Master of Business Administration

Consumer Behaviour MBA 4042M

CIA-3

Submitted by
Pranav Mittal 1827922
Ria Chauhan 1827951
Vaishnavi Sahu 1827958

Under the Guidance of

Dr. Vedha Balaji

CHRIST INSTITUTE OF MANAGEMENT, Bengaluru

AUGUST 2019

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TABLE OF CONTENTS

S.no Particulars Page

No.
1 Introduction 3
2 Description of Observed Units 4
3 Observation made in Landmark 5
4 Observation made in Helios 10
5 Observation made in More 12
6 Observation made in UCB 17
7 Pictures taken during Visit 20
8 Insights Drawn 23
9 Model Derived 24
10 Rationale 25
11 Marketing Application 26
12 Conclusion 27
13 Reference 27
14 APPENDIX 28

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INTRODUCTION

It is important to know how to convert research and insight about the consumer into a conceptual model
or framework. The models and frameworks represent a type of intellectual competency that conveys
complex information in an easy-to-understand format. Among the most commonly known models by
marketers, researcher is the Howard and Sheth model. One can segment a market based on geography,
demographics, usage behaviours, benefits, or by psychographics. Howard-Sheth model is one of models
that represent consumer behaviour on the market.
It attempts to explain the rationality of choice of the product by the consumer under conditions of
incomplete information and reduced processing capability. It analyses the external symptoms of
behaviour, reactions and thought processes that cannot be subject to direct observation.

Objective: This assignment aims to create a segmentation model a model that divides the market place
into sub segments of individuals based on observed behavior. For the chosen brand/product, it is
required to conduct observational research (mystery shoppers1) and develop a model based on buying
behaviour and demographics.
Summary: The observational study was done on the shoppers at various stores in Forum Mall,
Koramangala. A model of customer segmentation is proposed on the basis of their behavioural traits and
their purchase decision.

The model explains the Degree of Intensity of Factors that increase pre purchase information search
among different set of customer groups. The customers are segmented into 4 types and pre-purchase
information factors determines the intensity among the customer segments.

1
Mystery shopping is a method used externally by market research companies or watchdog organizations, or internally by
companies themselves, to measure quality of service, or compliance with regulation, or to gather specific information about
products and services.

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DESCRIPTION OF OBSERVED UNITS

Retail Store chosen for study:

1. More (supermarket)
2. Landmark (Landmark Book Store)
3. UCB (clothes & accessories for men and women)
4. Helios (watch store from Titan)

Location: Forum Mall, No. 21, Hosur Rd, Koramangala, Bengaluru, Karnataka

Date: 1st August to 13th August

More 12
Total observation:
Landmark 10

UCB 6

Helios 5

35

Parameters considered during Observation:

1. Measuring Variables: Date, Location and Time

2. Shopping Behaviour: Different customer segments have specific characteristics, therefore

various purchase attitudes exist. Consequently, customers’ shopping orientation varies and it is
influenced by certain types of products and the shopping environment. Elements included in
shopping behaviour is behaviour of the customer, average time taken, what purchase they made
etc.

3. Values Identified: Demographic variable like Age, Gender, clothes, whether the customer is
with family, friends, relatives or alone.

4. Factors considered before making a purchase decision: Different types of buyers take their
purchase decision in different ways; there are various important factors that influence all the
buying decisions. These factors can be price, background of the customer, store experience etx.

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OBSERVATIONS MADE IN LANDMARK

Date: 3/08/2019
Time: Evening
Location: Landmark, Forum mall
CUSTOMER 1
Shopping Behaviour Purchase made, Yes
Purchased PS3 CD, a gaming console device.
Behaviour observed- The individual wanted a racing category game,
irrespective of bike and car category.
Average time taken- 15 mins
Values Identified Age- above 15 yrs
Gender- Male
Was Alone
Clothes- casual, polo tees & shorts and sneakers
Sub factors Price, among various varieties of the game, price of the product also had
an impact; CD with better discounts in the given category was looked
first.
Value, the price given for the product matches the satisfaction that
would be derived after playing the game.
The boy was wearing an apple watch and already possess PlayStation,
upper middle class
Personality trait – openness, as the boy is ready to experience a game
based on various availability of categories rather than specifics.

Date: 3/08/2019
Time: Evening
Location: Landmark, Forum mall
CUSTOMER 2
Shopping Behaviour Purchase made- Yes
Purchased what- Books
Behaviour observed- the individual was walking around through the
book section and stopping by each section of different books genre
shelves.
Average Time taken- 4 to 6 minutes for each shelf

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Values Identified Age- above 25 yrs
Gender- Male
Company - solo
Clothes – cotton trousers, linen shirt, crocs
Sub factors Volume, the man finally took 3 books from various genres of the book.
Value, the knowledge to be acquired through reading those book
Personality trait-conscientiousness, the man reading books makes him
disciplined.

Date:3/08/2019
Time: evening
Location: Landmark, Forum mall
CUSTOMER 3
Shopping Behaviour Purchase made- yes
Purchased what- a book
Behaviour observed- seeking help for making the purchase, purchase
being made for gifting purpose
Average Time taken- more than !5mins
Values Identified Age- above 25 years
Gender- male
Supposedly some friend was their
Sub factors Price, as the purchase was made with an intention for gifting, the price
of the book did mattered
value, acceptance of the gift , such as that being a book.
Personality traits- extraversion, as he was able to influence and engage
the landmark staff for his help in the buying decision.

Date: 3/08/2019
Time: evening
Location: Landmark, Forum mall
CUSTOMER 4
Shopping Behaviour Purchase made- Yes
Purchased Colouring book and crayons
Behaviour observed- shuffled through various colouring books, until she
found a book with single and large image to color them easily. Crayons
had no specific choice.

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 Average Time taken- 7 to 8 minutes
Values Identified Age- above 30 yrs
Gender- female
Had a small girl child (2 years)
indo western clothes worn
Sub factors Though among the variety a specific product was required irrespective
of the price.
The value attached with purchase is that of the happiness of the girl
child, for whom the colouring book was being purchased.

Date: 4/08/2019
Time: afternoon
Location: Landmark, Forum mall
CUSTOMER 5
Shopping Behaviour No Purchase was made
Behaviour observed- random walkover, paid for a notebook taken by his
son
Approximately 15 minutes taken
Values Identified Age- above 30 yrs
Gender- male
With wife and son (family)
Clothes - cotton trousers, polo tees, leather slippers
Sub factors Had no intention to make any personal purchase.

Date: 04/08/2019
Time: afternoon
Location: Landmark, Forum mall
CUSTOMER 6
Shopping Behaviour Purchase was done
Purchased what- premium pen
Behaviour observed- the mother and the son together came for the
purchase of a pen, for gifting it to her husband.
Average Time taken- 20 minutes
Values Identified Age- above 40 yrs
Gender- female

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 Clothes – loose pants, kurti
Sub factors Price, they came up with a budget for buying the pen.
Frequency, her husband was fond of pen, as she was mentioning of
having some collection of the pen being showcased.
Experience, she had an experience of what her husband would prefer.

Date: 4/08/2019
Time: afternoon
Location: Landmark, Forum mall
CUSTOMER 7
Shopping Behaviour Purchased an Amazon kindle
Behaviour observed- had specific purchase behaviour, directly went to
the kindle section.
Average Time taken- 30 minutes and above
He also left the shop once and again came back. Assuming him to be
indecisive.
Values Identified Age- above 20 yrs
Gender- male
Companied by parents
Sub factors Price, choosing among the variety, meeting the price factor and the
requirement of the product.
Value, digital mode of reading, access to more than 100 books at a time.

Date: 04/08/2019
Time: afternoon
Location: landmark, Forum mall
CUSTOMER 8
Shopping Behaviour Purchase made- Yes
Purchased what- Stationery Items
Behaviour observed- bundle products and appealing products were
purchased, appealing includes the packaging and size of the product
Average Time taken- 20 minutes
Values Identified Age- above 15 yrs
Gender- female
Mother

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 Clothes – top and jeans
Sub factors Volume, products in good quantity were purchased
Value, products that had good packaging added value to the buying
decision.

Date: 4/08/2019
Time: evening
Location: Landmark, forum mall

CUSTOMER 9
Shopping Behaviour Purchase made- No
Behaviour observed- Walk through the chocolate section
Average Time taken- 5 minutes
Values Identified Age- above 15 yrs
Gender- male

Sub factors Had no intention to make any personal purchase.

Date: 04/08/2019
Time: evening
Location: Landmark, Forum mall
CUSTOMER 10
Shopping Behaviour Purchase made- yes
Purchased what- chocolates
Behaviour observed- products with new packaging and newly launched
products were picked first
Average Time taken- 10 mins
Values Identified Age- above 15 Minutes
Gender- female
She was with bunch of her friends
Clothes – Jeans top
Sub factors Price sensitive as she chose chocolates which were comparatively
cheaper.
Chocolates bought were in volume, approximately 2 bars and three
baskets.

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OBSERVATIONS FROM HEIOS

Date: 11/04/2019
Time: evening
Location: Helios, Forum mall
CUSTOMER 1
Shopping Behaviour Purchase made- No
Behaviour observed- randomly asking to show the watches and wearing
it for the trial purchase.
Average Time taken- 10 mins
Values Identified Age- above 30 yrs
Gender- male
Company (solo, fam, friend)- wife
Clothes – shirt and cotton trouser
Sub factors No intention to make any personal purchase, rather than seeking
information.

Date: 11/04/2019
Time: evening
Location: Helios, Forum mall
CUSTOMER 2
Shopping Behaviour Purchase made- No
Behaviour observed- came in for specific reason for getting the watch
trap change , asking for the price and duration for getting the work done
Average Time taken- 5 minutess
Values Identified Age- above 20 yrs
Gender- male
Company- solo
Clothes - jeans, shirt and loafers
Sub factors Price, seeking price information.

Date: 11/04/2019
Time: evening
Location: Helios, Forum mall

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 CUSTOMER 3
Shopping Behaviour Purchase made- yes
Purchased what- watch strap
Behaviour observed- had a specific choice of the watch strap and
continuously kept on asking the warranty and guarantee of the strap
Average Time taken- 15 minutess
Values Identified Age- above 30 yrs
Gender- male
Was with her wife/girlfriend
Clothes – shirt trouser
Sub factors Was wearing a Daniel willington, upper middle
Was seeking information and reviews about other brands

Date: 11/04/2019
Time: evening
Location: Helios, Forum mall
CUSTOMER 4
Shopping Behaviour Purchase made- No
Behaviour observed- asking for rose gold coloured watches
Average Time taken- 10 minutes
Values Identified Age- above 20 yrs
Gender- female
Company -friend
Clothes – top and jeans
Sub factors Mentioned of lower price of the same watch on the online site.
Came with an intention to feel the product.
CUSTOMER 5
Shopping Purchase made- No
Behaviour Behaviour observed- randomly asking to show the watches and wearing it
for the trial purchase.
Average Time taken- 10 minutes
Values Age- above 30 yrs
Identified Gender- male
Company - wife
Clothes – shirt and cotton trouser
Sub factors No intention to make any personal purchase, rather than seeking information.

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OBSERVATIONS FROM MORE

Date: 3-Aug-2019
Time: Evening
Location: More, Forum Mall
CUSTOMER 1
Shopping Behaviour They came and started with the first section on the entrance browsing
through pulses and rice. Picked 2 packets after looking through prices
of different brands. Spent about 30-40 mins walking through different
lanes and picked up some dairy products from the refrigerator and
headed towards the counter.
Values Identified A girl and boy of around 20-25 years of age wearing jeans t-shirt and
carrying a backpack. Maybe coming back from college or coaching.
Sub factors Price sensitive customers looking for needs and price.

Date: 3-Aug-2019
Time: Evening
Location: More, Forum Mall
CUSTOMER 2
Shopping Behaviour She had a list with her and was picking up products after looking at her
list. While picking up products she wasn’t checking the price and
generally picking up the bigger sizes. Her son was not involved in her
shopping. He was checking out some random items but did not pick in
the basket. Maybe he just came along to accompany or drove his
mother to the store. They both spend around40-50 mins and purchased
huge amount of products.
Values Identified A lady around 40-50 years old entered with her son 16-20 years old.
Sub factors Variety seeking customers looking for functional utility and indicating
lifestyle pattern.

Date: 3-Aug-2019
Time: Evening
Location: More, Forum Mall

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 CUSTOMER 3
Shopping Behaviour They came and started with the first section on the entrance browsing
through pulses and rice. Picked 2 packets after looking through prices
of different brands. They then picked few house cleaning items. Spent
about 30-35 mins walking through different lanes and picked up some
dairy products from the refrigerator and headed towards the counter.
Values Identified A couple dressed up very normal and aged between 45-50 years.
Sub factors Price sensitive and product oriented customer focusing on volume
purchase.

Date: 3-Aug-2019
Time: Late Evening
Location: More, Forum Mall
CUSTOMER 4
Shopping Behaviour He went straight towards the shelf containing protein items. He picked
up Quaker oats and kellog’s oats and compared the product on
price/quality. He then picked up bananas and paid at counter and left.
Values Identified Individual man entered in his half pants and T-shirts. He was alone and
was approximately 22-27 years. He had a good physique
Sub factors Price sensitive and looking for variation in features.

Date: 4-Aug-2019
Time: Afternoon
Location: More, Forum Mall
CUSTOMER 5
Shopping Behaviour She walks through all the lanes, picking up products and keeping them
back. She didn’t take a cart or basket with her and spends about half an
hour in the store. And she left the store as soon as she got a call. Maybe
she was just killing her waiting time and had no intention of buying
anything.
Values Identified Single girl who is nicely dressed and aged between 18-25 years.
Sub factors Information seeking customers

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Date: 4-Aug-2019
Time: Afternoon
Location: More, Forum Mall
CUSTOMER 6
Shopping Behaviour They spent a lot of time in store. For some products they purchased
more than one brand. For some products they were checking the prices
and for some they didn’t check. They generally picked up smaller sizes
of products, which can mean they either have small family or they are
weekly buyers.
Values Identified A couple dressed up very normal and aged between 35-40 years.
Sub factors Price sensitive and Info seeking customers

Date: 4-Aug-2019
Time: Afternoon
Location: More, Forum Mall
CUSTOMER 7
Shopping Behaviour This couple had a long list. They purchased all sorts of pulses, spices,
sauces, oil. From toiletries section also they picked up many products
like lizol, detergent, shampoo, soaps, scrubs, wiper, mop etc. It seemed
like just moved to the city or new apartment. Although before putting
items in the cart they were comparing prices of different available
brands. Both the partners seemed equally dedicated to shopping and
respecting each other’s opinion. They might have spent around an hour
in the store before proceeding to the counter.
Values Identified A newly married couple enters the store. (newly married as she was
wearing red bangles which generally Punjabi brides wear). Women was
nicely dressed, maybe a little more for a grocery shopping.
Sub factors Price sensitive along with variety seeking.
Date: 4-Aug-2019
Time: Afternoon
Location: More, Forum Mall
CUSTOMER 8
Shopping Behaviour They both were talking loudly since they entered. They went to the
personal care section and picked tresseme shampoo and lakme
facewash after checking the price. They checked out few deodorants but
did not buy any. Then they moved to refrigerator and picked up 4 cans

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 of diet coke and headed to the counter.
Values Identified 2 girls who looked like students because of dressing way aged between
18-22 years
Sub factors Price sensitive customers but also looking for need satisfaction.
Date: 4-Aug-2019
Time: Evening
Location: More, Forum Mall
CUSTOMER 9
Shopping Behaviour This boy had a list with him and went to different sections like pulses, spices,
vegetables, detergent, etc. He was not checking the price; he was just sticking to his
list. It looked like he worked at someone’s house and he was doing grocery shopping
for his owner. He picks up apples and guava at last and heads to the counter. There
was a long queue but he waited and purchased all the items. It looked he bought
around 1700-1800 worth of goods as he gave 2000 Rs note and cashier returned few
hundreds.

Values Identified A boy enters who is shabbily dressed and might be around 20-22 years
old. He was alone and had a big empty bag with him
Sub factors It looked like a brand loyal customer because his owner sent him to this
store in particular. Circumstantial factors play a role such as store
location and experience offered.
Date: 11-Aug-2019
Time: Afternoon
Location: More, Forum Mall

CUSTOMER 10
Shopping Behaviour She started from the first section. She walked really slowly and was
looking from top shelf to bottom shelf at every item. When she reached
the shelf which had all types of sauces, she picked up at least 3 sauces
and read what was written behind them and then kept them back. When
she reached the toiletries section, she picked up one pears soap and
Colgate mouthwash. Then again she roamed around for like half an
hour, picking up items and checking their labels and keeping them
back. At last she picked one dairy milk silk and reached counter for
billing. She stood there for 10 mins but the queue was long. So she left
the items and exited the store without any purchase.
Values Identified A girl enters wearing a long skirt and t-shirt, dressed casually and she
looked in the age group of 20-25 years old.

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Sub factors Price sensitive customer who is impatient during purchase.
Date: 11-Aug-2019
Time: Afternoon
Location: More, Forum Mall
CUSTOMER 11
Shopping Behaviour They were picking up products as and when they were passing through
the shelves. They all had one common cart which can mean they were
roommates. They all were actually having lot of fun while shopping.
Most of the items purchased were eatables and cold drinks. When they
reached the counter they removed two boxes of pringles out of 7-8 that
they bought. Reason for it can be various. Then they loaded the 4 bags
of items they bought and left the store
Values Identified 3 men came together; they were wearing home casuals as it was Sunday
but they all were clean shaved which means they must be working in a
corporate. They must be in an age group of 25-35
Sub factors Price sensitive to some extend along with volume purchase

Date: 11-Aug-2019
Time: Afternoon
Location: More, Forum Mall
CUSTOMER 12
Shopping Behaviour It seemed like they had their responsibility divided amongst themselves.
Father was playing and taking care of the kid. And mother was doing
the shopping. Most the products that they purchased were family packs
and for the kid. Like small toothbrush, johnson’s baby oil and soap,
cerelac, diapers, aata pack, etc. At the purchase counter they seemed to
have membership card of the more.
Values Identified A married couple entered with their 3-4 years old daughter. Couple
looked very sophisticated by their dressing sense and must be around
28-35 years old.
Sub factors Brand loyal customer with high standard of living.

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OBSERVATIONS FROM UNITED COLORS OF BENETTON

Date: 4-Aug-2019
Time: Afternoon
Location: More, Forum Mall
CUSTOMER 1
Shopping Behaviour A man entered with his wife, dressed in casual clothes. They headed
to the men’s section and were simply browsing the displayed items.
They then proceeded to the lady’s section and browsed through the
clothes when they were approached by a salesperson who told them
that there was an offer going. The couple then headed to the men’s
section again and added some shirts and Bermuda shorts into the bag,
after checking if they were on offer. Then they headed to the lady’s
section and added some more clothes. After this they proceeded to
billing, waited in the queue. Finally, he paid by card. He spent about
an hour in the store
Values Identified A man came in with his wife dressed casually and must be in his early
30’s
Sub factors Price sensitive as well as brand loyal

Date: 4-Aug-2019
Time: Afternoon
Location: More, Forum Mall
CUSTOMER 2
Shopping Behaviour She walked into the store with a friend. It seemed like she was very
particular about the product to be purchased and made a quick walk
towards jeans jacket without even glancing at the other discounted
apparels. She saw looking for a particular colour in it which was not
available but tried other shades. She liked a colour, took suggestion
from her friend and went straight towards billing counter without
even looking at any other item.

Values Identified 2 north-eastern girls dressed smartly and carrying two shopping bags

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 from before. They must be aged between 18-25 years old.
Sub factors Brand loyal customer seeking for value related considerations

Date: 11-Aug-2019
Time: Afternoon
Location: More, Forum Mall
CUSTOMER 3
Shopping Behaviour A guy entered with his 3 friends and looked least interested to look
something for him but went to men’s section as his friend has to give
clothes to alter. He tried few shirts in the trial room but as soon as his
friend’s work was done he left with them without making the
purchase. He has no interest in buying anything
Values Identified They looked like work class people between the age 24-30 years.
They were dressed very casually as if they just came for this work.
Sub factors Variety seeking customer

Date: 11-Aug-2019
Time: Afternoon
Location: More, Forum Mall
CUSTOMER 4
Shopping Behaviour They looked they had an intention to make a purchase. They both
selected few shirts and trousers for the man after discussing several
aspects amongst them. Then the man went to the trial room and they
both discussed how each thing looked. At the end they liked a shirt
but size was not available so they left without buying anything.
Values Identified A young unmarried couple entered dressed up nicely and looking
sharp. They looked like in their early 20’s
Sub factors Brand loyal customer with high standard of living customer

Date: 11-Aug-2019
Time: Evening
Location: More, Forum Mall

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 CUSTOMER 5
Shopping Behaviour This lady enters the store talking on the cell phone and directly asks
the salesman something she wanted. She then moves to wallet section
and click 2-3 pictures of the product and send it to someone on the
phone. She doesn’t make a purchase after getting the call and from
the one sided conversation, I could make out the person on the other
side of the phone wanted a specific wallet. This women was just a
medium to check out the store.
Values Identified A girl entered alone and wearing smart one-piece dress. She looked
like working class and 25-30 years of age.
Sub factors Brand and product loyal customer

Date: 11-Aug-2019
Time: Evening
Location: More, Forum Mall
CUSTOMER 6
Shopping Behaviour They just entered the store, took a tour, cracked some jokes about
different clothing and left in less than 10 mins. They were just in the
store to kill their time and have fun.
Values Identified A group of 4 friends enters store wearing college IDs tags. They
looked like graduation students and must be between 18-22 years old
Sub factors Frequency of purchase is low and seeking experience.

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PICTURES DURING VISIT

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INSIGHTS DRAWN

MORE
More is a retail store brand which was earlier known as Aditya Birla Retail Limited, when it was
part of Aditya Birla Group. More is the fourth largest supermarket chain in the country after
Future Group, Reliance Retail and D-Mart. During our observations we found that More was the
most crowded of the store that we visited. Very less consumers were there who left empty handed
from the store. Majority of the consumers were price sensitive. they immediately shifted to close
substitute without hesitation. type of crowd was very mixed;
singles, couples, family, bachelors, etc.

LANDMARK

Landmark is the largest music and book retail chain in India. Considering the specific retail outlet
at Forum Mall, Bangalore, it again provides a variety of products, ranging from toys, books
, chocolates, etc. the consumers visiting the store have different choice of the product among the
various varieties of the product. Among the consumers that were observed, majorly made a
diversified purchase decision. People already had experience and knowledge for what is to be
purchased. The consumers showcase different buying pattern, seeking various varieties of the
product.

HELIOS

Helios The Watch Store by Titan is the largest chain of premium, fashion and Swiss watches in
India offering more than 40 international brands across 27 cities in India. Being a premium store
, much consumers were not observed for attending the store. The total number of consumers
observed that entered the showroom, did not made any purchase, expect one, who made a
purchase of a watch strap for an old watch . The consumer were basically observed for coming
with an intention of not to purchase any watch , but to look around the collection and exclusivity
of the watches and the store.

UCB
United Colors of Benetton is a clothing brand renowned worldwide for its colors, knitwear
expertise and social commitment. A blend of Italian style and global research, UCB collections
present on trend, quality outfits, in the respect of the environment and with the goal of creating a
brighter future for all humans.
The store was less crowded even on the weekends and people coming in the stores were loyal to
UCB or certain product that UCB provided. These customers do not experiment a lot with
brands and have elite standard of living. People were also attracted towards the sale; these
people might be loyal to brand but they buy if they like.

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Hence, on the basis of the observation the customers can be classified into four categories i.e.

Furthermore, there are various factors that increase pre purchase information search that the customers
considers while evaluating purchase alternatives of the product. This consideration set are sliced up into
three factors:

Price Changes
Needs
Frequency of Purchase Product Related Factors
Availability
Functional Utility
Variation in features

Time Factor
Store Location
Experience Conditional/ Circumstantial Factors
Other Physical Factors
Social Acceptability
Value Related Considerations

Personal Factors
Openness to Experiences
Risk Taking
Product Involvement
Sensation seekers Customer Centric Factors
Gender, Age
Marital Status, Income
Lifestyle
Social Class

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MODEL DERIVED

Name: Intensity measures of Customer choice rule

Conceptual Model Defined: The model explains the Degree of Intensity of Factors that increase pre
purchase information search among different set of customer groups.

HIGH

MEDIUM
CIRCUMSTANTIAL FACTORS
PRODUCT FACTORS
CONSUMER FACTORS

LOW

PRICE SENSITIVE VARIETY SEEKING BRAND LOYAL INFORMATION

CUSTOMERS CUSTOMERS CUSTOMERS SEEKING CUSTOMERS

In this model the three area of focus are

a) Degree of Intensity
b) Factors that increase pre purchase information search
c) Different set of customer groups
The degree of intensity is measured in x-axis = High, Medium, Low
Factors that increase pre purchase information search = Product Related Factors, Conditional/
Circumstantial Factors and Customer Centric Factors
And lastly, the different set of customers = Price Conscious, assortment seekers, Brand loyal and
Information Seekers

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RATIONALE

Model defines that how much is the degree Degree of Intensity of Factors that increase pre purchase
information search among different set of customer groups. It explains that different set of customers
have different factors that determine the pre purchase decisions. Few factors have a higher impact and
few have comparatively lower in the purchase decision. The level of impact differentiates among the
different types of customers. It is okay to say that certain factors might have huge impact in one
customer type than the other.

In the above scatter graph we can see three types of factors i.e. circumstantial, product and customer
centric factors which are represented as blue diamond, red square and green triangle. And there are three
levels of intensity in the y-axis which is measured in high medium and low. Now the y-axis represents
the 4 type of different customer groups.

Price conscious customers have their own set of factors determining the purchase decision. Generally
price conscious people are highly sensitive towards the price so they do not expect to get experience or
neither are they risk taking, hence the factors that is most important to them is price change, other
cheaper alternatives available. So we can say that degree of intensity of product factors among price
conscious customer type is very high. We can also see this factor wise,

Product Factors: Price conscious customers and assortment seeking customers they generally look at the
product related factors i.e. Price Changes, Needs, Frequency of Purchase, Availability, Functional
Utility etc. Also during the field work it was observed that customers who were brand loyal and
information seekers they were kind of not bothered about the product related factors.

Circumstantial Factors: Brand loyal Customers highly consider circumstantial factors like pleasure
seeking and impressed by the physical ambience. Whereas price conscious customers hardly pay
attention such details.

Customer centric factors: It was noticed that all customer types considered such personal factors.
Although the intensity was high in brand loyal and information seeking customers. But these factors
have a high impact on all the different sets of customer groups.

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MARKETING APPLICATION

The below table is in the grid form

which represents the Conceptual
Model”Intensity measures of
Customer choice rule”. It is easy for
the marketers to draw insights and
comprehend more.

Consumer attitudes are shaped by information from the marketer. Consumer is always looking for
information about specific category products and he assesses the information from various sources
valuing his perspective. During the assessment the consumer allocates appropriate weight to each
information piece. His choices of decisions are based on his viewpoints, they can many times be vague
to describe. When the consumer gets satisfied with his analysis of a given product, he makes a decision
of buying the product. At this stage consumer buys the product.

Consumer experiences the purchase: he might or might not feel gratified. Based on his experience he
tags his purchase as “good”, “bad”, “horrible,” or “overwhelming”. The last step is not only the
consumption of a product but also a very important factor for the future decisions of the consumer.
Feedback is also a very important factor for the company. Based on the feedback, the company prepares
future product policy, its advertising and communications targeted to the consumer.

Customer Types Product Factors Circumstantial Factors Consumer Factors

Price Conscious customers High Low Medium
Assortment seeking customers High Medium High
Brand loyal customers Low High High
Information seeking customer Medium Low High

Apart from the insights drawn it was also noted that under Personality Traits
“Extraverts” were wild spenders and “Introverts” were Penny Pinchers.

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CONCLUSION

This assignment aim was to create a segmentation model a model that divides the market place into sub
segments of individuals based on observed behavior. For the chosen brand/product, it is required to
conduct observational research and develop a model based on buying behaviour and demographics. The
observational study was done on the shoppers at various stores in Forum Mall, Koramangala. A model
of customer segmentation is proposed on the basis of their behavioural traits and their purchase decision.
The model explains the Degree of Intensity of Factors that increase pre purchase information search
among different set of customer groups. The customers are segmented into 4 types and pre-purchase
information factors determines the intensity among the customer segments. Also the purpose of mystery
shopping is to evaluate companies’ customer service and point out any flaws or weaknesses that may be
present. It is a very easy way to see a business from the eyes of the consumer. This information helps
companies know what is being provided to the customer and how that service is perceived. What it is
really good at doing is improving the average shopping experience for the everyday customer.

Contribution sheet
Insights drawn and Conceptual Model was made collaboratively moreover, Every Individual worked in
collecting data in different stores at different point of time.
Pranav Mittal Observation Tables, description of observed units
Ria Chauhan Drafting , Editing & writing of report, charts and graphs
Vaishnavi Sahu Observation Tables, conclusion

__________________________________________

References
Schiffman, L. G., Wisenbilt, J., & Kumar, S. R. (2019). Consumer Behavior (12E ed.). United States: Pearson.

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EVALUATION RUBRICS

Parameter Very Good Good Satisfactory Pass Weak

Score 5 4 3 2 1

More than 6 knowledge

4-5 knowledge
points are reflected along 1-2 knowledge There is a lack of
points are reflected 3-4 knowledge
with application and points discussed knowledge points
Application of in the assignment points discussed
these knowledge points under the topic are discussed under the
knowledge points and relevant under the topic are
are critiqued and identified in the chapter reflected in
application of the covered
discussed during output the final outcome
same is presented
presentation

There is a disconnect
Few theoretical
The theoretical aspects The theoretical All the relevant between what is
aspects are
are clearly mentioned in aspects are well aspects of theory presented and the
Theoretical identified and
the presentation and presented with are clearly theoretical aspects to
enquiry presented but not
report and they are appropriate identified and which the it is
very
systematically critiqued referencing discussed supposed to be
systematically
anchored to

There is clarity on
The methods are clear,
The methodology is the methods that is The methodology
appropriate and has
clear, appropriate used in coming up used is not very There is no method
supported insights to be
and has supported with the clear. There is no used systematically
Methodology presented and also
interesting insights presentation and comment on the to present the
critiqued. There is more
to be uncovered the report. The appropriateness of findings
than one method used to
and presented methodology is the methods used
present the final outcome
appropriate

The report is
Report is well written, structured.
well structured. The Report is well Organization
Report is well The report is
report not just presents structured. It needs
structured. The incoherent. The style
Report writing findings but also covers all the improvement. The
writing is styled of writing is not
critiques the same with aspects of content style of writing is
academically academic.
reference to relevant reasonably well not very relevant
literature for academic
reporting

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