RESEARCH PROJECT

BYABHISHEK FOGLA DHARMENDRA BANTHIA NIMISHA MITTAL POOJA SUREKA SHRUTI RAMPURIA

EXECUTIVE SUMMARY Children's influence in family purchase decisions plays a vital role and we have conducted this survey to see how a childs psychology affects the buying pattern. The issue of children's influence in family purchase decisions is beginning to attract the attention of researchers of family buying processes. In the past, research on family decision-making tended to concentrate on examining variations in spousal influence; the role of the child was often overlooked (Davis 1976; Ferber 1973; McDonald 1980; Miller et al. 1982; Scanzoni 1980). However, there has recently been an increasing recognition of the child's importance in family purchase decisions. Specifically, a number of studies have found children to have at least some influence in decisions for a wide array of products. Therefore, it seems that if researchers wish to fully understand family decision-making, children should be included in studies of family consumer behavior. For the purpose of the research we conducted a survey with a questionnaire having few questions which helped in our analysis the link for which has been provided below. https://docs.google.com/forms/d/1bkSNHXvbI0x86oHpubZAtYYlT9qE0ElNqUc19xprGc/viewform The total number of respondents was 100 and the analysis of each question and how the question is being analyzed from the view point of a childs influence on the buying pattern has been explicitly given which is further supported by various graphs and charts with explanations. There-after the analysis for the concerned problem is being conducted using spss and excel sheet, the details of which have been given below in the report analysis part.

1. GENDER

36%

MALE FEMALE
64%

The research showed that out of the estimated sample around 64% respondents were female and 36% were male.

2. CHILD GENDER

44% 56%

MALE FEMALE

The research showed that out of the estimated sample around 56% respondents responded for female child and 44% for male child through which the requirement of the type of product purchased is determined.

3. WHAT IS THE AGE OF YOUR CHILD?

No of Chidren
8 year

23 14 18

9 18 17

9 year 10 year 11 year 12 year 13 year

The data shows that the highest percentage of children are of age 13 which is followed by 11 year, 9 year, 10 year, 12 year and 8 year respectively.

4. WHAT IS THE INCOME OF THE PARENT ?

11%

<5 LAKH
26% 63% 5-8 LAKH >8 LAKH

The income group constituted the highest percentage in the income of greater than 8 lakhs i.e. 63% and 26% comprised of income group between 5-8lakhs and the lowest income group of less than 5 lakhs comprised of 11% which helped in determining the buying pattern and the amount a parent is ready to spend for a child in accordance with his income.

5. WHO IS THE WORKING PARENT ?

2% 32% 66% MOTHER FATHER BOTH

Among the working parent father comprised the highest percentage followed by both and then mother respectively which determines the buying pattern of a parent.

6. HOW MANY CHILDREN OR SIBLINGS DO YOU HAVE ?

12% 26% 62%

ONE TWO MORE THAN TWO

The data showed that 62% fall in the category of having one child/sibling followed by 26% and 12 % having two and more than two children/sibling. This question helps in analyzing how a parent spends when he has a single child and how proportionately it is being distributed when he has more than one child. 7. WHAT IS THE FAMILY STRUCTURE?

54%

46%

nuclear joint

Maximum respondents were from joint family comprising 54% followed by nuclear family comprising 46% which brings a comparison as to how people balance on having a joint or a nuclear family.

8. WITH WHOM DOES THE CHILD LIKE GOING SHOPPING WITH?

35% 51% 14%

MOTHER FATHER BOTH

This data reveals that with whom the child is comfortable going shopping with so that he feels satisfied to the maximum extent and buys without any fear. The data showed that 51% children liked going shopping with both, 35% with mother and remaining 14% with father.

9. HOW OFTEN DO YOU TAKE YOUR CHILD FOR SHOPPING ?

ONCE A WEEK 23% 42% 35%

ONCE A MONTH SPECIAL OCCASIONS

The buying pattern and frequency is determined by the following data where 42% parent take their child for shopping on special occasions followed by 35 % once a month and 23% weekly respectively.

10. WHEN DOES YOUR CHILD LIKE TO BUY ?

SALE PERIOD NORMAL DAYS FESTIVAL VACATION

0% 10%

15% 50%
Series1

14% 21%
20% 30% 40% 50%

Since children are always eager to go for shopping they dont wait for any vacation or festivals and because of such a buying behavior 50% of the children prefer going shopping on normal days, 21% on vacations, 15% during the sale period for better offers and 14% on festivals because of the excitement being build up during the festive season.

11. WHAT DOES YOUR CHILD LIKE TO BUY ?

STATIONERY CHOCOLATES CLOTHES BOOKS TOYS

0% 5% 10% 15%

17% 23% 21% 16% 23%

20% 25% Series1

Since we targeted children between 8-13 years of age so from the above presentation we can see that 23% of the child buy chocolates and toys followed by 21% who like to buy clothes, 17% buy stationery and rest 16% like to buy books.

12. WHICH ATTRIBUTE IS NECESSARY FOR YOUR CHILD TO BUY THE PRODUCT ?

DESIGN COLOR SAFETY QUALITY PRICE

0% 5% 10%

33% 18% 11% 28% 11%

15% 20% 25% 30% 35% Series1

Children of age between 8-13 years are more attracted towards the product design and outlook. So our research showed that 33% of the children consider design necessary for the purchase, 28% consider quality, 18% consider color and 11% consider safety and price the necessary attributes during the purchase.

13. YOUR CHILD IS MORE INFLUENCED BY ?

CURRENT FASHION TREND SIBLINGS

PEERS
0% 10% 20% 30%

37% 27% 36%

40% Series1

Children are more attracted towards television advertisements and the changing fashion trends. So our research showed that 37% are more influenced by current fashion trends,36% are influenced by peers and 27% are influenced by siblings.

14. DOES YOUR CHILD FORCE YOU TO BUY ?

NO YES 0%

36%
Series1

64% 50% 100%

The data showed that 64% of the children force their parents to buy and remaining 36% do not force their parents to buy.

15. WHAT INFLUENCES YOUR CHILDS BUYING BEHAVIOR?

POPULARITY
COLOR AND DESIGN PRICE ADVERTISEMENTS
0%

32% 30%
Series1

7% 31%
5% 10% 15% 20% 25% 30% 35%

A child gets attracted to the most known and popular products so our survey showed that 32% of the popularity of the product appeals the child the most, closely followed by advertisements and color and design. Price is the factor which is least appealing to a child because once the product attracts them they force their parent to buy as seen in the above question surveyed.

16. WHAT DECISION LED TO THE PURCHASE?

CARTOON CHARACTER

33% 13%
Series1

BRAND AMBASSADOR

PACKAGING

24% 30%
0% 10% 20% 30% 40%

BRAND NAME

A Childs life revolves around the cartoon characters and thus their purchase decisions are highly affected by the cartoon character. Brand name is the second most important feature followed by packaging and thereafter the brand ambassador.

17. IS YOUR CHILD INFLUENCED BY SPECIAL OFFERS LIKE TAZOS FREE WITH FRITO LAYS?

NO

43%
Series1

YES
0% 10% 20% 30% 40% 50%

57%
60%

A child gets elated when he sees any free product and thus the special offers like tazos attracts them constituting 57% as per our survey followed by 43% who do not get influenced by such offers. 18. DOES YOUR CHILDS MOOD INFLUENCE HIS BUYING BEHAVIOUR ?

30% YES 70% NO

A child is usually very fickle minded and his mood swings highly influences his buying pattern constituting 70% followed by 30% whose buying pattern is not influenced by their mood.

19. WHEN DOES YOUR CHILD TEND TO DEMAND MORE ?

27%

30% HAPPY

EXCITED
43% CONFUSED

An excited child wishes to buy all the stuffs which comes first on his way. So our data shows that a child is more demanding when he is excited which is closely followed by a happy child and is less demanding when he is confused and doesnt come to a conclusion as to what to buy.

20. WHAT TYPE OF LOCATION DOES MATTER FOR THE PURCHASE ?

29% 67% 4%

NEAR FAR

DOESNT MATTER

For 67% parent the location doesnt matter because they feel that the location is not so relevant for the purchase if there are important attributes to be considered. 29% parents prefer near location may be due to cost saving and other convenience and 4% people prefer far off places.

21. DOES THE SALES PERSON AND THE STORES INTERIOR APPEALS CHILD PSYCHOLOGY?

41% 59% YES NO

A child is influenced by the store interior and sales persons behavior because whenever a child goes for shopping with his parent the sales person tries influencing the child by sweet words and the child gets swayed and is persuaded to buy the particular product. Hence 59% children are influenced and 41% children are not influenced by the sale s persons behavior and store interior.

ANOVA Sum of Squares X3 Between Groups Within Groups Total X4 Between Groups Within Groups Total X5 Between Groups Within Groups Total X6 Between Groups Within Groups Total .001 Mean Square 1 .001

df

F .001

Sig. .981

246.079 246.081 1.342

97 98 1

2.537

1.342

2.869

.094

45.385 46.727 1.387

97 98 1

.468

1.387

1.584

.211

84.937 86.323 .263

97 98 1

.876

.263

.549

.461

46.464 46.727

97 98

.479

X7

Between Groups Within Groups Total

.006

.006

.023

.880

24.540 24.545 .369

97 98 1

.253

X8

Between Groups Within Groups Total

.369

.709

.402

50.540 50.909 .325

97 98 1

.521

X9

Between Groups Within Groups Total

.325

.528

.469

59.635 59.960 3.188

97 98 1

.615

X10

Between Groups Within Groups Total

3.188

2.157

.145

143.317 146.505 .823

97 98 1

1.477

X11

Between Groups Within Groups Total

.823

1.041

.310

76.650 77.472 .072

97 98 1

.790

X12

Between Groups Within Groups Total

.072

.068

.794

102.630 102.703 .763

97 98 1

1.058

X13

Between Groups

.763

1.467

.229

Within Groups Total X14 Between Groups Within Groups Total X15 Between Groups Within Groups Total X16 Between Groups Within Groups Total X17 Between Groups Within Groups Total X18 Between Groups Within Groups Total X19 Between Groups Within Groups

50.484 51.247 1.131

97 98 1

.520

1.131

5.039

.027

21.778 22.909 .535

97 98 1

.225

.535

.833

.364

62.243 62.778 .007

97 98 1

.642

.007

.010

.921

71.692 71.699 .003

97 98 1

.739

.003

.013

.909

24.179 24.182 .009

97 98 1

.249

.009

.043

.837

20.496 20.505 2.922

97 98 1

.211

2.922

4.488

.037

63.159

97

.651

Total X20 Between Groups Within Groups Total X21 Between Groups Within Groups Total

66.081 .468

98 1 .468 1.504 .223

30.159 30.626 .052

97 98 1

.311

.052

.210

.648

23.968 24.020

97 98

.247

Cluster Membership Case 1 2 3 4 5 6 7 8 9 10 11 5 Clusters 4 Clusters 3 Clusters 1 2 1 3 4 1 4 2 4 2 2 1 2 1 3 1 1 1 2 1 2 2 1 1 1 2 1 1 1 1 1 1 1

12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35

1 4 4 4 4 4 2 1 1 1 1 1 4 1 1 2 4 1 1 1 1 2 1 4

1 1 1 1 1 1 2 1 1 1 1 1 1 1 1 2 1 1 1 1 1 2 1 1

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59

1 1 2 1 4 4 4 4 1 1 1 5 4 4 2 1 1 1 4 1 4 4 1 1

1 1 2 1 1 1 1 1 1 1 1 4 1 1 2 1 1 1 1 1 1 1 1 1

1 1 1 1 1 1 1 1 1 1 1 3 1 1 1 1 1 1 1 1 1 1 1 1

60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83

4 1 4 4 4 1 1 4 1 4 4 4 4 2 1 1 4 2 1 1 4 4 4 4

1 1 1 1 1 1 1 1 1 1 1 1 1 2 1 1 1 2 1 1 1 1 1 1

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99

1 4 1 1 4 5 4 1 1 4 4 1 4 4 1 4

1 1 1 1 1 4 1 1 1 1 1 1 1 1 1 1

1 1 1 1 1 3 1 1 1 1 1 1 1 1 1 1

ANALYSIS REPORT

Our survey is focused on the influence of children on the buying behavior. Through data representation we have observed that children belonging to the family whose income is less than 5 lakhs has to influence their parents more for fulfilling their desire whereas children belonging to the family whose income is above Rs 8 lakhs does not require more convincing power as their desires are fulfilled without much influence. For a better understanding we have taken help of SPSS software. For using this software we have to convert our data into numeric form. We have assigned numerical value to all our questions and the value of the numerical value is assigned on the basis of how a particular option for a question has a greater influencing power. The questions which gave the option to the respondents to tick multiple answers were assigned numerical values by taking the average of the weights assigned. Our survey constituted 21 questionnaire and we have named them X1, X2.X21 for spss. XI and X2 represent parent gender and child gender. Since parents do not differ between their children because of gender so for finding out the ANOVA we will take parents gender and we will not consider child gender. ANOVA is done in order to find out whether we should go for cluster analysis or factor analysis. By using anova we found that within group observation is greater than between group i.e. out of 19 observations 11 observations lies within group. So we computed cluster analysis. By computing cluster analysis we observed that out of three cases i.e. 5 cluster, 4 cluster, 3 cluster, major data are covered under cluster 5.