A

PROJECT REPORT
ON
A STUDY ON CONSUMER BUYING BEHAVIOUR
TOWARDS RESIDENTIAL PROPERTIES IN PUNE CITY
FOR
KUMAR BUILDERS
BY
GUNDYAL GOPAL NAGESH
(Batch 2006-08)
UNDER THE GUIDENCE OF
PROF. MAHESH GADEKAR

SUBMITTED TO
UNIVERSITY OF PUNE
IN PARTIAL FULFILLMENT OF THE REQUIREMENT FOR
THE AWARD OF THE DEGREE OF MASTERS OF BUSINESS
ADMINISTRATION (MBA)
THROUGH
VISHWAKARMA INSTITUTE OF MANAGEMENT
PUNE-48.

A
PROJECT REPORT
ON
A STUDY ON CONSUMER BUYING BEHAVIOUR
TOWARDS RESIDENTIAL PROPERTIES IN PUNE CITY
FOR
KUMAR BUILDERS
BY
GUNDYAL GOPAL NAGESH
(Batch 2006-08)
UNDER THE GUIDENCE OF
PROF. MAHESH GADEKAR
SUBMITTED TO
UNIVERSITY OF PUNE
IN PARTIAL FULFILLMENT OF THE REQUIREMENT FOR THE
AWARD OF THE DEGREE OF MASTERS OF BUSINESS
ADMINISTRATION (MBA)

THROUGH
VISHWAKARMA INSTITUTE OF MANAGEMENT
PUNE-48.

Acknowledgement

Before we get into the thick of the things I would like to add a few heartfelt
words for the people who were the part of this project in numerous ways people
who gave unending support right from the stage the basic idea was conceived.
This dissertation from a part of my two year M.B.A programme and is in
partial fulfillment of the requirement of their in reference.
I acknowledge with sense of reverence my gratitude towards the
management of Kumar Builders. For providing me an opportunity to work as a
summer trainee in their esteem organization.
I want to give special the HR Manager and other staff of the company who
helped me to complete the project. I also thank my Director Dr. Sharad L. Joshi
and my internal guide Prof. Mahesh Gadekar for guiding me from time to time.

CONTENTS
Sr.No.

Topic

Page. No.

1
2
2.1
2.2
2.3
2.4
3
3.1
3.2
3.3
3.4
3.5
3.6
4
5
6
7
8
9

Executive Summary of Project

Objective Of The Study
Objectives
Scope Of The Study
Limitations
Need & Significance Of The Study
Company Profile
Introduction To Company
Branches & Offices
Achievements & Awards
Products Range & Variety
Organisation Staff & Designation
List of Competitors
Theoretical Background
Research Methodology
Data Analysis and Interpretation
Findings
Conclusion
Recommendations
Annexure
Bibliography

01-02
03-06
03
04
05
06
07-18
07
12
13
14
16
18
19-32
33-35
36-44
45-46
47
48
49-51
52

Chapter 1
Executive Summary

Chapter 2
6

Objectives of the Study

Chapter 3
Company Profile

Chapter 4
Theoretical Background

Chapter 5
Research Methodology

Chapter 6
10

Data Analysis
and
Interpretation

11

Chapter 7
Findings

12

Chapter 8
Conclusion

13

Chapter 9
Recommendations

14

Annexure

15

Bibliography

16

1. Executive Summary
This study is related to construction industry in India. Heightened realization
on the part of all stakeholders that infrastructure would play a key role towards
pushing Indias GDP to the desirable 8 percent mark has come as a boon for Indias
construction industry.
The industry is riding a growth wave, which is evident from the financial
results posted by some of the leading contractors. However, the industry is faced with
certain challenges. The need to be price competitive, adherence to safety, quality
consciousness, adapting to technological changes, developing and using new
construction materials and having an adequately trained manpower are issues that
industry must look into and address.
"The construction sector, therefore, has to gear up fully to take on the everincreasing challenge."
This study was basically concern with consumer buying behaviour towards
residential properties in Pune city with reference to Kumar Builders Constructions.
The basic objective behind carrying this study was to study the property purchasing
behaviour i.e. (Residential) of different types of customer in different area in Pune
city, to study the various factors affecting the customer-buying pattern especially in
case of residential properties and to search out new prospects for Kumar Builders
Construction.
After completing this study it was found that maximum respondents are
having the resident on rental, it was also found that price & location is major factor
which are consider by the customer at the time of purchasing the residential property.
The quality & facilities are most considerable parameters at the time of selecting

17

residential property. It was also found that demand of the 2 & 3 BHK flats were more
to comparing other types of residential properties.
After going through this study I would recommend Kumar Builders that they
should try to decrease Five star amenities with a view to cut down the property prices
and there by attracting the middle class, and also actively participate and organize
property exhibition, trade shows, hoardings, etc. to create awareness in the market.
They should reduce the maintenance charges and should concentrate on CRM
activities, such as loyalty to create strong good will and gain new customer.

18

2.1 OBJECTIVES

To study the property purchasing behaviour i.e. (Residential) of different

types of customer in different area in Pune city.

To study the various factors affecting the customer-buying pattern

especially in case of Residential properties.

To find the expectations & needs of customers from Kumar Builders

Constructions.

To find the opinion of the customers with regard to various schemes

available or schemes offered by Kumar Builders constructions.

To find out the near competitors for Kumar Builders Constructions.

To find out the period in which the customers are more willing to purchase
Residential properties.

To search out new prospects for Kumar Builders Construction.

19

2.2 SCOPE
This study will be beneficial to Kumar Builders Constructions to know about
customers buying behaviour towards Residential properties in Pune city. The
company can come to know various factors affecting the customers properties buying
behaviour.
Company comes to know about customers expectations & need for future
properties purchases. The sample size taken for this project is 100 Respondents.
Hence, this market study will provide information to Company, and
Customers.

20

2.3 LIMITATIONS
1) The survey was restricted to selected areas in Pune City only.
2) The time duration of this survey was 50 days only.
3) Rainy season was main hurdle for this survey.
4) The response from the respondents was fair enough but not up to the mark or
good enough.
5) This project was only restricted to the residential properties of KBC & not
commercials & others.
6) The survey area were too far as the city is big enough which caused many
transportation problem.

21

2.4 NEED & SIGNIFICANCE

The study conducted is Pune city reflects the market position of Kumar
Builders Residential Properties. It gives us the details of various factors of buying
behavior of customers. The study enables the company to prepare marketing strategy
and plan accordingly, so as to capture a greater market share& the services provided
by the company. It foresight the future requirement of the market and thus helps the
manufacturer to face the future completion in a fully prepared way.
Thus it helps the company to have a good brand image and stepping toward
success.

22

3.1 INTRODUCTION TO COMPANY

"Kumar Group" established on 15th August, 1966 by the Late Shri. K. H.

Oswal, a first generation entrepreneur, with a vision to enter into a core sector
business, housing construction, which had an immense potential was the obvious
choice at that time.
In more than last 40 years, the Organization has grown from strength to
strength striving hard to transform that vision into reality. Today the company's name
has become synonymous with the quality Construction business in Pune.
An ISO 9001 : 2000 & 14001:2004 Company DET NORSKE VERITAS
QUALITY SYSTEM CERTIFICATE (DNV) has awarded an ISO 9001: 2000
Certificate for Quality Management System Standards maintained by the company for

23

design, development, construction & marketing of Residential and Commercial

complexes.
Kumar Builders has become synonymous with quality construction in Pune.
The company is known for maintaining international quality construction standards
and also for its ethics, transparency, reliability, professionalism and reflexivity.
The Kumar Builders Institution boasts of a concrete record of more than 100
completed projects, over 100 Lakhs Sq.Ft. completed construction and 13,000
satisfied customers. The 30 ongoing residential and commercial projects and
successful diversification into corporate ventures bear testimony to the success story
of Kumar Builders.
Quality Policy:
Kumar Builders are committed to design, develop, construct and market
Residential, Commercial complexes and all such types of shelters, which shall meet
customer need consistently. We shall further strive to enhance the interest of our
partners, employees, suppliers & society.
Quality Objectives:
1. Demonstrate commitment and compliance to the Quality Management
System.
2. Improve the competence of employees by continuous training in the areas in
which they work.
3. To be a market leader by enhancing the customer satisfaction.
4. To create a customer focused organization.
Aims:
"Quality is primary" to Kumar Builders. All systems and procedures are
formulated to achieve the "Quality Objective". Total quality principles are adopted in
24

selection of the material, implementation of the project, and even after the project is
handed over. The Group is in the process of implementing 'Total Quality
Management' in all the aspects of its business.
Values:
Honor and respect those who are experts in their fields, those who are wise,
knowledgeable and insightful. Project the eminent & nurture the learned.
Be humble and grateful for any gesture, however small
With plentiful resources, guard against mismanagement and waste.
Do not use the force but work through. Conciliation, appreciation and
inspiration.
Maintain your position through growth and expansion, which requires effort.
Practice five strategies of action: Alliance, Patience, Optimum Utilization of
Resources, Nurturing of human assets and Aggressiveness.
Plan for the acquisition of wealth with the eyes of crane, employ a variety of
postures like peacock, strike with the ferocity of a boar and display the velour
of a lion.
Offer your gratitude to God.
Human Resources:
Kumar Builders is professionally managed and a significant force in an
intensely competitive market. This is because we treat our employees with respect and
dignity. We believe the growth of the Group is dependant on the growth of our people.
They find an independence to chart their own course, an openness to new ideas,
efficiency in implementation and an enormous professional satisfaction. We have men

25

of mission who can face challenging opportunities with finesse and purpose. The open
door policy and informal and vibrant atmosphere is an achievement in itself.
Technology:
In the context of technological advances, the Kumar Builders is in the
forefront in implementing State-Of-The-Art Technology with the latest systems /
Networking techniques. These assists management to access information and establish
proper checks and controls over the business transactions. Continuous technological
up gradation helps the Group keep up with time.
Social Obligation:
The group believes in repaying its debt to society and does so in many
different ways. After realizing the grave need for shelter it has initiated the task of
development of slums. Various projects for beautification, Water Fountains, Schools,
and Developments of Gardens, large roadside plantations, drinking water and public
toilets facilities have been taken up. On a more macro level, the group has contributed
its mite towards promoting sports development, besides lending a helping hand to
many charitable institutions.
Slum development
Drinking Water program
Helping in building better public toilet facility
Environment cleanliness and beautification
Creating gardens
Sports
Schools and Hospitals
Tree Plantations.

26

After Sales:
Kumar Builders strive hard and are committed to provide all such type of
services related to pre & post booking activities in order to enhance customer
satisfaction.
We assist all the esteemed customers to avail loan, help them in all type of
correspondences required an ensure them to handover timely possession.
It is our endeavor to sort out all the complaints / queries before and after sales
to achieve maximum customer satisfaction.

Financial Assistance:

ICICI Bank

Standard Charted Bank

27

3.2 BRANCHES & OFFICES

Pune Head Office:
Kumar Capital, 2nd Floor,
2413,East Street, Camp,
Pune, India - 411 001.
Tel. : +91 (020) 40006000 /1/2/3, 26350065.
Fax : +91 (020) 26330584.
E-mail : sales@kumarbuilders.com

Mumbai Branch Office:

Office No. 7, 1st Floor,
Ali Chambers, Nagindas Master Road
Fort, Mumbai - 400 023
Tel. : +91 (022) 66378480, 66378481.
Fax : +91 (022) 66378482.
E-mail : kumartech@vsnl.net

Bangalaru Branch Office:

10/12, Palace Road,
13th Main, Vasant Nagar
Bangalaru - 560 052
Tel. : +91 (080) 2235 6822.
Telefax : +91 (080) 2235 6855.

28

E-mail : salesblre@kumarbuilders.com

3.3 Achievements & Awards

Kumar Builders receives srishti green cube award from commerce minister
Kamal Nath in Delhi.The Srishti Green Cube Awards was instituted for Good
Green Governance (G3).

Kumar Builders were the first Construction Company in India to obtain an

ISO 14001:2004 Environment Certification.

Kumar Builders bagged the award on the basis of the social activities and their
concern for preservation of the environment, which is seen through the
implementation of extensive programmes in the following major areas,
namely:

Solid Waste Management

Rainwater Harvesting

Solar Energy

Reduction of Dust, Noise And Water Pollution And

Expanding the Green Belt.

29

3.4 PRODUCTS RANGE & VARIETY

Residential Projects

Commercial Projects

Multiplex / Retail Projects

IT / BTS Projects

Investment Opportunities

Future Projects

Completed Projects

30

Kumars Residential Projects

Kumar Meadows

Kumar Kruti

Buena Vista

Windsor Park

Kumar Puram

Sophronia

Kumar City

Laxmi Vilas

Hillscape

The Orion Residency

Kumar Surkasha

Kumar Dhruv

Kumar Sahawas

Kubera Sankul

Kumar Shantiniketan

Kubera Vihar

Kumar Sansar

i-Life

31

3.5 ORGANISATION STAFF & DESIGNATION

No.

Name

Designation

Lalitkumar Jain

Chairman & MD

Kruti Jain

Executive Director

Sameer Palshikar

Media Manager

Advertising

Yogesh Bhave

H.O.D. - Accounts
& Finance

Girish Mande

H.O.D. Banking

Accounts &
Finance
Banking &
Payments

B.R. Gulati

H.O.D.
Administration

Administration

Reena Manjrekar

H.O.D. - C.R.O.

C.R.O.

Surender Khunekari

Sr. Executive - EDP

E.D.P.

Sheetal Joshi

K.B. Shivankhede

S. Premnath

GM - Technical

10

Anil Nemavarkar

Project Co-ordinator

11

Ritesh Oswal

12

Vinay Nimbalkar

13

D.V. Godbole

14

Chandrahas Bollabattin

Sr. Executive - HR

H.R.

15

RAHUL BOKIL

Management
Representative

I.S.O.

16

Viresh Parekh

Coordinator

Land / Legal

17

B.H. Tingre

H.O.D. - Legal

Legal

Company
Secretory
Chief Technical
Coordinator

H.O.D.
Corporate Marketing
H.O.D.
Electrical
H.O.D. Horticulture

Department

C.S.
Construction /
Technical
Construction /
Technical
Construction /
Technical
Corporate Sales &
Mkt.
Electrical
Horticulture /
Landscape

32

18

Neelima Gohad

H.O.D. - Legal

Legal

19

Brig. Ramesh Hasija

H.O.D. Maintenance

Maintenance

20

Vijay Oswal

G.M. - Operations

Operations

21

Anil Suratwala

Project Planning &

Township
Developments

22

D.S. Thorat

23

Rupam Singh

G.M.
Township
Developments
H.O.D.
Public Relations
Sr. Manager
Public Relations

24

Abhay Deshpande

H.O.D. - Purchase

Purchase

25

Niranjan Bhatkulkar

26

Ravindra D. Patil

27

Rajendra Bhagat

Sales Manager

Sales & Mkt.

28

Anil Deshpande

Security Incharge

Security

29

Mohan Tak

C.E.O. - CLUB

30

Rajashree Swami

System &
Procedure Manager

H.O.D.
Quantity Analysis
H.O.D.
Quality Assurance

Public Relations
Public Relations

Quantity Analysis
Qyality Assurance

Symphony /
Conniseur Club
Systems &
Procedure

33

3.6 LIST OF COMPETITORS

Mantri Builders

Bramha Builders

Fergusson College Road

205/251, M.G. Road

(Mantri House) Shop # 929,

Parvati,

Deccan Gymkhana,

Pune 411009

Pune 411004Phone: (20) 25661040

Panchshil Real Estate Consultant

Phone: (20) 26330052

Rohan Builders (I) Private Limited

Bund Garden Road

813, Bhandarkar Road

(Konar Estate)

(Pradeep Chambers)

Pune H.O.,

Deccan Gymkhana,

Pune 411001Phone: (20) 26127366

Paranjape Schemes Constructions

Pune 411004Phone: (20) 25674413

Nyati Builders Private Limited

Anand Colony, Erandwane

Kalyani Nagar

(PSC House)

(Nyati Commerce House)

Deccan Gymkhana,

Yerwada,

Pune 411004Phone: (20) 30223344

D.S. Kulkarni Developers Limited

Pune 411006Phone: (20) 26686123

K Raheja Private Ltd.,

1187/60, Jangali Maharaj Road

Survey No. 144 & 145,

(DSK House)

Samrat Ashok Path, Off. Airport Road,

Shivajinagar H.O.,

Yerwada, Pune 411 006

Pune 411005Phone: (20) 56047100

Tel: +91 020 26112859

34

4. THEORETICAL BACKGROUND OF BUYING BEHAVIORS

Definition of Buying Behaviour:

Buying Behavior is the decision processes and acts of people involved in

buying and using products.

The dynamic interaction of affect and cognition, behaviour, and the
environment by which human beings conduct the exchange aspects of their lives

Meaning of Consumer Behaviour:

Consumer behaviour can be looked upon as a study of how individuals make

decisions on how to spend their available resources like time, money and effort on
various consumption-related items.
Human beings are greatly influenced in their buying actions by various factors
like opinions of others, marketing stimuli like product, advertising, packaging and
product appearance
Scope of Consumer Buying Behaviour

Why do consumers buy a particular product/service brand?

How do they buy them?

Where do they buy these products?

How often do they buy them?

When do they buy them?

What factors influence the decision making process of the consumers?

The buying process involves the user, influencer, decider, and the buyer

35

The process is greatly affected by selective information received by a

consumer

It is very important to understand what and how much information is

required by the consumer to help him evaluate the products and services

As such understanding why a consumer finally buys a product is very

complex

Importance Of Consumer Behaviour

Ever increasing intensity of competition

More aggressive competitors emerging with greater frequency

Changing bases of competition

Geographic sources of competition are becoming wider

Niche attacks are becoming frequent

Pace of innovation is rapid

Price competition becoming more aggressive

Product differentiation is declining

Why Focus On Consumer Behaviour

Profit making through customer satisfaction

Dramatic increase in the quality of consumer and

marketing research

Development of consumer behaviour research

Shifting from the mass marketing concept to individual

marketing concept.

Characteristics Of Consumer Behaviour

Consumer behaviour is dynamic:

36

The feelings, thinking, perceptions, and actions

of the consumers and the society at large keep changing frequently.

Strategies that work today may not work

tomorrow.

The product life cycles are becoming shorter.

Benefits of Consumer Behaviour

Stay loyal for a long time

Buy new products and upgrade existing ones

Talk favourably about the firm and its products

Pay less attention to competing brands

Offer product/service ideas to the firm

Are cost effective

Approaches To Consumer Behaviour

Managerial:

Micro and cognitive in nature

Emphasizes on attitudes, perceptions, lifestyle and demographic

characteristics

Environmental effects-reference groups, family and culture

Risk of this approach is overemphasis on rationality of a consumer and

overlooks

the dynamics of environmental factors independent of the individual

Tends to focus more on purchase than on consumption

Holistic:

37

More macro in approach

Tends to focus more on consumption experience than on purchasing

process

Stresses the broader, culturally derived context of consumption

Emphasizes on environmental context of the consumers actions

This approach may not be actionable and all decisions are not rational.
Need To Understand Consumer Buying Behaviour:

Why consumers make the purchases that they make?

What factors influence consumer purchases?

The changing factors in our society.

Consumer Buying Behavior refers to the buying behavior of the

ultimate consumer. A firm needs to analyze buying behavior for:

Buyers reactions to a firms marketing strategy has a

great impact on the firms success.

The marketing concept stresses that a firm should create

a Marketing Mix (MM) that satisfies (gives utility to) customers,
therefore need to analyze the what, where, when and how
consumers buy.

Marketers can better predict how consumers will

respond to marketing strategies.

Stages of Consumer Buying Process:

Six Stages to the Consumer Buying Decision Process (For complex decisions).

Actual purchasing is only one stage of the process. Not all decision processes lead to a

38

purchase. All consumer decisions do not always include all 6 stages, determined by
the degree of complexity.
The 6 stages are:
1. Problem Recognition(awareness of need)--difference between the desired
state and the actual condition. Deficit in assortment of products. Hunger-Food. Hunger stimulates your need to eat.
Can be stimulated by the marketer through product information--did not know
you were deficient? I.E., see a commercial for a new pair of shoes, stimulates
your recognition that you need a new pair of shoes.
2. Information search-

Internal search, memory.

External search if you need more information. Friends

and relatives (word of mouth). Marketer dominated sources;
comparison shopping; public sources etc.

A successful information search leaves a buyer with possible alternatives, the

evoked set. Hungry, want to go out and eat, evoked set is

Chinese food

Indian food

Burger king

Klondike Kates etc

3. Evaluation of Alternatives--need to establish criteria for evaluation, features

the buyer wants or does not want. Rank/weight alternatives or resume search.
May decide that you want to eat something spicy, indian gets highest rank etc.
If not satisfied with your choice then return to the search phase. Can you think
of another restaurant? Look in the yellow pages etc. Information from

39

different sources may be treated differently. Marketers try to influence by

"framing" alternatives.
4. Purchase decision--Choose buying alternative, includes product, package,
store, method of purchase etc.
5. Purchase--May differ from decision, time lapse between 4 & 5, product
availability.
6. Post-Purchase Evaluation--outcome: Satisfaction or Dissatisfaction.
Cognitive Dissonance, have you made the right decision. This can be reduced
by warranties, after sales communication etc.
After eating an indian meal, may think that really you wanted a chinese meal
instead.

Types Of Consumer Buying Behaviour:

Types of consumer buying behavior are determined by:

Level of Involvement in purchase decision. Importance and intensity of

interest in a product in a particular situation.

Buyers level of involvement determines why he/she is motivated to seek

information about a certain products and brands but virtually ignores
others.

High involvement purchases--Honda Motorbike, high priced goods, products visible

to others, and the higher the risk the higher the involvement. Types of risk:

Personal risk

Social risk

Economic risk

The four type of consumer buying behavior are:

40

Routine Response/Programmed Behavior--buying low involvement

frequently purchased low cost items; need very little search and decision
effort; purchased almost automatically. Examples include soft drinks,
snack foods, milk etc.
Limited Decision Making--buying product occasionally. When you

need to obtain information about unfamiliar brand in a familiar product

category, perhaps. Requires a moderate amount of time for information
gathering. Examples include Clothes--know product class but not the
brand.
Extensive Decision Making/Complex high involvement,

unfamiliar, expensive and/or infrequently bought products. High degree of

economic/performance/psychological risk. Examples include cars, homes,
computers, education. Spend a lot of time seeking information and
deciding.
Information from the companies MM; friends and relatives, store
personnel etc. Go through all six stages of the buying process.

Impulse buying, no conscious planning.

The purchase of the same product does not always elicit the same Buying Behavior.
Product can shift from one category to the next.
For example:
Going out for dinner for one person may be extensive decision making (for someone
that does not go out often at all), but limited decision making for someone else. The
reason for the dinner, whether it is an anniversary celebration, or a meal with a couple
of friends will also determine the extent of the decision making.

41

Categories That Effect The Consumer Buying Decision Process

A consumer, making a purchase decision will be affected by the following

three factors:
1.

Personal

2.

Psychological

3.

Social

The marketer must be aware of these factors in order to develop an appropriate MM

for its target market.
1. Personal
Unique to a particular person. Demographic Factors. Sex, Race, Age etc.
Who in the family is responsible for the decision making. Young people purchase
things for different reasons than older people.
2. Psychological factors
Psychological factors include:

Motives-A motive is an internal energizing force that orients a person's

activities toward satisfying a need or achieving a goal.
Actions are effected by a set of motives, not just one. If marketers can identify
motives then they can better develop a marketing mix.
MASLOW hierarchy of needs!!
o

Physiological

Safety

Love and Belonging

Esteem

Self Actualization

42

Need to determine what level of the hierarchy the consumers are at to

determine what motivates their purchases.

Perception-What do you see? Perception is the process of selecting, organizing

and interpreting information inputs to produce meaning. IE we chose what
info we pay attention to, organize it and interpret it.
Information inputs are the sensations received through sight, taste, hearing,
smell and touch.
Selective Exposure-select inputs to be exposed to our awareness. More likely
if it is linked to an event, satisfies current needs, intensity of input changes.
Selective Distortion-Changing/twisting current received information,
inconsistent with beliefs.
Advertisers that use comparative advertisements, have to be very careful that
consumers do not distort the facts and perceive that the advertisement was for
the competitor.
Selective Retention-Remember inputs that support beliefs, forgets those that
don't.

Ability and Knowledge-Need to understand individuals capacity to learn. Learning, changes in

a person's behavior caused by information and experience. Therefore to
change consumers' behavior about your product, need to give them new
information re: product...free sample etc.
Knowledge is the familiarity with the product and expertise.
Inexperience buyers often use prices as an indicator of quality more than those
who have knowledge of a product.

43

Learning is the process through which a relatively permanent change in

behavior results from the consequences of past behavior.

Attitudes-Knowledge and positive and negative feelings about an object or

activity-maybe tangible or intangible, living or non- living.....Drive
perceptions Individual learns attitudes through experience and interaction with
other people.
Consumer attitudes toward a firm and its products greatly influence the
success or failure of the firm's marketing strategy.
Attitudes and attitude change are influenced by consumers personality
and lifestyle.
Consumers screen information that conflicts with their attitudes.
Distort information to make it consistent and selectively retain information
that reinforces our attitudes. IE brand loyalty.
There is a difference between attitude and intention to buy (ability to
buy).

Personality-All the internal traits and behaviors that make a person unique,
uniqueness arrives from a person's heredity and personal experience.
Examples include:

Work holism

Compulsiveness

Self confidence

Friendliness

Adaptability

44

Ambitiousness

Dogmatism

Authoritarianism

Introversion

Extroversion

Aggressiveness

Competitiveness.

Traits effect the way people behave. Marketers try to match the store image to
the perceived image of their customers.
There is a weak association between personality and Buying Behavior; this
may be due to unreliable measures.

Lifestyles-Recent US trends in lifestyles are a shift towards personal

independence and individualism and a preference for a healthy, natural
lifestyle. Lifestyles are the consistent patterns people follow in their lives.

3. Social Factors
Consumer wants, learning, motives etc. are influenced by opinion leaders,
person's family, reference groups, social class and culture.

Opinion leaders-Spokespeople etc. Marketers try to attract opinion leaders...they actually use (p
y) spokespeople to market their products. Michael Jordon (Nike, McDonalds,
Gatorade etc.) Can be risky...Michael Jackson...OJ Simpson...Chevy Chase

Roles and Family Influences--

45

Role...things you should do based on the expectations of you from your

position within a group.
People have many roles. Husband, father, employer/ee. Individuals
role are continuing to change therefore marketers must continue to update
information.
Family is the most basic group a person belongs to. Marketers must
understand:

that many family decisions are made by the family unit

consumer behavior starts in the family unit

family roles and preferences are the model for children's future family
(can reject/alter/etc)

family buying decisions are a mixture of family interactions and

individual decision making

Family acts an interpreter of social and cultural values for the

individual.

The Family life cycle: families go through stages; each stage creates different
consumer demands:

Bachelor stage.

newly married, young, no children...me

full nest I, youngest child under 6

full nest II, youngest child 6 or over

full nest III, older married couples with dependant children

empty nest I, older married couples with no children living with them,
head in labor force

46

empty nest II, older married couples, no children living at home, head
retired

solitary survivor, in labor force

solitary survivor, retired

Modernized life cycle includes divorced and no children.

Reference Groups-Individual identifies with the group to the extent that he takes on many
of the values, attitudes or behaviors of the group members.
Families, friends, sororities, civic and professional organizations. Any group
that has a positive or negative influence on a persons attitude and behavior.
Membership groups (belong to)
Affinity marketing is focused on the desires of consumers that belong to
reference groups. Marketers get the groups to approve the product and
communicate that approval to its members. Credit Cards etc.
Aspiration groups (want to belong to)
Disassociate groups (do not want to belong to)

Social Class
An open group of individuals who have similar social rank. US is not a
classless society. US criteria; occupation, education, income, wealth, race,
ethnic groups and possessions.
Social class influences many aspects of our lives. IE upper middle class
Americans prefer luxury cars Mercedes.

Upper Americans-upper-upper class, .3%, inherited wealth, aristocratic

names.

47

Lower-upper class, 1.2%, newer social elite, from current professionals

and corporate elite

Upper-middle class, 12.5%, college graduates, managers and

professionals

Middle Americans-middle class, 32%, average pay white collar

workers and blue collar friends

Working class, 38%, average pay blue collar workers

Lower Americans-lower class, 9%, working, not on welfare

Lower-lower class, 7%, on welfare

Social class determines to some extent, the types, quality, quantity of products that a
person buys or uses. Lower class people tend to stay close to home when shopping, do
not engage in much pre-purchase information gathering. Stores project definite class
images. Family, reference groups and social classes are all social influences on
consumer behavior. All operate within a larger culture.

Culture and Sub-culture-Culture refers to the set of values, ideas, and attitudes that are accepted
by a homogenous group of people and transmitted to the next generation.
Culture also determines what is acceptable with product advertising. Culture
determines what people wear, eat, reside and travel. Cultural values in the US
are good health, education, individualism and freedom. In american culture
time scarcity is a growing problem. IE change in meals. Big impact on
international marketing.

48

5. RESEARCH METHODOLOGY
What is Research?
The following eight characteristics of research will serve us well in defining meaning
of research.
Eight characteristics of research:
1. Research originates with a question or a problem.
2. Research requires a clear articulation of a goal.
3. Research follows a specific plan of procedure.
4. Research usually divides the principal problem into more manageable subproblems.
5. Research is guided by the specific research problem, question, or hypothesis.
6. Research accepts certain critical assumptions. These assumptions are
underlying theories or ideas about how the world works.

49

7. Research requires the collection and interpretation of data in attempting to

resolve the problem that initiated the research.
8. Research is, by its nature, cyclical; or more exactly, spiral or helical.

This project is concern with Survey Research:

Survey research is one of the most important areas of measurement in applied

social research. The broad area of survey research encompasses any measurement
procedures that involve asking questions of respondents. A "survey" can be anything
form a short paper-and-pencil feedback form to an intensive one-on-one in-depth
interview.

Survey Method: Survey

research

method

is

technique

of

investigation

by

direct

observation/respondent or by systematic gathering of data from population.

Advantages of Survey Method:1) Inferences based on facts.

2) Personal Contracts with respondents.
3) Instrument of social development.
4) Greater objectivity.
5) More reliability of the data.

Questionnaire: Questionnaire is used to collect information from respondent. In this study

questionnaire content both close ended & open-ended questionnaire.

50

Sample size is100 respondents which are further calculated in percentage and
shown graphically in various charts.
Respondents as sample unit.

Non-Random Judgment Sampling

Non-probability sampling is that procedure which does not afford any basis

for estimating the probability that each item in the population has of being included in
the sample.

For this project Primary as well as Secondary data is use.

Primary Data:
Information collected for first time is called as Primary Data & is in the

original character. Primary data collected either through observation or through direct
communication with respondents in one form or another or through personal
interviews.
Primary data is collected through the survey method with help of
questionnaire.

Secondary Data:

Secondary data means data which already been collected and analyzed by someone
else. Secondary data collected from books, Internet & magazines.

51

Research Design:Research design is the guideline, which help the researcher to get the required

information from the respondents within the specific time limit,

6. DATA ANALYSIS
1) Table showing present type of Residential Ownership.
Type
Ownership
On Rental
Others
Total

No. of Respondents
36
49
15
100

% of Respondents
36%
49%
15%
100%

52

The above table shows that, maximum no. of respondents stays on rental basis
i.e.49%, 36% of the respondents have their ownership on residence and 15% of
respondents are in others category, which include residence on lease or staying at
relative.

2) Table showing areas preferred to purchase residential properties.

Area
No. of Respondents % of Respondents
Peth Area
11
11%
Kalyani Nagar
19
!9 %
Hadapsar
23
23%
Kondwa
26
26%
Katraj
07
07%
Baner
05
05%
Pashan
09
09%
Total
100
100%

The above table shows that maximum no. of respondents i..e.26% prefer Kondwa
area, whereas 23% of respondents preferred Hadapsar area, while 19% of respondents

53

prefer Kalyani Nagar area, whereas 09% of respondents preferred Pashan area while
07% of respondents preferred Katraj area and 05% of respondents preferred Baner
area for purchasing residential properties.

3) Table Showing Factors taken into consideration while purchasing Residential

properties.
Factors
No. of Respondents % of Respondents
Location
28
28%
Price
39
39%
Transportation Facility
16
16%
Accessibility to Market
07
07%
Others
10
10%
Total
100
100%

The above table shows that maximum no. of respondents i.e. 39% consider Price,
whereas 28% consider location while 16% consider transportation facility whereas
10% consider other factors like Vastushastra, Water availability etc. and 07% of
respondents consider accessibility to market as important factor for purchasing
residential properties.

54

4) Table showing Parameters considers while selecting residential properties.

Parameters
No. of Respondents
Brand Name
53
Quality
62
Space (Sq. ft.)
49
Facilities
73
Interior
30
Schemes
57

The above table shows that maximum no. of respondents i.e. 73 consider Facilities as
parameter while 62 respondents consider Quality, whereas 57 of respondents consider
Schemes whereas 53 respondents consider Brand name while 49 respondents consider
Space (Sq. ft.) and 30 respondents consider Interiors as the parameters while selecting
residential properties.

5) Table showing sources of Information for respondents while Property

Purchasing.

55

Sources
No. of Respondents % of Respondents
Hoardings
13
13%
Newspapers
17
17%
Agents/Consultants
33
33%
Relatives/Friends
28
28%
Others
09
09%
Total
100
100%

Above table shows that 33% of respondents get their information from Agents
/Consultants, where as 28% of respondents get information from Relatives/ Friends
while 17% of respondents get information from Newspapers whereas 13% of
respondents get information from Hoardings and 09% of respondents get their
information through Other Sources like Local News Channel,Radio,Internet etc. for
Purchasing Residential Properties.

6) Table showing awareness in respondents about various schemes offered by

KBC.
Awareness
Yes
No
Total

No. of Respondents % of Respondents

67
67%
33
33%
100
100%

56

The above table shows that maximum no. of respondents i.e. 67% were aware about
the various schemes offered by KBC whereas 33% of respondents were not aware
about various schemes offered by KBC.

7) Table showing duration of the year when normally respondents like to

purchases residential properties.
Month
No. of Respondents % of Respondents
Jan to Apr
35
35%
May to Aug
13
13%
Sept to Dec
52
52%
Total
100
100%

57

Above table shows that maximum no. of respondents i.e. 52% would prefer Sept to
Dec as the duration where as 35% respondents would prefer Jan to Apr while 13% of
respondents prefer May to Aug as the duration of the year where they would like to
purchase residential properties.

8) Table showing type of Residential property respondents would like Purchase.

Type
No. of Respondents % of Respondents
1 BHK Flat
18
18%
2 BHK Flat
48
48%
3 BHK Flat
24
24%
Bungalow/Row house
04
04%
Others
06
06%
Total
100
100 %

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Above table shows that maximum no. of respondents that is 48% would like to
purchase 2 BHK Flat, whereas 24% respondents prefer 3 BHK Flat, while 18%
respondents prefer 1BHK Flat whereas 4% of respondents prefer Bungalow/Row
house and 06% respondents prefer others which include Duplex, Terrace Flat,
Attached Flat etc. for purchases of residential property.

9) Table showing mode of purchases of residential property preferred by

respondents.
Mode
No. of Respondents % of Respondents
Home Loans
57
57%
Lum-sum
06
06%
Installments
33
33%
Others
04
04%
Total
100
100%

59

Above table shows that maximum no. of respondents i.e.57% would prefer Home
Loans whereas 33% of respondents would prefer Installments while 06% of
respondents would prefer Lum-sum and 04% of respondents prefer Others.

7. FINDINGS
1) During the time of survey, it was found that 49% respondents are having the
resident on rental, 36% respondents are having own property & 15% respondents
are having other sources such as lease, relatives & friends etc.

2) It was found that 26% of respondents were preferred to purchase residential

property in Kondwa area, 23% of respondents in Hadapsar & 19%, 11%, 9%, 7%

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people in Kalyani Nagar, Peth area, Pashan Nagar, Katraj area respectively, only
5% respondents were preferred in Baner area.

3) It was found that the price & location is major factor which consider by the
customer at the time of purchasing the residential property. Here 39%
respondents are considering the price, 28% respondents are consider location &
16% & 7% respondents are considering transportation & market facility.

4) It was found that the quality & facilities are most considerable parameters at
the time of selecting residential property. Brand Name & schemes are also
consider the consumer at the time of purchasing the residential property.

5) It was found that the source of information for consumers the real estate
consultant play very vital role. 33% respondents go through the consultants, 28%
respondents prefer relatives & friends, 17% go through newspapers & 22%
respondents prefer through hoarding & others sources.

6) It was found 67% respondents were aware of various schemes offered by KBC &
33% respondents were not aware. Here the most of the respondents opinions
about schemes of KBCs are good.

7) In the duration of September to December the most of the respondents were like
to purchase the residential property because most of the festival are in this
duration. Here 52% respondents preferred in September to December, 35%

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respondents preferred in January to April & 13% respondents preferred in May &
August.

8) It was found that demand of the 2 & 3 BHK flats were more as comparing to
other types. 48% respondents prefer 2 BHK flat, 24% respondents prefer 3 BHK
& 18% & 4% respondents choose the 1 BHK & Bungalow respectively. Here
6% respondents go through the other type such as Duplex flat, Gallery or Terries
& 1 HK flat.

9) In the mode of payments 57% respondents go through home loans of various

banks & private financial institutes, 33% respondents go through installments,
6% respondents through lum sum amount & 4% respondents choose other mode
of payments.

10) It was found that the close competition of KBC were Vascon, Bramha Builders &
Nyati Builders which were mostly known by the respondents.

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8. CONCLUSION

It can be seen that Kumar Builders is most popular brand.

Quality is considering lot while purchasing residential property.

The Kumar Builders stands first among three top companies in Pune city.

The Buyers consider Quality and price while purchasing the residential
property.

The customer may change the Brand if the Particular brand is not available
and also because of close substitute.

Price hike is also one of the reasons for change in brand.

Adverting and other sales promotion tools have a great effect on sales of the
residential property.

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9. RECOMMENDATIONS
1.

KBC should try to tap other market potentials, such as Nasik,

Kholapur, Surat Ahmedabad and 2nd tire cities.

2.

KBC should try to decrease Five star amenities with a view to cut
down the property prices and there by attracting the middle class.

3.

KBC should actively participate and organize property exhibition,

trade shows, hoardings, etc. to create awareness in the market.

4.

KBC should organize annual customer meet to appreciate those

customer who have been with them and awarded them.

5.

KBC should take mass media such as television more precisely cable
media to target local customers.

6.

KBC should also concentrate more on interior decoration to compete

with other competitors.

7.

KBC should reduce the maintenance charges.

8.

KBC should also concentrate on CRM activities, such as loyalty to

create strong good will and gain new customer.

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ANNEXURE
Questionnaire
A STUDY ON CONSUMER BUYING BEHAVIOUR TOWARDS
RESIDENTINAL PROPERTIES IN PUNE CITY
WITH SPECIAL REFERENCE TO KUMAR BUILDERSS
Personal Details
NAME:OCCUPATION :GENDER:FAMILY SIZE :CONTACT :
E-MAIL:NO. OF EARNING MEMBERS:ANNUAL INCOME:
1. Do you have any plan to purchase residential property in Pune?
Yes

No

2. What is your present type of property?

Ownership

On rental

Others

3. In which area would you prefer to purchase residential properties? Why?

Peth area

Hadapsar

Kalyani nagar

Pashan

Baner

Katraj

Kondwa

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4. Which factor do you take in to consideration while purchasing residential

properties? (Choose any one)
Location

Price

Transportation facility

Accessibility to market

Others ___________________________________________

5. Which parameters do you take in to consideration while selecting a residential

property? (Allow to multiple choice)
Brand Name

Quality

Space (sq. ft)

Facilities

Interiors

Schemes

6. Which other construction company / industry are you aware of other than KBC?
(Open ended)
____________________________________________
____________________________________________
7. Plz. Indicate the source of information that you consider for property purchasing?
(choose any one)
Hoarding

Newspapers

Agent

Relatives

Others

8. Are you aware of various schemes offered by KBC?

Yes

No

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If yes what is your opinion,

Very Good

Good

Average

9. During which duration of the year normally would you like to purchase residential
properties?
Jan. to Apr.

10. What type of

May to Aug.

Sep. to Dec.

residential property you would like to purchases?

1BHK Flat

2BHK Flat

3BHK Flat

Bungalows/Row House

Others

11. What will be your mode of purchase of residential property?

Home Loans

Lum sum

Installments

Others
__________
Signature

67

BIBLIOGRAPHY

Books referred
Title

: - Marketing Management

Name of the Author

: - Philip Kotler

Title

: - Marketing Research

Name of the Author

: - Thomas C Kinnear

Title

: - Consumer Buying Behavior

Name of the Author

: - J. Paul Peter

Title

: - Research Methodology

Name of the Author

: - Dr. S. Shajahan

Other sources:1)

News Paper

2)

Magazines

3)

Internet websites

Webliography Referred :
a) www.google.com
b) www.marketingprofessors.com
c) www.indiatimes.com
d) www.kumarbuilders.com

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