Amity Dissertation
Content
Amity Business School
“IMPACT OF BRANDING ON CONSUMER BUYING BEHAVIOUR WITH RESPECT TO AIR CONDITIONERS”
SUBMITTED BY: AMRESH KUMAR Enrollment No. : A0102210147 MBA (M&S) Class of 2012
Under the guidance of Rajeev Gupta Assistant professor Department of IT
BRIEF OF THE STUDY Amity Business School
PROBLEM DEFINITION:
The market share of air conditioners in consumer durable sector is 12% and because of new technology support from Korean companies, LG and Samsung are the leaders. However, the penetration level of the consumer durables is still low in India so Air conditioners manufacturing companies in India are adopting various branding strategies to enhance the awareness about their product and service but still the Contribution is 10% so the branding strategies don’t have any immense impact.
OBJECTIVE OF THE STUDY
To find out the impact of brands on the sales of air conditioners
To understand consumer buying behavior and factors which effects them most. To study and find various factors that drives sales of an air conditioner
INTRODUCTION
Amity Business School
In term of purchasing power parity (ppp), India is the 4th largest economy in the world and will overtake Japan in the near future to become the 3rd largest. Indian consumer durable market is expected to reach $400 billion by on 2010. India has the youngest population amongst the major countries. There are lot of people in the different income categories nearly the two third population is below the age of 35 and nearly 50% is below 25.
There are 56 million people in middle class, who are earning us$4,400-US$21, 800 a year. And there are 6 million rich household in India.
The upper-middle and high-income household in urban areas are expected to grow to 38.2 million in 2010.
METHODOLOGY
• DESCRIPTIVE RESEARCH DESIGN
Amity Business School
The research is descriptive in nature. The sources of information are both primary & secondary. Descriptive research is a type of research which is also known as statistical research. A well-structured questionnaire was prepared and personal interviews were conducted to collect the information through the questionnaires.
SAMPLING DESIGN • • • • Sampling technique was non probability sampling i.e. convenience sampling. Sample size of 200 respondents, within Noida &Ghaziabad Close ended questions, Likert scaling and rating scaling used in questions. Software used was IBM SPSS 19
Amity Business School
DATA COLLECTION
Primary Data Most of the data collected has been got through primary research (Personal Interviews and a designed Questionnaire). research has used the professional and housewives using air conditioners of Noida &Ghaziabad regions and various RWA societies. Secondary Data Secondary data have collected from magazines, newspapers, other surveys conducted by known research agencies etc.
INSTRUMENTS USED AND OPERATIONAL PARAMETERS
SPSS (STATISTICAL PACKAGE FOR SOCIAL SCIENCES) and Microsoft Excel were the tools used in this study.
DATA ANALYSIS AND Business School Amity INTERPRETAION
what is the probable reason for purchasing the above mentioned Brand? Rate the following factors on a scale of 1-5 as 5 being most important and 1 being least important.
120 100
In future will you continue the same brand products or recommend to others * If yes then why?
80
60 40
least important somewhat important neutral important most important
20
0
Amity Business School
2. Are you satisfied with the after sales service provided by company * If No then what are the area for improvement for the company
Factor analysis
Rotated Component Matrix
Factors
Price
Brand Name Features Quality Word of mouth reference
Component 1 .755 .781 .935 -.538 2 3
.907
Table 1.19- Rotated Component Matrix
CONCLUSION
Amity Business School
Samsung & LG are largest selling brands in air conditioner market. Quality are the most critical parameters because customers get more attracted towards Its quality in a particular AC which influences their purchase decision followed by price ,features ,Brand Name and word of mouth respectively. Loyalty Program lures customer occasionally. Discounts and Clubbed Offers Lures the customer. Since it is one time purchase in many cases hence the consumers considers various factors like Brand, Features, After Sales service into consideration before making final purchase decision.
RECOMMENDATIONS
Amity Business School
Firstly, for companies to survive in this highly competitive market, they should concentrate on factors like after sale service, quality of the product, branding and promotions. More Stress should be given on promotional Activities and marketing activities for the product. Keeping Positioning in mind. Company should use different media vehicle to create brand awareness and other customer relationship management techniques. Adding more features at low cost will be beneficial for the companies as per the survey is concerned. Seasonal Discounts (Especially Off Seasons) will result in surge in sales as normally people go for purchase during On Season.
Amity Business School
LIMITATIONS OF THE STUDY
The sampling plan was based on non-probability method and no scientific methods were adopted. Sample size is bounded to limits of cities and covers only few areas hence awareness in rural areas cannot be determined. No consumer likes to waste there precious time in such activities like filling of questionnaires.
Amity Business School
“IMPACT OF BRANDING ON CONSUMER BUYING BEHAVIOUR WITH RESPECT TO AIR CONDITIONERS”
SUBMITTED BY: AMRESH KUMAR Enrollment No. : A0102210147 MBA (M&S) Class of 2012
Under the guidance of Rajeev Gupta Assistant professor Department of IT
BRIEF OF THE STUDY Amity Business School
PROBLEM DEFINITION:
The market share of air conditioners in consumer durable sector is 12% and because of new technology support from Korean companies, LG and Samsung are the leaders. However, the penetration level of the consumer durables is still low in India so Air conditioners manufacturing companies in India are adopting various branding strategies to enhance the awareness about their product and service but still the Contribution is 10% so the branding strategies don’t have any immense impact.
OBJECTIVE OF THE STUDY
To find out the impact of brands on the sales of air conditioners
To understand consumer buying behavior and factors which effects them most. To study and find various factors that drives sales of an air conditioner
INTRODUCTION
Amity Business School
In term of purchasing power parity (ppp), India is the 4th largest economy in the world and will overtake Japan in the near future to become the 3rd largest. Indian consumer durable market is expected to reach $400 billion by on 2010. India has the youngest population amongst the major countries. There are lot of people in the different income categories nearly the two third population is below the age of 35 and nearly 50% is below 25.
There are 56 million people in middle class, who are earning us$4,400-US$21, 800 a year. And there are 6 million rich household in India.
The upper-middle and high-income household in urban areas are expected to grow to 38.2 million in 2010.
METHODOLOGY
• DESCRIPTIVE RESEARCH DESIGN
Amity Business School
The research is descriptive in nature. The sources of information are both primary & secondary. Descriptive research is a type of research which is also known as statistical research. A well-structured questionnaire was prepared and personal interviews were conducted to collect the information through the questionnaires.
SAMPLING DESIGN • • • • Sampling technique was non probability sampling i.e. convenience sampling. Sample size of 200 respondents, within Noida &Ghaziabad Close ended questions, Likert scaling and rating scaling used in questions. Software used was IBM SPSS 19
Amity Business School
DATA COLLECTION
Primary Data Most of the data collected has been got through primary research (Personal Interviews and a designed Questionnaire). research has used the professional and housewives using air conditioners of Noida &Ghaziabad regions and various RWA societies. Secondary Data Secondary data have collected from magazines, newspapers, other surveys conducted by known research agencies etc.
INSTRUMENTS USED AND OPERATIONAL PARAMETERS
SPSS (STATISTICAL PACKAGE FOR SOCIAL SCIENCES) and Microsoft Excel were the tools used in this study.
DATA ANALYSIS AND Business School Amity INTERPRETAION
what is the probable reason for purchasing the above mentioned Brand? Rate the following factors on a scale of 1-5 as 5 being most important and 1 being least important.
120 100
In future will you continue the same brand products or recommend to others * If yes then why?
80
60 40
least important somewhat important neutral important most important
20
0
Amity Business School
2. Are you satisfied with the after sales service provided by company * If No then what are the area for improvement for the company
Factor analysis
Rotated Component Matrix
Factors
Price
Brand Name Features Quality Word of mouth reference
Component 1 .755 .781 .935 -.538 2 3
.907
Table 1.19- Rotated Component Matrix
CONCLUSION
Amity Business School
Samsung & LG are largest selling brands in air conditioner market. Quality are the most critical parameters because customers get more attracted towards Its quality in a particular AC which influences their purchase decision followed by price ,features ,Brand Name and word of mouth respectively. Loyalty Program lures customer occasionally. Discounts and Clubbed Offers Lures the customer. Since it is one time purchase in many cases hence the consumers considers various factors like Brand, Features, After Sales service into consideration before making final purchase decision.
RECOMMENDATIONS
Amity Business School
Firstly, for companies to survive in this highly competitive market, they should concentrate on factors like after sale service, quality of the product, branding and promotions. More Stress should be given on promotional Activities and marketing activities for the product. Keeping Positioning in mind. Company should use different media vehicle to create brand awareness and other customer relationship management techniques. Adding more features at low cost will be beneficial for the companies as per the survey is concerned. Seasonal Discounts (Especially Off Seasons) will result in surge in sales as normally people go for purchase during On Season.
Amity Business School
LIMITATIONS OF THE STUDY
The sampling plan was based on non-probability method and no scientific methods were adopted. Sample size is bounded to limits of cities and covers only few areas hence awareness in rural areas cannot be determined. No consumer likes to waste there precious time in such activities like filling of questionnaires.
Amity Business School
