THE INFUENTIAL FACTORS ON CONSUMERS’ PURCHASING DECISION...

THE INFUENTIAL FACTORS ON CONSUMERS’ PURCHASING

DECISION IN BANGKOK PET RETAILING BUSINESS

By

Tarinee Chaipradermsak

SIU THE: SOM-MBA-2007-02

THE INFUENTIAL FACTORS ON CONSUMERS’ PURCHASING

DECISION IN BANGKOK PET RETAILING BUSINESS

A Thesis Presented

By

Tarinee Chaipradermsak

Master of Business Administration in Management

School of Management

Shinawatra University

July 2007

Copyright of Shinawatra University

i

Acknowledgments

Throughout the course of research leading to the completion of this thesis, I

have gratitude to many people, who have provided me with tremendous help and

support in one way or another, which I think I cannot possibly acknowledge in full

measure.

First of all, I would like to express my sincere thanks to Dr. Chanchai

Bunchapattanasakda, my advisor, for his valuable advice and kind supervision. His

experience, insightful guidance, and encouragement provided me with the necessary

way and confidence to carry out and complete this thesis.

I wish to express my special gratitude to Asst. Prof. Dr. Pacapol Anurit and

Prof. Dr. Brian Sheehan for their kind comments and useful advice during the

implementation process of this study. I also wish to faithfully acknowledge Dr. Wilert

Jarupongsopon for his lectures in this Marketing Management subject that has

provided me knowledge and techniques to develop good research.

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Abstract

The thesis aims to identify the influential factors on consumers’ purchasing

decisions in Bangkok pet retailing business. The scope of the study is based on the

profiles of Thai consumers who have been using either products or services from

Bangkok pet retailers.

This study is quantitative research, using a structured questionnaire to collect

the data from 400 consumers who have been using either products or services from

Bangkok pet retailers and have pets at presents. The researcher analyzes data

variables using percentages, frequencies, means, standard deviations, t-Test, and

ANOVA to test hypotheses and answer the research questions.

The study identifies independent variables including demographic factors

(age, gender, education background, and monthly income), consumer behavior factors

(frequency of purchasing and average spending per visit), and marketing mix factors

(product, price, place, and promotion). The dependent variable is the consumers’

purchasing decisions in Bangkok pet retailing business.

The result shows that both demographic factors and marketing mix factors do

not have significant relationship with the consumers’ purchasing decisions in the

Bangkok pet retailing business, while the consumer behavior has a significant

relationship with the consumers’ behavior in Bangkok pet retailing business.

Keywords: Purchasing decision

Consumer behavior

Retailing

iii

Table of Contents

Title Page

Acknowledgments i

Abstract ii

Table of Contents iii

List of Figures vi

List of Tables vii

Chapter 1 Introduction 1

1.1 Research Background 1

1.2 Research Problems 2

1.3 Research Objectives 2

1.4 Scope of Research 3

1.5 Research Significances 3

1.6 Conceptual Framework 3

1.7 Hypotheses 4

1.8 Definitions of Terms 5

Chapter 2 Literature Review 6

2.1 Background Information 6

2.2 Demographic Segmentation 7

2.3 Consumer Buyer Behavior 7

2.4 Model of Consumer Behavior 7

2.5 Consumer Decision Making 8

2.6 Buyer Decision Process 9

2.7 Buyer Decision Process for New Products 11

2.8 Marketing Mix 12

2.8.1 Product 12

2.8.2 Price 14

2.8.3 Place 15

2.8.4 Promotion 16

iv

Title Page

2.9 Retailing 18

Chapter 3 Methodology 20

3.1 Introduction 20

3.2 Population and Sample Size 20

3.3 Data Collecting Method 21

3.4 Research Design 21

3.5 Data Collecting Procedure 22

3.6 Data Analysis 22

Chapter 4 Research Analysis and Results 25

4.1 Research Design 25

4.2 Demographic Characteristics of Respondents 26

4.2.1 Age 26

4.2.2 Gender 26

4.2.3 Education background 27

4.2.4 Income 28

4.3 Consumer Behavior Characteristics of Respondents 28

4.3.1 Pet ownership 28

4.3.2 Frequency of purchasing 29

4.3.3 Frequency of changing pet retailer 30

4.3.4 Average spending per time 30

4.3.5 Information channel 31

4.3.6 Decision in choosing pet retailer 31

4.3.7 Decision in changing pet retailer 32

4.4 Marketing Mix Factors that Influence Consumer Purchasing 33

Decisions

4.5 Testing Hypotheses 34

4.5.1 Testing demographic factors on purchasing decisions in 35

Bangkok pet retailer business

4.5.2 Testing consumer behavior factors on purchasing decisions 38

in Bangkok pet retailer business

v

Title Page

4.5.3 Testing marketing mix factors on purchasing decisions in 39

Bangkok pet retailer business

Chapter 5 Conclusions, Discussion, and Recommendations 42

5.1 Summary of Findings 42

5.2 Finding of the Study 42

5.2.1 Demographic profile of respondents 42

5.2.2 Consumer behavior characteristics of respondents 44

5.2.3 Marketing mix factors that influence consumer purchasing 48

decisions

5.2.4 Testing of hypotheses 49

5.3 Research Difficulties and Limitations 52

5.4 Recommendations for Further Research 52

References 53

Appendices

Appendix A Questionnaire (English) 56

Appendix B Questionnaire (Thai) 61

Appendix C Thailand Statistical Data 66

Appendix D Bangkok Statistical Data 67

Biography 68

vi

List of Figures

Title Page

Figure 1 Conceptual Framework 4

Figure 2.1 Model of Buyer Behavior 8

Figure 2.2 Buyer Decision Process 9

Figure 5.1 Age of 400 Respondents 43

Figure 5.2 Education Background of 400 Respondents 43

Figure 5.3 Income of 400 Respondents 44

Figure 5.4 Frequency of Purchasing 45

Figure 5.5 Frequency of Changing Pet Retailer 45

Figure 5.6 Average Spending per Time 46

Figure 5.7 Information Channel 46

Figure 5.8 Decision in Choosing Pet Retailer 47

Figure 5.9 Decision in Changing Pet Retailer 47

vii

List of Tables

Title Page

Table 3 Width of Class Interval 24

Table 4.1 Demographic Background of Respondents Classified by Age 26

Table 4.2 Demographic Background of Respondents Classified by Gender 27

Table 4.3 Demographic Background of Respondents Classified by 27

Educational Background

Table 4.4 Demographic Background of Respondents Classified by Income 28

Table 4.5 Behavior Characteristics of Respondents Classified by Pet 29

Ownership

Table 4.6 Behavior Characteristics of Respondents Classified by Frequency 29

of Purchasing

Table 4.7 Behavior Characteristics of Respondents Classified by Frequency 30

of Changing Pet Retailer

Table 4.8 Behavior Characteristics of Respondents Classified by Average 30

Spending per Time

Table 4.9 Distribution Channels 31

Table 4.10 Decision in Choosing Pet Retailer of Respondents 32

Table 4.11 Decision in Changing Pet Retailer of Respondents 33

Table 4.12 General Characteristic of Consumers’ Purchasing Decisions 34

Table 4.13 The Relationship between Gender and Consumers’ Purchasing 35

Decisions

Table 4.14 The Relationship between Age and Consumers’ Purchasing 36

Decisions

Table 4.15 The Relationship between Educational Background and 36

Consumers’ Purchasing Decisions

Table 4.16 The Relationship between Monthly Income and 37


viii

Title Page

Table 4.17 The Relationship between Consumer Behavior Factors and 38


Table 4.18 The Relationship between Marketing Mix Factors and 39


Table 5 Hypothesis 3 Summary Test Result 50

1

Chapter 1

Introduction

1.1 Research Background

Thais are passionate about their pooches and feline friends. From the data of

the National Statistical Office (2004), in the central region of Thailand with a total of

15,242 villages, 15,031 (99%) have dogs and cats owners. There are nearly 600 pet

outlets in Bangkok, selling food, accessories and cages, for dogs, cats, birds, fish,

hamsters and other animals, as well as magazines about them. Dogs are the most

popular pets in Thailand (U.S. Commercial Service, 2006).

The passion for pets has transferred to business where there is substantial

revenue to be made from the pet business, especially in relation to dogs. The market

for pet products in Thailand remains strong and is steadily growing due to the

increased number of pet owners taking greater care of their pets. The data from

United States of America Department of Commerce (2006) shows that the Thai pet

product market will grow annually at an average rate of 25 percent for the next few

years. A major reason for this growth is that the role of the Thai pet has changed. Pet

owners seek a large variety of toys, accessories and foods to entertain and comfort

their pets. Imports play a major role in this market and numerous opportunities exist

for companies with innovative or distinctive products (U.S. Commercial Service,

2006).

Pets play the role of friend in families. Considering that the dogs and cats may

be part of the family for more than ten years, and will be around every day. Some

people treat and care for their pets as if they were their children. However, pet owners

do not always take the decision to purchase pet products lightly. They always consider

paying for the benefit, not only to themselves, but also their pets. The humanization of

pets is one of the biggest trends in the pet market. While basic pet needs, food,

veterinary care, and medicines command the largest share of the market, pet luxuries,

i.e. things people buy for their pets that are driven more by emotion than the basic

needs, are the fastest growing segment in the pet market (American Pet Product

Manufacturers Association [APPMA], 2005).

Pet luxuries, or the products and services that pet owners buy for their

pampered pets, represent the best opportunity for pet product marketers, retailers and

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service providers. People spend more, lots more, on purchases that are driven by

desire and passion, than those bought out of pure need. So it is in the realm of pet

luxuries, rather than basic necessities, that pet marketers need to explore. Without the

comprehending what customers need and want, some entrepreneurs will not survive

after launching their businesses. This research study will focus on consumers, their

buying behavior, needs, desires and preferences in order to find the appropriate

materials for advertising and promoting of the pet retailing business in order to satisfy

customers in Bangkok, and be profitable (Heinecke & Marsh, 2000).

1.2 Research Problems

As the number of educated Thais is growing rapidly with the new younger

generation, their expectations and demands for customer service has increased, as

well as their options and choices. Consumers or buyers will ask a lot of sensible and

technical questions, and demand specifications and explanations about their pets or

products. Opinions on product comparisons, selection and choices are been tested

frequently. The attitudes that pet owners have about their pets has also changed from

the past. Some owners treat their pets like their children, or even better. Owners treat

their pets like one of their family members, more than just a friend nowadays. This

area cannot be over-emphasized (Euromonitor, 2007).

Hence, with the changing economy and a new generation in Thailand, the

entrepreneurs must recognize changes in consumers’ purchasing patterns, as well as

how they make purchasing decisions, in order to keep up with their needs and

requirements. Pet retailers must also equip themselves with through knowledge about

their products and services. They must live up to consumers’ expectations. Otherwise

their traditional and conservative sales and marketing strategy will put them way

behind and out of business very soon. A very different approach has to be drafted to

attract these new consumers. As well as coming up with new ideas, being unique and

offering better services, products, or being different from the rest is essential (Kotler

& Keller, 2006).

1.3 Research Objectives

The research has the following objectives:

1) To explore consumer demographics in the Bangkok pet retailing business.

2) To study consumer behaviors in the Bangkok pet retailing business.

3

3) To determine consumers’ expectations about products and services in the

Bangkok pet retailing business.

4) To study the influential factors on consumers’ purchasing decisions in the


1.4 Scope of Research

The research focused on the following contents:

1) Consumer demographics in the Bangkok pet retailing business.

2) Consumer behaviors in the Bangkok pet retailing business.

3) Consumers’ expectations about products and services in the Bangkok pet

retailing business.

The researcher only focused on two kinds of pets which are dogs and cats.

Therefore, the research only discusses consumers who have dogs and cats as their

pets.

1.5 Research Significances

1) The researcher can achieve and gain knowledge about consumer

demographics and behavior in the Bangkok pet retailing business.

2) The research reveals information about consumers’ expectations about

products and services in the Bangkok pet retailing business.

3) Information, analysis and findings gained from this research could prove

valuable to both academics and business people in terms of factors

influencing consumers’ purchasing decisions in the Bangkok pet retailing

business.

4) This research could be a reference for further study in the field of the

influential factors on consumers’ purchasing decisions in the Bangkok pet

retailing business.

1.6 Conceptual Framework

This research provides a detailed information resource covering all the key

data points on factors influencing consumers’ purchasing decisions in the Bangkok

pet retailing business. The factors are categorized into demographic factors and

marketing mix factors. The factors that are believed to affect consumers’ purchasing

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decisions in the pet retailing business are primarily developed from a variety of

sources. The conceptual framework was developed from the literature review on

consumer behavior, consumers’ purchasing decision, and marketing mix, which will

be presented in chapter three.

Independent Variables Dependent Variable

Figure 1 Conceptual Framework

1.7 Hypotheses

Hypothesis 1: there is a significant relationship between demographic factors

and consumers’ purchasing decisions in the Bangkok pet retailing business.

Hypothesis 2: there is a significant relationship between consumer behavior

factors and consumers’ purchasing decisions in the Bangkok pet retailing business.

Hypothesis 3: there is a significant relationship between marketing mix factors


Demographic Factors Age Gender Educational Background Personal Income

Marketing Mix Factors Product Price Place Promotion

Consumers’ purchasing decisions in Bangkok pet retailer business.

Consumer Behavior Factors Frequency of Purchasing Average Spending per Visit

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1.8 Definitions of Terms

Consumer Buyer Behavior: “the buying behavior of final consumers;

individuals who buy goods, and services for personal consumption. All of these final

consumers combine to make up the consumer market” (Armstrong & Kotler, 2003, p.

G2).

Consumer Purchasing Decisions: the researcher defines the consumer

purchasing decisions as the decisions made about purchasing either products or

services from a pet retailer. “Consumer purchasing decision process intervenes

between the market strategy and the outcomes. The firm can succeed only if

consumers see a need that its product can solve, become aware of the products and its

capabilities, decide that it is the best available solution, proceed to buy it, and become

satisfied with the result of the purchase” (Hawkins, Best, & Coney, 2001, p. 22).

Marketing Mix: the set of marketing tools the firm uses to pursue its

marketing objectives. It is classified into four broad groups, which are product, price,

place, and promotion. Marketing mix decisions must be made for influencing an

offering mix of products, services, and prices, and utilizing a communications mix of

advertising, sales promotion, events, experiences, public relations, direct marketing,

and personal selling to reach the trade channels and target customers (Keller & Kotler,

2006).

Pet Retailer: includes all the activities involved in selling goods or services

for pets directly to final consumers for personal, nonbusiness use. Consumers can

purchase goods and services in a wide variety of retail organizations. There are store

retailers, nonstore retailers, and retailer organizations (Kotler & Keller, 2006).

Product: the researcher defines a product as anything a consumer acquires or

might acquire to meet a perceived need for their pets, such as pet food and pet

accessories (Hawkins et al., 2001).

Service: the researcher defines a service as an act or a variety of work done

for the consumer in the pet retailing business to satisfy their needs and wants (Kotler

& Keller, 2006).

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Chapter 2

Literature Review

2.1 Background Information

The chapter presents theories, concepts, and review of literatures relevant to

demographic segmentation, consumer buyer behavior, consumer decision making,

buyer decision process; need recognition; information search; evaluation of

alternatives; purchase decision; postpurchase behavior, marketing mix, and retailing.

Details are presented below;

Consumers are more educated and informed than ever, and they have the tools

to verify companies’ claims and seek out superior alternatives. They tend to be value-

maximizers, within the bounds of search costs and limited knowledge, mobility, and

income. Customers estimate which offer will deliver the most perceived value and act

on it. Whether or not the offer lives up to expectation affects customer satisfaction

and the probability that he or she will purchase the product again (Kotler & Keller,

2006).

Consumer decisions result from perceived problems and opportunities. The

consumer problems arise in specific situations, and the nature of the situation

influences the resulting consumer behavior. Consumers’ needs and desires may

trigger one or more levels of the consumer decision process. “The consumer decision

process intervenes between the market strategy (as implemented in the marketing

mix) and the outcomes. The firm can succeed only if consumers see a need that its

product can solve, become aware of the products and its capabilities, decide that it is

the best available solution, proceed to buy it, and become satisfied with the result of

the purchase” (Hawkins et al., 2001, p. 22). Although the term may be considered

new, customer experience management has always been a fundamental consideration

in the way most companies do business. A major part of serving and satisfying

consumers are accomplished by influencing what they experience in relation to

products and services through advertising, merchandising, store design, lighting, and

personal services (Monster & Pettit, 2002).

Three primary types of influences affect individuals’ decision, behaviors,

purchases, and lifestyles. Normative influence, occurs when individuals alter their

behaviors or beliefs to meet the expectations of a particular group. Often the goal of

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the individual is conformity. Value expressive influence occurs when a need for

psychological association with a group causes acceptance of this norms, Values,

attitudes, or behaviors. Even though there may be no motivation to become a member,

individuals often enhance, their image in the eyes of others, or achieve identification

with people who are admired and respected. Since consumer often accept the opinions

of others as providing credible and needed evidence about reality, they often seek the

advice of others before making a purchase or life decision. Information influence

occurs when people have difficulty accessing product or brand characteristics by their

own observation or contact. In this instance, they will accept recommendations or

usage by others as evidence about the nature of the product and use the information in

their own product or brand decisions (Blackwell, Miniard, & Engel, 2004).

2.2 Demographic Segmentation

Demographics are the vital statistical that describe a population. Marketers

make use of a variety of demographic characteristics including age, family size,

family life cycle, gender, income, occupation, education, religion, race, generation,

and social class. They are important to marketers because they are closely related to

the demand for many products. The consumer needs, wants, usage rates, and brand

preferences are often associated with demographic variables (Etzel, Walker, &

Stanton, 2006).

2.3 Consumer Buyer Behavior

“Consumer buyer behavior refers to the buying behavior of final consumers,

individuals and household who buy goods and services for personal consumption.”

(Armstrong & Kotler, 2003, p. 128). The consumer market consists of all the

combinations of final consumers. These consumers, from all over the world, with a

wide range in terms of age, income, educational level, gender and tastes. In addition,

they purchase an incredible variety of goods and services.

2.4 Model of Consumer Behavior

Consumers make many buying decisions everyday. The consumer

purchasing decision answers questions about what consumers buy, where they buy,

how and how much they buy, when they buy, and why they buy (Armstrong & Kotler,

2003). Past decisions, time-related events, such as ageing, and external events, such as

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an illness of job change, lead to lifestyle changes that pose additional consumption

problems and result in new purchases (Neal, Quester, & Hawkins, 2002).

Figure 2.1 Model of Buyer Behavior

Source: Armstrong and Kotler (2003)

Figure 2.1 presents that marketing and other stimuli enter the consumer’s

black box and produce certain responses. Marketing stimuli consists of the four Ps;

product, price, place, and promotion. These inputs enter the buyer’s black box, where

they are turned into a set of observable buyer responses: product choice, brand choice,

dealer choice, purchasing timing, and purchasing amount. The market wants to

understand how the stimuli are changed into responses inside the consumer’s black

box, which has two parts. First, the buyer’s characteristics influence how they

perceive and react to the stimuli. Second, the buyer’s decision process itself affects

the buyer’s behavior (Armstrong & Kotler, 2003).

2.5 Consumer Decision Making

The key process in consumer decision making, however, is the integration

process by which knowledge is combined to evaluate two or more alternative

behaviors and select one. The outcome of this integration process is a choice,

represented cognitively as a behavioral intention. A behavior intention is a plan

(sometimes called a decision plan) to engage in some behavior. All aspects of affect

and cognition are involved in consumer decision making, including the knowledge,

meanings, and beliefs activated from memory and the attention and comprehension

processes involved in interpreting new information in the environment (Peter &

Olson, 1999).

Marketing Mix Product Price Place Promotion

Buyer’s Black Box Buyer Characteristics Buying Decision

Buyer’s Responses Product Choice Brand Choice Purchase Timing Purchase Amount

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2.6 Buyer Decision Process

The consumer usually searches his or her memory (the psychological field)

before seeking external sources of information regarding a given consumption related

need. Past experience is considered an internal source of the consumer is likely to

need to reach a decision. Many consumer decisions are based on a combination of

past experience, marketing and non commercial information (Schiffman & Kanuk,

2004).

Figure 2.2 shows that the buyer decision process consists of five stages; need

recognition, information search, evaluation of alternatives purchase decision, and post

purchase behavior. Clearly, the buying process starts long before actual purchase and

continues long after. Marketers need to focus on the entire buying process rather than

on just the purchase decision. The figure implies that consumers pass through all five

stages with every purchase. Nevertheless, in more routine purchases, consumers often

skip or reverse some of these stages (Armstrong & Kotler, 2003).

Figure 2.2 Buyer Decision Process

Source: Armstrong and Kotler (2003)

2.6.1 Need recognition.

The buying process starts with requirements or need recognition. The buyer

recognizes a problem or need. The need or requirement can be triggered by internal

stimuli from one of the person’s normal needs. For example, hunger, thirst, sex, raises

to a level high enough to become a drive. A need can also be triggered by external

stimuli (Armstrong & Kotler, 2003). It is the task of marketing managers to determine

the needs and wants of a particular product can and does satisfy and the unsatisfied

needs and wants of consumers have for, in which a new product could be developed.

In order to do so, marketing managers should understand what types of needs

consumers may have. A well-known classification of needs was developed many

years ago by Abraham Maslow, including physical needs, safety needs, belonging

needs, esteem needs, and self-actualization needs (Peter & Donnelly, 2001).

Need Recognition

Information Search

Evaluation of Alternatives

Purchase Decision

Postpurchase Behavior

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2.6.2 Information search.

An interested consumer may or may not search for more information. If the

consumer’s drive is strong and a satisfying product is near at hand, the consumer is

likely to buy it then. If not, the consumer may store the need in memory or undertake

an information search related to the need (Armstrong & Kotler, 2003). Information

provided by marketers is invariably favorable to the product and/or brand. Consumers

are especially likely to note the negative information and to avoid products or brands

that receive negative evaluation (Shiffman & Kanuk, 2004).

2.6.3 Evaluation of alternatives.

Evaluate or judge competing alternatives in terms of salient beliefs about

relevant consequences and combine this knowledge to make a choice (Peter & Olson,

1999). The marketer needs to know about alternative evaluation. That is how the

consumers process information to arrive at brand choices. Unfortunately, consumers

do not use a simple and single evaluation process in all buying decisions. Instead,

several evaluation processes are at work. The consumer arrives at attitudes toward

different brands through some evaluation procedure. How consumers go about

evaluating purchase alternatives depends on the individual consumer and the specific

buying situation (Armstrong & Kotler, 2003).

2.6.4 Purchase decision.

If no other factors intervene after the consumer has decided on the brand that

is intended for purchase, the actual purchase is a common result of search and

evaluation. Actually, a purchase involves many decisions, which include product type,

brand, model, dealer selection, and method of payment, among other factors. In

addition, rather than purchasing, the consumer may make a decision to modify,

postpone, or avoid purchase based on an inhibitor to purchase or perceived risk. The

perceived risk literature emphasizes that consumers generally try to reduce risk in

their decision making. This can be done by either reducing the possible negative

consequences or by reducing the uncertainty (Peter & Donnelly, 2001).

2.6.5 Postpurchase behavior.

The marketer’s job does not end when the product is bought. After purchasing

the product, the consumer will be satisfied or dissatisfied and will engage in post

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purchase behavior of interest to the marketer. If the product falls short of

expectations, the consumer is disappointed; if it meets expectations, the consumer is

satisfied; if it exceeds expectations, the consumer is delighted. The larger the gap

between expectations and performance, the greater the consumer’s dissatisfaction.

This suggests that sellers should make product claims that faithfully represent the

product’s performance levels to boost consumer satisfaction with the product. Almost

all major purchases result in cognitive dissonance, or discomfort caused by post

purchase conflict. After the purchase, consumers are satisfied with the benefits of the

chosen brand and are glad to avoid the drawbacks of the brands not bought. Consumer

feel uneasy about acquiring the drawbacks of the chosen brand and about losing the

benefits of the brands not purchased. Thus, consumers feel at least some post

purchase dissonance for every purchase (Armstrong & Kotler, 2003).

2.7 Buyer Decision Process for New Products

From the stage a buyer goes through in trying to satisfy a need, he/she may

pass quickly or slowly through these stages, and some of the stages may even be

reversed. Much depends on the nature of the buyer, the product, and the buying

situation. A new product is a good, service, or idea that is perceived by some potential

customers learns about products for the first time and makes decisions on whether to

adopt them. “The adoption process is defined as the mental process through which an

individual passes from first learning about an innovation to final adoption, and

adoption as the decision by an individual to become a regular user of the product”

(Armstrong & Kotler, 2003, p. 146).

Stages in the adoption process: Consumer goes through five stages in the

process of adopting a new product (Armstrong & Kotler, 2003):

1) Awareness: the consumer becomes aware of the new product, but lacks

information about it.

2) Interest: the consumer seeks information about the new product.

3) Evaluation: the consumer considers whether trying the new product makes

sense.

4) Trial: the consumer tries the new product on a small scale to improve his

or her estimate of its value.

5) Adoption: the consumer decides to make full and regular use of the new

product.

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2.8 Marketing Mix

The marketing program consists of numerous decisions on value-enhancing

marketing activities to use. Marketing activities come in all forms. One traditional

depiction of marketing activities is in terms of the marketing mix, which has been

defined as the set of tools into four broad groups, which is called the four Ps: product,

price, place, and promotion. Marketing mix decisions must be made for influencing

the trade channels as well as the final consumers. The four Ps represent the seller’s

view of the marketing tools available for influencing buyers. From a buyer’s point of

view, each marketing tool is designed to deliver a customer benefit (Kotler & Keller,

2006).

2.8.1 Product.

A product is anything a consumer acquires or might acquire to meet a

perceived need. Consumers are generally buying need satisfaction, not physical

product attributes. (Hawkins et al., 2001).

1) Pet accessories

Marsh (1998) examined that the pet accessories market is about one quarter of

the pet products industry. Pet food is the major market category, representing about

multinational companies dominate the pet food market, hence 70% of the pet products

industry. The market for pet accessories is broad and growing with the following

details:

• Raw materials for pet accessories are widely available.

• The vast majorities are not high-technology items.

• Most producers are artisans or small businesses.

More pets and better pet care are trends leading to continued and greater

demand for pet accessories. Two-thirds of the market for pet accessories and supplies

is in North America and Western Europe. Typical products supplied by developing

countries are dog chews made from hide, collars, leads and harnesses for cats and

dogs; made from leather; bird cages in wood or metal; and plastic cage-fitting

ornaments for birds and small animals. Most pet accessories do not fall under

products codes headings of the Standard International Trade Classification or the

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Harmonised System. Exporters should contact customs authorities or importers for

details about tariffs and duties for specific products (Marsh, 1998).

2) Packages for pet products

Sacharow (2002) examined that basic flexible packaging concepts used in pet

food packaging are bags, sacks, stand-up pouches, retort pouches, trays with peelable

lids, and a few chubby packs. Reviewing packaging types, stand-up pouches are the

biggest growing area in recent years and are set to continue to grow strongly.

Vacuum-packed pouches of dried food recently have appeared on retail shelves.

While pouches afford the opportunity for novel shapes to be incorporated into their

design, and some examples have emerged, this has yet to be fully exploited. Ply

papers (for dry food only) are very important, typically SOS (self - opening satchel)

bags for smaller sizes and flat for larger sizes. One subject of major importance in pet

food bags is the battle of pre-made bags versus vertical form/fill/seal. In the pet food

industry, pre-made bags are still a widespread phenomenon because of the large sizes

used as well as special features like carrying handles and reclosability, and because

there were no alternatives to pre-made bags in combination with fill and seal

machines. VFFS machines that can produce from roll stock are now available. These

machines offer most features and combination of features. Nevertheless, there is more

to the relationship between the pet food industry and VFFS machinery In recent years

more and more pet food manufacturers are trying to sell their products through the

regular supermarkets. Under pressure from these supermarkets and because of

consumer buying habits and high shelf price, a trend was set toward smaller bag sizes

for pet food. Private labels increasing, there is also a trend towards private labeling.

Private labeling occurs when a manufacturer packages an existing product with a

client's label; when he produces new products for a client; or when he assists a retailer

to develop a look, name and logo (Sacharow, 2002).

3) Pet health care services

The increasing demand for pet care has spawned a proliferation of traditional

and non-traditional veterinary services. Although using a vet who makes house calls

would require a change in consumer behavior, the findings indicate that the service

concept is appealing to a niche market of pet owners who desire more service

14

convenience and are willing to pay for it. Educating more consumers about the service

benefits may broaden its appeal (Geissler, 2003)

2.8.2 Price.

Price is the amount of money one must pay to obtain the right to use the

product. One can buy ownership of a product or for many products, limited usage

rights. Economists often assume that lower prices for the same product will result in

more sales than higher prices. However, price sometimes serves as a signal of quality.

A product priced too low might be perceived as having low quality. Owning

expensive items also provide information about the owner. If nothing else, it indicates

that the owner can afford the expensive items. This is a desirable feature to some

consumers. Therefore, setting a price requires a thorough understanding of the

symbolic role that price plays for the product and target market question. It is

important to note that the price of a product is not the same as the cost of the product

to the customer. The consumer cost is everything the consumer must surrender in

order to receive the benefits of owning or using the product. One of the ways that

firms seek to provide customer value is to reduce the nonprice costs of owning or

operating a product. If successful, the total cost to the customer decreases while the

revenue to the marketer stays the same or even increases (Hawkins et al., 2001).

Daneshvary and Schwer (2003) examined the consumers behavior with

respect to their demand for pet health care. By incorporating an economic model of

human health care and the psychology of human attitudes towards pets, researcher

developed and test hypotheses about the price and income elasticities of demand for

pet health care. The empirical results suggest that pet health care is considered a

normal service by pet owners. Although the results in general conform our a priori

expectations, the demand for pet health care seems to be somewhat more price and

income sensitive than that of human health care. However, price and income

elasticities of demand for health care are by no means uniform between cat and dog

owners. In this regard, cat owners show more sensitivity to both price and income

than do dog owners. The differential behavior is perhaps a reflection of the perceived

relative health care needs of the type of pets by the consumers. In addition, the

elasticities are positively related to population density. These elasticities also depend

upon the composition of the veterinary firms.

15

In general, pet owners differentiate the mix of services provided by group

practices from those provided by solo practices. The results from the veterinarian

sample, as well as the results from pet-owners samples, reveal that dog owners' health

care utilization is currently higher than that of cat owners. However, not only the

health care utilization rate of cat owners is increasing much faster than that of dog

owners, but also the ownership preferences of households are changing in favor of

cats. These trends, along with our findings of elasticities, imply a changing nature of

overall demand for veterinary services. Given the higher elasticities of demand for cat

health care, and if the current trends of ownership and utilization continues,

veterinarians will face more price-and-income sensitivity to demand for their overall

services. In addition, pet owners should experience a higher degree of both price and

non-price competition among veterinarians in the future. Also, our results imply that

an appropriate policy by pet health care insurance providers should consider different

cost sharing formulas (premium and deductibility) for dogs and cats (Daneshvary &

Schwer, 2003).

2.8.3 Place.

Place includes company activities that make the product available to target

consumers (Armstrong & Kotler, 2003). Only in rare cases will customers go to much

trouble to secure a particular brand. Obviously, good channel decisions require a

sound knowledge of where target customers shop for the product (Hawkins et al.,

2001).

Marsh (1998) investigated that suitable trade channel intermediaries for pet

accessories are the many agents, importers and wholesalers that exist in each country.

Specialised retail outlets vary considerably according to region. In Western Europe,

specialized retail shops account for 80% of the market share. There are around 21,000

retail pet shops in Europe, including a growing number of pet supermarkets and

superstores. Pet shops stock a wide range of accessories, usually several hundred,

while the number of articles in a pet supermarket could exceed 8,000. In some

countries, grocery outlets only sell pre-packaged accessories around 50 items. Major

pet accessory wholesalers stock 5,000 to 8,000 items. Other specialised outlets in

Europe include garden centres, Do-It-Yourself shops, shops selling hunting and

fishing accessories, pet grooming parlours, seed and grain merchants, mail-order

firms and catalogue (direct marketing) services. Still others include pet breeders, dog

16

boarding kennels and catteries, veterinary practices which sell pet accessories, and the

agricultural distribution network which includes merchants, farm stores and self-

service shops.

In the United States, specialised retail outlets account for 42% of the market

share. There are 18,000 speciality retailers, including pet shops, aquarium shops,

grooming shops, feed stores, boarding kennels and catteries, veterinarians, pet

superstores, and agricultural stores; garden, hardware and feed stores; stores

specialising in horse supplies, and well over 150 retail-order businesses (Marsh,

1998).

2.8.4 Promotion.

Promotion means activities that communicate the merits of the product and

persuade target customers to buy it (Armstrong & Kotler, 2003). It includes

advertising, the sales force, public relations, and any other signal that the firm

provides about itself and its products (Hawkins et al., 2001).

Mcmellon, Charles, and Gladys (2004) investigated attitude, interest and

opinion categories for differences among pet owners and non-owners. Results

suggested significant differences among those who own only dogs, only cats, dogs

and cats, and non-owners. These differences are applied to decision making for

marketing strategy, creative executions and media planning. The essence of the

marketing concept revolves around segmentation, the magic that allows marketers to

identify potential target markets. In the highly competitive nature of many markets,

changing consumer attitudes and the inordinate amount of advertising clutter in

various media. The proposed segmentation scheme may allow some marketers to

reach their target markets in a more meaningful manner. Segmentation is an important

tool for advertisers in part due to an environment undergoing considerable change.

Younger audiences are more cynical than ever, advertising clutter continues to

increase, computers and web surfing occupy increasingly more attention and media

fragmentation continues. These factors suggest that consumers do not pay as much

attention to advertising as they have in prior years and that advertisers, more than

ever, need to be on the prowl for new methods that will effectively attract consumer’s

attention. These new approaches are likely to have implications for marketing

strategy, creative decisions and media placement.

17

Segmentation is the categorizing of a market into relatively homogeneous

consumer groups that might be motivated to behave in a similar manner towards a

product or service. The key for advertisers is to identify the similarities within groups,

particularly since research has shown that similar groups respond more favourably to

advertising messages when they identify with the content of the advertising. This

paper suggests that segmentation based on pet ownership has been largely overlooked

to date, with the exception of the pet industry, but that it can be viewed as a new

competitive tool that may effectively identify similarities in behaviours and attitudes

in consumer segments that previously had gone undetected. This approach is also

important given the growing trend in integrated marketing communications (IMC) to

use behaviours and attitudes (Hawkins et al., 2001).

A pet ownership segmentation approach has many managerial implications

including promotional strategy, creative decisions and media placement. The results

suggest people who do not own pets are more conservative in nature than pet owners.

For marketing strategy, the characteristic that revealed the most difference between

groups was very good at managing money. It would appear that non-owners are more

likely to agree strongly with this statement, while the segment that owns both cats and

dogs are less likely. This finding implies that advertisers and, in particular, creative

must be sensitive to these distinctions in creating advertising for clients in relevant

industries. For example, armed with the knowledge that pet owners are not as

confident about their money as non-owners, bank service advertisers may appeal to

pet owners' insecurities by featuring pets and pet owners in their advertisements.

Similarly, advertising for more sophisticated financial services may consider featuring

non-owners (ie no pets, even as symbols) in their advertisements since they are

already confident of their money-managing skills and may be more attentive to more

sophisticated investment advice. In another example, while pet owners appear to be

less brand loyalty, dog owners are more loyal among pet owners. Less brand loyal

consumers may be harder to hold suggesting a variety of promotional tactics to keep

them in the brand (Hawkins et al., 2001).

18

2.9 Retailing

Retailing covers all of the activities involved in the sale of products to final

consumers. Retailers range from large chains of specialized stores to individual

merchants. Some retailers operate from stores and others operate without a store.

Most retailers focus on selling physical goods produced by someone else.

Nevertheless, in the case of service retailing, retailer is also the producer. Because

they serve individual consumers, even the largest retailers face the challenge of

handling small transactions, and the number of transactions with consumers is much

greater than at other channel levels (Perreault & McCarthy, 2002).

There are store retailers, nonstore retailers, and retailer organizations. Retail

stores typically increase their services and raise their prices to cover the costs. These

higher costs provide an opportunity for new store forms to offer lower prices and less

service. New store types meet widely different consumer preferences for service

levels and specific services. Retailer can position themselves as offering one of four

levels of services (Kotler & Keller, 2006):

1) Self-service: is the cornerstone of all discount operations. Many customers

are willing to carry out their own to save money.

2) Self-selection: customers find their own goods, although they can ask for

assistance.

3) Limited service: these retailers carry more shopping goods, and customers

need more information and assistance. The stores also offer services (such

as credit and merchandise return privileges).

4) Full service: salespeople are ready to assist in every phase of locate,

compare, and select process. Customers who like to be waited on prefer

this type of store. The high staffing cost, along with the higher proportion

of specialty goods and slower-moving items and the many services, results

in high-cost retailing.

In the past, retailers held customers by offering convenient location,

special or unique assortments of goods, greater of better services than competitors,

and store credit cards. All of this has changed. Today, national brands found in

department stores, in their own shops, in merchandise outlets, and in off-price

discount stores. In their drive for volume, national-brand manufacturers have placed

their branded goods everywhere. The result is that retail-store assortments have grown

19

alike. Service differentiation also has eroded. Many stores have trimmed services, and

many discounters have increased services. In the face of increased competition from

discount houses and specialty stores, the stores are waging a comeback war. In

addition to locations in the centers of cities, many have branches in suburban

shopping centers, where parking is plentiful and family incomes are higher (Kotler &

Keller, 2006).

20

Chapter 3

Methodology

3.1 Introduction

In order to examine the consumer demographic and behavior factors,

including the factors influencing consumers’ purchasing decisions in pet retailing

businesses in Bangkok, this study was designed as a survey using a constructed

survey questionnaire to collect data from consumers in the Bangkok pet retailing

business. The purpose of this research is to identify factors influencing consumers’

purchasing decisions in the pet retailing business in Bangkok. The researcher

analyzed the data and variables using descriptive statistics including percentages,

frequencies, means, and standard deviations. Inferential statistics, including T-test,

and ANOVA were employed to test the hypotheses and answer questions.

3.2 Population and Sample Size

Determining the sample size, the target group of the study is people who have

been using either products or services provided by the pet retailing businesses, who

live in Bangkok. From the sampling observation at a pet shop which is located in Lad-

prao, Bangkok, on September 1, 2006, the number of customers purchasing either

products or service was 34 persons. This information was used together with

information that there are nearly 600 pet outlets in Bangkok (U.S. Commercial

Service, 2006). Using these numbers, the size of the population can be determined as

follows;

Population = Number of customer in one pet shop x

Number of pet outlet

= 34 x 600

= 20,400

Sample size can be determined by Yamane equation:

n = N/ [1+N (e) 2]

n = Sample size

N = Number of population (20,400)

e = Significance level (0.05 or 0.01)

21

Determining sample size by following application;

Sample size = 20,400 / [1+20,400 (0.05)2]

= 392.31

Therefore, a sample of 400 people who have been using either products or

services from pet retailer business, and live in Bangkok, needs to be canvassed.

3.3 Data Collecting Method

3.3.1 Secondary data.

The researcher obtained secondary and statistic data from several sources

including published books and periodicals, government publications, annual reports of

government of international organizations; academic journals and articles, case

studies and previous researches, relevant to demographic segmentation, consumer

buyer behavior, consumer decision making, buyer decision process; need recognition;

information search; evaluation of alternatives; purchase decision; postpurchase

behavior, marketing mix, and retailing.

3.3.2 Primary data.

Survey questionnaires were used as the instruments to collect data and

opinions about factors influencing consumers’ purchasing decisions in Bangkok pet

retailer business. Data collection was conducted by using non-probability sampling

techniques in types of convenient sampling at pet shops in Bangkok The

questionnaires were distributed to the sample group who had been using either

products or services from pet retailer business for the time being, and who live in

Bangkok. The researcher conducted the survey during the months of December 2005

and January 2006.

3.4 Research Design

The constructed-questionnaires were distributed to 400 people who have been

using either products or services from pet retailer business, and who live in Bangkok.

The questionnaire was composed of three parts including:

22

Part 1: Consisting of questions asking about personal data including the pet

ownership; questions number 1-8.

Part 2: Consisting of questions asking about the sample’s behavior data

including the frequency of purchasing from the Bangkok pet retailer; questions

number 9 -13.

Part 3: Consisting of questions asking respondents to rate the agreement level

of factors influencing purchasing decisions in the Bangkok per retailing business;

questions number 14.

3.5 Data Collecting Procedure

Instruments for collecting data in this study were personal (face-to-face)

surveys using constructed survey questionnaires. The data collecting procedures were

as follows:

1) The researcher collected secondary data from various sources such as

books, journals, government publications, reports, and the internet.

2) The constructed survey questionnaires were translated into Thai for Thai

respondents in order to ensure the reliability and validity of the research

instrument, and then distributed to people who have been using either

products or services from the pet retailer business.

3) The researcher analyzed the data and tested the hypotheses.

4) The researcher summarized the findings and made recommendations.

3.6 Data Analysis

The researcher analyzed the data variables using the SPSS program to

compute the results. The output of the program is presented in chapter four and the

results of respondents are presented as follows:

1) Descriptive statistics (frequencies, percentages, and means) were used to

describe general characteristics of demographic and consumers’

purchasing decisions for the questions numbered 1-8 in the questionnaires.

2) Inferential statistics including t-Test were employed to find the

relationships between data variables (gender and consumer’s purchasing

decisions) for the questions numbered 2 and 14.13 in the questionnaires,

and ANOVA was used to compare between data variables (age, education

23

background, salary and consumers’ purchasing decisions) for the question

numbered 14.13 in the questionnaires.

3) Linear regression was employed to test hypotheses regarding the

relationship between consumers’ behavior and purchasing decisions, and

marketing mix factors and purchasing decisions for the questions

numbered 9, 13, and 14.1 to 14.13 in the questionnaires.

4) Content analysis was employed for recommendations for the questions

numbered 15 to 20 in the questionnaires.

The Variable Measurement

The researcher defined the criteria to measure the level of variables using five

level-Likert’s scale. In the discussion of the results, the variable value was defined by

utilizing width of class interval (Lind, Marchal, & Wathon, 2003) as follows:

interval width of each level = the highest score – the lowest score interval number

= 5-1 5 = 0.80

Therefore, the result of the data analysis regarding each variable was

defined using the following classification:

Strongly Agree = 5

Agree = 4

Rather Agree = 3

Disagree = 2

Strongly Disagree = 1

24

Table 3 Width of Class Interval

Strong Agree

(5)

Agree

(4)

Rather Agree

(3)

Disagree

(2)

Strongly

Disagree

(1)

4.21-5.00 3.41-4.20 2.61-3.40 1.81-2.60 1.00-1.80

The researcher found the means and interpreted them using the strategic

formula of width of class interval that can be divided into 5-class-intervals for the

questions numbered 14.1 to 14.13 in the questionnaire.

25

Chapter 4

Research Analysis and Results

4.1 Research Design

The researcher analyzed the data using the SPSS program to compute for the

result. The outputs of the program are presented in chapter five and the results of

response are presented as follows:

1) Descriptive statistics (frequencies, percentages, and means) were used to

describe general characteristic of demographics and consumers’

purchasing decisions. X and SD were used to analyze how customer place

importance on marketing mix factors in order to make decisions of using

either products or services from pet retailer.

2) Inferential statistics including t-Test were employed to find the

relationship between the data variables (gender and consumer’s purchasing

decision) at a significance level of 0.05, and ANOVA was used to compare

between data variables (age, educational background, salary and

consumers’ purchasing decisions) at a significance level of 0.05.

3) Linear regression was employed to test hypotheses regarding the

relationship between a consumer’s behavior and purchasing decisions, and

marketing mix factors and purchasing decisions.

4) Content analysis was employed for recommendations.

Symbol of data analysis:

N = Population

X = Mean

SD = Standard deviation

t = t-Distribution

Sig. = Data valuable significance level of 0.005

26

4.2 Demographic Characteristic of Respondents

Demographic characteristic of the respondents obtained from questionnaires

was analyzed and presented in the following details.

4.2.1 Age.

Age was divided into 6 ranges, including range 1 (20 years or under), range 2

(21-30 years), range 3 (31-40 years), range 4 (41-50 years), range 5 (51-60 years), and

range 6 (Older than 60 years). Table 4.1 presents frequency distribution by Age.

Table 4.1 Demographic Background of Respondents Classified by Age

Age Frequency Percent

20 years or under 20 5.0

21-30 years 121 30.3

31-40 years 126 31.5

41-50 years 74 18.5

51-60 years 52 13.0

Older than 60 years 7 1.8

Total 400 100.0

The result from Table 4.1 reveals that the majority of the respondents are aged

between 31-40 years (31.5%) follow by 21-30 years (30.3%), 41-50 years (18.5%),

51-60 years (13%), 20 years or under (5%), and older than 60 years (1.8%)

respectively.

4.2.2 Gender.

The gender of 400 respondents who have been using pet retailer business and

having pets is presented in Table 4.2.

27

Table 4.2 Demographic Background of Respondents Classified by Gender

Gender Frequency Percent

Male 105 26

Female 295 74

Total 400 100.0

The result from table 4.2 shows that the major respondents in this group are

female (295 respondents) who accounted for 74% of the total respondents. The rest

are 105 male respondents who accounted for 26% of the total respondents.

4.2.3 Educational background.

Educational background was divided into 5 ranges, including range 1 (high

school/vocational), range 2 (Diploma), range 3 (bachelor’s degree), range 4 (master’s

degree), and range 5 (others). Table 4.3 shows frequency distribution by education

background.

Table 4.3 Demographic Background of Respondents Classified by Educational

Background

Educational Background Frequency Percent

High School/Vocational 59 14.8

Diploma 23 5.8

Bachelor’s Degree 230 57.5

Master’s Degree 83 20.8

Above Master’s Degree 5 1.3

Total 400 100.0

The descriptive analysis result from Table 4.3 indicates that the majority of the

respondents held a bachelor’s degree (57.5%), follows by master’s degree (20.8%),

high school/vocational (14.8%), diploma (5.8%), and above master degree (1.3%)

respectively.

28

4.2.4 Income.

Current salary was divided into 8 ranges, including range 1 (B10,000 or less),

range 2 (B10,001-B15,000), range 3 (B15,001-B20,000), range 4 (B20,001-B25,000),

range 5 (B25,001-B35,000), range 6 (B35,001-B45,000), range 7 (B45,001-B55,000),

and range 8 (More than B55,000). Table 4.4 shows the frequency distribution by

current salary.

Table 4.4 Demographic Background of Respondents Classified by Income

Current Salary Frequency Percent

B10,000 or less 72 18.0

B10,001-B15,000 52 13.0

B15,001-B20,000 47 11.8

B20,001-B25,000 45 11.3

B25,001-B35,000 87 21.8

B35,001-B45,000 39 9.8

B45,001-B55,000 33 8.3

More than B55,000 25 6.3

Total 400 100.0

The result from Table 4.4 shows that the majority of respondents have an

income in the range B25,001-B35,000 (21.8%), followed by B10,000 or less (18%),

B10,001-B20,000 (13%), B15,001-B20,000 (11.8%), B20,001-B25,000 (11.3%),

B35,001-B45,000 (9.8%), B45,000-B55,000 (8.3%), and More than B55,000 (6.3%)

respectively.

4.3 Consumer Behavior Characteristics of Respondents

Consumer behavior characteristics of the respondents obtained from

questionnaires was analyzed and presented in the following details.

4.3.1 Pet ownership.

Since this research was only interested in two kinds of pets, which were dogs

and cats, the result of the pets owned by people who have been using either product or

service from Bangkok pet retailer business is presented in Table 4.5.

29

Table 4.5 Behavior Characteristics of Respondents Classified by Pet Ownership

Pets Frequency Percent

Dog 357 86

Cat 59 14

Total 416 100

The result from Table 4.5 shows that the major respondents in this group have

a dog (357 respondents) who accounted for 86% of the total respondents. The rest

have a cat (59 respondents) who accounted for 14% of the total respondents.

4.3.2 Frequency of purchasing.

Frequency of purchasing was divided into 7 ranges, including range 1 (more

than once a week), range 2 (once a week), range 3 (two times a month), range 4 (once

a month), range 5 (every 3 months), range 6 (every 6 months), and range 7 (others).

Table 4.6 shows frequency distribution by frequency of purchasing.

Table 4.6 Behavior Characteristics of Respondents Classified by Frequency of

Purchasing

Frequency of Purchasing Frequency Percent

More than once a week 5 1.3

Once a week 51 12.8

Two times a month 90 22.5

Once a month 162 40.5

Every 3 months 45 11.3

Every 6 months 30 7.5

Others 17 4.3

Total 400 100.0

The result from Table 4.6 shows that the majority of the respondents have

been using either products or services from a pet retailer in the range of once a month

(40.5%), followed by two times a month (22.5%), once a week (12.8%), every 3

months (11.3%), every 6 months (7.5%), others (4.3%), and more than once a week

(1.3%) respectively.

30

4.3.3 Frequency of changing pet retailer.

Frequency of changing was divided into 4 groups, including never, seldom,

often, and occasionally. Table 4.7 shows the frequency of changing result.

Table 4.7 Behavior Characteristics of Respondents Classified by Frequency of

Changing Pet Retailer

Frequency of Changing Pet Retailer Frequency Percent

Never 35 8.8

Seldom 193 48.3

Often 19 4.8

Occasionally 153 38.3

Total 400 100.0

The result from Table 4.7 shows that the majority of the respondents have

seldom changed the pet retailer (48.3%), follows by occasionally (38.3%), never

change (8.8%), and often change (4.8%) respectively.

4.3.4 Average spending per time.

The average spent per time was divided into 5 ranges, including range 1 (Less

than B100), range 2 (B101-B300), range 3 (B301-B600), range 4 (B601-B900), and

range 5 (More than B900). Table 4.8 shows frequency distribution by average spent

per visit.

Table 4.8 Behavior Characteristics of Respondents Classified by Average Spending

per Time

Average Spending Frequency Percent

Less than B100 18 4.5

B101-B300 172 43.0

B301-B600 116 29.0

B601-B900 44 11.0

More than B900 50 12.5

Total 400 100.0

31

The result from Table 4.8 shows that the majority of the respondents have an

average cost per visit in the range B101-B300 (43%), followed by B301-B600 (29%),

More than B900 (12.5%), B601-B900 (11%), and Less than B100 (4.5%)

respectively.

4.3.5 Information channel.

Information channel was divided into 8 categories, including of TV, Radio,

Newspaper, Friends, General Magazine, Internet, Pet Magazine, and Others. Table 4.9

shows frequency distribution by distribution channels.

Table 4.9 Distribution Channels

Information Channel Frequency Percent

TV 172 24.2

Radio 19 2.7

Newspaper 44 6.2

Friends 163 22.9

General Magazine 84 11.8

Internet 67 9.4

Pet Magazine 98 13.8

Others 65 9.1

Total 712 100

The result from Table 4.9 shows that the majority of respondents received the

information from TV (24.2%), followed by friends (22.9%), pet magazine (13.8%),

general magazine (11.8%), internet (9.4%), others (9.1%), newspaper (6.2%), and

radio (2.7%) respectively.

4.3.6 Decision in choosing pet retailer.

The researcher divided how respondents who make decisions in using either

product or service from a pet retailer into 7 groups, including near the house, in a

shopping mall, has a good reputation, provides a good service, provides a good

product, offers a good price, and others. Table 4.10 shows frequency distribution by

decision in choosing pet retailer.

32

Table 4.10 Decision in Choosing Pet Retailer of Respondents

Decision in choosing pet retailer Frequency Percent

Near the house 203 31.4

In a shopping mall 95 14.7

Has a good reputation 23 3.6

Provides a good service 54 8.4

Provides a good product 127 19.7

Offers a good price 138 21.4

Others 6 0.9

Total 646 100

The result from Table 4.10 shows that the majority of respondents decided to

purchase either products or services from pet retailer for the reason that it is near the

house (31.4%), offers a good price (21.4%), provides a good product (19.7%), in a

shopping mall (14.7%), provides a good service (8.4%), has a good reputation (3.6%),

and others (0.9%) respectively. For the other reasons that the respondents specified in

the questionnaires were that they decided to purchase by accidentally when they just

walked pass, the retailer provided unique products which were in a needing of their

pets, or they had personal relationship with the shop owner.

4.3.7 Decision in changing pet retailer.

The researcher divided how respondents change the pet retailer into 7 groups,

including is not satisfied with the shop’s service, has less variety of products/services,

is not convenient with the shop location, is not convenient with the parking lot,

unreasonable prices or service fees, is not satisfied with the service from shop’s staff,

and others. Table 4.11 shows frequency distribution by decision in changing pet

retailer.

33

Table 4.11 Decision in Changing Pet Retailer of Respondents

Decision in changing pet retailer Frequency Percent

Is not satisfied with the shops’ services 52 9.6

Has less variety of products/services 147 27.2

Is not convenient with the shop location 87 16.1

Is not convenient with the parking lot 88 16.3

Unreasonable prices or service fees 113 20.9

Is not satisfied with the service from shop’s staff 30 5.6

Others 23 4.3

Total 540 100

The result from table 4.11 shows that majority of the respondents changed the

pet retailer for the reason that it has less variety of products or services (27.2%),

followed by unreasonable prices or service fees (20.9%), is not convenient with the

parking lot (16.3%), is not convenient with the shop location (16.2%), is not satisfied

with the shop’s service (9.6%), is not satisfied with the service from shop’s staff

(5.6%), and other reasons (4.3%) respectively. The other reasons that the respondents

specified in the questionnaires were that the retailer was no longer provide the

specific pet products or services that they needed, or they was convinced with their

family members to choose the other retailer.

4.4 Marketing Mix Factors that Influence Consumer Purchasing Decisions

The researcher defined the factors that influence the consumer purchasing

decision according to marketing mix factors, which are product, price, place, and

promotion, and then let the respondents rate how they placed importance on each

factor when needed to make a decision on which pet retailer would be selected as per

the following classification:

Width of class interval

4.21-5.00 = Strongly agree

3.41-4.20 = Agree

2.61-3.40 = Rather agree

1.81-2.60 = Disagree

1.00-1.80 = Strongly disagree

34

Table 4.12 General Characteristics of Consumers’ Purchasing Decisions

Purchasing Decision X SD Relative Degree

Variety of Product 4.33 .728 Strongly agree

New Product 3.96 .868 Agree

Quality of Product 4.46 .682 Strongly agree

Quality of Service 4.22 .785 Strongly agree

Variety of Service 4.03 .796 Agree

Quality of Shop Staff 4.10 .815 Agree

Good Price 4.33 .773 Strongly agree

Good Location 4.34 .726 Strongly agree

Car Parking 4.16 .886 Agree

Hygiene of Place 4.33 .720 Strongly agree

Discount 4.05 .830 Agree

Premium 3.78 .908 Agree

Advertisement 3.41 .992 Agree

Table 4.12 illustrates that the respondents agreed that the marketing mix

factors had an influence towards purchasing decisions. The majority of the total

respondents gave importance to quality of product when needing to make a decision

which pet retailer would be selected ( X =4.46), followed by a good location

( X =4.34), hygiene of place ( X =4.33), variety of product ( X =4.33), good price

( X =4.33), quality of service ( X =4.22), car parking ( X =4.16), quality of shop staff

( X =4.10), discount ( X =4.05), variety of service ( X =4.03), new product ( X =3.96),

premium ( X =3.78), and advertisement ( X =3.41) respectively.

4.5 Testing Hypotheses

Inferential statistics including t-Test were employed to find the relationships

between data variables (gender and consumer’s purchasing decisions) and ANOVA

was used to compare between data variables (age, education background, salary and

consumers’ purchasing decisions) for the question number. Linear regression was

employed to test hypotheses regarding the relationship between consumers’ behavior

and purchasing decisions, and marketing mix factors and purchasing decisions.

35

4.5.1 Testing demographic factors on purchasing decisions in Bangkok

pet retailer business.

Hypotheses 1: there is a significant relationship between demographic factors


H0: There is not a significant relationship between demographic factors and

consumers’ purchasing decisions.

H1: There is a significant relationship between demographic factors and


1) The relationship between gender and consumers’ purchasing decisions

The researcher used a t-Test to find the relationship between data variables

(gender and consumer’s purchasing decision) at a significance level 0.05.

Table4.13 The Relationship between Gender and Consumers’ Purchasing Decisions

95%

Confidence Gender and Consumers’

Purchasing Decision Sig. t diff

Sig. (2-tailed)

X

diff

Std.

Error

diff Upper Lower

Equal variances

assumed -0.83

39

8 0.405 -0.07 0.08 -0.23 0.09

Equal variances not

assumed

0.16

5

-0.77

16

1 0.440 -0.07 0.09 -0.24 0.11

The result from table 4.13 illustrates the relationship between gender and

consumers’ purchasing decisions. Since Sig. is 0.165, which is greater than 0.05, then

0.405 is selected from Sig (2-tailed) as equal variances assumed. P (possibility) is

0.405, α (significance level) is 0.05, so P is greater than α, which is not significant and

resulting to accept the null hypothesis (H0) and rejecting the alternative hypothesis

(H1).

It is indicated that there is not a significant relationship between gender and

consumers’ purchasing decisions in the Bangkok pet retailing business at the

significance level of 0.05. The gender has no significant influence on purchasing

decisions.

36

2) The relationship between age and consumers’ purchasing decisions

The researcher used ANOVA to find the relationship between data variables

(age and consumer’s purchasing decision) at a significant level of 0.05.

Table 4.14 The Relationship between Age and Consumers’ Purchasing Decisions

Age and Consumers’

Purchasing Decisions

Sum of

Squares diff

Mean

Square F Sig.

Between Groups 5.102 5 1.020 2.011 .076

Within Groups 199.895 394 .507

Total 204.998 399

Table 4.14 illustrates the relationship between age and consumers’ purchasing

decisions. Since Sig. is 0.076, which is greater than 0.05, it results in accepting the

null hypothesis (H0) and rejecting the alternative hypothesis (H1). It could be noted

that there is no significance of purchasing decisions among respondents with different

ages. The age has no significant influence on purchasing decisions.

3) The relationship between educational background and consumers’

purchasing decisions


(education background and consumer’s purchasing decision) at a significance level of

0.05.

Table 4.15 The Relationship between Educational Background and Consumers’


Education and

Consumers’


Sum of

Squares diff Mean

Square F Sig.

Between Groups 1.66

0 4 .415 .806 .522

Within Groups 203.

338 395 .515

Total 204.

998 399

37

Table 4.15 illustrates the relationship between educational background and

consumers’ purchasing decisions. Since Sig. is 0.522, which is greater than 0.05, it

results in accepting null hypothesis (H0) and rejecting the alternative hypothesis (H1).

It could be noted that there is no significance of purchasing decisions among

respondents with different educational backgrounds. The educational background has

no significant influence on purchasing decisions.

4) The relationship between monthly income and consumers’ purchasing

decisions


(salary and consumer’s purchasing decision) at a significance level of 0.05.

Table 4.16 The Relationship between Monthly Income and Consumers’ Purchasing

Decisions

Monthly Income and

Consumers’


Sum of

Squares diff Mean

Square F Sig.

Between Groups 5.20

9 7 .744 1.460 .180

Within Groups 199.

789 392 .510

Total 204.

998 399

Table 4.16 illustrates the relationship between monthly income and

consumers’ purchasing decisions. Since Sig. is 0.180, which is greater than 0.05, it

results in accepting null hypothesis (H0) and rejecting the alternative hypothesis (H1).

It could be noted that there is no significance of purchasing decision among

respondents with different monthly income. The salary has no significant influence on

purchasing decisions.

38

4.5.2 Testing consumer behavior factors on purchasing decisions in

Bangkok pet retailer business.

Hypothesis 2: there is a significant relationship between consumer behavior

factors and consumers’ purchasing decisions in the Bangkok pet retailing business.

H0: there is not a significant relationship between consumer behavior factors

and consumers’ purchasing decision.

H1: there is a significant relationship between consumer behavior factors and

consumers’ purchasing decision.

.

Table 4.17 The Relationship between Consumer Behavior Factors and Consumers’


Unstandardized

Coefficients

Standardized

Coefficients

Consumer Behavior

Factors and

Consumers’


B

Std.

Error Beta

t

Sig.

(Constant) 4.093 .176 23.217 .000

Frequency of Purchasing -.063 .028 -.113 -2.241 .026

Average Spent per Visit .068 .033 .104 2.070 .039

1) The relationship between frequency of purchasing and consumers'


According to the result from Table 4.17, since Sig. is 0.026 which is less than

0.05, it results in rejecting null hypothesis (H0) and accepting the alternative

hypothesis (H1). It could be elaborated that there is significance of purchasing

decisions among respondents with different frequency of purchasing. The frequency

of purchasing has a significant influence on purchasing decisions.

2) The relationship between averages spending per visit and consumers'


According to the result from Table 4.17, since Sig. is 0.039 which is less than

0.05, it results in rejecting null hypothesis (H0) and accepting the alternative

hypothesis (H1). It could be noted that there is significance of purchasing decisions

39

among respondents with different average spending per visit. The average spending

per visit has a significant influence on purchasing decisions.

4.5.3 Testing marketing mix factors on purchasing decisions in Bangkok

pet retailer business.

Hypothesis 3: there is a significant relationship between marketing mix factors


H0: there is not a significant relationship between marketing mix factors and


H1: there is a significant relationship between marketing mix factors and


Table 4.18 The Relationship between Marketing Mix Factors and Consumers’


Unstandardized

Coefficients

Standardized

Coefficients

Marketing Mix

Factors and

Consumers’

purchasing Decisions

B Std. Error Beta

t

Sig.

(Constant) 1.136 .272 4.181 .000

Variety of product .081 .054 .082 1.491 .137

New product -.030 .045 -.036 -.663 .508

Quality of product .161 .066 .153 2.453 .015

Quality of shop’s service .158 .060 .173 2.619 .009

Variety of service .060 .050 .067 1.194 .233

Price .017 .053 .019 .324 .746

Location .077 .056 .078 1.373 .171

Car parking .036 .046 .044 .779 .437

Hygiene of place .068 .060 .069 1.143 .254

Sale promotion - discount -.156 .062 -.181 -2.504 .013

Sale promotion- premium .064 .056 .081 1.140 .255

Advertisement .145 .039 .200 3.666 .000

40

Table 4.18 illustrates the relationship between marketing mix factors and

consumers’ purchasing decisions as per the following details:

1) The relationship between variety of product and consumers’ purchasing

decisions has Sig. at 0.137, which is greater than 0.05. It shows that the

variety of product has no significant influence on purchasing decisions.

2) The relationship between new products and consumers’ purchasing


new product has no significant influence on purchasing decisions.

3) The relationship between quality of product and consumers’ purchasing

decisions has Sig. at 0.015, which is less than 0.05. It shows that the

quality of product has significant influence on purchasing decisions.

4) The relationship between quality of shop’s service and consumers’

purchasing decisions has Sig. at 0.009, which is less than 0.05. It shows

that the quality of shop’s service has significant influence on purchasing

decisions.

5) The relationship between variety of service and consumers’ purchasing


variety of service has no significant influence on purchasing decisions.

6) The relationship between price and consumers’ purchasing decisions has

Sig. at 0.746, which is greater than 0.05. It shows that the price has no

significant influence on purchasing decisions.

7) The relationship between location and consumers’ purchasing decisions

has Sig. at 0.171, which is greater than 0.05. It shows that the location has

no significant influence on purchasing decisions.

8) The relationship between car parking and consumers’ purchasing decisions

has Sig. at 0.437, which is greater than 0.05. It shows that the car parking

has no significant influence on purchasing decisions.

9) The relationship between hygiene of place and consumers’ purchasing


hygiene of place has no significant influence on purchasing decisions.

10) The relationship between sale promotion (discount) and consumers’

purchasing decisions has Sig. at 0.013, which is less than 0.05. It shows

that the sale promotion (discount) has significant influence on purchasing

decisions.

41

11) The relationship between sale promotion (premium) and consumers’

purchasing decisions has Sig. at 0.255, which is greater than 0.05. It shows

that the sale promotion (premium) has no significant influence on


12) The relationship between advertisement and consumers’ purchasing

decisions has Sig. at 0.00, which is less than 0.05. It shows that the sale

advertisement has significant influence on purchasing decisions.

42

Chapter 5

Conclusions, Discussion, and Recommendations

5.1 Summary of Findings

The study identified the independent variables into 3 groups, which are

demographic factors, consumer’s behavior factors and marketing mix factors, while

the dependent variable is the consumers’ purchasing decision in the Bangkok pet

retailing business.

The survey instrument was divided into 3 parts, which are the personal

information, behavior information, and the agreement level of factors influencing

purchasing decisions. The questionnaires were distributed to 400 consumers who have

been using either products or services from the Bangkok pet retailing business and

have a dog or a cat as the pet for the time being.

The collected data is analyzed by using the Statistical Package for Social

Science (SPSS). The descriptive statistics (frequency, percentages, and means) were

used to describe general characteristic of demographic and consumers’ purchasing

decisions. The inferential statistics including t-Test were employed to find the

relationships between data variables (gender and consumer’s purchasing decisions)

and ANOVA was used to compare between data variables (age, education

background, salary and consumers’ purchasing decisions). The linear regression

technique was employed to test hypotheses regarding the relationship between

consumers’ behavior and purchasing decisions, and marketing mix factors and


This study explores the factors that influence the consumers’ purchasing

decisions in the Bangkok pet retailing business. The followings are the summary of

findings that are based on the research questions and hypotheses.

5.2 Findings of the Study

5.2.1 Demographic profile of respondents.

The gender of 400 respondents who have been using the pet retailer business

and having pets at present are 105 males and 295 females.

43

Figure 5.1 illustrates that the respondents are aged between 31-40 years

(31.5%) follow by 21-30 years (30.3%), 41-50 years (18.5%), 51-60 years (13%), 20

years or under (5%), and older than 60 years (1.8%) respectively.

05

1015

20253035

20 years orunder

21-30years

31-40years

41-50years

51-60years

Older than60 years

Age

Per

cent

Figure 5.1 Age of 400 Respondents

Figure 5.2 illustrates that the respondents held a bachelor’s degree (57.5%),

followed by master’s degree (20.8%), high school/vocational (14.8%), diploma

(5.8%), and above master’s degree (1.3%) respectively.

010203040506070

Hig

hS

choo

l/Voc

atio

nal D

iplo

ma

Bac

helo

r’sD

egre

e

Mas

ter’s

Deg

ree

Abo

ve M

aste

r’sD

egre

e

Educational Background

Per

cent

Figure 5.2 Education Background of 400 Respondents

Figure 5.3 illustrates that the income of respondents are in the range of

B25,001-B35,000 (21.8%), followed by B10,000 or less (18%), B10,001-B20,000

44

(13%), B15,001-B20,000 (11.8%), B20,001-B25,000 (11.3%), B35,001-B45,000

(9.8%), B45,000-B55,000 (8.3%), and more than B55,000 (6.3%) respectively.

0

5

10

15

20

25

B10,000or less

B10,001-B15,000

B15,001-B20,000

B20,001-B25,000

B25,001-B35,000

B35,001-B45,000

B45,001-B55,000

Morethan

B55,000

Monthly Income

Perc

ent

Figure 5.3 Income of 400 respondents

Based on the data collected, it can be summarized that the majority of the

respondents are females, age between 31-40 years old, holding bachelor’s degrees,

and with a monthly income of between B25,001-B35,000 Baht.

5.2.2 Consumer behavior characteristics of respondents.

Most respondents have a dog (86%), followed by a cat (14%). Figure 5.5

illustrates that the respondents have been using either products or services from a pet

retailer once a month (40.5%), followed by two times a month (22.5%), once a week

(12.8%), every 3 months (11.3%), every 6 months (7.5%), others (4.3%), and more

than once a week (1.3%) respectively.

45

05

1015202530354045

Morethan once

a week

Once aweek

Twotimes amonth

Once amonth

Every 3months

Every 6months

Others

Frequency of Purchasing

Perc

ent

Figure 5.4 Frequency of Purchasing

Figure 5.5 illustrates that the respondents have seldom changed their pet

retailer (48.3%), followed by occasionally (38.3%), never change (8.8%), and often

change (4.8%) respectively.

0

10

20

30

40

50

60

Never Seldom Often Occationally

Frequency of Changing

Perc

ent

Figure 5.5 Frequency of Changing Pet Retailer

Figure 5.6 illustrates that the average spending per visit of the respondents are

in the range B101-B300 (43%), follows by B301-B600 (29%), more than B900

(12.5%), B601-B900 (11%), and less than B100 (4.5%) respectively.

46

05

101520253035404550

Less thanB100

B101-B300 B301-B600 B601-B900 More thanB900

Average Spending per Time

Per

cent

Figure 5.6 Average Spending per Time

Figure 5.7 illustrates that the respondents receive the information from

television (24.2%), followed by Friends (22.9%), Pet magazine (13.8%), General

magazine (11.8%), Internet (9.4%), Others (9.1%), Newspaper (6.2%), and Radio


0

5

10

15

20

25

30

TV Radio Newspaper Friends GeneralMagazine

Internet PetMagazine

Others

Information Channel

Perc

ent

Figure 5.7 Information Channel

Figure 5.8 illustrates that the respondents made decisions in using either

products or services from a pet retailer with the reason that it is near to the house

(31.4%), offers a good price (21.4%), provides a good product (19.7%), in a shopping

mall (14.7%), provides a good service (8.4%), has a good reputation (3.6%), and

others (0.9%) respectively.

47

05

101520253035

Near thehouse

In ashopping

mall

Has agood

reputation

Provides agood

service

Provides agood

product

Offers agood price

Others

Decision in Choosing Pet Retailer

Perc

ent

Figure 5.8 Decision in Choosing Pet Retailer

Figure 5.9 shows how respondents change the pet retailer are that the pet

retailer has less variety of products or services (27.2%), followed by unreasonable

price or service fee (20.9%), is not convenient with a parking lot (16.3%), is not

convenient with the shop location (16.2%), is not satisfied with the shop’s service

(9.6%), is not satisfied with the service from shop’s staff (5.6%), and other reason


05

1015202530

Is n

ot s

atis

fied

with

the

shop

s’se

rvic

es

Has

less

var

iety

ofpr

oduc

ts/s

ervi

ces

Is n

ot c

onve

nien

tw

ith th

e sh

oplo

catio

n

Is n

ot c

onve

nien

tw

ith th

e pa

rkin

glo

t

Unr

easo

nabl

epr

ices

or s

ervi

cefe

es

Is n

ot s

atis

fied

with

the

serv

ice

from

sho

p’s

staf

f

Oth

ers

Decision in Changing Pet Retailer

Perc

ent

Figure 5.9 Decision in Changing Pet Retailer

Based on the data collected, it has shown that 80.2% of the respondents have a

dog, 40.5% of them patronize a pet retailer once monthly for either products or

services. The average spending per visit was in the range of between 101-300 Baht

(48.3%). Certain buying pattern & Sense of Loyalty was also shown from the results,

48

as 48.3% of the respondents did not switch from their regular pet retailers. 24.2% of

the respondents receive the information from television.

In addition, it shows that the respondent based much emphasis on location for

the selection of pet retailers. In which 24.2% of them selected pet retailers near their

homes. Reasons given by 27.2% of the respondents for switching pet retailers was

that it has less variety of products or services, which unable to cater for their needs or

requirements.

This result is compatible to the pet ownership of Hongkong people, cat-

ownership is growing at a faster rate than that of the other types of pets. However,

dogs are more popular than cats as pets. Pet shop owners predict that the number of

households in Hong Kong keeping cats will increase as cats are of lower maintenance

than dogs, and are therefore more suited to the busy lifestyles of Hong Kong residents

The major end-users of commercial pet foods are the pet breeders, pet shop owners

who usually also act as pet breeders, household pet owners and corporations that have

aquariums in their offices or places of business. Hong Kong household pet owners

spend, on average, between US$39-65 per month on pet foods and food supplements,

accessories and other supplies (Swee-keng Cheong, 2004).

5.2.3 Marketing mix factors that influence consumer purchasing

decisions.

The data collected shows that the respondents agreed that the marketing mix

factors have an influence towards purchasing decision. From descending order, the

respondents find that quality of products ( X =4.46) is the most important criteria for

the selection of pet retailers. Next follow by good location ( X =4.34), hygiene of

place ( X =4.33), variety of product ( X =4.33), good price ( X =4.33), quality of

service ( X =4.22), car parking ( X =4.16), quality of shop staff ( X =4.10), discount

( X =4.05), variety of service ( X =4.03), new product ( X =3.96). Surprisingly sales

promotion (premium) ( X =3.78), and advertisement ( X =3.41) from the retailers are

the least important factors by the respondents.

The result is compatible to the research of Hongkong pet ownership in that

the consumers are willing to spend on good quality and nutritious pet foods. Sales

prospects for snack foods for dogs and cats, and pet supplies such as toys, water

bottles, fanciful collars, shampoos, and carrier bags, remain bright. There is a high-

49

level of U.S. brands-awareness in Hong Kong making U.S. brands the market leaders

in both the popular and premium pet foods and pet supplies sectors. U.S. pet foods

enjoy a good reputation of being functional, of having good nutritional value, and

resilient packaging (Swee-keng Cheong, 2004).

5.2.4 Testing of hypotheses.

1) Hypotheses 1

Males and females do not make different purchasing decisions in Bangkok pet

retailer business at a significance level of 0.05. The gender has no significant

influence on purchasing decisions.

The age has no significant influence on purchasing decisions. The respondents

who are 20 years or under, 21-30 years, 31-40 years, 41-50 years, 51-60 years, and

older than 60 years do not make different purchasing decisions in the Bangkok pet

retailing business.

The educational background has no significant influence on purchasing

decisions. The respondents who held high school, diploma, bachelor’s degree,

master’s degree, and other certificate do not make different purchasing decision in the


The monthly income has no significant influence on purchasing decisions. The

respondents who have an income of B10,000 or less, B10,001-B15,000, B15,001-

B20,000, B20,001-B25,000, B25,001-B35,000, range B35,001-B45,000, B45,001-

B55,000, and more than B55,000 do not make different purchasing decisions in the


According to the result, it can be summarized that the demographic factors

which are gender, age, educational background and salary, have no significant

relationship with purchasing decisions. Although, consumer researchers must

recognize that gender differences, despite movements away from the sex role

dominance, still exist for some products and in some situations (Roger, Paul & James

(2004). Nevertheless, this factor does not have much importance on consumers’

purchasing decisions since the objective is not to purchase for themselves, but for

their pets. Instead of considering their background, they will focus more on the pets,

e.g. sort of pets, age, gender, etc.

50

2) Hypothesis 2

The frequency of purchasing has a significant influence on purchasing

decisions. The respondents who have been using either products or services from pet

retailers with the frequency of more than once a week, once a week, two times a

month, once a month, every 3 months, every 6 months, and other frequency have

different purchasing decisions in the Bangkok pet retailing business.

The average spending per visit has a significant influence on purchasing

decisions. The respondents who have an average spending per visit less than B100,

B101-B300, B301-B600, B601-B900, and more than B900 have different purchasing

decisions in the Bangkok pet retailing business.

According to the result, it can be summarized that the consumer behavior

factors have a significant relationship with the purchasing decisions.

3) Hypothesis 3

Table 5 illustrates the summary test result of Hypothesis 3.

Table 5 Hypothesis 3 Summary Test Result

No. Hypothesis Conclusion

1 Ho = There is not a significant relationship between the variety

of product and consumers’ purchasing decisions. Accept

2 Ho = There is not a significant relationship between the new

products and consumers’ purchasing decisions. Accept

3 Ho = There is not a significant relationship between the quality

of product and consumers’ purchasing decisions. Reject

4 Ho = There is not a significant relationship between the quality

of shop’s service and consumers’ purchasing decisions. Reject

5 Ho = There is not a significant relationship between the variety

of service and consumers’ purchasing decisions. Accept

6 Ho = There is not a significant relationship between the price

and consumers’ purchasing decisions. Accept

7 Ho = There is not a significant relationship between the

location and consumers’ purchasing decisions. Accept

51

No. Hypothesis Conclusion

8 Ho = There is not a significant relationship between the car

parking and consumers’ purchasing decisions. Accept


hygiene of place and consumers’ purchasing decisions. Accept

10 Ho = There is not a significant relationship between the sales

promotion (discount) and consumers’ purchasing decisions. Reject

11 Ho = There is not a significant relationship between the sales

promotion (premium) and consumers’ purchasing decisions. Accept


advertisement and consumers’ purchasing decisions. Reject

Retailers with outstanding Product Quality can draw tremendous attraction to

the consumers. Consumers tend to seek out products that are safe for their pets

and will not have any long-term effect or impact. The sales promotion (discount) is

one of the factors that the consumers consider when they need or want to

purchase products or services especially those regular or daily products such as pet

foods and pet accessories. Furthermore, the advertising is also important for the

consumers to have more information about the pet retailers. Advertisement helps the

consumers in shortening their decision-making in selection of pet retailers

However, the consumers do not place much importance on the variety of

products and the new products launched. The location, car parking, and the hygiene of

the retailer are not the main factors that the consumers consider when comes to

purchasing decision. In addition, sales promotion (premium) does not make much

impact/attraction on the consumers purchasing decision.

The results show that not all the marketing mix factors influence the

consumers’ purchasing decisions, although they are in the same category. This result

is compatible with the Hongkong industry sources indicating that 80% of Hong Kong

pet owners are willing to pay for premium pet products and the percentage is

increasing. The veterinarian’s (there are about 80 veterinarians in Hong Kong)

recommendations on the types and brands of pet foods influence more than 50% of

Hong Kong end-users’ purchases. The specialty pet shops’ recommendations and

advertisements also play a part in influencing the brands that end-users buy. Other

52

factors that influence purchasing decisions are country of origin and

packaging. Local end-users are averse to buying products that are made in

China. The most popular products are those that are made in the U.S., Japan, and

Australia. American and Japanese packagings are considered to be most resilient and

attractive, respectively. Local importers find European packaging of pet products to

be inferior in quality to those of the Japanese or Americans (Swee-keng Cheong,

2004).

5.3 Research Difficulties and Limitations

The important limitation of the research is to define the exact number of the

customers in all pet shops, which are located in Bangkok to compute for the number

of population. Therefore, the researcher does sampling one pet shop for observation

the number of customer.

Time and cost constraints are the major limitations in this study, which

presented the researcher with obstacles in getting the results. Since the population is

the people who have been using either products or services from the Bangkok pet

retailers and have pets at present, this consumed a lot of time for selecting the

respondents.

Moreover, some of the respondents did not want to be interviewed for

personal reasons.

5.4 Recommendations for Further Research

According to the recommendations collected from the respondents, it would

suggest that further research could focus not only on the sorts of pets but also on the

breed of pets. It was suggested that the pet retailer should have the products that are

appropriate to the breeds and the ages of the pets. The service price for pets is still

considered as high. It would also recommend hiring the staff, who has a service mind

especially in pet servicing. The parking lot is one of the most important factors when

considering choosing the pet retailer. Since it is raining often in Bangkok, it would be

appreciated if there is a direct covered link way connecting between the parking area

to the pet shop in order to avoid getting wet. More over, there should be the

promotion campaigns regarding the membership of the pet retailers, since the result

shows that the consumers are quite loyal to their pet retailer, as the majority of the

respondents seldom change this.

53

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56

Appendix A

Questionnaire (English)

Influential Factors on Consumers’ Purchasing Decisions in Bangkok Pet Retailing

Business

Personal Information

Instruction: Please mark (/) in front of the answers that apply to you (one answer for

one question).

1. Age

20 years or under 21-30 years

31-40 years 41-50 years

51-60 years Older than 60 years

2. Gender

Male Female

3. Educational Background

High School/Vocational Diploma

Bachelor’s Degree Master’s Degree

Above Master’s Degree, please specify.…………………………………….

4. Monthly Income

B10,000 or lesser B10,001-B15,000

B15,001-B20,000 B20,001-B25,000

B25,001-B35,000 B35,001-B45,000

B45,001-B55,000 More than B55,000

5. Do you have pet at present?

Yes No

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6. What kind of pet do you have?

Cat Dog

7. Have you ever used either product/service from Pet retailer?

Yes No

8. Where did you get the information about the pet retailer?

Television Radio

Daily Newspaper Friends or Relatives

Magazine Internet

Magazine Others, please specify…………..

Behavior Information

Instruction: Please mark (/) in front of the answers that apply to you (can choose more

than one answer).

9. How often do you purchase either product or service from the pet retailer?

More than once a week

Once a week

Two times a month

Once a month

Every 3 months Every 6 months Others, please specify ………………………………………………….

10. How could you select the pet retailer?

Near by the house

In shopping mall

Has a good reputation Provide good services Provide good products

Reasonable price

Others, please specify ..............................................................................................

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11. How often you change the pet retailer?

Never change

Seldom change

Often change

Occasionally change

12. What is the major factor which makes you to move using service from another

retailer? Is not satisfied with the shop’s service

Has less variety of products/services

Is not convenient with parking lot

Is not convenient with the shop location

Unreasonable prices or service fees

Is not satisfied with the service from shop’s staff

Others, please specify.........................................................................................................

13. How much average do you spend per time? Less than 100 Baht

101-300 Baht

301-600 Baht

601-900 Baht

More than 901 Baht

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Purchasing Decision

14. Please rate your opinion why you decide to use either product or service from the

pet retailer by ticking (/) in a box that you deem appropriate.

Strong Agree = 5

Agree = 4

Rather = 3

Disagree = 2

Strongly Disagree = 1

Level (ระดับ) The reason why you decide to use either product or service from this pet

retailer 5 4 3 2 1

14.1 Variety of products

14.2 New products

14.3 Quality of products

14.4 Quality of pet services

14.5 Variety of service equipments

14.6 Price

14.7 Comfortable place

14.8 Car parking

14.9 Hygiene of the place

14.10 Sale promotion – Discount

14.11 Sale promotion – Premium

14.12 Advertisement

14.13 Do you agree to make purchasing decision in using this pet retailer?

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Your suggestion for improvement

15. Pet product…………………………………………………………………….

………………………………………………………………………………...

………………………………………………………………………………...

16. Pet service …………...………………………………………………………….

…………………………………………………………………………………..

…………………………………………………………………………………..

17. Staffs’ service ………………………………………………………………….

.…………………………………………………………………………………

………………………………………………………………………………….

18. Price………………………………………………………………………………

……………………………………………………………………………………

……………………………………………………………………………………

19. Place …………...………………………………………………………………..

……...........................……………………………………………………………

…………………………………………………………………………………..

20. Sale promotion …………………………………………………………………

………………………………………………………………………………….

…………….……………………………………………………………………

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Appendix B

Questionnaire (Thai)

แบบสอบถาม

ปจจัยท่ีมีอิทธิพลตอการตดัสินใจซื้อของผูบริโภคในธุรกิจคาปลีกดานสัตวเล้ียง ขอมูลสวนบุคคล วิธีการ: ทําเครื่องหมาย (/) ลงในชองที่ตองการเลือก กรุณาเลือกเพียงคําตอบเดียว 1. อายุ

20 ป หรือ ตํ่ากวา 21-30 ป 31-40 ป 41-50 ป 51-60 ป มากกวา 60 ป

2. เพศ ชาย หญิง

3. การศึกษา

มัธยมศึกษา/ปวช ปวส./ อนุปริญญา ป.ตรี ป.โท สูงกวาปริญญาตรี,โปรดระบุ..............................................…………………………………………….

4. รายไดตอเดือน

10,000 บาท หรือตํ่ากวา 10,001-15,000 บาท 15,001-20,000 บาท 20,001-25,000 บาท 25,001-35,000 บาท 35,001-45,000 บาท 45,001-55,000 บาท มากกวา 55,000 บาท

5. ปจจุบันทานมีสัตวเลี้ยงหรือไม ใช ไม 6. สัตวเลี้ยงที่ทานมีเปนประเภทใด แมว สุนัข

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7. ทานเคยใชผลิตภัณฑหรือบริการจากรานคาปลีกเกี่ยวกับสัตวเลี้ยงหรือไม เคย ไมเคย 8. ทานรับรูขอมูลเกี่ยวกับรานคาปลีกเกี่ยวกับสัตวเลี้ยงมาจากที่ไหน

โทรทัศน วิทยุ นสพ. เพื่อน หรือ ญาติ นิตยสารทั่วไป อินเทอรเน็ต นิตยสารสัตวเลี้ยง อื่นๆ, โปรดระบ.ุ...............................

ขอมูลทางดานพฤติกรรม วิธีการ: ทําเครื่องหมาย (/) ลงในชองที่ตองการเลือก สามารถเลือกไดมากกวา 1 คําตอบ 9. ทานซื้อผลิตภัณฑหรือบริการจากรานคาปลีกเกี่ยวกับสัตวเลี้ยงบอยเทาใด มากกวา 1 ครั้งตอสัปดาห 1 ครั้งตอสัปดาห 2 ครั้งตอเดือน 1 ครั้งตอเดือน ทุก 3 เดือน ทุก 6 เดือน อื่นๆ, โปรดระบุ……………………………………….…………………………………………….. 10. ทานมีวิธีการเลือกใชรานคาปลีกเกี่ยวกับสัตวเลี้ยงอยางไร ใกลบาน อยูในหางสรรพสินคา มีช่ือเสียงดี ใหบริการดี มีผลิตภัณฑดี ราคาเหมาะสม อื่นๆ, โปรดระบุ ................................................................................................................................. 11. ทานเปลี่ยนรานคาปลีกเกี่ยวกับสัตวเลี้ยงบอยเทาใด ไมเคยเปลี่ยน ไมคอยเปลี่ยน เปลี่ยนบอย แลวแตโอกาส

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12. อะไรคือสวนสําคัญที่ทําใหทานเปลี่ยนการใชบริการจากรานคาปลีกสัตวเลี้ยงอื่น ไมพอใจในการบริการของราน มีความหลากหลายของสินคาและบริการนอย สถานที่จอดรถไมสะดวก ทําเลที่ต้ังของรานไมสะดวก ราคาของสินคาและการบริการไมเหมาะสม

ไมพอใจในการใหบริการของพนักงาน อื่นๆ, โปรดระบุ ................................................................................................................................

13. ทานมีคาใชจายเฉลี่ยตอครั้งในรานคาปลีกสําหรับสัตวเลี้ยงเทาไร ตํ่ากวา 100 บาท 101-500 บาท 301-600 บาท 601-900 บาท มากกวา 901 บาท การตัดสินใจซื้อ 14. กรุณาเลือกระดับความคิดเห็นเกี่ยวกับสาเหตุที่ทานตัดสินใจซื้อผลิตภัณฑหรือบริการจากรานคาปลีกดานสัตวเลี้ยงโดยทําเครื่องหมาย (/) ในชองที่ทานมีความเห็นสอดคลอง โดยสามารถเลือกไดมากกวา 1 คําตอบ

เห็นดวยเปนอยางยิ่ง = 5 เห็นดวย = 4 คอนขางเห็นดวย = 3 ไมเห็นดวย = 2 ไมเห็นดวยเปนอยางยิ่ง = 1

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ระดับ เหตุผลท่ีทําใหทานตัดสินใจใชสินคาหรือบริการจาก

รานคาปลีกเก่ียวกับสัตวเล้ียงนี้ 5 4 3 2 1

14.1 มีความหลากหลายของผลิตภัณฑ 14.2 มีผลิตภัณฑใหมๆอยูเสมอ 14.3 คุณภาพของผลิตภัณฑ 14.4 คุณภาพของการบริการ 14.5 ความหลากหลายของอุปกรณที่บริการ 14.6 ราคาพอสมควร 14.7 ความสะดวกเรื่องสถานที่ 14.8 มีสถานที่จอดรถ 14.9 ความสะอาด/สุขลักษณะของสถานที่ 14.10 การสงเสริมการขายดานการลดราคา 14.11 การสงเสริมการขายดานของสมนาคุณ 14.12 โฆษณา

14.13 ทานมีความเห็นดวยในการตัดสินใจใชรานคาปลีกสําหรับสัตวเลี้ยงนี้หรือไม

ความคิดเห็นสําหรับการปรับปรุง 15. ผลิตภัณฑสําหรับสัตวเล้ียง ………………………………………………………….

………………………………………………………………………………...

………………………………………………………………………………...

16. บริการสําหรับสัตวเล้ียง…...………………………………………………………….

…………………………………………………………………………………..

…………………………………………………………………………………..

17. การบริการของพนักงาน .…………………………………………………………….

.…………………………………………………………………………………

………………………………………………………………………………….

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18. ราคา………………………………………………………………………………

……………………………………………………………………………………

……………………………………………………………………………………

19. สถานที่ …………...………………………………………………………………..

……...........................……………………………………………………………

……………………………………………………………………………………..

20. การสงเสริมการขาย …………………………………………………………………

……………………………………………………………………………………….

…………….……………………………………………………..

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Appendix C

Thailand Statistical Data

Number of Villages Having Dogs/Cats and Number of Dogs/Cats Classified by

Ownership and Region.

Number of villages having dogs/cats Number of dog/cat

Ownership Non ownership Region

Number of

villages Ownership Non ownership Dog Cat Dog Cat

Central 15,242 15,031 5,774 1,436,572 566,218 130,314 65,202 Northern 15,355 15,146 3,125 1,468,594 609,765 45,311 32,782 North Eastern 31,122 30,713 8,298 1,987,166 664,984 58,480 114,076 Southern 8,310 7,952 3,957 426,372 365,647 61,635 59,382 Total 70,029 68,842 21,514 5,318,704 2,206,614 295,740 271,433

Source: National Statistical Office (2004).

Population Size of Thailand Classified by Gender, 1970,1980,1990,1999 and 2000 (Million persons)

Year Both Genders Women Men Gender ratio 1970 34.4 17.3 17.1 99.1

-100 -50.2 -49.8 1980 44.8 22.5 22.3 99.3

-100 -50.2 -49.8 1990 54.6 27.5 27.1 98.5

-100 -50.4 -49.6 19991/ 61.6 30.9 30.7 99.5

-100 -50.2 -49.8 20001/ 62.4 31.3 31.1 99.4

-100 -50.2 -49.8 Source: National Statistical Office (2004)

Note : Figures in parenthesis are percentages.

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Appendix D

Bangkok Statistical Data

Source: National Statistical Office (2005).

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Biography

Name: Tarinee Chaipradermsak

Date of Birth: November 29, 1979

Place of Birth: Bangkok Thailand

Institutions Attended:

1997-1999 Rajamangala Institue of Technology (Electronics), Tak,

Thailand.

1999-2001 Kingmongkut’s Institue of Technology, Ladkrabang

(Electronics&Computer), Bangkok, Thailand.

2005-2007 Shinawatra International University (MBA), Bangkok,

Thailand.

Home Address: 62 M..2, Pamamoung, Muang, Tak 6300.

Telephone: +84 667 7008

E-mail: [email protected]

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