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CHAPTER V

CUSTOMER ATTITUDE TOWARDS CELL PHONE SERVICES



5.1 INTRODUCTION
In this chapter, an attempt is made to study the customers who are using
various mobiles and mobile services. This study is found to be important because
customers are the background of a business. Without meeting the customers
expectations and requirements, no business could thrive, let alone succeed. In order to
fulfill the requirement, a study on the customers is done to find their preferences and
tastes towards various mobile phones and services. This chapter also deals with the
socio economic background of the intermediaries in relation to their Age, Gender,
Marital Status, Educational Qualification, Occupation and the income earned per
month and the like.
5.2 GENDER OF CUSTOMERS
The gender of the customers is enquired into to understand which gender
constitutes the majority in falling on mobile service trade. Table 5.1 describes it.
Table 5.1
Gender of Customers
Gender No. of Customers Per cent
Male 186 62
Female 114 38
Total 300 100
Source: Field Survey
Table 5.1 shows that among the cell phone customers, males constitute the
major proportion of 62 percent and the females constitute only 38 per cent. From the
study, it is well-known that the males have the highest awareness and interest in using
the mobile phones and services.
5.3 AGE OF THE CELL PHONE CUSTOMERS
Age of the customers has been studied in order to identify the number of
customers belonging to different age groups. Table 5.2 describes it.
Table 5.2
Age of the Cell phone Customers
Age No. of customers Per cent
Below 18 08 03
18 to 25 62 21
25 to 40 73 24
40 to 60 111 37
Above 60 46 15
Total 300 100
Source: Field Survey
Table 5.2 shows that customers of the age group of 40 to 60 forms 37 per cent.
Twenty four per cent of the customers belong to the age group of 25 to 40. Though
age difference does not play a vital role in mobile phone usage, it is inferred from the
study that majority of the customers surveyed are under the age group of 40 to 60.


5.4 MARITAL STATUS OF THE CUSTOMERS
The marital status of the customers has been studied in order to find whether
the respondents who are using the mobile services are married or unmarried. Table 5.3
depicts the same.
Table 5.3
Marital status of the Customers
Marital status No. of customers Per cent
Single 128 43
Married 172 57
Total 300 100
Source: Field Survey
Table 5.3 shows that majority of the respondents are married. Out of 300
customers surveyed, 172 respondents are married and the percentage is worked out as
57 and only 128 are single, their per cent being 43 are, no doubt, lesser to the
percentage of married respondents. Irrespective of the marital status, all the customers
are highly oriented towards cell phone usage. From the present study, no doubt
majority are found to be married.
5.5 EDUCATIONAL QUALIFICATION OF CUSTOMERS
Literacy level of customers is enquired into and presented in table 5.4.
Education level influences not only their perceptions but also their level of knowledge.
Under this segment, the customers are classified according to their educational
qualification.
Table 5.4
Educational Qualification of Customers
Educational qualification No. of customers Per cent
SSLC/Matric/CBSE 32 11
Diploma 36 12
Higher Secondary 54 18
Under Graduation 92 31
Post Graduation 86 28
Total 300 100
Source: Field Survey
For using mobile phones, no basic qualification is required. Both the literate
and illiterate have realized the necessity of possessing the mobile phones. In the
study, majority of cell phone users literacy level is up to under graduation which
accounts for 31 per cent; 12 per cent of the customers are diploma holders and 18 per
cent of them have reached only upto higher secondary level.
5.6 OCCUPATION OF THE CUSTOMERS
Occupation determines ones status. The use of mobile phones does not have
any relationship with status. The following table depicts the sample respondents on
using mobile phones according to their occupation.



Table 5.5
Occupation of the Customers
Occupation No. of respondents Per cent
Business owners 82 27
Employees 36 12
Professionals 43 14
Agriculturists 39 13
Students 53 18
Teachers 47 16
Total 300 100
Source: Field Survey
Nowadays, daily wage earners, auto drivers, masons and home makers are
using mobile phones due to their indispensable necessity. Mobile phones have
become part and parcel of life. In the study, 27 per cent of the customers own
business, 12 per cent of them are employees, 14 per cent professionals, 13 per cent
agriculturists, 18 per cent students and 16 per cent are teachers.
5.7 AVERAGE INCOME PER MONTH OF THE CUSTOMERS
Income is one of the attributes that plays an important role in the life of every
body. A person cannot undertake a work or business which does not yield him
reasonable income. Table 5.6 depicts this factor.


Table 5.6
Average Income per Month of the Customers







Source: Field Survey
From Table 5.6, it is inferred that 11 per cent of the customers earn below
Rs.5000, 31 per cent earn between Rs.5,000 and 10,000, 32 per cent between
Rs.11,000 and 20,000, 18 per cent between Rs. 21,000 and 25,000 , the majority of
income earned by the dealers is between Rs.11,000 and 20,000 and it is a 32 per cent.
High amount is not consumed or needed to use the mobile phone. Nowadays, mobile
phones are available even for less than Rs.1000 and low rate recharge cards are also
available which can be affordable to any income group.
5.8 YEARS OF EXPERIENCE IN USING CELL PHONE
An important factor namely duration of use of cell phone is studied in details
to determine the perception of the customers. If customers are using the same mobile
phone for a larger period, it shows that they have a wider perception related to the
Income per month
(in Rupees)
No. of customers Per cent
Below 5000 34 11
5,000 to 10,000 92 31
11,000 to 20,000 96 32
21,000 to 25,000 54 18
Above 25,000 24 08
Total 300 100
mobile. They come to know the merits and demerits of the particular mobile brand
and tend to use the brand for long years. If the customers use the same mobile phone
brand for a long period, it means that they are highly satisfied with the mobile
possessed by them. Therefore, the duration of experience of cell phone customers is
enquired into and the results are presented in table 5.7.
Table 5.7
Years of Experience in Using Cell phone
Years of experience No. of customers Per cent
1 year 64 21
2 years 123 41
3 years 51 17
4 years 32 11
5 years 16 05
Above 5 years 14 05
Total 300 100
Source: Field survey
Table 5.7 highlights the fact that as high as 41 per cent of customers have two
year experience with their mobile phones. Cell phone customers with one year
experience account for 21 per cent. It could be stated that cell phone market attracts
new entrants and it maintains existing customers also. Higher number of years of
experience shows the awareness about mobile phones and usage for a longer period.

5.9 FAMILY SIZE
Family size of the customers is studied in order to know the family conditions,
and based on this, any change in their preferences and tastes is explored. Here, the
grouping has been done as small family having three members, medium size family
with more than three upto five members and large size family consisting of five
members and more.
Table 5.8
Family Size
Family Size No. of respondents Per cent
Small 72 24
Medium 124 41
Large 104 35
Total 300 100
Source: Field Survey
From Table 5.8, it is revealed that 24 per cent of the customers belong to the
small size family, 41 per cent to medium size family and 35 per cent to large size
family. Today, even the school children and college goers use mobile phones. If the
family size is big, there will be high possibility of usage of more number of cell
phones by members of the family.
5.10 REASONS FOR USING MOBILE PHONE
There are so many reasons accounted for using the mobile phone. This study
has been carried out to analyze which major factor induces the customers to use the
mobile phone for their day to day use. The major reasons analysed are easy contact,
general use, prestige, quick communication, official purpose, contact while traveling
etc. Out of the various reasons, the best have been anlaysed in the table below.
Table 5.9
Reasons for Using Mobile Phone
Reasons No. of respondents Per cent
General use 21 07
Easy contact 34 11
Prestige 22 07
Quick communication 36 12
Official purpose 32 11
Contact while travelling 42 14
Cost economy 35 12
Any time contact 42 14
Development of business 12 04
To curtail telephone expenses 24 08
Total 300 100
Source: Field Survey
From table 5.9, it is inferred that most of the customers prefer mobile phones
to establish contact with others while travelling. Eleven percent of the customers
prefer mobile phones for easy contact, 14 percent of the customers prefer cell phone
for regular contact with others and 12 per cent of the customers prefer mobile phones
for realizing cost economy. Depending upon the above factors, it is found that the
reasons for use of mobile phone vary from customer to customer.
5.11 REASON FOR USING MOBILE PHONE INSTEAD OF LAND LINE
Before 90s, land lines were the familiar ones and the mobile phones were still
away from the reckoning of the people. After the introduction of mobile phones,
people started realizing the benefit of using the mobile phones instead of the landlines.
Most of the people started surrendering the land line connections and started getting
cell phone connections to each and every member in the family.
Table 5.10
Reasons for Using Mobile phone Instead of Land Line
Reasons No. of respondents Per cent
Mobility 111 37
Quick communication 68 23
Status symbol 0 0
Providing more service 42 14
Any time contact 79 26
Total 300 100
Source: Field Survey
From table 5.10, it is inferred that most of the customers are using the mobile
phones instead of landline phones. Since the mobile phones are handy and they could
be carried to any place, such advantages are used in full, for mobility and all time
contact; 26 per cent of the customers feel that the mobile phones provide any time
contact.
5.12 UTILITY OF CELL PHONE COMPARED TO LANDLINE
Every body knows that the utility of cell phone is always higher
compared to that of land phone. Here, an attempt is made to study the customers
opinions related to the efficacy of cell phone compared to land phone.
Table 5.11
Utility of Cell Phone Compared to Landline
Utility No. of respondents Per cent
Very High 152 51
High 136 45
Neutral 12 04
Low - -
Total 300 100
Source: Field Survey
From table 5.11, it is inferred that the majority 51 per cent of the customers
feel that the mobile phones have more utility value than the land phones, four per cent
of the customers feel the advantages of the two types and none of the customers feels
that the mobile phones give lower utility value compared to land phones. Cell phones,
no doubt, have a very high utility value and are mostly preferred by all the customers.
5.13 VARIOUS MEANS OF GETTING CELL PHONE
The customers who possess the mobile phones have got them through various
means. Some of them get through their employers and some others get them as gifts
from inland as well as abroad, some of them own them by purchase. An attempt is
made here to identify how majority of customers get the mobile phones.
Table 5.12
Various Means of Getting Cell phones
Various means No. of respondents Per cent
Through employer 41 14
Self - bought 212 70
Gifted 47 16
Total 300 100
Source: Field Survey
From the table, it is inferred that 14 per cent of the customers got the mobile
through their employers, 70 per cent of them through their own fund, and only 16 per
cent got them as gifts from their friends and relatives. Gifts act as an endearing sign
of love; mobile phones are presented to the users as a sign of love from others. The
important use of mobile phone motivates customers to get cell phones from their own
money.
5.14 MEDIA OF ADVERTISEMENT ATTRACTING TO BUY MOBILE
PHONES
All the mobile companies adopt different types of advertisements to attract the
customers to buy their brand of mobile phones. Different types of media such as
television, newspaper, magazines, radio and displays and posters create impact on
human mind through which the customers are made aware of the utility of the mobile
phone.
Table 5.13
Media of Advertisement Attracting to Buy Mobile Phones
Media of Advertisement No. of respondents Per cent
Television 72 24
Newspaper 42 14
Magazine 56 19
Radio - -
Displays and posters 130 43
Total 300 100
Source: Field Survey
From table 5.13, it is revealed that television has influenced 24 per cent of
buyers, the majority 43 per cent of the respondents has been influenced through
display aids, 14 per cent through newspaper, 19 per cent through different magazines
and none of them ever got influenced through radio. Displays and posters attract
every one and they play a major role in taking decision on the purchase of mobile
phones.
5.15 FIRST RECALLING OF CELL PHONE BRAND NAME
Different competitors are there in the market. So recalling the brand name
has a greater influence on the sales promotion strategy. The influence of brand image
on the customer is analyzed here.
Table 5.14
First Recalling Cell phone Brand Name
Brand No. of respondents Per cent
Seimens 12 04
Sony Ericson 20 07
Nokia 119 40
Motorola 15 05
Samsung 26 09
RIM 46 15
Tata Indicom 20 07
LG 42 13
Total 300 100
Source: Field Survey
From the table, it is inferred that most of the customers are recalling Nokia, 15
per cent recall Reliance India mobile, 13 per cent recall LG, nine per cent recall
Samsung.
5.16 NUMBER OF CELL PHONES OWNED
Most of the customers possess more than one mobile phone for various
purposes. Sometimes one may have got mobiles through ones own money, through
ones employer; some may have separate mobiles for personal use and official
purposes. Here this study shows how many per cent of customers possess more than
one mobile phone.

Table 5.16
Number of Cell phones Owned
Number of mobiles No. of respondents Per cent
One 256 85
Two 32 11
Three 12 04
Total 300 100
Source: Field Survey
From the table, it is inferred that 85 per cent of the customers own only a
single mobile, 11 percent of them possess two mobiles, and only four per cent of the
customers possess the luxury of three mobiles. Nowadays, all employers are
providing mobile phones to their employees. These mobile phones are used only for
official purpose. Other phone is used for personal purpose. The personal number is
normally made known to the persons who have intimacy with the cell phone users.
5.17 BRANDS OF CELL PHONES USED
Different brands of cell phones are available in the market. Customers will go
for the one that meets their basic requirements and desires. Different brands such as
Seimens, Sony Ericson, Nokia, Motorola, Samsung, Reliance, LG, and Tata Indicom
are the different cell phone brands available in the market. In this, Tata Indicom and
Reliance mobiles are using CDMA technology exclusively and other sim cards could
not be inserted in these mobiles.

Table 5.16
Cell phone Brands Used
Brand No. of respondents Per cent
Nokia 119 40
Sony Ericson 20 07
Seimens 12 04
Motorola 15 05
Samsung 26 09
RIM 46 15
Tata Indicom 20 07
LG 42 13
Total 300 100
Source: Field Survey
From the table, it is inferred that most of the customers possess Nokia, 15 per
cent of them possess Reliance India Mobile, and 13 per cent have LG, while nine per
cent possess Samsung. Nokia has its own brand image and highly preferred by most
of the customers.
5.18 TYPES OF MOBILE SET OWNED
Customers always go in for new models disbanding or exchanging the old ones.
There are various types of mobiles available in the market. This study has been done
to identify the type of handsets highly preferred to by the customers.

Table 5.17
Types of Mobile phone Owned
Type of mobile phone No. of respondents Per cent
Ordinary 102 34
Colour 118 39
Camera 72 24
Video Camera 08 03
Total 300 100
Source: Field Survey
From the table, it is inferred that most of the customers use colour mobile; 34
per cent use ordinary mobiles, 24 per cent use camera mobiles, and only three per cent
of the customers use video camera. Ordinary phones are available at cheaper rates.
Colour phones, camera and video camera phones are costlier compared to ordinary
phones.
5.19. BEST ASPECTS IN CELL PHONES
There are a number of reasons accounted for the inclination of
customers to select a particular handset. Aspects such as aesthetic look, brand image,
sound, quality, price, video and special features influence the customers. These are
brought out in the table below.



Table 5.18
Best Aspects in Cell Phones
Aspects No. of respondents Per cent
Aesthetic look 30 10
Brand image 92 31
Sound 47 16
Quality 72 24
Price 42 14
Video 08 02
Special features 09 03
Total 300 100
Source: Field Survey
From table 5.18, it is known that 24 per cent of the customers like the quality
in their mobile phones, 14 per cent the price of their mobile phones, 31 per cent brand
image and only three per cent of customers like the special features found in their
mobile phones. Various aspects found in the mobile phones attract the customers to
prefer a particular brand.
5.20 WILLINGNESS TO CHANGE THE PRESENT MOBILE PHONE
Most of the customers do get problems in the functioning of their mobiles and
the various problems they face relate to audio, echo and battery, hand set board, and
video problem respectively. Some customers want to change their mobile to seek
fashion. This study has been done to find whether they are willing to change the
present mobile brand for their next purchase.
Table 5.19
Willingness to Change the Present Mobile Brand
Willingness No. of respondents Per cent
Yes 147 49
No 153 51
Total 300 100
Source: Field survey
From the table, it is inferred that 49 per cent of the existing customers are
willing to change their mobiles and 51 per cent are not willing to change their present
mobile phone brand. When the customers are not satisfied with the cell phone brand
currently used, they will be willing to switch over to some other brand giving
longevity in all aspects. Not only that, when new brands emerge in the market with
new style, innovations and technology, customers would like to prefer a new one.
5.21 CELL PHONE BRANDS PREFERRED FOR NEXT PURCHASE
From the previous enquiry, it was inferred that 49 per cent of the customers are
willing to change their existing cell phone brand. This study was done to analyze
what brand the customers select for their next purchase.

Table 5.20
Cell phone Brand Preferred for Next Purchase
Currently
using Cell phone
No. of
respondents
Percent
Willing to
change
Per cent
Nokia 119 40 42 29
Sony Ericson 20 07 15 10
Seimens 12 04 10 06
Motorola 15 05 12 08
Samsung 26 09 03 02
RIM 46 15 42 29
Tata Indicom 20 07 16 11
LG 42 13 17 05
Total 300 100 147 100
Source: Field Survey
From table 5.21, it is inferred that 29 per cent of customers prefer Nokia, 10
per cent Sony Ericson, 02 per cent Samsung and five per cent prefer LG for their next
purchase. For the new purchase, the selection of brand is determined by past
experience with the mobile phones and getting added information from friends and
relatives who use some other mobile phone brands.
5.22 FEATURES CONSIDERED WHILE CHANGING THE PRESENT
MOBILE
There are a lot of features found in the new mobile phones introduced. One
brand is not inferior to the other. Customers will be focusing on various aspects such
as sound quality, brand image, price and models before changing their present
mobiles.
Table 5.21
Features Considered While Changing the Present Mobile phone
Features No. of respondents Per cent
Sound 86 29
Quality 90 30
Brand Image 28 09
Price 54 18
Models 42 14
Total 300 100
Source: Field Survey
From the table, it is inferred that while changing their present mobile,
customers concentrate more on quality, 29 per cent concentrate on sound, 18 per cent
look into the price of the mobile and fourteen per cent of customers consider the
various models provided by different brands.
5.23 BUDGETS FOR THE NEW CELL PHONE
Customers having ordinary phones would try to get colour phones when they
make a new purchase. Similarly those who have colour phones will opt for camera
mobiles next time. In the same way, customers having camera mobiles will opt for
video camera phones. Each type of mobiles quotes different prices. This study shows
the allotment of budget by customers for effecting the next purchase.
Table 5.22
Budgets for the New Cell phone
Budget Amount
(in Rs.)
No. of respondents Per cent
Below 5000 12 04
5000 10,000 232 77
10,000 15,000 50 17
Above 15,000 06 02
Total 300 100
Source: Field Survey
From the table, it is seen that 77 per cent of the customers allot Rs.5000 to
10,000 for their new purchase, seven per cent of the customers spend Rs.10,000 to
15,000 to the new ones, only two per cent spend above Rs. 15,000 for their next
purchase. Based on the customers income and preference, budget of the new cell
phone is decided.
5.24 RATING ON SCHEMES AND OFFERS FOR THE CELL PHONE
PURCHASE
Different schemes and offers are provided by cell phones companies as well as
service providers to boost up their sales. This study gives the detailed rankings about
the schemes and offers provided by the cell phone companies and service providers.
Table 5.23
Rating on Schemes and Offers for the Cell phone Purchase
Source: Primary Data
From table 5.23, it is inferred that finance schemes are given high ranking by
the customers; the second rank is given to the complementary gifts provided by the
cell phone companies and the last rank is given to the discount schemes provided by
the cell phone companies. Different types of customers prefer different schemes
offered by cell phone companies. In general, all the cell phone companies offer
various schemes to attract the customers.
Offers 3 2 1
Weighted
Total
Weighted
Average
Rank
Discount 32 36 232 400 1.3 IV
Exchange offer 11 186 103 508 1.6 III
Complementary gifts 46 123 131 515 1.7 II
Finance Schemes 92 84 124 568 1.8 I
5.25 OVERALL SATISFACTION TOWARDS THE MOBILE PHONE
Individuals reaction and response are based on their perceptions. As
marketing concept is built on the premise that marketing first identifies consumer
needs and then develops products and services to satisfy the needs, a study is
attempted to know the satisfaction derived by the customers from the mobiles they
purchase and possess.
Table 5.24
Overall Satisfaction Towards the Mobile Phone
Source: Primary Data
Attributes
Highly
Satisfied
Satisfied Dissatisfied
Weighted
Total
Weighted
Average
Rank
Price of handset 12 254 34 578 1.93 IV
Appearance of
the set
232 46 22 810 2.7 I
Weight of the
set
14 270 16 598 2.0 III
Multifunction
settings
11 284 05 606 2.1 II
Longevity of
the set
0 273 27 573 1.91 VI
Battery capacity
08 259 33 575 1.92 V
Audio & Video 46

115

139

507

1.7

VIII

Resale value of
the set
0 256 44 556 1.8 VII
From the table, it is inferred that 232 customers are highly satisfied about the
appearance of the hand sets which they possess, 46 customers are satisfied with the
audio and video functions present in the mobile phone. Two hundred and fifty four
customers are satisfied with the price of the mobile phone; 139 customers are highly
dissatisfied with the audio and video functions of the mobile phone. An attribute
which is found to be satisfactory to one customer will not be applicable to other.
There are differences in the opinions and satisfaction levels of the customers.
5.26 CUSTOMERS RANKING OF BENEFITS FROM SUBSCRIBING
TO CELL PHONES
In this study, ranking has been done to analyse the various benefits acquired by
the customers from the cell phones. Weighted Average Method is used to allocate
various rankings to the various benefits derived.
Table 5.25
Customers Ranking of Benefits from Subscribing to Cell phone
Weightage 5 4 3 2 1 Weightage
Total

Average Rank
Ranking 5 4 3 2 1
Increase in Sales
152 46 32 26 44 1136 3.79
VIII

Improved customer
relation
242

32

8

16

02

1396

4.65

III

Reduction of
travelling cost
256 24 10 10 0 1436 4.79 II
Reduction in debt
collection period
234 24 18 12 12 1368 4.56 V
Increase in the good
will of the firm
198

32

17

12

41

1234

4.11

VI

Product
Diversification
52 12 13 111
112

681

2.27

X

Decrease in
communication
expenses because of
of owning a telephone
282 10 08 0 0 1474 4.91 I
Geographical
expansion
32 42 86 92 48 818 2.73 IX
Quick and accurate
communication
234 39 12 10 05 1387 4.62 IV
Obtaining market
information
112 97 36 32 23 1143 3.81 VII
Source: Primary Data
From table 5.25, the rankings given for various benefits are inferred. Decrease
in communication expenses because of owning the cell phone holds the first rank,
quick and accurate communication ranks fourth, and tenth rank goes to product
diversification
5.27 SIM CARDS POSSESSED BY THE CUSTOMERS
The brand of cell connection used by the customers is enquired into
understand which brand connection users constitute the majority. Table 5.28 describes
the brand of connection used by the customers.
Table 5.26
Sim Cards Owned
Sim card No. of respondents Per cent
BSNL 84 28
Aircel 42 14
Airtel 98 33
Tata Indicom 36 12
Vodafone 12 04
RIM 28 09
Total 300 100
Source: Field Survey
Table 5.26 shows that among the cell connections, majority of the
customers use Airtel, 28 per cent use BSNL, nine per cent use Reliance, only four per
cent use Vodafone. There are various players available in the market. Each one of
them has its own merits and demerits. Brand preference by customers is made on the
awareness and information sought from their friends and relatives.
5.28 NUMBER OF SIM CARDS OWNED
Most of the customers possess more than one mobile phone for various
purposes. Some times, one may get the cell connection through their own fund, or by
the employer, some may use separate mobiles for personal and official use. Here this
study shows how many per cent of customers possess more than one mobile phone
connection.
Table 5.27
Number of Sim cards Owned
Quantity No. of respondents Per cent
One 256 85
Two 32 11
Three 12 04
Total 300 100
Source: Field Survey
From the table, it is inferred that 85 per cent of the customers have single
mobile connection, 11 percent of them have two mobile connections, and only four per
cent of the customers have three mobile connections. Based on the usage and purpose,
more number of connections is obtained. Since various brands are offering different
offers and schemes, customers use more than one sim card to avail themselves of the
facilities provided by different brands.

5.29 TYPES OF SIM CARDS
Two types of connections are provided by service providers namely prepaid
and postpaid connections. This study analyzes which type of connection is highly
preferred to by the customers.
Table 5.28
Types of Connections
Type of connection No. of respondents Per cent
Prepaid 252 84
Postpaid 48 16
Total 300 100
Source: Primary Data
From the table, it is seen that majority of the customers i.e., 84 per cent of the
customers prefer prepaid service and 16 per cent of the customers prefer postpaid
connection. This shows that prepaid connections offer a lot of facilities and therefore
are sought after by most of the customers. Prepaid and postpaid connections have their
own merits and demerits. To serve different purposes, people prefer different types of
connections. Type of connections is selected based on the requirements and the
preference of the customers.
5.30 REASONS FOR PREFERRING PREPAID CARDS
From table, 5.28, it is inferred that most of the customers prefer prepaid cards.
The reasons for their preference are analyzed through the following table.

Table 5.29
Reasons for Preferring Prepaid Cards
Reasons No. of respondents Per cent
Recharge cards available at
various rates
53 21
Various offers available
49 19
Grace period allowed for
incoming calls
17 07
Charge per call is less
13 05
Recharge can be done at
convenience
120 48
Total
252 100
Source: Field Survey
From the table, it is inferred that 21 per cent of customers prefer the pre paid
cards as the recharge cards are available at various rates, 48 per cent of the customers
say that they have prepaid connection because they can do their recharge at their
convenience. Monthly rental need not be paid in prepaid cards which is an advantage
in this connection. Top up/recharge cards may be used only at the time of necessity.
5.31 REASONS FOR PREFERRING POSTPAID CARDS
From table 5.28, it is inferred that some of the customers prefer postpaid
cards. The reasons for their preference are analyzed in the table below.




Table 5.30
Reasons for Preferring Postpaid Cards
Reasons No. of respondents Per cent
Easy to get connection 06 12.5
Less rent 06 12.5
Reasonable talk time 04 08
Payments done through online
10 21
Free to talk as desired without
fear of balance.
22 46
Total 48 100
Source: Field Survey
From the table, it is inferred that 46 per cent of customers prefer the postpaid
cards as they are free to talk as desired without fear of balance, 21 per cent of
customers prefer postpaid cards as they can make the cell phone bill payment through
online.
5.32 FACTORS INFLUENCING CUSTOMERS TO PREFER
PARTICULAR CONNECTIONS
There are so many factors and media of advertisements affecting each and
every customer to buy a product. Here in this regard, it is found that also various
factors influence the customers to prefer cell connections.



Table 5.31
Factors Influencing Customers to Prefer Particular Connections
Factors No. of respondents Per cent
Television 32 10
Newspaper 26 09
Radio 0 0
Magazine 32 11
Friends 98 33
Self 112 37
Total 300 100
Source: Field Survey
From table 5.31, it is revealed that television has influenced 10 per cent, the
majority of the respondents have got the mobile through display aids, nine per cent got
influenced through newspaper, 11 per cent got influenced through different magazines
and none of them got influenced through radio. Displays and posters attract every one
and play a major role in decision making about a purchase, especially with regard to
purchase of cell phones.
5.33 ASPECTS LIKED IN THE SIM CONNECTION
There are different aspects such as low rent, free SMS, high talk time,
special ring tones, low internet cost provided by the various service providers. An
enquiry is conducted to identify the favourable aspects of the customers in the cell
connection they use.

Table 5.32
Aspects Liked in the Cell Connection
Aspects No. of respondents Per cent
Low rent 32 11
Free SMS 46 15
High talk time 48 16
Special ring tones 92 31
Low internet cost 82 27
Total 300 100
Source: Field Survey
From the table, it is inferred that 11 per cent of the customers like the low rent
provided by the cell connection, 31 per cent like the special ring tones provided by the
service providers, 27 per cent of the customers like the low internet charges offered
through the sim card.
5.34 EXPERIENCES IN USING CELL CONNECTIONS
Years of experience of customers in using the mobile connections are an
important factor to be studied. If the customers are using the same mobile phone
connection for long period, it shows that they have a wider perception related to the
mobile connection. It shows that they are aware of the merits and demerits of that
particular mobile. If the customers are using the same mobile connection for a long
period, this shows that they are highly satisfied with the present mobile connection
they possess. Therefore, the years of experience of cell phone customers are enquired
and presented in table 5.33.
Table 5.33
Experience in Using Cell Connections
Period No. of respondents Per cent
1 year 36 12
2 years 41 14
3 years 66 22
4 years 124 41
5 years 21 07
Above 5 12 04
Total 300 100
Source: Field Survey
Table 5.33 highlights the fact that as high as 41 per cent of customers have
four year experience. Customers with 1 year experience account for 12 per cent. Only
five per cent of customers are using the cell connection for above five years. It can be
stated that various cell phone connections attract new entrants and they maintain
existing customers as well.
5.35 WILLINGNESS TO CHANGE THE PRESENT SIM CONNECTION
BRAND
Most of the customers have problems in the present functioning of mobile
phone connection and the various problems they face are network problem, cross talk,
delayed connectivity, poor clarity of signals, and abrupt disconnection respectively.
This study has been done to find whether customers are willing to change the present
mobile connection due to any of these problems.

Table 5.34
Willingness to Change the Present Sim Connection Brand
Willingness No. of respondents Per cent
Yes 231 76
No 69 24
Total 300 100
Source: Field Survey
From the table, it is inferred that 76 per cent of the existing customers are
willing to change their mobile connection and 24 per cent are not willing to change
their present mobile connection brand.
5.36 SIM CARDS PREFERRED FOR NEXT PURCHASE
From the previous enquiry, it was inferred that 76 per cent of the
customers are willing to change their cell phone service provider. This study is done to
analyze which service provider the customers select for their next purchase.
Table 5.35
Sim Cards Preferred for Next Purchase
Brand No. of respondents Per cent
BSNL 43 19
Aircel 68 29
Airtel 70 30
Tata Indicom 06 3
Vodafone 23 10
RIM 21 09
Total 231 100
Source: Field survey
From the table, it is inferred that 19 per cent of the customers prefer BSNL, 29
per cent Aircel, 30 per cent Airtel and 10 per cent Vodafone for their next purchase.
For the new purchase, selection of sim card will be decided on past experience and
getting information from friends and relatives who use some other sim cards.
5.37 RENTAL VALUE USED FOR POSTPAID
Different plans are available to different postpaid connection holders. An
enquiry is done here to identify which type of rental plan is highly preferred by the
customers. Table 5.36 depicts that.

Table 5.36
Rental Value Used for Postpaid
Rental plan (in Rs.) No. of respondents Per cent
140 18 38
350 16 33
500 12 25
1000 02 04
Total 48 100
Source: Field survey
From the table, it is inferred that 38 per cent of the customers have Rs. 140
rental plan, 33 per cent customers Rs.350 rental plan, 25 per cent customers Rs.500
rental plan, and only four per cent customers have Rs.1000 rental plan.
5.38 RATES OF RECHARGE COUPONS USED FREQUENTLY
Different plans are available to prepaid sim card users. An enquiry is done
here to identify the rates of recharge coupons used frequently. Table 5.37 depicts this
nature.
Table 5.37
Rates of Recharge Coupons used Frequently
Recharge card value
(Rs.)
Always Sometimes Rarely Special offer
331 113 22 83 64
551 86 130 26 10
1102 47 72 38 95
2204 06 04 105 137
Source: Primary Data
From the table, it is inferred that recharge coupon for Rs.331 is used always
by 113 customers, 22 customers use this card sometimes, 83 customers use this value
rarely and 64 customers use this card only during special offer. Similarly 86 customers
use Rs.551 recharge card always, 130 customers use the card sometimes and 26
customers use this card rarely.
5.39 VOLUME OF INCOMING CALLS PER WEEK
Volume of incoming calls per week is studied to know how much incoming
calls are received per week by customers to identify how far the mobile phones are
helpful or used very often for various purposes. Sometimes due to the possession of
mobile phone most of the outgoing calls could be minimized by getting incoming calls
without charges or less charge.
Table 5.38
Volume of Incoming Calls per Week
Calls Local Outstation
Below 20 - 192
20-50 24 52
50-100 112 56
100-150 106 -
More than 150 58 -
Source: Field Survey
From the table, it is inferred that 192 customers receive below 20 calls per
week, 24 customers receive 20 -50 local calls per week and 50 outstation calls, 50-100
local calls per week are received by 112 customers and 56 customers make 50 to 100
outstation calls per week.
5.40 VOLUME OF OUTGOING CALLS PER WEEK
Volume of outgoing calls per week is studied to know how much outgoing call
are done per week by the customer to identify how far the mobile phones are helpful
or used very often for various purposes by avoiding or reducing the traveling cost and
time incurred to convey or know certain information.
Table 5.39
Volume of Outgoing Calls Per Week
Calls local STD ISD
Below 20 - 12 164
20-50 10 194 42
50-100 192 46 12
100-150 98 48 -
More than 150 10 12 -
Source: Field Survey
From the table, it is inferred that 12 customers make below 20 STD calls and
164 customers make below 20 ISD calls, 10 customers make 20-50 local calls, 194
customers make 20-50 STD calls, 42 customers make 20-50 ISD calls approximately
per week. This brings to light the fact that customers feel happy by conveying
information to others abroad and at distant places.

5.41 AVERAGE WRONG CALLS SENT/RECEIVED PER WEEK
While making calls, wrong calls could be sent as well as received. It may be
due to the dialer himself as well as the exchange problem. Here, an attempt is made to
know the average wrong calls sent or received on an average per week.
Table 5.40
Average Wrong Calls Sent/Received per Week
Calls Received Sent
Nil 12 06
Up to 5 126 74
5 to 10 96 12
More than 10 - -
Source: Field Survey
From the table, it is inferred that 126 customers were receiving up to five
wrong calls per week and 74 customers send up to 5 wrong calls per week, 96
customers say that 5 to 10 wrong calls are received and 12 wrong calls sent, and 12
customers say that they have never received any wrong call in their mobile and 06 of
them say that they have never sent any wrong call to any one.
5.42 OPINIONS ABOUT THE FOLLOWING STATEMENTS
Various statements have been listed below related to the mobile phones and
phone connections and the customer opinions related to them in the five point scale
have been observed. The scaling has been distributed as strongly agree, agree, no
opinion, disagree and strongly disagree. The scales start with 5 as maximum for
strongly agree and end with minimum 1 for strongly disagree.
Table 5.41
Opinions about the following statements
Statements
S
t
r
o
n
g
l
y


A
g
r
e
e

A
g
r
e
e

N
o


O
p
i
n
i
o
n

D
i
s
a
g
r
e
e

S
t
r
o
n
g
l
y

D
i
s
a
g
r
e
e

W
e
i
g
h
t
e
d

T
o
t
a
l

W
e
i
g
h
t
e
d

A
v
e
r
a
g
e

R
a
n
k

It is easy to get
prepaid
connection
152 136 12 0 0 1340 4.5 I
Delay in getting
postpaid
connection
106 172 16 02 04 1274 4.2 II
Convenient
tariff packages
are available
0 04 08 256 32 584 1.9 XII
National wide
connectivity can
be accessed
66 12 132 72 18 936 3.12 VI
Services offered
by BSNL are
good
02 04 12 172 10 416 1.4 XIII
Private
connections
preferred more
due to free sms
04 192 06 12 86 916 3.1 VII
Prepaid
connection is
good
02 34 12 192 60 626 2.1 XI
Postpaid
connection is
rarely preferred
due to high rent
06 23 72 123 76 660 2.2 X
Frequent
changes in tariff
rate are high
186 24 13 18 59 1160 3.9 III
Excess billing is
done in BSNL
192 12 26 34 36 1190 4.0 II
Tower capacity
of service
providers is
highly sufficient
32 26 72 106 64 756 2.5 IX
High
connectivity
problem
between BSNL
and other
connections

12

174

39

32

43

980

3.3

IV
Verification
procedures of
private
connections are
high

06

192

12

34

56

958

3.2

V
Cost of calls
charged high
04 123 63 71 43 886 3.0 VIII
Source: Primary Data
From the table, it is inferred that it is easy to get prepaid connection
holds the first rank , delay in getting postpaid connection ranks second, frequent
changes in tariff rate are high is considered to be in third place by the customers,
fourth rank is given to the high connectivity problem between BSNL and other
connections.
5.43 SALES PROMOTIONAL ACITIVITES OFFERED BY BSNL
Sales promotion is one of the marketing activities other than advertising,
personal selling or publicity that stimulates customers choice. Therefore, it is thought
necessary to study the various sales promotional activities offered by various service
providers.
Table 5.42
Weighted Average Method
Ranking of Sales Promotional Activities Offered by BSNL
Sales
Promotio
nal
activities
Ranking of Respondents
Weighted
Total
Weig
hted
Aver
age
Rank
R1 R2 R3 R4 R5 R6 R7 R8 R9 R10
Offers
120 54 42 06 12 12 18 06 06 24 2322 7.7 I
Gifts
66 18 18 06 60 12 12 24 24 06 1602 5.3 IV
Contests
24 06 12 54 36 36 78 12 30 12 1587 5.28 V
Special
sales on
reduced
price
30 36 24 36 24 24 24 72 18 12 1692 5.6 III
Point of
purchase
displays
and
demonstra
tions
12 24 06 48 30 36 60 18 42 24 1482 4.9 VI
Bonus
packs
24 30 72 24 24 48 12 18 42 06 1830 6.1 II
Prizes 06 12 12 06 12 12 24 42 54 120 888 3.0 VII
Source: Field Survey
From the table, it is gathered that the customers give first rank to offers,
second rank to bonus packs, third rank to special sales on reduced price, fourth
rank to gifts, fifth rank to contests, sixth rank to point of purchase displays and
demonstration, and seventh rank to prizes.

5.44 RANKING OF SALES PROMOTIONAL ACTIVITIES OFFERED BY
AIRTEL
Sales promotion contributes in a number of ways to achieve overall
promotional objectives. While it can be used merely to gain attention to a service, it is
more likely to be employed as an incentive incorporating an offer which represents
value to the target audience. It can also act as an invitation to engage in a transaction
now rather than later. Sales promotion usually attracts brand switchers but is unlikely
to turn them into loyal brand users without the use of other elements of the promotion
mix. The following table shows the sales promotional activities of Airtel.
Table 5.43
Weighted Average Method
Ranking of Sales Promotional Activities Offered by Airtel
Sales
Promotional
activities
Ranking of Respondents
Weighted
Total
Weighted
Average
Rank
R1 R2 R3 R4 R5 R6 R7 R8 R9 R10
Offers 180 42 36 24 12 06 0 0 0 0 2736 9.1 I
Gifts 18 24 36 30 66 54 12 42 06 12 1758 5.9 III
Contests 06 66 42 12 54 24 12 18 54 12 1740 5.8 IV
Special sales
on reduced
price
42 72 54 42 12 0 72 0 0 06 2160 7.2 II
Point of
purchase
displays and
demonstrations
06 36 06 48 18 12 54 60 48 12 1440 4.8 VI
Bonus packs 36 12 30 42 06 72 12 24 06 60 1590 5.3 V
Prizes 06 12 12 06 18 66 24 54 0 102 1104 3.7 VII
Source: Primary Data

From the table, it is inferred that the customers give first rank to offers,
second rank to special sales on reduced price, third rank to gifts, fourth rank to
contests, fifth rank to bonus packs, sixth rank to point of purchase displays and
demonstrations, and seventh rank to prizes.
5.45 RANKING OF SALES PROMOTIONAL ACTIVITIES OFFERED BY
AIRCEL
Various sales promotional activities are offered by various service providers
and the opinions of the customers about the promotional activities of Aircel are ranked
and listed below.
Table 5.44
Ranking of Sales Promotional Activities Offered by Aircel
Sales
Promotional
activities
Ranking of Respondents
Weighted
Total
Weighted
Average
Rank
R1 R2 R3 R4 R5 R6 R7 R8 R9 R10
Offers 162 66 54 0 06 06 06 0 0 0 2736 9.1 I
Gifts 24 18 24 24 54 36 30 12 42 36 1542 5.1 V
Contests 06 24 54 18 24 30 60 12 42 30 1518 5.06 VI
Special sales
on reduced
price
24 42 72 06 0 12 06 72 48 18 1650 5.5 II
Point of
purchase
displays and
demonstratio
ns
06 24 36 42 12 36 24 54 54 12 1488 5.0 VII
Bonus packs 42 06 12 30 66 30 30 12 30 42 1584 5.3 III
Prizes 02 30 12 30 82 30 36 24 36 18 1544 5.14 IV
Source: Field Survey
From the table, it is inferred that the customer assigns first rank to offers
provided by the companies, second rank to special sales on reduced price, third rank
to bonus packs, fourth rank to prizes, fifth rank to gifts, sixth rank to contests,
and seventh rank to point of purchase displays and demonstrations.
5.46 RANKING OF SALES PROMOTIONAL ACTIVITIES OFFERED BY
VODAFONE
Sales promotion contributes in a number of ways to achieve overall
promotional objectives. While it can be used merely to gain attention to a service, it is
more likely to be employed as an incentive incorporating an offer which represents
value to the target audience. It can also act as an invitation to engage in a transaction
now rather than later. Sales promotion usually attracts brand switchers but is unlikely
to turn them into loyal brand users without the use of other elements of the promotion
mix. The following table shows the sales promotional activities of Vodafone.





Table 5.45
Ranking of Sales Promotional Activities Offered by Vodafone
Sales
Promotional
activities
Ranking of Respondents
Weighted
Total
Weighted
Average
Rank
R1 R2 R3 R4 R5 R6 R7 R8 R9 R10
Offers 114 72 78 12 06 0 06 12 0 0 2592 8.6 I
Gifts 24 36 12 36 72 30 24 24 30 12 1734 5.8 III
Contests 30 18 24 60 06 42 18 36 42 24 1608 5.4 IV
Special
sales on
reduced
price
30 36 30 12 12 48 18 54 30 30 1584 5.3 V
Point of
purchase
displays
and
demonstra
tions
12 06 54 36

06

12 42 36 78 18 1404 4.7 VI
Bonus
packs
34 42 22 48 46 12 36 16 16 28 1834 6.1 II
Prizes 12 0 06 0 78 72 78 12 06 36 1392 4.6 VII
Source: Field Survey
From the table, it is inferred that the customer gives first rank to offers,
second rank to bonus packs, third rank to gift, fourth rank to contests, fifth rank
to special sales on reduced prize, sixth rank to point of purchase displays and
demonstrations, seventh rank to prizes.


5.47 COMPARISON OF SALES PROMOTIONAL ACTIVITIES
OFFERED BY PREPAID MARKETERS AS PER CUSTOMER
PERCEPTION
The different prepaid marketers provide various promotional offers to the
customers for improving their sales. This activity includes offers, contests, bonus
packs, prizes etc. and these are tabulated below.
Table 5.46
Comparison of Sales Promotional Activities Provided by Service Providers
Sales promotional
activities
BSNL Airtel Aircel Vodafone
Offers 7.7 9.1 9.1 8.6
Gifts 5.3 5.9 5.1 5.8
Contests 5.28 5.8 5.06 5.4
Special sales on reduced
price
5.6 7.2 5.5 5.3
Point of purchase displays
and demonstration
4.9 4.8 5.0 4.7
Bonus packs
6.1 5.3 5.3 6.1
Prizes 3.0 3.7 5.14 4.6
Source: Table 5.42, 5.43, 5.44, 5.45
From the table, it is inferred that offers, special sales on reduced
price and gifts stands first among the entire promotional activities of service
providers as per the customers perceptions.


CHI SQUARE ANALYSIS
5.48 CUSTOMER AGE AND SATISFACTION LEVELS
The table 5.1 reveals that 62 percent of the customers are males and 38 per
cent are females. Table 5.2 shows that highest number of customers belongs to the age
group of 40 to 60 and it constitutes 37 percent and 24 percent of the customers belong
to the age group of 25 to 40.
It is known that highest proportion belongs to the age group of 40 to 60.
Table 5.47
Relationship between Age and Satisfaction Level of Customers
Attributes

Age
Highly
satisfied
Satisfied Average Dissatisfied
Highly
dissatisfied
Total
Below 18 02 02 02 01 01 08
18 25 04 19 21 12 06 62
25 40 21 31 06 07 08 73
40 60 33 24 20 21 13 111
Above 60 13 06 21 03 03 46
Total 73 82 70 44 31 300
Source: Primary Data
Null Hypothesis: Ho Alternative Hypothesis: H1
H0: There is no significant association between Customer Age and Satisfaction in
using the mobile phone.
H1: There is significant association between Customer Age and Satisfaction in using
the mobile.
Statistical Test:
Chi Square is the most appropriate test. On the basis of null hypothesis,
one can conclude the expected distribution of data among the categories and the actual
distribution of data available.
Level of significance = 5 %
Degree of freedom = (r-1) (c-1) = (5-1) ( 5-1) = 16

2
= (Fo Fe)
2
/ Fe

2
Cal. = 52.46 (Calculated value)
Critical test value: For = 0.5 and d.f. = 16, the critical test value is 26.296
Since the calculated value is greater than the critical value, the null hypothesis
is rejected. Thus one can conclude that there is significant relation between the
Customer Age and Satisfaction in using the mobiles.
Phi co-efficient () is used as a measure of the strength of association between
two variables in the special case of the table.
=


2
/N = 52.46 /300 = 0.17
The value of phi is nearer to zero. It indicates that though there is significant
association between the two variables, it is not very strong.

5.49 CUSTOMER GENDER AND SATISFACTION LEVEL
The table 5.1 reveals that 62 per cent of the customers are males and 38 per
cent are females. An attempt is made here to study the association between customer
gender and their satisfaction levels.
Table 5.48
Relationship between Gender and Satisfaction Level of Customers
Attributes


Gender
Highly
satisfied
Satisfied Average Dissatisfied
Highly
dissatisfied
Total
Male 62 38 42 32 12 186
Female 25 16 39 28 06 114
Total 87 54 81 60 18 300
Source: Primary Data
Null Hypothesis: Ho Alternative Hypothesis: H1
H0 : There is no significant association between Customer Gender and
Satisfaction in using the mobile phone.
H1 : There is significant association between Customer Gender and
Satisfaction in using the mobile.
Statistical Test:
Chi Square is the most appropriate test. On the basis of null hypothesis,
one can conclude the expected distribution of data among the categories and the actual
distribution of data available.
Level of significance = 5 %
Degree of freedom = (r-1) (c-1) = (2-1) ( 5-1) = 4

2
= (Fo Fe)
2
/ Fe

2
Cal. = 217.6 (Calculated value)
Critical test value: For = 0.5 and d.f. = 04, the critical test value is 9.488
Since the calculated value is greater than the critical value, the null
hypothesis is rejected. It can be concluded that there is significant relation between
the customer gender and satisfaction in using the mobile phones.
Phi co-efficient () is used as a measure of the strength of association
between two variables in the special case of the table.
=


2
/N = 217.6 /300 = 0.73
The value of phi is not nearer to zero. It indicates that though there is
significant association between the two variables, the association is strong.
5.50 CELL BRANDS VS SATISFACTION LEVELS OF THE
CUSTOMERS
The table 5.16 reveals that majority of the customers possess Nokia, 15 per
cent Reliance India Mobile, 13 per cent LG, and nine per cent Samsung. An attempt is
made here to study the cell brand used by the customers and the satisfaction level
derived out of it.

Table 5.49
Relationship between Cell Brand and Satisfaction Level of Customers
Attributes

Brand
Highly
satisfied
Satisfied Average Dissatisfied
Highly
dissatisfied
Total
Nokia 12 47 34 23 03 119
Sony Ericson 02 06 05 04 03 20
Seimens 02 04 02 02 02 12
Motorola 02 05 04 02 02 15
Samsung 04 12 04 03 03 26
RIM 10 14 10 06 06 46
Tata Indicom 02 06 08 02 02 20
LG 13 11 12 04 02 42
Total 47 106 79 49 19 300
Source: Primary Data
Null Hypothesis: Ho Alternative Hypothesis: H1
H0 : There is significant association between cell phone brands and
satisfaction levels
H1 : There is no significant association between cell phone brands and
satisfaction levels.
Statistical Test:
Chi Square is the most appropriate test. On the basis of null hypothesis,
one can conclude the expected distribution of data among the categories and the actual
distribution of data available.
Level of significance = 5 %
Degree of freedom = (r-1) (c-1) = (8-1) ( 5-1) = 28

2
= (Fo Fe)
2
/ Fe

2
Cal. = 33.4 (Calculated value)
Critical test value: For = 0.5 and d.f. = 28, the critical test value is 41.34
Since the calculated value is lesser than the critical value, the alternative
hypothesis is rejected. Thus, one can conclude that there is significant relation
between the cell phone brand and satisfaction levels in using the mobiles.
Phi co-efficient () is used as a measure of the strength of association between
two variables in the special case of the table.
=


2
/N = 33.4 /300 = 0.11
The value of phi is nearer to zero. It indicates that though there is significant
association between the two variables, it is not very strong.
5.51 VARIOUS SERVICE PROVIDERS VS SATISFACTION LEVELS
Table 5.30 shows that among the cell connections, majority of the
customers use Airtel, 28 per cent use BSNL, nine per cent use Reliance, only four per
cent use Vodafone.
Table 5.50
Relationship between Service Providers and Satisfaction Levels of Customers
Attributes

Service
provider
Highly
satisfied
Satisfied Average Dissatisfied
Highly
dissatisfied
Total
BSNL 16 40 22 03 03 84
Aircel 06 07 18 04 07 42
Airtel 48 32 09 07 02 98
Tata Indicom 13 05 06 06 06 36
Vodafone 02 02 04 02 02 12
RIM 08 06 09 03 02 28
Total 73 88 56 20 22 300
Source: Primary Data
Null Hypothesis: Ho Alternative Hypothesis: H1
H0 : There is no significant association between service provider and
satisfaction levels of the customers.
H1 : There is significant association between service provider and
satisfaction levels of the customers.
Statistical Test:
Chi Square is the most appropriate test. On the basis of null hypothesis,
one can conclude the expected distribution of data among the categories and the actual
distribution of data available.
Level of significance = 5 %
Degree of freedom = (r-1) (c-1) = (6-1) ( 5-1) = 20

2
= (Fo Fe)
2
/ Fe

2
Cal. = 85.19 (Calculated value)
Critical test value: For = 0.5 and d.f. = 20, the critical test value is 31.410
Since the calculated value is greater than the critical value, the null
hypothesis is rejected. Thus, one can conclude that there is significant relation
between the service providers and satisfaction levels of customers.
Phi co-efficient () is used as a measure of the strength of association
between two variables in the special case of the table.
=


2
/N = 85.19 /300 = 0.28
The value of phi is nearer to zero. It indicates that though there is
significant association between the two variables, it is not very strong.
5.52 RELATIONSHIP BETWEEN AGE AND USAGE OF CELL PHONE
The table 5.14 reveals that 62 per cent of the customers are males and
38 per cent are females. Table 5.2 shows that customers belonging to the age group of
40 to 60 are 37 per cent and 24 per cent of the customers belong to the age group of 25
to 40. It is known that highest proportion belongs to the age group of 40 to 60.
Table 5.51
Relationship between Age and Usage of Mobile Phones
Age

Gender
Below 18 18 to 25 25 to 40 40 to 60 Above 60 Total
Male 5 42 61 42 36 186
Female 3 20 50 31 10 114
Total 08 62 73 111 46 300
Source: Primary Data
Null Hypothesis: Ho Alternative Hypothesis: H1
H0 : There is no significant association between age and usage of cell
phones.
H1 : There is significant association between age and usage of cell
phones.
Statistical Test:
Chi Square is the most appropriate test. On the basis of null hypothesis,
one can conclude the expected distribution of data among the categories and the actual
distribution of data available.
Level of significance = 5 %
Degree of freedom = (r-1) (c-1) = (2-1) ( 5-1) = 4

2
= (Fo Fe) 2/ Fe
2 Cal. = 42.2 (Calculated value)
Critical test value: For = 0.5 and d.f. = 4, the critical test value is 9.488
Since the calculated value is greater than the critical value, the null
hypothesis is rejected. Thus one can conclude that there is significant relation
between the usage of cell phone and age. Data reveal that respondents between the
age group of 40 to 60 are the largest consumer group.
Phi co-efficient () is used as a measure of the strength of association
between two variables in the special case of the table.
=


2
/N =42.2 /300 = 0.14
The value of phi is nearer to zero. It indicates that though there is
significant association between the two variables, it is not very strong.
RANK CORRELATION ANALYSIS
5.53 MARITAL STATUS VS TYPES OF MOBILE PHONES
Rank Correlation Analysis has been done between marital status and
types of mobile phones and the study has been carried out to find whether there is any
correlation between marital status and the usage of different types of mobile phones.
Table 5.52 depicts that.






Table 5.52
Marital status Vs Type of Mobile Phones
D
2
= 6
N = 4
R = 1 - 6 D2
N3 N
= 1- 6 X 6
43 - 4
= 1 - 36
60
= 0.4
From table 5.52, it is inferred that correlation exists between the type of
mobile phones used and marital status. Married persons have a lot of responsibilities
and they could not spend lavishly on high cost mobiles. The basic purpose of mobile
Type of
handset
Single Married R
1
R
2
D=R
1
-R
2
D
2

Ordinary 07 24 4 3 -2 4
Colour 30 95 2 1 1 1
Colour with
camera
78

42

1

2

-1

1

Video camera 08 16 4 4 0 0
is its anytime usage and that facility is available in all sorts of mobiles. Single
individuals who earn can change their mobiles then and there to meet the latest trends
and fashion.

5.54 MEDIA OF ADVERTISEMENT VS GENDER
An attempt is made to study whether there is any correlation existing
between the media advertisement and the gender, both the genders get attracted to
different aspects and their preferences and tastes are different, here the analysis is
done to check these aspects.
Table 5.53
Media of Advertisement Vs Gender
Media Male Female R1 R2 D = R1- R2 D2
Television 36 46 3 1 2 4
Newspaper 28 14 4 4 0 1
Magazine 0 0 5 5 0 0
Radio 38 18 2 3 -1 1
Display 84 36 1 2 -1 1
D2
=7
N = 5
R = 1 - 6 D2
N3 N
= 1- 6 X 7
53-5
= 1 - 42
120
= 0.7
From table 5.53, it is inferred that positive correlation exists between
gender and the media of advertisement. Tastes and media attractions are viewed
differently by men and women. Females are very easily lured to advertisements
whereas the males will try to analyse the facts before taking any decision and they will
not, therefore, easily get caught in the advertisement tangle.
5.55 APPLICATION OF CONSUMER DECISION PROCESS MODEL
Consumer decision processes vary considerably in their complexity.
Most of the decisions consumers are required to make are probably rather simple ones
such as the purchase of staple foods. However consumers also must make decisions
that are comparatively complicated such as when buying durable goods. The range of
difficulty of consumer decision processes extends even further to problem solving that
may be characterized as being highly complex, such as might well typify the
consumers purchase of a very expensive item.
The range of consumer problem solving approaches can be placed on a
spectrum from routine problem solving, to limited solving, to extensive problem
solving as follows:
1. Routine Problem Solving (RPS) When consumers buy a brand they have
purchased before, it usually involves little or no information seeking and is performed
quickly. Consumers are brand loyal and tend to buy in a habitual, automatic and
unthinking way.
2. Limited Problem Solving (LPS) when consumers buy a new brand in a
familiar product category, it usually involves a moderate amount of information
seeking and time in choosing.
3. Extensive Problem Solving (EPS) When consumers buy in an unfamiliar
product category, it usually involves the need to obtain substantial information and a
longer time to choose. They must form a concept of the new product category and
determine the criteria to be used in choosing the brand.
A. STAGES IN THE CONSUMER DECISION MAKING PROCESS

B. RELEVANT INTERNAL PSYCHOLOGICAL PROCESSES

The consumer problem solving model consists of four basic types of
activities in the process of purchasing. The consumers four basic steps are
1. Problem Recognition :
Problem recognition results when a consumer recognizes a difference
of sufficient magnitude between what is perceived as the desired state of affairs and
what is the actual state of affairs, enough to arouse and activate the decision process.
Motivation Perception Attitude
Formation
Integration
Learning
Information
search
Alternative
evaluation
Purchase
decision
Post purchase
evaluation

eevaluation
Problem
recognition
The actual state refers to the way in which a need is already being met and the desired
state is the way a person would like to act for the need to be satisfied.
From the study it is inferred that most of the customers prefer mobile phones to
establish contact with others while travelling. Eleven per cent of the customers prefer
mobile phones for easy contact, 14 per cent of the customers prefer cell phones for
regular contact with others and 12 per cent of the customers prefer mobile phones for
realizing cost economy. Depending upon the above factors, it is found that use of
mobile phone varies from customer to customer.
From the study, it is identified that most of the customers are using the mobile
phone instead of landline phone. Since the mobile phones are handy and they could
be carried to any place, such advantages are used in full, for mobility and all time
contact; 26 per cent of the customers feel that the mobile phones provide any time
contact. From the survey, it is inferred that the majority 51 per cent of the customers
feel that the mobile phones have higher utility value than the land phones, four percent
of the customers feel the advantages of the two types and none of the customers feels
that the mobile phones give low utility value compared to land phones. Cell phones
no doubt have a very high utility value and are mostly preferred by all the customers.
From the analysis, the ranking given for various benefits were inferred. Decrease in
communication expenses because of owning the cell phone holds the first rank,
quick and accurate communication ranks fourth, and tenth rank goes to product
diversification.

2. The Information Evaluation Process
As the consumer is engaged in search activity, he or she is also actively
engaged in information evaluation. Evaluation involves those activities undertaken by
the consumer to appraise carefully, on the basis of certain criteria, alternative solution
to market related problems. The search process determines what the alternatives are,
and in the evaluation process they are compared so that the consumer is ready to make
a purchase decision.
From the study, it is revealed that television has influenced 24 per cent, the
majority 43 per cent of the respondents have been influenced through the display aids,
14 per cent through newspapers, 19 per cent through different magazines and none of
them ever got influenced through radio. Displays and posters attract every one and
they play a major role in making a decision on the purchase of mobile phones.
3. Alternative Evaluation
After acquiring information during the information search stage of the
decision process, the consumer moves to alternative evaluation. In this stage, the
consumer compares the various brands or products and services he or she has
identified as being capable of solving the consumption problem and satisfying the
needs or motives that initiates the decision process. The various brands identified as
purchase options to be considered during the alternative evaluation process are
referred to as the consumers evoked set.
From the analysis, it is clear that twenty four per cent of the customers like the
quality in their mobiles, 14 per cent the price of their mobiles, thirty one per cent
brand image and only three per cent of customers like the special features found in
their mobiles. Various aspects found in the mobiles attract the customers to prefer a
particular brand.
4. Purchase Decision
As an outcome of the alternative evaluation stage, the consumer may develop
a purchase intention or predisposition to buy a certain brand. Purchase intentions are
generally based on a matching of purchase motives with attributes or characteristics of
brands under consideration. Their formation involves many of the personal sub
processes including motivation, perception, attitude formation and integration.
From the research, it is inferred that 29 per cent of customers prefer Nokia, 10
per cent Sony Ericson, 02 per cent Samsung and five per cent prefer LG for their next
purchase. For the new purchase, the selection of brand is determined by past
experience with the mobile phones and getting added information from friends and
relatives who use some other mobile brands. From the study, it is inferred that while
changing their present mobile, consumers will concentrate more on the quality; 29 per
cent concentrate on sound, 18 per cent look into the price of the mobile and 14 per
cent of customers consider the various models provided by the different brands.
From the survey, it is inferred that finance schemes are given high rank by the
customers, the second rank is given to the complementary gifts provided by the cell
phone companies and the last rank is given to the discount schemes provided by the
cell phone companies. Different types of customers prefer different schemes offered
by cell phone companies. In general, all the cell phone companies offer various
schemes to attract the customers.

5. Post Purchase Behaviour
The consumer decision process does not end with the purchase. After using
the product or service, the consumer compares the level of performance with
expectations and is either satisfied or dissatisfied. Satisfaction occurs when the
consumers expectations are either met or exceeded; dissatisfaction results when
performance is below expectations. The post purchase evaluation process is important
because the feedback acquired from actual use of products will influence the
likelihood of future purchases. Positive performance means the brand is retained in
the evoked set and increases the likelihood that it will be purchased again.
Unfavourable outcomes may lead the consumer to form negative attitudes toward the
brand, lessening the likelihood that it will be purchased again or even eliminating it
from the consumers evoked set.
The study reveals that 232 customers are highly satisfied about the appearance
of the handset which they possess, 46 customers are satisfied with the audio and video
functions present in the mobiles. Two hundred and fifty four customers are satisfied
with price of the mobiles; 139 customers are highly dissatisfied with the audio and
video function of the mobiles. An attribute which is found to be satisfactory to one
customer will not be applicable to other. There are differences in the opinions and
satisfaction levels of the customers.

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