Documenti di Didattica
Documenti di Professioni
Documenti di Cultura
Thesis submitted to the University of Agricultural Sciences, Dharwad in partial fulfillment of the requirement for the Degree of
By
RENUKA HIREKENCHANAGOUDAR
DEPARTMENT OF AGRIBUSINESS MANAGEMENT COLLEGE OF AGRICULTURE, DHARWAD UNIVERSITY OF AGRICULTURAL SCIENCES, DHARWAD-580 005 AUGUST, 2008
ADVISORY COMMITTEE
DHARWAD August, 2008 Approved by : Chairman : (H.S. VIJAYAKUMAR) MAJOR ADVISOR
Members :
CONTENTS
Sl. No. CERTIFICATE ACKNOWLEDGEMENT LIST OF TABLES LIST OF FIGURES LIST OF APPENDICES 1 2 INTRODUCTION REVIEW OF LITERATURE 2.1 2.2 2.3 2.4 2.5 3 Awareness of consumers towards branded products Purchase behaviour of consumers Brand preference Factors influencing brand preference Alternative purchase plans Chapter Particulars
METHODOLOGY 3.1 3.2 3.3 Description of study area Sampling design and data collection Analytical tools employed in the study
RESULTS 4.1 4.2 4.3 4.4 4.5 Awareness of consumers towards branded ready to eat food products. Purchase behaviour of consumers towards ready to eat food products. Brand preference of the consumers. Factors influencing brand preference. Alternative purchase plans of the consumers.
DISCUSSION 5.1 5.2 5.3 5.4 5.5 Awareness of consumers towards branded ready-to-eat food products. Purchase behaviour of consumers towards ready to eat food products. Brand preference of the consumers. Factors influencing brand preference. Alternative purchase plans of the consumers.
Chapter Particulars
LIST OF TABLES
Table No. 4.1 4.2 4.3 4.4 4.5 4.6 4.7 4.8 4.9 4.10 4.11 4.12 4.13 4.14 4.15 4.6 4.17 4.18 4.19 4.20 4.21 4.22 4.23 4.24 Title General information of selected samples in Hubli and Dharwad Brand awareness of consumers about biscuits among different age groups Brand awareness of consumers about chips among different age groups Brand awareness of consumers about fruit juice among different age groups Brand awareness of consumers about ice creams among different age groups Influence of media to create awareness about the brands Buyers and non-buyers of ready to eat food products Reasons for purchasing ready to eat food products by consumers of Hubli Dharwad Reasons for not purchasing ready to eat food products by consumers of Hubli Dharwad Monthly expenditure of households on food items Monthly expenditure of households on ready-to-eat food products Frequency and place of purchase by the respondents Nature of purchase decision among different age groups Influence of income on purchase decisions on ready to eat food products Influence /impact of education to make purchase decision on ready to eat food products Preference for type of biscuits among different age groups Preference for variety of chips among different age groups Preference for flavour in chips among different age groups Preference for type of fruit juice among different age groups Preference for type of ice creams among different age groups Preference for flavour in ice creams among different age groups Brand preference for biscuits Brand preference for chips Brand preference for fruit juice
Table No. 4.25 4.26 4.27 Brand preference for ice creams Factors influencing brand preference
Title
LIST OF FIGURES
Figure No. 1
Title Brand awareness of consumers about biscuits among different age groups
2.
3.
Brand awareness of consumers about fruit juice among different age groups
4.
Brand awareness of consumers about ice creams among different age groups
5.
6.
7.
LIST OF APPENDICES
Title
1. INTRODUCTION
There is nobody in the world who is left out of the class of consumers. The consumerhood continues till ones last breath in the world. The consumer purchases a variety of goods and services to satisfy his wants and he is always influenced in his purchasing activities by some considerations which lead him to select a particular commodity or a particular retail store in preference to others. So, consumer buying is more complex. Consumer purchases are likely to be influenced by physiological, psychological and sociological factors. The commodities and services are brought by the consumer to satisfy his basic needs, for comfort, pleasure, recreation and happiness. Every individual has physiological need such as hunger, shelter, thirst, etc., which have to be satisfied for survival. The psychological factors like status prestige and social factors like friends, neighbours, job and relatives influence their purchasing activities. People bear certain beliefs and attitudes towards certain types of goods, brands of commodities and retail outlets based on their previous experience. When there is a need, they are able to discover some new commodities capable of satisfying their needs. Before the commodities and brands are selected, these commodities must compete successfully against alternatives in the market. The selection of a particular commodity becomes important for consumer since there are wide varieties of consumer goods in the market. Again selection of a particular commodity depends on income of the consumer and necessity of the product to the individual. Before the selection of the commodity purchased, an individual requires information regarding the various sources of supply of the commodity, its brands, relative merits and demerits, uses and value of their characteristic features and services offered. The common sources through which individual gathers information are from advertising media (television, radio and news papers), friends, retailers in the locality, displays in shops and food labels. India is one of the largest food producers of the world with the organised sector accounting for food output worth US $34827 million, only a small percentage of its farm produce is processed into value-added products. For instance, even though the country is the second largest producer of fruits and vegetables, hardly two per cent of the production is processed. This underlines the enormous scope for investing in the processed food sector in the areas of infrastructure, packaging and machinery. India, in fact, needs US $28 billion of investment to raise its food processing levels by 8-10 per cent. The potential for investment in this sector is further accentuated by the following factors: A huge and exponentially growing demand represented by a market of one billion people spending on an average about 50 per cent of household expenditures on food coupled by a scenario of rapid urbanization and changing lifestyles. A 30 million upper and middle class segment of the total population consume processed and packaged food with another 200 million people, projected to shift to this group by 2010. Thanks largely to rapid urbanization and changing lifestyles. Well-developed infrastructure and distribution network. Increase in per capita income and purchasing power. Large pool of scientific, technical and skilled manpower. Introduction of series of investment friendly initiatives by the Government including strengthening and augmenting of road and rail network, modernization of ports, prioritization of infrastructure for post harvest management, logistics (including cold chain), markets, retailing, food processing. Introduction of a number of liberal policy initiatives by the Government to boost food processing activities. 53 food parks approved to enable small and medium food and beverage units to set up and to use capital intensive common facilities such as cold storage, warehouse, quality control labs, effluent treatment plant, etc.
Over the past five decades, India has taken giant steps in producing food grains, milk, fruits and vegetables. The production of raw food materials is estimated to worth over Rs. 60,000 crore. After primary, secondary and tertiary processing, the total size of the industry is estimated to be as high as Rs. 1,10,000 crore. This cost overrun reflects the opportunities that food processing industry offers to the economy as a whole and entrepreneurs in individual. Big opportunities lie in upgradation from commodities to packaged and branded products and convenient foods, which offer value for money, products focused towards children and young adults and products catering to those who lead a fast modern day life. Realizing the potential and in order to provide further boost, the government has exempted from excise duty for condensed milk, ice cream, preparations of meat, fish and poultry, pectins, pasta and yeast. Further, excise duty on certain ready-to-eat packaged foods is reduced to 8 per cent from 16 per cent. The food processing industry will also be benefited from the reduction in excise duty on paper, a cut in customs duty on major bulk plastics and a reduction of customs duty on packaging machines, which would reduce packaging costs (Budget, 2007). The Food Processing Industry In India The Food processing industry has an important role to play in linking the farmers to the final consumers in the domestic as well as the international markets. Food processing combined with marketing has the potential of solving the basic problems of agricultural surpluses, wastages, rural jobs, and better remuneration to the growers. In the next ten years, food production is expected to double. These produces, if processed and marketed smartly, can make India a leading food supplier of the world. India with a population of 1.08 billion (growing at about 1.70% per annum) provides a large and growing market for food products. Food products are the single largest component of private consumption expenditure, accounting for as much as 49.00 per cent of the total spending. Furthermore, the upward mobility of income classes and increasing need for convenience and hygiene is driving demand for (a) perishables and non food staples and (b) processed foods. Also, eating out is a booming practice in urban India and processed foods are accepted as alternative to the home cooked food because of the convenience it offers. Also, with the globalization of trade and availability of high speed logistics, food retailers in developed countries are sourcing an year-round supply of fruits and vegetables from developing countries. Thus, both for local consumption as well for export there is a year round opportunity for fruits and vegetables, meat and poultry products and ready-to-eat processed foods. The total exports of Indian food processing industry had increased by about three times to Rs. 53,000 crores in 2003-04, from Rs. 17,600 crores in 2002-03. Considering the greater potential for food processing industry in India, government had committed to encourage various activities for the development of this sector. Indian government had been giving importance to the food processing sector, by way of fiscal incentives to encourage commercialization and value addition of agricultural produce, for minimizing pre/post harvest wastage, generating employment and export growth. The government gave five-year tax holiday for new food processing units in fruits and vegetable processing. From 2000-01 to 2006-07 government had also approved proposals for joint ventures; foreign collaboration, industrial licenses and 100.00 per cent export oriented units envisaging an investment of Rs. 19,100 crores during 2002-03. Out of this, foreign investment was over Rs. 9100 crores. The processed food industry should introduce innovative new products of high quality at low cost in small package sizes in ready-to-eat format. To cash on this booming opportunity, smart players have to enter the growing market with a high potential of retail Foreign Direct Investment (FDI). Ready-to-eat food products Unlike olden days where man used to have his food lavishly and slowly, the present trend changed the habits of foods, which are simple and easy to digest. Hence, the existence of these foods fulfilled all the needs of modern human being. Canned foods, convenience foods, fast foods, frozen foods, instant products, dried foods, preserved foods, etc. all comes under ready-to-eat foods. The food habits in India have changed due to the western influence and the usage of these foods is also on the rise.
In India, majority of food consumption is still at home. Nevertheless, out of home food consumption is increasing due to increase in urbanization, breaking up of the traditional joint family system, desire for quality, time which translates into an increased need for convenience, increasing number of working women, rise in per capita income, changing lifestyles and increasing level of affluence in the middle income group had brought about changes in food habits. In the last two decades, the share of urban population has increased from 23.30 per cent in 1981 to 27.80 per cent in 2001. During the same period the female work participation rate had increased from 19.70 to 25.70 per cent. The per capita income increased from Rs. 7,328 in 1980-81 to Rs 10,306 in 2000-01. The change in food habits was evident from the growth of food processing industries. Generally, food is prepared depending on the habits, tastes, social status, economic factor, availability, traditions, habitats, etc., of the people of that region. The most sought after in the present age are the ready- to- eat foods. Ready-to-eat food is food offered or exposed for sale without additional cooking or preparation, which is packaged on the premises where they are being sold and are ready for consumption. With the income level rising, demand for milk, meat, fish, fruits and vegetables is also increasing in India. With more urbanization, Indian families also consume more processed foods, more ready-to-eat foods, etc. Asian Americans, now numbering over 10 million along with the other 13 million persons of Indian origin spread all over the world are a huge potential market for the Ready-to-eat (RTE) foods out of India. This creates a scope for the producers to come out with a long range of dishes including the usual meals. India had been at the forefront for variety of dishes both in domestic and global market. Ready-to-eat foods are very popular in the western region of the world. Even India is being influenced by these ready-toeat foods. Development of the metropolitan cities due to increase in population, emergence of industries, evolution of various new factors, time factor, etc., created the need for ready-to-eat foods in the market. Due to industrialization, the labour category is getting attracted to it because of better emoluments and hence there is shortage of home maid-servants. Due to this, the housewives, in order to save time started using ready-to-eat foods. As the literacy rate is increasing among the women, a large number of them in our country are taking up jobs to setup their own status in the society and to use the extra income generated. These are creating the need for ready-to-eat foods. Earlier times, a single family consisted of many people i.e., a group of several nuclear families were living in a single place. Hence, larger quantities of the food were used to be prepared. But as these joint families started disappearing due to various reasons, each single family started using these ready-toeat foods in order to save time and energy. Due to establishment of multi- national companies in India, the lady of the house also started working, because of which there is no time to prepare food at home. Hence, this created the need for using ready-to-eat foods. The standard of living is also changing due to raise in income level, influence of western countries, more global trade, traveling etc., hence, people are changing their taste to ready-to-eat foods more compared to the old traditionally prepared foods. In the modern era, the media, particularly electronic and print media, are playing an important role in creating awareness of the products manufactured and released in the market. All these factors are responsible for the popularity of ready-to-eat food products in Indian market. The marketers should see to it that the ready-to-eat food is available to the consumers without any difficulty at competitive rates. The products should be provided to consumers by keeping in mind as when they want, where they want and the manner in which they want. These methods help in increasing the sales of the product with good feed back from the customers and creating niche for ready-to-eat foods in the market. Problem focus Several firms had been engaging in production and marketing of ready-to-eat food products. Hence, the consumers had a greater option to choose from. In this context, a study
on consumer behaviour was seemed to be important to understand the buying behaviour and preferences of different consumers. Understanding the consumer behaviour would help the firms in formulating strategies to cater to the needs of the consumer and thereby increase their market share. Consumers taste and preference were found to change rapidly, especially in a dynamic environment. Keeping in view the importance of consumer behaviour and consumption pattern, the present study was under taken with the following objectives. Objectives of the study The specific objectives of the study were : i. ii. iii. iv. v. To ascertain the awareness of consumers towards branded ready-to-eat food products. To study the purchase behaviour of ready-to-eat food products. To evaluate brand preference of the consumers. To study the factors influencing brand preference. To evaluate alternative purchase plans of the consumers.
Presentation of the study The study has been presented in six chapters as indicated below. Chapter-I deals with the nature, importance and specific objectives of the study; Chapter-II describes the comprehensive review of the relevant research work done in the past related to the present study; Chapter-III outlines the features of the study area, nature and source of data, sampling procedure and analytical tools and techniques employed in the study; Chapter-IV is devoted to present the main findings of the study through tables; Chapter-V discusses the results of the study; Chapter-VI provides the summary of the whole study and also suggests the policy implication based on findings of the study. At the end, important references have been listed relating to the present study. Limitation of the study This study was based on primary data collected from sample consumers by survey method. As many of the consumers furnished the required information from their memory and experience, the collected data would be subjected to recall bias. The study area was limited to Hubli and Dharwad cities and the findings may not be applicable to other markets, as vast difference exist among the consumers with regard to demographic and psychographic characteristics. Hence, the findings of the study may be considered appropriate for the situations similar to study area and extra care should be taken while generalizing the results.
2. REVIEW OF LITERATURE
In this chapter, research work done in the past regarding awareness, purchase behaviour, brand preference, factors influencing brand preference and alternative purchase plans has been reviewed and presented under the following sub-headings. 2.1 2.2 2.3 2.4 2.5 Awareness of consumers towards branded products Purchase behaviour of consumers Brand preference Factors influencing brand preference Alternative purchase plans
purchase of the soft drinks by Brand Name. The major source of brand awareness was word of mouth followed by advertisements, family members, relatives and friends. Ramasamy et al. (2005) reported that, the buying behaviour is vastly influenced by awareness and attitude towards the product. Commercial advertisements over television was said to be the most important source of information, followed by displays in retail outlets. Consumers do build opinion about a brand on the basis of which various product features play an important role in decision making process. A large number of respondents laid emphasis on quality and felt that price is an important factor while the others attached importance to image of manufacturer.
2.2
Balaji (1985) studied fish consumption behaviour of 526 consumers in Vishakapatnam city. The study revealed that 77.00 per cent of respondents consumed fish for dinner and 22.00 per cent for lunch. About 30.00 per cent of the respondents did not consume fish on festival days, as those days were considered auspicious, while the rest had no notations and consumed fish, irrespective of festivals. Jorin (1987) examined changes in spending power and buying habits of Swiss consumers since the beginning of the 20th century and in the more recent past. Current trends include greater emphasis on health and safety of foodstuffs and less attention to price, increased demand for low calorie light products and increased demand for organically grown foods. For young people, more concern with enjoyment and less for health, with more meals eaten from home and generally an increased demand for convenience foods. The prospects for high quality branded products were seen to be good. Puri and Sanghera (1989) conducted a study to know the consumption pattern of processed products in Chandigarh. Jam was found to be most popular, irrespective of income. Orange squash consumption was maximum in high and middle income families. Pineaaple juice consumption increased with a rise in the income. Rees (1992), in his study revealed that factors influencing the consumers choice of food were flavour, texture, appearance, advertising, a reduction in traditional cooking, fragmentation of family means and an increase in snacking.etc. Demographic and household role changes and the introduction of microwave ovens had produced changes in eating habits. Vigorous sale of chilled and other prepared foods was related to the large numbers of working wives and single people, who require value convenience. Development in retailing with concentration of 80.00 per cent of food sales in supermarkets was also considered to be important. Consumers were responding to messages about safety and healthy eating. They were concerned about the way in which food was produced and want safe, natural, high quality food at an appropriate price. Results of the study conducted by Joshi (1993) in Dharwad on food purchasing habits and consumer awareness among rural and urban housewives indicated that majority of the urban respondents purchased the groceries like cereals (52.00%), pulses (64.00%), oils (73.00%), spices (72.00%) and sugar (69.00%) on monthly basis. While perishables like fruits (48.00%), eggs (41.00%) and meat (46.00%) were purchased once in week and milk (48.00%) was purchased daily. Rural respondents purchased cereals (70.00%), pulses (71.00%), oils (71.00%), spices (71.00%), sugar (71.00%) and fruits (73.00%) once in week and milk (78.00%) daily. Regarding place of purchase 83.00 per cent of urban and 99.00 per cent of rural respondents purchased all the groceries like sugar, rice, and wheat from fair price shops. Both rural and urban respondents purchased groceries (99.00% each), perishables (89.00% and 99.00% respectively), ready to use foods (97.00% and 87.00% respectively) and commercially available foods (96.00% and 6.00% respectively) from retail shops. Price, quality and weight of the products were the important factors considered by both rural and urban respondents while purchasing of food items. Ragavan (1994) reported that, quality, regular availability, price, accuracy in weighing and billing, range of vegetables and accessibility as the factors in the order of importance which had influenced purchase of vegetables by respondents from modern retail outlet. Dhillon et al. (1995), while studying the purchase behaviour in Ludhiana, rural and urban respondents ranked nearby market (mean score of 1.47 for rural and 2.10 for urban)
and main market (mean score of 0.88 for rural and 1.38 for urban) as their first and second preference of order respectively for the purchase of food items. The prime factor indicated by the rural respondents for buying their food items was appearance with mean score of 4.01, followed by price, quality and place of buying to which they ranked second, third and fourth with mean scores of 3.81, 3.45 and 2.96 respectively. But urban respondents visualized these factors little differently and ranked quality, appearance, place of buying and expiry date as first, second, third and fourth ranks with mean score of 4.69, 4.01, 3.20 and 3.05 respectively. Singh et al. (1995) examined the factors influencing consumer preferences for milk. They were milk quality, convenient, availability, supply in quantity desired, flavour, colour, freshness and mode of payment which showed higher levels of consumer satisfaction. Purchasing practices of consumers in Parbhani was studied by Kulkarni and Murali (1996). The results revealed that 83.50 per cent of consumers were seeking the information from television regarding the products availability and this was followed by neighbours (71.00%) and newspapers (69.50%). Consumers preferred retail market for the purchase of groceries (65.00%), milk and milk products (100.00%), vegetables (100.00%), fruits (100.00%) and snacks (75.00%) and they adopted cash payment. Majority (75.00%) of the consumers preferred quality for the purchase of food. Sundar (1997) revealed that, grocery department of Saravana Bava Cooperative Supermarket, Cuddalore was enjoying favorable images of consumers in the attributes, such as, equality of price, behaviour of sales persons, moving space, location, correctness of weight, packaging of goods, number of sales persons and convenient shopping hours. At the same time, the image was weak in the attributes, such as, quality of goods, availability of range of products, variety of goods, acceptance of returns, credit facility, door delivery and sales promotional measures. Amitha (1998) studied the factors influencing the consumption of selected dairy products in Bangalore city. The results of the study revealed that, income and price significantly influenced the consumption of table butter. Price had a negative impact and income a positive impact on consumption. A socio-economic influence of rural consumer behaviour studied by Sayulu and Reddy (1998), concluded that frequency of purchase of commodities by rural consumers was highly influenced by the type and nature of the products. Products like groceries (40.35%) and others which included vegetables, milk etc. (48.25%) purchased on daily basis and 33.33 per cent and 42.98 per cent of them purchased these products on weekly basis. Cash purchase was highest in case of products like groceries (44.74%) followed by credit purchase with 38.60 per cent and 21.06 per cent respectively. Price of the goods was considered to be the most important factor by more than 88.00 per cent of the respondents followed by easy availability (66.66%) and neighbours (54.00%). Kamalaveni and Nirmala (2000) reported that, there is complete agreement between ranking given by the housewives and working women regarding the reasons promoting them to buy Instant Food Products. Age, occupation, education, family size and annual income had much influence on the per capita expenditure of the Instant Food Products. Srinivasan (2000) revealed that, consumer with higher educational level was found to consume more processed products. The quantities of processed fruit and vegetable products were consumed more in high income group. The tolerance limit of price increase identified was less than 5 per cent, any price change above this limit, would result in discontinuance of the use of the processed product. Consumers preferred processed products because of convenience of ready-to-eat form. Hugar et al. (2001) carried out a study on dynamics of consumer behaviour in vegetable marketing in Dharwad city. Low income groups purchased lesser quantity (3.25 kg/week) of vegetables as compared to medium (5.40 kg/week) and high income groups (4.66 kg/week). Majority of low income group preferred to purchase vegetables from producers because of reasonable price. High and medium income families preferred stall vendors for the purchase of vegetables because of better quality and correct weighment. Prell et al. (2002) conducted a study to examine the factors influencing adolescents fish consumption in school. Fish consumption was assessed by observation on 4 occasions.
Attitudes towards the fish, friends behaviour and perceived control were important predictors of the intention to eat fish and barriers for fish consumption were a negative attitude towards both smell and accompaniments and fear of finding bones. But the eaters of fish were more satisfied with the taste, texture and appearance of the fish and rated safety significantly higher than those who resisted. They also thought to a greater extent that the fish was healthy and prepared with care. The results suggested that, it is important to alter dishes so that they appeal to children and to pay attention to the whole meal, accompaniments included. Finally it was recommended to convey the pupils that the fish served would be healthy and prepared with care. Nagaraja (2004) opined that, buying behaviour is very much influenced by experience of their own and of neighbour consumers and his family. Above all, the quality of the product and its easy availability were the primary and the vital determinants of his buying behaviour. Consumers were influenced by touch and feel aspect of any promotional activity. Shivkumar (2004) showed that the consumer, irrespective of income groups, was mainly influenced by the opinions of their family members to purchase. Consumers were also influenced by the dealers recommendation, followed by advertisement.
2.3
BRAND PREFERENCE
Gluckman (1986) studied the factors influencing consumption and preference for wine. The explicit factors identified were, the familiarity with brand name, the price of wine, quality or the mouth feel of the liquid, taste with regard to its sweetness or dryness and the suitability for all tastes. Some of the implicit factors identified through extensive questioning were colour and appearance. Most of the consumers seemed to prefer white wine to red. Consumers preferred French or German made wines to Spanish or Yugoslavian wines. Kumar et al. (1987) observed the factors influencing the buying decision making of 200 respondents for various food products. Country of origin and brand of the products were cross- tabulated against age, gender and income. Results revealed that the considered factors were independent of age, education and income. The brand image seemed to be more important than the origin of the product, since the consumers were attracted by the brands. Shanmugsundaram (1990) studied about soft drink preference in Vellore town of North Arcot district in Tamil Nadu. The study revealed that, the most preferred soft drink among respondents as Gold spot (26.00%), followed by Limca (24.80%). It was found that the taste was the main factor for preference of particular brand and among the media; television played a vital role in influencing consumer to go for a particular brand. Because of convenience in carrying, tetra pack was most preferred one. Ali (1992) studied the brand loyalty and switching pattern of processed fruit and vegetable products in Bangalore city by using Markov Chain analysis. The result of study revealed that Kissan brand of jam and Maggi brand of ketchup had a maximum brand loyalty among consumers and less amount of brand switching occurred for these brands. Sabeson (1992), in his study stated that high quality, price and taste of the product were the major criteria based on which the customers selected a brand of processed fruits and vegetable products. Hans et al. (1996) revealed that, the brand switching of consumer was based on variety seeking behaviour, motivations, curiosity and price motive. Veena (1996) studied brand switching and brand loyalty of processed fruit and vegetable products in Karnataka state by using Markov Chain analysis. The result of the study revealed that Maggi, Sil and Kissan were having market retention of 74.20, 55.78 and 48.74 per cent, respectively for jam products. The equilibrium shares determined in order to predict future market position among the different brand showed that in long run shares of Kissan, Rex. Other brands were likely to decline, mainly on account of increased market shares of Gala, Sil and Maggi. Padmanabhan (1999) conducted study on brand loyalty, which revealed that the price of the preferred brand, efficiency of the preferred brand and influence of advertisement significantly influenced the brand loyalty. Only when the price of a particular brand is
comparatively low, the farmers would naturally prefer to low priced brand. Otherwise farmers would naturally continue to purchase the same brand. Low and Lamb Jr. (2000) came out with an interesting conclusion that well known brands tend to exhibit multi-dimensional brand associations, consistent with the idea that consumers have more developed memory structures for more familiar brands. Consumers might be willing to expend more energy in processing information regarding familiar brands compared to unfamiliar brands. Kamenidou (2002) presented the findings on the purchasing and consumption behaviour of Greek households towards three processed peach products: canned peaches in syrup, juice and peach jam. The results revealed that 47.50 per cent of the households purchased canned peaches in syrup, 67.40 per cent purchased peach juice and 42.60 per cent purchased peach jam. Reasons for such purchase were satisfactory taste and qualities and households perception that they were healthy products. The results also indicated that the consumption quantities were considered low, while households usually purchased the same brand name, meaning that there was a tendency for brand loyalty. Sampathkumar (2003) studied about brand preference in soft drinks in Telangana region of Andra Pradesh. He found that in rural market about 37.50 per cent of consumers preferred Thumbs-up (urban 30%), followed by Coca cola (28.50%) (urban 37.50%), Pepsi 12.50 per cent (urban 9.00%), Limca (4.00%) (urban 8.50%). Most of the urban consumers (67.00%) purchased soft drinks in nearest Kirani stores (rural 73.00%), followed by super bazaar (27.00%) (rural 26.00%) and others (6.00%) (rural 1.00%). The method of physical distribution played very vital role in companys success and failure in the market. Transportation was among the major functions of physical distribution. Transport adds time and place utility for the product. Kim-Hyunah et al. (2005) analyzed the relationship among brand equity factors (brand awareness, brand image, brand preference and brand loyalty) and suggested a strategy for brand management in contract food service management companies. He concluded that brand awareness has positive effect on brand image and brand preference and recommended that the contract food service companies should focus on improving brand awareness as a brand strategy. In addition, brand preference and brand image had significant positive effects on brand loyalty. Thus, the companies should strive to strengthen brand loyalty through building brand preference and brand image. Brand loyalty promoted more customer visits, which was directly related to profitability of contract food service management companies, the authors concluded. Kubendran and Vanniarajan (2005) studied that, the change in consumption pattern was due to changes in food habits. If income and urbanization increase among consumers, the percentage of income spent on consumption increased. The urban consumers preferred mostly branded products compared to rural consumers. The most significant factors influencing buying decisions were accessibility, quality, regular supply, door delivery and the mode of payment. Narang (2006) opined that, a buyer does not stick to one brand in case of food purchasing. They should be able recall different brand names when they go for purchase. Repititive advertising can be used to promote brand recall. The product should be associated with style and trend, so that it appeals to the youth and the brand name should be developed as a fashion statement. Promotional schemes such as discounts and free offers with purchase were suggested to increase rates. Vincent (2006) studied brand consciousness among children. The study showed that children start to recognize product brands at an early age, which influence family buying behaviuor. It was helpful for parents in making purchase decision of durable goods for the family.
2.4
Singh and Singh (1981) found that consumers had single or multi-brand loyalty based on the nature of product, like necessities or luxuries. Brand choice and store loyalty were found to affect the brand loyalty of the consumer. The factors that influence and strengthen loyalty to brand were quality of product, habit of use and ready and regular availability.
Sabeson (1992) in his study stated that, high quality, price and taste of the products were the major criteria based on which the consumers selected a brand of processed fruits and vegetable products. Ashalatha (1998) studied the factors influencing the performance of BAMUL milk for a sample of 100 respondents. The study revealed that the factors such as door delivery, clean packing, quality, hygienic preparation, time saving and reliability, good value for money, freshness and desired flavour were important in the order in influencing the decision of buyers for BAMUL milk. The study undertaken by Sheeja (1998) in Coimbatore district considered the quality aspects like aroma, taste, freshness and purity as the major factors deciding the preference for a particular brand of processed spices. Raj Reddy and Pruthviraju (1999) studied about buying motives of rural consumers about seeds and different sources of information about brands with regard to seeds. It was found that factors influencing brand loyalty of farmers were dealers suggestions, quality product and co-farmers. The problems faced by farmers were supply of seed or poor quality seed, higher price, adulteration and irregular supply of seeds. Gaur and Waheed (2002) conducted a study on buying behaviour for branded fine rice in Chennai and Coimbatore city. The study indicated that retailers were ranked as the prime source of information and the family members as the next important source of information about the branded fine rice. Rice mandy formed the major source of purchase for Chennai (73.00%) and Coimbatore (70.00%) households. Quality and image of the brand were ranked as first and second factors influencing brand preference in both Chennai and Coimbatore cities. Sanjaya et al. (2002) reported that, the decision for purchasing branded fine rice was mostly made by the wives of the family. The retailers were ranked as the prime sources of information about branded fine rice. The monthly purchase was the most preferred frequency of purchase, which might be due to the fact that most of the respondents were of monthly salaried class and they would have planned their purchase accordingly along with other provision items. The quality and the image of the brand were ranked as the major factors for brand preference in the purchase of branded fine rice. In a study conducted by Sarwade (2002) it has been observed that the price was the factor, which influenced the purchasing decision as against the quality of the product. It is very interesting to find out that the company image and brand image were not totally considered by the households. Nandagopal and Chinnaiyan (2003) conducted a study on brand preference of soft drinks in rural Tamil Nadu, using Garrets ranking technique, to rank factors influencing the soft drinks preferred by rural consumer. They found that, the product quality was ranked as first, followed by retail price. Good quality and availability were the main factors, which influenced the rural consumers of a particular brand of a product. Kubendran and Vanniarajan (2005) founded that, the change in consumption pattern is due to changes in food habits. If income and urbanization increase among consumers, the percentage of income spent on consumption increases. The urban consumers prefer mostly branded products compared to rural consumers. The most significant factors influencing buying decisions were acceptability, quality, regular supply, door delivery and the mode of payment. Ramasamy et al. (2005) studied consumer behaviour towards instant food products in Madurai, the second largest city in Tamil Nadu and observed that consumers do build opinion about a brand on the basis of which various product features play an important role in decision making process. A large number of respondents (78.00%) laid emphasis on quality and 76.00 per cent on price which was an important factor, while 64.00 per cent of the respondents attached importance to the image of the manufacturer and 50.00 per cent considered packaging as an important factor and an equal percentage (50.00%) felt longer shelf life influenced them. Banumathy and Hemameena (2006), while studying consumer brand preference with respect to soft drinks, found that after globalization most of the consumers like the
international brands such as Pepsi and Coco-cola. Consumers preferred a certain brand or a particular drink mainly because of its taste and refreshing ability. Vincent (2006) elicited that quality was an important factor that draws consumer towards branded products. Branded products were accepted as good quality products. People do not mind paying extra for branded products, as they get value for money. Media is a key constituent in promoting and influencing brand. A childs insistence affects familys buying behaviour. Children are highly aware and conscious of branded items. Although unbranded products sometimes give same satisfaction as branded products, customers would still prefer to purchase a branded product.
2.5
Rajarashmi and Sudarsana (2004) revealed that, almost all sample respondents preferred branded products and if their favorite brand is not available in the retail shop, they will go for another store and purchase their favorite brand. If it is not available in the market, the respondents were ready to postpone their purchase decision. Anandan et al. (2007) studied that, majority of the respondents (54.00%) will buy another brand if preferred brand is not available, 18.00 per cent of the respondents will go to the nearby town for buying the preferred brand. Fifteen per cent of the respondents will postpone their purchase decision. It was revealed from the study that customers cannot postpone the decision of buying the detergents, as it was one of the essential commodities.
3. METHODOLOGY
The present study was undertaken to know the awareness of consumers towards branded ready-to-eat food products, purchase behaviour of ready-to-eat food products, brand preference of the consumers, factors influencing brand preference and to study the alternative purchase plans of the consumers. This chapter covers the following aspects: 3.1 3.2 3.3 Description of study area Sampling design and data collection Analytical tools employed in the study
3.1
Dharwad and Hubli are the fastest growing cities in the state next to Bangalore. The population is heterogeneous with diverse cultural, religious and economic background. This urban conglomeration covers an area of 190 square kilometers with a population of 7.86 lakhs (2001 census). Because of the existence of various linguistic, religious and ethnic groups, it has been a very good marketing centre for launching new products. Since, the twin cities provide an ideal setting to study the behaviour of consumers towards ready-to-eat food products, the present study was undertaken.
3.2
Age Group 4 (AG4) Above 60 years Income The respondents were post classified into three income groups based on their income by using the formula:
Mean 0.425 x S.D. Low income Below Rs. 8615.70 per month. Middle income Between Rs. 8615.70 to Rs. 13,638.30 per month. High income Above Rs. 13,638.30 per month. Collection of data To study the objectives, required data were collected from primary as well as secondary sources. Primary data The data required for the study were collected from the respondents by personal interview method with the help of pre-structured questionnaire. The respondents were interviewed at retail outlets, departmental stores, bakeries and even at the homes. The questionnaire consisted of: Part I : General information like name, age, education, sex, occupation, food habit, family income and family type. Monthly expenditure on food items in general and ready- to- eat food products in particular. : Specific information included the information regarding purchase behaviour, factors influencing the purchase of ready- to- eat food products, brand awareness, sources of information for brand awareness, frequency of purchase, nature of purchase decision, place of purchase, influencers of purchase decision, brand preference, factors influencing to prefer particular brand and alternative purchase plans of the consumers.
Part II
Secondary data The secondary data on location, demography and regarding population of the study area were collected from District Statistical Office and published sources.
3.3
The data collected for the study was processed and analyzed by using suitable statistical techniques. Frequency, percentage, mean, standard deviation and Garrets ranking techniques were used to present the collected data. A detailed description of the analytical tools employed in the study is presented below.
In the second stage: Thus assigned ranks by the individual respondents were counted into percent position value by using the formula. Per cent position = 100 (Rij 0.5)/Nj. Where, Rij stands for rank given for the i factor by the j individual. Nj stands for number of factors ranked by jth individual. The per cent position value for the same assigned ranks by the respondents as follows. Respondent No. 1 1 2 45 3 5 4 15 5 85 6 95 7 Factors
th th
8 -
9 35
10 25
11 -
12 75
13 -
14 65
15 55
2 3
25 25
15 55
65 -
75
95 -
95
55 -
35 15
5 5
75 65
85
85 -
45 45
35
Stage III For each per cent position scores were obtained with reference to Garretts tables and each per cent position value was converted into scores by reference to Garretts Table. Eg: Garretts table scores for the per cent position values as follows Respondent No. 1 1 2 52 3 82 4 70 5 30 6 18 7 Factors
8 -
9 57
10 63
11 -
12 37
13 -
14 42
15 47
2 3
63 63
70 47
42 -
37
18 -
18
47 -
57 70
82 82
37 42
30
30 -
52 52
57
In the fourth stage Summation of these scores for each factor was worked out for the number of respondents who ranked for each factor. Respondent No. 1 2 3 Factors 1 63 63 126 2 52 70 47 169 3 82 42 124 4 70 37 107 5 30 18 48 6 18 18 36 7 47 47 8 57 70 127 9 57 82 82 221 10 63 63 11 37 42 79 12 37 30 67 13 30 30 14 42 52 52 196 15 47 57 104
In the fifth stage Mean scores were calculated by dividing the total score by the number of respondents. Respondent No. 1 1 2 3 Mean 63 63 126 63 2 52 70 47 169 56.33 3 82 42 124 62 4 70 37 107 53.50 5 30 18 48 24 6 18 18 36 18 7 47 47 47 Factors
8 57 70 127 63.50
9 57 82 82 221 73.66
10 63 63 63
11 37 42 79 39
12 37 30 67 33.50
13 30 30 30
14 42 52 52 196 65.33
15 47 57 104 52
In the last stage Overall ranking was obtained by assigning ranks 1, 2, 3 . etc. in the descending order of the mean score. Respondent No. 1 1 2 3 Mean Ranks 63 63 63 IV 2 52 70 47 56.33 VI 3 82 42 62 V 4 70 37 53.50 VII 5 30 18 24 XIII 6 18 18 18 XIV 7 47 47 IX Factors
8 57 70 63.50 III
9 57 82 82 73.66 I
10 63 63 IV
11 37 42 39 X
12 37 30 33.50 XI
13 30 30 XII
14 42 52 52 65.33 II
15 47 57 52 VIII
4. RESULTS
The results of the study are presented under the following headings. 4.1 4.2 4.3 4.4 4.5 Awareness of consumers towards branded ready-to-eat food products. Purchase behaviour of consumers towards ready-to-eat food products. Brand preference of the consumers. Factors influencing brand preference. Alternative purchase plans of the consumers.
4.1
To know the awareness, it is necessary to study socio-economic characteristics of the consumers, as these are the important variables, which decide the consumption pattern of food products in the family. Generally it is believed that, as the income, age and education of the consumers increase, the expenditure on consumption of food products also increases. Hence, the consumers socio-economic characteristics were studied and the results are presented hereunder.
Table 4.1. General information of selected samples in Hubli and Dharwad (N = 200) General information Categories Below 20 years (AG1) Age 21-40 years (AG2) 41-60 years (AG3) >60 years (AG4) Male Sex Female Illiterate Primary school Education High school PUC Degree PG Joint Family type Nuclear Small (below 5) Family size Medium ( 5-7) Large (more than 7) Food habit Vegetarian Non - vegetarian Low (< Rs. 8615.70) Monthly income (Rs) Middle (Rs. 8615.70 13638.30) High (> Rs. 13638.30) Student House wife Occupation Business Government employee Private Note : AG1 Age group 1 (Below 20 years) AG2 Age group 2 (21-40 years) AG3 Age group 3 (41-60 years) AG4 Age group 4 (>60 years) No. of respondents 64 110 18 8 78 122 4 20 60 88 28 22 178 82 88 30 146 54 80 68 52 136 18 6 24 16 Percentage 32.00 55.00 9.00 4.00 39.00 61.00 2.00 10.00 30.00 44.00 14.00 11.00 89.00 41.00 44.00 15.00 73.00 27.00 40.00 34.00 26.00 68.00 9.00 3.00 12.00 8.00
4.1.2 Brand awareness of consumers about biscuits among different age groups
Table 4.2 presents the brand awareness of consumers about biscuits among different age groups which is also represented in Fig. 1. Majority of the respondents (99.00%) were aware of Parle-G brand followed by Marie gold biscuits (97.00%), 96.00 per cent each were conscious of Tiger biscuits, Good day and Krack jack, 81.00 per cent of the respondents knew Glucose brand. Britannia 50-50 and Hide and seek brands were very popular among 80.00 per cent each of the respondents, 78.00 per cent, 70.00 per cent, 64.00 per cent, 62.00 per cent and 56.00 per cent of the respondents knew Parle Monaco, Britannia little hearts, Sunfeast glucose, Sunfeast snacky and Britannia Time pass brands respectively. Only a small percentage of the respondents were familiar with Chocolate chip cookies (43.00%). Among age group one (AG1) cent per cent each of the respondents were aware of Parle-G, Good day and Krack jack brands, while brands of Tiger biscuits and Marie gold biscuits were popular among 96.87 per cent each of the respondents. Glucose biscuits, Hide and seek, Parle Monaco and Sunfeast glucose brands were known to 84.37 per cent, 78.12 per cent, 75.00 per cent and 71.87 per cent of respondents, respectively. Britannia 50-50 and Sunfeast snacky brands were familiar among 65.62 per cent each of the respondents and Britannia little hearts was known to 62.50 per cent of the respondents. Only 53.12 per cent each of them were aware of Chocolate chip cookies and Britannia Time pass brands. In the case of AG2, 98.18 per cent each were aware of Parle-G and Good day brands, followed by 96.36 per cent each aware of Tiger biscuits, Marie gold and Krack jack brands, only 40.00 per cent of them know about Chocolate chip cookies. Marie gold biscuits were popular among cent per cent each of the respondents of AG3 and AG4. Chocolate chip cookies was familiar among 44.44 per cent of AG3 respondents only. But none of the respondents of AG4 were aware of Chocolate chip cookies brand, Sunfeast snacky, Sunfeast glucose, Britannia Time pass and also Britannia little hearts brands.
4.1.3 Brand awareness of consumers about chips among different age groups
Brand awareness of consumers about chips among different age groups is depicted in Table 4.3 and Fig.2. Most of the respondents were aware of Lays (96.00%), Uncle chips (83.00%), Bingo (67.00%), Haldiram chips (63.00%), Lehar (50.00%), Lip chips (35.00%) brands and less percentage of the respondents knew Diamond chips (32.00%) brand. Lays brand was familiar among 100.00 per cent, 96.36 per cent, 88.88 per cent and 75.00 per cent of the consumers of AG1, AG2, AG3 and AG4 accordingly. In case of AG1, Uncle chips, Lip chips, Diamond chips and Lehar chips were well known to 93.75, 43.75, 34.37 and 50.00 per cent of the respondents and about 59.37 per cent each aware of Bingo and Haldiram brands. More than half of the respondents of AG2 and AG3 were conscious of Lehar brand. Uncle chips and Bingo brands were familiar among more than 70.00 per cent of the AG2 and AG3 respondents. In addition to these brands, Haldiram chips was known to 70.90 per cent of AG2 and 55.55 per cent of AG3 respondents. About, 36.36 per cent each were aware of Lip chips and Diamond chips among AG2. In case of AG3 Lip chips and Diamond chips were well known to 11.11 per cent each of the respondents. Fifty per cent of the respondents were aware of Uncle chips and 25.00 per cent of the respondents were conscious of Bingo brand in case of AG4 respondents. It could also be seen from the table that, none of the respondents of this age group were familiar with Haldiram, Lip, Diamond and Lehar brands of chips.
4.1.4 Brand awareness of consumers about fruit juice among different age groups
Table 4.4 and Fig. 3 reveals the brand awareness of consumers about fruit juice among different age groups. Frooti brand was very popular i.e., 96.00 per cent of respondents were aware, followed by Maaza brand (93.00%), Slice (87.00%), Appy (76.00%), Real fresh (62.00%), Pulpy orange (58.00%) and Tropicana twister (44.00%) at the overall level. Cent per cent of the respondents of AG1 and AG4 were conscious of Frooti brand. About 62.50, 78.12, 46.87 and 50.00 per cent of the respondents were aware of Real fresh, Appy, Tropicana twister and Pulpy orange brands among AG1 respondents. Maaza and Slice
brands were well known to 96.87 per cent each of the respondents. Among AG2, majority of the respondents were familiar with Frooti and Maaza brands (94.54% each). Slice, Appy, Pulpy orange and Real fresh brands were familiar among 85.45, 83.63, 69.09 and 63.63 per cent of the respondents. About 49.09 per cent of the respondents were aware of Tropicana twister brand. All the respondents of AG3 were conscious of Maaza brand. Frooti, Slice and Real fresh brands were familiar among more than 70.00 per cent of respondents. Less percentage of the respondents were aware of Tropicana twister brand (22.22%). Among AG4 only 25.00 per cent each of the respondents knew Maaza and Slice brands. It was also observed from the table that Real fresh, Appy, Tropicana twister and Pulpy orange brands were not known to any of the respondents of AG4.
4.1.5 Brand awareness of consumers about ice creams among different age groups
Brand awareness of consumers about ice creams among different age groups is presented in Table 4.5 and Fig. 4. It could be seen from the table that majority of the respondents were aware of Amul brand (99.00%), followed by Arun, MTR and Nandini (66.00% each), 62.00 per cent were aware of Kwality walls, Vadilal (56.00%), Dairy day (49.00%), Hangya (39.00%) and 25.00 per cent of them were conscious of Dinshaws brand. All the respondents of AG1, AG2 and AG4 were aware of Amul brand. About 68.75 per cent each were aware of Arun and Nandini brands, MTR and Vadilal brands were known to 56.25 per cent each of the respondents, 50.00 per cent each of them were aware of Kwality walls and Dairy day brands. Hangya and Dinshaws brands were known to 40.62 per cent and 25.00 per cent respectively. In case of AG2, 72.72 per cent each were conscious of MTR and Kwality walls brands. More than half of the respondents were familiar with Arun, Nandini and Vadilal barnds. Only 21.81 per cent of the respondents knew Dinshaws brand. Among AG3, majority of the respondents were aware of Amul and MTR brands (88.88% each) followed by Nandini (77.77%), Arun, Kwality walls, Vadilal, Dairy day and Dinshaws brands were familiar among more than half of the respondents. Only 44.44 per cent of the respondents of AG3 were conscious of Hangya brand. In case of AG4, Arun, Vadilal and Dairy day brands were known to 25.00 per cent each of respondents and none of them were aware of MTR, Nandini, Kwality walls, Hangya and Dinshaws brands.
Table 4.2. Brand awareness of consumers about biscuits among different age groups
Age group Brands AG1 (n=64) Parle G Tiger biscuits Marie gold Britannia 50-50 Sunfeast snacky Sunfeast glucose Good day Krack jack Hide & seek Glucose Chocolate chip cookies Britannia Time pass Parle Monaco Britannia little hearts 64 (100.00) 62 (96.87) 62 (96.87) 42 (65.62) 42 (65.62) 46 (71.87) 64 (100.00) 64 (100.00) 50 (78.12) 54 (84.37) 34 (53.12) 34 (53.12) 48(75.00) 40(62.50) AG2 (n = 110) 108 (98.18) 106 (96.36) 106 (96.36) 100 (90.90) 72 (65.45) 72 (65.45) 108 (98.18) 106 (96.36) 94 (85.45) 84 (76.36) 44 (40.00) 66 (60.00) 92 (83.63) 88 (80.00) AG3 (n = 18) 18 (100.00) 16 (88.88) 18 (100.00) 14 (77.77) 10 (55.55) 10 (55.55) 16 (88.88) 16 (88.88) 14 (77.77) 16 (88.88) 8 (44.44) 12 (66.66) 14 (77.77) 12 (66.66) AG4 (n = 8) 8 (100.00) 8 (100.00) 8 (100.00) 4 (50.00) 4 (50.00) 6 (75.00) 2 (25.00) 8 (100.00) 2(25.00) Overall (N=200) 198 (99.00) 192 (96.00) 194 (97.00) 160 (80.00) 124 (62.00) 128 (64.00) 192 (96.00) 192 (96.00) 160 (80.00) 162 (81.00) 86 (43.00) 112 (56.00) 156 (78.00) 140 (70.00)
Note : Figures in parentheses indicate the percentage to the total number of respondents in the category.
99
100 90 80 70
96
97 80
96
96 80 81 78 70
62
64 56 43
Percentages
60 50 40 30 20 10 0
rle Pa G T is rb ige its cu M ie ar ld go Br 0 -5 50 y k y e ek ck ac da os se d kj na uc l o & s g o ac t e r t s G d s K i ea H ea nf nf Su Su
ia nn ita
Brands
e ts co ss ies os ar na pa ok uc he e co Mo Gl le im t p t i e T i l rl ch ia ia Pa te nn nn it a o la it a r r c B B ho
Table 4.3. Brand awareness of consumers about chips among different age groups
Age group Brands AG1 (n=64) 60 (93.75) 38 (59.37) 64 (100.00) 38 (59.37) 28 (43.75) 22 (34.37) 32 (50.00) AG2 (n = 110) 88 (80.00) 80 (72.72) 106 (96.36) 78 (70.90) 40 (36.36) 40 (36.36) 58 (52.72) AG3 (n = 18) 14 (77.77) 14 (77.77) 16 (88.88) 10 (55.55) 2 (11.11) 2 (11.11) 10 (55.55) AG4 (n = 8) 4 (50.00) 2 (25.00) 6 (75.00) Overall (N=200) 166 (83.00) 134 (67.00) 192 (96.00) 126 (63.00) 70 (35.00) 64 (32.00) 100 (50.00)
Uncle chips
Bingo
Lays
Haldiram chips
Lip chips
Dimond chips
Lehar
Note : Figures in parentheses indicate the percentage to the total number of respondents in the category.
96
100 90 80 70 60 50
83
67 63
Perentages
50
35
40 30 20 10 0
32
Uncle chips
Bingo
Lays
Lip chips
Diamond chips
Lehar
Table 4.4. Brand awareness of consumers about fruit juice among different age groups
Age group Brands AG1 (n=64) 40 (62.50) 64 (100.00) 50 (78.12) 62 (96.87) 30 (46.87) 32 (50.00) 62 (96.87) AG2 (n = 110) 70 (63.63) 104 (94.54) 92 (83.63) 104 (94.54) 54 (49.09) 76 (69.09) 94 (85.45) AG3 (n = 18) 14 (77.77) 16 (88.88) 10 (55.55) 18 (100.00) 4 (22.22) 8 (44.44) 16 (88.88) AG4 (n = 8) Overall (N=200) 124 (62.00) 192 (96.00) 152 (76.00) 186 (93.00) 88 (44.00) 116 (58.00) 174 (87.00)
Real fresh
Frooti
8 (100.00)
Appy
Maaza
2 (25.00)
Tropicana twister
Pulpy orange
Slice
2 (25.00)
Note : Figures in parentheses indicate the percentage to the total number of respondents in the category.
96
100 90
93 87 76
80 70
62 58
Percentages
60
44
50 40 30 20 10 0
Real fresh
Frooti
Appy
Maaza
Tropicana twister
Pulpy orange
Slice
Brands
Table 4.5. Brand awareness of consumers about ice creams among different age groups
Age group Brands AG1 (n=64) Amul 64 (100.00) 44 (68.75) 36 (56.25) 44 (68.75) 32 (50.00) 26 (40.62) 36 (56.25) 32 (50.00) 16 (25.00) AG2 (n = 110) 110 (100.00) 76 (69.09) 80 (72.72) 74 (67.27) 80 (72.72) 44 (40.00) 62 (56.36) 54 (49.09) 24 (21.81) AG3 (n = 18) 16 (88.88) 10 (55.55) 16 (88.88) 14 (77.77) 12 (66.66) 8 (44.44) 12 (66.66) 10 (55.55) 10 (55.55) AG4 (n = 8) 8 (100.00) 2 (25.00) Overall (N=200) 198 (99.00) 132 (66.00) 132 (66.00) 132 (66.00) 124 (62.00) 78 (39.00) 112 (56.00) 98 (49.00) 50 (25.00)
Arun
MTR
Nandini
Kwality walls
Hangya
2 (25.00) 2 (25.00) -
Vadilal
Dairy day
Dinshaws
Note : Figures in parentheses indicate the percentage to the total number of respondents in the category.
99
100 90 80
66
70 60 50 40 30 20 10 0
66
66
62 56 49 39
Percentages
25
Amul
Arun
MTR
Nandini
Kwality walls
Brands
Hangya
Vadilal
Dairy day
Dinshaws
Table 4.6. Influence of media to create awareness about the brands (N = 200) Products Source Biscuits Television Radio Newspapers Magazines Friends/relatives Shopkeeper/retailer Window display 184 (92.00) 40 (20.00) 132 (66.00) 78 (39.00) 102(51.00) 96(48.00) 86(43.00) Chips 186(93.00) 20(10.00) 114(57.00) 64(32.00) 124(62.00) 82(41.00) 68(34.00) Fruit juice 172(86.00) 26(13.00) 112(56.00) 76(38.00) 118(59.00) 74(37.00) 68(34.00) Ice creams 162(81.00) 24(12.00) 124(62.00) 80(40.00) 128(64.00) 88(44.00) 66(33.00) 704 (26.13) 110 (4.08) 482 (17.89) 298 (11.06) 472 (17.52) 340 (12.62) 288 (10.69) Total = 2694 (100.00) Overall
Note : Figures in the parentheses indicate percentage to the total sample size.
4.2
High price and low quality were the reasons for not consuming ice creams by 16.66 per cent each of the respondents.
needed. Thirteen per cent of the respondents bought ice creams from bakeries. Very few of them purchased from retail outlets (4.91%) and departmental stores (3.27%). This was followed by once in a week purchase from ice parlors (94.11%), bakeries (23.52%), retail outlets (17.64%) and 11.76 per cent of them purchased from departmental stores.
4.2.9 Influence / Impact of education to make purchase decision on ready-to-eat food products
Table 4.15 depicts the influence/impact of education to make purchase decision on ready-to-eat food products. It could be seen from the table that majority of the respondents of the education levels of primary school (100.00%), high school (100.00%) and PUC level (73.33%), were influenced by parents while purchasing biscuits. Most of the respondents of degree holders and post graduates took their own decision while purchasing biscuits (97.72% and 62.28% respectively).
Table 4.7. Buyers and non-buyers of ready-to-eat food products (N= 200) Non-buyers -
Products
Buyers 64 (100.00) 110 (100.00) 18 (100.00) 8 (100.00) 200 (100.00) 64 (100.00) 108 (98.18) 12 (66.66) 184 (92.00) 64 (100.00) 106 (96.36) 16 (88.88) 186 (93.00) 62 (96.87) 108 (98.18) 18 (100.00) 188 (94.00)
Biscuits
AG3 (n= 18) AG4 (n= 8) Total (N = 200) AG1 (n= 64) AG2 (n= 110)
2 (1.81) 6 (33.33) 8 (100.00) 16 (8.00) 4 (3.63) 2 (11.11) 8 (100.00) 14 (7.00) 2 (3.12) 2 (1.81) 8 (100.00) 12 (6.00)
Chips
AG3 (n= 18) AG4 (n= 8) Total (N = 200) AG1 (n= 64) AG2 (n= 110)
Fruit juice
AG3 (n= 18) AG4 (n= 8) Total (N = 200) AG1 (n= 64) AG2 (n= 110)
Ice creams
Note : Figures in the parentheses indicate percentage to the total number of respondents in each age group.
Radio Friends/relatives
Newspapers Shopkeeper/retailer
26.13 12.62
Table 4.8. Reasons for purchasing ready-to-eat food products by consumers of Hubli Dharwad Products Reasons Biscuits (n=200) Readily available 106 (53.00) 92 (46.00) 120 (60.00) 30 (15.00) 78 (39.00) 130 (65.00) 86 (43.00) 46 (23.00) Chips (n=184) 86 (46.73) 148 (80.43) 58 (31.52) 68 (36.95) 48 (26.08) 118 (64.13) 96 (52.17) 72 (39.13) 2 (1.08) Fruit juice (n=186) 104 (55.91) 110 (59.13) 68 (36.55) 82 (44.08) 28 (15.05) 50 (26.88) 88 (47.31) 92 (49.46) 18 (9.67) Ice creams (n=188) 64 (34.04) 116 (61.70) 74 (39.36) 84 (44.68) 48 (25.53) 26 (13.82) 104 (55.31) 52 (27.65) -
Taste
Satisfaction
Any other
Note : Figures in parentheses indicate the percentage to the total number of users of the respective product.
Table 4.9. Reasons for not purchasing ready-to-eat food products by consumers of Hubli Dharwad Products Reasons Biscuits (n=0) Lack of awareness of products available in the market Dislike the product Chips (n=16) 8 (50.00) 8 (50.00) 10 (62.50) 16 (100.00) Fruit juice (n=14) 6 (42.85) 10 (71.42) 4 (28.57) 12 (85.71) Ice creams (n=12) 12 (100.00) 2 (16.66) 2 (16.66) 8 (66.66) 4 (33.33)
High price
Any other
Note : Figures in parentheses indicate the percentage to the total number of non-users of the respective product.
Table 4.10. Monthly expenditure of households on food items (Rs./month) Items Low income 283.15 Cereals Pulses (18.08) 241.50 (15.42) 244.25 Fats and oils Fruits and vegetables Milk and milk products Readyto-eat food products Total (15.59) 261.25 (16.68) 311.25 (19.87) 224.00 (14.30) 1566.00 (100.00) Note : Figures in parentheses indicate the percentage Income group Middle income 541.47 (22.22) 327.94 (14.06) 314.70 (13.49) 394.11 (16.90) 545.61 (23.40) 298.52 (12.80) 2331.35 (100.00) High income 588.46 (21.41) 398.07 (14.48) 398.46 (14.50) 423.07 (15.39) 516.17 (18.78) 423.07 (15.39) 2747.60 (100.00) 450.60 (21.12) 311.60 (14.61) 308.30 (14.45) 348.50 (16.34) 418.30 (19.61) 301.10 (14.11) 2133.30 (100.00) Average
19.61
14.61
16.34
14.45
Table 4.11. Monthly expenditure of households on ready-to-eat food products (Rs./month) Items Low income Biscuits 60.70 (35.77) Chips 28.87 (17.01) Fruit juice 38.87 (22.91) 41.25 Ice creams Total (24.31) 169.69 (100.00) Note : Figures in parentheses indicate the percentage Income group Average Middle income 82.94 (34.45) 46.02 (19.11) 61.91 (25.71) 49.85 (20.70) 240.72 (100.00) High income 128.38 (35.51) 55.96 (15.48) 8153 (22.55) 95.57 (26.44) 361.44 (100.00) 85.86 (35.17) 41.75 (17.10) 57.80 (23.67) 58.70 (24.04) 244.11 (100.00)
Biscuits
Chips
Fruit juice
Ice creams
24.04 35.17
23.67 17.1
12 (60.00)
10 (41.66)
26 (24.07)
4 (28.57)
8 (30.76)
26 (22.80)
6 (17.64)
6 (4.91)
B Bakeries
I Ice parlors.
Age group Products Nature of purchase decision Impulsive buying Planned purchase Nature of decision Chips (n = 184) purchase AG1 (n=64) 18 (28.12) 46 (71.87) AG1 (n=64) 44 (68.75) 20 (31.25) AG1 (n=64) 20 (31.25) 44 (68.75) AG1 (n=62) 22 (35.48) 40 (64.51) 62 80 42 AG2 = 110) (38.18) (n AG3 = 18) 10 (55.55) 8 (44.44) AG3 (n = 12) 12 (100.00) AG3 = 16) 8 (50.00) 8 (50.00) AG3 (n = 18) 12 (66.66) 6 (33.33) (n (n AG4 (n = 8) 8 (100.00) AG4 (n = 0) AG4 (n = 0) AG4 (n = 0) Overall 96 (51.06) 92 (48.93) Overall 82 (44.08) 104 (55.91) Overall 70 (35.00) 130 (65.00) Overall 136 (73.91) 48 (26.08)
Biscuits (n=200)
Note : Figures in the parentheses indicate percentage to the total number of users in each age group.
Table 4.14. Influence of income on purchase decisions on ready-to-eat food products Products Income group Low (n = 80) Biscuits (n = 200) Medium (n=68) High (n = 52) Total Low (n = 75) Chips (n=184) Medium (n=62) High (n = 47) Total Low (n = 77) Fruit juice (n=186) Medium (n=59) High (n = 50) Total Low (n = 70) Ice creams (n=188) Medium (n=68) High (n = 50) Total Parents 37 (46.25) 35 (51.47) 20 (38.46) 92 (46.00) 6 (8.00) 18 (29.03) 8 (17.02) 32 (17.39) 20 (25.97) 32 (54.23) 26 (52.00) 78 (41.93) 4 (5.71) 6 (8.82) 6 (12.00) 16 (8.51) Children 42 (52.50) 30 (44.14) 16 (30.76) 88 (44.00) 24 (32.00) 30 (48.38) 18 (38.29) 72 (39.13) 12 (15.58) 20 (33.89) 10 (20.00) 42 (22.58) 30 (42.85) 20 (29.41) 24 (48.00) 74 (39.36) Friends 20 (25.00) 18 (26.47) 16 (30.76) 54 (27.00) 26 (34.66) 20 (32.25) 20 (42.55) 66 (35.86) 32 (41.55) 20 (33.89) 20 (40.00) 72 (38.70) 26 (37.14) 38 (55.88) 28 (56.00) 92 (48.93) Neighbours 8 (10.00) 10 (14.70) 4 (7.69) 22 (11.00) 10 (13.33) 12 (19.35) 2 (4.25) 24 (13.04) 12 (15.58) 2 (3.38) 14 (7.51) 8 (11.42) 6 (8.82) 6 (12.00) 20 (10.63) Shopkeeper 12 (15.00) 18 (26.47) 8 (15.38) 38 (19.00) 6 (8.00) 10 (16.12) 2 (4.25) 18 (9.78) 6 (7.79) 12 (20.33) 4 (8.00) 22 (11.82) 2 (2.85) 8 (11.76) 4 (8.00) 14 (7.44) Self decision 62 (77.50) 40 (58.82) 32 (61.53) 134 (67.00) 44 (58.66) 46 (74.19) 28 (59.57) 118 (64.13) 44 (57.14) 44 (75.57) 36 (72.00) 124 (66.66) 42 (66.00) 30 (44.11) 36 (72.00) 108 (57.44)
Note : Figures in parentheses indicate percentage to the total number of users in each income group.
Table 4.15. Influence /impact of education to make purchase decision on ready-to-eat food products Products Education level Primary school (n = 4) High school (n = 20) Biscuits (n = 200) PUC (n = 60) Degree (n = 88) PG ( n = 28) Primary school (n = 2) High school (n = 16) Chips (n = 184) PUC (n = 55) Degree (n = 86) PG ( n = 25) Primary school (n = 0) Fruit juice (n = 186) High school (n = 18) PUC (n = 59) Degree (n = 85) PG ( n = 24) Primary school (n = 0) Ice creams (n = 188) High school (n = 20) PUC (n = 60) Degree (n = 85) Parents 4 (100.00) 20 (100.00) 44 (73.33) 22 (25.00) 2 (7.14) 2 (100.00) 6 (37.50) 2 (3.63) 22 (25.58) 10 (55.55) 6 (10.16) 52 (61.17) 10 (41.66) 4 (20.00) 2 (3.33) 10 (11.76) Children 6 (30.00) 6 (10.00 66 (75.00) 10 (35.71) 6 (37.50) 6 (10.90) 35 (46.69) 25 (100.00) 6 (33.33) 4 (6.77) 24 (28.23) 8 (33.33) 6 (30.00) 2 (3.33) 52 (61.17) Friends 1 (25.00) 6 (30.00) 6 (10.00) 31 (35.22) 10 (35.71) 10 (62.50) 25 (45.45) 13 (15.11) 18 (72.00) 6 (33.33) 12 (20.33) 50 (58.82) 4 (16.66) 8 (40.00) 12 (20.00) 66 (77.64) Neighbours 4 (20.00) 2 (3.33) 16 (18.18) 4 (25.00) 2 (3.63) 16 (18.60) 4 (22.22) 2 (3.38) 10 (11.76) 20 (100.00) 50 (83.33) 30 (35.29) Shopkeeper 4 (20.00) 18 (30.00) 16 (18.18) 4 (25.00) 14 (16.27) 4 (22.22) 2 (3.38) 16 (18.82) 2 (10.00) 2 (3.33) 10 (11.76) Self decision 8 (40.00) 22 (36.66) 86 (97.72) 18 (64.28) 6 (37.50) 20 (36.36) 74 (86.04) 18 (72.00) 8 (44.44) 18 (30.50) 80 (94.11) 18 (75.00) 6 (30.00) 5 (8.33) 75 (88.23) 22 (95.65)
PG ( n = 23) 14 (60.86) 6 (26.08) Note : Figures in parentheses indicate percentage to the total number of users in each education level.
In the case of chips, all the respondents of primary education level were influenced by their parents while taking purchase decisions. Majority of the respondents of high school level and PUC level were influenced by friends (62.50% and 45.45% respectively). Degree holders mostly took self decision (86.04%) while making purchase decisions. Most of the post graduates were influenced by children (100.00%) while making purchase decisions. In case of fruits juice, majority of the respondents of high school level were influenced by parents while taking purchase decisions (55.55%). Most of the respondents of PUC level, degree holders and post-graduate took their own decision while purchasing (30.50%, 94.11% and 75.00% respectively) fruit juice. Ice cream purchasing decision was mainly influenced by neighbours in high school and PUC level respondents (100.00% and 83.33% respectively). Most of the respondents took self decision while purchasing in case of post graduate respondents (88.23% and 95.65% respectively).
4.2.10
Table 4.16 presents preference for type of biscuits among different age groups. It was observed from the table that, among the first age group (AG1) maximum of the respondents preferred sweet biscuits (65.62%), followed by cream biscuits (50.00%), salted biscuits (18.75%) and wafers (12.50%) were less preferred. Cream biscuits were mostly preferred (54.54%) in the AG2, followed by salted biscuits (41.81%), sweet biscuits (38.18%), high fibre content biscuits (18.18%) and wafers (16.36%). In the AG3, 66.66 per cent of them preferred sweet biscuits. Cream biscuits, wafers and salted biscuits were preferred by 55.55 per cent each. Only 33.33 per cent of them did go for high fibre content biscuits in this age group. All the respondents of AG4 preferred sweet biscuits. Fifty per cent of the respondents also preferred salted biscuits. Only a small percentage of the respondents (25.00%) preferred high fibre content biscuits. In the last age group none of respondents preferred cream biscuits and wafers. None of the respondents preferred high fibre content biscuits in the AG1 . Overall, more than 50.00 per cent of the respondents preferred sweet biscuits and cream biscuits. Only a small percentage of the respondents (14.00%) did go for high fibre content biscuits.
4.2.11
Table 4.17 shows preference for variety of chips among different age groups. It could be seen from the table that preference for potato chips was found to be highest (78.26%) followed by banana chips (51.08%), jack fruit chips (31.52%) and only 10.86 per cent of them did go for sweet potato chips. Potato chips were mostly preferred by cent per cent, 81.25 per cent and 74.07 per cent of AG3, AG1 and AG2 respondents accordingly. Among the first two age groups i.e., AG1 and AG2 the next preference was given for banana chips (40.62% and 61.11% respectively) followed by jack fruit chips (37.5% and 27.77% respectively) and sweet potato chips were less preferred among these two age groups i.e., AG1 (12.50%) and AG2 (9.25%). In the AG3 category jack fruit chips were preferred by 33.33 per cent of the respondents, banana chips and sweet potato chips were preferred by less number of respondents (16.66% each).
4.2.12
Table 4.18 depicts preference for flavour in chips among different age groups. The table reveals that, maximum of the respondents preferred chilly flavoured/masala chips (69.56%) followed by tomato flavoured (48.91%) chips and 41.30 per cent of the respondents preferred salted/plain chips. Chilly flavoured / masala chips were most preferred among AG1 and AG2 (68.75% and 70.37% respectively), followed by tomato flavoured chips by 40.62 per cent and 55.55 per cent of AG1 and AG2 respondents respectively and salted/plain chips were less preferred by 28.12 per cent and 46.29 per cent of AG1 and AG2 consumers accordingly. In the AG3 salted / plain chips were most preferred (66.66%) and 33.33 per cent each of the respondents preferred tomato flavoured and chilly flavoured / masala chips.
4.2.13
Table 4.19 presents preference for type of fruit juice among different age groups. The table reveals that maximum of the respondents preferred mango juice (61.29%) followed by apple juice and orange juice (46.23% each). Thirty one per cent of them preferred pineapple
juice and strawberry was preferred only by 13.97 per cent of the respondents. In the first age group (AG1), majority of the respondents preferred apple juice (56.25%), subsequently orange juice was preferred by 50 per cent, mango juice by 46.87 per cent, 25 per cent of them did go for pineapple juice and only 15.62 per cent preferred strawberry juice. Mango juice was preferred by most of the respondents (69.81%) in AG2, followed by orange juice (43.39%), 35.84 per cent of them preferred pineapple juice, 30.18 per cent did go for apple juice and strawberry juice was least preferred (13.20%) among AG2 respondents. In the AG3 category, apple juice was preferred by all the respondents. In addition, 62.50 per cent of them preferred mango juice, 50.00 per cent of them did go for orange juice, pineapple juice was preferred by 25.00 per cent of the respondents and only 12.50 per cent of them preferred strawberry juice.
4.2.14
Table 4.20 presents preference for type of ice creams among different age groups. It could be noticed from the table that among the first two age groups i.e., AG1 and AG2 most of the respondents did go for cone ice creams (77.41% and 75.92% respectively). This was followed by cup ice creams (38.70% and 38.88% of the respondents of AG1 and AG2 respectively). Ninteen and twenty six per cent of the respondents of AG1 and AG2 respectively preferred candy. Scoop was preferred among 16.12 per cent and 22.22 per cent of the respondents of AG1 and AG2 accordingly. A meagre percentage of respondents (1.85%) preferred family packs in AG2, but none of the respondents of AG1 preferred family packs. In the third age group, majority of them did go for cone ice creams (66.66%). Cup ice creams were preferred by 44.44 per cent and 22.22 per cent preferred scoop. Candy and family packs were preferred by 11.11 per cent each of the respondents. At the aggregate level, major proportion of respondents preferred cone ice creams (75.53%) followed by cup (39.36%), candy (22.34%), scoop (20.21%) and family packs were preferred by only 2.12 per cent of the respondents.
4.2.15
An analysis of preference for flavour in ice creams among different age groups is depicted in Table 4.21. It was observed from the table that chocolate flavour was highly preferred among the first age group (70.96%), followed by vanilla (54.83%), pista (41.93), butterscotch (25.80%), strawberry (9.67%) and mango (6.45%). In case of AG2, maximum of the respondents preferred vanilla flavour (55.55%) followed by pista flavour (40.47%), chocolate flavour (35.18%), mango (22.22%), strawberry (20.37%) and butterscotch (7.40%). The results also revealed that, about 77.77 per cent of the respondents of AG3 preferred vanilla flavour, pista flavour was preferred by 66.66 per cent of the respondents and chocolate flavour was less preferred in this age group (11.11%). Strawberry, mango and butterscotch were preferred by 22.22 per cent each of the respondents of this age group. At the overall level, vanilla flavour was most preferred (57.44%), followed by chocolate flavour (44.68%), pista (43.61%), mango and strawberry flavours (17.02% each) and least preferred flavour was butter scotch (14.89%).
4.3
Table 4.22 to Table 4.25 shows the rank matrix of common brands preferred among the products. The brands have been considered based on mean scores of preferential order of brands considered by the consumers. Preferential order of brands were obtained based on Garretts ranking test.
Table 4.16. Preference for type of biscuits among different age groups Age group Type of biscuits AG1 (n=64) 32 Cream biscuits (50.00) 8 Wafers (12.50) 12 Salted biscuits (18.75) 42 Sweet biscuits (65.62) High fibre content biscuits (38.18) 20 (18.18) (33.33) (25.00) (14.00) (66.66) 6 (100.00) 2 (52.00) 28 (41.81) 42 (55.55) 12 (50.00) 8 (36.00) 104 (16.36) 46 (55.55) 10 4 (54.54) 18 (55.55) 10 (18.00) 72 AG2 (n = 110) 60 AG3 (n = 18) 10 (51.00) 36 AG4 (n = 8) Overall (N=200) 102
Note : Figures in the parentheses indicate percentage to the total number of users in each age group.
Table 4.17. Preference for variety of chips among different age groups Age group Variety of chips AG1 (n = 64) 26 (40.62) 52 (81.25) 8 (12.50) 24 (37.50) AG2 (n = 108) 66 (61.11) 80 (74.07) 10 (9.25) 30 (27.77) AG3 (n=12) 2 (16.66) 12 (100.00) 2 (16.66) 4 (33.33) AG4 (n = 0) Overall (n=184) 94 (51.08) 144 (78.26) 20 (10.86) 58 (31.52)
Banana chips Potato chips Sweet potato chips Jack fruit chips
Note : Figures in the parentheses indicate percentage to the total number of users in each age group.
Table 4.18. Preference for flavour in chips among different age groups Age group Flavour in chips AG1 (n = 64) 18 (28.12) 26 (40.62) 44 (68.75) AG2 (n = 108) 50 (46.29) 60 (55.55) 76 (70.37) AG3 (n=12) 8 (66.66) 4 (33.33) 4 (33.33) AG4 (n = 0) Overall (n=184) 76 (41.30) 90 (48.91) 128 (69.56)
Note : Figures in the parentheses indicate percentage to the total number of users in each age group. Table 4.19. Preference for type of fruit juice among different age groups Age group Type of fruit juice AG1 = 64) 30 Mango (46.87) 36 Apple (56.25) 32 Orange (50.00) 10 Strawberry (15.62) 16 Pineapple (25.00) (35.84) (25.00) (13.20) 38 (12.50) 4 (31.18) (43.39) 14 (50.00) 2 (13.97) 58 (30.18) 46 (100.00) 8 (46.23) 26 (69.81) 32 (62.50) 16 (46.23) 86 (n AG2 (n = 106) 74 10 (61.29) 86 AG3 (n=16) AG4 (n = 0) Overall (n=186) 144
Note : Figures in the parentheses indicate percentage to the total number of users in each age group.
Table 4.20. Preference for type of ice creams among different age groups Age group Type of ice creams AG1 = 62) 48 Cone (77.41) 24 Cup (38.70) 10 Scoop (16.12) 12 Candy (19.35) (25.92) 2 Family pack (1.85) (11.11) (11.11) 2 (2.12) (22.22) 28 (22.22) 2 (22.34 ) 4 (38.88) 24 (44.44) 4 (20.21) 42 (75.92) 42 (66.66) 8 (39.36) 38 (n AG2 (n = 108) 82 12 (75.53) 74 AG3 (n=18) AG4 = 0) (n Overall (n=188) 142
Note : Figures in the parentheses indicate percentage to the total number of users in each age group.
Table 4.21. Preference for flavour in ice creams among different age groups
Age group Flavours AG1 (n = 62) 34 Vanilla (54.83) 6 Strawberry (9.67) 44 Chocolate (70.96) 4 Mango (6.45) 26 Pista (41.93) 16 Butterscotch (25.80) (7.40) (22.22) (40.74) 8 (66.66) 4 (14.89) (22.22) 44 (22.22) 12 (43.61) 28 (35.18) 24 (11.11) 4 (17.02) 82 (20.37) 38 (22.22) 2 (44.68) 32 (55.55) 22 (77.77) 4 (17.02) 84 AG2 (n = 108) 60 14 (57.44) 32 AG3 (n=18) AG4 (n = 0) Overall (n=188) 108
Note : Figures in the parentheses indicate percentage to the total number of users in each age group.
Table 4.22. Brand preference for biscuits Biscuit Brands Parle-G Good day Marie gold Hide and seek Tiger biscuits Krack jack Britannia 50-50 Britannia little hearts Parle Monaco Glucose Sunfeast snacky Chocolate chip cookies Britannia Time pass Sunfeast glucose Rankings I II III IV V VI VII VIII IX X XI XII XIII XIV Mean score 69.99 69.62 61.14 54.74 53.79 52.86 48.76 45.61 43.68 43.41 42.13 38.95 38.88 37.44
Table 4.23. Brand preference for chips Chips Brands Lays Uncle chips Bingo Haldiram chips Local brand/unbranded chips Lehar Diamond chips Lip chips Rankings I II III IV V VI VII VIII Mean score 71.55 59.67 51.03 49.90 46.25 42.00 39.90 38.68
4.4
Table 4.26 shows the rank matrix of common factors influencing the brand preference among the products. While preferring a particular brand in biscuits quality was considered as the foremost factor (mean score of 75.74). Second important factor was taste with a mean score of 74.79. Reasonable price was ranked as third factor (mean score of 64.60). Quantity and availability of the brands were ranked fourth and fifth ranks respectively (mean score of 59.08 and 56.70 respectively). While preferring a particular brand in chips, fruit juice and ice creams, taste was considered as the foremost factor in all the products (mean score of 80.35, 77.29 and 79.05 respectively). Quality was considered as the second important factor by the consumers (mean score of 71.22, 75.23 and 74.18 respectively). Third criteria considered was reasonable price in all the three products (mean score of 62.46, 62.29 and 64.21 respectively). Quantity and brand image were considered as fourth and fifth criteria respectively (mean score of 59.92, 60.04 and 57.43, and 54.57, 56.15 and 55.70 respectively). In case of all the four products retailers influence was considered as the last criteria for the preference of a particular brand (mean score of 27.91, 30.32, 28.53 and 31.45 respectively).
4.5
Table 4.27 reveals alternative purchase plans of ready-to-eat food products. Majority of the respondents in case of biscuits (80.00%), chips (60.86%), fruit juice (58.06%) and ice creams (56.38%) would go to other shops if preferred brand was not available. In the case of biscuit consumers, 27.00 per cent of the respondents would postpone their purchase decision if their preferred brand was not available, 22.00 per cent of them bought other brand and 26.00 per cent of the respondents placed order to get required brand. In case of chips, 40.21 per cent of the respondents opined to buy other brand if their favourite brand was not available, 36.95 per cent of them would postpone the purchase decision and only 23.91 per cent of the respondents planned to place order to get their required brand. In case of fruit juice, if required brand was not available in the market 34.40 per cent of the respondents were ready to postpone their purchase decision, 38.70 per cent of the respondents opined that they would buy other brand and 21.50 per cent of them said they would place order to get their required brand. In case of ice creams, 40.42 per cent of the respondents opined that they would postpone the purchase decision of their preferred brand was not available in the market, 32.97 per cent of them would buy some other brands and 34.04 per cent of the respondents said they would place order to get required brand.
Table 4.24. Brand preference for fruit juice Fruit Juice Brands Maaza Frooti Slice Appy Real fresh Pulpy orange Tropicana twister Rankings I II III IV V VI VII Mean score 62.81 62.61 56.00 48.89 44.17 38.59 35.91
Rankings
Mean score
Amul
74.95
Kwality walls
II
56.21
MTR
III
53.82
Arun
IV
52.52
Nandini
52.12
Vadilal
VI
48.97
Dairy day
VII
41.48
Hangya
VIII
38.59
Dinshaws
IX
31.28
Biscuits Factors Ranking Mean score 64.60 74.79 75.74 59.08 54.73 56.70 50.76 42.65 37.62 32.76 32.13 52.30 27.91 48.89
Chips Ranking Mean score 62.46 80.35 71.22 59.92 54.57 54.38 45.72 42.18 41.42 36.14 33.04 50.46 30.32 47.32
Fruit juice Ranking Mean score 62.29 77.29 75.23 66.04 56.15 53.43 50.21 43.79 39.30 35.23 31.27 49.60 28.53 47.26
Ice creams Ranking Mean score 64.21 79.05 74.18 57.43 55.70 51.57 49.37 42.25 38.51 36.70 33.94 47.60 31.45 42.20
Reasonable price Taste Quality Quantity Brand image Availability Advertisements Packaging design Friends Labeling Offers Freshness Retailers influence Long shelf-life of the products Availability products of range
XI
39.34
XII
40.42
XI
40.32
IX
45.78
Table 4.27. Alternative purchase plans of ready-to-eat food products Alternative purchase plans Products Biscuits (n=200) 160 (80.00) 54 (27.00) 44 (22.00) 52 (26.00) Chips (n=184) 112 (60.86) 68 (36.95) 74 (40.21) 44 (23.91) Fruit juice (n=186) 108 (58.06) 64 (34.40) 72 (38.70) 40 (21.50) Ice creams (n=188) 106 (56.38) 76 (40.42) 62 (32.97) 64 (34.04)
Go to other shop Post pone the purchase Will buy other brand
Note : Figures in the parentheses indicate percentage to the total number of users of the respective products.
5. DISCUSSION
The results of the investigation presented in the previous chapter are discussed in this chapter under the following heads. 5.1 5.2 5.3 5.4 5.5 Awareness of consumers towards branded ready-to-eat food products. Purchase behaviour of consumers towards ready-to-eat food products. Brand preference of the consumers. Factors influencing brand preference. Alternative purchase plans of the consumers.
5.1
5.1.2 Brand awareness of consumers about biscuits among different age groups
It was noticed from Table 4.2 that among the first age group, cent per cent each of the respondents were aware of Parle-G, Good day and Krack jack brands. Tiger biscuits, Marie gold, Sunfeast Glucose, Hide and seek, Glucose and Parle Monaco brands were familiar among more than 70.00 per cent of the respondents of AG1. In addition, other brands like Britannia 50-50, Sunfeast snacky, Chocolate chip cookies, Britannia Time pass and Britannia little hearts brands were known to more than half of the respondents as they are highly advertised through various mass media and this age group was more exposed to media. In case of AG2, 98.18 per cent each of the respondents knew Parle-G and Good day brands, followed by 96.36 per cent each aware of Tiger biscuits, Marie gold and Krack jack brands. Parle-G and Marie gold biscuits were very popular among AG3 and AG4. Tiger biscuits and Glucose brands were also known to all the respondents of AG4. Parle-G was the local brand being produced by LVT Pvt. Ltd., So also the Tiger biscuits and Marie Gold biscuits. Hence, reach of these brands was highly penetrative due to locational advantage. Each and every petty shop also keeps these brands. Irrespective of the age group whoever visit the shops would come to know about these brands. Therefore, these brands were popular in all the age groups. But none of the respondents of AG4 were aware of Chocolate chip cookies brand, Sunfeast snacky, Sunfeast glucose, Britannia Time pass and also Britannia little hearts brands. This age group doesnt prefer much of the ready-to-eat products except some familiar ones.
5.1.3 Brand awareness of consumers about chips among different age groups
From Table 4.3 it was observed that Lays brand was familiar among 100.00 per cent, 96.36 per cent, 88.88 per cent and 75.00 per cent of the consumers of AG1, AG2, AG3 and AG4 accordingly. In case of AG1 Uncle chips, Lip chips, Diamond chips and Lehar chips were well known to 93.75, 43.75, 34.37 and 50.00 per cent of the respondents and about 59.37 per cent each aware of Bingo and Haldiram brands. More than half of the respondents of AG2 and AG3 were conscious of Lehar brand. Uncle chips and Bingo brands were familiar among more than 70.00 per cent of the AG2 and AG3 respondents. In addition to these brands, Haldiram chips was known to 70.90 per cent of AG2 and 55.55 per cent of AG3
respondents. About 36.36 per cent each were aware of Lip chips and Diamond chips among AG2. Fifty per cent of the respondents were aware of Uncle chips and 25.00 per cent of the respondents were conscious of Bingo brand in case of AG4 respondents. It could also be seen from the table that, none of the respondents of this age group were familiar with Haldiram chips, Lip chips, Diamond chips and Lehar brands. Ready-to-eat food products are the delicacy of lower age groups as compared to the old age people, who usually do not consume them much. Chips were no exception to this. The younger generations are the innovators of various brands in the market due to varied taste, attractive packing, advertisements through different media or influence by friends. Hence, the recent brands like Lip chips, Haldiram chips, Diamond chips and Lehar brands were more known to young age group.
5.1.4 Brand awareness of consumers about fruit juice among different age groups
It was noticed from Table 4.4 that Frooti brand was very popular among 96.00 per cent of respondents, followed by Maaza brand (93.00%) and Slice by 87.00 per cent of respondents. All the respondents of AG1 and AG4 were conscious of Frooti brand. Among first age group Appy, Maaza and Slice brands were well known to more than 70.00 per cent of the respondents. Among AG2, majority of the respondents were familiar with Frooti and Maaza brand (94.54% each), Slice, Appy, Pulpy orange and Real fresh brands were familiar among 85.45, 83.63, 69.09 and 63.63 per cent of the respondents. All the respondents of AG3 were conscious of Maaza brand. Frooti, Slice and Real fresh brands were familiar among more than 70.00 per cent of respondents. Among the first three age groups Tropicana, twister brand was less familiar. Because this brand is a new entrant in the market. It was also noticed from the table that Real fresh, Appy, Tropicana twister and Pulpy orange brands were not known to any of the respondents of AG4. Because of the reasons discussed in earlier section, all the brands were known to the younger age group as they were brand innovators.
5.1.5 Brand awareness of consumers about ice creams among different age groups
Amul brand is one of the popular brand for milk products in our country. Because of its quality products this brand is very well known to almost all the people in our country. Similarly, it was observed that all the respondents of AG1, AG2 and AG4 and also most of the respondents of AG3 (88.88%) were aware of Amul brand. More than half of the respondents AG1 were conscious of all other brands like Arun, MTR, Nandini, Kwality walls, Vadilal, Dairy Day except Dinshaws brand (only 25.00%). Dinshaws brand was introduced into market recently and hence it was not very popular. Among the first three age groups MTR and Kwality walls were also popular brands. MTR is a very popular brand in south India and also Kwality walls is a famous brand in the whole country, hence these brands accounted for a higher percentage of awareness among the consumers. In case of AG4 none of the respondents were aware of MTR, Nandini, Kwality walls, Hangya and Dinshaws brands as observed from Table 4.5. More brands of all the products were known among the first three age groups, when compared to the last age group. More exposure to the media and also interest in ready-to-eat food products among the younger generations had promoted them to know about different brands of ice creams.
regarding various brands. Apart from this, newspapers (17.89%) and friends/relatives (17.52%) were also the major sources of information for brand awareness. This is because newspapers are the cheapest and easily available means of getting information regarding various brands. Friends/relatives were considered as important source may be because, the respondents easily get information through word of mouth from their friends / relatives. Radio was the least preferred media for brand awareness of all these four products (i.e., Biscuits, Chips, Fruit juice and Ice creams). The study conducted by Yee and Young (2001) on food industry awareness of the high fat content of pies show that the major sources of brand awareness were word of mouth followed by advertisements, family members and relatives and friends.
5.2
they disliked the product, 66.66 per cent of them were not purchasing this product since they were health conscious and 33.33 per cent of the respondents said other reasons like allergy due to cold. Seventeen per cent of each of the respondents were not purchasing ice creams due to high price and low quality of the product. The study of reasons for not purchasing ready-to-eat food products revealed that the cosmopolitan people of Hubli-Dharwad were more of health conscious and quality conscious. Price was not an important criteria to purchase the products as only 50.00 per cent of the respondents thought about the price while making purchases. Hence, this sort of studies send red alert to the ready-to-eat food manufacturers, that they cannot compromise on quality of the products in a view to offer the products at cheaper price.
departmental stores (29.62%) and only 24.07 per cent of the respondents purchased from retail outlets. Even in case of fruit juice maximum of the respondents purchased from bakeries (50.87%) and a least per cent of the respondents purchased from retail outlets (22.80%). Even in case of ice creams, very few (4.91%) of the respondents purchased from retail outlets. It is not the source, but the availability of these products in the sources which had significantly influenced the purchase behaviour of the consumers. Usually bakery people will have their own refrigerators to maintain bakery items. Along with that they keep fruit juice and ice creams. But retail provision stores have to make special provision to keep such items for sale.
5.2.10
It could be inferred from Table 4.16 that, among the first age group (AG1) maximum of the respondents preferred sweet biscuits (65.62%) followed by cream biscuits (50.00%) and salted biscuits (18.75%). None of the respondents of this age group preferred high fibre content biscuits. Age group one (AG1) contains the children and teens who always look at the taste rather than nutritive value of any product. Therefore many of them preferred cream and sweet biscuits. But as and when the people become old, they give more weightage to nutritive value of the food rather than the taste. The results of the study also supports the phenomenon. At the aggregate level, people gave less importance to nutritive value as compared to taste. Biscuits are mainly consumed for their taste rather than any nutritive value. Hence, the manufacturers of biscuits, planning for marketing strategy by attaching nutritive value for their product have to think seriously before launching the product.
5.2.11
It was observed from Table 4..17 that preference for potato chips was found to be highest (78.26%) followed by banana chips (51.08%), jack fruit chips (31.52%) and only 10.86 per cent of them did go for sweet potato chips. Among the first three age groups potato chips were highly preferred by the respondents. The next preference was given for banana chips followed by jack fruit chips and sweet potato chips in case of AG1 and AG2 respondents. Food habits of the people largely depend upon the availability of the food material in the locality. Since, potato is being grown in large quantities in Hubli-Dharwad area, raw material availability is not a problem. Hence, large quantities of potato chips were prepared and supplied to meet consumers satisfaction. Price is another factor which influence on the preference of the product. Banana, jack fruit and sweet potato were to be produced from distant markets, which adds to cost of production. All these factors would definitely reflect higher prices for the products in the market. Therefore, cheapest among all varieties of chips, the potato chips were much preferred by the consumers of all age groups.
5.2.12
It was revealed from the Table 4.18 that among the first two age groups AG1 and AG2 chilly flavoured/masala chips were highly preferred (68.75% and 70.37% respectively). Whereas in case of AG3 salted/plan chips were preferred by more number of respondents (66.66%). The first two age groups mainly comprise of children below 20 years. There consumption of chips was mainly because of taste. Children usually like the masala and tomato flavoured chips and eat them by relishing the taste in it. While the older age group consumers use chips as tea time snacks. Therefore, salted or plain chips would be more suited to this age group people.
5.2.13
It was noticed from Table 4.19 that maximum of the respondents preferred mango juice (61.29%) followed by apple juice and orange juice by 46.23 per cent each of the respondents , 31.18 per cent of them preferred pineapple juice and strawberry juice was preferred by 13.97 per cent of the respondents. Majority of the respondents of AG1 and AG3 preferred apple juice (56.25% and 100.00% respectively). In case of AG2 most of the respondents preferred mango juice (69.81%). Among the first three age groups strawberry juice was less preferred. Mango and apple are the most commonly consumed fruits and inturn their juices are also most preferred because of the taste acquaintance.
5.2.14
It was observed from Table 4.20 that among the first two age groups i.e., AG1 and AG2 most of the respondents did go for cone ice creams (77.41% and 75.92% respectively). This was followed by cup ice creams, candy and scoop. Only a meager per cent of the respondents preferred family packs (1.85%) in case of AG2. It was also observed from the table that none of the respondents of AG1 preferred family packs. Among the third age group more than half of the respondents preferred cone ice creams. Overall, majority of the respondents preferred cone ice creams (75.53%) followed by cup (39.36%), candy (22.34%), scoop (20.21%) and family packs were preferred by only few of the respondents (2.12%). Ice creams are mostly impulsive buying products. People eat and enjoy them wherever they are because they cannot be carried to longer distances and kept for longer hours. Hence, individual packs were much preferred to family packs. Family packs are preferred only during certain occasions when entire family will involve in some sort of celebrations. But, ice creams are more of pass time food products. Eat and go would be the usual way which the people follow in the twin cities. The convenience of the container can also be another factor which influence on the preference of cone and cup ice creams than scoops, candy and family packs.
5.2.15
It could be seen from the Table 4.21 that chocolate flavour was highly preferred among the first age group (70.96%) followed by vanilla (54.83%) and pista (41.93%) flavours. Younger generations like chocolates very much and hence they prefer the respective flavour. In case of AG2, maximum of the respondents preferred vanilla (55.55%) followed by pista (40.74%) and chocolate flavours (35.18%). The results also revealed that, about 77.77 per
cent of the respondents of AG3 preferred vanilla flavour, pista flavour was preferred by 66.66 per cent of the respondents and chocolate flavour was less preferred among this age group (22.22%). Overall, maximum of the respondents preferred vanilla (57.44%) followed by pista (43.61%), chocolate flavour (44.68%), strawberry and mango flavour by 17.02 per cent each of respondents and butterscotch was preferred by only 14.89 per cent of the respondents.
5.3
5.4
Table 4.26 presents the factors influencing brand preference. While, preferring a particular brand in biscuits quality was considered as the foremost factor (mean score of 75.74). Second factor was taste with a mean score of 74.79. Reasonable price was ranked as third factor (mean score of 64.60). While preferring a particular brand in chips, fruits juice and ice creams taste was considered as the foremost factor in all the products (mean score of 80.35, 77.29 and 79.05 respectively). Quality was considered as the second factor by the consumers (mean score of 71.22, 75.23 and 74.18 respectively). Third criteria considered was reasonable price in all the three products (mean score of 62.46, 62.29 and 64.21 respectively). Similar to this study, the study undertaken by Sheeja (1998) in Coimbatore district inferred that consumers considered the quality aspects like aroma, taste, freshness
and purity as the major factors deciding the preference for a particular brand of processed spices. In the same line, the study conducted by Nandagopal and Chinnaiyan (2003) on brand preference of soft drinks in rural Tamil Nadu revealed that the product quality followed by retail price were the deciding factors of brand preference. The study was conducted on an elite group of respondents, who were the residents of Hubli-Dharwad city. Quality of the product will definitely be the prime factor for preference to a brand and price would become secondary for a elite group. It does not mean that all other factors like brand image, advertisements, packing decision, offers etc. would not have any influence on brand preference. These factors coupled with the above three prime factors would influence the brand preference.
5.5
Table 4.27 depicts alternative purchase plans of ready-to-eat food products. Majority of the respondents in case of biscuits (80.00%), chips (60.86%), fruit juice (58.06%) and ice creams (56.38%) would go to other shops if their preferred brand was not available. This was because the consumers were more loyal to their preferred brands. In case of biscuits and ice creams, 27.00 per cent and 40.42 per cent of the respondents respectively would postpone their purchase decision if their preferred brand was not available. This shows the extent of brand loyalty of the consumers to a particular brand. About 40.21 and 38.70 per cent of the respondents of chips and fruit juice buyers would buy other brands, if preferred brand was not available. This indicates that consumers try to resist the postponement of purchase of these two products as these are fun eat products.
The study was carried out in the twin city of Hubli and Dharwad. Hundred sample respondents each for Hubli and Dharwad were selected randomly and thus the total number of samples aggregated to 200. Required data were collected from the respondents with the help of pre-structured and pre-tested schedules through personal interview method. Data was coded, tabulated, analysed and interpreted using suitable statistical techniques viz., Garretts ranking technique etc. Findings of the study The important findings of the study are summarized and suitable conclusions are drawn and presented below. 1. Maximum number of respondents belonged to age group two (21 years to 40 years). More than half of the respondents were females. Most of the respondents were
degree holders (44.00%). A very few percentage (2.00%) of them had finished primary school. It was found that among the selected respondents none of them were illiterates. Maximum number of respondents (44.00%) belonged to the medium family size of 5-7 members and most of them belonged to nuclear families (89.00%). The data on food habits revealed that most of them were vegetarians (73.00%). Most of the respondents (40.00%) belonged to low income group (<Rs.8615.70/month). As per the occupation classification, 68.00 per cent of them were students. 2. The brand awareness of consumers about biscuits among different age groups showed that, majority of the respondents were aware of Parle-G brand (99.00%) followed by Marie gold (97.00%) and Tiger biscuits, Good day and Krack jack brands (96.00% each). But Chocolate chip cookies brand was found less familiar among the respondents (43.00%). The first age group of respondents were conscious of ParleG, Good day and Krack jack brands. In case of AG2, most of the respondents i.e., 98.18 per cent each were aware of Parle-G and Good day brands, followed by 96.36 per cent each being aware of Tiger biscuits, Marie-gold and Krack jack brands. ParleG and Marie-gold biscuits were popular among all the respondents of AG3 and AG4. Also, Tiger biscuits and Glucose brands were known to all the respondents of AG4. But none of the respondents of AG4 were aware of Chocolate chip cookies brand, Sunfeast snacky, Sunfeast glucose, Britannia Time pass and also Britannia little hearts brands. 3. The brand awareness of consumers about chips among different age groups revealed that, most of the respondents were aware of Lays (96.00%), Uncle chips (83.00%) and Bingo (67.00%) brands. In case of AG1 all the respondents knew Lays brand. Uncle chips, Bingo, Lays, Haldiram chips and Lehar were familiar among more than half of AG2 and AG3 respondents. Lays brand was known to 75 per cent of the respondents of AG4. None of the respondents of this age group were familiar with Haldiram chips, Lip chips, Diamond chips and Lehar chips. 4. Brand awareness of consumers about fruit juice among different age groups showed that, Frooti brand was very popular i.e. 96.00 per cent of respondents were aware, followed by Maaza brand (93.00%) and Slice (87.00%). Tropicana twister brand was less familiar (44.00%), among the respondents. All the respondents of AG1 and AG4 were conscious of Frooti brand. Among AG2, majority of the respondents were familiar with Frooti and Maaza brands (94.54% each). All the respondents of AG3 were conscious of Maaza brand. It was also found that Real fresh, Appy, Tropicana twister and Pulpy orange brands were not known to any of the respondents of AG4. 5. Brand awareness of consumers about ice creams among different age groups showed that, majority of the respondents were aware of Amul brand (99.00%), followed by Arun, MTR and Nandini brands (66.00% each). Only a small percentage of the respondents (25.00%) were aware of Dinshaws brand. All the respondents of AG1, AG2 and AG4 were aware of Amul brand. In case of AG3 majority of the respondents were aware of Amul and MTR brands (88.88% each). It was found that more brands were known to AG1, AG2 and AG3 respondents as compared to AG4 respondents. None of the respondents of AG4 were conscious of MTR, Nandini, Kwality walls, Hangya and Dinshaws brands. 6. Influence of media to create awareness about the brands in the study area showed that, in case of biscuits television was the major source for getting information about the brands (92.00%). This was followed by newspapers (66.00%) and friends/relatives (51.00%). In case of other products i.e., chips, fruit juice and ice creams, majority of the respondents were influenced by television (93.00%, 86.00% and 81.00% respectively). Radio was the least preferred media for brand awareness of all the four products. Overall, television was preferred as the major source of information for brand awareness (26.13%) followed by newspapers and friends/relatives (17.89% and 17.52% respectively). Only a meager percentage of the respondents were influenced by radio (4.08%). 7. Buyers and non-buyers of ready-to-eat food products presented that, biscuits were consumed by all the respondents in the study area. About 92.00 per cent, 93.00 per cent and 94.00 per cent of the respondents consumed chips, fruit juice and ice
creams respectively. All the respondents of AG1 consumed chips and fruit juice. Ice creams were mostly consumed by all the respondents of AG3. None of the respondents of AG4 consumed chips, fruit juice and ice creams. 8. The major factors considered by the respondents for purchasing biscuits were convenience as snacks (65.00%), liking of the family members (60.00%) and ready availability (53.00%). Taste was the main reason for purchase of chips (80.43%), fruit juice (59.13%) and ice creams (61.70%). Convenience to use as snacks, satisfaction and ready availability were other important factors considered while purchasing chips (64.13%, 52.17% and 46.73% respectively). In case of fruit juice, ready availability (55.91%), save time of preparation (49.46%) and satisfaction (47.31%) were other important factors considered by the respondents. About 55.31 per cent and 44.68 per cent of the respondents consumed ice creams because of satisfaction and influence of friends or relatives. 9. All the respondents did not purchase chips since they were health conscious. The other reasons for not consuming chips were low quality of the product (62.50%), dislike towards the product and high price (50.00% each). In case of fruit juice, majority of the respondents (85.71%) were not purchasing this product because they preferred home made products. High price (71.42%) was the other important reason for not purchasing fruit juice. In case of ice creams all the respondents did not purchase because they disliked the product. More than half of the respondents said they were not consuming ice creams because they were health conscious. 10. The average monthly expenditure on ready-to-eat food products was found to be highest in the case of high income group (Rs. 423.07) followed by middle income group (Rs. 298.52) and low income group (Rs. 224.00). 11. It was inferred that majority of the respondents purchased biscuits twice in a week from bakeries and departmental stores (70.58% each). Most of the respondents purchased chips, fruit juice and ice creams whenever needed. Maximum number of respondents purchased chips and fruit juice from bakeries (77.77% and 50.87% respectively). Ice creams were mostly purchased in ice parlours (96.72%). 12. In case of biscuits and fruit juice, majority of the respondents did go for planned purchase (65.00% and 55.91% respectively). But in case of chips and ice creams majority of the respondents did impulsive buying (73.91% and 51.06% respectively). 13. Influence of income on purchase decisions on ready-to-eat food products showed that, in case of biscuits, chips and fruit juice majority of the respondents of all the three income groups took their own decision while purchasing the products. In case of ice creams, majority of the respondents of low and high income groups took self decision. In the middle income group, maximum of the respondents were influenced by friends while taking purchase decision on ice creams. Influence/impact of education to make purchase decision on ready-to-eat food products showed that, in case of biscuits, fruit juice and ice creams most of the degree and post graduate level respondents took their own decision while purchasing. It clearly shows that education level of the respondents has prompted them to take independent decision. 14. It was inferred that maximum number of respondents preferred sweet biscuits (52.00%) followed by cream biscuits (51.00%) and salted biscuits (36.00%). 15. It was found that preference for potato chips was found to be highest in case of all the three age groups. Banana chips (51.08%) and jack fruit chips (31.52%) were also highly preferred among the respondents. 16. Chilly flavoured/masala chips (69.56%) were mostly preferred among the respondents followed by tomato flavoured chips (48.91%) and salted / plain chips (41.30%). 17. Mango juice (61.29%), apple juice and orange juice (46.23% each) were mostly preferred juices among the respondents.
18. Majority of the respondents preferred cone ice creams (75.53%) followed by cup (39.36%) and candy (22.34%) ice creams, family packs were least preferred among the respondents (2.12%). It was found that none of the respondents of AG1 preferred family packs. 19. Maximum number of respondents preferred vanilla flavour (57.44%) followed by pista flavour (43.61%) and chocolate flavour (44.68%). Chocolate flavour was highly preferred in case of first age group respondents (70.96%). 20. In the case of biscuits, Parle-G, Good day and Marie gold biscuits were highly preferred brands among the respondents. Most of the respondents preferred Lays, Uncle chips and Bingo brands in the case of chips. In case of fruit juice Maaza, Frooti and Slice were highly preferred brands. In case of ice creams majority of the respondents preferred Amula brand followed by Kwality walls and MTR. 21. The factors that influenced brand preference of biscuits were quality, taste and reasonable price. In case of chips, fruit juice and ice creams the major factors influenced brand preference were taste, quality and reasonable price. 22. Maximum number of respondents in case of all the four products would go to other shops if preferred brand was not available. POLICY IMPLICATIONS 1. Majority of the residents in Hubli-Dharwad city purchased these ready-to-eat products viz., biscuits, chips, fruit juice and ice creams. This indicates that there is a wide scope for all the intermediaries who are involved in this business. Since all these product manufacturing firms come under small and medium enterprises, there is encouragement from government side also. Since, Hubli-Dharwad is a fast growing twin city, there is ample scope for this type of business. 2. Ready-to-eat food products are impulse purchase products and generally fun eat foods. Consumer buys such products only if it catches his eye at the outlet. So players/manufacturers need to stress on attractive packaging and sales promotion. Further, study also indicated that those firms which resorted to advertisements through mass media, particularly television and newspapers could get better share in the market. This calls for the attention of other competing firms in the business to improve their sales promotion activities by making use of such mass media to improve their business. 3. The cosmopolitan people of Hubli-Dharwad were found more health and quality conscious while choosing a ready-to-eat food product. Price was less important to them. This sends a message to the manufacturers of ready-to-eat food products, that they cannot compromise on quality of the products in view to offer the products at cheaper prices, particularly to such cosmopolitan consumers. 4. Ready-to-eat food products are impulse purchase and fun eat products. Lower age groups, particularly children and teens consume them the most. Taste and other organoleptic quality aspects count more while preparation of the products. Hence, manufacturers, planning for marketing strategy by attaching nutritive value for the products have to think seriously before launching such products. 5. Brand loyalty is an important factor in such ready-to-eat food products. It is very difficult to induce the consumers for brand switching. Any new firm entering into the market should study these things very critically. The quality aspects coupled with competitive price may lead to change of brands. The innovative firms should keep these points in mind while entering into such type of business. 6. Study of alternative purchase plans of ready-to-eat food products suggested that majority of the residents of Hubli-Dharwad are brand loyal as they either go to other shops in search of the particular brand or they postpone their purchases until they get their required brands. Hence, supply chain management of the popular brands should be such that the product of these brands should be readily available in all the retail outlets.
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APPENDIX I
INTERVIEW SCHEDULE CONSUMER BEHAVOUR TOWARDS READY TO-EAT-FOOD PRODUCTS QUESTIONNAIRE FOR CONSUMERS (The Data will be used for research purpose only)
I. General Information 1. Name of the respondent 2. Address 3. Age 4. Sex 5. Education 6. Occupation 7. City 8. Name of the shop 9. Monthly income (Rs.) 10. Food habit 11. Type of family 12. Family : : : : : : : : Vegetarians/Non vegetarians Joint/Nuclear Dharwad/Hubli Illiterate/Primary/High/PUC/Degree/PG : : :
Number
Items
Cereals
Pulses
Total
Ready-to-eat products
Biscuits
Chips
Fruit juice
Ice creams
II. Specific Information 1. Do you purchase ready-to-eat food products ? 2. What are the reasons for purchasing ready-to-eat food products ? Reasons Ready available Taste Liked by the family members Influence of friends of relatives Easily available in the shops Convenient to use for snacks Satisfaction Save time of preparation Any other Biscuits Chips Fruit juice Ice creams Yes/No.
3. What are the reasons for not purchasing ready-to-eat food products ? Reasons Lack of awareness of products available in the market Dislike the product High price Low quality Not available in the shops Health conscious Any other Biscuits Chips Fruit juice Ice creams
4. Are you aware of the following brands ? Biscuits Parle-G Tiger biscuits Marie gold Britannia 50-50 Sunfeast snacky Sunfeast glucose Good day Krack jack Hide and seek Glucose Chocolate chip cookies Britannia Time pass Parle Monaco Britannia little hearts Chips Uncle chips Bingo Lays Haldiram chips Lip chips Diamond chips Lehar Fruit juice Real fresh Frooti Appy Maaza Tropicana twister Pulpy orange Slice Ice creams Amul Arun MTR Nandini Kwality walls Hangya Vadilal Dairy day Dinshaws Yes No
5. Source of information for brand awareness Source Television Radio Newspapers Magazines Friends/relatives Shopkeeper/retailer Window display Any other Biscuits Chips Fruit juice Ice creams
6. Frequency of purchase Frequency Daily Twice in a week Once in a week Fortnightly Whenever needed 7. Nature of purchase decision Nature of purchase decision a. Impulsive buying b. Planned purchase 8. Place of purchase Place Retail outlets Departmental stores Bakeries Ice parlors Biscuits Chips Fruit juice Ice creams Biscuits Chips Fruit juice Ice creams Biscuits Chips Fruit juice Ice creams
9. Influencers of purchase decision Influencers Parents Children Friends Neighbours Shopkeeper Self decision 10. Which type of biscuits do you prefer most ? a. b. c. d. e. f. Cream biscuits Wafers Salted biscuits Sweet biscuits High fibre content biscuits Any other (specify) Biscuits Chips Fruit juice Ice creams
11. Which type of chips do you prefer most ? a. b. c. d. Salted/plain Tomato flavoured Chilly flavoured/Masala Any other (specify)
12. Which variety of chips do you prefer most ? a. b. c. d. e. Banana chips Potato chips Sweet potato chips Jack fruit chips Any other (specify)
13. Which type of fruit juice do you prefer most ? a. b. c. d. e. f. Mango Apple Orange Strawberry Pineapple Any other (specify)
14. Which type of ice creams do you prefer most ? a. b. c. d. e. Cone Cup Scoop Candy Any other (specify)
15. Which flavour do you prefer in ice creams ? a. b. c. d. e. f. Vanilla Strawberry Chocolate Mango Pista Any other
16. Which brands do you prefer most ? Biscuits Parle-G Tiger biscuits Marie gold Britannia 50-50 Sunfeast snacky Sunfeast glucose Good day Krack jack Hide and seek Glucose Chocolate chip cookies Britannia Time pass Parle Monaco Britannia little hearts Chips Uncle chips Bingo Lays Haldiram chips Lip chips Diamond chips Lehar Local brand/unbranded chips Fruit juice Real fresh Frooti Appy Maaza Tropicana twister Pulpy orange Slice Ice creams Amul Arun MTR Nandini Kwality walls Hangya Vadilal Dairy day Dinshaws Ranks
17. What are the factors influencing to prefer a particular brand ? (Give rankings) Biscuits Reasonable price Taste Quality Quantity Brand image Availability Advertisements Packaging design Friends Labeling Offers Freshness Retailers influence Long shelf life of the products Availability of range products 18. What are the alternative purchase plans, if preferred brand is not available ? Alternative purchase plans a. Go to other shop b. Postpone the purchase c. Will buy other brand d. Place order to get required brand e. Any other Biscuits Chips Fruits juice Ice creams Chips Fruits juice Ice creams
ABSTRACT
The present investigation made an attempt to analyze the buying behaviour of ready-toeat food products by consumers of Hubli and Dharwad. A total sample of 200 respondents was selected for the study. Majority of the respondents were aware of Parle-G, Lays, Frooti and Amul brands in case of biscuits, chips fruit juice and ice creams accordingly. Television was the major source for getting information about various brands in all the four products. Biscuits were consumed by all the respondents because of their convenience to use as snacks. About 92 per cent, 93 per cent and 94 per cent of the respondents consumed chips, fruit juice and ice creams respectively. Taste was the main driving force for purchase of chips, fruit juice and ice creams. Health consciousness was the main factor for not purchasing chips among the respondents. Majority of the respondents were not purchasing fruit juice because they preferred home made products. Dislike towards the product was the main reason for not purchasing ice creams. The average monthly expenditure on ready-to-eat food products was found to be highest in case of high income group. Planned purchase was common among majority of the respondents for biscuits and fruit juice. However, most of the respondents did impulsive buying for chips and ice creams. Parle-G, Lays, Maaza and Amul brands were highly preferred brands of biscuits, chips, fruit juice and ice creams respectively. The main factors influencing brand preference for biscuits, chips, fruit juice and ice creams were quality, taste and reasonable price. Most of the respondents would go to other shops if preferred brand in all the four products was not available. Thus, the study revealed that the younger generation preferred more ready-to-eat food products than the other age groups. The consumer behaviour also varies from product to product.