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CONSUMERS BEHAVIOUR TOWARDS TWO-WHEELER MOTOR BIKES. DR. K. MALLIKARJUNA REDDY Associate Professor,Department of Business Management, Osmania University, Hyderabad ABSTRACT The marketing concept is consumer oriented and the emphasis is more on the consumer rather than on the product. The essence of modern marketing lies in building of profit along with creating meaningful value satisfaction for the costumers, whose needs and desires have to be coordinated with the set of products and production programmes. Therefore, marketing success an enterprise depends as its ability to create a community of satisfied consumers. All the business activities should be carried out in ways which are directed towards the satisfaction of the consumer needs. Consumer behavior is affected by a host of variables ranging from personal, professional needs, attitudes and values, personality characteristics, social economic and cultural background, age, gender, professional status to social influences of various kinds exerted a family, friends, colleagues, and society as a whole. The combination of these factors help the consumer in decision making further Psychological factors that as individual consumer needs, motivations, perceptions attitudes, the learning process personality characteristics are the similarities, which operate across the different types of people and influence their behavior. There are four major factors

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Page 1: Consumers Behaviour Towards

CONSUMERS BEHAVIOUR TOWARDSTWO-WHEELER MOTOR BIKES.DR. K. MALLIKARJUNA REDDYAssociate Professor,Department of Business Management,Osmania University, HyderabadABSTRACTThe marketing concept isconsumer oriented and the emphasisis more on the consumer rather thanon the product. The essence ofmodern marketing lies in building ofprofit along with creatingmeaningful value satisfaction for thecostumers, whose needs and desireshave to be coordinated with the setof products and productionprogrammes. Therefore, marketingsuccess an enterprise depends as itsability to create a community ofsatisfied consumers. All the businessactivities should be carried out inways which are directed towards thesatisfaction of the consumer needs.Consumer behavior is affectedby a host of variables ranging frompersonal, professional needs,attitudes and values, personalitycharacteristics, social economic andcultural background, age, gender,professional status to socialinfluences of various kinds exerted afamily, friends, colleagues, andsociety as a whole. The combinationof these factors help the consumer indecision making further Psychologicalfactors that as individual consumerneeds, motivations, perceptionsattitudes, the learning processpersonality characteristics are thesimilarities, which operate across thedifferent types of people andinfluence their behavior.There are four major factorswhich influences on the buyingbehavior of consumer.1. Cultural factors2. Social factors3. Personal factors4. Psychological factorsSo a study had been conductedon “Consumer Behaviour Towards

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Two-Wheeler Motor Bikes” in thetwin cities i.e. Hyderabad andSecunderabad with a sample of 100consumers by selecting two wheelermotor bikes i.e. Hero Honda, Yamaha,and TVS bikes and data had beencollected through structuredquestionnaire.

Marketing starts with theconsumers and ends with theconsumer. Satisfaction of theconsumers becomes the mostimportant goal of a businessenterprise. The effort to ensureconsumer satisfaction lies inunderstanding the consumer, his likesdislikes, his expectations andmotivation.An analysis of the consumer’sbehavior in terms of consumerconsumption patterns, consumerpreferences, consumer motivation,consumer buying process and shoppingbehavior is very much helpful toformulate a firm’s marketing strategy.So the ultimate objective of abusiness firm is to create a consumerwho is said to be pivot around whomthe entire business of a firm revolve.Thus the marketing concept isconsumer oriented and the emphasisis more on the consumer rather thanon the product. The essence ofmodern marketing lies in building ofprofit along with creatingmeaningful value satisfaction for thecostumers, whose needs and desireshave to be coordinated with the setof products and productionprogrammes. Therefore, marketingsuccess an enterprise depends as itsability to create a community ofsatisfied consumers. All the businessactivities should be carried out inways which are directed towards thesatisfaction of the consumer needs.A consumer decision to purchasea particular brand of motor cycleconsumers result to complexinterplay of a consumer variables the

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starting point for the companyprovides the decision processmarketing stimuli in shape of brand,promotion, price and distributionstrategy. The potential consumeralong with other stimuli alreadyexciting receives the marketingstimuli in the environment. Thestimuli my social economic, cultural,technological and political in nature.MAJOR FACTORSINFLUENCING BUYINGBEHAVIOR:Consumer behavior is affectedby a host of variables ranging frompersonal, professional needs,attitudes and values, personalitycharacteristics, social economic andcultural background, age, gender,professional status to socialinfluences of various kinds exerted afamily, friends, colleagues, andsociety as a whole. The combinationof these factors help the consumer indecision making further Psychologicalfactors that as individual consumerneeds, motivations, perceptionsattitudes, the learning processpersonality characteristics are thesimilarities, which operate across thedifferent types of people and

influence their behavior.There are four major factorswhich influences on the buyingbehavior of consumer.1. Cultural factors2. Social factors3. Personal factors4. Psychological factors1.Cultural factors:Consumer behavior cultural canbe defined as the some total of learnedbelief, values and customs that serveto guide and direct the consumerbehavior of all members of thatsociety.Cultural is a learned through thefollowing three ways:-1. Formal learning2. Informal learning

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3.Technical learning.Cultural is a most fundamentaldeterminant person’s wants andbehavior, the growing child acquiresa set of values, perceptions,preferences and behavior, through hisfamily and key institutions.2.Social factors:Consumer behavior is also influencedby such social factors as referencegroups, family and social roles andstatus.PERSONAL FACTORS:Buyer’s decisions are alsoinfluenced by personalcharacteristics, the buyers’ age, lifecycle stages, occupation, economiccircumstances, lifestyle andpersonality and self-concept.PSYCHOLOGICAL FACTORS :‘Abraham Mallows’ needs canbe ranked in order of importancefrom the low biological needs to thehigher levels of psychological needs.MASLOW’S hierarchy of humanneeds make us understand consumermotivation. It is useful for themarketer who can identify whatgeneric level need this brand iscapable fulfilling and accordinglyposition his brand up with relevantmarketing inputs. Brands such asfood and clothes are bought to fulfillpsychological n

OBJECTIVES OF THE STUDY1) To study the behavioral factors ofconsumers in motor bikes.2) To analyze the impact ofbehavioral factors of consumerson choosing particular brand ofmotor bike.3) To suggest various factors toimprove sales.4) To study the consumers’ opinionof their motor bikes regarding itsfeatures like appearance, mileage,price etc.,RESEARCH METHODOLOGYSource of Data:Primary Data:

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The primary data collectedthrough questionnaires administeredto a sample of 100 consumers selectedfrom twin cities i.e., Hyderabad andSecunderabad the Questionnaire waspre-Designed and pre-tested before itwas administered.Secondary Data :Secondary data was collectedthrough various publications ofnewspapers, magazines, books andmagazines websites of Hero Honda,and TVS bikes.Sample Design :A total of 100 consumers wereselected from the twin cities ofHyderabad and Secunderabad forthis study to analyze the consumersbehaviour with reference to selectmotor bikes i.e., Hero Honda,Yamaha, and TVS bike.

REFERENCES:1. Hawkins D.I.Best, R.J. and Convey,K.A. Consumer Behaviour : Implicationsfor Marketing Strategy, (Rev.ed),Business Publications, Inc. Texas, 2001.2. Howard John H., and Sheth,Jagdish N., The Theory of BuyersBehaviour, John Wiley and Sons Inc.,New York, 2000.3. Karsarjian H.H. and Robertson T.S.Perspectives in Consumer Behaviour,SCOH Forman & Company, Illinois,2001.4. Kotler Philip, MarketingManagement, analysis, planningimplementation and control, PrenticeHall of India Publishing, NewDelhi.2002.Schiffman G.Leon., ConsumerBehaviour, Prentice Hall of India Pvt.Ltd., New Delhi 2001.

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Project On “Study on Consumer Buying Behavior & Satisfaction Level for Hero Honda Motorcycle with reference to Chikhli city in Navsari” Master of Business Administration (Marketing) Submitted in partial fulfillments of requirements for award of Master of Business Administration of Tilak Maharashtra University, Pune. Submitted By: OWESH R. DABAWALA (Batch 2008-10) PRN: 07208013444 Of PAI International Centre for Management Excellence, Pune-411001 Tilak Maharashtra University Gultekdi, Pune 411037 2

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Certificate Of Internal Guide This is to certify that project titled ―Study on Consumer Buying Behavior & Satisfaction Level for Hero Honda Motorcycle with reference to Chikhli city in Navsari‖ is a bonafide work carried Out by Mr. Owesh R. Dabawala a candidate for the award of Master of Business Administration of Tilak Maharastra University, Pune under my guidance and direction. Signature of guide Name: DR. Roshan Kazi Date: Designation: HOD (MBA) Place: Institute: AIMS 3

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ACKNOWLEDGEMENT Concentration, dedication, hard work and application are essential but not the only factor to achieve the desired goal. Those must be supplemented by the guidance assistance and cooperation of experts to make it success. I am extremely grateful to my institute for providing me the opportunity to undertake this research project in the prestigious field. With profound pleasure, I extend my extreme sincere sense of gratitude and indebtedness to Mr. Kadar Memon and Mr. Razak Memon (Founder of Supreme Auto) for extensive and valuable guidance that was always available to me ungrudgingly and instantly, which help me complete my project without difficulty. I express my deep and sincere gratitude to Mr. Nitin Patel (Sales Manager of Supreme Auto) for providing me firsthand knowledge. Last but not the least I am indebted to Prof.R Ganesan, Director, of our institute and my project guide Prof.Roshan Kazi (HOD OF MBA) without whose sincere gratitude this project would not have been possible. I am thankful to all of my friends and batch mates for their help in completing this project work. Finally, I am thankful to my entire family members for their great support and encouragement. Owesh R. Dabawala

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6 Two Wheeler Auto Mobile’s Introduction Throughout the centuries man has striven to expand his capabilities through the use of machine. His ever inventive mind has constantly devised ways to use tool to increase his abilities to explore the world around him. To go faster, deeper, higher and further than before was it. Coupled with his need to find new thrills, new adventures and new modes of transportation, the invention refinement of the motorcycle seems an inevitable outcome. It would seem that Michelangelo conceived of the bicycle as early 14th century. And his drawing shows a remarkable resemblance to he modern day bike. It had wheels of similar size and even pedals and chain. Albeit made without any apparent means of steering. Through never built, it was a remarkably clever design, and early bicycle makers would have done well to study his concepts, there have, in fact been 4 machines built based on his drawing, attesting to the viability of his design. It wasn‘t until 1869 that the first serious attempts were made to produce motor driven bicycles. These very first were powered by steam, and driven by leather belts or as in the case of the roper steam velocipede of 1869 by a system of levers attached to a crank on the driven wheel. In 1885 the Daimler, Europe this is consider by many as the first true motorcycle or motor bicycle, as it was the first to employ an internal combustion engine and was designed from the ground up to be motor powered. Designed by gottlibe Daimler it was powered by an Otto cycle engine 7

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producing about ½ horse powers. Note this design again employed wooden wheels and Daimler dropped the twist grip controls from his 1877 design in favor of leavers on the frame. In 1894, Hildebrand and Wolfmuller, France Worlds produce first motorcycle. It came with a 1428 cc water cooled four-stroke motor producing 2.5 bhp. And speed of 25 mph. In 1898 orient-Aster, USA the American made production motorcycle was this entry built by the Metz Company, in Waltham, mass, it used an aster engine that was a French copy of the Metz Company, in Waltham, mass. Introduction of India Two wheeler’s Company Bikes or two wheelers in India cater to various needs of the consumers. With the choice of the Indians improving from bicycles to two wheelers, the Indian two-wheeler market has seen a significant growth over the years. Now owing a bike has become a must for most Indians. Even if people own a car they prefer to have a bike as it is very economical and fuel efficient. With the growth in the economy the demand for two wheelers is increasing over the years. It is one of the most dynamic industries today and with the increasing competition companies are bringing in new products with sophisticated technologies and innovative features to capture a major pie of the Indian market and it‘s the consumer who is benefited from it.. With the availability of reduced consumer loans and high disposable income the Indian two-wheeler industry has perceived an exceptional growth over the past few years thereby making India the second largest market for two wheelers in the world only after China. The motorcycle has now become one most popular mode of transportation among the Indian middle class families because of it is cost effective, economical and easy to navigate through the traffic. 8

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Moreover, the people have started preferring bikes instead of scooters and mopeds and today bikes form a major part of the Indian two wheelers. Indian companies are one of the largest two wheeler manufacturers in the world. The number one bike manufacturer in the world, Hero Honda is in close competition with the Indian manufacturer Bajaj India. The motorcycle industry in India has witnessed a tremendous change in the 90‘s with the invention of 4 stroke engine which makes the bikes more fuel efficient. Further companies are trying to bring in more innovations to make the motorcycle ride more comfortable, safe and user friendly and economical. In a nut shell the followings factors can be distinguished for the growth of motorcycle industry in India: Easy accessibility to cheap consumer loans

The increase in the average income of the family.

The reduction in duties and taxes.

Convenience with regards to commuting as compared to the public transport system.

Continuous innovations in technology making the bikes economic and fuel-efficient.

The first choice among youths and teenagers.

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Selling of any product, there is needed to build relationship with customer. For building a relationship there is need for knowing the customer behavior and how will be they satisfied? This project is undertaken to know the customer behavior & satisfaction level for Hero Honda Motorcycle in Supreme Auto (at Chickhli). Also through this project get awareness that which factors affect on the selling of bike mainly in the rural area. Because the area where project was undergoing, it is almost rural area and most population income depends on agriculture or its products. There were some limitations while doing the project. The data was collected by personal interviews of the respondents. It was very challenging to fill up the questionnaire as most of the population comes from rural back ground. As it was the rural area we were supposed to explain each and every question of the questionnaire. Also many of them did not show any interest in filling questionnaires.. This study will help Hero Honda to know the most popular way by which they are providing services and quality to the customers and to know various customers Perceptions. From the study, we found that, the customers were highly satisfied with the products and service of Hero Honda, but there were some complaints regarding after sales service and staff of Hero Honda. It was found that Hero Honda Motorcycle is having a good brand image in the market. Most of the respondents considered Hero Honda showroom is one of the best places to purchase of Motorcycle. The present is the era of customers. Customers are more knowledgeable than ever before and because the customer is more knowledgeable, companies must be faster, more agile and more creative than few years ago. So companies should strive to enhance customer satisfaction through knowing their expectations regarding products. Hero Honda should improve on their after sales support, and have knowledgeable support staff. Also Hero Honda should increase the range of its targeted market. 10

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Title of the Project In today‘s world customer is the key of the success of any business. So, Customer behavior and its satisfaction level play very key role to sale of the product. That‘s why we decide to keep the project title related this key factor called ―Study on consumer buying behavior and satisfaction level for Hero Honda Motorcycle with reference to Chikhli in Navsari”. Main purpose of the study was to know the customer buying behavior and demand into the minds of customer of Chikhli because always customers say something and does something. At the same time as there are many companies manufacturing motorcycles, idea about thinking of customer on whether, what, how, and for whom to purchase the motorcycle. Therefore, research is required to measure present consumer buying behavior at the purchase of Hero Honda bike. so the researcher problem is to identify what are the criteria that prospective customer takes into consideration before buying the motorcycles. Also after purchasing are customers being satisfied or not? 12

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Objective of the Study To know market position of Hero Honda bike in the market.

To know consumer behavior for purchase of two wheeler bike.

To identify the factor which influences on consumer decision?

To classify which types of customers visiting of Dealers with reference to age, gender, income

To know which medium play important role for purchasing bike.

To study who is the decision make in purchasing bike?.

To study whether customers are satisfied with staff and services or not?

Identifying possible areas of Improvement.

To know the status of different offers.

SCOPE OF STUDY The main scope of the study is restricted to Chikhli city in Navsari.

This study has been made to find the level of satisfaction the customer has regarding the service provider by bike place at Chikhli city.

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Questionnaire CUSTOMER PERSONAL INFORMATION:-

A. Name: - ___________________________________________ B. Address:-___________________________________________ ___________________________________________ ___________________________________________ C. Contact No.:-__________________________________________ D. Gender: Male / Female E. Age (in year):- 18 to 20 ( ) 21 to 25 ( ) 26 to 30 ( ) 31 to 35 ( ) 36 to 40 ( ) 41 & above ( ) F. Occupation:- Agriculture ( ) Businessman ( ) Students ( ) Professional ( ) Others ( ) G. monthly income:- 5000 ( ) 5000-10,000 ( ) 10,000-15,000 ( ) 15,000-20,000 ( ) 20,000 Above ( ) 65

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A STUDY ON CUSTOMER BEHAVIOUR AND SATISFACTION LEVEL FOR HERO HONDA MOTORCYCLE. 1 Do you have own bike?

(A) Yes ( ). (B) No ( ) If yes than, 2 Which company bike do you have at present?

Company ____________________ 3 Which medium do you refer to purchasing bike?

(A) News paper ( ) (C) TV advertisement ( ) (B) Friends ( ) (D) others ( ) 4 Do you think advertisements create more awareness of showroom and bikes?

(A) Yes (B) NO (C) Can‘t Say 5 Who is decision maker for purchasing bike in your family?

(A) Father ( ) (B) Mother ( ) (B) Self ( ) (D) other ( ) 6 How do you purchase bike?

(A) By cash ( ) (B) By Loan ( ) 66

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7 Give points to the given bellow features in Hero Honda motorcycle? Attributes

6 5 4 3 2 1

Price Less maintenance Style Durability Mileage Easy driving Brand reputation Color

8 Give rating the following attribute of show room Attributes

Excellent

Very Good

Good Average Poor

Availability Knowledge of Sales person

After sales response Services infrastructure

9 Give rating the following offers that attract you most. Attributes

Excellent

Very Good

Good Average Poor

Festival offer Exchange offer Special gift Cash discount

Give the rank of given bellow features which consider at the time of purchasing bikes on priority base. Attributes

1st 2nd 3rd 4th 5th

Mileage

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Available Price After service Pick up

11 Do you properly understand of Passport scheme? (A) Yes ( ) (B) No ( ) 12 How do you find Passport Scheme?

(A) Excellent ( ) (B) Very Good ( ) (C) Good ( ) (D) Not Bad ( ) (E) Useless ( ) 13 Give your suggestion if any:

_________________________________________________________________________________________________________________________________________________________ Sign.___________________ Date.___________________

Books

Name Author Edition Publication Date of Referred

From To

Marketing Research

G.C.Beri 3rd Tata Mc Graw Hill Publishing Company Ltd

1/06/09 25/06/09

Marketing management

Philip Kotler 12th Prentice-Hall of India Private Ltd.,

10/06/09 15/07/09

Websites Name Date of Surfing From To www.herohonda.com 1/07/09 30/07/09

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www.nissparta.com 1/07/09 30/07/09

www.google.com Magazines Name Published Publication Date of Referred From To NIS Sparta (HERO HONDA)

2008-2009 NIS SPARTA 15/06/09 30/07/09

Project On “Study on Consumer Buying Behavior & Satisfaction Level for Hero Honda Motorcycle with reference to Chikhli city in Navsari” Master of Business Administration (Marketing) Submitted in partial fulfillments of requirements for award of Master of Business Administration of Tilak Maharashtra University, Pune. Submitted By: OWESH R. DABAWALA (Batch 2008-10) PRN: 07208013444 Of PAI International Centre for Management Excellence, Pune-411001 Tilak Maharashtra University Gultekdi, Pune 411037

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Findings In current market scenario, respondents give maximum no. of weight age to price then after they consider mileage and colors respectively.

The study shows that more no. of respondents have connected as sources of income from agriculture.

The study shows that 51 respondents are already user of Hero Honda motorcycle. So Hero Honda is popular automobile company in study region.

The study show that 48 respondents are come to know from ―others‖ and 26 respondents are come to know from ―friends‖ about Hero Honda bike.

The study shows that 55 respondents are purchase Hero Honda bike by Loan and 45 respondents are purchase Hero Honda bike by cash.

The study shows that 31 respondents are give more points to mileage.

The study shows that 46 respondents‘ father take a decision to purchase bike And 42 respondents take a self decision to purchase bike.

The study shows that 30 respondents are give rank to availability of show rooms and 35 respondents are give rank to service.

The study shows that 43 respondents are giving excellent to festival offer and 41 respondents are give poor rank to the anniversary offer. 60

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SUGGESTIONS Hero Honda should introduce a low price (25000 to 30000) moped.

For the promotion, company makes road-show that will Increase the sales.

Hero Honda should increase in advertisements through t.v., newspapers.

The company should give more concentrate on the advertisement.

Hero Honda should expand the targeted market like introducing special scooter for women and also considering rural market related offers.

Hero Honda should work on sports and pick up bikes. www.ou-mba.ac.in/i/2.pdf -