1.

To Study the consumer behaviour Towards FMCG

INTRODUCTION:
Fast Moving consumer goods are those goods that are consumed every day by the average consumer and
are replaced or fully used up over a short period of days, weeks, or months, and within one year. The Fast
Moving Consumer Goods (FMCG), also known as Consumer Packaged Goods (CPG), is products that
have a quick turnover and relatively low cost. Though the absolute profit made on FMCG products is
relatively small, they generally sell in large numbers and so the cumulative profit on such products can be
large. Fast moving consumer goods have a short shelf life, either as a result of high consumer demand or
because the product deteriorates rapidly.

Some Fast moving consumer goods – such as meat, fruits and vegetables, dairy products and baked goods
– are highly perishable. Other goods such as alcohol, toiletries, pre-packaged foods, soft drinks and
cleaning products have high turnover rates. Fast moving consumer goods are products that have a quick
shelf turnover, at relatively low cost and don't require a lot of thought, time and financial investment to
purchase. The margin of profit on every individual Fast moving consumer goods product is less. However
the huge number of goods sold is what makes the difference. Hence profit in Fast moving consumer goods
always translates to number of goods sold. Fast Moving Consumer Goods is a classification that refers to
a wide range of frequently purchased consumer products. Examples of FMCG generally include a wide
range of frequently purchased consumer products such as toiletries, soap, cosmetics, teeth cleaning
products, shaving products and detergents, as well as other nondurables such as glassware, bulbs,
batteries, paper products and plastic goods.

FMCG may also include pharmaceuticals, consumer electronics, packaged food products and drinks,
although these are often categorized separately. Three of the largest and best known examples of Fast
Moving Consumer Goods companies are Nestlé, Unilever and Procter and Gamble. Examples of FMCGs
are soft drinks, tissue paper, and chocolate bars. Examples of FMCG brands are Coca-Cola, Kleenex,
Pepsi and Believe Toiletries, Beauty Products, Home Cosmetics, Packaged Food, Soft Drinks Household
accessories are some of the best known examples of Fast Moving Consumer Goods A subset of FMCGs
are Fast Moving Consumer Electronics which contain innovative electronic products such as mobile
phones, MP3 players, digital cameras, GPS Systems, cell phones and Laptops which are replaced more
frequently than other electronic products mainly due to technology changes. White goods in FMCG refer
to large household electronic items such as refrigerators. Smaller items, TV sets, stereo systems etc. are
sometimes termed Brown goods. Unlike other economy sectors, FMCG share float in a steady manner
irrespective of global market dip, because they generally satisfy rather fundamental - as opposed to
luxurious - needs. Major Players in this sector include Hindustan Unilever Ltd., ITC (Indian Tobacco
Company), and Nestlé India, GCMMF (AMUL), Dabur India, Asian Paints (India), Cadbury India,
Britannia Industries, Procter and Gamble Hygiene and Health Care, Marico Industries, Nirma, Coca-Cola,
Pepsi and others. As per the analysis by ASSOCHAM, Companies Hindustan Unilever Ltd, Dabur India
originates half of their sales from rural India. While Colgate Palmolive India and Marico constitutes
nearly 37% respectively, however Nestle India Ltd and GSK Consumer drive 25 per cent of sales from
rural India. A rapid urbanization, increase in demands, presence of large number of young population, a
large number of opportunities is available in the FMCG sector. The Finance Minister has proposed to
introduce an integrated Goods and Service Tax by April 2010.This is an exceptionally good move because
the growth of consumption, production, and employment is directly proportionate to reduction in indirect
taxes which constitute no less than 35% of the total cost of consumer products - the highest in Asia. The
bottom line is that Indian market is changing rapidly and is showing unprecedented consumer business
opportunity.

REVIEW OF LITERATURE:
Ankit Katiyar, and Nikha Katiyar, (2014) “An Empirical Study of Indian Consumer Buying Behavior of
FMCG Products (With Special Reference of Bathing Soap)”, bathing soap are fast moving consumer
goods that have seen a surge in their sales in the past few decades in India more and more people are
opening up to the idea of experimenting and trying out newer bath soap. This study is attempt to cover the
various factors that influence the buying decision of consumers who plan to purchase and or used bath
soap. FMCG sector is the fourth largest sector in India touching everybody life’s in every day. The FMCG
goods sector is vital contributor to India’s gross domestic products. Chitra. R (2014) “An empirical study
on Customers Purchase Intention towards Branded Apparels”, this paper aims to study factors affecting
customers‟ purchase intention towards branded apparel. Purchase intention is explained in terms of
general consumer variables (normative influence, consumer confidence) and brand specific variables
(perceived quality, emotional value). Nasrudeen .R and Mohamed, (2014) “Level of Consumption of Fast
Moving Consumer Goods by Rural Consumers – An Analytical Study”, ever since independence of India,
because of some obvious reasons, marketing acquired a largely urban bias. It was the green revolution in
the seventies which provided a much-needed boost to agriculture-based rural economy in the country.
Subsequently, many firms started showing interest in the rural markets and extend their penetration to
reach smaller village and towns. Further, now-a-days rural consumers are behaving like urban consumers
towards the urban lifestyle, fashion, taste, preferences, etc. Rajasekaran, B and Saravanan, P. A. (2014)
highlighted, “Consumer Satisfaction on Fast Moving Consumer Goods”. The study throws on the
attitudes, values, beliefs and perception of the consumers with regards to the consumption of fast moving
consumer goods. To study the brand preference of fast moving consumer goods, the preference and
opinion of consumer towards popular brands have been taken into consideration. Shanmugapriya .G and
Sethuraman .R, (2014) “Consumers Satisfaction towards Hamam Soap in Thanjavur Town”, the
marketing scenario in India has undergone vast change since 1991 due to the economic reforms. Post-
liberalization, competition intensified in every product line and market, which forced brands to redefine
their norms of existence in all industries. In the FMCG industry, especially in toilet soap sector there has
been severe competition among the MNCs, national and local players. Brand loyalty is determined by
several distinct psychological processes of the consumers and entails multivariate measurements. Sonia
and Garima Dalal, (2014) “To Study the Satisfaction Level of Customers towards the Brand of
Consumer’s Goods - A Study Carried out on Rural Masses”, The Indian Fast Moving Consumer Goods
(FMCG) industry began to shape during the last fifty odd years. The FMCG sector is a corner stone of the
Indian economy. This sector touches every aspect of human life. Indian FMCG market has been divided
for a long time between the organized sector and the unorganized sector.

Muthuvelayutham (2012) in his study titled “The Study of Consumer Brand Loyalty on FMCG- Cosmetic
Products with Special Reference to Madurai” analyzes the relationship between demographic variables on
the brand loyalty of the consumers and tries to identify the consumer’s switching factors in respected
selected product category. This study is essentially a correlation study. A randomly selected sample of
600 from Tamil Nadu State, South India, particularly Madurai, Tuticorin, Kanyakumari districts were
selected to analyze. To indicate the amount of correlation between the variables, Chi-square test was used
in this study. Results show that among the variables age, education level and gender have the most
significant impact on consumer’s brand loyalty. Chandrasekhar (2012) in his study “Consumer Buying
Behaviour and Brand Loyalty in Rural Markets: FMCG”, aims to study brand loyalty of various brands in
rural markets and identify the presence and the importance of local brands. The primary data was
collected through a questionnaire. This study was conducted on a sample of 60 respondents in the
village’s satanapalli, tadipattri and mallapur. Suresh Bhagwat (2011) in his e article “FMCG Markets to
contribute in Indian rural Economy perspective in global era” This study focuses their efforts on
empowering the rural consumer with the latest trends and technology and teaches them ways to improve
their standard of living. Gihan Wijesundera (2010) in this article “Factors influencing the demand of
beauty soap among female consumers in the greater Colombo region” Purpose of this study is to explore
how the marketing mix and demographical factors influence the brand preference and purchasing
behavior of beauty soap among the female consumers in the greater Colombo region. The results
indicated that there were statistical relationships between price, product, education, occupation and band
preference and there was no statistical relationship between place, promotion, age, income level, marital
status, skin type, social factors, and substitute product with the brand preference. Thus the research
concludes that the price, product, education and occupation are only having a statistical relationship with
the brand preference of female consumers in the greater Colombo region. Nuntasaree Sukat (2009) in this
article “A model of male consumer behaviour in buying skin care products in Thailand” The study
purpose of the research was evaluated in some depth the phenomena of male consumer behaviour in
buying skin care products in Thailand. In order to cope with the research purpose, Fishbein and Ajzen’s
theory of reasoned action model is employed as a theoretical framework and modified by adding the self-
image construct. The research objective was find out the “To what extent do beliefs in product attribute,
self-image, Normative influences, and attitudes toward applying skin care products, affect Thai male
consumers’ purchase intention and purchase behaviour in buying skin care products. The researcher was
find out the result or confirm that beliefs, self-image, normative influences, and attitudes have impacts on
purchase intention and purchase behaviour in buying skin care products among Bangkok male consumers.
The modified theory of reasoned action is appropriate to explain male consumer behaviour in the purchase
of specific cosmetic product in the Thai setting.

STATEMENT OF THE PROBLEM:

Fast Moving Goods sector touches every aspect of human life. This is the biggest potential market in the
entire world, which increases income level of the market, is going to expand in near future. There are
various brand of FMCG available in the market. So the consumer is not able to identify which one is
good. They are finding it difficult to select a particular brand. While at the same time, they are not ready
to change their behavior and also brand preference of FMCG. The exact logic for the purchase of a
particular brand of FMCG is highly an uncertain factor. The users of the FMCG know the product feature
and other. Certain Consumer is ready to accept any brand while certain others are insisting on a particular
brand of FMCG. These kinds of Consumers with brand loyalty are ready to wait for their brand, if it is not
available in the market. This present a wonderful opportunity for makers of branded products who can
convent consumers to buy branded products. Hence the researcher has made an attempt to study the
consumer behaviour towards FMCG in the market.

OBJECTIVES OF THE STUDY:

The following are major objectives of the research study:
 To Study the buyer behavior towards FMCG brand in the study area.
 To ascertain the factors, which influence the consumers to purchase a FMCG product?
 To offer suitable suggestions based on the findings of the study.

HYPOTHESES:
A hypothesis refers to a proposed explanation for a phenomenon. It is declarative statement combining
concepts. In order to achieve the objective of the study the researcher has formulated the following
hypotheses.
 There is no relationship between the gender of the respondents and Factors influence to purchase of the
respondents.
 There is no relationship between the age of the respondents and Factors influence to purchase of the
respondents.
 There is no relationship between the educational status of the respondents and Factors influence to
purchase of the respondents.
 There is no relationship between the age of the respondents and purchase decision of the respondents.
 There is no relationship between the gender of the respondents and purchase decision of the
respondents.

METHODOLOGY:
The researcher has used both primary data and secondary data for the study.

Primary data:
The primary data has been directly collected by Questionnaire.

Secondary data:
The secondary data for this study has been collected from various publications, Journals, Magazines and
Books.

SAMPLING DESIGN:
The researcher is interested to study the consumer attitude towards FMCG products in Rajapalayam.
Since the consumers are large number, in the study area, the researcher has selected 80 customers used
Convenience Sampling Method.

ANALYSIS AND INTERPRETATION OF THE STUDY:

The buying behaviour of the consumers is influenced by several factor, such as socio – economic
conditions, cultural environment, literacy level, occupation, geographical location, effort on the part of
sellers, exposure to the media, etc., The researcher analyses the age, gender, marital status, education,
occupation and Monthly income of the consumer. The results are presented in the Following pages:

Age Wise Classification of Respondents:

The researcher gathered the information about age wise classification of the respondents is presented in
the table 1.

Table 1 Age Wise Classification of Respondents

Age No. of Respondents Percentage
Below 20 10 12.50
21-30 40 50.00
31-40 17 21.25
above 40 13 16.25
Total 80 100.00
Source: Primary Data

It is Obvious from the table 1, among 80 respondents, 10 (12.5%) respondents fall within the age group of
below 20 years, 40 (50%) respondents are in the age group of 21 to 30 years, 17 (21.25%) respondents are
in the age group of 31 to 40 years, and 13 (16.25%) respondents are in the age group of above 40 years.
It is inferred that most of the respondents (50%) are in the age group of 21 to 30 years.

Gender Wise Classification of the Respondents:

The gender wise classification of the respondents is given in the following table 2.

Table 2 Gender Wise Classification of the Respondents

Gender No. of. Respondents Percentage
Male 34 42.50
Female 46 57.50
Total 80 100.00
Source: Primary Data

The Gender Wise Classification of Respondents represents that out of 80 respondents, 34 (42.5%)
respondents are male and 46 (57.5%) respondents are female. It is inferred that majority of the
respondents are female.

Marital Status of the Respondents:

The researcher also enquires the marital status of the respondents; It is presented in the following table 3.

Table 3 Marital Status of the Respondents

Marital Status No. of respondents Percentage
Unmarried 45 56.25
Married 35 43.75
 Total 80 100.00

Source: Primary Data:

The table 3 shows that out of 80 respondents, 35 (43.75%) respondents are married and the remaining 45
(56.25%) are unmarried. It is clear that majority of the respondents are unmarried.

Educational Status of the Respondents:

The Following Table 4 displays that Educational Status of the Respondents.

Table 4 Educational Status of the Respondents

Educational level No. of respondents Percentage
School level 13 16.25
Graduation 28 35.00
Post Graduation 21 26.25
Diploma 11 13.75
Professional 7 8.75
Total 80 100.0
Source: Primary Data

The above Table 4 reveals that out of 80 respondents, 13 (16.25%) respondents have their educational
status up to school level, 28 (35%) respondents are under graduates, 21 (26.25%) respondents are post
graduates, 11 (13.75%) respondents are diploma holders and the remaining 7 (8.75%) respondents are
professionals. Hence, it is clear that most of the respondents are up to the under graduation.

Occupational Pattern of the Respondents:

Further the investigator is interested in identifying the nature of occupation of the respondents. The details
are listed in Table 5.

Table 5 Occupational Pattern of the Respondents

Occupation No. of. respondents Percentage
Government Employee 12 15.00
Private Employee 9 11.25
Business 13 16.25
Home Maker 11 13.75
Student 35 43.75
Total 80 100.00
Source: Primary Data

It is clear from the above table 5 that 12 Percent of the respondents are Government Employee, 11.25
percent of the respondents are private employee, 16.25 percent of the respondents are businessmen, 13.75
percent of the respondents are Home maker, and 43.75 percent of the respondents are students. It is clear
that most of the samples are students.

Monthly Income of the Family:

Finance is an important factor in making decisions. The purchase decision depends upon their income
level of the respondents. Therefore the researcher has analysed the Monthly income of the respondents in
the study area. The details are given in the table 6.

Table 6 Monthly Income of Family

Income level No. of Respondents Percentage
Below - Rs. 5000 19 23.75
Rs. 5001 - 10000 24 30.00
Rs. 10001 - 20000 23 28.75
Above - Rs. 20000 14 17.50
Total 80 100.00
Source: Primary Data

Table 6 exhibits that out of 80 respondents, 23.75 percent of them have the income less than Rs.5000 per
month, another 30 percent of the respondents have the income between Rs. 5001 and Rs.10001, and 28.75
percent of the respondents have the income range between Rs.10001 and Rs.20000 and the remaining
17.5 percent of the respondents belongs to the range of more than Rs.20000. It is inferred that most of the
respondents have the income level of Rs.5001 and Rs.10000.
OPINION ABOUT PURCHASE DECISION
Consumers are faced a lot of problem with purchase decision every day. The researcher analysed the
purchase decision in the following ways:

Factors Influencing Purchase Decision

The following Table shows the factors influencing the respondents in taking the purchase decision.

Table 7 Factors Influencing Purchase Decision

Purchase decision No. of respondents Percentage
Self 36 45.00
Friend 13 16.25
Family member 20 25.00
Adverting 11 13.75
Total 80 100.00
Source: Primary Data

From the Table 7, it is understood that out of 80 respondents, 45 percent of the respondents said that the
purchase decision is taken by self, 16.25 percent of the respondents said that friends helped taking in
purchase decision and 25 percent of the said that the family member, 13.75 percent of the respondents
said that advertisement helped in purchase decision. It is inferred that most of the respondents said that
they are taken purchase decision

Expectations of Respondents:
The researcher analysed the expectation of respondents of the facilities. The details are presented in the
following table 8.

Table 8 Expectations of Respondents

Facility No. of. Respondents Percentage
Availability Brand 21 26.25
New arrival 20 25.00
Reasonable price 28 35.00
Neat Display 11 13.75
Total 80 100.00
Source: Primary Data

The above table 8 reveals that 21(26.25%) respondents expect the availability of all brand in the shop,
20(25%) respondents expect the new arrival should be in the shop 28(35%) respondents are expect the
price of product should be reasonable, 11(13.75%) respondents expect the net display of the product.
It is known from the above table that majority of the respondents are expecting the price of the product is
reasonable.

Sources of information influenced to purchase:

A manufacturer communicates the product information through different media. The researcher analysed
which media influenced them to purchase. They are presented in the following table 9.

Table 9 Sources of information influenced to purchase

Factor No. of. Respondents Percentage
T.V 31 38.75
News 18 22.50
Radio 10 12.50
Friends 15 18.75
Online 6 7.50
Total 80 100.00
Source: Primary Data

The Table 9 clearly explains that, out of 80 respondents, 38.75 percent of the respondents are influenced
by T.V, 22.5 of the respondents are influenced by newspaper, 12.5 of the respondents are influenced by
Radio, 18.75percent of the respondents are influenced by Friends, and 7.5 percent of the respondents are
influenced by Online. Table 9 fined that most of the respondents are influenced by T.V.

Mode of the Purchase:

The following Table 10 gathered the details about the purchasing place of the respondents. The collected
data are given below:
Table 10 Mode of the Purchase
Place of Purchase No. of. Respondents Percentage
Retail shop 25 31.25
Super Market 30 37.50
Co-operative society 14 17.50
Online-purchasing 11 13.75
Total 80 100.00
Source: Primary Data

It is clear from the table 10 place of purchase FMCG Product, that out of 80 respondents, 31.25 percent of
the respondents prefer the Retail shop, 37.5 percent of the respondents are prefer Super Market, 17.5
percent of the respondents prefer co-operative socity,13.75 percent of the respondents are like Online
purchasing. In that table 10, majority of the respondents are like supermarket.

OPINION ABOUT BRAND DECISION:

The researcher analysed the opinion of the respondents regarding with brand decision.

Consumer Preferred of FMCG Products:

The study the identified the favorite brand of the respondents. They are presented in the following Table
11.

Table 11 Consumer Preferred of FMCG Products

Favourite Brand No. of Respondents Percentage
Kit Kat 17 21.25
Nescafe coffee 24 30.00
Milk bar 10 12.50
Nestea 15 18.75
Milk maid 14 17.50
Total 80 100.00
Source: Primary Data

Table 11 represents that out of 80 respondents, 17(21.25%) respondents choose that Kit Kat is a favorite
brand in the study area, 24(30%) respondents choose that Nescafe coffee is their favourite brand, 10
(12.5%) respondents choose that favourite brand, 15(18.75%) respondents choose that Nestea is a favorite
brand, 14 (17.5%) respondents choose that favorite brand. In that table majority of the respondents are
choosing that Nescafe coffee is a favourite brand.

Decision at the time of Non – availability of brand:

The researcher has analysed that the customer attitude towards availability brand is available or not
available in the market. It is given in the following Table 12.

Table 12 Decision at the time of Non – availability of brand

Decision of Consumer No. of Respondents Percentage
Wait for their brand 22 27.50
Go for alter Brand 30 37.50
Go for alter shop 28 35.00
Total 80 100.00
Source: Primary Data

Table 12 reveals that out of 80 respondents, 22 respondents has waited for their favourite brand if the
brand is not available in the market, 30 respondents has go for alter brand that if the brand is not available
in the market. 28 respondents has go for alter shop that if the favourite brand is not available in the
market. It is inferred that most of the respondents (37.5) are go for the alter brand is not available in the
market.

Recommendation of Brand to Other:

The researcher has enquired the interviewees whether they recommend their brand of FMCG to other. The
collected information is brought out in the Table 13.

Table 13 Recommendation of Brand to Other

Habit No. of Respondents Percentage
Recommend 60 75.00
Not Recommend 20 25.00
Total 80 100.00
Source: Primary Data

It is apparent from the table 13 that out of 80 respondents, 60 (75%) respondents have recommended their
brand to other and 20 (25%) respondents are not recommended their brand to others. It is clear that most
respondent are recommended their own brand to others.

Expecting Modification:
The consumers are expecting some other modification in FMCG product. The details comes under the
table 14

Table 14 Expecting Modification

Expecting modification No. of Respondents Percentage
Quality 27 33.75
Price 13 16.25
Taste 28 35.00
Package 12 15.00
Total 80 100.00
Source: Primary Data

It is represented from the table 14 that out of 80 respondents, 33.75 percent respondents are expecting the
modification regarding with quality of the Brand, 16.25 percent respondents are expecting the
modification is regarding with price Brand, 35 percent of the respondents are expecting modification
regarding with Taste of the Brand, and remaining 15 percent of respondents are expecting modification
recording with package of the Brand. It is inferred that majority of the respondents are expecting the
modification recording with Taste of the Brand.

Opinion About Quality Decision:

ISO standard defines quality as the totality of features and characteristics of a product or service that bears
its ability to satisfy stated or implied needs. Therefore quality is important one in studying consumer
behaviour and attitude. Here the researcher also analyses the attitude of consumers about quality.

Opinion of Customer Towards the Quality:

The quality is important, the researcher has analysed attitude of consumer, towards the quality if the
FMCG product is Quality one or not the details are given in the following Table 15.
Table 15 Opinion of Customer towards the quality
Consumer Opinion No. of Respondents Percentage
Quality one 61 76.25
Not Quality one 19 23.75
Total 80 100.00
Source: Primary Data

It is revealed from the table 15 that out of 80 respondents, 61(76.25%) respondents felt decide the FMCG
product having is Quality one, 19(23.75%) of respondents felt decide the FMCG Product is having Not
Quality. It clear that Most of the respondents felt decide the FMCG Product is Quality one.

Mode of Identification about Quality:

The researcher has future analysed customer’s attitude towards the identification of quality. They are in
the table 16.

Table 16 Mode of Identification of Quality

Identification No. of Respondents Percentage
Brand name 36 45.00
Date 17 21.25
 Package 10 12.50
By Experience 17 21.25
Total 80 100.00
Source: Primary Data

Table 16 Depicts that among 80 respondents, 36(45%) respondents are identifying the quality by brand
name, 17(21.2%) of respondents are identifying the quality of the product, 10(12.5%) respondents by
package and 17 (21.2%) of respondents are identifying the quality of FMCG product by Experience. It is
understood that Most of respondents are identifying the quality by brand name.

Mode of Complaints:
The researcher further analysed the mode of complaints. The results are presented in the following table
17.

Table 17 Mode of Complaints

To Whom No. of Respondents Percentage
Shop Keeper 53 66.25
Dealer 24 30.00
Producer 3 3.75
Total 80 100.00
Source: Primary Data
From the table 17 discloses that 66.2 per cent of the respondents has made complains to the shop Keeper,
30 percent of the respondents has made complaints to dealers and remaining 3.8 percent of the
respondents has made complaints to producers. It is inferred that Most of respondents (66.2%) have made
complaints to Shop Keeper.

Opinon about Packaging Decision:

Packaging is an important part of marketing a product. It catches the customers’ attention. It also provides
information about the product to the customer on the other hand it protects the products. The study
analysed the customer attitude towards packaging.

Preference of Pack:
The researcher analysed the preference of pack. The results are presented in the table 18.

Table 18 Preference of Pack

Pack No. of Respondents Percentage
Home pack 47 58.75
Sachet 33 41.25
Total 80 100.00
Source: Primary Data

Table 18 shows that among 80 respondents, 58.75 percent of the respondents liked home pack, and
remaining 41.25 percent of the respondents liked sachet pack. It is clear 58.8 percent respondents prefer
the home pack, and 41.25 percent respondents prefer the sachet.

Reasons for Preferring Home Pack:

The researcher further analysed the reason for preferring home pack. The details are presentation in the
table 19.

Table 19 Reasons for Preferring Home Pack

Reason No. of Respondents Percentage
Quality 16 34.04
Economical 10 21.28
Long use 8 17.02
Convenient 13 27.66
Total 47 100.00
Source: Primary Data

Table 19 shows that among 47 respondents, 34.04 per cent of the respondents prefer the home pack for
the reason ‘quality’, 21.28 per cent of the respondents prefer the home pack due to the reason of
Economic one, 17.02 per cent of the respondents are preferred the home pack due to their Long use, 27.66
per cent of the respondents prefer the home pack due to their Convenient use. It clear that majority of the
respondents are preferred the home pack for the reason of quality.
Reason for Preferring Sachet:
The researcher has studied the reasons for preferring the sachet. The results are given in the table 20.

Table 20 Reason for Preferring Sachet

Reason No. of Respondents Percentage
Get fresh Product 14 42.42
Less price 7 21.21
Easy handle 12 36.37
Total 33 100.00
Source: Primary Data

It is understood that among 33 respondents, 14 (42.4%) respondents prefer sachet for getting fresh product
every time, 7 (21%) respondents prefer sachet for less price, and remaining 12 (36.6 %) of the
respondents prefer that sachet to Easy handle. It is contingent that most of the respondents prefer sachet
for its get fresh product.

Opinion about Advertising and its Influence:

Information shown in the advertisement of FMCG product is moderately reliable. Television is the fastest
and more convincing mode of communication in advertising world. Price and quality are the major factors
considered while purchasing FMCG products rather than mere influence of advertising.

Influence of Advertisement:
In business world, advertising is considered not only inevitable but also essential. The researcher analysed
the customer whom influenced by these are presented in the table 21.

Table 21 Influence of Advertisement

Influenced No. of Respondents Percentage
Influenced 42 52.50
Not Influenced 38 47.50
Total 80 100.00
Source: Primary Data

From the following table 21, among 80 respondents, 42 (52.2%) of respondent are Influenced by
adverting, and remaining 38(47.5%) of the respondents are Not Influenced by the advertisement. Table 21
inferred that Most of the respondents are influenced by the advertising.

Degree of Communication:
Further the researcher has analysed the level of communication nature of advertisement, the details are
shown in the table 22.

Table 22 Degree of Communication

Degree No. of Respondents Percentage
Very Good 19 23.75
Good 35 43.75
Moderate 14 17.50
Very Bad 12 15.00
Total 80 100.00
Source: Primary Data

The table 22 analysed that out of 80 respondents, 19 respondents are chose Very Good, 35 respondents are
chose Good, 14 respondents are chose Moderate, 12 respondents are chose very Bad. The clear reference
to analysed the table maximum respondents are chose good.

Opinion about Media:

The media is the vital role in the process of advertising communication. The following table 23 displays
that Opinion about media of the Respondents.

Table 23 Opinion about Media

Media No. of Respondents Percentage
Television 33 41.25
Radio 13 16.25
 Film Advertisement 20 25.00
News paper 14 17.50
Total 80 100.00
Source: Primary Data

From the following table 23, it reveals that out of 80 respondents, 33 respondents are influencing as
Television 13 respondents are influenced by Radio, 20 respondents are influenced by Film Advertisement,
and remaining 14 respondents are influenced by News paper. It is understood that majority of the
respondents 33 (41.25%) are Influenced the media for Television.

Application of Chi-Square Test:

Chi-square test is applied to know the influences of socio-economic condition of respondents on the
factors of Gender and the Factor influence to purchase the following formula has been used.

H 1:
There is no relationship between the Gender of the respondents and Factors influence to purchase of the
respondents.

Table 24 Gender and Sources of information influenced to purchase Chi-Square Tests - Result
Asymp. Sig.
Value Df
(2-sided)
Pearson Chi-Square 9.718a 4 .045
Likelihood Ratio 10.303 4 .036
Linear-by-Linear Association .846 1 .358
N of Valid Cases 80
Source: SPSS Result

The significance value of chi – square test 0.045 is less than the 0.05. Hence, the Hypothesis is Not
Accepted. Therefore it is concluded that there is a relationship between the Gender and Sources of
information influenced to purchase.

H2:
There is no relationship between the age of the respondents and Factors influence to purchase of the
respondents.

Table 25 Age and Sources of information influenced to purchase Chi-Square Tests - Result
Asymp. Sig.
Value Df
(2-sided)
Pearson Chi-Square 1.834a 6 .934
Likelihood Ratio 1.875 6 .931
Linear-by-Linear Association .625 1 .429
N of Valid Cases 80
Source: SPSS Result

The significance value of chi – square test 0.934 is more than the 0.05. Hence, the Hypothesis is accepted.
Hence, it is concluded that there is no relationship between the age of the respondents and Factors
influence to purchase of the respondents.

H 3:
There is no relationship between the educational status of the respondents and Factors influence to
purchase of the respondents.

Table 26 Educational Status and Sources of information influenced to purchase Chi-Square Tests - Result
Asymp. Sig.
Value Df
(2-sided)
Pearson Chi-Square 15.429a 18 .632
Likelihood Ratio 17.625 18 .481
Linear-by-Linear ssociation 2.485 1 .115
N of Valid Cases 80
Source: SPSS Result
The significance value of chi – square test 0.632 is more than the 0.05. Hence, the Hypothesis is accepted.
Hence, it is concluded that there is no relationship between the educational status of the respondents and
Factors influence to purchase of the respondents.

H 4:
There is no relationship between the age of the respondents and purchase decision of the respondents.

Table 27 Age and Taken of purchase Decision Chi-Square Tests - Result

Asymp. Sig.
Value Df
(2-sided)
Pearson Chi-Square 22.990a 24 .520
Likelihood Ratio 27.027 24 .303
Linear-by-Linear Association .027 1 .868
N of Valid Cases 80
Source: SPSS Result

The significance value of chi – square test 0.520 is more than the 0.05. Hence, the Hypothesis is accepted.
Hence, it is concluded that there is no relationship between the age of the respondents and taken of
purchase decision of the respondents.

H 5:
There is no relationship between the gender of the respondents and purchase decision of the respondents.

Table 28 Gender and Taken of purchase Decision Chi-Square Tests - Result

Value Df Asymp. Sig.
(2-sided)
Pearson Chi-Square 24.705a 6 .000
Likelihood Ratio 29.631 6 .000
Linear-by-Linear Association 14.420 1 .000
N of Valid Cases 80
Source: SPSS Result

The significance value of chi – square test 0.000 is more than the 0.05. Hence, the Hypothesis is Not
Accepted. Hence, it is concluded that there is a relationship between the gender of the respondents and
taken of purchase decision of the respondents.

FINDINGS OF THE STUDY:

The finding of the study area is given below.
 It is inferred that most of the respondents (50%) are in the age group of 21 to 30 years.
 It is inferred that majority of the respondents are female.
 It is clear that majority of the respondents are unmarried.
 Hence, it is clear that most of the respondents are up to the under graduation.
 It is clear that most of the respondents are students.
 It is inferred that most of the respondents have the income level of Rs.5001 and Rs.10000.
 It is inferred that most of the respondents said that they are taken purchase decision
 It is known from that majority of the respondents are expecting the price of the product is reasonable.
 It is found that most of the respondents are influenced by T.V.
 Majority of the respondents are like supermarket.
 Majority of the respondents are choose that Nescafe coffee is a favourite brand.
 It is inferred that most of the respondents (37.5) are go for the alter brand is not available in the market.
 It is clear that most respondent are recommended their own brand to others.
 It is inferred that majority of the respondents are expecting the modification recording with Taste of the
Brand.
 It clear that Most of the respondents felt decide the FMCG Product is Quality one.
 It is understood that Most of respondents are identifying the quality by brand name.
 It is inferred that Most of respondents (66.2%) have made complaints to Shop Keeper.
 It is clear 58.8 percent respondents prefer the home pack, and 41.25 percent respondents prefer the
sachet.
 It clear that majority of the respondents are preferred the home pack for the reason of quality.
 It is contingent that most of the respondents prefer sachet for its get fresh product.
 It is inferred that Most of the respondents are influenced by the advertising.
 The clear reference to analysed the table maximum respondents are chose good.
 It is understood that majority of the respondents 33 (41.25%) are Influenced the media for Television.

RECOMMENDATIONS:
The researcher would like to suggest the following points, so the company can easily sell their product to
their Consumer.
 Brand can ensure participation from all member of the family thereby increasing brand recall by any
one of the members of the family. This is essential as purchase decision often involve all the member
of the family.
 Product redesign from the beginning can be done. Marginal changes to existing product will not
work effectively. Product must work in hostile conditions in noise, dust and electricity blackouts etc.
 News paper /Magazines advertisement may be increased.
 It is suggested that introduce exclusive show rooms for particular FMCG brand.
 It is right that the profit margin is very low in the FMCG product but at the same time the market
size is much large in the area, the Companies can reduce their prices by cutting the cost on the
advertisement in radio because the radio hearing people less in the number today.
 It is suggested that the guarantee/warrantee periods for FMCG brand may be revised.
 In the study area most of the respondents has not purchased FMCG brand through online, because of
more formalities. Hence, it is suggested that the company should concentrate on user friendly online
shopping procedure to their customer.
 In order to increase the sales, more gifts vouchers and offers may be introduced.

CONCLUSION:
Fast Moving Consumer Goods are vital for the people in their day to day life. Their importance is giving
the personality oriented benefits to the people. From the above analysis, it is denote that the FMCG
Brands are able to provide good services to the satisfaction of the consumer in the way of goods quality,
easy availability. More than that, it also observed that the consumer face some problems. It is also
concluded that the company may try to implement the above suggestion in the study area.

Objective 2.To Study the facility to Satisfy Consumer

5 Reasons Why Customer Satisfaction Is Important

Lucjan Kierczak

Head of Marketing at Survicate.

You should never ignore the importance of customer satisfaction. There are dozens of
factors contributing to the success (or failure) of a business, customer satisfaction is one
of them. It’s important to track this factor and work on improving it in order to make
your customers more loyal and eventually turn them into brand ambassadors. If you
don’t care about customers’ satisfaction, don’t expect them to care about your services
or products. Sad, but true. The sooner you face it, the better you’ll perform.

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High-standard customer service can win your clients’ hearts and make you recognizable
within your target group. Nowadays when social media play such an important role in
making decisions it’s crucial to keep an eye on a quality of customer service you
provide. Not convinced yet? What if we provide you with 5 more solid reasons why
customer satisfaction is not only important but also beneficial for your brand?

1. A Loyal customer is a treasure you should keep and hide

from the world
According to White House Office of Consumer Affairs, on average, loyal customers are
worth up to 10 times as much as their first purchase. Some research says that it is 6-7
times more expensive to acquire a new customer than it is to keep a current one. Banks
or mobile providers know it best, so they don’t have any problem with going an extra
mile for a customer who is not quite satisfied and often offer him something special. Not
only it is more expensive but also much more difficult to keep existing and loyal clients
(let alone keeping them fully satisfied and happy!) than to gain some new ones. Take
this rule into account while organizing your customer service processes and do your best
to look after them.

2. They can stop being your clients in a heartbeat

Is not rocket science, nowadays clients easily switch their love brands. It is often caused
by terrible customer service. Clients waiting for ages to get feedback or comment from a
brand? Unacceptable! But it still happens. And gaining clients’ trust takes up to 12
positive experiences to make up for one unresolved negative experience.

“When customers share their story, they’re not just sharing pain points. They’re
actually teaching you how to make your product, service, and business better. Your
customer service organization should be designed to effectively communicate those
issues.” – Kristin Smaby, “Being Human is Good Business”.

You can’t gain customers’ satisfaction for ever, you need to look after them all the time.
Try to talk with them, instead of to them. Ask questions, offer constant support, send
personalized messages or offers, use targeted website surveys, email surveys or any
other technique that will help you communicate with your customers. Take care of each
and every of your clients’ need and you’ll be rewarded with their gratitude and loyalty.
Sounds like a good deal, doesn’t it? Brands often take their audience for granted, and
they’ve never been so wrong – one decision, or lack of it, can result in losing a lot of
clients and their respect. That’s why measuring clients’ satisfaction is so important.

3. It’s (all) about the money, too

It shouldn’t be surprising, but the customer satisfaction is also reflected in your revenue.
Customers’ opinion and feelings about the brand can affect, in both positive and
negative way, the essential metrics – such as the number mentions and repeated
transactions, and also customer lifetime value or customer churn. Happy customers
won’t look at your competitors offers – they will happily interact with your brand again,
make a purchase and recommend the product further. If you meet all of their
requirements and answer their needs while delivering the best quality of your services,
they will be fully satisfied. Not to mention your brand will increase sales revenue!

Measuring customer satisfaction should become your daily habit – not something you
do from time to time and only if you’re about to face a crisis management. If you don’t
know how to do it right, you can take a look at our guide to measuring customer
satisfaction to make things easier.

4. Customer satisfaction is a factor that helps you stand out

of the competition
Kate Zabriskie once said that “Although your customers won’t love you if you give bad
service, your competitors will.” and we couldn’t agree more. Your competitive rivals
are just waiting for you to make a wrong move. What is more, they can often play a role
of an instigator. Being prepared for their provocations is not enough if you don’t know
how to deal with the negative backlash. However, if you provide your customers with an
amazing customer service, you will gain arguments to convince those uncertain of your
services.

5. Great customer experience can take your brand places

The importance of customer satisfaction should never be neglected. You should
consider it especially while planning your marketing and positioning campaigns.
Satisfied customers are more likely to share your content across the social media. They
will also more keenly interact with your posts, leaving some delightful and admirable
comments. Later you can use it as the source for case studies and success stories. Being
an example of a company that provides a ravishing customer satisfaction? Every brand
should aim for it.

Objective 3

The Importance of Customer Satisfaction Surveys

Successful business owners and managers quickly realise that keeping

customers costs less than finding new ones. If certain practices drive customers
away, a business repeatedly spends time and money on advertising and other
efforts to recruit more. These business owners know that weaknesses in the
production or delivery of goods lead to distressed customers, so they use online
surveys to collect feedback. Customer satisfaction surveys can become
imperative tools for improving your business and ensuring your customers are
happy and loyal.

Build your brand

Studies show satisfied clients tend to buy products more often and develop
loyalty to a particular brand. They often spread the word by recommending
products and services to friends and family as an informal referral process.
Customer satisfaction surveys give firms specific information about positive and
negative perceptions, which could improve marketing or sales efforts. These
perceptions are especially important because of the increased use of social
media by people of all ages. One negative comment posted on a social media
site could be seen by thousands of potential customers. Angry customers can
use unfair criticism and untrue statements to harm a firm's reputation. Repairing
the damage or countering false representations could prove costly. Measure
your results

A customer satisfaction survey might be worthless unless it creates statistical

data that can be scientifically analysed. The first step to developing a
meaningful online survey is to establish intended goals and a process for
comparing results. Employees responsible for analysing survey results should
have some background in statistics to make the survey meaningful. When
drafting survey questions, as much detail as possible should be included in the
questionnaire, along with an area for independent customer comments.

Update your customers

If survey results lead to a plan to improve weak areas of operation, a follow-up
survey can be used to measure whether changes worked. Information can again
be analysed and compared to earlier feedback. It is also valuable to let your
customers know you're endeavouring to make improvements and to thank them
for their help. Customer satisfaction surveys also reveal data that can be used
to gauge estimated customer satisfaction rates of competitors.

Keep it personal
In some firms, each unhappy customer is personally contacted in an effort to
resolve any problem. Customers who ranked service or goods poorly might be
offered discounts in an effort to retain their business. If comments they made on
the survey resulted in action to improve customer service, the unhappy client
might be informed of changes linked to their responses on the online
questionnaire. These personal contacts let customers know their opinions are
valuable and taken seriously.

Online surveys are an easy and cost-effective way to find out if your customers
are truly satisfied by your service and product, and a happy customer is a loyal
one.
Objective 4. To study the factor influence consumer

factors that influence consumer behavior the most

You know your clients are people. Even if you sell to a company, you’ll be
dealing with humans to do it. You know that everyone has their interests, their
tastes, their own way of being and a personal history that conditions them. It
happens to all of us.
We know you don’t like to generalize with people. They all deserve the respect
of being treated as individuals, with their own ideas and feelings. But
sometimes, for example, when you’re thinking about the focus of your
business or the needs of your potential customers, you’ll have no choice but to
generalize a little. In this article we will know, in abstract, some factors that
influence consumer behaviour. Let’s see some of them.
– Age.
It is undoubtedly an essential factor. The reaction, as a consumer, of an 18-
year-old teenager has nothing to do with that of a 68-year-old veteran. The
needs are also different. With regard to the latter, there is a curious
phenomenon. At the moment we are born, our requirements are usually very
basic (food, care, etc.). As we reach adulthood and enter into it, our life
becomes more complex and with it our needs become more complex. In
recent years, however, old age brings us back to more fundamental demands,
such as those of our childhood.
– Culture.
This is another essential factor. Culture (and education as part of it) largely
determines the individual’s way of being and the decisions they make. The
purchasing attitude of a person educated in the Caucasus mountains has little
to do with that of a person trained in technological Tokyo. Their needs will also
be different. It will be something you have to bear in mind, especially if you
want your products to reach a large number of people living in different parts of
the world.
– The socio-economic level.
Some entrepreneurs, for example in the luxury goods sector, know well what
we are talking about. Nothing has anything to do with how a wealthy person
buys with someone who has difficulty making ends meet. Both the products
and how to approach one group or another will differ greatly. Some will be
reached through factors such as aesthetics and exclusivity, and for others
conditions such as durability or price will be more important. But don’t forget,
everyone deserves the same respect.
– Perception.
We humans are sensory beings. We have a series of receptors (commonly
known as senses: sight, hearing, smell, taste and touch) that serve us to move
around the world, and of course to make decisions.
Marketing and advertising are well aware of the importance of perception as
one of the factors influencing consumer behaviour. Concepts such as sensory
marketing, or even emotional marketinghave been developing over the last
few decades on the knowledge of the influence of perceptions in making the
purchase decision. However, it is worth remembering that there are many
factors that influence people’s perception of a product or service, such
as brand image, customer experience, etc.
– Attitude.
There are needs and needs, and to each their own. It has nothing to do with
buying paper towels or having a cup of coffee with buying an anniversary
present or a home. Some purchases are routinary, almost thoughtless, as a
habit, but people can spend days or even weeks trying to decide about others.
The attitude with which your potential customers approach your products or
services will depend on what they are. Think about this when planning what
you want to offer and how you want to do it.
– Trends.
Either we like them or not, trends exist. Some people get off – to a greater or
lesser extent – their influence, while others are so convinced of their
importance that they get to call themselves “fashion-victims”. Trends are an
expression of market trends, that powerful force that every businessman would
want to be able to foresee. Whatever your sector, you’ll have to take them into
account if you want to survive.
– Personality.
It is undoubtedly the most difficult factor to differentiate. The personality of a
human being is influenced by factors such as those we have already seen
(age, culture, socio-economic level, etc.), but also by many others. Education,
or life experience are crucial. But also genetic and biological conditioning
factors. It is very difficult to know in depth the personality of human beings.
Even self-knowledge is not an easy task. But there is no doubt that personality
is a determining factor when deciding on the purchasing process. That’s why
it’s so important to know your customers as well as possible.
– Experience.
It is undoubtedly a determining factor. People have memory, and they also use
it when they are shopping. That’s why customer experience is so important in
the purchasing process. Getting the customer to have a good memory of your
products or services is as meticulous a task as it is important. If you don’t
succeed, it will be difficult for your company to survive for a long time. If you
do, they’ll be more likely to come back to you and speak well of your business
to friends, family and acquaintances.
These are some of the factors that influence consumer behaviour. Remember
that they are free and their will is sovereign. What can you do to make them
decide to buy your products or services? A good start is to offer excellent
customer service.
There are many ways to do this, and tools that can help you, such as Integria
IMS. Integria IMS is a software that, among other functionalities, includes
an incident management system that can help you improve customer service
in your company.