Consumer Buying Behavior a Product

In Reliance fresh

Report

Submitted to the RNBGU for partial fulfilment of the Bachelor of Business

Administration

Submitted to: Submitted By:

Dr. Ajoy Kumar Mitra Kanak Binayakiya

Professor ENR: RNBGU201500005

School of Commerce & Management

RNB Global University, Bikaner

APRIL 2017

Acknowledgements:-

I take this opportunity to express my sincere gratitude to the following personalities without

whose help and guidance the successful completion of my project work would have been remained

a dream.

I would like to take the pleasure of this opportunity to express my heartfull gratitude to my guide

professor Dr. Ajoy Kumar Mitra (faculty member, RNB) who took personal interest and gave

valuable suggestions throughout my field work and completion of the project.

The importance of the moral support and good wishes of my parents and friends is external and I

am very much indebted to them.

I thank all my friends who directly or indirectly helped me a lot during my project.

I thank all for their valuable suggestions throughout my course.

Executive summary:-

Retailing is the interface between the producer and the individual

consumer buying for personal consumption. This excludes direct interface between the

manufacturer and institutional buyers such as the government and other bulk customers. A retailer

is one who stocks the producer’s goods and is involved in the act of selling it to the individual

consumer, at a margin of profit. As such, retailing is the last link that connects the individual

consumer with the manufacturing and distribution chain. The retail industry in India is of late often

being hailed as one of the sunrise sectors in the economy. At Kearney, the well-known

international management consultancy, recently identified India as the ‘first most attractive retail

destination’ globally from among thirty emergent markets. It has made India the cause of a good

deal of excitement and the cynosure of many foreign and domestic eyes. the entry of foreign and

Indian retail giants like Wal-Mart, metro, reliance, Birla, Tata etc. made Indian market more

competitive which is at cut throat level. So how retailers can reach to their end customers, to win

the mind share and increase the basket size of each shopping trip.

India retail industry is the largest industry in India, with an employment of around 8% and

contributing to over 10% of the country's gdp. Retail industry in India is expected to rise 25%

yearly being driven by strong income growth, changing lifestyles, and favorable demographic

pattern.

The growth of scope in the Indian retail market is mainly due to the change in the consumer’s

behavior. For the new generation have preference towards luxury commodities which have been

due to the strong increase in income, changing lifestyle, and demographic patterns which are

favorable.

Consumer buying behavior will be a primary force in determining how this transition will evolve.

Getting closer to the customer in today’s highly competitive landscape is essential for the entire

industry and is no longer just a retail issue. It requires all organizations across the supply chain to

work as a single enterprise, sensing and responding rapidly to consumer demand in a coordinated

manner. Detailed analysis of the changing patterns of consumer demand, shopping trends.

This research report is based on to know the

1- Major factors influencing consumer buying behaviour.

2- Buying decision process.

3- the stage in buying decision process

4- awareness of consumer towards organised retail sector

List of tables: -

Sr. no.

particular page number

1 name pie chart 12

2 age pie chart 12

3 gender pie chart 13

4 personal income pie chart 13

5 shopping time pir chart 13

6 shopping store pir chart 14

7 recommend to other pie chart 14

Contents Unit-1 introduction ........................................................................................................................................ 6

1.1 Historical background ................................................................................................................... 6

Unit: - 2 Research methodology ................................................................................................................... 7

2.1 Research objective .............................................................................................................................. 7

2.2 Research designing ............................................................................................................................. 7

2.2.1 Sample design .............................................................................................................................. 7

2.2.2 Sample size .................................................................................................................................. 7

2.2.3 Sample units ................................................................................................................................. 7

2.2.4 Area of data collection ................................................................................................................. 7

2.3 Mode of data collection ...................................................................................................................... 7

Unit: - 3 Company detail ............................................................................................................................... 8

Analysis ........................................................................................................................................................ 9

Finding’s ..................................................................................................................................................... 11

Interpretation ............................................................................................................................................... 12

1.Name’s : - ............................................................................................................................................. 12

2.AGE: - .................................................................................................................................................. 12

3. Gender ................................................................................................................................................. 13

4. Personal income .................................................................................................................................. 13

5. Shopping time ..................................................................................................................................... 13

6. Shopping store .................................................................................................................................... 14

7. Recommend to other people ............................................................................................................... 14

Conclusion .................................................................................................................................................. 15

Suggestion’s ................................................................................................................................................ 15

Appendix ..................................................................................................................................................... 16

Unit-1 introduction

1.1 Historical background

Back ground: - We can see many examples of businesses where, first we grow and then think

of expanding but Reliance is quite different. Reliance has developed such huge amount of

resources and capital over the years that whenever it steps into any segment it is not required

to wait for growing signal, that’s why it always thinks of expanding without any boundaries.

Reliance retail is next step by reliance which will be a pan India project.Reliance fresh is the

retail chain division of reliance industries of India which is headed by Mukesh Ambani.

Reliance has entered into this segment by opening new retail stores into almost every

metropolitan and regional area of India. Reliance plans to invest Rupees 25000 crores in the

next 4 years in their retail division and plans to begin retail stores in 784 cities across the

country. The reliance fresh supermarket chain is Reliance rupees 25,000 crore venture and it

plans to add more stores across different g, and eventually have a pan-India footprint by year

2011.

The super marts will sell fresh fruits and vegetables, staples, groceries, fresh juice bars and

dairy products and also will sport a separate enclosure and supply-chain for non-vegetarian

products. Besides, the stores would provide direct employment to 5 lakh young Indians and

indirect job opportunities to a million people, according to the company. The company also

has plans to train students and housewives in customer care and quality services for part-time

jobs.

The company is planning on opening new stores with store-size varying from 1,500 sq. ft. to

3,000 sq. ft., which will stock fresh fruits and vegetables, staples, FMCG products and dairy

products. Each store is said to be within a radius of 1-2 km of each other, in relation to the

concept of a neighbor store. However, this is only the entry roll-out that the company has

planned. Bangalore is said to have 40 stores in all by the end of the year.

In a dramatic change due circumstances prevailing in up, west Bengal and Orissa, it was

mentioned recently in news dailies that, reliance retail is moving out stocking. Reliance retail

has decided to minimize its exposure in the fruit and vegetable business and position reliance

fresh as a pure play super market focusing on categories like food, FMCG, home, consumer

durables, it, wellness and auto accessories, with food accounting for the bulk of the business.

The company may not stock fruit and vegetables in some states, Orissa being one of them.

Though reliance fresh is not exiting the fruit and vegetable business altogether, it has decided

not to compete with local vendors partly due to political reasons, and partly due to its

inability to create a robust supply chain. This is quite different from what the firm had

originally planned. when the first reliance fresh store opened in Hyderabad last October, not

only did the company said the store’s main focus would be fresh produce like fruits and

vegetables at a much lower price, but also spoke at length about its “farm-to-fork’’ theory.

The idea the company spoke about was to source from farmers and sell directly to the

consumer removing middlemen out of the way.

Unit: - 2 Research methodology

2.1 Research objective

To study consumer buying behaviour reliance fresh customer of Bikaner.

To know about the consumer awareness towards reliance fresh.

2.2 Research designing

2.2.1 Sample design

Random sampling

2.2.2 Sample size

30 respondents has selected as sample size for research

2.2.3 Sample units

Individual

40k-50k personal income

2.2.4 Area of data collection

Bikaner customer/ consumer

2.3 Mode of data collection

Questionnaire

Through google forms

Personal interview

Scheduling

Unit: - 3 Company detail

Analysis Understanding the buying behavior of reliance fresh consumers

purchase decision making pattern that is a complex amalgam of needs and desires, and is

influenced by factors such as the consumer's (1) societal role (parent, spouse, worker, etc.), (2)

social and cultural environment and norms, and (3) aspirations and inhibitions.

Buying behaviour is in the advertising, marketing, & sales and purchasing & procurement subjects.

buying behaviour appears in the definitions of the following terms: marketing research,

advertisement (ad), acorn, economic environment, activities, interests, opinions (aio) and

consumer research.

Buying behaviour appears in these other term: consumer buying behaviour.

Model of buying behavior

when I have analyzed the model of buying behavior finding that people of Bikanerare influenced

by the marketing stimuli (4 p’s) people are focused on price rather than product, place and

promotion, other factor which influenced people is the technological advancement.

marketing other buyer’s buyer’s buyer’s

stimuli stimuli characteristics decision decision

process

product economic cultural

problem

recognition product choice

price

technologi

cal social

information

search brand choice

place political personal evaluation dealer choice

promotion cultural psychological decision purchase timing

post purchase purchase amount

behaviour

cultural social

personal

culture reference

groups psychological

cycle stage motivation

subculture family economic perception

circumstances learning

life style

beliefs and

attitudes

buyer

roles and

statuses

personality

and

social class self-concept

Reference groups can have potent influence on behavior in general, and they may also be very

influential on consumer behavior, considering the ‘consumer goods segment’. Family and friends

in specific are considered before making a decision about purchasing a product. But their purchase

decision depends completely on self-opinion.

Where reference groups’ influence is operative, the advertiser should stress not only the people

who buy the product but also those who influenced the purchasing decision.

The process may be viewed as starting when the consumer engages in problem recognition.

Problem recognition occurs when the consumer is activated by awareness of a sufficient difference

between his / her concept of ideal situation. The action occurs only when the consumer perceives

a sufficiently large discrepancy between the actual and ideal states.

Given that the consumer is aroused to action, the next state is internal search for a quick and

largely unconscious review of memory for stored information and of an experience regarding the

problem. This information in the form of beliefs and attitude influence the consumer’s preference

towards band. if an internal search does not provide sufficient information about products, or

how to evaluate them, the consumer continues with a more involved external search for

information.

Any information stimuli are then subjected to information processing activities. This process

involves allocating attention to available stimuli, deriving meaning from these stimuli. The

alternating evaluation phase involves comparing the information gained in the search process for

alternative product and brands to the product judging criteria on standards the consumer has

developed. When such a comparison leads to favorable evaluations, the consumer is likely to

develop a purchase intention towards that alternative that received the most favorable evaluation.

A purchase process follows strong purchasing intentions. This involves a series of selection,

including the type of retail outlet as well the specific brand on service to use. The consumer’s

purchase then leads to various outcomes. One such outcome is satisfaction as a result of direct

experience in using the brands. Satisfaction will affect the consumer’s belief about the brand. Other

outcome is dissatisfaction and post-sale doubt.

Finding’s Majority of customers here is female.

Majority of customers are young.

Majority customers like to purchase all goods from reliance fresh.

Customers like one stops shopping.

Local market till today is the first choice of customer.

Advertisement is the biggest way to attracting the customer.

Promotion scheme not so easy to understand for customer.

Most of customer is not fully satisfied with store.

Tele phone is the best way for attracting the customer.

Shortages of skilled workers.

Interpretation 1.Name’s : -

2.AGE: -

Most of the respondents are young. As graph shows.

3. Gender

Most of respondent are girls. More than 50 % girls are buying product from reliance fresh.

4. Personal income

Most of respondent don’t have income but they are purchasing thing on parents demands and

they are shopping with their parent’s income.

5. Shopping time

Most of the respondent are shopping at weekly basis. As pie chart shows.

6. Shopping store

Most of respondent like to shopping from reliance fresh .(40%)

7. Recommend to other people

Most of respondent rated 8 point means they will recommend reliance fresh to buy grocery item and all.

Conclusion As per research I got the result there are 40% people purchasing thing’s from reliance fresh. Some of

them told me that they are purchasing thing only reason is one stop shop.

They think that they are getting good’s as cheaper rate from local market.

Suggestion’s 1- More promotion scheme should be used to penetrate the market. 2- Skilled employees should be higher because mostly customers are young. 3- Promotion scheme should in such way that customer can understand easily. 4- Service of store should be providing in such way which full the need of the customer.

Appendix