Consumer Behaviour towards Spencers Retails

ACKNOWLEDGEMENTI take this opportunity to thank Dr. B.C. ROY ENGINEERING COLLEGE, DURGAPUR, for giving me an opportunity to prepare this project paper on Marketing Management, Topic:

CONSUMER BEHAVIOUR TOWARDS SPENCERS RETAILS.

There are people who simply influenced and inspired me in doing this project study. I acknowledge my gratitude and indebtedness to Prof. Priyabrata Bandyopadhyay, for guiding and helping me in preparing this project work in all possible ways.

I want to thank each and every faculty members and those who had been my source of collecting informations throughout my project work.

Thanking You

-Gourab Bhowal.

CONTENTS

Introduction.

Heritage of Spencers.

Milestones.

Objective.

Research Methodology.

Finding & Data Analysis.

Major Findings.

Conclusion.

Questionnaire.

Bibliography.INTRODUCTION

Consumer Behaviouris the study of when, why, how and where people do or do not buy a product. It blends elements from Social, Personal, Cultural and Economical. It attempts to understand the buyers decision making process, both individually and in groups. It studies characteristics of individual consumers such asdemographicsand behavioural variables in an attempt to understand people's wants. It also tries to assess influences on the consumerfrom groups such as family, friends, reference groups, and society in general.

Consumer behaviour study is based on consumer buying behaviour, with the customer playing the three distinct roles of user, payer and buyer. Relationship marketingis an influential asset for consumer behaviour analysis as it has a keen interest in the re-discovery of the true meaning of marketing through the re-affirmation of the importance of the customer or buyer.

Theories of Consumer Behaviour:

There are four theories that explore the various drives, which impel consumers towards their choice.

Sociological models: Consumer behavior is determined by social forces that act upon them.

Personal model: Focuses on motives for buying and the process of learning.

Cultural model: Culture refers to the set of values, ideas, and attitudes that are accepted by a homogenous group of people and transmitted to the next generation. Culture determines what people wear, eat, reside and travel. Economic model: Focuses on the consumer as a self-interested utility maxi miser, intent on maximizing enjoyment from his/her purchases.

Types of Consumer buying behavior:

Routine or Programmed: Habitual purchase, low involvement by the buyer. E.g. Purchase of dairy products or baked foods, etc.

Limited decision making: Some consideration and evaluation. E.g. purchase of clothes, etc.

Extensive decision making: High involvement buying requiring detailed consideration. E.g. Car, House, Personal computer, etc.

Impulse buying: Bought on impulse without prior thought. E.g. Packet of chips, etc.

Why Consumer behaviour is important:

The marketing concept stresses that a firm should create a marketing mix that satisfies customers. Therefore firms needs to analyse what, where, when, why and how consumer make their buying decision. Understanding consumer behaviour is essential to the development of marketing strategies, especially pricing, product design, segmentation, targeting, positioning and promotion.HERITAGE OF SPENCERS

Since 1863, Spencers has been a part of the Indian retail landscape, originally owned by a British gentleman Mr. Spencer (John William Spencer, to be precise) it acquired Indian ownership in the 1960s, and became part of the RPG Group in 1989.

In 1995, RPG Enterprises launched Food world as a joint venture with Hong-Kong based Dairy Farm International. The joint venture, which operated supermarkets under the name Food world and hypermarkets under the name Giant, was terminated in 2006. RPG retained 48 of the 93 stores it owned. Since inception Spencers has been a consumer-centric brand, constantly innovating, pioneering formats, evolving over time but always keeping consumer needs and satisfaction center-stage. Back in 1920, Spencers were the first grocery chain in India. In 1980, it became the first supermarket chain, and in 2001, it introduced India to the joys of hypermarket shopping.

MILESTONES

1863

*John William Spencer and Charles Durrant open the first ever Spencer store in Chennai.

1920

*Spencers becomes the first grocery store in India.

1980

*Spencers becomes the first supermarket chain under Food World in India.

1989

*RPG Enterprises buys a majority stake in Spencers.

1995

*Spencers enters into a Technology Assistance Agreement with Dairy Farm International Holdings Ltd., Hong Kong, to set up the Foodworld chain of supermarkets in India.

1996

*First Foodworld store inaugurated in R A Puram, Chennai, by M. S. Subbulakshmi, renowned Karnatic musician.

2001

*First hypermarket inaugurated in Musheerabad, Hyderabad, by Krishna Yadav, Labor Minister of Andhra Pradesh.

* 100th Food world store inaugurated in Pondicherry.

2006

*Joint venture with Dairy Farm International Holdings terminated.

*First new store under the Spencers brand name inaugurated in West Mambalam, Chennai.

2008

*75,000 sq ft flagship store inaugurated at South City Mall, Kolkata.

*First standalone retail store inaugurated at Vadodara.

*Exclusive tie-up with 3 billion Woolworths plc, UK, for retailing their internationally acclaimed toy brand, Chad Valley, and their Ladybird brand of kids wear; the latter is Woolworths first international tie-up in the childrens apparel segment.

*Tie-up with Au Bon Pain, the Boston-based fast casual dining and bakery caf chain having more than 200 outlets in America, South Korea, Taiwan and Thailand.

*Alliance with Beverly Hills Polo Club its first international tie-up in fashion.

2009*Launch of the first exclusive brand outlet of Beverley Hills Polo Club in Delhi.

*Launch of Bangalores first hyper store on 35000 sq. ft in Upmarket Sarjapur.

* Launch of a 12000 sq. ft hyper in Andhra Pradesh rich town, Warangal.

*Launch of the first cafe and bakery outlet under the Au Bon Pain brand in Bangalore, MG Road.

2010*Foray into Punjab with the launch of three Beverley Hills Polo club outlets in Amritsar and Jalandhar.

*Announcement of a change in brand positioning from Taste-the-World to Makes Fine Living Affordable.

*Announcement of the exclusive tie-up with Marc Ecko Enterprises of USA for Ecko Ultd and Ecko Red apparel brands. The first store launched in upmarket DLF Promenade Mall in Vasant Kunj, New Delhi.

*Announcement of exclusive tie-up with Ladybird brand of kids wear from the house of UK-based Shopdirect Group. The first store was launched in MGF Metropolitan, Gurgaon.

*Launch of the Gunturs first hyper store on 13000 sq. ft.

*Launch of Au Bon Pain flagship store in Mantri Mall, Bangalore.

OBJECTIVES

In the current scenario with the rising economy the departmental stores are also rising. Spencers became the spotlight of all departmental stores for its brands, quality and reasonable pricing.

The main objectives of this study paper:

To study the consumer behaviour towards Spencers & its products. To find Spencers products demand. To analyse consumers expectations from the manufacturers.

To study the level of consumers satisfaction towards the products of Spencers.RESEARCH METHODOLOGY

Research Methodology is the way in which research specify how we are going to retrieve all the important data and information that are required to make vital decisions.

TOPIC:

Consumers Behaviour towards SPENCERS RETAIL.

DATA COLLECTION:

Research Approach: Survey.

Research Approach means that the process of research is carried out in certain framework of philosophies, use valid and reliable procedures, methods and techniques that is unbiased and objective.

The survey method involves asking variety of questions to respondents. Mostly the questions relate to behavioral aspects like perception, attitude, awareness etc. These questions may be asked verbally or in writing.

Research Instrument: Structured Questionnaire.

Research Instrument means the method of gathering information. Questionnaires, it collects data by asking people to respond to exactly the same set of questions. They are often used as part of a survey strategy to collect descriptive and explanatory data and opinions, behaviors and attributes.

Research Area

: Durgapur Spencers (City Center, Bidhan Nagar)

Research Area is the location from where we collect our information to analyse the data.

SAMPLING PLANE:

A sample is a subset of a population selected for the study. Parameters of the sample are called statistics and they are used to infer population parameters using estimation procedures.

Sample Size

: 50 peoples.

Sample size is the representation of elements of the target population. Sampling frame can be either, list of the elements that are representation of the target population or set of directions for identifying the target population.

Sample Process

: Simple random sampling and Cluster sampling.

In simple random sampling, each element in the sample is selected independent of the other element. Each element has a known and equal probability of selection and more over each sample of the given size has an equal and known probability of being actually selected.

In cluster sampling only the randomly selected clusters are taken in consideration for the purpose of sample section. From the selected clusters, either whole of the cluster is studied or the elements within the cluster are selected using probability sampling method.

CONTACT METHOD:

Personal Interview.

In personal interview, respondents are interviewed face to face. The researcher or interviews tasks are to contact the respondents, ask the question and record the responses.

ANALYSIS:

Pie Charts.

Bar Chart.

FINDINGS AND DATA ANALYSIS

Do you visit Spencers?50 people

Yes :47

No :3

Age groups (Year)47 people

20 3033

30 4011

40 & above3

Occupation47 people

Students25

Business7

Service8

Others7

How often do you visit Spencers?47 people

Once in a week13

Once in a month15

Occasionally19

For how long you are a customer of Spencers?47 people

Recently11

1 year13

More than a year23

Which section of Spencers do you visit most?

(Max. products preferred)47 people

Food21

Fashion16

Home7

Entertainment3

Are you aware with the facilities provided by Spencers?47 people

Yes36

No11

Which type of facilities do you think more beneficial for you?36 people

Smart Cards10

Summer/Winter Sale7

Festival Offer15

Weekly/ Monthly Sale4

How would rate your shopping experience at Spencers?Delightful(no. people)Met Expectations(no. people)Disappointing(no. people)

Quality of Products30161

Quantity of Products27200

Price of Products23222

Availability of Products26210

Cleanliness of store36101

Billing facility31151

Do you find Spencers location is suitable for you?47 people

Yes41

No6

How would you rate Spencers?47 people

Good33

Satisfactory14

Disappointing0

MAJOR FINDINGS

From the survey of 50 people it was found that Spencers Retails have good brand awareness among the people & they are satisfied with Spencers product & services. It can be verified by the following findings:

On asking question Do you visit Spencers? to 50 randomly chosen people, 47 people respond Yes and rest 3 people respond No.

33 people of the age group 20 30 visit Spencers maximum in comparison to other age groups, as 11 people of 30 40 and 3 people of 40 & above out of 47 people.

Out of 47 people 25 people of student group finds suitable for marketing at Spencers retails rather than other occupation people groups, as 7 people of Business, 8 people of Service and 7 people of others.

40% of the people prefer to visit Spencers occasionally, 32% people prefer to visit once in a month and rest 28% people once in a week.

49% of the people are the existing customers of Spencers more than a year, whereas 28% of people are the customer for a year and 23% of people became recent customer of Spencers.

On the basis of maximum products from the different sections preferred by the 47 surveyed people it was found that, 21 people visits maximum at Food section than other sections as, 16 people prefer to Fashion, 7 people prefer to Home and 3 people prefer to Entertainment sections.

77% of the people responds Yes towards the awareness of facilities provided by Spencers, whereas 23% people responds No, as they are not aware.

As 36 people were aware about the facilities provided by Spencers, 10 people finds benefit in Smart cards, 7 people finds benefit in Summer/Winter sale, 15 people finds benefit in Festival offers and 4 people finds benefit in Weekly/Monthly sale.

Maximum people rated Delightful as their shopping experience at Spencers under the head of Quality, Quantity, Price and Availability of products along with the Cleanliness of store and Billing facility, but it was found that 20 people, 22 people and 21 people against 47 people were unsatisfied with the Quantity, Price and Availability of products respectively.

87% of people find Spencers location suitable for there visit, whereas 13% people finds unsuitable.

Spencers Retails were rated Good by 33 people, Satisfactory by 14 people and Disappointing by none, against 47 people.

CONCLUSION

On doing this project Consumer Behaviour towards SPENCERS RETAILS, I have gained a lot of practical knowledge, which was quite different from the theoretical knowledge gained from the books & also priceless knowledge through questionnaire.

While preparing this project I have carefully gone through the history & background of Spencers and also tried to structure the questionnaire in such a way so that people dont face any problem to give their view towards Spencers Retails.

On the basis of consumers responses we can conclude following things:

Though Spencers having maximum customers from the age group 20-30, yet it should improve its marketing strategy to attract other age groups.

Students are found to be highly preferable towards Spencers rather than other occupation people. Spencers can gain more customers from other occupation group if Spencers gives more importance to Business gadgets, other household and electronic products.

Spencers is well known for its Food section. People mainly visit Spencers to grab the fresh food material, Spencers should also give equal importance towards other sections, mainly Home and Entertainment section.

Maximum people were Delightful with the shopping experience at Spencers, though it was found that people were unsatisfied with the Quantity, Price and Availability of the products. Spencers should keep a right proportion to the quantity and the price of the products and have proper control in availability of goods, to keep long run success.

LIMITATIONSWhile doing this project study on Spencers Retail, I have to undergo with few limitations, as:

People were found to be hesitating in giving their views.

People were in hurry, so they were unable to give proper information.

People were trying to avoid filling the questionnaire. BIBLIOGRAPHY

AUTHOR

BOOK NAME

EDITION

M. Govindarajan

Marketing Management

2nd edition

Blackwell, Miniard & Engel

Consumer Behaviour

10th edition

Mohit Gupta &Navdeep AggarwalSocial Research Methods

-QUESTIONNAIRE

SPENCERS RETAILS

Name

:

Address

:

Gender :MaleFemale

Age Group (Yr):20 3030 4040 & above

Occupation :StudentBusinessServiceOthers

Income Level (P.M) :Below Rs.5,000Rs.10,000 Rs.30,000Rs.30,000 & above

TICK THE OPTIONS TO THE FOLLOWING QUESTION ACCORDING TO YOUR VIEW

Do you visit Spencers?

YesNo

How often do you visit Spencers?

Once in a weekOnce in a monthOccasionally

For how long you are a customer of Spencers?

Recently1 YearMore than a year

Which section of Spencers do you visit most?

FoodFashionHomeEntertainment

Which product/products do you purchase from your choice sections?

FOODFASHIONHOMEENTERTAINMENT

BeveragesMeans wearHome needsElectronics

Dairy productsWomens wearFurnitureHouse electronic essentials

Baked foodsKids wearTravel essentials

VegetablesAccessoriesDecor

Fish & MeatFoot wear

Are you aware with the facilities provided by Spencers?

YesNo

Which type of facilities do you think more beneficial for you?

Smart CardsSummer/Winter Sale

Festival OfferWeekly/Monthly Sale

How would you rate your shopping experience at Spencers

DelightfulMet ExpectationsDisappointing

Quality of products

Quantity of products

Price of products

Availability of products

Cleanliness of store

Billing facility

Do you find Spencers location is suitable for your visit?

YesNo

How would you rate Spencers?

GoodSatisfactoryDisappointing

Place :

Date :

Submitted By:

Gourab Bhowal.

Roll no. : 09120050009

Reg. no.: 091202010016

Dept.: BBA (H)

Submitted To:

Prof. Priyabrata Bandyopadhyay.

Dr. B.C.Roy Engineering College.

Consumer Behaviour towards Spencers Retails

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13

15

19

Frequently visit

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Frequently visit

Once in a week13

Once in a month15

Occasionally19

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11

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Age group

Sheet1

Age groupSeries 2Series 3

20 - 30332.42

30 - 40114.42

40 & above31.83

Category 44.52.85

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47

3

Visiting People

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Visiting People

Yes47

No3

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25

7

8

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Occupation

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OccupationSeries 2Series 3

Students252.42

Business74.42

Service81.83

Others72.85

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21

16

7

3

Max. visiting ssection

Max. visiting section

Sheet1

Max. visiting ssectionSeries 2Series 3

Food212.42

Fashion164.42

Home71.83

Entertainment32.85

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13

23

Customer

Sheet1

Customer

Recently11

1 Year13

More than a year23

4th Qtr1.2

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10

7

15

4

Beneficial Facilities

Beneficial Facilities

Sheet1

Beneficial FacilitiesSeries 2Series 3

Smart cards102.42

Summer/Winter Sale74.42

Festival Offer151.83

Weekly/Monthly Sale42.85

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_1457785669.xlsChart1

36

11

Facilities

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Facilities

Yes36

No11

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Location

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Location

Yes41

No6

3rd Qtr1.2

4th Qtr

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30161

27200

23222

26210

36101

31151

Delightful

Met Expectations

Disappointing

Sheet1

DelightfulMet ExpectationsDisappointing

Quality of Products30161

Quantity of Products27200

Price of Products23222

Availibility of Products26210

Cleanliness of stores36101

Billing facility31151

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_1457785656.xlsChart1

33

14

0

Rating

Sheet1

RatingSeries 2Series 3

Good332.42

Satisfactory144.42

Disappointing01.83

Category 44.52.85

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