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Chapter 1
INTRODUCTION
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INTRODUCTION
1.1 MARKETING INDUNDATION AND THE YOUNGER GENERATION
Increasing levels of social stimulation is inundating todays younger lot. Particularly
caught in the web of marketing information are children, teenagers and young college and
university-goers. Marketers over the globe are targeting this younger lot, which
interestingly makes up for a large (more than 50%) share of Indias total population, as
they have proven to be influential vehicles of marketing and prospective adult consumers.
These adults have their own purchase power and influence over the buying decisions of
family. Since my study concerns teenagers, in the age group of 13 to 19 years, I shall be
focusing on this segment only.
Adults contribute in the various stages of decision making process of various products in
families. Different factors could underlie their role. Adulthood is a stage where teenagers
are supposed to have had enough interaction with the external environment. This stage is
also characterized by an appreciable sense and ability of decision making as regards the
purchase of individual or family-owned goods and services. Today children have more
autonomy and decision-making power within the family than in previous generations.
The amount of influence exerted by children varies by product category and stage of the
decision making process. There is great concern about children as viewers of
advertisements primarily because young children are exposed to thousands of
commercials each year in India as well as in the West. All these considerations have
opened a plethora of new avenues for manufacturing and service firms catering to
children segment of the world market and India is not behind in the fray.
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1.2 AN OVERVIEW OF FAMILY
Family is defined as two or more people related by blood, marriage or adoption who
reside together. (Consumer Behaviour, Kanuk and Schiffman).
The family is a complex and ever-evolving core institution in many of the worlds
societies and nations. It is also a major influence on the consumer behavior of its
members among which children form an important and indispensable part. A child learns
how to enjoy a product from the market by observing an older brother or sister and learns
the use and value of money by listening to and watching his or her parents. Decisions
about a new car, vacation, shopping for getting necessary equipments for a typical Indian
wedding etc are all tabled before an entire family. The family commonly provides the
opportunity for product exposure and trial and imparts consumption values to its
members. As a consumption unit a family is also a prime target for many products and
services. To determine how the family goes about making its purchase and how family
affects the future purchase behavior of its members, its of vital importance to understand
the power of influence each member possesses from a marketers point of view.
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1.3 TYPS OF FAMILIES
THERE ARE MAIN THREE TYPES OF FAMILIES:-
a) THE MARRIED COUPLE:-
The simplest type of family, in number of member, is married couple-a husband and a
wife. As a household unit, the married couple generally is representative of new marriedwho have not yet started a family, and older couples who have already raised there
children.
b) THE NUCLEAR FAMILY:
A husband and wife and one or more children constitute a nuclear family. This
type if family is still commonplace but has been on decline.
c) THE EXTENDED FAMILY:
The nuclear family, together with at least one grandparent living within the
household, is called an extended family.
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1.4FAMILY LIFE CYCLE
The FLC is a composite variable created by systematically combining such commonly useddemographic variables as material status, size of family, age of family members(focusing on the
age of the oldest or youngest child),and employment status of the head of household. The ages of
the parents and relative amount of disposable income usually are inferred from the stage in the
family life cycle.
TRADITIONAL FAMILY LIFE CYCLE:
The traditional family life cycle is a progression of stages through which many families pass,
starting from brotherhood, moving on the marriage (and the creation of the basic family unit),
then to family growth (with the birth of children), to family contraction (as grown children leave
the household), and ending with the dissolution of the basic unit (due to the death of the spouse).
The traditional FLC models can be synthesized into just five basic stages, as follows
1) STAGE I BACHELORHOOD: Young single adult living apart from parents.
2) STAGE II HONEYMOONERS:Young married couple.
3) STAGE III PARENTHOOD: Married couple with at least one child living at home.
4) SATAGE IV POST PARENTHOOD: An older married couple with no children living
at home.
5) STAGE V DISSOLUTION: One surviving spouse.
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1.5 FAMILY SPECIFIC CHARACTERISTICS
There are a number of additional variables that have been found to influence the nature ofpurchasing decisions made within the family. There are certain influencing factor given below
CULTURE:
The role of husband and wives may differ dramatically from culture, which may result in
numerous difference in there decision making and also there children.
SUB- CULTURE:
In addition to cultural variations from one country to another, there are also subculture or ethnic
variation in consumer behavior within a countrys heterogeneous population.
SOCIAL CLASS:
Several studies on the relationship of socioeconomic class and joint participant in purchase
decision-making have indicated that a curvilinear relationship exists.
STAGE IN LIFE CYCLE:
The nature of family decision making changes over the life cycle. FOR EXAMPLE:- wives
with pre-school-age children have considerably less independent responsibility for economic
decision than do other wives. But the trend is being changing, now the children have good
participation in the decision making process.
GEOGRAPHICAL LCATION:
Limited research on the influence of place of residence on family decision-making indicates that
rural families have a higher frequency of joint decisions than do urban families. In urban area the
childrens participation in decision making is higher than rural areas children.
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CHILDREN:
Based on a study of purchasing-decision process by families as opposed to couples without
children, husbands tended to dominate decision making more in families.
1.5 FAMILY ROLES
Marketers recognize the family as the basic decision-making unit, even though they
frequently analyze the attitudes and behavior of the one family member or members
whom they believe to be the principal decision makers. In some cases they also examine
the attitudes and behavior of the person most likely to be the primary user of the product
or service.
Family Roles
For a family to function as a cohesive unit, roles or tasks such as doing the laundry,
preparing meals, setting the dinner table, taking out garbage et al must be carried out by
one or more family members. In a dynamic society, family-related roles are rapidly
changing. For example, given the substantial number of married women working outside
the home, growth in the middle-class income and a shift towards more responsibility on
young adults of looking after the household needs in the absence of their parents,
marketers must be particularly sensitive to how shifting family roles is bringing about a
paradigm shift in the power and balance or imbalance of influence of members on each
other. Additionally, they must be careful to phrase their marketing strategies, promotional
campaigns, advertisements in ways that are appropriate and acceptable to their target
markets.
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Key Family Consumption Roles
The marketing experts have chalked out eight distinct roles in the family decision making
process. A closer look at these roles provides an insight into how family members
interact in their various consumption-related roles:
Influencers: Family members(s) who provide information to other members about
a product or service.
Gatekeepers: Family members(s) who control the flow of information about a
product or service into the family.
Deciders: Family member(s) with the power to determine unilaterally or jointly
whether to shop for, purchase, use, consume, or dispose off a specific product or
service.
Buyers: Family member(s) who make the actual purchase of a product or service.
Preparers: Family member(s) who transform a product into a form suitable for
consumption by other family members.
Users: Family member(s) who use or consume a particular product or service.
Maintainers: Family member(s) who service or repair the product so that it will
provide continued satisfaction.
Disposers: Family member(s) who initiate or carry out the disposal or
discontinuation of a particular product or service.
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1.7CHILDREN TO TEENAGERS
Children
As parents know young children attempt to influence family decisions as soon as they
possess the basic communication skills needed to interact with other family members.
Older children are more likely to participate directly in family consumption decisions.
The parent-child relationship, as it relates to consumer behaviour, can be viewed as an
influence-versus-yield situation. Specifically children attempt to influence their parents to
make a purchase (to yield). They not only attempt to influence their parents to make
purchases of particular interest to them (video games, chocolates etc) but also products of
remote or family interest (refrigerator, TV etc).
Teenagers
Experts on the teen market have identified a variety of factors as to why they are a
particularly significant target market. According to one expert there are six key reasons
why teenagers deserve marketers special attention.
1.Teens spend a lot of money: The sheer buying power of
teenagers make them an attractive consumer audience. They spend huge money of
their own; more than 65% of them have a savings account while about 20% have a
credit card.2.Teens also spend family money: Teenagers spend a lot of their
family money besides their own. This is especially critical, because many
households with teenagers have both parents working full-time and, therefore,
more of the familys shopping responsibilities are being delegated to teen children.
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3.Teens influence what the family buys: When shopping
with their parents, teens influence their family purchases; they suggest their
preferred brands, even when they are not shopping with their parents, when their
parents seek their advice or when they ask for a gift.
4.Teens are trendsetters:Teens also influence fads and fashion in
many different product categories.
5.Teens are a growing market:The teen population is a ballooninggrowth-path and its increasing by the day. It may even be encroaching on other
consumer groups
6.Teens are future consumers: Most developing countries of the
world are experiencing a peculiar population growth. India has lots of potential
teen market waiting in near future and its an opportunity to make out of them
loyal and devoted customers and consumers. This is a strategically important
move because teens represent the future lifeblood for many brands.
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FUTURE MARKET:
A large number of marketers target children and parents, not only due to the pester power of
children, but also to build their loyalty toward the brand. Children are future customers and their
aspiration in the present affects their future preferences. Forexample, a boy who admires his
father and observe him using Gillette aftershave lotion everyday, associate the brand with his
father. The brand loyalty in children generally develops from inter-generational socialization and
from marketing targeted to positively influence children and convert them early into brand loyal.
In this cradle to grave strategy, marketers try to touch all aspects of childrens life and to
meaningful to them. An example is an adult wear brand entering the youth and kids market. This
leads to strong affiliation with the brand early in life in case of a positive usage experience.
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1.9CONSUMER DECISION MAKING PROCESSES
Traditionally, consumer researchers have approached decision making process from a rational
perspective. This dominant school of thought views consumers as being cognitive (i.e., problem-
solving) and, to some but a lesser degree, emotional. Such a view is reflected in the stage modelof a typical buying process (often called the consumer information processing model).
The Consumer Information Processing Model
Problem Recognition
Information Search
Evaluation and Selection of Alternatives
Decision Implementation
Post-purchase Evaluation
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In this model, the consumer passes through five stages: problem recognition, information
search, evaluation and selection of alternatives, decision implementation, and post-purchase
evaluation.
PROBLEM RECOGNIYION:
In this information processing model, the consumer buying process begins when the buyer
recognizes a problem or need. For example, Doug may realize that his best suit doesnt look
contemporary any more. Or, a girl, Sana, may recognize that her personal computer is not
performing as well as she thought it should. These are the kinds of problem that we as
consumers encounter all the time. When we found out a difference between the actual state
and a desired state, a problem is recognized. When we find a problem, we usually try to solve
the problem. We, in other words, recognize the need to solve the problem.
INFORMATION SEARCH:
When a consumer discovers a problem, he/she is likely to search for more information. Sana
may simply pay more attention to product information of a personal computer. She becomes
more attentive to computer ads, computers purchased by her friends, and peer conversations
about computers. Or, she may more actively seek information by visiting stores, talking to
friends, or reading computer magazines, among others. Through gathering information, the
consumer learns more about some brands that compete in the market and their features andcharacteristics. Theoretically, there is a total setof brands available to Sana, but she will
become aware of only a subset of the brands (awareness set) in the market. Some of these
brands may satisfy her initial buying criteria, such as price and processing speed (consideration
set). As Sana proceeds to more information search, only a few will remain as strong candidates
(choice set).
EVALUATION AN SELECTION ALTERNATIVE:
How does the consumer process competitive brand information and evaluate the value of the
brands? Unfortunately there is no single, simple evaluation process applied by all consumers or
by one consumer in all buying situations.
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One dominant view, however, is to see the evaluation process as being cognitively driven and
rational. Under this view, a consumer is trying to solve the problem and ultimately satisfying
his/her need. In other words, he/she will look for problem-solvingbenefits from the product.
The consumer, then, looks for products with a certain set of attributes that deliver the benefits.
Thus, the consumer sees each product as a bundle of attributes with different levels of ability ofdelivering the problem solving benefits to satisfy his/her need. The distinctions among the
need, benefits, and attributes are very important. One useful way to organize the relationships
among the three is a hierarchical one. Although simplified, Figure below is an example of how a
bundle of attributes (i.e., a product or, more specifically, personal computer) relates to the
benefits and underlying needs of Sana.
Hierarchical View of Needs, Benefits, and Attributes
Underlying Needs
Benefits
AttributesSize
Portability
PriceCPU Speed
Computational
Horse PowerEconomy
Hard Drive Size
Software
Bundle
Helps Me Survive
Babson MBA Pogram
Doesnt Break
down
Brand
Reputation
Warranty
lobeNet
Ready
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From this figure and the preceding discussion, we might recognize that the product attributes are
relevant and important only to the extent that they lead to a certain set of benefits. Likewise,
benefits are meaningful only if they can address the problem and be instrumental to satisfy the
underlying need. As the underlying need is often personal, consumers differ as to their beliefs
about what product benefits and attributes are more (or less) important and relevant in satisfying
their needs. Based on their personal judgment on importance of benefits and attributes,
consumers develop a set of attitudes (or preferences) toward the various brands. One may
express his/her preferences of the brands in terms of ranking, probability of choice, and so forth.
DECISION IMPLEMENTATION:
To actually implement the purchase decision, however, a consumer needs to select both specific
items (brands) and specific outlets (where to buy) to resolve the problems. There are, in fact,
three ways these decisions can be made: 1) simultaneously; 2) item first, outlet second; or 3)outlet first, item second. In many situations, consumers engage in a simultaneous selection
process of stores and brands. For example, in our Sanas personal computer case, she may select
a set of brands based on both the products technical features (attributes) and availability of
brands in the computer stores and mail-order catalogs she knows well. It is also possible, that
she decides where to buy and then chooses one or two brands the store carries. Once the brand
and outlet have been decided, the consumer moves on to the transaction (buying).
POST-PURCHASE EVALUATION:
Post-purchase evaluation processes are directly influenced by the type of preceding decision-
making process. Directly relevant here is the level of purchase involvement of the consumer.
Purchase involvement is often referred to as the level of concern for or interest in the purchase
situation, and it determines how extensively the consumer searches information in making a
purchase decision. Although purchase involvement is viewed as a continuum (from low to high),
it is useful to consider two extreme cases here. Suppose one buys a certain brand of product
(e.g., Diet Pepsi) as a matter of habit (habitual purchase). For him/her, buying a cola drink is a
very low purchase involvement situation, and he/she is not likely to search and evaluate product
information extensively. In such a case, the consumer would simply purchase, consume and/or
dispose of the product with very limited post-purchase evaluation, and generally maintain a high
level of repeat purchase motivation .
Low Involvement Purchas
Purchase Product UseSimple
EvaluationDisposition
Repeat Purchase
Motivation
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However, if the purchase involvement is high and the consumer is involved in extensive
purchase decision making (e.g., personal computer), he/she is more likely to be involved in more
elaborate post-purchase evaluation often by questioning the rightness of the decision: Did I
make the right choice? Should I have gone with other brand? This is a common reaction aftermaking a difficult, complex, relatively permanent decision. This type of doubt and anxiety is
referred to as post-purchase cognitive dissonance.
Elaborate Post-purchase Evaluation
According to the research, the likelihood of experiencing this kind of dissonance and themagnitude of it is a function of:
i
y The degree of commitment or irrevocability of the decision,
y The importance of the decision to the consumer,
y The difficulty of choosing among the alternatives, and
y The individuals tendency to experience anxiety.
Because dissonance is uncomfortable, the consumer may use one or more of the following
approaches to reduce it:ii
y Increase the desirability of the brand purchased.
y Decrease the desirability of rejected alternatives.
y Decrease the importance of the purchase decision.
y Reject the negative data on the brand purchased.
urchase roduct selaborate
valuationisposition
issatis action
Repeat urchase
otivation
ost-purchase
issonance
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If the dissonance about the purchase is not reduced, the anxiety may transform into a
dissatisfaction (general or specific). Certainly, this negative experience leads to a new problem
recognition (Figure 1), and the consumer will engage in another problem solving process. The
difference, however, is that in the next round of process, memory of the previous negative
experience and dissatisfaction will be used as part of information. Therefore, the probability for
the unsatisfactory brand to be re-selected and repurchased will be significantly lower than before.
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Thereare fivestages of consumerbehavior:
1) Problem recognition.
2) Information search.
3) Alternative evaluation.
4) Purchase decision.
5) Post- purchase decision.
Problemrecognition
:
Perceivinga need
Informationsearch:
Seekinvalue
Alternativeevaluation:
Assessing value
Purchasedecision:
Buyingvalue
Post-purchasebehaviour:
value inconsumption or
use
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1.10STAGES DECISION MAKING
The process of decision making consists of three key stages: (1) Need
recognition, (2) information search and (3) evaluation of alternatives.
Need recognition
The recognition of need is likely to occur when a consumer is faced with a
problem. Among consumers, there seem to be two different need or problem
recognition styles. Some consumers are actual state types, who perceive that they
have a problem when a product fails to perform satisfactorily (e.g. a wrist watch
no longer keeps accurate time). In contrast, other consumers are desired state
types, for whom the desire for something new may trigger the decision process.
Need or problem recognition can also be viewed as eithersimple or complex.
Simple problem recognition refers to the needs that occur frequently and that can
be dealt with almost automatically and in a swift manner e.g. feeling hungry and
buying something to eat to feed the hunger. Complex problem recognition,
however, is characterized by as a state in which a problem develops over time, as
the actual state and the desired state gradually move apart. For example, after
several years of driving a car, the owner may begin to consider trading it in for a
new one to avoid growing repair bills.
Information search
Information search begins when a consumer perceives a need that might be
satisfied by a purchase and consumption of a product. The recollection of the past
experiences (long term memory storage) might provide the consumer with
adequate information to make the present choice. On the other hand, when the
consumer has had no prior experience, he or she may have to engage in extensive
search of the outside environment for useful information on which to base the
choice. Past experience is considered to be the internal source of information
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regarding a given consumption related need. The greater the relevant past
experience, the less external information the consumer is likely to need to reach a
decision. The degree of perceived risk can also influence this stage of decision
making. In high-risk situations, consumers are likely to engage in complexinformation and evaluation; in a low-risk situation, they are likely to use very
simple search or evaluation tactics.
Evaluation of alternatives
When evaluating potential alternatives, consumers tend to use two types ofinformation: (1) list of brands from which they plan to make their selection
(evoked set) and (2) the criteria they will use to evaluate each brand.
Evoked set: within the context of consumer decision making, the evoked set refers
to the specific brands a consumer considers in making a purchase within a
particular product category e.g. in the sports shoes brands like Nike, Addidas,
Campus, etc. A consumers evoked set is distinguished from his or her ineptset,
which consists of the brands the consumer excludes from purchase considerations
because they are felt to be unacceptable and from the inertset, which consists of
the brands the consumer is indifferent toward because they are perceived as not
having any particular advantage. The evoked set consists of the small number of
brands the consumer is familiar with, remembers and finds acceptable.
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FEEDBACK
CONSUMER DECISION MAKING PROCESS
PROBLEM
RECOGNITION
INFORMATION
SEARCH
EVALUATION
OF
ALTERNATIVE
PURCHASE POST-
PURCHASE
EVALUATION
DIVESTMENT
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CONSUMER DECISION MAKING CYCLE
NEED
RECOGNITION
INFIRMATION
SEARCH
EVALUATION
ALTERNATIVE
PURCHASE
DECISION
PURCHASE
EVELUATION
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Howard Howard Howard Howard ?
London
Wharton Wharton Wharton
Copenhagen
Ross Ross Ross Ross
Stanford Stanford Stanford Stanford
Columbia
Kellogg
TOTAL
SET
AWERENESS
SET
CONSIDRAT-
IO
N SET
CHOICE
SET
DECISIUON
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Chapter 2
Study and Research
Methodology
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2.1 Objective of the studyObjectives
(a) To study the role teenagers play in the family purchase decision-making.
(b) To study the orientation of teenagers influence between products for family
consumption and individual consumption.
(c) To study the out factors that give teenagers power to influence the decision-
making process.
2.2 Hypothesis
1. Teenagers exert considerable influence on family purchase decisions.
2. Teenagers have greater say as regards decisions related to purchaseof their own consumption rather than those of family or general
consumption
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2.3 Research Methodology
Nature of the study
y
Exploratory in naturey Largely based on primary data
y Sampling method: Convenience sampling
y Sample size = 150
y Study conducted in Kanpur city
y Period of study: April, May 2009
Respondents
y Age group 13 to 19
y Mostly school-going teenagers
y Kanpur city residents
2.4 Data collection technique
A questionnaire containing 18 statements was administered to 150 respondents. 11
of the statements were analyzed using a 5 point rating scale while the remaining 7
had options against them.
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Chapter 3DATA ANALYSIS AND INTERPRETATION
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Statistics
Gender
N Valid 150Missing 0
Frequency Percent Valid PercentCumulative
Percent
Valid Male 92 61.3 61.3 61.3Female 58 38.7 38.7 100.0
Total 150 100.0 100.0
Female
Male
gender
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Data Analysis and Interpretation
The data has been analyzed using the software Statistical Package for Social
Sciences (SPSS). For statements ranging from 1 to 11 a five point rating scale has
been used to elicit the right degree of respondents agreement/disagreement or their
indifference to a given statement.
The symbols used in the charts or graphs are as under:
Statements ranging from 12 to 18 are followed by four options and the respondents were asked to
tick off the one that most appropriately represented their choice or preference.
Strongly Agree: SA
Agree: A
Neither agree nor disagree: NAND
Disagree: D
Strongly Disagree: SD
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Statement1
I play anactiveroleingatheringinformationabouta productto beboughtby me/my
family:
Frequency Percent Valid PercentCumulative
Percent
Valid SA 43 28.7 28.7 28.7
A 91 60.7 60.7 89.3
NAND 14 9.3 9.3 98.7
D2 1.3 1.3 100.0
Total 150 100.0 100.0
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Interpretation: As is clear from the figures, with around 28 and 70 per cent of therespondents strongly agreeing and agreeing respectively with the statement, teenagers are
found to be active participants in the early decision making stages in family purchase
decision process.
Q1
DNANDASA
F
requency
100
80
60
40
20
0
Q1
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Statement 2
My parents/eldersaskme to collect informationabouta product orservice in the
market:
Frequency Percent Valid PercentCumulative
Percent
ValidSA 41 27.3 27.3 27.3
A 47 31.3 31.3 58.7
NAND 42 28.0 28.0 86.7
D 16 10.7 10.7 97.3
SD 4 2.7 2.7 100.0
Total 150 100.0 100.0
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Interpretation: The statement tries to see whether teenagers by themselves look for
information about family purchases or its their parents who ask them to do so. 27 percent
strongly agree while 31 percent agree that their parents influence their information
seeking. A little over 10 percent have shown disagreement to this statement, while 28
percent have exhibited indifference.
Q2
SDDNANDASA
Frequency
50
40
30
20
10
0
Q2
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Statement 3
I gatherinformation withoutmy parents/eldersaskingmeto do it:
Frequency Percent Valid Percent
Cumulative
PercentValid
SA27 18.0 18.0 18.0
A38 25.3 25.3 43.3
NAND36 24.0 24.0 67.3
D29 19.3 19.3 86.7
SD20 13.3 13.3 100.0
Total150 100.0 100.0
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Interpretation: This statement aimed at checking the degree of independence
regarding teenagers seeking information. A mixed response has been shown by
respondents with a tilt towards their agreement with the statement.
Q3
SDDNANDASA
Frequency
40
30
20
10
0
Q3
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Statement 4
I dontaccompany my parentsto shoppingbutthey certainly keep inmindmy likes
anddislikes whilethey shop:
Frequency Percent Valid PercentCumulative
Percent
Valid
SA61 40.7 40.7 40.7
A54 36.0 36.0 76.7
NAND19 12.7 12.7 89.3
D14 9.3 9.3 98.7
SD2 1.3 1.3 100.0
Total 150 100.0 100.0
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Interpretation: Major chunk of the respondents agree with the statement that their
parents care about their choices even when they dont accompany their parents to
shopping. This shows the influence todays teenagers exert on their family purchase
decisions or the role they play.
Q4
SDDNANDASA
Frequency
60
40
20
0
Q4
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Statement 5
I take partinthedecisionmaking only whenitisa product ofmy interest or use:
Frequency Percent Valid Percent
Cumulative
PercentValid
SA46 30.7 30.7 30.7
A61 40.7 40.7 71.3
NAND 30 20.0 20.0 91.3
D6 4.0 4.0 95.3
SD7 4.7 4.7 100.0
Total150 100.0 100.0
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Interpretation: With over two-third of the respondents attesting to the view that they
take part in the purchase process when its about a product of they own use, its testimony
enough that teenagers are an important party to the decision making process.
Q5
SDDNANDASA
Freq
uency
60
40
20
0
Q5
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Statement 6
I haveno say when purchase ofa product of family useisbeingdecided upon:
Frequency Percent Valid PercentCumulative
Percent
Valid
SA 34 22.7 22.7 22.7
A 36 24.0 24.0 46.7
NAND 51 34.0 34.0 80.7
D 18 12.0 12.0 92.7
SD11 7.3 7.3 100.0
Total 150 100.0 100.0
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Statement 7
The purchasedecisionrelatedto a product ofmy useentirely rests with me:
Frequency Percent Valid Percent
Cumulative
PercentValid
SA56 37.3 37.3 37.3
A51 34.0 34.0 71.3
NAND32 21.3 21.3 92.7
D9 6.0 6.0 98.7
SD2 1.3 1.3 100.0
Total 150 100.0 100.0
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+
Interpretation: The response is of significance for marketers who want to reach out
to teenagers with products of their use as the above chart clearly indicates the
independence they enjoy regarding the purchase of their own products.
Q7
SDDNANDASA
Frequency
60
50
40
30
20
10
0
Q7
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Statement 8
My choiceisthe first priority inevery stage ofdecision-making:
Frequency Percent Valid PercentCumulative
Percent
Valid
SA 61 40.7 40.7 40.7
A 54 36.0 36.0 76.7
NAND 29 19.3 19.3 96.0
D 6 4.0 4.0 100.0
Total 150 100.0 100.0
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Interpretation: Decision making is not an instantaneous process. There are some
stages and a considerable time involved in the whole process. The figures above again
show the influence of teens at all stages. Marketing lessons could be drawn from this
response.
Q8
DNANDASA
Frequency
60
40
20
0
Q8
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Statement 9
I enjoy completeindependence when finally purchasingthe product:
Frequency Percent Valid PercentCumulative
Percent
Valid
SA 56 37.3 37.3 37.3
A 50 33.3 33.3 70.7
NAND 33 22.0 22.0 92.7
D 7 4.7 4.7 97.3
SD
4 2.7 2.7 100.0
Total 150 100.0 100.0
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Interpretation: This statement aimed to gauge whether the earlier responses which
showed a definite influence on the decision making was just a half-truth or teenagers
really had a say. The figures testified to the fact the last stage of purchase decision
making was also considerably influenced by teenagers.
Q9
SDDNANDASA
Frequency
60
50
40
30
20
10
0
Q9
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Statement 10
My favoritebrand/productisalways consideredinthedecisionmaking:
Frequency Percent Valid Percent
Cumulative
PercentValid
SA36 24.0 24.0 24.0
A69 46.0 46.0 70.0
NAND 33 22.0 22.0 92.0
D8 5.3 5.3 97.3
SD4 2.7 2.7 100.0
Total150 100.0 100.0
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Interpretation: 70 percent of the respondents attested to the view that their brand or
product preferences are always considered in the decision making process. A clear
indication for brand managers or marketers to focus upon reaching out to this segment
with well thought-out marketing programs.
Q10
SDDNANDASA
Frequency
60
40
20
0
Q10
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Statement 11
My parentsalwaysimposetheir preference overthat ofmineinthe purchase of
products of family use:
Frequency Percent Valid PercentCumulative
Percent
Valid
SA23 15.3 15.3 15.3
A 26 17.3 17.3 32.7
NAND45 30.0 30.0 62.7
D40 26.7 26.7 89.3
SD16 10.7 10.7 100.0
Total150 100.0 100.0
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Interpretation: A statement in disguise to check on the view whether parents forced
their opinion on teenagers was met with a mixed response with majority showing
indifference while close to 37 percent not favoring the view.
Q11
SDDN
ND
SA
Fre
e
cy
50
40
30
20
10
0
Q11
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Statement 12
I initiatethe purchase:a) Always: __________b) Often: __________ c) Sometimes: ___________
d) Rarely: _________ e) Never: __________
Frequency Percent Valid PercentCumulative
Percent
ValidAlways
30 20.0 20.0 20.0
Often22 14.7 14.7 34.7
Sometime70 46.7 46.7 81.3
Rarely18 12.0 12.0 93.3
Never10 6.7 6.7 100.0
Total150 100.0 100.0
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Interpretation: With around 47 percent saying they sometimes initiate the purchase,
the statement shows a bit of digression from the past responses may be because teenagers
feel a bit insecure making the first move at a crucial stage.
Q12
NeverRarelySometimeOftenAlways
Frequency
60
40
20
0
Q12
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Statement 13
I accompany my parentsto theshopping place/market:
a) Always__________b) Often ____________ c)Sometimes:_________
d) Rarely ___________e) Never _____________
e)
Q13
Frequency Percent Valid PercentCumulative
Percent
ValidAlways 21 14.0 14.0 14.0
Often 72 48.0 48.0 62.0
Sometime 22 14.7 14.7 76.7
Rarely 28 18.7 18.7 95.3
Never 7 4.7 4.7 100.0
Total 150 100.0 100.0
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Interpretation: 72 percent of the teenagers accompany their parents to shopping
places. Much like exposure to the products and services influences the behaviour of
consumers, exposing teenagers to the shopping situations will obviously tend to engage
them more and more in the decision making process.
Q13
NeverRarelySo etimeOftenAlways
80
60
40
20
0
Q13
Frequency
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Statement 14:
I go shopping with my parentsbecause
(a) I enjoy going out with them ______ (b) They valuemy suggestions_____
(c) They rely uponmy suggestions______(d) They forcemeto go with them______
Frequency PercentValid
PercentCumulative
Percent
Valid
I enjoy 47 31.3 31.3 31.3
Value mysuggestions 66 44.0 44.0 75.3
rely on me 25 16.7 16.7 92.0
They force me 12 8.0 8.0 100.0
Total 150 100.0 100.0
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Interpretation: Majority of the respondents (44 %) say that they go shopping with
their parents because their suggestions are given importance by their parents, while 31
percent are of the view that they simply enjoy shopping with their parents and that is their
prime motivation.
Q14
They force merely on meValue my suggestionsI enjoy
Frequency
60
40
20
0
Q14
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Statement 15
I alwaysactively take partin
a) Gathering productinformation_________b)Evaluatingalternatives:__________
c) Final purchase: __________d) All oftheabove:________e) None ofthe
above:_________
Q15
Frequency PercentValid
PercentCumulative
Percent
Valid Product
Information 43 28.7 28.7 28.7
Evaluation16 10.7 10.7 39.3
Final Purchase16 10.7 10.7 50.0
All Above64 42.7 42.7 92.7
None11 7.3 7.3 100.0
Total150 100.0 100.0
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Interpretation: Major chunk of the respondents are of the opinion that they
play an active part in all the decision making stages.
Q15
NoneAll AboveFinal PurchaseEvaluationProduct Information
60
40
20
0
Q15
Frequency
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Statement 16:
My choiceisinfluencedby
a) My parents:___________b)My friends_________ c)Advertisements:___________
d) None:_______e)Others, pleasespecify:_________
Q16
Frequency Percent Valid PercentCumulative
Percent
ValidParents 65 43.3 43.3 43.3
Friends42 28.0 28.0 71.3
Ads 14 9.3 9.3 80.7
None27 18.0 18.0 98.7
Others 2 1.3 1.3 100.0
Total 150 100.0 100.0
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Interpretation: To know whether their choices are influences by some other person,
the respondents showed that parents are the prime influencers followed by friends.
Q16
OthersNoneAdsFriendsParents
Frequency
60
40
20
0
Q16
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Statement 17:
I play greaterroleinthe purchase ofa) Products for my own use:__________ b) Products for family
use:_____________
Frequency Percent Valid PercentCumulative
Percent
Valid Own use 95 63.3 63.3 63.3Family use 55 36.7 36.7 100.0Total 150 100.0 100.0
Interpretation: 62 percent of the respondents are of the view that they have greater
say in the products of their individual consumption.
Q17Family useOwn use
Percent
60
40
20
0
Q17
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Statement 18:
I play animportantroleintheentiredecisionmaking processbecause
a) I have more access to market information (TV, Internet, Friendsetc)___________
b) Only I do theshopping formy family ___________c) My parents highly valuemy choices ____________d) Others, pleasespecify ____________
Q18
Frequency PercentValid
PercentCumulative
Percent
Valid
Marketinformation 53 35.3 35.3 35.3
Only I shop
31 20.7 20.7 56.0
value mychoices 61 40.7 40.7 96.7
Others
5 3.3 3.3 100.0
Total
150 100.0 100.0
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Interpretation: Majority of the respondents attest to the fact that they play an active
role in the entire process of decision making because their parents value their choices. Agood portion of the respondents said that they do so because they have access to the
information media and an edge over the market information.
Q18
Othersvaluemy choicesOnly I shop arketinformation
Frequency
60
40
20
0
Q18
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Chapter 4
Conclusion and Limitations
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4.1 ConclusionTeenagers form a significant part of the target of all businesses and in India this fact will
acquire more importance in the years to come. This small survey which was aimed at
gauging the influence the young blood exerts on the purchase decision making in their
families, despite its limited scope does yield some results both for the society as well as
business marketers and managers.
The first objective of the study was to know what role teenagers play in the family
purchase decision making process. As the data analysis depicts it, teenagers are no longer
passive spectators when it comes to purchase of goods and services for either their own
consumption or for general family use. They have been found to be active throughout the
whole process. For the marketers who are vying for market share and space, there are
lessons of significance to be drawn. They have to have the foresight of the trends that are
taking place in the world of teens. As it has been highlighted at the very beginning of this
study that teenagers have hold on the family money and moreover todays world offers
them opportunity to earn while learn. Besides this teenagers are future consumers and
smart marketers know its costs five times less to have a loyal customer than win a new
one. Losing the loyalty of customers has very negative repercussions for business
organizations. They need to devise marketing strategies, especially when its related to
the market of teens. Its a difficult job to get the teens stick to one kind of brand be it of a
product or service.
Thus the results show it that even in places where teenagers have not yet got the kind of
exposure that their counterparts in (say) Indias metro cities have, teenagers have jumped
into the fray of deciding for themselves about what they eat, wear, like to wear, the
college they would like to go to after higher secondary etc. The overall decision making
ability has seen a paradigm shift thanks to the increasing influence and proliferation of
electronic and digital media. Therefore the hypothesis that teenagers exert considerable
influence on the family purchase process has been tested and is true.
The second objective as to what was the orientation of the teenagers vis-a-vis their
interest in the products and services of their individual use and family use, the response
from teenagers regarding their say in the products of their own use or interest has
dominated those who opined for products of family consumption. About two-third
teenagers are more inclined towards products of their own use rather than the general
family use. This proves the second hypothesis that teenagers have greater say when it
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comes to decision related to products of their own consumption or interest rather than
those of general or family interest.
A third objective was to factor out what influences teenagers to indulge in the family
purchase decision process. Majority of the teenagers have opined that because their
parents value their contributions followed by others saying that since they have greater
access to information media like TV, internet, friends at school or college and most
importantly the market place itself.
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4.2 Recommendations
Marketing to kids is no longer kid stuff, a marketing expert has rightly observed. And
this hold even more to the teenagers as this is a stage where with their age they acquire
the decision making ability. Some recommendations which could be drawn from the
study for marketers are as follows:
y Teenagers are a growing market and they need to come up with marketing
programming especially focusing on them.
y The policies they devise shouldnt be cheating or deceiving as if at this stage
teens get a false impression about a firm, its products, employees etc it would
prove dear to the company in the longer run.
y Teenagers have considerable hold on the family money , the products must be
designed keeping in view the family budget of the target market. A deeper
analysis and research would give then ideas as where they would find a balance
between their product cost, price and the depth of teenagers pockets.
y The marketers should concentrate more on the products which teenagers directly
use for their own purposes rather that devise programs which involve teenagers
indulging in products of family purchase.
y The integrated marketing programs would be of immense good to marketers and
the firms they serve since teenagers are at some point or the other influenced by
the other social groups.
y Right communication channel need to be zeroed in on while targeting teenagers.
E.g. TV, Internet.
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4.3Limitations
Paucity of time was a major constraint.
Limited study material on this subject as very few studies have been conducted in
this field especially in Indian context.
The sample size is probably too small to generalize the findings on a large
population.
The respondents might have been biased in responding to the statements meant to
elicit honest responses.
Most of my respondents were school going teens who either might not have
understood the context of the study or they were found to be in hurry.
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BIBLIOGRAPHY
References
Books consulted
ChaudhariArjun Emotion and Reasoning;Kanuk and Schiffman Consumer Behavior, , sixth edition
AmmiChantalGlobal Consumer Behavior;
Fromthe web...
y
http://www.amsreview.org/article/kaur08-2006.pdfy http://www.consumeraffairs.com
Journalsandrelated publications
Seoul Journal of Business
Teenagers Influence On Purchase Decision-Making;Dr Julie TinAson
Children in family purchase decision making; Pavleen Kaur, Raghbir Singh
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QUESTIONNAIRECOLLEGE OF MANAGEMENT STUDIES,MC.ROBERT GANJ,KANPUR
Dear respondent,
I solicit your responses to the following questions regarding my dissertation work,
Teenagers influence on family purchase decisions , which is a part of MBA
course I am pursuing in the College of management studies, Mc.Robert ganj,
Kanpur. The information you provide shall be treated as highly confidential.
__________________________________________________________________
Demographics:
Age: ______years
Gender: Male______ Female______
Next to each statement please mark one response that best expresses the
extent to which you agree or disagree with the statement. Remember, there are
no right or wrong answersI just want your opinions.
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STATEMENT SA A NAND D SD
I play an active role in gathering information
about a product to be bought by me/my
family:
My parents/elders ask me to collect
information about a product or service in the
market:
I gather information without my
parents/elders asking me to do it:
I dont accompany my parents to shopping
but they certainly keep in mind my likes and
dislikes while they shop:
I take part in the decision making only when
it is a product of my interest or use:
I have no say when purchase of a product of
family use is being decided upon:
The purchase decision related to a product of
my use entirely rests with me:
My choice is the first priority in every stage of
decision-making:
I enjoy complete independence when finally
purchasing the product:
My favorite brand/product is always
considered in the decision making :
My parents always impose their preference
over that of mine in the purchase of productsof family use:
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PLEASE READ EACH STATEMENT CAREFULLY AND ANSWER THE QUESTION
BY FILLING IN THE APPROPRIATE BOX(S) THAT REPRESENTS YOUR
RESPONSE OR RESPONSES.
1. I initiatethe purchase:
(a) Always: __________ (b) Often: __________ (c) Sometimes: ___________
(d) Rarely: _________ (e) Never: __________
2. I accompany my parentsto theshopping place/market:
(a) Always__________ (b) Often ____________ (c) Sometimes:_________
(d) Rarely ___________(e) Never _____________
3. I go shopping with my parentsbecause
(a)I enjoy going out with them _________ (b) They valuemy
suggestions______________
(c)They rely uponmy suggestions________(d) They forcemeto go with
them___________
4. I alwaysactively take partin
(a) Gathering productinformation:_________ (b) Evaluatingalternatives:__________
(c) Final purchase: __________ (d) All oftheabove:________(e) None ofthe
above:_________
5. My choiceisinfluencedby
(a)My parents:___________ (b) My friends_________ (c) Advertisements:___________
(d) None:_______ (e) Others, pleasespecify:_________
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6. I play greaterroleinthe purchase of
(a) Products formy own use:__________ (b) Products for family use:_____________
7. I play animportantroleintheentiredecisionmaking processbecause
(a)I havemoreaccessto marketinformation (TV, Internet, Friendsetc)___________(b)Only I do theshopping formy family _______________(c)My parents highly valuemy choices _______________(d)Others, pleasespecify _________________
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THANK YOU!!
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i Hawkins, Del I., R. J. Best, and K. A. Coney (1983), Consumer Behavior: Implications for Marketing Strategy,Plano, Texas: Business Publications Inc.
ii Ibid.
Recommended