENCE OF PROMOTIONAL APPEALS
AND INCENTIVES
• Which of the subjects has a more appealing advertisement

BigBasket 55
Grofers 18

• Use of eminent personalities like Shah Rukh Khan and Ratna Pathak Shah
• “Castle in the cloud” for women and housewives
• Their superiority compared to cometitiors
 REASON OF PURCHASE

• Brand Partnerships

BigBasket 53
Grofers 20

• Consumers looking for variety

• Brand partnership adds on to the goodwill
• Instils trust in the minds of the consumers
 BRAND PREFERENCE

• Recommendation

BigBasket 48
Grofers 25

• Membership preference

BigBasket 55
Grofers 18
• BigBasket has an upper hand when it comes to preference of consumers
• The data can be attributed to the following conclusions
• First-mover advantage
• More incentives
• Various innovations like BB Daily and BB Instant
• Successful operations and expansion
• Faith of the investors
 FIRST MOVER ADVANTAGE
Which of the subjects did you hear first about?

BigBasket 60
Grofers 13

BigBasket is the first comer

The advantages reaped by BigBasket as the first mover are:
• Preferred brand by consumers
• Easy to find investors
• Easy Brand partnerships
• New innovations like BB Instant and BB Daily readily accepted by the market
• Reached out to local vendors and established private labels
• Copyright of ideas
 CONCLUSIONS
• Majority have shown interest in these ventures and are willing to buy groceries online
• The consumers are doubtful about the quality of these goods when bought online
• BigBasket does have a first-mover advantage over its competitors
• Consumers open to try out new options
• Promotional offers serves as a bait to attract consumers
• Advertising strategy attracts consumers
• Women are the major shoppers and age group is between 39-45 years
• Educated and employed professions resort to online shopping of FMCGs
 LIMITATIONS OF STUDY

• The limitation during the research was searching for women respondents who shop grocery products
along with the experience of online shopping.
• Sample size is not a complete representation of the population.
• Majority of the responses came from the region of and around Kolkata.
• The rural influence of these markets could not be studied.
 SCOPE FOR FUTURE RESEARCH

• Suggest reforms that these brands can bring to their business model for growth
• Plan out the marketing strategies to curb problems and counter loopholes
• Study the growth of E-Commerce sector
• Study the impact that these sectors have on the consumers
Thank You!