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EXECUTIVE SUMMARY
The rapid growth of industry has changed the conditions of business. as the markets become more and more competitive, malls are more likely to attempt to maintain their market share by focusing on developing new customers and retaining the existing customers. so to exist with a superior performance in market, industry should concentrate on store design, visual merchandising and the point of purchase communication.At the time of tough competition, it is important for the malls to increase footfalls at their stores.So to increase footfalls and stickiness to their stores, marketers try to their stores, marketers try to improve store design, visual merchandise and also make efforts to make impulse purchase.So the purpose is to study how marketers attract more customers and to what extent store design affect the buying behavior of mall. The report analysis on “the impact on store design, visual merchandising& point of purchase communication on the consumer buying behavior” this study was based on both primary and secondary data .The primary data were collected from the sample survey that was conducted in Ahmedabad city. Our sample size is 300.the questionnaire was designed to know the factors affecting consumer buying behavior. Secondary data was collected from internet and publishe sources.We consider various elements of store design,visual merchandizing and point of purchase communication.From the study we got to know that there are various parameters which have high impact on consumer buying behavior.
INTRODUCTION
The Indian retail industry is the fifth largest in the world. Comprising of organized and unorganized sectors, India retail industry is one of the fastest growing industries in India, especially over the last few years. Though initially, the retail industry in India was mostly unorganized, however with the change of tastes and preferences of the consumers, the industry is getting more popular these days and getting organized as well. With growing market demand, the industry is expected to grow at a pace of 25-30% annually. The India retail industry is expected to grow from ` 35,000 crore in 2004-05 to ` 109,000 crore by the year 2010
Indian retail sector is highly fragmented as compared to the developed as well as the other developing countries. This shows a great potential for the organized retail industry to prosper in India, as the market for the final consumption in India is very large. Retail trade is largely in the hands of private independent owners and distributor’s structure for fast moving consumer goods consisting of multiple layers such as carrying and forwarding agents, distributors, stockiest, wholesalers and retailers. Thus, the growth potential for the organized retailer is enormous. In the next 2-3 years, India will finally see operations of a number of very serious international players- net withstanding the current restrictions on FDI in retail.
The Indian retail sector is ready to take on challenges from global retail players such as Wal-mart and Carrefour because unlike them, they have a better understanding of the Indian consumer’s psyche. Ultimately, a successful retailer is one who understands his customer. The Indian customer is looking for an emotional connection, a sense of belonging. Hence, to be successful any retail outlet has to be localized. The customer should feel that it is a part of his culture, his perceived values, and does not try to impose alien values or concepts on him. Indian customer is not
keen to buy something just because it is sold by an international company.
Current StatusIndia’s retail industry accounts for 10 percent of its GDP and 8 percent of theemployment to reach $17 billion by 2010.
The Indian retail market is estimated at US$ 350 billion. But organised retail is estimatedat only US$ 8 billion. However, the opportunity is huge-by 2010, organised retail isexpected to grow at 6 per cent by 2010 and touch a retail business of $ 17 billion asagainst its current growth level of 3 per cent which at present is estimated to be $ 6billion, according to the Study undertaken by The Associated Chambers of Commerceand Industry of India (ASSOCHAM). Indian retailing is clearly at a tipping point. Indiais currently the ninth largest retail market in the world. And it is names of small townslike Dehradun, Vijayawada, Lucknow and Nasik that will power India up the rankingssoon.
Organised retail in India has the potential to add over Rs. 2,000 billion (US$45 billion)business by the Year 2010 generating employment for some 2.5 million people in variousretail operations and over 10 million additional workforce in retail support activitiesincluding contract production & processing, supply chain & logistics, retail real estate
development & management etc.
It is estimated that it will cross the $650-billion mark by 2011, with an already estimatedinvestment of around $421 billion slated for the next four years.
Organized Retail Penetration (ORP)
is the highest in footwear with 22 per cent followed by clothing. Though food and grocery account for largest share of retail spend by the consumer at about 76 per cent, only 1 per cent of this market is in the organized sector.
Growth:
According to the 8th Annual Global Retail Development Index (GRDI) of AT Kearney, India retail industry is the most promising emerging market for investment. In 2007, the retail trade in India had a share of 8-10% in the GDP (Gross Domestic Product) of the country. In 2009, it rose to 12%. It is also expected to reach 22% by 2010.
According to a report by Northbride Capita, the India retail industry is expected to grow to US$ 700 billion by 2010. By the same time, the organized sector will be 20% of the total market share. It can be mentioned here that, the share of organized sector in 2007 was 7.5% of the total retail market.The BMI India Retail Report for the third-quarter of 2010, forecasts that the total retail sales will grow from US$ 353 billion in 2010 to US$ 543.2 billion by 2014.
With growing market demand, the industry is expected to grow at a pace of 25-30% annually. The India retail industry is expected to
grow from Rs. 35,000 crore in 2004-05 to Rs. 109,000 crore by the year 2010.
. India's retail market is expected to be worth about US$ 410 billion, with 5 per cent of sales through organised retail, meaning that the opportunity in India remains immense.
strengths of the sector
Median age: Rising disposable income: Urbanisation: Shopping convenience:
Challenges The tax structure in India favors small retail business Lack of adequate infrastructure facilities High cost of real estate Dissimilarity in consumer groups Restrictions in Foreign Direct Investment Shortage of retail study options Shortage of trained manpower
Factors that are playing a role in fuelling the bright future of the Indian Retail
The infrastructure is improving greatly in all regions is benefiting the market.
Indian economy and its policies are also becoming more and more liberal making way for a wide range of companies to enter Indian market.
Indian population has learnt to become a good consumer and all national and international brands are benefiting with this new awareness.
Another great factor is the internet revolution, which is allowing foreign brands to understand Indian consumers and
influence them before entering the market. Due to the reach of media in the remotest of the markets, consumers are now aware of the global products and it helps brands to build themselves faster in a new region
Segment In Retail:
Food and grocery retailApparel retailGems and Jewellery retailPharmaceutical retailMusic Retail
Book retailConsumer durables retail
Different Segments of Indian ConsumerThe Socialites, The Conservatives, The Working Women, India’s Rich, The Rich, The Super Rich, The Ultra Rich, The Sheer Rich,
Consumer factors
Increase in income Working women Changes in lifestyle demand for ‘global’ trend
Supply side factors
Growing importance of retailing in political and economic agenda.
Real estate reforms to be undertaken in the next 24 months.
Major restructuring of the manufacturing sector easing product supply constraints for efficient retailing.
Reduction in import duties- offering more global sourcing options.
Major Players:Pantaloon, Tata Group, RPG Group, Reliance, AV Birla Group
Retail formats in IndiaHypermarts/supermarkets: large self-servicing outlets offering products from a variety of categories. Mom-and-pop stores: they are family owned business catering to small sections; they are individually handled retail outlets and have a personal touch.
Departmental stores: are general retail merchandisers offering quality products and services.
Convenience stores: are located in residential areas with slightly higher prices goods due to the convenience offered.
Shopping malls: the biggest form of retail in India, malls offers customers a mix of all types of products and services including entertainment and food under a single roof.
E-trailers: are retailers providing online buying and selling of products and services.
Discount stores: these are factory outlets that give discount on the MRP.
Vending: it is a relatively new entry, in the retail sector. Here beverages, snacks and other small items can be bought via vending machine.
Category killers: small specialty stores that offer a variety of categories. They are known as category killers as they focus on specific categories, such as electronics and sporting goods. This is also known as Multi Brand Outlets or MBO's.
Specialty stores: are retail chains dealing in specific categories and provide deep assortment. Mumbai's Crossword Book Store and RPG's Music World are a couple of examples.
The Indian retail sector is ready to take on challenges from global retail players such as Wal-mart and Carrefour because unlike them, they have a better understanding of the Indian consumer’s psyche. Ultimately, a successful retailer is one who understands his customer. The Indian customer is looking for an emotional connection, a sense of belonging. Hence, to be successful any retail outlet has to be localized. The customer should feel that it is a part of his culture, his perceived values, and does not try to impose alien values or concepts on him. Indian customer is not keen to buy something just because it is sold by an international company.
Business standard
Govt to announce multi-brand retail policy soonNayanima Basu / New Delhi January 17, 2011, 0:35 IST
The government is likely to announce significant policy measures relating to allowance
of foreign direct investment (FDI) in the multi-brand retail segment, even as the Department of Industrial Policy and Promotion (Dipp) under the Ministry of Commerce and Industry is giving final touches to the draft report prepared by an inter-ministerial committee.
The committee, constituted under the Ministry of Consumer Affairs and Public Distribution, has prepared a draft report by taking the concerns and viewpoints of all stakeholders concerned.
According to the present rule on retail, 100 per cent FDI is allowed in wholesale cash-and-carry trading and 51 per cent in the single-brand category, but completely prohibited in multi-brand retail.
The report has been given to Dipp, which is giving its final touches. After this, it would be sent to the Cabinet Committee on Economic Affairs to be translated into a policy, senior officials told Business Standard.
Officials also said the government would make the announcement at an opportune time to avoid any uproar as any move in this would have far-reaching political implications, besides resistance from the general public, as it concerns employment and livelihood for millions.
It is also likely that the government might announce the policy measures relaxing FDI norms in multi-brand retail during the coming Budget for 2011-2012. This committee was formed after Dipp floated a discussion paper on liberalising FDI norms in multi-brand retail in July last year.
Justifying the government’s stance on the issue, Commerce and Industry Minister Anand Sharma had earlier said the idea was to create a broad-based consensus in policy formulation for further development of the sector. The ministry itself wants to open up the sector for 51 per cent FDI, as is allowed in single-brand retail.
While the Ministry of Consumer Affairs and Public Distribution has suggested a threshold of 49 per cent FDI in multi-brand retail, the micro, small and medium enterprises ministry has recommended 18 per cent. However, the Ministry of Communications and IT said liberalising the sector would have dire consequences for electronics manufacturers.
With FDI inflows dwindling, the government is under severe pressure to boost the country’s investment figures. The total FDI equity inflows during April-October stood at $17,365 million compared to $23,781 million during the corresponding period in 2009-10, say official statistics.
Global multi-brand retail chains have also been pushing India to open up the sector for FDI in order to tap the billion-plus consumers market. International retail juggernauts such as Wal-Mart, Carrefour and METRO have opened up their cash-and-carry stores in order to tap the market.
Wholesale cash-and-carry was thrown open for 100 per cent FDI in 1997, subject to prior approval from the government. It was brought under the automatic route in 2006. During April 2000-March 2010, $1.779 billion worth of FDI were received in the sector. In 2006, the government permitted 51 per cent FDI in single-brand retailing. Since then, total FDI received till March 2010 was to the tune of $194.69 million in this category
STATEMENT OF THE PROBLEM::
Problem definition; “IMPACT OF STORE DESIGN, VISUAL MERCHANDISING, AND POINT OF PURCHASE ON CONSUMER BUYING BEHAVIOR”
The basic principle of store design require that the image being created is in tune with the merchandize,the advertising and service offered by the store.The elements of store design are
Exterior store design Interior store design
VISUAL MERCHANDIZING:
Visual merchandising can be defined as the orderly, systematic, logical, and intelligent way of putting stock on the floor.As retailing becomes increasingly complex, creating right atmosphere in the store and the presenting merchandise in the right manner becomes even more important.The role of the visual merchandiser largely depends on the types of the organization and the importance accorded to the role of visual merchandiser must be aware of stores layout in intimate detail.
Roles: To enable the sales of the product or service To inform and educate the consumer about product or
service in the store To enable ease of shopping for the consumer about colors,
size, prices and the basic location of the product Creating and enhancing the store’s image
Tools Used for visual merchandising: Colors & Texture Fixtures & merchandise presentation Signages Windows
Props Lighting Mannequins
POINT OF PURCHASE:Point of purchase is the place where customer is about to buy the product.this is the cruicial point where the exchane takes place.it offers retailers a last chance to remind or attract customers. In spite of a considerable expenditure on point of purchase material by companies, there is a lack of an established metho of measuring the effectiveness of communication at the retail outlet.
Scope: The study is to be carried out in the Ahmedeabad city. So the space covers is Ahmedebad city. Data collected is within the time frame of 1 month. And the applicability of the study is the impact of store design, visual merchandising and the point of purchase on consumer buying behavior which is mainly seen in the shopping malls. So the study is mainly applicable to shopping malls which we divide into 2 parts. Impact for FMCG and Consumer Durables on buying behavior.
Objective:To study the influence made by exterior variable for store choice decision of consumer.To study the impact of visual merchandize on consumer buying behaviorTo study the impact of point-of-purchase on consumer buying behavior
LITERATURE REVIEW
The Impact Of Visual Merchandising On Consumer Store Choice Decisions In Sri Lankan Supermarkets
Wanninayake et.al(1999)
By: W.M.C.B. Wanninayake
Lecturer in Marketing,Department of Marketing Management,
Pradeep Randiwela
Senior Lecturer in Marketing,Former Dean - Faculty of Management and Finance,University of ColomboSri LankaUniversity of Kelaniya Sri Lanka
This study focused on the visual merchandizing and consumer store choice decisions. The main objective of this study was to examine the influence emerged from visual merchandizing for consumer’s store choice decisions in Sri Lanka. The finding shows that influence emerged from visual merchandising on consumer’s store choice decisions is strong. However, visual merchandising consists of four variables such as lighting, design layout, product display and cleanliness. Out of those variables, except product display other variables strongly influence in selecting specific supermarket outlet. The majority of respondents (57%) mentioned that product display in supermarkets outlets moderately influence on their store choice decisions. [ W.M.C.B. Wanninayake, Lecturer in Marketing,Department of Marketing Management, Pradeep Randiwela, Senior Lecturer in Marketing, Former Dean - Faculty of Management and Finance,University of Colombo]
Retailers are facing a keen competitive market place and as a consequence of that they find many difficulties to differentiate their stores on the basis of product, place, people, price and promotion. Retail store elements such as colour, lighting and visual merchandising have always been considered as having immediate effects on the buying decision making process. The emphasis has moved away from in-store product displays,
towards elements that excite the senses of shoppers such as flat screen videos or graphics, music, smells, lighting and flooring that tend to capture the brand image or personality and help to create an unique environment and shopping experience [(McGoldrick, 1990; Marsh, 1999).
The atmosphere of the shopping environment can influence customer attitudes and their perceptions in relation to the overall quality of the store in terms of the uniqueness of the product, service levels (Baker, Grewal and Parasraman, 1994), the purchase price (Areni and Kim, 1993) and purchase volume (Milliman, 1982).
The shopping experience, as created by the store environment, has been found to play an important role in building store patronage. Along with the merchandise, it triggered affective reaction among shoppers (Baker et al., 1992).
From the moment you step foot through the gliding doors of a mall, you're visually pounded with subconscious symbolism inviting you to spend your hard earned cash. The shiny marblesque flooring didn't get there by accident, consideration has gone into how comfortable the consumer will be. The smooth surface is designed to relax you and feel luxurious compared to the pavement outside. The lighting is controlled so the environment surrounding the shopper is bright and fresh, and at the same time allowing the goods on display look their best. [ by Alice Xavier , February 14, 2011]
A shop's design and atmosphere begins from the outside as the first thing that strikes you is its window display. There might be some item of clothing, a pair of shoes or jewellery displayed that interests you and you want to explore a bit more by stepping inside. The shop window has therefore got to be the essence of the store. It should be bright, colourful and interesting. Sometimes, it is the name of the store and the curiosity that it arises in the customer that makes you want to go in and see exactly what it is selling. [by Shaheen Darr , October 25, 2009]
"You never get a second chance to make a first impression."Even though there are many influences at work in the shopping experience, the look of a store holds the most sway in enticing us through the doors. We even tend to sum up that initial in-store encounter in visual terms: a store is exciting, clean or well-organized or, at the other end of the scale, boring, messy, or overwhelming. underlying store image.
Studies indicate that a retailer has roughly seven seconds to capture the attention of a passing customer. The following elements combine to form a distinctive image that not only reaches out and grabs the customer' s attention, but makes a positive impression within those precious few seconds.
The Image-makers: 1. An Identifiable Store Name 2. A Powerful Visual Trademark 3. An Unmistakable Storefront 4. An Inviting Entrance 5. A Consistent and Compelling Store Look and Hook [By Donna Geary]
Point of Purchase Communication:Role of Information Search, Store Benefit and Shopping Involvement
Dr. Dwarika Prasad Uniyal& Piyush Kumar Sinha [IIMA]November 2009
The purpose of this study was to understand the usage of PoP communications during shopping. While use of a communication tools like PoP communication or advertising has been studied from the perspective of information search, where involvement has been proposed to play a moderating role, the role played by the store was not focused. This study bring it out very strongly that the store adds a new dimension based on the benefit that the shopper seeks in choosing a shop to buy. Based on this, it postulates a new model for understanding the usage of PoP communication.So their main findings were that POP communication has strong influence which people considered while shopping..
POP acts as a surrogate salesperson. It has been found that a high level of brandawareness does not always translate into sales. Shoppers do take into consideration the information they acquire in stores, in addition to relying on out of store communication [Underhill P, 1998).
A higher store loyalty is shown by shoppers who perceive congruence between their self-image and the image of the store (Bellenger, Steinberg and Stanton 1976).
Shoppers find that displays and layout have a more significant role in high-fashion appeal than in a broad appeal store (Rich S and Portis, 1964).
Besides quality and assortment of merchandise and sales persons, store atmosphere helps in building store image (Berry, 1969).
RESEARCH DESIGN:Data source secondary: surveysResearch instruments: questionnaire
Sampling Plan:Sampling unit: consumers purchase from mallsSample size: 300Sampling procedure: non probability convenience sampling
Q1.To what extent below factors affect your selection of shopping mall?
Q1ANo. of Respondent Percentage WACC
Least Impact 49 16Somewhat Impact 43 14Moderate 69 23 3.833High 77 26Maximum 62 21TOTAL 300
P arking F ac ility and S ec urity
16%
14%
23%
26%
21%
1 2 3 4 5
While selecting the shopping mall people may consider parking facility as one of the factor. From the data collected 26% people has high impact on parking facility.21% has maximum impact,23% ha moderate impact, while only 16% people consider it as least impact and 14% has somewhat impact on parking facility. so we can say that maximum people consider parking facility as important factor while selecting the mall. So we can say that parking facility has 3.83 impact i.e. high impact on selecting the mall
Q1BNo. of Respondent Percentage WACC
Least Impact 38 13Somewhat Impact 32 11Moderate 85 28High 98 32 984Maximum 47 16 3.28TOTAL 300
Open for long Hours
13%
11%
28%
32%
16%
1 2 3 4 5
Open for long hours is also one factor which people consider while selecting the mall.32% people has high impact,28% people has moderate impact,16% people has maximum impact while only 13% people has least impact and 11% people has somewhat impact for this factor. So consumer has 3.28 i.e. moderate impact of open for long hours factor while selecting the mall.
Q1CNo. of Respondent Percentage WACC
Least Impact 42 14Somewhat Impact 29 10Moderate 73 24 998High 101 34 3.3266667Maximum 55 18
TOTAL 300
C redit C ard P ayment Availability
14%
10%
24%34%
18%
1 2 3 4 5
In the era of technology, we also take credit card payment availability as one of the parameter which people consider in selection of shopping mall. From the study we found that 34% peole consider it as high impact, while 24% has moderate impact while only 18% people has maximum impact on selecting the mall.only 14% people has least impact and 10% has somewhat impact. So respondents have 3.32 impact.i.e. moderate impact of credit card payment availability.
Q1DNo. of Respondent Percentage WACC
Least Impact 9 3Somewhat Impact 15 5Moderate 24 8 1301High 70 23 4.3366667Maximum 182 61TOTAL 300
One s top S hopping
3% 5%8%
23%61%
1 2 3 4 5
Convenience is one of the important factor which one consider this days. so one stop shopping is the factor which people want when they select the shop for shoppind.61% has maximum impact,23%has high impact while only8% has moderate5%has somewhat impact, and 3% has least impact impact of this factor.So there is 4.34 i.e. high impact in considering one stop shopping as factor for selection of the mall.
Q1ENo. of Respondent Percentage WACC
Least Impact 19 6Somewhat Impact 29 10
Moderate 75 25 1099High 88 29 3.6633333Maximum 89 30
300
S elf S ervic e
6%10%
25%
29%
30%
1 2 3 4 5
People may prefer for self service while shopping.30% consumer has maximum impact,29% has high impact while 25% has moderate impact while 10% has somewhat impact and 6% has least impact on self service while selecting the mall.So consumers consider self service has moderate impact i.e. 3.63 as a factor in selecting the mall.
Q1FNo. of Respondent Percentage WACC
Least Impact 70 23Somewhat Impact 66 22Moderate 66 22 839High 51 17 2.7966667Maximum 47 16
TOTAL 300
S aving of T ime
23%
22%
22%
17%
16%
1 2 3 4 5
Saving of time means when consumers shop from mall their time got saved. But 16% people has maximum impact, 17%has high impact while 22% has moderate and somewhat impact and 23% has least impact. So people may not consider time factor as most important while selecting the mall.So consumer has moderate impact i.e.2.79 of saving of time factor in selecting the mall.
Q1GNo. of Respondent Percentage WACC
Least Impact 57 19Somewhat Impact 96 33Moderate 52 17 828High 52 17 2.76Maximum 43 14TOTAL 300
Helpful and trus tworthy s ales P eople
19%
33%17%
17%
14%
1 2 3 4 5
Only 14% consumers has high impact for helpful and trustworthy salespeople as considerable factor when shopping.17% consumer has high and moderate impact while33% has somewhat impact and 14% has least impact.So consumer consider helpful and trustworthy salespeople as moderate impact i.e2.76
Q1HNo. of Respondent Percentage WACC
Least Impact 25 9Somewhat Impact 19 6Moderate 30 10 1189High 94 31 3.963333Maximum 132 44TOTAL 300
C leanlines s
8%6%
10%
31%
45%
1 2 3 4 5
Cleanliness is one of the important factor consumer consider when selecting the mall.45% has maximum impact on this factor, while 31% has high impact and only 10% consumer has moderate impact,8% has least impact and 6% has somewhat impact. so maximum number of respondents has maximum impact on cleanliness.Cleanliness also has high impact i.e.3.96 which consumer consider in selecting the mall. CONCLUSIONSo from all the factors above which consumers consider before selecting the mall, one stop shopping and cleanliness has high impact while selecting the mall.
Q2. To what extent below factors of recreational facility affect your buying from shopping mall?
Q2No. of Respondent Percentage WACC
Least Impact 36 12Somewhat Impact 27 9Moderate 61 20 1072
High 81 27 3.573333Maximum 95 32TOTAL 300
S hare time with family/friends
12%
9%
20%
27%
32%
1 2 3 4 5
To share time with friends and family, consumer may go for shopping in mall. So 32% has maximum impact,27% has high impact,20% has moderate impact and 12% has least impact and 9% has somewhat impact. So consumers have moderate impact i.e.3.57 of sharing time with friends and family.
Q2BNo. of Respondent Percentage WACC
Least Impact 12 4Somewhat Impact 34 11Moderate 77 26 1103High 93 31 3.676667Maximum 84 28TOTAL 300
S hopping ac tivity is pleas ant for me
4%11%
26%
31%
28%
1 2 3 4 5
Consumers also consider shopping as pleasant activity.31% has high impact, 28%has maximum impact while 26% has moderate impact and only11% has somewhat impact and 4% has least impact.So respondents have high impact i.e.3.67 of shopping as pleasant activity.
Q2CNo. of Respondent Percentage WACC
Least Impact 9 3Somewhat Impact 21 7Moderate 58 19 1181High 104 35 3.936667Maximum 108 36TOTAL 300
Inc lude all the enjoyment tool
3% 7%
19%
35%
36%
1 2 3 4 5
Sometimes people may shop from mall because it includes all the enjoyment tool like food movie,etc.36% has maximum impact,35% has high impact,19% has moderate impact and only 7% has somewhat impact and 3% has least impact.So respondents have high impacti.e.3.94 of this factor.
CONCLUSION:So from all the three factors of recreational facility, respondents has high impact of the enjoyment tools.
Q.3. Does price affect your shopping behavior in the mall for the purchase of FMCG and Consumer durables?
Q3A FMCGYES 218NO 82TOTAL 300
P ric e affec t on s hopping of F MC G g oods
0
50
100
150
200
250
1 2
S eries 1
For the FMCG 218 respondents feel that price affect their shopping behavior in the mall. while 82 respondents feel that price does not affect their shopping behavior.
Q3B CDYES 202NO 98TOTAL 300
C hart T itle
0
50
100
150
200
250
Y E S NO
S eries 1
For Consumer durables, 202 respondents feel that price affect their shopping behavior while 98 respondents don’t feel it so.CONCLUSION:So there is a little difference for FMCG and Consumer durables which people consider.
Q.4.How frequently do you shop for FMCG and Consumer durable item?
Q4A FMCG Percentage
Weekly 59 20Monthly 218 72Six Monthly 18 6Yearly 5 1TOTAL 300
F R E QUE NC Y
20%
72%
6% 2%
W eekly Monthly S ix Monthly Y early
For FMCG 72% respondents shop monthly, while 20% shop weekly and 6% shop six monthly and only 2% shop yearly.
Q4B CD Percentage WACCWeekly 3 1Monthly 72 24Six Monthly 140 47 837Yearly 85 28 2.79
TOTAL 300
F R E QUE NC Y
1%
24%
47%
28%
1 2 3 4
For Consumer durables 47% respondents shop six monthly,28% shop yearly,24% shop monthly and 1 % shop weekly.
CONCLUSIONThere is a vast difference in the frequency of shopping between FMCG and Consumer durables. In FMCG highest number of respondents shop monthly while in consumer durables highest number of respondents shop six monthly and then yearly.
Q5 Please tick below to explain the impact of below mentioned factors on your decision of selection of the mall.
Q5A FMCG Percentage WACCLeast Impact 38 13Somewhat Impact 35 12 1116Moderate 35 12 3.72High 57 19Maximum 135 44TOTAL 300
L oc ation C onvenienc e
13%
12%
12%
19%
44%
1 2 3 4 5
For FMCG 44% has maximum impact of location coveniece while 19% has high impact and 12% has moderata and somewhat impact and 13% has least impact of this factor.So location convenience has high impact i.e. 3.72 for FMCG goods.
Q5A1 CD Percentage WACC1 87 292 55 183 45 15 8614 36 12 2.875 77 26
TOTAL 300
L oc ation C onvenienc e
29%
18%15%
12%
26%
1 2 3 4 5
For consumer durables, 29% respondents have least impact, while 26%has maximum impact ,18% has somewhat impact and 15% has moderate impact and 12% has high impact of location convenience So location convenience has moderate impact i.e. 2.87for Consumer durables CONCLUSION:Respondents consider location convenience as important factor for FMCG as compare to consumer durables.
Q5B FMCG Percentage WACCLeast Impact 27 9Somewhat Impact 23 8Moderate 67 22 1104High 85 28 3.68Maximum 98 33TOTAL 300
P arking
9%
8%
22%
28%
33%
1 2 3 4 5
Q5B1 CD Percentage WACCLeast Impact 27 9Somewhat Impact 28 9Moderate 62 21 1105High 79 26 3.6833333Maximum 104 35TOTAL 300
P arking
9%
9%
21%
26%
35%
1 2 3 4 5
Q5C FMCG Percentage WACCLeast Impact 23 8Somewhat Impact 26 9Moderate 76 25 1078High 100 33 3.5933333Maximum 75 25TOTAL 300
E ntranc e Dis play
8%
9%
25%
33%
25%
1 2 3 4 5
For FMCG,33% respondents have high impact,25% has maximum and moderate impact while 9% has somewhat impact and 8% has least impact on entrance disply.So respondents have moderate impact i.e.3.59 for entrance display of FMCG.
Q5C1 CD Percentage WACC1 21 72 24 83 68 23 11154 93 31 3.7166667
5 94 31TOTAL 300
E ntranc e Dis play
7%8%
23%
31%
31%
1 2 3 4 5
For consumer durables,31% respondents have maximum and high impact while 23% has moderate impact,8%has somewhat impact and 7%has least impact of entrance display. So respondents have high impact i.e.3.72 for entrance display of Consumer durables.CONCLUSION:Respondents consider entrance display as important for Consumer durables as compared to FMCG.
Q5D FMCG Percentage WACCLeast Impact 8 3Somewhat Impact 20 7Moderate 60 20 1215High 73 24 4.05
Maximum 139 46TOTAL 300
S tore Imag e
3% 7%
20%
24%
46%
1 2 3 4 5
For FMCG, 46% respondents have maximum impact,24% has high impact,20% has moderate impact while only 7% has somewhat impact and 3% has least impact of store image.So there is high impact i.e.4.05 of store image which respondents consider for FMCG.
Q5D1 CD Percentage WACCLeast Impact 10 3Somewhat Impact 20 7 1276Moderate 29 10 4.2533333High 66 22Maximum 175 58TOTAL 300
S tore Imag e
3% 7%
10%
22%58%
1 2 3 4 5
For Consumer durables, 58% respondents have maximum impact,22% has high impact,10% has moderate impact while only 7% has somewhat impact and 3% has least impact of store image.So there is high impact i.e.4.25 of store image which respondents consider for Consumer durables.
Conclusion Respondents consider store image as important for both FMCG and Consumer durables as both have high impact on store image.
Q5E FMCG Percentage WACCLeast Impact 27 9Somewhat Impact 45 15 1005Moderate 87 29 3.35
High 78 26Maximum 63 21TOTAL 300
S urrounding Area
9%
15%
29%
26%
21%
1 2 3 4 5
For FMCG,29% respondents have moderate impact,26% has high impact,21% has maximum impact while 15% has somewhat impact and 6% has least impact on surrounding area.So there is moderate impact i.e.3.35 of store image which respondents consider for FMCG.
Q5E1 CD Percentage WACCLeast Impact 31 10Somewhat Impact 51 17 998Moderate 77 26 3.3266667High 71 24
Maximum 70 23TOTAL 300
S urrounding Area
10%
17%
26%
24%
23%
1 2 3 4 5
For Consumer durables,26 % respondents have moderate impact,24% has high impact,23% has maximum impact while 17% has somewhat impact and 10% has least impact on surrounding area.So there is moderate impact i.e.3.32 of store image which respondents consider for Consumer durables.Conclusion:There is no difference between the impact of surrounding area on FMCG and Consumer durables. Both have moderate impact on selection of mall.
Q.6. please tick below to explain the impacts of below mentioned factors of Visual Merchandising on selecting the items.
Q6A FMCG Percentage WACCLeast Impact 35 12Somewhat Impact 46 15Moderate 102 34 937High 81 27 3.1233333Maximum 36 12TOTAL 300
L IG HT ING
12%
15%
34%
27%
12%
1 2 3 4 5
For FMCG,34% respondents have moderate impact,27% has high impact, 15% has somewhat impact, while 12%has maximum and least impact on lighting.So there is moderate impact i.e.3.12 of lighting which respondents consider for FMCG.
Q6A1 CD Percentage WACC1 26 92 26 93 67 22 544
4 106 35 3.62666675 75 25
300
L IG HT ING
9%
9%
22%
35%
25%
1 2 3 4 5
For Consumer durables, 35% respondents have high impact,25% has maximum impact, 22% has moderate impact, while 9%has least and somewhat impact.So there is high impact i.e.3.62 of lighting which respondents consider for FMCG. Conclusion:Lighting has high impact for consumer durables while it has moderate impact for FMCG.
Q6B FMCG Percentage WACC1 44 152 24 83 91 30 9734 97 32 3.24333335 44 15
TOTAL 300
DE S IG N L AYOUT
15%
8%
30%
32%
15%
1 2 3 4 5
For FMCG, 32% respondents have high impact,30% has moderate impact, 15% has high as well as least impact, while 8%has somewhat impact on design layoutSo there is moderate impact i.e.3.24 of design layout which respondents consider for FMCG.
Q6B1 CD Percentage WACC1 37 122 39 13 4923 71 24 3.284 101 345 52 17
300
DE S IG N L AYOUT
12%
13%
24%34%
17%
1 2 3 4 5
For Consumer durables, 34% respondents have high impact,24% has moderate impact, 17% has high impact, while 13%has moderate and 12% has least impact impact.So there is moderate impact i.e.3.28 of lighting which respondents consider for Consumer Durables Conclusion:There is no difference between the impact of Design layout on FMCG and Consumer durables. Both have moderate impact on Visual Merchandising.
Q6C FMCG Percentage WACC1 144 472 41 133 42 14 6704 47 16 2.23333335 26 9
TOTAL 300
DIS P L AY
47%
14%
14%
16%
9%
1 2 3 4 5
For FMCG, 47% respondents have least impact, 16% has high impact, 14% has moderate and somewhat impact, while 9%has least impact on display.So there is somewhat impact i.e.2.23 of display which respondents consider for FMCG
Q6C1 CD Percentage WACC1 70 232 22 83 52 174 94 31 956
5 62 21 3.1866TOTAL 300
MANNE QUIN DIS P L AY
23%
7%
17%32%
21%
1 2 3 4 5
For Consumer durables, 32% respondents have high impact,21% has maximum impact, 23% has least impact, while 17%has moderate and 7% has least moderate impact.So there is moderate impact i.e.3.18 of mannequin display which respondents consider for Consumer Durables Conclusion:Display for FMCG has somewhat impact while mannequin display for Consumer durables has moderate impact .
Q6D FMCG Percentage WACC1 19 62 28 93 65 224 92 31 11185 96 32 3.7266667
TOTAL 300
S T OR E AMB IE NC E
6%9%
22%
31%
32%
1 2 3 4 5
For FMCG, 32% respondents have maximum impact, 31% has high impact, 22% has moderate and 9% has somewhat impact, while 6%has least impact on Store ambience.So there is high impact i.e.3.72 of Store ambience which respondents consider for FMCG
Q6D1 CD Percentage WACC1 25 82 24 83 74 25 10864 94 31 3.625 83 28
TOTAL 300
S T OR E AMB IE NC E
8%
8%
25%
31%
28%
1 2 3 4 5
For Consumer durables, 31% respondents have high impact,28% has maximum impact, 25% has moderate impact, while 8%has least and somewhat impact.So there is high impact i.e.3.62 of store ambience which respondents consider for Consumer Durables Conclusion:There is no difference between the impact of store ambience on FMCG and Consumer durables. Both have high impact on Visual Merchandising.
Q6E FMCG Percentage WACC1 28 92 23 8
3 41 14 11534 118 39 3.845 90 30
TOTAL 300
P R IC E
9%
8%
14%
39%
30%
1 2 3 4 5
For FMCG,39% respondents have high impact,30% has maximum impact and 14% has moderate impact while 9% has least impact and 9% has somewhat impact on price.So respondents have high impact i.e.3.84 for Price of FMCG.
Q6E1 CD Percentage WACC1 36 122 58 193 47 16 10224 66 22 3.415 93 31
TOTAL 300
P R IC E
12%
19%
16%22%
31%
1 2 3 4 5
For Consumer durables, 31% respondents have maximum impact,22% has high impact, 19% has somewhat impact, while 16% has moderate and 12% has least impact.So there is moderate impact i.e.3.41 of store ambience which respondents consider for Consumer Durables Conclusion:Price foe FMCG has high impact while price for Consumer durables has moderate impact on selecting the visual merchandising.
Q.7.Please tick below to explain the impacts of below mentioned factors of store convenience on selecting the retail outlet.
Q7A FMCG Percentage WACC1 20 72 23 83 36 12 1309
4 70 23 4.36333335 151 50
TOTAL 300
E AS Y T O F IND IT E MS
7%8%
12%
23%
50%
1 2 3 4 5
For FMCG,50% respondents have high impact,23% has maximum impact and 12% has moderate impact while 8% has somewhat impact and 7% has least impact on easy to find items they want.So respondents have high impact i.e.4.36 for easy to find items of FMCG.
Q7A1 CD Percentage WACC1 16 52 24 83 44 15 1194
4 82 27 3.985 134 45
300
E AS Y T O F IND IT E MS
5%8%
15%
27%
45%
1 2 3 4 5
For Consumer durables, 45% respondents have maximum impact,27% has high impact, 15% has moderate impact, while 8% has somewhat impact and 5% has least impact.So there is high impact i.e.3.98 of easy to find items which respondents consider for Consumer Durables Conclusion:There is no difference between FMCG and Consumer durables as both has high impact on easy to find items. but still for FMCG impact is 4.36 while for consumer durables it is 3.98
Q7B FMCG Percentage WACC1 12 42 25 83 72 24 11494 84 28 3.835 107 36
TOTAL 300
AB S E NC E OF WAIT ING T IME
4%8%
24%
28%
36%
1 2 3 4 5
For FMCG,36% respondents have maximum impact,28% has high impact and 24% has moderate impact while 8% has somewhat impact and 4% has least impact on Absence of waiting timeSo respondents have high impact i.e.3.83 for Absence of waiting time of FMCG.
Q7B1 CD Percentage WACC1 24 82 36 123 69 23 5674 70 23 3.785 101 34
TOTAL 300
AB S E NC E OF WAIT ING T IME
8%
12%
23%
23%
34%
1 2 3 4 5
For Consumer durables, 34% respondents have maximum impact,23% has high and moderate impact, while 12% has somewhat impact and 8% has least impact.So there is high impact i.e.3.78 of Absence of waiting time which respondents consider for Consumer Durables Conclusion:There is no difference between FMCG and Consumer durables as both has high impact on absence of waiting time. Which consumer consider for store convenience.
Q7C FMCG Percentage WACC1 11 42 7 23 19 6 13294 68 23 4.435 195 65
TOTAL 300
E VE R YT HING UNDE R ONE R OOF
4% 2%
6%
23%
65%
1 2 3 4 5
For FMCG,65% respondents have maximum impact,23% has high impact and 6% has moderate impact while 4% has least impact and 2% has somewhat impact on Everything under one roof.So respondents have high impact i.e.4.43 for Everything under one roof of FMCG.
Q7C1 CD Percentage WACC1 14 52 16 53 33 11 12644 66 22 4.21333335 171 57
TOTAL 300
E VE R YT HING UNDE R ONE R OOF
5% 5%
11%
22%57%
1 2 3 4 5
For Consumer durables, 57% respondents have maximum impact,22% has high and 11% has moderate impact, while 5% has somewhat has least impact.So there is high impact i.e.4.21 of Everything Under one roof which respondents consider for Consumer Durables Conclusion:There is no difference between FMCG and Consumer durables as both has high impact on Everything under one roof which consumer consider for store convenience.
Q.8.Please tick below to explain the impacts of below mentioned factors of point-of-purchase communication on your purchase decision.
B UY MOR E QUANT IT Y
13%
10%
28%30%
19%
1 2 3 4 5
For FMCG,30% respondents have high impact,28% has moderate impact and 19% has high impact while 13% has least impact and 10% has somewhat impact on buying more quantity.So respondents have moderate impact i.e.3.31 for POP Display which make them buy more quantity.
Q8A FMCG Percentage WACC1 39 132 30 103 85 28 9944 90 30 3.31333335 56 19
TOTAL 300
Q8A1 CD Percentage WACC1 110 372 64 213 66 22 3674 32 11 2.44666675 28 9
TOTAL 300
B UY MOR E QUANT IT Y
37%
21%
22%
11%
9%
1 2 3 4 5
For Consumer durables, 37% respondents have least impact,21% has somewhat impact and 22% has moderate impact, while 11% has high impact and 9% has maximum impact.So there is somewhat i.e.2.44 impact feels that POP make them buy more quantity for Consumer Durables. Conclusion:There is moderate impact for FMCG where consumers feel that Pop display make them buy more quantity, while there is somewhat impact for consumer durables.
Q8B FMCG Percentage WACC1 9 32 27 93 57 19 11624 107 36 3.87333335 100 33
TOTAL 300
K E E P INF OR MAT IVE
3%9%
19%
36%
33%
1 2 3 4 5
For FMCG,33% respondents have maximum impact,36% has high impact and 19% has moderate impact while 9% has somewhat impact and 3% has least impact on buying more quantity.So respondents have high impact i.e.3.87 for POP Display which helps them keep informative.
Q8B1 CD Percentage WACC1 13 42 20 73 42 14 11924 112 37 3.97333335 113 38
TOTAL 300
K E E P INF OR MAT IVE
4%7%
14%
37%
38%
1 2 3 4 5
For Consumer durables, 38% respondents have maximum impact,37% has high impact and 14% has moderate impact, while 7% has somewhat impact and 4% has least impact.So there is high i.e.3.97 impact where consumer feels that POP display helps them keep informative Consumer Durables. Conclusion:There is no difference between FMCG and consumer durables as consumer feel that both have high impact on POP display helps them keep informative.
Q8C FMCG Percentage WACC1 13 42 30 103 54 184 97 33 11535 106 35 3.8433333
TOTAL 300
AT T R AC T AT T E NT ION
4%10%
18%
32%
36%
1 2 3 4 5
For FMCG,36% respondents have maximum impact,32% has high impact and 18% has moderate impact while 10% has somewhat impact and 4% has least impact on POP display attract their attention..So respondents have high impact i.e.3.84 for POP Display which attracts their attention.
Q8C1 CD Percentage WACC1 20 72 25 83 60 204 95 32 11305 100 33 3.7666667
TOTAL 300
AT T R AC T AT T E NT ION
7%8%
20%
32%
33%
1 2 3 4 5
For Consumer durables, 33% respondents have maximum impact,32% has high impact and 20% has moderate impact, while 8% has somewhat impact and 7% has least impact.So there is high i.e.3.76 impact where consumer feels that POP display attract their attention. Conclusion:There is no difference between FMCG and consumer durables as consumer feel that both have high impact on POP display attract their attention.
Q8D FMCG Percentage WACC1 41 142 57 19 9473 77 26 3.15666674 64 215 61 20
TOTAL 300
UNNE C E S S AR Y T HING S
14%
19%
26%
21%
20%
1 2 3 4 5
For FMCG,26% respondents have moderate impact,21% has high impact and 20% has maximum impact while 19% has somewhat impact and 14% has least impact on POP display make them buy more quantity.So respondents have moderate impact i.e.3.15 for POP Display which makes them buy unnecessary things.
Q8D1 CD Percentage WACC1 116 392 68 233 58 194 31 10 8015 27 9 2.67
TOTAL 300
UNNE C E S S AR Y T HING S
39%
23%
19%
10%
9%
1 2 3 4 5
For Consumer durables, 39% respondents have least impact,23% has somewhat impact and 19% has moderate impact, while 10% has high impact and 9% has maximum impact.So there is somewhat i.e.2.67 impact where consumer feels that POP display make them buy more quantity. Conclusion:Respondents have moderate impact for POP Display which makes them buy unnecessary things for FMCG while it has somewhat impact for consumer durables.
Q8E FMCG Percentage WACC1 23 82 26 93 78 26 10784 96 31 3.59333335 77 26
TOTAL 300
B E NE F IT OF P R ODUC T US AG E
8%
9%
26%
31%
26%
1 2 3 4 5
For FMCG,31% respondents have high impact,26% has maximum impact and 26% has moderate impact while 9% has somewhat impact and 8% has least impact on POP display make them feel the benefit of product usage.So respondents have high impact i.e.3.59 for POP Display which makes them feel the benefit of product usage.
Q8E1 CD Percentage WACC1 28 92 25 83 68 234 90 30 10875 89 30 3.6233333
TOTAL 300
B E NE F IT OF P R ODUC T US AG E
9%
8%
23%
30%
30%
1 2 3 4 5
For Consumer durables, 30% respondents have maximum impact and high impact and 23% has moderate impact, while 9% has least impact and 8% has somewhat impact So there is high i.e.3.62 impact where consumer feels that POP makes them feel the benefit of product usage. Conclusion:There is no difference between FMCG and consumer durables as consumer feel that both have high impact on POP display makes them feel the benefit of product usage. Q9. What will you prefer when shopping in mall?
PREFERANCE1 652 151
3 84TOTAL 300
0
20
40
60
80
100
120
140
160
1 2 3
S eries 1
Out of 300 respondents, 151 prefer exploring the store while 84 wants both and 65 want to buy only the predecided items.
0
20
40
60
80
100
120
140
160
180
1 2
Series1
Out of 300 respondents 167 were male and 133 were female.
AGE1 102 943 1064 675 23
GENDER1 1672 133
TOTAL 300
TOTAL 300
0
20
40
60
80
100
120
1 2 3 4
S eries 1
Out of 300 respondents,106 are under the age group 26-3594 are under 18-2567 are under 36-5023 are above 50 and10 are below 18
EDU1 132 273 1124 1465 2
TOTAL 300
0
20
40
60
80
100
120
140
160
1 2 3 4 5
S eries 1
Out of 300 respondents,146 are post graduate,112 have their graduate27 are HSC13 are SSC and 2 are doctorate
OCCUPATION
1 742 1123 714 255 18
TOTAL 300
0
20
40
60
80
100
120
1 2 3 4 5
S eries 1
Out of 300 respondents,112 have service74 are students71 respondents have their own business25 are not working18 are others.
INCOME
1 32 383 1284 565 75
TOTAL 300
0
20
40
60
80
100
120
140
1 2 3 4 5
S eries 1
Out of 300 respondents ,128 has income between 25000-50000
FINDINGS:
From the factors people consider while selecting the mall, people consider one stop shopping as one of the most important factor. Cleanliness and parking facility and
security is also an important factor people consider in selecting the mall.
Consumers has 4.33 impact of one stop shopping. For the recreational facility, consumers consider enjoyment
tool as most important compared to others For FMCG and Consumer durable goods maximum number
of people feel that price affect their shopping behavior Maximum number of consumers buys FMCG monthly, while
for consumer durables maximum people buy six monthly. Store design is one of the important factor which affects
consumer decision on selection of the mall. Also in store design consumers has high impact i.e 4.05 for FMCG and 4.25 for Consumer durables on store image.
Consumer has more impact i.e.3.72 for FMCG than for consumer durables i.e 2.87
There is no vast difference of store design which consumer considers for FMCG and Consumer durables.
For visual merchandising, consumer has more i.e.3.62 impact on lighting for consumer durables as compared to FMCGi.e.3.12
Of all the factors, store ambience has more impact of visual merchandising on consumers.i.e.3.73 for FMCG and 3.62 for consumer durables
Consumers consider mannequin display as 3.18 impact for Consumer durables while for FMCG it has only 2.23 impact.
Lighting also has more impact on consumer durables i.e. 3.62 while for FMCG it has 3.12 impact.
Consumers have high impact i.e.4.36 for FMCG and 3.98 for Consumer durables of easy to find items they want for store convenience.
Point of purchase communication helps more in keeping people more informative
Point of purchase communication makes buy unnecessary things for FMCG more as compared to consumer durables.
there is 3.15 impact for FMCG while it has 2.67 for consumer durables.
Consumers prefer exploring the store when shopping rather than buying only the predecided merchandize
RECOMMENDATIONS: Malls should focus on more lighting for consumer
durables than for FMCG. As store ambience is one of the important factor ,malls
should focus more on enhancing store ambience. As price affect shopping behavior, malls should
concentrate continuously on reducing the price to attract more consumers.
Malls should concentrate more on point of purchase communication as it attracts more consumers. So there are chances that more impulse purchase occurs.
More consumers want exploring the store so malls should design its layout in that way that helps consumers explore the store.so that more purchase can occur.
Malls should arrange the merchandize in such a way that helps consumer easy to find items they want.
Malls should focus on enhancing its store image.
CONCLUSIONToday in the era of competition and in the world of informed consumer who is particular and discerning not only in terms of what he wants, but also from where he would like to purchase it, the expectation from retail store has changed.Consumer no longer go to store just to buy a product or service .shopping an intensely personal activity, is all about experience.so from the project we have done we got to know tha
consumers has high impact of store design, visual merchandising and point –of-purchase on consumer buying behavior.Recreational facility affects consumer buying behavior and among all factors enjoyment tool has high impact. All the factors of store design has high impact except surrounding area which has moderate impact.Also all the factors of visual merchandising has high impact on selecting the itemsPoint-of-purchase also has a great impact in communicating about the merchandize and also impulse purchase also takes place at this point. Also malls can be threat to unorganized retail store.
So we can conclude that malls should concentrate more on store design, visual merchandising, point of purchase communication as it has high impact on consumer buying behavior.
129%
218%3
15%
412%
526%
19% 2
9%
321%
426%
535%
17% 2
8%
323%
431%
531%
110%
217%
326%
424%
523%
112%
215%
334%
427%
512%
115%
28%
330%
432%
515%
147%
214%
314%
416%
59%
16% 2
9%
322%
431%
532%
17% 2
8%
312%
423%
550%
14%
28%
324%
428%
536%
14%
22%
36%
423%
565%
15% 2
8%
315%
427%
545%
15%
25%
311%
422%
557%
113%
210%
328%
430%
519%
14% 2
10%
318%
432%
536%
114%
219%
326%
421%
520%
18% 2
9%
326%
431%
526%
137%
221%
322%
411%
59%
137%
221%
322%
411%
59%
