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CONSUMER BEHAVIOUR TOWARDS READY-TO-EAT FOOD PRODUCTS

Thesis submitted to the University of Agricultural Sciences, Dharwad in partial fulfillment of the requirement for the Degree of

MASTER OF BUSINESS ADMINISTRATION In AGRIBUSINESS MANAGEMENT

By

RENUKA HIREKENCHANAGOUDAR

DEPARTMENT OF AGRIBUSINESS MANAGEMENT COLLEGE OF AGRICULTURE, DHARWAD UNIVERSITY OF AGRICULTURAL SCIENCES, DHARWAD-580 005 AUGUST, 2008

ADVISORY COMMITTEE
DHARWAD August, 2008 Approved by : Chairman : (H.S. VIJAYAKUMAR) MAJOR ADVISOR

___________________________ (H.S. VIJAYAKUMAR)

Members :

1. _________________________ (P.R. SUMANGALA)

2. _________________________ (R.A. YELEDHALLI)

3. _________________________ (C. MURTHY)

CONTENTS
Sl. No. CERTIFICATE ACKNOWLEDGEMENT LIST OF TABLES LIST OF FIGURES LIST OF APPENDICES 1 2 INTRODUCTION REVIEW OF LITERATURE 2.1 2.2 2.3 2.4 2.5 3 Awareness of consumers towards branded products Purchase behaviour of consumers Brand preference Factors influencing brand preference Alternative purchase plans Chapter Particulars

METHODOLOGY 3.1 3.2 3.3 Description of study area Sampling design and data collection Analytical tools employed in the study

RESULTS 4.1 4.2 4.3 4.4 4.5 Awareness of consumers towards branded ready to eat food products. Purchase behaviour of consumers towards ready to eat food products. Brand preference of the consumers. Factors influencing brand preference. Alternative purchase plans of the consumers.

DISCUSSION 5.1 5.2 5.3 5.4 5.5 Awareness of consumers towards branded ready-to-eat food products. Purchase behaviour of consumers towards ready to eat food products. Brand preference of the consumers. Factors influencing brand preference. Alternative purchase plans of the consumers.

SUMMARY AND POLICY IMPLICATIONS

Sl. No. 7 REFERENCES APPENDICES ABSTRACT

Chapter Particulars

LIST OF TABLES
Table No. 4.1 4.2 4.3 4.4 4.5 4.6 4.7 4.8 4.9 4.10 4.11 4.12 4.13 4.14 4.15 4.6 4.17 4.18 4.19 4.20 4.21 4.22 4.23 4.24 Title General information of selected samples in Hubli and Dharwad Brand awareness of consumers about biscuits among different age groups Brand awareness of consumers about chips among different age groups Brand awareness of consumers about fruit juice among different age groups Brand awareness of consumers about ice creams among different age groups Influence of media to create awareness about the brands Buyers and non-buyers of ready to eat food products Reasons for purchasing ready to eat food products by consumers of Hubli Dharwad Reasons for not purchasing ready to eat food products by consumers of Hubli Dharwad Monthly expenditure of households on food items Monthly expenditure of households on ready-to-eat food products Frequency and place of purchase by the respondents Nature of purchase decision among different age groups Influence of income on purchase decisions on ready to eat food products Influence /impact of education to make purchase decision on ready to eat food products Preference for type of biscuits among different age groups Preference for variety of chips among different age groups Preference for flavour in chips among different age groups Preference for type of fruit juice among different age groups Preference for type of ice creams among different age groups Preference for flavour in ice creams among different age groups Brand preference for biscuits Brand preference for chips Brand preference for fruit juice

Table No. 4.25 4.26 4.27 Brand preference for ice creams Factors influencing brand preference

Title

Alternative purchase plans of ready to eat food products

LIST OF FIGURES
Figure No. 1

Title Brand awareness of consumers about biscuits among different age groups

2.

Brand awareness of consumers about chips among different age groups

3.

Brand awareness of consumers about fruit juice among different age groups

4.

Brand awareness of consumers about ice creams among different age groups

5.

Influence of media to create awareness about the brands

6.

Monthly expenditure of households on food items

7.

Monthly expenditure of households on ready-to-eat food products

LIST OF APPENDICES

Appendix No. 1 Questionnaire

Title

1. INTRODUCTION
There is nobody in the world who is left out of the class of consumers. The consumerhood continues till ones 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. A 30 million upper and middle class segment of the total population consume processed and packaged food with another 200 million people, projected to shift to this group by 2010. Thanks largely to rapid urbanization and changing lifestyles. Well-developed infrastructure and distribution network. Increase in per capita income and purchasing power. Large pool of scientific, technical and skilled manpower. Introduction of series of investment friendly initiatives by the Government including strengthening and augmenting of road and rail network, modernization of ports, prioritization of infrastructure for post harvest management, logistics (including cold chain), markets, retailing, food processing. Introduction of a number of liberal policy initiatives by the Government to boost food processing activities. 53 food parks approved to enable small and medium food and beverage units to set up and to use capital intensive common facilities such as cold storage, warehouse, quality control labs, effluent treatment plant, etc.

Over the past five decades, India has taken giant steps in producing food grains, milk, fruits and vegetables. The production of raw food materials is estimated to worth over Rs. 60,000 crore. After primary, secondary and tertiary processing, the total size of the industry is estimated to be as high as Rs. 1,10,000 crore. This cost overrun reflects the opportunities that food processing industry offers to the economy as a whole and entrepreneurs in individual. Big opportunities lie in upgradation from commodities to packaged and branded products and convenient foods, which offer value for money, products focused towards children and young adults and products catering to those who lead a fast modern day life. Realizing the potential and in order to provide further boost, the government has exempted from excise duty for condensed milk, ice cream, preparations of meat, fish and poultry, pectins, pasta and yeast. Further, excise duty on certain ready-to-eat packaged foods is reduced to 8 per cent from 16 per cent. The food processing industry will also be benefited from the reduction in excise duty on paper, a cut in customs duty on major bulk plastics and a reduction of customs duty on packaging machines, which would reduce packaging costs (Budget, 2007). The Food Processing Industry In India 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. India with a population of 1.08 billion (growing at about 1.70% per annum) provides a large and growing market for food products. Food products are the single largest component of private consumption expenditure, accounting for as much as 49.00 per cent of the total spending. Furthermore, the upward mobility of income classes and increasing need for convenience and hygiene is driving demand for (a) perishables and non food staples and (b) processed foods. Also, eating out is a booming practice in urban India and processed foods are accepted as alternative to the home cooked food because of the convenience it offers. Also, with the globalization of trade and availability of high speed logistics, food retailers in developed countries are sourcing an year-round supply of fruits and vegetables from developing countries. Thus, both for local consumption as well for export there is a year round opportunity for fruits and vegetables, meat and poultry products and ready-to-eat processed foods. The total exports of Indian food processing industry had increased by about three times to Rs. 53,000 crores in 2003-04, from Rs. 17,600 crores in 2002-03. Considering the greater potential for food processing industry in India, government had committed to encourage various activities for the development of this sector. Indian government had been giving importance to the food processing sector, by way of fiscal incentives to encourage commercialization and value addition of agricultural produce, for minimizing pre/post harvest wastage, generating employment and export growth. The government gave five-year tax holiday for new food processing units in fruits and vegetable processing. From 2000-01 to 2006-07 government had also approved proposals for joint ventures; foreign collaboration, industrial licenses and 100.00 per cent export oriented units envisaging an investment of Rs. 19,100 crores during 2002-03. Out of this, foreign investment was over Rs. 9100 crores. The processed food industry should introduce innovative new products of high quality at low cost in small package sizes in ready-to-eat format. To cash on this booming opportunity, smart players have to enter the growing market with a high potential of retail Foreign Direct Investment (FDI). Ready-to-eat food products 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, instant products, dried foods, preserved foods, etc. all comes under ready-to-eat foods. The food habits in India have changed due to the western influence and the usage of these foods is also on the rise.

In India, majority of food consumption is still at home. Nevertheless, out of home food consumption is increasing due to increase in urbanization, breaking up of the traditional joint family system, desire for quality, time which translates into an increased need for convenience, increasing number of working women, rise in per capita income, changing lifestyles and increasing level of affluence in the middle income group had brought about changes in food habits. In the last two decades, the share of urban population has increased from 23.30 per cent in 1981 to 27.80 per cent in 2001. During the same period the female work participation rate had increased from 19.70 to 25.70 per cent. The per capita income increased from Rs. 7,328 in 1980-81 to Rs 10,306 in 2000-01. The change in food habits was evident from the growth of food processing industries. Generally, food is prepared depending on the habits, tastes, social status, economic factor, availability, traditions, habitats, etc., of the people of that region. The most sought after in the present age are the ready- to- eat foods. Ready-to-eat food is food offered or exposed for sale without additional cooking or preparation, which is packaged on the premises where they are being sold and are ready for consumption. 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-toeat 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. As the literacy rate is increasing among the women, a large number of them in our country are taking up jobs to setup their own status in the society and to use the extra income generated. These are creating the need for ready-to-eat foods. Earlier times, a single family consisted of many people i.e., a group of several nuclear families were living in a single place. Hence, larger quantities of the food were used to be prepared. But as these joint families started disappearing due to various reasons, each single family started using these ready-toeat foods in order to save time and energy. Due to establishment of multi- national companies in India, the lady of the house also started working, because of which there is no time to prepare food at home. Hence, this created the need for using ready-to-eat foods. The standard of living is also changing due to raise in income level, influence of western countries, more global trade, traveling etc., hence, people are changing their taste to ready-to-eat foods more compared to the old traditionally prepared 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 Several firms had been engaging in production and marketing of ready-to-eat food products. Hence, the consumers had a greater option to choose from. In this context, a study

on consumer behaviour was seemed to be important to understand the buying behaviour and preferences of different consumers. Understanding the consumer behaviour would help the firms in formulating strategies to cater to the needs of the consumer and thereby increase their market share. Consumers taste and preference were found to change rapidly, especially in a dynamic environment. Keeping in view the importance of consumer behaviour and consumption pattern, the present study was under taken with the following objectives. Objectives of the study The specific objectives of the study were : i. ii. iii. iv. v. To ascertain the awareness of consumers towards branded ready-to-eat food products. To study the purchase behaviour of ready-to-eat food products. To evaluate brand preference of the consumers. To study the factors influencing brand preference. To evaluate alternative purchase plans of the consumers.

Presentation of the study The study has been presented in six chapters as indicated below. Chapter-I deals with the nature, importance and specific objectives of the study; Chapter-II describes the comprehensive review of the relevant research work done in the past related to the present study; Chapter-III outlines the features of the study area, nature and source of data, sampling procedure and analytical tools and techniques employed in the study; Chapter-IV is devoted to present the main findings of the study through tables; Chapter-V discusses the results of the study; Chapter-VI provides the summary of the whole study and also suggests the policy implication based on findings of the study. At the end, important references have been listed relating to the present study. Limitation of the study This study was based on primary data collected from sample consumers by survey method. As many of the consumers furnished the required information from their memory and experience, the collected data would be subjected to recall bias. The study area was limited to Hubli and Dharwad cities and the findings may not be applicable to other markets, as vast difference exist among the consumers with regard to demographic and psychographic characteristics. Hence, the findings of the study may be considered appropriate for the situations similar to study area and extra care should be taken while generalizing the results.

2. REVIEW OF LITERATURE
In this chapter, research work done in the past regarding awareness, purchase behaviour, brand preference, factors influencing brand preference and alternative purchase plans has been reviewed and presented under the following sub-headings. 2.1 2.2 2.3 2.4 2.5 Awareness of consumers towards branded products Purchase behaviour of consumers Brand preference Factors influencing brand preference Alternative purchase plans

2.1 AWARENESS OF CONSUMERS TOWARDS BRANDED PRODUCTS


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.

2.2

PURCHASE BEHAVIOUR OF CONSUMERS

Balaji (1985) studied fish consumption behaviour of 526 consumers in Vishakapatnam city. The study revealed that 77.00 per cent of respondents consumed fish for dinner and 22.00 per cent for lunch. About 30.00 per cent of the respondents did not consume fish on festival days, as those days were considered auspicious, while the rest had no notations and consumed fish, irrespective of festivals. Jorin (1987) examined changes in spending power and buying habits of Swiss consumers since the beginning of the 20th century and in the more recent past. Current trends include greater emphasis on health and safety of foodstuffs and less attention to price, increased demand for low calorie light products and increased demand for organically grown foods. For young people, more concern with enjoyment and less for health, with more meals eaten from home and generally an increased demand for convenience foods. The prospects for high quality branded products were seen to be good. Puri and Sanghera (1989) conducted a study to know the consumption pattern of processed products in Chandigarh. Jam was found to be most popular, irrespective of income. Orange squash consumption was maximum in high and middle income families. Pineaaple juice consumption increased with a rise in the income. Rees (1992), in his study revealed that factors influencing the consumers 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. Results of the study conducted by Joshi (1993) in Dharwad on food purchasing habits and consumer awareness among rural and urban housewives indicated that majority of the urban respondents purchased the groceries like cereals (52.00%), pulses (64.00%), oils (73.00%), spices (72.00%) and sugar (69.00%) on monthly basis. While perishables like fruits (48.00%), eggs (41.00%) and meat (46.00%) were purchased once in week and milk (48.00%) was purchased daily. Rural respondents purchased cereals (70.00%), pulses (71.00%), oils (71.00%), spices (71.00%), sugar (71.00%) and fruits (73.00%) once in week and milk (78.00%) daily. Regarding place of purchase 83.00 per cent of urban and 99.00 per cent of rural respondents purchased all the groceries like sugar, rice, and wheat from fair price shops. Both rural and urban respondents purchased groceries (99.00% each), perishables (89.00% and 99.00% respectively), ready to use foods (97.00% and 87.00% respectively) and commercially available foods (96.00% and 6.00% respectively) from retail shops. Price, quality and weight of the products were the important factors considered by both rural and urban respondents while purchasing of food items. Ragavan (1994) reported that, quality, regular availability, price, accuracy in weighing and billing, range of vegetables and accessibility as the factors in the order of importance which had influenced purchase of vegetables by respondents from modern retail outlet. Dhillon et al. (1995), while studying the purchase behaviour in Ludhiana, rural and urban respondents ranked nearby market (mean score of 1.47 for rural and 2.10 for urban)

and main market (mean score of 0.88 for rural and 1.38 for urban) as their first and second preference of order respectively for the purchase of food items. The prime factor indicated by the rural respondents for buying their food items was appearance with mean score of 4.01, followed by price, quality and place of buying to which they ranked second, third and fourth with mean scores of 3.81, 3.45 and 2.96 respectively. But urban respondents visualized these factors little differently and ranked quality, appearance, place of buying and expiry date as first, second, third and fourth ranks with mean score of 4.69, 4.01, 3.20 and 3.05 respectively. Singh et al. (1995) examined the factors influencing consumer preferences for milk. They were milk quality, convenient, availability, supply in quantity desired, flavour, colour, freshness and mode of payment which showed higher levels of consumer satisfaction. Purchasing practices of consumers in Parbhani was studied by Kulkarni and Murali (1996). The results revealed that 83.50 per cent of consumers were seeking the information from television regarding the products availability and this was followed by neighbours (71.00%) and newspapers (69.50%). Consumers preferred retail market for the purchase of groceries (65.00%), milk and milk products (100.00%), vegetables (100.00%), fruits (100.00%) and snacks (75.00%) and they adopted cash payment. Majority (75.00%) of the consumers preferred quality for the purchase of food. Sundar (1997) revealed that, grocery department of Saravana Bava Cooperative Supermarket, Cuddalore was enjoying favorable images of consumers in the attributes, such as, equality of price, behaviour of sales persons, moving space, location, correctness of weight, packaging of goods, number of sales persons and convenient shopping hours. At the same time, the image was weak in the attributes, such as, quality of goods, availability of range of products, variety of goods, acceptance of returns, credit facility, door delivery and sales promotional measures. Amitha (1998) studied the factors influencing the consumption of selected dairy products in Bangalore city. The results of the study revealed that, income and price significantly influenced the consumption of table butter. Price had a negative impact and income a positive impact on consumption. A socio-economic influence of rural consumer behaviour studied by Sayulu and Reddy (1998), concluded that frequency of purchase of commodities by rural consumers was highly influenced by the type and nature of the products. Products like groceries (40.35%) and others which included vegetables, milk etc. (48.25%) purchased on daily basis and 33.33 per cent and 42.98 per cent of them purchased these products on weekly basis. Cash purchase was highest in case of products like groceries (44.74%) followed by credit purchase with 38.60 per cent and 21.06 per cent respectively. Price of the goods was considered to be the most important factor by more than 88.00 per cent of the respondents followed by easy availability (66.66%) and neighbours (54.00%). Kamalaveni and Nirmala (2000) reported that, there is complete agreement between ranking given by the housewives and working women regarding the reasons promoting them to buy Instant Food Products. Age, occupation, education, family size and annual income had much influence on the per capita expenditure of the Instant Food Products. Srinivasan (2000) revealed that, consumer with higher educational level was found to consume more processed products. The quantities of processed fruit and vegetable products were consumed more in high income group. The tolerance limit of price increase identified was less than 5 per cent, any price change above this limit, would result in discontinuance of the use of the processed product. Consumers preferred processed products because of convenience of ready-to-eat form. Hugar et al. (2001) carried out a study on dynamics of consumer behaviour in vegetable marketing in Dharwad city. Low income groups purchased lesser quantity (3.25 kg/week) of vegetables as compared to medium (5.40 kg/week) and high income groups (4.66 kg/week). Majority of low income group preferred to purchase vegetables from producers because of reasonable price. High and medium income families preferred stall vendors for the purchase of vegetables because of better quality and correct weighment. Prell et al. (2002) conducted a study to examine the factors influencing adolescents fish consumption in school. Fish consumption was assessed by observation on 4 occasions.

Attitudes towards the fish, friends behaviour and perceived control were important predictors of the intention to eat fish and barriers for fish consumption were a negative attitude towards both smell and accompaniments and fear of finding bones. But the eaters of fish were more satisfied with the taste, texture and appearance of the fish and rated safety significantly higher than those who resisted. They also thought to a greater extent that the fish was healthy and prepared with care. The results suggested that, it is important to alter dishes so that they appeal to children and to pay attention to the whole meal, accompaniments included. Finally it was recommended to convey the pupils that the fish served would be healthy and prepared with care. Nagaraja (2004) opined that, buying behaviour is very much influenced by experience of their own and of neighbour consumers and his family. Above all, the quality of the product and its easy availability were the primary and the vital determinants of his buying behaviour. Consumers were influenced by touch and feel aspect of any promotional activity. Shivkumar (2004) showed that the consumer, irrespective of income groups, was mainly influenced by the opinions of their family members to purchase. Consumers were also influenced by the dealers recommendation, followed by advertisement.

2.3

BRAND PREFERENCE

Gluckman (1986) studied the factors influencing consumption and preference for wine. The explicit factors identified were, the familiarity with brand name, the price of wine, quality or the mouth feel of the liquid, taste with regard to its sweetness or dryness and the suitability for all tastes. Some of the implicit factors identified through extensive questioning were colour and appearance. Most of the consumers seemed to prefer white wine to red. Consumers preferred French or German made wines to Spanish or Yugoslavian wines. 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. Shanmugsundaram (1990) studied about soft drink preference in Vellore town of North Arcot district in Tamil Nadu. The study revealed that, the most preferred soft drink among respondents as Gold spot (26.00%), followed by Limca (24.80%). It was found that the taste was the main factor for preference of particular brand and among the media; television played a vital role in influencing consumer to go for a particular brand. Because of convenience in carrying, tetra pack was most preferred one. Ali (1992) studied the brand loyalty and switching pattern of processed fruit and vegetable products in Bangalore city by using Markov Chain analysis. The result of study revealed that Kissan brand of jam and Maggi brand of ketchup had a maximum brand loyalty among consumers and less amount of brand switching occurred for these brands. 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. Padmanabhan (1999) conducted study on brand loyalty, which revealed that the price of the preferred brand, efficiency of the preferred brand and influence of advertisement significantly influenced the brand loyalty. Only when the price of a particular brand is

comparatively low, the farmers would naturally prefer to low priced brand. Otherwise farmers would naturally continue to purchase the same brand. Low and Lamb Jr. (2000) came out with an interesting conclusion that well known brands tend to exhibit multi-dimensional brand associations, consistent with the idea that consumers have more developed memory structures for more familiar brands. Consumers might be willing to expend more energy in processing information regarding familiar brands compared to unfamiliar brands. Kamenidou (2002) presented the findings on the purchasing and consumption behaviour of Greek households towards three processed peach products: canned peaches in syrup, juice and peach jam. The results revealed that 47.50 per cent of the households purchased canned peaches in syrup, 67.40 per cent purchased peach juice and 42.60 per cent purchased peach jam. Reasons for such purchase were satisfactory taste and qualities and households perception that they were healthy products. The results also indicated that the consumption quantities were considered low, while households usually purchased the same brand name, meaning that there was a tendency for brand loyalty. Sampathkumar (2003) studied about brand preference in soft drinks in Telangana region of Andra Pradesh. He found that in rural market about 37.50 per cent of consumers preferred Thumbs-up (urban 30%), followed by Coca cola (28.50%) (urban 37.50%), Pepsi 12.50 per cent (urban 9.00%), Limca (4.00%) (urban 8.50%). Most of the urban consumers (67.00%) purchased soft drinks in nearest Kirani stores (rural 73.00%), followed by super bazaar (27.00%) (rural 26.00%) and others (6.00%) (rural 1.00%). The method of physical distribution played very vital role in companys success and failure in the market. Transportation was among the major functions of physical distribution. Transport adds time and place utility for the product. Kim-Hyunah et al. (2005) analyzed the relationship among brand equity factors (brand awareness, brand image, brand preference and brand loyalty) and suggested a strategy for brand management in contract food service management companies. He concluded that brand awareness has positive effect on brand image and brand preference and recommended that the contract food service companies should focus on improving brand awareness as a brand strategy. In addition, brand preference and brand image had significant positive effects on brand loyalty. Thus, the companies should strive to strengthen brand loyalty through building brand preference and brand image. Brand loyalty promoted more customer visits, which was directly related to profitability of contract food service management companies, the authors concluded. Kubendran and Vanniarajan (2005) studied that, the change in consumption pattern was due to changes in food habits. If income and urbanization increase among consumers, the percentage of income spent on consumption increased. The urban consumers preferred mostly branded products compared to rural consumers. The most significant factors influencing buying decisions were accessibility, quality, regular supply, door delivery and the mode of payment. Narang (2006) opined that, a buyer does not stick to one brand in case of food purchasing. They should be able recall different brand names when they go for purchase. Repititive advertising can be used to promote brand recall. The product should be associated with style and trend, so that it appeals to the youth and the brand name should be developed as a fashion statement. Promotional schemes such as discounts and free offers with purchase were suggested to increase rates. Vincent (2006) studied brand consciousness among children. The study showed that children start to recognize product brands at an early age, which influence family buying behaviuor. It was helpful for parents in making purchase decision of durable goods for the family.

2.4

FACTORS INFLUENCING BRAND PREFERENCE

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. Ashalatha (1998) studied the factors influencing the performance of BAMUL milk for a sample of 100 respondents. The study revealed that the factors such as door delivery, clean packing, quality, hygienic preparation, time saving and reliability, good value for money, freshness and desired flavour were important in the order in influencing the decision of buyers for BAMUL milk. The study undertaken by Sheeja (1998) in Coimbatore district considered the quality aspects like aroma, taste, freshness and purity as the major factors deciding the preference for a particular brand of processed spices. Raj Reddy and Pruthviraju (1999) studied about buying motives of rural consumers about seeds and different sources of information about brands with regard to seeds. It was found that factors influencing brand loyalty of farmers were dealers suggestions, quality product and co-farmers. The problems faced by farmers were supply of seed or poor quality seed, higher price, adulteration and irregular supply of seeds. Gaur and Waheed (2002) conducted a study on buying behaviour for branded fine rice in Chennai and Coimbatore city. The study indicated that retailers were ranked as the prime source of information and the family members as the next important source of information about the branded fine rice. Rice mandy formed the major source of purchase for Chennai (73.00%) and Coimbatore (70.00%) households. Quality and image of the brand were ranked as first and second factors influencing brand preference in both Chennai and Coimbatore cities. Sanjaya et al. (2002) reported that, the decision for purchasing branded fine rice was mostly made by the wives of the family. The retailers were ranked as the prime sources of information about branded fine rice. The monthly purchase was the most preferred frequency of purchase, which might be due to the fact that most of the respondents were of monthly salaried class and they would have planned their purchase accordingly along with other provision items. The quality and the image of the brand were ranked as the major factors for brand preference in the purchase of branded fine rice. In a study conducted by Sarwade (2002) it has been observed that the price was the factor, which influenced the purchasing decision as against the quality of the product. It is very interesting to find out that the company image and brand image were not totally considered by the households. Nandagopal and Chinnaiyan (2003) conducted a study on brand preference of soft drinks in rural Tamil Nadu, using Garrets ranking technique, to rank factors influencing the soft drinks preferred by rural consumer. They found that, the product quality was ranked as first, followed by retail price. Good quality and availability were the main factors, which influenced the rural consumers of a particular brand of a product. Kubendran and Vanniarajan (2005) founded that, the change in consumption pattern is due to changes in food habits. If income and urbanization increase among consumers, the percentage of income spent on consumption increases. The urban consumers prefer mostly branded products compared to rural consumers. The most significant factors influencing buying decisions were acceptability, quality, regular supply, door delivery and the mode of payment. Ramasamy et al. (2005) studied consumer behaviour towards instant food products in Madurai, the second largest city in Tamil Nadu and observed that 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 (78.00%) laid emphasis on quality and 76.00 per cent on price which was an important factor, while 64.00 per cent of the respondents attached importance to the image of the manufacturer and 50.00 per cent considered packaging as an important factor and an equal percentage (50.00%) felt longer shelf life influenced them. Banumathy and Hemameena (2006), while studying consumer brand preference with respect to soft drinks, found that after globalization most of the consumers like the

international brands such as Pepsi and Coco-cola. Consumers preferred a certain brand or a particular drink mainly because of its taste and refreshing ability. Vincent (2006) elicited that quality was an important factor that draws consumer towards branded products. Branded products were accepted as good quality products. People do not mind paying extra for branded products, as they get value for money. Media is a key constituent in promoting and influencing brand. A childs insistence affects familys buying behaviour. Children are highly aware and conscious of branded items. Although unbranded products sometimes give same satisfaction as branded products, customers would still prefer to purchase a branded product.

2.5

ALTERNATIVE PURCHASE PLANS

Rajarashmi and Sudarsana (2004) revealed that, almost all sample respondents preferred branded products and if their favorite brand is not available in the retail shop, they will go for another store and purchase their favorite brand. If it is not available in the market, the respondents were ready to postpone their purchase decision. Anandan et al. (2007) studied that, majority of the respondents (54.00%) will buy another brand if preferred brand is not available, 18.00 per cent of the respondents will go to the nearby town for buying the preferred brand. Fifteen per cent of the respondents will postpone their purchase decision. It was revealed from the study that customers cannot postpone the decision of buying the detergents, as it was one of the essential commodities.

3. METHODOLOGY
The present study was undertaken to know the awareness of consumers towards branded ready-to-eat food products, purchase behaviour of ready-to-eat food products, brand preference of the consumers, factors influencing brand preference and to study the alternative purchase plans of the consumers. This chapter covers the following aspects: 3.1 3.2 3.3 Description of study area Sampling design and data collection Analytical tools employed in the study

3.1

DESCRIPTION OF STUDY AREA

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.

3.2

SAMPLING DESIGN AND DATA COLLECTION

3.2.1 Selection of ready- to- eat food products


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 products selected for the study were as follows: Cereal based Biscuits Fruit based Fruit juices Vegetable based Chips Milk & milk products based Ice creams

3.2.2 Sample selection


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. Classification of the respondents The respondents were classified into different categories based on age. Age Age Group 1 (AG1) Age Group 2 (AG2) Age Group 3 (AG3) Below 20 years Between 21 40 years Between 41 60 years

Age Group 4 (AG4) Above 60 years Income The respondents were post classified into three income groups based on their income by using the formula:

Mean 0.425 x S.D. Low income Below Rs. 8615.70 per month. Middle income Between Rs. 8615.70 to Rs. 13,638.30 per month. High income Above Rs. 13,638.30 per month. Collection of data To study the objectives, required data were collected from primary as well as secondary sources. 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. : Specific information included the information regarding purchase behaviour, factors influencing the purchase of ready- to- eat food products, brand awareness, sources of information for brand awareness, frequency of purchase, nature of purchase decision, place of purchase, influencers of purchase decision, brand preference, factors influencing to prefer particular brand and alternative purchase plans of the consumers.

Part II

Secondary data The secondary data on location, demography and regarding population of the study area were collected from District Statistical Office and published sources.

3.3

ANALYTICAL TOOLS USED

The data collected for the study was processed and analyzed by using suitable statistical techniques. Frequency, percentage, mean, standard deviation and Garrets ranking techniques were used to present the collected data. A detailed description of the analytical tools employed in the study is presented below.

3.3.1 Tabular Analysis


Percentage analysis was used to study the socio economic characteristics like age, education, occupation, family size, family type, consumer awareness towards branded readyto- eat food products, sources of information for brand awareness, frequency of purchase, nature of purchase decision, place of purchase, influencers of purchase decision and alternative purchase plans of the consumers.

3.3.2 Garretts Ranking Technique


Garretts ranking technique was adopted for the studying brand preferences and factors influencing for preference of a particular brand. In the first stage: ranking given by 200 respondents for each factor was analyzed. Eg: Rank given by the respondents Respondent No. 1 2 3 Factors 1 3 3 2 5 2 6 3 1 7 4 2 8 5 9 10 6 10 10 7 6 8 4 2 9 4 1 1 10 3 11 8 7 12 8 9 13 9 14 7 5 5 15 6 4

In the second stage: Thus assigned ranks by the individual respondents were counted into percent position value by using the formula. Per cent position = 100 (Rij 0.5)/Nj. Where, Rij stands for rank given for the i factor by the j 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 No. 1 1 2 45 3 5 4 15 5 85 6 95 7 Factors
th th

8 -

9 35

10 25

11 -

12 75

13 -

14 65

15 55

2 3

25 25

15 55

65 -

75

95 -

95

55 -

35 15

5 5

75 65

85

85 -

45 45

35

Stage III For each per cent position scores were obtained with reference to Garretts tables and each per cent position value was converted into scores by reference to Garretts Table. Eg: Garretts table scores for the per cent position values as follows Respondent No. 1 1 2 52 3 82 4 70 5 30 6 18 7 Factors

8 -

9 57

10 63

11 -

12 37

13 -

14 42

15 47

2 3

63 63

70 47

42 -

37

18 -

18

47 -

57 70

82 82

37 42

30

30 -

52 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 No. 1 2 3 Factors 1 63 63 126 2 52 70 47 169 3 82 42 124 4 70 37 107 5 30 18 48 6 18 18 36 7 47 47 8 57 70 127 9 57 82 82 221 10 63 63 11 37 42 79 12 37 30 67 13 30 30 14 42 52 52 196 15 47 57 104

In the fifth stage Mean scores were calculated by dividing the total score by the number of respondents. Respondent No. 1 1 2 3 Mean 63 63 126 63 2 52 70 47 169 56.33 3 82 42 124 62 4 70 37 107 53.50 5 30 18 48 24 6 18 18 36 18 7 47 47 47 Factors

8 57 70 127 63.50

9 57 82 82 221 73.66

10 63 63 63

11 37 42 79 39

12 37 30 67 33.50

13 30 30 30

14 42 52 52 196 65.33

15 47 57 104 52

In the last stage Overall ranking was obtained by assigning ranks 1, 2, 3 . etc. in the descending order of the mean score. Respondent No. 1 1 2 3 Mean Ranks 63 63 63 IV 2 52 70 47 56.33 VI 3 82 42 62 V 4 70 37 53.50 VII 5 30 18 24 XIII 6 18 18 18 XIV 7 47 47 IX Factors

8 57 70 63.50 III

9 57 82 82 73.66 I

10 63 63 IV

11 37 42 39 X

12 37 30 33.50 XI

13 30 30 XII

14 42 52 52 65.33 II

15 47 57 52 VIII

4. RESULTS
The results of the study are presented under the following headings. 4.1 4.2 4.3 4.4 4.5 Awareness of consumers towards branded ready-to-eat food products. Purchase behaviour of consumers towards ready-to-eat food products. Brand preference of the consumers. Factors influencing brand preference. Alternative purchase plans of the consumers.

4.1

AWARENESS OF CONSUMERS TOWARDS BRANDED READY-TOEAT FOOD PRODUCTS

To know the awareness, it is necessary to study socio-economic characteristics of the consumers, as these are the important variables, which decide the consumption pattern of food products in the family. Generally it is believed that, as the income, age and education of the consumers increase, the expenditure on consumption of food products also increases. Hence, the consumers socio-economic characteristics were studied and the results are presented hereunder.

4.1.1 General information about the selected samples


Table 4.1 presents the general information of selected samples in Hubli and Dharwad cities. It could be seen from the table that the maximum number of respondents i.e., 55.00 per cent of them belonged to the age group 2 (21-40 years). Thirty two per cent of them were below 20 years i.e., they belonged to the AG1 and 9 per cent of them were between the age of 41 to 60 years (AG3). Very few per cent of the respondents were above 60 years (4.00%) and they belonged to the age group 4. Among the total respondents 61.00 per cent of them were female and remaining 39.00 per cent of them were male. Maximum number of the selected respondents were degree holders (44.00%), 30.00 per cent of them were of PUC level, 14.00 per cent of the respondents were post graduates and 10.00 per cent of them were of high school level. Very less percentage of the respondents were of primary school level (2.00%). It was also observed from the table that none of the respondents were illiterates. Most of the respondents belonged to nuclear families (89.00%) and remaining 11.00 per cent of them were living in joint families. Maximum number of respondents (44.00%) belonged to the medium family size of 57 members. This was followed by family size of less than 5 members (41.00%) i.e., small family and 15.00 per cent of them belonged to large family (more than 7 members). Among the selected samples 73.00 per cent of them were vegetarians and remaining 27.00 per cent were non-vegetarians. Most of the respondents (40.00%) belonged to low income group (<Rs. 8615.70/month), 34.00 per cent of them belonged to middle income group (Rs. 8715.70 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) General information Categories Below 20 years (AG1) Age 21-40 years (AG2) 41-60 years (AG3) >60 years (AG4) Male Sex Female Illiterate Primary school Education High school PUC Degree PG Joint Family type Nuclear Small (below 5) Family size Medium ( 5-7) Large (more than 7) Food habit Vegetarian Non - vegetarian Low (< Rs. 8615.70) Monthly income (Rs) Middle (Rs. 8615.70 13638.30) High (> Rs. 13638.30) Student House wife Occupation Business Government employee Private 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) No. of respondents 64 110 18 8 78 122 4 20 60 88 28 22 178 82 88 30 146 54 80 68 52 136 18 6 24 16 Percentage 32.00 55.00 9.00 4.00 39.00 61.00 2.00 10.00 30.00 44.00 14.00 11.00 89.00 41.00 44.00 15.00 73.00 27.00 40.00 34.00 26.00 68.00 9.00 3.00 12.00 8.00

4.1.2 Brand awareness of consumers about biscuits among different age groups
Table 4.2 presents the brand awareness of consumers about biscuits among different age groups which is also represented in Fig. 1. Majority of the respondents (99.00%) were aware of Parle-G brand followed by Marie gold biscuits (97.00%), 96.00 per cent each were conscious of Tiger biscuits, Good day and Krack jack, 81.00 per cent of the respondents knew Glucose brand. Britannia 50-50 and Hide and seek brands were very popular among 80.00 per cent each of the respondents, 78.00 per cent, 70.00 per cent, 64.00 per cent, 62.00 per cent and 56.00 per cent of the respondents knew Parle Monaco, Britannia little hearts, Sunfeast glucose, Sunfeast snacky and Britannia Time pass brands respectively. Only a small percentage of the respondents were familiar with Chocolate chip cookies (43.00%). 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
Brand awareness of consumers about chips among different age groups is depicted in Table 4.3 and Fig.2. Most of the respondents were aware of Lays (96.00%), Uncle chips (83.00%), Bingo (67.00%), Haldiram chips (63.00%), Lehar (50.00%), Lip chips (35.00%) brands and less percentage of the respondents knew Diamond chips (32.00%) brand. 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. 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
Brand awareness of consumers about ice creams among different age groups is presented in Table 4.5 and Fig. 4. It could be seen from the table that majority of the respondents were aware of Amul brand (99.00%), followed by Arun, MTR and Nandini (66.00% each), 62.00 per cent were aware of Kwality walls, Vadilal (56.00%), Dairy day (49.00%), Hangya (39.00%) and 25.00 per cent of them were conscious of Dinshaws brand. All the respondents of AG1, AG2 and AG4 were aware of Amul brand. About 68.75 per cent each were aware of Arun and Nandini brands, MTR and Vadilal brands were known to 56.25 per cent each of the respondents, 50.00 per cent each of them were aware of Kwality walls and Dairy day brands. Hangya and Dinshaws brands were known to 40.62 per cent and 25.00 per cent respectively. In case of AG2, 72.72 per cent each were conscious of MTR and Kwality walls brands. More than half of the respondents were familiar with Arun, Nandini and Vadilal barnds. Only 21.81 per cent of the respondents knew Dinshaws brand. Among AG3, majority of the respondents were aware of Amul and MTR brands (88.88% each) followed by Nandini (77.77%), Arun, Kwality walls, Vadilal, Dairy day and Dinshaws brands were familiar among more than half of the respondents. Only 44.44 per cent of the respondents of AG3 were conscious of Hangya brand. In case of AG4, Arun, Vadilal and Dairy day brands were known to 25.00 per cent each of respondents and none of them were aware of MTR, Nandini, Kwality walls, Hangya and Dinshaws brands.

4.1.6 Influence of media to create awareness about the brands


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 (n=64) Parle G Tiger biscuits Marie gold Britannia 50-50 Sunfeast snacky Sunfeast glucose Good day Krack jack Hide & seek Glucose Chocolate chip cookies Britannia Time pass Parle Monaco Britannia little hearts 64 (100.00) 62 (96.87) 62 (96.87) 42 (65.62) 42 (65.62) 46 (71.87) 64 (100.00) 64 (100.00) 50 (78.12) 54 (84.37) 34 (53.12) 34 (53.12) 48(75.00) 40(62.50) AG2 (n = 110) 108 (98.18) 106 (96.36) 106 (96.36) 100 (90.90) 72 (65.45) 72 (65.45) 108 (98.18) 106 (96.36) 94 (85.45) 84 (76.36) 44 (40.00) 66 (60.00) 92 (83.63) 88 (80.00) AG3 (n = 18) 18 (100.00) 16 (88.88) 18 (100.00) 14 (77.77) 10 (55.55) 10 (55.55) 16 (88.88) 16 (88.88) 14 (77.77) 16 (88.88) 8 (44.44) 12 (66.66) 14 (77.77) 12 (66.66) AG4 (n = 8) 8 (100.00) 8 (100.00) 8 (100.00) 4 (50.00) 4 (50.00) 6 (75.00) 2 (25.00) 8 (100.00) 2(25.00) Overall (N=200) 198 (99.00) 192 (96.00) 194 (97.00) 160 (80.00) 124 (62.00) 128 (64.00) 192 (96.00) 192 (96.00) 160 (80.00) 162 (81.00) 86 (43.00) 112 (56.00) 156 (78.00) 140 (70.00)

Note : Figures in parentheses indicate the percentage to the total number of respondents in the category.

99
100 90 80 70

96

97 80

96

96 80 81 78 70

62

64 56 43

Percentages

60 50 40 30 20 10 0
rle Pa G T is rb ige its cu M ie ar ld go Br 0 -5 50 y k y e ek ck ac da os se d kj na uc l o & s g o ac t e r t s G d s K i ea H ea nf nf Su Su

ia nn ita

Brands

e ts co ss ies os ar na pa ok uc he e co Mo Gl le im t p t i e T i l rl ch ia ia Pa te nn nn it a o la it a r r c B B ho

Fig. 1. Brand awareness about biscuits among consumers (overall)

Fig. 1. Brand awareness about biscuits among consumers (overall)

Table 4.3. Brand awareness of consumers about chips among different age groups

Age group Brands AG1 (n=64) 60 (93.75) 38 (59.37) 64 (100.00) 38 (59.37) 28 (43.75) 22 (34.37) 32 (50.00) AG2 (n = 110) 88 (80.00) 80 (72.72) 106 (96.36) 78 (70.90) 40 (36.36) 40 (36.36) 58 (52.72) AG3 (n = 18) 14 (77.77) 14 (77.77) 16 (88.88) 10 (55.55) 2 (11.11) 2 (11.11) 10 (55.55) AG4 (n = 8) 4 (50.00) 2 (25.00) 6 (75.00) Overall (N=200) 166 (83.00) 134 (67.00) 192 (96.00) 126 (63.00) 70 (35.00) 64 (32.00) 100 (50.00)

Uncle chips

Bingo

Lays

Haldiram chips

Lip chips

Dimond chips

Lehar

Note : Figures in parentheses indicate the percentage to the total number of respondents in the category.

96
100 90 80 70 60 50

83

67 63

Perentages

50

35
40 30 20 10 0

32

Uncle chips

Bingo

Lays

Haldiram chips Brands

Lip chips

Diamond chips

Lehar

Fig. 2. Brand awareness about chips among consumers (overall)

Fig. 2. Brand awareness about chips among consumers (overall)

Table 4.4. Brand awareness of consumers about fruit juice among different age groups

Age group Brands AG1 (n=64) 40 (62.50) 64 (100.00) 50 (78.12) 62 (96.87) 30 (46.87) 32 (50.00) 62 (96.87) AG2 (n = 110) 70 (63.63) 104 (94.54) 92 (83.63) 104 (94.54) 54 (49.09) 76 (69.09) 94 (85.45) AG3 (n = 18) 14 (77.77) 16 (88.88) 10 (55.55) 18 (100.00) 4 (22.22) 8 (44.44) 16 (88.88) AG4 (n = 8) Overall (N=200) 124 (62.00) 192 (96.00) 152 (76.00) 186 (93.00) 88 (44.00) 116 (58.00) 174 (87.00)

Real fresh

Frooti

8 (100.00)

Appy

Maaza

2 (25.00)

Tropicana twister

Pulpy orange

Slice

2 (25.00)

Note : Figures in parentheses indicate the percentage to the total number of respondents in the category.

96
100 90

93 87 76

80 70

62 58

Percentages

60

44
50 40 30 20 10 0

Real fresh

Frooti

Appy

Maaza

Tropicana twister

Pulpy orange

Slice

Brands

Fig. 3. Brand awareness about fruit juice among consumers (overall)

Fig. 3. Brand awareness about fruit juice among consumers (overall)

Table 4.5. Brand awareness of consumers about ice creams among different age groups

Age group Brands AG1 (n=64) Amul 64 (100.00) 44 (68.75) 36 (56.25) 44 (68.75) 32 (50.00) 26 (40.62) 36 (56.25) 32 (50.00) 16 (25.00) AG2 (n = 110) 110 (100.00) 76 (69.09) 80 (72.72) 74 (67.27) 80 (72.72) 44 (40.00) 62 (56.36) 54 (49.09) 24 (21.81) AG3 (n = 18) 16 (88.88) 10 (55.55) 16 (88.88) 14 (77.77) 12 (66.66) 8 (44.44) 12 (66.66) 10 (55.55) 10 (55.55) AG4 (n = 8) 8 (100.00) 2 (25.00) Overall (N=200) 198 (99.00) 132 (66.00) 132 (66.00) 132 (66.00) 124 (62.00) 78 (39.00) 112 (56.00) 98 (49.00) 50 (25.00)

Arun

MTR

Nandini

Kwality walls

Hangya

2 (25.00) 2 (25.00) -

Vadilal

Dairy day

Dinshaws

Note : Figures in parentheses indicate the percentage to the total number of respondents in the category.

99
100 90 80

66
70 60 50 40 30 20 10 0

66

66

62 56 49 39

Percentages

25

Amul

Arun

MTR

Nandini

Kwality walls
Brands

Hangya

Vadilal

Dairy day

Dinshaws

Fig. 4. Brand awareness about ice creams among consumers (overall)

Fig. 4. Brand awareness about ice creams among consumers (overall)

Table 4.6. Influence of media to create awareness about the brands (N = 200) Products Source Biscuits Television Radio Newspapers Magazines Friends/relatives Shopkeeper/retailer Window display 184 (92.00) 40 (20.00) 132 (66.00) 78 (39.00) 102(51.00) 96(48.00) 86(43.00) Chips 186(93.00) 20(10.00) 114(57.00) 64(32.00) 124(62.00) 82(41.00) 68(34.00) Fruit juice 172(86.00) 26(13.00) 112(56.00) 76(38.00) 118(59.00) 74(37.00) 68(34.00) Ice creams 162(81.00) 24(12.00) 124(62.00) 80(40.00) 128(64.00) 88(44.00) 66(33.00) 704 (26.13) 110 (4.08) 482 (17.89) 298 (11.06) 472 (17.52) 340 (12.62) 288 (10.69) Total = 2694 (100.00) Overall

Note : Figures in the parentheses indicate percentage to the total sample size.

4.2

PURCHASE BEHAVIOUR OF CONSUMERS

4.2.1 Buyers and non-buyers of ready-to-eat food products


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.

4.2.2 Reasons for purchasing ready-to-eat food products


An attempt was made to elicit the factors considered by the respondents for purchase of ready-to-eat food products in Hubli and Dharwad cities. 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%). The other reasons for the purchase of biscuits were taste, satisfaction, easy availability in the shops, save time of preparation and influence of friends/relatives (46.00%, 43.00%, 39.00%, 23.00% and 15.00% respectively). Taste was the main reason for purchasing chips (80.43%). The other factors considered while purchasing chips were convenience to use as snacks (64.13%), satisfaction (52.17%), ready availability (46.73%), save time of preparation (39.13%), influence of friends/relatives (36.95%), liking of the family members (31.52%) and easy availability in the shops (26.08%). Only a meagre percentage of the respondents said other reasons (1.08%) like habit of eating and time pass. Fruit juice was consumed mainly because of taste (59.13%) followed by ready availability (55.91%), save time of preparation (49.46%), satisfaction (47.31%), influence of friends or relatives (44.08%), liking of the family members (36.55%), convenience to use (26.88%) and easy availability in the shops (15.05%). Only 9.67 per cent of the respondents said they consume fruit juice because of its nutritive value and good for health. In case of ice creams, 61.70 per cent of the respondents consume because of its taste, 55.31, 44.68, 39.36, 34.04, 27.65, 25.53 and 13.82 per cent of the respondents opined that satisfaction, influence of friends/relatives, liking by the family members, ready availability, save time of preparation, easy availability in the shops and convenience to use respectively were the factors responsible for purchasing ice creams.

4.2.3 Reasons for not purchasing ready-to-eat food products


Reasons for not purchasing ready-to-eat food products, as opined by the respondents are presented in Table 4.9. It was revealed from the table that, there was no reason for the respondents for not purchasing biscuits. That is the researcher could not find anybody who disliked the product. Cent per cent of the respondents did not purchase chips since they were health conscious. About 62.50 per cent of the respondents did not purchase due to low quality of the product. The other reasons for not consuming chips were dislike towards the product and high price (50.00% each). In the case of fruit juice majority of the respondents (85.71%) were not purchasing this product because they preferred home made products. The other reasons for not purchasing fruit juice were high price (71.42%), dislike towards the product (42.85%) and 28.57 per cent of them did not purchase because of its low quality. In case of ice creams cent per cent of the respondents did not purchase because they disliked the product, 66.66 per cent of them were not using this product because they were health conscious and 33.33 per cent of the respondents quoted other reason like allergy to cold.

High price and low quality were the reasons for not consuming ice creams by 16.66 per cent each of the respondents.

4.2.4 Monthly expenditure of households on food items


The monthly average expenditure of the households is presented in Table 4.10 and Fig.6. It could be seen from the table that the households monthly expenditure increased with increase in monthly income. The average monthly expenditure 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). On an average Hubli and Dharwad consumers spend Rs. 301.10 per month on ready-to-eat food products which was around 14.00 per cent of their monthly consumption expenditure. Similar trend was noticed with respect to other food items like cereals, pulses, fats and oils, fruits and vegetables and milk and milk products. With respect to total monthly expenditure, it was Rs. 2747.60 in high income group, Rs. 2331.35 in middle income group and Rs. 1566.00 in low income group. 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-toeat food products.

4.2.5 Monthly expenditure of households on ready-to-eat food products


The monthly average expenditure of households on ready-to-eat food products is presented in Table 4.11 and Fig.7. The average monthly expenditure on biscuits was found to be highest in case of high income group (Rs. 128.38) 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 about Rs. 85.86 on biscuits, Rs.41.75 on chips, Rs. 57.80 on fruit juice and Rs. 58.70 on ice creams monthly. The analysis of expenditure on ready-to-eat food products revealed that, on an average the consumers of Hubli-Dharwad spend maximum on biscuits (35.17%) followed by ice creams (24.04%), fruit juice (23.67%) and chips (17.10%) out of their monthly expenditure on ready-to-eat food products. Among the income groups studied, high income group spend the maximum on biscuits (35.51%) followed by ice creams (26.44%), fruit juices (22.55%) and chips (15.48%) out of their total consumption on ready-to-eat food products. While middle income group after spending maximum on biscuits (34.45%), next they preferred fruit juice (25.71%), ice creams (20.70%) and least was on chips (19.11%). The expenditure of low income group followed the pattern of high income group in the order of their spending on ready-to-eat food products.

4.2.6 Frequency and place of purchase


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. In case of fruit juice, maximum of the respondents purchased from bakeries (50.87%) and least per cent of the respondents purchased from retail outlets (22.80%). This was followed by once in a week purchase from bakeries (53.84%), retail outlets (30.76%), departmental stores (23.07%) and least per cent of the respondents purchased from ice parlors (15.38%). Ice creams were mostly purchased in ice parlour (96.72%), when ever

needed. Thirteen per cent of the respondents bought ice creams from bakeries. Very few of them purchased from retail outlets (4.91%) and departmental stores (3.27%). This was followed by once in a week purchase from ice parlors (94.11%), bakeries (23.52%), retail outlets (17.64%) and 11.76 per cent of them purchased from departmental stores.

4.2.7 Nature of purchase decision


Nature of purchase decision among different age groups is presented in Table 4.13. In case of biscuits, among the first two age groups, maximum of the respondents did a planned purchase (71.87% and 61.81% respectively) and only 28.12 per cent and 38.18 per cent of first and second age groups respectively did impulsive buying. But in case of AG3, 55.55 per cent of them did impulsive buying followed by only 44.44 per cent of them went for planned purchase. In the last group, all the respondents planned and purchased biscuits and none of them opted for impulsive buying. Overall, 65.00 per cent of them did planned purchase and only 35.00 per cent of them did go for impulsive buying for biscuits. About 73.91 per cent of the chips buyers did impulsive buying and remaining 26.08 per cent of them did go for planned purchases. Among the first three age groups, majority of the respondents did go for impulsive buying (68.75%, 74.07% and 100.00% of the respondents of AG1, AG2 and AG3 respectively). About 31.25 per cent 25.92 per cent of the respondents of AG1 and AG2 did planned purchase and none of the respondents of AG3 did planned purchase. 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.

4.2.8 Influence of income on purchase decisions on ready-to-eat food products


Table 4.14 shows the influence of income on purchase decisions on ready-to-eat food products. It could be noticed from the table that majority of the respondents took self decision while purchasing biscuits (77.50%, 58.82% and 61.53% of low, middle and high income groups respectively), chips (58.66%, 74.19% and 59.57% respectively) and fruit juice (57.14%, 75.57% and 72.00% respectively). This was followed by childrens and parents influence in low and other two income groups respectively (52.00%, 51.47% and 38.46%). In case of chips, next to self decision, friends influenced during the purchase in low and high income groups (34.66% and 42.55% respectively) and childrens influence was 48.38 per cent in the medium income group. The purchase of juice was influenced by friends and parents in low and other two income groups respectively (41.55, 54.23% and 52.00%). In case of ice creams majority of the respondents of low (66.00%) and high income groups (72.00%) took self decision. In the same income groups, children and friends influence the purchase of icecreams next to self decision (42.85% and 56.00%). However in case of medium income group, friends influence the most (55.88%) followed by self decision (44.11%).

4.2.9 Influence / Impact of education to make purchase decision on ready-to-eat food products
Table 4.15 depicts the influence/impact of education to make purchase decision on ready-to-eat food products. It could be seen from the table that majority of the respondents of the education levels of primary school (100.00%), high school (100.00%) and PUC level (73.33%), were influenced by parents while purchasing biscuits. Most of the respondents of degree holders and post graduates took their own decision while purchasing biscuits (97.72% and 62.28% respectively).

Table 4.7. Buyers and non-buyers of ready-to-eat food products (N= 200) Non-buyers -

Products

Age group AG1 (n= 64) AG2 (n= 110)

Buyers 64 (100.00) 110 (100.00) 18 (100.00) 8 (100.00) 200 (100.00) 64 (100.00) 108 (98.18) 12 (66.66) 184 (92.00) 64 (100.00) 106 (96.36) 16 (88.88) 186 (93.00) 62 (96.87) 108 (98.18) 18 (100.00) 188 (94.00)

Biscuits

AG3 (n= 18) AG4 (n= 8) Total (N = 200) AG1 (n= 64) AG2 (n= 110)

2 (1.81) 6 (33.33) 8 (100.00) 16 (8.00) 4 (3.63) 2 (11.11) 8 (100.00) 14 (7.00) 2 (3.12) 2 (1.81) 8 (100.00) 12 (6.00)

Chips

AG3 (n= 18) AG4 (n= 8) Total (N = 200) AG1 (n= 64) AG2 (n= 110)

Fruit juice

AG3 (n= 18) AG4 (n= 8) Total (N = 200) AG1 (n= 64) AG2 (n= 110)

Ice creams

AG3 (n= 18) AG4 (n= 8) Total (N = 200)

Note : Figures in the parentheses indicate percentage to the total number of respondents in each age group.

Television Magazines Window display


10.69

Radio Friends/relatives

Newspapers Shopkeeper/retailer

26.13 12.62

4.08 17.52 17.89 11.06

Fig.5. Influence of media to create awareness about the brands

Fig.5. Influence of media to create awareness about the brands

Table 4.8. Reasons for purchasing ready-to-eat food products by consumers of Hubli Dharwad Products Reasons Biscuits (n=200) Readily available 106 (53.00) 92 (46.00) 120 (60.00) 30 (15.00) 78 (39.00) 130 (65.00) 86 (43.00) 46 (23.00) Chips (n=184) 86 (46.73) 148 (80.43) 58 (31.52) 68 (36.95) 48 (26.08) 118 (64.13) 96 (52.17) 72 (39.13) 2 (1.08) Fruit juice (n=186) 104 (55.91) 110 (59.13) 68 (36.55) 82 (44.08) 28 (15.05) 50 (26.88) 88 (47.31) 92 (49.46) 18 (9.67) Ice creams (n=188) 64 (34.04) 116 (61.70) 74 (39.36) 84 (44.68) 48 (25.53) 26 (13.82) 104 (55.31) 52 (27.65) -

Taste

Liked by the family members

Influence of friends or relatives

Easily available in the shops

Convenient to use for snacks

Satisfaction

Save time of preparation

Any other

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 Reasons Biscuits (n=0) Lack of awareness of products available in the market Dislike the product Chips (n=16) 8 (50.00) 8 (50.00) 10 (62.50) 16 (100.00) Fruit juice (n=14) 6 (42.85) 10 (71.42) 4 (28.57) 12 (85.71) Ice creams (n=12) 12 (100.00) 2 (16.66) 2 (16.66) 8 (66.66) 4 (33.33)

High price

Low quality Not available in the shops Health conscious

Any other

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) Items Low income 283.15 Cereals Pulses (18.08) 241.50 (15.42) 244.25 Fats and oils Fruits and vegetables Milk and milk products Readyto-eat food products Total (15.59) 261.25 (16.68) 311.25 (19.87) 224.00 (14.30) 1566.00 (100.00) Note : Figures in parentheses indicate the percentage Income group Middle income 541.47 (22.22) 327.94 (14.06) 314.70 (13.49) 394.11 (16.90) 545.61 (23.40) 298.52 (12.80) 2331.35 (100.00) High income 588.46 (21.41) 398.07 (14.48) 398.46 (14.50) 423.07 (15.39) 516.17 (18.78) 423.07 (15.39) 2747.60 (100.00) 450.60 (21.12) 311.60 (14.61) 308.30 (14.45) 348.50 (16.34) 418.30 (19.61) 301.10 (14.11) 2133.30 (100.00) Average

Cereals Fats and oils Milk and milk products


14.11

Pulses Fruits and vegetables Ready to eat food producs


21.12

19.61

14.61

16.34

14.45

Fig. 6. Monthly expenditure of households on food items

Fig. 6. Monthly expenditure of households on food items

Table 4.11. Monthly expenditure of households on ready-to-eat food products (Rs./month) Items Low income Biscuits 60.70 (35.77) Chips 28.87 (17.01) Fruit juice 38.87 (22.91) 41.25 Ice creams Total (24.31) 169.69 (100.00) Note : Figures in parentheses indicate the percentage Income group Average Middle income 82.94 (34.45) 46.02 (19.11) 61.91 (25.71) 49.85 (20.70) 240.72 (100.00) High income 128.38 (35.51) 55.96 (15.48) 8153 (22.55) 95.57 (26.44) 361.44 (100.00) 85.86 (35.17) 41.75 (17.10) 57.80 (23.67) 58.70 (24.04) 244.11 (100.00)

Biscuits

Chips

Fruit juice

Ice creams

24.04 35.17

23.67 17.1

Fig. 7. Monthly expenditure of households on ready-to-eat food products

Fig. 7. Monthly expenditure of households on ready-to-eat food products

Table 4.12. Frequency and place of purchase by the respondents


Daily (n = 28) R Biscuits (n = 200) 22 (78.57) 6 (21.42) 16 (57.14) 28 (41.17) 48 (70.58) 48 (70.58) 28 (42.42) 42 (63.63) 38 (57.57) 6 (50.00) 6 (50.00) 20 (76.92) 24 (92.30) 20 (76.92) D B I R Twice in a week (n = 68) D B I R Once in a week (n = 66) D B I R Fortnightly (n = 12) D B I R Whenever needed (n = 26) D B I

Daily (n = 2) Chips (n = 184) R D B 2 (100.00) I R

Twice in a week (n = 20) D 8 (40.00) B 18 (90.00) I R

Once in a week (n = 24) D 6 (23.07) B 22 (91.66) I R 6 (20.00)

Fortnightly (n = 30) D 12 (40.00) B 28 (93.33) I R

Whenever needed (n = 108) D 32 (29.62) B 84 (77.77) I

12 (60.00)

10 (41.66)

26 (24.07)

Daily (n = 8) Fruit juice (n = 186) R D 4 (50.00) B 4 (50.00) I 4 (50.00) R

Twice in a week (n = 14) D 2 (14.28) B 12 (85.70) I 6 (42.85) R

Once in a week (n = 26) D 6 (23.07) B 14 (53.84) I 4 (15.38) R 10 (41.66)

Fortnightly (n = 24) D 12 (50.00) B 12 (50.00) I R

Whenever needed (n = 114) D 36 (31.50) B 58 (50.87) I 38 (33.33)

4 (28.57)

8 (30.76)

26 (22.80)

Daily (n = 4) Ice creams (n = 188) R D B I 4 (100.0) R -

Twice in a week (n = 6) D B 4 (66.66) I 6 (100.0) R

Once in a week (n = 34) D 4 (11.76) B 8 (23.52) I 32 (94.11) R 2 (9.09)

Fortnightly (n = 22) D 2 (9.09) B 8 (36.36) I 20 (90.90) R

Whenever needed (n = 122) D 4 (3.27) B 16 (13.11) I 118 (96.72)

6 (17.64)

6 (4.91)

Note : Figures in parentheses indicate percentages. R Retail outlets D Departmental stores

B Bakeries

I Ice parlors.

Table 4.13. Nature of purchase decision among different age groups

Age group Products Nature of purchase decision Impulsive buying Planned purchase Nature of decision Chips (n = 184) purchase AG1 (n=64) 18 (28.12) 46 (71.87) AG1 (n=64) 44 (68.75) 20 (31.25) AG1 (n=64) 20 (31.25) 44 (68.75) AG1 (n=62) 22 (35.48) 40 (64.51) 62 80 42 AG2 = 110) (38.18) (n AG3 = 18) 10 (55.55) 8 (44.44) AG3 (n = 12) 12 (100.00) AG3 = 16) 8 (50.00) 8 (50.00) AG3 (n = 18) 12 (66.66) 6 (33.33) (n (n AG4 (n = 8) 8 (100.00) AG4 (n = 0) AG4 (n = 0) AG4 (n = 0) Overall 96 (51.06) 92 (48.93) Overall 82 (44.08) 104 (55.91) Overall 70 (35.00) 130 (65.00) Overall 136 (73.91) 48 (26.08)

Biscuits (n=200)

68 (61.81) AG2 (n = 108) (74.07)

Impulsive buying Planned purchase Nature of decision purchase

28 (25.92) AG2 (n = 106) 54 (50.94) 52 (49.05) AG2 (n = 108) (57.40) 46 (42.59)

Fruit juice (n = 186)

Impulsive buying Planned purchase Nature of decision purchase

Ice creams (n= 188)

Impulsive buying Planned purchase

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 Low (n = 80) Biscuits (n = 200) Medium (n=68) High (n = 52) Total Low (n = 75) Chips (n=184) Medium (n=62) High (n = 47) Total Low (n = 77) Fruit juice (n=186) Medium (n=59) High (n = 50) Total Low (n = 70) Ice creams (n=188) Medium (n=68) High (n = 50) Total Parents 37 (46.25) 35 (51.47) 20 (38.46) 92 (46.00) 6 (8.00) 18 (29.03) 8 (17.02) 32 (17.39) 20 (25.97) 32 (54.23) 26 (52.00) 78 (41.93) 4 (5.71) 6 (8.82) 6 (12.00) 16 (8.51) Children 42 (52.50) 30 (44.14) 16 (30.76) 88 (44.00) 24 (32.00) 30 (48.38) 18 (38.29) 72 (39.13) 12 (15.58) 20 (33.89) 10 (20.00) 42 (22.58) 30 (42.85) 20 (29.41) 24 (48.00) 74 (39.36) Friends 20 (25.00) 18 (26.47) 16 (30.76) 54 (27.00) 26 (34.66) 20 (32.25) 20 (42.55) 66 (35.86) 32 (41.55) 20 (33.89) 20 (40.00) 72 (38.70) 26 (37.14) 38 (55.88) 28 (56.00) 92 (48.93) Neighbours 8 (10.00) 10 (14.70) 4 (7.69) 22 (11.00) 10 (13.33) 12 (19.35) 2 (4.25) 24 (13.04) 12 (15.58) 2 (3.38) 14 (7.51) 8 (11.42) 6 (8.82) 6 (12.00) 20 (10.63) Shopkeeper 12 (15.00) 18 (26.47) 8 (15.38) 38 (19.00) 6 (8.00) 10 (16.12) 2 (4.25) 18 (9.78) 6 (7.79) 12 (20.33) 4 (8.00) 22 (11.82) 2 (2.85) 8 (11.76) 4 (8.00) 14 (7.44) Self decision 62 (77.50) 40 (58.82) 32 (61.53) 134 (67.00) 44 (58.66) 46 (74.19) 28 (59.57) 118 (64.13) 44 (57.14) 44 (75.57) 36 (72.00) 124 (66.66) 42 (66.00) 30 (44.11) 36 (72.00) 108 (57.44)

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 Primary school (n = 4) High school (n = 20) Biscuits (n = 200) PUC (n = 60) Degree (n = 88) PG ( n = 28) Primary school (n = 2) High school (n = 16) Chips (n = 184) PUC (n = 55) Degree (n = 86) PG ( n = 25) Primary school (n = 0) Fruit juice (n = 186) High school (n = 18) PUC (n = 59) Degree (n = 85) PG ( n = 24) Primary school (n = 0) Ice creams (n = 188) High school (n = 20) PUC (n = 60) Degree (n = 85) Parents 4 (100.00) 20 (100.00) 44 (73.33) 22 (25.00) 2 (7.14) 2 (100.00) 6 (37.50) 2 (3.63) 22 (25.58) 10 (55.55) 6 (10.16) 52 (61.17) 10 (41.66) 4 (20.00) 2 (3.33) 10 (11.76) Children 6 (30.00) 6 (10.00 66 (75.00) 10 (35.71) 6 (37.50) 6 (10.90) 35 (46.69) 25 (100.00) 6 (33.33) 4 (6.77) 24 (28.23) 8 (33.33) 6 (30.00) 2 (3.33) 52 (61.17) Friends 1 (25.00) 6 (30.00) 6 (10.00) 31 (35.22) 10 (35.71) 10 (62.50) 25 (45.45) 13 (15.11) 18 (72.00) 6 (33.33) 12 (20.33) 50 (58.82) 4 (16.66) 8 (40.00) 12 (20.00) 66 (77.64) Neighbours 4 (20.00) 2 (3.33) 16 (18.18) 4 (25.00) 2 (3.63) 16 (18.60) 4 (22.22) 2 (3.38) 10 (11.76) 20 (100.00) 50 (83.33) 30 (35.29) Shopkeeper 4 (20.00) 18 (30.00) 16 (18.18) 4 (25.00) 14 (16.27) 4 (22.22) 2 (3.38) 16 (18.82) 2 (10.00) 2 (3.33) 10 (11.76) Self decision 8 (40.00) 22 (36.66) 86 (97.72) 18 (64.28) 6 (37.50) 20 (36.36) 74 (86.04) 18 (72.00) 8 (44.44) 18 (30.50) 80 (94.11) 18 (75.00) 6 (30.00) 5 (8.33) 75 (88.23) 22 (95.65)

PG ( n = 23) 14 (60.86) 6 (26.08) 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. In case of fruits juice, majority of the respondents of high school level were influenced by parents while taking purchase decisions (55.55%). Most of the respondents of PUC level, degree holders and post-graduate took their own decision while purchasing (30.50%, 94.11% and 75.00% respectively) fruit juice. Ice cream purchasing decision was mainly influenced by neighbours in high school and PUC level respondents (100.00% and 83.33% respectively). Most of the respondents took self decision while purchasing in case of post graduate respondents (88.23% and 95.65% respectively).

4.2.10

Preference for type of biscuits

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.

4.2.11

Preference for variety of chips

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).

4.2.12

Preference for flavour in chips

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.

4.2.13

Preference for type of fruit juice

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.

4.2.15

Preference for flavour in ice creams

An analysis of preference for flavour in ice creams among different age groups is depicted in Table 4.21. It was observed from the table that chocolate flavour was highly preferred among the first age group (70.96%), followed by vanilla (54.83%), pista (41.93), butterscotch (25.80%), strawberry (9.67%) and mango (6.45%). In case of AG2, maximum of the respondents preferred vanilla flavour (55.55%) followed by pista flavour (40.47%), chocolate flavour (35.18%), mango (22.22%), strawberry (20.37%) and butterscotch (7.40%). 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 in this age group (11.11%). Strawberry, mango and butterscotch were preferred by 22.22 per cent each of the respondents of this age group. At the overall level, vanilla flavour was most preferred (57.44%), followed by chocolate flavour (44.68%), pista (43.61%), mango and strawberry flavours (17.02% each) and least preferred flavour was butter scotch (14.89%).

4.3

BRAND PREFERENCE OF THE CONSUMERS

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 Garretts ranking test.

4.3.1 Brand preference for biscuits


Brand preference of the respondents for biscuits is presented in Table 4.22. Maximum of the respondents preferred Parle-G biscuits (mean score of 69.99) followed by Good day (mean score of 69.62), Marie gold (mean score of 61.14), Hide and seek (mean score of 54.74), Tiger biscuits (mean score of 53.79), Krack jack (mean score of 52.86), Britannia 50-50 (mean score of 48.76), Britannia little hearts (mean score of 45.61), Parle Monaco (mean score of 43.68) and Glucose biscuits (mean score of 43.41).

Table 4.16. Preference for type of biscuits among different age groups Age group Type of biscuits AG1 (n=64) 32 Cream biscuits (50.00) 8 Wafers (12.50) 12 Salted biscuits (18.75) 42 Sweet biscuits (65.62) High fibre content biscuits (38.18) 20 (18.18) (33.33) (25.00) (14.00) (66.66) 6 (100.00) 2 (52.00) 28 (41.81) 42 (55.55) 12 (50.00) 8 (36.00) 104 (16.36) 46 (55.55) 10 4 (54.54) 18 (55.55) 10 (18.00) 72 AG2 (n = 110) 60 AG3 (n = 18) 10 (51.00) 36 AG4 (n = 8) Overall (N=200) 102

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 (n = 64) 26 (40.62) 52 (81.25) 8 (12.50) 24 (37.50) AG2 (n = 108) 66 (61.11) 80 (74.07) 10 (9.25) 30 (27.77) AG3 (n=12) 2 (16.66) 12 (100.00) 2 (16.66) 4 (33.33) AG4 (n = 0) Overall (n=184) 94 (51.08) 144 (78.26) 20 (10.86) 58 (31.52)

Banana chips Potato chips Sweet potato chips Jack fruit chips

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 (n = 64) 18 (28.12) 26 (40.62) 44 (68.75) AG2 (n = 108) 50 (46.29) 60 (55.55) 76 (70.37) AG3 (n=12) 8 (66.66) 4 (33.33) 4 (33.33) AG4 (n = 0) Overall (n=184) 76 (41.30) 90 (48.91) 128 (69.56)

Salted/ plain Tomato flavoured Chilly flavoured / Masala

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 = 64) 30 Mango (46.87) 36 Apple (56.25) 32 Orange (50.00) 10 Strawberry (15.62) 16 Pineapple (25.00) (35.84) (25.00) (13.20) 38 (12.50) 4 (31.18) (43.39) 14 (50.00) 2 (13.97) 58 (30.18) 46 (100.00) 8 (46.23) 26 (69.81) 32 (62.50) 16 (46.23) 86 (n AG2 (n = 106) 74 10 (61.29) 86 AG3 (n=16) AG4 (n = 0) Overall (n=186) 144

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 = 62) 48 Cone (77.41) 24 Cup (38.70) 10 Scoop (16.12) 12 Candy (19.35) (25.92) 2 Family pack (1.85) (11.11) (11.11) 2 (2.12) (22.22) 28 (22.22) 2 (22.34 ) 4 (38.88) 24 (44.44) 4 (20.21) 42 (75.92) 42 (66.66) 8 (39.36) 38 (n AG2 (n = 108) 82 12 (75.53) 74 AG3 (n=18) AG4 = 0) (n Overall (n=188) 142

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 (n = 62) 34 Vanilla (54.83) 6 Strawberry (9.67) 44 Chocolate (70.96) 4 Mango (6.45) 26 Pista (41.93) 16 Butterscotch (25.80) (7.40) (22.22) (40.74) 8 (66.66) 4 (14.89) (22.22) 44 (22.22) 12 (43.61) 28 (35.18) 24 (11.11) 4 (17.02) 82 (20.37) 38 (22.22) 2 (44.68) 32 (55.55) 22 (77.77) 4 (17.02) 84 AG2 (n = 108) 60 14 (57.44) 32 AG3 (n=18) AG4 (n = 0) Overall (n=188) 108

Note : Figures in the parentheses indicate percentage to the total number of users in each age group.

Table 4.22. Brand preference for biscuits Biscuit Brands Parle-G Good day Marie gold Hide and seek Tiger biscuits Krack jack Britannia 50-50 Britannia little hearts Parle Monaco Glucose Sunfeast snacky Chocolate chip cookies Britannia Time pass Sunfeast glucose Rankings I II III IV V VI VII VIII IX X XI XII XIII XIV Mean score 69.99 69.62 61.14 54.74 53.79 52.86 48.76 45.61 43.68 43.41 42.13 38.95 38.88 37.44

Table 4.23. Brand preference for chips Chips Brands Lays Uncle chips Bingo Haldiram chips Local brand/unbranded chips Lehar Diamond chips Lip chips Rankings I II III IV V VI VII VIII Mean score 71.55 59.67 51.03 49.90 46.25 42.00 39.90 38.68

4.3.2 Brand preference for chips


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).

4.3.3 Brand preference for fruit juice


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).

4.3.4 Brand preference for ice creams


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).

4.4

FACTORS INFLUENCING BRAND PREFERENCE

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).

4.5

ALTERNATIVE PURCHASE PLANS OF READY-TO-EAT FOOD PRODUCTS

Table 4.27 reveals alternative purchase plans of ready-to-eat food products. Majority of the respondents in case of biscuits (80.00%), chips (60.86%), fruit juice (58.06%) and ice creams (56.38%) would go to other shops if preferred brand was not available. In the case of biscuit consumers, 27.00 per cent of the respondents would postpone their purchase decision if their preferred brand was not available, 22.00 per cent of them bought other brand and 26.00 per cent of the respondents placed order to get required brand. In case of chips, 40.21 per cent of the respondents opined to buy other brand if their favourite brand was not available, 36.95 per cent of them would postpone the purchase decision and only 23.91 per cent of the respondents planned to place order to get their required brand. In case of fruit juice, if required brand was not available in the market 34.40 per cent of the respondents were ready to postpone their purchase decision, 38.70 per cent of the respondents opined that they would buy other brand and 21.50 per cent of them said they would place order to get their required brand. In case of ice creams, 40.42 per cent of the respondents opined that they would postpone the purchase decision of their preferred brand was not available in the market, 32.97 per cent of them would buy some other brands and 34.04 per cent of the respondents said they would place order to get required brand.

Table 4.24. Brand preference for fruit juice Fruit Juice Brands Maaza Frooti Slice Appy Real fresh Pulpy orange Tropicana twister Rankings I II III IV V VI VII Mean score 62.81 62.61 56.00 48.89 44.17 38.59 35.91

Table 4.25. Brand preference for ice creams

Ice cream Brands

Rankings

Mean score

Amul

74.95

Kwality walls

II

56.21

MTR

III

53.82

Arun

IV

52.52

Nandini

52.12

Vadilal

VI

48.97

Dairy day

VII

41.48

Hangya

VIII

38.59

Dinshaws

IX

31.28

Table 4.26. Factors influencing brand preference

Biscuits Factors Ranking Mean score 64.60 74.79 75.74 59.08 54.73 56.70 50.76 42.65 37.62 32.76 32.13 52.30 27.91 48.89

Chips Ranking Mean score 62.46 80.35 71.22 59.92 54.57 54.38 45.72 42.18 41.42 36.14 33.04 50.46 30.32 47.32

Fruit juice Ranking Mean score 62.29 77.29 75.23 66.04 56.15 53.43 50.21 43.79 39.30 35.23 31.27 49.60 28.53 47.26

Ice creams Ranking Mean score 64.21 79.05 74.18 57.43 55.70 51.57 49.37 42.25 38.51 36.70 33.94 47.60 31.45 42.20

Reasonable price Taste Quality Quantity Brand image Availability Advertisements Packaging design Friends Labeling Offers Freshness Retailers influence Long shelf-life of the products Availability products of range

III II I IV VI V VII X XII XIII XIV VII XV IX

III I II IV V VI IX X XI XIII XIV VII XV VIII

III I II IV V VI VII X XII XIII XIV VIII XV IX

III I II IV V VI VII X XII XIII XIV VIII XV XI

XI

39.34

XII

40.42

XI

40.32

IX

45.78

Table 4.27. Alternative purchase plans of ready-to-eat food products Alternative purchase plans Products Biscuits (n=200) 160 (80.00) 54 (27.00) 44 (22.00) 52 (26.00) Chips (n=184) 112 (60.86) 68 (36.95) 74 (40.21) 44 (23.91) Fruit juice (n=186) 108 (58.06) 64 (34.40) 72 (38.70) 40 (21.50) Ice creams (n=188) 106 (56.38) 76 (40.42) 62 (32.97) 64 (34.04)

Go to other shop Post pone the purchase Will buy other brand

Place order to get required brand

Note : Figures in the parentheses indicate percentage to the total number of users of the respective products.

5. DISCUSSION
The results of the investigation presented in the previous chapter are discussed in this chapter under the following heads. 5.1 5.2 5.3 5.4 5.5 Awareness of consumers towards branded ready-to-eat food products. Purchase behaviour of consumers towards ready-to-eat food products. Brand preference of the consumers. Factors influencing brand preference. Alternative purchase plans of the consumers.

5.1

AWARENESS OF CONSUMERS TOWARDS BRANDED READY-TO-EAT FOOD PRODUCTS

5.1.1 General information about the selected samples


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 doesnt prefer much of the ready-to-eat products except some familiar ones.

5.1.3 Brand awareness of consumers about chips among different age groups
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. Ready-to-eat food products are the delicacy of lower age groups as compared to the old age people, who usually do not consume them much. Chips were no exception to this. The younger generations are the innovators of various brands in the market due to varied taste, attractive packing, advertisements through different media or influence by friends. Hence, the recent brands like Lip chips, Haldiram chips, Diamond chips and Lehar brands were more known to young age group.

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.

5.1.6 Influence of media to create awareness about the brands


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 todays 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). The study conducted by Yee and Young (2001) on food industry awareness of the high fat content of pies show that the major sources of brand awareness were word of mouth followed by advertisements, family members and relatives and friends.

5.2

PURCHASE BEHAVIOURS OF CONSUMERS

5.2.1 Buyers and non-buyers of ready-to-eat food products


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. All the respondents of AG1 purchased fruit juice for consumption because of taste, 100.00 per cent of the respondents of AG4 did not purchase fruit juice for consumption, because majority of them preferred home made products since it involves low cost of preparation. 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.

5.2.2 Reasons for purchasing ready-to-eat food products


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.

5.2.3 Reasons for not purchasing ready-to-eat food products


It was revealed from the Table 4.9 that, health consciousness was the cent per cent of the reason for not purchasing chips. About 62.50 per cent of the respondents did not purchase chips due to low quality of the product and 50.00 per cent each of them did not purchase because they disliked chips and due to high price. Majority of the respondents (85.71%) did not purchase fruit juice because they preferred home made products. The other reasons for not purchasing fruit juice were high price (71.42%), dislike towards the product (42.85%) and only 28.57 per cent of them did not purchase because of low quality of the product. In case of ice creams, cent per cent of the respondents did not purchase because

they disliked the product, 66.66 per cent of them were not purchasing this product since they were health conscious and 33.33 per cent of the respondents said other reasons like allergy due to cold. Seventeen per cent of each of the respondents were not purchasing ice creams due to high price and low quality of the product. The study of reasons for not purchasing ready-to-eat food products revealed that the cosmopolitan people of Hubli-Dharwad were more of health conscious and quality conscious. Price was not an important criteria to purchase the products as only 50.00 per cent of the respondents thought about the price while making purchases. Hence, this sort of studies send red alert to the ready-to-eat food manufacturers, that they cannot compromise on quality of the products in a view to offer the products at cheaper price.

5.2.4 Monthly expenditure of households on food items


It could be seen from the Table 4.10 that, there exist a positive relationship between households 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.

5.2.5 Monthly expenditure of households on ready-to-eat food products


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. In percentage terms, biscuits found the prominent place in the total consumption basket of ready-to-eat food products of Hubli-Dharwad consumers. Biscuit is such a food product which is liked by all age groups and all sections of the society. Usually, it is a tea time snack in almost every household. It cannot be a surprise if people spend more on biscuits in their monthly consumption outlay. Ice creams and fruit juice are the delicacy of lower age groups. The craze of cold materials like ice creams and juice are very high among children and teens. Hence, sizeable proportion of monthly expenditure would also go towards these items.

5.2.6 Frequency and place of purchase


Table 4.12 depicts that frequency and place of purchase by the respondent. It could be observed 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 of them purchased from retail outlets. The frequency of purchase of biscuits was more as compared to other ready-to-eat food products because of the reasons already known. But the point is why they do not purchase the requirement at a time. Probably, the people want to use the fresh installment of the biscuits to enjoy its crispy nature, the stored biscuits loose that. 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


Nature of purchase decision among different age groups, is presented in Table 4.13. Among the total respondents majority of them planned and purchased biscuits and fruit juices (65.00% and 55.91% respectively) and remaining 35.00 per cent of biscuit purchasers and 44.08 per cent of fruits juice purchasers did impulsive buying. In case of other products like chips and ice creams, maximum of the respondents (73.91% and 51.06% respectively) did go for impulsive buying. These results further support our earlier findings that biscuits are the common man tea time snack. Hence, they always find a place in the purchase list of the consumers. But chips and ice creams are generally impulse purchase products. Especially younger generations are more attracted by these products. The children, when they are out with elders usually demand for these products whenever they see the shops displaying them. The same thing was reflected in the study also, as the higher age people did not go for impulsive buying of chips and fruit juice.

5.2.8 Influence of income on purchase decisions on ready-to-eat food products


Table 4.14 reveals that influence of income on purchase decisions on ready-to-eat food products. It was observed from the table that majority of the respondents took self decision while purchasing biscuits (77.50%, 58.82% and 61.53% of low, middle and high income groups respectively), chips (58.66%, 74.19% and 59.57% respectively) and fruit juice (57.14%, 75.57% and 72.00% receptively). In case of ice creams majority of the respondents of low (66.00%) and high income (72.00%) groups took self decision while purchasing ice creams. This is because the purchasers have more faith and belief among themselves. Among middle income group, maximum of the respondents were influenced by friends (55.88%) while taking purchase decision on ice creams.

5.2.9 Influence/Impact of education to make purchase decision on ready-toeat food products


Education is one of the important factors that influence the purchase decisions. From Table 4.15 it was observed that in the case of biscuits, fruit juice and ice creams most of the degree and post graduate level respondents took self decision while purchasing. It clearly shows that the respondents were independent in taking decisions and their independency may be because of education i.e,. they will be knowledgeable enough to judge by themselves, what is good/needed for them. Most of the respondents of primary school level were influenced by parents while taking purchase decisions on biscuits, chips and fruit juice.

5.2.10

Preference for type of biscuits

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.

5.2.12

Preference for flavour in chips

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.

5.2.13

Preference for type of fruit juice

It was noticed from Table 4.19 that maximum of the respondents preferred mango juice (61.29%) followed by apple juice and orange juice by 46.23 per cent each of the respondents , 31.18 per cent of them preferred pineapple juice and strawberry juice was preferred by 13.97 per cent of the respondents. Majority of the respondents of AG1 and AG3 preferred apple juice (56.25% and 100.00% respectively). In case of AG2 most of the respondents preferred mango juice (69.81%). Among the first three age groups strawberry juice was less preferred. Mango and apple are the most commonly consumed fruits and inturn their juices are also most preferred because of the taste acquaintance.

5.2.14

Preference for type of ice creams

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.

5.2.15

Preference for flavour in ice creams

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.

5.3

BRAND PREFERENCE OF THE CONSUMERS

5.3.1 Brand preference for biscuits


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.

5.3.2 Brand preference for chips


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


It could be inferred from Table 4.24 that, maximum of the respondents preferred Maaza brand (mean score of 62.81), followed by Frooti (mean score of 62.61) and Slice (mean score of 56.00). These are the commonly available brands in the study area. It was found that Tropicana twister brand (mean score of 35.91) was least preferred among the respondents, as it was a new brand and it takes time to capture the minds of the people. Another interesting thing to note here that top three brands in the order of preference had mango as the base material. The taste acquaintance of the people to mango might have prompted them to prefer these brands.

5.3.4 Brand preference for ice creams


It was noticed from Table 4.25 that, maximum number of respondents preferred Amul brand. Amul is one of the well known brands for milk products in our country. The Amul is known for quality products and hence, it is very much popular among the consumers all over the country. The promotional strategies adopted by Amul, Kwality walls and MTR brands might have made them top three preferred brands. Many a times brand name established in some other product of the same brand would also influence the brand preference for the given product. Hangya and Dinshaws were the new brands of ice creams which had entered into the market very recently. Many people did not know about the existence of such brands. Hence they were less popular brands of ice creams among the respondents.

5.4

FACTORS INFLUENCING BRAND PREFERENCE

Table 4.26 presents the factors influencing brand preference. While, preferring a particular brand in biscuits quality was considered as the foremost factor (mean score of 75.74). Second factor was taste with a mean score of 74.79. Reasonable price was ranked as third factor (mean score of 64.60). While preferring a particular brand in chips, fruits 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 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). Similar to this study, the study undertaken by Sheeja (1998) in Coimbatore district inferred that consumers considered the quality aspects like aroma, taste, freshness

and purity as the major factors deciding the preference for a particular brand of processed spices. In the same line, the study conducted by Nandagopal and Chinnaiyan (2003) on brand preference of soft drinks in rural Tamil Nadu revealed that the product quality followed by retail price were the deciding factors of brand preference. 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.

5.5

ALTERNATIVE PURCHASE PLANS OF READY-TO-EAT FOOD PRODUCTS

Table 4.27 depicts alternative purchase plans of ready-to-eat food products. Majority of the respondents in case of biscuits (80.00%), chips (60.86%), fruit juice (58.06%) and ice creams (56.38%) would go to other shops if their preferred brand was not available. This was because the consumers were more loyal to their preferred brands. In case of biscuits and ice creams, 27.00 per cent and 40.42 per cent of the respondents respectively would postpone their purchase decision if their preferred brand was not available. This shows the extent of brand loyalty of the consumers to a particular brand. About 40.21 and 38.70 per cent of the respondents of chips and fruit juice buyers would buy other brands, if preferred brand was not available. This indicates that consumers try to resist the postponement of purchase of these two products as these are fun eat products.

6. SUMMARY AND POLICY IMPLICATIONS


India is the worlds 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. In India, majority of food consumption is still at home. Nevertheless, out of home food consumption is increasing due to increase in urbanization, breaking up of the traditional joint family system, desire for quality, time which translates into an increased need for convenience, increasing number of working women, rise in per capita income, changing lifestyles and increasing level of affluence in the middle income group had brought about changes in food habits. Ready-to-eat food is food offered or exposed for sale without additional cooking or preparation, which is packed on the premises where sold and is ready for consumption. 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-toeat foods. Ready-to-eat foods are widely used in catering industries as well as at homes. There are varieties of ready-to-eat foods available in the market to choose from. Now-a-days they have become a part of every day life. 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. Several firms are engaged in production and marketing of ready-to-eat food products. Hence, the consumers have greater option to choose from. In this context, a study on consumer behaviour was seemed to be important to understand the buying behaviour and preferences of different consumers. Understanding the consumer behaviour would help the firms in formulating strategies to cater to the needs of the consumer and thereby increase their market share. Consumers taste and preference were found to change rapidly especially in a dynamic environment. Keeping in view the importance of consumer behaviour and consumption pattern, an attempt was made to study the buying behaviour of consumers towards ready-to-eat food products, brand preference of the consumers, factors influencing brand preference and alternative purchase plans of the consumers. The specific objectives of the study were i. ii. iii. iv. v. To ascertain the awareness of consumers towards branded ready-to-eat food products. To study the purchase behaviour of ready-to-eat food products. To evaluate brand preference of the consumers. To study the factors influencing brand preference. To evaluate alternative purchase plans of the consumers.

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., Garretts ranking technique etc. Findings of the study The important findings of the study are summarized and suitable conclusions are drawn and presented below. 1. Maximum number of respondents belonged to age group two (21 years to 40 years). More than half of the respondents were females. Most of the respondents were

degree holders (44.00%). A very few percentage (2.00%) of them had finished primary school. It was found that among the selected respondents none of them were illiterates. Maximum number of respondents (44.00%) belonged to the medium family size of 5-7 members and most of them belonged to nuclear families (89.00%). The data on food habits revealed that most of them were vegetarians (73.00%). Most of the respondents (40.00%) belonged to low income group (<Rs.8615.70/month). As per the occupation classification, 68.00 per cent of them were students. 2. The brand awareness of consumers about biscuits among different age groups showed that, majority of the respondents were aware of Parle-G brand (99.00%) followed by Marie gold (97.00%) and Tiger biscuits, Good day and Krack jack brands (96.00% each). But Chocolate chip cookies brand was found less familiar among the respondents (43.00%). The first age group of respondents were conscious of ParleG, Good day and Krack jack brands. In case of AG2, most of the respondents i.e., 98.18 per cent each were aware of Parle-G and Good day brands, followed by 96.36 per cent each being aware of Tiger biscuits, Marie-gold and Krack jack brands. ParleG and Marie-gold biscuits were popular among all the respondents of AG3 and AG4. Also, Tiger biscuits and Glucose brands were known to all the respondents of AG4. 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. 3. The brand awareness of consumers about chips among different age groups revealed that, most of the respondents were aware of Lays (96.00%), Uncle chips (83.00%) and Bingo (67.00%) brands. In case of AG1 all the respondents knew Lays brand. Uncle chips, Bingo, Lays, Haldiram chips and Lehar were familiar among more than half of AG2 and AG3 respondents. Lays brand was known to 75 per cent of the respondents of AG4. None of the respondents of this age group were familiar with Haldiram chips, Lip chips, Diamond chips and Lehar chips. 4. Brand awareness of consumers about fruit juice among different age groups showed that, Frooti brand was very popular i.e. 96.00 per cent of respondents were aware, followed by Maaza brand (93.00%) and Slice (87.00%). Tropicana twister brand was less familiar (44.00%), among the respondents. All the respondents of AG1 and AG4 were conscious of Frooti brand. Among AG2, majority of the respondents were familiar with Frooti and Maaza brands (94.54% each). All the respondents of AG3 were conscious of Maaza brand. It was also found that Real fresh, Appy, Tropicana twister and Pulpy orange brands were not known to any of the respondents of AG4. 5. Brand awareness of consumers about ice creams among different age groups showed that, majority of the respondents were aware of Amul brand (99.00%), followed by Arun, MTR and Nandini brands (66.00% each). Only a small percentage of the respondents (25.00%) were aware of Dinshaws brand. All the respondents of AG1, AG2 and AG4 were aware of Amul brand. In case of AG3 majority of the respondents were aware of Amul and MTR brands (88.88% each). It was found that more brands were known to AG1, AG2 and AG3 respondents as compared to AG4 respondents. None of the respondents of AG4 were conscious of MTR, Nandini, Kwality walls, Hangya and Dinshaws brands. 6. 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%). 7. Buyers and non-buyers of ready-to-eat food products presented that, biscuits were consumed by all the respondents in the study area. About 92.00 per cent, 93.00 per cent and 94.00 per cent of the respondents consumed chips, fruit juice and ice

creams respectively. All the respondents of AG1 consumed chips and fruit juice. Ice creams were mostly consumed by all the respondents of AG3. None of the respondents of AG4 consumed chips, fruit juice and ice creams. 8. The major factors considered by the respondents for purchasing biscuits were convenience as snacks (65.00%), liking of the family members (60.00%) and ready availability (53.00%). Taste was the main reason for purchase of chips (80.43%), fruit juice (59.13%) and ice creams (61.70%). Convenience to use as snacks, satisfaction and ready availability were other important factors considered while purchasing chips (64.13%, 52.17% and 46.73% respectively). In case of fruit juice, ready availability (55.91%), save time of preparation (49.46%) and satisfaction (47.31%) were other important factors considered by the respondents. About 55.31 per cent and 44.68 per cent of the respondents consumed ice creams because of satisfaction and influence of friends or relatives. 9. 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. 10. The average monthly expenditure on ready-to-eat food products was found to be highest in the case of high income group (Rs. 423.07) followed by middle income group (Rs. 298.52) and low income group (Rs. 224.00). 11. It was inferred that majority of the respondents purchased biscuits twice in a week from bakeries and departmental stores (70.58% each). Most of the respondents purchased chips, fruit juice and ice creams whenever needed. Maximum number of respondents purchased chips and fruit juice from bakeries (77.77% and 50.87% respectively). Ice creams were mostly purchased in ice parlours (96.72%). 12. 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). 13. Influence of income on purchase decisions on ready-to-eat food products showed that, in case of biscuits, chips and fruit juice majority of the respondents of all the three income groups took their own decision while purchasing the products. In case of ice creams, majority of the respondents of low and high income groups took self decision. In the middle income group, maximum of the respondents were influenced by friends while taking purchase decision on ice creams. Influence/impact of education to make purchase decision on ready-to-eat food products showed that, in case of biscuits, fruit juice and ice creams most of the degree and post graduate level respondents took their own decision while purchasing. It clearly shows that education level of the respondents has prompted them to take independent decision. 14. It was inferred that maximum number of respondents preferred sweet biscuits (52.00%) followed by cream biscuits (51.00%) and salted biscuits (36.00%). 15. 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. 16. Chilly flavoured/masala chips (69.56%) were mostly preferred among the respondents followed by tomato flavoured chips (48.91%) and salted / plain chips (41.30%). 17. Mango juice (61.29%), apple juice and orange juice (46.23% each) were mostly preferred juices among the respondents.

18. Majority of the respondents preferred cone ice creams (75.53%) followed by cup (39.36%) and candy (22.34%) ice creams, family packs were least preferred among the respondents (2.12%). It was found that none of the respondents of AG1 preferred family packs. 19. Maximum number of respondents preferred vanilla flavour (57.44%) followed by pista flavour (43.61%) and chocolate flavour (44.68%). Chocolate flavour was highly preferred in case of first age group respondents (70.96%). 20. 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. 21. The factors that influenced brand preference of biscuits were quality, taste and reasonable price. In case of chips, fruit juice and ice creams the major factors influenced brand preference were taste, quality and reasonable price. 22. Maximum number of respondents in case of all the four products would go to other shops if preferred brand was not available. POLICY IMPLICATIONS 1. Majority of the residents in Hubli-Dharwad city purchased these ready-to-eat products viz., biscuits, chips, fruit juice and ice creams. This indicates that there is a wide scope for all the intermediaries who are involved in this business. Since all these product manufacturing firms come under small and medium enterprises, there is encouragement from government side also. Since, Hubli-Dharwad is a fast growing twin city, there is ample scope for this type of business. 2. Ready-to-eat food products are impulse purchase products and generally fun eat foods. Consumer buys such products only if it catches his eye at the outlet. So players/manufacturers need to stress on attractive packaging and sales promotion. Further, study also indicated that those firms which resorted to advertisements through mass media, particularly television and newspapers could get better share in the market. This calls for the attention of other competing firms in the business to improve their sales promotion activities by making use of such mass media to improve their business. 3. The cosmopolitan people of Hubli-Dharwad were found more health and quality conscious while choosing a ready-to-eat food product. Price was less important to them. This sends a message to the manufacturers of ready-to-eat food products, that they cannot compromise on quality of the products in view to offer the products at cheaper prices, particularly to such cosmopolitan consumers. 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. 5. Brand loyalty is an important factor in such ready-to-eat food products. It is very difficult to induce the consumers for brand switching. Any new firm entering into the market should study these things very critically. The quality aspects coupled with competitive price may lead to change of brands. The innovative firms should keep these points in mind while entering into such type of business. 6. Study of alternative purchase plans of ready-to-eat food products suggested that majority of the residents of Hubli-Dharwad are brand loyal as they either go to other shops in search of the particular brand or they postpone their purchases until they get their required brands. Hence, supply chain management of the popular brands should be such that the product of these brands should be readily available in all the retail outlets.

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www.tata.com National Sample Survey Organisation, Government of India. www.Indiatelevision.com March 10, 2007 Budget.2007.

APPENDIX I
INTERVIEW SCHEDULE CONSUMER BEHAVOUR TOWARDS READY TO-EAT-FOOD PRODUCTS QUESTIONNAIRE FOR CONSUMERS (The Data will be used for research purpose only)
I. General Information 1. Name of the respondent 2. Address 3. Age 4. Sex 5. Education 6. Occupation 7. City 8. Name of the shop 9. Monthly income (Rs.) 10. Food habit 11. Type of family 12. Family : : : : : : : : Vegetarians/Non vegetarians Joint/Nuclear Dharwad/Hubli Illiterate/Primary/High/PUC/Degree/PG : : :

Family members Adult males Adult females Children Total

Number

13. Monthly expenditure on food items

Items

Expenditures (Amount in Rs.)

Cereals

Pulses

Fats and oils

Fruits and vegetables

Milk and milk products

Ready to eat food products

Total

14. Monthly expenditure on ready-to-eat foods

Ready-to-eat products

Expenditure (Amount in Rs.)

Biscuits

Chips

Fruit juice

Ice creams

II. Specific Information 1. Do you purchase ready-to-eat food products ? 2. What are the reasons for purchasing ready-to-eat food products ? Reasons Ready available Taste Liked by the family members Influence of friends of relatives Easily available in the shops Convenient to use for snacks Satisfaction Save time of preparation Any other Biscuits Chips Fruit juice Ice creams Yes/No.

3. What are the reasons for not purchasing ready-to-eat food products ? Reasons Lack of awareness of products available in the market Dislike the product High price Low quality Not available in the shops Health conscious Any other Biscuits Chips Fruit juice Ice creams

4. Are you aware of the following brands ? Biscuits 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 Yes No

5. Source of information for brand awareness Source Television Radio Newspapers Magazines Friends/relatives Shopkeeper/retailer Window display Any other Biscuits Chips Fruit juice Ice creams

6. Frequency of purchase Frequency Daily Twice in a week Once in a week Fortnightly Whenever needed 7. Nature of purchase decision Nature of purchase decision a. Impulsive buying b. Planned purchase 8. Place of purchase Place Retail outlets Departmental stores Bakeries Ice parlors Biscuits Chips Fruit juice Ice creams Biscuits Chips Fruit juice Ice creams Biscuits Chips Fruit juice Ice creams

9. Influencers of purchase decision Influencers Parents Children Friends Neighbours Shopkeeper Self decision 10. Which type of biscuits do you prefer most ? a. b. c. d. e. f. Cream biscuits Wafers Salted biscuits Sweet biscuits High fibre content biscuits Any other (specify) Biscuits Chips Fruit juice Ice creams

11. Which type of chips do you prefer most ? a. b. c. d. Salted/plain Tomato flavoured Chilly flavoured/Masala Any other (specify)

12. Which variety of chips do you prefer most ? a. b. c. d. e. Banana chips Potato chips Sweet potato chips Jack fruit chips Any other (specify)

13. Which type of fruit juice do you prefer most ? a. b. c. d. e. f. Mango Apple Orange Strawberry Pineapple Any other (specify)

14. Which type of ice creams do you prefer most ? a. b. c. d. e. Cone Cup Scoop Candy Any other (specify)

15. Which flavour do you prefer in ice creams ? a. b. c. d. e. f. Vanilla Strawberry Chocolate Mango Pista Any other

16. Which brands do you prefer most ? Biscuits 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 Ranks

17. What are the factors influencing to prefer a particular brand ? (Give rankings) Biscuits Reasonable price Taste Quality Quantity Brand image Availability Advertisements Packaging design Friends Labeling Offers Freshness Retailers influence Long shelf life of the products Availability of range products 18. What are the alternative purchase plans, if preferred brand is not available ? Alternative purchase plans a. Go to other shop b. Postpone the purchase c. Will buy other brand d. Place order to get required brand e. Any other Biscuits Chips Fruits juice Ice creams Chips Fruits juice Ice creams

CONSUMER BEHAVIOUR TOWARDS READY-TO-EAT FOOD PRODUCTS


RENUKA HIREKENCHANAGOUDAR 2008 DR. H.S. VIJAYAKUMAR MAJOR ADVISOR

ABSTRACT
The present investigation made an attempt to analyze the buying behaviour of ready-toeat food products by consumers of Hubli and Dharwad. A total sample of 200 respondents was selected for the study. 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.