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Executive Summary The interview has been conducted from a total sample of 50, out which 35 respondents are male and 15 are females. After that we enter the data into SPSS and then done analysis. After complete analyses of the data we have develop four segments of the customers on the basis of there personality traits and product usage rate the segment are Platinum, Gold, Silver, Bronze these are the four segments of the customers. Platinum customers are those who are heavy user of the snacks and also the users of Lay there are total 6 customers in this segment. Gold are those respondent who are normal or moderate user of the snacks and prefer user of the lays and there are 26 customers in this segment. Silver respondent are those who are low user of snacks and also the user of the lays and in this segment there are 9 customers. But the Bronze segment consist the respondent who are non user of the Lays. And after all the analysis we also recommend that to retain the Platinum customer and Gold customers the company should focused on the taste of the product because there preference is taste. To improve the customers of the Silver segment the company should focus on the taste and advertisement. An to capture the Bronze segment customer who are non user of the lays the company should focus on the taste because 56% o the non- user prefer the taste on the brand and the

Lays Project Consumer Behavior

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Page 1: Lays Project Consumer Behavior

Executive SummaryThe interview has been conducted from a total sample of 50, out which 35 respondents are male and 15 are females. After that we enter the data into SPSS and then done analysis. After complete analyses of the data we have develop four segments of the customers on the basis of there personality traits and product usage rate the segment are Platinum, Gold, Silver, Bronze these are the four segments of the customers. Platinum customers are those who are heavy user of the snacks and also the users of Lay there are total 6 customers in this segment. Gold are those respondent who are normal or moderate user of the snacks and prefer user of the lays and there are 26 customers in this segment. Silver respondent are those who are low user of snacks and also the user of the lays and in this segment there are 9 customers. But the Bronze segment consist the respondent who are non user of the Lays.

And after all the analysis we also recommend that to retain the Platinum customer and Gold customers the company should focused on the taste of the product because there preference is taste. To improve the customers of the Silver segment the company should focus on the taste and advertisement. An to capture the Bronze segment customer who are non user of the lays the company should focus on the taste because 56% o the non-user prefer the taste on the brand and the remaining percentage of the customers can be capture through advertisement and price.

We also recommend that the company should focus the promotion of the product of the TV and billboard. The company should promote its product on the TV because 90% of the customer has the TV as the media source of awareness.

Page 2: Lays Project Consumer Behavior

Introduction

PepsiCo is a world Leader in convenient snacks, foods and beverages, with revenues of more than $39 billion and over 185,000 employees.

The company consists of PepsiCo Americas Foods (PAF), PepsiCo Americas Beverages (PAB) and PepsiCo International (PI).

PAF includes Frito-Lay North America, Quaker Foods North America and all Latin America food and snack businesses, including Sabritas and Gamesa businesses in Mexico. PAB includes PepsiCo Beverages North America and all Latin American beverage businesses. PI includes all PepsiCo businesses in the United Kingdom, Europe, Asia, Middle East and Africa. PepsiCo brands are available in nearly 200 countries and generate sales at the retail level of more than $98 billion. 

Some of PepsiCo's brand names are more than 100-years-old, but the corporation is relatively young. PepsiCo was founded in 1965 through the merger of Pepsi-Cola and Frito-Lay. Tropicana was acquired in 1998 and PepsiCo merged with The Quaker Oats Company, including Gatorade, in 2001.PepsiCo offers product choices to meet a broad variety of needs and preference -- from fun-for-you items to product choices that contribute to healthier lifestyles.

PepsiCo’s mission is “To be the world's premier consumer Products Company focused on convenient foods and beverages.  We seek to produce healthy financial rewards to investors as we provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate.  And in everything we do, we strive for honesty, fairness and integrity.”

In February 1965, the Board of Directors for Frito-lay, Inc. and Pepsi-Cola announced a plan for the merger of the two companies. On June 8, 1965, the merger of Frito-Lay and Pepsi-Cola Company was approved by shareholders of both companies, and a new company called PepsiCo, Inc. was formed. At the time of the merger, Frito-Lay owned 46 manufacturing plants nationwide, had more than 150 distribution centers across the United States, and was listed on the New York Stock Exchange. In 1998, PepsiCo acquired Tropicana; and in 2001 acquired The Quaker Oats Company.

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Page 3: Lays Project Consumer Behavior
Page 4: Lays Project Consumer Behavior

Segments

We have dividend all the respondent into four different segments. According to there personality type and the behavior of them and there character tics .They are

1) Platinum

2) Gold

3) Silver

4) Bronze

Page 5: Lays Project Consumer Behavior

Platinum

Platinum segments customers are those customers which are heavy user of the snacks. And there are three male and three females the total number of the respondents which are segmented in this segment is six. The preference of the Platinum customers is mostly lays.The segmented customers are using the product from past one year the decision making of the customers in this segment the major source of the customer regarding information is TV advertisement and the billboard.The most of the customer of the segment is taste conscious and quality conscious the customer fall in this segment are extrovert.

Major traits of the customers which are segmented in this segment are as follow

1. Heavy user of snacks.

2. Lays is the first preference of the customers.

3. They are the pioneer customer of Lays.

4. Independent decision making

5. Major source of information is TV and Billboard

6. Taste is the key of retaining the customer

7. Quality conscious

8. Personality type is extrovert.

Page 6: Lays Project Consumer Behavior

Gold

The major traits of the customers are as follows

1. Medium user of the snacks.

2. The preference of the customer is Lays.

3. They are the pioneer customer of lays and hardcore loyal.

4. Independent decision making power

5. Major source of information is TV advertisement

6. Taste conscious

7. Quality conscious

8. More introvert

There are 26 customers fall in this segment in which 18 are male and 8 are females which are the medium user of the snacks and first preference of the customers are lays. The respondent fall in this segment are pioneer customer of the lays eating lays from last one year and are the hardcore loyal of the lays. The decision making power of the customer is in there hand the major source of the information for this kind of customer is TV advertisements. The major tacit to retain the customers are the taste because most of the customers are taste conscious and quality conscious. The personality type of the customer is introvert.

Page 7: Lays Project Consumer Behavior

SilverThe major traits f this segment customer is below.

1.Low user of snacks

2.Mixed preference

3.Independent decision making

4.Major source of information Newspaper / Billboard

5.Taste conscious and promotion

6.price conscious

7.introvert mostly

this segment of the customer is carrying ten customers from which 7 male and 2 female the most are the low user of the snack there preference of the user are mixed and other then the lays. The decision making is independent of the customer they made there decision on there on. The major source of information s newspaper and the billboard. Taste and the promotion is the major source of the capturing the customer. The customers of this segment are price conscious and the personality type of the customer is introvert.

Page 8: Lays Project Consumer Behavior

Bronze

The major trait of the respondent which are in this segment

1. Non-user of lays

2. Mixed preference other then the lays

3. Independent decision making

4. Taste conscious

5. Loyal with the existing brands

6. TV and Bill board are the major source of information

7. Less price Conscious

8. Introvert

Total number f respondent which are segmented are nine in which seven are male and two female. The respondent are non user of lays they have the preference other then the lays such are Super crisps and Golden crisps the independent decision making is the basic trait of the customer. One of the major tacit to capture this segment of the customer is to better the taste because they are taste conscious. And they are loyal with there brands. The major source of information is TV advertisement and the billboard. the people of this segment are less price conscious and are introvert.

Page 9: Lays Project Consumer Behavior

Platinum Gold Silver Bronze

Gender 3 male3 female

18 male8 female

7 male2 female

7 male2 female

Age Various age group mostly fall in 16-35

18-25 most of the customer falls

16-25 mostly 18-25

Education Graduation-mastermostly few

Graduation-masterFew mostly

Inter-masterFew mostly

Graduation-master50% 50%

Income level 0 - 50000 0-35000 Less then 15000 0-5000

Awareness source

TV and Bill board TV NEWSPAPER AND Bill board

TV and Bill board

Buying Role Independent-dependent71% 29%

Totally independent Totally independent Independent-dependentMostly few

Price consciousness

Indifferent Mostly yes Yes 56% yes44% NO

Preferences Taste mostlyAdvertisement few

Taste Mostly tasteFew advertisement

Taste 56%Price 22%Advertisement 22%

Loyalty Moderate Hardcore Moderate Moderate loyal with exiting brand

Personality type

50%intro50% extro

Extro mostly Intro Intro mostly

Preference Lays Lays Lays Super crispsGolden crisps

Page 10: Lays Project Consumer Behavior

TARGET MARKET

The company target the youth in its advertisement by casting the young, popular, beautiful and good looking Ali zafer and other female models, who are popular among today’s youth.

The target which we identified through analysis is youth of today same as the company’s special the age group of 16-26. So now we are focusing towards retaining our Platinum customer and converting Gold customers into Platinum customers and company is also focusing to capture the Bronze customer and making them user of the company from being users of the competitor’s product.

Page 11: Lays Project Consumer Behavior

Recommendations

And after all the analysis we also recommend

1. That to retain the Platinum customer and Gold customers the company should focused on the taste of the product because there preference is taste.

2. To improve the customers of the Silver segment the company should focus on the taste and advertisement.

3. To capture the Bronze segment customer who are non user of the lays the company should focus on the taste because 56% o the non-user prefer the taste on the brand and the remaining percentage of the customers can be capture through advertisement and price.

4. We also recommend that the company should focus the promotion of the product of the TV and billboard.

5. The company should promote its product on the TV because 90% of the customer has the TV as the media source of awareness.

Page 12: Lays Project Consumer Behavior

APPENDIX - 1

Tables

Page 13: Lays Project Consumer Behavior

PLATINUM SEGMENT

Page 14: Lays Project Consumer Behavior

Table 1.1usage rate of the customer

Frequency Percent Valid Percent

Cumulative

Percent

Valid heavy user 6 100.0 100.0 100.0

The above frequency table shows that in this segment there are Six respondents are included in this segment and all the heavy user.

Table 1.2user status of the customer

Frequency Percent Valid Percent

Cumulative

Percent

Valid user 6 100.0 100.0 100.0

The above frequency table shows that in this segment there are total Six respondent fall in this group and all are the user of the lays.

Table 1.3

reasons for switching

Frequency Percent Valid Percent

Cumulative

Percent

Valid Taste 4 66.7 66.7 66.7

Advertisement 2 33.3 33.3 100.0

Total 6 100.0 100.0

This table shows the different category of reasons for switching there are four category of reason for switching but in this segment only two category they fall in taste and advertisement/promotion 4 preference taste on brand and 2 respondent preference promotion.

Table 1.4

Page 15: Lays Project Consumer Behavior

since how long the customers are using product

Frequency Percent Valid Percent

Cumulative

Percent

Valid 6 months or less 3 50.0 50.0 50.0

one year or more 3 50.0 50.0 100.0

Total 6 100.0 100.0

This frequency table shows that’s the since how long the customer are using the lays 3 customers are those who are eating lays from past one year or more and 3 are those who are using lays from past 6 months overall the analysis shows that in this segment only pioneer customers falled.

Table 1.5

source of awareness

Frequency Percent Valid Percent

Cumulative

Percent

Valid TV advertisement 4 66.7 66.7 66.7

bill boards 2 33.3 33.3 100.0

Total 6 100.0 100.0

This frequency table shows that the major source of awareness of the customers this table shows that the majorly the respondent of this segment get information from two sources T.V and Bill boards 4 out of 6 get information from T.V and 2 get information from bill Boards.

Table 1.6

Page 16: Lays Project Consumer Behavior

demographic income

Frequency Percent Valid Percent

Cumulative

Percent

Valid 15000 or less 1 16.7 16.7 16.7

16000-35000 2 33.3 33.3 50.0

36000-50000 2 33.3 33.3 83.3

50000 or above 1 16.7 16.7 100.0

Total 6 100.0 100.0

This table shows that the income level of the different customer 1 customer fall in 15000 or less income level 2 customer falls in 16000-35000 2 respondents has income 36000-50000 and only one customer has the income level of 50000 or above.

Table 1.7

lifestyle activities of the customer

Frequency Percent Valid Percent

Cumulative

Percent

Valid watching TV 3 50.0 50.0 50.0

reading magazine 2 33.3 33.3 83.3

others 1 16.7 16.7 100.0

Total 6 100.0 100.0

This frequency table shows that the lifestyle activities of the customers 3 respondent fall in watching TV and 2 has pastime of reading magazine and 1 has other pastime.

Page 17: Lays Project Consumer Behavior

Table 1.8

brand preference of customer

Frequency Percent Valid Percent

Cumulative

Percent

Valid most favorable 5 83.3 83.3 83.3

more favorable 1 16.7 16.7 100.0

Total 6 100.0 100.0

This table shows that the 5 respondent out 6 customer has most favorable brand is lays and only one customer ha lays as more favorable brand.

Table 1.9

price consciousness

Frequency Percent Valid Percent

Cumulative

Percent

Valid yes 2 33.3 33.3 33.3

no 4 66.7 66.7 100.0

Total 6 100.0 100.0

This table shows that the price consciousness of the customers 2 out 6 are price conscious and 4 are not price conscious.

Table 1.10

Page 18: Lays Project Consumer Behavior

demographic education

Frequency Percent Valid Percent

Cumulative

Percent

Valid below metric 1 16.7 16.7 16.7

intermediate 3 50.0 50.0 66.7

graduation 2 33.3 33.3 100.0

Total 6 100.0 100.0

This frequency shows that the education level of the customer 1 respondent has the education level then metric 3 are intermediate and 2 are graduates.

Page 19: Lays Project Consumer Behavior

GOLD SEGMENT

Page 20: Lays Project Consumer Behavior

Table 2.1usage rate of the customer

Frequency Percent Valid Percent

Cumulative

Percent

Valid normal user 26 100.0 100.0 100.0

This table shows that the 26 customers fall in this segment which is normal user of snacks.

Table 2.2decision making of the customer

Frequency Percent Valid Percent

Cumulative

Percent

Valid yourself 26 100.0 100.0 100.0

There are total 26 customer fall in this segment and the entire customer has the decision making power n there w hand.

Table 2.3

user status of the customer

Frequency Percent Valid Percent

Cumulative

Percent

Valid user 26 100.0 100.0 100.0

All the customer which we have segmented in this segment they al l are the user of lays

Page 21: Lays Project Consumer Behavior

Table 2.4

reasons for switching

Frequency Percent Valid Percent

Cumulative

Percent

Valid taste 21 80.8 80.8 80.8

advertisement 3 11.5 11.5 92.3

other 2 7.7 7.7 100.0

Total 26 100.0 100.0

The segmented customer fall in this segment prefer taste more then the advertisement and other factors there are total 21 customer who can switch for taste and 3 for promotion and advertisement and 2 for other

Table 2.5

since how long the customers are using product

Frequency Percent Valid Percent

Cumulative

Percent

Valid one month or less 2 7.7 7.7 7.7

two month or less 2 7.7 7.7 15.4

6 months or less 7 26.9 26.9 42.3

one year or more 15 57.7 57.7 100.0

Total 26 100.0 100.0

This table shows that the since how long the customers are using our brand how many customers are our pioneer customers there are 15 customers which are using our brand from more then one year. 7 are those who are using lays less then 6 months are 2,2 customers are those who use it from one month and two month.

Page 22: Lays Project Consumer Behavior

Table 2.6

source of awareness

Frequency Percent Valid Percent

Cumulative

Percent

Valid TV advertisement 25 96.2 96.2 96.2

others 1 3.8 3.8 100.0

Total 26 100.0 100.0

This table shows the source of awareness of the customers 25 are those who get information from TV advertisement. And only one customer has the other source of awareness.

Table 2.7

brand preference of customer

Frequency Percent Valid Percent

Cumulative

Percent

Valid most favorable 20 76.9 76.9 76.9

more favorable 3 11.5 11.5 88.5

moderate 2 7.7 7.7 96.2

non favorable 1 3.8 3.8 100.0

Total 26 100.0 100.0

The brand preference of the customer is being shown in this group the 20 customer are those who have lays as most favorable brand and 3 has more favorable 2 moderate and one customer has non favorable

Page 23: Lays Project Consumer Behavior

Table 2.8

price consciousness

Frequency Percent Valid Percent

Cumulative

Percent

Valid yes 17 65.4 65.4 65.4

no 9 34.6 34.6 100.0

Total 26 100.0 100.0

Price consciousness of the customer is being show in this table 17 are price conscious are 9 are quality focus.

Table 2.9

demographic education

Frequency Percent Valid Percent

Cumulative

Percent

Valid intermediate 1 3.8 3.8 3.8

graduation 7 26.9 26.9 30.8

master 18 69.2 69.2 100.0

Total 26 100.0 100.0

This table shows that the 18 of the 26 customer have the education level of the master and 7 have graduation and 1 has intermediate.

Page 24: Lays Project Consumer Behavior

Table 2.10

demographic income

Frequency Percent Valid Percent

Cumulative

Percent

Valid 15000 or less 17 65.4 65.4 65.4

16000-35000 6 23.1 23.1 88.5

36000-50000 2 7.7 7.7 96.2

50000 or above 1 3.8 3.8 100.0

Total 26 100.0 100.0

This table shows that the income level of the customer 17 has the income level of less then 15000 and 16000-35000 has 6 customers and 2 has income level of 36000-50000 and one has more then above 50000

Table 2.11

lifestyle activities of the customer

Frequency Percent Valid Percent

Cumulative

Percent

Valid watching TV 17 65.4 65.4 65.4

reading magazine 3 11.5 11.5 76.9

reading newspaper 1 3.8 3.8 80.8

others 5 19.2 19.2 100.0

Total 26 100.0 100.0

This table shows that the lifestyle activities of the customers 17 prefer TV watching 3 prefer reading magazine 1 prefer reading newspaper and 5 prefer other.

Page 25: Lays Project Consumer Behavior

SILVER SEGMENT

Page 26: Lays Project Consumer Behavior

Table 3.1

usage rate of the customer

Frequency Percent Valid Percent

Cumulative

Percent

Valid low user 9 100.0 100.0 100.0

This frequency table shows that the all the customers which are segmented in this group they are all low user of the snacks.

Table 3.2

decision making of the customer

Frequency Percent Valid Percent

Cumulative

Percent

Valid yourself 8 88.9 88.9 88.9

others 1 11.1 11.1 100.0

Total 9 100.0 100.0

According to this table the total customers which are grouped in this segment have the independent decision making power 8 out of 9.

Page 27: Lays Project Consumer Behavior

Table 3.3

source of awareness

Frequency Percent Valid Percent

Cumulative

Percent

Valid t.v advertisement 5 55.6 55.6 55.6

bill boards 2 22.2 22.2 77.8

others 2 22.2 22.2 100.0

Total 9 100.0 100.0

According to this table 5 out of 9 customers have the TV major source of information and 2 se billboards and 2 has the other source of media

Table 3.4

lifestyle activities of the customer

Frequency Percent Valid Percent

Cumulative

Percent

Valid watching TV 2 22.2 22.2 22.2

reading magazine 7 77.8 77.8 100.0

Total 9 100.0 100.0

According to this table it shows the lifestyle activities of the customers that the 2 customer which are segmented in this segment have the watching TV as there pastime and 7 have the reading magazine as the pastime.

Table 3.5

Page 28: Lays Project Consumer Behavior

price consciousness

Frequency Percent Valid Percent

Cumulative

Percent

Valid yes 8 88.9 88.9 88.9

no 1 11.1 11.1 100.0

Total 9 100.0 100.0

This table shows that the 8 out of 9 are the price conscious and only one customer is quality focused.

Table 3.6

brand preference of customer

Frequency Percent Valid Percent

Cumulative

Percent

Valid most favorable 6 66.7 66.7 66.7

more favorable 2 22.2 22.2 88.9

moderate 1 11.1 11.1 100.0

Total 9 100.0 100.0

This shows that the brand preference of the customer is lays. 6 customers have Lays as the most favorable brand for them and 2 has lays as more favorable and 1 has as an moderate.

Page 29: Lays Project Consumer Behavior

Table 3.7

reasons for switching

Frequency Percent Valid Percent

Cumulative

Percent

Valid taste 6 66.7 66.7 66.7

price 1 11.1 11.1 77.8

advertisement 2 22.2 22.2 100.0

Total 9 100.0 100.0

This frequency table show that the most of the customers are taste conscious and they can switch for taste they are 6 and the customers who can switch is price and 2 for advertisement.

Page 30: Lays Project Consumer Behavior

BRONZE SEGMENT

Page 31: Lays Project Consumer Behavior

TABLE 4.1

usage rate of the customer

Frequency Percent Valid Percent

Cumulative

Percent

Valid heavy user 1 11.1 11.1 11.1

normal user 7 77.8 77.8 88.9

low user 1 11.1 11.1 100.0

Total 9 100.0 100.0

In this segment there are total 9 user which are non user of the lays but there is only one heavy user of snacks 7 are the normal user of snacks and 1 low user.

TABLE 4.2

decision making of the customer

Frequency Percent Valid Percent

Cumulative

Percent

Valid yourself 7 77.8 77.8 77.8

others 2 22.2 22.2 100.0

Total 9 100.0 100.0

In this segment there are 7 respondents are those who can make decision on there on and only two respondent are those who can haven’t complete decision making power.

Page 32: Lays Project Consumer Behavior

TABLE 4.3

reasons for switching

Frequency Percent Valid Percent

Cumulative

Percent

Valid taste 5 55.6 55.6 55.6

price 2 22.2 22.2 77.8

advertisement 2 22.2 22.2 100.0

Total 9 100.0 100.0

According to this table the non user of the lays can be attract to different ways such as taste price and advertisement 5 prefer taste and they can switch for taste and 2 can change for price and advertisement.

TABLE 4.4

source of awareness

Frequency Percent Valid Percent

Cumulative

Percent

Valid newspaper 1 11.1 11.1 11.1

t.v advertisement 5 55.6 55.6 66.7

bill boards 1 11.1 11.1 77.8

others 2 22.2 22.2 100.0

Total 9 100.0 100.0

According to this table of frequency the source of awareness is rated there are 5 non user which use TV as awareness source and 1 each use newspaper and billboards and 2 nonuser use other sources of information

Page 33: Lays Project Consumer Behavior

TABLE 4.6

price consciousness

Frequency Percent Valid Percent

Cumulative

Percent

Valid yes 5 55.6 55.6 55.6

no 4 44.4 44.4 100.0

Total 9 100.0 100.0

In this segment there are 5 respondents who are price conscious and 4 are quality conscious.

Page 34: Lays Project Consumer Behavior

ANALYSIS

Page 35: Lays Project Consumer Behavior

TABLE 5.1usage rate of the customer * user status of the customer Cross tabulation

user status of the customer

Totaluser non user

usage rate of the customer heavy user Expected Count 5.7 1.3 7.0

% within usage rate of the

customer85.7% 14.3% 100.0%

% within user status of the

customer14.6% 11.1% 14.0%

normal user Expected Count 27.1 5.9 33.0

% within usage rate of the

customer78.8% 21.2% 100.0%

% within user status of the

customer63.4% 77.8% 66.0%

low user Expected Count 8.2 1.8 10.0

% within usage rate of the

customer90.0% 10.0% 100.0%

% within user status of the

customer22.0% 11.1% 20.0%

Total Expected Count 41.0 9.0 50.0

% within usage rate of the

customer82.0% 18.0% 100.0%

% within user status of the

customer100.0% 100.0% 100.0%

Symmetric Measures

Value Approx. Sig.

Nominal by Nominal Phi .121 .694

Cramer's V .121 .694

N of Valid Cases 50

Page 36: Lays Project Consumer Behavior

Phi and Cramer’s V Test:

The above test shows that, as the total of cells is less than nine so we will use phi test. The test shows that the relationship between variables, “user status” and the “user rate’ is a weak relationship because the test shows that the value of phi is lesser than .33.

TABLE 5.2usage rate of the customer * source of awareness Cross tabulation

source of awareness

Totalnewspaper

t.v

advertisement bill boards others

usage rate of the customer heavy user Expected Count .1 5.5 .7 .7 7.0

% within usage rate of

the customer14.3% 57.1% 28.6% .0% 100.0%

% within source of

awareness100.0% 10.3% 40.0% .0% 14.0%

normal user Expected Count .7 25.7 3.3 3.3 33.0

% within usage rate of

the customer.0% 87.9% 3.0% 9.1% 100.0%

% within source of

awareness.0% 74.4% 20.0% 60.0% 66.0%

low user Expected Count .2 7.8 1.0 1.0 10.0

% within usage rate of

the customer.0% 60.0% 20.0% 20.0% 100.0%

% within source of

awareness.0% 15.4% 40.0% 40.0% 20.0%

Total Expected Count 1.0 39.0 5.0 5.0 50.0

% within usage rate of

the custmer2.0% 78.0% 10.0% 10.0% 100.0%

% within source of

awareness100.0% 100.0% 100.0% 100.0% 100.0%

Page 37: Lays Project Consumer Behavior

Symmetric Measures

Value Approx. Sig.

Nominal by Nominal Phi .531 .028

Cramer's V .376 .028

N of Valid Cases 50

Phi and Cramer’s V Test:

In the above table there are more than 9 cells accepting the total cells, so we will use Cramer’s v test. As the Cramer’s V value is greater than 0.33, so the relationship between the variables, “usage rate of the customer” & “source of awareness” is a moderate relationship.

Page 38: Lays Project Consumer Behavior

TABLE 5.3usage rate of the customer * price consciousness Cross tabulation

price consciousness

Totalyes no

usage rate of the custmer heavy user Expected Count 4.5 2.5 7.0

% within usage rate of the

customer42.9% 57.1% 100.0%

% within price consciousness 9.4% 22.2% 14.0%

normal user Expected Count 21.1 11.9 33.0

% within usage rate of the

customer60.6% 39.4% 100.0%

% within price consciousness 62.5% 72.2% 66.0%

low user Expected Count 6.4 3.6 10.0

% within usage rate of the

customer90.0% 10.0% 100.0%

% within price consciousness 28.1% 5.6% 20.0%

Total Expected Count 32.0 18.0 50.0

% within usage rate of the

customer64.0% 36.0% 100.0%

% within price consciousness 100.0% 100.0% 100.0%

Symmetric Measures

Value Approx. Sig.

Nominal by Nominal Phi .299 .108

Cramer's V .299 .108

N of Valid Cases 50

Page 39: Lays Project Consumer Behavior

Phi and Cramer’s V Test:

The above test shows that, as the total number of cells is less than nine so we will use phi test. Phi test shows that the relationship between variables, “usage rate of the customer” and the “* price consciousness’ is a weak relationship because the value of phi is lesser than .33.

TABLE 5.4

usage rate of the customer * reasons for switching Cross tabulation

reasons for switching

Totaltaste price advertisement other

usage rate of the customer heavy user Expected Count 5.0 .4 1.3 .3 7.0

% within usage rate of the

customer71.4% .0% 28.6% .0% 100.0%

% within reasons for

switching13.9% .0% 22.2% .0% 14.0%

normal user Expected Count 23.8 2.0 5.9 1.3 33.0

% within usage rate of the

customer72.7% 6.1% 15.2% 6.1% 100.0%

% within reasons for

switching66.7% 66.7% 55.6% 100.0% 66.0%

low user Expected Count 7.2 .6 1.8 .4 10.0

% within usage rate of the

customer70.0% 10.0% 20.0% .0% 100.0%

% within reasons for

switching19.4% 33.3% 22.2% .0% 20.0%

Total Expected Count 36.0 3.0 9.0 2.0 50.0

% within usage rate of the

customer72.0% 6.0% 18.0% 4.0% 100.0%

% within reasons for

switching100.0% 100.0% 100.0% 100.0% 100.0%

Page 40: Lays Project Consumer Behavior

Symmetric Measures

Value Approx. Sig.

Nominal by Nominal Phi .216 .887

Cramer's V .153 .887

N of Valid Cases 50

Phi and Cramer’s V Test:

In the above table there are more than 9 cells accepting the total cells, so we will use Cramer’s v test. As the Cramer’s V value is lesser than 0.33, so the relationship between the variables, “usage rate of the customer” & “* reasons for switching Cross” is a weak relationship.

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TABLE 5.4usage rate of the customer * lifestyle activities of the customer Cross tabulation

lifestyle activities of the customer

Totalwatching t.v reading magazine reading newspaper others

usage rate of the customer heavy user Expected Count 4.6 .6 .4 1.4 7.0

% within usage

rate of the customer42.9% 14.3% .0% 42.9% 100.0%

% within lifestyle

activities of the

customer

9.1% 25.0% .0% 30.0% 14.0%

normal user Expected Count 21.8 2.6 2.0 6.6 33.0

% within usage

rate of the customer66.7% 9.1% 6.1% 18.2% 100.0%

% within lifestyle

activities of the

customer

66.7% 75.0% 66.7% 60.0% 66.0%

low user Expected Count 6.6 .8 .6 2.0 10.0

% within usage

rate of the customer80.0% .0% 10.0% 10.0% 100.0%

% within lifestyle

activities of the

customer

24.2% .0% 33.3% 10.0% 20.0%

Total Expected Count 33.0 4.0 3.0 10.0 50.0

% within usage

rate of the customer66.0% 8.0% 6.0% 20.0% 100.0%

% within lifestyle

activities of the

customer

100.0% 100.0% 100.0% 100.0% 100.0%

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Symmetric Measures

Value Approx. Sig.

Nominal by Nominal Phi .320 .527

Cramer's V .227 .527

N of Valid Cases 50

Phi and Cramer’s V Test:

In the above table there are more than 9 cells accepting the total cells, so we will use Cramer’s v test. As the Cramer’s V value is lesser than 0.33, so the relationship between the variables, “usage rate of the customer” & “*lifestyle activities of the customer” is a weak relationship.

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GRAPHS

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GRAPH 1.1

This graph shows the usage rate of heavy, normal and low customers of the company. The blue area consists of heavy customers and skin area consists of normal users, where pink are consists of low users of the company.

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GRAPH 1.2

This graph shows the status of the respondents in the research conducted. Blue area shows that these are the customers of the company, where the others are non users.

GRAPH 1.3

This graph shows that why people switches from one brand to another. Blue area shows those people who switches because of taste, where green area shows those people who switch because of price and skin area shows those people who switches because of the advertisements effect.

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GRAPH 1.4

This graph shows that how people get awareness about our product (Lays). Green area represents those people who get awareness from the T.V. advertisement, where skin area represents those people who got awareness from billboards. Similarly purple color represents those people who get awareness from newspaper ads.

GRAPH 1.5

This graph shows different age groups of respondents. Blue area represents those people who are lesser than the age of 18 years, where green area repesents those respondents who are between the age of 18-25 years and skin area represents those people who falls between the age of 26-35 years.

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GRAPH 1.6

This graph shows the aducation of the respondents. Blue area represents those respondents who’s education level is intermediate, where green area represents those respondents who’s education level is bachelors and skin area represents those respondents who’s education level is masters.

References

http://www.pepsico.com/Company/Our-Mission-and-Vision.html

Conclusion

We can conclude from our report that consumers from each class are prospective customers. Also the T.V and billboards mode of advertisement is quite successful. People get attracted to the product more from these two modes of marketing. Overall the Lays product is penetrated in the market successfully and is continuously growing, the various tests also shows that the major volume of consumers are normal users i.e. Gold & Silver category. Lays have much more potential and can sustain in the market for long period.

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END