CHAPTER 1 INTRODUCTION

With the rising incomes of people especially in urban India, shopping has become a national pursuit today. It is a recreational pursuit (Bellenger and Korgaonkar, 198 ! grounded in consumer culture characteri"ed by conspicuous consumption, fri#olous spending and demands for instant gratification. $his culture further found an ideal outlet and form of e%pression in retail &sales'. (etail sales is described as a short period end of season sale )here most of the retailers in the market gi#e huge discounts on the ma%imum retail price of the goods so as to clear the stock before procuring fresh stocks for the ne%t season. $his kind of phenomenon is said to be a result of recession, )hereby retailers in order to cease decreasing consumer confidence try to stimulate spending by resorting to deeper and e#er more protracted *seasonal+ markdo)ns (,erdict, 199-!. .nother reason behind such mark do)ns in prices is shortening fashion cycles, )hich add urgency to clear slo)er selling lines, )hile e%panding range of styles simultaneously increased the number of buying errors consigned to the reduced racks (/a#is, 1900!. .ddition of continental lines, increasing o#er1capacity to high retail concentration, largely undifferentiated products etc further adds to the competition and price )ars forcing the retailers to adopt strategies to attract ma%imum number of customers by means of such retail sales. 2o)e#er, these sale acti#ities ha#e apparently al)ays been irregular and sub3ect to )ide fluctuations (4rus, 1980!, although the reasons for this are not )ell documented in the marketing and retailing literature. Indeed , beyond a cursory mention of their traffic generating or clearance functions, the sales ha#e attracted remarkably little attention, )ith e#en the most fundamental of concerns such as definitions and ob3ecti#es largely o#erlooked (Betts and 5c6oldrick, 1997!. In addition to general adoption of retail sales as a strategy, there ha#e been fe) prestige stores )ho ha#e long shunned the concept of &sales' claiming that reduced prices )ould damage theircredibility (8ames, Walker and 9t"el, 19:;!. <o) prices are often associated )ith lo) =uality (6abor and 6ranger, 1900! and can be generali"ed across the store (>ystrom, 19: ! and customers become skeptical of the #alue of &non' sale merchandise. .lthough it is often intimated that a perpetual spotlight on prices can cheapen store image
1

(Berry, 1980? Buskirk and Buskirk, 19:9! fe) studies ha#e actually mentioned the influence of &sales' (<ind=uist, 19:@!. Betts and 5c6oldrick, 199; find it =uite surprising that literature fail to note the temporary change of image )hich store goes during sales. .ccording to the beha#ioral perspecti#e of store image (Kunkel and Berry, 1908! sale characteristics lend a ne) identity by temporarily changing the customer's total conceptuali"ed or e%pected reinforcement associated )ith a particular store. 2arrods sale demonstrates that )hen shoppers are able to discriminate bet)een &sale' and &nonsale' periods, the non1sale image is left relati#ely untarnished. $hough this seems to be the )ell established understanding but needs to be further #alidated. Aurthermore, impact of sale on non sale period has to be )ell established before dra)ing out any conclusions. 5ark do)ns are an inescapable facet of today's retail management making it important to further in#estigate the phenomenon so as to generate better results and to ha#e lesser impact on normal periods and sale during non1 sale days. $his research pro3ect is an attempt to study the phenomenon in the Indian conte%t, seasonal sale being a recently seen phenomenon in the Indian retail industry. $he present study tries to identify the market related factors )hich ha#e an influence on the perception of the consumers to)ards sale )hich in turn is e%pected to ha#e its impact on final shopping beha#ior during seasonal sale period. 1.1 Evolv: Company Profile 9#ol#, is a retail concept that offers contemporary and cutting edge Indian fashion created in collaboration )ith leading and upcoming Indian designers, at affordable prices, for the urban Indian young perspecti#e to the depleted Indian urban retail scene by addressing this ne) and dynamic segment. $he urban customer (-;1@ yrs! in India's . B B cities possesses the purchasing po)er, aspires to lu%ury and is )illing to in#est in aesthetic. $he ne) concept, aims to make Indian designer products a#ailable to the urban young at affordable prices, thereby reshaping retail of designer products for a ne) muse. $he design of the retail space is aimed at being in#iting and attracti#e offering a refreshing change from the standard format of most stores in the premium high street
2

segment, )ith an international appeal. $he space also, reflects the style statement of playfulness and element of intrigue that is introduced by the design for)ardness of the product. Curation and olla!oration i" at t#e #eart of Evolv: $he young Indian customer is gro)ing up )ith international brand and it is essential that they be introduced to )hat modern Indian design has to offer. What stands out most about this destination store is its uni=ue collaboration bet)een fashion and design in the Indian conte%t. 9#ol# has been able to generate a #ery high le#el of curiosity )ithin Indian customers and also )ith international clientele especially from 8apan, Korea and the CK )ho ha#e found their offers #ery stimulating. $ile"tone": 1st mile stoneD 8an 1;th opening at 9%press .#enue , Ehennai -nd milestoneD Fecond store opened in Gctober - 11 at market city 4hoeni%, 4une and /<A promenade at /elhi, /ec - 11. De"i%ner": 5anish .rora Eue by (ohit 6andhi B (ahul Khanna 5alini (amani Fmall Fhop by 8ason B .nshu .braham B $hakore 6aura# 6upta' Fanchita by Fanchita .3ampur >ot Fo Ferious by 4alla#i 5ohan .naikka by Kanika Falu3a .5D45 by .nkur 5odi B 4riyanka Hmodi 4layclan <anguage

CHAPTER &
3

'ITERATURE RE(IE)
&.1 Introdu tion: (e#ie) of literature is a te%t )ritten by someone to consider the critical points of current kno)ledge including substanti#e findings, as )ell as theoretical and methodological contributions to a particular topic. <iterature re#ie) is essential as it ac=uaints us )ith the a#ailable body of kno)ledge in our area of interest. Initially, it helps to establish the theoretical roots of study clarify ideas and de#elop methodology, but later on, it also ser#es to enhance and consolidate our kno)ledge base and helps to integrate our findings )ith the e%isting body of kno)ledge. $he literature re#ie) of this study re#eals that the impact of consumer characteristics on shopping beha#ior during end of the season sale has been ade=uately studied the impact of market characteristics as percei#ed by the consumer remains under1researched. $he current paper tries to understand the importance of such factors like regularity and con#enience, brands on sale, market communication, market1)ide sale etc. as identified from an e%ploratory study and literature re#ie) on shopping beha#ior. $he study uses consumer perceptions about =uality, price, entertainment and #ariety as mediating latent #ariables and tries to establish the model using structure e=uation modeling on data collected from shoppers in India. (esults establish the importance of select abo#e1 mentioned factors mediated #ia o#erall market perceptions but fails to establish its manifestations in form of perceptions to)ards price, =uality, #ariety etc. &.& *tudie" already ondu ted on "#oppin% !e#avior durin% end of "ea"on "ale: <iterature of seasonal shopping beha#iour mostly talks about customer characteristics )ith little reference to market characteristics or shopping. 2o)e#er, some references )ere found in the general literature of sale, most of )hich has been gi#en as their impact on #alue perceptions.

Betts and 5c6oldrick, (199@! discuss some of the markets #ariables in the form of the general attitude of the customers to)ards seasonal sale and their predispositions, reference has also been made to cro)ding, =ueuing and type of stores. Ftigler, 198:? /arke et. al., 199;? Kahneman and $#ersky, 198@? $#ersky and Kahneman, 1981, in their literature dealt e%tensi#ely )ith the amount of discount in its #arious connotations. Impact of discount has been discussed as its effect on =uality perception has been studied by 5adan and 4uri, in their research. /iscounts ha#e also been discussed in the form of ac=uisition utility by $haler, 198;? <ichtenstein et al., 199 and 6room, 199@ and also as transaction utility by Fampson, 190@? $auber, 19:-. $hese utilities get e%hibited in the form of o#erall perception about the deal, )hich in turn, influences the seasonal sale shopping beha#iour. Aurther, brands on sale ha#e been found to ha#e impact on product e#aluation according to Furi et al., ? /odds et al., 1991 and thereby also on price and =uality perception. .nother #ariable being discussed in the literature is e%pected satisfaction. Fhoppers may be una)are of their 3udgment, especially since they )ill be a)are of the risk in#ol#ed in buying )ith lo)er le#el of certainty. Baron (1991! found that consumers often anticipate feelings that )ould occur if their decisions yield negati#e or less positi#e outcomes. In line )ith e%pectancy #alue principles, a shopper chooses the option most #alued. 2o)e#er, e#en if he does this there )ill be some features of the chosen alternati#e and some features of choices foregone that are incompatible )ith the decision (Aestinger, 190@b!. $his anticipation of post Ipurchase dissonance )ill lead to pressures to defend or 3ustify the decision. $hus the anticipated regret can be incorporated into the e#aluations and influence the choices made (Fimonson, 199-!. In the situation of the seasonal sales, the percei#ed situational and time pressure to buy may reduce the decision process, thus the potential for dissonance )ill be higher. 2o)e#er, this is a#oided by selecti#ity biases and through selecti#e e%posure (Aestinger, 190@b!. $his accounts for the role of market characteristics and particularly the market communication in influencing the e%pectations and #arious perceptions of the customers. Impact of marketing communication has been dealt in literature in the form of influence
5

1? Blattberg and >eslin, 199 ? Furi et. al., -

? /ella Bitta et al.,

on #arious perceptions of the customers (/elta Bitta and 5onroe, 198 ? 5obley et al., 1988? Kal)ani et al., 199 ? Kal)ani and Jim, 199-? Arankenberger and <iu, 199@? Kaufmann et al.,199@? 6re)al et al., 1990? .lba et al., 1999!. Kal)ani et al., (199 ! and (199-! found that product )hich is promoted more has a negati#e impact on its e%pected price. (eference of cro)ding and cluttering )as found in the )ork of 9roglu and 5achleit, (199 ! and 2ui and Bateson, (1991! )ho studied the impact on the bargain #alue in terms of transaction and ac=uisition utility. Fimilarly, 5c6oldrick et al., (1999! also discusses the e%citement generated during seasonal sale in spite of customer a)areness of the fact that shopping in seasonal sales in more risky. $he customer de#elops e%pectations about the same and in turn gets his shopping beha#ior influenced. $hus, e%tant literature focuses on only a fe) in all talks of only fe) market characteristics and dra)s from studies conducted in )estern setting )here seasonal sales are a fairly established phenomenon as against Indian settings )here it is a relati#ely recent phenomenon. $herefore before importing #ariables to Indian setting it is important that )e generate the list of #ariables by means of an e%ploration and check for the content #alidity before testing them on a larger sample.

CHAPTER +
6

RE*EARCH O,-ECTI(E AND $ETHODO'O./

+.1 Re"ear # o!0e tive $o understand customer buying beha#ior during and before end of season sale. +.& Hypot#e"i": It is assumed that customers shop more during 9nd of season sale than other)ise +.+ Re"ear # de"i%n: . research design is a frame)ork or blueprint for conducting the marketing research pro3ect. $he design of a study defines the study type (descripti#e, correlation! and sub1type (e.g., descripti#e1longitudinal!, research =uestion, hypotheses, independent and dependent #ariables, e%perimental design, and, if applicable, data collection methods and a statistical analysis plan. . research design lays the foundation for conducting the pro3ect. . good research design )ill ensure that the marketing research pro3ect is conducted effecti#ely and efficiently. $he current research design )ould e%plore the follo)ing componentsD 1. -. 7. @. ;. 0. /efining the information needed /esign the descripti#e phases of the research Fpecify the measurement and scaling procedure Eonstruct a =uestionnaire for data collection Fpecifying the sampling process and the sample si"e /e#elop a plan for data analysis

De" riptive Re"ear #: $his is a type of conclusi#e research that has as its ma3or ob3ecti#e the description of something1usually market characteristicsH customer beha#ior

1.

$o describe the characteristics of rele#ant groups, such as customer. Aor

e%ample, the characteristics of customers sho)ing different kinds of buying beha#ior in different pricing situation. -. $o estimate the percentage of units in a specified populationH sample

e%hibiting a certain beha#ior. Aor e%ample, estimating the percentage of customers buying during end of season sale. 7. $o make specific predictions. Aor e%ample, )hat )ill be the sale of 9#ol#,

Ehennai during end of season saleK +.1 Data olle tion pro edure: $he data )as collected through both primary and secondary data. $he primary data )as collected from the customers of the store through online =uestionnaires. Fecondary data )as collected from the monthly sales data pro#ided by the store manager. +.2 *our e" of data 4rimary dataD Fur#ey #ia online =uestionnaires on the buying beha#iour of

customers. Fecondary dataD 5onthly sales data pro#ided by the store manager.

+.3 Population: $he customers of 9#ol# are mainly in the age group of -;10 years and belong mostly to the elite and upper middle class )ith high income. $hough most of 9#ol#'s customers are )omen, there are a good number of men shopping at 9#ol# too. $he population si"e of the store is appro%imately ; +.4 *ample "i5e: Fample si"e is 1 -. +.6 Tool" for analy"i": F4FF 5ean (epresentation of data #ia charts, bar graphs and tables
8

CHAPTER 1 DATA ANA'/*I* TA,'E NO. 1.1

.ENDER O7 THE RE*PONENT 8 NU$,ER O7 TI$E* *HOPPED AT E(O'( >C5B9( GA $I59F F2G449/ .$ 9,G<, 5G(9 11; $I59 F . J9.( 0 77.7L $2.> ; $I59F . J9.( 11 79.7L GEE.FIG>.<< J 11 7;.;L G><J /C(I>6 9GFF 0 -@. L $otal 7@ 77.7L

6ender $he

Gf

5.<9

Eount L )ithin >C5B9( GA $I59F F2G449/

(espondent

A95.<9

.$ 9,G<, Eount L )ithin >C5B9( GA $I59F F2G449/

100.:L

1: 0 .:L

0@.;L

19 :0. L

08 00.:L

$otal

.$ 9,G<, Eount L )ithin >C5B9( GA $I59F F2G449/ .$ 9,G<,

18 1 . L

-8 1 . L

71 1 . L

-; 1 . L

1 1 . L

M4rimary data from =uestionaire

CHART NO.1.1

Arom the abo#e analy"ed data it can be inferred that :0L of the female respondants shop at 9#ol# only during 9nd of Feason Fale as compared to only -@L of the male respondants )ho shop the least during 9nd of Feason sale.

TA,'E NO. 1.&

.ENDER O7 THE RE*PONDENT 8 RATIN. 7OR PRODUCT DE*I.N

10

69>/9( $29

GA

5.<9

Eount L

)ithin

(.$I>6 AG( 4(G/CE$ /9FI6> <GW 5G/9(.$9 2I62 2I629F$ 1 -. L -8.0L @ . L 71.9L

$otal 7@ 77.7 L

(9F4G>/9>$

(.$I>6 AG( 4(G/CE$ A95.<9 /9FI6> Eount L )ithin (.$I>6 AG( 4(G/CE$ /9FI6> Eount L )ithin (.$I>6 AG( 4(G/CE$ /9FI6> 1 1 L ; :1.@L 1; 0 . L @: 08.1L

08 00.: L

$otal

1 1 L

: 1

. L

-; 1 . L

09 1 . L

1 1 . L

M4rimary data from =uestionaire

CHART NO.1. &

11

Arom the abo#e analy"ed data it can be inferred that 08.1L of the female respondents ha#e rated design aspect of the product as the highest influencing factor for purchase as compared to only 71.9L of the male respondents

TA,'E NO. 1. +
12

.ENDER O7 THE RE*PONDANT 8 RATIN. 7OR PRODUCT 9UA'IT/ (.$I>6 AG( 4(G/CE$ NC.<I$J <GW 5G/9(.$9 2I62 1 1@ 1 . L 8.7L 7:.8L 2I629F$ 1: 77.7L $otal 7@ 77.7L

6ender Gf $he (espondent

5.<9

Eount L )ithin (.$I>6 AG( 4(G/CE$ NC.<I$J Eount L )ithin (.$I>6 AG( 4(G/CE$ NC.<I$J Eount L )ithin (.$I>6 AG( 4(G/CE$ NC.<I$J

A95.<9

. L

11 91.:L

-7 0-.-L

7@ 00.:L

08 00.:L

$otal

1 . L

11 . L

7: 1 . L

;1 1 . L

1 1 . L

M4rimary data from =uestionaire

CHART NO.1. +

13

Arom the abo#e analy"ed data it can be inferred that 00.:L of the female respondants ha#e rated =uality aspect of the product as the highest influencing factor for purchase as compared to only 77.7L of the male respondants.

TA,'E NO.1. 1

14

.ENDER O7 THE RE*PONDANT 8 RATIN. 7OR PRODUCT PRICE (.$I>6 AG( 4(G/CE$ 4(IE9 <GW 5G/9(.$9 2I62 Eount ; 1@ 0 6ender Gf 5.<9 L )ithin ;;.0L @7.8L -1.@L

$he

2I629F$ 9 -:.7L

$otal 7@ 77.7L

(espondent

(.$I>6 AG( 4(G/CE$ A95.<9 4(IE9 Eount L )ithin (.$I>6 AG( 4(G/CE$ 4(IE9 Eount L )ithin (.$I>6 AG( 4(G/CE$ 4(IE9 @ @@.@L 18 ;0.7L -:8.0L -@ :-.:L 00.:L 08

$otal

9 1 . L

71 . L

-8 1 . L

77 1 . L

1 1 . L

M4rimary data from =uestionaire

15

CHART NO.1.1

16

Arom the abo#e analy"ed data it can be inferred that :-.:L of the female respondants ha#e rated price aspect of the product as the highest influencing factor for purchase as compared to only -:.7L of the male respondants.

TA,'E NO.1.2
.ENDER O7 THE RE*PONDANT 8 RATIN. 7OR DI*COUNT:O77ER* (.$I>6 AG( /IFEGC>$HGAA9(F

6ender Gf $he (espondent

5.<9

Eount L )ithin rating for discountH offers Eount L )ithin rating for discount H offers count L )ithin rating for discount H offers

<GW9F$ 1 77.7L

<GW ; 7;.:L

5G/9(.$9 1;-.-L

2I62 8 7 .8L

2I629F$ 8 --.-L

$otal 7@ 77.7L

A95.<9

00.:L

9 0@.7L

11 @:.8L

18 09.-L

-8 ::.8L

08 00.:L

$otal

7 1 . L

1@ 1 . L

-7 1 . L

-0 1 . L

70 1 . L

1 1 . L

17

Arom the abo#e analy"ed data it can be inferred that ::.8L of the female respondants ha#e rated discounts and offers on the product as the highest influencing factor for purchase as compared to only --.-L of the male respondants.

18

TA,'E NO.1. 3
.ENDER O7 THE RE*PONDANT 8 RATIN. 7OR ,RAND NA$E (.$I>6 AG( B(.>/ >.59 <GW9F$ 6ender Gf $he (espondent 5.<9 Eount L )ithin (.$I>6 AG( B(.>/ A95.<9 >.59 Eount L )ithin (.$I>6 AG( B(.>/ $otal >.59 Eount L )ithin (.$I>6 AG( B(.>/ >.59 1 . L 1 1 . L 1: 1 . L 79 1 . L @7 1 . L 1 1 . L 1 . L 1 1 . L @ -7.;L -8 :1.8L 77 :0.:L 08 00.:L . L <GW . L 5G/9(.$9 17 :0.;L 2I62 11 -8.-L 2I629F$ 1 -7.7L $otal 7@ 77.7L

M4rimary data from =uestionaire

CHART NO. 1.3

19

Arom the abo#e analy"ed data it can be inferred that :0.:L of the female respondants ha#e rated brand name of the product as the highest influencing factor for purchase as compared to only -7.7L of the male respondants.

TA,'E NO.1.4
20

(.$I>6 AG( ,.<C9 AG( 5G>9J

6ender Gf $he (espondent

5.<9

Eount L AG( ,.<C9 AG( 5G>9J Eount L AG( ,.<C9 AG( 5G>9J Eount L AG( ,.<C9 AG( 5G>9J )ithin (.$I>6 )ithin (.$I>6 )ithin (.$I>6

<GW 1 ; . L

5G/9(.$9 7 -;. L

2I62 11 ; . L

2I629F$ 19 -8.8L

$otal 7@ 77.7L

A95.<9

1 ; . L

9 :;. L

11 ; . L

@: :1.-L

08 00.:L

$otal

1 . L

11 . L

-1 . L

00 1 . L

1 1 . L

21

Arom the abo#e analy"ed data it can be inferred that :1.-L of the female respondants ha#e rated#alue for money of the product as the highest influencing factor for purchase as compared to only -8.8L of the male respondents.

TA,'E NO.1.6
22

OCCUPATION O7 THE RE*PONDANT 8 INCO$E O7 THE RE*PONDANT I>EG59 GA $29 (9F4G>/.>$ <9FF $2.> ; . L 1 ; 1 8 1 .BG,9 1 1 78.;L $otal 10 1;.: L 8 7 1;. L 1 7 1;.8L

Gccupation Gf $he (espondent

F9<A 954<GJ9/

Eount L I>EG59 $29

)ithin GA

. L

954<GJ9/

(9F4G>/9>$ Eount L )ithin I>EG59 $29 GA

@ 18.-L

1@ 97.7L

1; :;. L

11 ;:.9L

1@0.-L

;0 ;@.9 L

2G59 5.K9(

(9F4G>/9>$ Eount L )ithin I>EG59 $29 GA

1 @.;L

. L

1 ;. L

; -0.7L

@ 1;.@L

11 1 .8 L

F$C/9>$

(9F4G>/9>$ Eount L )ithin I>EG59 $29 GA

1: ::.7L

1 0.:L

1 ;. L

. L

. L

19 18.0 L

$otal

(9F4G>/9>$ Eount L )ithin I>EG59 $29 (9F4G>/.>$ GA

-1 . L

1; 1 . L

1 . L

19 1 . L

-0 1 . L

1 1 . L

M4rimary data from =uestionaire Arom the abo#e analy"ed data it can be inferred that 78.;L of the Felf employed respondants(entrepreneurs! ha#e monthly income of abo#e (s. 1 lakh,@0.-L of the employed respondants ha#e a monthly income of abo#e (s. 1 lakh and 18.-L ha#e monthly income lesser than (s..

TA,'E NO.1.;
OCCUPATION O7 THE RE*PONDANT 8 NU$,ER O7 TI$E* *HOPPED AT E(O'( >C5B9( GA $I59F F2G449/ .$ 9,G<, 11; 5G(9 GEE.FIG>.<< G><J $I59F $2.> J /C(I>6 $otal

23

; $I59F . Gccupation Gf $he (espondent F9<A 954<GJ9/ Eount L )ithin number of times shopped at 954<GJ9/ e#ol#e Eount L )ithin number of times shopped at 2G59 5.K9( e#ol#e Eount L )ithin number of times shopped at F$C/9>$ e#ol#e Eount L )ithin number of times shopped at e#ol#e 11.1L 1 7.0L @ 1-.9L 1@8. L 19 18.0L 7 10.:L : -;. L 1 7.-L 11 1 .8L 11 01.1L 1 7;.:L -:1. L 17 ;-. L ;0 ;@.9L J9.( 11.1L . J9.( 1 7;.:L @ 1-.9L 9>/ GA F9.FG> F.<9 . L 10 1;.:L

. L

M4rimary data from =uestionaire Arom the abo#e data it can be inferred that 7;.:L Felf employed respondants shop at e#ol# more than ; times a year and none of them shop only during end of season sale. :1L of the employed respondants shop at e#ol# more occasionally and ;-L of them shop only during end of season sale..lso, @8L of student respondants shop only during end of season sale

TA,'E NO.1.1<
OCCUPATION O7 THE RE*PONDANT 8 RATIN. 7OR PRODUCT PRICE (.$I>6 AG( 4(G/CE$ 4(IE9 occupation of the respondant self employed Eount L (.$I>6 4(G/CE$ )ithin AG( <GW ; ;;.0L 5G/9(.$9 : -1.9L 2I62 :.1L 2I629F$ 0.1L $otal 10 1;.:L

24

4(IE9 employed Eount L (.$I>6 4(G/CE$ home maker 4(IE9 Eount L (.$I>6 4(G/CE$ student 4(IE9 Eount L (.$I>6 4(G/CE$ $otal 4(IE9 Eount L (.$I>6 4(G/CE$ 4(IE9 )ithin AG( 9 1 L . 71 . L -8 1 L . 77 1 . L 1 1 L . )ithin AG( 1 11.1L 0.7L @ 1@.7L 170.@L 19 18.0L )ithin AG( 1 11.1L ; 1;.0L 7 1 .:L 0.1L 11 1 .8L )ithin AG( --.-L 18 ;0.7L 19 0:.9L 1: ;1.;L ;0 ;@.9L

25

Arom the abo#e analy"ed data it can be inferred that ;;.0L of the self employed respondants ha#e rated price of the product as the least influencing factor for purchase as compared to only ;;.;L of the employed respondants and 70.@L of the students )ho ha#e cited 4rice as a #ery important factor influencing their purchase.

TA,'E NO.1.11
OCCUPATION O7 THE RE*PONDANT 8 RATIN. 7OR DI*COUNT:O77ER* (.$I>6 AG( /IFEGC>$HGAA9(F Gccupation Gf $he (espondent Felf 9mployed Eount L )ithin rating for discountH 9mployed offers count L )ithin rating for discountH 2ome 5aker offers count L )ithin rating for discountH Ftudent offers count L )ithin rating for discountH @ -8.0L 7 17. L :.:L 1 -:.8L 19 18.0L 1 77.7L 1 :.1L 1 @.7L :.:L 0 10.:L 11 1 .8L 0 @-.9L 1;-.-L -1 8 .8L 1: @:.-L ;0 ;@.9L <GW9F$ 00.:L <GW 7 -1.@L 5G/9(.$9 : 7 .@L 2I62 1 7.8L 2I629F$ 7 8.7L $otal 10 1;.:L

. L

. L

26

offers $otal Eount L )ithin rating for discountH offers 7 1 . L 1@ 1 . L -7 1 . L -0 1 . L 70 1 . L 1 1 . L

M4rimary data from =uestionaire Arom the abo#e analy"ed data it can be inferred that 00.:L of the self employed respondants ha#e rated discountsHoffers as the least influencing factor for purchase as compared to 77.7L of homemakers. 8 .8L of the employed and -:.8L of the students ha#e cited discountsHoffers as a #ery important factor influencing their purchase.

TA,'E NO.1.1&
OCCUPATION O7 THE RE*PONDANT 8 *HOPPIN. DURIN. EO** F2G44I>6 /C(I>6 9GFF J9F : 1 . L 79 ;;.:L : 1 . L 1: -@.7L : 1 >G 9 -8.1L 1: ;7.1L @ 1-.;L 0.7L 71 . L $otal 10 1;.:L ;0 ;@.9L 11 1 .8L 19 18.0L 1 1 . L

GEEC4.$IG> GA $29 (9F4G>/.>$

F9<A 954<GJ9/ 954<GJ9/

Eount L )ithin

F2G44I>6

/C(I>6 9GFF Eount L )ithin F2G44I>6 /C(I>6 9GFF Eount L )ithin F2G44I>6 /C(I>6 9GFF Eount L )ithin F2G44I>6 /C(I>6 9GFF Eount L )ithin F2G44I>6 /C(I>6 9GFF

2G59 5.K9(

F$C/9>$

$otal

. L

27

Arom the abo#e analy"ed data it can be inferred that only 1 L of the self employed respondants shop at e#ol# during end of season sale as compared to ;;.:L of the employed respondants and -@.7L of the students )ho shop at e#ol# during end of season sale.

28

TA,'E NO.1.1+
OCCUPATION O7 THE RE*PONDANT 8 $ONE/=IN RUPEE*> *PENT DURIN. EO** AT E(O'( 5oney(In (upees! Fpent /uring 9oss .t 9#ol# 5ore Belo) 1 Gccupation Gf $he (espondent Felf 9mployed Eount L Within 5oney(In (upees! Fpent /uring 9mployed 9oss .t 9#ol# Eount L Within 5oney(In (upees! Fpent /uring 2ome 5aker 9oss .t 9#ol# Eount L Within 5oney(In (upees! Fpent /uring Ftudent 9oss .t 9#ol# Eount L Within 5oney(In (upees! Fpent /uring 9oss .t 9#ol# 1 -;. L 9 @;. L : -1.9L 1 0.7L 1 7.7L 19 18.0L 1 ;. L 1 7.1L 1 0.7L 8 -0.:L 11 1 .8L 7 :;. L 1 ; . L 0-.;L 11 08.8L 1@ . L ;0 ;@.9L . L 1 7 . L 1 7 1 0 1 $han 9 9 7 . L $otal 10 1;.:L 0 @ 1-.;L 9 7 18.8L

. L

M4rimary data from =uestionaire Arom the abo#e analy"ed data it can be inferred that 7 L of the self employed respondants spend more than (s. 9 end of season sale. at e#ol# during end of season sale as compared to @ L of the employed at e#ol# during respondants and only 7.7L of the students )ho )ould shop more than (s.9

TA,'E NO.1.11
INCO$E O7 THE RE*PONDANT 8 NU$,ER O7 TI$E* *HOPPED AT E(O'( >umber Gf $imes Fhopped .t 9#ol# $otal

29

5ore $han ; 11; $imes Income Gf $he (espondent <ess $han Eount L >umber .t 9#ol# Eount L >umber .t 9#ol# Eount L >umber .t 9#ol# Eount L >umber .t 9#ol# Eount L >umber .t 9#ol# Within Gf Within Gf Within Gf Within Gf Within Gf . Jear 7 10.:L $imes Jear 1 7.0L . Gccasionally ; 10.1L

Gnly /uring 9GFF 17 ;-. L --1.0L

$imes Fhopped ; 1 11.1L . L ; 10.1L 8 7-. L 1; 1@.:L

$imes Fhopped ; 8 1 @ --.-L :.1L 17 @1.9L 1 @. L 19.0L

$imes Fhopped 8 1 1 0 77.7L 0 -1.@L ; 10.1L 8. L 19 18.0L

$imes Fhopped .bo#e 1 7 10.:L 19 0:.9L 7 9.:L 1 @. L -0 -;.;L

$imes Fhopped

Arom the abo#e analy"ed data it can be inferred that ;-L of the respondants )ith income less than (s.(s.; 8 (s.1 11 18 per month and 7-L of the respondants )ith income bet)een (s. 1; shop only during end of season sale. Whereas, --.-L of the respondants )ith income bet)een per month and 77.7L of the respondants )ith income )ith income bet)een (s. shop 11; times a year at 9#ol#. .nd 0:.9L of respondants earning abo#e shop more than ; times a year at 9#ol#

TA,'E NO.1.12
INCO$E O7 THE RE*PONDANT 8 RATIN. 7OR PRODUCT PRICE (.$I>6 AG( 4(G/CE$ 4(IE9 Income Gf <ess Eount <GW 1 5G/9(.$9 2I62 ; 2I629F$ 1@ $otal --

30

$he (espondant

$han -

Within

11.1L

0.7L

1:.9L

@-.@L

-1.0L

(.$I>6 AG( 4(G/CE$ 4(IE9 Eount L Within . L (.$I>6 AG( 4(G/CE$ 4(IE9 Eount L Within . L (.$I>6 AG( 4(G/CE$ 4(IE9 Eount L Within (.$I>6 AG( 4(G/CE$ 4(IE9 Eount L Within (.$I>6 AG( 4(G/CE$ 4(IE9

@ 1-.;L

:.1L

9 -:.7L

1; 1@.:L

; 8

7 9.@L

17 @0.@L

@ 1-.1L

19.0L

8 1

1 11.1L

9 -8.1L

8 -8.0L

1 7. L

19 18.0L

.BG, 9 1

: ::.8L

1@ @7.8L . L

; 1;.-L

-0 -;.;L

M4rimary data from =uestionaire Arom the abo#e analy"ed data it can be inferred that @-.@L of the respondants )ith income less than (s.per month and -:.7L of the respondants )ith income bet)een (s. 18 11 1; ha#e cited price as an important factor influencing their purchase . Whereas @0.@L of the respondants )ith income bet)een (s.; )ith income )ith income bet)een (s. 8 per month and -8.0L of the respondants cited that price is moderately or highly

influencial in their purchasing decision. .nd ::.8L of respondants earning abo#e (s.1 cited that price of the product is least important in making purchase decisions.

TA,'E NO.1.13
INCO$E O7 THE RE*PONDANT 8 NU$,ER O7 ITE$* ,OU.HT DURIN. EO** AT E(O'(

number of items bought during eoss at e#ol#

income the of less than count L )ithin number of items bought 117 17 7:.1L 71; : 1:.;L ;18 1 1 . L more than 8 1 ;.9L total --1.0L

31

during ; 1

eoss

at 0 1:.1L : 1:.;L 1 1 . L 1 ;.9L 1; 1@.:L

e#ol# count L )ithin number of items bought during eoss at e#ol# count L )ithin number of items bought during eoss at

; 8

9 -;.:L

9 --.;L

- . L

. L

19.0L

respondent 8 1 1

e#ol# count L )ithin number of items bought during eoss at e#ol# count L )ithin number of items bought during e#ol# eoss at

7 8.0L

11 -:.;L

7 7 . L

11.8L

19 18.0L

abo#e 1

@ 11.@L

0 1;. L

7 7 . L

17 :0.;L

-0 -;.;L

M4rimary data from =uestionaire Arom the abo#e analy"ed data it can be inferred that 7:.1L of the respondants )ith income less than (s.per month and 1:.;L of the respondants )ith income bet)een (s. 18 11 1; buy 117 items from 9#ol# during end of season sale . Whereas - L of the respondants )ith income bet)een (s.; income bet)een (s. 8 (s.1 per month and 7 L of the respondants )ith income )ith )ill buy 71; items . .nd :0.;L of respondants earning abo#e

buy more than 8 items

TA,'E NO.1.14
INCO$E O7 THE RE*PONDANT 8 $ONE/=IN RUPEE*> *PENT DURIN. EO** AT E(O'(

money(in rupees! spent during eoss at e#ol#

more belo) income of the respondent less than count L )ithin money(in rupees! spent during 1 eoss at e#ol# count 1 ; : 1; 1 ; . L 1 1 7 10 0 18.8L 0 1 than 9 0.:L total --1.0L 7 11 ;;. L 9 1 0.7L

32

)ithin

-;. L

-;. L

-1.9L

1-.;L

. L

1@.:L

money(in rupees! spent during ; 8 1 eoss at e#ol# count L )ithin money(in rupees! spent during 8 1 1 eoss at e#ol# count L )ithin money(in rupees! spent during abo#e 1 eoss at e#ol# count L )ithin money(in rupees! spent during eoss at e#ol# 1 -;. L 1 . L 7 9.@L 1-.;L 18 0 . L -0 -;.;L : -1.9L @ -;. L 8 -0.: L 19 18.0L 1 . L 9 -8.1L : @7.8L 0.:L r19.0L

. L

. L

. L

M4rimary data from =uestionaire

Arom the abo#e analy"ed data it can be inferred that ; L of the respondants )ith income less than (s.bet)een (s.; bet)een (s. 8 (s.1 per month and -;L of the respondants )ith income bet)een (s. 18 11 1; spend belo) (s.1 during 9nd of season sale. Whereas @7L of the respondants )ith income per month and -;L of the respondants )ith income )ith income )ill spend (s.0 19 . .nd 0 L of respondants earning abo#e for their purchase during end of season sale.

spend more than (s. 9

33

TA,'E NO. 1.16

T te"t for in ome and "#oppin% durin% EO**:

.roup *tati"ti " I>EG59 $29 F2G44I>6 /C(I>6 9GFF Q7 7: 1.11 .71; . ;7.999 . (9F4G>/.>$ OP 7 > 0; 5ean 1.@7 GA Ftd. /e#iation .@99 Ftd. 9rror 5ean . 07.;@: . 1 $ #alue 4 #alue

M4rimary data from =uestionaire

Hypot#e"i": 2 D Income of the respondant and shopping during 9GFF are not dependant.
34

21D Income of the respondant and shopping during 9GFF are dependant. InferenceD Fince Fig. (-1tailed! #alue or 4 #alue is smaller than . ;, )e accept 21 and re3ect 2 . .t ;L le#el of significant difference. Which implies that Income of the respondant and shopping during 9GFF ha#e a significant diference.

TA,'E NO. 1.1;

SALES DATA FOR APRIL(NON SALE MONTH)

target

mrp "ale"

a tual aftr di"

di" ount

vat

a #ieved

volume "old

no.of.!ill"

foot fall"

onver"ion

total

12<<<< <

;@1 07

@81 7;

7 @;8.:-

77-:;.8 7 11 9.19 @

7-L

- :

110

1;-

:0L

a#erage

18 7;.@7

10 7@.;

1 1;.-91

7-L

:0L

MFecondary data from store sales data

35

Fince the month of .pril is a non discount month, it can be seen that the discounts are lesser and hence the actual sales and net sales( actual after discount ! is much lesser than the target sales e%pected. 2ence, it can be infered that discounts affect the purcahse decisions of a customer. TA,'E NO.1.&<
FOR THE MONTH OF MAY
a tual after di" volume "old no.of.!ill "

tar%et

a tual

di" ount

vat

a #ieved

foot fall"

onver"ion

total a#erage

1800000 58064.5 2

86341 6 27852 .13

768747 24798.2 9

46174.1 2 1489.48 8

42008 .04 1355. 098

43%

179 5.77419 4

101 3.25806 452

173

58%

43%

5.580645

58%

MFecondary data from store sales data

36

Fince the month of may is a non discount month, it can be seen that the discounts are lesser and hence the actual sales and net sales( actual after discount ! is much lesser than the target sales e%pected.

TA,'E. 1.&1

FOR THE MONTH OF JUNE

tar%et

a tual

a tual after di"

di" ount

vat

a #ieve d

volum e "old

no.of.!ill"

foot fall"

onver"ion

total

&<<<<<<

11+226< @:8;-.0 :

66<6+6 -9701.:

1;4111. 1 10;81.@ 8

146<1.; & 1;97.@9 :

@@L

7@8

1-0

- 0.:7777 7

0-L

a#erage

00000.0:

@@L

11.0

@.-

0-L

MFecondary data from store sales data

37

Arom the abo#e data it can be infered that, as the discount increases the actual sales and the net sales (actual after discount! has also considerably increased.

TA,'E 1.&&
FOR THE MONTH OF JULY (DISCOUNT MONTH)
a tual aftr di" 114113 & 7::89.1

tar%et

a tual

di" ount

vat

a #ieve d

volume "old

no.of.!ill"

foot fall"

onver"ion

total

&<<<<<< 0@;10.1 7

&611++& 91:;-.0 ;

1336;12 ;7870.9 7

2;2<6.& 3 1919.01

;9L

6+2 -0.97;@ 8

&2;

+<; 9.90::@ -

6+?

a#erage

;9L

8.7;@879

6+?

MFecondary data from store sales data

38

Arom the abo#e data, it can be infered that since 3uly is a discount month (9GFF!, it can be seen that the actual sales ha#e e%ceeded the target sales, but the actual sales after discount remains lo) e#en as the discount rate increases.

CHAPTER 2 7INDIN.*
1. .ccording to the sample taken, 9#ol# has more female customers (00.:L! than

male (77.7L!. 5a3ority of the female respondents shop at 9#ol# only during 9GFF as compared to men. $he )omen respondents are influenced most by the discounts and offers offered, follo)ed by brand name, price, #alue for money, design and lastly =uality. $he male customers, on the other hand, gi#e most preference to =uality of the product, follo)ed by the design, #alue for money, price, brand name and lastly discounts. While )omen are more influenced by discounts, men are least influenced by it.

39

-.

Eategori"ing the respondents as employed, self employed, homemakers and

students, it can be said that most of the respondents are employed )ith a monthly income of abo#e (s 1 lakh. $he self employed respondents also ha#e a monthly income of (s 1 lakh. $he store's customers also comprise homemakers and students. 18.-L of the respondents, )ho are mainly students, ha#e a monthly income of less than (s - , . $his can be said to be their pocket money. . large number of 9#ol#'s customers shop during the end of season sale. 5ost of the employed respondents shop at the store occasionally and ;-L of them shop only during end of season sale. .lmost ; L of the student respondents also shop only during the end of season sale. Gnly the self employed respondents shop at 9#ol# more than ; times a year and none of them shop specifically during end of season sale. 4rice of the product also do not affect the purchase of the respondents in this category and similarly they, along )ith homemakers, are least affected by discounts and offers. $he homemakers are moderately influenced by the price of the product. 2o)e#er, price is an important factor for students and employed respondents and they ha#e also cited discountsHoffers as a #ery important factor influencing their purchase. 2o)e#er, 7 L of the self employed respondents spend more than (s. 9 at 9#ol# during the end of season sale as they are less influenced by price at 9#ol# during the end of season sale. in comparison to @ L of employed respondents. Gnly 7.7L of the students )ould shop for more than (s.9 7.

Eategorising the respondents according to their monthly income, more than half and a fair number of them )ith income 1; , shop only during end of season sale and ha#e cited price as

of them )ith monthly income less than (s.- , bet)een (s. - ,

an important factor influencing their purchase. $hus, keeping in mind their limited incomes, they usually buy 117 items during 9GFF and some of them spend less than (s 1 8 , 9 in the store. 5ost of the respondents )ith monthly income bet)een (s.; , and (s. 8 , 11, , 1 1 , shop 11; times a year at 9#ol# and price of the product , shop more than ;

moderately influences their purchase. $hey buy 71; items during sale and spend (s 0 at 9#ol# during 9GFF, )hile those earning abo#e (s 1,

times a year at 9#ol# and are not influenced by price of the product. $hey, thus, buy more than 8 items and spend more than (s 9 on their purchase during 9GFF.
40

CHAPTER 3 *U..E*TION*
1. Fince the target market for 9#ol# is the youth, they should bring their prices do)n

to make their products more affordable. $his )ill also help them to increase their clientele. -. $he 9GFF at 9#ol# goes on for - months. 2ence, they should also keep a

substantial amount of ne) stock on display e#en during the sale as many of their clients are not influenced by price and discounts.

41

7.

$he store should also start a E(5 programme to retain their customers. . loyalty

programme )ould pro#ide minor discounts to the customers, thus, keeping them satisfied, )hile not being too e%pensi#e for the store. @. ;. $hey should e%pand their product assortment to cater to people of all ages. 5ost of 9#ol#'s ad#ertisement is through social media. $here is #ery little scope

for people to get to kno) about the store. $hey should ad#ertise more on ne)spapers and maga"ines, especially during 9GFF, and sponsor fashion sho)s and e%hibitions.

CHAPTER 4 CONC'U*ION
9#ol# )as started to offer the youth and the middle class designer )ear at affordable prices. $hough this intention of theirs is truly laudable, their clientele comprises #ery fe) students. $his is because their prices are still unaffordable for students and the middle class. $he research done sho)s that most customers shop more during 9GFF and then too they usually do not buy more than fi#e items and spend less than (s 9 . $he customers )ho are not affected by the store's pricing and discounts offered comprise a #ery small
42

group and consist of people )ith income o#er (s 1 lakh and in the age group of @; years and more.

43