Consumer Behavior in Ready-to-Eat Foods
Consumer Behavior in Ready-to-Eat Foods
On
By
Roll No 1212470080
ACKNOWLEDGEMENT
I owe a great many thanks to a great many people who helped and supported me during the
writing of this project. My deepest thanks to Dr.Rakhi Gupta the Guide of the project for
guiding and correcting various documents of mine with attention and care. She has taken
pain to go through the project and make necessary correction as and when needed. I express
my thanks to the Principal Dr.Ajay Prakash for extending his support. My deep sense of
gratitude to Mr.Anadi Anand Supervisor RURAL OUTREACH PRIVATE LIMITED
for support and guidance. Thanks and appreciation to the helpful people at Rural Outreach
Private Limited for their support. I would also thank my Institution and my faculty
members without whom this project would have been a distant reality. I also extend my
heartfelt thanks to my family and well wishers.
DECLARATION
MOHD AMIR
ROLL NO 1212470080
CONSUMER BEHAVIOUR TOWARDS READY-TO-EAT
FOOD PRODUCTS
CONTENTS
CERTIFICATE
ACKNOWLEDGEMENT
LIST OF TABLES
LIST OF FIGURES
LIST OF APPENDICES
1 INTRODUCTION
2 REVIEW OF LITERATURE
3 METHODOLOGY
5 DISCUSSION
7 REFERENCES
APPENDICES
ABSTRACT
LIST OF TABLES
Table
Title
No.
4.2 Brand awareness of consumers about biscuits among different age groups
4.3 Brand awareness of consumers about chips among different age groups
4.4 Brand awareness of consumers about fruit juice among different age groups
4.5 Brand awareness of consumers about ice creams among different age groups
Reasons for not purchasing ready to eat food products by consumers of Hubli
4.9
– Dharwad
4.19 Preference for type of fruit juice among different age groups
4.20 Preference for type of ice creams among different age groups
4.21 Preference for flavour in ice creams among different age groups
No.
Figure
Title
No.
groups
groups
groups
age groups
Appendix
Title
No.
1 Questionnaire
1. INTRODUCTION
There is nobody in the world who is left out of the class of consumers.
The consumer-hood continues till one‟s last breath in the world.
The consumer purchases a variety of goods and services to satisfy his wants and he is
always influenced in his purchasing activities by some considerations which lead him to
select a particular commodity or a particular retail store in preference to others. So,
consumer buying is more complex. Consumer purchases are likely to be influenced by
physiological, psychological and sociological factors. The commodities and services are
brought by the consumer to satisfy his basic needs, for comfort, pleasure, recreation and
happiness. Every individual has physiological need such as hunger, shelter, thirst, etc.,
which have to be satisfied for survival. The psychological factors like status prestige and
social factors like friends, neighbours, job and relatives influence their purchasing
activities.
People bear certain beliefs and attitudes towards certain types of goods, brands of
commodities and retail outlets based on their previous experience. When there is a need,
they are able to discover some new commodities capable of satisfying their needs. Before
the commodities and brands are selected, these commodities must compete successfully
against alternatives in the market. The selection of a particular commodity becomes
important for consumer since there are wide varieties of consumer goods in the market.
Again selection of a particular commodity depends on income of the consumer and
necessity of the product to the individual. Before the selection of the commodity
purchased, an individual requires information regarding the various sources of supply of
the commodity, its brands, relative merits and demerits, uses and value of their
characteristic features and services offered. The common sources through which individual
gathers information are from advertising media (television, radio and news papers), friends,
retailers in the locality, displays in shops and food labels.
India is one of the largest food producers of the world with the organised sector accounting
for food output worth US $34827 million, only a small percentage of its farm produce is
processed into value-added products. For instance, even though the country is the second
largest producer of fruits and vegetables, hardly two per cent of the production is
processed. This underlines the enormous scope for investing in the processed food sector in
the areas of infrastructure, packaging and machinery. India, in fact, needs US $28 billion of
investment to raise its food processing levels by 8-10 per cent.The potential for
investment in this sector is further accentuated by the following factors:
• A huge and exponentially growing demand represented by a market of one billion people
spending on an average about 50 per cent of household expenditures on food coupled by a
scenario of rapid urbanization and changing lifestyles.
The Food processing industry has an important role to play in linking the
farmers to the final consumers in the domestic as well as the international
markets. Food processing combined with marketing has the potential of solving
the basic problems of agricultural surpluses, wastages, rural jobs, and better
remuneration to the growers. In the next ten years, food production is expected to
double. These produces, if processed and marketed smartly, can make India a
leading food supplier of the world.
With the income level rising, demand for milk, meat, fish, fruits and
vegetables is also increasing in India. With more urbanization, Indian families
also consume more processed foods, more ready-to-eat foods, etc. Asian
Americans, now numbering over 10 million along with the other 13 million
persons of Indian origin spread all over the world are a huge potential market for
the Ready-to-eat (RTE) foods out of India. This creates a scope for the producers
to come out with a long range of dishes including the usual meals. India had
been at the forefront for variety of dishes both in domestic and global market.
Ready-to-eat foods are very popular in the western region of the world. Even
India is being influenced by these ready-to-eat foods.
Development of the metropolitan cities due to increase in population,
emergence of industries, evolution of various new factors, time factor, etc.,
created the need for ready-to-eat foods in the market. Due to industrialization,
the labour category is getting attracted to it because of better emoluments and
hence there is shortage of home maid-servants. Due to this, the housewives, in
order to save time started using ready-to-eat foods.
In the modern era, the media, particularly electronic and print media, are
playing an important role in creating awareness of the products manufactured
and released in the market.
All these factors are responsible for the popularity of ready-to-eat food
products in Indian market. The marketers should see to it that the ready-to-eat
food is available to the consumers without any difficulty at competitive rates.
The products should be provided to consumers by keeping in mind as when they
want, where they want and the manner in which they want. These methods help
in increasing the sales of the product with good feed back from the customers
and creating niche for ready-to-eat foods in the market.
Problem focus
Aaker (2000) opined that, brand awareness was remarkably durable and
sustainable asset. It provides a sense of familiarity especially in low-
involvement products such as soaps, a sense of presence or commitment and
substance and it was very important to recall at the time of purchasing process.
Apart from the conventional mass media, there were other effective means to
create awareness viz., event promotions, publicity, sampling and other attention
getting approaches.
Brown et al. (2000) reported that the need for effective nutritional
education for young consumers has become increasingly apparent, given their
general food habits and behaviour, particularly during adolescence and analyzed
that the interaction between young consumers‟ food preferences and their
nutritional awareness behavour, within three environments (home, school and
social interaction appears to be somewhat overshadowed by the young
consumers, while developing an independence trait, particularly, during the
adolescent years. The authors suggested that food preferences are often of a „fast
food‟ type and consequently the food habits of many young consumers may fuel
the consumption of poorly nutritionally balanced meals. While young consumers
were aware of healthy eating, their food preference behaviour did not always
appear to reflect such knowledge, particularly within the school and social
environments.
Beverland (2001) studied the level of brand awareness within the New Zealand
market for ZESPRI kiwi fruit. The effectiveness of this branding strategy
employed by kiwi fruit, New Zealand was studied. The implications of the
findings for agribusiness in general using the data collected from surveys of kiwi
fruit consumers (n=106) outside three major super market chains in Auckland,
New Zealand, suggested that the level of brand awareness for ZESPRI is low
among consumers. It is indicated that brand awareness could be increased
through a relationship- making programme involving targeted marketing and
supply chain management.
Chen (2001) expressed a different thought on brand awareness that it was
a necessary asset but not sufficient for building strong brand equity. In this view,
a brand could be well known because it had bad quality.
Yee and Young (2001) aimed to create awareness of high fat content of
pies, studied consumer and producer awareness about nutrition labeling on
packaging. For this, seven leading pie brands were analyzed for fat content and
are ranged from 7.10 to 19.20 per cent fat. Potato topped or cottage pies had the
lowest fat content (7.10 - 9.20% fat). Most pies did not display nutritional
labeling on packaging. Over half of the consumers (52.00%) who responded to
the survey (42.00% response rate) were aware of the campaign. The study was
successful at raising consumer awareness about the high fat content of pies and
influencing the food environment with a greater availability of lower fat pies. It
is possible to produce acceptable lower fat pies and food companies should be
encouraged to make small changes to the fat content of food products like pies.
Potato topped pies are lower in fat and are widely available. Regular pie eaters
could be encouraged to select these as a lower fat option.
Nandagopal and Chinnaiyan (2003) studied that the level of awareness
among the rural consumers about the brand of soft drinks was high which was
indicated by the mode of purchase of the soft drinks by “Brand Name”.
The major source of brand awareness was word of mouth followed by
advertisements, family members, relatives and friends
Ramasamy et al. (2005) reported that, the buying behaviour is vastly
influenced by awareness and attitude towards the product. Commercial
advertisements over television was said to be the most important source of
information, followed by displays in retail outlets. Consumers do build opinion
about a brand on the basis of which various product features play an important
role in decision making process. A large number of respondents laid emphasis on
quality and felt that price is an important factor while the others attached
importance to image of manufacturer.
.
Rees (1992), in his study revealed that factors influencing the consumer‟s
choice of food were flavour, texture, appearance, advertising, a reduction in
traditional cooking, fragmentation of family means and an increase in
„snacking‟.etc. Demographic and household role changes and the introduction of
microwave ovens had produced changes in eating habits. Vigorous sale of
chilled and other prepared foods was related to the large numbers of working
wives and single people, who require value convenience. Development in
retailing with concentration of 80.00 per cent of food sales in supermarkets was
also considered to be important. Consumers were responding to messages about
safety and healthy eating. They were concerned about the way in which food was
produced and want safe, „natural‟, high quality food at an appropriate price.
Kumar et al. (1987) observed the factors influencing the buying decision
making of 200 respondents for various food products. Country of origin and
brand of the products were cross- tabulated against age, gender and income.
Results revealed that the considered factors were independent of age, education
and income. The brand image seemed to be more important than the origin of the
product, since the consumers were attracted by the brands.
Ali (1992) studied the brand loyalty and switching pattern of processed
fruit and vegetable products in Bangalore city by using Markov Chain analysis.
The result of study revealed that Kissan brand of jam and Maggi brand of
ketchup had a maximum brand loyalty among consumers and less amount of
brand switching occurred for these brands.
Sabeson (1992), in his study stated that high quality, price and taste of the
product were the major criteria based on which the customers selected a brand of
processed fruits and vegetable products.
Hans et al. (1996) revealed that, the brand switching of consumer was
based on variety seeking behaviour, motivations, curiosity and price motive.
Veena (1996) studied brand switching and brand loyalty of processed
fruit and vegetable products in Karnataka state by using Markov Chain analysis.
The result of the study revealed that Maggi, Sil and Kissan were having market
retention of 74.20, 55.78 and 48.74 per cent, respectively for jam products. The
equilibrium shares determined in order to predict future market position among
the different brand showed that in long run shares of Kissan, Rex. Other brands
were likely to decline, mainly on account of increased market shares of Gala, Sil
and Maggi.
Singh and Singh (1981) found that consumers had single or multi-brand
loyalty based on the nature of product, like necessities or luxuries. Brand choice
and store loyalty were found to affect the brand loyalty of the consumer. The
factors that influence and strengthen loyalty to brand were quality of product,
habit of use and ready and regular availability.
Sabeson (1992) in his study stated that, high quality, price and taste of the
products were the major criteria based on which the consumers selected a brand
of processed fruits and vegetable products.
Dharwad and Hubli are the fastest growing cities in the state next to
Bangalore. The population is heterogeneous with diverse cultural, religious and
economic background. This urban conglomeration covers an area of 190 square
kilometers with a population of 7.86 lakhs (2001 census). Because of the
existence of various linguistic, religious and ethnic groups, it has been a very
good marketing centre for launching new products. Since, the twin cities provide
an ideal setting to study the behaviour of consumers towards ready-to-eat food
products, the present study was undertaken.
Preliminary discussions were held with the local consumers and the
marketers about the consumption of ready- to- eat food products as well as about
the brands available and preferred in the study area to gather information on the
products to be selected for the study. Based on the discussions, the most
commonly available and used products in the study area were selected. The
particular products were selected in such a way as to represent one product from
each food group like cereals, fruits, vegetables and milk and milk products.
The total samples selected for the study was 200 respondents. In the first
phase Hubli and Dharwad twin cities were selected purposively. In the next
phase, 100 sample consumers each from Hubli and Dharwad were selected
randomly irrespective of age, education and income level.
Age
Income
The respondents were post classified into three income groups based on
their income by using the formula:
Mean ±0.425 x S.D.
Collection of data
Primary data
The data required for the study were collected from the respondents by
personal interview method with the help of pre-structured questionnaire. The
respondents were interviewed at retail outlets, departmental stores, bakeries and
even at the homes. The questionnaire consisted of:
Part I : General information like name, age, education, sex, occupation, food
habit,
family income and family type. Monthly expenditure on food items in general
and ready- to- eat food products in particular.
Secondary data
The data collected for the study was processed and analyzed by using
suitable statistical techniques. Frequency, percentage, mean, standard deviation
and Garret‟s ranking techniques were used to present the collected data. A
detailed description of the analytical tools employed in the study is presented
below.
In the first stage: ranking given by 200 respondents for each factor was
analyzed. Eg: Rank given by the respondents
Respondent Factors
No.
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
1 - 5 1 2 9 10 - - 4 3 - 8 - 7 6
2 3 2 7 - 10 - 6 4 1 - 8 - 9 5 -
3 3 6 - 8 - 10 - 2 1 - 7 9 - 5 4
In the second stage: Thus assigned ranks by the individual respondents were
counted into percent position value by using the formula.
Where, Rij stands for rank given for the ith factor by the jth
individual. Nj stands for number of factors ranked by jth
individual.
The per cent position value for the same assigned ranks by the respondents as follows.
Respondent Factors
No.
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
1 - 45 5 15 85 95 - - 35 25 - 75 - 65 55
2 25 15 65 - 95 - 55 35 5 - 75 - 85 45 -
3 25 55 - 75 - 95 - 15 5 - 65 85 - 45 35
Stage III – For each per cent position scores were obtained with reference to Garrett’s tables
and each per cent position value was converted into scores by reference to Garrett’s Table.
Eg: Garrett’s table scores for the per cent position values as follows
Respondent Factors
No.
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
1 - 52 82 70 30 18 - - 57 63 - 37 - 42 47
2 63 70 42 - 18 - 47 57 82 - 37 - 30 52 -
3 63 47 - 37 - 18 - 70 82 - 42 30 - 52 57
In the fourth stage – Summation of these scores for each factor was worked out for the
number of respondents who ranked for each factor.
Respondent Factors
No.
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
1 - 52 82 70 30 18 - - 57 63 - 37 - 42 47
2 63 70 42 - 18 - 47 57 82 - 37 - 30 52 -
3 63 47 - 37 - 18 - 70 82 - 42 30 - 52 57
Respondent Factors
No.
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
1 - 52 82 70 30 18 - - 57 63 - 37 - 42 47
2 63 70 42 - 18 - 47 57 82 - 37 - 30 52 -
3 63 47 - 37 - 18 - 70 82 - 42 30 - 52 57
In the last stage – Overall ranking was obtained by assigning ranks 1, 2, 3 …. etc. in the
descending order of the mean score.
Respondent Factors
No.
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
1 - 52 82 70 30 18 - - 57 63 - 37 - 42 47
2 63 70 42 - 18 - 47 57 82 - 37 - 30 52 -
3 63 47 - 37 - 18 - 70 82 - 42 30 - 52 57
The results of the study are presented under the following headings.
Among the total respondents 61.00 per cent of them were female and
remaining 39.00 per cent of them were male.
Among the selected samples 73.00 per cent of them were vegetarians and
remaining 27.00 per cent were non-vegetarians.
13,638.30/month) and remaining 26.00 per cent of them were belonged to high
income group (> Rs. 13638.30/month).
Under occupation classification, 68.00 per cent of them were students,
12.00 per cent of them were government employees, 9.00 per cent were
housewives, 8.00 per cent of them were working under private sectors and very
few of the respondents were engaged in business activities (3.00%).
Table 4.1. General information of selected samples in Hubli and Dharwad
(N = 200)
No. of
General information Categories Percentage
respondents
Male 78 39.00
Illiterate - -
Degree 88 44.00
PG 28 14.00
Joint 22 11.00
Private 16 8.00
Note : AG1 – Age group 1 (Below 20 years)
AG2 – Age group 2 (21-40 years)
AG3 – Age group 3 (41-60 years)
AG4 – Age group 4 (>60 years)
4.1.2 Brand awareness of consumers about biscuits among different age
groups
Among age group one (AG1) cent per cent each of the respondents were
aware of Parle-G, Good day and Krack jack brands, while brands of Tiger
biscuits and Marie gold biscuits were popular among 96.87 per cent each of the
respondents. Glucose biscuits, Hide and seek, Parle Monaco and Sunfeast
glucose brands were known to 84.37 per cent, 78.12 per cent, 75.00 per cent and
71.87 per cent of respondents, respectively. Britannia 50-50 and Sunfeast snacky
brands were familiar among 65.62 per cent each of the respondents and Britannia
little hearts was known to 62.50 per cent of the respondents. Only 53.12 per cent
each of them were aware of Chocolate chip cookies and Britannia Time pass
brands. In the case of AG2, 98.18 per cent each were aware of Parle-G and Good
day brands, followed by 96.36 per cent each aware of Tiger biscuits, Marie gold
and Krack jack brands, only 40.00 per cent of them know about Chocolate chip
cookies. Marie gold biscuits were popular among cent per cent each of the
respondents of AG3 and AG4. Chocolate chip cookies was familiar among 44.44
per cent of AG3 respondents only. But none of the respondents of AG4 were
aware of Chocolate chip cookies brand, Sunfeast snacky, Sunfeast glucose,
Britannia Time pass and also Britannia little hearts brands.
4.1.3 Brand awareness of consumers about chips among different age
groups
In case of AG1, Uncle chips, Lip chips, Diamond chips and Lehar chips
were well known to 93.75, 43.75, 34.37 and 50.00 per cent of the respondents
and about 59.37 per cent each aware of Bingo and Haldiram brands.
More than half of the respondents of AG2 and AG3 were conscious of
Lehar brand. Uncle chips and Bingo brands were familiar among more than
70.00 per cent of the AG2 and AG3 respondents. In addition to these brands,
Haldiram chips was known to 70.90 per cent of AG2 and 55.55 per cent of AG3
respondents. About, 36.36 per cent each were aware of Lip chips and Diamond
chips among AG2. In case of AG3 Lip chips and Diamond chips were well
known to 11.11 per cent each of the respondents. Fifty per cent of the
respondents were aware of Uncle chips and 25.00 per cent of the respondents
were conscious of Bingo brand in case of AG4 respondents. It could also be seen
from the table that, none of the respondents of this age group were familiar with
Haldiram, Lip, Diamond and Lehar brands of chips.
4.1.4 Brand awareness of consumers about fruit juice among different age
groups
Table 4.4 and Fig. 3 reveals the brand awareness of consumers about fruit
juice among different age groups. Frooti brand was very popular i.e., 96.00 per
cent of respondents were aware, followed by Maaza brand (93.00%), Slice
(87.00%), Appy (76.00%), Real fresh (62.00%), Pulpy orange (58.00%) and
Tropicana twister (44.00%) at the overall level. Cent per cent of the respondents
of AG1 and AG4 were conscious of Frooti brand. About 62.50, 78.12, 46.87 and
50.00 per cent of the respondents were aware of Real fresh, Appy, Tropicana
twister and Pulpy orange brands among AG1 respondents. Maaza and Slice
brands were well known to 96.87 per cent each of the respondents. Among AG2,
majority of the respondents were familiar with Frooti and Maaza brands (94.54%
each). Slice, Appy, Pulpy orange and Real fresh brands were familiar among
85.45, 83.63, 69.09 and 63.63 per cent of the respondents. About 49.09 per cent
of the respondents were aware of Tropicana twister brand. All the respondents of
AG3 were conscious of Maaza brand. Frooti, Slice and Real fresh brands were
familiar among more than 70.00 per cent of respondents. Less percentage of the
respondents were aware of Tropicana twister brand (22.22%). Among AG4 only
25.00 per cent each of the respondents knew Maaza and Slice brands. It was also
observed from the table that Real fresh, Appy, Tropicana twister and Pulpy
orange brands were not known to any of the respondents of AG4.
4.1.5 Brand awareness of consumers about ice creams among different age
groups
Influence of media to create awareness about the brands in the study area
were analysed and depicted in Table 4.6. It was observed from the table that, in
case of biscuits television was the major source for getting information about the
brands (92.00%). This was followed by newspapers (66.00%), friends/relatives
(51.00%), shopkeeper or retailer (48.00%), window display (43.00%), magazines
(39.00%) and radio (20.00%).
In case of other products i.e., chips, fruit juice and ice creams, majority of
the respondents were influenced by television (93.00%, 86.00% and 81.00% of
the respondents for chips, fruit juice and ice creams respectively) followed by
friends/relatives (62.00%, 59.00% and 64.00% of the respondents for chips, fruit
juice and ice creams respectively) and newspapers (57.00%, 56.00% and 62.00%
of the respondents for chips, fruit juice and ice creams respectively). Radio was
the least preferred media for brand awareness of these products (10.00%, 13.00%
and 12.00% of the respondents for chips, fruit juice and ice creams respectively).
Overall, television was preferred as the major source of information for brand
awareness (26.13%) followed by newspapers and friends/relatives (17.89% and
17.52% respectively). About 12.62 per cent of the respondents were influenced
by shopkeeper / retailer, 11.06 per cent by magazines, 10.69 per cent by window
display and very few of the respondents i.e., 4.08 per cent were influenced by
radio (Fig. 5).
Table 4.2. Brand awareness of consumers about biscuits among different age groups
Age group
Brands
AG1 AG2 AG3 AG4 Overall
(n=64) (n = 110) (n = 18) (n = 8) (N=200)
Note : Figures in parentheses indicate the percentage to the total number of respondents
in the category.
99
100 96 97 96 96
90
80 80 81
78
80
70
70 62 64
60 56
50 43
Percentages
40
30
20
10
0
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Brands
Age group
Brands
AG1 AG2 AG3 AG4 Overall
60 88 14 4 166
Uncle chips
(93.75) (80.00) (77.77) (50.00) (83.00)
38 80 14 2 134
Bingo
(59.37) (72.72) (77.77) (25.00) (67.00)
64 106 16 6 192
Lays
(100.00) (96.36) (88.88) (75.00) (96.00)
38 78 10 126
Haldiram chips -
(59.37) (70.90) (55.55) (63.00)
28 40 2 70
Lip chips -
(43.75) (36.36) (11.11) (35.00)
22 40 2 64
Dimond chips -
(34.37) (36.36) (11.11) (32.00)
32 58 10 100
Lehar -
(50.00) (52.72) (55.55) (50.00)
Note : Figures in parentheses indicate the percentage to the total number of respondents in
the category.
0
100
90
80
70
60
50
Perentages
40
30
20
10
6
7
6
3
50 Uncle chips Bingo Lays Haldiram chips Lip chips Diamond chips Lehar
9
6 Brands 35
32
Age group
Brands
AG1 AG2 AG3 AG4 Overall
40 70 14 124
Real fresh -
(62.50) (63.63) (77.77) (62.00)
64 104 16 8 192
Frooti
(100.00) (94.54) (88.88) (100.00) (96.00)
50 92 10 152
Appy -
(78.12) (83.63) (55.55) (76.00)
62 104 18 2 186
Maaza
(96.87) (94.54) (100.00) (25.00) (93.00)
30 54 4 88
Tropicana twister -
(46.87) (49.09) (22.22) (44.00)
32 76 8 116
Pulpy orange -
(50.00) (69.09) (44.44) (58.00)
Slice 62 94 16 2 174
(96.87) (85.45) (88.88) (25.00) (87.00)
Note : Figures in parentheses indicate the percentage to the total number of respondents
in the category.
96
93
100
87
90
76
80
62
70
58
60
44
50
40
Percentages
30
20
10
Brands
Fig. 3. Brand awareness about fruit juice among consumers (overall)
groups
Age group
64 110 16 8 198
Amul
(100.00) (100.00) (88.88) (100.00) (99.00)
44 76 10 2 132
Arun
(68.75) (69.09) (55.55) (25.00) (66.00)
36 80 16 132
MTR -
(56.25) (72.72) (88.88) (66.00)
44 74 14 132
Nandini -
(68.75) (67.27) (77.77) (66.00)
32 80 12 124
Kwality walls -
(50.00) (72.72) (66.66) (62.00)
26 44 8 78
Hangya -
(40.62) (40.00) (44.44) (39.00)
36 62 12 2 112
Vadilal
(56.25) (56.36) (66.66) (25.00) (56.00)
32 54 10 2 98
Dairy day
(50.00) (49.09) (55.55) (25.00) (49.00)
16 24 10 50
Dinshaws -
(25.00) (21.81) (55.55) (25.00)
Note : Figures in parentheses indicate the percentage to the total number of respondents
in the category.
99
100
90
80
66 66 66
70 62
56
60
50 49
Percentages
39
40
25
30
20
10 Amul Arun MTR Nandini Kwality walls Hangya Vadilal Dairy day Dinshaws
Brands
0
(N = 200)
Products
Source Overall
Biscuits Chips Fruit juice Ice creams
The data on buyers and non buyers of ready-to-eat food products in the
study area is presented in Table 4.7. The table revealed that biscuits were
consumed by all the respondents in the study area. Hundred per cent each of the
respondents across all the age groups consumed biscuits. About 92.00 per cent of
the respondents purchased chips for consumption and remaining 8.00 per cent of
them were not buying. In case of AG1, chips were consumed by all the
respondents. About 98.18 per cent of the respondents of AG2 bought chips for
consumption. Among AG3, 66.66 per cent of them were buying chips for
consumption and remaining 33.33 per cent of them were non buyers. Fruit juice
was bought by 93.00 per cent of the respondents and remaining 7.00 per cent of
them were not buying. Hundred per cent, 96.36 per cent and 88.88 per cent of the
respondents of AG1, AG2 and AG3 respectively consumed fruit juice. Fruit juice
was not consumed by 3.63 per cent and 11.11 per cent of the respondents of AG2
and AG3 accordingly. Ice creams were consumed by 94.00 per cent of the
respondents and remaining 6.00 per cent of them were not consuming.
About 96.87, 98.18 and cent per cent of the respondents of AG1, AG2
and AG3 consumed ice creams. Only a meagre per cent of the respondents of
AG1 (3.12%) and AG2 (1.81%) did not consume ice creams. All the respondents
of AG4 were non-buyers of chips, fruit juice and ice creams.
Among the three income groups studied high income group spend more
proportion (15.39%) of their monthly consumption expenditure on ready-to-eat
food products, while low income group spend 14.30 per cent of their monthly
consumption expenditure. It was surprising to see the consumption expenditure
of middle income group on ready-to-eat food products, where in they spend only
12.80 per cent of their monthly expenditure on ready-to-eat food products.
Table 4.12 shows the frequency and place of purchase by the respondents.
It could be seen from the table that, majority of the respondents purchased
biscuits twice in a week from bakeries and departmental stores (70.58% each)
and 41.17 per cent each of them purchased from retail outlet. This was followed
by once in a week from departmental stores (63.63%), bakeries (57.57%) and
42.42 per cent of the respondents purchased from retail outlets.
Most of the respondents purchased chips, fruits juice and ice creams
whenever needed. Majority of them purchased chips from bakeries (77.77%)
followed by departmental stores (29.62%) and only 24.07 per cent of the
respondents purchased from retail outlets. This was followed by fortnightly
purchase of chips from bakeries (93.33%), departmental stores (40.00%) and
20.00 per cent of them purchased from retail outlets.
Among the fruit juice buyers, 55.91 per cent of them planned the
purchase of fruit juice and remaining 44.08 per cent of them did go for impulsive
buying. Among the first age group most of them planned and purchased fruit
juice (68.75%) and only 31.25 per cent of them did go for impulsive buying. In
case of AG2, marginally higher per cent of the respondents did impulsive buying
(50.94%) followed by planned purchase by 49.05 per cent of the respondents. In
case of AG3, 50.00 per cent each of the respondents did go for impulsive buying
and planned purchase. In the case of ice creams, among the first age group
maximum of the respondents planned and purchased ice creams (64.51%)
followed by only 35.48 per cent of them went for impulsive buying. But in case
of AG2 and AG3 majority of them did impulsive buying (57.40% and 66.66%
respectively), 42.59 per cent and 33.33 per cent of AG2 and AG3 respectively
did planned purchase. Overall, 51.06 and 48.93 per cent of ice cream buyers did
go for impulsive buying and planned purchase respectively.
(N= 200)
Products Age group Buyers Non-buyers
Note : Figures in the parentheses indicate percentage to the total number of respondents in
each age group.
Television Radio Newspapers
Window display
10.69
26.13
12.62
4.08
17.52
17.89
11.06
Dharwad
Products
106 86 104 64
Readily available
(53.00) (46.73) (55.91) (34.04)
120 58 68 74
Liked by the family members
(60.00) (31.52) (36.55) (39.36)
30 68 82 84
Influence of friends or relatives
(15.00) (36.95) (44.08) (44.68)
78 48 28 48
Easily available in the shops
(39.00) (26.08) (15.05) (25.53)
86 96 88 104
Satisfaction
(43.00) (52.17) (47.31) (55.31)
46 72 92 52
Save time of preparation
(23.00) (39.13) (49.46) (27.65)
2 18
Any other - -
(1.08) (9.67)
Note : Figures in parentheses indicate the percentage to the total number of users of the
respective product.
Table 4.9. Reasons for not purchasing ready-to-eat food products by
consumers of
Hubli – Dharwad
Products
8 6 12
Dislike the product -
(50.00) (42.85) (100.00)
8 10 2
High price -
(50.00) (71.42) (16.66)
10 4 2
Low quality -
(62.50) (28.57) (16.66)
16 8
Health conscious - -
(100.00) (66.66)
12 4
Any other - -
(85.71) (33.33)
Note : Figures in parentheses indicate the percentage to the total number of non-users of the
respective product.
Table 4.10. Monthly expenditure of households on food items
(Rs./month)
14.11 21.12
19.61
14.61
16.34
14.45
Fig. 6. Monthly expenditure of households on food items
(Rs./month)
24.04
35.17
23.67
17.1
Fig. 7. Monthly expenditure of households on ready-to-eat food products
Daily (n = 28) Twice in a week (n = 68) Once in a week (n = 66) Fortnightly (n = 12) Whenever needed (n = 26)
R D B I R D B I R D B I R D B I R D B I
Biscuits
(n = 22 6 16 - 28 48 48 - 28 42 38 - 6 6 - - 20 24 20 -
200) (78.57) (21.42) (57.14) (41.17) (70.58) (70.58) (42.42) (63.63) (57.57) (50.00) (50.00) (76.92) (92.30) (76.92)
Daily (n = 2) Twice in a week (n = 20) Once in a week (n = 24) Fortnightly (n = 30) Whenever needed (n = 108)
Chips
R D B I R D B I R D B I R D B I R D B I
(n =
184)
- - 2 - 12 8 18 - 10 6 22 - 6 12 28 - 26 32 84 -
(100.00) (60.00) (40.00) (90.00) (41.66) (23.07) (91.66) (20.00) (40.00) (93.33) (24.07) (29.62) (77.77)
Daily (n = 8) Twice in a week (n = 14) Once in a week (n = 26) Fortnightly (n = 24) Whenever needed (n = 114)
Fruit R D B I R D B I R D B I R D B I R D B I
juice (n
= 186) - 4 4 4 4 2 12 6 8 6 14 4 10 12 12 - 26 36 58 38
(50.00) (50.00) (50.00) (28.57) (14.28) (85.70) (42.85) (30.76) (23.07) (53.84) (15.38) (41.66) (50.00) (50.00) (22.80) (31.50) (50.87) (33.33)
Daily (n = 4) Twice in a week (n = 6) Once in a week (n = 34) Fortnightly (n = 22) Whenever needed (n = 122)
Ice
R D B I R D B I R D B I R D B I R D B I
creams
(n =
188) - - - 4 - - 4 6 6 4 8 32 2 2 8 20 6 4 16 118
(100.0) (66.66) (100.0) (17.64) (11.76) (23.52) (94.11) (9.09) (9.09) (36.36) (90.90) (4.91) (3.27) (13.11) (96.72)
Age group
Nature of purchase
Products AG1 AG2 (n AG3 (n AG4
decision Overall
(n=64) = 110) = 18) (n = 8)
Impulsive buying 70
18 (28.12) 42 (38.18) 10 (55.55) -
Biscuits (35.00)
(n=200) Planned purchase 68 8 8 130
46 (71.87)
(61.81) (44.44) (100.00) (65.00)
AG1 AG2 (n AG3 (n AG4
Nature of purchase
Overall
decision (n=64) = 108) = 12) (n = 0)
Chips (n
12 136
= 184) Impulsive buying 44 (68.75) 80 (74.07) -
(100.00) (73.91)
Planned purchase 28 48
20 (31.25) - -
(25.92) (26.08)
AG1 AG2 (n AG3 (n AG4
Nature of purchase
Overall
decision (n=64) = 106) = 16) (n = 0)
Fruit juice
54 8 82
(n = 186) Impulsive buying 20 (31.25) -
(50.94) (50.00) (44.08)
Planned purchase 46 6 92
40 (64.51) -
(42.59) (33.33) (48.93)
Note : Figures in the parentheses indicate percentage to the total number of users in each
age group.
Table 4.14. Influence of income on purchase decisions on ready-to-eat food products
Products Income group Parents Children Friends Neighbours Shopkeeper Self decision
Note : Figures in parentheses indicate percentage to the total number of users in each income group.
Table 4.15. Influence /impact of education to make purchase decision on ready-to-eat food products
Products Education level Parents Children Friends Neighbours Shopkeeper Self decision
Primary school (n = 0) - - - - - -
Fruit juice
High school (n = 18) 10 (55.55) 6 (33.33) 6 (33.33) 4 (22.22) 4 (22.22) 8 (44.44)
(n = 186)
PUC (n = 59) 6 (10.16) 4 (6.77) 12 (20.33) 2 (3.38) 2 (3.38) 18 (30.50)
Primary school (n = 0) - - - - - -
Ice creams High school (n = 20) 4 (20.00) 6 (30.00) 8 (40.00) 20 (100.00) 2 (10.00) 6 (30.00)
(n = 188)
PUC (n = 60) 2 (3.33) 2 (3.33) 12 (20.00) 50 (83.33) 2 (3.33) 5 (8.33)
Note : Figures in parentheses indicate percentage to the total number of users in each education level.
In the case of chips, all the respondents of primary education level were
influenced by their parents while taking purchase decisions. Majority of the
respondents of high school level and PUC level were influenced by friends
(62.50% and 45.45% respectively). Degree holders mostly took self decision
(86.04%) while making purchase decisions. Most of the post graduates were
influenced by children (100.00%) while making purchase decisions.
Table 4.16 presents preference for type of biscuits among different age
groups. It was observed from the table that, among the first age group (AG1)
maximum of the respondents preferred sweet biscuits (65.62%), followed by
cream biscuits (50.00%), salted biscuits (18.75%) and wafers (12.50%) were less
preferred. Cream biscuits were mostly preferred (54.54%) in the AG2, followed
by salted biscuits (41.81%), sweet biscuits (38.18%), high fibre content biscuits
(18.18%) and wafers (16.36%). In the AG3, 66.66 per cent of them preferred
sweet biscuits. Cream biscuits, wafers and salted biscuits were preferred by
55.55 per cent each. Only 33.33 per cent of them did go for high fibre content
biscuits in this age group. All the respondents of AG4 preferred sweet biscuits.
Fifty per cent of the respondents also preferred salted biscuits. Only a small
percentage of the respondents (25.00%) preferred high fibre content biscuits. In
the last age group none of respondents preferred cream biscuits and wafers. None
of the respondents preferred high fibre content biscuits in the AG1 . Overall,
more than 50.00 per cent of the respondents preferred sweet biscuits and cream
biscuits. Only a small percentage of the respondents (14.00%) did go for high
fibre content biscuits.
Table 4.17 shows preference for variety of chips among different age
groups. It could be seen from the table that preference for potato chips was found
to be highest (78.26%) followed by banana chips (51.08%), jack fruit chips
(31.52%) and only 10.86 per cent of them did go for sweet potato chips. Potato
chips were mostly preferred by cent per cent, 81.25 per cent and 74.07 per cent
of AG3, AG1 and AG2 respondents accordingly. Among the first two age groups
i.e., AG1 and AG2 the next preference was given for banana chips (40.62% and
61.11% respectively) followed by jack fruit chips (37.5% and 27.77%
respectively) and sweet potato chips were less preferred among these two age
groups i.e., AG1 (12.50%) and AG2 (9.25%). In the AG3 category jack fruit
chips were preferred by 33.33 per cent of the respondents, banana chips and
sweet potato chips were preferred by less number of respondents (16.66% each).
Table 4.18 depicts preference for flavour in chips among different age
groups. The table reveals that, maximum of the respondents preferred chilly
flavoured/masala chips (69.56%) followed by tomato flavoured (48.91%) chips
and 41.30 per cent of the respondents preferred salted/plain chips. Chilly
flavoured / masala chips were most preferred among AG1 and AG2 (68.75% and
70.37% respectively), followed by tomato flavoured chips by 40.62 per cent and
55.55 per cent of AG1 and AG2 respondents respectively and salted/plain chips
were less preferred by 28.12 per cent and 46.29 per cent of AG1 and AG2
consumers accordingly. In the AG3 salted / plain chips were most preferred
(66.66%) and 33.33 per cent each of the respondents preferred tomato flavoured
and chilly flavoured / masala chips.
Table 4.19 presents preference for type of fruit juice among different age
groups. The table reveals that maximum of the respondents preferred mango
juice (61.29%) followed by apple juice and orange juice (46.23% each). Thirty
one per cent of them preferred pineapple juice and strawberry was preferred only
by 13.97 per cent of the respondents. In the first age group (AG1), majority of
the respondents preferred apple juice (56.25%), subsequently orange juice was
preferred by 50 per cent, mango juice by 46.87 per cent, 25 per cent of them did
go for pineapple juice and only 15.62 per cent preferred strawberry juice. Mango
juice was preferred by most of the respondents (69.81%) in AG2, followed by
orange juice (43.39%), 35.84 per cent of them preferred pineapple juice, 30.18
per cent did go for apple juice and strawberry juice was least preferred (13.20%)
among AG2 respondents. In the AG3 category, apple juice was preferred by all
the respondents. In addition, 62.50 per cent of them preferred mango juice, 50.00
per cent of them did go for orange juice, pineapple juice was preferred by 25.00
per cent of the respondents and only 12.50 per cent of them preferred strawberry
juice.
4.2.14 Preference for type of ice creams
Table 4.20 presents preference for type of ice creams among different age
groups. It could be noticed from the table that among the first two age groups
i.e., AG1 and AG2 most of the respondents did go for cone ice creams (77.41%
and 75.92% respectively). This was followed by cup ice creams (38.70% and
38.88% of the respondents of AG1 and AG2 respectively). Ninteen and twenty
six per cent of the respondents of AG1 and AG2 respectively preferred candy.
Scoop was preferred among 16.12 per cent and 22.22 per cent of the respondents
of AG1 and AG2 accordingly. A meagre percentage of respondents (1.85%)
preferred family packs in AG2, but none of the respondents of AG1 preferred
family packs. In the third age group, majority of them did go for cone ice creams
(66.66%). Cup ice creams were preferred by 44.44 per cent and 22.22 per cent
preferred scoop. Candy and family packs were preferred by 11.11 per cent each
of the respondents. At the aggregate level, major proportion of respondents
preferred cone ice creams (75.53%) followed by cup (39.36%), candy (22.34%),
scoop (20.21%) and family packs were preferred by only 2.12 per cent of the
respondents.
Table 4.22 to Table 4.25 shows the rank matrix of common brands
preferred among the products. The brands have been considered based on mean
scores of preferential order of brands considered by the consumers. Preferential
order of brands were obtained based on Garrett‟s ranking test.
Age group
Type of biscuits
AG1 AG2 AG3 AG4 Overall
32 60 10 102
Cream biscuits -
(50.00) (54.54) (55.55) (51.00)
8 18 10 36
Wafers -
(12.50) (16.36) (55.55) (18.00)
12 46 10 4 72
Salted biscuits
(18.75) (41.81) (55.55) (50.00) (36.00)
42 42 12 8 104
Sweet biscuits
(65.62) (38.18) (66.66) (100.00) (52.00)
Note : Figures in the parentheses indicate percentage to the total number of users in
each age group.
Table 4.17. Preference for variety of chips among different age groups
Age group
Variety of chips
AG1 AG2 AG3 AG4
Overall
(n = 64) (n = 108) (n=12) (n = 0)
(n=184)
26 66 2 94
Banana chips -
(40.62) (61.11) (16.66) (51.08)
52 80 12 144
Potato chips -
(81.25) (74.07) (100.00) (78.26)
8 10 2 20
Sweet potato chips -
(12.50) (9.25) (16.66) (10.86)
24 30 4 58
Jack fruit chips -
(37.50) (27.77) (33.33) (31.52)
Note : Figures in the parentheses indicate percentage to the total number of users in
each age group.
Table 4.18. Preference for flavour in chips among different age groups
Age group
Flavour in chips AG1 AG2 AG3 AG4 Overall
(n = 64) (n = 108) (n=12) (n = 0) (n=184)
18 50 8 - 76
Salted/ plain
(28.12) (46.29) (66.66) (41.30)
26 60 4 - 90
Tomato flavoured (40.62) (55.55) (33.33) (48.91)
Note : Figures in the parentheses indicate percentage to the total number of users in
each age group.
Table 4.19. Preference for type of fruit juice among different age groups
Age group
Type of fruit
juice AG1 (n AG2 AG3 (n=16) AG4 Overall
30 74 10 144
Mango -
(46.87) (69.81) (62.50) (61.29)
36 32 16 86
Apple -
(56.25) (30.18) (100.00) (46.23)
32 46 8 86
Orange -
(50.00) (43.39) (50.00) (46.23)
10 14 2 26
Strawberry -
(15.62) (13.20) (12.50) (13.97)
16 38 4 58
Pineapple -
(25.00) (35.84) (25.00) (31.18)
Note : Figures in the parentheses indicate percentage to the total number of users in
each age group.
Table 4.20. Preference for type of ice creams among different age groups
Age group
Type of ice
creams AG1 (n AG2 AG3 (n=18) AG4 (n Overall
48 82 12 142
Cone -
(77.41) (75.92) (66.66) (75.53)
24 42 8 74
Cup -
(38.70) (38.88) (44.44) (39.36)
10 24 4 38
Scoop -
(16.12) (22.22) (22.22) (20.21)
12 28 2 42
Candy -
(19.35) (25.92) (11.11) (22.34 )
2 2 4
Family pack - -
(1.85) (11.11) (2.12)
Note : Figures in the parentheses indicate percentage to the total number of users in each
age group.
Table 4.21. Preference for flavour in ice creams among different age groups
Age group
Flavours
AG1 AG2 AG3 (n=18) AG4 Overall
34 60 14 108
Vanilla -
(54.83) (55.55) (77.77) (57.44)
6 22 4 32
Strawberry -
(9.67) (20.37) (22.22) (17.02)
44 38 2 84
Chocolate -
(70.96) (35.18) (11.11) (44.68)
4 24 4 32
Mango -
(6.45) (22.22) (22.22) (17.02)
26 44 12 82
Pista -
(41.93) (40.74) (66.66) (43.61)
16 8 4 28
Butterscotch -
(25.80) (7.40) (22.22) (14.89)
Note : Figures in the parentheses indicate percentage to the total number of users in each
age group.
Table 4.22. Brand preference for biscuits
Parle-G I 69.99
Glucose X 43.41
Lays I 71.55
Lehar VI 42.00
Table 4.23 presents brand preference for chips. It could be seen from the
table that majority of the respondents preferred Lays brand in chips (mean score
of 71.55) followed by Uncle chips (mean score of 59.67), Bingo (mean score of
51.03), Haldiram chips (mean score of 49.90), local/unbranded chips (mean
score of 46.25), Lehar (mean score of 42.00), Diamond chips (mean score of
39.90) and Lip chips (mean score of 38.68).
Table 4.24 shows brand preference for fruit juice. It was observed from
the table that maximum of the respondents preferred Maaza brand (mean score
of 62.81), followed by Frooti (mean score of 62.61), Slice (mean score of 56.00),
Appy (mean score of 48.89), Real fresh (mean score of 44.17), Pulpy orange
(mean score of 38.59) and Tropicana twister (mean score of 35.91).
Table 4.25 presents brand preference for ice creams. It could be noticed
from the table that maximum of the respondents preferred Amul brand of ice
creams (mean score of 74.95), followed by Kwality walls (mean score of 56.21),
MTR (mean score of 53.82), Arun (mean score of 52.52), Nandini (mean score
of 52.12), Vadilal (mean score of 48.97), Dairy day (41.48), Hangya (mean score
of 38.59) and Dinshaws (mean score of 31.28).
Table 4.26 shows the rank matrix of common factors influencing the
brand preference among the products.
While preferring a particular brand in biscuits quality was considered as
the foremost factor (mean score of 75.74). Second important factor was taste
with a mean score of 74.79. Reasonable price was ranked as third factor (mean
score of 64.60). Quantity and availability of the brands were ranked fourth and
fifth ranks respectively (mean score of 59.08 and 56.70 respectively). While
preferring a particular brand in chips, fruit juice and ice creams, taste was
considered as the foremost factor in all the products (mean score of 80.35, 77.29
and 79.05 respectively). Quality was considered as the second important factor
by the consumers (mean score of 71.22, 75.23 and 74.18 respectively). Third
criteria considered was reasonable price in all the three products (mean score of
62.46, 62.29 and 64.21 respectively). Quantity and brand image were considered
as fourth and fifth criteria respectively (mean score of 59.92, 60.04 and 57.43,
and 54.57, 56.15 and 55.70 respectively).
In case of all the four products retailers influence was considered as the
last criteria for the preference of a particular brand (mean score of 27.91, 30.32,
28.53 and 31.45 respectively).
Maaza I 62.81
Frooti II 62.61
Appy IV 48.89
Amul I 74.95
Arun IV 52.52
Nandini V 52.12
Vadilal VI 48.97
Dinshaws IX 31.28
Table 4.26. Factors influencing brand preference
Factors
Ranking Mean Ranking Mean Ranking Mean Ranking Mean
score score score score
Reasonable price III 64.60 III 62.46 III 62.29 III 64.21
Products
Alternative purchase
Biscuits Fruit juice Ice creams
plans Chips (n=184)
(n=200) (n=186) (n=188)
44 74 72 62
Will buy other brand (22.00) (40.21) (38.70) (32.97)
Place order to get 52 44 40 64
Note : Figures in the parentheses indicate percentage to the total number of users of the
respective products.
5. DISCUSSION
From the Table 4.1, it was evident that the age of the majority of the
respondents was between 21-40 years and most of them were female. The higher
percentage of the respondents were degree holders and none of the selected
respondents were illiterates. Since the study was undertaken in Hubli-Dharwad
city limits it was quite obvious for the respondents to have at least minimum of
the education, as the city is known as the education centre. In the present study
majority of the respondents belonged to nuclear families with medium family
size (5-7 members) and most of them were vegetarians. Higher percentage of the
respondents belonged to low income group (<Rs.8715.70) and majority of them
were students.
5.1.2 Brand awareness of consumers about biscuits among different age
groups
It was noticed from Table 4.2 that among the first age group, cent per cent
each of the respondents were aware of Parle-G, Good day and Krack jack brands.
Tiger biscuits, Marie gold, Sunfeast Glucose, Hide and seek, Glucose and Parle
Monaco brands were familiar among more than 70.00 per cent of the respondents
of AG1. In addition, other brands like Britannia 50-50, Sunfeast snacky,
Chocolate chip cookies, Britannia Time pass and Britannia little hearts brands
were known to more than half of the respondents as they are highly advertised
through various mass media and this age group was more exposed to media. In
case of AG2, 98.18 per cent each of the respondents knew Parle-G and Good day
brands, followed by 96.36 per cent each aware of Tiger biscuits, Marie gold and
Krack jack brands. Parle-G and Marie gold biscuits were very popular among
AG3 and AG4. Tiger biscuits and Glucose brands were also known to all the
respondents of AG4. Parle-G was the local brand being produced by LVT Pvt.
Ltd., So also the Tiger biscuits and Marie Gold biscuits. Hence, reach of these
brands was highly penetrative due to locational advantage. Each and every petty
shop also keeps these brands. Irrespective of the age group whoever visit the
shops would come to know about these brands. Therefore, these brands were
popular in all the age groups. But none of the respondents of AG4 were aware of
Chocolate chip cookies brand, Sunfeast snacky, Sunfeast glucose, Britannia
Time pass and also Britannia little hearts brands. This age group doesn‟t prefer
much of the ready-to-eat products except some familiar ones.
From Table 4.3 it was observed that Lays brand was familiar among
100.00 per cent, 96.36 per cent, 88.88 per cent and 75.00 per cent of the
consumers of AG1, AG2, AG3 and AG4 accordingly. In case of AG1 Uncle
chips, Lip chips, Diamond chips and Lehar chips were well known to 93.75,
43.75, 34.37 and 50.00 per cent of the respondents and about 59.37 per cent each
aware of Bingo and Haldiram brands. More than half of the respondents of AG2
and AG3 were conscious of Lehar brand. Uncle chips and Bingo brands were
familiar among more than 70.00 per cent of the AG2 and AG3 respondents. In
addition to these brands, Haldiram chips was known to 70.90 per cent of AG2
and 55.55 per cent of AG3
respondents. About 36.36 per cent each were aware of Lip chips and Diamond
chips among AG2. Fifty per cent of the respondents were aware of Uncle chips
and 25.00 per cent of the respondents were conscious of Bingo brand in case of
AG4 respondents. It could also be seen from the table that, none of the
respondents of this age group were familiar with Haldiram chips, Lip chips,
Diamond chips and Lehar brands.
5.1.4 Brand awareness of consumers about fruit juice among different age
groups
It was noticed from Table 4.4 that Frooti brand was very popular among
96.00 per cent of respondents, followed by Maaza brand (93.00%) and Slice by
87.00 per cent of respondents. All the respondents of AG1 and AG4 were
conscious of Frooti brand. Among first age group Appy, Maaza and Slice brands
were well known to more than 70.00 per cent of the respondents. Among AG2,
majority of the respondents were familiar with Frooti and Maaza brand (94.54%
each), Slice, Appy, Pulpy orange and Real fresh brands were familiar among
85.45, 83.63, 69.09 and 63.63 per cent of the respondents. All the respondents of
AG3 were conscious of Maaza brand. Frooti, Slice and Real fresh brands were
familiar among more than 70.00 per cent of respondents. Among the first three
age groups Tropicana, twister brand was less familiar. Because this brand is a
new entrant in the market. It was also noticed from the table that Real fresh,
Appy, Tropicana twister and Pulpy orange brands were not known to any of the
respondents of AG4. Because of the reasons discussed in earlier section, all the
brands were known to the younger age group as they were brand innovators.
5.1.5 Brand awareness of consumers about ice creams among different age
groups
Amul brand is one of the popular brand for milk products in our country.
Because of its quality products this brand is very well known to almost all the
people in our country. Similarly, it was observed that all the respondents of AG1,
AG2 and AG4 and also most of the respondents of AG3 (88.88%) were aware of
Amul brand. More than half of the respondents AG1 were conscious of all other
brands like Arun, MTR, Nandini, Kwality walls, Vadilal, Dairy Day except
Dinshaws brand (only 25.00%). Dinshaws brand was introduced into market
recently and hence it was not very popular. Among the first three age groups
MTR and Kwality walls were also popular brands. MTR is a very popular brand
in south India and also Kwality walls is a famous brand in the whole country,
hence these brands accounted for a higher percentage of awareness among the
consumers. In case of AG4 none of the respondents were aware of MTR,
Nandini, Kwality walls, Hangya and Dinshaws brands as observed from Table
4.5.
More brands of all the products were known among the first three age
groups, when compared to the last age group. More exposure to the media and
also interest in ready-to-eat food products among the younger generations had
promoted them to know about different brands of ice creams.
It was observed from the Table 4.6 that, in case of all the four products
i.e., biscuits, chips, fruit juice and ice creams the majority of the respondents said
television as the major source of information (92.00%, 93.00%, 86.00% and
81.00% of the respondents of biscuits, chips, fruit juice and ice creams
respectively) for brand awareness. Television is one of the important mass media
in today‟s world. Television is attractive and advantageous because of its audio-
visual effect, which renders the clear picturization about the information on
different products and services. This inturn persuades the audience in influencing
their brand awareness. In addition, the product manufacturers also go for
promoting their products through television advertisements which highly attracts
the audience/consumers. Overall, 26.13 per cent of the respondents were
influenced by television for getting information
regarding various brands. Apart from this, newspapers (17.89%) and
friends/relatives (17.52%) were also the major sources of information for brand
awareness. This is because newspapers are the cheapest and easily available
means of getting information regarding various brands. Friends/relatives were
considered as important source may be because, the respondents easily get
information through word of mouth from their friends / relatives.
Radio was the least preferred media for brand awareness of all these four
products (i.e., Biscuits, Chips, Fruit juice and Ice creams).
From Table 4.7 it was observed that biscuits were consumed by all the
respondents. All the respondents of AG1, AG2, AG3 and AG4 consumed
biscuits. This clearly indicates that all categories of respondents preferred to
purchase biscuits irrespective of their age. The respondents expressed that it was
a most convenient food and can also be used at any time and any where.
Chips were mostly preferred among AG1 and AG2 respondents (100.00%
and 98.18% respectively) as these products were generally fun eat products.
Younger generations are more driven away by fried foods. All the respondents of
AG4 were not consuming chips because they were conscious of health. As chips
are fried foods and such foods are not preferred by the aged groups because they
are not interested in such foods. Such foods are also not digestible in case of
elder people. The health disorders like blood pressure, sugar and cardial
malfunctioning prompt them to avoid oily food materials.
About 96.87 per cent, 98.18 and cent per cent of the respondents of AG1,
AG2 and AG3 consumed ice creams. Only a meager per cent of the respondents
of AG1 (3.12%) and AG2 (1.81%) did not purchase ice creams for consumption.
Because some of them opined that they had a allergy due to cold so they were
not purchasing ice creams. All the respondents of AG4 were not purchasing ice
creams for consumption because of the reasons discussed earlier.
It was noticed from the Table 4.8 that the major factors considered while
purchasing biscuits were convenience to use as snacks (65.00%), liking of the
family members (60.00%) and ready availability (53.00%). Taste was the main
reason for purchasing chips, fruit juice and ice creams by 80.43 per cent, 59.13
per cent and 61.70 per cent respectively. These results are being supported by the
study (Palkar, 2004) wherein, consumers opined that taste or time pass was the
most important reason for purchasing chips. When it comes for liking of the
product, the major strata of population which purchase the ready-to-eat product
was the first age group i.e., children. They were also influenced by friends. The
demonstration effect works more in case of children to like the ready-to-eat food
products.
It could be seen from the Table 4.10 that, there exist a positive
relationship between household‟s monthly expenditure and monthly income. As
the monthly income increases, the households monthly expenditure also
increased and the same trend was noticed in the case of ready-to-eat food
products also. These results coincide with the results obtained by the Kubendran
and Vanniarajan (2005) while studying the change in consumption pattern due to
changes in food habits. They found that if income and urbanization increases
among consumers, the percentage of income spent on consumption increases.
The amount spent on ready-to-eat food products was found to be highest in case
of high income group (Rs. 423.07) followed by middle income group (Rs.
298.52) and low income group (Rs.224.00). Similar trend was noticed with
respect to total monthly expenditure, wherein the expenditure was Rs. 2747.60 in
high income group, Rs. 2331.35 in middle income group and Rs. 1566.00 in low
income group.
High income group people are usually double salaried where in both
husband and wife work outside. Obviously they will have less time to prepared
food in the house. Hence, they have to necessarily go for ready-to-eat food
products from outside. Even in the business class also people find less time to
prepare the food at home.
It could be seen from the Table 4.11 that the average monthly expenditure
on biscuits, chips, fruit juice and ice creams increased as income increased. High
income group spent Rs. 128.38 on biscuits followed by middle income group
(Rs. 82.94) and low income group (Rs. 60.70). Similar trend was noticed with
respect to other products like chips, fruit juice and ice creams. On an average
Hubli and Dharwad consumers spend Rs. 85.86 on biscuits, Rs. 41.75 on chips,
Rs. 57.80 on fruit juice and Rs. 58.70 on ice creams out of their monthly
expenditure on ready-to-eat food products.
Most of the respondents purchased chips, fruit juice and ice creams
whenever needed. These products are generally fun eat and also these are
impulse purchase products. Majority of the respondents purchased chips from
bakeries (77.77%) followed by departmental stores (29.62%) and only 24.07 per
cent of the respondents purchased from retail outlets. Even in case of fruit juice
maximum of the respondents purchased from bakeries (50.87%) and a least per
cent of the respondents purchased from retail outlets (22.80%). Even in case of
ice creams, very few (4.91%) of the respondents purchased from retail outlets. It
is not the source, but the availability of these products in the sources which had
significantly influenced the purchase behaviour of the consumers. Usually
bakery people will have their own refrigerators to maintain bakery items. Along
with that they keep fruit juice and ice creams. But retail provision stores have to
make special provision to keep such items for sale.
5.2.7 Nature of purchase decision
It could be inferred from Table 4.16 that, among the first age group
(AG1) maximum of the respondents preferred sweet biscuits (65.62%) followed
by cream biscuits (50.00%) and salted biscuits (18.75%). None of the
respondents of this age group preferred high fibre content biscuits. Age group
one (AG1) contains the children and teens who always look at the taste rather
than nutritive value of any product. Therefore many of them preferred cream and
sweet biscuits. But as and when the people become old, they give more
weightage to nutritive value of the food rather than the taste. The results of the
study also supports the phenomenon. At the aggregate level, people gave less
importance to nutritive value as compared to taste. Biscuits are mainly consumed
for their taste rather than any nutritive value. Hence, the manufacturers of
biscuits, planning for marketing strategy by attaching nutritive value for their
product have to think seriously before launching the product.
5.2.11 Preference for variety of chips
It was observed from Table 4..17 that preference for potato chips was
found to be highest (78.26%) followed by banana chips (51.08%), jack fruit
chips (31.52%) and only 10.86 per cent of them did go for sweet potato chips.
Among the first three age groups potato chips were highly preferred by the
respondents. The next preference was given for banana chips followed by jack
fruit chips and sweet potato chips in case of AG1 and AG2 respondents. Food
habits of the people largely depend upon the availability of the food material in
the locality. Since, potato is being grown in large quantities in Hubli-Dharwad
area, raw material availability is not a problem. Hence, large quantities of potato
chips were prepared and supplied to meet consumers satisfaction. Price is
another factor which influence on the preference of the product. Banana, jack
fruit and sweet potato were to be produced from distant markets, which adds to
cost of production. All these factors would definitely reflect higher prices for the
products in the market. Therefore, cheapest among all varieties of chips, the
potato chips were much preferred by the consumers of all age groups.
It was revealed from the Table 4.18 that among the first two age groups
AG1 and AG2 chilly flavoured/masala chips were highly preferred (68.75% and
70.37% respectively). Whereas in case of AG3 salted/plan chips were preferred
by more number of respondents (66.66%). The first two age groups mainly
comprise of children below 20 years. There consumption of chips was mainly
because of taste. Children usually like the masala and tomato flavoured chips and
eat them by relishing the taste in it. While the older age group consumers use
chips as tea time snacks. Therefore, salted or plain chips would be more suited to
this age group people.
It was observed from Table 4.20 that among the first two age groups i.e.,
AG1 and AG2 most of the respondents did go for cone ice creams (77.41% and
75.92% respectively). This was followed by cup ice creams, candy and scoop.
Only a meager per cent of the respondents preferred family packs (1.85%) in
case of AG2. It was also observed from the table that none of the respondents of
AG1 preferred family packs. Among the third age group more than half of the
respondents preferred cone ice creams. Overall, majority of the respondents
preferred cone ice creams (75.53%) followed by cup (39.36%), candy (22.34%),
scoop (20.21%) and family packs were preferred by only few of the respondents
(2.12%). Ice creams are mostly impulsive buying products. People eat and enjoy
them wherever they are because they cannot be carried to longer distances and
kept for longer hours. Hence, individual packs were much preferred to family
packs. Family packs are preferred only during certain occasions when entire
family will involve in some sort of celebrations. But, ice creams are more of pass
time food products. Eat and go would be the usual way which the people follow
in the twin cities. The convenience of the container can also be another factor
which influence on the preference of cone and cup ice creams than scoops, candy
and family packs.
It could be seen from the Table 4.21 that chocolate flavour was highly
preferred among the first age group (70.96%) followed by vanilla (54.83%) and
pista (41.93%) flavours. Younger generations like chocolates very much and
hence they prefer the respective flavour. In case of AG2, maximum of the
respondents preferred vanilla (55.55%) followed by pista (40.74%) and
chocolate flavours (35.18%). The results also revealed that, about 77.77 per
cent of the respondents of AG3 preferred vanilla flavour, pista flavour was
preferred by 66.66 per cent of the respondents and chocolate flavour was less
preferred among this age group (22.22%). Overall, maximum of the respondents
preferred vanilla (57.44%) followed by pista (43.61%), chocolate flavour
(44.68%), strawberry and mango flavour by 17.02 per cent each of respondents
and butterscotch was preferred by only 14.89 per cent of the respondents.
It could be inferred from Table 4.22 that, Parle-G was the most popular
brand among majority of the respondents. Since it is an age old brand and it is
continuously rendering a very good quality product, it is highly acceptable by the
consumers. In addition, comparatively, the price of this brand is low. In
accordance with this result, Padmanabhan (1999) study on brand loyalty revealed
that only when price of the particular brand is comparatively lower to prices of
other brand in the market the consumers will be brand loyal. The consumers
would naturally prefer to low priced brand and they would naturally continue to
purchase the same brand as long as the price and quality of the brand is
unaltered. Any violation to this would lead to brand switching. Good day and
Marie gold biscuits were also popular among the respondents.
It could be seen from Table 4.23 that, Lays was the most popular brand
among maximum number of respondents. It may be because of its taste, flavour
and quality of the product. Advertisements also play a very crucial role in brand
preference. The product promotional strategies adopted by a producer would also
strengthen the brand preference. Uncle chips and Bingo brands were also most
popular among the respondents.
5.3.3 Brand preference for fruit juice
The study was conducted on an elite group of respondents, who were the
residents of Hubli-Dharwad city. Quality of the product will definitely be the
prime factor for preference to a brand and price would become secondary for a
elite group.
It does not mean that all other factors like brand image, advertisements,
packing decision, offers etc. would not have any influence on brand preference.
These factors coupled with the above three prime factors would influence the
brand preference.
India is the world‟s second largest producer of food next to China and has
the potential of being biggest industry with food and agricultural sector. Food
accounts for the largest share of consumer spending.
Unlike olden days where man used to have his food lavishly and slowly,
the present trend changed the habits of foods, which are simple and easy to
digest. Hence, the existence of these foods fulfilled all the needs of modern
human being. Canned foods, convenience foods, fast foods, frozen foods, dried
foods, preserved foods, etc. all comes under ready-to-eat foods.
As double income nuclear families have become the norm in urban India,
every one who is in the food business has been eyeing on the ready-to-eat food
sector with considerable hunger.
The study was carried out in the twin city of Hubli and Dharwad.
Hundred sample respondents each for Hubli and Dharwad were selected
randomly and thus the total number of samples aggregated to 200. Required data
were collected from the respondents with the help of pre-structured and pre-
tested schedules through personal interview method. Data was coded, tabulated,
analysed and interpreted using suitable statistical techniques viz., Garrett‟s
ranking technique etc.
Findings of the study
Influence of media to create awareness about the brands in the study area
showed
that, in case of biscuits television was the major source for getting
information about the brands (92.00%). This was followed by newspapers
(66.00%) and friends/relatives (51.00%). In case of other products i.e.,
chips, fruit juice and ice creams, majority of the respondents were
influenced by television (93.00%, 86.00% and 81.00% respectively).
Radio was the least preferred media for brand awareness of all the four
products. Overall, television was preferred as the major source of
information for brand awareness (26.13%) followed by newspapers and
friends/relatives (17.89% and 17.52% respectively). Only a meager
percentage of the respondents were influenced by radio (4.08%).
.All the respondents did not purchase chips since they were health
conscious. The other reasons for not consuming chips were low quality of
the product (62.50%), dislike towards the product and high price (50.00%
each). In case of fruit juice, majority of the respondents (85.71%) were
not purchasing this product because they preferred home made products.
High price (71.42%) was the other important reason for not purchasing
fruit juice. In case of ice creams all the respondents did not purchase
because they disliked the product. More than half of the respondents said
they were not consuming ice creams because they were health conscious.
In case of biscuits and fruit juice, majority of the respondents did go for
planned purchase (65.00% and 55.91% respectively). But in case of chips
and ice creams majority of the respondents did impulsive buying (73.91%
and 51.06% respectively).
It was found that preference for potato chips was found to be highest
in case of all the three age groups. Banana chips (51.08%) and jack
fruit chips (31.52%) were also highly preferred among the
respondents.
In the case of biscuits, Parle-G, Good day and Marie gold biscuits
were highly preferred brands among the respondents. Most of the
respondents preferred Lays, Uncle chips and Bingo brands in the case
of chips. In case of fruit juice Maaza, Frooti and Slice were highly
preferred brands. In case of ice creams majority of the respondents
preferred Amula brand followed by Kwality walls and MTR.
POLICY IMPLICATIONS
4. Ready-to-eat food products are impulse purchase and fun eat products.
Lower age groups, particularly children and teens consume them the most.
Taste and other organoleptic quality aspects count more while preparation
of the products. Hence, manufacturers, planning for marketing strategy by
attaching nutritive value for the products have to think seriously before
launching such products.
Kumar, K., Ambarish, Jordan, B.B. and Barker Tansu, A., 1987, Made in
India, what it means to Indian consumers ? Ind. J. Mktg, 17 (9) : 26-34.
Low, G. and Lamb, J., 2000, The measurement and dimensionality of the
brand associations.
Prell, H., Berg, C. and Jonsson, L., 2002, Why don‟t adolescents eat fish
Puri, R. and Sanghera, J., 1989, Nutritive value and consumption pattern
of some processed foods. Ind. J. Mktg, 46 (6) : 24-27.
Budget.2007.
APPENDIX – I
INTERVIEW SCHEDULE
I. General Information
2. Address :
3. Age :
4. Sex
5. Education : Illiterate/Primary/High/PUC/Degree/PG
6. Occupation :
7. City : Dharwad/Hubli
12. Family :
Adult males
Adult females
Children
Total
13. Monthly expenditure on food items
Cereals
Pulses
Total
Chips
Fruit juice
Ice creams
II. Specific Information
Ready available
Taste
Satisfaction
Any other
3. What are the reasons for not purchasing ready-to-eat food products ?
High price
Low quality
Health conscious
Any other
4. Are you aware of the following brands ?
Biscuits Yes No
Parle-G
Tiger biscuits
Marie gold
Britannia 50-50
Sunfeast snacky
Sunfeast glucose
Good day
Krack jack
Hide and seek
Glucose
Chocolate chip cookies
Britannia Time pass
Parle Monaco
Britannia little hearts
Chips
Uncle chips
Bingo
Lays
Haldiram chips
Lip chips
Diamond chips
Lehar
Fruit juice
Real fresh
Frooti
Appy
Maaza
Tropicana twister
Pulpy orange
Slice
Ice creams
Amul
Arun
MTR
Nandini
Kwality walls
Hangya
Vadilal
Dairy day
Dinshaws
5. Source of information for brand awareness
Television
Radio
Newspapers
Magazines
Friends/relatives
Shopkeeper/retailer
Window display
Any other
6. Frequency of purchase
Daily
Twice in a week
Once in a week
Fortnightly
Whenever needed
7. Nature of purchase decision
a. Impulsive buying
b. Planned purchase
8. Place of purchase
Retail outlets
Departmental stores
Bakeries
Ice parlors
9. Influencers of purchase decision
Parents
Children
Friends
Neighbours
Shopkeeper
Self decision
a. Cream biscuits
b. Wafers
c. Salted biscuits
d. Sweet biscuits
a. Salted/plain
b. Tomato flavoured
c. Chilly flavoured/Masala
a. Banana chips
b. Potato chips
a. Mango
b. Apple
c. Orange
d. Strawberry
e. Pineapple
a. Cone
b. Cup
c. Scoop
d. Candy
a. Vanilla
b. Strawberry
c. Chocolate
d. Mango
e. Pista
f. Any other
16. Which brands do you prefer most ?
Biscuits Ranks
Parle-G
Tiger biscuits
Marie gold
Britannia 50-50
Sunfeast snacky
Sunfeast glucose
Good day
Krack jack
Hide and seek
Glucose
Chocolate chip cookies
Britannia Time pass
Parle Monaco
Britannia little hearts
Chips
Uncle chips
Bingo
Lays
Haldiram chips
Lip chips
Diamond chips
Lehar
Local brand/unbranded chips
Fruit juice
Real fresh
Frooti
Appy
Maaza
Tropicana twister
Pulpy orange
Slice
Ice creams
Amul
Arun
MTR
Nandini
Kwality walls
Hangya
Vadilal
Dairy day
Dinshaws
17. What are the factors influencing to prefer a particular brand ? (Give rankings)
Reasonable price
Taste
Quality
Quantity
Brand image
Availability
Advertisements
Packaging design
Friends
Labeling
Offers
Freshness
Retailers influence
18. What are the alternative purchase plans, if preferred brand is not available ?
Alternative purchase plans Biscuits Chips Fruits juice Ice creams
a. Go to other shop
e. Any other
CONSUMER BEHAVIOUR TOWARDS READY-TO-EAT
FOOD PRODUCTS
ABSTRACT
Majority of the respondents were aware of Parle-G, Lays, Frooti and Amul brands
in case of biscuits, chips fruit juice and ice creams accordingly. Television was the major
source for getting information about various brands in all the four products.
Biscuits were consumed by all the respondents because of their convenience to use as
snacks. About 92 per cent, 93 per cent and 94 per cent of the respondents consumed
chips, fruit juice and ice creams respectively. Taste was the main driving force for
purchase of chips, fruit juice and ice creams. Health consciousness was the main factor
for not purchasing chips among the respondents. Majority of the respondents were not
purchasing fruit juice because they preferred home made products. Dislike towards the
product was the main reason for not purchasing ice creams. The average monthly
expenditure on ready-to-eat food products was found to be highest in case of high income
group. Planned purchase was common among majority of the respondents for biscuits
and fruit juice. However, most of the respondents did impulsive buying for chips and ice
creams.
Parle-G, Lays, Maaza and Amul brands were highly preferred brands of biscuits, chips,
fruit juice and ice creams respectively. The main factors influencing brand preference for
biscuits, chips, fruit juice and ice creams were quality, taste and reasonable price. Most of
the respondents would go to other shops if preferred brand in all the four products was
not available. Thus, the study revealed that the younger generation preferred more ready-
to-eat food products than the other age groups. The consumer behaviour also varies from
product to product.