BUSINESS RESEARCH

METHODS
Is Impulse buying significant?
Impact of Packaging and Shelf
positioning in impulse buying of
FMCGs
GROUP MEMBERS
Ahmed Nasir
Bilal Ahmed
Mahmudul Hasan Nuri
Nabeel Opel
Tahir Ali
 ABSTRACT
 Consumers’ psyche of buying behavior is considered a
black box; the factors that impact buying behavior are
numerous. FMCGs revenue stream comes from planned
and unplanned buying behavior of consumers. Unplanned
buying which is also known as impulse buying, is impacted
by several factors. There are two independent variables
which are considered shelf positioning and packaging which
can lead to consumer impulse buying behavior. A sample
size of 300 consumers and 8 supermarkets in the premises
of Rawalpindi and Islamabad, relating to the factors
mentioned earlier along with a few others such as wor of
mouth and price in the process of studying the effect of the
two dimensions data was obtained through survey forms.
This data was then analyzed and a clear relationship was
developed between each of the factors namely, packaging
and shelf-positioning with Impulse buying. The research
concluded that the explanation of impulse buying can be
from difference in packaging and visibility in terms of shelf-
positioning. The research can also help brand makers and
marketers to effectively market products to increase sales
by making the products physically attractive and visible.
OBJECTIVES OF RESEARCH
 Impulse buying does vary among similar FMCGs
when there is difference in packaging, shelf
positioning or not.
 Was impulse buying more significant if the product
itself had better packaging and better visibility in
terms of shelf positioning.
 Can high visibility of the product itself in terms of
shelf positioning compensate for poor packaging
 And if there is lower visibility in terms of shelf
positioning can it be compensated by better,
attractive packaging
 The last and the most critical objective of this
research was to identify which set of factors, such
as better packaging and visible shelf-positioning,
result in higher Impulse buying.

 LITERATURE REVIEW
 (Stephen, 1990) concludes that approximately 65% of all
supermarket purchase decisions were made in-store with
over 50% of these being unplanned decisions vary across
product categories.

 Average customer purchase 50.5% of the products on an
unplanned basis (Kollat & Willett, 1984).

 Differences in packaging excellence are directly translated
into corresponding differences in sales appeal (Twedt,
1983).

 Displays can increase the unplanned purchase in Retail
stores (Peak, 1977 & Quelch, 1983).

METHODOLOGY
IVs, DVs AND THEIR DATA
TYPES
IVs, DVs AND THEIR DATA
TYPES
SCOPE AND LIMITATIONS
 SCOPE AND LIMITATIONS
 We have chosen Fast moving consumer goods or FMCGs like tooth pastes,
shampoos and other food items for the purpose of our research to study
impact of shelf positioning and packaging on impulse buying because
these are generally place on shelves.
 These products are generally in use by majority of the consumers so it would
give us data which will give a fair picture of the phenomenon.
 We will assume to take our DVs Packaging, shelf positioning, word of mouth of
the product and price for analysis, data collection. Other factors may also
have an impact but in order to study the DVs it is important make other
factors constant.
 Another assumption is that we will take those consumers who would come for
planned monthly grocery shopping at super markets who buy these at the
beginning of the month when they receive their respective salaries and
ignoring those who come to make purchases other than the monthly
shopping.
 A limitation of the research is that we will consider only 8 supermarkets which
are representative of the consumer populace of Rawalpindi and Islamabad
region.
 There could be biasness in the views of consumers about preferences in
buying behavior like brand consciousness, price etc but we have
structured our survey forms in such a way to have unbiased data.

SAMPLING
RESULTS AND
DISSCUSSIONS
 HYPOTHESIS 1:
“Impulse buying is greater in the
case of better packaging or better
shelf-positioning”
HYPOTHESIS 1: In Case of
Packaging
HYPOTHESIS 1: In Case of
Shelf Positioning
 HYPOTHESIS 2:
“Unattractive packaging results in
a greater role of shelf-positioning
(in terms of higher visibility) to
play in producing an impulse
purchase”
HYPOTHESIS 2
 HYPOTHESIS 3:
“Lower visibility of products in
terms of their shelf-positioning,
results in a greater role of the
factor packaging to play in Impulse
buying”
HYPOTHESIS 3
 HYPOTHESIS 4:
“Improvement in packaging and
visible shelf positioning results in
higher impulse buying”
HYPOTHESIS 4: In case of
improved packaging
 HYPOTHESIS 4: In case of
improved shelf positioning
 CONCLUSION
 From the above analysis, it may therefore be
stated that Packaging and Shelf-
positioning do have the ability to impact
Impulse Buying. And marketers can gain a
lot by keep this factor in mind and making
use of both these variables to their own
advantage. If marketers seriously take
these factors in account, they can draw
many conclusions which will ultimately
benefit them. Another point of concern
here is for the marketers offering a
differentiated proposition, Packaging and
key positions in the shelves can surely
make their products stand out from the
other.
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