Dayananda Sagar College of Engineering

Department of Management Studies

“Study on Impact of promotional activities on consumer purchase decision”

By : Raghu.K.DilliwalaMBA(VTU)

Dayananda Sagar College Of

Engineering Bangalore

Executive Summary My project was carried out in JP Nagar-2nd phase, Bangalore Central-2

mall (Future Lifestyle Fashion) “Project study was on impact of promotional activities on consumer Purchase decision” Duration was 10 weeks Under the guidance of Store manager, and the staff in understanding

the promotional tools they are using to attract the customers.

Introduction about the internship

The internship had contained 4main parts:-o Understanding the structure, culture and functioning of the organizationo Preparation of research instrument for data collectiono Data collectiono Analysis and conclusion

Objectives of the study To analyse whether the promotional activities impact on customer buying choice To analyse whether the promotional activities expands or not To analyse whether promotional activities persuading the target audience or not To figure out the best promotional tools to attract the customers

Methodology adopted Descriptive research Primary data in relating with questionnaire Statistical tools used like Percentage Analysis, Chi square Test, ANOVA and Weighted

average mean

Limitations of the study Bias feeling of the respondents It was limited ability to focus on time The study is just restricted on 100 respondents. This was limited to choose just on the customer perspective. Time and cost requirements made the study constrained. Everything was done under the consent of shopping Central manager.

Company profileType : Public company

Industry :Retail industry

Location :Jaynagar 9th Block ,Bangalore,Karnataka

Started on :21st october 2009

CEO : Vishnu Prasad

Parent :Future Group

Headquarters : New mumbai

Products :Hyper market

Slogan :Brand new

Products/ServicesFASHION DEPTARTMENTDenim & t shirtFormalsCasual wearParty wearEthnic wearWestern wearSareesNight dressFootwear 

AccessoriesHand bagsWalletOrnamentsTiesWatches Sunglasses

TRAVELTrolleyTrekking bagsSuit case

ServicesFLOOR WISE DETAIL IN BANGALORE CENTRAL

GROUND FLOOR:-

Apparel - ethnic wear-

Apparel – Western wear

Fashion Accessories

Jewellery’s

Lingerie

Cosmetics

Perfumes

Sunglasses

Watches

Handbags

Electronic gadgets

 

FIRST FLOOR:-

Formals

Casuals

Party wear

Ethnic wear

Men’s accessories

SECOND FLOOR:- Youth wear

Planet sports

Baby world

CSD(customer service desk)

Men’s western

Luggage & Bag packs

Alteration room

THIRD FLOOR:-

Home town

E-zone

FOURTH FLOOR:-

Food court

FIFTH FLOOR:-

INOX

SIXTH FLOOR:-

Village

Ceo of future MR.Kishore biyani

Ceo of central Mr.Vishnu prasad

Coo [MR.Rajesh sheth] RM

STORE GENERAL MANAGER

MR. Mythreya

DIVISIONAL MANAGER Mr. Rahul (Sales apparels)

DIVISIONAL MANAGER Mr. Amit (Life style)

Mr. Velumurugan

OB

DIVISIONAL MANAGER

Mr.Fenny (Operational Excellence)

PAMPA KIDS

PRAKASH TOYS /

LUGGAGE

VASANTH YOUTH’S

SATISH MENS FORMAL/CASUALS

HARISH ACCESSARIES/MENS

HARISH ACCESSARIES

/MENS

REKHA LADIES ETHNIC

YUSUF COSMETICS

/FRAGRANCE /GLASS

ASHOK FOOTWEAR

SUJATHA

JEWELS/BAG

PEOPLE OFFICE

CASHIERS

WAREHOUSE ADMIN

FACILITY INVENTORIES

CSD

Organisational Chart

SWOT ANALYSIS OF THE CENTRAL STOREStrength:-

Located at main market place. Everyday low prices, which attract

consumers, and has a vast investment capacity.

It offers a family shopping experience, where entire family can visit together.

Available facilities such as online booking and delivery of goods.

Experienced work force. Good promotional plan

Weakness:-

Less parking facility High attrition of employees Too many offers at times confuse

the customer. Constant difficulty to achieve the

targets. Short of customer walk-ins due to

other organized retail in close nearness.

Opportunities:- Promotional offers to attract

customers. Increasing mall culture in India. Concentrating on E-retailing. Penetrating into 2 tier cities..

 

Threats:- Online retailer. Competition.

Promotional activities used in Central during Happiness season end sale:-

 

INTERNAL: -

Gift voucher Payback Loyalty card Discounts T24 SPECIAL OFFER EVENTS Products displays

EXTERNAL PROMOTIONAL TOOLS

STATIC BILL BOARD AND HOARDINGS ADDVERTISEMENT RADIO Newspaper Magazine

Data analysis and interpretation

For the study promotional tools, activities are studied theoretically and practically observed.

Primary data used like questionnaire for data collection on the month of January 2016

JUDGE COMPETATION BETWEEN ONLINE AND OFFLINE BUYING

JUDGE COMPETATION

   

Frequency Percent Valid PercentCumulative

PercentValid MUCH BETTER 26 26.0 26.0 26.0

SOME WHAT BETTER 46 46.0 46.0 72.0

JUST ABOVE THE SAME 15 15.0 15.0 87.0

NOT AS GOOD 13 13.0 13.0 100.0

Total 100 100.0 100.0   MU C H B E T T E R S O ME W HA T B E T T E R

JU S T A B O V E T HE S A ME

NO T A S G O O D

26

46

15 13

JUDGE COMPETATION

.

From the study it’s made known that majority of the respondents feels some what better in offline buying than the online buying. 

RADIO TV

NEWSP

APER

INTERNET

MOBILE

OTHER

S

16

42

10 11 10 11

APPROPRIATE MEDIUM APPROPRIATE MEDIUM

   Frequency Percent Valid Percent

Cumulative Percent

Valid RADIO 16 16.0 16.0 16.0

TV 42 42.0 42.0 58.0

NEWSPAPER 10 10.0 10.0 68.0

INTERNET 11 11.0 11.0 79.0

MOBILE 10 10.0 10.0 89.0

OTHERS 11 11.0 11.0 100.0

Total 100 100.0 100.0  

APPROPRIATE MEDIUM

From the study it’s made known that majority of the respondents feels that the suitable medium to promote the promotional schemes is TV.

HOW WELL YOU KEEP IN MIND

   Frequency Percent Valid Percent

Cumulative Percent

Valid DONT REMEMBER AT ALL 7 7.0 7.0 7.0

REMEMBER STORE BUT NOT THE PRODUCTS OR PROMOTIONAL TOOLS 7 7.0 7.0 14.0

REMEMBER THE STORE AND PRODUCT BUT NOT THE PROMOTIONAL TOOLS

6 6.0 6.0 20.0

REMEMBER PROMOTIONAL TOOLS 22 22.0 22.0 42.0

REMEMBER ALL 58 58.0 58.0 100.0

Total 100 100.0 100.0  

7%7%

6%

22%58%

Frequency

DONT REMEMBER AT ALLREMEMBER STORE BUT NOT THE PRODUCTS OR PRO-MOTIONAL TOOLSREMEMBER THE STORE AND PRODUCT BUT NOT THE PROMOTIONAL TOOLSREMEMBER PROMOTIONAL TOOLSREMEMBER ALL

From the study it’s made known that majority of the respondents remember all in the happiness season ending sale.

HOW WELL YOU KEEP IN MIND THIS PROMOTIONAL TOOLS

Occupation and better improvement in promotional activities.

OCCUPATION* BETTER IMPROVEMENT IN PROMOTIONAL ACTIVITIES Cross tabulation

Count      Better improvement in promotional activities Total    PAYBACK

OFFERDISCOUNT OFFER PRICE

OTHERS  

OCCUPATION

STUDENT 1 14 11 3 29PROFESSI

ON 3 30 3 6 42

BUSINESS 1 6 6 0 13

OTHERS 5 8 3 0 16Total   10 58 23 9 100

Chi-Square Tests

 

Value DfAsymp. Sig. (2-

sided)Pearson Chi-Square 25.682a 9 .002

Likelihood Ratio 26.464 9 .002

Linear-by-Linear Association 6.420 1 .011

N of Valid Cases 100    

10 cells (62.5%) have expected count less than 5. The minimum expected count is 1.17. 

It is found that there is a significance relationship between occupation and better improvement in promotional activities on overall purchase decision in Central (future lifestyle fashion) JP Nagar 2nd block Bangalore.

WEIGHTED AVERAGE MEAN:-

Contents WAM

Availability of products 3.54

Discounts 4.08

Quality 3.96

Brand Name 3.91

Others 4.04

All the value are near/ above 3.5, we have to accept all the aspect. The value is 4.08 in Discounts, so the Central shopping mall have to concentrate more on this aspect.

FindingsMajority of the respondents feels somewhat better in offline

buying is better than the online buying.Majority of the respondents describe it as memorable this time

about the promotional tools.Majority of the respondents remember everything in the happiness

season ending sale.Majority of the respondents said yes about the signage’s

displaying to them properly.Majority of the respondents are talked with someone’s about the

signage’s display  Majority of the respondents feels that the suitable medium to

promote the promotional schemes is TV.

Customers are expecting to get more promotional schemes offline so that they can physically touch and feel

the products. Present Central future life style fashion is providing more promotional activities for the

customers and the customers are willing more in making decision on purchasing and it went more in buying

offline than the online.

Conclusion

SuggestionMost of the respondents said that TV add is appealing

to eye and have a positive reaction, so company may design future advertisement in more creative way.

The price of the products should be checked to suit the lower class customer of the society also.

Majority of the respondents said that this time sales promotional schemes memorable so company should come up with a more attractive schemes in future.