buyer perception

1. INTRODUCTIONThe study of consumers helps firms and organizations improve their marketing strategies by understanding issues such as how consumers think, feel, reason, and select between different alternatives (e.g., brands, products); The psychology of how the consumer is influenced by his or her environment (e.g., culture, family, signs, media); The behavior of consumers while shopping or making other marketing decisions;

Limitations in consumer knowledge or information processing abilities influence decisions and marketing outcome; How consumer motivation and decision strategies differ between products that differ in their level of importance or interest that they entail for the consumer; and how marketers can adapt and improve their marketing campaigns and marketing strategies to more effectively reach the consumer.

Understanding these issues helps in adapting strategies by taking the consumer into consideration. For example, by understanding that a number of different messages compete for our potential customers attention, one learns that to be effective, advertisements must usually be repeated extensively. It is also learnt that consumers will sometimes be persuaded more by logical arguments, but at other times will be persuaded more by emotional or symbolic appeals. By understanding the consumer, the company will be able to make a more informed decision as to which strategy to employ.

The "official" definition of consumer behavior given in the text is "The study of individuals, groups, or organizations and the processes they use to select, secure, use, and dispose of products, services, experiences, or ideas to satisfy needs and the impacts that these processes have on the consumer and society.

Behavior occurs either for the individual, or in the context of a group (e.g., friends influence what kinds of clothes a person wears) or an organization (people on the job make decisions as to which products the firm should use).

Consumer behavior involves the use and disposal of products as well as the study of how they are purchased. Product use is often of great interest to the marketer, because this may influence how a product is best positioned or how we can encourage increased consumption. Since many environmental problems result from product disposal (e.g., motor oil being sent into sewage systems to save the recycling fee, or garbage piling up at landfills) this is also an area of interest.

Consumer behavior involves services and ideas as well as tangible products. The impact of consumer behavior on society is also of relevance. For example, aggressive marketing of high fat foods, or aggressive marketing of easy credit, may have serious repercussions for the national health and economy.

There are four main applications of consumer behavior:

The most obvious is for marketing strategyi.e., for making better marketing campaigns. For example, by understanding that consumers are more receptive to food advertising when they are hungry, we learn to schedule snack advertisements late in the afternoon. By understanding that new products are usually initially adopted by a few consumers and only spread later, and then only gradually, to the rest of the population, we learn that (1) companies that introduce new products must be well financed so that they can stay afloat until their products become a commercial success and (2) it is important to please initial customers, since they will in turn influence many subsequent customers brand choices.

Awareness means to know about the existence of the product in the market. It is the first stage of the adoption process. The consumers are exposed to the product innovation. The consumers at this stage are not interested in more information about the product.

Perception defined as the process by which an individual selects, organizes and interprets stimuli into a meaningful and coherent of the world. It is how we see the world around us. Two persons subject to the same stimulus under the same conditions will react differently. A stimulus is any unit of input to any of the senses. The study of perception is largely the study of what we subconsciously add to or subtract from raw sensory to produce ourown private picture of the world.

Attitude; means a way of thinking is a learned predisposition to behave in a consistently favorable or unfavorable way with respect to a given object. Attitudes are learned may be because of a previous experience with the product, information acquired from others, and exposure to mass media. Attitudes are not permanent; they do change over a period of time.1.1 INDUSTRY PROFILEThe word 'oil' refers to the chemical substances taken into the body in order to keep the body in a healthy and active condition. The body requires oil for growth, repair and replacement of its worn-out tissues. Hence, oil has to provide the required raw material, energy and other regulating substances, like vitamins and minerals, for the smooth functioning of the body, besides meeting the calorific requirements like carbohydrates, proteins, fats, etc., India is the worlds second largest producer of oil next to China and has the potential of being biggest industry with oil and agricultural sector contributing 26 per cent to Indian GDP. It has the capacity of producing over 600 million tons of oil products every year; it is likely to be doubled in next ten years. Oil accounts for the largest share of consumer spending. Oil and oil products account for about 53 per cent of the value of final private consumption. This share is significantly higher than in developed economies, where oil and oil products account for about 20 per cent of consumer spending (www.tata.com). The average monthly per-capita consumer expenditure (MPCE) was Rs. 511 for rural India, which comprised of Rs.305 for oil and Rs. 206 for non-oil commodities. For urban population, it is Rs. 1060, which comprised of Rs.441 for oil and Rs. 619 for non-oil items. There was a decline in the share of oil in total expenditure that is 54 per cent in rural areas compared to 64 per cent in 1987-88 and 42 per cent in urban areas compared to 56 percent during 1987-88 (National Sample Survey Organization, GOI).

In India, majority of oil consumption is still at home. Nevertheless, out-of-home oil consumption is increasing due to increase in urbanization, breaking up of the traditional joint family system, desire for quality, time which translates into an increased need for convenience, increasing number of working women, rise in per capita income, changing lifestyles and increasing level of affluence in the middle income group had brought about changes in oil habits. In the last two decades, the share of urban population has increased from 23.3 per cent in 1981 to 27.8 percent in 2001. During the same period the female work participation rate had increased from 19.7 to 25.7 per cent. The per capita income increased from Rs.7, 328 in 1980-81 to Rs.10, 306 in 2000-2001. The change in oil habits was evident from the growth of oil processing industries.

India accounts for 9.3 percent of world oilseed production. It has the worlds fourth largest refined oil economy. Yet, about 43 percent of refined oil available in India is imported. In 1999 India ranked as the worlds largest importer of refined oils, displacing China. The bulk of refined oil India imports under the Open General License (OGL) are RBD Palmolein of Malaysian and Indonesian origin

India has approximately 300 crude refined oil refining units. 60-70 percent of which are small. Unlike the bigger refiners, the small ones are unable to import huge quantities of crude either due to their low capacity or lack of financial resources, and may be forced to close down or sell out to the bigger ones in the foreseeable future.

A major problem is the low capacity utilization. The installed capacity of oil mills is around 36 million tonnes annually, but capacity utilization is only 40 percent solvent extraction plants show only 33 per cent capacity utilization and vegetable oil refineries show 40 per cent.

The total import of refined oils during the period from November 1998 to October 1999 totalled 4.4 million tonnes valued at more than Rs. 9.000 crores. That was against a demand supply gap of 1.4 million tonnes in 1998-99. Imports have therefore deluged the market.

The import of relined palm oil was put under OGL (Open general License) in March 1994. Other refined oils were put under OGL in April 1995 (when an item is brought under OGL, it means that the item can be imported without seeking any approval).

Originally, there was no discrimination between refined and non refined oil as far as import duty concerned. The duty on both was 65 percent. Duty was the slashed to 30 percent for both, then to 20 percent in 1996 and 15 percent in the 1999-2000 budgets.

On December 30, 1999 a differential duty structure was introduced. Duty on refined oil was fixed at 27.5 percent (25 percent plus 10 percent surcharge) while that on crude was retained at 16.5 percent (15 percent plus 10 percent surcharge) But only actual users (as opposed to traders) are allowed to avail of this reduced duty on crude oil. Traders are nevertheless allowed to import crude at the reduced duty but only to sell to actual users on a high seas basis. This requires that the actual users fills in the import documents (and pays the reduced duty) but leaves the importing process to the trader.

In most parts of the world, the import duty on oilseeds is lower than that on oils. But, in India it is higher 40 percent. That is why no import of oilseeds of oil bearing material has taken place in India. The industry wants the duty to be lowered from the present 40 percent to 5 percent.

Oilseeds and refined oils are two of the most sensitive essential commodities. India is one of the largest producers of oilseeds in the world and this sector occupies an important position in the agricultural economy and accounting for the estimated production of 25.14 million tonnes of nine cultivated oilseeds during the year 2003-2004. India contributes about 8-9% of the world oilseeds production. Export of oil meals, oilseeds and minor oils has increased from 2.28, million tonnes in the financial years 2003-2004. In terms of value, realization has gone up from Rs.2653/- crores to Rs.5447/- crores. India accounted for about 6.4% of world oil meal export.

India is vast country and inhabitants of several of its regions have developed specific preference for certain oils largely depending upon the oils available in the region. For example, people in the South and West prefer groundnut oil while those in the East and North use mustard/rapeseed oil. Likewise, several pockets in the South have a preference for coconut and sesame oil. Inhabitants of northern plain are basically hard fat consumers and therefore, prefer Vanaspati a term used to denote a partially hydrogenated refined oil mixture. Vanaspati has an important role in our refined oil economy. Its production is about 1.2 to 1.4 million tonnes annually. It has around 10% share of the refined of the market. It has the ability to absorb a heterogeneous variety of oils, which do not generally find direct marketing opportunities because of consumers preference for traditional oil such as groundnut oil, mustard oil, sesame oil etc. For example newer oils like soyabean, ricebran and cottonseed and oils from oilseeds of tree and forest origin have found their ray to the refined pool largely through vanaspati route. Of late, things have changed. Through technological means such as refining, bleaching and de-odouraisation, all oils have been rendered practically colorless. Odorless and tasteless, and therefore, have become easily interchangeable in the kitchen. Newer oils, which were not known before they have entered the kitchen, like those of cottonseed, sunflower, palm, oils or its liquid fraction (palmolein) soya bean and rice bran. About 60-70% predominately groundnut and mustard seeds are used to make non-refined or filtered oils. This tends to have a strong and distinctive test preferred by most traditional customers. The share of raw oils refined oils and vanaspati in the total refined oil market is estimated at 42%, 48%and 10% respectively.

Major Features of Refined Oils Economy

There are two major features, which have very significantly, contributed to

One was the setting up of the Technology. This gave a thrust to Governments efforts for augmenting the production of oilseeds. This is evident by the very impressive increase in the production of oilseeds from about 11.3 million tonnes in 1986-87 to 24.8 million tonnes in 1998-99. There was some setback in 1999-2000 because of the unseasonal rain followed by inclement weather. The production of oilseeds declined to 20.7 million tonnes in 1999-2000. However, as per available information. The oilseeds production in 2003-2004 is estimated to be 25.1 million tonnes. The other dominant feature which has had great significant impact on the present status of refined oilseeds/oil industry has been the programme of liberalization under which the Governments economic policy allows greater freedom to the open market and encourages healthy competition and self regulation rather than protection and control. Controls and regulations have been relaxed resulting in a highly competitive market dominated by both domestic and multinational players.

Demand for Refined Oils Rises in India

Indian food industry continues to show a strong commitment to oils imports following drop in domestic demand, says industry body. Fresh figures from the Solvent Extractors Association of India (SEAI) that refined oils imports increased by some 21 percent for the first six months to April 2005. Imports jumped to 2.2 million tonnes in the first half of 2004-2005 up from 1.82 million tonnes for the same period last year. Imports are expected to be much higher this year because of a drop in domestic oilseeds production, said B.V. Mehta, executive director of SEIA adding that India was likely to import about 500,000 tonnes per month this year. Purchases of refined oils by India are expected to reach around 5 million tonnes this year from 4.4 million tonnes in 2003-2004 Mehta added reports the American Soybean Association. Soya oil in particular saw strong growth. Imports of crude soy oil leapt to 735.352 tonnes in the November 2004 to April 2005 period up from 236.990 tonnes in a year earlier. Crude palm oil purchases rose 10.8 percent to 1.01 million tonnes from 911,520 tonnes. Indias oilseed output for 2005 is estimated to be around 21.8 million tonnes, a fall of 6.4 percent from 23.3 million tonnes last year. The processed food market is enjoying decent growth in India, pushing up demand for oils. The Indian branded food and drinks market grew last year by over 5 percent, according to recent figures from ACNielsen, outpacing the global the global average growth rate 4 percent. Supporting this buoyant overall trend, growth rates for individual product categories within the Indian market too, reflect aggressive performance within the similar period.

1.2 COMPANY PROFILEThe year was 1943. Four years before India got independence, a small independent step towards a giant leap was made in the cooking oil industry, at Virudhunagar, a town in the south of India. The man behind the step was Mr.V.V.Vanniaperumal. Who had an exemplary track record in the business world of Tamil nadu. Thanks to his hard work and commitment, an empire was literally built in the edible oil business. His son, Mr. V. V. V. Rajendran carried forward the torch lit by Mr.Vanniaperumal and founded Idhayam group in 1986 with a sole objective to deliver quality and healthy edible oils to the people. The name idhayam means 'heart' in Tamil, an Indian language. Idhayam products are friendly and close to the hearts of millions of customers in India and abroad, quite appropriate to our brand name. It was Mr.Rajendran who brought a sea change in the sesame oil business by launching the product in a new consumer packing in the brand name - idhayam. Mr. Rajendran's demise in 1994 witnessed his eldest son, V.R.Muthu taking the helm of affairs, aptly accompanied by his brothers, V.R.Sathyam and V.R.Thendral. There was no looking back ever since the triumphant trio assumed charge and the company is now a name to reckon with the cooking oil industry in India. One of the leading players in the industry, idhayam provides superior standard filtered sesame oil and peanut/groundnut oil, which doesn't undergo refining process.

Products

We have read in fables that when the words 'open sesame' were uttered, the doors to treasure opened. No wonder why sesame oil too is considered opening the doors of healthy living. The delightfully nutty flavour and aroma of sesame oil is a distinctive characteristic of asian cooking. Use of sesame oil in marinades, vinaigrettes, sauces, and dressings assures good taste and good health. It's soft on heart and adds flavour to the cuisine. Sesame oil provides not only a healthy body but also good oral health. Sesame that is considered the queen of oil seed crops, has a lot of positives and has even found a mention intraditional medical systems like ayurveda.

Cooking

Sesame oil comes handy in maintaining a fit physique. Use of sesame oil in cooking adds more taste to food items. Use a small amount of sesame oil in marinades, vinaigrettes, sauces, and dressings. Sesame oil will enhance the flavour of fried noodles and sauted or stir-fried dishes. Sesame oil can be used in the preparation of tempura or deep-frying. This will give rich flavour, stays light on heart and makes cooking tasty and tangy.

Oil bath

Oil bath is conducive to the nutrition of the skin and the softness of the muscles. It is beneficial to the eyes, promotes luster, strength and vitality. It is immediately absorbed, subtle, spreading, viscous and fluid. --- sushruta, an ancient physician who lived in 6th century bc, advocated the use of oil for a bath. According to ayurveda, ashtangahridaya [regular oil bath] is good dinacharya (daily routine). Abhayangam is full body oil massage, specially formulated to bring in several mental and physical benefits like relaxation, immunity, flexibility, etc.

Why sesame oil

Sesame oil bath is of great help to people living in hot conditions like our very own country. The ancient medical system of India - ayurveda, says, it can calm the nervous and circulatory system and mind. The greater benefits include increased blood circulation, especially to nerve endings, toning of the muscles and the whole physiology, calming for the nerves, lubrication of the joints, increased mental alertness, improved elimination of impurities from the body, softer, increased levels of stamina through the day and better, deeper sleep at night. The oil gives flexibility to skin and one can experience freedom from conditions like arthritis.

Sesame oil may be applied from head to toe and smooth massage can be done thereafter. After a wait for 20 - 30 minutes, one can take bath with lukewarm water. Consider using herbal powder (shikakai) to remove the oil.

Benefits of oil bath

Taking oil bath helps the body and mind remain hale and healthy. If our body is like a machine, then oil is a lubricant. This oil bath may be taken during morning hours using sesame oil. Taking regular sesame oil bath may reduce your blood pressure besides keeping your body healthy, say elders. It helps one get sound sleep at night so you feel rejuvenated the next morning.

Directions for oil bath

Apply ample amount of sesame oil to your head, rubbing into the scalp and through to the ends of your hair. Now, generously apply oil to the whole body. As you rub oil, take time to massage elbow, knee and shoulder joints, along the spine and into any areas that are chronically. Take a very hot shower or bucket bath. Let the hot water run over the scalp as you massage the existing oil deeper into the crown. Continue to rub the oily skin focusing on the joints and spine.

Modern beauty science also agrees with the fact that a combination of water and oil keeps the skin smooth, soft and health-looking. The oil bath does have a beneficial effect as it nourishes and protects both the body and hair.

Massaging your body with oil before you take a bath brings physical and mental advantages. Regular use of sesame oil has its advantages like lowered stress, better physical fitness, lower blood pressure, etc. Sesame oil bath is of great help to people living in hot conditions like our very own country. The ancient medical system of india - ayurveda, says, it can calm the nervous and circulatory system and mind. The greater benefits include increased blood circulation, especially to nerve endings, toning of the muscles and the whole physiology, calming for the nerves, lubrication of the joints, increased mental alertness, improved elimination of impurities from the body, softer, increased levels of stamina through the day and better, deeper sleep at night. The oil gives flexibility to skin and one can experience freedom from conditions like arthritis.

Why brood over global warming, tension and stress when the answer lies in our hands. A simple sesame oil bath a day keeps one hale and hearty all through the day.

Massaging

Agentle oil massage relaxes the mind, body and soul. Use of sesame oil for massage elevates oneself to a heavenly feel. Substantial use of sesame oil for massaging makes magic beyond any doubt. Rubbing it on the body gives one great pleasure, besides acting as a catalyst to enthuse the spirit. It has a unique quality of getting absorbed easily by the pores in the skin and thereby acts as a catalyst in ensuring a stress-free good health. Hence it can be used as a perfect partner in massages. And what more? The ailments in your body are shown the exit door with a gentle massage of sesame oil.

Idhayam sesame oil

The pioneer brand from the house of Indias largest manufacturer of sesame oil. The speciality about the product is that it is filtered sesame oil but not refined (repaired), keeping in mind the health of the consumers. It is light on your heart too. Idhayam sesame oil is the preferred one not just for cooking but also for massaging. It is the favourite edible oil of 1.5 million home-makers in India. It is available in convenient packs of 1 liter, 500 ml, 200 ml, 100 ml and 50 ml sachets and HDPE containers.

Vanga sesame oil

Vanga is refined sesame oil, which is cost-effective that is meant for cooking. It is available in 1 liter and 500 ml containers.

Mantra peanut oil

One of the popular products that has won the hearts of millions across India. Good for health, Idhayam Mantra peanut oil is manufactured from selected peanuts, with a sole aim of keeping in mind the health of the nation. Also several findings by scientists and doctors have thrown light on the positive effects of using peanut oil. This oil keeps one hale and hearty. It is available in HDPE containers, besides one liter, 500 ml and 200 ml in sachets. Again the good news is that Idhayam Mantra is filtered but not refined (repaired).

Idhayam HardilIdhayam Hardil mustard oil is the choice of north Indians. The authentic north Indian cuisine is never complete without this. It is also good for massage.

Sambandhi Sesame Seeds

Sambandhi Sesame Seeds is the one of the pioneer products from the house of Idhayam. This product, a part and partial of Asian cuisine, is available in three varieties namely white, red and black. Sesame seeds, which add taste to the food besides its nutritional value, are available in100 gm, 50 gm and 20 gm packs. The seeds are cleaned with utmost care.

Tahini

Tahini, white sesame seeds coated with sugar, which are loved by children. They are available in 5 gm sachets.

Idhayam Wealth

Idhayam Wealth is OIL PULLING. Oil pulling is a traditional method for preventive care. (as per traditional Ayurveda system of medicine). Idhayam Wealth is available in 10 ml sachets. Swishing 10 ml of Idhayam Wealth for 20 minutes assures good oral health.

Idhayam Dots Appalam

Idhayam Dots Appalam is the preferred snack with meal at every household. The crunchy and munchy snack is a must in every Indian home. Made of pure and clean black gram, Dots Appalam is protein rich and hygienic, and is available in convenient packs of 200gm, 150 gm and 100 gm sachets. Also they pack Mini Dots Appalam, which has become a favourite TV Time snack anytime anywhere.

1.3 OBJECTIVES OF THE STUDY 1. To study the extent of awareness towards refined oil.

2. To analyses factors influencing the buying behaviour of refined oils.

3. To analyses brand loyalty for refined oils.4. To identify the factors need to be strengthened. 2. LITERATURE REVIEW Awareness of Consumers

Brown et al. (2000) reported that the need for effective nutritional education for young consumers has become increasingly apparent, given their general food habits and behaviour, particularly during adolescence and analyzed that the interaction between young consumers' food preferences and their nutritional awareness behaviour, within three environments (home, school and social). The results indicated that the perceived dominance of home, school and social interaction appears to be somewhat overshadowed by the young consumers, while developing an 'independence' trait, particularly during the adolescent years. The authors suggested that food preferences are often of a 'fast food' type and consequently the food habits of many young consumers may fuel the consumption of poorly nutritionally balanced meals. While young consumers were aware of healthy eating, their food preference behaviour did not always appear to reflect such knowledge, particularly within the school and social environments.

Aaker (2000) regarded brand awareness as a remarkably durable and sustainable asset. It provided a sense of familiarity (especially in low- involvement products such as soaps), a sense of presence or commitment and substance and it was very important to recall at the time of purchasing process. Apart from the conventional mass media, there were other effective means to create awareness viz., event promotions, publicity, sampling and other attention-getting approaches.

Yee and Young (2001), aimed to create awareness of high fat content of pies, studied consumer and producer awareness about nutrition labeling on packaging. For this, seven leading pie brands were analyzed for fat content and are ranged from 7.1 to 19.2% fat. Potato topped or cottage pies had the lowest fat content (7.1-9.2% fat). Most pies did not display nutritional labeling on packaging. Over half of the consumers (52%) who responded to the survey (42% response rate) were aware of the campaign. The study was successful at raising consumer awareness about the high fat content of pies and influencing the food environment with a greater availability of lower fat pies. It is possible to produce acceptable lower fat pies and food companies should be encouraged to make small changes to the fat content of food products like pies. Potato topped pies are lower in fat and are widely available. Regular pie eaters could be encouraged to select these as a lower fat option.

Chen (2001) expressed a different thought on brand awareness that it was a necessary asset but not sufficient for building strong brand equity. In his view, a brand could be well known because it had bad quality.

Beverland (2001) analyzed the level of brand awareness within the New Zealand market for ZESPRI kiwi fruit. The effectiveness of this branding strategy employed by kiwi fruit, New Zealand was studied. The implications of the findings for agribusiness in general using the data collected from surveys of kiwi fruit consumers (n=106) outside three major super market chains in Auckland, New Zealand, the results suggested that the level of brand awareness for ZESPRI is low among consumers. It is indicated that brand awareness could be increased through a relationship-making programme involving targeted marketing and supply chain management.

Nandagopal and Chinnaiyan (2003) concluded that the level of awareness among the rural consumers about the brand of soft drinks was high which was indicated by the mode of purchase of the soft drinks by Brand Name. The major source of brand awareness was word of mouth followed by advertisements, family members, relatives and friends.

Ramasamy et al. (2005) indicated that, the buying behavior is vastly influenced by awareness and attitude towards the product. Commercial advertisements over television was said to be the most important source of information, followed by displays in retail outlets. Consumers do build opinion about a brand on the basis of which various product features play an important role in decision making process. A large number of respondents laid emphasis on quality and felt that price is an important factor while the others attached importance to image of manufacturer.

Factors Influencing Consumption

Balaji (1985) studied fish consumption behaviour of 526 consumers in Vishakhapatnam city. The study revealed that 77 per cent of respondents consumed fish for dinner and 22 per cent for lunch. About 30 percent of the respondents did not consume fish on festival days, as those days were considered auspicious, while the rest had no notations and consumed fish, irrespective of festivals.

Gluckman (1986) studied the factors influencing consumption and preference for wine. The explicit factors identified were, the familiarity with brand name, the price of wine, quality or the mouth feel of the liquid, taste with regards to its sweetness or dryness and the suitability for all tastes. Some of the implicit factors identified through extensive questioning were, colour and appearance. Most consumers seemed to prefer white wine to red. Packaging, appearance, colour, ornateness, use of foreign language and graphics were taken as important clues for quality and price. Consumers preferred French or German made wines to Spanish or Yugoslavian wines.

Kumar et al. (1987) examined the factors influencing the buying decision making of 200 respondents for various food products. Country of origin and brand of the products were cross-tabulated against age, gender and income. Results revealed that the considered factors were independent of age, education and income. The brand image seemed to be more important than the origin of the product, since the consumers were attracted by the brands.

Jorin (1987) examined changes in spending power and buying habits of Swiss consumers since the beginning of the 20th century and in the more recent past. Current trends include greater emphasis on health and safety of foodstuffs and less attention to price, increased demand for low calorie light products and increased demand for organically grown foods. For young people, more concern with enjoyment and less for health, with more meals eaten away from home, and generally an increased demand for convenience foods. The prospects for high quality branded products are seen to be good.

Puri and Sangera (1989) conducted a survey to know the consumption pattern of processed products in Chandigarh. Jam was found to be most popula,r irrespective of income. Orange squash consumption was in high and middle-income families. Pineapple juice consumption increased with a rise in the income.

Sabeson (1992) in his study stated that, high quality, price and taste of the product were the major criteria based on which the consumers selected a brand of processed fruits and vegetable products.

Rees (1992), in his study revealed that factors influencing the consumers choice of food are flavour, texture appearance, advertising a reduction in traditional cooking, fragmentation of family means and an increase in snacking. etc. Demographic and household role changes and the introduction of microwave ovens have produced changes in eating habits. Vigorous sale of chilled and other prepared foods is related to the large numbers of working wives and single people, who require and value convenience. Development in retailing with concentration of 80% of food sales in supermarkets is also considered to be important. Consumers are responding to messages about safety and health eating. They are concerned about the way in which food is produced and want safe, natural, high quality food at an appropriate price.

Ragavan (1994) reported that, quality, regular availability, price, accuracy in weighing and billing, range of vegetables and accessibility as the factors in the order of importance which had influenced purchase of vegetables by respondents from modern retail outlet.

Singh et al. (1995) studied factors influencing consumer preferences for milk. They were milk quality, convenient availability, supply in quantity desired, flavour, colour, freshness and mode of payment showed higher levels of consumer satisfaction.

Study of Sundar (1997) revealed that, grocery department of Saravana Bava Cooperative Supermarket, Cuddalore was enjoying favorable images of consumers in the attributes, such as, equality of price, behaviour of sales persons, moving space, location, correctness of weight, packaging of goods, number of sales persons and convenient shopping hours. At the same time, the image is weak in the attributes, such as, quality of goods, availability of range of products, variety of goods, acceptance of returns, credit facility, door delivery and in sales promotional measures.

The study undertaken by Sheeja (1998) in Coimbatore district considered the quality aspects like aroma, taste, freshness and purity as the major factors deciding the preference for a particular brand of processed spices.

Amitha (1998) studied the factors influencing the consumption of selected dairy products in Bangalore city. The results of the study revealed that, income and price significantly influenced the consumption of table butter. Price had a negative impact and income a positive impact on consumption.

Srinivasan (2000) reported that, consumer with higher educational level was found to consume more processed products. The quantities of processed fruit and vegetable products were consumed more in high-income group. The tolerate limit of price increase identified was less than 5%, any price change above this limit, would result in discontinuance of the use processed product. Consumers preferred processed products because of convenience of ready to eat form.

Kamalaveni and Nirmala (2000) reported that, there is complete agreement between ranking given by the housewives and working women regarding the reasons promoting them to buy Instant food products. Age, occupation, education, family size and annual income had much influence on the per capita expenditure of the Instant food products.

Nandagopal and Chinnaiyan (2003) conducted a study on brand preference of soft drinks in rural Tamil Nadu, using Garrets ranking technique, to rank factors influencing the soft drinks preferred by rural consumer. They found that, the product quality was ranked as first, followed by retail price. Good quality and availability were the main factors, which influenced the rural consumers of a particular brand of a product.

Prell et al. (2002) conducted a study to examine the factors influencing adolescents' fish consumption in school. Fish consumption was assessed by observation on 4 occasions. Attitudes towards the fish, friends' behaviour and perceived control were important predictors of the intention to eat fish and barriers for fish consumption were a negative attitude towards both smell and accompaniments and fear of finding bones. But the eaters of fish were more satisfied with the taste, texture and appearance of the fish and rated safety significantly higher than those who resisted. They also thought to a greater extent that the fish was healthy and prepared with care. The results suggested that, it is important to alter dishes so that they appeal to children and to pay attention to the whole meal, accompaniments included. Finally it was recommended to convey the pupils that the fish served would be healthy and prepared with care.

The study conducted by Shivkumar (2004) showed that the consumer, irrespective of income groups, was mainly influenced to purchase by the opinions of their family members. Consumers are influenced by the dealers recommendation, fallowed by advertisement.

Nagaraja (2004) opined that, buying behaviour is very much influenced by experience of their own and of neighbour consumers and his own family. The involvements of his own family members were exerting maximum influence on his purchases. Above all, the quality of the product and its easy availability were the primary and the vital determinants of his buying behaviour. Consumers were influenced by touch and feel aspect of any promotional activity.

Kubendran and Vanniarajan (2005) elicited that; the change in consumption pattern was due to changes in food habits. If income and urbanization increase among consumers, the percentage of income spent on consumption increases. The urban consumers preferred mostly branded products compared to rural consumers. The most significant factors influencing buying decisions were accessibility, quality, regular supply, door delivery and the mode of payment.

Brand Loyalty

Singh and Singh (1981) found that consumers had single or multi-brand loyalty based on the nature of product, like necessities or luxuries. Brand choice and store loyalty were found to affect the brand loyalty of the consumer. The factors that influence and strengthen loyalty to brand were quality of product, habit of use and ready and regular availability.

Shanmugasundaram (1990) studied about soft drink preference in Vellore town of north Arcot district in Tamil Nadu. The study revealed that, the most preferred soft drink among respondents as Gold Spot (26%), followed by Limca (24.80%). It was found that taste was the main factor for preference of particular brand and among the media; television played a vital role in influencing consumer to go for particular brand. Because of convenience in carrying, tetra pack was most preferred one.

Ali (1992) studied the brand loyalty and switching pattern of processed fruit and vegetable products in Bangalore city by using Markov Chain analysis. The result of study revealed that Kissan brand of jam and Maggi brand of ketchup had a maximum brand loyalty among consumers, and less amount of brand switching occurred for these brands.

Frederick Reichheld (1994) pointed out in his book, The Loyalty Effect, that, customers equity effectively explains success and failure in business. The companies with the highest retention rates also earn the benefit profits. Relative retention explains profits better than market share, scale, cost position or any other variable associated with competitive advantage.

Ranganatham and Shanthi (1995) conducted a study on brand image among refrigerators in Tamil Nadu. The study revealed that Kelvinator scored higher for working of its power saving compressor, cooling power and its price was considered, except for defrost and new features. Voltas brand clearly outperformed others with respect to working of defrost system and always caused satisfaction with the models available under its brand name. The potential buyers felt that Godrej and Voltas had got a well-known corporate identity.

Hans et al. (1996) revealed that, the brand switching of consumer was based on variety seeking behaviour, motivations, curiosity and price motive. Veena (1996) studied brand switching and brand loyalty of processed fruit and vegetable products in Karnataka state by using Markov Chain Analysis. The result of the study revealed that Maggi, Sil and Kissan were having market retention of 74.20, 55.78 and 48.74 per cent, respectively for jam products. The equilibrium shares determined in order to predict future market position among the different brand showed that in long run, shares of Kissan, Rex. Other brands were likely to decline, mainly on account of increased market shares of Gala, Sil and Maggi.

Aaker (1997) studied about building brands without mass media. He revealed that, several companies in Europe have come with alternative age. Various companies share characteristics that could serve as guidelines for any company hoping to build successful brand. The major characteristics are (i) Senior managers were carefully involved with brand buildings efforts. (ii) The companies recognized the importance of clarifying the core brand identity and they made sure that all their efforts to given visibility were lead to that core identity, studying methods of companies outside ones own individual and country can be instructive for managers.

Ashalatha (1998) studied the factors influencing the performance of BAMUL milk for a sample of 100 respondents. The study revealed that the factors such as door delivery, clean packing, quality, hygienic preparation, time saving and reliability, good value for money, freshness and desired flavour were important in the order in influencing the decision of buyers for BAMUL milk.

Padmanabhan (1999) conducted study on brand loyalty, which revealed that the price of the preferred brand, efficiency of the preferred brand and influence of advertisement significantly influenced the brand loyalty. Only when the price of a particular brand is comparatively low, the farmers would naturally prefer to low priced brand. Otherwise farmers would naturally continue to purchase the same brand.

Raj Reddy and Pruthviraju (1999) studied about buying motives of rural consumers about seeds and different sources of information about brands with regard to seeds. It was found that factors influencing brand loyalty of farmers were dealers suggestions, quality product and co-farmers. The problems faced by farmers were supply of seed or poor quality seed, higher price, adulteration and irregular supply of seeds.

Burke (2001) created a brand equity index comprising of three components, best described as brand equity molecule. This is overarching device of retaining and attracting customers. The three atoms, which embedded to molecule, were image, value and loyalty. Image and value perceptions pull in new customers, while loyalty retains customers.

White (2001) examined the factors motivating US specialty food and beverage buyers to make purchases via the Internet. More than half (55.6%) of the respondents who purchased items available locally and 39% of the respondents who purchased items that were not available locally cited convenience as a motivator. Nearly one-third of all respondents indicated that their purchase was motivated by product-related factors, such as, brand loyalty, previous experience with a retailer, product selection, perceived quality and/ product experimentation. Price was of relatively little importance to respondents, with 22% citing it as a purchase motivator.

Kamenidou (2002) presented the findings on the purchasing and consumption behaviour of Greek households towards three processed peach products: canned peaches in syrup, juice and peach jam. The results revealed that 47.5% of the households purchased canned peaches in syrup, 67.4% purchased peach juice and 42.6% purchased peach jam. Reasons for such purchase were satisfactory taste and qualities and households' perception that they are healthy products. The results also indicated that the consumption quantities were considered low, while households usually purchased the same brand name, meaning that there is a tendency for brand loyalty.

Price and Connor (2003) identified the determinants of coupon values at the brand level within the context of a complex marketing programme. The results revealed that, higher brand prices caused coupon values to rise, supporting the price discrimination hypothesis. Coupon values fall with in-store displays and more intense advertising, but rise when couponed products are featured in store flyers. Discount levels are positively related to brand market share and the size of discounts redeemed for rival cereals. Coupon values fall with increasing brand loyalty among RTE cereal purchasers. Cereal prices are positively affected by coupon values, advertising expenditures, input costs and the prices of competing brands.

Nick Wreden (2004) in his book entitled Fusion branding: how to forge your brand or the future, reveals that, branding has a little secret; it doesnt know how to count. But the author mentioned the measure of brand is a pseudo-measurement, i.e., brand equity. It can be used to overcome the inability of traditional accounting to measure intangible strategic assets, like perceived quality, brand and channel resources, rose to power point fame in marketing for several reasons. It appeared to quantify intuitive recognition about the value of the brands. It incorporated two brand strengths its standing with purchases and perception among prospects and customers. Brand strength provides a means to rank winners and losers in branding wars.

Rajarashmi and Sudarsana (2004) revealed that, almost all the sample respondents preferred branded products and if their favorite brand is not available in the retail shop, they will go for another store and their favorite brand. If it is not available in the market, the respondents are ready to postpone their decision.

Kim-Hyunah et al. (2005) analyzed the relationship among brand equity factors (brand awareness, brand image, brand preference and brand loyalty) and suggested a strategy for brand management in contract food service management companies. He concluded that brand awareness has positive effect on brand image and brand preference and recommended that the contract food service companies should focus on improving brand awareness as a brand strategy. In addition, brand preference and brand image have significant positive effects on brand loyalty. Thus, the companies should strive to strengthen brand loyalty through building brand preference and brand image. Brand loyalty promotes more customer visits, which is directly related to profitability of contract food service management companies, the authors concluded.

Al-Weqaiyan (2005), using the attitude behaviour model, conducted a cross-national study of purchase intentions of fast-food meals in Kuwait, where creating and maintaining a strong brand loyalty is essential to long-term marketing success. He reported that, repurchase intent is a function of four sets of independent factors such as (1) Attitude that results mainly from earlier experiences with the brand;(2) Perceived barriers to switching from the present brand; (3) tendency to seek variety to break the boredom resulting from engaging in consistent brand choices; and (4) cultural differences represented in some traits of the national character. The results revealed that factors affecting repurchase intents vary across the two cultures.

Narang (2006) opined that, a buyer does not stick to one brand in case of food purchasing. They should be able to recall different brand names when they go for purchase. Repetitive advertising can be used to promote brand recall. The product should be associated with style and trend, so that it appeals to the youth and the brand name should be developed as a fashion statement. Promotional schemes such as discount and free offers with purchase are suggested to increase rates.

Vincent (2006) elicited that quality is an important factor that draws consumers towards branded products. Branded products are accepted as good quality products. People do not mind paying extra for branded products, as they get value for money. Media is a key constituent in promoting and influencing brand. A childs insistence affects familys buying behavior. Children are highly aware and conscious of branded items. Although unbranded products sometimes give same satisfaction as branded products, customers would still prefer to purchase a branded product.

Demand Potential

Alderman (1987) attempted to estimate the demand for milk supplied by the co-operative sector, taking into consideration the socio-economic status of the producers and consumers. It was estimated that the average expenditure on milk by the sample consumers was 9 per cent and the elasticity was 0.0113. It was also observed that the demand for milk products, especially ghee, yogurt and butter, were rapidly increasing compared to that of milk.

Mergos and Donatos (1989) applied the Almost Ideal Demand System model for annual food expenditure in Greece for the period from 1950-1986. The empirical results showed that milk had an income elasticity of 0.76, which was the highest. The demand for milk, dairy products and eggs was high and had a rather stable food budget share. Meat had acquired a dominant position as indicated by its fourfold increase in quantity, but had low price elasticity.

Sharma and Vashisi (1991) used secondary data from various sources to project the demand and supply of milk in Himachal Pradesh. The income elasticity of milk was derived using double exponential function. Income elasticity was used as proxy for expenditure elasticity. The results showed that demand for milk would depend upon growth of human population, urbanization and growth in real income of people. The income elasticity of demand for milk was 0.89. The projected demand for 2000 A.D. was 122.28 litres per capita per year and the expected increase in total demand was 7,84,170 tonnes.

Singh et al. (1993) made an attempt to estimate demand for and supply of milk in Haryana by considering factors like growth in population, growth in per capita income and urbanization. The study revealed that current and future milk production in Haryana would meet the minimum nutritional requirement during the period (1987-88 to 2004-05). There was about 11.63 lakh tonnes surplus milk in the year 1987-88 and there would be about 24.52 lakh tonnes of surplus milk after meeting nutritional requirement of milk by the end of 2004- 05. However, the demand for milk was to be met up to 1995-96. After that Haryana state would be marginally deficit in milk production.

Durga and Murthy (1995) attempted to estimate demand for food in urban and rural areas using NSS data. The popular Almost Ideal Demand System was used for this purpose. Demand projections were made under two alternative income growth scenarios for the period from 1988-89 to 1992-93. The two-model variant was found to forecast the demand differently. It was concluded that the cereal consumption declined over the years in urban India, signaling shift in consumers taste and preference away from cereals.

Pagire and Shinde (1999) conducted a study on the demand for and supply of grapes in Maharashtra, considering recommendation of 120 gms of fruits per capita per day by the ICMR (Indian Council of Medical Research). The demand (requirement) for grapes in the state was estimated for the year 2001 AD for the projected population of the state (8.68 crores). The estimated requirement was 93.72 thousand metric tonnes at the rate of 20 gms per capita per day and it was 140.62 thousand metric tonnes at the rate of 30 gms per capita per day for the state.

Selvaraj and Sundavaradarajan (1999) undertook a study of demand for and supply of fruits and vegetables in Tamil Nadu, using time series data with the assumption of 1.30 per cent growth in population for 2000 and based on minimum per capita requirement of 32.85 kg/year of fruits and 103.66 kg/year of vegetables. These were estimated at 20.40 lakh tonnes, respectively for 2000 AD. Nearly 10.50 per cent of annual production as waste due to lack of preservation, one percent of annual production for processing, 20 percent for post- harvest losses and one percent for industrial processing were included in estimating the total requirement. The study suggested that, increasing the possible area through wasteland management for growing fruit trees and vegetables could arrest the low production. The horticultural farms could be made to stabilize productivity through technological breakthrough.

Paroda et al. (2000) projected household and domestic demand for food products between the years 2000 and 2030 in different south Asian countries. It was observed that the consumption of cereals would decline with the increasing share of fruits, vegetables, milk, meat, eggs and fish in the diet. The household and domestic demand for food grains was projected to grow by 1.2 percent, by 2030. In view of the vast agricultural potential remaining under-realized, the study suggested production-enhancing strategies.

Herrmann et al. (2001) aimed at explaining theoretical aspects of pricing consumer behaviour and to analyze them with reference to groups of breakfast products and results indicated that, demand was greatest for products with a long storage life, such as coffee. It appears likely that consumers bought some items only during special offer periods. He found there was very strong consumer reaction to price changes for jams and breakfast cereals. An active pricing policy, thus, represents a central marketing instrument in food retailing; this is consistent with strong consumer reaction to price changes.

Hajarika and Sarma (2001) projected demand for and supply of rice in Assam for 2010-11, by using secondary data from various sources for the period of 1980-81 to 1994-95 for the six agro-climatic regions or zones. The study estimated that the aggregate demand for rice in 2010-11 for the state as a whole would be 63.84 lakh tonnes and the production or supply of rice in the state would be 45.17 lakh tonnes. The study also observed that the state would face a deficit of 18.67 lakh tonnes of rice in 2010-11 with a demand supply gap of 29.24 per cent.

Banumathy and Hemameena (2006) in their study suggested that, the companys manufacturing soft drinks must manufacture high quality soft drinks in order to compete with soft drinks of multinational companies (MNC). The MNCs can promote demand by effective advertising, improving quality by keeping a check on the taste and price. They can adopt innovative improvements in the production and marketing of soft drinks in order to compete with the international brands. Study also revealed that there is no association between age, education, occupation and choice of brands but there is association between monthly income and brand preference and also there is close relationship between price and satisfaction level.

1. RESEARCH METHODOLOGYResearch type

Descriptive research

Source of data

Primary data was collected through survey of customers using refined oil users in Virudhu nagar district. Secondary data was collected from previous research by various authors on this topic, retail biz magazine and articles and reports on the internet.

Research tool

Structured questionnaire

Sample design

Sample size: 300 samples

Sampling technique: simple random sampling.

Instrument design

First two questions of the questionnaires are for identifying the shopping behaviour and frequency of the organic consumers. One of the next two questions regarded to the first purchase time and the other one measure the knowledge and opinion about image of organic products in a five point scale form from strongly agree to strongly disagree and sixth point is used for dont know answer. The following multi optional two questions are figuring out which shopping places are visited mostly and what can be the choice in the future.

In the next section there are two set of attitude measurement questions are directed to the respondents in again five point likert scale form from strongly agree till strongly disagree and one point added for dont know answer. The following two multiple choice questions are given to understand product group choices of product consumption

Data Analysis

The researcher has used inferential statistics (through SPSS 17) in order to draw a conclusion. Result of the study has been put in tables and graphs for easy understanding of the findings of the research.

Statistical tools

Reliability test, Percentage analysis, correlation analysis, weighted average and one way ANOVA.

4. ANALYSIS AND INTERPRETATION4.1 Percentage analysis

Table 1: Age wise classification

AgeFrequencyPercent

Less than 20 years6421.3

21-30 years11438.0

31-40 years5719.0

41-50 years6521.7

Total300100.0

InferenceAbove table infers that 21.33% of the respondents are less than 20 years old, 38% of the respondents are 21-30 years old, 19% of the respondents are 31-40 years old and remaining 21.67% of the respondents are 41-50 years old.

Table 2: Gender wise classification

GenderFrequencyPercent

Male12943.0

Female17157.0

Total300100.0

Inference

This table shows that 43 % of the respondents are male and remaining 57 % of the respondents are female.

Table 3: Occupation wise classification

OccupationFrequencyPercent

House wife13344.3

Student6220.7

Business93.0

Private employee8628.7

Government employee103.3

Total300100.0

InferenceThis table shows that 44.33 % of the respondents are house wife, 20.67% of the respondents are students, 3 % of the respondents are doing business, 28.67% of the respondents are private employees and 3.33 % of the respondents are government employees.

Table 4: Income wise classificationFamily incomeFrequencyPercent

Less than 10000Rs11438.0

10001-20000Rs6120.3

20001-30000Rs217.0

30001-40000Rs9230.7

More than 40000Rs124.0

Total300100.0

InferenceThe above table infers that 38% of the respondents are earning less than 10000 Rs, 20.33% of the respondents are earning 10001-20000 Rs, 7 % of the respondents are earning 20001-30000 Rs, 30.67% of the respondents are earning 30001-40000 Rs and only 4 % of the respondents are earning more than 40000Rs.Table 5: Family type wise classification

Family typeFrequencyPercent

Joint14147.0

Nuclear15953.0

Total300100.0

Inference

Table 5 shows that 47% of the respondents are joint family and remaining 53 % of the respondents are nuclear family.

Table 6: Family member wise classificationFamily membersFrequencyPercent

2 members12040.0

3-5 members14548.3

More than 5 members3511.7

Total300100.0

InferenceThis table shows that 40 % of the respondents are have 2 members in their family, 48.33% of the respondents are having 3 to 5 members in their family and remaining 11.67% of the respondents having more than 5 members in the family.

Table 7: Quantity purchased per month

Quantity purchasedFrequencyPercent

One liters8127.0

2 liters3812.7

3-5 liters8528.3

More than 5 liters9632.0

Total300100.0

InferenceAbove table infers that 27% of the respondents are purchasing one liter of refined oil every month, 12.67 % of the respondents are purchasing 2 liters of refined oil, 28.33% of the respondents are purchasing 3-5 liters of refined oil and 32 % of the respondents are purchasing more than 5 liters of refined oil every month.

Table 8: Brands of refined oil currently usingBrands of refined oil currently usingFrequencyPercent

Fortune217.0

Saffola155.0

Sundrop5418.0

Gold winner8227.3

Idhayam12842.7

Total300100.0

InferenceTable 8 shows that 7% of the respondents are using Fortune refined oil, 5% of the respondents are using Saffola refined oil, 18% of the respondents are using Sundrop refined oil, 27.33% of the respondents are using Gold winner refined oil and 42.67% of the respondents are using Idhayam refined oils.

Table 9: Packing preference

Packing preferenceFrequencyPercent

250 ml8428.0

500 ml5418.0

1 liter8127.0

5 liter8127.0

Total300100.0

InferenceThe above table infers that 28% of the respondents are prefers 250 ml packs, 18 % of the respondents are prefers 500 ml packs, 27 of the respondents are prefers 1 liter packs and 5 liter packs.Table 10: awareness of Idhayam oil products

Awareness of Idhayam oil productFrequencyPercent

Idhayam sesame oil5016.7

Sim Sim sesame oil6120.3

Delit sesame oil9832.7

Mantra peanut oil3712.3

Vanga refined oil5418.0

Total300100.0

InferenceFrom the above table infers that 16.67% of the respondents are aware of Idhayam sesame oil, 20.33% of the respondents are aware of Sim Sim sesame oil, 32.67% of the respondents are aware of Delit sesame oil and 12.33% of the respondents are aware of Mantra peanut oil and remaining 12% of the respondents are aware of Vanga refined oil.

Table 11: Frequency of PurchaseFrequency of purchaseFrequencyPercent

Weekly twice8829.3

Weekly once4113.7

Monthly once7725.7

Occasionally9431.3

Total300100.0

InferenceTable shows that 29.33% of respondents are purchasing refined oil weekly twice, 13.67% of the respondents are purchasing weekly once, 25.67% of respondents purchasing monthly once and 31.33% of the respondents purchasing occasionally.

Table 12: Source of informationSource of informationFrequencyPercent

Retail display8327.7

Newspaper3712.3

TV/ Radio8428.0

Friends/ relatives9632.0

Total300100.0

InferenceAbove table shows that 27.67% of respondents knows about Idhayam refined oil by retail displays, 12.33% of respondents knows by newspapers and magazines, 28% of the respondents knows through television and radio advertisement and 32% of the respondents knows by word of mouth information like friends and family.

4.2 Reliability Test

Table 13: Reliability test

Cronbach's AlphaN of Items

0.74225

Inference

Table shows Cronbach's alpha is0.742, which indicates a high level of internal consistency for scale with this specific sample.

4.3 Descriptive statistics

Table 14: Ranking of consumer usage attributes

FactorsStrongly agreeAgreeNeutralDisagreeStrongly disagreeTotal weightRank

Weight54321

Traditional usage96743937543.4033

Liked by the family140513032473.6831

Adds taste to food while eating75754446603.1976

Low cloistral94663955463.3575

Vitamins & minerals86913831423.3734

Influence of friends or relatives117743136543.6672

Inference

Above table infers that liked by the family is the top ranked usage of Idhayam refined oil with the mean value of 3.68, influence of friend or relative is the second top ranked usage attributes with the mean value of 3.667. Traditional usage is the third ranked factor with mean value of 3.40, vitamins and minerals are the fourth ranked factor with mean value of 3.37. Low cloistral is the next ranked usage attributes. Adds taste to food while eating is the last ranked usage attribute of the Idhayam refined oil with mean value of 3.19.Table 15: Ranking of customer preference attribute

Factors Strongly agreeAgreeNeutralDisagreeStrongly disagreeTotal weightRank

Weight54321

Reasonable price131662031523.6431

Quality111752637513.5273

Convenience of the product95813642463.4575

Packaging design87832950513.3508

Retailers influence101773246443.4834

Ready available103443045783.1639

Brand image100853240433.5302

Advertisements101693543523.4136

Packaging95743255443.4037

Inference

This table infers that reasonable price is the top ranked customer preference attribute with the mean value of 3.643, brand image of the product is second ranked customer preference attribute with the mean value of 3.53, quality of the product is the third ranked customer preference attribute with mean value of 3.527, retailer influence is the fourth ranked attribute with the mean value of 3.483, convenience of the product is fifth ranked variable with mean value of 3.457, advertisement is the sixth ranked variable, packaging of the product is seventh ranked attribute with mean value of 3.403, packaging design and the availability of the products are the last ranked factors.Table 16: Ranking of customer satisfaction attributes


Weight54321

Quality121683433443.6301

Taste103692850503.4175

Different packaging size122701747443.5972

Brand image100763638503.4603

Price96852744483.4574

Flavors/ types93653243673.2476

Inference

This table infers that quality is the top ranked customer satisfaction attribute with the mean value of 3.30, different package size is next ranked satisfaction attribute with the mean value of 3.597, brand image is the third ranked attribute with mean value of 3.460, price of the product is fourth ranked variable with mean value of 3.45, Taste of the product is fifth ranked attribute with the mean value of 3.417. Types and flavors are the sixth ranked satisfaction attributes with the mean value of 3.247.

Table 17: Ranking for brand loyalty attributes


Weight54321

Purchase the brand even if price increases82913947413.4201

Purchase the same brand even in case of absence of sales promotion77714964393.2772

Recommend the brand to others80643455673.1174

Confirm to use the brand84665048523.2733

Inference

Above table shows that purchase the brand even price increases is the top ranked brand loyalty attribute with mean value of 3.42, purchase the same brand even in case there is no sales promotion is the second ranked brand loyalty attribute with the mean value of 3.277, confirm to use the brand is the third ranked variable with the mean value of 3.273. Recommend to others and confirm to use the same brand is the last ranked attributes with the mean value of 3.117.

4.4 Correlation analysis Table 18: Correlation between customer satisfaction and brand loyalty variablesH0: There is no association between customer satisfaction and brand loyalty variablesH1: There is an association between customer satisfaction and brand loyalty variables12345678910

QualityPearson Correlation1.176**.095.226**.174**.132*.055.116*.132*.221**

Sig. (2-tailed).002.102.000.003.022.340.044.022.000

N300300300300300300300300300300

TastePearson Correlation.176**1.109.156**.121*.000.063.061.167**.059

Sig. (2-tailed).002.060.007.036.997.276.289.004.307

N300300300300300300300300300300

PricePearson Correlation.095.1091.105-.009.145*.128*.062.190**.196**

Sig. (2-tailed).102.060.069.880.012.027.286.001.001

N300300300300300300300300300300

Brand imagePearson Correlation.226**.156**.1051.074.187**.062.121*.236**.181**

Sig. (2-tailed).000.007.069.200.001.284.037.000.002

N300300300300300300300300300300

Different packaging sizePearson Correlation.174**.121*-.009.0741.048.106.102.073.104

Sig. (2-tailed).003.036.880.200.403.067.078.208.072

N300300300300300300300300300300

Flavors/ typesPearson Correlation.132*.000.145*.187**.0481.129*-.025.160**.218**

Sig. (2-tailed).022.997.012.001.403.025.661.006.000

N300300300300300300300300300300

Confirm to use the brandPearson Correlation.055.063.128*.062.106.129*1.094.168**.150**

Sig. (2-tailed).340.276.027.284.067.025.105.003.009

N300300300300300300300300300300

Recommend the brand to othersPearson Correlation.116*.061.062.121*.102-.025.0941.051.095

Sig. (2-tailed).044.289.286.037.078.661.105.381.102

N300300300300300300300300300300

Purchase the brand even if price increasesPearson Correlation.132*.167**.190**.236**.073.160**.168**.0511.165**

Sig. (2-tailed).022.004.001.000.208.006.003.381.004

N300300300300300300300300300300

Purchase the same brand even in case of absence of sales promotionPearson Correlation.221**.059.196**.181**.104.218**.150**.095.165**1

Sig. (2-tailed).000.307.001.002.072.000.009.102.004

N300300300300300300300300300300

**. Correlation is significant at the 0.01 level (2-tailed).

*. Correlation is significant at the 0.05 level (2-tailed).Inference

Above table infers that customer satisfaction variables having weak relation with customer loyalty variables. Confirm to use the product is having weak relation with brand image size and type and flavors of the product. Recommend the brand to others is having weak relation with product taste and different package size, purchase same brand if price increases is having weak relation with product taste, price, brand image, different package size and type/ flavors of the product. Purchase the same brand even in case of absence of sales promotion is having weak relation with taste, brand image, different package size and flavors and types.

4.5 ANOVA

Table 19: ANOVA between refined oil brands and opinion consumer usage variablesH0: There is no difference between refined oil brands with respect to opinion about low cloistral and vitamins in refined oil.

H1: There is a difference between refined oil brands with respect to opinion about low cloistral and vitamins in refined oil.Sum of SquaresdfMean SquareFSig.

Low cloistralBetween Groups7.42441.8560.8620.487

Within Groups635.4132952.154

Total642.837299

VitaminsBetween Groups14.69643.6741.7590.137


Total630.747299

Inference

Above table infers that significance P value is greater than 0.05 for low cloistral, hence null hypothesis is accepted. There no difference between refined oil brands with respect to opinion about low cloistral in refined oil. Above table infers that significance P value is greater than 0.05 for vitamins, hence null hypothesis is accepted. There no difference between refined oil brands with respect to opinion about vitamins in refined oil.

Table 20: ANOVA between refined oil brands and opinion about consumer preference variables of the refined oil

H0: There is no difference between refined oil brands with respect to opinion about consumer preference variables of the refined oil. H1: There is a difference between refined oil brands with respect to opinion about consumer preference variables of the refined oil.Sum of SquaresdfMean SquareFSig.

QualityBetween Groups22.53645.6342.436.047


Total704.837299

Reasonable priceBetween Groups7.13441.784.821.513


Total648.250299

Ready availableBetween Groups1.3744.343.160.958


Total632.917299

Inference

Above table infers that significance P value is less than 0.05 for quality, hence null hypothesis is rejected. There is a difference between refined oil brands with respect to opinion about quality of the refined oil. Significance P value is greater than 0.05 for reasonable price and product availability, hence null hypothesis is rejected. There is no difference between refined oil brands with respect to opinion about price and availability of the refined oil.Table 21: ANOVA between refined oil brands and opinion about customer satisfaction variables of the refined oil

H0: There is no difference between refined oil brands with respect to opinion about customer satisfaction variables of the refined oil. H1: There is a difference between refined oil brands with respect to opinion about customer satisfaction variables of the refined oil.Sum of SquaresdfMean SquareFSig.

QualityBetween Groups11.63542.9091.361.247


Total641.930299

Taste Between Groups5.09541.274.558.694


Total678.917299

Price Between Groups12.56243.1411.400.234


Total674.197299

Brand imageBetween Groups21.65945.4152.540.040


Total650.520299

Inference

Above table infers that significance P value is less than 0.05 for brand image, hence null hypothesis is rejected. There is a difference between refined oil brands with respect to opinion about brand image of the refined oil. Significance P value is greater than 0.05 for taste, quality and price, hence null hypothesis is rejected. There is no difference between refined oil brands with respect to opinion about for taste, quality and price of the refined oil.Table 22: ANOVA between refined oil brands and opinion about customer satisfaction variables of the refined oil

H0: There is no difference between refined oil brands with respect to opinion about brand loyalty variables of the refined oil.

H1: There is a difference between refined oil brands with respect to opinion about brand loyalty variables of the refined oil.

Sum of SquaresdfMean SquareFSig.

Recommend the brand to othersBetween Groups22.53645.6342.436.047


Total704.837299

Purchase the brand even if price increasesBetween Groups7.13441.784.821.513


Total648.250299

Purchase the same brand even in case of absence of sales promotionBetween Groups1.3744.343.160.958


Total632.917299

Inference

Above table infers that significance P value is greater than 0.05 for all the above variables, hence null hypothesis is accepted. There is a difference between refined oil brands with respect to opinion about brand loyalty variables of the refined oil.

4.6 Chi square analysis

Table 23: Chi square between Occupation and brand of currently using refined oil

H0: There is no association between Occupation and brand of currently using refined oil.H1: There is an association between Occupation and brand of currently using refined oil.

Cross tabulation

Cross tabulation Brands of refined oil currently usingTotal

FortuneSaffolaSundropGold winnerIdhayam

OccupationHouse wife96184159133

Student3613142662

Business211059

Private employee6121233586

Government employee1114310

Total21155482128300

Chi square tableValuedfAsymp. Sig. (2-sided)

Pearson Chi-Square19.418a16.248

Likelihood Ratio21.06916.176

Linear-by-Linear Association.6091.435

N of Valid Cases300

Inference

Above table infers that significance of chi square is greater than 0.05, hence null hypothesis is accepted. There is no association between Occupation and brand of currently using refined oil.

Table 24: Chi square between family type and package preferenceH0: There is no association between family type and package preference.H1: There is an association between family type and package preference.

Cross tabulation

Cross tabulation Packing preferenceTotal

250 ml500 ml1 litre5 litre

Family typeJoint42253935141

Nuclear42294246159

Total84548181300

Chi square table

ValuedfAsymp. Sig. (2-sided)

Pearson Chi-Square.824a3.844

Likelihood Ratio.8263.843


N of Valid Cases300

Inference

Above table infers that significance of chi square is greater than 0.05, hence null hypothesis is accepted. There is no association between family type and package preference.Table 25: Chi Square between family type and quantity purchased per monthH0: There is no association between family type and quantity purchased per month.H1: There is an association between family type and quantity purchased per month.

Cross tabulation

Cross tabulation Quantity purchased per monthTotal

One litres2 litres3-5 litresMore than 5 litres

Family typeJoint41184042141

Nuclear40204554159

Total81388596300

Chi square table

ValuedfAsymp. Sig. (2-sided)

Pearson Chi-Square.835a3.841

Likelihood Ratio.8353.841


N of Valid Cases300

Inference

Above table infers that significance of chi square is greater than 0.05, hence null hypothesis is accepted. There is no association between family type and quantity purchased per month.FINDINGS Above interpretations shows that many respondents are falling on 21-30 years age group, many of the respondents are females. Major respondents are house wives and private employees. Most of the respondents family is getting less than 10000 rupees as monthly earnings. 53% of the respondents are belongs to nuclear family type and in their family they have 3 to 5 members.

Many respondents purchasing (32%) more than 5 liters of refined oil every month, particularly many of them (43%) are using Idhayam refined oil for cooking, they prefer 1 liter and 5 liter packs. So they made purchase occasionally. Idhayam oils have different verities in that Delit sesame oil is most popular brand. Word of mouth information play major role in promotion. Many respondents know about the Idhayam refined oils from their friends and family.

Reliability test shows Cronbach's alpha is0.742, which indicates a high level of internal consistency for scale with this specific sample. Weighted average for consumer usage opinion shows that liked by the family is the top ranked usage of Idhayam refined oil with the mean value of 3.68, influence of friend or relative is the second top ranked usage attributes with the mean value of 3.667. Traditional usage is the third ranked factor with mean value of 3.40, vitamins and minerals are the fourth ranked factor with mean value of 3.37. Low cloistral is the next ranked usage attributes. Adds taste to food while eating is the last ranked usage attribute of the Idhayam refined oil with mean value of 3.19. Weighted average consumer preference opinion show that reasonable price is the top ranked customer preference attribute with the mean value of 3.643, brand image of the product is second ranked customer preference attribute with the mean value of 3.53, quality of the product is the third ranked customer preference attribute with mean value of 3.527, retailer influence is the fourth ranked attribute with the mean value of 3.483, convenience of the product is fifth ranked variable with mean value of 3.457, advertisement is the sixth ranked variable, packaging of the product is seventh ranked attribute with mean value of 3.403, packaging design and the availability of the products are the last ranked factors.

Weighted average for customer satisfaction opinion shows that quality is the top ranked customer satisfaction attribute with the mean value of 3.30, different package size is next ranked satisfaction attribute with the mean value of 3.597, brand image is the third ranked attribute with mean value of 3.460, price of the product is fourth ranked variable with mean value of 3.45, Taste of the product is fifth ranked attribute with the mean value of 3.417. Types and flavors are the sixth ranked satisfaction attributes with the mean value of 3.247.

Weighted average for brand loyalty opinion shows that purchase the brand even price increases is the top ranked brand loyalty attribute with mean value of 3.42, purchase the same brand even in case there is no sales promotion is the second ranked brand loyalty attribute with the mean value of 3.277, confirm to use the brand is the third ranked variable with the mean value of 3.273. Recommend to others and confirm to use the same brand is the last ranked attributes with the mean value of 3.117. Correlation analysis infers that customer satisfaction variables having weak relation with customer loyalty variables. Confirm to use the product is having weak relation with brand image size and type and flavors of the product. Recommend the brand to others is having weak relation with product taste and different package size, purchase same brand if price increases is having weak relation with product taste, price, brand image, different package size and type/ flavors of the product. Purchase the same brand even in case of absence of sales promotion is having weak relation with taste, brand image, different package size and flavors and types. ANOVA shows that there no difference between refined oil brands with respect to opinion about low cloistral in refined oil. There no difference between refined oil brands with respect to opinion about vitamins in refined oil. There is a difference between refined oil brands with respect to opinion about quality of the refined oil. There is no difference between refined oil brands with respect to opinion about price and availability of the refined oil. There is a difference between refined oil brands with respect to opinion about brand image of the refined oil, there is no difference between refined oil brands with respect to opinion about for taste, quality and price of the refined oil and there is a difference between refined oil brands with respect to opinion about brand loyalty variables of the refined oil.

Chi square analysis shows that there is no association between Occupation and brand of currently using refined oil. There is no association between family type and package preference. There is no association between family type and quantity purchased per month.SUGGESTION Most of the respondents in the study are not purchasing other brands of Idhayam refined oil except Delit sesame oil; even other refined oils of Idhayam are also same as like delit oil and ready available in the market. Hence importance and awareness towards other brand of Idhayam should be created through various media or literatures particularly in the rural areas.

Geography for this research area covers many small villages, so Idhayam must concentrate on rural marketing in order to capture the rural market.

The study revealed that in majority of the households women made the buying decisions of refined oils. Sales promotions should target this group.

Consumers feel Idhayam brand price is reasonable, but some competitors price is low compared to Idhayam brands. Thus effort may be made to reduce the price of this product so as to increase its sale.

The retailers influence plays very important role in the purchasing of refined oils and retail shops are the important source of purchase of these products by consumers, retailers should be given training and incentives to promote sales.

There is a general perception among the consumers that refined oils are expensive than other homemade oils and local brands, efforts must be made to overcome this perception by trade shows and publicity.

CONCLUSIONAccomplishing this project on brand awareness and preference on Idhayam refined oil was an excellent and knowledge gaining experience for me. Despite small sample size for questionnaire this project helped me to know the view of customer and common people towards the brand preference of Idhayam refined oil.

Brands are now a central feature of consumer marketing, they are important in building long-term relationships with the consumer, irrespective of the type of market. Their importance is now also being recognized in other markets including service and industrial. Investing in a brand builds consumer confidence and loyalty and allows for brand stretching. It requires a consistent and long-term strategy. Only a few brands have emerged as truly global.

The customers are aware largely of the product with the help of Television and Hoardings and the product still has a way to increase its advertising channels to reach the relatively large number of people.

APPENDIX

Questionnaire

I, Veil singara velan, II MBA, Kalasalingam University doing my final year project on A study on buying behaviour of consumers towards Idhayam refined oils in Virdhunagar District. I want your precious time and support for completion of this project. I will be thankful to you if you will support me to do so. Please fill the questions of the questionnaire given below.

1. Age

a. Less than 20 years

b. 21-30 years

c. 31-40 years

d. 41-50 years

2. Gender

a. Male

b. Female

3. Occupation

a. House wife

b. Student

c. Business

d. Private employee

e. Government employee

4. Monthly income

a. Less than 10000Rs

b. 10001-20000Rs

c. 20001-30000Rs

d. More than 30000Rs

5. Family type

a. Joint

b. Nuclear

6. No of family members

a. 2 members

b. 3-5 members

c. More than 5 members

7. Quantity purchased per month

a. One litres

b. Two litres

c. Three litres

d. More than five litres

8. Which brands of refined oil are you using?

a. Fortune

b. Saffola

c. Sundrop

d. Gold winner

e. Idhayam

f. Others

9. What are the packing preferences?

a. 250 ml

b. 500 ml

c. 1 ltr

d. 5 ltr

10. Among these Idhayam oil products which one you aware mostly

a. Idhayam sesame oil

b. Sim sim sesame oil

c. Delit sesame oil

d. Mantra peanut oil

e. Vanga refined oil

11. Frequency of purchase

a. Weekly twice

b. Weekly once

c. Monthly once

d. Occasionally

12. Source of information

a. Retail displays

b. Newspaper/ magazine

c. TV/ Radio advertisement

d. Friends/ relatives

13. Reasons for consuming refined oils

StatementSAANDASDA

Consumer usage

1. Traditional usage

2. Liked by the family

3. Adds taste to food while eating

4. Low cloistral

5. Vitamins & minerals

6. Influence of friends or relatives

Customer preference

1. Quality

2. Brand image

3. Retailers influence

4. Reasonable price

5. Ready available

6. Packaging

7. Advertisements

8. Packaging design

9. Convenience

Satisfaction

1. Quality

2. Taste

3. Price

4. Brand image

5. Different packaging size

6. Flavors/ types

Brand loyalty

1. Confirm to use the brand

2. Recommend the brand to others

3. Purchase the brand even if price increases

4. Purchase the same brand even in case of absence of sales promotion

BIBLIOGRAPHY Aaker, D.A., 1997, Building brands without mass media, with Eric Jouchinmsthaler. Harvard Business Rev. 75 (1) : 39-50.

Aaker David., 2000, Building Strong Brands. The Free Press, New York.

Alderman, H., 1987, Co-operative dairy development in Karnataka, India: An assessment. Res. Rep. 64. International Food Policy Research Institute, Washington, D.C., USA.

Ali, M., 1992, An analysis of fruits and vegetable processing, a comparative study of private and public sector units. MSc. (Agri) Thesis, Univ. Agric. Sci. Bangalore.

Al-Weqaiyan, A., 2005, A cross-national study of repurchase intentions of fast-food meals. J. Int. Food and Agribusiness Marketing. 17 (1) : 95-116.

Amitha, K., 1998, A study of household consumption pattern of selected dairy products in Bangalore city. MSc (Agri) Thesis, (unpublished). Univ. Agric. Sci. Bangalore.

Ashalatha, T.J., 1998, Marketing of Milk and Milk Products A case study of Bangalore urban and rural district cooperative Milk producers societies Union Limited (BAMUL). MSc. (Agri) Thesis, Univ. Agric. Sci. Bangalore.

Balaji, U., 1985, Fish consumption: A case of fish consumption behaviour in Vishakapatnam. Ind. J. Marketing, 14 (2) : 15-18.

Banumathy, S. and Hemameena, M., 2006, Analysis of brand preference of soft drinks in the global environment. Ind. J. Marketing, 36 (6) : 12-16.

Beverland, M., 2001, Creating value through brands: the ZESPRITM kiwi fruit case, British Food J. 103 (6) : 383-399.

Bristow. D. N, Schneider. K. C., and Schuler. D. K., (2002), The Brand Dependence Scale: Measuring consumers' use of brand name to differentiate among product alternatives, J. Product & Brand Management, 11 (6): 343-356.

Brown, K., Mcllveen, H., and Strugnell, C., 2000, Nutritional awareness and food preferences of young consumers in Northern Ireland. Nutrition and food Sci. 30 (4/5) : 230- 235.28

buyer perception

Documents

Transcript of buyer perception