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Factors Affecting Impulse Buying Behavior of Consumers at Reliance fresh in Jabalpur city
S.K.Jain, RGPV ,Bhopal
ABSTRACT
Impulse purchase or impulse buying describes any purchase which a customer makes without making and planning in advance. This paper is an attempt to find out the factors that affect consumer impulse buying behavior at Reliance fresh in Jabalpur city. The impact of various variables like discount offer, various scheme, festival season etc on consumer impulse buying behavior was analyzed. The study is based on the primary data collected from Reliance fresh with the help of structured questionnaire.
Data analysis has been done using SPSS software. The statistical analysis method employed in this study is Factor Analysis. After the analysis, it is found that since income of individual is increasing and more and more people are moving towards western culture, the purchasing power of the people has really gone up.
Keywords: Impulse Buying Behavior, Points of Purchase Promotional Activities
Introduction
Impulsive purchasing, generally d efined as a consumer’s unpla nned purchase which is an important part of buyer behavior means those product or items display generally come in impulse categorized like cell, chocolate many more product come under this category. The term buying behavior refers to the attitude of a customer or consumer behavior towards purchase of a particular product, this buying behavior is impact by a number of factors. Point of Purchase (PoP) is the place where a customer is about to buy the product. This is the crucial point where the exchange takes place. It offers us a last chance to remind or attract customers. POP acts as a surrogate salesperson. It has been found that a high level of brand awareness does not always translate into sales. Impulse buying is simply defined as the emergent and immediate purchase decision inside a store with no prior intention to buy the specific product or products. Store environment like product arrangement, lighting, background music also affect consumer impulse buying behavior affect too much with youngster and experienced buyer in regular in foot falling bases .
Points of customer Delight
1 All the store employees need to smile at all times during their duty, nobody wants to see sad/distorted faces.
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2 Any employees who comes in contact with any customer within 6 feet distance, need to greed him/her
3 We will not have “NO” in our dictionary, in case some products/ services are not available, we should offer similar alternatives.
4 Store Mangers/DM/ADM’s need to regularly interact with customers- this makes customer feel welcomed/ wanted & important also helps in understanding customer behavior , whether he has come for the first time or it his repeat purchase, why he has bought or why he has not bought where he has come from, how was his experience, etc.
5 All stores should also offer to home deliver the repair pairs- this will reduce customers dissatisfaction and he/she will really appreciate this gesture.
6 All stores should also offer to home deliver heavy luggage’s bought from our stores in case the customer has visited us in 2 or 3 wheelers.
7 We should offer to repair each and every pair for which we receive customer complaint irrespective of when he/she bought it (could be more than a year also),in some cases we should also repair products which were not even bought from us henceforth we will have only two options when a person comes with any compliant-replacement and repair-refusal will not be an option anymore.
8 We should also call all customers for whom we have repaired products and check out that they have not faced any problems post repairing.
9 All stores where footfall are quite less and for all other stores during lean day/period the salesmen who attended the customer should go to the cash counter, complete the billing, take the carry bags along with the bill take it to the security and get it checked and then hand it over to the customer/take it to the car of the customer –no customer likes interrogation by our unpolite security Guard.
10 All stores where footfalls are quite less and for all other stores during lean day/ period,we should try than one salesman attend to the customer and another salesman help in getting the merchandise from BOH this will help in holding on to the customer and we selling/ showing him options which are available with us in his size which in turn helps us to liquidate our broken size.
11 All store should keep cash counter and offer the same to all kids( with a maximum monthly budget of 300).
12 For all male customer who visit us wearing shoes, we should offer polishing their shoes free of charge at the store itself using Neutral colored liquid polish.
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13 We should play music in just right volume not very slow and surely not very loud. Will revert with standardized music to be played at all our stores.
14 Proper training to be imparted to all our SG/HK staff on how to carry themselves and interact with customer. SG’s to open doors for all the customers, wish all the customer inform them that we have ladies/kids or otherwise on the upper floor, thanks on exit
15 All stores need to ensure that involvement of Brand staffs is 100% in all store activities, their behavior/ attitude/ grooming is conducive to the store ambience. Once the wear our uniform, they become our staff for all practical purposes for our customer
16 Separate area for segment wise broken sizes in BOH to be strictly implemented.
Factors influence Consumer behavior traits
Materialism Impulsive Buying
Behavior
Conspicuous consumption
Demographic Social Culture Reference
Globalization Store Environment Culture Family structure Social Status Fashion Social Status Autistic Stimuli Globalization
Company side view
APKA FRESH APKE PADAOS ME
The company is planning on opening new stores with store-size varying from 1,500 sq ft to 3,000 sq ft, which will stock fresh fruits and vegetables, staples, FMCG products and dairy products. Each store is said to be within a radius of 1-2 km of each other, in relation to the concept of a neighbor store. However, this is only the entry roll-out that the company has planned.
Bangalore is said to have 40 stores in all by the end of the year.The company already has 1691 Reliance Fresh outlets across the country. These stores sell fresh fruits and vegetables, staples, groceries, fresh juice, bars and dairy products. A typical Reliance Fresh store is approximately 3000–
4000 square feet and caters to a catchment area of 2–3 km. In the present research paper, the study has been focused on Reliance Fresh to know the impulse buying behavior of the consumers. The brief profiles of customer those who are not planned to purchase in Reliance Fresh in Jabalpur city.
Research methodology
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The research methodology wasdivided into twostages which invol ve two sources for collecting the data in order to achieve the objective.
Collecting data regarding the potential customers from the existing outlets o f Relaince Fresh.
Collecting the primary data directly with the customer with the help of the questionnaire
Research design in this project multi stage sampling is used because the total population was too large and due to time constraint it was not practically possible to make a list of entire population .At first stage I have divided sample area wise and then further divided it into income status so that I can get correct and related information.
Sample design
• Sampling Unit: Reliance Fresh Customers
• Sampling Size: 100 potential customers
• Sampling technique: multistage sampling
• Sampling area: Jabalpur City
• Contact Method: Personal Contacts.
5 Literature review
In a research conducted by Cobb and Hoyer (1986), impulse buying was defined as an unplanned purchase and this definition can also be found in the research of Kollat and Willett (1967). In another research by Rook (1987) reported that impulse buying usually takes place, when a consumer feels a forceful motivation that turns into a desire to purchase a commodity instantly. Beatty and Ferrell (1998) described that Impulse buying refers to immediate purchases which are without any planned shopping objective to fulfill a specific or desired level needs.
It means that they have some desired level than they would go for shopping than in to the store they attract by product or store kipper behavior than them make impulse buying at that time. Impulse buying behavior has been an area of reasonable research in the decades of eighties and early nineties (Rook, 1987;
Fisher, 1995; Dittmar, 1995) although the concept dates back to the fifties.
Described as extremely hedonic buying and control-loss buying behavior, the construct of impulse buying refers to 'a purchase that a buyer did not plan before he or she purchased (Rook 1987).
Availability of product, requirement of product in festival season which shows that discount offers during festival seasons attract customers for their impulse buying behavior.While Factor includes -Discount offers regarding product, focusing on effective price and discount strategies which is in brought by the retail players in order to attract there potential customers. At last Factor includes Changing trends in society, special occasions which signifies that how much today also people give preferences to the traditions and rituals during festival season that it has created a emotional bond which results in Impulse buying behavior. Impulse buying behavior of the consumer which is explained by the above findings. Impulse buying behavior model Although the study was conducted on a small population to find Impulse Buying Behavior of the consumer Reliance Fresh, the finding of the studies can be generalized Emotional bonding and Usage of product In festivals Emotional appeal of advertisements Effective Pricing and discount strategy Various festival Seasonal discounts Income of the Customer Product placement in the store Brand image of Product
Bonding and usage of the product in festivals affects impulse buying behavior of the consumer very strictly. The Indian marketers’ has to go a long way to understand the impulse buying behavior as it is a very subjective and its depends on multiple factors, but marketers can take advantage for this behavior and in almost every product category impulse buying witness. An increasing number of services are presently bought on impulse buying behavior.
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Accordingly we propose a research framework to help test empirical linkages, if any, between the listening quality of the PSPs and impulse buying of services. The framework focuses on three listening quality parameters - Attentiveness, Perceptiveness and Responsiveness as the projected triggers for an impulse purchase of service products. The attempts are designed to spur serious research in impulsive buying of services as well as the listening quality of the point of service personnel.
1 Store environment 2 Visual merchandising 3 Age
4 Income level 5 Occuation level 6 Race
7 Impulse Buying Behavior
II. Indian Reliance Fresh Customer Scenario
7 III. Reliance fresh Customer
IV. Review of Literature
V. RESEARCH METHODOLOGY A. Objective of the study
1 To find out what are the factors that affect impulse buying in consumers at Reliance fresh.
B. Sample Size
In all, 100 samples were collected from the respondents in and around Jabalpur city, through non-probability convenience sampling.
C. Data Collection
An empirical investigation is conducted through the development of structured questionnaire that was filled up by 100 respondents. Questionnaire incorporates questions related to general people impulse purchase behavior and the factors general people think are responsible for impulse purchase.
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Understanding The Buying Behaviour Of Reliance Fresh Consumers Finding
1-Mazority of customers here is female.
2- Majority of customers are young.
3-Majority customers like to purchase all goods from Reliance fresh.
4- Customers like one stops shopping.
5-Local market till today is the first choice of customer.
6-Advertisement is the biggest way to attracting the customer.
7-Promotion scheme not so easy to under stand for customer.
8-Most of customer is not fully satisfied with store.
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9-Tele phone is the best way for attracting the customer.
10 Shortages of skilled workers.
Major Recommendations:
As stated in the findings Seventy four percent preferred to follow the layout of the store to find the product. But only Fifty five percent of the customers changed their buying decisions with the influence of visual merchandising in the store. So it is important to improve the visual merchandising inside the store to get hike in sales.
By effective presentation of the sign boards/drop downs and with promo activities slike melas & celebrations, only 60percent people came to know about different offers in the store. Offer is the sustaining factor for hypermarket like Big Bazaar.
So it is crucial to get the attention of the customers to enhance sales.
Visual Merchandising is an important component in atmospheric management. It includes both store exterior and store interior. Store exterior includes window display retail premises and facade whereas store interior includes store layout, fixtures and fittings, wall display and store highlights. Also there are components governing both store exterior and interior, which
include color coordination, lighting design, mannequin selection and the application of design principles.
Conclusions
Impulse buying is a sudden and immediate purchase with no pre-shopping intentions either to buy the specific product or to fulfill a specific buying task ? In attempt to examine this relationship, this study tried to explain that window display of chocolates, festive season to purchase chocolates and point of purchase display for chocolates have significant impact on impulse buying behavior.
Recommendations for Future Research
If the Reliance Fresh focus on the festive seasons and routine wise make attractive Point of Purchase display and have convenient window displays the sales of the items those come under impulse buying behavior other than foods and vegetables items can be increased. As impulse buying behavior is strongly related to unplanned purchase thus impact of print, electronic and outdoor advertising on impulse buying behavior should also be addressed if in future and further research is done in this area.
10 Reference
1 Cobb, C.J. & Hoyer, W.D. (1986). Planned versus impulse purchase behaviour.
Journal of Retailing, 62, 384-409.
2 Kollat, D.T. & Willett, R.P. (1967). Consumer impulse purchasing behaviour.
Journal of Marketing Research, 4 (February), 21-31.
3 Rook, D. and Fisher, R.J. (1995), „„Trait and normative aspects of impulsive buying behaviour‟‟, Journal of Consumer Research, Vol. 22 No. 3, pp. 305-13.
4 Beatty, S. E., & Ferrell, M. E. (1998). Impulse Buying: Modelling Its Precursors.
Journal of Retailing, 74(2), 169-191.
5 Rook, D. W. (1987). The Buying Impulse. Journal of Consumer Research, 14(2), 189-197.
6 Dittmar, H., Beattie, J., & Friese, S. (1995). Gender identity and material symbols: Objects and decision considerations in impulse purchases. Journal of Economic Psychology, 16(3), 491-511.
