Documente Academic
Documente Profesional
Documente Cultură
ON
[TYPE THE COMPANY NAME]
SUBJECT
CONSUMER BEHAVIOUR
“
Research Study of Consumer Behavior
in Postpaid Customer Segment ”
Prepared By:
RAUF
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Submitted to:
Acknowledgement
I would like to acknowledge and extend my gratitude to the following
persons who have made the completion of this project possible:
First of all I would like to thank our Project Coordinator Prof. Mrs.
Reena Dhaar for her great help. As she is being my Project Coordinator she
provided me very necessary and important guidance and support until the
submission of my project.
Secondly, I would like thank S.B. Chordiya Sir, Chairman of Suryadatta
Group of Institute, and Bhaporikar Sir, Director of SIMMC, to provide us such
a very exiting opportunity and for their good help to provide a better
coordination and control among all the activities related to completion of the
project.
Again I would like to thank all the members of our Placement Cell to help
me and other students to get placed in good and reputed company for the
Summer Project.
I also thank to Mr. Ravikant Ekade, Assistant Sales Manager – APPCO
Marketing (India) Pvt. Ltd., to provide me right kind of training and information
helpful to my project. I also thank all my Seniors and Friends to give me proper
guidance and support for preparing the Project.
Lastly, I would like to be very thankful to the whole Family of SIMMC
for their continuous effort in making the whole Project Activity very much
learning and Interesting.
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Table of Contents
1. Introduction
1.1Explanation about the Topic in brief (i.e. Consumer Behavior)
1.2Reasons for selecting the Topic
1.3Importance of the Topic to the company
1.4Learning from the Topic
2. Organization Profile
2.1Company History
2.1.1 Formation of the company
2.1.2 Scope of products and services
2.1.3 Collaborations
2.1.4 Head Office and Branches
2.1.5 Organization Chart
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4. Research Methodology and Limitations
4.1Research Design
4.2Hypothesis
4.3Sampling Plan
4.4Sample size determination
4.5Data collection Instrument
4.6Research Limitations
7. Limitations
✔ Annexure
✔ Bibliography
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1.1 The Topic
Marketer must fully understand both the theory and reality of Consumer
Behavior. A consumer’s buying behavior is influenced by cultural, social and
personal factors. Cultural factors exert the broadest and deepest influence.
1. Cultural Factors
Culture, subculture and social class are particularly important influences
on consumer buying behavior. Culture is the fundamental determinant of a
person’s wants and behavior. The growing child acquires a set of vales,
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perceptions, preferences and behaviors through his or her family and other
key institutions. A child growing up in the United States is exposed to the
following values: achievement and success, activity, efficiency and
practicality, progress, material comfort, individualism, freedom, external
comfort, humanitarianism, and youthfulness. A child growing up in a
traditional middle-class family in India is exposed to the following values:
respect and care for elders, honesty and integrity, hard work, achievement
and success, humanitarianism, and sacrifice.
2. Social Factors
In addition to cultural factors, social factors such as reference groups,
family, and social roles and statuses affect the process of buying behavior.
a) Reference Groups:
A person’s reference groups are all the groups that have a direct
(face-to-face) or indirect influence on their attitudes or behavior.
Groups having a direct influence are called membership groups.
Some of these are primary groups with whom the person interact
fairly continuously and informally, such as family, friends,
neighbors, and coworkers.
b) Family:
The family is the most important consumer buying organization in
society, and family members constitute the most influential primary
reference group. We can distinguish between two families in the
buyer’s life. The family of orientation consists of parents and
siblings. From parents a person acquires an orientation toward
religion, politics, and economics and a sense of personal ambition,
self-worth and love.
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c) Role and Status:
A person participates in many groups – family, clubs and
organizations. Groups often are an important source of information
and help to define norms for behavior. We can define a person’s
position in each group to which he belongs in terms of role and
status. A role consists of the activities a person is expected to
perform. Each role carries a status. A senior vice president of
marketing has more status than a sales manager, and a sales
manager has more status than an office clerk.
3. Personal Factors
A buyer’s decisions are also influenced by personal characteristics. These
include the buyer’s age and stage in the life cycle; occupation and
economical circumstances; personality and self-concept; and lifestyle and
vales. Because many of the characteristics have a very direct impact on
consumer behavior, it is important for markets to follow them closely.
a) Age and stage in the life cycle
b) Occupation and economic circumstances
c) Personality and self-concept
d) Lifestyle and values
Key Psychological processes
The starting point for understanding consumer behavior is the stimulus-
response model. Marketing and environmental stimuli enter the consumer’s
consciousness, and a set of psychological processes combine with certain
consumer characteristics to result in decision processes and purchase and
decisions. The marketer’s task is to understand what happens in the consumer’s
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consciousness between the arrival of the outside marketing stimuli and the
ultimate purchase decisions. Four key psychological processes-
1. Motivation
2. Perception
3. Learning
4. Memory
- fundamentally influences consumer responses.
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Key Psychological Process
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the keen competition in the market, the situation has changed. Now seller has to
produce what customers want, to sustain in the market.
In the same way to know what customers want, one has to observe the
behavior of the customer. This is the reason why this topic is given importance
for selection.
Once marketer understands the mentality, thought process and reaction for
certain product, he can easily grab the market share. Sales are largely bases on
the Customers then the product and services offered by the marketer. The study
of consumer behavior helps in (1) Product Development and Improvement (2)
Launching of new Product (3) Deciding and targeting to particular Market
Segment (4) Estimating Advertisement and branding Budget.
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2.1 - 2 HISTORY
COMPANY
Chapter
ORGANISATIONAL
2.1.1 Formation of the company
PROFILE
APPCO
Southeast Asia's Leading
Face-to-face
Marketing Experts
TURNKEY OUTSOURCED
SOLUTIONS TO TAKE BRANDS
DIRECT TO CHOSEN TARGETS.
Established in Southeast Asia since 1995, the APPCO Group is a market
leader in providing a turnkey outsourced solution for companies who wish to
engage in Personal Selling or Sales Promotion activities.
As Face-to-face Marketing experts, we provide the strategy consultation,
the method and the fulfillment to enable our clients to take their brand, product
or services direct to their chosen customer.
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The APPCO Group operates throughout Southeast Asia, including
Malaysia, Singapore, Thailand, Indonesia, India and Philippines. And has a
valuable collective resource of over 1,000 full-time personnel, all highly skilled
and trained in sales and promotional work. The APPCO Group is a member of
the Cobra Group, which is internationally established in 20 countries.
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What is APPCO’s Turnkey Solution?
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The final step involves obtaining, collating and disseminating measurable results
for all marketing programmes. APPCO guarantees results and these are
measured through Sales, Lead Generation, Data Collection and Completed
Questionnaires depending on the specific client requirements.
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2.1.2 Scope of product and services
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✔ HSBC
✔ American Express (AMEX)
✔ Citibank
✔ ABN Amro Bank
✔ United Overseas Bank (UOB)
✔ AmBank
✔ Development Bank of Singapore (DBS)
2. Telecom Clients:
With a vast experience spanning 10 years, our Telecom arm runs as a
specialized division within the Group.
Our typical Routes to Market to targeted customers include:
✔ Residential door-to-door marketing
✔ Neighborhood residential events
✔ Event marketing
Experience in Consumer Sales:
✔ Consumer post paid mobile line sales, including 3G
✔ Consumer internet/Broadband sales
✔ Wireless Internet sales including HSDP
✔ Home fixed line and related services
✔ Consumer IDD discount sales
Clients they have worked with:
✔ Airtel
✔ Telekom Malaysia
✔ TM Net
✔ Maxis
✔ Celcom
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✔ Digi
✔ Time Telecom
✔ SingTel
✔ SingNet
✔ StarHub
✔ Pacific Internet
3. FMCG clients:
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✔ F&N
✔ Walls
✔ Dumex
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4. Charitable organization:
The APPCO Group has established a specialized division called Support
Direct to assist charities and non-profit organizations to create awareness
for their work and to raise much needed funds.
Charities they have worked with:
✔ UNICEF Thailand (United Nations Child Fund)
✔ UNICEF Indonesia
✔ WWF Malaysia (Worldwide Fund for Nature)
✔ WWF Indonesia
✔ The National Heart Foundation of Indonesia
✔ The National Heart Foundation of Singapore
✔ MAKNA (Majlis Kanser Nasional)
✔ NKF (National Kidney Foundation of Malaysia)
✔ The BUDIMAS Charitable Foundation- Malaysia
✔ Club Rainbow Singapore
✔ Singapore Cancer Society
✔ EMCC (Eagles Mediation and Counseling Centre Singapore )
5. Other Industries:
All programs are tailor-made for different industries and sectors whether
you are an established corporation seeking a large scale marketing
program or an SME looking to do a small test market of your product or
service, we can lend our skills to anyone who requires a face-to-face sales
force targeted towards consumers or businesses.
Other clients they have worked with:
✔ Alarm companies
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✔ Satellite TV companies
✔ Cable TV companies
✔ Hospitality and leisure outlets
✔ Energy Companies (Gas and electricity)
✔ Utility Companies
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2.1.3 Collaborations
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2.1.4 Head office and Branches
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• Head office (Singapore)
Appco Pte Ltd
34B Circular Rd
Singapore 049390
• Head office (Indonesia)
PT Appco Direct
Deutsche Bank Building
Suite 801 Fl. 8, Jl Imam. Bonjol
No 80. Jakarta Pusat
• Head office (Thailand)
APPCO Limited
159, Serm-Mit Tower
Floor 17, Unit 1703/2-3
Sukhumvit 21 (Asoke) Road
North Klong Toey, Wattana
Bangkok 10110
• Head office (Philippines)
Appco Direct Int’l Inc.
Regus Office Suites
27th Floor, Tower 2
The Enterprise Center
No. 6766, Ayala Avenue
Corner Paseo de Roxas
Makati City 1226
Organization Chart
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All over the world APPCO follows the same organizational structure, shown
bellow, followed by the Pune Branch.
The figure bellow is the Organizational Chart for the Pune Branch of the
Appco.
Chapter - 3
Research objectives
&
Scope of Research
project
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CH-3 Research objectives
&
Scope of Research project
Introduction:
Research always starts with a question or a problem. Its purpose is to
answer to questions through the application of the scientific methods. It is a
systematic and intensive study directed towards a more complete knowledge of
the subject studies. Once the problem is defined properly then one can easily
chalk out the Objectives for the research.
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likely to be defined poorly. The research carried out on that basis will hardly
have any value for the management.
After a problem has been chosen, the next task is to formulate it precisely.
This too needs a good deal of care on the part of marketing researchers.
Formulation implies a clear statement or definition of the problem.
A complete problem definition must specify each of the following:
1. Sample and sampling units
2. Time and space boundaries
3. Product features, and consumer preferences
4. Specific environmental conditions
Taken together these four aspects identify who, when, where, and what of
the research.
Here at APPCO my research project was undertaken with its Client Airtel.
With the respect of the respective head under ‘Problem Definition’ my research
project is defined as follows:
“Research Study of Consumer Behavior in Postpaid Customer
Segment”
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3.2 Objectives of the Research Project
The subject matter for this research Project is to study the behavior of the
customer regarding the Post paid connections offered by Airtel in Pune. This
project consists of different objectives. They are as follows:
• To know the test and preferences of consumer for the Postpaid products
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3.3 Product Scope
Scope of Airtel postpaid Product marketed by APPCO:
Appco had started Marketing and sales for Airtel from 2004 from
Mumbai. Appco successfully hit the market in the postpaid sector. Right now
Appco is marketing for Airtel in Pune, Chennai, Calcutta and Bangalore. In all
this regions Appco is running very successfully due to their strategic marketing
methods. Appco is now focusing towards Delhi, Ahmadabad, Punjab and other
regions of Maharashtra. For this further development Appco has conducted
recently the test marketing in Ahmadabad and Sholapur. The results ware
satisfactory for the test marketing conducted at these areas.
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4
Chapter -
Research
Methodology
&
Limitations
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Ch-4 Research Methodology
&
Limitations
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8. Interpretation and conclusion
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4.4 Sample size determination
Practical method
According to this approach, a sample size of less than a few hundred units
is not chosen. This is because when a field survey is undertaken, interviewers are
appointed, trained and asked to conduct field investigations. Since all this would
cost substantially, it would not be worth it for the marketing researcher if only a
small sample is chosen.
In light of this method the sample size was decided to be 10 samples for
each strata or sub-groups.
4.5 Data collection Instruments
There are two main methods by which primary data can be collected are:
1. Observation
2. Communication
Observation
Observation is one of the methods of data collection. It is used to get both
past and current information. For example, instead of asking respondents about
their current behavior, we may observe it and record our observations. Although
it is not possible to observe past behavior, we may observe the result of such
behavior. In a way, secondary data reflect the results of the past behavior of
people as also of past occurrences.
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Communication
The communication method, in effect, is the method of designing
questionnaires with a view to collect the requisite information.
Instruments
From the above both data collection method, Questionnaire
(Communication method) is selected as the instrument for collecting the data as
the respondents are directly interviewed by the researcher. The same
questionnaire is attached as an annexure to this report.
Questionnaire Design:
From basic aspects of measurement and meaning, we proceed to their
application in designing the instruments for seeking and recording data. Data
may be obtained by either observing or asking for them, and forms are needed
for field used in observation and interviewing. The accuracy and relevancy of the
data gathered depend heavily on the questionnaire.
Function of questionnaires:
Questionnaire is simply a formalized schedule to obtain and record
specified and relevant information with tolerable accuracy and completeness. In
other words, it directs the questioning process and promotes clear and proper
recording.
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4.6 Research Limitations:
One must be aware of these limitations in advance so that one is clear
about what Research can and cannot do:
First, very many times, marketing research tends to be fragmentary in its
approach as a result of which it becomes difficult to have an overall
perspective in which a marketing problem is to be viewed and studied.
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5
Chapter -
Analysis,
Interpretation
&
Presentation
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1. Do you have mobile connection?
Objective:
To know whether the person have any mobile connection or not.
Table:
Graph:
Graph:
Interpretation:
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• Base
According to research out of 200 respondents 50 are200 respondents
using Airtel cellular
service and it is the highest among the all cellular services.
• Percentage of Airtel users are 25% and that shows the brand popularity in
the market.
• Reliance is the least used by the respondents that of 8 respondents comes
to 4%.
3. Are you using Prepaid or Postpaid?
Objective:
To know whether the person is using prepaid connection or post paid one.
Table:
Graph:
Interpretation:
• According to research out of 200 respondents 191 are using Prepaid
services and rests 19 are using Postpaid.
• Percentages of Prepaid users are 90.5% and that of postpaid users are
14%.
• It shows very big difference between the two figures for using and not
using mobile.
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4. How much is your Monthly Expenditure on
mobile phone?
Objective:
To know how much a person spending on mobile recharges and bills.
Answer No. of Respondent Percentage
< 150 48 24%
150-350 44 22%
350-500 76 38%
> 500 32 16%
Table:
Graph:
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Interpretation:
• According to research out of 200 respondents highest users fall in to the
category of monthly expenses among 350-500 that is 78 users and their
percentage is 38%
• It shows that the average expanses of the mobile users are among 350-500.
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Graph:
Interpretation:
• According to research out of 200 respondents the Overall ratings comes to
the end that Airtel is “Good” at its services overall.
• Average percentage comes Highest was 24.6 for Rank 2 i.e. Good.
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6. Since from the Respondent is using Airtel?
Objective:
To know how much Cellular Service Switcher the respondent is.
Total no. of Respondents using Airtel are 50.
Answer No. of Respondent Percentage
< 1month 5 10%
1-3 months 14 28%
3-6 months 26 52%
> 6 months 5 10%
Table:
Graph:
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Interpretation:
• According to research out of 200 respondents 50 are using Airtel out of
that there are 26 respondents who Says that they are using Airtel Since 3-6
months. This is the period in which the maximum respondents has fall.
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Conclusion
For Airtel
We can see from the Consumer Research that most of the respondents are
using Airtel but they are just using it because it is available in the market at the
affordable and comparative Prices.
Another Reason for the Maximum sales is APPCO. -6
Chapter Marketing Experts at
APPCO are very much trained that they can go at anyConclusion
door and can sell the
& of Airtel in a
product. What ever the sales generated by the DSA Department
week, APPCO provides in a day only.
Suggestions
If we look at to the survey research one can find that Airtel is not the best
Cellular service provider in India because apart from the basic cellular services
and the tariff plans, it’s not good at any point. Because most of the respondents
have rated it as average more. And of course the survey research always reflects
the truth.
The average rating for the company is being “Good”. Some respondents
commented that Airtel is very worst at Coverage and Customer care Support.
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For APPCO
APPCO has very well marketing network all over the world and in the
same way the company is also performing well. We can measure the
performance of the company on the basis of the satisfaction realized by the client
company. If the clients are happy with the services provided by the APPCO then
we can say that the company is well in its performance. And of course clients in
India and abroad are very much happy and satisfied by the marketing and
advertising services of the company. In fact the Airtel has closed its DSA
department for post paid because of the good sales realization from APPCO.
APPCO is also engaged in India for the sales and marketing of Finance
and charity products offered by the clients. They are also satisfied with the
services provided by company.
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Suggestions
For Airtel
○ Well I suggest Airtel to increase the Quality and Capacity of both,
cellular services as well as other related services such as Customer
care support and roaming etc.
○ Company has got a good span over Indian Market but they need
some more investment on the above suggested topics to sustain
NO.1 in the market.
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○ APPCO is selling and marketing the products and services of only 3
types of clients in India and India is Basket of so many Indian and
foreign Brands. Thus APPCO can do marketing activity for so many
brands.
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Questionnaire
for
“Study of Consumer Behavior in Postpaid Customer Segment”
Personal Information:
A. Full
Name:___________________________________________________
B. Contact NO.:________________ Mob:__________________
C. Sex: Male Female
D. Occupation:
Student Housewife
Job Retired
Business Unemployeed
E. Monthly Income:_______________
Details about Airtel:
1. Do you have any mobile connection?
Yes
No
2. How many mobile connections do you have?
1
2
3
>3
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3. Are you using prepaid / postpaid connection?
Pre-paid
Post-paid
4. Which Mobile connection currently using?
Airtel Vodafone
Idea Reliance
BSNL Tata Indicom
5. Since from you are using Airtel? (If any)
< 1 month
1 – 3 months
3 – 6 months
> 6 months
6. Rating of Airtel services over some parameters.
1 2 3 4 5
i) Coverage
ii) Call Charges
iii) Roaming Facility
iv) Schemes
v) Customer Care
1=best 2=good 3=average 4=poor 5=worst
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7. How much is your Monthly expenses on Mobile Phones?
< 150
150 – 350
350 – 500
> 500
8. In future do you wish to buy Airtel Post paid?
Yes
No
9. Any special comment or suggestion for Airtel:
____________________________________________________________
____________________________________________________________
__
Date: ___/___/_______
Signature
Place: ______________
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Bibliography
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BIBLIOGRAPHY
Books
• Marketing Research – G. C. Beri
• Research Methodology – C. R. Kothari
• Principles of Marketing – Philip Kotler
Websites:
• http://www.google.com
• http://en.wikipedia.org
• http://www.airtel.in
• Other Marketing research related sites.
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