IMPACT OF HEAVY DISCOUNTS ON CONSUMER BUYING BEHAVIOUR WITH REFERENCE TO KOUTONS

PREPARED BY:PANKAJ PREET SINGH HARKAMALDEEP SINGH TALWINDER SINGH HARJIT SINGH RAJ SINGH

IMPACT OF HEAVY DISCOUNTS ON CONSUMER BUYING BEHAVIOUR WITH REFERENCE TO KOUTONS

Koutons Retail India Ltd.

The Company was incorporated on November 25, 1994 under the Companies
Act, 1956 as Charlie Creations Private Limited. The name of the Company was changed to Koutons Retail India Private Limited with effect from February 7, 2006. The Company was converted into a public limited company and its name

was changed to Koutons Retail India Limited with effect from June 27, 2006.
Agreement to acquire the partnership firm M/s Charlie Creations

Objectives of the Research

To understand the general buying behavior of Koutons retail consumers To understand the perception of consumers about the heavy discounts

offered by Koutons Store

To check the impact of heavy discounts on final decision making of Koutons consumers. To study the brand preference of customer due to heavy discount promotion.

Research design is an arrangement of condition for aims to combine relevance to the research purpose with economy in procedure. It is a strategy for a study and the plan by which the research is to be carried out. Research design for this project is EXPLORATORY in nature.

a) DATA COLLECTION TECHNIQUES

Data collection has been carried out with the help of

questionnaire. b) DATA SOURCE

Both primary and secondary sources are used for collecting

the data. SAMPLE SIZE The sample size for the study is 50 respondents

NAME__________________ AGE ____________________ Q1. Which apparel brand you like? A. Kotouns C. Cottleaf Q2. How frequently do you go for shopping? A. Twice in a week C. Once in fifteen days Q3. How do you usually buy the product? A. according to need

OCCUPATION __________________ CONTACT NUMBER________________

B. Cotton County D. If Others Specify__________

B. Once in a week. D. If Others Specify

B. on friends advice

C. Decide on shopping floor

D. If others, specify _________

Q4. Does a promotion in the store help you in taking buying decision?

Very helpful

helpful

Neutral

some what helpful

not at all helpful

Q5. What is your agreement level about heavy discount in the store that it effects your buying decision?

Strongly agree agree

Neutral

disagree

strongly disagree

Q6. Please rank according to your opinion, which will influence your buying decision when you are stand inside KOUTONS store? (Rank must be from 1 to 4) Brand name Most visible product Lowest Price/discounts Salespersons advice

Q7. Which type of promotion at the retail store catches your attention? A. That gives attractive visuals of the product B. One which uses benefit giving slogans. C. One which gives lot of information about (Product, Price, Company etc) D. If others, specify ________________

Q8. Do you make immediate purchases by looking on attractive promotions inside the retail store?

Always

Frequently

Neutral

Sometimes

Not at all

Q9.Whenever you see discounts promotions in Koutons store,what is your response towards purchasing? A. B. C. D. Buy additional product Buy only expected product Only get the information about discount No purchase at a time

Q10.In future if u want to buy any apparels,will you buy Koutons apparels? A.Yes,ofcourse B. May be C.No, not at all D. cant say

Date:-______________

Signature:______________

Q.1 The customer preferences and liking about branded apparel:-

Company name Kotouns Cotton county Cottleaf Any other

No. of respondents 50 0 0 0

50 40 30
20
kotuons cotton county
cottleaf any other

10 0 no. of respondants

Analysis From the above table of the data containing the data of 50 respondents surveyed. All 50 like kotouns as survey is done in the Koutons outlets. Interpretation It depicts the general buying behaviour of the respondent i.e. all respondents prefer Koutons apparels. As we overlook on other brand apparels.

Q2. Within a month, how many days the respondent go for shopping:Options Twice in a week Once in a week Once in fifteen days If Others Specify No. of respondents 4 13 27 6

Analysis
54% of respondents say they buy their apparels once in fifteen days followed by 26% people who buy once in a week than come 12%people who take more time to buy from the options

above mention and only 8% of respondents buy apparels twice in a week.

Interpretation
It depicts the general buying behavior of respondents.

Q3. Customers perception for buying the require apparels:

Options According to need On friends advice decide on shopping floor if any other No. of respondents 30 7 11 2

Analysis 60% of respondents buy the product only according to the need followed by 22% who decides on shopping floor than comes 14%respondents who buy apparels on their friends advice only 4% of respondents give other reasons like. Interpretation This graph clearly shows the force which derives them to store it will be handy information for drafting promotion strategies inside the store.

Q4. Effect of promotion in the store on customers buying decision:

Options No. of respondents

Very helpful (+2) helpful(+1) Neutral(0) Somewhat helpful(-1) Not at all helpful (-2)

9 19 9 9 4

Analysis Representation of satisfaction level regarding heavy discounts promotion in stores

OPTIONS Very helpful (+2) Helpful (+1) Neutral (0) Somewhat helpful (-1) Not at all helpful (-2) No of respondent 9 19 9 9 4 Satisfaction level 9*2=18 19* 1=19 9*0=0 9*(-1)= -9 4*(-2)= -8

=18+19+0-9-8/50=0.40

Q5. Agreement level of customer about heavy discount promotions in the store:
Options No. of respondents Strongly agree (+2) 12 Agree (+1) 15 Neutral(0) 15 Disagree(-1) 4 Strongly disagree (-2) 4

Analysis Representation of satisfaction level regarding heavy discounts promotion in stores

OPTIONS Strongly agree (+2) Agree (+1) Neutral (0) Disagree (-1) Strongly disagree (-2) No of respondent 12 15 15 4 4 Agreement level 12*2= 24 15*1= 15 15*0= 0 4*(-1)= -4 4*(-2)= -8 =24+15+0-4-8/50= 0.54

Q6. Rank the Factors that influence customer buying decision inside KOUTONS store? (Rank must be from 1 to 4):
Factors
Brand name

Rank 1(4) 25 25*4=100

Rank2(3) 5 5*3= 15 15 15*3=45 19 19*3=57 11 11*3=33

Rank 3(2) 6 6*2=12 14 14*2=28 11 11*2=22 19 19*3=57

Rank 4(1) 14 14*1=14 8 8*1=8 10 10*2=20 18 18*1=18

Weighted mean 100+15+12+14/50= 2.82 52+45+28+8+/50= 2.66 40+57+22+20/50= 2.78 8+33+57+18/50= 2.32

Most visible product

13 13*4=52

Lowest Price/ discounts Salespersons advice.

10 10*4=40 2 2*4=8

Analysis The above table and graph clearly shows that weighted mean is high for the brand name closely followed by lowest price and discounts and most visible product in the store. Sales persons advice is least important according to respondents.

Q7. Catching the attention of customers by various types of promotions inside the store:
Promotion One which gives attractive visuals of the product One which uses benefit giving slogans One which gives lot of information about (Product, Price, Company etc) If others, specify No. of respondents 14 10 23 3

Analysis From the above table of the data containing the data of 50 respondents 28% people refer to promotions that have attractive visuals as most attention catching. While 20% refer to promotion with benefit giving slogans as most attractive. But 46%f respondents find promotions with information about product, company, price as more attractive promotion While 6% specified other type promotions as more attractive

Q8. Customers response on Quickly purchase of apparels by looking on attractive promotions inside the store:
Options No. of respondents

Always (+2) frequently (+1) Neutral(0) Sometimes (-1) Not at all (-2)

6 18 9 15 2

Analysis Representation of immediate purchases based on Heavy Discount

OPTIONS Always (+2) Frequently (+1) Neutral (0) Sometimes (-1) Not at all (-2) No of respondent 6 18 9 15 2 Response 6*2= 12 18*1= 18 9*0= 0 15*(-1)= -15 2*(-2)= -4 =12+18+0-15-4/50= 0.22

Q9. Customers response toward purchasing by looking at discount promotions in the store:
Occupation Buy additional product Buy only expected product Only get the information about discount No purchase at a time No. of respondents 25 10 9 6

Analysis

From the above table of the data containing the data of 50 respondents surveyed most of the samples 50% buy additional product i.e. more than expected purchase, 20% buy only expected product,18% get only information of the discount and 12% do not buy product at a time.

Q10. Repurchase of Koutons apparels by customers in near future:

Options Yes,ofcourse May be No,not at all Cant say No. of respondents 22 15 9 4

Analysis From the above table of the data containing the data of 50 respondents surveyed it is clear that consumers will re purchase the Koutons apparels i.e.44%, 30% customers may be sure that they will buy the product while 18% are not going to buy Koutons apparels again may be due to certain factors. 8% cant say whether theyll buy KOUTONS apparels or not.

Some of the major findings of this research are: 54% People visit Koutons store atleast once in fifteen days and buy the apparels. 38% People only retain heavy discount promotions as they lend them a helping hand while taking a purchase decision inside the store. 46% of the respondent want lot of information about prices , products before purchasing. Majority of respondents visit these outlets only when there is any need of product i.e.60%. 50% People will buy additional product only when there is any heavy discount promotion in the store. 36% people frequently buy or immediate purchase of the apparels by looking on attractive promotions inside the store.

The following are the suggestions to Koutons outlets for making Heavy Discount promotions more effective: Use slogans which pat the consumer decision for selecting Koutons as their

apparel brand as now a days peoples are more inclined towards good brand image
as it develops sense of security among present consumers and also help a company to retain them. Use Heavy Discount promotions in a way that it creates a need to buy a particular product like pictures showing high quality, celebrity endorsement. So, that it derive people towards purchasing. Heavy Discount in Koutons store is in such a way that it attract youth as majority of the respondents belongs to student class like multi colored and trendy displays rather than bright and dull shades. A proper danglers and display fixtures should their so that each and every piece of cloth is visible as our research clearly shows that respondents are attracted by most visible product in the store.

Heavy Discount Advertisement have more impact on attracting the consumers. Brand name is the influencing factor of buying decision. Lot of information about prices, product, company helps in catching the attention of customers. There is frequently purchase of Koutons apparels when customers look at heavy discount promotions inside the store. There is additional purchase of Koutons apparels rather than expected product after looking at promotions inside the Koutons outlet. Customer may buy same Koutons brand apparel, if they want to buy in near future.i.e.44%