A STUDY ON CONSUMER BEHAVIOUR IN SELECTING

MOBILE PHONES ( special ref with Chennai city in south region )

(A Report Submitted in Partial Fulfillment of the Requirements for the Degree of Master of Business
Administration in Pondicherry University)

Submitted by
Ashwin Raghav R
Enrolment No:
0222380100
MBA International
Business

Under the Guidance of

PROF. PRAVIN

GUEST FACULTY
PU-LCS TWINNING PROGRAMME CENTRE

DIRECTORATE OF DISTANCE EDUCATION

PONDICHERRY UNIVERSITY
Pondicherry – 605 014
SEPTEMBER 2024
 CERTIFICATE OF THE GUIDE

This is to certify that the Project Work titled A Study On Financial A STUDY ON CONSUMER BEHAVIOUR
IN SELECTING MOBILE PHONES is a bonafide work of Mr. Ashwin Raghav.R (Enroll No: 0222380100)
carried out in partial fulfillment for the award of degree of MBA in Finance of Pondicherry University under my
guidance. This project work is original and not submitted earlier for the award of any degree / diploma or
associate ship of any other University / Institution.

Signature of the Guide

PROF. PRAVIN
DEPARTMENT OF
COMMERCE
Loyola College, Chennai 600 034

Place:
Date:
 DECLARATION OF THE CANDIDATE

I, Ashwin Raghav.R hereby declare that the Project Work titled A STUDY ON CONSUMER BEHAVIOUR IN
SELECTING MOBILE PHONES is the original work done by me and submitted to the Pondicherry University
in partial fulfillment of requirements for the award of Master of Business Administration in International
Business. This is a record of original work done by me under the supervision of PROF. PRAVIN, Department of
Commerce, Loyola College, PULCS Faculty Pondicherry University, Pondicherry.

Enroll No: 0222380100

Date:

Signature of the Student

 ACKNOWLEDGEMENT

I have taken efforts in this project. However, it would not have been possible without the kind support and help of
many individuals and organizations. I would like to extend my sincere thanks to all of them. I am highly indebted
to Prof. PRAVIN, Department of Commerce, Loyola College, PULCS Faculty Pondicherry University,
Pondicherry.
for his guidance and constant supervision as well as for providing necessary information regarding the project &
also for their support in completing the project.
I would like to express my gratitude towards my parents & members of Loyola College for their kind co-
operation and encouragement which help me in completion of this project.
I would like to express my special gratitude and thanks to industry persons for giving me such attention and time.
My thanks and appreciations also go to my colleague in developing the project and people who have willingly
helped me out with their abilities.

Ashwin Raghav.R
 LIST OF CONTENT
CHAPTER NO PARTICULARS PAGE NO

1 INTRODUCTION 1–9

2 REVIEW OF LITERATURE 10 – 13

3 RESEARCH METHODOLOGY 14 – 16

4 ANALYSIS 17 – 50

5 FINDING,SUGGESTION&CONCLUSION 51 – 55

ANNEXURE 1 I

ANNEXURE 2 ii – iv
 LIST OF TABLE

TABLE PARTICULARS PAGE

NO NO
4.1 SHOWING THE GENDER OF RESPONDENTS 17
4.2 SHOWING THE AGE OF EMPLOYEES 18
4.3 SHOWING THE EDUCATIONAL QUALIFICATION 19
4.4 SHOWING THE MARRITIAL STATUS 21
4.5 SHOWING THE OCCUPATION OF CUSTOMER 22
4.6 SHOWING THE INCOME LEVEL OF CUSTOMER 23
4.7 SHOWING THE WHICH MOBILE PHONE YOU ARE USING 24
4.8 SHOWING THE HOW LONG ARE YOU USING MOBILE PHONE 26
4.9 SHOWING THE WHAT IS YOUR FAVOURITE BRAND IN MOBILE 28
4.10 SHOWING THE WHY YOU LIKE THE BRAND YOU CHOSE ABOVE 30
4.11 SHOWING THE WHAT AMOUNT WOULD YOU BE WILLING TO PAY 32
FOR MOBILE PHONE
4.12 SHOWING THE WHERE DO YOU OFTEN SEE THE MOBILE 34
ADVERTISMENTS
4.13 SHOWING THE BRAND LOYALTY AMONG THE RESPONDENTS 36
4.14 SHOWING THE INTENTION TO REPURCHASE THE SAME BRAND 37
4.15 SHOWING THE PREFERENCE TOWARDS THE SIZE OF THE 38
HANDSET
4.16 SHOWING THE FREQUENCY OF CHANGE MOBILE PHONE 40
4.17 SHOWING THE PLACE OF PURCHASING MOBILE PHONES 42
4.18 SHOWING THE PREFERENCE TOWARDES VARIOUS ASPECTS OF 44
THE ‘LOOK AND FEEL OF MOBILE PHONE
4.19 SHOWING THE WOULD YOU LIKE TO SWITCHTO ANOTHER 46
BRAND WITH ADDITIONAL FEATURES
4.20 SHOWING THE CONSIDER THE TV ADVERTISMENT YOULIKE 47
WHAT BRAND
4.21 SHOWING THE WHICH OF THE FOLLOWING WOULD IMPRESS YOU 49
THE MOST
 LIST OF CHART
CHART PARTICULARS PAGE
NO NO
4.1 SHOWING THE GENDER OF RESPONDENTS 17
4.2 SHOWING THE AGE OF EMPLOYEES 18
4.3 SHOWING THE EDUCATIONAL QUALIFICATION 20
4.4 SHOWING THE MARRITIAL STATUS 21
4.5 SHOWING THE OCCUPATION OF CUSTOMER 22
4.6 SHOWING THE INCOME LEVEL OF CUSTOMER 23
4.7 SHOWING THE WHICH MOBILE PHONE YOU ARE USING 25
4.8 SHOWING THE HOW LONG ARE YOU USING MOBILE PHONE 27
4.9 SHOWING THE WHAT IS YOUR FAVOURITE BRAND IN MOBILE 29
4.10 SHOWING THE WHY YOU LIKE THE BRAND YOU CHOSE ABOVE 31
4.11 SHOWING THE WHAT AMOUNT WOULD YOU BE WILLING TO PAY 33
FOR MOBILE PHONE
4.12 SHOWING THE WHERE DO YOU OFTEN SEE THE MOBILE 35
ADVERTISMENTS
4.13 SHOWING THE BRAND LOYALTY AMONG THE RESPONDENTS 36
4.14 SHOWING THE INTENTION TO REPURCHASE THE SAME BRAND 37
4.15 SHOWING THE PREFERENCE TOWARDS THE SIZE OF THE 39
HANDSET
4.16 SHOWING THE FREQUENCY OF CHANGE MOBILE PHONE 41
4.17 SHOWING THE PLACE OF PURCHASING MOBILE PHONES 43
4.18 SHOWING THE PREFERENCE TOWARDES VARIOUS ASPECTS OF 45
THE ‘LOOK AND FEEL OF MOBILE PHONE
4.19 SHOWING THE WOULD YOU LIKE TO SWITCHTO ANOTHER 46
BRAND WITH ADDITIONAL FEATURES
4.20 SHOWING THE CONSIDER THE TV ADVERTISMENT YOULIKE 48
WHAT BRAND
4.21 SHOWING THE WHICH OF THE FOLLOWING WOULD IMPRESS YOU THE 50
MOST
 CHAPTER 1
INTRODUCTION
1.1 Introduction
Among the progress and growth of developed and developing economies in the world, India has
become one of the fastest growing economies throughout the world. Indian economy has placed
in the fourth position by the year 2050 according to Goldman Sachs BRICS. One of the dazzling
facts that grow India’s economic cycle has been the dynamism of the service sector. The telecom
sector and its services have been recognized as an important tool for socio economic development
for a nation. Globalization, Liberalization and Privatization are the three Indian growth boosters.
The growth of telecom sector in the pre-liberalization has been phenomenal. Indian service sector
flooded performance is the forwarded step in the growing economies of the world. In the teleco m
sector the significant role of consumers can’t be undermined. The mobile phone market is one of
the vast areas to study the technological revolution in the mobile sector escort booming market for
the mobile phones.

The mobile phone sector in India has become very popular nowadays. Its growth is so prodigious
that it has crossed most of the industries. Undoubtedly, consumers have made an indelible landmark
on the economic landscape due to their premeditated importance in reengineering the products and
services. There is a significant impact of consumer behavior on the strategic decisions made by the
mobile sector companies. In technology driven businesses, understanding the voice of consumers
and their buying patterns has emerged a tough challenge for the mobile companies. The reason for
the growth of this sector is consumer involvement as human being spends most of his time in
interacting with others. In modern business scenario consumers are considered as the inception
point and the last corner of marketing activities. In the era of diversified competition where
customer is the king, success depends not only on the efficiency of the managers in delivering what
they have promised but at the same time responsibility lies on the organization to develop such an
harmonious atmosphere and culture within the organization where value for the services are
provided and quality services could be offered to achieve the higher level motivational need of
customer satisfaction. An organization has to synchronize all its activities towards the enhancement
and achievement of satisfaction of the consumer at every stage. For achieving customer satisfaction,
understanding of dynamic consumer behavior is essential. Understanding theconsumer behavior is
the most prominent topic to understand by the marketers so as to frame marketing strategies for
customer satisfaction. India being a developing market and being a nation of diverse cultures and
traditions it becomes mandatory for mobile companies to have a deep understanding of buying
behavior of consumer and buying patterns of mobile phones by Indian consumers. With the advent
of globalization and the sequel changes in the country many mobile companies have started making
a foray into Indian mobile market due to its sky-scraping potential. As a result of tremendous growth
in mobile sector, mobile penetration in the mobile market has overshadowed all other means of
communication.

1.1.1 Customer and Consumer

Study of consumer behavior has emerged as an applied discipline. Marketers have to deal with two
inseparable market participants – Customers and Consumers.

1
A customer is also called a client, a buyer, a shopper or immediate purchaser or final user of the
product. The term ‘customer’ is typically used to refer to one who regularly purchase a product
from a particular store or company but he may not be the actual consumer of a product. A customer
can also be a wise searcher of the product or service that is going to be sold in spite of deciding to
buy or not to buy them. Customers will buy a product only if consumer has demand for that product.

A consumer is an individual who pays to consume the goods or services produced by a seller. The
consumer engages in any of the following activities;

* Evaluating of goods and services

* Acquisition of goods and services

* Using of goods and services

* Disposing of goods and services

A consumer firstly determines his wants then buys a product and uses it further for personal use
or organizational use. Consumer can be categorized into two categories

*Personal consumer purchases goods for the personal use.

*Organizational consumer buys product and services in order to run their own business. (Hippel
2005) observed that the role of consumer has not been remained restricted to passive recipient of
product but also has emerged as an active participant in production.

1.2 Consumer Behavior and Buyer Behavior

Consumer behavior reflects the totality of consumer’s decision for acquiring, consuming and
disposing of goods, services, time and ideas. Consumer behavior is a decision making process as
well as mental and physical activity in which an individual engages in evaluating, acquiring, using
or disposing of goods and services. Consumer behavior is “the study of individuals, groups or
organizations and the processes they use to select, secure, use and dispose of products, services or
ideas to satisfy needs and the impacts that these processes have on the consumer and society".
Consumer Behavior is a branch which deals with the various stages a consumer goes through before
purchasing products or services for his end use. Buyer Behavior is the study of decision making
units as they buy goods for themselves or others. Thus, buying behavior particularly involves
collective response of buyers for selecting, evaluating, deciding purchasing and post purchasing
behavior. Buyer behavior is the study of human response to services and marketing of products and
services. Buyer behavior is broadly defined by various scholars and researchers as:

2
* It is the behavior displayed by the consumers during the acquisition, use and disposition
of products, services, time and ideas by decision making units.

* It is the body of knowledge which studies various aspects of purchase and consumption
of products and services by individuals with various social and psychological variables.

* The process and activities people engages in when searching for, selecting, purchasing,
using, evaluating and disposing of products and services so as to satisfy their needs and desires.

1.3 Consumer Behavior from Marketers point of view

Today’s customer is more educated, informed, knowledgeable and highly demanding. The
marketer’s main aim is to convince them to buy their products. The global marketplace is a study
of diversity among consumers, producers, marketers, retailers, advertising media, cultures and
customs and of course the individual or psychological behavior. The study of consumer behavior
is also very important to the marketers because it enables them to understand and predict buying
behavior of consumers in the marketplace. Consumer research is the methodology used to study
consumer behavior; it takes place at every phase of the buying process. It starts before the purchase
of a product continues during the purchase and even after the purchase. Researchers viewed two
different buyers buying the same product for different reasons, paid different prices, used in
different ways and have different emotional attachments towards the things. The market strategies
are framed and reframed again and again to achieve organizational objectives by knowing and
influencing their consumers. Therefore, the knowledge and information about consumers is critical
for making successful marketing strategies. The relationship between consumer buying behavior
and marketing strategy must be consistent to attain organizational objectives. Consumer behavior
is interdisciplinary approach based on concepts and theories about people that have developed by
behavioral scientists, philosophers and researchers in diverse disciplines of psychology, sociology,
social psychology, cultural anthropology and economics. The study of consumer behavior also
helps management to understand consumer needs to recognize the potential of consumer in lieu of
new technology and to articulate new things in term of the consumer needs so that products will be
universally accepted in the market well.

1.4 Consumer Decision Making

In today’s competitive business scenario companies are not only curious to explore the change in
tastes and preferences of consumers but they also try to decode the influential sources of
information of consumers. Source of information plays an influential role in deciding consumer’s
decision. The consumer decision making process involves number of related and correlated stages
of activities. The decision making process begins with the identification and recognition of an
unsatisfied need or want. It then transforms into drive. Consumer enhances his product knowledge
from various sources of information. Then buyer evaluates the post purchase behavior to know the
level of satisfaction. A consumer generally passes through various stages indecision making
process

3
* Problem Recognition - Problem recognition stage is the first stage of consumer decision
making process. Consumer recognizes need for the product. The need recognition is the first and
most important step in the buying process. If there is no need, there is no purchase. This recognition
happens when there is a lag between the consumer’s actual situation and the idea land desired one.

* Information Search - Once the need is identified then the consumer seeks information
about possible solutions to the problem. Consumer will search more or less information depending
on the complexity of the choices to be made.

* Evaluation of Alternatives - After recognizing need and searching information about the
desired product consumers become crystal clear about various requirements they want in their
products. The consumer will then use the information previously collected to establish a set of
evaluation criteria, desirable or wanted features, classify the different products available and
evaluate which alternative has the most chance to satisfy him. In order to do so, he will evaluate
their attributes.

* Purchase Decision – Purchasing a particular product or not also depends upon the
information collected in this stage. A consumer makes up his mind on the products, store and
payment options. The consumer has evaluated the different solutions and products available for
respond to his need, a consumer is now able to choose the product or brand that seems most
appropriate to his needs. Then actual purchase can be taken.

* Post-Purchase Evaluation – The satisfaction level of consumers from the performance of

product is evaluated in this stage. The consumer determines their satisfaction level with the
purchasing outcome. Once the product is purchased and used, the consumer will evaluate the
adequacy with his original needs and whether the right choice has been made in buying this product
or not. A consumer is able to feel a sense of satisfaction or dissatisfaction for the product in this
stage.

1.5 Consumer Behavior in Mobile Phones

India is the second largest consumer market in the world. The Indian consumer profile has been
changed in terms of education, income, age, gender, occupation and reference groups. There is a
shift in consumer brand preferences for daily need products to high end technologies with the
explosion of technology. The consumer buying preferences are rapidly changing and this result to
change in the consumer behavior for a product. Products that were previously considered luxury
items have become a necessity because of the changing lifestyle and rising income levels. In today’s
era of communication, the traditional ways of conveying messages through post and mails have
replaced by e-mails and mobile phones. Use of mobile phone does not remain restricted to higher
class but it has become an integral part of lower and below poverty line class. Study of consumer
behavior in mobile phone industry has emerged as an interested area for researchers. Thegrowth of
mobile phone sector in India has become so stupendous that it has surpassed most of the other
industries. The reason behind its rapid growth is the change in lifestyle

4
 of consumers and in technology and innovation. Today every human being wants to remain in
touch with others all the time and at any cost. Mobile phones have emerged as the most effective
communication source as a result of this, penetration of mobiles in the segment has overshadowed
all other means of communication. Frequent changes and challenges in the mobile phone industry
have been made on regular basis. The penetration of mobile phone handsets and the diffusion of
mobile technologies have dramatically increasing in recent years. Although a mobile phone was
initially designed for voice communication, its functionalities have increasingly expanded to
perform various tasks and fulfill different purposes such as listening to mp3 music, playing WAP
games, watching video. Mobile phones can be used for a list of m - commerce services. Based on
previous studies the use of a mobile phone can be categorized into four main categories:
communication oriented (sending or receiving e-mail etc.), entertainment oriented (listening to
music, playing a game, and watching a movie clip etc.) personal information-oriented (using
personal organizer, alarm clock, and office applications etc.) and commercial transaction-oriented
(checking bank account, doing shopping, and paying bills etc.) The mobile phone market has
become broader within the last three to five years due to more affordable mobile phones along with
lower service costs. This market is very competitive as it offers the same products and services
with different features and different costs in the phones which buyers have choices to choose from.
Effective marketing strategies always start with “a thorough understanding of how and why
consumers behave as they do. Specifically, in order to find out solutions to customer needs and
desires, the marketer requires a thorough knowledge of buyer motivations and decision-making
processes along with all the environmental and other factors that also have an influence upon them.

1.6 Mobile Sector

Mobile phones have become as common as televisions. Phenomenal adoption of mobiles across
the globe has increased due to rise in digital mobility and connectivity. The market size of mobiles
has exponentially increased globally. Indian market does not remain untouched from this
phenomenon. With independence all foreign telecommunication companies were nationalized to
form Post, Telephone and Telegraph, a monopoly run by the Government of India. The Indian
mobile sector like most other infrastructure sectors has controlled by the state. The Department
of Telecommunications (DoT) is the key body for policy issues and regulations apart from being
a basic service provider to rest of country. Fully automatic mobile networks were first introduced
in the early to mid-1980s (the 1G generations). Until the early 1990s, most mobile phones were too
large to be carried in a pocket so they were usually permanently installed in vehicles as car phones.
With the advance of miniaturization and smaller digital components, mobile phones got smaller
and lighter. In current scenario, daily activities have been revolutionized by the mobiles. It has
become central part of everyday life.

1.6.1 Leading Mobile Service Providers

The first mobile service operator in India was the state-owned incumbent BSNL. Subsequently
after the telecommunication policies were revised to allow private operators, companies such as
Vodafone, Bharti Airtel, Tata Indi-com, Reliance, Idea Mobile and Aircel have entered the space

5
in India. Every individual mobile service provider has its own plans, policies, packages and
corresponding rates. Although these facilities have offered by various companies but every
company is committed to serve only one common purpose of facilitate better connectivity to its
consumers so that they can maintain good conversations for both personal as well as business
motives. It is consumer’s duty to acknowledge the value and usefulness of best services of various
brands in mobiles. Consumer demands that service provider who offers the widest choice criteria
of features and excellent customer service and avoids hidden charges. India has emerged fastest
growing mobile phone market in the world. The booming mobile industry has attracting large
amount of investments in the country.

1.7 Mobile Phones Market Growth in India

Mobile phones have taken place in almost every hand as from a 70 year old grandfather to 10 years
old granddaughter all are using mobile phones. Gone are the days when mobile phones were a
symbol of luxury and up class gadget as it stays respectfully in the hands of Rickshaw pullar and
with the same ease in the hands of a CEO of a company. The popularity of mobile phones could be
easily guessed with the recent TRAI report which clearly says that India mobile phone subscriber
base crested the 1 billion mark. A huge number of mobile phone users are using smart phones and
the usage pattern has dramatically increased with advent of Reliance JIO connections, the country
has turned into digital country and usage of internet has taken a big leap as at present millions of
Indians have are conducting business, getting social and participating in the governance through
their phones. The small cities are also gearing up in smart phone usage and even it has taken a
considerable share in rural India.

1.8 Mobile Phone Market Strategies

A SWOT analysis of a mobile company entails to find out the strengths, weaknesses, opportunities
and threats involves in the operation of the company. The analysis also identifies external
opportunities and threats that may help or hurt the company in the future. Mobile communications
refers to how data and information are sent and received globally, and although that has remained
constant over time, specifically how information is transmitted has changed due to technological
advances.

1.9 Future of Mobile Phones

From the year 1991 to till now a lot of changes have taken place in mobile phones. Previously,
mobile phones have a statuesque of a person and a costly mean of communication but now it
becomes the main stay in the telecommunication market. Presently it is the 4G and 5G arena.
Mobile phone markets are one of the most turbulent market environments today due to increased
competition and change. Thus, it is of growing concern to look at consumer buying behavior and
showering light on the factors that finally determine consumer choices among different mobile
phones. Although mobile phones have become a fundamental part of personal communication
across the globe during the past ten years, consumer research has devoted little specific attention
to motives and choice underlying the mobile phone buying decision process. Moreover, it is

6
important to distinguish between buying behavior of customers in their choice of mobile phones
and brands and the buying behavior in their changing of mobile phones and brands.

1.9.1 Mobile Industry in India - Forecast, Trends and Opportunities

(20012017)

The Indian mobile communications network is the third largest in the world and the second largest
amongst the emerging economies of Asia. Today, it is one of the fastest growing markets in the
world. The mobile communication sector continued to register significant success during the years
and has emerged as one of the key sectors responsible for India’s resurgent economic growth.
However, the market for mobile in India expanded at the rate of 2percent in 2011 which represents
the slowest growth rate in the past five years. By the year 2016, the market is expected to have a
penetration rate of over 80percent. The market has undergone a substantial change in terms of
mobile versus fixed line mobile and public versus private participation. The preference for the use
of mobile phones has been predominant in the sector. Participation of the private entities in the
mobile sector is at increasing rate there by presenting the enormous growth opportunities. There is
a clear distinction between the Global Satellite Mobile Communication (GSM) and Code Division
Multiple Access (CDMA) technologies used. The dominance of the mobile sector continues to be
the detriment of the traditional fixed-line industry. Rising demand for a wide range of mobile
equipment has provided excellent opportunities to domestic and foreign investors in the
manufacturing sector. The last two years have witnessed many renowned mobile companies setting
up their manufacturing base in India. Ericsson has set up GSM Radio Base Station manufacturing
facility in Jaipur. Elcotel has set up handset manufacturing facilities in Bangalore. Nokia set up its
manufacturing plant in Chennai. LG Electronics set up plant of manufacturing GSM mobile phones
near Pune. A large number of companies like Alcatel and Cisco have also shown interest in setting
up their research and development centers in India .With the above initiatives, India is expected to
be a manufacturing hub for the mobile equipment industry in the coming years. BhartiAirtel, BSNL,
MTNL, Reliance Communications and Idea Mobile are the top players in the industry. The mobile
sector is a very capital intensive sector and involves high value investments. Each player is
analyzed through a company overview, analysis of their businesses, a financial analysis and a
SWOT analysis. In the analysis of the mobile industry in India it is analyzed that theindustry starting
with an overview of the business conditions in India and the Asia Pacific region for the mobile
sector. An analysis of the mobile sector in India is carried out through the analysis of industry
statistics, the growth in the market, ARPU analysis of this sector, the expansion and development
of the mobile network in the country, the development of 3G and 4G services in the country, the
growing role of mobile content and VAS facilities in the market and the statistics of the major
players in the mobile services sector in India. An outlook for the sector is also included. Major
industry vendors and players such as MTNL, BSNL and Bharti Airtel are analyzed through a
company overview, analysis of their mobile services, analysis of their network, company strategy,
company financials and a SWOT analysis. Mobile sales in India reached 251 million units in 2013,
13.5 percent rise over 2012 sales of 221 million units. The mobile handset market isexpected to
show steady growth through 2016 when end-user sales will surpass 326 million units, according
to a

7
study by Gartner. According to a study conducted by the reputed International Agency Ovum (Jan
2005) on “The Economic Benefits of Mobile Service in India” the Indian mobile industry isa
major contributor to the socio- economic growth of the country in terms of employment generation,
revenues to the government, GDP growth and rural development. The Indian mobile phone market
is competitive with more than 150 device manufacturers selling devices to consumers. Most of
these manufacturers remain focused on the low-cost feature phone market which still constitutes
over 91 per cent of overall mobile phone sales offering a huge market to compete in. “The increase
in share of smart phone device sales declining sales to first-time buyersand the continuous focus of
global manufacturers on the low-cost feature phone market. Some of the local and Chinese mobile
manufacturers are building capabilities, distribution and brands as they prepare to compete with
the big global players at a larger level covering broader consumer segments. Manufacturers such as
ZTE, Micromax, Karbonn mobile, Huawei stand at sixth, seventhand twelfth in the Indian smart
phone market in 1H12 and are constantly expanding their smart phone portfolio to compete at a
larger level with big global manufacturers Samsung and Nokia, which held the first and second
position respectively

1.10 OBJECTIVES OF THE STUDY:

PRIMARY OBJECTIVE:
* To know the consumer behaviour in selecting mobile phone.

SECONDARY OBJECTIVE:
* To find the demographic features of the mobile phone consumers.
* To find out the factors which influences the consumers to buy mobile phones?
* To identify and analyze the factors which impinge onto the satisfaction level of the customers
of mobile phones.
* To understand the effectiveness of the promotional activities of mobile phone companies. * To
offer the suggestions to the consumers.

1.11 Scope of Study

The primary aim of study is to examine the comparative buying behavior of consumers of Chennai
district (north , south)towards the purchase of mobile phone. Similarities and dissimilarities between
buying behavior of urban and semi urban areas towards the purchase of mobile phone have assessed
in the research study. Suggestions have made to the mobile manufacturing companies about
innovative marketing strategies as per the change in tastes and preferences of consumers and their
implementation in urban as well as semi urban markets. On the basis of review of different studies
by the experts various studies has taken on buying behavior of consumers in mobiles and
comparative analysis have performed on the factors (Price, Quality, Style, Look and Brand) for the
purchase of mobile phones. The research is beneficial in finding the various sources of information
used by the consumers. Various factors have been identified and the extent to which these factors
affects the decision making of consumers has analyzed in this research. This study is beneficial in
formulating the marketing strategies to grab market share by perceiving the consumer’s attitudes
towards mobile phones. The findings of the

8
present research can be used by managers for periodic monitoring of service quality as perceived
by customers. The study area is confined to Chennai district of Tamil Nadu.

1.12 LIMITATIONS OF THE STUDY:

The researcher had the following limitations while conducting the study.

* This study was carried out only among the consumers in Chennai city

* The sample size was restricted to 100 due to time constraints.

* The sample was taken on the basis of convenience; therefore the shortcomings of the
convenience sampling may also be present in this study.

9
 CHAPTER 2
REVIEW OF LITERATURE
2.1 REVIEW OF LITERATURE

2.1.1 Tajzadeh Namin A. A. ; Rahmani Vahid ; Tajzadeh Namin Aidin (2012) analysed that
the process of deciding over (choosing) a brand may be influenced by situation and content. The
findings suggest a significant relationship between the variables “brand attitude”, “corporate
attitude”, and “product (cell phone) choice”. In addition, no significant relationship was found
between individual decision making processes.

2.1.2 Rodolfo Martínez Gras ; Eva Espinar Ruiz (2012) highlight a new dimension in
information and technology with respect to teenagers in spain. The main objective of this article
is to analyze the relationship between Information and Communication Technologies and Spanish
adolescents. Specifically, researchers have studied, through qualitative methodology, the
characteristics of teenagers’ access and uses of technological devices. and analyzed the purposes
that motivate the utilization of Information and Communication Technologies, highlighting a close
relationship between technologies and peer communication and entertainment. On the contrary,
there is an under-utilization of all these devices for teaching and learning purposes.

2.1.3 Nasr Azad ; Ozhan Karimi ; Maryam Safaei (2012)had presented an empirical study to
investigate the effects of different marketing efforts on brand equity in mobile industry. The results
show that there is a positive and meaningful relationship between marketing mix efforts and brand
equity. In other words, more advertisements could help better market exposure, which means
customers will have more awareness on market characteristics. Among all mixed efforts, guarantee
influences more on brand equity, which means consumers care more on productservices than other
features. Finally, among different characteristics of brand equity, product exclusiveness plays an
important role. In other words, people are interested in having exclusive product, which is different
from others.

2.1.4 Mehran Rezvani; Seyed Hamid Khodadad Hoseini; Mohammad Mehdi Samadzadeh
(2012) investigates the impact of Word of Mouth (WOM) on Consumer Based Brand Equity
(CBBE) creation. WOM characteristics such as, volume, valence, and source quality are studied to
find how intensely they each affect brand awareness, perceived quality, and brand association. The
results suggested that volume and valence, two elements of WOM, affect CBBE and no significant
relationship between source type and brand equity was seen

2.1.5 Sany Sanuri Mohd. Mokhtar; Ahmed Audu Maiyaki ; Norzaini bt Mohd Noor (2011)
explores the relationship between service quality and customer satisfaction on customer loyalty
with regards to mobile phone usage among the postgraduate students of a university in Northern
Malaysia. The results show that both service quality and customer satisfaction significantly affect
the level of customer loyalty of mobile phone users in Malaysia. It was therefore, recommended
that mobile service providers.
2.1.6 Ahmed Alamro, Jennifer Rowley, (2011) explored that there are 11 antecedents of brand
preference; these can be theoretically clustered into three groups: awareness antecedents
(controlled communication (advertising), and uncontrolled communication (publicity, word of
mouth)); image antecedents (service value attributes (price, quality), provider attributes (brand
personality, country of origin, service (employee + location)), and corporate status (corporate
image, corporate reputation)); and, customer attribute antecedents (satisfaction, perceived risk, and
reference group). Multiple regression showed the contribution of each of these antecedents to brand
preference.

2.1.7 Harsha de Silva, (2011), generally shows that adoption of (primarily) mobile telephones has
significant benefits not just to the adopter, but to the community at large. In this context, the
objective of the current article is to examine, from a user perspective, the influences (as well as the
interplay of these influences) on mobile phone adoption by the poor in a selected set of countries
in the emerging Asian region.

2.1.8 Pratompong Srinuan, Mohammad Tsani Annafari, Erik Bohlin, (2011), states that
subscriber characteristics, including age, government officer, self-employed, internet use, central
region, and southern region, are significant in explaining the switching behavior of Thai mobile
subscribers. This study also shows that the largest mobile operators will gain more switching
subscribers than smaller operators. The study shows that the expected impact of implementing
MNP without national mobile roaming regulations would be worse for smaller mobile operators.
The smaller operators need to compete on both price and quality improvement. In the short run,
it would not be possible for the smaller operators to compete with the larger operators due to the
inequality in the quality of network coverage.

2.1.9 Hans Kasper, Josée Bloemer, Paul H. Driessen, (2010), has thrown light on how
consumers cope with confusion caused by overload in information and/or choice. The paper
investigates whether consumers who face different degrees of confusion use different coping
strategies depending upon their decision-making styles. The researchers found that consumers of
mobile phones can be characterized by combinations of decision-making styles and find three
clusters based on decision-making styles: “price conscious and cautious” consumers, “brand- loyal
and quality-driven” consumers, and “functionalist” consumers. Results show significant main
effects of the degree of confusion and the decision-making styles on the use of coping strategies as
well as a significant interaction effect of these two.

2.1.10 Luca Petruzzellis (2010), referred and concluded that technology nowadays is overcome
by customer preferences and needs. In particular, the role of the brand is to be analysed with respect
to its influence in shifting customer preferences from the technical performances (tangible
elements) to the emotional/symbolic ones (intangible elements). The researchers had provided an
analysis of the brand attitude and perception tested and viewed through user eyes.
2.1.11 Arvind Sahay and Nivedita Sharma (2010) focused on brand relationships are indeed
important for different categories of young consumers; second, to investigate the effect of peer
influence, family influence, and brand relationships on switching intentions amongst young
consumers; and third, to look at the impact of price changes on switching intentions in the context
of brand relationships. Researcher’s results suggest that young consumers develop relationships on
all brand relationship dimensions.

2.1.12 Brenda, Mak, Robert Nickerson and Henri Isaac (2009),investigates the factors
affecting the attitudes towards the social acceptance of mobile phones in public places and how
this attitude affects its usage Results of the analysis indicate that the attitudes about mobile phone
use in public places depend on country, and age factors. This attitude in turn significantly affects
the usage frequency of mobile phones. In addition, usage frequencyalso is affected by gender and
work status.

2.1.13 Ramakrishnan Venkatesakumar, D. Ramkumar and P. Thillai Rajan, (2008),

confirms that Brand loyalty and brand switching behaviour of the consumers are evergreen issues
of research and strategic importance to the marketers and academic researchers. The currentresearch
aims to address the significance of product attributes in brand switching behaviour through
multidimensional scaling and results suggest that a set of product attributes trigger the intention to
switch the current brand.

2.1.14 Shibashish, Chakraborty and Kalyan Sengupta (2008) endeavors to make a detailed
study on important demographic variables of customers affecting brand switching of customers.
This study will highlight pertinent aspects of prediction of switching proclivity of customers from
one service provider to another.

2.1.15 Anne Martensen, (2007), examine tweens' (8-12 year-olds) satisfaction with and loyaltyto
their mobile phones and the relationship between these. The results indicate that tweens are far
more satisfied with their mobile phones than adults are and that the mobile phones fulfill children's
expectations to a much higher degree. Still, brands are not able to turn tweens into loyal customers
who will recommend their mobile phones to friends. Tweens' loyalty is lower than what is
experienced for adults and the relationship between satisfaction and loyalty is very weak.

2.1.16 Heikki Karjaluoto, Jari Karvonen et al, (2005), had analyzed that Mobile phonemarkets
are one of the most turbulent market environments today due to increased competition and change.
Thus, it is of growing concern to look at consumer buying decision process and cast light on the
factors that finally determine consumer choices between different mobile phone brands. On this
basis, this research deals with consumers’ choice criteria in mobile phonemarkets by studying
factors that influence intention to acquire new mobile phones on one hand and factors that influence
on mobile phone change on the other are some general factors that seem to guide the choices. The
two studies show that while technical problems are the basic
reason to change mobile phone among students; price, brand, interface, and properties are the
most influential factors affecting the actual choice between brands.

2.1.17 Serkan Aydin, Gökhan Özer, Ömer Arasil, (2005) had focused on to measure the effects
of customer satisfaction and trust on customer loyalty, and the direct and indirect effect of
“switching cost” on customer loyalty. The findings of this study show that the switching cost factor
directly affects loyalty, and has a moderator effect on both customer satisfaction and trust

2.1.18 Chu-Mei Liu (2002), inferred that Branding is important to manufacturers, retailers and
consumers. Brands with higher brand equity have higher sales. The growth of mobile phone
subscriptions is considerably faster in the Philippines. Advertising and promotion are undertaken
through cooperation between the service providers and mobile phone manufacturers. The study
tries to find out the effects of the different activities on consumer choice of mobile phone brands.

2.1.19 Jonathan, Lee ,Janghyuk, Lee and Lawrence, Feick, (2001) analysed that moderating
role of switching costs in the customer satisfaction-loyalty link; and to identify customer segments
and to retain them. Thus the purposes of this paper are: to examine the moderating role of switching
costs in the customer satisfaction-loyalty link; and to identify customer segments and then analyze
the heterogeneity in the satisfaction-loyalty link among the different segments. An empirical
example based on the mobile phone service market in France indicates support for the moderating
role of switching costs. Managerial implications of the results are discussed
 CHAPTER 3
RESEARCH METHODOLOGY
3.1. MEANING OF RESEARCH:

Research is an art of scientific investigation. The advanced learner’s dictionaries of current English
lay are down the meaning of research as, “a careful investigation (or) inquiry especially through
research for new facts in any branch of knowledge”. Redmen and Mary define research as a
“systematic effort

Research methodology is a way to systematically solve the research problem. It is a plan of action
for a research project and explains in detail how data are collected and analyzed. Research
methodology may be understood as a science of studying how research is done scientifically. It
can cover a wide range of studies from simple description and investigation to the construction of
sophisticated experiment.

A clear objective provides the basis of design of the project. Since the main objective of this study
is to identify the customers preference, expectation and perception. It was decided to use
descriptive research design include, surveys and fact-findings enquires of different kinds, which
found out to be the most suitable design in order to carry out the project.

3.2. RESEARCH DESIGN:

A Research design in plan that specifies the objective of the study, method to be adopted in the
collection of the data, tools in analysis of data and helpful to frame hypothesis. “A research
design is the arrangement of condition for the collection and analysis of data in manner that aims
to combine relevance to research purpose with economy in procedure”.

Research design is needed because it facilitates the smooth sailing of the various project operations,
thereby making the project as efficient as possible yielding maximum information with maximum
expenditure of effort time and money. In addition, it minimizes bias and maximizes the reliability
of the data collected.

3.3. NATURE AND SOURCE OF DATA:

3.3.1. Primary data:

The data, which are collected fresh for the first time and thus happened to be original in
character, is called primary data.

Primary data was collected with the help of structured questionnaire.

3.3.2. Secondary data:

The data, which have already been collected and analyzed by someone else, is called secondary
data. The secondary data was used mainly to support primary data.

14
Source of secondary data was collected with help of published reports, magazines, newspapers and
the websites.

3.4. SAMPLING SIZE AND TECHNIQUE:

3.4.1. TYPE OF UNIVERSE:

The step in developing any sample is clearly defining the set of objectives, technically called the
universe, to be studied.

3.4.2. SIZE OF SAMPLE:

It refers to the number of items to be selected from the universe to constitute a sample. A sample
of “150” sample was taken for the purpose of study and analysis.

3.4.3. SAMPLE DESIGN:

When population elements are selected for inclusion in the sample based on the case of access, it
is called convenience-sampling method for the convenience of the researcher.

3.4.4. Sampling technique

Convenience sampling technique (non-probability sampling) was used for the survey.
Questionnaire filled by the selected customers.

3.5. DATA INTERPETATION TOOLS

The most often tools used to examine are:

➢ Percentage

➢ Pie Charts

➢ Bar Graph

3.6. Questionnaire construction:

In construction questionnaire, care was taken to investigate the difficulties that the respondent may
face while answering them. It was prepared keeping in view the objective of the study. During the
construction, care was taken to avoid questions, which may lead

15
misinterpretation. The question thus constructed was a structured one to collect all the relevant
information. The questions were arranged in a logical order/sensible sequence. The Questionnaire
consists of a variety of questions presented to the employees for their response. Dichotomous
question and multiple-choice questions were used in constructing the questionnaire.

16
 CHAPTER 4
DATA ANALYSIS AND
INTERPRETATION
 4.1. GENDER OF RESPONDENTS

TABLE NO. 4.1

S.NO GENDER PERCENTAGE

1 MALE 63%

2 FEMALE 37%

CHART NO. 4.1

RESPONDENSTS

37%
MALE
FEMALE
63%

INTERPREATATION:

From the above graph it can be observed that most of the customers who buy the mobile phones
from Value+ Store are male are 63% and females 37 %.

17
 4.2. AGE OF EMPLOYEES

TABLE NO. 4.2

S.NO AGE NO OF RESPONDANTS PERCENTAGE

1 20 – 30 51 51%

2 30 – 40 41 41%

3 ABOVE 40 8 8%

CHART NO. 4.2

AGE OF EMPLOYEE

20-30
30-40
51
41 ABOVE 40

INTERPREATATION:

From the above information 51% of employees are age limit of 20-30, 41% of employees are age
limit of 30-40 and 8% of employees are above age of 40 above.

18
 4.3 EDUCATIONAL QUALIFICATION
TABLE NO. 4.3

S.NO EDUCATIONAL NO OF PERCENATGE

QUALIFICATION PARTICIPANTS
1 SECONDARY 3 3%

2 HIGHER SECONDARY 14 14%

3 GRADUATION 62 62%

4 POST GRADUATION 15 15%

5 ANY OTHER 6 6%
TECHNICAL
QUALIFICATION

19
CHART NO. 4.3

EDUCATIONAL QUALIFICATION
70
62
60

50

40

30

20 15
14
10

SECONDARY HIGHER SECONDARY GRADUATION POST GRADUATION ANY OTHER

QUALIFICATION

INTERPREATATION:
From the above information 3% of employee's education qualification are secondary, 14% of
employee's qualification is higher secondary and 62% of employee's qualification is graduation,
15% of employee's qualification is post-graduation and 6% of employee's qualification is any other
technical qualification.

20
 4.4. MARRITIAL STATUS

TABLE NO.4.4

S.NO MARRITIAL STATUS NO OF PERCENATGE

PARTICIPANTS

1 MARRIED 45 45%

2 UNMARRIED 55 55%

CHART NO.4.4

MARRITIAL STATUS

45 MARRIED
UNMARRIED
55

INTERPREATATION:
From the above information 45% of employees are Married, 55% of employees are Un-Married

21
 4.5. OCCUPATION OF CUSTOMER

TABLE NO. 4.5

S.NO OCCUPATION OF PERCENTAGE

CUSTOMER

1 SERVICE 24
2 PROFESSIONAL 27
3 BUSINESS 39

4 OTHERS 10

CHART NO. 4.5

OCCUPATION
45
40 39

35
30 27
24
25

20
15
10
10

SERVICE PROFESSIONAL BUSINESS OTHERS

INTERPREATATION:
Most of the customers who buy the mobile phones are business men 39% then professionals
27% and service persons 24% and 10% others.

22
 4.6. INCOME LEVEL OF CUSTOMER ( PER MONTH )

TABLE NO. 4.6

S.NO INCOME LEVEL PERCENTAGE

1 LESS THAN 15000 13

2 15000 – 25000 18

3 25000 – 35000 42

4 35000 - ABOVE 27

CHART NO. 4.6

INCOME LEVEL
42

27

18

13

LESS THAN 15000 15000-25000 25000-35000 35000 ABOVE

INTERPREATATION:
13% of the customers has less income than 15000, 18% customers has income between 15000-
25000, 42% customers has income between 25000-35000 and 27% of customers has income
above 35000.

23
 4.7. WHICH MOBILE PHONE YOU ARE USING

TABLE NO. 4.7

S.NO MOBILE BRAND PERCENTAGE

1 SAMSUNG 15

2 APPLE 12

3 VIVO 16

4 OPPO 14

5 REALME 21

6 REDMI 20

7 OTHER 2

24
 CHART NO. 4.7

Brand Percentage

Samsung ██████████████ (15%)

Apple █████████████ (12%)
Vivo █████████████████ (16%)
Oppo ████████████████ (14%)
Realme █████████████████████████ (21%)
Redmi ███████████████████████ (20%)
Others █ (2%)

INTERPREATATION:
15% of customers use Samsung mobiles, 12% Apple mobiles, 16% Vivomobiles, 14% OPPO
mobiles, 21% Realme mobiles, 20% Redmi and 2% others.

25
 4.8. HOW LONG ARE YOU USING MOBILE PHONE

TABLE NO. 4.8

S.NO HOW LONG USING MOBILE PERCENTAGE

1 1 YEAR 14

2 1 – 2 YEAR 42

3 2 – 3 YEAR 32

4 3 – 4 YEAR 8

5 ABOVE YEAR 4

26
CHART NO. 4.8

HOW LONG USING MOBILE

42

32

14

LESS 1 YEAR 1-2 YEAR 2-3 YEAR 3-4 YEAR ABOVE YEAR

INTERPREATATION:
the customers who uses mobile phones for less than 1 year is 14%, 1-2 years is 42%, 2-3 years
is 32%, 3-4 years is 8% and above 4 years is 4%.

27
 4.9. WHAT IS YOUR FAVOURITE BRAND IN MOBILE

TABLE NO. 4.9

S.NO MOBILE BRAND PERCENTAGE

1 SAMSUNG 20

2 APPLE 23

3 VIVO 18

4 OPPO 15

5 REALME 10

6 REDMI 12

7 OTHER 2

28
 CHART NO. 4.9

Apple: ████████████████████████████ 23%

Samsung: ██████████████████████████ 20%
Vivo: █████████████████████████ 18%
Oppo: █████████████████████ 15%
Realme: ████████████████ 10%
Redmi: ██████████████ 12%
Other: ██ 2%

INTERPREATATION:
Apple is the most favorite brand in mobiles with 23% then Samsung with 20%, Vivo 18%,
OPPO 15%, Realme 10%, Redmi 12%, Others 2%.

29
 4.10. WHY YOU LIKE THE BRAND YOU CHOSE ABOVE

TABLE NO. 4.10

S.NO BRAND YOU CHOSE PERCENTAGE

1 ADVERTISEMENT 3

2 APPEARANCE 5

3 PRICE 21

4 FUNCTIONS 23

5 QUALITY 20

6 BRAND 9

7 SERVICE 11

8 RECOMMENDED BY FRIENDS 10

30
CHART NO. 4.10

BRAND YOU CHOOSE

RECOMMENDED BY FRIENDS 10

SERVICE 11

BRAND

QUALITY 20

FUNCTION 23

PRICE 21

APPEARANCE

INTERPREATATION:
most of the customers chose their brand of mobile because their functions 23%, quality 20% and
price 21%, Service 11%, Recommended by friends 10%,Brand image 9% Appearance3% and
advertisement 5%...

31
 4.11. WHAT AMOUNT WOULD YOU BE WILLING TO PAY FOR
MOBILE PHONE
TABLE NO. 4.11

S.NO WILLING TO PAY PERCENTAGE

1 LESS THAN 10000 27

2 10000-20000 46

3 20000-30000 15

4 30000-40000 8

5 ABOVE 40000 4

32
CHART NO. 4.11

WILLING TO PAY FOR MOBILE

46

27

15

LESS 10000 10000-20000 20000-30000 30000-40000 40000 ABOVE

INTERPREATATION:
46% customers are ready to buy mobile phone from amount 10000to 20000, 27% less than
10000, 15% 20001 to 30000, 8% 30001 to 40000 and 4% above 40001

33
 4.12. WHERE DO YOU OFTEN SEE THE MOBILE
ADVERTISMENTS

TABLE NO. 4.12

S.NO ADVERTISMENTS PERCENTAGE

1 TV 34

2 MAGAZINE 11

3 NEWS PAPER 25

4 INTERNET 24

5 HOARDINGS 4

6 OTHERS 2

34
CHART NO. 4.12

MOBILE ADVERTISMENTS

4 2

24
TV

34 MAGAZINE
NEWSPAPER
INTERNET
HOARDING
OTHERS

25
11

INTERPREATATION:
34% customers often see mobile advertisements on TV, 25% in Newspapers, 24% on internet,
10% in magazines, 4% hoardings and 2% others.

35
 4.13. BRAND LOYALTY AMONG THE RESPONDENTS

TABLE NO. 4.13

S.NO LOYALTY TOWARDS FREQUENCY PERCENT
THE BRAND

1 YES 90 69.2

2 NO 20 15.4

3 CAN’T SAY 20 15.4

CHART NO. 4.13

BRAND LOYALTY RESPONENTS

15.4

15.4 YES
NO
CAN'T SAY

69.2

INTERPREATATION:

Respondents were asked about their loyalty towards the brands being currently used by them.
Majority of the respondents (69.2%) mentioned that they feel loyalty towards the brands they are
using, while 15.4% said that they will switch brands as per their choice and are not brand loyal.
An equal 15.4% said that they are not clear about their brand loyalty.

36
 4.14. INTENTION TO REPURCHASE THE SAME BRAND

TABLE NO. 4.14

S.NO LOYALTY TOWARDS FREQUENCY PERCENT
THE BRAND

1 YES 34 26.2
2 NO 54 41.5

3 CAN’T SAY 42 32.3

CHART NO. 4.14

INTENTION TO REPURCHASE SAME BRAND

26.2
32.3
YES
NO
CAN'T SAY

41.5

INTERPREATATION:

Purchase the same brand, while replacing the existing handset. The results were contrary to the
loyalty statistics. Only 26.2% of the respondents said that they will go with the same brand. 32.3%
said they can’t say and 41.5% said that they will not go for the same brand.

37
 4.15. PREFERENCE TOWARDS THE SIZE OF THE HANDSET

TABLE NO. 4.15

S.NO SIZE PERFERENCES FREQUENCY PERCENT

1 SMALL 15 11.5

2 MEDIUM 82 63.1

3 LARGE 22 16.9

4 SLEEK 19 14

5 OTHERS 2 1.5

38
CHART NO. 4.15

PREFERENCE TOWARDS THE SIZE OF HANDSET

11.5 63.1 16.9 14 1.5

SMALL MEDIUM LARGE SLEEK OTHERS

INTERPREATATION:

Respondents were asked about the handset size preference. Maximum preference (63.1%) is for
medium sized handsets, followed by large ones (16.9%).

39
 4.16. FREQUENCY OF CHANGE MOBILE PHONE

TABLE NO. 4.16

S.NO CHANGING HANDSETS FREQUENCY PERCENT

1 LESS THAN 6 MONTHS 7 5.4

2 6 – 12 MONTHS 9 6.9

3 1 – 2 YEARS 40 30.8

4 2 – 3 YEARS 42 32.3

5 MORE THAN 3 YEARS 32 24.6

40
CHART NO. 4.16

FREQUENCY OF CHANGING MOBILE PHONE

LESS THAN 6MONTH 6-12 MONTH 1-2 YEAR 2-3 YEARS MORE THAN3YEARS

5%
7%
25%

31%

32%

INTERPREATATION:

According to changing mobile phone 5% is less than 6 month, 7% is 6 – 12 month, 31% is 1 – 2

years, 32% is 2 – 3 year, 25% is more than 3 years..

41
 4.17. PLACE OF PURCHASING MOBILE PHONES

TABLE NO. 4.17

S.NO PLACE OF PURCHASE FREQUENCY PERCENT

1 ONLINE STORES 41 27.3

2 EXCLUSIVE SHOWROOMS 35 23.3

3 MOBILE SHOWROOMS 68 45.3

4 OTHERS 6 4.1

CHART NO. 4.17

PLACE OF PURCHASING MOBILE PHONE

ONLINE SHOWROOM EXCLUSIVE SHOWROOM MOBILE SHOWROOM OTHERS

1%

28%

47%

24%

42
INTERPREATATION:

Majority of the respondents (45.3%) said that they usually purchase mobile phones from mobile
showrooms, while 27.3% of the respondents usually purchase in online mode.

43
 4.18. PREFERENCE TOWARDES VARIOUS ASPECTS OF THE ‘LOOK
AND FEEL OF MOBILE PHONE

TABLE NO.4.18

S.NO ASPECTS WEIGHTED AVERAGE RANK

SCORE

1 SCREEN SIZE 4.36 4

2 TOUCH SCREEN 4.63 1

3 COLOUR 4.06 7

4 WEIGHT 4.07 6

5 SHAPE 4.20 5

6 COMPATIBILITY 4.38 3

7 BUTTONS 3.80 8

8 DESIGN & STYLE 4.55 2

44
CHART NO. 4.18

LOOK AND FEEL OF MOBILE

RANK

DESIGN&STYLE

BUTTONS

COMPATIBILITY

SHAPE

WEIGHT

COLOUR

TOUCH SCREEN

SCREEN SIZE

INTERPREATATION:

Respondents were asked to give their preference towards various aspects associated with the look
and feel of the mobile phones such as screen size, touch screen, colour, weight, shape,
compatibility, buttons and design and style. The responses were captured on a 5 point Likert’s scale
of importance. The weighted average scores were calculated and the preferences were ranked.
Accordingly, the ‘touch screen’ feature is the most preferred aspect of ‘look and feel’ of mobile
phones, followed by ‘design and style’, ‘compatibility’, ‘screen size’ and ‘shape of the phone’ in
the order. The least preferred aspects are ‘buttons’, ‘colour’ and ‘weight’.

45
 4.19. WOULD YOU LIKE TO SWITCHTO ANOTHER BRAND WITH
ADDITIONAL FEATURES

TABLE NO. 4.19

S.NO SWITCH BRAND PERCENTAGE

1 YES 72

2 NO 28

CHART NO. 419

Sales

28

YES
NO

72

INTERPREATATION:

According to the figure below 72% of the respondents say that they will switch to another brand
with additional features whereas 28% say that they won’t switch to another brand. This result
clarifies that most people will switch their smart phone brand in order to get new features.

46
 4.20. CONSIDER THE TV ADVERTISMENT YOU LIKE WHAT BRAND

TABLE NO. 4.20

S.NO BRAND PERCENTAGE

1 SAMSUNG 21

2 APPLE 15

3 VIVO 22

4 OPPO 32

5 REALME 8

6 REDMI 2

47
CHART NO. 4.20

ADVERTISMENT TV YOU LIKE WHAT BRAND

35
32

30

25
22
21
20

15
15

10

SAMSUNG APPLE VIVO OPPO REALME REDMI

INTERPREATATION:
Considering the TV advertisement the brand which is been promoted 33% customers says OPPO,
22% Vivo, 21% Samsung, 15% apple, 8% Realme and 2% Redmi.

48
4.21. WHICH OF THE FOLLOWING WOULD IMPRESS YOU THE MOST

TABLE NO. 4.21

S.NO IMPRESS PERCENTAGE

1 SLOGAN 14

2 PICTURE 14

3 COLOUR 12

4 STORY 6

5 SPOKES 4

6 MUSIC 21

7 RECOMMEND BY FRIENDS 29

49
CHART NO. 4.21

14

29

14

12

21

SLOGAN PICTURE COLOUR STORY SPOKES MUSIC RECOMMEND BY FRIENDS

INTERPREATATION:
29%customers impress because of mobile recommended by friends, 21% by music, 14% by
picture, 14% by slogan, 12% by color, 6% by story and 4% by spokesperson.

50
 CHAPTER 5
FINDINGS, SUGGESTIONS
AND CONCLUSION
5.1 FINDING
1. 63% are male respondents and 37 % are female respondents.

2. 51% of employees are age limit of 20-30,41% of employees are age limit of 30-40 and 8% of
employees are above age of 40 above.

3. 3% of employee's education qualification are secondary, 14% of employee's qualification is

higher secondary and 62% of employee's qualification is graduation,15% of employee's
qualification is post graduation and 6% of employee's qualification is any other technical
qualification

4. 45% of employees are Married, 55% of employees are UnMarried

5. 39% then professionals 27% and service persons 24% and 10% others.

6.15000,18% customers has income between 15001-25000, 42%customers has income between
25001-35000 and 27% of customers has income above 35000.

7. 15% of customers use Samsung mobiles, 12% Apple mobiles, 16% Vivo mobiles, 14%
OPPO mobiles, 21% Realme mobiles, 20% Redmi and 2% others.

8. Less than 1 year is 14%, 1-2 years is 42%, 2-3 years is 32%, 3-4 years is 8% and above
4 years is 4%.

9. Samsung 20% , Apple with 23%, Vivo 18%, OPPO 15%, Realme 10%, Redmi 12%, Others
2%.

10. Functions 23%, quality 20% and price 21%, Service 11%, Recommended by friends
10%,Brand image 9% , Appearance 3% and advertisement 5%.

11. 46% customers are ready to buy mobile phone from amount 10000to 20000, 27% less than
10000, 15% 20001 to 30000, 8% 30001 to 40000 and 4% above 40001

12. 34% customers often see mobile advertisements on TV, 25% in Newspapers, 24% on
internet, 10% in magazines, 4% hoardings and 2% others.

13. Majority of the respondents (69.2%) mentioned that they feel loyalty towards the brands
they are using, while 15.4% said that they will switch brands as per their choice and are not brand
loyal. An equal 15.4% said that they are not clear about their brand loyalty.

14. 26.2% of the respondents said that they will go with the same brand. 32.3% said they can’t
say and 41.5% said that they will not go for the same brand.
15.Maximum preference (63.1%) is for medium sized handsets, followed by large ones (16.9%).
16. 5% is less than 6 month, 7% is 6 – 12 month, 31% is 1 – 2 years, 32% is 2 – 3 year, 25%
is more than 3 years.

17. (45.3%) said that they usually purchase mobile phones from mobile showrooms, while
27.3% of the respondents usually purchase in online mode

18. 72% of the respondents say that they will switch to another brand with additional features
whereas 28% say that they won’t switch to another brand.

19. 15% customers says OPPO,18% Vivo, 20% Samsung, 23% apple, 10% Realme, 12%
Redmi and others with 2%.

20. 29%customers impress because of mobile recommended by friends, 21% by music,

14%by picture, 14% by slogan, 12% by color, 6% by story and 4% by spokesperson.
5.2 CONCULSION
The results of the study show that consumers consider various factors before choosing a
particular brand of mobile phone. Some of the factors influence consumers’ decision greatly
while others have comparatively low impact on their purchase decisions. It has been found
through the study that actual need is the most important factor triggering the purchase decision.
The ‘touch screen’ feature is the most preferred aspect of ‘look and feel’ of mobile phones,
followed by ‘design and style’ and ‘compatibility’. The most important factors influencing the
choice of mobile phones is ‘quality’ followed by ‘features’, ‘brand name’ and ‘price’ in the order.
There is a no significant association between gender and the frequency of changing mobile
phones. Mobile showrooms are the most preferred destinations for making the purchase. Most of
the respondents use mobile phones for 2-3 years before changing them. Brand loyalty towards
the currently used brand is found to be feeble among the respondents. With a plethora of brands
available in the market, only 28.5% of the respondents were using Samsung brand of mobile
phones. It is recommended that mobile phone manufacturers carry out periodic surveys in the
market to understand their competitive positioning. Consumer surveys need to be conducted on a
regular basis to understand the changing trends, preferences and satisfaction towards their brands.
Based upon the results of such surveys, innovations need to be brought in so as to sustain and
increase the market share and consumer loyalty.
 5.3 SUGGESTION
* Based on the findings of the study the following suggestions are made for attracting the
consumers mobile phones has increase the market share.

*Price plays a significant role in the purchase decision. Price has significant positive impact on
consumer perception choice in selecting mobile phones.

*To explore the market, mobile industry have to concentrate more on youth segment by giving
more advanced features.

*Product quality from the marketer’s perspective is associated with communication, price, feature,
function, or performance of a product.

*Enormous facilities can be included in the mobile phones.

*New model hand set can be introduced exclusively for females.

*Various kinds of sales promotional activities can be introduced by the cellular companies.

*A company that offers lower charges would be able to attract more customers committing
themselves to the mobile phone networks and significant number of “call minutes” might be
achieved.

*The cellular companies should take necessary steps to give special promotional schemes for
disabled, students and women, and try to reduce the health side effects from mobile usage etc. in
order to increase the market share.

*The mobile sellers should take necessary measures to increase the number of service centre in
rural areas and try to offer free service for rural people.

*The Samsung mobiles bring more add on facilities in their mobiles, but all the customers are
unable to access it due to lack of the awareness. Hence, the company can come forward for free
demonstration to all the consumers and they may create a chance to use all these services.

*The company has to bring safety locking system of mobile for eradication of the misusing the
mobile and create an awareness about usage method to protect health hazardous.
*The company shall introduce water proof mobile and unbreakable body to their valuable
customers because so many customers drown their mobile into water due to unavoidable
circumstances.

*Along with the defensive schemes, mobile phone is a necessary thing. new and improved features
have to introduced, which can attract the customers to the mobile phone selecting.

*More offers and discounts should be used as a weapon to attract customers.

ANNEXURE 1
 BIBLIOGRAPHY BOOKS:

C.R .Kothari,: Research Methodology, new age international publishers, third reprint Edition
2004.

WEBSITES:

• www.google.com

• www.seminorprojects.com

• www.managementparadise.com

• www.encyclopedia.com

• www.indiainfoline.com

• www.managementparadise.com

• www.script.com
ANNEXURE 2
QUESTIONNAIRE

Q1. NAME:

Q2. Gender:

a) Male
b) Female

Q3. Age (in year):

Q4. Educational Qualifications:

a) Secondary
b) Higher Secondary
c) Graduation
d) Post Graduation
e) Any Other Qualification

Q5. Married Status:

a) Married
b) Unmarried

Q6. Occupation:

a) Service
b) Professional
c) Business
d) Others

Q7. Income Level (Per Month)

a) Less than 15000

b) 15000 - 25000
c) 25000 – 35000
d) Above 35000
Q8. Which Mobile Brand Are You using:

a) Samsung
b) Apple
c) Vivo
d) Oppo
e) Realme
f) Redmi
g) Others

Q9. How long using Mobile phone:

a) 1 Year
b) 2 – 3 Year
c) 3 – 4 Year
d) Above 4 Years

Q10. What is your favourite Mobile brand using:

a) Samsung
b) Apple
c) Vivo
d) Oppo
e) Realme
f) Redmi
g) Others

Q11. Why you like the brand you choose above:

a) Advertisement
b) Appearance
c) Price
d) Function
e) Quality
f) Brand image
g) Service
h) Recommended by friends
Q12. What amount would be willing to pay for a Mobile:

a) Less than 10000

b) 10000 – 20000
c) 20000 – 30000
d) 30000 – 40000
e) 40000 Above

Q13. Where do you often to see Mobile advertisement:

a) Tv
b) Magazine
c) News paper
d) Internet
e) Hoardings
f) Others

Q14.Loyalty towards the brand:

a) Yes
b) No

Q15. Intention to repurchase same brand:

a) Yes
b) No

Q16. Preference towards the size of the handset:

a) Small
b) Large
c) Medium
d) Sleek
e) Others
Q17. Changing Mobile phone

a) Less than 6 Month

b) 6 – 12 Month
c) 1 – 2 Year
d) 2 – 3 Year

Q18. Place of purchasing Mobile phone

a) Online store
b) Exclusive showroom
c) Mobile showroom
d) Others

Q19. Preference towards various aspects of Look and Feel of mobile phone.

a) Screen size
b) Touch screen
c) Colour
d) Weigh
e) Shape
f) Compatibility
g) Buttons
h) Design and Style

Q20. Would you like to switch another brand with additional features

a) Yes
b) No

Q21. Consider the Tv advertisement you like what brand

a) Samsung
b) Apple
c) Vivo
d) Oppo
e) Realme
f) Redmi
Q22. Which of the following you would impress most

a) Slogan
b) Picture
c) Colour
d) Story
e) Spokesperson
f) Music
g) Recommended by friends