A project report on effect of consumer behaviour on the purchase of refrigerators
1. CONSUMER BEHAVIOUR
Term Project (Phase – I,II,III,IV)
“EFFECT OF CONSUMER BEHAVIOUR
ON THE
PURCHASE OF REFRIGERATORS”
Submitted by
Group 1
Executive PGDM – 2008-2009
2. Effect of consumer behaviour on the purchase of Refrigerators
Table of Content
Phase – I
1. Introduction 4
2.
1 A
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3. Effect of consumer behaviour on the purchase of Refrigerators
ACKNOWLEDGEMENT
We are sincerely grateful to ………………………., IMI Delhi, under whose able
guidance this study is being undertaken.
We would also like to thank ………………………., ……………………,
…………………………………….who have all been very prompt in replying to all
our queries and have been supportive to us in completing the Phase-I of this study.
INTRODUCTION
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Company’s ability to maintain satisfying customer relationships requires an understanding of
consumer buying behaviour. This refers to the buying behaviour of consumers who purchase
products or services for their personal or household use. Consumers have limited time, energy
and financial resources. Within the available resources, they make purchase and consumption
choices as they wish. Consumers purchasing decisions take place over a period of time. The
overall goal during this decision process is to evaluate various alternatives and choose the
product that satisfies the consumer in an optimal way. Consumers get influenced by several
major factors while they make their decisions. These factors can be grouped as:
• social,
• cultural,
• psychological
• personal factors etc.
The consumer’s degree of interest in a product and the importance he/she places on this product
determines the consumer’s level of involvement. High-involvement products are usually
expensive and are visible to other people such as a Diamond ring/jewellery or a Expensive car.
Low-involvement products are less expensive and have less social risk associated with them such
as a cup of coffee or daily consumption items.
When buying frequently purchased, low-cost mundane items that require very little search and
decision effort, they demonstrate routinized response behaviour. When buying products
occasionally or when they need to get information about an unfamiliar brand in a familiar
product category, they use limited problem solving. When they buy unfamiliar, expensive
products, they use extended problem solving.
Phase – I Findings
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Objective : The purpose of this study is to understand key external variables influencing the
buying behavior of a particular segment of customers towards the product category of
Refrigerator.
Consumers get influenced by several major factors while they make their decisions. These
factors can be grouped as demographic, social, cultural factors etc. Consumers try to purchase
and maintain a variety of products that satisfy their current and future needs.
Segment/Sample profile Chosen : The consumer segment chosen for this study is Males
in the age group of 30 to 40 years, working professional and married.
External Factors
The External factors that influence the purchase decision of consumer in the age group of 30 to
40 for a Refrigerator.
1.) Demographic Details
2.) Media Habits
3.) Indian Culture
4.) Ethnic Subculture
5.) Occupational Subculture
6.) Family
7.) Social Class
8.) Reference Groups
9.) Celebrity and Opinion leader
External factors and their influence on Refrigerator purchase
1.) Demographic Details:
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• Prefer Style as it fit to home décor
• Maximum budget allocated for a refrigerator purchase is Rs. 15000.
2.) Media Habits
• Use media to gather information (i.e. thru advertisements)
• Prefer internet to compare features so more & more information should be
available on internet.
3.) Indian culture
• Bright colors preferred but no one wants Black Color.
• People prefer to buy on auspicious occasions and festival like Diwali & Navratri.
4.) Ethnic subculture
• Aggrawal: prefer low cost for same utility.
• Saxena : Prefer more features.
All consumers want value for money and after sales services is important for all.
Vegetarians look for more vegetable box space where as non-vegetarians look for
spacious deep freezers .
5.) Occupational subculture
• Working Professional : Needs medium capacity range refrigerator.
• Monthly income doesn’t play significant role in deciding the capacity of
refrigerator.
6.) Family
• Spouse is the major influencer (Advice of other family members like mother and
family friends also plays an important role).
7.) Social Class
• All social class – value for money & many even consider it as style as it fit to
home décor.
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8.) Reference Group
• Influenced by sites and brand ambassadors.
• Neighbors also play a role of reference group
9.) Celebrity and opinion leader.
• Purchase is influenced by Salesmen in showrooms
• Celebrities was an important opinion leader and play role as influencers.
Marketing Implications
4 P approach
1.) Product
• Aesthetics (looks, color) are major considerations while purchasing Refrigerators so wide
range of color should be available to fulfill the demand of maximum customers.
• After Sales Service is the main attributes being looked while purchasing the product.
• More feature and maximum shelf space inside also looked while purchasing the product
so more shelves to be provided in door side of the refrigerator so that more bottles can be
kept inside it.
2.)Price
• All customers look for Value For Money. Mostly people are price conscious while
purchasing the product.
• Low price also acts as a social barrier as people consider low price refrigerator as a low
quality product.
• Price is not the major constraint if we are providing additional feature needed by the
customers.
3.) Place
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• Location of showrooms is not the most sought after criteria in the purchase decision
because refrigerator is a high-involvement product and customers are ready to travel for
purchasing refrigerators. But show room should be at such a place where other
competitors are also available because people always want to make comparison.
• Since India is very rich in its customs and traditions, a number of festivals are celebrated
throughout the year. People prefer to do major purchases during festival and special
occasions so marketer should take this as an opportunity and provide maximum range of
the products.
4.) Promotion
Focusing on the promotion element of the four Ps, good communication is the key
to effective marketing. Potential customers go through a purchase cycle: pre-
transactional (ie before a purchase), transactional (ie at the time of purchase) and
post-transactional (ie after the purchase has been made). The AIDA model
encapsulates this sequence and can assist in the planning of any communications
campaign:
A – awareness/attention - making the consumer aware of the product and getting
their attention
I – interest – generating interest in the product/service on offer
D – desire – creating a desire for your product /service – on two levels: first,
related to the target’s needs/wants; and, second, relative to your competitors
A – action – stimulating the target to purchase the product/service
• Advertisements should be focused on homemakers because they are the primary
influencers, mostly joint decision is taken whereas the financers husbands.
• Extended after Sales Service can be used as pull strategy of promotion to attract the
customers as all customers consider it as main attribute while purchasing the product.
• Internet is other sources of gathering information about refrigerators and hence the
product should be heavily promoted there.
• Advertisements should also highlight the style and aesthetic appearance of the product to
position it as home décor.
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• Salesmen should be properly trained to educate the customers as they are the major
opinion leaders in this segment of the market.
INTERVIEWS
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INERVIEW 1:
Respondent : Mohit Aggrawal
Demographic Details:
• Age: 31
• Gender: Male
• Qualification: B.Tech, DY.Mgr. Reliance Energy
• Income : 5-7 Lac p.a.
• Religion: Hindu
• Native Residence: Pilibhit U.P., Currently Living in Gzd.
Media Habits:
• Newspaper: Regular
• Television: Frequently, News and Entertainment
• Internet: Regularly used to checking mails, social networking sites, educational and
informational sites
Attributes of the Culture: Indian
• Patriotic
• Believer of mythology
• Respect for elders
• Committed to friendship and relations
• High involvement with family
Attributes of the Subculture
Aggrawal
• Value for money
• Food-lover
• Celebrates festival like Holi, Navratri, Diwali.
• Follows Hindu rituals
Working Executive
• Strict schedule
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• Monthly/bi monthly Watching movies in theaters
• Dining out in food joints with family & friends
• Weekly personal Shopping (Preferably sales)
North Indian
• Different food preferences like Dal-Rice, Rajma.
• Mostly prefers homemade food
• Celebrates main festivals as Holi and Diwali
Family Structure
Spouse, Daughter, Mother, Younger Brother (unmarried – pursuing graduation in Bareilly) and
himself
• Initiator: Spouse and mother.
• Information gatherer: Self
• Influencer: Spouse, mother and friends
• Decision maker: Joint decision (self and wife)
• Purchaser: Self
• User: Multiple users
Group
1. Work Group, Family Group
• Group plays an influential role in purchase
• Watching movies Monthly/bi monthly
• Dining out on weekends
• Prefer Shopping through sales
Product: Refrigerator 275 Liters (Videocon)
Influence of demographics on purchase of the product
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Looks for, 1.) Price (Discount offer thru promotion schemes)
2.) Brand and Quality
3.) More shelves in door to keep maximum water bottles/soft drinks
4.) After Sales Service
5.) Look for Moon Silver Color
6.) Maximum space for Vegetables and Dairy Products
Media Influence:
Uses media to gather information about the product
Prefers Internet to gather information
Indian Culture Influence
Preference to purchase on Diwali
Subculture Influences
1. Hindu/Aggrawal
• Also look for low cost, but without sacrificing in the utility.
• Deep freezer was not important as all members in family are vegetarian
2. Professional
• Value for money
• Style plays an important role as it fits in décor of the house
3. Northern India influence on his purchase
• More shelf space in door to keep maximum water bottles/soft drinks
Influence from family
Spouse and Mother gets involved in the purchase and acts like an influencer.
• Decision maker is he and his wife.
Brand preference: Videocon
Brand Ambassador: Shah Rukh Khan (Actor) and MS Dhoni (Cricketer)
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INERVIEW 2:
Respondent : Srinidhi
Demographic Details:
• Age: 31
• Gender: Male
• Qualification: BE, PGDCM
• Income : 4.5 - 6 Lac p.a.
• Religion: Hindu
• Native Residence: Bangalore.
Media Habits:
• Newspaper: Regular
• Television: News and Entertainment
• Internet: Regularly used for checking mails and information search on Google
Attributes of the Culture: Indian
• Theist
• Respect for elders
• Committed to friendship and relations
• High involvement with family
Attributes of the Subculture
Hindu / Brahmin
• Value for money
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• Foody and pure vegetarian
• Celebrates festival like Diwali, Sankranti etc
• Strict follower of Brahminical rituals and practices
Professional
• Good disposable income
• Watching latest movies
• Ardent Traveler
South Indian
• Avid curd user
• User of fresh food with lots of green vegetables
• Frequent religious ceremonies and get together at home
Family Structure
Himself and his Wife
• Initiator: Wife.
• Information gatherer: Himself
• Influencer: Wife and Cousin
• Decision maker: Himself and his Wife
• Purchaser: Himself
• User: Wife
Group
Family Group
• Family Group is major influencer for purchase
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• Traveling with family on weekend
Product: Refrigerator
Influence of demographics on purchase of the product
Looks for, 1.) Maximum space for Vegetables and Dairy Products
2.) Limited Deep freezer capacity mainly for Ice Creams
3.) Double Door
4.) Frost-free, 250 Ltr capacity
5.) Bright color, no black
Media Influence:
Uses media to gather information about the product
Prefers Internet to gather information
Indian Culture Influence
Preference for a bright color, No Black color
Subculture Influences
1. Hindu/Brahmin and South Indian
• Limited deep freezer space desired due to pure vegetarianism
• Auspicious buying periods dictated by Brahminical norms
2. Professional
• Value for Money
• Fits into the décor of the house
Brand preference: Videocon
Brand Ambassadors: Sharaukh Khan and MS Dhoni
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INTERVIEW 3:
Respondent : Jignesh Patel
Demographic Details:
• Age: 33
• Gender: Male
• Qualification: BE, Chemical
• Income : 5-7 Lac p.a.
• Religion: Hindu
• Native Residence: Vapi, Gujarat
Media Habits:
• Newspaper: Regular
• Television: Less frequently, only for News and Entertainment
• Internet: Regularly used for checking mails, social networking sites, and other
informational sites
Attributes of the Culture: Indian
• Patriotic
• Believer of mythology
• Respect for elders
• Committed to friendship and relations
• High involvement with family
Attributes of the Subculture
Gujarati
• Value for money
• Celebrates festival like Navratri
• Prefer to do major purchases in Navratri.
• Follows Gujarati rituals for marriage etc
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• Window Shopping
Westren Indian
• Different food preferences like Dal Dokhli, Gujarati kadi,Khaman etc.
• Mostly prefer homemade food
• Celebrates main festivals as Holi, Navratri (Dandia Nights) and Diwali
Social Standing
• Belongs to Upper Middle class
• Works In an MNC Company
Family Structure
Parents, Wife, Kid and himself
• Initiator: Wife and himself.
• Information gatherer: Self (Print media, advertisement & visiting dealers)
• Influencer: Wife and friends
• Decision maker: Himself
• Purchaser: Himself
• User: Multiple users
Group
Work Group, Family Group
• Group plays an influential role in purchase
• Watching movies on weekends
• Prefer Shopping through sales
Product: Refrigerator
Influence of demographics on purchase of the product
Looks for, 1.) Brand
2.) Features
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3.) Style
4.) After sales service
Media Influence:
Uses media to gather information about the product
Refers Television and print media advertisement
Indian Culture Influence
Prefer to buy on Navratri or Diwali.
Subculture Influences
1. Gujarati
• Looks for Quality and Value for money.
2. Working Professional
• Aesthetic and product features plays an important role
3. Social Status
• The purchase of the Refrigerator must depict the social status of the family.
Influence from family
Wife gets involved in the purchase and acts like an influencer.
• Decision maker is he, himself
Brand preference: Smasung
Brand Ambassador : Aamir Khan
INTERVIEW 4:
Respondent : Vivek Saxena
Demographic Details:
• Age: 34
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• Gender: Male
• Qualification: B.Tech, Software Professional
• Income : 5-7 Lac p.a.
• Religion: Hindu
• Native Residence: Lucknow U.P.
Media Habits:
• Newspaper: Regular
• Television: Frequently, News and Entertainment
• Internet: Regularly used for checking mails, social networking sites, for official purpose.
Attributes of the Culture: Indian
• Believer of mythology
• Respect for elders
• Committed to friendship and relations
• High involvement with family
Attributes of the Subculture
Saxena
• Value for money
• Enjoy Cock Tail parties
• Celebrates festival like Holi, Navratri, Diwali.
• Follows Hindu rituals
Working Executive
• Strict schedule
• Aesthetics
• Watching Latest movies in theaters
• Dining out in food joints with family
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North Indian
• Different food preferences like Rajma, Chole-Bhature, Chiken - Kabab.
• Mostly prefer homemade food
• Celebrates main festivals as Holi and Diwali
Family Structure
Spouse and himself
• Initiator: Spouse
• Information gatherer: Self and spouse
• Influencer: Spouse and friends
• Decision maker: Joint decision (self and wife)
• Purchaser: Self
• User: Both (Self and spouse)
Group
Family Group, Masti Group
• Group plays an influential role in purchase
• Watching movies in the first week of release
• Dining out on weekends
• Prefer Shopping through sales
Product: Refrigerator 310 Liters (LG)
Influence of demographics on purchase of the product
Looks for, 1.) Brand and Quality
2.) More Space (Deep Freezer)
3.) Price
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4.) Good After Sales Service
Media Influence:
Uses media to gather information about the product
Prefers Internet to gather information
Indian Culture Influence
Prefer to do major purchases on auspicious occasions
Subculture Influences
1. Hindu/Saxena
• Also look for Aesthetics , but without sacrificing in the utility.
• Deep freezer was preferred for non-vegetarian eatable
2. Professional
• Value for money
• Style plays an important role as it fits in décor of the house
3. Northern India influence on his purchase
• More shelf space in door to keep maximum water bottles/soft drinks
Its too hot in summers and there is power cutout is major problem .
Influence from family
Spouse gets involved in the purchase and acts like an influencer.
• Decision maker is he and his wife.
Brand preference: LG
Brand Ambassador : Abhishek Bacchan
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INTERVIEW 5:
Respondent : Randheer Singh Ahluwalia
Demographic Details:
• Age: 38
• Gender: Male
• Qualification: B.A,
• Income : 3-5 Lac p.a.
• Religion: Sikh
• Native Residence: Jullander,Punjab.(Presently residing in Delhi)
Media Habits:
• Newspaper: Regular (Nav Bharat Times)
• Television: Sometimes, ETV(Punjabi) and Entertainment
• Internet: Never used.
Attributes of the Culture: Indian
• Devout Sikh
• Respect for elders
• Committed to friendship and relations
• High involvement with family
Attributes of the Subculture
Sikh/Khatri
• Wants the best product available in the market
• Always wants something flashy
• Celebrates festival like Baisakhi, Lohiri, Guruperb.
• Follows Sikh norms
Working Professional
• Love Folk songs
• Occasionally throw parties for friends at home.
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• Went to native place in summers
• Have a like for latest electronic gadgets.
North Indian
• Likes the north Indian food “PARATHA” and “MAKKE KI ROTI AUR SARSO KA
SAAG”
• He also likes the non veg food like chicken biryani and chicken tandoori.
• Mostly prefer homemade food
• Also enjoy another religions festival like HOLI ,DIWALI, and CHRISTMAS
Social Standing
• Belongs to Upper Middle class
• Family business of General Store (Munirka).
Family Structure
Wife ,Mother, Two children
• Initiator: Spouse
• Information gatherer: Self
• Influencer : Mother, Spouse & friends
• Decision maker: Himself
• Purchaser: Himself
• User: Multiple users.
Group
Family Group, Masti Group
• Both Group plays an influential role in purchase
• Party with friends
• SALES doesn’t have much impact to plan for shopping
Product: Refrigerator 310 Liters (Whirlpool)
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Influence of demographics on purchase of the product
Looks for, 1.) Deep freezer and spacious
2.) Price (Ranging b/w 12~15K)
3.) Brand and Quality
4.) After Sales Service
Media Influence:
Advertisements on TV.(influenced by Ajay Devgan & Kajol)
Subculture Influences
1. Sikh/Khatri
• Prefer for bright colors.
• Deep freezer was required for non-vegetarian & dairy eatable
2. Professional
• Value for money
3. Northern India influence on his purchase
• More shelf space in door to keep maximum water bottles/soft drinks
Influence from family
Spouse gets involved in the purchase and acts like an influencer.
• Decision maker - himself.
Brand preference: Whirlpool
Brand Ambassador: Ajay Devgan and Kajol
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PHASE - II
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INTERNAL FACTORS AFFECTING THE PURCHASE
BEHAVIOUR OF REFRIGERATORS
The consumer segment chosen for this study is Males in the age group of 30 to 40 years, working
professional and married.
The internal factors that influence the purchase decision of these consumers for a Refrigerator:
1. Need for the Refrigerator (whether need is physiological or esteem)
2. Personality of the buyer: whether he is extrovert or introvert, open to experiment, etc.
3. Level of Involvement of the buyer with the Refrigerator.
4. Motivation towards the Refrigerator whether it is latent or manifest.
5. Emotions towards the Refrigerator: which dimension will it satisfy amongst the
pleasure, dominance and arousal?
6. Brand personality as perceived by the buyer and how he relates it to his own
personality.
7. Attitude of the buyer towards the Refrigerator or the brand.
8. Self-concept of the buyer: his thoughts and feelings towards the refrigerators/brands
having reference to himself as an object.
9. Loyalty towards a particular brand of Refrigerator.
10. Positioning of a particular brand in the mind of the buyer.
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MARKETING IMPLICATIONS BASED ON
INTERNAL INFLUENCES ON PRODUCT PURCHASE
1. Need for the refrigerator
• The need for refrigerator is mostly just a physiological need and a refrigerator is a
utilitarian product for all the consumers.
• In cases where a high end refrigerator is bought it is also to satisfy the esteem need of
the consumer. By buying a high end product at a premium price the consumer would
like to impress his friends or relatives after being seen using a stylish and high
technology product.
Marketing Implications:
In the case of high quality product the marketer should try to promote its products in a
way such that the consumer feels that owning the product will enhance his esteem.
In case of a utilitarian product the marketer should promote its product as a product
which fulfills physiological needs of the product.
2. Personality of the buyer
• Personality of the buyer influences his purchase behaviour. An extrovert person will
buy a stylish product and a person who is not afraid of taking risks is more likely to
buy an innovative product.
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Marketing Implications:
Marketer should try to have a product which appeals to all its customers irrespective of
the personality of the customer i.e. it should have such attributes which appeals to the
masses.
3. Level of involvement with the purchase
• Refrigerator is a high involvement product for all the respondents and the buyer
generally consults with others and compares the features of different brands before
deciding to buy.
Marketing Implications:
As refrigerator is a high involvement product for which the customer searches and
evaluates it the marketer should make sure that his brand is in the evoked set of the
customer and try to influence the evaluation criteria of the consumer so that his brand has
a top of the mind recall while buying refrigerator.
4. Motive of buying refrigerator
• Both the manifest & the latent motives play important part in the purchase behavior
of the refrigerators.
Marketing Implications:
Marketer should promote and position its products in such a way that the consumer
believes that buying his brand will fulfill all his motives of owning the product.
5. Emotions towards purchase of refrigerator
• Refrigerator is a utilitarian product which is used in homes so the consumer has a positive
emotion towards it.
Marketing Implications:
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29. Effect of consumer behaviour on the purchase of Refrigerators
Marketers should make sure that purchase of refrigerator is accompanied with positive emotion
arousal for the refrigerator as well as for the brand.
6. Brand-personality of the refrigerator as perceived by the buyer
• Every brand is perceived differently by a consumer while buying the product
consumer buys a product which is in sink with his personality. So the perception of a
consumer towards brand also influences his purchase behaviour.
Marketing Implications:
Marketer should make sure that his brand is seen as a successful and vibrant brand by the
consumer . It should also be seen that all the promises made to the consumer is met so
that it is seen as a trustworthy brand by the consumers only then will the consumers buy
the brand.
7. Attitude of the buyer towards the Refrigerators
• Double door Refrigerators are considered more useful than single door refrigerators.
• Frost Free refrigerators are considered hassle free.
• High priced goods have better quality
• If a buyer has got positive emotional reaction towards a particular brand, he will
always prefer this brand and it is very difficult for the competitors to attract him
towards their products.
Marketing Implications: Marketer should build the positive image in the minds of the
consumer and should work hard to maintain that image.This positive image will then
result in a positive attitude towards the brand.
Comparative advertising can be used here by the marketer to generate attention, message and
brand awareness in the minds of the customer.
8. Self-concept of the buyer
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30. Effect of consumer behaviour on the purchase of Refrigerators
• The consumer buys a product which helps him to achieve his ideal private self and
ideal social self concept.
Marketing Implications:
The marketer should market its products in such a way that the consumer is able to
identify with the product and thinks that buying the product will help in achieving ideal
self.
9. Lifestyle of the buyer
• A buyer with lavish lifestyle will prefer expensive refrigerators with new features and
will be ready as a innovator to try new models with latest trends and technology.
• A buyer leading a simple lifestyle will opt for economic refrigerators and will be
much more price-sensitive.
Marketing Implications:
The marketer should try to create a product mix which caters to different segment of
consumers based on different lifestyles of the consumer. There should be such a product
mix that there is at least one product for each type of consumer.
10. Brand-loyalty
• Consumers who are brand loyal will always prefer the products of their brand due to
the trust & faith that their brand is best in the business.
• Brand-loyal buyers are repeat purchasers and acts as opinion leaders for the brand.
Marketing Implications:
The marketer should try to inculcate the feeling of loyalty in the mind of the consumer
because when a consumer is loyal towards a brand
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• He will buy only the products of that brand.
• Act as an advocate for the brand
The company can do so by customer delight i.e. exceeding the expectations of the
consumer. It is not so easy for a company to do so but a company who manages to do so
will surely be highly successful in the market and emerge as market leader.
11. Positioning of a particular brand in the minds of the buyer
• Videocon is considered as economical brand.
• Samsung is a market leader in electronics and electrical products and hence worth buying.
• LG is positioned having very wide network of service center all over the country so can
provide better after sales service then others.
Marketing Implications:
The marketer should position the product according to the target Market for the brand and
also according to the segment of society it wants to cater to. Eg. If the brand wants to be
seen as a premium product it should position itself as a product with high quality and
technologically advanced product.
MARKETING MIX STRATEGY
4 Ps approach
1) Product
• Refrigerator’s fulfill the physiological need of the consumer and considered as
utilitarian product. Company should insure that whatever product they market it
should be durable enough which last quite many years and give trouble free service to
their customers. Customer expects good after sales service and prompt response to his
complaints in case of any problem with the product. Extended warranty can be used
as an attribute attached with the product.
2) Price
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• For high quality refrigerators the company can charge a premium price as consumers.
For this target segment, focus should be more on the features, technology & the style
quotient of the refrigerators.
• For middle class a consumer who is wants value for money product marketer should
emphasize on attributes of the product by which consumer is aware of the value of his
investment.
3) Place
• Customer prefers to visit authorized dealers of the particular brand and has a attitude
to visit big dealers or supermarket to buy the product. Customer also have tendency
of comparing various attributes of different brands before buying the product. So
Shoppe should be in such a location where competitor brands also exist. Hence
clustering of showrooms is something which has to be kept in mind while deciding on
the showroom location.
• Consumers also prefer showrooms where they have experienced some pleasant
experience, so it’s also important to appoint friendly staff in the showrooms with
knowledge of the product so that customers visiting showroom can get sufficient
information regarding features and other attributes of the product.
4) Promotion
• Emotion in advertising: Repeated exposure to positive-emotion-eliciting ads may
increase the brand preference of refrigerators due to classical conditioning.
Print ad should contain information of features and attributes that consumer wants, it can
be useful when customer is thinking rationally before buying the product. It may also
show strength of attributes with compared to other competitors in the market.
Where as electronic ad should look to create positive emotion for the product through
classical conditioning.
• Change the cognitive component-Change beliefs:
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33. Effect of consumer behaviour on the purchase of Refrigerators
• Exposure: The companies need to do more of exhibitions as trade fair etc. in order to
expose the consumers towards the new launches.
• Emotional appeals: Companies like Videocon which have strong emotional connect
with the Indian consumers should also concentrate on emotional appeals in order to
exploit the manifest motives of the consumers.
• Emotion arousal as a product benefit: Refrigerators can be positioned as emotion-
arousing products by the companies like “don’t let smells mix”, “one call does the
all” or “Wow factor” of the refrigerators can be used by the marketers to promote
their refrigerators
• Comparative ads: Companies which have got superior models this will help in
generating attention, changing brand attitudes & increased purchase intentions.
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34. Effect of consumer behaviour on the purchase of Refrigerators
INTERVIEWS
INTERVIEW #1
Respondent name: Mohit Aggrawal
Personality
• Likes to mingle with others
• Down to earth & humble
• Friendly
• Polite & sympathetic towards others
• Less open to experience
PURCHASE BEHAVIOUR OF REFRIGERATOR:
Model/Capacity: 275 Liters (Videocon- Refrigerator)
Need:
• Wanted a new refrigerator for family use
• Wanted to replace old refrigerator as old refrigerator didn’t provide sufficient cooling
(more than 10yrs old -Kelvinator)
Classification of need as per Maslow’s hierarchy
• Respondent’s need for refrigerator was physiological as he wanted it for daily use of his
family.
Motives for purchase of refrigerator
i) Manifest motives
• A Videocon refrigerator was more economical and value for money
• It’s a decent simple and will fulfill the necessity of my house hold
ii) Latent motives
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35. Effect of consumer behaviour on the purchase of Refrigerators
• Didn’t want to spend too much on buying of refrigerator
• Now I can boast of being a proud-owner of latest technology refrigerator i.e. Frost Free.
Emotions of Respondent while buying refrigerator
• Respondent is a family oriented guy who believes that refrigerator would help him in
fulfilling his family’s need to keep perishable eatables safe and fresh.
Attitude of Respondent towards refrigerators
i) Cognitive component
• Double door refrigerators perform better as they have separate compartments, ice
formation is faster as freezer compartment is not opened frequently.
• Moon silver color has less effect of dust on it.
ii) Affective component
• Respondent feels that 275 liter refrigerator will be more convenient for his family.
• Feel good factor that respondent has purchased latest technology refrigerator.
iii) Behavioral component
• Respondent was getting good deal of discount after bargain on Videocon refrigerator
from the dealer
Self-concept
i) Actual private
• Respondent feels that sometimes he goes overboard while shopping.
ii) Ideal private
• Respondent would like to be more rational while purchasing.
iii) Actual Social
• Respondent is seen in the society as a person who indulges in showoff of wealth a lot.
iv) Ideal Social
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36. Effect of consumer behaviour on the purchase of Refrigerators
• He likes to be seen as someone who knows the value of money.
Brand personality of Videocon as perceived by the respondent
• Videocon is a well established Indian brand. It is economical than other brands.
• It has got competence. It is reliable & durable.
• It is a typical middle class brand and is not a sophisticated one.
Respondent’s attitude towards Videocon
• Videocon is a well established Indian brand so has a soft corner towards it.
• Videocon provides value for money products.
• Videocon understands the Indian conditions as it is an Indian brand.
Positioning of Videocon in the mind of the respondent
• Videocon is an economical brand for middle segment people.
• Its products are reliable and require less maintenance
• Videocon refrigerator provides anti bacterial liner by completely preventing the entry of
germs so it keeps protection and freshness of the food stored in it. (Respondent had read about it
from some article some where).
INTERVIEW #2
Respondent name: Srinidhi
Personality
• Extrovert
• Moody
• Polite & sympathetic towards others
• Less open to experience
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37. Effect of consumer behaviour on the purchase of Refrigerators
PURCHASE BEHAVIOUR OF Refrigerator:
Model: Videocon Double Door Frost-Free 250 Ltr Refrigerator
Need:
• Wanted the Refrigerator for family use (to be used by himself & his wife)
• Consumption of fresh green vegetables everyday
Classification of need as per Maslow’s hierarchy
• Respondent’s need for Refrigerator was physiological as he wanted it for storing the
required consumables for daily use
• This also manifested as an esteem need in terms of the size and design of the refrigerator
as most of his friends and colleagues at his level had a double door refrigerator and he
had to buy a product which was atleast as good as theirs.
Motives for purchase of refrigerator
i) Manifest motives
• A 250 ltr double door refrigerator is a product made for families
• A number of my friends and colleagues have preference for the same design.
ii) Latent motives
• He believes that the Videocon Refrigerator is a product that will demonstrate his logical
decision making ability and rationality
• It will also put him in the same group as his friends and colleagues are.
Emotions of Respondent while buying refrigerator
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38. Effect of consumer behaviour on the purchase of Refrigerators
• Respondent is a traditional person who believes that a Refrigerator is one of the basic
necessities in family to keep the some of the daily use consumables fresh.
Attitude of Respondent towards refrigerators
i) Cognitive component
• Frost-free Refrigerators are easy to use and hassle free
• Double door design is the best design for medium to large size refrigerators
ii) Affective component
• Respondent feels that Videocon refrigerators are best in business and thus has a positive
emotions towards them
iii) Behavioral component
• If Videocon comes up with an exchange offer for the old refrigerators, respondent would
be happy to exchange his old refrigerator with a new Videocon one.
Self-concept
i) Actual Private
• Respondent feels that he is abreast with the latest technology.
ii) Ideal Private
• Respondent would like to be in touch with technological advances.
iii) Actual Social
• Respondent thinks that he does not use high tech products.
iv) Ideal Social
• Respondent would like to be seen as someone who is aware of latest high technology
available products.
LOYALTY TOWARDS A BRAND: Videocon
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39. Effect of consumer behaviour on the purchase of Refrigerators
Respondent is loyal towards the Videocon and would anytime prefer the products of this
company only. In the future also, if he wants to buy another refrigerator he will go for Videocon
brand only.
Brand personality of Videocon as perceived by the respondent
• It has got competence. It is reliable & successful
• It is highly utilitarian and value for money brand
• Provides high technology products at a reasonable price.
Respondent’s attitude towards Videocon
• Videocon has a strong market share in Refrigerator category hence worth buying
• Videocon always provides good quality products and excellent after sales service
• Videocon Refrigerators always perform on par with the Refrigerators from some of the
other top companies
• Since Videocon is recognized as a very good brand and everyone appreciates its products,
it is definitely better
Positioning of Videocon in the mind of the respondent
• Videocon is an economical brand and provides highly utilitarian refrigerators
• Its products require less maintenance
• Videocon Refrigerators last long
INTERVIEW # 3
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40. Effect of consumer behaviour on the purchase of Refrigerators
Respondent name: Jignesh Patel
Personality
• Down to earth & humble.
• Polite & sympathetic towards others.
• Less open to experimentation.
PURCHASE BEHAVIOUR OF REFRIGERATOR:
Model: Refrigerator
Need:
• Wanted a refrigerator as old refrigerator was not working properly.
• His old refrigerator was not cooling properly.
Classification of need as per Maslow’s hierarchy
• Respondent’s need for refrigerator was physiological as he wanted it for daily usage to
keep daily food fresh.
Motives for purchase of refrigerator
i) Manifest motives
• He wanted a large size refrigerator as he recently got married and also his parents are
now living with him.
ii) Latent motives
• He is also looking for stylish and large refrigerator as his relatives and friend are having
the 250 liters refrigerator.
Emotions of Respondent while buying refrigerator
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41. Effect of consumer behaviour on the purchase of Refrigerators
• Respondent is a pleasure-seeking guy who believes that Samsung refrigerator helps him
in needs of his family without much hassle of after sales service along with the style
statement
Attitude of Respondent towards refrigerators
i) Cognitive component
• Samsung provides quality and stylish products.
• They are having a very good after sales service.
ii) Affective component
• Respondent feels that Samsung products are good looking and thus has a positive
emotions towards it.
iii) Behavioral component
• Respondent enquires about after sales service while buying the product.
Self-concept
i) Actual Private
• Respondent feels that he is humble & down-to-earth guy
ii) Ideal Private
• Respondent would like to be more sincere.
iii) Actual Social
• Seen using value for money products.
iv) Ideal Social
• Wants to go for stylish products.
LOYALTY TOWARDS A BRAND:
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42. Effect of consumer behaviour on the purchase of Refrigerators
Respondent is loyal towards the Samsung and would anytime prefer the refrigerator of this
company only. In the future also, if the company comes out with any exchange offer, he would
like to exchange his old refrigerator with a new refrigerator of same brand only.
Brand personality of Samsung as perceived by the respondent
• Samsung is stylish, innovative and quality oriented brand.
• It is reliable & successful
• It is a rugged and tough brand
Respondent’s attitude towards Samsung
• Samsung is a market leader in electronics and electrical products and hence worth
buying.
• Samsung always provides good quality products with latest features.
Positioning of Samsung in the mind of the respondent
• Samsung is a stylish brand and it provides quality products at reasonable Price.
• Its products are reliable and require less maintenance
INTERVIEW # 4
Respondent name: Vivek Saxena
Personality
1Extrovert and flashy
2Stable with less mood swings
3Polite & sympathetic towards others
4Likes to experience new things
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43. Effect of consumer behaviour on the purchase of Refrigerators
PURCHASE BEHAVIOUR OF REFRIGERATOR:
Model: LG
Need:
• He bought the refrigerator just before marriage because of the need of refrigerator in
the house after marriage
• He Bought LG because of the brand image and its image in the market as a high
quality product.
Classification of need as per Maslow’s hierarchy
• Respondent’s need for the refrigerator was physiological as he wanted it for daily
household needs.
• His need was that of a esteem need too as he bought LG brand because of the brand
image and being perceived by his relatives and friends as a high quality product and
he wanted others to perceive him as a user of high quality goods.
Motives for purchase of refrigerator
i) Manifest motives
• He does not own a refrigerator so he wants to buy one.
• Need of a two door model as use of ice in summers is quite high.
ii) Latent motives
• Wanted to impress his relatives and friends by purchasing a product which is a market
leader in its class.
• Went for a large size as he wanted him and others to see him as someone who looks
forward for the future needs too.
Emotions of Respondent while buying refrigerator
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44. Effect of consumer behaviour on the purchase of Refrigerators
Respondent is a pleasure-seeking guy who believes that usage of high price goods is good
because he perceives high priced goods as a mark of high quality.
Attitude of Respondent towards refrigerators
i) Cognitive component
• High priced goods have better quality
• As LG is a market leader it must be a high quality product.
ii) Affective component
• Respondent feels that LG refrigerators are best in quality and thus has a positive
emotional reaction towards them
• Wants to impress others by purchasing a large size refrigerator of a market leader brand.
iii) Behavioral component
• While purchasing the product he enquired about package deal on the product
• He also bargained for the price and got discount on the product.
Self-concept
i) Actual Private
Respondent feels that he is a sincere and humble guy
ii) Ideal Private
Respondent would like to be more participative in daily household chores and would like to help
his wife in household chores which he is not able to do due to lack of time.
iii) Actual Social
Respondent thinks that he is a level headed guy with control on his emotions.
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45. Effect of consumer behaviour on the purchase of Refrigerators
iv)Ideal Social
He would like to be seen in the society as a successful guy who has achieved his success due to
his own hard work.
LOYALTY TOWARDS A BRAND: LG
Respondent is loyal towards the brand LG and has bought Television and refrigerator of this
brand only.
Brand of LG as perceived by the respondent
• It is a foreign brand but understands the Indian market.
• Offers good after sales service.
• Technologically advanced product being offered by LG
Respondent’s attitude towards LG
• It is costly but value for money in the long run.
• LG offers high quality products.
• Since word of mouth of LG is very good and everyone appreciates its products, it is
definitely better
Positioning of LG in the mind of the respondent
• Its products are reliable and require less maintenance
• LG has a very wide network of service center all over the country so can provide better
after sales service then others.
• High quality products being offered
• Market leader in refrigerators.
INTERVIEW # 5
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46. Effect of consumer behaviour on the purchase of Refrigerators
Respondent name: Randheer Singh Ahluwalia
Personality
• Extrovert, friendly in nature
• Moody & spendthrift
• Polite & sympathetic towards others
• Innovative and open to experiment
PURCHASE BEHAVIOUR OF Refrigerator:
Model: 310 Liters (Whirlpool)
Need:
• Wanted the refrigerator for family use.
• Also wants to use it for his business purpose.
Classification of need as per Maslow’s hierarchy
• Respondent’s need for refrigerator was physiological as he wanted it for daily use.
• His need was esteem because he often had party with his friends or peer group so he
wants to make impression on his friends.
Motives for purchase of refrigerator
i) Manifest motives
• 310 Ltrs refrigerator will be most suitable for his business purpose.
• Deep freezer is needed to store non veg and dairy products as paneer etc.
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47. Effect of consumer behaviour on the purchase of Refrigerators
• All his friends of business community have such refrigerator for their business.
ii) Latent motives
• It’s a large storing capacity refrigerator suitable for both business and home use.
• Now I can boast of being a proud-owner of large branded refrigerator.
Emotions of Respondent while buying refrigerator
• Respondent is a social guy with responsibility of family on his shoulders who wants such
a refrigerator that will also beneficial for his family use.
Attitude of Respondent towards refrigerators
i) Cognitive component
• Larger refrigerators are more useful than smaller refrigerator.
ii) Affective component
• Respondent feels that his choice of refrigerator will be beneficial for his family and thus
has a positive emotion towards it.
iii) Behavioral component
• He enquired about extended warranty on the product.
• Also bargains about the price of product.
Self-concept
i) Actual Private
• Due to lack of time he can’t spend more time with his family.
ii) Ideal Private
• Respondent would like to spend more quality time with his family.
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48. Effect of consumer behaviour on the purchase of Refrigerators
iii) Actual Social
• He is seen in his society as someone who give more importance to money than his
family.
iv)Ideal Social
• Respondent would like to be seen as who is very close to his family.
Brand personality of Whirlpool as perceived by the respondent
• Whirlpool is a reliable brand.
• Brand is trustworthy.
• It is well accepted and well known brand.
Respondent’s attitude towards Whirlpool
• Whirlpool always provides good quality products at reasonable price.
• Whirlpool is a durable brand with Sleek designs and contemporary styling
• Believed to be low energy consuming refrigerators.
• Since the brand reorganization and brand acceptability is good and belief is that it is
trustworthy brand so respondent has feeling that it has worth to buy.
Positioning of Whirlpool in the mind of the respondent
• Whirlpool always provides good quality products at reasonable price.
• Its products are reliable and require less maintenance
• Whirlpool refrigerators are having latest technology and new designs.
• Its products maintenance free and less energy consuming.
• Whirlpool refrigerators are better looking and more spacious from inside.
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49. Effect of consumer behaviour on the purchase of Refrigerators
PHASE # 3
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50. Effect of consumer behaviour on the purchase of Refrigerators
RESPONDENT1# Mohit Agrawal
CONSUMER DECISION MAKING PROCESS
It was a high involvement purchase for the respondent but his decision making was limited. He
underwent through following steps of decision making:
Problem recognition
Generic
Information Search
Internal search
External: Personal contacts,
marketer information
Alternative evaluation
Attribute based choice
Lexicographic decision rule
Purchase
Post purchase
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No Group
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51. Effect of consumer behaviour on the purchase of Refrigerators
Problem Recognition
Respondent found that his old refrigerator was not working properly and not giving sufficient
cooling. Secondly after marriage he needs a new refrigerator for the house.
Information search for Refrigerator
Internal Search: The respondent is aware of some of the refrigerator brands and has some
knowledge of the attributes each brand has to offer.
External Search: The respondent does an external search about the product being offered by the
brands which are in his evoked set.
Sources of information
i) Personal sources: Respondent’s cousin whom he believed too much. He advised the
respondent to opt for Videocon 250 ltr frost free double door refrigerator as he was already using
the same one.
ii) Experiential sources: Respondent along with his wife visited a local showroom and had a
look at the options in their evoked set viz Videocon and whirlpool before finalizing Videocon.
Thus the information source was limited external and was actively acquired.
Evaluating alternatives
Although the respondent was aware of many brands but he was looking for the refrigerator that
was most economical to him. So economical refrigerator was most important parameter for him
and evaluated refrigerators from different brands on that basis, Whirlpool and Videocon was in
his evoked set but never interested to go of Haier as he didn’t knew much about that brand.
Finally he decided to buy Videocon as it felt most appropriate one to fulfill his need at
economical price.
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52. Effect of consumer behaviour on the purchase of Refrigerators
Awareness Set Evoked Set
• Videocon • Videocon
• LG • Whirlpool
• Godrej
• Kelvinator
Inert Set
• Voltas • LG
• Whirlpool • Samsung
• Samsung
• Haier Inept set
• Voltas
• Kelvinetor
Evaluation criteria
Attribute based
Respondent considered the following attributes before finalizing his choice for Videocon:
• Price - Discount from dealer
• Brand and Quality
• More shelves in door to keep maximum water bottles/soft drinks
• After Sales Service
• Moon Silver Color
• Maximum space for Vegetables and Dairy Products
Decision rules
Lexicographic decision rule: The attributes ranked according to importance by the respondent
are:
• Price was the most important attributes for the respondent.
• Next most important attribute was brand name. Reliability of the brand
• Requires less maintenance.
• Understanding of the Indian conditions
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53. Effect of consumer behaviour on the purchase of Refrigerators
Thus, the decision rule chosen by the respondent was lexicographic.
Purchase behavior
• The respondent browsed in near by mall to check out the market price and also visited
multi brand outlets located near his house to compare the prices and other value added
services offered by both the outlets. Finally he purchased the refrigerator from the mall as
it offered him better deal in term of price discount.
• The respondent preferred cash purchase and paid the full amount of money at the time of
purchase.
Post purchase evaluation
Post purchase dissonance
• Respondent feels that his decision to buy Videocon best that he had made as he feels that
he is deriving full value of money paid for the same.
• He is fully satisfied with the performance of this Refrigerator.
Customer satisfaction
Brand loyal customer: The respondent is a committed customer of Videocon. He is a brand-loyal
to the company and is emotionally attached to the firm.
Repeat purchase: Respondent acknowledges that he is a fully satisfied customer and if he has to
buy other home appliance in the future, it will definitely purchase Videocon products if he gets
good deal and value for money.
RESPONDENT2# Srinidhi
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54. Effect of consumer behaviour on the purchase of Refrigerators
CONSUMER DECISION MAKING PROCESS
It was a high involvement purchase for the respondent but his decision making was limited. He
underwent through following steps of decision making:
Problem recognition
Respondent found that he would need a refrigerator among other home appliances while setting
up his home post marriage
Thus problem recognition was generic for the respondent and sensing the need for the
refrigerator, he straightway decided to purchase it.
Information search for Refrigerator :
External Search:
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55. Effect of consumer behaviour on the purchase of Refrigerators
Sources of information
i) Personal sources: Respondent’s cousin whom he believed too much. He advised the
respondent to opt for Videocon 250 ltr frost free double door refrigerator as he was already using
the same one.
ii) Experiential sources: Respondent along with his wife visited a local showroom and had a
look at the options in their evoked set viz Videocon and Godrej before finalizing Videocon.
Thus the information source was limited external and was actively acquired.
Evaluating alternatives
Although the respondent evaluated refrigerators from different brands, he was more or less sure
that he would buy a 250 ltr frost free double door refrigerator from the stable of Videocon.
Awareness Set Evoked Set
• Videocon • Videocon
• LG • Godrej
• Samsung • Bajaj Boxer
• Godrej Inert Set
• LG
• Whirlpool
• Samsung
• Haier
• Whirlpool
Inept set
• Haier
Evaluation criteria
Attribute based
Respondent considered the following attributes before finalizing his choice for Videocon:
• Videocon brand name
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56. Effect of consumer behaviour on the purchase of Refrigerators
• Design
• Ruggedness
• Simple looks
• Maximum space for Vegetables and Dairy Products
• Deep freezer capacity mainly for Ice Creams
• Frost-free, 250 Ltr capacity
Decision rules
Lexicographic decision rule: The attributes ranked according to importance by the respondent
are:
• Brand name
• reliability.
• ruggedness
• simple looks
Thus, the decision rule chosen by the respondent was lexicographic.
Purchase behavior
• The respondent visited two of the closest multi brand outlets located near his house to
compare the prices and other value added services offered by both the outlets.
• The respondent preferred the cash purchase and paid the full amount of money at the time
of purchase.
Post purchase evaluation
Post purchase dissonance
• Respondent feels that his decision to buy Videocon was one of the best that he had made
until now as he feels that he is deriving full value of money paid for the same
• He is fully satisfied with the performance of this Refrigerator.
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57. Effect of consumer behaviour on the purchase of Refrigerators
Customer satisfaction
Committed customer: The respondent is a fully committed customer of Videocon.
Repeat purchase: Respondent acknowledges that he is a fully satisfied customer and if he has to
buy any other home appliance in the future, it will definitely be from the Videocon family.
RESPONDENT 3# Jignesh Patel
CONSUMER DECISION MAKING PROCESS
It was a high involvement purchase for the respondent but his decision making was limited. He
underwent through following steps of decision making:
Problem recognition
Generic
Information Search
External: Personal
contacts, marketer
information
Alternative evaluation
Attribute based choice
Lexicographic decision rule
Purchase
Post purchase
No dissonance
Problem recognition
Respondent found that he was facing problems with his old refrigerator cooling system.
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58. Effect of consumer behaviour on the purchase of Refrigerators
Respondent desired for a Refrigerator which could do away this problem and also provide him
with a sense of superiority.
Thus problem recognition was generic for the respondent and sensing the need for the
refrigerator, he straightway decided to purchase it.
Information search for refrigerator
Internal Search: Because he owned a refrigerator he had some basic idea about the brands and
the attributes brands have to offer.
External Search: Ongoing search was made as respondent was thinking to replace his old
refrigerator for last 8~9 months.
Sources of information
i) Personal sources: Respondent had a friend whom he believed too much. He only advised
them to opt for Samsung as he was already using the same refrigerator.
ii) External sources: Respondent had visited Samsung and LG website which were in his
evoked set i.e. Samsung& LG before finalizing Samsung.
Thus the information source was external and was actively acquired.
Evaluating alternatives
Respondent kept on visiting store/outlets, comparing features and price so he was aware of many
brand from which he considered to purchase refrigerator from Samsung or LG. Haier & Godrej
was in his inept set as he didn’t consider Godrej was having latest features and he had also not
seen anyone known to him using Haier. So he was not confirmed whether Haier would be able to
provide good after sales service in India or not.
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59. Effect of consumer behaviour on the purchase of Refrigerators
Awareness Set Evoked Set
• Samsung • Samsung
• LG • LG
• Godrej
• Whirlpool
Inert Set
• Videocon • Videocon
• Haier • Whirlpool
Inept set
• Godrej
• Haier
Evaluation criteria
Attribute based
Respondent considered the following attributes before finalizing his choice for Samsung
• Samsung brand name
• Quality and Looks
• Ruggedness
• Product Features
• After sales service
Decision rules
Lexicographic decision rule: The attributes ranked according to importance by the respondent
are:
• Brand name
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60. Effect of consumer behaviour on the purchase of Refrigerators
• Quality
• Looks
Purchase behavior
• Respondent went to the “NEXT” Electronics showroom from where he bought his
television six month back. He looked at various offerings by different companies before
zeroing on the Samsung and LG. He found no difference with the two products but
because of his good experience with the Samsung products he went for the Samsung 250
liters refrigerator.
• The respondent preferred the Credit Card purchase.
Post purchase evaluation
Post purchase dissonance
• Respondent feels that Samsung, the one he bought was the good deal.
• There is no other dissonance as such from the part of the respondent and he is fully
satisfied with the performance of this Refrigerator.
RESPONDENT 4# Vikas Saxena
CONSUMER DECISION MAKING PROCESS
It was a high involvement purchase for the respondent but his decision making was limited. He
underwent through following steps of decision making:
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61. Effect of consumer behaviour on the purchase of Refrigerators
Extended Decision Making
Problem Recognition
Generic
Information Search
Internal / Extensive External
Alternative Evaluation
Lexicographic decision rule
Many alternative
Purchase
Post Purchase
Dissonance
Complex evaluation
Problem recognition
Respondent found that he is going to face problems after marriage of he doesn’t own a
refrigerator.
Respondent desired for a refrigerator which could do away this problem and also provide him
with a sense of owning a high quality product.
Thus problem recognition was generic for the respondent and sensing the need for the
refrigerator, he straightway decided to purchase it.
Information search for Refrigerators
Internal search: respondent was aware of the four major brands available in the market
External search:
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62. Effect of consumer behaviour on the purchase of Refrigerators
Sources of information
i) Personal sources: One of his friends owned a LG refrigerator. He had a talk with him
regarding his experience with the brand.
ii) Market sources: Respondent took a tour of the market and evaluated all the options in his
evoked and inert set i.e. LG and Samsung brand.
Iii) Media Sources: Went through the advertisement in both print and electronic media to be
aware of the deals being offered by the two brands.
Evaluating alternatives
Although the respondent was aware of the five major brands available in the market and
evaluated both LG and Samsung refrigerators, he was more or less sure that he would buy LG
brand.
Awareness Set Evoked Set
• LG • LG
• Kelvinator • Samsung
• Voltas
• Whirlpool
Inert Set
• Samsung • Whirlpool
Inept set
• Voltas
• Kelvinetor
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63. Effect of consumer behaviour on the purchase of Refrigerators
Evaluation criteria
Attribute based
Respondent considered the following attributes before finalizing his choice for LG
Refrigerator :-
• Size of the refrigerator
• Price of the product
• Ruggedness of the product
• Exterior looks
• No of shelves inside the refrigerators and its interiors on the whole
Decision rules
Lexicographic decision rule: The attributes of the refrigerator were ranked according to its
importance. Below given are the attributes arranged in a descending order as perceived by the
respondent:
• Quality of the product
• Brand image
• Price
• Ruggedness
• Looks
Purchase behavior
• The respondent preferred the cash purchase and paid the full amount of money at the time
of purchase.
• Bargained for the price while paying for the product.
• Evaluated alternative brands available before choosing the brand he purchased.
• Brand image played a important role in choosing the brand
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64. Effect of consumer behaviour on the purchase of Refrigerators
• Evaluated different attributes of the product once again even though he had made up his
mind to go for a particular product
• Went for a silver color as according to him it gets less dirty
• Looks also played a important role while purchasing decision was made.
Post purchase evaluation
Post purchase dissonance
There is no dissonance as such from the part of the respondent and he is fully satisfied with the
performance of the refrigerator.
Customer satisfaction
The respondent is a fully satisfied customer of LG. Due to his good experience with the products
of LG he is brand-loyal to the company and is emotionally attached to the firm.
He is satisfied with the after sales service of LG.
RESPONDENT5# Randheer Singh Ahluwalia
CONSUMER DECISION MAKING PROCESS
It was a high involvement purchase because he is considering number of things for his decision
making He underwent through following steps of decision making:
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65. Effect of consumer behaviour on the purchase of Refrigerators
Problem recognition
Respondent found that he was facing problems of storing of daily consumables and storing of
family usable products so he wanted a refrigerator which have enough storing capacity so that he
can use it for storing of business and home use consumables..
Information search for Refrigerators
Internal Search: He had awareness about different brands of refrigerator available in the market
and had somewhat made up his mind to go for the whirlpool brand
External Search:
Sources of information
i) Personal sources: Respondent’s wife had a friend whom he believed too much. He only
advised them to opt for whirlpool refrigerator.
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66. Effect of consumer behaviour on the purchase of Refrigerators
ii) External sources: Respondent went to a dealer of the electronic goods and had a look on the
various brands of the various refrigerators and according to the features for his need and the
advice of the dealer he selected whirlpool brand for his use.
Thus the information source was limited external.
Evaluating alternatives
Although the respondent evaluated various size of the refrigerator he was more or less sure that
he would buy a refrigerator form the stable of whirlpool.
Awareness Set Evoked Set
• Godrej • Whirlpool 250 Ltrs
• Kelvinator • Whirlpool 310 Ltrs
• Voltas
• Whirlpool
Inert Set
• Samsung • Godrej
• Samsung
Inept set
• Voltas
• Kelvinetor
Evaluation criteria
Attribute based
Respondent considered the following attributes before finalizing his choice for Whirlpool:
• Brand name
• Storing capacity.
• Color of the refrigerator.
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67. Effect of consumer behaviour on the purchase of Refrigerators
• Looks of the refrigerator.
Decision rules
Lexicographic decision rule: The attributes ranked according to importance by the respondent
are:
• Brand name
• Quality
• Storage Capacity
• Looks
Purchase behavior
• Although there were many showrooms in New Delhi, respondent preferred a particular
shop because it is nearest from his home and believed that this particular shop has wide
range of products.
• The respondent preferred cash purchase and paid the full amount of money at the time of
purchase.
Post purchase evaluation
Post purchase dissonance
• There is no dissonance as such from the part of the respondent and he is fully satisfied
with the performance of this Refrigerator.
Customer satisfaction
Respondent agrees that he is a fully satisfied customer and if he has to buy or giving advice to
any other person for the purchase of the refrigerator he will suggest for the purchase of the
whirlpool brand.
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68. Effect of consumer behaviour on the purchase of Refrigerators
CONSUMER DECISION MAKING MODEL
(Engel-Blackwell Model)
Information Decision Variable influencing
processing process decision process
Need
recognition
Exposure Environmental influences
∩ Culture
Social class
Search Personal influence
Internal
search
∩ Family
Attention Situation
Stimuli:
Marketer
Dominated
Beliefs
Others
Comprehension Memory Alternative Attitude
Evaluation
Acceptance Intention
Individual differences
Consumer resources
Purchase ∩∩ Motivation and
involvement
Retention Knowledge
Attitudes
External Outcomes ∩∩ Personality
Lifestyle
search Demographics
Dissatisfaction
Satisfaction
The Engel-Blackwell model is a conscious problem solving and learning model of buying
behavior attempts to explain the complexity of the consumer decision making process:
The decision making process according to Engel-Blackwell model consists of five components
namely "the input stimuli, information processing, decision – making process, decision making
process variables and outside influences. The decision making process goes through five stages.
These are problem awareness, information search, alternative evaluation, choice and the
purchase results.
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69. Effect of consumer behaviour on the purchase of Refrigerators
Stage 1:
Problem Awareness:
Consumer becomes aware of the difference between his present state and the ideal state. The
awareness may be created by internal motives or external stimuli.
Stage 2:
Information Search:
The consumer may make use of information stored in his memory or of his experiences which
take the form of ideas and attitudes which influence his preferences. The consumer may also
make use of stimuli, that is, market dominated sources of information. The external information
search can be done in the following ways:
i) Personal sources
ii) External sources
Stage 3:
Alternative evaluation:
The consumer stores the acquired information in his 'short term memory' for further processing
in evaluation of alternatives. In the alternative evaluation stage, the consumer compares the
acquired information with the product standards or evaluation criteria. The strengthening or
weakening of existing evaluation criteria in the long-term memory by information gathered leads
to acceptance or yielding of the product.
Acceptance/yield information gets stored in the permanent memory; while lack of
acceptance/yield results deletes related information from the memory awareness occurs
Stage 4:
A strong positive intention or acceptance of an alternative leads to the choice of the product in
stage four. In the absence of any constraint, the purchase takes place.
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70. Effect of consumer behaviour on the purchase of Refrigerators
Stage 5:
The result of the purchase is seen in stage five. The consumer may experience satisfaction of a
need from the use of the product, in which case his evaluation criteria are consolidated. In case
of dissatisfaction, a reconsideration of such criteria takes place. Another post-purchase result
could be dissonance, which refers to post-purchase doubt as regards a product. Dissonance may
lead to further information search with a view to justifying the choice of a product after its
purchase.
The Engel-Blackwell (1982) model includes various external factors which influence the
decision-making process. Among these factors are the cultural norms and values which definitely
influence the consumer's value judgement of a product. At the same time, social groups,
reference groups and family members may influence the decision-making process and the
purchase intention.
The Engel-Blackwell (1982) model depicts a series of activities which a consumer undertakes in
situations of high involvement. The decision-making processes vary with the consumer, the
social environment, the environmental factors and the products. The model identifies the various
factors and inter-relationships between them which influence the decision-making process
MARKETING STRATEGY
The segment under consideration has demonstrated the emphasis on two of the needs –
Physiological and Esteem.
Hence the Refrigerator design should concentrate on the above two aspects. In terms of fulfilling
the utilitarian/physiological needs, the internal design of the refrigerator should be highly
efficient in terms of maximum availability of space and ease of retrieval of food stuffs. The
refrigerator should be a frost free and double door design. Company should insure that whatever
product they market it should be durable enough which last quite many years and give trouble
free service to their customers. Customer expects good after sales service and prompt response to
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71. Effect of consumer behaviour on the purchase of Refrigerators
his complaints in case of any problem with the product. Extended warranty can be used as an
attribute attached with the product.
External appearance of the refrigerator connotes one’s status hence the refrigerator should look
aesthetically good with glossy finish and wide range of colors for the customer to choose from.
Brand chosen: We have assumed that Eva (Hypothetical Brand) will launch a new 280 liter
refrigerator. We have based our marketing strategy on this assumption.
Element of marketing mix chosen: Promotion
NEED:
The segment under consideration has demonstrated the emphasis on two of the needs –
Physiological and Esteem.
Utilitarian need i.e. physiological
Consumer wants this refrigerator to use for his daily household purpose.
Need for expression i.e. Esteem.
This product is targeted to those consumers who can use this refrigerator to express their identity
to others i.e. they want others to notice of their self-esteem through this refrigerator.
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