A STUDY OF FACTORS AFFECTING PURCHASING

BEHAVIOUR OF CUSTOMERS WHILE VISITING

SRS VALUE BAZAAR AT GURGAON

Submitted in the Partial Fulfilment for the Requirement of Post

Graduate Diploma in Management
(PGDM - IB)

Submitted To:
Dr. Priyanka Ostwal

Submitted By:
Kajal Kumari
Roll No.: 59/PGDM-2010 (IB)
PGDM 2011 - 13

Jagannath International Management School Kalkaji, New Delhi

CERTIFICATE
I hereby declare that the project work entitled A study of factors affecting
purchasing behaviour of customers while visiting SRS value bazaar at
Gurgaon submitted to the Jagannath International Management School, Kalkaji,
New Delhi, is a record of an original work done by me under the guidance of Dr.
Priyanka Ostwal (JIMS Faculty), and this project work has not performed the basis
for the reward of any Degree / Diploma / Associate ship / Fellowship and similar
project if any.

Kajal Kumari
Roll No.: 59

TABLE OF CONTENTS
S. No.

Contents

Page No.

1.

Acknowledgement

2.

Preface

3.

Industry Introduction

4.

Executive summary

11

5.

Company Profile

15

6.

Research Methodology

21

7.

Analysis and Interpretation

25

8.

Recommendations

44

9.

Suggestions

47

10.

Limitations

49

11.

Annexure

50

12.

Bibliography

55

Acknowledgement
Apart from the efforts of me, the success of any project depends largely on the
encouragement and guidelines of many others. I take this opportunity to express my
gratitude to the people who have been instrumental in the successful completion of
this project.
I would like to show my greatest appreciation to Dr. Priyanka Ostwal. I cant say
thank you enough for his tremendous support and help. I feel motivated and
encouraged every time I attend their meetings. Without their encouragement and
guidance this project would not have materialized. I would like to show my gratitude
to Dr. J.K Batra (Dean at JIMS, Kalkaji) who lead me towards the path of this project.
I would like to express my gratitude towards my parents & member of JIMS for their
kind co-operation and encouragement which help me in completion of this project. I
would like to express my special gratitude and thanks to industry persons for giving
me such attention and time.
My thanks and appreciations also go to my colleague in developing the project and
people who have willingly helped me out with their abilities.
The guidance and support received from all the members who contributed and who
are contributing to this project, was vital for the success of the project. I am grateful
for their constant support and help.

PREFACE
PGDM is a stepping-stone to the management carrier and to develop good manager
it is necessary that the theoretical must be supplemented with exposure to the real
environment. Theoretical knowledge just provides the base and it is not sufficient to
produce a good manager that is why practical knowledge is needed.
Therefore the research product is an essential requirement for the student of PGDM.
This research project not only helps the student to utilize his skills properly learn field
realities but also provides a chance to the organization to find out talent among the
budding managers in the very beginning. In accordance with the requirement of
PGDM course I have summer training project of SRS Ltd. on the topic A study of
factors affecting purchasing behaviour of customers while visiting SRS value bazaar
at Gurgaon.
The main objective of the research project was to study the factors affecting the
purchasing behaviour of the customers while visiting SRS value bazaar at Gurgaon
region and make a detailed analysis. For conducting the research project sample
size of 100 customers of different regions in Gurgaon was randomly selected.
The information regarding the project research was collected through the
questionnaire formed by me which was filled by the customers. Moreover, research
is done to analyse the behaviour of the Gurgaon SRS Value Bazaar in Raheja Mall
population sample about the purchase post - factors. The market study is conducted
in the self accordance and different consumer base is analyzed. Also, the employer
and market base study is conducted to complete the research
A study is conducted on the different groups and individuals to analyze their
behaviour towards the factors affecting the purchasing behaviour of the customers
while visiting SRS value bazaar at Gurgaon region. An analysis is also undertaken

to find out the differences between the adaptability and product benefits to the
customers according to the demographic profile of the different customers.
An observation is to be done on the daily basis to find out the lacunae in the value
bazaar functioning and immediate solutions is to be provided.
Besides of this customer handling is also done by resolving their quarries and side
by side average basket size of the customers is to be enhanced without any
customer dissatisfaction. Cross selling is the one of the valuable part to enhance
the average basket size of the customer.

INDUSTRY INTRODUCTION
RETAIL INDUSTRY:
Retail is the sale of goods and services from individuals or businesses to the enduser. Retailers are part of an integrated system called the supply-chain.
A retailer purchases goods or products in large quantities from manufacturers or
directly through a wholesaler, and then sells smaller quantities to the consumer for a
profit. Retailing can be done in either fixed locations or online. Retailing includes
subordinated services, such as delivery.
Over the last five years (2004-05 to 2009-2010), the retail sector in India has grown
at 10-12% driven by favourable demographics, rising disposable income and
increasing urbanization.
The retail sector has evolved dramatically over the last two decades mainly with the
growing urbanization and development of the mall culture. During 2004-05 to 20092010, organized retail grew rapidly at 28% due to under penetration (i.e., the share
of organized retail as a proportion of total retail), ambitious expansion plans by
existing retailers and entry of several new players.
Over the past 2 years, even the pace of growth of the sector was impacted by the
economic slowdown, the impact was not too severe. In the long-term, the industry is
expected to revive with an anticipated recovery in consumer sentiments.
The initial hiccups notwithstanding, it is beyond doubt that organized retail is steadily
on its way to becoming one of the biggest industries, an employer of choice as well
as a harbinger of monumental societal and industry reforms.
That is the biggest reason why long term, serious retail players are standing on the
verge of a bright and long future. While organized retail accounts for just 8% of the

overall share, the good news is that it is galloping ahead at a rate of about 35%,
compared to 8% witnessed by the traditional kirana/ mom & pop stores.
Though retail density is high at 10 shops for every 1000 people, 96% of them are
less than 500 sq ft in size, providing modern retail a wide canvas to paint its success
story. Between 2000 and 2010, it attracted FDIs of just USD 1.8 billion, signalling an
avalanche in the days to come once reforms take shape. Once fully developed, it
can well create 50 million jobs and lead to strong infrastructural development
spanning gold chains, services, roads etc. that will help stem the absurdly high 30%
wastage level of staples and perishable produce studies suggest that this alone will
be enough to feed 70-80 million people.
Thus, the list of benefits is far longer. So, the modernization will create millions of
new jobs and solid infrastructure. Equally important, by ensuring reasonable prices
and reducing wastage, modern retail can help tame the persistent inflation we are
witnessing.
Types of Retail stores:
A marketplace is a location where goods and services are exchanged. The
traditional market square is a city square where traders set up stalls and buyers
browse the merchandise. This kind of market is very old, and countless such
markets are still in operation around the whole world.
In some parts of the world, the retail business is still dominated by small family-run
stores, but this market is increasingly being taken over by large retail chains.
Retail is usually classified by type of products as follows:

Food products
Hard goods or durable goods ("hard-line retailers") - appliances,
electronics, furniture, sporting goods, etc. Goods that do not quickly wear out

and provide utility over time.

Soft goods or consumables - clothing, apparel, and other fabrics. Goods
that are consumed after one use or have a limited period (typically under
three years).

There are the following types of retailers by marketing strategy:

Department stores are very large stores offering a huge assortment of "soft"
and "hard goods; often bear a resemblance to a collection of specialty stores. A
retailer of such store carries variety of categories and has broad assortment at
average price. They offer considerable customer service.

Discount stores tend to offer a wide array of products and services, but they
compete mainly on price offers extensive assortment of merchandise at
affordable and cut-rate prices. Normally retailers sell less fashion-oriented
brands.

Warehouse stores - warehouses that offer low-cost, often high-quantity goods

piled on pallets or steel shelves; warehouse clubs charge a membership fee.

Variety stores - these offer extremely low-cost goods, with limited selection.

Demographic stores - retailers that aim at one particular segment (e.g., highend retailers focusing on wealthy individuals).

Mom-And-Pop - is a retail outlet that is owned and operated by individuals. The

range of products are very selective and few in numbers. These stores are seen
in local community often are family-run businesses. The square feet area of the
store depends on the store holder.

Specialty stores is a typical speciality store gives attention to a particular

category and provides high level of service to the customers. A pet store that
specializes in selling dog food would be regarded as a specialty store. However,
branded stores also come under this format. For example if a customer visits a
Reebok or Gap store then they find just Reebok and Gap products in the
respective stores.

General store - a rural store that supplies the main needs for the local
community.

Convenience stores - is essentially found in residential areas. They provide

limited amount of merchandise at more than average prices with a speedy
checkout. This store is ideal for emergency and immediate purchases.

Hypermarkets - provides variety and huge volumes of exclusive merchandise at

low margins. The operating cost is comparatively less than other retail formats.

Supermarkets - is a self service store consisting mainly of grocery and limited

products on non food items. They may adopt a Hi-Lo or an EDLP (everyday low
price) strategy for pricing. The supermarkets can be anywhere between 20,000
and 40,000 square feet (3,700 m2). Example: SPAR supermarket.

Malls - has a range of retail shops at a single outlet. They endow with products,
food and entertainment under a roof.

Category killers or Category Specialist - By supplying wide assortment in a

single category for lower prices a retailer can "kill" that category for other
retailers. For few categories, such as electronics, the products are displayed at
the centre of the store and sales person will be available to address customer
queries and give suggestions when required. Other retail format stores are forced
to reduce the prices if a category specialist retail store is present in the vicinity.

E - tailers - The customer can shop and order through internet and the
merchandise are dropped at the customer's doorstep. Here the retailers use drop
shipping technique. Example: Amazon, Pennyful and eBay.

Vending Machines - This is an automated piece of equipment wherein

customers can drop the money in the machine and acquire the products.

Some stores take a no frills approach, while others are "mid-range" or "high end",
depending on what income level they target.
Other types of retail store include:

Automated Retail - stores are self service, robotic kiosks located in airports,
malls and grocery stores. The stores accept credit cards and are usually open
24/7. Examples include Zoom Shops and Red box.

Convenience store - a small store often with extended hours, stocking everyday
or roadside items.

General store - a store which sells most goods needed, typically in a rural area.

Retailers can opt for a format as each provides different retail mix to its customers
based on their customer demographics, lifestyle and purchase behaviour. A good
format will lend a hand to display products well and entice the target customers to
spawn sales.

FMCG INDUSTRY:
Fast Moving Consumer Goods (FMCG) or Consumer Packaged Goods (CPG) is
products that are sold quickly and at relatively low cost. Examples include nondurable goods such as soft drinks, toiletries, and grocery items
The term FMCGs refers to those retail goods that are generally replaced or fully
used up over a short period of days, weeks, or months, and within one year. This
contrasts with durable goods or major appliances such as kitchen appliances, which
are generally replaced over a period of several years.
FMCG have a short shelf life, either as a result of high consumer demand or
because the product deteriorates rapidly. Some FMCGs such as meat, fruits and
vegetables, dairy products and baked goods are highly perishable. Other goods
such as alcohol, toiletries, pre-packaged foods, soft drinks and cleaning products
have high turnover rates.
The following are the main characteristics of FMCGs:
From the consumers' perspective:
Frequent purchase
Low involvement (little or no effort to choose the item products with

strong brand loyalty are exceptions to this rule)

Low price

From the marketers' angle:

High volumes
Low contribution margins
Extensive distribution networks

High stock turnover

EXECUTIVE SUMMARY
In todays competitive, cutting-edge world, maximizing revenues, growth and
profitability forms the final destination for leading corporate. But then, theres a
different breed of business enterprises which go beyond this ultimate frontier those
who believe in not only maximizing value for the shareholders but also for
employees, associates and the entire society. Enterprises who believe that
businesses exist for overall good - and the fact that by focusing on this, they will not
counter fast growth, instead they will merely elevate to a higher plane of profitable
growth and expansion.
The SRS Group is one such business entity that belongs to the latter category. It is
driven with a vision to grow by offering innovative and superior products & services,
while enriching the society as a whole.
A dynamic and diversified business house, SRS has interests across multiple sectors
that include real estate, film exhibition, food & beverages, retail and financing.
Headquartered at Faridabad, New Delhi NCR, we are at the nerve centre of the
country and well poised to leverage the growth story called India.
The SRS Group epitomizes the new entrepreneurial spirit of India. This is evident in
its growth trajectory, business models and its pro-activeness to embrace new ideas
to fuel profitable growth.
The SRS Group's guiding light is the motto of 'Enduring Quality & Trust' which
denotes the company's belief in integrity, innovation and customer focus. For SRS,

quality means delivering product and services that bring satisfaction, empowerment
and value to all the stakeholders, be it the consumers, employees, associates,
government or the law. The group is committed to continuously improve its business
processes, benchmark standards and offerings to meet the desires and expectations
of its varied target audience sets.
The SRS Group believes that sustainable success comes through staying together
as a team and realizing extraordinary victories. This understanding translates into
the Group's commitment to keep all the members of the extended corporate family
together - small wonder then that its name simply expands into 'Sab Raho Sath'.
The credit for the extraordinary progress realized by the SRS Group goes to its
committed and professional team. It has truly owned and brought to life the vision of
Dr. Anil Jindal, Group CMD who created this business right from scratch. His is a
story that is truly inspiring and promises even better victories in the times to come. It
is a story of determination, dynamism and a vision coming true. A sheer
demonstration of what happens when a persons thinking knows no boundaries.
Dr. Jindal was brought up in a middle class atmosphere, often challenging at times,
though unfavourable and trying circumstances were hardly a match for his
determination. As a young man, he fulfilled his duties by delivering milk door-to-door
to his customers, and simultaneously completed his Post Graduation degree.

SRS LIMITED: A BRIEF HISTORY

2000: Incorporated as SRS Commercial Co. Limited with the objective of trading in
FMCG goods
2001: The management, reading the early signs of a long term potential decided to
enter the Retail, F&B and Entertainment sectors.
2002: The Company applies for and subsequently acquires a 3-acre plot from the
Haryana Urban Development Authority (HUDA), for establishing a multiplex at Sector
12, Faridabad. Construction began soon thereafter.

2004: *On 22nd October 2004 the company unveiled SRS Mall Faridabads first
and highly impressive multiplex, which soon became a landmark property in
Faridabad.
*On the same day, the company launches its 1st Food Court.
* Launches its first state-of-the-art 3-screen Cinema on 12th Nov 2004. The Indian
Cinema magazine rated the cinema lobby as Not the Biggest but the BEST.
2006: Company opens its first Retail outlet at SRS Mall, Faridabad on 1st January
2005: To reflect it strategic and operational focus, the company changed its name
from SRS Commercial Co. Limited to SRS Entertainment Limited in the year 2005.
2008: In the year 2008, it changed its name to SRS Entertainment & Multi Trade
Limited and then immediately changed its name to SRS Entertainment & Retail
Limited on 2nd January 2009. Expansion across its business verticals continues.
2009: By this time, companys vision, strategic focus and operational abilities
expanded beyond entertainment and retail sectors. To reflect this, the name of the
company was changed to SRS Limited, in the year 2009 itself. Expansion across its
business verticals continues.
2010: * February: Company opens up a new food court in the city of Indore, Madhya
Pradesh.
* February: Commissions two Cineplexs in quick succession at Ghaziabad adding 7
new screens
* March: Enters the small but promising city of Bijnor with the launch of its new
cinema. Takes screen strength to 23.

COMPANY PROFILE

Dr. Anil Jindal,

CMD, SRS Group
SRS limited is a diversified company with a business portfolio comprising of cinema
exhibition, food & beverages, retail and manufacturing & retailing of jewellery. The
company was incorporated on august 29, 2000 with the objective of trading in FMCG
goods and it later entered into other business segments. The four business verticals
of the company enable it to profitably exploit the business synergies, as well as,
smoothen out seasonal business fluctuations. The four business verticals of the
company are categorised as below:

Imagine a world where you get everything you wanted right less than one roof at
prices that are just right, deals that are simply unbeatable and service that brings a
smile. This is the world of SRS value Bazaar.

SRS Value Bazaar is a chain of retail stores that brings the finest in food & groceries,
personal care, home care, confectionary, packaged food, wines & spirits, frozen
foods and much more so that all your needs are fulfilled perfectly at a single point.
The stores offer you the finest products across a vast array of brands and are
available in various package sizes to suit your needs. The hassle-free shopping
actually becomes a pleasure in their premium, safe and pleasing ambience, matched
perfectly by a team of customer care executives who are always at an arm's length
to take care of your needs and comfort.
However, great products are not the only things that will delight you. What will bring a
smile to your face are the fabulous deals and combo packs we offer, designed to
give your maximum savings when you buy the finest brands available at the store.
Go for our monthly deals that we announce every month beginning. And if your want
something extra special, walk in on Thursdays to avail of the weeks lowest prices.
On top of this, there's a quick and efficient home delivery service for you. Call us in
those moments when you are just too busy or not in a mood to step out of home
we are here to serve you, always. Though we confess, we love it when you visit us.
All in all, SRS Value Bazaar is one happy place to be when you are out shopping. So
do come over soon!

Future Plans (Setting up of Retail stores):

As on June 15, 2011, the company operates 23 stores spread over 132,254 sq. ft.
under the brand names of SRS Value Bazaar and SRS Fashion Wear. The company
intends to utilize a part of the proceeds from this issue to set up 29 new stores in
various locations across India with total estimated area of 290,000 sq. ft. out of this,
the company proposes to set up 9 retail stores with an approximate area of 10,000
sq. ft. each in FY2012; and 20 retail stores with an approximate area of 10,000 sq. ft.
each in FY2013.
The expansion plan for retail division is detailed below:
Particulars

FY 2011-12

FY 2012-13

Total

SRS Value Bazaar

16

22

SRS Fashion Wear

Total

20

29

No. of Stores

The SRS Group have to invest approximately Rs.54 Crores for opening up of more
than 29 stores in Pan India by the end of 2011-12.

VISION
To diversify in all fields of entertainment, hospitality, retail and gems &jewellery in
order to touch the ever rising heights of success by turning the steering wheels of
prosperity in the emerging globalized economy and to be recognized as a company
that everyone wants to be associated with.

MISSION
To be the most admired organization with zeal to work for society where excellent
services are provided through advanced innovations; employment opportunities are
created with the sense of social responsibility and every step is taken to constantly
upgrading our skills, competencies & knowledge.

VALUES
We believe in simplicity and maintain clear and effective communication in the
organization. We believe in teamwork with well-defined responsibilities and
accountability. We strive to provide best value for money to our customers by
synergising our intellectual resources and experience.
We believe in according top priority to our customers through prompt and
appropriate response. We believe in respect and care for all those associated with
us by meeting commitments.
PRODUCT CLASSIFICATION:

HOME CARE:

GROCERIES:
1

DryFruits,Churans,
Mukhwas

Flours and Suji

Cleaning
Agents

Pulses

Insecticides

Staples

Paper Products

Spices Masala and

Mixes

Shoe Care

Sugar and Salt

Others

Others

Air Fresheners

Cleaning Aids

OTC PRODUCTS:

READY TO EAT:

Pudin Hara

Noodles

Safi

Macaroni

Eno

Pasta

Moov

Popcorn

Hajmola

Vermicelli

Others

Others

CONFECTIONARY:

FROZEN FOODS:

Chocolates

Frozen veg.

Candies

Frozen Non Veg.

Others

Ice Creams

BABY FOOD:

FABRIC CARE:

Lacto Food

Detergent Powders

Baby Cereals

Detergent Cakes

Baby Nutrition

Fabric Care Solutions

Others

Others

BAKERY:

OIL AND GHEES:

Cakes

Edible Oils

Breads

Vanspati

Buns

Ghee

Others

Others

BEVERAGES:
1

Tea
&
Coffe
e

Soft
Drink
s and
juice

Healt
h and
Ener
gy
drink
s

APPREALS:
1

Jeans and
t-shits

Shoes

Towels and
bed sheets

Goggles

Hand Bags

Ladies
purse

PROCESSED FOODS:

FRUITS AND VEGETABLES:

1

Exotic Fruits &

Vegetables

Regular Fruits &

Vegetables

KITCHEN
UTENSILS:
1

Knifes

peelers

cookers and
fry pans

lunch boxes
and water
bottles

mugs and
buckets

use &throw
glasses

others

PERSONAL CARE:

Break Fast
Cereals

Baby Care

Biscuits and
Wafers

Colours

Creams

Conditioner

Oils

Oral Care

Odour Control

Jams, Sauces,
Spreads &
Pickles

Soaps

Shampoos

Noodles, Pasta
& Vermicelli

10 Shaving Needs

Ready Foods

Sweets and
Savouries

Baking and
Dessert Mixes

Bakery

Chocolate and
Confectioneries

10 Others

11 Sanitary Napkins
12 Others

RESEARCH METHODOLOGY
Research in common parlance refers to a search for knowledge. Once
can also define research as a scientific and systematic search for
pertinent information on a specific topic. In fact, research is an art of
scientific investigation.
Before beginning to carry out the present stud y, the researchers initially
conducted a pilot study in order to find out the feasibility and relevance
of the study. The present stud y is based on the factors affecting
purchasing behaviour of customers while visiting SRS value bazaar at Gurgaon.
As the universe of the study is around Gurgaon, the research have been demand to
select sample respondents by adopting the simple random sampling technique. The
secondary data have been collected from the reports and web sites.
Further the research have used national and international journals in the field of
management, as well as marketing, business magazines, business dailies, referred
text book in the field of research as well as consumer behaviour and academic
studies conducted in the related areas for purpose of building a strong conceptual
background including the review of literature for the study.
The motive behind the project is to know that which factors affect the consumer
perception while they make purchasing at SRS value bazaar. This project is directed
towards exploring the attitude of customer towards purchase affecting factors at SRS
value bazaar.
Sampling Design:
This study was conducted among the consumers who consider factors affecting their
purchasing behaviour while visiting in SRS value bazaar at Gurgaon.

A simple random sampling technique is adopted in the study to select the sample
respondents.
As the size of the universe is restricted, the study has been conducted on the
respondents who are the consumers from all the segments of the FMCG products.
A total of 100 questionnaires schedules were prepared and out of this all responses
is successfully conducted. Data were collected through a questionnaire schedule
regarding perception of the respondents on factors affecting their purchasing
behaviour while visiting in SRS value bazaar at Gurgaon.
Research period:
The study has been carried out for the maximum period of 8 weeks to collect the
information regarding the project.
Sample size:
100 respondents are analyzed through prepared questionnaires.
Sample area:
Gurgaon (National Capital region, Delhi).
Statistical tools of Analysis:
The collected data are analyzed through descriptive statistical tools.
The ANOVA, t test, factor analysis and correlation analysis have been used to test
the significant differences between the groups of respondents in their perception and
satisfaction foe selected independent variables like age, income group, gender,
marital status and occupation.
Correlation analysis has been used to establish the relationship between the factors
which influence the purchase decision of the customers for a product and the factors
which favoured the level of satisfaction.
Factor analysis is employed to identify the key factors responsible for the consumers
purchase of products and the level of satisfaction.

Objectives of research:
The purpose of this research is to study the factors which influence the purchase
decision of the customers in SRS value bazaar at Gurgaon. Hence, the study is
aimed at the following objectives:

To identify and analyze the factors influencing the purchase decision of

customers at SRS value bazaar.

To determine the current status of the SRS value bazaar and to make

suggestions in the light of the findings of the study.

To check the status of the SRS store in Raheja mall at Gurgaon and make a
preventive measures to enhance the average basket size of the customers

daily through suggestive selling and cross selling.

To attract new customers and retain the existing ones.

Scope of the study:

Nowadays, consumer durables items have become a necessity and forms a part of
life. Therefore, there is a significant scope to examine the perception and purchase
behaviour of the customer at SRS value bazaar. The study is restricted to Gurgaon
(National Capital Region, Delhi).
Due to their increasing purchasing power, the people of this region have started to
buy their daily need products from the organized retail sector or bazaars for business
or personal use or the prestige and maintenance of social status. Gurgaon as a
national capital region, Delhi with a huge population have a potential market for all
consumer products and services.
Knowledge of the buying behaviour of the different market segments helps a seller to
select their target segment and evolve marketing strategies to increase the sales.
Advertisers and marketers have been trying to discover why consumers buy and
what they buy.
This study tries to analyze the influence of perception in the consumers mind and
how this information can be used successfully by marketers to gain entry into the
mind of the customers. The scope of this research has a very good scope.

Hypothesis of study:
A hypothesis is a possible answer to a question. Development of hypothesis implies
generating basically alternative answers to research questions. The research
determines which of these alternative answers is correct. It is not always possible to
develop hypothesis, but efforts should be made.
Collection of data:
In dealing with an y real life problem it is often found that data at hand
are inadequate, and hence, it becomes necessary to collect data that
are appropriate. Primary (Through the structured questionnaire and the
personal interview which are interviewer administered) and secondary
(it will be from the websites, company records, books). Data can be
collected b y any one or more of the wa ys:

B y observation.
Through personal interview.
Through telephone interview.
B y mailing of questionnaires.
Through schedules.

ANALYSIS AND INTERPRETATION

The result of the analysis of the collected data is presented below:

Average ratings for the influencing factors:
Which factors affects your purchasing decision while visiting at SRS Value Bazaar?
Descriptive Statistics
Categories

Analysis N
100

Mean
2.46

Std. Deviation
1.243

Services
Schemes / and Discounts

100
100

1.96
2.87

1.136
1.397

Easiness and comfort with sections

Variety Of SQs

100
100

2.10
1.86

0.969
1.146

Home Delivery
Offer Day (Thursday)
Fun
Time

100
100
100
100

1.83
2.03
1.81
2.16

1.111
1.226
1.061
1.346

Convenience

100

2.08

1.236

Price of product

Price of product, Services, Schemes / and Discounts, Variety Of SQs, Home

Delivery, Offer Day (Thursday), Fun, Time and Convenience indicates that most of
the respondents have given their responses in the category of moderate influence
and more influence.
The obtained mean values of 1.96 (Services), 1.86 (Variety Of SQs), 1.83 Home
Delivery) and 1.81 (Fun) which are close to the scale value of less influence
indicating that these factors moderately influenced the respondents in their purchase
decision.
Factor Analysis Factors influencing purchase

The general purpose of factor analysis is to find a method of summarizing the

information contained in a number of original variables into a smaller set of new
composite dimensions (Factors) with minimum loss of information.
Correlation Matrix
Easiness
and
Price

Schemes /

comfort

of

and

with

Variety

Home

Day

Services

Discounts

sections

Of SQs

Delivery

(Thursday)

.144

-.243

-.079

.003

.373

.128

.120 -.012

.144

.229

-.076

.200

.113

.208

.178

.188

-.025

-.243

.229

.062

.084

-.102

.107

.153

.036

-.104

-.079

-.076

.062

.111

.007

.179 -.233

.031

-.122

Variety Of SQs

.003

.200

.084

.111

.122

-.034 -.143 -.224

.134

O Home Delivery
N Offer Day

.373

.113

-.102

.007

.122

.174

.025

.187

-.055

.128

.208

.107

.179

-.034

.174

.061

.100

-.164

Fun

.120

.178

.153

-.233

-.143

.025

.061

.469

-.055

Time

-.012

.188

.036

.031

-.224

.187

.100

.469

-.193

.042

-.025

-.104

-.122

.134

-.055

-.164 -.055 -.193

product
C Price of product
O
R
R
E
L
A
T
I

Services
Schemes / and

Offer
Convenien
Fun

Time

ce
.042

Discounts
Easiness and
comfort with
sections

(Thursday)

Convenience

Only cases for which Gender = female are used in the analysis phase.

It usually proceeds from the correlations matrix formed out of the selected variables
included in the study. The appropriateness of the factor model can also be calculated
from this. Next, Factor extraction, the number of factors necessary to represent the
data and the method of calculating them must be determined.
At this step, how well the chosen model fits the data is also ascertained. Rotation
focuses on transforming the factors to make them more interpretable and following
this, scores for each factor can be computed for each case. These scores are then
used for further analysis.
For our study, it is interesting to study the factors which can be derived out of several
variables which contribute in influencing the purchase of a car. There are 15

variables under the heading factors influencing purchase. These variables were
subject to correlation analysis first.
KMO and BARTLETT'S test:

KMO and Bartlett's Test

Kaiser-Meyer-Olkin Measure of Sampling
Adequacy.
Bartlett's Test of
Approx. Chi-Square
Sphericity
Df
Sig.

0.662
71.220
45
0.008

Only cases for which Gender = female are used in the analysis
phase.

Bartlett's test of sphericity is used to test whether the correlation matrix is an identity
matrix. The test value (71.220) and the significance level (P< 0.01) which are given
above indicate that the correlation matrix is not an identity matrix, i.e., there exists
correlations between the variables. Kaiser-Meyer-Olkin (KMO) measure of sampling
adequacy or KMO measure is closer to 1, and then it is good to use factor analysis.
If the KMO is closer to 0, then the factor analysis is not a good idea for the variables
and the data.
The value of test statistics is given above as 0.662, which means the factor analysis
for the selected variables is found to be appropriate to the data. The Principal
Components Analysis (PCA) is used to extract factors. The PCA is a method used to
transform a set of correlated variables into a set of uncorrelated variables so that the
factors are unrelated and the variables selected for each factor are related.
Scree Plot analysis:
Schemes / and Discounts, Easiness and comfort with sections, and Convenience
influencing the decision of the consumers, and they vary a lot in Scree plot analysis.
But rest of the factors affecting purchasing behaviour of customers while visiting
SRS value bazaar at Gurgaon does not vary so much.
So it reflects that Schemes / and Discounts, Easiness and comfort with sections, and
Convenience have a great impact on the purchasing decision.

 ANOVA Technique:
ANOVA on Gender and, Services, Schemes / and Discounts, Home
Delivery and Convenience factors:

Between Groups

ANOVA
Sum of
Squares
1.307

Within Groups
Total
Between Groups

126.533
127.840
1.156

98
99
1

1.291

Within Groups
Total
Home
Between Groups
Delivery
Within Groups
Total
Convenience Between Groups

192.154
193.310
1.399
120.711
122.110
.396

98
99
1
98
99
1

1.961

150.964
151.360

98
99

1.540

Services

Schemes /
and
Discounts

Within Groups
Total

Mean
df
Square
1
1.307

1.156

F
Sig.
1.012 .317

.589 .445

1.399
1.232

1.136 .289

.396

.257 .613

ANOVA conducted to test for significant difference if any, between the gender of the
respondents and the Services, Schemes / and Discounts, Home Delivery and
Convenience factors.
Null Hypothesis for Services: The average scores of the influencing level of a
purchase decision from SRS value bazaar among the respondents of the different
gender of the respondents and the service level of a value bazaar do not differ
significantly. Null Hypothesis is rejected.
Null Hypothesis for Schemes / and Discounts: The average scores of the
influencing level of a purchase decision from SRS value bazaar among the
respondents of the different gender of the respondents and the Schemes / and
Discounts level of a value bazaar do not differ significantly. Null Hypothesis is
rejected.
Null Hypothesis for Home Delivery: The average scores of the influencing level of
a purchase decision from SRS value bazaar among the respondents of the different
gender of the respondents and the Home Delivery level of a value bazaar do not
differ significantly. Null Hypothesis is rejected.
Null Hypothesis for Convenience: The average scores of the influencing level of a
purchase decision from SRS value bazaar among the respondents of the different
gender of the respondents and the Convenience level of a value bazaar do not differ
significantly. Null Hypothesis is accepted.
ANOVA on Income Group and, Price of product, Schemes / and
Discounts, Home Delivery factors and how frequently you visit
SRS Value Bazaar in a month?
ANOVA conducted to test for significant difference if any, between the gender of the
respondents and the Price of product, Schemes / and Discounts, Home Delivery
factors and How frequently you visit SRS Value Bazaar in a month?

Price of product

Schemes / and
Discounts
Home Delivery

How frequently
you visit SRS
Value Bazaar in
a month?

ANOVA
Sum of
Squares
Between Groups
5.721
Within Groups
147.119
Total
152.840
Between Groups
13.625
Within Groups
179.685
Total
193.310
Between Groups
3.143
Within Groups
118.967
Total
122.110
Between Groups
3.718
Within Groups
209.282
Total
213.000

df
4
95
99
4
95
99
4
95
99
4
95
99

Mean
Square
1.430
1.549

F
Sig.
.924 .454

3.406
1.891

1.801 .135

.786
1.252

.627 .644

.930
2.203

.422 .792

Null Hypothesis for Price of product: The average scores of the influencing level
of a purchase decision from SRS value bazaar among the respondents of the
different gender of the respondents and the Price of product level of a value bazaar
do not differ significantly. Null Hypothesis is rejected.
Null Hypothesis for Schemes / and Discounts: The average scores of the
influencing level of a purchase decision from SRS value bazaar among the
respondents of the different gender of the respondents and the Schemes / and
Discounts level of a value bazaar do not differ significantly. Null Hypothesis is
rejected.
Null Hypothesis for Home Delivery: The average scores of the influencing level of
a purchase decision from SRS value bazaar among the respondents of the different
gender of the respondents and the Home Delivery level of a value bazaar do not
differ significantly. Null Hypothesis is accepted.
Null Hypothesis for How frequently you visit SRS Value Bazaar in a month?:
The average scores of the influencing level of a purchase decision from SRS value
bazaar among the respondents of the different gender of the respondents and the

How frequently you visit SRS Value Bazaar in a month level of a value bazaar do not
differ significantly. Null Hypothesis is accepted.
From which source did you came to know about SRS Value Bazaar?

The above graph represents that most of the respondents came to know the source
of SRS value bazaar through the friends/ relatives i.e. 35.00% and through the
nearness from the place which constitutes 27.00%.
How frequently you visit SRS Value Bazaar in a month?
The above graph represents that 39.00% respondents visit SRS value bazaar
twice in a week and 23.00% respondents. It shows that most of the users are
loyal towards the SRS value bazaar and they are keen to buy their daily need
products from there frequently.

 How you prefer the services of sales executives / promoters at SRS

Value Bazaar in enhancing your purchase decisions?

While 29.00% of the respondents consider the services of SRS value bazaar is good
in terms of customer handling, customer assistance, cross-selling, suggestive
selling, and etc, and remaining 23.00% + 22.50% averagely considers good to the
services of sales executives/ promoters at SRS value bazaar.
Which factors affects your purchasing decision while visiting at SRS
Value Bazaar?
Price of product

22.00% of the respondents are Strongly Agree and 41.00% are Agree with the
pricing strategy of the product. It means that SRS products of food section are fair at
prices. Besides of this SRS value bazaar keeping the products of other brands also
at fair and considerable prices including the imported goods section.
Services
Most of the respondents are Strongly Agree (43.00%) with the services provided by
the SRS value bazaar. Also, 35.00% of the respondents are Agree with the services.
It means that a maximum respondent feels the service of SRS value bazaar as
novel.

 Schemes / and Discounts

Schemes / and Discounts are effective in SRS value bazaar but at certain point it
lacks as 23.00% + 16.00% of the respondents are Disagree and Strongly Disagree.
They feel that other value bazaars Schemes/ Discounts are more effective.
Easiness and comfort with sections

There are 71.00% of the respondents considers that the Plannogram decided by
the SRS value bazaar is according to the customers in case of sections and
arrangements of the products.
They feel that the space provided for walking, arrangements of products in the racks,
comfortability with sections, heights of the Gondolas and so on are all kept in a way
that provides easiness and comfortability to the customers.
Variety Of SQs
48.00% of the respondents Strongly Agree and 37.00% customers Agree to respond
that SRS have variety of standard quantity units according to the need of the
requirement of the customers daily home needs.

 Home Delivery

Home delivery is the important decision which creates the customer loyalty and
customer service to the customers and forms a core value of the customers for the
SRS value bazaar. No other value bazaar forms this kind of service pan for the
customers. 49.00% are Strongly Agree and 35.00% are Agree for the home delivery
factor that affects their purchasing decision.

 Offer Day (Thursday)

Offer Day (Thursday) is effective in SRS value bazaar the sales are to be increased
as compared to other days. Every Thursday is the offer day in the SRS value bazaar.
As it is seen that Offer Day in SRS value bazaar is effective as 42.00% customers
are Strongly Agree and 38.00% are Agree with this factor.
Fun
Fun is the mainframe due to which most of the customers visit the value bazaars or
malls for the purpose of time pass. Due to this many of the times they buy some of
the products which are useful to them without any motive to do a shopping.
It is seen that 50.00% of the customers Strongly Agree and 33.00% of the customers
Agree that they visit the value bazaar for fun purpose.

 Time

Time is an important factor which affects the purchasing decision of the customers at
SRS value bazaar. If the customer is in hurry and he does not ease with the sections
or with the value bazaar employees than it reduces the sales of the bazaar.

44.00% of the respondents are Strongly Agree and 26.00% of the customers are
Agree that time assumes to be an important factor which affects the purchasing
decision of the consumers.
Convenience

Convenience determines the easiness in terms of the internal environment of the

value bazaar (i.e., in terms of the management, sections, products, billing section
and so on) and external environment of the bazaar (i.e., in terms of the distance,
transportation and so on).
Thus 41.00% of the customers are Strongly Agree and 34.00% of the customers is
Agree that Convenience affects their purchasing behaviour while visiting SRS value
bazaar at Gurgaon.
Do you think that prices at SRS value bazaar are more reliable than
other value bazaars?
Prices at SRS value bazaar are not too much effective as the other value bazaar
such as Big Bazaar, Spar Hyper market, Reliance Fresh, Easy day, etc, are cheaper
as they provide heavy discounts and offers to the customers. Also it is to be

observed that SRS value bazaar is focusing on the high end customers, which
means that lower middle income group and class peoples are left out in terms of
pricing strategy of the products.
It is interpreted that only 11.00% of the customers are Strongly Agree with the pricing
strategy of SRS and 21.00% are Disagree, and thinks that prices at SRS value
bazaar are not much more reliable than other value bazaars.

Do you think that proximity of the SRS value bazaar is suitable for the
local residents?

As per SRS value bazaar in terms of Gurgaon proximity is near to the customers
because there are number of stores is located in Gurgaon. 67.00% of the customers
Strongly Agree by saying yes that stores are in proximity to their residents which
feels them easiness and comfort.
SRS value bazaar is best at which one of the services?

SRS value bazaar is good at customer dealing and sound system as it reflects from
above diagram that they constitute 38.00% and 31.00%. Sound system reflects the
pitch of the music and offers/ discounts which are announces at regular interval.
How frequently you visit SRS Value Bazaar in a month in terms of
Gender?
From the above graphical representation it

is seen that females are more in

number to visit the SRS value bazaar in terms of shopping as they are buying the
household products. As of 100 customers are analyzed out of which 63.00% are
female respondents and 27.00% males are respondents. This also represents that
females are the frequent visitor to the SRS value bazaar as they visit 23.00% twice,
13.00% daily and 12.00% once in a week as compare to male which is 14.00%
twice, 10.00% daily and 8.00% once in a week.

 Effect of Schemes/ and Discounts on Gender:

From the above diagram, it is interpreted that both male and female are affected by
the Schemes/ and Discounts patterns of the SRS value bazaar equally as they
Strongly Agree by 10.00%.but female are more dominated and affected through
Schemes/ and Discounts as they Agree by 20.00%.
SRS value bazaar is best at which services in relation with Age Group?

Between the Age group of 30-40 years 16.00% of the respondents say that they are
satisfied with the customer dealing pattern behaviour of the SRS value bazaar while
9.00% of the respondents are satisfied with the cleanliness service of the SRS
value bazaar.
The Age group of 50 and above are most dominated towards the sound system
which announces discounts and offers, and towards the customer dealing.

RECOMMENDATIONS
Some of the suggestions are listed below:
There are 4 floors in the height of the racks in the stores. It is to be suggested
that if the particular height of the store is increased to one more level than it
decreases the cost of inventory and display of products amongst customer will
increases which would lead to more profit.
The goods racks do not have proper colour. It is white with orange straps
which are dull for the eyes and looks bad as white colour gets scratches. So it
is to be suggested that the colour should be chosen for racks which should
not irritate to the customers and shelf-display looks better.
There is a shortage of many products in inventory due to which there is a
shortage of the products at store floor. This causes a short fall of the average
basket size and loss of the profit.
There is a huge gap between the free gift counter and billing counter which
creates a problem to both customers and Value Bazaar. So it is to be
suggested that both of the counters should be shifted near to the entry gate
alongside with each other. This could prevent loss, theft or pilferage.
Airconditioner system is not much effective in the value bazaar and the
customers feel humidity. So, value bazaar has to install its own air conditioner
system or either over come with the problem with mall management.
Mosquitoes and flies create a disturbance to the customers in the value
bazaar which impact the sales of SRS value bazaar.
No entry zone board is to be displayed before the inventory gate so that
everyone has not access to that premise area.
Ware-house inventory and store inventory is not differentiated due to which
the loss/ theft or pilferage of goods in Ware-house inventory or store inventory
is not differentiated. So for this SRS value bazaar have to separate its both of
departments effectively.
At billing counter there should be an plastic locks and ploy bags available with
the value bazaar which prevents from loss/ theft or pilferage of goods.
Although this system is not environment but it is effective for SRS value
bazaar.
Freezer for the frozen food items is not covered by glass door due to which
customer hesitate to take up the frozen foods. Besides of this piling up of the

frozen foods mashes the food item badly due to which it affects the sales and
profit of the value bazaar.
To ensure that a product finds a place in the minds of consumers, the SRS

value bazaar should position their products through sales promotional

activities such as advertisement through the various media.
The study reveals that the middle class population has risen to 23% of the
total population. Hence, the SRS value bazaar has to focus on the lower
middle class and upper middle class to create a brand image and brand
loyalty to boost the sale and profit.
It is observed that the organization hierarchy is professional as all the
employees directly report to Store Head who in turn reports to the Area
Manager.
There exists a healthy and positive relationship between employees and
managers. Also, working environment is good and various facilities provided
by management motivate the employees.
There should be some sitting arrangements in SRS value bazaar, as the old
people and children get tired and wanted to sit somewhere.
Sometimes the shelves remain empty. So it is the task of sales person to put
all the products, which are lacking on the shelf or which have been finished on
the shelf.
Bed sheet section which in corner does not seems to be much beneficial to
the bazaar.
At the time of peak hours, there is a rush near to the billing counter due to
which many of the times employees by default forget to bill the product which
creates shrinkage to the inventory. So for this SRS store manager have to
make one porter available at that time to the counter to cure from loss.

SUGGESTIONS
Consumer Behaviour consists of all human behaviour that goes in making purchase
decisions. An understanding of the consumer behaviour enables a marketer to take
marketing decisions which are compatible with its consumer needs.
The growth in the population of India and the increasing number of middle class
consumers has attracted the attention of retail industry. The manufacturers and

marketers who study the behaviour of consumers and cater to their needs will be
successful. So, SRS value bazaar has to be more focused to their customer needs in
terms of products and services.

Beside of this the Consumer buying decisions will in most cases be influenced by the
prices, income, and availability of credit facilities, emotional attachment, need
satisfaction, technical factors and advertisements. When products prices are low the
more the consumer is influenced to buy the product, however the influence of price
depends on the price elasticity.

A high end customer is targeted but SRS value bazaar is lagging behind in attracting
lower medium end customers which is the backbone of the market. Preferred
customers are womens, so more focus should be given on women accessories. Also
Cross-selling and suggestive selling is done to increase the avg. basket size of the
customers but still cross-selling and suggestive selling is to be appreciated by the
employees of SRS value bazaar which creates more revenue.
Income also plays a major role in determining the consumer's decision on buying,
the higher the disposable income the more the quantity of products a consumer will
buy, this however depends on the income elasticity of the product, however there
need to distinguish the type of good because some goods are less demanded as
income rises.
All this factors contribute to the decisions consumers make when deciding on what to
buy, therefore consumer's decisions depend upon so many factors which must be
taken into consideration by firms when undertaking market research in order to
increase their sales volumes to attain higher profits.
It may be concluded that consumer behaviour has a greater role to play in the retail
era sector for which a necessary survey and research should be conducted in an
efficient manner.

LIMITATIONS
Preparation of a project report and concluding a research is a whole process which
is carried out in a number of steps.

Therefore throughout the whole process of research there are a number of difficulties
encountered by researcher, at every step. In the present study we may assume
following limitation:
People in Gurgaon are very large and random in number. As convenient
random sampling is used so actual information couldnt be taken from the
massive group of people.
As the sample size was only 100, so it cannot be a true representative of the
whole Gurgaon.
There is less time for the research work to complete the study. To cover all the
people it requires a lot of time and money.
Some people do not have interest in the questionnaires, because of less time.
They didnt response well due to which the result of the study is affected.

ANNEXURE
This questionnaire is a part of research A study of factors affecting purchasing
behaviour of customers while visiting SRS value bazaar at Gurgaon undertaken for
project for the completion of PGDM (IB) course from the institute JIMS, Kalkaji. At no

point of time your ID will not be revealed. Please fill up the questionnaire and help in
completion of the project.
1 From which source did you came to know about SRS Value Bazaar?
Internet
Friends / Relative
Advertisement
Nearness from the place
Other sources
2 How frequently you visit SRS Value Bazaar in a month?
Daily
Twice
Thrice
More than thrice
Ones in a week
3 How you prefer the services of sales executives / promoters at SRS Value
Bazaar in enhancing your purchase decisions?
Fair
Average
Good
Very Good
Excellent
4 Which factors affects your purchasing decision while visiting at SRS Value
Bazaar?
1 Price of product
Strongly Agree
Agree
Neutral
Disagree
Strongly Disagree
2 Services
Strongly Agree
Agree
Neutral
Disagree
Strongly Disagree

3 Schemes / and Discounts

Strongly Agree
Agree
Neutral
Disagree
Strongly Disagree
4 Easiness and comfort with sections
Strongly Agree
Agree
Neutral
Disagree
Strongly Disagree
5 Variety Of SQs
Strongly Agree
Agree
Neutral
Disagree
Strongly Disagree
6 Home Delivery
Strongly Agree
Agree
Neutral
Disagree
Strongly Disagree
7 Offer Day (Thursday)
Strongly Agree
Agree
Neutral
Disagree
Strongly Disagree
8 Fun
Strongly Agree
Agree
Neutral
Disagree
Strongly Disagree

9 Time
Strongly Agree
Agree
Neutral
Disagree
Strongly Disagree
10 Convenience
Strongly Agree
Agree
Neutral
Disagree
Strongly Disagree
5 Do you think that prices at SRS value bazaar are more reliable than other
value bazaars?
Strongly Agree
Agree
Neutral
Disagree
Strongly Disagree
6 Do you think that proximity of the SRS value bazaar is suitable for the local
residents?
Yes
No
Cant say
7 SRS value bazaar is best at which one of the services?
Cleanliness
Sound system
Air conditioner
Customer dealing
Others

BIBLIOGRAPHY
From Books:
Philip H. Mitchell 2008, Discovery-Based Retail, Bascom Hill Publishing Group ISBN 978-0

9798467-9-3
Ramanuj Majumdar (2004). Product Management in India. ISBN 978-81-203-1252-4.
Retrieved 2010-06-19.

From Web:

http://en.wikipedia.org/wiki/Retail
http://www.srsparivar.com/
http://www.stores.org/
http://www.ibef.org/
http://www.slideshare.net/
http://business.mapsofindia.com/
https://www.google.co.in