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Research Paper

International Journal of Informative & Futuristic Research ISSN (Online): 2347-1697

Volume 2 Issue 7 March 2015

Abstract

The aim of this research work is to study the consumers’ attitude towards Non Alcoholic Beverages. The data for the study has been collected by performing face-to-face interview with the respondents with the help of questionnaire. This study collects data from 400 consumers across Delhi NCR. This study is started with objectives of examining socio-economic background of respondents, analyzing the factors influencing consumer preferences towards selected FMCG products that is Non- Alcoholic Beverages, checking the level of satisfaction of consumers and knowing expectation of the consumers. This study reveals that consumer preferences are largely affected by age, sex, place, product, price, availability, psychological, people and brand influences.

1. Introduction

FMCG industry, alternatively called as CPG (Consumer packaged goods) industry primarily deals

with the production, distribution and marketing of consumer packaged goods. These are products

that have a quick turnover, and relatively low cost. Consumers generally put less thought into the

purchase of FMCG than they do for other products. Though the absolute profit made on FMCG

Consumer Behaviour towards selected

FMCG (Fast Moving Consumer Goods)

in Delhi NCR Paper ID IJIFR/ V2/ E7/ 027 Page No. 2041-2048 Subject Area Commerce

Key Words Fast Moving Consumer Products (FMCG), Non Alcoholic Beverages, Socio-

Economic Profile Of Consumer, Factors Influencing Consumer Satisfaction,

Consumer Expectations.

M. Shehbaz Qasim 1

Research Scholar Department of Management Shri Venkateshwara University Gajraula, Uttar Pradesh

Swati Agarwal 2

Director Research Department of Education Shri Venkateshwara University Gajraula, Uttar Pradesh

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ISSN (Online): 2347-1697 International Journal of Informative & Futuristic Research (IJIFR)

Volume - 2, Issue - 7, March 2015 19th Edition, Page No: 2041-2048

M. Shehbaz Qasim, Swati Agarwal :: Consumer Behaviour towards selected FMCG (Fast Moving Consumer Goods) in Delhi NCR

products is relatively small, they generally sell in large numbers and so the cumulative profit on

such products can be large. Some of the prime activities of FMCG industry are selling, marketing,

financing, purchasing, etc. The industry also engaged in operations, supply chain, production and

general management. The Indian FMCG sector is the fourth largest sector in the economy with a

total market size in excess of US$ 44 billion. It has a strong MNC presence and is characterized by

a well-established distribution network, intense competition between the organized and unorganized

segments and low operational cost. Availability of key raw materials, cheaper labor costs and

presence across the entire value chain gives India competitive advantage. The Indian consumers

today are unique in the sense of being value sensitive and are not much price sensitive, as earlier. If

they feel that a particular product offers them more value, they will buy it even if the price is high.

The Indian consumers also follow strictly, their culture, tradition and values, as a result of which

foreign companies are forced to give an Indian touch to their products in order to succeed in India..

2. Objectives of the study

I. To examine consumers‟ preference towards various non-alcoholic beverages.

II. To analyse motives of different age group for selection of non-alcoholic beverages.

3. Need of the study

The FMCG sector shows tremendous growth last few years. Compare to other sectors investors

prefer to make their investment in this sector only. However there is high growth tendency for

FMCG sector it faces some difficulties in achieving their destination. Hence the purpose of this

study is to identify the force that influence on consumer shopping pattern particularly in Delhi

NCR. Because Delhi NCR referred as the heart of Indian where most of the industry people living

that why selected the FMCG product study.

4. Scope and Limitations of the study

I. Scope Of The Study

The present study target of DELHI -NCR consumers, understanding their behaviour helps to

identify the preference. This study would help to explore the consumption patterns, purchasing

behaviour and motives for selection of non-alcoholic beverages brand in their purchase decision etc

on the purchase of particular FMCG product. The insight will help the manufactures to adopt new

strategies which would help not only to attract new customer but also the maintain the loyalty of the

existing customer, as in the present competitive scenario the consumer are prepared to choose their

right product not only based on their needs but also on the basic of personal interest shown by the

manufactures on them.

II. Limitations

a) The research concentrates with only few FMCG non-alcoholic beverages like cold drinks,

nutritional drinks, juices and milk.

b) Since the study is conducted with the help of the primary data, the results are subject to

respondents‟ biased information due to socio economic background.

5. Review of Literature

Fast Moving Consumer Goods (FMCG) goods are popularly named as consumer packaged goods.

Items in this category include all consumables (other than groceries/pulses) that people buy at

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regular intervals. The most common in this list are toilet soaps, detergents, shampoos, toothpaste,

shaving products, shoe polish, packaged foodstuff, and household accessories and extends to certain

electronic goods. These items are meant for daily use of frequent consumption and have a high

return The FMCG sector in India has played a vital role in the growth and development of the

country, from making efforts to reach out to the poorer section of consumers through distribution of

smaller pack sizes, innovations like single use sachets, to developing innovative products to cater to

regional or local taste and the needs of niche consumers. There are many significant contributions –

both direct and indirect that the industry has on the Indian economy The Indian FMCG industry,

with an estimated market size of ~`2 trillion, accounts for the fourth largest sector in India.

This study presents a review of the literature, in the field of consumer behaviour towards FMCG

products. There is marvellous complication in consumer behaviour. There may be several aspects

both rational and emotional that may act mutually in influencing the purchase decision. Deva

prasana (2013 showed) importance of packaging design as a vehicle for communication and

branding is growing in competitive markets for packaged FMCG products. This research utilized

afocus group methodology to understand consumer behaviour towards such products. C.

Muthuvelayutham (2012) in his study showed that among the variables age, education level and

gender have the most significant impact on consumer‟s brand loyalty. SURESH BHAGWAT

(2011) in their “focuses on empowering the rural consumer with the latest trends and technology

and teaches them ways to improve their standard of living.. NUNTASAREE SUKAT (2009) in this

article “A model of male consumer behaviour in buying skin care products in Thai- land” showed

male consumer behaviour”.

Advertising is more than a tool for selling foods and services. . More over depending on a person‟s

age consumers view brands differently and thus have an effect on International brand alone, but also

in combination with International Advertising and International sponsorship together these factors

influence the way in which a brand is perceived and consequently influence consumers preferences

David H. Silvera, Austad B (2008) in their research topic have examined whether consumers infer

that celebrity endorsers products and presents a model using these inferences and other

characteristics of the endorser to predict attitudes toward the endorsed product. The resulting model

indicated that product attitudes were predicted by inferences about the endorser's liking for the

product and by attitudes toward the endorser. Most of the soft drinks juices are endorsed by

celebrities. The total soft drink (carbonated beverages and juices) market is estimated at 284 million

crates a year or $1 billion. The market is highly seasonal in nature with consumption varying from

25 million crates per month during peak season to 15 million during off-season. The market is

predominantly urban with 25 per cent contribution from rural areas.

Coca cola and Pepsi dominate the Indian soft drinks market. Mineral water market in India is a 65

million crates ($50 million) . On an average, the monthly consumption is estimated at 4.9 million

crates, which increases to 5.2 million during peak season. The importance of market research and

the role of the consumers in strategic planning within the dairy market sector are well recognized

worldwide since food choice is always a unique and personal experience, consumer behaviour is

important for food manufacturers and marketers in term of product success. Due to the beneficial

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health protective effects of dairy beverages, this market segment is very innovative and fast-

growing Greta Krešić(2010).

The information obtained in this study could provide helpful input for future research, which intend

to include national representative sample and whose results could be very useful not only for new

product development, but also for consumer segmentation and advertising.

6. Research Methodology 6.1: Research Design

This research is descriptive in nature as the study aims to find out the consumer behaviour about

FMCG product. The study is carried out the naturalistic observation and survey questioning, which

are attributes of descriptive research.

6.2: Data Collection techniques

The sources of data are primary as well as secondary. Primary data are collected through a survey of

the consumers, using a well framed questionnaire. Information is also gathered through secondary

sources like books, journals, magazines, dailies, and also from the internet. The data collected from

the two sources are scrutinized, analysed, edited and tabulated.

6.3: Designing the Questionnaire

Questionnaire is designed by the researcher in such a way that there are several questions designed

on the basis of scaling namely Likert Scales which have five scales like strongly agree, agree,

neutral, disagree, strongly disagree. This enables the respondent to answer the questions in a

structured manner by choosing one option among the five options. It provides a sense of comfort by

choosing the precise answers. Each construct has minimum five sub constructs related to the key

factor of the main construct.

6.4: Sampling Design

The sampling technique involved is Convenient Sampling. This study conducted in various place in

Delhi NCR city. Due to time constraint convenient sample was followed.

7. Data Analysis & Interpretation

Data analysis

Table 7.1: General Profile of the Respondent

S. No. Particulars Classification Frequency Percentage

1 Sex Male 222 55

Female 178 45

2 Age

0-15 117 29

15-30 143 36

30-45 89 22

Above 45 51 13

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Cold drinksnutritious

drinksJuice Milk

up to 15 yrs 16 10 10 16

up to 30 yrs 8 10 4 16

up to 45 yrs 8 10 6 18

45 above 10 8 10 9

16

10 10

16

8 10

4

16

8 10

6

18

10 8

10 9

0

2

4

6

8

10

12

14

16

18

20

Fre

qu

en

cy

A Study On Non-alcoholic Beverages Among Consumers Of Differents Age Groups(male)

Figure 7.1: Pattern Of Female Consumers Towards The Four Non Alcoholic Beverages

Figure 7.1 clearly shows pattern of female consumers towards the four non-alcoholic beverages. Bar

diagram shows girls below 15 yrs are very keen for cold drinks and female 45 yrs are very positive

towards milk. Generation between 15-45 yrs believe in health drink and juice.

Figure 7.2: Pattern Of Male Consumers Towards The Four Non Alcoholic Beverages

Cold drinksnutritious

drinksJuice Milk

up to 15 yrs 18 12 10 11

up to 30 yrs 8 8 16 16

up to 45 yrs 14 10 14 6

45 above 8 12 4 16

18

12

10 11

8 8

16 16

14

10

14

6

8

12

4

16

0

2

4

6

8

10

12

14

16

18

20

FR

EQU

ENC

Y

A Study On Non- Alcoholic Beverages Among Conumers Of Dfferent Age Group (Female)

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Cold drinks nutritious drinks Juice Milk

up to 15 yrs 34 22 20 27

up to 30 yrs 16 18 20 32

up to 45 yrs 22 20 20 24

45 above 18 20 14 25

34

22 20

27

16 18

20

32

22 20 20

24

18 20

14

25

0

5

10

15

20

25

30

35

40

FR

EQ

UE

NC

Y

A Study On Non -Alcoholic Beverages Among Consumers Of Different Age Group (Male+female)

Figure 7.2 show that male has similar finding as in female. Male below 15 years likes cold drinks as

well as milk and males below 45 like‟s milk very much. Males 30-45 yrs are not interested in juice.

Males above 45 give equal importance to all the drinks.

Figure 7.3: Both Male And Female Consumers

Interpretation

A buying decision can either be a planned one which is characterized by deliberate thoughtful

search and evaluation, that will result in rational and accurate decisions or it can be an impulse

purchase decision, which is spontaneous, unplanned and immediate. Sales promotional strategies

play a major role in stimulating more of unplanned purchases. Food selection is a complex

phenomenon, depending on a lot of factors, which affect human behaviour in different ways,

resulting in the some, and rejection of other products (Wadolowskaet al., 2008). Factors that affect

food choices may be divided into three main groups: i)product-related factors, which rely on

chemical and physical properties, sensory attributes (taste, aroma, texture, visual appearance),

functional factors(packaging, accessibility, convenience), nutrient content etc.; ii) consumer-related

factors, including personality (age, gender, education level), psychological factors (personality,

experience, mood),physiological effects (satiety, hunger, appetite etc.);iii) environmental-related,

which include economic(price, incomes), cultural (beliefs), and social factors(fashion, society etc.)

(Shepard, 1989). Underlying food choice is important not just for the improvement and re-designing

of food products that actually exist on the market but it is also valuable in the process of new

product development (Furst etal., 1996.)

Our result are in agreement with a study in which it has been shown that about forty percent of

those who rated the important health aspects of dairy beverages consumption were more than 45

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years of age, a fact that supports the observation that consumers „health concerns increase with

increasing age (Bech-L arsen and Scholderer, 2007).

Comparison of fig 7.1 and fig 7.2 shows females above 45 likes milk than man above 45 (Watanabe

et al., 1997). Females compared to males, consumed more milk and milk drinks (p<0.001), while

males in higher percentage consumed other beverages. Fig 7.3 shows consumers up to 15 yrs like

cold drink most. This may be due to taste, cost, celebrity and refreshment. Nutritious and juice drink

accepted by all the groups equally .Health may be the reason for the same. Milk is accepted by all

the age group of consumers as it has the great importance for human body growth. Social and

psycho factor also work Dairy beverages exhibit beneficial health effects due to the presence of

bioactive component.

8. Conclusion The insights gained in this pilot-study give researchers and FMCG marketers useful information

about consumers´ behaviour and provide guidance for developing and promoting a group of non-

alcoholic beverages products. From our study, it was found that the most important choice is taste

motive, followed by health aspects, so marketers should pay strong attention to this fact in

designing their marketing channels preceded by health aspects, origin, brand and sensory appeal.

The results obtained could be useful to researchers and dairy market sector in developing and

promoting a group of non-alcoholic beverages based on innovations and health.

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