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EXECUTIVE SUMMARY

PROJECT TITILE A STUDY ON FACTORS INFLUENCING BRAND


PREFERENCE OF DEALERS AND CUSTOMERS IN TELEVISION MARKET
AND TO SEE THE PROSPECTS OF L.C.D WITH REGARD TO VIDEOCON IN
PARTICULAR AND OTHER BRANDS IN GENERAL
Duration of the project: 2 months.
My project is basically to study the television market in Guwahati and to see the
prospects of LCD in Guwahati.
The objectives of my study are as follows:
1)To find out the factors that influences the dealers and customers while choosing a
brand of television.
2)To know the position of the brand Videocon among other brands in the Guwahati
market.
3)To know the prospects of LCD in Guwahati market
METHODOLOGY:
The data for my study is of primary in nature and has been collected through
questionnaires and interviews. Data has been collected from primary sourcesdealers and customers. Sampling is convenience sampling for customers and
judgement sampling for dealers. Dealer sample size is 16 for television and 13 for
LCD and customer sample size is 100
The dealers have been divided into different areas to see whether there is any
significant difference in the responses given by them.
Important findings made from dealers opinion:
1) Most of the dealers stock that brand which gives them healthy net landing
cost and trade promotion schemes.

2) The most influencing factor according to dealers for one set of customers
while purchasing the television is brand name and for another set of
customer it is price.
3) At present 16 dealers in Guwahati are dealing with Videocon television
and few dealers have given rating as good on different attributes of
Videocon T.V.
4) According to dealers Television and newspaper are the best medium for
advertising followed by hoardings and radio fm.
5) Factor analysis revealed that according to dealers customers are :
Feature sensitive, concerned about longevity, brand conscious and
concerned about appearance of the television.
6) The consumer behaviour differs in different areas.
7) L.G and Samsung are leading brands in television market.
Important findings made from customers opinion:
1) 44% of the customers prefer to purchase LCD right now and 56% of the
customers prefer to purchase Flat T.V.
2) Majority of people wants to purchase LCD of Sony followed by Samsung and
L.G.
3) In case of Flat T.V, majority of the customers prefer L.G closely followed by
Sony.
6) LG is perceived to be strong in the area of advertisement, performance and
aesthetics. Samsung is strong in the area of aesthetics and after sale service.
8) Factor analysis revealed the variables that come into customers mind when
they think of their brand.
9) Factor analysis revealed that customers are feature sensitive, concerned
about

after sale service, economical and security conscious.

10) Majority of the customers are mostly influenced by Television and


newspaper.

Prospects of LCD: Average sale of LCD in most of the outlets is less than 5. from
the survey it was found that 44% of the customers will opt for LCD of Samsung or
LG is case of repurchase. But high price of LCD has made it affordable only for the
higher income level customers. Easy payment and attractive offers can boost up the
sale of LCD.
Recommendations:
1. Attractive consumer promotion like valuable free gifts can increase sales.
2. Videocon can give 2% to 3% more on MRP as preferred by the dealers.
3. Big glow sign boards will definitely attract the customers. There needs to be
hoardings and banners in every nook and corner of the city.
4. Videocon should increase stock of television inside the shop. Only then,
visibility of Videocon inside the shop will increase.
5. The frequency of advertisement should be increased in newspaper.
6. Videocon needs to sponsor programmes and game shows in television.
7. Radio FM can be a good medium for advertising.
8. Videocon should stress more on advertising especially in television.
9. Entering mobile and computer business can increase sale of television as
range of products plays a vital role in success of a brand.
10. As customers are showing interest in purchasing LCD so Videocon should
make its presence felt in LCD market which is dominated by Samsung, LG.
The dealer margin can be 10%.

BACKGROUND OF VIDEOCON
Videocon Industries

Type
Genre
Founded
Founder
Headquarters
Area served

Industry
Revenue
Net income
Website

Private Conglomerate
Conglomerate
1987
Nandlal Madhavlal Dhoot
Aurangabad, Maharashtra, India
Consumer Electronics
Home Appliances
Components
Office Automation
Internet
Petroleum
Power
Consumer Durables, Oil and Gas etc.
U$4.1 billion
U$276 million
http://www.videoconworld.com

The Videocon group emerges as a USD 2.76 Billion global conglomerate continuing
to set trends in every sphere of its activities from a conference room sized assembly
line in 1979. The company's principal activity is to manufacture consumer
electronics and home appliances. The company is dealing in Oil & Gas, Thomson
CPT, Glass, and Consumer Electronics.
Videocon's Extensions
Videocon has acquired Electrolux brand. The other brands acquired by Videocon
are Sansui, Toshiba, Kenstar, Hyundai, Next. Also, with the acquisition of Thomson
Displays by Videocon in Poland, China, and Mexico, the company is marking its
international presence.

The business profile of Videocon clearly states the presence of Videocon


in domestic and international business:

The above chart clearly states the presence of Videocon is different


sectors.

INTRODUCTION TO CONSUMER DURABLE MARKET:


Indian consumer durables market used to be dominated by players like Thomson,
Sharp, Beltek, Videocon, Weston, Kelvinator, Allwyn etc. But, many foreign
companies have entered into India, dethroning the Indian players and dominating
the market. India being the second fastest growing economy with a huge consumer
class has resulted in consumer durables as one of the fastest growing industries in
India. LG and Samsung, the two Korean companies have been maintaining the lead
in the industry with LG being the leader in almost all the categories.
The consumer durables segment can be segregated into consumer electronics (TVs,
VCD players and audio systems etc.) and consumer appliances (also known as
white goods) like refrigerators, washing machines, air conditioners (A/Cs),
microwave ovens, vacuum cleaners and dishwashers.
Over the years, demand for consumer durables has increased with rising income
levels, double-income families, changing lifestyles, availability of credit, increasing
consumer awareness and introduction of new models. Products like air conditioners
are no longer perceived as luxury products.
Most of the segments in this sector are characterized by intense competition,
emergence of new companies (especially MNCs), introduction of state-of-the-art
models, price discounts and exchange schemes. MNCs continue to dominate the
Indian consumer durable segment, which is apparent from the fact that these
companies command more than 65% market share in the colour television (CTV)
segment. The biggest attraction for MNCs is the growing Indian middle class.
The penetration levels across the segment in the industry continue to remain
sluggish. To put things in perspective, penetration levels of televisions in India is
just 24% as compared with 98% in China, 11% in Brazil, 235% in France, 250%
in Japan and 333% in US. Indian consumers are now replacing their existing
appliances with frost-frost free refrigerators, split air conditioners, fully automatic
washing machines, and color televisions (CTVs), which are boosting the sales in
these categories. Companies like Samsung and LG are now focusing on rural areas
also. These companies are introducing gift schemes and providing easy finance to
capture the consumer base in rural areas.
7

How the consumer durable market functions? (In brief)


After dealing with dealers in Guwahati, I have come to know that the companys
main priority is to satisfy the dealers. The company has to give good schemes to
dealers only then the dealers will stock that brand inside the shop. The brand name
of the company is secondary for the dealers. They just look for profit margin. Any
company giving good profit margin will get a place inside the shop. If the customers
are depending on sales peoples opinion before buying a consumer durable good
then the sales people will always try to sell the brand which is giving healthy profit
margin even if the quality is not upto the mark.
The following table will give an idea about the profit margin of dealers:
M.R.P (RS.)

DEALER

DEALER

SCHEMES

MARGIN

PRICE (RS.)

(RS.)

NLC (RS.)

(RS.)
8000
800
7200
200
7000
NLC means Net Landing Cost. NLC is a cost at which the goods lands in the
dealers outlet.
For example, the price of a television is Rs. 8,000 then companys like SAMSUNG
gives a margin of almost Rs. 1,000 as shown is the table. The actual cost is Rs. 7,000.
The column SCHEME is very important and companies try to find space in
dealers outlet with attractive schemes. LG often gives schemes and thus the stock
of LG in dealers outlet is also high. Samsung is considered the best by most of the
dealers. In few outlets LG is giving poor schemes but even then the stock is high
because of high demand of LG from customers. Thus, visibility of the brand can be
increased inside the shop with good schemes.
Now, the companies also try to increase their visibility inside the shop by in shop
branding. Advertisement inside the shop has become very important because it
captures the attention of customers.
Companies like LG, Samsung, Godrej, Whirlpool are giving attractive consumer
promotion offers. Valuable free gifts are given and consumers are attracted to buy
that brand. Advertisement is very important to make an impact in minds of the
customers.

MODELS HAVING HIGH DEMAND IN THE MARKET


LG and Samsung are the high selling brands of television in Guwahati market. The
high selling models of these brands are as follows:

The high selling models of L.G. are as follows:

Model: 21FC2AB, Size: MRP: Rs 7700,


Features:
21 (53 cms),
Sound Output (PMPO) is 200 W
Rear AV In/ Out is (1/1),
Multi Langauge-- Eng+Hindi,
No of Programs is 200,
Direct key for Tuning is available.

PMPO means peak music power output. Every model is designed with high r.m.s
speakers and woofers backed by sturdy cabinet design to reproduce louder and
sweet sound.

Model: 21FC2AB:

MRP: Rs 7700

Features:
Size : 21 (53 cms),
Sound Output (PMPO)200W
Multi Langauge

Eng+Hindi,

Rear AV In/ Out

(1/1),

No of Programs

200,

10

Direct key for Tuning.

The high selling models of Samsung are as follows:

Model: CZ21K43SN-- Rs. 8,500/Features:


DNIe is

DNIe Jr,

Digital Noise Reduction


Sound Effect System is Turbo
Super Natural Sound, Sound Output(PMPO)
stereo Type

AV Stereo,

Base/ Treble/ Balance, Composite (AV)


Clock & On/Off timer,
Picture Size Control.

11

1 set

250W

Model: CZ21K44SN- M.R.P- 8500


Features: [same as the previous model of Samsung]

12

The highest selling model of Videocon:

Model: IS22. -- M.R.P- Rs.7500


Features:
54cm Pure Flat TV
650W PMPO Stereo Sound Output
Digital Sensi Eye- adjusts the picture according to ambient light conditions.
10-Mode Selectable Picture

13

Automatic Volume Leveller- establishes variations in sound level

Research objectives:
To know the perception of dealers about Videocons television.
To know the factors according to dealer that influences the customers while
purchasing a television.
To know the effect of various promotional schemes.
To know the factors that influences the dealers while purchasing a television
from a company.
To know about the prospects of LCD is Guwahati market.
To find out the customers perception about the brand of television they
own.
To know the factors that influences customers to purchase television.
To know about the striking media for advertising.
To know which brand of television has made the best impact in customers
mind.

14

To determine which variables the customers think about when they consider
their brand of television.
To know how Videocon is perceived by dealers and customers in relation to
Samsung and L.G.

RESEARCH DESIGN:
My research is exploratory, descriptive cross sectional and causal research.
DESCRIPTIVE CROSS-SECTIONAL: It is descriptive cross-sectional
because it covers many variables of interest. It gives a good overall picture
of the position of Videocon at a given time.
CAUSAL: My research is also causal in nature because with reasonable
confidence we can state whether a variable is affected by another variable or
not. The research seeks to establish causation.

Research methodology:
The major parts of research methodology are discussed below:
Data has been collected from primary sources- dealers and customers. Data
collection on Flat T.V was obtained from those dealers of Guwahati who
stock Videocon T.V and also from customers in general. Data collection on
L.C.D was obtained from few dealers of Guwahati. Personal interviews were
taken for dealers and questions were explained to them. Personal interviews
were taken for those customers who did not understand the printed
questionnaire.
Sampling plan: No sample size has been calculated. It is basically
convenience sampling in case of customers. In case of dealers it is judgement
15

sampling as it was decided that only those dealers who r currently stocking
Videocon television will be covered. All the dealers stocking Videocon
television now were covered.

Customer sample size

100

Dealer sample size for Flat T.V

16

Dealer sample size for L.C.D

13

Customer sample size includes customers of different income groups and life styles.
Dealers in Guwahati were divided into different areas. Videocons dealers have
been divided into 5 areas. The details of areas are as follows.
The area has been defined as follows:
Area
1

Dealers
Tarang, Galaxy electronic, G.B enterprise, Vikram sales and Bharali

brothers, Pan bazaar.


Uphonic, Rohini, Raj electronics, Rong ghar, Sunshine, Bambino,

3
4
5

City electronics, Excellent India.


Bharali brothers, Chandmari
Manju electronics
Rhino electronics

The dealers have been divided into different areas to see whether there is any
significant difference in the responses given by them. Few dealers stay in one area
and so the average of their opinion is used in few analysis.
Field work plan and dates: Before collecting data from dealers with the aid
of questionnaire, I gathered knowledge about consumer durable goods for
first one week. I met few dealers of Guwahati and learned about the
different goods and also understood the market situation from them. Only
after this, I became more specific and I prepared questionnaire to study the
market scenario on television and prospects of L.C.D as told by my guide in
Videocon.

16

From 15th May onwards, I again went to the market and met different
dealers who stock Videocon T.V. I met 16 dealers in 8 days (2 dealers per
day) and also met dealers of L.C.D. My data collection from dealers was
over before 25th May.
Address of Videocon customers were collected from few dealers. I visited
few Videocon customers from 28th May onwards and took their interview
with the aid of printed questionnaire. I went to few schools and apartments
and collected data on different brands of Television to study the
competitors market. My data collection from customers was over by 20 th
June.
Analysis plan: It was decided in the very beginning of the project that
analysis will be done with the help of SPSS and MS Excel. Questionnaire
was prepared by keeping this analysis plan in mind.
The details of the plan are as follow:
1) To show the responses of dealers and customers with the help of pie
diagram and bar diagram.
2) To do cross tabulation between two questions which are related to each
other.
3) To apply one to one ANOVA to find out whether there is any significant
difference between the responses and to know consumer behaviour in
different areas
4) To do a factor analysis to understand the psychology of the customers
and to find out the underlying significant drivers of consumer behaviour
while purchasing television.
5) To prepare attribute mapping of Samsung, L.G and Videocon.

17

ANALYSIS OF DEALERS OPINION


ANALYSIS IS DONE USING SPSS. FOLLOWING TOOLS OF SPSS
ARE USED:
SIMPLE TABULATION (BAR DIAGRAMS, PIE DIAGRAMS)
CROSS TABULATION
ANOVA

18

FACTOR ANALYSIS
DISCRIMINANT ANALYSIS

Highest stock
onida
13%

BPL
6%
samsung
LG
onida
samsung
56%

LG
25%

BPL

Samsung seems to be dealers favorite as 56% of the dealers has Samsung as


their highest number
of stock.
Second
highest number of Stock

Sony
6%

salora
6%

samsung
19%
samsung
LG
Videocon

Videocon
19%

Sony
LG
19 50%

salora

L.G is giving good competition as 50% of the dealers has L.G as their second
highest number of stock.

Highest sale

Videocon
13%

BPL
6%

samsung
31%
samsung
LG
Videocon
BPL

LG
50%

highest
sale
Although, Samsung issecond
dealers
favorite
but L.G seems to be customers

favorite as 50% of the dealers agree that L.G is the highest selling brand.
BPL
19%

salora
6%
samsung
43%

samsung
LG
Videocon

onida
6%

onida
BPL

Videocon
13%

LG
13%

salora

20

43% of the dealers opinion is that Samsung is the 2nd highest selling brand.

Most influencing Factor

Picture
Quality
6%

Aesthetics
6%

Aesthetics
Price
Brand Image
Price
44%

Brand Image
44%

Picture Quality

There seems to be two types of customers. One is brand sensitive customers


and another is price sensitive as 44% dealers opinion is that price is most
influencing factor and another 44% of the dealers opinion is that brand
image is what that drives the customers.
21

Second most inluencing factor


sales
people's
opinion
13%
sound 6%

Aesthetics
6%
Aesthetics

Price 25%

Price
Brand Image
Picture Quality
sound

Picture
Quality 44%

sales people's opinion

Brand
Image 6%

44% of the dealers opinion is that picture quality is the 2nd most influencing
factor for the customers while purchasing television
Third most influencing factor
sales people's
opinion
6%

Aesthetics
19% price
6%

Aesthetics
price
Picture Quality

sound
44%

sound
Picture
Quality
25%

sales people's opinion

Again, 44% of the dealers opinion is that sound quality is the third most
influencing factor in customers purchase decision making.

Thus, we can conclude that brand name of the company matters the most
for one set of customer customers and another set of customers are price
22

sensitive. Picture quality and sound quality should be such that it can
attract the customer and enable him to purchase the television.

Best consumer promotion


onida
13%

samsung
43%

videocon
6%

samsung
lg
videocon
onida
lg
38%

43.75% of the dealers opinion is that Samsung is giving the best consumer
promotion offers. Right now, Samsung is giving Khulja Slim Slim Offer.
On purchase of Samsung Flat TV the customers are entitled to
Khullja slim slim offer card. This card needs to be scratched
brand
off. The offers are free Best
upgrade
or name
sets of 2 Blockbuster
samsung
series DVD movies The customer has to be lucky
to get free upgrade
38%

offer. If the customer gets this offer then he is assured to get a high priced
T.V at a low price. For example, a customer may get ultra slim fit TV by
purchasing a simple Flat T.V.

samsung
lg

lg
62%

23

62.50% of the dealers opinion is that L.G has got the best brand name in
the market followed by Samsung. And thats why; L.G seems to be the
highest selling brand.
Best Aesthetics
onida
6%

bpl
6%

sony
6%

samsung
lg
sony
onida
samsung
57%

lg
25%

bpl

Most Reliable
57% of the dealers opinion is that Samsung has the best aesthetics. The
bpl

appearance is such
samsung The finishing touch given
6% that it can attract customers.
25%
by Samsung is better than most of the brands.

samsung
lg
bpl
lg
69%

24

69% of the dealers opinion is that L.G is the most reliable brand.
Best Sound
sansui
13%

samsung
19%

onida
19%

lg
6%

samsung
lg
videocon
sony
onida

sony
6%

videocon
37%

sansui

When it comes to sound quality, then 37% of the dealers opinion is that
Videocon has the best sound quality.
Best NLC
bpl
19%
samsung
lg
videocon
19%

videocon
lg
6%

25

samsung
56%

bpl

56% of the dealers opinion is that Samsung is giving them the best Net
Landing Rate. Because of this, Samsung leads when it comes to highest
number of stock. So, it is clear that dealers stocks that brand which gives
highest Net landing Rate. L.G is not giving a very good net landing rate so it
is 2nd in the list of highest number of stock even though L.G is the highest
selling brand.
Best after sale service

onida
13%

samsung
25%

BPL
6%

samsung

sony
6%

L.G
philips
sony
onida

philips
6%

L.G
44%

BPL

43.75% of the dealers opinion is that L.G is giving the best after sale service
and this is one of the reasons for its high demand.
Best in shop advertisement

Vieocon
25%

BPL
6%

samsung
31%
samsung
L.G
Vieocon
BPL
L.G
38%

26

It seems that there is tough competition between L.G, Samsung and


Videocon for brand visibility inside the shop. 38% of the dealers opinion is
that L.G is doing the best in shop branding. As L.G is celebrating its 11 th
anniversary so it is doing more in shop branding to attract the customers.
31% and 25% of the dealers opinion is that Samsung and Videocon is doing
the best in shop branding to attract the customers.
Best trade promotional activity
onida
6%

BPL
6%
samsung

Vieocon
13%

L.G
Vieocon
samsung
50%

onida
BPL

L.G
25%

50% of the dealers opinion is that Samsung is giving them the best schemes.
So, Samsung is not only giving best consumer promotion offers but also the
best trade promotion offers. Because of this Samsung is actually dealers
Best
pictureapprox.
quality
favorite. Samsungs scheme
is Rs.800
onida
13%

BPL
6%
samsung

philips
6%

L.G
philips
L.G
19%

27

samsung
56%

onida
BPL

56% of the dealers opinion is that Samsungs picture quality is the best
among all the brands.

Conclusion from above findings:


The most influencing factor according to dealers that influence the
customers while purchasing the television is brand name and price. L.G is
having the best brand name and thus it is the highest selling brand in
most of the outlets. 2nd most influencing factor is picture quality and
Samsung has the best picture quality followed by L.G.
So, it is clear that L.G and Samsung are the market leaders right now as
they are dominating the influencing factors that influence the customers
while purchasing television.
It is also clear that dealers prefer that brand which is giving them the best
net landing rate and not the one which is having the best brand name.
Samsung is giving the best net landing rate and also healthy trade
promotion offers and so dealers prefer Samsung. Samsung gives Rs.800
approx as dealer margin and schemes Rs.200. L.G has high demand in
market and the schemes given by L.G is Rs.400 approx and margin is
Rs.600 approx. After sale service of Samsung and LG is regarded as best.
LG has introduced Toll Free number recently.

28

DEALERSS SATISFACTION WITH VIDEOCON TELEVISION


satisfaction with brand name

50.00%
40.00%
30.00%

Series1

20.00%
10.00%
0.00%

Poor

Fair

Good

Very
good

50% of the dealers opinion is that the brand name of Videocon is good and
25% of the dealers opinion is that its just fair.
Satisfaction with Aesthetics
40.00%
35.00%
30.00%
25.00%
20.00%
15.00%
10.00%
5.00%
0.00%

Series1

Poor

Fair

29

Good

Very
good

37.50% and 31.25% of the dealers feel that the aesthetics of Videocon is
good and very good. So, the aesthetics are good enough to attract the
customers. Samsung has best aesthetics so Videocon can work on this.
Satisfaction with performance

40%
30%
20%

Series1

10%
0%
Fair

Good

Very excellent
good

37.50% of the dealers opinion is that Videocon television is giving good


performance but 31.25% of the dealers feel that the performance is just fair.
Satisfaction with net landing cost

40.00%
35.00%
30.00%
25.00%
20.00%

Series1

15.00%
10.00%
5.00%
0.00%
Poor

Fair

Good

30

Very excellent
good

37.50% of the dealers feel that the net landing rate provided by Videocon is
good but 25% of the dealers feel that the net landing rate is just fair.

Satisfaction with Consumer promotion activities


Very good
Good
Series1
Fair
Poor
0.00%

10.00%

20.00%

30.00%

40.00%

37.50% of the dealers opinion is that the consumer promotion activities of


Videocon is good while 31.25% of the dealers opinion is that the consumer
promotion offer is just fair.
Satisfaction with advertisement
Excellent
Very good
Good
Fair
Poor
0.00% 10.00 20.00 30.003140.00 50.00 60.00
%
%
%
%
%
%

Series1

56.25% of the dealers think that the advertisement of Videocon is good

Satisfaction with after sale service


50.00%
40.00%
30.00%
20.00%

Series1

10.00%
0.00%

Poor

Good

Excellent

43.75% of the dealers say that after sale service of Videocon is good.

Satisfaction with Trade promotional activities

50.00%
40.00%
30.00%
Series1

20.00%
10.00%
0.00%

Poor

Fair

Good

VeryExcellent
good

32

50% of the dealers are not very much satisfied with the trade promotion
activity of Videocon. They say that the trade promotion is just fair.

Satisfaction with picture quality

70.00%
60.00%
50.00%
40.00%
30.00%
20.00%
10.00%
0.00%

Series1

Poor

Fair

Good

VeryExcellent
good

68.75% of the dealers opinion about videocons picture quality is good


Satisfaction with sound quality

50.00%
40.00%
30.00%
Series1

20.00%
10.00%
0.00%

Poor

Fair

Good

VeryExcellent
good

33

50% of the dealers think that Videocons sound quality is good but 37.50%
of the dealer thinks that Videocons sound quality is very good.

Satisfaction with In shop advertisement

Excellent
Very good
Good

Series1

Fair
Poor
0.00% 10.00% 20.00% 30.00% 40.00% 50.00%

43.75% of the dealers think that Videocons in shop branding is good but
25% of the dealers think that it is poor.
At present 16 dealers in Guwahati are dealing with Videocon television and the rating
given by them is hovering around 2 and 3 which means fair and good .The rating is
hovering around fair and good. Few dealers gave ratings as very good and no one
gave excellent. This shows that dealers are satisfied with Videocon to some extent. So,
Videocon needs to raise its bar and dominate the market which right now is dominated
by Samsung and L.G.

34

Does In Shop Branding Increases Sales?

no
19%
yes
no
yes
81%

81.25% of the dealers think that in shop branding increases the sales. They
think that in shop branding increases the visibility of the brand in an outlet
which is crowded by many brands. Samsung and L.G are having the best in
shop branding followed by Videocon. This is also one of the reasons for high
sale of Samsung and L.G in Guwahati market.

35

rank of striking medias


12

frequencies

10

rank 1
rank 2
rank 3
rank 4
rank 5
rank 6

8
6
4
2

ho

ar
di
ng

t
er
ne
int

az
in
es

tv

fm
io
ra
d

m
ag

ne

ws
pa

pe

media

11 dealers think that T.V is the best media for advertising.


10 dealers think that newspaper is the 2nd best media for advertising.
7 dealers think that hoardings should be the 3rd best media for advertising.
5 dealers think that radio fm should be 3rd best media and 6 dealers think
that it should be 4th best media.
Internet and magazines are given last preference by all the dealers.
Radio fm is a form of media which is unexplored by the companies. As most of
the people listen
to preferred
radio so it factor
may befor
a striking
a company to
Most
dealers media
beforefor
buying
advertise.
Consumer
demand
6%

television from a Company


Relationship
with company
6%

NLC
Brand name

Brand name
37%

NLC
51%

36

Consumer demand
Relationship with
company

51% of the dealers give 1st preference to net landing rate before buying
television from a company. Only 37% of the dealers give 1st preference to
brand name. This shows that brand name of a company does not matters the
most for the dealers. If the company gives a good net landing rate then most
of the dealers are ready to stock that brand.

Trade promotional activity expected by Dealers

Free goods
6%

Cash
discount
6%

Schemes
Free goods
Cash discount
Schemes
88%

88% of the dealers expect better schemes from company. Dealers expect
increase in schemes by 2% to 3% on MRP.
Dealers also expect to get a free television or refrigerator incase of bulk
purchase.
Dealers expect free tour package to foreign countries incase of huge sale
37

Are Stock Requirements Met In Time?


No
13%

Yes
No
Yes
87%

87.50% of the dealers say that their stock requirements form Videocon are
met in time but remaining dealers says that their stock requirement are not
met in time.

Any complains till now from Videocon


customers?

No
13%
Yes
No
Yes
87%
Does Videocon Responds
Quickly?

No
7%

87.50% of the dealers says that there has been complain from Videocon
customers

Yes
No
Yes
38
93%

93% of the dealers say that Videocon responds quickly to customers


complain

CROSS TABULATIONS :
[ALL THE CHI- SQUARED TEST HAS BEEN CARRIED AT 90%
CONFIDENCE LEVEL]
For finding out whether there is change in consumer behavior in different areas as
defined by me in the analysis, I did a cross tabulation and conducted a chi-square
test. The null hypothesis assumed is that there is no significant difference between
customers of different areas and their most influencing factor while purchasing a
television.
Chi-Square Tests

Pearson Chi-

Value

df

Asymp. Sig.

22.629

12

(2-sided)
.031

39

Square

The small value (.031) of Pearsons Chi-square test clearly states that there is
significant difference between customers of different areas and their most
influencing factor while purchasing a television.
Symmetric Measures

Contingency

Value

Approx.

.765

Sig.
.031

Coefficient

Contingency coefficient is .765 which is more than .500. This means that the
relationship between variables is strong and with approx. significance as .031, it can
be said with certainty that the relationship between the variables selected holds
true.
The objective of preparing this bar diagram is to show the difference between
different area of customers and the most influencing factor for them while
purchasing television.

40

consumer behaviour

most influencing factor while


purchasing T.V

6
5
4

aesthetics
price

brand image
picture quality

2
1
0
area 1

area 2

area 3

area 4

area 5

area of dealers

Area 1 includes dealers of Paltan bazaar, fancy bazaar and pan bazaar. The
bar diagram reveals out of the 5 dealers in this area, 4 dealers are of the
opinion that the most influencing factor for customers while purchasing a
television is brand image. Thus, the customers of this area are brand
sensitive.
Area 2 includes dealers of basistha chariali, lokhra and hatigaon. The bar
diagram reveals that out of 8 dealers in this area, 5 dealers are of the
opinion that the most influencing factor for customers while purchasing a
television is price. Thus, the customers of this area are price sensitive
Area 3 which include bharali brothers chandmari is of the view that
customers are brand sensitive.
Area 4 which include manju electronics in maligaon is of the view that
customers are price sensitive.
For finding out whether dealers stock that brand which has high demand, I made
a cross tabulation of highest number of stock and highest number of sale and
conducted a chi-square test. The null hypothesis assumed is that there is no

41

significance relationship between highest number of stock of a particular brand


and highest number of sale of a particular brand.
Chi-Square Tests

Pearson Chi-

Value

df

Asymp. Sig. (2-

23.944

sided)
.004

Square

The small value (.004) of Pearsons Chi-square test clearly states that there is
significant relationship between highest number of stock of a particular brand kept
by dealers and highest number of sale of that particular brand.
Symmetric Measures
Contingency

Value
.774

Approx. Sig.
.004

Coefficient

Contingency coefficient is .774 which is more than .500. This means that the
relationship between the variables selected is strong and as approximate
significance is .004 so with a high confidence level we can say that the relationship
between the variables holds true.

The main objective of preparing this bar diagram is to show the relationship
between highest number of stock of a particular brand kept in a particular outlet
and highest number of sale of a particular brand in that outlet.

42

highest number of stock and highest number of


sale

sale at dealer's outlet

6
5
samsung

L.G

videocon

BPL

1
0
samsung

L.G

onida

BPL

highest number of stock

It can be interpreted from the bar diagram that 9 dealers has Samsung as
their highest number of stock and 5 dealers out of 9 has Samsung as their
highest selling brand.
Again, 4 dealers have L.G as their highest number of stock and 3 dealers out
of 4 has L.G as their highest selling brand.
Only 1 dealer has BPL as their highest number of stock and high selling
brand in that outlet is also BPL.
There is an exception in 2 dealers outlet. Both the dealers have Onida as their
highest number of stock but highest selling brands are L.G and Videocon.

For finding out whether the dealers stock that brand the most which provides
highest N.L.C, I did a cross tabulation and conducted a chi-square test. The null
hypothesis assumed is that there is no significant relationship between the highest
number of stock kept by a dealer and the Net landing rate provided by that brand.
43

Chi-Square Tests

Pearson

Value

df

Asymp. Sig. (2-

21.333

sided)
.011

Chi-Square

The small value (.011) of Pearsons Chi-square test clearly states that there is
significant relationship between the highest number of stock kept of a particular
brand and net landing rate provided by that brand
Symmetric Measures

Contingency

Value

Approx.

.756

Sig.
.011

Coefficient

Contingency coefficient is .756 which is more than .500. This means that the
relationship between variables is strong and with approx. significance as .011, it can
be said with certainty that the relationship between the variables selected holds
true.

The main objective of preparing the following bar diagram is to show that most of
the dealer stocks that brand which gives the best Net landing rate instead of
stocking that brand which has high demand. The next preference is given to the
brand which has got high demand.

44

N.L.C

highest number of stock and highest N.L.C


10
9
8
7
6
5
4
3
2
1
0

samsung
L.G
videocon
BPL

samsung

L.G

onida

BPL

highest number of stock

9 dealers out of 16 dealers surveyed has Samsung as highest number of stock


and all the 9 dealers are of the opinion that Samsung give them the best net
landing rate.
4 dealers has L.G as their highest number of stock but only in 1 outlet L.G is
giving the best net landing rate. Even then L.G is stock the most because of
high customer demand.
2 dealers have Onida as their highest number of stock but net landing rate is
best given by Videocon and BPL.
1 dealer has BPL as their highest number of stock and BPL give then the
best Net landing rate.
From this we can conclude that, most of the dealers opt for that brand which gives
them the best net landing rate.
For finding out whether high sale of a particular brand is because of good
consumer promotion activities conducted by that brand, I did a cross tabulation
and conducted a chi-square test. The null hypothesis assumed is that there is no
significant relationship between high sale of a particular brand and consumer
promotion activity given by that brand.
45

Chi-Square Tests
Pearson Chi-

Value
17.524

df
9

Asymp. Sig. (2-sided)


.041

Square

The small value (.041) of Pearsons Chi-square test clearly states that there is
significant relationship high sale of a particular brand and consumer promotion
activity given by that brand.
Symmetric Measures
Contingenc

Value
.723

Approx. Sig.
.041

y
Coefficient

Contingency coefficient is .723 which is more than .500. This means that the
relationship between variables is strong and with approx. significance as .041, it can
be said with certainty that the relationship between the variables selected holds
true.

The objective of preparing the following bar diagram is to show the relationship
between highest sale of a particular brand and highest consumer promotion offer
given by that brand.

46

dealer's opinion about


consumer promotion

highest number of sale and highest consumer


promotion
6
5
samsung

L.G

videocon

onida

1
0
samsung

L.G

videocon

BPL

highest number of sale

5 dealers say that Samsung is the highest selling brand in their outlet and
Samsung gives best consumer promotion offers.
8 dealers say that L.G is the highest selling brand in their outlet and 5
dealers are of the opinion that L.G gives the best consumer promotion
offers.
BPL is the highest selling brand in one outlet and BPL gives good consumer
promotion offers according to that dealer.
In 2 outlets Videocon is highest selling brand although Samsung and L.G is
giving the best consumer promotion
Thus, we can conclude that the brand which gives good consumer promotion
offers is recording high sale too.

47

For finding out whether high sale of a particular brand is because of excellent
brand name enjoyed in the market, I did a cross tabulation and conducted a chisquare test. The null hypothesis assumed is that there is no significant relationship
between high sale of a particular brand and excellent brand name enjoyed by it in
the market
Chi-Square Tests
Value

df

Asymp.
Sig. (2-

Pearson Chi-

13.867

sided)
.003

Square

The small value (.003) of Pearsons Chi-square test clearly states that there is
significant relationship between high sale of a particular brand and excellent brand
name enjoyed by that particular brand in the market.
Symmetric Measures
Contingency

Value
.681

Approx. Sig.
.003

Coefficient

Contingency coefficient is .681 which is more than .500. This means that the
relationship between variables is strong and with approx. significance as .003, it can
be said with certainty that the relationship between the variables selected holds
true.

48

The objective of preparing this bar diagram is to show the relationship between
highest sale of a particular brand and the brand name enjoyed by that brand in the
market.

dealer's opinion about


brand name

highest sale and best brand name


9
8
7
6
5
4
3
2
1
0

samsung
L.G

samsung

L.G

videocon

BPL

highest sale

5 dealers are of the opinion that Samsung is highest selling brand in their
outlet and they think that Samsung enjoys the best brand name in the
market.
8 dealers are of the opinion that L.G is the highest selling brand in their
outlet and L.G is the best brand according to them.
Thus, we can conclude that the brand which has made an impact in customers
mind has high demand. Customers are brand conscious.

49

For finding out whether high sale of a particular brand is related to aesthetics of
that brand, I did a cross tabulation and conducted a chi-square test. The null
hypothesis assumed is that there is no significant relationship between high sale of
a particular brand and aesthetics of that brand
Chi-Square Tests
Value
Pearson Chi-

22.278

df

Asymp. Sig. (2-

12

sided)
.035

Square

The small value (.035) of Pearsons Chi-square test clearly states that there is
significant relationship between high sale of a particular brand and aesthetics of
that brand.
Symmetric Measures
Contingency

Value
.763

Approx. Sig.
.035

Coefficient

Contingency coefficient is .763 which is more than .500. This means that the
relationship between variables is strong and with approx. significance as .035, it can
be said with certainty that the relationship between the variables selected holds
true.

50

The objective of preparing this bar diagram is to show the relationship between
highest sale of a particular brand and the aesthetics of that brand.
high sale of a brand and aestheitics of that brand

dealer's opinion about


aesthetics

6
5

samsung

L.G

sony

onida
bpl

1
0
samsung

L.G

videocon

BPL

highest selling brands

Again, 5 dealers are of the view that one of the reasons for Samsungs high
sale is because of its aesthetics. The television is such that it can attract
customers.
Again, L.G is the highest selling brand in 8 outlets and 3 dealers are of the
view that L.Gs aesthetics are the best. Although they say that Samsung is
equally good.
Again, the dealers who say that BPL is the highest selling brand also say that
it has got the best aesthetics.
Thus, we can conclude that aesthetics plays a major role in customers mind
while purchasing a television. Samsung seems to have the best aesthetics and
also has high demand.

51

For finding out whether high sale of a particular brand is because it is reliable, I
did a cross tabulation and conducted a chi-square test. The null hypothesis assumed
is that there is no significant relationship between high sale of a particular brand
and reliability with brand
Chi-Square Tests

Pearson Chi-

Value

df

Asymp. Sig. (2-

20.682

sided)
.002

Square

The small value (.002) of Pearsons Chi-square test clearly states that there is
significant relationship between high sale of a particular brand and reliability with
that brand.
Symmetric Measures
Contingency

Value
.751

Approx. Sig.
.002

Coefficient

Contingency coefficient is .751 which is more than .500. This means that the
relationship between variables is strong and with approx. significance as .002, it can
be said with certainty that the relationship between the variables selected holds
true.

52

The objective of preparing this bar diagram is to show the relationship between
highest sale of a particular brand and the aesthetics of that brand.
high sale and reliabilty

dealer's opinion about


reiabilty

8
7
6
5

samsung

L.G

bpl

2
1
0
samsung

L.G

videocon

BPL

highest selling brands

5 dealers say that Samsung is the highest selling brand in their outlet and 3
dealers say that Samsung is most reliable and is one of the factors for its
high demand.
Again, in 8 outlets L.G is the highest selling brand and 7 dealers are of the
view that L.G is the most reliable brand and thats why customers demand
L.G.
Again, BPL is highest selling brand according to one dealer and the dealer is
of the view that BPL is most reliable.
Thus, we can conclude that the brand which is most reliable ha high demand.

53

For finding out whether high sale of a particular brand is related to favorable net
landing cost provided by that brand to the dealer, I did a cross tabulation and
conducted a chi-square test. The null hypothesis assumed is that there is no
significant relationship between high sale of a particular brand and net landing
rate provided by that brand to the dealer
Chi-Square Tests
Value

df

Asymp.
Sig. (2-

Pearson Chi-

17.778

sided)
.038

Square

The small value (.023) of Pearsons Chi-square test clearly states that there is
significant relationship between high sale of a particular brand and net landing cost
provided by that brand to the dealer.
Symmetric Measures

Contingency

Valu

Approx. Sig.

e
.725

.038

Coefficient

Contingency coefficient is .725 which is more than .500. This means that the
relationship between variables is strong and with approx. significance as .038, it can
be said with certainty that the relationship between the variables selected holds
true.

54

The objective of preparing this bar diagram is to show the relationship between
highest sale of a particular brand and the aesthetics of that brand.

dealer's opinion about net


landing rate

high sale and net landing rate


6
5
samsung

L.G

videocon

bpl

1
0
samsung

L.G

videocon

BPL

high selling brands

It is very clear from the bar diagram that the brand which gives the best net
landing rate has high sale. Dealers always try to sale that brand which gives them a
healthy net landing rate.
5 dealers say that Samsung is the highest selling brand in their outlet and
Samsung gives them the best net landing rate.
Videocon is the highest selling brand in 2 outlets and Videocon gives best net
landing rate.
BPL is the highest selling brand in one outlet and BPL gives the best net
landing rate to that dealer
Although, L.G is not giving a healthy net landing rate but even then it is the
highest selling brand. It is because L.G has the best brand name in the
market.

55

For finding out whether high sale of a particular brand is also because of after
sale service provided by it, I did a cross tabulation and conducted a chi-square test.
The null hypothesis assumed is that there is no significant relationship between
high sale of a particular brand and after sale service provided by that brand
Chi-Square Tests
Value

df

Asymp.
Sig. (2-

Pearson Chi-

24.671

15

sided)
.055

Square

The small value (.023) of Pearsons Chi-square test clearly states that there is
significant relationship between high sale of a particular brand and after sale
service of that brand.
Symmetric Measures
Contingency

Value
.779

Approx. Sig.
.055

Coefficient

Contingency coefficient is .779 which is more than .500. This means that the
relationship between variables is strong and with approx. significance as .055, it can
be said with certainty that the relationship between the variables selected holds
true.

56

The objective of preparing this bar diagram is to show the relationship between
highest sale of a particular brand and the after sale service of that brand.

dealer's opinion about after


sale service

high sale and after sale service


3.5
3

samsung

2.5

L.G

philips

1.5

sony

onida
bpl

0.5
0
samsung

L.G

videocon

BPL

highest selling brand

3 dealers are of the view that Samsung gives the best after sale service and
that why it has high demand.
Again, 3 dealers are of the view that L.G gives the best after sale service and
thats why it has high demand.
One dealer is of the view that BPL gives the best after sale service and thats
why it is high selling brand in his outlet.

57

For finding out whether high sale of a particular brand is related to favorable
trade promotion activity provided by that brand to the dealer, I did a cross
tabulation and conducted a chi-square test. The null hypothesis assumed is that
there is no significant relationship between high sale of a particular brand and
trade promotion provided by that brand to the dealer
Chi-Square Tests

Pearson Chi-

Value

df

Asymp. Sig. (2-

27.000

12

sided)
.008

Square

The small value (.023) of Pearsons Chi-square test clearly states that there is
significant relationship between high sale of a particular brand and trade
promotion provided by that brand to the dealer.
Symmetric Measures
Contingency

Value
.792

Approx. Sig.
.008

Coefficient

Contingency coefficient is .792 which is more than .500. This means that the
relationship between variables is strong and with approx. significance as .008, it can
be said with certainty that the relationship between the variables selected holds
true.

58

The objective of preparing this bar diagram is to show the relationship between
highest sale of a particular brand and trade promotion provided by that brand to
the dealer.

dealer's opinion about trade


promotion

high sale and trade promotion


6
5

samsung

L.G

videocon

onida
bpl

1
0
samsung

L.G

videocon

BPL

high selling brands

Samsung is the highest selling brand in 5 outlets out of the 16 outlets


surveyed and Samsung gives the best trade promotion in all those 5 outlets.
L.G is the highest selling brand in 8 outlets out of the 16 outlets surveyed
and L.G gives the best trade promotion offers to 4 dealers out of 8 dealers.
Videocon is the highest selling brand in 2 outlets and in 1 outlet it gives best
trade promotion offers.
BPL is the highest selling brand in 1 outlet and BPL gives the best trade
promotion offer in that outlet.
Thus, we can conclude that trade promotion plays a very important role in the sale
of the product.
While studying the consumer behavior, I noticed that customers often take advice
of the sales man in the shop. The customer asks the sales man about the efficiency
of the products. The sales man very wisely tries to sell that brand which gives them
best trade promotional offers. Most of the dealer prefers to sell that brand which
59

gives them profit. It is evident from the bar diagram that high sale of a brand is
related to trade promotional offers given by that brand.

ANOVA
(1) My next step is to find out the satisfaction level of the dealers of different areas
on different attributes of Videocon television. For this purpose I conducted one-way
ANOVA with area of dealers as factor and dependent variable being the
satisfaction of the various dealers with the attributes. I had assumed a set of 11 null
hypotheses for conducting the test.
The significance level assumed by me is 90% or 0.10. If the value in Sig. column
in ANOVA table is less than .10, it proves that at 90% confidence level the variation
in independent variable is able to cause significant variation is dependent variable.
The test reveals that there is no significant difference between different area of
dealers and the rating given by them on aesthetics, advertisement and sound
quality and after sale service.
But with a high confidence level we can conclude that there is significant level of
difference between the different areas of dealers and rating given by them on
satisfaction regarding brand name, performance, net landing rate, consumer
promotion activities, trade promotion, picture quality and in shop advertisement.
The Sig. column below reveals the significance level.
ANOVA
satisfaction with brand name

Sig.
.004

satisfaction with aesthetics

.230

satisfaction with performance

.017

satisfaction with net landing cost

.075

satisfaction with consumer promotion activities

.067

60

satisfaction with advertisement

.355

satisfaction with trade promotion

.069

satisfaction with after sales service

.571

satisfaction with picture quality

.059

satisfaction with sound

.168

satisfaction with in shop ad

.021

The following table will give the mean values given by different areas of dealers:
Descriptive
Mean
satisfaction with
brand name

satisfaction with

DEALERS NAME
GB, galaxy, tarang, vikram sales, bharali brothers
panbazar.
raj,rhino,uphonic,excellent,city,sunshine,rong
ghor,bambino
Bharali brothers chandmari
manju
rhino
Total
gb,galaxy,tarang,vikram,bharali panbazar

2
3.125
2
4
4
2.8125
2.4

aesthetics
raj,rhino,uphonic,excellent,city,sunshine,rong

satisfaction with

ghor,bambino
bharali chandmari
manju
rhino
Total
gb,galaxy,tarang,vikram,bharali panbazar

3.125
2
4
4
2.9375
2.4

performance
raj,rhino,uphonic,excellent,city,sunshine,rong

satisfaction with

ghor,bambino
bharali chandmari
manju
rhino
Total
gb,galaxy,tarang,vikram,bharali panbazar

3.25
2
4
5
3.0625
1.8

net landing rate


raj,rhino,uphonic,excellent,city,sunshine,rong
ghor,bambino
bharali chandmari
manju

3.125
1
4

61

satisfaction with

rhino
Total
gb,galaxy,tarang,vikram,bharali panbazar

3
2.625
1.8

raj,rhino,uphonic,excellent,city,sunshine,rong

2.375

consumer
promotion
activities

satisfaction with

ghor,bambino
bharali chandmari
manju
rhino
Total
gb,galaxy,tarang,vikram,bharali panbazar

3
4
4
2.4375
1.8

advertisement
raj,rhino,uphonic,excellent,city,sunshine,rong

satisfaction with

ghor,bambino
bharali chandmari
manju
rhino
Total
gb,galaxy,tarang,vikram,bharali panbazar

2.75
3
3
3
2.5
1.6

trade promotion
raj,rhino,uphonic,excellent,city,sunshine,rong

satisfaction with

ghor,bambino
bharali chandmari
manju
rhino
Total
gb,galaxy,tarang,vikram,bharali panbazar

2.75
2
4
3
2.4375
2.6

after sales
service
raj,rhino,uphonic,excellent,city,sunshine,rong

satisfaction with

ghor,bambino
bharali chandmari
manju
rhino
Total
gb,galaxy,tarang,vikram,bharali panbazar

3
3
4
2
2.875
2.8

picture quality
raj,rhino,uphonic,excellent,city,sunshine,rong

satisfaction with

ghor,bambino
bharali chandmari
manju
rhino
Total
gb,galaxy,tarang,vikram,bharali panbazar

62

2.75
3
4
4
2.9375
3.4

sound
raj,rhino,uphonic,excellent,city,sunshine,rong

satisfaction with

ghor,bambino
bharali chandmari
manju
rhino
Total
gb,galaxy,tarang,vikram,bharali panbazar

2.875
4
4
4
3.25
1.4

in shop ad
raj,rhino,uphonic,excellent,city,sunshine,rong
ghor,bambino
bharali chandmari
manju
rhino
Total

2.625
2
4
3
2.3125

Interpretation of the output:


The rating scale was defined as follows:

1= poor, 2= fair, 3= good, 4=very good, 5= excellent.


Average mean given by all the dealers for different attributes of Videocon are
highlighted by red colour. If we see the mean column then we can notice that the
average mean for different attributes of Videocon is less than 3 except for
performance and sound quality which is more than 3.
Thus, we can say that the rating given by different dealers of Videocon is hovering
around 2 and 3 which means Fair and good.
The mean values of different areas are highlighted in blue colour in the above table.
We can notice that area 1 which includes G.B Ent., tarang, galaxy, vikram sales,
bharali brothers pan bazaar are not very much satisfied with videocon. The
average mean given by them is somewhere around 2 or even below that. This shows
that they consider different attributes of Videocon T.V to be just fair.
Whereas, area 2 which includes city electronics, excellent, rohini, uphonic, raj, rong
ghar, sunshine , bambino are satisfied to some extent with Videocon as their ratings
are more than 3 in most of the cases which means good.
Manju and rhino which comprise of area 4 and area 5 in my analysis are very
much satisfied with Videocon and they have given rating as 4 in most of the cases

63

which means very good. Bharali brothers chandmari which is area 3 in my analysis
is also not very much satisfied with Videocon as we can see the rating given by them
in mean column. Thus, we can conclude that area 1 and area 3 are not very much
satisfied.

INTRODUCTION TO FACTOR ANALYSIS


Factor analysis is a useful method of reducing data complexity by reducing the
number of variables being studied. This analysis helps in knowing what exactly
makes a customer to buy a television. This analysis helps in knowing the underlying
significant drivers of consumer behaviour. Factor analysis is a set of techniques
which, by analyzing correlations between variables, reduces their variables into
fewer factors which explains much of the original data, more economically
Important points:
Stage 1 can be called the factor extraction process, where our objective is to
identify how many factors will be extracted form the data.
The higher the Eigen value of a factor, the higher is the amount of variance
explained by the factor. Since the objective is to reduce the variables to a
fewer number of factors, we usually retain those with an Eigen value of 1 or
more.
Stage 2 is called rotation of principal components. Values close to 1
represent high loadings and those close to 0, low loadings. The objective is to
find which variables have a high loading on one factor, but low loadings on
other factors. For example, if in factor 1, loadings of picture quality, sound
quality and added features are close to 1 then these variables are combined
and a suitable name, representing the essence of these 3 original variables is
given.
Here, I have assumed .700 and above as high loading.
64

Following are the underlying significant drivers of consumer behaviour while


purchasing television:
Feature sensitive
Concerned about longevity
Brand conscious
Attractive look of the television
The above finding has been done with the help of factor analysis which is described
below in detail:
I have 9 factors in my study. They are aesthetics, price, brand image, reliability,
added features, picture quality, sound, after sales service, sales peoples opinion.
The objective of doing factor analysis is to find underlying factors which would be
fewer than 9 in number but would be linear combinations of some of the original 9
variables.
Factor analysis on the factors under study resulted in following output:
Final statistics:
Variable

Communality

Initial
Eigen

aesthetics

.977

price
brand name
reliability
added

.886
.936
.883
.884

features
picture
sound

.897
.916

fact

values
Total

or
1
2
3
4

3.705
2.050
1.323
1.096

65

%of
Variance
41.162
22.775
14.699
12.182

Cumulative %
41.162
63.937
78.636
90.818

service
sales people

.912
.884

opinion

Factor Matrix
aesthetics
price

factor1
-.299
-.649

Factor 2
.127
-8.915E-

Factor 3
-.272
.666

Factor 4
.893
-.110

brand name
reliability
added

.236
.288
.898

02
-.575
-.718
-.198

-.638
.523
-.143

-.379
.108
.136

features
picture
sound
service
sales

.901
.773
-.125
-.908

.197
.533
.904
-2.584E-

.192
.180
-7.047E-02
-.175

-9.905E-02
4.453E-02
-.271
-.169

peoples

02

opinion

Rotated Factor Matrix


aesthetics

factor1
-.147

factor2
-3.561E-

factor3
-9.399E-02

Factor 4
-.972

price
brand

-.549
-9.217E-02

02
.205
.201

-.695
.912

.241
.235

name
reliability
added

.169
.787

.899
.290

-.112
.424

.182
-3.256E-02

features
picture
sound
service
sales

.911
.904
7.744E-02
-.911

1.296E-02
-.269
-.907
-.225

3.956E-02
-.146
-.263
-6.346E-02

.254
6.540E-02
.120
-1.825E-02

peoples
opinion

Interpretation of output:

66

1) In Final statistics table, we find a column named Communality. Final statistics


table tells us that after 4 factors were extracted and retained, the communality is .
977 for aesthetics, .886 for price and so on. This means that .977 or 97.7% of the
variance (information content) of variable 1 i.e. Aesthetics is captured by our 4
extracted factors together and so on.
2) The first step in interpreting the output is to look at the factors extracted, their
Eigen values and the cumulative percentages of variance (table- final statistics). We
see from the cumulative percentage column that the three factors extracted
together account for 90.82 % of the total variance (information contained in the
original 9 variables). This is a pretty good bargain, because we are able to
economise on the number of variables (from 9, it is reduced to 4 underlying
factors). While we lost only 9% of the information content (90.82% is retained by
the 3 factors extracted out of the 9 original variables.)
Now the second task which follows is that of interpreting what these 4 extracted
factors represent. This we can accomplish by looking at Factor matrix and Rotated
factor matrix table.
3) Looking at the table Rotated factor matrix, we notice that in factor 1 column,
variables viz. Added features, picture quality and sound have loadings of .787, .911
and .904. This suggests that factor 1 is a combination of these 3 original variables.
Factor matrix table also suggest similar grouping. Therefore, there is no problem in
interpreting that factor 1 is a combination of Added features, Picture quality and
Sound quality.
At this point the task is to find out a suitable phrase which captures the essence of
original variables which continue to form underlying concept or factor. In this case,
factor 1 could be names as Feature sensitive or quality product.
4) Looking at the table Rotated factor matrix, we notice that in factor 2 column,
variable namely Reliability have high loading of .899. But, if we look at Factor
67

matrix table, a slightly different picture emerges. Here, variable namely after sale
service also has a high loading of .904 on factor 2 column. Thus, both after sales
service and reliability are taken together. Now, we may combine these variables
into a factor called Trust or Guarantee or Longevity or any other
similar word or phrase which captures the essence of these two variables.
5) For interpreting factor 3, we look at the column labeled factor 3 in Rotated
matrix table and Factor matrix table. We find only one variable i.e. Brand name
having a high loading of .912 in Rotated factor matrix table. Thus, phrase for this
variable can be brand conscious.
6) For interpreting factor 4, we look at the column labeled factor 4 in Rotated
matrix table and Factor matrix table. We find one variable i.e. Aesthetics having
high loading of .893 in factor matrix table. Thus, phrase for this variable can be

appearance sensitive or attractiveness.

Discriminant analysis:

68

The objective of this analysis is to draw a perceptual map using an attribute-based


procedure, of dealers perception regarding three brands of television. The three
brands are Videocon, Samsung and L.G. Data was collected from 16 dealers, on 11
attributes namely brand name, aesthetics, performance, Net Landing Cost,
consumer promotion activities, advertisement, trade promotion, after sale service,
picture quality, sound and in shop branding. The variables are measured using a
five-point rating scale. With a higher value indicating a favorable variable.
Wilks' Lambda
Test of

Wilks'

Chi-square

df

Sig.

Function(s)
1 through 2
2

Lambda
.096
.516

79.511
22.484

22
10

.000
.013

In wilks lambda, value close to 0 indicates the group means are different. Values
close to 1 indicate that the group means are not different. Here the first wilks
lambda is .096 is close to 0 and .516 is not very close to 0. But even then, both will
be able to explain differences in the groups.
Standardized Canonical Discriminant Function Coefficients
consumer promotion
brand name
aesthetics
performance
sound quality
net landing rate
after sale service
in shop branding
trade promotion
picture quality
advertisement

Function1
-.224
.992
-.323
.199
-.092
-.708
.576
-.023
-.318
.290
.619

Function2
.355
-.303
.472
-.488
.146
.870
-.286
-.135
-.288
.080
.518

The higher value of the coefficients for a particular attribute on a function indicates
the higher loading of the same on that function.
Functions at Group Centroids
name of

Function
1

company
Samsung

.0759

1.319

69

L.G
Videocon

2.423
-2.499

-.690
-.629

The above table displays the canonical variable means by group. Within-group
means are computed for each canonical variable. In this example for the first
canonical variable, the average discriminant score for Samsung is .075. This table is
used to plot the brands on the attribute plot.
Peceptual map television brands and attributes
1.5

0.5
Series1
0
-3

-2

-1

-0.5

-1

Interpretation of the graph:

Based on the distances of the attribute vectors from the axis and their
lengths it can be concluded that after sale service, brand name, picture
quality, advertisement, trade promotion and in shop branding weight
heavily on function 1. The graph also indicates that sound quality, consumer

70

promotion, aesthetics, in shop branding, trade promotion and net landing


rate weight heavily on function 2.

It appears that L.G is strongly represented by brand name, after sale service
and performance.

Samsung

is

firmly

identified

by

sound

quality,

picture

quality,

advertisement, net landing cost, consumer promotion activities and


aesthetics.

Videocon, right now, is not strong in any of the areas according to the
dealers.

Findings in detail:
1) Most of the dealers stock that brand which gives them healthy net landing
cost and trade promotion schemes. Samsung gives best net landing cost and
also good schemes and so it is also kept as highest number of stocks by most
of the dealers.

71

2) The schemes given by Samsung are Rs.200 approx and dealer margin is
Rs.800 approx. Again, L.G gives Rs.400 approx as schemes and margin is
Rs.600 approx.
3) Also, Samsung leads in aesthetics and consumer promotion.
4) L.G is most reliable and has got best after sales service. The service is
prompt. In case of complain, service is given within a day.
5) It was found that dealers expect free television incase of bulk purchase of
television. Dealers also expect free tour packages incase of huge sales.
6) The most influencing factor according to dealers for one set of customers
while purchasing the television is brand name and for another set of
customer it is price. L.G is having the best brand name and price is also
affordable and thus it is the highest selling brand in most of the outlets. 2 nd
most influencing factor is picture quality and Samsung has the best picture
quality followed by L.G. Samsung and L.G are dominating the influencing
factors that influence the customers while purchasing television.
7) At present 16 dealers in Guwahati are dealing with Videocon television and
few dealers have given rating as good on different attributes of Videocon
T.V. The rating is hovering around fair and good. Very Few dealers gave
ratings as very good and no one gave rating as excellent. This shows that
dealers are satisfied with Videocon to some extent.
8) According to dealers Television and newspaper are the best medium for
advertising followed by hoardings and radio fm.
9) If the company gives a good net landing rate then most of the dealers are
ready to stock that brand. Brand name and customers demand are
secondary for most of the dealers.

72

10) Most of the dealers want better schemes from company. Apart from
ordinary schemes, dealers want extra schemes. According to them, increase
in M.R.P by Rs.300 by increasing schemes by Rs.300 will not affect the
customers much and dealers too benefit a lot.
11) Factor analysis revealed that according to dealers customers are :
a. Feature sensitive
b. Concerned about longevity
c. Brand conscious
d. Concerned about appearance of the television.
12) The customers of Paltan bazaar, Pan Bazaar, Fancy Bazaar and Chandmari
are mostly brand sensitive. The customers of Basistha chariali, Hatigaon,
Lokhra and Maligaon are mostly price sensitive.
13) There is significant level of difference between the different areas of dealers
and rating given by them on satisfaction with Videocons brand name,
performance, net landing rate, consumer promotion activities, trade
promotion, picture quality and in shop advertisement
14) L.G is perceived by the dealers to be strong in the area of brand name, after
sale service, in shop branding, performance. Samsung is strong in the area
of aesthetics, consumer promotion activities, picture quality, sound quality,
advertisement and net landing rate
15) There is significant relationship between high sale of a particular brand and
net landing rate and trade promotional activities provided by that brand to
the dealer, aesthetics of that brand, attractive offers given by that brand,
after sale service given by that brand.

73

74

ANALYSIS OF CUSTOMERS OPINION


ANALYSIS IS DONE USING SPSS. FOLLOWING TOOLS OF SPSS
ARE USED:
SIMPLE TABULATION (BAR DIAGRAMS, PIE DIAGRAMS)
CROSS TABULATION
ANOVA
FACTOR ANALYSIS
DISCRIMINANT ANALYSIS

Type of T.V that customers own

LCD
7%

CTV
40%

CTV
Flat TV
LCD

Flat TV
53%

75

53% of the customers own Flat TV and 40% of the customers surveyed own
Conventional TV. Very few people own LCD.
The brand which customers can recall the most
6
5
4
3

Rank
Rank, 5
Rank, 4

2
Rank, 3
1

Rank, 2
Rank, 1

0
Sony

LG

Samsung

Onida

Videocon

The bar diagram clearly depicts that most of the customers can recall Sony
closely followed by LG.
The advertisement of the brand that customers can
recall the most
Videocon

Brands

Samsung
LG

Rank

Sony
Onida
0

763
Rank

Most of the customers can recall the advertisement of Onida closely followed
by Sony and LG. The person who acted as devil in Onida advertisement has
made considerable impact.

Preferred type of TV incase of repurchase by the


customer at this moment

LCD
44%

Flat TV
Flat TV
56%

LCD

56% of the customers want to repurchase Flat TV and 44% of the customers
brand
incase of repurchase of television by
want toPreferred
repurchase
LCD.
customers at this moment

onida
6%

bpl akai
1% 1%

samsung
18%

samsung
lg
videocon
philips
sony

sony
35%

onida
philips
1%

videocon 77
11%

lg
27%

bpl
akai

35% of the customers are opting for Sony closely followed by LG and
Samsung.

Reasons for preferring Sony, LG and Samsung

Rank is in the order of most important


reason

7
6
5
Sony

LG
3

Samsung

2
1
0
Brand
image

Picture Features
quality

Sound

price

Reliabilty

Attributes
The above graph is in the order of most important reasons
Sony is preferred because of brand image followed by picture quality,
features, sound, price.
LG is preferred because of price followed by brand image, picture quality,
sound quality, features.

78

Samsung is preferred because of picture quality followed by brand image,


sound quality, reliability, features and price.

Influence of the following in customers mind. 1= 10% influential, 10=


100% influential.

Influence of advertisement in newspaper in


customer's mind

1
4%

4%

4%

11%

17%
13%

4
5
6

10%

6%
13%

7
8

18%

9
10

18% of the people say that advertisement in newspaper is 50% influential in


Influence
advertisement
television
their decision
making. of
17%
of the peopleinsay
that it is 80% influential.
2%

15%

7%

2%
4%
6%

1
2
3
4
5

6%

21%

6
7

13%

79
24%

8
9
10

24% of the people surveyed are of the opinion that advertisement in


television is 80% influential. 21% say that it is 90% influential. 15% are of
the opinion that it is 100% influential.

Influence of in shop branding


30
25
20
Percentage
15
of opinion
10

Series1

5
0Influence of advertisement in magazine
1 2 3 4 5 6 7 8 9 10
25%
surveyed areofofinfluence
the opinion that in shop branding is
25of the customersPercentage
60& influential and 17% of the customers are of the opinion that it is 80%
20
influential.
15
Series1

10
5

80

0
1

10

21% of the customers are of the opinion that advertisement in magazine is


60% influential and most of the customers are of the opinion that it is
somewhere around 40% to 50% influential

Influence of advertisement in internet


10

percentage of influence

9
8
7
6

Series1

5
4
3
2
1
0

10

81 15

20

percentage of people's opinion

25

21% of the people are of the opinion that advertisement in internet is 50%
influential and 19% of the customers are of the opinion that advertisement
in internet is 40% influential. Almost 15% of the people are of the opinion
that it is least influential.

percentage of people's opinion

Influence of advertisement in hoardings


25
20
15
Series1
10
5
0
1

82
6
7

percentage of influence

10

21% of the people are of the opinion that advertisement in hoarding in 21%
influential while 18% of the people are of the opinion that advertisement in
hoarding is 60% influential. 15% are of the view that it 50% influential.
influence of sales people's opinion

30
25
20
percentage
of people's 15
opinion
10

Series1

5
0
1

9 10

percentage of influence

30% of the people are of the opinion that their purchase decision is
influence of opinion by friends and relatives

influenced by sales peoples opinion. Few customers are of the opinion that
they get 60% to 70% influenced. Rest of the opinion is scattered. Few
30

customers are of the opinion that sales peoples opinion is less influential
25

while few have rated as highly influential.


20
percentage
of people's 15
opinion
10

Series1

5
0
1

83 6

percentage of influence

9 10

26% of the people are of the opinion that they get 80% influenced by the
opinion of friends and relatives. High percentage of people gets influenced
by this kind of word of mouth marketing.

Awareness of Videocon's advertisement led by Dhoni


and Shahrukh

yes
32%
yes
no
no
68%

84

Celebrities like Dhoni and Shahrukh couldnt make considerable impact as


68% of the customers dont remember the advertisement of Videocon that
featured superstars like Dhoni and Shahrukh

Income level and rating given for brand loyality


3.5
3

rating

2.5
2

Series1

1.5
1
0.5
0
less
than
10,000

10,000
to
20,000

21,000 31,000
to
to
85
30,000 40,000

income level

40,000 &
above

1= completely disagree, 2= disagree, 3=agree and 4= completely agree.


People with income level of Rs.40,000 and above have given rating as 3
which means that they agree to buy those products which comes under their
brand. This shows that these people are loyal customers. Rest of the income
level people do not agree to this and are mostly brand switchers.
Satisfaction with advertisement
bpl
onida

Brands

haier
sony

Series1

philips
videocon
lg
samsung
0

Rating given by customers for the brand they


own

1= poor, 2=fair, 3=good, 4=very good, 5=excellent


The rating given by Videocon customers for advertisement is below 3 which
means that the users of Videocon TV are not satisfied with the current
promotional activities of Videocon. Whereas, users of LG, Samsung, Onida
and Sony customers are has rated advertisement of their brand as good

86

Most of the customers are satisfied with the performance of their brand of
television. There was significant difference in the rating given by customers.
Difference was seen in advertisement. This is quite obvious as most of the brands
are not doing advertisement except for few players like L.G., Samsung, Onida,
Sony.

Highest number of complain

Samsung
0%

LG
6%

sony
11%

Onida
33%

Onida
BPL
Videocon

Videocon
11%

Samsung
LG
sony
BPL
39%

Highest number of complain is against brands like Onida and BPL. 33%
and 39% is quite high

CROSS TABULATION
For finding out whether the users of a particular brand of television will again
buy the same brand incase of repurchase, I made a cross tabulation of users of a
particular brand of television and the preferred brand incase of repurchase and
conducted a chi-square test. The null hypothesis assumed is that there is no

87

significance relationship between users of a particular brand of television and


preferred brand incase of repurchase of television.
Chi-Square Tests

Pearson Chi-

Value

df

Asymp. Sig.

132.285

84

(2-sided)
.001

Square

The small value (.001) of Pearsons Chi-square test clearly states that there is
significant relationship between users of a particular brand of television and the
preferred brand in case of repurchase.
Symmetric Measures
Contingency

Value
.786

Approx. Sig.
.001

Coefficient

Contingency coefficient is .786 which is more than .500. This means that the
relationship between variables is strong and with approx. significance as .001, it can
be said with certainty that the relationship between the variables selected holds
true.

Preferred brand incase of repurchase

akai
bpl
onida of preparing this bar diagram is to see the relationship between
The objective
users
bpl
BRAND

onida
of a particular brand of television and the preferred brand in case of repurchase.
sony

sony
videocon

philips

lg
samsung

videocon
lg
samsung
0

888

10

OPINION OF PEOPLE

12

14

16

12 out of 16 users of Samsung prefer Samsung televisions incase of


repurchase.
13 out of 16 users of LG prefer LG televisions incase of repurchase.
9 out of 16 users of Videocon prefer Videocons television incase of
repurchase.
Again, Sony customers prefer to buy Sony.

Highest number of complains were against brands like BPL and ONIDA. The users
of these brands prefer brands like Sony, Samsung and LG.

FACTOR ANALYSIS TO STUDY THE PSYCHOLOGY OF VIDEOCON


TELEVISION CUSTOMERS:
The psychology of Videocon customers is as follows
Highly proud of ownership
Quality conscious.

89

The above finding has been done with the help of factor analysis which is described
below in detail:
I have 10 factors in my study. They are as follows:
I feel proud whenever I see the advertisement of my brand.
I am proud to be owner of my brand
My brand of television makes me feel superior
Everybody should know about my brand
My brand of television is very reliable
The longevity should be minimum of 5 years
The features of my brand is more important than price
I will always buy those products which comes under my brand
The price is more important that features
I prefer to pay by installments.
The objective of doing factor analysis is to find underlying factors which would be
fewer than 9 in number but would be linear combinations of some of the original 9
variables.
Factor analysis on the factors under study resulted in following output:

Final statistics
Variables

i feel proud whenever i see

Communality

Factor

.669

the advertisement of my

90

Initial

% of

Cumulative

Eigen

Variance

values
4.073

40.727

40.727

brand
i am proud to be owner of

.722

my brand
my brand of television

.788

makes me feel superior


everybody should know

.724

about my brand
my brand of television is

.556

reliable
the longevity should be

.626

minimum of 5 years
the features of my brand

.911

2.505

25.054

65.781

are more important than


price
i will always buy those

.354

products which comes


under my brand
the price is more important
i prefer to pay by

.801
.427

installments

Factor Matrix
Factor 1
.818

Factor 2
2.298E-02

my brand
i am proud to be owner of my brand
my brand of television makes me feel superior
everybody should know about my brand
my brand of television is reliable
the longevity should be minimum of 5 years
the features of my brand are more important

.816
.888
.851
.746
-.163
9.046E-02

-.237
-1.088E-02
7.402E-03
-4.848E-03
.774
.950

than price
i will always buy those products which comes

.472

.363

i feel proud whenever i see the advertisement of

under my brand

91

the price is more important


i prefer to pay by installments

3.240E-02
.642

-.894
.123

Factor 1
.818

Factor 2
5.143E-03

my brand
i am proud to be owner of my brand
my brand of television makes me feel superior
everybody should know about my brand
my brand of television is reliable
the longevity should be minimum of 5 years
the features of my brand are more important

.811
.887
.851
.746
-.146
.111

-.254
-3.023E-02
-1.115E-02
-2.111E-02
.778
.948

than price
i will always buy those products which comes

.480

.353

1.289E-02
.644

-.895
.109

Rotated Factor Matrix


i feel proud whenever i see the advertisement of

under my brand
the price is more important
i prefer to pay by installments

Interpretation of the output:


1) In Final statistics table, we find a column named Communality. Final statistics
table tells us that after 2 factors were extracted and retained, the communality is .
669 for I feel proud whenever I see advertisement of my brand, .772 for I am
proud to be owner of my brand and so on. This means that .669 or 69.9% of the
variance (information content) of variable is captured by our 2 extracted factors
together and so on.
2) In final statistics table, we see from the cumulative percentage column that the
two factors extracted together account for 65.78 % of the total variance
(information contained in the original 10 variables). This is a good bargain, because
we are able to economise on the number of variables (from 10, it is reduced to 2
underlying factors). While we lost 34.22% of the information content (65.78%% is
retained by the 2 factors extracted out of the 10 original variables.)

92

3) Now the second task which follows is that of interpreting what these 4 extracted
factors represent. This we can accomplish by looking at Factor matrix and Rotated
factor matrix table.
4) Looking at the table Rotated factor matrix, we notice that in factor 1 column,
variables viz. proud to see advertisement, proud to be owner. Superior feeling,
everybody should know about my brand and my brand is very reliable have
loadings of .818, .811, .887, .851, .746. This suggests that factor 1 is a combination of
these 5 original variables. Factor matrix table also suggest similar grouping.
Therefore, there is no problem in interpreting that factor 1 is a combination of
these variables. At this point the task is to find out a suitable phrase which captures
the essence of original variables which continue to form underlying concept or
factor. In this case, factor 1 could be names as highly proud of ownership

5) Looking at the table Rotated factor matrix, we notice that in factor 2 column,
variables viz. the longevity should be minimum 5 years and the features are
more important than price have loadings of .778 and .948. This suggests that
factor 2 is a combination of these 2 original variables. Factor matrix table also
suggest similar grouping. Therefore, there is no problem in interpreting that factor
1 is a combination of these 2 variables. At this point the task is to find out a suitable
phrase which captures the essence of original variables which continue to form
underlying concept or factor. In this case, factor 1 could be names as quality

conscious

FACTOR ANALYSIS TO STUDY THE PSYCHOLOGY OF L.G


TELEVISION CUSTOMERS:

93

The psychology of L.G. customers is as follows


Highly proud of ownership
Quality conscious.
Loyal customers
The above finding has been done with the help of factor analysis which is described
below in detail:
The factors considered are same. Factor analysis on the factors under study
resulted in output explained in the next page.

Final statistics
Variables

Comm

Factor

unality

Initial

% of

Cumulative

Eigen

Variance

i feel proud whenever i see the

.612

values
3.619

36.187

36.187

advertisement of my brand
i am proud to be owner of my

.942

3.231

32.308

68.495

brand
my brand of television makes

.900

1.374

13.737

82.233

me feel superior
everybody should know about

.918

my brand
my brand of television is

.859

reliable
the longevity should be

.905

minimum of 5 years
the features of my brand are

.854

more important than price


i will always buy those products

.741

94

which comes under my brand


the price is more important
i prefer to pay by installments

.729
.764

Factor Matrix
Factor 1

Factor 2

Factor 3

i feel proud whenever i see the advertisement of

.597

.491

-.117

my brand
i am proud to be owner of my brand
my brand of television makes me feel superior
everybody should know about my brand
my brand of television is reliable
the longevity should be minimum of 5 years
the features of my brand are more important than

.660
.923
.838
.852
.180
.213

-.497
.195
.407
-.305
.868
.847

.509
-.101
-.226
-.200
.344
.303

price
i will always buy those products which comes

.614

-.548

.252

.302
5.268E-

-.666
-.479

-.441
.452

under my brand
the price is more important
i prefer to pay by installments

02
Rotated Factor Matrix
Factor 1

Factor 2

Factor 3

i feel proud whenever i see the advertisement of

.713

.309

-8.542E-02

my brand
i am proud to be owner of my brand
my brand of television makes me feel superior
everybody should know about my brand
my brand of television is reliable
the longevity should be minimum of 5 years
the features of my brand are more important

.298
.922
.943
.752
.290
.328

-.143
6.116E-02
.166
-.402
.900
.857

.913
.214
-2.396E-02
.362
-.104
-.111

95

than price
i will always buy those products which comes

.324

-.331

.725

under my brand
the price is more important
i prefer to pay by installments

.232
-.318

-.811
2.422E-02

.132
.600

Interpretation of the output:


1) In Final statistics table, we find a column named Communality. Final statistics
table tells us that after 3 factors were extracted and retained, the communality is .
612 for I feel proud whenever I see advertisement of my brand, .942 for I am
proud to be owner of my brand and so on. This means that .612 or 61.2% of the
variance (information content) of variable is captured by our 3 extracted factors
together and so on.
2) In final statistics table, we see from the cumulative percentage column that the
two factors extracted together account for 82.23 % of the total variance
(information contained in the original 10 variables). This is a good bargain, because
we are able to economise on the number of variables (from 10, it is reduced to 2
underlying factors). While we lost 17.77% of the information content (82.23%% is
retained by the 3 factors extracted out of the 10 original variables.)
3) Looking at the table Rotated factor matrix, we notice that in factor 1 column,
variables viz. proud to see advertisement, superior feeling, everybody should know
about my brand and my brand is very reliable have loadings of .713, .922, .943, .
752. This suggests that factor 1 is a combination of these 4 original variables.
Factor matrix table also suggest similar grouping. Therefore, there is no problem in
interpreting that factor 1 is a combination of these variables. At this point the task
is to find out a suitable phrase which captures the essence of original variables

96

which continue to form underlying concept or factor. In this case, factor 1 could be
names as highly proud of ownership
4) Looking at the table Rotated factor matrix, we notice that in factor 2 column,
variables viz. the longevity should be minimum 5 years and the features are
more important than price have loadings of .900 and .857. This suggests that
factor 2 is a combination of these 2 original variables. Factor matrix table also
suggest similar grouping. Therefore, there is no problem in interpreting that factor
1 is a combination of these 2 variables. At this point the task is to find out a suitable
phrase which captures the essence of original variables which continue to form
underlying concept or factor. In this case, factor 1 could be names as quality

conscious
5) Looking at the table Rotated factor matrix, we notice that in factor 3 column,
variables viz. I am proud to be owner of my brand and I will always buy those
products which comes under my brand have loadings of .913, .725. This suggests
that factor 3 is a combination of these 2 original variables. Factor matrix table also
suggest similar grouping although the loading for the variable I will always buy
those products which comes under my brand is very less. Therefore, there is no
problem in interpreting that factor 3 is a combination of these 2 variables. At this
point the task is to find out a suitable phrase which captures the essence of original
variables which continue to form underlying concept or factor. In this case, factor 1
could be names as hard core loyal customers

FACTOR ANALYSIS TO STUDY THE PSYCHOLOGY OF SAMSUNG


TELEVISION CUSTOMERS:
The psychology of L.G. customers is as follows

97

Proud of ownership
Quality conscious.
Considers Samsung to be very reliable
The above finding has been done with the help of factor analysis which is described
below in detail:

The factors considered are same. Factor analysis on the factors under study
resulted in following output
Final statistics
Variables

Communalit

Factor

Initial

% of

Eigen

Variance

Cumulative%

.760

values
3.826

38.259

38.259

my brand
i am proud to be owner

.689

2.591

25.908

64.167

of my brand
my brand of television

.852

1.308

13.077

77.243

makes me feel superior


everybody should know

.878

about my brand
my brand of television is

.851

reliable
the longevity should be

.939

minimum of 5 years
the features of my brand

.836

i feel proud whenever i


see the advertisement of

are more important than


price
i will always buy those

.327

products which comes


under my brand
the price is more

.794

important
i prefer to pay by

.798

98

installments

Factor Matrix
Factor 1

Factor 2

Factor 3

i feel proud whenever i see the advertisement of my

.585

-.647

4.591E-03

brand
i am proud to be owner of my brand
my brand of television makes me feel superior
everybody should know about my brand
my brand of television is reliable
the longevity should be minimum of 5 years
the features of my brand are more important than

.718
.809
.883
.405
.122
.528

.122
-.250
.250
-.188
.850
.721

-.398
-.367
.186
.807
.449
-.195

price
i will always buy those products which comes under

.472

-.195

.256

my brand
the price is more important
i prefer to pay by installments

-.817
-.430

-.351
.234

5.368E-02
-.139

Rotated Factor Matrix


Factor 1

Factor 2

Factor 3

i feel proud whenever i see the

.240

-.750

.374

advertisement of my brand
i am proud to be owner of my brand
my brand of television makes me

.799
.719

-.220
-.573

-4.676E-02
8.308E-02

feel superior
everybody should know about my

.779

3.396E-02

.520

brand
my brand of television is reliable
the longevity should be minimum of

-2.151E-02
.275

-3.017E-02
.877

.922
.308

5 years
the features of my brand are more

.800

.440

-5.276E-02

important than price


i will always buy those products

.231

-.230

.470

-.849
-1.140E-02

-6.843E-02
.451

-.263
-.443

which comes under my brand


the price is more important
i prefer to pay by installments

99

Interpretation of output
1) In Final statistics table, we find a column named Communality. Final statistics
table tells us that after 3 factors were extracted and retained, the communality is .
760 for I feel proud whenever I see advertisement of my brand, .689 for I am
proud to be owner of my brand and so on. This means that .760 or 76.0% of the
variance (information content) of variable is captured by our 3 extracted factors
together and so on.
2) In final statistics table, we see from the cumulative percentage column that the
two factors extracted together account for 77.24 % of the total variance
(information contained in the original 10 variables). This is a good bargain, because
we are able to economise on the number of variables (from 10, it is reduced to 3
underlying factors). While we lost 22.76% of the information content (77.24% is
retained by the 3 factors extracted out of the 10 original variables.)
3) Looking at the table Rotated factor matrix, we notice that in factor 1 column,
variables viz. I am proud to be owner, superior feeling, everybody should know
about my brand have loadings of .799, .719, .779. This suggests that factor 1 is a
combination of these 3 original variables. Factor matrix table also suggest similar
grouping. Therefore, there is no problem in interpreting that factor 1 is a
combination of these variables. At this point the task is to find out a suitable phrase
which captures the essence of original variables which continue to form underlying
concept or factor. In this case, factor 1 could be names as proud of

ownership.
N.B- Samsung customers are not proud of seeing the advertisement of their brand
4) Looking at the table Rotated factor matrix, we notice that in factor 2 column,
variable viz. the longevity should be minimum 5 years have loading of .877. This
suggests that factor 2 consist of 1 original variable. Factor matrix table also suggest

100

another variable viz features are more important than price and loading is .721.
Therefore, there is no problem in interpreting that factor 1 is a combination of
these 2 variables. At this point the task is to find out a suitable phrase which
captures the essence of original variables which continue to form underlying
concept or factor. In this case, factor 1 could be names as quality conscious
5) Looking at the table Rotated factor matrix, we notice that in factor 3 column,
variable viz. my brand is very reliable have loading of .922. This suggests that
factor 3 has just one variable. Factor matrix table also suggest similar grouping.
Therefore, there is no problem in interpreting that factor 3 has just one variable.

FACTOR ANALYSIS TO STUDY THE CONSUMER BEHAVIOUR:


Following are the underlying significant drivers of consumer behaviour while
purchasing television:
Feature sensitive or concerned about quality product
Concerned about after sale service
Lucrative offers
Security conscious
The above finding has been done with the help of factor analysis which is described
below in detail:
I have 11 factors in my study. They are aesthetics, price, brand image, reliability,
added features, picture quality, sound, after sales service, warranty period,

101

attractive offer and easy payment. The objective of doing factor analysis is to find
underlying factors which would be fewer than 11 in number but would be linear
combinations of some of the original 11 variables.
Factor analysis on the factors under study resulted in following output:
Final statistics:
Variable

Communality

factor

Initial

%of

Cumulative

Eigen

Variance

values

.593
.513
.598
.620
.590
.820
.817
.715
.724
.590
.530

aesthetics
price
brand image
reliability
added features
picture quality
sound quality
after sales service
warranty period
attractive offer
easy payment

1
2
3
4

2.845
1.868
1.302
1.096

25.863
16.980
11.836
9.964

25.863
42.843
54.680
64.644

Factor Matrix
factor1

aesthetics
price
brand image
reliability
added features
picture quality
sound quality
after sales service
warranty period
attractive offer
easy payment

factor2

-.518
-.536
-.422
-.416
-.241
.870
.830
.566
.296
-.153
.072

-.412
.398
-.317
-.040
-.564
-.245
-.351
.367
.212
.627
.603

factor3

Factor 4

.386
-.189
-.530
-.401
.461
.048
.056
-.318
-.177
.414
.392

Rotated Factor Matrix


Variables

aesthetics
price
brand

factor1

-.146
-.708
-.376

Factor 2

-.714
.086
-.060

Factor 3

-.042
.038
-.673

102

Factor 4

-.245
.057
-.012

.078
-.179
-.198
.534
-.036
.032
.051
.399
-.748
.043
.087

image
reliability
added
features
picture
quality
sound
quality
after sales
service
warranty
period
attractive
offer
easy
payment

-.314

.140

-.263

-.658

.148

-.746

-.081

-.073

.857

.223

-.026

.186

.876

.141

-.092

.143

.320

.742

.153

-.195

-.041

.251

-.088

.807

-.303

.032

.705

.029

-.099

.141

.705

.046

Interpretation of output:
1) In Final statistics table, we find a column named Communality. Final statistics
table tells us that after 4 factors were extracted and retained, the communality is .
593 for aesthetics, .513 for price and so on. This means that .593 or 59.3% of the
variance (information content) of variable 1 i.e. Aesthetics is captured by our 4
extracted factors together and so on.
2) The first step in interpreting the output is to look at the factors extracted, their
Eigen values and the cumulative percentages of variance (table- final statistics). We
see from the cumulative percentage column that the three factors extracted
together account for 64.64 % of the total variance (information contained in the
original 11 variables). This is a good bargain, because we are able to economise on
the number of variables (from 11, it is reduced to 4 underlying factors). While we
lost only 35.36% of the information content (64.44% is retained by the 4 factors
extracted out of the 11 original variables.)

103

Now the second task which follows is that of interpreting what these 4 extracted
factors represent. This we can accomplish by looking at Factor matrix and Rotated
factor matrix table.
3) Looking at the table Rotated factor matrix, we notice that in factor 1 column,
variables viz. picture quality and sound have loadings of .857 and .876. This
suggests that factor 1 is a combination of these 2 original variables. Factor matrix
table also suggest similar grouping. Therefore, there is no problem in interpreting
that factor 1 is a combination of Picture quality and Sound quality.
At this point the task is to find out a suitable phrase which captures the essence of
original variables which continue to form underlying concept or factor. In this case,
factor 1 could be names as Feature sensitive or quality product.
4) Looking at the table Rotated factor matrix, we notice that in factor 2 column,
only one variable viz. after sale service have high loading of .742. Thus, factor 2
can be called as concern about after sale service
5) For interpreting factor 3, we look at the column labeled factor 3 in Rotated
matrix table and Factor matrix table. We find only 2 variable i.e. attractive offer
and easy payment in Rotated factor matrix table having loading of .705 and .705.
Thus, phrase for this variable can be lucrative offers.
6) For interpreting factor 4, we look at the column labeled factor 4 in Rotated
matrix table and Factor matrix table. We find one variable i.e. warranty period
having high loading of .807 in rotated factor matrix table. Thus, phrase for this
variable can be security conscious.
DISCRIMINANT ANALYSIS:
The objective of this analysis is to draw a perceptual map using an attribute-based
procedure, of customers perception regarding three brands of television. The three
brands are Videocon, Samsung and L.G. Data was collected from 15 customers of

104

each brand on 7 attributes namely aesthetics, performance, advertisement,


reliability, after sale service, picture quality and sound quality. The variables are
measured using a five-point rating scale. With a higher value indicating a
favourable variable.
Wilks' Lambda
Test of

Wilks'

Function(s)
1 through 2
2

Lambda
.032
.141

Chi-square
22.049
10.224

df
14
6

Sig.
.078
.116

In wilks lambda, values close to 0 indicate the group means are different. Values
close to 1 indicate that the group means are not different. Here the first wilks
lambda is .032 and .141 which is close to 0. Both will be able to explain differences
in the groups.
Standardized Canonical Discriminant Function Coefficients
rating for aesthetics
rating for performance
rating for

Function1
.054
1.328
.569

Function 2
.412
.315
.677

advertisement
rating for after sale

-.065

-.276

service
rating for picture

-1.206

1.219

quality
rating for sound
rating for reliability

.441
-1.070

-1.938
.527

The higher value of the coefficients for a particular attribute on a function indicates
the higher loading of the same on that function
Functions at Group Centroids
name of

Function
1

company
Samsung
L.G
Videocon

-.877
.734
.143

.313
.540
-.853

105

The above table displays the canonical variable means by group. Within-group
means are computed for each canonical variable. In this example for the first
canonical variable, the average discriminant score for Samsung is -.877. This table
is
Perceptual mapping of Customers satisfaction with
Videocon, L.G and Samsung.
1.5
1

Function 2

0.5
0
-1.5

-1

-0.5

0.5

1.5

-0.5

Series1

-1
-1.5
-2
-2.5
Function 1

Interpretation of the above graph:

Based on the distances of the attribute vectors from the axis and their
lengths it can be concluded that after sale service, advertisement and
performance weight heavily on function 1. The graph also indicates that
aesthetics and after sale service weight heavily on function 2.

106

It appears that L.G is highly satisfied in the area of performance,


advertisement and after sale service.

Reliability and picture quality are not weighing heavily on any dimension
but we can say that customers of Samsung are satisfied with its picture
quality and reliability.

Sound quality is near Videocon and customers to some extent are satisfied
with Videocons sound quality.

Findings in detail:
1) 44% of the customers prefer to purchase LCD right now and 56% of the
customers prefer to purchase Flat T.V.
2) Majority of people wants to purchase LCD of Sony followed by Samsung and
L.G. Sony is preferred because of its brand image, picture quality, sound,
attractive features and also because it is reliable.
107

3) In case of Flat T.V, majority of the customers prefer L.G closely followed by
Sony. L.G is preferred because customers think that L.G has got the best brand
name and the price is also affordable. Other reasons are picture and sound
quality of L.G.
4) Videocon customers are not very much satisfied with advertisements.
5) There is no significant difference between different income level of customers
and type of television preferred.
6) Customers are mostly loyal customers as most of the customers incase of
repurchase prefers the brand which they are using right now.
7) Best brand impact in the minds of the customers is made by Sony. The other
brands are L.G, Samsung, Onida and Videocon.
8) Most of the customers can recall the advertisement of Onida followed by
Sony, Samsung, L.G and Videocon.
9) Complain against Onida and BPL are more. The owners of these brands
incase of repurchase are opting for Sony or LG.
10) People with income level of Rs. 40,000 and above are mostly brand loyal
customers.
11) Videocons advertisement campaign led by Dhoni and Shahrukh couldnt
make considerable impact as 63% of the customers surveyed cannot recall the
name of Videocon.

108

12) LG is perceived to be strong in the area of advertisement, performance and


aesthetics. Samsung is strong in the area of aesthetics and after sale service.
Videocon is strong in the area of after sale service but this is less important
attribute.
13) Factor analysis revealed that Videocon customers are highly proud of their
ownership and are quality conscious. LG customers also are highly proud
of ownership, are quality conscious and are loyal customers. Samsung
customers think their brand to be very reliable, are proud of ownership
and are quality conscious.
14) According to factor analysis, customers are
Feature sensitive
Concerned about after sale service
Economical
Security conscious.
15) Majority of the customers are influenced by the following in their purchase
decision:

Television

Newspaper

Opinion of sales people inside the shop

Opinion of friends and relatives.

PROSPECTS OF LCD
The full form of LCD is Liquid crystal display. LCD is the new upcoming form of
television with better picture quality. The market share of LCD is slowly increasing
in Guwahati. But, as the price is on the higher side, it is not preferred by most of
the customers. LCD is mostly for high end customers.
109

It would be interesting to see which brands of LCD are ruling the market.
Most of the dealers have less stock of LCD. 13 dealers were surveyed in Guwahati.
These dealers are well known in Guwahati market and major chunk of LCD is sold
by these dealers.

Analysis made from dealers opinion:


Highest brand of LCD sold

philips
8%

sanyo
8%
samsung
lg
philips

lg
23%

samsung
61%

sanyo

Out of the 13 outlet surveyed, 61% of the outlet say that highest selling
brand in Samsung. L.G is way behind and is the highest selling model in
23% of the outlets surveyed.

Size of LCD
32inch
15%

19inch
8%
19inch
26inch
32inch

26inch
110
77%

26 inches LCD is the highest selling size in most of the outlets.


Average sale of LCD

6 to 10
15%

5 or less than 5
6 to 10

5 or less than
5
85%

In 85% outlets out of the 13 outlets surveyed, average sale is 5 or less than 5.
Infact, in few outlets the sale is not even 1 per month and thus, the sale is not
very high. Mostly in areas like Ganeshguri, Christian basti, Fancy bazaar,
Paltan bazaar, chandmari, the sale is high. Almost 5 per month. In exclusive
showrooms the sale is 10 and more.

Analysis made from customers opinion:

111

Out of 100 customers surveyed, 44% of them are of the view that in case of
repurchase of television, they will opt for LCD. Thus, LCD is slowly making
a place in customers mind.
Preferred Brand of LCD

Preferred Brand

philips
Videocon
onida
LG

Series1

Samsung
sony
0

10

15

20

Opinion of people

Majority of the customers prefer to purchase LCD of Sony closely followed


by Samsung. Sony is preferred because of picture quality, reliability and
aesthetics. Samsung has excellent picture quality and aesthetics.

TO SUM UP:
Price of 26 inch LCD is Rs.33,000 approx and analysis proved that there is no
significant difference between different income level of people and preferred type of
television. People with income level of Rs.10,000 and above are also ready to buy
LCD incase of repurchase. Samsung and L.G launched new LCD series in the
112

month of May. Samsung launched SERIES 4 and LG launched SERIES called


SCARLET. Both Samsung and LG are doing lot of advertisement to promote LCD.
L.G is concentrating on advertisement whereas Samsung is going for sales
promotion. This is making considerable impact in the minds of the customer
although the consumer promotion offers given by Samsung are not very attractive.
The latest offer is free home theatre on purchase of high end LCD and price is
Rs.87,000 which is not affordable by common man. But, these brands are making a
strong presence in the market. According to dealers, LCD is showing an increasing
trend. LCD has demand in areas like Chandmari, Ganeshguri, Pan Bazaar. High
income level people live especially in these areas and thus these areas can be
targeted. Another segment of market is hotels, hospitals, restaurants. Demand for
LCD is increasing in these segments too. 42 to 47 inch LCD are preferred in this
segment. Again, dealers can push the sales of LCD provided they get good margin
of atleast 10%. If stock of LCD is increased inside the shop and MRP is reduced
then dealers can motivate customers to purchase LCD.
In areas like Lokhra, hatigaon, the sale of LCD is hardly 5 in 1 year. This shows
that penetration level of LCD is poor in these areas.
The main problem with LCD is that the customer should buy Home theatre along
with LCD and thus the total cost comes to Rs. 50,000 for 26 inch LCD. Thus, the
cost is very high and is affordable only by very higher income group.
Thus, LCD market is no doubt showing positive signs but this market is only for
higher income group people. Moreover, most of the people want a T.V which can
perform well. As customers are getting a good 21inch T.V at Rs. 7000 to 9000 so
they are satisfied with it and thus are not going for LCD.

113

SWOT ANALYSIS OF VIDEOCON


TELEVISION.
S = STRENGHT
W= WEAKNESS
O= OPPORTUNITY
T= THREAT
SWOT analysis will give an idea about the position of
Videocon in Guwahati market and possible business
trend.

Strength:
1) Brand name of Videocon is still one of the best. It can be market leader in
future.
2) The price of Videocon T.V is affordable.
3) Picture quality and specially sound quality of Videocon is regarded as good
by most of the dealers

114

4) As Videocon is entering many sectors so it will be always an added


advantage. This will create a positive impact on sales of television. Entering
many sectors will increase the visibility of the brand and thus will make an
impact on customers mind.
5) From research it was found that Videocon customers are very much
satisfied with the performance of television and infact they are doing
positive word of mouth marketing.
6) Videocon customers are highly proud of their ownership.
7) Most of the Videocon customers are brand loyal customers. They prefer to
purchase goods which come under Videocon.

Weakness
1) The schemes given by Videocon to most of the dealers is less and not
satisfactory.
2) There is lack of Videocon television inside the shop and so there is no brand
visibility.
3) Videocon have not made strong presence in LCD market.
4) In most of the outlets there are no glow sign boards. In shop branding is not
satisfactory.
5) The frequency of advertisement in newspaper and television is far less
compared to brands like LG and Samsung. The advertisement in local
newspapers is mostly black and white which is not attractive.
6) Consumer promotion activities are very less compared to other brands.
7) After sale service is not satisfactory according to few dealers and customers.
8) Videocon is not able to focus on consumer durable good business as it is
trying to enter many sectors.
9) Videocon hardly sponsors game shows or programmes.
10) The website of Videocon has no new news in whats new

Opportunities
1) Dealers are ready to stock Videocon television if attractive schemes are
given. Videocon can give extra scheme of 2% to 3% on MRP and capture
space in dealers outlet.
115

2) There is an opportunity to penetrate the market with attractive consumer


promotion offers as customers are attracted towards the brand which gives
valuable free gifts.
3) Radio FM is hardly used as medium of advertising by any company.
Videocon can capture this medium.
4) There is an opportunity to bring back Dhoni and Shahrukh together and
promote brand Videocon.
5) Videocon television is strong in the area of sound quality. Videocon can
make good use of this strength and make an impact in the minds of the
customer.
6) There is an opportunity to strengthen after sale service. If customers are
satisfied with service then there will be positive word of mouth marketing.

Threats
1) Dealers want healthy schemes and schemes of Videocon are not very
satisfactory. If this continues then market share of Videocon will drastically
come down.
2) If Videocon does not improve frequency of advertisement then there will be
no brand impact in customers mind and thus customers will not prefer
Videocon television.
3) Even if customers thinks of buying Videocon television they will land up
buying LG or Samsung as there are very less number of Videocon television
inside the shop.
4) Due to the introduction of the series of LCD like SCARLET from LG and
SERIES 4 BY Samsung, it will be difficult for Videocon to make a mark
in LCD market.

LIMITATION
My project suffers from few limitations and they are as follows:

116

My sampling is convenience sampling. No sampling technique was employed in


arriving at a sample size. So, the analysis may not be a true picture of the target
population.
Most of the dealers could not disclose the exact value of Net Landing Cost and
schemes given by different companies as they think that these information are
business secrets.
The opinion of dealer about one company may not be the same every month.
Survey was done in the month of May and June. The opinion might change in
succeeding months.
Few customers and dealers had bad experience with Videocon. For this reason,
they were totally against the brand name of Videocon. Because of this they were not
in favour of even a single factor.
Sample size taken for the study is not representative enough to draw very
relevant conclusions.
My project was only for 2 months and thus the project suffers from time
constraint.

RECOMMENDATIONS FOR ACTION:


From the study conducted in Guwahati market, it seems that the brand
name of Videocon is slowly diminishing. The frequency of advertisement in
newspaper and television in comparison to advertisement of brands like

117

Samsung and L.G. is very less. Advertisement needs to be frequent to make


an impact in the minds of the buyers. Thus, Videocon needs to work on
brand building again.
Consumer promotion should be attractive, only then the customers will be
attracted to buy. Samsungs Khulja slim slim offer provided scratch cards
and offers were not attractive and thus it did not bring any positive affect in
sales. If valuable free gifts are given with the purchase of television then
there may be increase in sales. Godrej gave free mixer grinder worth
Rs.3,000 of Bajaj along with purchase of frost free refrigerator of 230lt and
thus there has been increase in sales of Godrej in Guwahati market in the
month of May.
Videocon should give better net landing rate and attractive schemes. Dealers
expect 2% to 3% more on MRP. Videocon can increase M.R.P by 2% to 3%
by increasing schemes which will not bring down sales. Infact, dealers will
always try to push the sales of Videocon if the sales are going down. NET
LANDING COST is the trick of the trade.
There is no doubt that in shop branding definitely attracts those
customers who doesnt come to purchase with a brand name in mind.
Videocon should not only do in shop branding but should go for branding
outside the shop also. Big glow sign boards will definitely attract the
customers. There needs to be hoardings and banners in every nook and
corner of the city.
Radio fm is listened by most of the people. The craze is increasing at a fast
rate in Assam. Radio FM can be a good means of advertising.

118

Videocon television sets are very less in comparison to other brands in most
of the dealers outlet. The stock inside the shop should be increased. Only
then, the visibility inside the shop will increase.
It has been found from factor analysis that customers are quality conscious.
The sound quality of Videocon T.V is good but it needs to work on Picture
quality and Added features.
Representatives of Videocon should visit the dealers often. Videocon should
maintain better relationship with dealers.
www.videoconworld.com highlights Videocon Privilege Club. Very few
customers know about this. The news in Whats new is highlighting old
news. The website should be upgraded and Videocon should advertise the
advantages of such privilege cards.
Videocon should sponsor game shows and programmes. LG is sponsoring
game shows like kya aap panchvi paas se tez hain in Star Plus hosted by
Shahrukh Khan and Dus Ka Dum in Sony hosted by Salman Khan. These
kinds of sponsorship will increase the visibility of brand Videocon and make
an impact in the minds of the customers.
Entering mobile and computer business can increase sale of television as
range of products plays a vital role in success of a brand.
As customers are showing interest in purchasing LCD so Videocon should
make its presence felt in LCD market which is dominated by Samsung, LG.
The dealer margin can be 10% on MRP.

119

BIBLOGRAPHY
BOOKSREFFERED:
MarketingResearchbyRajendraNargundkar(2 ndEdition).

MarketingManagementbyPhilipKotler,KevinLane,AbrahamKoshyand
Mithlileshwaf(12thedition)

Websitesvisited:
www.videoconworld.com
www.google.com

120

ANNEXURE 1:

Questionnaire for study on Flat television and


L.C.D
(For dealers)

121

QUESTIONNAIRE FOR STUDY ON VIDEOCON FLAT T.V


Dealer: ___________________________________________Date ________________
Sir
I am doing a brief survey to find out about dealers perception on flat television. I would
be grateful to you if you could spare a few minutes to participate in it.
Thank you for your cooperation.
Nilkant Sastri
Assam Institute of Management
1. Which companys Flat T.V do you stock the most? (Rank the following, Rank1=
highest number of stock, Rank= 10 lowest number of stock)

Samsung
Sony
L.G
Videocon
BPL
Onida
Haier
Igo
Philips
Sanyo

_______
_______
_______
_______
_______
_______
_______
_______
_______
_______

2. Rank the following Brands Flat T.V in order of high selling (rank1-highest, rank=10
lowest)

Samsung
Sony
L.G
Videocon
BPL
Onida
Haier
Igo
Philips

_______
_______
_______
_______
_______
_______
_______
_______
_______
122

Sanyo
_______
3. Which model of top brand mentioned above is sold the most?

4. According to you what influences your customers decision to purchase a Flat T.V?
(Rank 1= most influential, Rank 9= least influential)

Aesthetics
Price
Brand image
Reliability
Added Features
Picture quality
Sound
After sales service
Sales peoples opinion

_____
_____
_____
_____
_____
_____
_____
_____
_____

5. Where do you rank the following Brands of Flat T.V in terms of: (Rank 1=highest,
Rank 10= lowest)
L.
G

Samsun
g

Videoco
n

BP
L

consumer
promotio
n
Brand
name
Aesthetic
s
Reliabilit
y
Sound
quality
N.L.C
After
sales
service
In Shop
branding
Trade
promotio
n
Exchange
offer
123

Onid
a

Son
y

Haie
r

Sany
o

Ig
o

Philip
s

Picture
quality

6. Rate your satisfaction with the following attributes of Videocon Flat T.V in a 5 point
scale (Please tick in the following. 1=poor, 2=fair, 3=good, 4=very good, 5=excellent)
(i) Brand name
1

(ii) Aesthetics
1

(iii) Performance
1

(iv) Net landing cost


1

(v) Consumer promotion activities


1

(vi) Advertisement
1

(vii) Trade promotion


1

(viii) After sale service


1

(ix) Picture quality


1

(x) Sound quality


1
(xi) In
1

shop branding
2

7. Does in house branding increases sales?


Yes
No

124

8. Which form of Advertisement is most effective for CTV? (Rank the following,
Rank1= highest)
Media
Rank Media
Rank
Newspaper
Magazines
T.V
Internet
Radio
Hoardings
9. What are your preferences before buying a Flat T.V from a company (rank the
following, rank1=most preferred, rank 9= least preferred)

Net landing cost


Brand name
Features
Consumers demand
Relationship with Company
Credit Period
Damage stock return
Trade promotion
Consumer promotion

________
________
________
________
________
________
________
________
________

10. What kind of trade promotional activities do you recommend?

11. Are your stock requirements from Videocon met in time?


Yes

No

12. Has there been any complain till now from Videocon Flat T.V customers?
Yes
No
If yes, did Videocon respond quickly?
Yes

No

*************

125

QUESTIONNAIRE FOR STUDY ON L.C.D


1. Rank the following Brands L.C.D in order of high selling (Rank1-highest, Rank=10
lowest)

Samsung
Sony
L.G
Videocon
BPL
Onida
Haier
Igo
Philips
Sanyo

_______
_______
_______
_______
_______
_______
_______
_______
_______
_______

2. Which model of top brand mentioned above is sold the most?

3. According to you what influences your customers decision to purchase a L.C.D?


(Rank 1=highest, rank 9=lowest)

Aesthetics
Price
Brand image
Reliability
Added Features
Picture quality
Sound

_____
_____
_____
_____
_____
_____
_____

126

After sales service


Sales peoples opinion

_____
_____

4. Where do you rank the following Brands of L.C.D in terms of: (Rank 1=highest, Rank
10= lowest)
L.
G

Samsung BPL Onida Sony Haie


r

Sany
o

Ig
o

Philips

consumer
promotion
Brand
name
Aesthetics
Reliability
Sound
quality
N.L.C
After
sales
service
In Shop
branding
Trade
promotion
Exchange
offer
Picture
quality
5. What kind of trade promotional activities do you recommend for L.C.D?

6. What is the average sale in your outlet?

127

7. Your views about prospects of L.C.D:

Annexure 2:

Questionnaire for study on television and L.C.D.


(For customers)

128

QUESTIONNAIRE FOR STUDY ON TELEVISION


Sir/Madam,
I am doing a brief survey to find out about consumers perception on television and
refrigerator. I would be grateful to you if you could spare a few minutes to participate in
it.
Thank you for your cooperation.
Nilkant Sastri
Assam Institute of Management.
[N.B- Please read the instructions and accordingly fill up the questionnaire]
1. Are you a user of Videocon Television? (Please tick any one )
Yes
No
If no, which brand do you own? _________________
2. What influences your decision to purchase a television? (Rank the following,
Rank 1=most influential, rank 2=2nd most influential and so on) [please dont repeat the
ranks]

Aesthetics (appearance)
Price
Brand image
Reliability
Added Features
Picture quality
Sound
After sales service
Warranty period
Attractive offer

_____
_____
_____
_____
_____
_____
_____
_____
_____
_____

129

Easy payment

_____

3. Which form of television do you own? (Please tick any one)


(i) Flat T.V
(ii)
L.C.D
(iii) C.T.V
4. What is the size of the model?

5. Rate your satisfaction till now with your brand of television in a 5 point scale.
(1=poor, 2=fair, 3=good, 4=very good, 5=excellent.) (Please tick )
(i) Aesthetics (Appearance of the T.V)
1

(ii) Performance
1

(iii) Advertisement
1

(iv) After sale service


1

(v) Picture quality


1

(vi) Sound
1

(vii) Reliability
1

6. How much influential are the following in your decision making. Rate the following
in a 10 point scale. (1=10%, 10=100%) (Please tick
(i) Advertisement in Newspaper
1

10

10

10

(ii) Advertisement in T.V


1

(iii) Advertisement inside shop


1

(iv) Advertisement in Magazines

130

10

10

10

10

10

(v) Advertisement in Internet


1

(vi) Advertisement in Hoardings


1

(vii) Sales peoples opinion inside shop


1

(viii) Opinion of Friends and relatives


1

7. Any complain till now against your television? (Please tick

Yes
No
If yes, have your even informed the company about your complain? (Please tick

Yes
No
Again, if yes, then in how many days did the company respond? ____________
8. Rank the brands of television which comes in your mind. (Rank 1= highest, rank
5=lowest)
Rank 1= _______________
Rank 2= _______________
Rank 3= _______________
Rank 4= _______________
Rank 5= _______________
9. Which companys television advertisement you recall the most? (Rank 1= highest,
rank 3=lowest)
Rank 1= _______________
Rank 2= _______________
Rank 3= _______________
10. Which companys advertisement featured Dhoni and Shahrukh together?

11. Do you know that Videocon had been recognized as the most trusted brand? [By
Brand Equity- Economic times]. (Please tick )
Yes

No

131

12. If you go for repurchase of television, which one you will prefer from the following?
(Please tick in the following)
(i) Flat T.V

(ii) L.C.D

(iii) CTV

13. Which brand you will prefer?

14. What is the reason for choosing the above mentioned brand? (Rank the following,
Rank 1= most important reason, Rank 2 = 2 nd most important reason and so on) [Please
dont repeat the ranks]

Price
Features
Brand image
Reliability
Sound
After sales service
Aesthetics
Picture quality
Attractive Advertisement
Attractive offer

_____
_____
_____
_____
_____
_____
_____
_____
_____
_____

15. Rate the following in a 4 point scale.


(1=completely disagree, 2=disagree, 3=agree, 4=completely agree.)(Please tick
(i) I feel proud whenever I see the advertisement of my TV
1

(ii) I am proud to be owner of my TV


1

(iii) My brand of TV makes me feel superior


1

(iv) Everybody should know about my brand of TV


1

(v) The longevity of the TV should be minimum 5 years without problem


1

(vi) The features of the TV is more important than price


1

132

(vii) I will always buy those products which comes under my brand
1

(viii) The price of the TV matters the most.


1

(ix) My television is very reliable


1

ix) I prefer to pay by installments


1

Personal profile:

Name: ___________________________________

Occupation: ____________________

Income per month: (Please tick

(i) Less than Rs.10,000


(ii) Rs 10,000 to 20,000
(iii) Rs. 21,000 to 30,000
(iv) Rs. 31,000 to 40,000
(v) Rs. 40,000 & above

133

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