470. Marketing Research. comparison two clothing lines of bangladesh

FINAL PROJECT

Marketing Research

MKT 470.4

Submitted to:

Shafquat Kabir

Faculty MemberSchool of Business

North South University

Submitted by:

Ghulam Nafisul Bashar 052-009-030

Nadia Kader 071-798-530

M Eunus Daud 072-340-030

Raian Jahangir 072-291-030

December 28, 2010

North South Universty

YELLOW

Research Topic: Customer Satisfaction of Yellow versus

Ecstasy

Acknowledgment

We are solemnly grateful to Almighty Allah who has given us this opportunity to carry out this

worthwhile research and enabled us to finish it for MKT 470. We would like to add a few words

for the people who helped us in numerous ways.

A special gratitude goes to Mr. Shafquat Kabir (SQK), Course Instructor of MKT 470, Member of

the faculty, School Of Business, North South University; for giving us the opportunity to prepare

this term paper and help us gain new practical knowledge in the process. His valuable advice,

guidelines and continuous monitoring has made this task possible.

Also, we want to convey our gratitude to the management of Yellow and Ecstasy and the survey

respondents for their support. Their guidance and co-operation helped us to get a more hands-

on experience.

We have thoroughly enjoyed our term paper and hope it will be appreciated.

LETTER OF TRANSMITTAL

Mr. Shafquat Kabir (SQK)

Member of facultySchool Of Business North South University

Subject: Submission of report on “Customer Satisfaction of Yellow versus Ecstasy”

Dear Sir,

It is a great pleasure for us to submit this report on “Customer Satisfaction of Yellow versus

Ecstasy” as a partial requirement of MKT 470.

We are pleased to inform you that we have thoroughly enjoyed working through this term

paper and all of our representatives have contributed efficiently and moreover effectively to

finish this significant report. This has enabled us to gain valuable knowledge and experience

that is essential in our career development.

Therefore, we would like to take this opportunity to convey our deep regard for your valuable

guidance and sincere inspiration. We hope you will enjoy reading this paper.

Yours sincerely,

M Eunus Daud 072 340 030 ……………………………………………………

Nadia Kader 071 798 530 …..……………………………………………….

Ghulam Nafisul Bashar 052 009 030 ….………………………………………………..

Raian Jahangir 072-291-030 ……………………………………………………

EXECUTIVE SUMMARY

In this competitive world it is widely accepted that customer satisfaction is the most important

aspect companies need to consider on in acquiring and maintaining a successful business. There

are various factors and underlying issues which have an impact on customer satisfaction.

We selected Yellow and Ecstasy and did the analysis on the comparative customer satisfaction

between the two companies. From their inception, these two firms have had success stories in

the clothing and fashion accessories sector.

The objective of this report is to analyze the comparative customer satisfaction between Yellow

and Ecstasy. To complete this report we first prepared a structured questionnaire and did a

pilot survey on a sample size of 30 respondents. We then analyzed the data using collected raw

data, and edited, organized and summarized it. Then the report was prepared for submission

using Microsoft Word, Microsoft Excel, Minitab and SPSS software.

We followed an exploratory and descriptive style of research design. The results show that

Customer Satisfaction of Yellow is more positive than that of Ecstasy through the proof of the

prior established hypothesis of “Yellow’s products are more satisfactory than Ecstasy’s” and

“Yellow’s product line up is more appealing than Ecstasy”. A bigger sample size would have

been more effective for reaching more conclusive results. However we found quite a positive

and satisfactory outcome in terms of data from the primary research to arrive at the

conclusion.

Introduction:

Origin:

The organizations that we chose for the marketing research project are Yellow and Ecstasy.

Both these brands are leading in the clothing and fashion accessories sector in Bangladesh. Our

report has the aim of comparing the relative customer satisfaction between the two stated

companies and arriving at a conclusion through statistical data.

Significance of the report:

The research procedure and its findings will show the comparative customer satisfaction of

Yellow and Ecstasy. The outcome of the research will provide a clear concept of whether Yellow

or Ecstasy incorporates factors in business which accounts for and builds customer satisfaction;

in other words, what are the strong points of Ecstasy and Yellow in comparison to one another.

The findings can help both the companies to identify their weaknesses that contributes to low

customer satisfaction, thus take corrective measures and capitalize on the strengths that

contribute to high customer satisfaction.

Company Profile:

YELLOW:

Yellow stands for style with a witty twist.

Yellow is a design driven brand that celebrates creative and original thinking to highlight a

lighthearted and optimistic view of life through a superior quality product.

Our style captures a modern interpretation of fashion and our relaxed attitude expresses a

comfortable and confident quality. The adventurous spirit of the line is built from Beximco

Group's heritage in innovation and living a life full of passion that is open to discovery.

We are inspired by our customers; Unconventional yet high-quality. Progressive yet tastefully

casual—Yellow embraces harmony through conflict.

The Yellow Man: You are a confident, intelligent and successful individual who believes in

making his own destiny. Your clothing reflects your personality. You dress creatively, and are

not afraid to wear a crisp dress shirt with a pair of jeans to the office. You reflect a confident

quality through your cool, comfortable and relaxed attitude.

Yellow compliments your lifestyle by offering products for every occasion. From office mornings

to an evening with friends, Yellow answers your need for individuality, quality and style by

providing superior, fashion forward products.

The Yellow Woman: You are a stylish, intelligent and confident soul who enjoys her success.

You juggle between your home, work and social circle, and your wardrobe compliments your

modern lifestyle. You are on top of the fashion trends, but carefully choose those outfits that

enhance your individuality, confirm with your high standards of quality and reflect your young

and lighthearted approach to life.

Yellow knows what you want. We dress you up in semi-casual attire for your business meetings,

and provide the matching accessories to go with that, and then cross-compliment those to go

with the head-turning and sexy outfit that you will be wearing out with your friends tonight.

Yellow products are inspired by you; young, confident and successful.

The Yellow Kid: Yellow kid is a child of a successful couple who is inspired by the success and

style of his parents. He has a sense of style and a desire to stand out among his peers. You want

to reflect your personality and style through him. You want him to be cool, smart and trendy.

This is where Yellow steps in, by providing clothing and accessories for the kids, which are an

annex of the parents' personality.

Mission: To form a Yellow Nation and liberate the masses from the trenches of boring,

conventional wardrobe!

Products: Fashion Clothing and accessories for Men’s, Women’s and accessories.

Ecstasy:

Company Overview:

From its humble beginnings as a single store chain in 1997, Ecstasy has quickly become

one of the nation’s largest fashion retailers. Ecstasy lifestyle store offers exclusive and

trendy merchandise to our customers.

Ecstasy lifestyle store in Bashundhara City,Level-7.Spread over an area of 12000sq.ft, It

houses Ecstasy’s

Top-of the-line brand “Tanjim” for men and “Zarzain” for women, along with other

international brands for fashionable clothing

Mission: Your Final Fashion Destination

Products: Men’s Apparel, Women's Apparel, Children’s Apparel, Accessories, Cosmetics

Problem Definition:

For the success of companies like Yellow and Ecstasy, the effective and efficient existence of some factors is necessary which in turn increases Customer Satisfaction. Some of these factors are Brand Preference, Product Quality, Shopping Experience, etc. Positive yields from these factors increase Customer Satisfaction. In our research, we have tried to find out how both Yellow and Ecstasy score on the factors that have a direct impact on Customer Satisfaction and we will use those results to conclude which company if the two has more positive Customer Satisfaction.

Based on the above scenario discussed, we could say that the Decision Problem here is:

Decision Problem: “Is Yellow’s Customer Satisfaction higher than that of Ecstasy’s?”

Consequently, the Research Problem in this scenario would then be:

Research Problem: “To determine the comparative customer satisfaction of Yellow versus Ecstasy”

Approach to the problem:

We conducted a pilot survey through a structured questionnaire where the sample size was 31

in order to gain an insight to the comparative customer satisfaction of Yellow and Ecstasy.

As the overall Hypothesis we seek to prove that:

Overall Hypothesis: Customer Satisfaction of Yellow is more than that of

Customer satisfaction of Ecstasy

To reach to the overall hypothesis we have to conduct the following hypothesis:

Hypothesis 1: Yellow’s products are more satisfactory than Ecstasy’s

Hypothesis 2: Ecstasy’s products have lower quality than Yellow’s

Hypothesis 3: Yellow’s product line up is more appealing than Ecstasy

Research Design

Using descriptive research methodology, we created a direct- structured questionnaire with

relevant questions to identify the comparative levels of customer satisfaction between Yellow

and Ecstasy. With the assistance of our respected course instructor, we examined our

questionnaire before conducting the survey and incorporated questions which could give

important outputs related to our study.

Sampling:

Because of restrictions with regards to size of the population, time, financial expenses and

often, access to all cases, it is, at times, not possible to work on ‘census’, at least in all

marketing researches. In such conditions, the researcher selects a precise number of cases

from all available ones. This is the reason why we have taken a ‘Convenient Sampling’

approach. Convenience sampling is used where the researcher is interested in getting an

inexpensive and/or easy estimate of the truth. As the name suggests, the cases are selected

because they are easiest to obtain or contact. We have employed this non-probability sampling

effort to get a gross estimate of the results, without incurring the cost or time required to select

a random sample. This method is subject to bias. However, it may still be reliable enough if

there is little variation in the population. The sample size we have selected is 31 given the non-

response rate which might occur in this type of research.

Confidence Interval = 95%

Chi Square = 3.841

Response Distribution = 50%

Significance Level = 5%

Population Size = 45,000

Sample Size = 31

Margin of Error = 17.60%

The margin of error is the amount of error that can be tolerated in the results. Since the sample

size here is small representing the entire population of customers of Yellow and Ecstasy, the

margin of error is slightly on the higher side.

Data Collection

We conducted the survey ourselves on 31 respondents involving both genders through a

structured questionnaire. This process was a part of our primary data collection. For secondary

data collection we observed their facebook group, because they have no proper website or, any

previous survey has been conducted.

Durability

Chi-Square Test: Yellow, Ecstasy, Both, None

Expected counts are printed below observed counts

Chi-Square contributions are printed below expected counts

Yellow Ecstasy Both None Total

1 14 9 7 1 31

7.75 7.75 7.75 7.75

5.040 0.202 0.073 5.879

2 17 22 24 30 93

23.25 23.25 23.25 23.25

1.680 0.067 0.024 1.960

Total 31 31 31 31 124

Chi-Sq = 14.925, DF = 3, P-Value = 0.002

We stated in our hypothesis that durability is one of the factors related to the Hypothesis that

"Ecstasy’s products have low quality"

As the P-Value of Durability between Yellow and Ecstasy is less than the significance level 0.05;

so we can reject the null hypothesis that;

Ho= Ecstasy's products are less durable than Yellow’s.

From this sample size and analysis, we cannot conclude that Ecstasy’s products are less durable

than Yellow’s.

Word of Mouth

Chi-Square Test: Yellow, Ecstasy



Yellow Ecstasy Total

1 13 18 31

15.50 15.50

0.403 0.403

2 18 13 31

15.50 15.50

0.403 0.403

Total 31 31 62

Chi-Sq = 1.613, DF = 1, P-Value = 0.204

We stated in our hypothesis that Word of Mouth is one of the factors related to the Hypothesis

that "Yellow’s products are more satisfactory than Ecstasy’s"

As the P-Value of Word of Mouth between Yellow and Ecstasy is greater than the significance

level 0.05; so we cannot reject the null hypothesis that;

Ho= Yellow is recommended more than Ecstasy through Word of Mouth.

From this sample size and analysis, we can say that Yellow may have more positive Word of

Mouth than Ecstasy.

Repeat Purchase





1 19 19 38

19.00 19.00

0.000 0.000

2 12 12 24

12.00 12.00

0.000 0.000

Total 31 31 62

Chi-Sq = 0.000, DF = 1, P-Value = 1.000

We stated in our hypothesis that repeat purchase is one of the factors related to the Hypothesis

that "Yellow’s products are more satisfactory than Ecstasy’s"

As the P-Value of repeat purchase between Yellow and Ecstasy is greater than the significance


Ho= Repeat purchase of Yellow is more than Ecstasy.

From the sample size and analysis, we can say that Repeat purchase of Yellow may be more

than Ecstasy.

Product Quality (Fabric)

Chi-Square Test: Yellow, Ecstasy, Both, None



Yellow Ecstasy Both None Total

1 8 14 7 2 31

7.75 7.75 7.75 7.75

0.008 5.040 0.073 4.266

2 23 17 24 29 93

23.25 23.25 23.25 23.25

0.003 1.680 0.024 1.422

Total 31 31 31 31 124

Chi-Sq = 12.516, DF = 3, P-Value = 0.006

We stated in our hypothesis that Fabric or Product Quality is one of the factors related to the

Hypothesis that "Ecstasy’s products have low quality"

As the P-Value of fabric quality between Yellow and Ecstasy is less than the significance level

0.05; so we can reject the null hypothesis that;

Ho= Ecstasy's products have low Product Quality (Fabric).

From the sample size and analysis, we cannot conclude that Product Quality (Fabric) of Ecstasy

is low.

Brand Preference





1 14 17 31

15.50 15.50

0.145 0.145

2 17 14 31

15.50 15.50

0.145 0.145

Total 31 31 62

Chi-Sq = 0.581, DF = 1, P-Value = 0.446

We stated in our hypothesis that brand preference is one of the factors related to the

Hypothesis that "Yellow’s products are more satisfactory than Ecstasy’s"

As the P-Value of Brand Preference between Yellow and Ecstasy is more than the significance


Ho= Ecstasy's products have lower Brand Preference than Yellow’s.

From the sample size and analysis, we can say that Yellow's brand preference may be greater

than Ecstasy’s.

Price

Chi-Square Test: Yellow, Ecstasy, Both



Yellow Ecstasy Both Total

1 12 15 4 31

10.33 10.33 10.33

0.269 2.108 3.882

2 19 16 27 62

20.67 20.67 20.67

0.134 1.054 1.941

Total 31 31 31 93

Chi-Sq = 9.387, DF = 2, P-Value = 0.009

We stated in our hypothesis that Price is one of the factors related to the Hypothesis that

"Yellow’s products are more satisfactory than Ecstasy’s"

As the P-Value of Price between Yellow and Ecstasy is less than the significance level 0.05; so

we can reject the null hypothesis that;

Ho= Yellow's pricing is more than Ecstasy’s.

From the sample size and analysis, we cannot conclude that Yellow's pricing is more than

Ecstasy’s.

Quality (design)





1 13 11 7 31

10.33 10.33 10.33

0.688 0.043 1.075

2 18 20 24 62

20.67 20.67 20.67

0.344 0.022 0.538

Total 31 31 31 93

Chi-Sq = 2.710, DF = 2, P-Value = 0.258

We stated in our hypothesis that Quality is one of the factors related to the Hypothesis that

"Yellow’s products are more satisfactory than Ecstasy’s"

As the P-Value of Quality between Yellow and Ecstasy is greater than the significance level 0.05;

so we cannot reject the null hypothesis that;

Ho= Yellow is more preferable than Ecstasy in the context of Quality.

From the sample size and analysis, we can say that Yellow may be more preferable than Ecstasy

in the context of Quality.

Trendiness





1 8 19 4 31

10.33 10.33 10.33

0.527 7.269 3.882

2 23 12 27 62

20.67 20.67 20.67

0.263 3.634 1.941

Total 31 31 31 93

Chi-Sq = 17.516, DF = 2, P-Value = 0.000

We stated in our hypothesis that Trendiness is one of the factors related to the Hypothesis that

"Ecstasy’s products have low quality". As the P-Value of Trendiness between Yellow and Ecstasy

is less than the significance level 0.05; so we can reject the null hypothesis that;

Ho= Ecstasy's products are less trendy than Yellow’s.

From the sample size and analysis, we cannot conclude that Ecstasy's products are less trendy

than Yellow’s.

Location of Outlet


One-Sample T: Location

Test of mu = 3 vs not = 3

Variable N Mean StDev SE Mean 95% CI T P

Location 31 2.613 1.256 0.226 (2.152, 3.074) -1.72 0.097

We stated in our hypothesis that Location of outlets is one of the factors related to the Hypothesis that

“Yellow’s products are more satisfactory than Ecstasy’s”. As the P-Value of Location between Yellow and

Ecstasy is more than the significance level 0.05; so we cannot reject the null hypothesis that;

Ho= Ecstasy's outlet’s locations are more inconvenient than Yellow’s.

From the sample size and analysis, we may say that Ecstasy's outlet’s locations are more inconvenient

than Yellow’s.

Price Reasonability


One-Sample T: Pricing Reasonability



Reasonability 31 2.613 0.955 0.172 (2.263, 2.963) -2.26 0.031

We stated in our hypothesis that Product-Price Relationship is one of the factors related to the

Hypothesis that “Ecstasy’s products have low quality than Yellow’s”. As the P-Value of Product-Price

Relationship between Yellow and Ecstasy is less than the significance level 0.05; so we can reject the

null hypothesis that;

Ho= Yellow’s products are more reasonably priced than Ecstasy’s.

From the sample size and analysis, we cannot conclude that Yellow’s products are more reasonably

priced than Ecstasy's.

Line assortment


One-Sample T: Line assortment



Line Assortment 31 2.839 1.393 0.250 (2.328, 3.350) -0.64 0.524

We stated in our hypothesis that Line assortment is one of the factors related to the Hypothesis that

“Yellow’s product line up is more appealing than Ecstasy’s”.

As the P-Value of Line assortment between Yellow and Ecstasy is more than the significance level 0.05;

so we cannot reject the null hypothesis that;

Ho= Yellow has a better collection of clothes than Ecstasy.

From the sample size and analysis, we can say that Yellow has a better collection of clothes than Ecstasy.

Salesperson’s Behavior


One-Sample T: Salesperson’s Behavior



Salesperson’s Behavior 31 2.742 0.999 0.179 (2.376, 3.108) -1.44 0.161

We stated in our hypothesis that Salesperson’s Behavior is one of the factors related to the Hypothesis

that “Yellow’s products are more satisfactory than Ecstasy’s”. As the P-Value of Salesperson’s Behavior

between Yellow and Ecstasy is more than the significance level 0.05; so we cannot reject the null

hypothesis that;

Ho= Yellow’s salesperson’s are more helpful and cordial than Ecstasy’s”

From the sample size and analysis, we can say that Yellow’s salespersons are more helpful and cordial

than Ecstasy’s”

Shopping Environment


One-Sample T: Shopping Environment



Environment 31 2.871 1.335 0.240 (2.381, 3.361) -0.54 0.595

We stated in our hypothesis that Shopping Environment is one of the factors related to the Hypothesis

that “Yellow’s products are more satisfactory than Ecstasy’s”. As the P-Value of Shopping Environment

between Yellow and Ecstasy is more than the significance level 0.05; so we cannot reject the null

hypothesis that;

Ho= Yellow’s shopping environment is much better than Ecstasy’s.

From the sample size and analysis, we can say that Yellow’s shopping environment is much better than

Ecstasy’s.

Final Research Outcome

Hypothesis 1: Yellow’s products are more satisfactory than Ecstasy’s

Under this hypothesis we identified several underlying factors and issues which were:

1. Price

2. Quality

3. Repeat Purchase

4. Word of Mouth

5. Brand Preference

Through our statistical analysis, it has been found out that Yellow’s Quality, Repeat Purchase,

Word of Mouth and Brand Preference is more than that of Ecstasy’s. Since more than 70% of

the evidence supports hypothesis 1, we can conclude that Hypothesis 1 cannot be rejected,

that is, Yellow’s products may be more satisfactory than Ecstasy’s.

Hypothesis 2: Ecstasy’s products have lower quality than Yellow’s


1. Product Quality

2. Product-Price Relationship

3. Trendy products

4. Durability

5. Designs are not up to date

Except the factor of Designs are not up to date, all the other factors of Product Quality, Product

Price Relationship, Trendy products, and Durability indicate that less than 70% of the evidence

supports hypothesis 2. Hence we can say that Hypothesis 2 can be rejected, that is, Ecstasy’s

products do not have lower quality than Yellow’s.

Hypothesis 3: Yellow’s product line up is more appealing than Ecstasy


1. Product Comparison

2. Status recognition

3. Line assortment

4. Unique/Outstanding design

Through our statistical analysis, it has been found out that Status recognition, Line assortment

and Unique/Outstanding design of Yellow is more favorable than that of Ecstasy. Since more

than 70% of the evidence supports hypothesis 3, we can conclude that Hypothesis 3 cannot be

rejected, that is, Yellow’s product line up may be more appealing than Ecstasy’s.

Thus, we can arrive at our overall hypothesis to prove it correct. That is to say, “Customer

Satisfaction of Yellow is more than that of Customer satisfaction of Ecstasy.”

Limitations

Although we tried our level best for the research study to be accurate, still there are limitations.

When considering the findings, these limitations should be taken in to account. It will be helpful

if anyone wants to conduct a further research on the same topic.

In this particular research, we are the decision makers as well as the marketing researchers. So,

a tendency of biasness can be an issue. Also, this marketing research does not ensure absolute

success due to the quite a few constraints that we were subjected to ( i.e. time constraint, small

sample size, etc); it is simply a recognition of the environment within which marketing takes

place.

The survey was conducted only in Dhaka. The company’s has outlet in other districts too. So,

the result focuses only on that region’s customers. If more regions or area was surveyed then

the measurability and the visibility of the project would have been more reliable and valid

Conclusion

It is known that both Yellow and Ecstasy are leading fashion apparel brands in Bangladesh. Till

now, no research has been conducted in terms of comparing the success of these two brands in

the context of Customer Satisfaction. With this research work, we tried our level best to acquire

and present enough evidence of the fact that the Customer Satisfaction of Yellow is rated

higher than that of Ecstasy. Most of the findings of the research have resulted in favor of our

hypothesis that we stated at the beginning of our report and justified our main purpose of this

research work. Hence, in context to our hypothesis, we can conclude by saying that we have

been successful in establishing and proving our hypothesis correct, that is, Yellow’s customer

satisfaction is higher than that of Ecstasy’s.

Appendix

- Marketing Research : Naresh K. MalhotraWebsite:

o http://www.yellowretailconcepts.comhttp://twitter.com/Yellownation

o http://www.ecstasybd.com o http://www.facebook.com/pages/Lifestyle-storeo http://www.facebook.com/pages/Yellow/205807418715o http://www.raosoft.com/samplesize.html

http://twitter.com/Yellownation

http://www.ecstasybd.com/

470. Marketing Research. comparison two clothing lines of bangladesh

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