* Your assessment is very important for improving the workof artificial intelligence, which forms the content of this project
Download marketing stimuli in purchase of home appliances from
Marketing research wikipedia , lookup
Viral marketing wikipedia , lookup
Digital marketing wikipedia , lookup
Multi-level marketing wikipedia , lookup
Marketing communications wikipedia , lookup
Guerrilla marketing wikipedia , lookup
Food marketing wikipedia , lookup
Neuromarketing wikipedia , lookup
Target audience wikipedia , lookup
Marketing plan wikipedia , lookup
Street marketing wikipedia , lookup
Multicultural marketing wikipedia , lookup
Direct marketing wikipedia , lookup
Integrated marketing communications wikipedia , lookup
Marketing strategy wikipedia , lookup
Product planning wikipedia , lookup
Target market wikipedia , lookup
Advertising campaign wikipedia , lookup
Youth marketing wikipedia , lookup
Green marketing wikipedia , lookup
Marketing mix modeling wikipedia , lookup
Global marketing wikipedia , lookup
Marketing channel wikipedia , lookup
International Journal of Sales & Marketing Management Research and Development (IJSMMRD) ISSN 2249-6939 Vol. 3, Issue 2, Jun 2013, 23-30 © TJPRC Pvt. Ltd. MARKETING STIMULI IN PURCHASE OF HOME APPLIANCES FROM CUSTOMER PERSPECTIVES P. JANAKI1 & P. SANTHI2 1 Mphil Scholar, Department of Commerce, Avinashilingam Institute for Homescience and Higher Education for Women, Coimbatore, Tamilnadu, India 2 Associate Professor, Department of Commerce, Avinashilingam Institute for Homescience and Higher Education for Women, Coimbatore, Tamilnadu, India ABSTRACT Marketing strategy is the game plan which the firms must adhere to, in order to outdo the competitor or the plans to achieve the desired objective. The people consume things of daily use, and buy these products according to their needs, preferences and buying power. The objectives of the study are to study the purchase decision behaviour relating to home appliances and to analysis customer response to the marketing stimuli of home appliances. The study was carried out with the sample size of 200 respondents selected based on proportionate random sampling with in Coimbatore city. The data were collected with interview schedule analysed and were using percentage weighted average score analysis of variances. The finding of the study included that education and income of the respondents are the two socio-economic variables which have significant association in all the stages which the buyers undergo while purchasing home appliances. KEYWORDS: Consumer Behaviour, Consumer Profile, Marketing Mix, Home Appliances INTRODUCTION Consumer behaviour is a complex, dynamic, multidimensional process, and all marketing decisions are based on assumptions about consumer behaviour. Marketing strategy is the game plan which the firms must adhere to, in order to outdo the competitor or the plans to achieve the desired objective (Harold 1985). The product creates an image in the mind of the consumer, who undergoes a decision process which leads to the outcome in terms of satisfaction or dissatisfaction, which reflects on the sales and image of the product or brand (Leon G 1997). The process of decision-making varies with the value of the product, the involvement of the buyer and the risk that is involved in deciding the product/service. A process of buying starts in the minds of the consumer, which leads to the finding of alternatives between products that can be acquired with their relative advantages and disadvantages. This leads to internal and external research (Schiffman L.G 1997). Providing superior customer value is the main objective of the companies. For providing better customer value the marketers should learn the needs of the consumer, the offering of the company, vis-a-vis its competitors and the environment which is economic, physical, technological, etc Home Appliances a major appliance, or domestic appliance, is usually defined as a large machine which accomplishes some routine housekeeping task, which includes purposes such as cooking, or food preservation, whether in a household, institutional, commercial or industrial setting. The term white goods or white ware is also used for these items. NEED OF THE STUDY Last few years have witnessed growing demands for different consumer products (Chunawalla, 2000). Increase in demand is a result of increase in income of the people and increase in discretionary income too (Arora, 1995). A rise in discretionary income results usually in an increased spending by consumer on those items that raise their living standards, Moreover, a trend for people to utilize their income for more comforts and facilities is also developing. Intense competition 24 P. Janaki & P. Santhi among the marketers of consumer durables (Sontaki, 1999) and the increasing awareness of consumers about their own needs is making a major difference in marketing of consumer durables (Kumar, 1998). In the context of the above scenario, it is interesting to study how the human beings i.e. consumers, satisfy their different non-basic needs. Moreover, it is interesting to study, why they buy a particular product, how they buy it, when they buy it, from where do they buy it and how they respond to the marketing stimuli (Schiffman and Kanuk, 1995). OBJECTIVES OF THE STUDY The objectives of the study are To study the purchase decision behaviour relating to home appliances. To analysis customer response to the marketing stimuli of home appliances. HYPOTHESES The null hypotheses were framed in order to test the association between education and income of the respondents with that of involvement in purchase process of home appliances. METHODOLOGY The study was conducted at Coimbatore city. According to the census of India, Coimbatore is the second biggest city in Tamilnadu in the based on demography. The respondents were selected from the two years customer data base (12612 customers) of a leading multi brand home appliances showroom in the city. Within the data base, the customer belonging to Coimbatore city were screened resulting in 2007 customers. Proportionate random sampling method was adopted by taking ten percent of the population resulting in a sample size 200 respondents. Interview schedule was used for the collection of primary data. Considerable data has also been tapped from secondary sources such as journals, newspapers, magazines and websites. The percentage and Weighted Average has been used for data analysis. RESULTS AND DISCUSSIONS Distribution of Respondents The respondents were classified based on their socio-economic profile and the purchase behaviour. Socio-Economic Profile of the Respondents The demographic variables namely age, sex, residence, education, occupation and monthly income are the most widely employed in market segmentation. The socio economic profile of the respondents is presented in table 1. Table 1: Distribution of Respondents Based on Socio-Economic Profile Variables Age (in years) Gender Marital status Family Up to 20 21- 40 41- 60 Above 61 Male Female Married Unmarried Nuclear Joint No of Respondents(n:200) 32 134 32 2 54 146 112 88 150 50 Percentage 16 67 16 1 27 73 56 44 75 25 25 Marketing Stimuli in Purchase of Home Appliances from Customer Perspectives School Level Under Graduate Education Post Graduate Others(skill,technical) Business Govt Employment Occupation Private Employment Profession Others Less than 10,000 Monthly 10,001-20,000 Income 20,001-30,000 in( .) Above 30,001 Source: Primary Data 22 66 102 10 30 46 72 38 14 58 62 68 12 11 33 51 5 15 23 36 19 7 29 31 34 6 Majority of the respondents (67 per cent) belong to the age group of 21-40 years. Female respondents constitute 73 per cent and the remaining 27 per cent were male. Majority of the respondents were married. The nuclear families were predominant with 75 per cent. Majority of the respondents (95 per cent) were literate. Most of the respondents (51 per cent) were post graduates, 33 per cent of the respondents were under graduates, and 11 per cent of the respondents studied up to school level and remaining five per cent of the respondents were with skill oriented and technical education. Most of the respondents were in private sector employment (36 per cent) and 23 per cent were government employments, 19 per cent of the respondents were in profession and remaining seven per cent were home maker and unemployed. Most of the respondents (34 per cent) were in the income group with having monthly income between . 20,001-30,000, 31 per cent of the respondents between . 10,001-20, 000, and 29 per cent of the respondents with monthly income of less than .10000 and for six per cent of the respondents monthly income is above .30, 331. Classification of Respondents Based on Purchase Decision of Home Appliances Different people play different role to make a specific purchase. The classification of the respondents based on purchase behavior of home appliances is given in table 2. Table 2: Classification of Respondents Based on Purchase Decision of Home Appliances No of Respondents (n:200) Percentage Television Radio Journals Newspaper Banners Friends ,relatives and Peer group Sales person Dealer Company Outlet Shops Second hand purchase Cash Credit Installment 80 2 8 10 8 74 18 84 26 88 2 46 154 95 40 1 4 5 4 37 9 42 13 44 1 23 77 62 Hire purchase 59 38 Variables Information about Home Appliances Source of Purchase Mode of Purchase Source: Primary Data 26 P. Janaki & P. Santhi It can be noted from table 2 that all of the respondents were involved in purchase of home appliances. The respondents gathered information about home appliances from many sources 40 per cent of the respondents were aware of home appliances through television, 37 per cent of the respondents got the information about home appliances from friends and relatives and nine per cent of the respondents collected information from sales person and five per cent of the respondents from news paper and four per cent of the respondents from journals and another four percent through banners and just one per cent of the respondents through radio. The classification of respondents based on source of purchase shows that 44 per cent of the respondents bought home appliances from shops, 42 per cent of the respondents purchased through dealers out let and 13 per cent of the respondents from company outlets. Purchase of home appliances on credit basis is quite popular among 77 per cent of the respondents and another 23 per cent of the respondents were purchased in cash basis. Of the credit purchase, 62 per cent of the respondents were purchased on the basis of installment and 38 per cent of the respondents used hire purchase system. Ownership of Home Appliances Ownership of home appliances reflects the soul status of individual and his/her living standard. The consumer durable goods serve different purposes namely comfort, convenience, time -saving and ultimately the standard of living. Yesterday’s luxuries and becoming today’s necessaries where in marketers of these products thrive. The various home appliances owned by the respondents is given in table 3 Table 3: Ownership of Home Appliances by the Respondents Products Refrigerator Washing Machine Air Conditioner Speaker and Audio Equipments Electric Fan Television MP3player Iron Box DVD Player Mixer and Grinder Juicer Microwave Oven Chimneys Induction Stove Electric Cooker Source: Primary Data No of Respondents 180 152 50 124 200 200 52 174 158 186 44 200 4 58 38 Percentage 90 76 25 62 100 100 26 87 79 93 22 100 2 29 19 All the respondents (100 per cent) owned Television, Electric fan and Microwave Mixer and grinder were owned by 98 per cent of the respondents. Refrigerator ownership is 90 per cent. Iron box with 87 per cent. Washing machines ownership attained the 6th place with 76 per cent, Speaker and Audio Equipments with 62 per cent. Induction Stove was owned by29 per cent, Air Conditioner by 25 per cent, Mp3 player by 26 per cent, Juicer by 22 per cent, Electronic Cooker with 19 per cent and Chimneys were owned by just two per cent of the respondents. INFLUENCES OF MARKETING STIMULI IN PURCHASE OF HOME APPLIANCES A firm’s marketing efforts should start and end with the customers. It is aimed to give greater consumer satisfaction. The marketing mix is used as a tool towards the customers in order to ascertain their needs, tastes and preferences. The weighted average score has been calculated for the analysis the influences of marketing mix in home 27 Marketing Stimuli in Purchase of Home Appliances from Customer Perspectives appliances purchase and for various elements of marketing mix. A marketer is always interested to know how consumer respond to various marketing stimuli product, price, place and promotion which are most important by the respondents were ranked accordingly and presented in table 4 Table 4: Ranking of Elements of Marketing Mix by the Respondents Rank Variables Appearances Quality Performances Less Power Consumption Green product Brand Name Value Addition Warranty Re purchase/ Exchange Offer After Sale Service Reasonable Price Easy installment and Credit Facilities Offers and Discount Attractive Advertisement Word of Mouth Promotion Celebrity Demonstration by selling agents Trust Worthiness of Dealer Installation Door Delivery Source: Primary Data Total Mean Score Product 7.5 7.78 6.32 5.66 3.92 8.29 5.02 4.82 4.58 4.18 Price 2.22 2.06 1.74 Promotion 3.05 2.44 2.38 2.11 Place 1.91 2.23 1.84 Within Category Over All 3 2 4 5 10 1 6 7 8 9 3 2 4 5 10 1 6 7 8 9 1 15 2 17 3 20 1 2 3 4 11 12 13 16 2 1 3 18 14 19 Influences of marketing stimuli in purchase of Home Appliances under product mix element such as brand name, quality, appearances, performances, economical power consumption had predominant influence, followed by the elements of promotion mix namely advertisement, word of mouth promotion, and celebrity advertisement. Under physical distribution mix, installation, and under price mix, the reasonable price had greater influence in purchase decision on home appliances. ASSOCIATION BETWEEN SOCIO-ECONOMIC STATUS OF THE RESPONDENTS AND INVOLVEMENT IN STAGES OF PURCHASE OF HOME APPLIANCES Education and income are the most important among the socio-economic variables. Education provides wholesome understanding of the market offering where as income forms the bases of purchasing power. Education brings in quest for knowledge and understanding. Thus, education and income of the respondents were considered for analyzing the association with involvement shown by the respondents at various stages of purchase of Home Appliances( Table5). 28 P. Janaki & P. Santhi Table 5: Association between Education and Income of the Respondents at Various Stages of Purchase Stages of Purchase Pre-purchase Purchase options Procedure of purchase Usage stage Customer engagement Re-purchase Education Significance F Ratio @5% 3 5 32 3 5 47 Insignificant Significant Significant Significant Insignificant Significant Income Significance F Ratio @5% 9 11 6 4 21 6 Significant Significant Significant Significant Significant Significant From the above analysis it is found that education and income of the respondents are the two socio-economic variables which have significant association in all the stages which the buyers undergo while purchasing home appliances and has significant impact on the involvement of respondents in each and every service offered at the different stages of purchase. SUGGESTIONS The following are the suggestion made with respect to marketing of home appliances. Product promotion shall be designed by looking with owner’s personality and self image tied to the product. More than the functional benefits in products, buyers seek other benefits that trigger an emotional response. Product improvement is of continuous interest to the consumer. Product entails significant risks. Hence sufficient risk cover if any provided on purchase of the product. Product to be identified with the norms of a group that is, the product should have sign or badge value. Provide no scope for cognitive dissonance at the post purchase stage. CONCLUSIONS Successful companies rely on their satisfied customers to return to repurchase and the companies offerings to others. The interest evoked by a stimulus (or stimuli) or the aspects of the person, the product, and the situation all combine to determine the consumer's motivation to buy home appliances resulting in high involvement purchase. REFERENCES 1. KedarShukla and AmolRaut “Emerging Trends and Challenges in Air Conditioning Industry in India”. International Journal of marketing, Feb 2011, Vol- 8, No- 2, p.47. 2. Lilly.J, “Customer Perception and Preference towards Branded Products with special references to Television Sets”, Indian Journal of Marketing, Feb 2010, Vol-5, No-10, p.84. 3. Saravanam.S “A Study on Consumer Behavior of Women with Special Reference to Durable Goods in Coimbatore City”, Indian Journal of Marketing, Mar 2010, Vol-5, No-3, pp.52-60. 4. Pradeepkashyap, “A Study on Consumer Durable Market with special reference to Samsung Electronics”, Business line, Jan 2007, Vol- 4, No- 6, pp 38-43. 5. Jayasree Krishnan, “A Study on Consumer Behavior Towards Durable Goods”, Indian Journal of Marketing May 2006, Vol-XXXIV, No-6, p.20. 6. Venkatramaraju.D and Saravanan.S, “Consumer Behavior in the Marketing of House Hold Appliance,” Indian Journal of Marketing, Feb 2006, Vol-8, No-4, pp. 36-40. Marketing Stimuli in Purchase of Home Appliances from Customer Perspectives 29 Books 1. Harold H..Kassarjian and Peter D.Bennett, Consumer Behaviour, NewDelhi, Prentice Hall of India pvt.ltd.,1985. 2. Leon G.Sachiffman,Lesil Lazar Kanuk,Consumer Behaviour, Prentice Hall of India pvt.ltd.,1997.