Description
The study is oriented towards the consumer behavior of the existing and new Vodafone subscribers and the study focuses on the pre-paid services which have been offered by the company.
STUDY ON CONSUMER BEHAVIOUR
EXECUTIVE SUMMERY
The study is oriented towards the consumer behavior of the existing and new
Vodafone subscribers and the study focuses on the pre-paid services which have been
offered by the company.
The study was conducted to gauge into the consumer’s mind and understand the
various consumption related aspects of individuals. The study of consumer behavior
will help to know the psychological, social and physical behavior of all potential
consumers as they become aware of evaluate, purchase, consume and tell others about
products and services.
The objectives of the study is to understand behavioral pattern of potential customer,
consumer perception, brand awareness, buying motives and their expectations and
satisfaction level to delight them.
nformation is collected from different sources. The primary information is obtained
by interviewing the customers with the help of !uestionnaire. The secondary data is
collected from company records, through the help of external guide and also through
the visit of website of the company "www.vodafone.com#.
$ample si%e is limited to respondents, who are existing and new Vodafone consumers.
The !uestionnaire is analy%ed with the help of tables and charts. &hich may helps to
know about consumer perception, awareness and satisfaction level of the consumer
etc.
'
STUDY ON CONSUMER BEHAVIOUR
(astly the findings indicate that most of them are satisfied with the products and
services and suggestion to be implemented regarding, network, providing subsidi%ed
rates for calling and messaging etc .)eeping the above factors and consideration we
arrive to suitable conclusion that trends in mobile segment is and its growth is
tremendous. f the demand is rising in the same pace then the company should be able
to provide innovative products and value added services to the subscribers.
*inally an effective sales person has to be employed in order to influence the buyer
decisions, the company should have exciting offers with the service they provide.
+
STUDY ON CONSUMER BEHAVIOUR
GENERAL INTRODUCTION
Definition of Consumer Beh!ior" ,onsumer behavior has been referred to as "all
the psychological, social and physical behavior of all potential consumers as they
become aware of, evaluate, purchase, consume and tell others about products and
services#
-ll the firms have started considering .customer’ as the king or .!ueen’. nterestingly,
after the liberali%ation of ndia’ economy, the market place is flooded with many new
players including the host of /0,s resulting in then availability of more number of
brands in every segment of the market. 1n account of this consumer has started being
choosy about what to buy. Thus all firms are becoming not only customer focused but
are also trying to build relationship with them. This is done by continuously updating
knowledge, information, and understanding of the customer needs perceptions, and
expectations.
Con#e$ts"
'2 3aving a better understanding of consumer behavior will help the firm to
become better than their competitors.
+2 1n understanding consumer behavior firm will be able to predict the consumer
perceptions and acceptance of their various informational and environmental
cues and thus plan their marketing programs or strategies accordingly.
42 1n understanding consumer behavior firm will be able to predict the consumer
satisfaction level.
4
STUDY ON CONSUMER BEHAVIOUR
INDUSTRY %RO&ILE"
05-0 T6(6,1/ 057$T89
The ,ellular 1perators -ssociation of ndia :,1-2 was constituted in ';;< as a
registered, non-profit, non-governmental society dedicated to the advancement of
communication, particularly modern communication through ,ellular /obile
Telephone $ervices. &ith a vision to establish and sustain a world-class cellular
infrastructure and facilitate affordable mobile communication services in ndia,
,1-’ main objectives are to protect the common = collective interests of its
members.
The telecom industry is governed under 0ational Telecom >olicy -';;;
The first ?$/ call was made in ';;@ on Aharti ,ellular 0etwork in 0ew 5elhi.
$/$ service started in the year +BBB. ndia presently follows a ,>> model, whereby
calling party pays. ncoming calls were made free since -pril ', +BB+ and that has
substantially boosted the subscriber growth rate. n ndia ?>8$ is widely offered by
major operators. A>( was the first operator to launch ?>8$ in ndia, followed by
-irtel, 3utch and dea.
The In'in Te(e#ommuni#tions in'ustr) is 'i!i'e' into four Ser!i#e se*ments"
CAasic $ervices :,onventional *ixed line D ,5/- *ixed line2
C/obile :?$/ D ,5/-2
C0ational (ong 5istance :0(52 or $ubscriber Trunk 5ialing :$T52
Cnternational (ong 5istance
52
C(5 E Voice over internet :Vo>2
The entire country is divided into Telecom (icense Fones known as ",ircles#.
(icenses are awarded to the operators as per the circles, not as per the states.
6ach circle re!uires a different license.
G
STUDY ON CONSUMER BEHAVIOUR
OUT LOO+
The recent tariff cuts announced by various telecom operators would affect he bottom
line of these companies. The companies that are une!uipped to match up with the
competition and does not have economies of scale would loose out in this race.
$maller players might find difficult to be in the business and may merge with big
players leading to consolidation in the industry. 3ike in foreign direct investment
:*52 from G;H to IGH had hit roadblock due to political indifference and security
concerns expressed by intelligence bureau. This would block cross border mergers in
coming periods.
<
STUDY ON CONSUMER BEHAVIOUR
COM%ANY %RO&ILE
A,out Vo'fone Essr Limite'
Vodafone 6ssar in ndia is a subsidiary of Vodafone ?roup >lc and commenced
operations in ';;G when its predecessor 3utchison Telecom ac!uired the cellular
license for /umbai. Vodafone 6ssar now has operations in '@ circles covering J@H of
ndia’s mobile customer base, with over 4G.' million customersK.
1ver the years, Vodafone 6ssar, under the 3utch brand, has been named the L/ost
8espected Telecom ,ompanyL, the LAest /obile $ervice in the countryL and the L/ost
,reative and /ost 6ffective -dvertiser of the 9earL. Vodafone is the worldLs leading
international mobile communications company. t now has operations in +< countries
across < continents and GB partner networks with over +BB million customers
worldwide. Vodafone has partnered with the 6ssar ?roup as its principal joint venture
partner for the ndian market.
The 6ssar ?roup is a diversified business corporation with interests spanning the
manufacturing and service sectors like $teel, 6nergy, >ower, ,ommunications,
$hipping = (ogistics and ,onstruction. The ?roup has an asset base of over 8s.GBB
billion :7$M 'B billion2 and employs over +B,BBB people.
K*igures from ,ellular 1perators -ssociation of ndia, -ugust 4', +BBI.
@
STUDY ON CONSUMER BEHAVIOUR
Hut#h is no- Vo'fone ./ Se$tem,er 0112
$eptember ';, +BBIN Vodafone, the world’s leading international mobile
communications company, has fully arrived in ndia. Vodafone 6ssar announced that
"the Vodafone brand will be launched in ndia from +'st $eptember onwards#.
Vodafone, the world’s leading mobile telecommunication company, completed the
ac!uisition of 3utchison 6ssar in /ay +BBI and the company was formally renamed
Vodafone 6ssar in Ouly +BBI. PThis transition is probably the largest brand change
ever undertaken in this country and arguably as big as any in the world. t is even
larger than thier previous brand transitions as it touched over 4< million customers,
across GBB,BBB shops and thousands of our own and our business associatesL
employees.P
THE TO% MANAGEMENT
Asim Ghosh3 Mn*in* Dire#tor3 Vo'fone Essr
Hrit N*$(3 Mr4etin* n' Ne- Business Dire#tor3 Vo'fone Essr
Smue( Se(!4umr3 Chief E5e#uti!e Offi#er3 Vo'fone Essr
The Vodafone mission is to be the communications leader in an increasingly
connected world E enriching customers’ lives, helping individuals, businesses and
communities is more connected by delivering their total communication needs.
VodafoneLs logo is a true representation of that belief - The start of a new
conversation, a trigger, a catalyst, a mark of true pioneering.
I
STUDY ON CONSUMER BEHAVIOUR
SERVICE %RO&ILE
The name Vodafone comes from "Voice data fone# chosen by the company to reflect
the provision of voice and data over mobile phones.
Vo'fone ser!i#es re 6
• T706$ -05
51&0(1-5$
• $>18T$ -05
T8-V6(
• 06&$ -05
7>5-T6$
• *0-0,6
• ,-((
/-0-?/T
$68V,6$
• 56V1T10-(
• -$T81(1?9
• /-(,
/6$$-?6, etc
• 60T68T-0/6
0T
• A(( 0*1
Vo'fone $ro'u#ts re7
• >1$T->-5
• >86->-5
• &18(5 ,-((0? ,-85$
• 31/6 ,-((0? ,-85$
J
STUDY ON CONSUMER BEHAVIOUR
• V15-*106 -3-059 >3106$
• V15-*106- >,1
;
STUDY ON CONSUMER BEHAVIOUR
STATEMENT O& THE %ROBLEM
The study was made on consumer behavior of existing and
new Vodafone subscriber. The main aim of the research is
to analy%e behavior of existing and new Vodafone
subscriber to meet their preferences and expectations. To
know, perception and satisfaction level of Vodafone
services and products. The study of consumer behavior
will help to gau%e the consumer’s mind and understand
the various consumption related aspects of individuals.
7nderstanding of consumer behavior will make the study
of marketing management more interesting,
understandable and increase awareness of its practical
implications.
'B
STUDY ON CONSUMER BEHAVIOUR
''
STUDY ON CONSUMER BEHAVIOUR
OB8ECTIVES 1& THE STUDY"
• To understand consumer perception about products
and services.
• To understand the consumers satisfaction level
about products and services.
• To know the market potential of Vodafone
products and services.
• To analy%e the brand awareness.
'+
STUDY ON CONSUMER BEHAVIOUR
SCO%E O& THE STUDY
The study is carried out to know the fallowing aspects.
? To assess, the consumers needs and wants.
? To predict, the consumer’s acceptance of firm’s
various informational and
6nvironmental cues.
? To gauge into the consumer’s mind and understand
different consumption
related aspects, of individuals.
? To know the percentage of usage of value added
services.
? To understand, behavior, of brand loyal consumer.
? To understand, behavioral pattern of potential
consumer.
? To analy%e, the buying motives of the consumers,
while making their purchase
decisions.
? To understand, expectations and satisfaction level,
of consumers.
- study of this kind helps to put theoretical aspects into
the project and aims to give information. 0ature of the
'4
STUDY ON CONSUMER BEHAVIOUR
study methods used, findings of the investigation,
conclusions, and recommendations inferred from the
findings aims to enable Vodafone to implement the
recommendations made at the end of the study.
The research is purely based on the survey conducted in
Aangalore city and has been focused on Vodafone
subscribers. The number of respondents intervened is
'BB.The study covers information about customer brand
preference, brand awareness, service attributes, etc.
1verall scope of the study would be to enhance the
services to the subscribers, in the city.
RESEARCH METHODOLOGY"
$178,6$ 1* 5-T-N
5ata, facts, figures, other relevant material of past and
present and surveying are the basis for study and analysis.
&ithout an analysis of factual data no specific inferences
can be drawn on the !uestions under study. nferences
based on imagination or guesses cannot provide correct
answer to research !uestions. The relevance ade!uacy and
reliability of data determine the !uality of the findings of a
study.
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STUDY ON CONSUMER BEHAVIOUR
*or the purpose of the present study, data from two
sources has been collected, namely primary data and
secondary data.
%RIMARY DATA"
>rimary data is source from which the researcher collects
the data. t is a first hand data, which is used directly for
the analysis purposes. >rimary data always gives the
researcher a fairer picture. n the present study primary
data has been collected using !uestionnaires. *or the
purpose of collecting the same, 'BB respondents have been
randomly selected. 6ven the response of the respondents
was taken into consideration. n this study, primary data
plays a vital role for analysis, interpretation, conclusion
and suggestions.
SECONDARY DATA"
$econdary data is data which is collected and compiled for
other purposes. $econdary data also plays a key factor in
providing more information which will influence the
analysis. *ew of the main sources of secondary data
include newspapers, business journals, maga%ines, internet
and company reports, etc.
%O%ULATION
The aggregate of all the units pertaining to a study is
called the population. >opulation is the largest group to be
'<
STUDY ON CONSUMER BEHAVIOUR
studied. t’s the total collection of elements about which
we wish to make inferences the populations for this
research are the people residing in Aangalore ,ity.
SAM%LE DESIGN"
The part of the population is known as sample. The
process of drawing a sample from a large population is
called sampling. The type of sample design used is
8andom $ampling. 8andom $ampling gives every unit of
the population a known and probability of being selected.
$ince random sampling implies e!ual probability to every
unit in the population, it is necessary that the selection of
Aangalore city only.
SAM%LE %LAN
SAM%LE SI9E"
The sample si%e for the survey is 'BB respondents of
which ersonal
interaction has been carried out and the information
sought as was re!uired in the !uestionnaire for the
'I
STUDY ON CONSUMER BEHAVIOUR
purpose of data processing and analy%ing. The
respondents have been directly contacted.
'J
STUDY ON CONSUMER BEHAVIOUR
56$,8>T10 1* T36 86$6-8,3 56$?0"
The present study has been designed to collect the
opinions and perspectives of the Vodafone subscribers.
The data has been collected through !uestionnaires filled
up by personal interviewing subscribers. The
!uestionnaires have been made as concise as possible.
>ersonal information has been collected in order to know
their personal background. The !uestionnaire has been
administered to the respondents directly so that any doubt
regarding the !uestionnaire could be immediately
clarified. The !uestionnaire consisted of various types of
!uestion namely multiple choices, close ended, open
ended, and ranking etc, a copy of the !uestionnaire is
enclosed in the annexure.
86$6-8,3 56$?0
The sampling design carried out is convenience sampling.
The marketing research problem calls for the descriptive
types of research. 5escriptive studies are undertaken in
many circumstances. &hen researcher is interested in
knowing the characteristics of certain groups such as age,
sex, income level, etc. or in case researcher is interested in
knowing the proportion of people in a given population
who have behaved in particular manner.
';
STUDY ON CONSUMER BEHAVIOUR
5escriptive research is used for the following data.
,onsumer profile study.
,onsumer behavior study.
METHODOLOGICAL ASSUM%TIONS
*or the purpose of the study the following assumptions
have been made.
o t has been assumed that the information given by
the respondents are authentic, bonfire and genuine.
o The sources of the data are the basis, from which
the actual re!uired information can be extracted.
o The sampling procedure adopted will help in
choosing an appropriate sample that truly
represents that actual population.
o t has also been assumed that "interview-
!uestionnaire# is more suitable for collecting data
for the present day.
+B
STUDY ON CONSUMER BEHAVIOUR
LIMITATIONS O& THE STUDY"
The limitations of the study are as followsN
• $ample si%e of the subscriber is limited.
• /any subscribers do not give the exact picture of
their opinion.
• The time period for conducting the survey is
inade!uate as the sample si%e covers only
Aangalore city.
• 1ne subscriber may have more than one
connection.
• The opinion of the subscriber depends on the
geographical location of the subscriber this may
include the network of the provider.
+'
STUDY ON CONSUMER BEHAVIOUR
• $ince it’s a prepaid service it may be temporarily
be used.
• $ince most of the subscribers are teenagers it fails
to give a general view of other age groups.
DATA ANALYSIS AND INTER%RETATION
5ata analysis and interpretation about the research is
carried out by using tables and
,harts like pie charts and bar charts etc.
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STUDY ON CONSUMER BEHAVIOUR
BRAND NO O& RES%ONDENTS %ERCENTAGE
-ir tel +B GBH
Vodafone '< 4BH
spice I 'GH
8elience G JH
A$0( 4 @H
Tata indicom ' +H
TOTAL ?1 .11@
IN&ERENCE"
*rom the above table it can be inferred that
GBH of the respondents recalled -ir-Tel, first in brand
se!uencing.
4BH of the respondents recalled Vodafone, first in brand
se!uencing.
'GH of the respondents recalled $pice, first in brand
se!uencing.
INTER%RETATION"
*rom the above, researcher can interpret that most of the
subscriber recall the brand
&hich, they use. 3ence majority of the subscribers prefer
-ir-Tel followed by
Vodafone, $pice, 8eliance, and A$0(.
+;
STUDY ON CONSUMER BEHAVIOUR
Gr$h7B
%RO&ILE BASED ON Brn'7SeCuen#in*>
4B
STUDY ON CONSUMER BEHAVIOUR
TABLE ?
%rofi(e of the res$on'ents ,se' on Brn'7S-it#hin*>
RES%ONSE NO O& RES%ONDENTS %ERCENTAGE
9es +B GBH
0o 4B @BH
TOTAL ?1 .11@
IN&ERENCE"
*rom the above table it can be inferred that
GBH of the respondents switch their brand.
@BH of the respondents do not switch their brand.
INTER%RETATION"
*rom the above, researcher can interpret that most of the
subscribers are loyal to their
brand and there is small percentage of subscribers who
switch their brand.
4'
STUDY ON CONSUMER BEHAVIOUR
Gr$h7?
RES%ONDENTS7 BRAND S;ITCHING %RO&ILE>
4+
STUDY ON CONSUMER BEHAVIOUR
TABLE D
%rofi(e of the res$on'ents7-ho -ere Brn'7S-it#he'>
BRAND NO O& RES%ONDENTS
-ir Tel to Vodafone 'B
$pice to Vodafone <
8elience to Vodafone <
ndicom to Vodafone B
TOTAL 01
IN&ERENCE"
*rom the above it can be inferred that GBH of the
respondents switched brands.
The above table depicts that
'B out of +B respondents switched brand from -ir-Tel to
Vodafone.
< out of +B respondents switched brand from $pice to
Vodafone
4@
STUDY ON CONSUMER BEHAVIOUR
%RO&ILE O& THE RES%ONDENTS O&
EXISTING
Vo'fone3 SUBSCRIBERS>
TABLE E
%rofi(e of the res$on'ents ,se' on Gen'er>
GENDER NO O&
RES%ONDENTS
%ERCENTAGE
/ale GG JJH
*emale @ '+H
TOTAL ?1 .11@
Inferen#e"
*rom above table it can be inferred that JJH of the
respondents are /-(6 and
The rest are '+H *6/-(6.
Inter$rettion"
*urther from the inference the researcher can interpret that
majority of
respondents are males.
4I
STUDY ON CONSUMER BEHAVIOUR
Gr$h7E
%RO&ILE BASED ON GENDER>
4J
STUDY ON CONSUMER BEHAVIOUR
TABLE /
%rofi(e of the res$on'ents ,se' on *e *rou$>
-?6 ?817> 01 1*
86$>10560T$
>68,60T-?6
Q'J yrs < 'BH
'J to +; yrs 4< IBH
4B to GB yrs @ '+H
RGB yrs G JH
T1T-(
OCCU%ATION NO O&
RES%ONDENTS
%ERCENTAGE
$tudent 4G @JH
$alaried '4 +@H
Ausiness + GH
1thers ' +H
TOTAL ?1 .11@
IN&ERENCE"
*rom the above table it can be inferred that
@J H of the subscribers are students.
+@H of the subscribers are salaried.
GH of the subscribers are businessmen.
+H of the subscribers are others.
ITER%RETATION"
*rom the above inference it is clear that large no of
subscribers are students.
G'
STUDY ON CONSUMER BEHAVIOUR
Gr$h7.1
%RO&ILE BASED ON OCCU%ATION>
G+
STUDY ON CONSUMER BEHAVIOUR
TABLE ..
%rofi(e of the res$on'ents ,se' on Brn'7S-it#hin*>
RES%ONSE NO O&
RES%ONDENTS
%ERCENTAGE
96$ '' ++H
01 4; IJH
TOTAL ?1 .11@
IN&ERENCE"
*rom the above table it can be inferred that
++H of the respondents switch their brand.
IJH of the respondents do not switch their brand.
INTER%RETATION"
*rom the above, researcher can interpret that most of the
subscribers are loyal to their brand and there is small
percentage of subscribers who switch their brand.
G4
STUDY ON CONSUMER BEHAVIOUR
Gr$h7..
RES%ONDENTS7 BRAND S;ITCHING %RO&ILE>
GG
STUDY ON CONSUMER BEHAVIOUR
TABLE .0
%rofi(e of res$on'ents3 -ho3 S-it#he' Brn'>
A8-05 01 1*
86$>10560T$
Vodafone to -ir -Tel I
$pice to Vodafone G
Vodafone to reliance B
Vodafone to Tata B
T1T-( ''
IN&ERENCE"
*rom the above it can be inferred that ++H of the
respondents switched brands.
The above table depicts that
I out of '' respondents switched brand from -ir-Tel to
Vodafone.
G out of '' respondents switched brand from $pice to
Vodafone
INTER%RETATION"
*rom the above, researcher can interpret that there is cut-
throat competition between
Vodafone and -ir-Tel. &hen compared -ir-Tel has gained
a lot by its good network
than Vodafone .
G<
STUDY ON CONSUMER BEHAVIOUR
Gr$h7.0
RES%ONDENTS7 BRAND S;ITCHED %RO&ILE>
G@
STUDY ON CONSUMER BEHAVIOUR
TABLE .A
>81*(6 1* 86$>10560T$ A-$65 10
7$-$6 1* V-(76 -5565 $68V,6$
V(ue A''e'
ser!i#es
RES%ONSE TOTAL
RES%ONDENTS 96$ 01
Vodafone live '< 4<
'@H of the respondent’s rate e5#e((ent>
GH of the respondent’s rate $oor>
INTER%RETATION"
*rom the above, researcher can interpret that by
considering all factors like tariffs, 0etwork, customer
care, roaming service, etc the overall rating of Vodafone is
*oo'>
8$, 65?6
C 0etwork ,overageN 'I Telecom circles
C $ubscriber baseN I,B@+,GG4 :/ay +BBG2
C $ubscriptionsN >ost >aid, >re >aid
VODA&ONE TELECOM
C Arand 0ameN Vodafone
C 0etworkN ?$/ ;BB, ?$/ 'JBB, ?>8$, 65?6
C 0etwork ,overageN 'G Telecom ,ircles
C $ubscriber baseN R < million
C $ubscriptionsN >ost >aid, >re >aid
IDEA
C Arand 0ameN 56-
C 0etworkN ?$/ ;BB, 'JBB, ?>8$, 65?6
C 0etwork ,overageN @ Telecom circles
C $ubscriber baseN Q G million
C $ubscriptionsN >ost >aid, >re >aid
B%L Mo,i(e
C Arand 0ameN A>(
C 0etworkN ?$/ ;BB, 'JBB, ?>8$
C 0etwork ,overageN @ Telecom circles
C $ubscriber baseN Q + million
C $ubscriptionsN >ost >aid, >re >aid
@G
What an Idea!
An idea can change your life.
STUDY ON CONSUMER BEHAVIOUR
CDMA O$ertors 7 RELIANCE
C Arand 0ameN 8/- 8eliance ndia /obile
C 0etworkN ,5/- +BBB-'x
C 0etwork ,overageN 'J Telecom circles
C $ubscriber baseN R @,J million
C $ubscriptionsN >ost >aid, >re >aid
TATA INDICOM
C Arand 0ameN T-T- or T-T- ndicom
C 0etworkN ,5/- +BBB-'x
C 0etwork ,overageN @ Telecom circles
C $ubscriber baseN R + million
C $ubscriptionsN >ost >aid, >re >aid
@<
STUDY ON CONSUMER BEHAVIOUR
BIBLIOGRA%HY
%ort(sH;e,sites"
? --->!o'fone>#om
? --->irte(-or('>#om
? --->,usiness-or('in'i>#om
? --->te4esnets>#om
Business 8ourn(s"
? Business -or('
? Business to')
Ne-s $$ers"
? Times of In'i
? E#onomi# times
Boo4s referre'"
? Consumer Beh!ior in In'in
%ers$e#ti!e>
Him() %u,(ishin*
House7SuI R> Nir
@@
STUDY ON CONSUMER BEHAVIOUR
@I
doc_105837708.doc
The study is oriented towards the consumer behavior of the existing and new Vodafone subscribers and the study focuses on the pre-paid services which have been offered by the company.
STUDY ON CONSUMER BEHAVIOUR
EXECUTIVE SUMMERY
The study is oriented towards the consumer behavior of the existing and new
Vodafone subscribers and the study focuses on the pre-paid services which have been
offered by the company.
The study was conducted to gauge into the consumer’s mind and understand the
various consumption related aspects of individuals. The study of consumer behavior
will help to know the psychological, social and physical behavior of all potential
consumers as they become aware of evaluate, purchase, consume and tell others about
products and services.
The objectives of the study is to understand behavioral pattern of potential customer,
consumer perception, brand awareness, buying motives and their expectations and
satisfaction level to delight them.
nformation is collected from different sources. The primary information is obtained
by interviewing the customers with the help of !uestionnaire. The secondary data is
collected from company records, through the help of external guide and also through
the visit of website of the company "www.vodafone.com#.
$ample si%e is limited to respondents, who are existing and new Vodafone consumers.
The !uestionnaire is analy%ed with the help of tables and charts. &hich may helps to
know about consumer perception, awareness and satisfaction level of the consumer
etc.
'
STUDY ON CONSUMER BEHAVIOUR
(astly the findings indicate that most of them are satisfied with the products and
services and suggestion to be implemented regarding, network, providing subsidi%ed
rates for calling and messaging etc .)eeping the above factors and consideration we
arrive to suitable conclusion that trends in mobile segment is and its growth is
tremendous. f the demand is rising in the same pace then the company should be able
to provide innovative products and value added services to the subscribers.
*inally an effective sales person has to be employed in order to influence the buyer
decisions, the company should have exciting offers with the service they provide.
+
STUDY ON CONSUMER BEHAVIOUR
GENERAL INTRODUCTION
Definition of Consumer Beh!ior" ,onsumer behavior has been referred to as "all
the psychological, social and physical behavior of all potential consumers as they
become aware of, evaluate, purchase, consume and tell others about products and
services#
-ll the firms have started considering .customer’ as the king or .!ueen’. nterestingly,
after the liberali%ation of ndia’ economy, the market place is flooded with many new
players including the host of /0,s resulting in then availability of more number of
brands in every segment of the market. 1n account of this consumer has started being
choosy about what to buy. Thus all firms are becoming not only customer focused but
are also trying to build relationship with them. This is done by continuously updating
knowledge, information, and understanding of the customer needs perceptions, and
expectations.
Con#e$ts"
'2 3aving a better understanding of consumer behavior will help the firm to
become better than their competitors.
+2 1n understanding consumer behavior firm will be able to predict the consumer
perceptions and acceptance of their various informational and environmental
cues and thus plan their marketing programs or strategies accordingly.
42 1n understanding consumer behavior firm will be able to predict the consumer
satisfaction level.
4
STUDY ON CONSUMER BEHAVIOUR
INDUSTRY %RO&ILE"
05-0 T6(6,1/ 057$T89
The ,ellular 1perators -ssociation of ndia :,1-2 was constituted in ';;< as a
registered, non-profit, non-governmental society dedicated to the advancement of
communication, particularly modern communication through ,ellular /obile
Telephone $ervices. &ith a vision to establish and sustain a world-class cellular
infrastructure and facilitate affordable mobile communication services in ndia,
,1-’ main objectives are to protect the common = collective interests of its
members.
The telecom industry is governed under 0ational Telecom >olicy -';;;
The first ?$/ call was made in ';;@ on Aharti ,ellular 0etwork in 0ew 5elhi.
$/$ service started in the year +BBB. ndia presently follows a ,>> model, whereby
calling party pays. ncoming calls were made free since -pril ', +BB+ and that has
substantially boosted the subscriber growth rate. n ndia ?>8$ is widely offered by
major operators. A>( was the first operator to launch ?>8$ in ndia, followed by
-irtel, 3utch and dea.
The In'in Te(e#ommuni#tions in'ustr) is 'i!i'e' into four Ser!i#e se*ments"
CAasic $ervices :,onventional *ixed line D ,5/- *ixed line2
C/obile :?$/ D ,5/-2
C0ational (ong 5istance :0(52 or $ubscriber Trunk 5ialing :$T52
Cnternational (ong 5istance
52C(5 E Voice over internet :Vo>2
The entire country is divided into Telecom (icense Fones known as ",ircles#.
(icenses are awarded to the operators as per the circles, not as per the states.
6ach circle re!uires a different license.
G
STUDY ON CONSUMER BEHAVIOUR
OUT LOO+
The recent tariff cuts announced by various telecom operators would affect he bottom
line of these companies. The companies that are une!uipped to match up with the
competition and does not have economies of scale would loose out in this race.
$maller players might find difficult to be in the business and may merge with big
players leading to consolidation in the industry. 3ike in foreign direct investment
:*52 from G;H to IGH had hit roadblock due to political indifference and security
concerns expressed by intelligence bureau. This would block cross border mergers in
coming periods.
<
STUDY ON CONSUMER BEHAVIOUR
COM%ANY %RO&ILE
A,out Vo'fone Essr Limite'
Vodafone 6ssar in ndia is a subsidiary of Vodafone ?roup >lc and commenced
operations in ';;G when its predecessor 3utchison Telecom ac!uired the cellular
license for /umbai. Vodafone 6ssar now has operations in '@ circles covering J@H of
ndia’s mobile customer base, with over 4G.' million customersK.
1ver the years, Vodafone 6ssar, under the 3utch brand, has been named the L/ost
8espected Telecom ,ompanyL, the LAest /obile $ervice in the countryL and the L/ost
,reative and /ost 6ffective -dvertiser of the 9earL. Vodafone is the worldLs leading
international mobile communications company. t now has operations in +< countries
across < continents and GB partner networks with over +BB million customers
worldwide. Vodafone has partnered with the 6ssar ?roup as its principal joint venture
partner for the ndian market.
The 6ssar ?roup is a diversified business corporation with interests spanning the
manufacturing and service sectors like $teel, 6nergy, >ower, ,ommunications,
$hipping = (ogistics and ,onstruction. The ?roup has an asset base of over 8s.GBB
billion :7$M 'B billion2 and employs over +B,BBB people.
K*igures from ,ellular 1perators -ssociation of ndia, -ugust 4', +BBI.
@
STUDY ON CONSUMER BEHAVIOUR
Hut#h is no- Vo'fone ./ Se$tem,er 0112
$eptember ';, +BBIN Vodafone, the world’s leading international mobile
communications company, has fully arrived in ndia. Vodafone 6ssar announced that
"the Vodafone brand will be launched in ndia from +'st $eptember onwards#.
Vodafone, the world’s leading mobile telecommunication company, completed the
ac!uisition of 3utchison 6ssar in /ay +BBI and the company was formally renamed
Vodafone 6ssar in Ouly +BBI. PThis transition is probably the largest brand change
ever undertaken in this country and arguably as big as any in the world. t is even
larger than thier previous brand transitions as it touched over 4< million customers,
across GBB,BBB shops and thousands of our own and our business associatesL
employees.P
THE TO% MANAGEMENT
Asim Ghosh3 Mn*in* Dire#tor3 Vo'fone Essr
Hrit N*$(3 Mr4etin* n' Ne- Business Dire#tor3 Vo'fone Essr
Smue( Se(!4umr3 Chief E5e#uti!e Offi#er3 Vo'fone Essr
The Vodafone mission is to be the communications leader in an increasingly
connected world E enriching customers’ lives, helping individuals, businesses and
communities is more connected by delivering their total communication needs.
VodafoneLs logo is a true representation of that belief - The start of a new
conversation, a trigger, a catalyst, a mark of true pioneering.
I
STUDY ON CONSUMER BEHAVIOUR
SERVICE %RO&ILE
The name Vodafone comes from "Voice data fone# chosen by the company to reflect
the provision of voice and data over mobile phones.
Vo'fone ser!i#es re 6
• T706$ -05
51&0(1-5$
• $>18T$ -05
T8-V6(
• 06&$ -05
7>5-T6$
• *0-0,6
• ,-((
/-0-?/T
$68V,6$
• 56V1T10-(
• -$T81(1?9
• /-(,
/6$$-?6, etc
• 60T68T-0/6
0T
• A(( 0*1
Vo'fone $ro'u#ts re7
• >1$T->-5
• >86->-5
• &18(5 ,-((0? ,-85$
• 31/6 ,-((0? ,-85$
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STUDY ON CONSUMER BEHAVIOUR
• V15-*106 -3-059 >3106$
• V15-*106- >,1
;
STUDY ON CONSUMER BEHAVIOUR
STATEMENT O& THE %ROBLEM
The study was made on consumer behavior of existing and
new Vodafone subscriber. The main aim of the research is
to analy%e behavior of existing and new Vodafone
subscriber to meet their preferences and expectations. To
know, perception and satisfaction level of Vodafone
services and products. The study of consumer behavior
will help to gau%e the consumer’s mind and understand
the various consumption related aspects of individuals.
7nderstanding of consumer behavior will make the study
of marketing management more interesting,
understandable and increase awareness of its practical
implications.
'B
STUDY ON CONSUMER BEHAVIOUR
''
STUDY ON CONSUMER BEHAVIOUR
OB8ECTIVES 1& THE STUDY"
• To understand consumer perception about products
and services.
• To understand the consumers satisfaction level
about products and services.
• To know the market potential of Vodafone
products and services.
• To analy%e the brand awareness.
'+
STUDY ON CONSUMER BEHAVIOUR
SCO%E O& THE STUDY
The study is carried out to know the fallowing aspects.
? To assess, the consumers needs and wants.
? To predict, the consumer’s acceptance of firm’s
various informational and
6nvironmental cues.
? To gauge into the consumer’s mind and understand
different consumption
related aspects, of individuals.
? To know the percentage of usage of value added
services.
? To understand, behavior, of brand loyal consumer.
? To understand, behavioral pattern of potential
consumer.
? To analy%e, the buying motives of the consumers,
while making their purchase
decisions.
? To understand, expectations and satisfaction level,
of consumers.
- study of this kind helps to put theoretical aspects into
the project and aims to give information. 0ature of the
'4
STUDY ON CONSUMER BEHAVIOUR
study methods used, findings of the investigation,
conclusions, and recommendations inferred from the
findings aims to enable Vodafone to implement the
recommendations made at the end of the study.
The research is purely based on the survey conducted in
Aangalore city and has been focused on Vodafone
subscribers. The number of respondents intervened is
'BB.The study covers information about customer brand
preference, brand awareness, service attributes, etc.
1verall scope of the study would be to enhance the
services to the subscribers, in the city.
RESEARCH METHODOLOGY"
$178,6$ 1* 5-T-N
5ata, facts, figures, other relevant material of past and
present and surveying are the basis for study and analysis.
&ithout an analysis of factual data no specific inferences
can be drawn on the !uestions under study. nferences
based on imagination or guesses cannot provide correct
answer to research !uestions. The relevance ade!uacy and
reliability of data determine the !uality of the findings of a
study.
'G
STUDY ON CONSUMER BEHAVIOUR
*or the purpose of the present study, data from two
sources has been collected, namely primary data and
secondary data.
%RIMARY DATA"
>rimary data is source from which the researcher collects
the data. t is a first hand data, which is used directly for
the analysis purposes. >rimary data always gives the
researcher a fairer picture. n the present study primary
data has been collected using !uestionnaires. *or the
purpose of collecting the same, 'BB respondents have been
randomly selected. 6ven the response of the respondents
was taken into consideration. n this study, primary data
plays a vital role for analysis, interpretation, conclusion
and suggestions.
SECONDARY DATA"
$econdary data is data which is collected and compiled for
other purposes. $econdary data also plays a key factor in
providing more information which will influence the
analysis. *ew of the main sources of secondary data
include newspapers, business journals, maga%ines, internet
and company reports, etc.
%O%ULATION
The aggregate of all the units pertaining to a study is
called the population. >opulation is the largest group to be
'<
STUDY ON CONSUMER BEHAVIOUR
studied. t’s the total collection of elements about which
we wish to make inferences the populations for this
research are the people residing in Aangalore ,ity.
SAM%LE DESIGN"
The part of the population is known as sample. The
process of drawing a sample from a large population is
called sampling. The type of sample design used is
8andom $ampling. 8andom $ampling gives every unit of
the population a known and probability of being selected.
$ince random sampling implies e!ual probability to every
unit in the population, it is necessary that the selection of
Aangalore city only.
SAM%LE %LAN
SAM%LE SI9E"
The sample si%e for the survey is 'BB respondents of
which ersonal
interaction has been carried out and the information
sought as was re!uired in the !uestionnaire for the
'I
STUDY ON CONSUMER BEHAVIOUR
purpose of data processing and analy%ing. The
respondents have been directly contacted.
'J
STUDY ON CONSUMER BEHAVIOUR
56$,8>T10 1* T36 86$6-8,3 56$?0"
The present study has been designed to collect the
opinions and perspectives of the Vodafone subscribers.
The data has been collected through !uestionnaires filled
up by personal interviewing subscribers. The
!uestionnaires have been made as concise as possible.
>ersonal information has been collected in order to know
their personal background. The !uestionnaire has been
administered to the respondents directly so that any doubt
regarding the !uestionnaire could be immediately
clarified. The !uestionnaire consisted of various types of
!uestion namely multiple choices, close ended, open
ended, and ranking etc, a copy of the !uestionnaire is
enclosed in the annexure.
86$6-8,3 56$?0
The sampling design carried out is convenience sampling.
The marketing research problem calls for the descriptive
types of research. 5escriptive studies are undertaken in
many circumstances. &hen researcher is interested in
knowing the characteristics of certain groups such as age,
sex, income level, etc. or in case researcher is interested in
knowing the proportion of people in a given population
who have behaved in particular manner.
';
STUDY ON CONSUMER BEHAVIOUR
5escriptive research is used for the following data.
,onsumer profile study.
,onsumer behavior study.
METHODOLOGICAL ASSUM%TIONS
*or the purpose of the study the following assumptions
have been made.
o t has been assumed that the information given by
the respondents are authentic, bonfire and genuine.
o The sources of the data are the basis, from which
the actual re!uired information can be extracted.
o The sampling procedure adopted will help in
choosing an appropriate sample that truly
represents that actual population.
o t has also been assumed that "interview-
!uestionnaire# is more suitable for collecting data
for the present day.
+B
STUDY ON CONSUMER BEHAVIOUR
LIMITATIONS O& THE STUDY"
The limitations of the study are as followsN
• $ample si%e of the subscriber is limited.
• /any subscribers do not give the exact picture of
their opinion.
• The time period for conducting the survey is
inade!uate as the sample si%e covers only
Aangalore city.
• 1ne subscriber may have more than one
connection.
• The opinion of the subscriber depends on the
geographical location of the subscriber this may
include the network of the provider.
+'
STUDY ON CONSUMER BEHAVIOUR
• $ince it’s a prepaid service it may be temporarily
be used.
• $ince most of the subscribers are teenagers it fails
to give a general view of other age groups.
DATA ANALYSIS AND INTER%RETATION
5ata analysis and interpretation about the research is
carried out by using tables and
,harts like pie charts and bar charts etc.
+J
STUDY ON CONSUMER BEHAVIOUR
BRAND NO O& RES%ONDENTS %ERCENTAGE
-ir tel +B GBH
Vodafone '< 4BH
spice I 'GH
8elience G JH
A$0( 4 @H
Tata indicom ' +H
TOTAL ?1 .11@
IN&ERENCE"
*rom the above table it can be inferred that
GBH of the respondents recalled -ir-Tel, first in brand
se!uencing.
4BH of the respondents recalled Vodafone, first in brand
se!uencing.
'GH of the respondents recalled $pice, first in brand
se!uencing.
INTER%RETATION"
*rom the above, researcher can interpret that most of the
subscriber recall the brand
&hich, they use. 3ence majority of the subscribers prefer
-ir-Tel followed by
Vodafone, $pice, 8eliance, and A$0(.
+;
STUDY ON CONSUMER BEHAVIOUR
Gr$h7B
%RO&ILE BASED ON Brn'7SeCuen#in*>
4B
STUDY ON CONSUMER BEHAVIOUR
TABLE ?
%rofi(e of the res$on'ents ,se' on Brn'7S-it#hin*>
RES%ONSE NO O& RES%ONDENTS %ERCENTAGE
9es +B GBH
0o 4B @BH
TOTAL ?1 .11@
IN&ERENCE"
*rom the above table it can be inferred that
GBH of the respondents switch their brand.
@BH of the respondents do not switch their brand.
INTER%RETATION"
*rom the above, researcher can interpret that most of the
subscribers are loyal to their
brand and there is small percentage of subscribers who
switch their brand.
4'
STUDY ON CONSUMER BEHAVIOUR
Gr$h7?
RES%ONDENTS7 BRAND S;ITCHING %RO&ILE>
4+
STUDY ON CONSUMER BEHAVIOUR
TABLE D
%rofi(e of the res$on'ents7-ho -ere Brn'7S-it#he'>
BRAND NO O& RES%ONDENTS
-ir Tel to Vodafone 'B
$pice to Vodafone <
8elience to Vodafone <
ndicom to Vodafone B
TOTAL 01
IN&ERENCE"
*rom the above it can be inferred that GBH of the
respondents switched brands.
The above table depicts that
'B out of +B respondents switched brand from -ir-Tel to
Vodafone.
< out of +B respondents switched brand from $pice to
Vodafone
4@
STUDY ON CONSUMER BEHAVIOUR
%RO&ILE O& THE RES%ONDENTS O&
EXISTING
Vo'fone3 SUBSCRIBERS>
TABLE E
%rofi(e of the res$on'ents ,se' on Gen'er>
GENDER NO O&
RES%ONDENTS
%ERCENTAGE
/ale GG JJH
*emale @ '+H
TOTAL ?1 .11@
Inferen#e"
*rom above table it can be inferred that JJH of the
respondents are /-(6 and
The rest are '+H *6/-(6.
Inter$rettion"
*urther from the inference the researcher can interpret that
majority of
respondents are males.
4I
STUDY ON CONSUMER BEHAVIOUR
Gr$h7E
%RO&ILE BASED ON GENDER>
4J
STUDY ON CONSUMER BEHAVIOUR
TABLE /
%rofi(e of the res$on'ents ,se' on *e *rou$>
-?6 ?817> 01 1*
86$>10560T$
>68,60T-?6
Q'J yrs < 'BH
'J to +; yrs 4< IBH
4B to GB yrs @ '+H
RGB yrs G JH
T1T-(
OCCU%ATION NO O&
RES%ONDENTS
%ERCENTAGE
$tudent 4G @JH
$alaried '4 +@H
Ausiness + GH
1thers ' +H
TOTAL ?1 .11@
IN&ERENCE"
*rom the above table it can be inferred that
@J H of the subscribers are students.
+@H of the subscribers are salaried.
GH of the subscribers are businessmen.
+H of the subscribers are others.
ITER%RETATION"
*rom the above inference it is clear that large no of
subscribers are students.
G'
STUDY ON CONSUMER BEHAVIOUR
Gr$h7.1
%RO&ILE BASED ON OCCU%ATION>
G+
STUDY ON CONSUMER BEHAVIOUR
TABLE ..
%rofi(e of the res$on'ents ,se' on Brn'7S-it#hin*>
RES%ONSE NO O&
RES%ONDENTS
%ERCENTAGE
96$ '' ++H
01 4; IJH
TOTAL ?1 .11@
IN&ERENCE"
*rom the above table it can be inferred that
++H of the respondents switch their brand.
IJH of the respondents do not switch their brand.
INTER%RETATION"
*rom the above, researcher can interpret that most of the
subscribers are loyal to their brand and there is small
percentage of subscribers who switch their brand.
G4
STUDY ON CONSUMER BEHAVIOUR
Gr$h7..
RES%ONDENTS7 BRAND S;ITCHING %RO&ILE>
GG
STUDY ON CONSUMER BEHAVIOUR
TABLE .0
%rofi(e of res$on'ents3 -ho3 S-it#he' Brn'>
A8-05 01 1*
86$>10560T$
Vodafone to -ir -Tel I
$pice to Vodafone G
Vodafone to reliance B
Vodafone to Tata B
T1T-( ''
IN&ERENCE"
*rom the above it can be inferred that ++H of the
respondents switched brands.
The above table depicts that
I out of '' respondents switched brand from -ir-Tel to
Vodafone.
G out of '' respondents switched brand from $pice to
Vodafone
INTER%RETATION"
*rom the above, researcher can interpret that there is cut-
throat competition between
Vodafone and -ir-Tel. &hen compared -ir-Tel has gained
a lot by its good network
than Vodafone .
G<
STUDY ON CONSUMER BEHAVIOUR
Gr$h7.0
RES%ONDENTS7 BRAND S;ITCHED %RO&ILE>
G@
STUDY ON CONSUMER BEHAVIOUR
TABLE .A
>81*(6 1* 86$>10560T$ A-$65 10
7$-$6 1* V-(76 -5565 $68V,6$
V(ue A''e'
ser!i#es
RES%ONSE TOTAL
RES%ONDENTS 96$ 01
Vodafone live '< 4<
'@H of the respondent’s rate e5#e((ent>
GH of the respondent’s rate $oor>
INTER%RETATION"
*rom the above, researcher can interpret that by
considering all factors like tariffs, 0etwork, customer
care, roaming service, etc the overall rating of Vodafone is
*oo'>
8$, 65?6
C 0etwork ,overageN 'I Telecom circles
C $ubscriber baseN I,B@+,GG4 :/ay +BBG2
C $ubscriptionsN >ost >aid, >re >aid
VODA&ONE TELECOM
C Arand 0ameN Vodafone
C 0etworkN ?$/ ;BB, ?$/ 'JBB, ?>8$, 65?6
C 0etwork ,overageN 'G Telecom ,ircles
C $ubscriber baseN R < million
C $ubscriptionsN >ost >aid, >re >aid
IDEA
C Arand 0ameN 56-
C 0etworkN ?$/ ;BB, 'JBB, ?>8$, 65?6
C 0etwork ,overageN @ Telecom circles
C $ubscriber baseN Q G million
C $ubscriptionsN >ost >aid, >re >aid
B%L Mo,i(e
C Arand 0ameN A>(
C 0etworkN ?$/ ;BB, 'JBB, ?>8$
C 0etwork ,overageN @ Telecom circles
C $ubscriber baseN Q + million
C $ubscriptionsN >ost >aid, >re >aid
@G
What an Idea!
An idea can change your life.
STUDY ON CONSUMER BEHAVIOUR
CDMA O$ertors 7 RELIANCE
C Arand 0ameN 8/- 8eliance ndia /obile
C 0etworkN ,5/- +BBB-'x
C 0etwork ,overageN 'J Telecom circles
C $ubscriber baseN R @,J million
C $ubscriptionsN >ost >aid, >re >aid
TATA INDICOM
C Arand 0ameN T-T- or T-T- ndicom
C 0etworkN ,5/- +BBB-'x
C 0etwork ,overageN @ Telecom circles
C $ubscriber baseN R + million
C $ubscriptionsN >ost >aid, >re >aid
@<
STUDY ON CONSUMER BEHAVIOUR
BIBLIOGRA%HY
%ort(sH;e,sites"
? --->!o'fone>#om
? --->irte(-or('>#om
? --->,usiness-or('in'i>#om
? --->te4esnets>#om
Business 8ourn(s"
? Business -or('
? Business to')
Ne-s $$ers"
? Times of In'i
? E#onomi# times
Boo4s referre'"
? Consumer Beh!ior in In'in
%ers$e#ti!e>
Him() %u,(ishin*
House7SuI R> Nir
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STUDY ON CONSUMER BEHAVIOUR
@I
doc_105837708.doc