Customer and Prospects Analysis for Departmental Stores


By

E. Thamarai Selvan
N. Vallikkannu
First Year MBA
School of Management
Sri Krishna College of Engineering and Technology
Coimbatore–8
 


Abstract

Retailing today is not only about selling at the shop, but also about surveying the market, offering choice and experience to customer at competitive prices and retaining them as well.  Retailing includes all the activities involved in selling goods or services that are directed to final consumers for personal and non-business use.  This study was basically about the "Customer and Prospects Analysis for departmental Stores in Coimbatore". The main objectives of the study were to find out the purchasing behavior of the customer and the factors influencing the purchase.  Customers analyzed were female respondents from the age group of 26 to 40 as they are the decision maker for the majority of purchases. Sample size consisting of 100 homemakers were collected.

Full Paper

Introduction

A departmental store is typically a large store in comparison to most near by retail outlets.  Department store offers a wide range of products in an organized fashion that are easily accessible to the consumer. The product line of the departmental stores is substantially long. The department stores provide better amenities to the consumer for shopping by developing adequate infrastructure for parking, leisure, coffee shops etc. Departmental stores contain 'a pin to plane' under a single roof. Therefore the customers are able to purchase whatever they want from a single Roof.

In Coimbatore (one of the important cities of Tamil Nadu, India), most of the departmental stores attract customers with attractive sweet stalls, ice creams etc.

Objectives of the Research

Primary:

To analyze the customer (homemakers) behavior based on observation study in Coimbatore district of Tamil Nadu (India) in some of the departmental stores.

Secondary:

To identify the factors influencing the homemakers in purchasing various household products.

Research methodology

An observation study has been made by using exploratory style research design.  The sampling unit comprises homemakers of 26 – 40 age group in Coimbatore district. 

Limitations:

As the study was very wide and vast, all the facts and features regarding the study

could not be analyzed and taken into account. Only selective (leading) departmental stores were taken into account for the study.

Testing:

Homemakers shop more in the weekends than in weekdays. They find the prices to be moderate. The majority of purchases were for groceries and POP does not influence the customers to a great extent. Pester power plays a very vital role in the purchasing ability of the customer. The varieties of products were found to be less in most of the departmental stores. Only the regular consumers buy branded products. In some of the department stores, the small outlet owners also purchase for further resale of the products.

Table No.1

Factors Influencing the Purchase

Factors

% of customers

Pester power

32

Price

21

Preplanned

22

Brand

17

PoP

8


Table No.2

Types of Goods Purchased

Types of goods purchased

% Of customers

Groceries

35

Bakery Products

20

Cosmetics

12

Stationeries

10

FMCG

18

Other Provisions

5


Conclusion:

Research was concentrated on finding out the purchasing behavior of the homemakers. The dimensions like types of goods available, displays of items, variety of products, price of the product and pester power were analyzed.  Types of goods available are more and some of the products are branded items. There were many display items, but not very attractive to make a sale.  Price of the product was found to be moderate in departmental stores than the other ordinary retail stores. Pester power is the major factor which influences the purchase of the products in the departmental stores in Coimbatore.

Display items may be made more attractive, so that it induces the customer to purchase the product. Sales executives can be given more training for serving the needs of customers. Billing can be made faster, reducing the waiting time of the customer. Love for children is visible through the influence of them in buying behavior of the parents.
 


E. Thamarai Selvan
N. Vallikkannu
First Year MBA
School of Management
Sri Krishna College of Engineering and Technology
Coimbatore–8
 

Source : E-mail March 7, 2006

 

    

 

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