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CHAPTER II

REVIEW OF LITERATURE

2.1 INTRODUCTION

The introduction and research design of the study used in this research are

presented in the first chapter. This chapter presents the review of literature

for !"#$%&'#()*&+,-.!$')/!0,'1#)2,#/)3!-."4)5!"#$%&')6!!1#)7'!%)/+&)8!$'",9#)

published in India and abroad as well.

2.2 REVIEW OF LITERATURE

1
Mowen (1988) found that the focus of many consumer decisions was

more on the feelings and emotions associated with acquiring or using the brand

or with the environment in which it was purchased or used its attributes. The

decision process discussed helps to gain insights into all types of purchases like

0+&/+&') !"#$%&'(#) 1& .#.!") 0,#) ,//'.*$/&-based or driven by emotional or

environmental needs.

2
Kent.J and ChrisAllen.T (1994) in his study :5!%;&/./.-&) <"7&'&" &)

=77& /#).")5!"#$%&')3&%!'>)7!')?1-&'/.#."4@)A+&)B!9&)!7)C',"1)2,%.9.,'./>DE)

&F;9,."&1)/+,/)*',"1)7,%.9.,'./>) ,;/$'&#) !"#$%&'G#)*',"1)H"!09&14&)#/'$ /$'&#E)

/+,/) .#E)/+&)*',"1),##! .,/&#)/+,/)&F.#/)0./+."),) !"#$%&'G#)%&%!'>I)?9/+!$4h

1Mowen J.C. :C&>!"1)5!"#$%&')J& .#.!")3,H."4DE)K!$'",9)!7)5!"#$%&')3,'H&/."4E)L!9IM)


No.1, July 1988, pp. 15-25
2
Kent Robert.J and Chris Allen.TE):5!%;&/./.-&)<"7&'&" &)=77& /#).")5!"#$%&')3&%!'>)7!') ?1-
&'/.#."4@)A+&)B!9&)!7)C',"1)2,%.9.,'./>DE)<"1.,")K!$'",9)!7)3,'H&/."4IL!9I)MNE)OPPQ);;IPR-105
22

many advertised products are familiar to consumers, many others are unfamiliar,

either because they are new to the market place or because consumers have not

yet been exposed to the brand. Consumers may have tried a familiar brand or

they may have family or friends who have used the brand and told them

something about it.

3
Baiding Hu (1997) stated that the success of the economic reforms in

rural China has raised the living standards of rural households. This is reflected

in households' consuming goods and services that were not previously part of

their consumption pattern. However, because of differences in economic and

demographic characteristics, not every household has been able to increase

consumption. Consequently, it will be useful to investigate how the likelihood of

consuming such goods and services is affected by economic and demographic

factors. In this paper, the profit model is used to compute the marginal and mean

probabilities of consumption of five such goods and services, namely, Food away

from home, Recreation, Medical Care, Transport and Postage. The empirical

results show that the estimated probabilities of consuming the first three goods

are more sensitive to changes in the underlying economic and demographic

factors, while the probabilities of consuming the latter two goods are more

sensitive to changes in the model structure.

3BaidingHuE):?)S'!*./)?",9>#.#)!7)5!"#$%&')C&+,-.!$').")B$',9)5+.",DE)3,/+&%,/. #),"1)
Computers in Simulation, Vol. 43, Issue 3-6, September 1997, PP. 527- 534
23

4
Jarvis (1998) identified that a purchase decision requires a subset of

decisions associated with information search. At some point in time, consumers

acquire information from external sources that gets stored in long-term memory.

For most consumers, usually this stored information, referred to as internal

information, serves as the primary source of information most of the time as is

evident in nominal or limited decision making.

5
Narayan Krishnamurthy (1999) . <")+.#),'/. 9&):T.4"#)T;&,H)U!01&'D)

has pointed out that semiotics primarily works best for products that have low V

involvement at the time of purchase, and had very frequent usage. Fast moving

consumer goods (FMCG) such as soaps, shampoo, types goods and tea were the one

that fit the bill best Mnemonics also became crucial to nurture and retain place in

mind space. The shelf V life of FMCG products was short enough for most to

remember those products by their symbols, colors and names, or a combination of

those elements. The low levels of literacy in rural India acts positively for signs and

symbols along with visual looks to succeed.

6
Upadhyay.Y (1999) identified significant differences between rural and

urban areas on the basis of the role played by different members of a family in

4Jarvis C.B, :?")=F;9!',/!'>)<"-&#/.4,/.!")!7)5!"#$%&'#()=-,9$,/.!")!7)=F/&'",9)<"7!'%,/.!")


Sources in Pre-;$' +,#&) T&,' +DE) ?1-," &#) .") 5!"#$%&') B&#&,' +E) L!9I) WWWLE) X!
IYE) December 1998, PP.54-61
5
Narayan KrishnamurthyE):T.4"#)T;&,H)U!01&'DE)?1-&'/.#."4),"1)3,'H&/."4)K!$'",9E)L!9I)
XI, Issue XVI, July 1999, P.121.
6Upadhyay.Y. :?) 5!%;,',/.-&) T/$1>) !7) S$' +,#&) B!9&#) .") B$',9) ,"1) Z'*,") ?'&,#DE) A+&)
Indian Journal of Commerce, Vol.52, No.4, May 1999, PP.33-37.
24

purchase decision of non-durable goods. As initiators, husbands and kids are

more prominent in rural areas, while wife is more prominent in the urban areas.

7
Vasudeva.A (1999) observed that the proportion of households, which are

brand loyal to one or more brands, are similar in urban market and rural markets.

Toothpaste is the only product for which rural market shows greater brand

loyalty than the urban market. The rural brand loyal consumers were found to be

comparatively more price conscious than the urban brand loyal for detergent

powder and toilet soaps.

8
Rajeev Batra (2000) . in his article, :=77& /#) !7) C',"1) U! ,9) ,"1)

X!"#! .,9)['.4.")!")5!"#$%&')?//./$1&#).")J&-&9!;."4)5!$"/'.&#D, The study tested

whether the brand has perceived a nonlocal country of origin especially from the

West, and the consumers attitudinally preferred to brands seen as local, for reasons

not only of perceived quality but also of social status. The results, thus, suggest that

in developing countries, a brand's country of origin not only #&'-&#),#),):\$,9./>)+,9!

D)!')#$%%,'>)!7);'!1$ /)\$,9./>)] 7I)^,"E)OPNP_E)*$/),9#!) possesses a dimension

of no localness that, among some consumers and for some product categories,

contributes to attitudinal liking for status-enhancing reasons.

7Vasudeva.A :C',"1)U!>,9/>),"1)3,'H&/."4)T/',/&4>)for Consumer Non-Durables: A Study of


Household in Punjab and Chandigar+DE);+I1)/+&#.#E)OPPPE)S$"8,*.)$".-&'#.'>E)S,/.,9,)
8Rajeev BatraE) :=77& /#) !7) C',"1) U! ,9) ,"1) X!"#! .,9) ['.4.") !") 5!"#$%&') ?//./$1&#) .")
J&-&9!;."4)5!$"/'.&#DE)K!$'",9)!7)5!"#$%&')S#> +!9!4>E)L!9I)PE)<##$&)`E)K$"&-2000,
pp.
83-95.
25

9
Leszezye, et.al (2000) in their study: Consumer Store Choice Dynamics:

?")?",9>#.#)!7)/+&)5!%;&/./.-&)3,'H&/)T/'$ /$'&)7!')6'! &'>)T/!'&#D),",9>a&1)

that the store choice is a dynamic decision which can be conceptualized as a

problem of deciding, when and where to shop. The first decision is the traditional

store location choice problem where as the second is the shopping trip incidence

problem relating to the timing of shopping trips. The two decision processes are

correlated. Store choice is dependent on the timing of shopping trips as

!"#$%&'#)%,>)4!)/!),)9! ,9)#/!'&)7!')#+!'/):7.99-."D)/'.;#),"1)4!)/!),)%!'&)1.#/,"/)

grocery store for regular shopping trips.

10
Kannan.S (2001) , pointed out that many companies take different routes

to reach rural consumers, FMCG used the weapon of sachets to modify and

motivate rural consumers to try their products and it is reaping, good results as the

recent survey clearly indicates that 80% of the compani&#G)'&-&"$&) !%&#)

from small stock keeping units.


11
Kevin J. Clancy (2001) has conducted research into the state of brands

.") ?%&'. ,I) A+&) '&#$9/#) 1&%!"#/',/&) /+,/) !"#$%&'#) ,"G/) #&&) 1.77&'&" &#)

9
Leszczye, PeserPopkowski, T.L and Timmermans, Harry.J.P. :5!"#$%&') T/!'&) 5+!. &)
J>",%. #@)?")?",9>#.#)!7)/+&)5!%;&/./.-&)3,'H&/)T/'$ /$'&)7!')6'! &'>)T/!'&#DE)K!$'",9)!7)
Retailing, Vol.76. No.3, August 2000. pp.323-345.
10Kannan.S (2001), Rural Market - A World of Opportunity, The Hindu Business Line, Online
=1./.!")!7)<"1.,G#)X,/.!",9)X&0#;,;&'E)A+$'#1,>E)[ /!*&')OOI)
11
Kevin J .ClancyE) :T,-&) ?%&'. ,G#) J>."4) C',"1#) 5!$"/&') ."/$./.-&) ,;;'!, +&#) ,") H&&;)
*',"1#)7'!%)#9.1."4)."/!) !%%!1./>)!*9.-.!"DE)3,'H&/."4)3,#/&'%."1E)L!9I 35, No.1, 2001, PP
37-41.
26

between major brands in most products and service categories. As a result, more

people buy products based on price.

12
Kim et.al (2002) in their analysis :5'!##) 5$9/$',9) 5!"#$%&') -,9$&#E)

X&&1#),"1)S$' +,#&#)C&+,-.!'D),'4$&#)/+,/) $#/!%&') -,9$&#)4&/)."79$&"

&1)*>) product attributes and consumption behavior and they consider customer

values as an output of culture. Advertisement can influence customer perception.

Due to cultural differences, the perception may differ. Little attention has been

focused on the Indian culture and their perception to global advertisement.

Therefore, this can be helpful to global brands, especially when India is one of the

top emerging markets.

13
Keshav Sharma et al., (2002) in their study :B$',9) 3,'H&/."4)

5+,99&"4&#).")/+&)X&0)3.99&"".$%D)7!$"1)/+,/)/+&)'$',9) !"#$%&'#)*&9.&-

&1).") joint buying decision making in consultation with the elders and the ladies

of the house for their personal use according to their own independent buying

decisions. Advertisement with rural culture and regional/local language attracted

the audience. All the respondents felt strongly about their customs and traditions.

The respondents were aware of the availability of the products. They preferred

quality to price.

12
Kim J, Forsythes, Gu Q and Moon S. J. :5'!##) 5$9/$',9) 5!"#$%&') -,9$&#E) X&&1#) ,"1)
S$' +,#&#) C&+,-.!'DE) A+&) K!$'",9) !7) 5!"#$%&') 3,'H&/."4) L!9IOPE) X!I) bE) X!-&
%*&'-2002, PP.481-502
13
Keshav Sharma, Depak R Gupta and Parikshat Singh ManhasE) :B$',9) 3,'H&/."4)
5+,99&"4&#).")/+&)X&0)3.99&"".$%D)S',"8,",E)L!9IM)X!I`E)[ /!*&')`cc`E);;I)RR-81.
27

14
Sarwade (2002) in his study attempted to analyze marketing and

consumer behavior aspects in rural areas with reference to three villages namely

Adul, Paithan and Sangri (s) from the marathwada region. The study revealed

that the role of a husband in the family purchasing decisions in various items was

comparatively less than that of a housewife. It was found in the study that most

of the consumers from rural area developed brand familiarity with brand names

such as Lipton, international Lux, Keokarpin, Brahmi Amla, Pantene which were

heavily used in urban areas. An interesting finding of the study was that overall

consumption pattern of the rural consumers had changed. Consumption

expenditure for non V durable items had increased considerably during the study

period. Farmers should like risk bearing capabilities and self-dependence.

15
Nillo Home (2002) in his study focuses on the relationship between

consumers and grocery stores in the countryside. More attention must be paid

towards retailing and consumer behaviour in rural areas since a lot of studies +,-

&)7! $#&1)!")$'*,") !"#$%&'#()*$>."4)*&+,-.!$')0+.9&);,>ing rather little

attention to that of rural inhabitants, especially in sparsely populated areas. The

buying behaviour of rural consumers and the positive and negative features

connected with the product and service supply of rural stores are examined. The

study ideates the most relevant store choice factors of an ideal grocery store and

14
Sarwade W.KE):=%&'4."4)J.%&"#.!"#)!7)C$>&'#)*&+,-.!').")'$',9),'&,DE)<"1.,")K!$'",9)!7)
marketing, vol. XXXI, August 2002, pp. 13- 21
15
Nillo HomeE):B$',9)5!"#$%&'G)S,/'!",4&)C&+,-.!$').")2."9,"1DE)A+&)<"/&'",/.!",9)B&-.&0)!7)
Retail, Distribution and Consumer Research,Vol.14, No.7, September 2002, pp.149- 164.
28

the most important features which best describe the rural store. Factor analysis

revealed the dimensions according to which rural consumers evaluate grocery

purchasing, and homogeneous customer groups with different shopping

orientation and were formed using cluster analysis.


16
Ganeshmoorthy, et.al (2003) in their study :?) #$'-&>) !7) #&9& /&1)

!"#$%&');'!1$ /#).")'$',9)%,'H&/."4),'&,#DE),.%)/!),",9>a&)/+&)*',"1)9!>,9/>)!7)

the products and the influence of mass media in rural markets. The study revealed

that mass media had a significant role in the sales promotion of the select products.

In mass media it adds that consumers wanted to buy good quality products, that too

at a reasonable price; consumers give more preference to quality. The next preference

was given to factors such as price and availability.

17
Lokhande.M.A (2003) in his study, :B$',9) 3,'H&/."4) - A Study of

5!"#$%&')C&+,-.!$'D),",9>#&1)/+,/)'$',9) !"#$%&')+,#)*& !%&)&"!ugh aware

about his needs and upgradation of his standard of living. IT, government

policies, corporate strategies and satellite communication have led to the

development of rural marketing. Although income is one of the major influencing

factors, caste, religion, education, occupation and gender also influence the buyer

behaviour in rural areas.

16
Ganeshmoorthy V.S., Radhakrishnan M.K. and Bhuvaneshwari.SE):?)#$'-&>)!
7)#&9& /&1) consumer ;'!1$ /#).")B$',9)%,'H&/."4),'&,#DE)<"1.,")K!$'",9)!7)3,'H&/."4E)-!
9I)WWW<<<E)`ccYE) pp.10-17
17Lokhande.M.A. :B$',9) 3,'H&/."4) - ?) T/$1>) !7) 5!"#$%&') C&+,-.!$'DE) <"1.,") K!$'",9) !7)
Marketing, Vol.34, No.12, August-2004, pp.14-18
29

18
Verma.D.P.S and SurrenderMunjal (2003) in his article, :C',"1) U!

>,9/>)5!''&9,/&#@)T/$1>)!7)2356#D).1&"/.7.&1)/+&)%,8!')7, /!'#).")%,H."4),)

brand choice decision namely quality, price, availability, packaging and

advertisement. The brand loyalty is a function of behavioural and cognitive

patterns of a customer. The age and demographic variables affect significantly the

behaviour and cognitive patterns of the customers while other demographic

characteristics such as gender and marital status are not significantly associated

with these behaviour and cognitive patterns of the consumers.

19
PradeepKashyap (2003) ,examined and revealed that rural people

evolved systems of selling and communication that served there well for

centuries. Haats could serve as both sales outlets and redistribution points as

village shopkeepers also frequent them to replenish stocks. He had also examined

that the army of mobile traders who go from house to house in rural India to sell

a variety of FMCGs (mostly takes) could be motivated so that at least some could

be converted to sell genuine company brands. He also revealed that advertising

agencies should entrust development of rural communication packages to

professionals hailing from small towns as they could have a better connection

with rural mindsets.

18
Verma, D.P.S. and Surrender MunjalE) :C',"1) U!>,9/>) 5!''&9,/&#@) T/$1>) !7) 2356#DE)
Abhigyan, Vol.21, No.2, February 2003 pp. 25-31
19
PradeepLokhande, The sampling Game, Advertising and Marketing Journal, Vol. XI, Issue, XXII,
2003. p.103.
30

20
Emin Babakus.G (2004) in his report :B&, /.!"#) /!) Z"&/+. ,9) 5!"#$

%&')C&+,-.!$'), '!##)T.F)5!$"/'.&#D)&F,%."."4)."1.-.1$,9)/!9&'," &)7!')

unethical consumer behaviour provides a key insight into how people behave as

consumers worldwide. In this study, consumer reactions to 11 unethical consumer

behavior scenarios were investigated using sample data from Austria, Brunei,

France, Hong Kong, the UK, and the USA. Nationality is found to be a significant

predictor of how consumers view various questionable behaviors. Gender is not a

significant predictor, while age and religious affiliation are found to be significant

predictors of consumer ethical perception. The study identifies distinct consumer

22 clusters based on their perceptions of consumer unethical behavior.

Implications of the findings are discussed and future research directions are

provided.

21
Krishna Mohan Naidu. J (2004) in his study :An Evaluation of 5!"#$

%&')?0,'&"&##).")B$',9)3,'H&/#D),//&%;/)+,1)*&&")%,1&)/!),",9>a&)/+&)

awareness level of rural consumers. It was found from the study that awareness of

the rural consumers about the consumer movements were qualitative in character and

cannot be measured directly in quantitative terms. There is no fixed value or scale

which will help to measure the awareness. But the awareness had been studied with

the help of their responses to various questionnaires relating to

20
EminBabakus.GE) :B&, /.!"#) /!) Z"&/+. ,9) 5!"#$%&') C&+,-.!$') ? '!##) T.F) 5!$"/'.&#DE)
Journal of Consumer Marketing, Vol.21, Issue 4, January 2004, pp. 254-263
21
Krishna Mohan Naidu.J :?")=-,9$,/.!")!7)5!"#$%&')?0,'&"&##).")B$',9)3,'H&/#DE)<"1.,")
Journal of Marketing, Vol. XXXIV, April 2004, pp.21-23
31

consumer movements, cosmetics, banking services, drugs, food products, tooth

pastes and hair oil. Awareness levels were higher in the above said segments in

Ranga Reddy of Andhra Pradesh.


22
Rajnish Tuli and Amit Mooherjee (2004) in their article :B&/,.9)

Formats: Patronage Behaviou')!7)<"1.,")B$',9)5!"#$%&'#D)7!$"1)/+,/)/+&)'$',9)

consumer prefers to meet his immediate and day-to-day needs from village shops

and avoid a comparatively higher transportation cost at the same time; bulk

purchase will drive them to the periodic markets to ,-,.9) /+&) G*,'4,."() ,"1)

promotional incentives which will negate the impact of shopping cost incurred.

Rural consumers patronize village shops to meet their credit-based impulsive

requirements. On the other hand, cash rich consumers with no urgency, prefer to

purchase from periodic markets to avail the benefits of low prices, discounts and

varieties etc., which in turn motivate rural consumers

23
Malini Reddy (2004) in her study points out that a marketer had to face

an entirely different set of conditions and problems when marketing in rural areas

as compared to urban areas. Rural marketers need to have an open mind, and

sensitize themselves to understand the rural consumer. Apart from understanding

the consumer, communication in the language that the rural consumer

comprehends is a challenge that the marketer has to face. Creative approaches to

providing a satisfactory offering, in terms of adaptation to consumer needs of the

22
RajnishTuli and AmitMooherjee, :Retail Formats: Patronage Behaviour of Indian Rural ConsumersD,
South Asian Journal of Management, Vol.11. No.3, January 2004, pp. 57-69.
23
MaliniReddy.Y, :Itinter 9,"1@)A+&)*&//&')9,"1D, Marketing Mastermind, 2004, PP.29-31.
32

rural market reflected in products offering as well as message used, were

absolute essentials to achieve success in the Indian market.


24
Jain.A and Rathod.R.M (2005) in their study :J.#/'.*$/.!") ,"1)

Retailing Trends in Rural Markets - ?)T/$1>).")L.99,4&#)!7)6$8,',/DE)7!$"1)/+,/)

customers were not happy with product quality and variety available in the rural

market. Promotional offers also never reached rural consumers and retailers were

found selling promotional items separately. Proper marketing strategies are

needed to prevent product imitation.

25
Bishmupriya Mishra and Sakthivel (2005) , in their survey aimed to

find out the quantity and frequency of purchase of FMCGs by rural consumers.

The study revealed that majority of the products were not used by the rural

consumers but they become a part of their lives, due to sachets and cheaper

prices. It is very evident that small packets have really modified the buying

behavior of rural consumers to a large extent. It adds that shampoo is fancy

among the rural followed by spices, toothpaste, washing powder, fairness cream

and so on. It vividly port',>#) /+&) !"#$%&'#() ;'&7&'&" &) /!) *$>) 2356#) .")

sachets. They also observed that toilet soap is yet another product as it is

consumed regularly and may be preferred by travelers. The study concluded that

sachets facilitated rural consumers to try new products and also played a vital

24Jain, A. &Rathod, R.M, :J.#/'.*$/.!"),"1)B&/,.9."4)A'&"1#).")B$',9)3,'H&/#)V A Study in


L.99,4&#)!7)6$8,',/DE)<"1.,)K!$'",9)!7)3,'H&/."4E)L!9IWWWLE)X!)PI)K$"&)`ccME);;IOR-20
25Bishmupriya Mishra and Sakthivel.A.M, Effectiveness of sachets in modifying rural
consumers Buying behavior and their consumption pattern, Indian Journal of Marketing, Vol.
XXXV, No.2, 2005, pp. 33-37.
33

role in modifying their buying behavior and above all, a major change in their

lifestyles. Hence, sachets may be viewed as a sales promotion tool for modifying

buying behavior rather than a yet another innovative form of packaging.

26
!"#$%&'&$( )$"( *)+,)$-+"./)$0( 123345 :2,#/) 3!-."4) 5!"#$%&') 6!!1#) 5!

%;&/./.-&) 5!"1./.!"#) ,"1) S!9. .&#DE) 7,#/) %!-."4) !"#$%&') 4!!1#) ]2356#_) !"#/./

$/&),)9,'4&);,'/)!7) !"#$%&'#()*$14&/)."),99) !$"/'.&#I)A+&)'&/,.9) sector for FMCGs

in Turkey is in the process of a drastic transformation. New, :%!

1&'"D)'&/,.9)7!'%,/#E)9.H&) +,.")#/!'&#),"1)+>;&'d#$;&'%,'H&/#E)+,-&)',;.19>)

diffused in almost all major urban areas, and increased their market share at the expense

of traditional formats (grocery shops, green groceries, etc.) in the last couple of decades.

This rapid transformation has raised concerns about competitive conditions in the sector.

This study is aimed at to shed light on competitive conditions prevailing in the FMCGs

retail trade sector in Turkey. We analyze how the structure of the market is being

transformed in recent years by new retail formats. The study is focused on the analysis

of competitive dynamics (inter-firm rivalry, pricing and non-price policies, barriers to

entry, regulatory conditions, etc.) within the sector, and draws lessons for competition

policy.

27
Madhavi.C and Arulkumar.S (2006) , in their study pointed out that

most of the rural consumers are influenced by quality of the product. So the

26 !"#$%&'&$()$"(*)+,)$-+"./)$0:2,#/) 3!-."4) 5!"#$%&') 6!!1#) 5!%;&/./.-&) 5!"1./.!"#)


,"1)S!9. .&#DE)ERC Working Papers in Economics, June 2005, pp.1-53.
27
Madhavi.C and Arul Kumar.SE):B$',9)%,'H&/."4)7!')2356DE)<"1.,")K!$'",9)!7)3,'H&/."4)
vol.XXXVI, No.4, May 2006, PP19-23
34

FMCGs Companies should strictly adhere to the quality standards. Price is the

second factor that influences the purchase of the product in most cases and hence

the product should be reasonably priced. They concluded that FMCGs companies

could significantly increase the market share by extending attention to rural

areas. More generic product with different advertisement campaigns surely

attracts non-users.

28
ArchnaShukla (2006) . i")+&'),'/. 9&):^,,/#B$#D states that residents of

at least four villages visit saunda Heat in Meerut district of Uttar Pradesh every

Thursday, as do merchants from the same villages. There are around 60 stalls in

Haat selling everything from groceries to apparel to kitchenware to fresh

produce. Few of the brands which are familiar are parlea, Tiger, Parachute and

lifebuoy. She further adds that saundaHaat is one of 47,000 that is serving the

needs of 742 million. She concludes that despite constraints, the rural market

especially for Fast Moving Consumer Goods (FMCGs), apparel, footwear and

fuel is bigger than the urban market.

29
Ranganathan (2006) , Chairman and Managing Director, CavinKare,

India (Pvt) Ltd, in his article pointed out that in the last decade; increased

competition has driven down margin for all the FMCG players. He further added

that it is time for FMCGs players to innovate not just in products, but in

distribution, packaging, pricing, consumer promotion, communication and

ArchnaShukla, :^,,/#B$#DE)C$#."&##)A!1,>E)L!9IME)X!IME)X!-&%*&')`ccbE);;IOYN-139.
28

29Ranganathan, C.K. (2006), Promise of Rural markets, The Hindu Survey of Indian Industry,
pp.280-281.
35

supply chain to gain a distinct advantage over competition and fuel their growth.

He concluded that the future for the FMCGs sector is very bright.
30
Anandan.C (2007) in his report :?) Ttudy on Brand Preferences of

e,#+."4)T!,;#).")B$',9)?'&,#D)7!$"1)/+,/)\$,9./>).#)/+&)%,8!')1'.-&')/!);'&7&'),)

particular brand in washing soaps in the rural market. Power soaps are ruling the

rural market. If the preferred brands are not available, customers buy the available

brands. It is found that there is a significant relationship between the ,4&) !7) /

+&) '&#;!"1&"/#) ,"1) /+&) 7, /!'#) ."79$&" ."4) /+&) $#/!%&'#() *',"1)

preferences. It is also found that there is no significant relationship between the

type o7) ." !%&) !7) /+&) '&#;!"1&"/#) ,"1) /+&) 7, /!'#) ."79$&" ."4) /+&) $#/!

%&'#() brand preferences. Higher price and non-availability are the key reasons

for dissatisfaction of the rural customers. Marketers should target the customers

with high qualitative soaps at affordable prices. They should concentrate on

distribution strategies, as non- availability had been an important factor for

dissatisfaction.

31
Rajesh Shinde (2007) in his study :B& &"/) 2, &/#) !7) 5!"#$%&') C&+,-.!

$'@) ?) 5,#&) !7) B$',9) 3,'H&/D) ,",9>a&1) /+,/) '$'al India has more than 70%

population in 6.27 lakh villages, which is a huge market for FMCGs. All the income

groups purchase the FMCGs but their brands differ from each other. The

30
Anandan C. :?)T/$1>)!")C',"1)S'&7&'&" &#)!7)e,#+."4)T!,;#).")B$',9)?'&,#DE)<"1.,")
Journal of Marketing, Vol. XXXVII, No. 3, October 2007, pp 30-37
31
Rajesh ShindeE):B& &"/)2, &/#)!7)5!"#$%&')C&+,-.!$'@)?)5,#&)!7)B$',9)3,'H&/DE)<"1.,")
Journal of Marketing, Vol.XXXVI, No.4, December 2007, pp 20-24.
36

place of purchase, which the rural consumer prefers, is the weekly market, which

is a good channel of distribution of FMCGs. Moreover the youth who visit the

taluk place or district place are influenced by the city culture and it is reflected in

their purchasing decision. Overall the marketer should understand the customer

before taking up the road to the rural market.

32
LopamudraGhosh (2007) , identified key challenges for FMCGs

companies that are penetrating the rural markets, which include infrastructure

issues like poor distribution system, improper logistics and the fragmented rural

market, given the heterogeneity of the Indian population. The companies which

understand these challenges and tune their strategies accordingly will surely be

the winners in the years to come, taking advantage of this economic boom in the

rural sector of India.

33
John Mano Raj (2007) in his paper covers the attractions for the

FMCGs marketers to go to rural and the urban markets and uses a suitable

marketing strategy with the suitable example of companies and their experience

in going rural. Thus the rural marketing has been growing steadily over the years

and is now bigger than the urban market for FMCGs. Globally, the FMCGs

sector has been successful in selling products to the lower and middle income

groups and the same is true in India. Over 70% of sales is made to middle class

32LopamudraGhosh (2007), 2356)5!%;,".&#).")B$',9)<"1.,")3,'H&/#fE)?1-&'/.#."4)=F;'&##E)


Vol. VII, (3), pp.10-13.
33
John Mano Raj (2007), Social Changes and the Growth of Indian Rural Market: an invitation
to FMCGs sector, International Marketing Conference on Marketing and Society, pp. 8-10,
IIMK.
37

households today and over 50% of the middle class is in rural India. But the rural

penetration rates are low. This presents a tremendous opportunity for makers of

branded products who can convert consumers to buy branded products. The

marketers need to develop different strategies to treat the rural consumers since

they are economically, socially and psycho-graphically different from each other.

This paper covers the attractions for the FMCGs marketers to go to rural, the

challenges, the difference between the rural and the urban market and the suitable

marketing strategy with the suitable customers.

34
Selvaraj (2007) identified that the rural market is blooming, with

increase in the disposable incomes of the households. By nature rural marketing is

complex oriented and study of perception of rural consumers is always a difficult

task unlike urban consumers. Rural consumers vary not only in their behavior,

practices but also in conviction and belief, yet, the general tendency has not

changed widely between rural and urban consumers as regards to aiming on

superior quality products, and branded products etc. it is essential that an effective

communication and information about products reach the consumers and also

educating them reg,'1."4)/+&)$#&)!7);'!1$ /#)/+!$4+E)'$',9) !"#$%&'#G)

behavior remains constant at least for a particular period, it cannot be taken for

granted that they will not change when better opportunities are given to them,

thus, rural consumers may resort to change and hence their behavior will not

34SelvarajE) :B$',9) 5!"#$%&'#G Behaviour Regarding Non-durable Goods: A Study in Erode


J.#/'. /)!7)A,%.9)X,1$DE)<"1.,")K!$'",9)!7)3,'H&/."4E)L!9I)WWWL<<E)X!I)O`E)`ccRE);;YM-42.
38

remain inactive in the changing market environment. Therefore it is necessary,

that rural consumers have to be thoroughly studied so as to have better

knowledge on rural marketing and work out appropriate marketing strategies for

the success not only in the short run but also in the long run.

35
Ranganathan (2006) Chairman and Managing Director, CavinKare,

India (Pvt) Ltd, in his article pointed out that in the last decade, increased

competition has driven down margin for all the FMCGs players. He further

added that it is time for FMCGs players to innovate not just in products, but in

distribution, packaging, pricing, consumer promotion, communication and supply

chain to gain a distinct advantage over competition and fuel their growth. He

concluded that the future for the FMCGs sector is very bright

36
David Griffith (2008) . In his article, :T!$' &#)!7)S'!1$ /)<"7!'%,/.!") 7!')

5+."&#&) B$',9) 5!"#$%&'#D) 7."1."4#) 7'!%) ,) '& &"/) #$'-&>) !7) OOOM)
respondents from 34 rural counties/ villages in 11 Chinese provinces. It

."-&#/.4,/&#) !"#$%&'#()'&, /.!")/!0,'1#)/+&),1-&'/.#."4)%,'H&/)*>)." !';!',/."4)

the use of information sources and perceived source credibility into the

advertising effectiveness literature. The results show that rural Chinese consumers

utilise a variety of information sources when making their purchase decision, and

for different product categories different information sources are

35
Ranganathan C.K, :S'!%.#&)!7)B$',9)%,'H&/#DE)A+&)^."1$)T$'-&>)!
7)<"1.,")<"1$#/'>E)`ccbE) pp.280-281
36
David GriffithE):T!$' &#)!7)S'!1$ /)<"7!'%,/.!")7!')5+."&#&)B$',9)5!"#$%&'#DE)<"/&'",/.!",9)
Journal of Advertising, Vol.27 .No.1, July2008, pp.67-97
39

preferred. Although perceived source credibility is a reliable predictor for

information sources use, the most trusted information source might not always be

the most used source.


37
Sarangapani.A and Mamatha.T (2008) in their study :B$',9)

Consumer: Post-S$' +,#&)C&+,-.!'),"1)5!"#$%&'.#%D pointed out the essence

of modern marketing concept is to satisfy the customer, and naturally all the

marketing activities should revolve around the customers and their buying

behavior. The key to ensure consumer satisfaction lies in understanding the

customer, his likes, dislikes, buying behavior, buying motives and buying

practices. In the light of this, rural consumer behavior provides a sound basis for

identifying and understanding consumer needs. Knowledge of customer behavior

is important for effective marketing efforts and practices.


38
JyothsnaPriyadarsini.K (2009) in her analysis :5!#%&/. ) A!$ +) 7!')

6$>G#)3,'H&/@)?")=%;.'. ,9)T/$1>)!")/+&)S&"&/',/.!")!7)3,9&)6'!!%."4)C',"1#) ."/!)B$',9)?'&,)!7)=,#/)6!

1,-,'.)J.#/'. /E)?SD It is understood from the study that many rural men feel delicate to use cosmetics. Rural males have

a feeling that cosmetics are mainly meant for females. The social stigmas against male grooming products persist a lot.

These male respondents consider their use as feminine. Now it is the job of marketers to create a cosmetic sense

among the

37Sarangapani.A
and Mamatha.T :B$',9) 5!"#$%&'@) S!#/-Purchase Behavior and 5!"#$
%&'.#%DE)A+&)< 7,.,")K!$'",9)!7)3,"agement Research, Vol. VII, No. 9, November 2008, pp
37- 58.
38
JyothsnaPriyadarsini.K :5!#%&/. )A!$ +)7!')6$>G#)3,'H&/@)?")=%;.'. ,9)T/$1>)!")/+&)
S&"&/',/.!")!7)3,9&) 6'!!%."4)C',"1#) ."/!)B$',9)?'&,)!7)=,#/)6!1,-,'.)J.#/'. /E)?SDE)A+&)
Icfaian Journal of Consumer Behavior , Vol. IV, No. 1,December 2009, pp. 46-59.
40

masculine breed. The present empirical study shows that a majority of the

customers are unaware of the importance of male grooming and exclusive male

grooming brands. Henceforth, marketers should attempt to create product

awareness and drive the customers through brand awareness.

39
Sushash.B (2009) has discussed about the share of rural areas in total

FMCGs consumption in India, factors influencing sale in rural markets, ways of

market penetration, problems and limitations. He has finally concluded that with

the increasing competition and saturation of urban markets the future prospects in

rural markets are high.

40
PawanGarga (2009) . It is understood from the study that rural market

has its own set of challenges. Therefore, organizations need to unlearn and then

relearn the marketing strategies and tactics that will enable harnessing the

immense rural potential. The approach, strategies and marketing mix needs to be

%!1.7.&1),"1)&F,%."&1)7'!%)'$',9) !"#$%&'G#);&'#;& /.-&)/!)*&)#$

&##7$9).")/+&) rural market.

41
Estiri et.al (2010) .") /+.#) #/$1>E) :2!!1) ;'!1$ /#) !"#$%&') *&+,-.!'#@)

A+&) '!9&) !7) ;, H,4."4) &9&%&"/#D we have tried to evaluate and compare the

effects of packaging elements on consumer behavior in the pre-purchase,

39
Subhash.B. :B$',9) 3,'H&/."4) 2356#) A,;;."4) B$',9) 3,'H&/#) .") <"1.,) :E) 3,'H&/."4)
Mastermind, August 2009, pp. 59-61
40PawanGargaE):B$',9)3,'H&/."4)!7)#&9& /)2,#/)3!-."4)5!"#$%&')6!!1#).")S$"8,*DE)<"dian
Journal of Marketing, Vol XXXIX, No.5, October 2009, pp 21-27
41
Estiri, M., T. Hasangholipour, H. Yazdani, H.J. Nejad and H. RayejE) :2!!1) ;'!1$ /#) !"#$
%&') *&+,-.!'#@) A+&) '!9&) !7) ;, H,4."4) &9&%&"/#DE) KI) ?;;9.&1) T .&" &#E) Oc@)
`cOc, pp. 535-543.
41

purchase and post-purchase stages. The questionnaires filled by participants

(n=175) which were analyzed qualitatively to examine the importance of

different packaging elements on consumer behavior in the three stages of

purchase decision. Results show that all packaging elements are highly important

for food products buyers and these elements can highly influence their

purchasing decision.

42
Joyce Xin Zhou (2010) China is rapidly becoming an important market

for consumer goods, but relatively little is known about variations in consumer

shopping patterns in different regions of China. We employ a cultural

materialism perspective in understanding decision-making styles of inland and

coastal shoppers. Our findings reveal that consumers in the two regional markets

do not differ in utilitarian shopping styles but they do in hedonic shopping styles.

Marketers need to understand these differences to be able to market effectively to

consumers in different regional markets within China cannot be generalized. The

results may help the management of departmental stores to understand about the

factors that influence the attitude of consumers towards departmental stores, so

that they can implement the requirement of the consumers and be successful in

the emerging retailing environment.

42Joyce Xin ZhouE):5+."&#&)5!"#$%&')J& .#.!"- Making Styles: A Comparison Between the


5!,#/,9),"1)<"9,"1)B&4.!"#DE)K!$'",9)!7)C$#."&##)B&#&,' +E)L!9I)bYE)<##$&)OET&;/&
%*&')`cOcE) pp 45-50.
42

43
Subadra S. and Murugesan K.M, (2010) :Consumer Perceptions and

Behaviour: A Study with Special Reference to Car Owners in Namakkal J.#/'.

/DE) In recent days India is witnessing a change in consumerism. The market is

now predominantly consumer driver. The focus is shifting for product based

marketing to need based marketing. Consumer is given many options to decide.

Passenger car segment is no exception to this general trend. An effective market

communication is imperative for reaching the target audience. So it is important

that we study the consumer perceptions and behaviour of the car owners which

will give us feedback on how marketing strategies can be worked. Namakkal

town in Tamil Nadu State, which is in the southern part of India, has a

progressive and growing market for cars. This town was selected for this study.

Pre-testing was done by an Interview schedule which was developed and

administered to a convenient sample of twenty five car owners. A Simple

Random sampling technique was 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 owners of all the segments of

passenger cars. A total of 350 Interview schedules were prepared and out of this,

only 327 interview schedules were filled up and collected. Data were collected

through an interview schedule regarding perception of the respondents on the

usage of cars. The following tools were used in testing the hypotheses and in the

43Subadra S. and Murugesan K.M, :Consumer Perceptions and Behaviour: A Study with
T;& .,9)B&7&'&" &)/!)5,')[0"&'#).")X,%,HH,9)J.#/'. /DESri Krishna International Research &
Educational Consortium,Vol.1, ISSN 2229-4104, Issue 3, December 2010, pp.37-60.
43

analysis of the data. Descriptive statistical tools such as Percentage, Mean,

Median and Standard deviation have been used to describe the profiles of

consumers, preferred product attributes and level of satisfaction. ANOVA, t-Test

and F-Test have been used to test the significant differences between the groups

of respondents in their perception and satisfaction for selected independent

variables like age, sex and income. Chi-Square test has been used to test the

association between the consumer demographic characteristics and preferred

product attributes and satisfaction. Multiple regression analysis has been used to

study the influence of income and lifestyle on overall satisfaction level of the

respondents. Correlation analysis has been used to establish the relationship

*&/0&&") G/+&) 7, /!'#) 0+. +) ."79$&" &1) /+&) ;$' +,#&() ,"1) G/+&) 7, /!'#)

0+. +) 7,-!$'&1)/+&)9&-&9)!7)#,/.#7, /.!"(I)2, /!'),",9>#.#).#)&%;9!

>&1)/!).1&"/.7>)/+&)H&>) 7, /!'#)'&#;!"#.*9&)7!')/+&) !"#$%&'#();$' +,#&)!

7) ,'#),"1)9&-&9)!7)#,/.#7, /.!") after purchase. Cluster analysis has been used to

identify the consumers with similar tastes and preferences with respect to

purchase of car. The study throws light on various features that the manufacturers

should concentrate on to attract the prospective buyers. This study concludes that

consumer behaviour plays a vital role in marketing cars and there is more scope

for extensive research in this area.


44

44
Anita Shukla and Mouni Geoffrey Gekara, (2011) :Measurement of

5!"#$%&')T,/.#7, /.!")1$'."4)S!#/)3&'4&')S&'.!1DE Consumer satisfaction, as a

construct, has been fundamental to marketing for over three decades. As early as

OPbcE)h&./+)]OPbc_)1&7."&1)%,'H&/."4),#):satisfying the needs and desires

of the consumer !" Hunt (1982) Reported that by the 1970s, interest in consumer

satisfaction had increased to such an extent that over 500 studies were published.

This trend continued as Peterson and Wilson (1992) estimated the amount of

academic and trade articles on consumer satisfaction to be over 15,000. Several

studies have shown that it costs about five times to gain a new consumer as it

does to keep an existing consumer (Neumann, 1995) and these results into more

interest in consumer relationships. Thus, several companies are adopting

consumer satisfaction as their operational goal with a carefully designed 7',

%&0!'HI)^.99),"1)?9&F,"1&')]`ccc_)0'!/&).")/+&.')*!!H)/+,/):companies now

have big investment in database marketing, relationship management and

!"#$%&');9,""."4)/!)%!-&) 9!#&')/!)/+&.') !"#$%&'#DI)Jones and Sasser (1995)

0'!/&)/+,/):achieving consumer satisfaction is the main goal for most service firms

todayDI)<" '&,#."4) !"#$%&')#,/.#7, /.!")+,#)*&&")#+!0")/!)1.'& /9>),77& /) !

%;,".&#() %,'H&/) #+,'&E) 0+. +) 9&,1#) /!) .%;'!-&1) ;'!7./#E) ;!#./.-&)

recommendation, lower marketing expenditures.

44Anita Shukla and Mouni Geoffrey Gekara, :Measurement of Consumer Satisfaction During
S!#/)3&'4&')S&'.!1DEAnita Shukla et al, Int.J.Buss.Mgt.Eco.Res., Vol. 2(1), ISSN 2229-6247,
2011, pp.140-151.
45

SatnamKourUbeja and Bedia .D.D, (2011)46

45
IpseetaSatpathy and Patnaik B.C.M, (2011) 7A Survey on Women

Consumer Behavior towards Fast Moving Consumer Goods (With Special

B&7&'&" &) /!) J&%!4',;+>_DE The objective of modern marketing is to

make ;'!7./#)/+'!$4+)#,/.#7>."4),"1)1&9.4+/."4)/+&) !"#$%&'(#)"&&1),"1)0,nts.

Hence, the marketers have to understand the real needs, wants, beliefs and
attitudes of the women consumers towards their products and services. Today,

network marketing is a multi-billion dollar business, and a large number of

driving forces of the 21st century economy. Many business leaders now regard

network marketing as the business for future. But the marketing method was

misunderstood as a get rich-quick scheme; it is also too common for network

marketers worldwide to answer the legality and soundness of their business. In

this paper, an attempt is made to analyze and compare the women consumer

behavior on the basis of demography for the post-purchase evaluation and

awareness level of consumers with regard to different consumer Protection Acts,

etc.

:?) T/$1>) !7) 5$#/!%&')

T,/.#7, /.!") 2'!%) ['4,".a&1) B&/,.9."4) ]e./+) B&7&'&" &) /!) <"1!'&) 5./>_DE)

Organized retailing is gradually inching its way and becoming the next boom

45
89:&&;)<);9);=!()$"((>);$)?,(@ABAC0(7A Survey on Women Consumer Behavior Towards
Fast Moving Consumer Goods (With Special Ref&'&" &) /!) J&%!4',;+>_DESouth Asian
Academic Research Journals, Vol 1, Issue 1, ISSN 2249-877X, October, 2011, pp.1-18.
46
SatnamKourUbeja and Bedia .D.D, :?)T/$1>)!7)5$#/!%&')T,/.#7, /.!")2'!%)['4,".a&1)
B&/,.9."4)]e./+)B&7&'&" &)/!)<"1!'&)5./>_DE)S'&#/.4&)<nternational Journal of
Management and Research, Vol. 5 (1), January 2011, pp.1-60.
46

industry. The organized retailing sector in India has undergone significant

transformation in the last decade. Customer satisfaction is a complex

phenomenon for marketers as well as researchers. The purchases of goods or

services consist of a number of factors that could affect purchase decision. The

objectives of the present study were to analyze the customer satisfaction in

shopping malls with respect to product, price, place and promotion in Indore city

and to study the variations in customer satisfaction due to different demographic

variables. The sample of the study included 175 active mall shoppers. The data

was collected using self-designed questionnaire and during data analysis, eleven

factors relating to customer satisfaction were explored. The factors were product

consciousness, comfort with entertainment seeker, extra service conscious, store

and hygiene consciousness, price consciousness, billing flexibility and facility,

sales people consciousness, over choice of store, employee consciousness and

taste consciousness. The study will help the managers of shopping malls to

understand the factors that are related to shopping malls and may help in

analyzing the customer satisfaction to the shoppers in the malls.

47
Abbas Ali, Md and Venkat Ram Raj Thumiki (2012), highlighted :

2, /!'#)<"79$&" ."4) Purchase of FMCGs by Rural Consumers in South


India: ?")=%;.'. ,9)T/$1>DI)With more than six hundred thousand villages and
more

47
Abbas Ali, Md and Venkat Ram Raj Thumiki and Naseer Khan, :Factors Influencing S$'
+,#&) !7) 2356) *>) B$',9) 5!"#$%&'#) ."T!$/+) <"1.,@) ?") =%;.'. ,9) T/$1>DE International
Journal of Business Research and Development, 2012, Vol. 1, No. 1, pp. 48 57.
47

48
Anupam Jain and Meenakshi Sharma, (2012)

than 70% of the population, rural India has become a massive consumer goods

market. FMCGs has emerged as a major product category in rural consumption.

Companies marketing FMCGs to rural consumers cannot merely extend their

general marketing strategies to rural markets. Instead, they need to devise rural

specific strategies. In this process, they need to understand crucial issues relating

to rural consumer behavior and more specifically relating to different geographic

regions of the country. This paper focuses on understanding factors that affect the

rural purchase of FMCGs in South India. Empirical study was conducted in 8


districts of South India to identify the key influencing variables. Factor analysis

was used to form 24 key variables into five groups (influencing factors). <"79$&"

&) !7) '&/,.9&'#() '& !%%&"1,/.!"#) +,#) &%&'4&1) ,#) /+&) %!#/) #.4".7. ,"/)

variable in the trust factor. According to the study, rural consumers in South India

consider that usage of FMCGs contributes to their lifestyle.

:C',"1)?0,'&"&##),"1)

Customer Preferences for FMCGs in Rural Market: An Empirical Study on the

B$',9)3,'H&/)!7)6,'+0,9)B&4.!"DI)The purpose of this study is to examine the

brand awareness in rural area and to study the interest of consumers in branded

products of Fast Moving Consumer Goods (FMCGs). The brand awareness is

showing increasing tendency everywhere and Garhwal Region of Uttarakhand

State is not an exception to it. To examine the validity of this general statement
48
Anupam Jain and Meenakshi Sharma, :C',"1)?0,'&"&##),"1)5$#/!%&')S'&7&'&" &#)7!r
FMCG Products in Rural Market: An Empirical Study on the Rural Market of Garhwal
B&4.!"DELTBJ)<"/&'",/.!",9)K!$'",9)!7)C$#."&##)i)3,",4&%&"/)B&#&,' +E)L!
9I)`)]N_E)`cO`E) pp. 434-443.
48

that is being discussed day in and day out by the researcher, market managers,

producers, consumers, advertisers, etc., Research Paper on brand awareness in

rural area of Fast Moving Consumer Goods in Garhwal Region of Uttarakhand is

taken up.

49
Aravinth.S, (2012) :?) T/$1>) !") 5$#/!%&') S'&ference towards

=9& /'!". )6!!1#DI) The preference of customers is nothing but they require a

product or commodity according to their expected features and attributes. In this

regard the researcher has dealt with the housewife and taken them as respondents

in the name of customer on their choices of purchasing electronic goods. In this

fast moving world, the city life has much more advanced in many schedules.

Without the adoption of electronic good one family could not be a completed one

in the society. The family is always led by the women, who share the half of the

burden of the leader for a family. In such a situation she prefers more advanced

and supporting commodities which fulfill her day to day works. The researcher

has designed a framework or a task which actually leads to find the significant

relationship between the wife acceptance factor and the electronic goods [1]. This

will also give an opportunity to the retailers who actually deals with the

electronic consumer goods, to know the exact behaviour of the family

administrator on purchasing

Electronic commodities

49
Aravinth .S, :?) T/$1>) !") 5$#/!%&') S'&7&'&" &) /!0,'1#) =9& /'!". ) 6!!1#DE) C!"7'."4)
International Journal of Industrial Engineering and Management Science, Vol. 2, ISSN 2277 V
5056, No. 1, March 2012, pp.44-51.
49

ChandraSekhar .V.N.G, (2012)50

:Consumer Buying Behaviour and

C',"1) U!>,9/>) .") B$',9) 3,'H&/#@) 2356#DE) Prime Minister Man Mohan

Singh recently talked about his vision for rural India: "My vision of rural India is

of a modern agrarian, industrial and services economy co-existing side by side,

where people can live in well-equipped villages and commute easily to work, be

it on the farm or in the non-farm economy. There is much that modern science

and technology can do to realize this vision. Rural incomes have to be increased.

Rural infrastructure has to be improved. Rural health and education needs have to

be met. Employment opportunities have to be created in rural areas." 'Go rural' is

the slogan of marketing gurus after analyzing the socio-economic changes in

villages. The Rural population is nearly three times the urban, so that Rural

consumers have become the prime target market for consumer durable and non-

durable products, food, construction, electrical, electronics, automobiles, banks,

insurance companies and other sectors besides hundred per cent of agri-input

products such as seeds, fertilizers, pesticides and farm machinery. The Indian

rural market today accounts for only about Rs. 8 billion of the total ad pie of Rs

120 billion, thus claiming 6.6 per cent of the total share. So clearly, there seems

to be a long way ahead. Although a lot is spoken about the immense potential of

the unexplored rural market, advertisers and companies find it easier to vie for a

share of the already divided urban pie. The success of a brand in the Indian rural

50ChandraSekhar .V.N.G, :Consumer Buying Behaviour and Brand Loyalty in Rural Markets:
FMCGsDE)IOSR Journal of Business and Management (IOSRJBM), Vol. 3, ISSN: 2278-487X,
Issue 2, July 2012, pp. 50-67.
50

market is as unpredictable as rain. It has always been difficult to gauge the rural

market. Many brands, which should have been successful, have failed miserably.

More often than not, people attribute rural market success to luck. Therefore,

marketers need to understand the social dynamics and attitude variations within

each village. Though, nationally it follows a consistent pattern looking at the

challenges and the opportunities which rural markets offer to the marketers it can

be said that the future is very promising for those who can understand the

dynamics of rural markets and exploit them to their best advantage. A radical

change in attitudes of marketers towards the vibrant and burgeoning rural

markets is called for, so they can successfully impress on the 230 million rural

consumers spread over approximately six hundred thousand villages in rural

India. The Indian established Industries have the advantages, which MNC do not

enjoy in this regard. The strong Indian brands have strong brand equity,

consumer demand-pull and efficient and dedicated dealer network which have

been created over a period of time. The brand has to be made relevant by

understanding local needs. Even offering the same product in different regions

with different brand names could be adopted as a strategy. At times, it is difficult

to pass on an innovation over an existing product to the rural consumer unlike his

urban counterpart - like increased calcium or herbal content or a germ-control

formula in toothpaste. The rural market has a grip of strong country shops, which

affect the sale of various products in rural market. The companies are trying to

trigger growth in rural areas. They are identifying the fact that rural people are
51

now in the better position with disposable income. The low rate finance

availability has also increased the affordability of purchasing the costly products

by the rural people. Marketer should understand the price sensitivity of a

consumer in a rural area. This paper is therefore an attempt to promote the brand

image in the rural market.

51
MunirHussain and AmnaMunir, (2012) :<%;, / of innovation in

FMCGs on customer loyalty and satisfaction: A case study of Confectionary S'!

1$ &') :="49.#+) C.# $./) 3,"$7, /$'&'#D) .") S,H.#/,"DE) The purpose of this \

$,"/./,/.-&)#/$1>).#)/!)1.# !-&')/+&).%;, /)!7).""!-,/.!")!") $#/!%&'(#)9!>alty and

satisfaction. Furthermore it is a brief review of some relevant approaches which

have been used for the measurement of customer satisfaction. It also describes

the number of factors which may consider facilitating customers in Pakistan. The

aims and objectives of this research are to determine the impact of innovation on

customer satisfaction, customer loyalty, new features of product, customer

retention, the factors affecting the innovation, and comparison of existing old and

new products in terms of innovation. This quantitative research was conducted

through the responses collected by Pakistani buyers with the help of close ended

questionnaire developed on Likert and dichotomous scale.

51
MunirHussain and AmnaMunir, :)Impact of innovation in FMCG products on customer 9!
>,9/>) ,"1) #,/.#7, /.!"@) ?) ,#&) #/$1>) !7) 5!"7& /.!",'>) S'!1$ &') :="49.#+) C.# $./) 3,"$7, /
$'&'#D).")S,H.#/,"DE)<"/&'1.# .;9.",'>)K!$'",9)!7)5!"/&%;!','>)B&#&,' +).")C$#."&##E Vol. 4,
No 8, December 2012, pp.423-431.
52

52
PallaviKumari, (2012) :5+,"4."4) S$' +,#&) C&+,-.!$') !7) <"1.,") 5$#/!

%&'#DEthe way Indian consumers are spending their money on various items has

changed in recent years. With the ever-increasing penetration of internet and

social media, the purchasing behavior of Indian consumers has changed

dramatically. Urbanization is taking place in India at a dramatic pace and is

influencing the life style and buying behavior of the consumers. The present study

is based on the perceptions, buying behavior and satisfaction of the consumers in

Indian market. The Indian consumers are noted for the high degree of value

orientation. India is a lucrative market even though the per capita income in India

is low and it remains a huge market, even for costly products. Consumer behavior

is complex and very often not considered rational. The recent trends which are

found in the Indian market are celebrity influence, online shopping, freebies and

popularity of eco-friendly products.

53
Sneha Ghai, (2012) 7Changing Scenario of Rural Consumer Buying

Behavior with Reference to Processed Food Product#DE) FMCG (Fast Moving

Consumerable Good) is considered as one of the most important sectors to boost

the Indian Economy. Rural India is contributing much in the development of

Indian FMCGs retail sector by spending more than ever before by purchasing

products like processed foods, milk products, beverages etc. The rural market is

52>)'')D?EFG)+?0( 75+,"4."4) S$' +,#&) C&+,-.!$') !7) <"1.,") 5$#/!%&'#DEArthPrabhand: A


Journal of Economics and Management, Vol.1, ISSN 2278 0629, Issue 8, November 2012,
pp.35-41.
53
<$&=)H=)?0( 7Changing Scenario of Rural Consumer Buying Behavior with Reference to S'!
&##&1)2!!1)S'!1$ /#DEVSRD International Journal of Business and Management Research,
Vol. 2 No. 12, ISSN No. 2231-248X, December 2012, pp.604-607.
53

expanding by the increased spread of middle-income group household .There is a

noticeable change in the income pattern and lifestyle of rural people hence the

FMCGs companies can find their way to combat the saturation in urban markets

and explore the horizon in Rural clusters. Present study has made an attempt to

understand the rural consumer behavior and attitude towards buying FMCGs.

There is a hidden untapped market potential in rural clusters, so marketers need

to strategize the rural marketing assuring the deep penetration through the

innovation and modern marketing techniques for higher market share and

increased market growth rate.

54
Urvashi Gupta, (2012) 7Customer Loyalty towards Kiranas in 5!%;&/./.-

&)="-.'!"%&"/j)?)5,#&)#/$1>DE)))B&/,.9."4).")<"1.,).#)&%&'4."4),#),) one of the

largest industries estimated to account for more than 10 per cent of the !$"/'>k#) 6JS)

,"1) ,'!$"1) N) ;&') &"/) !7) /+&) &%;9!>%&"/) /+&'&*>) +,-."4) /+&) distinction of

being the country's largest source of employment after agriculture. Estimates of retail

volume in India; both for organized and unorganized sectors have been assessed by

different authorities. India's overall retail sector is expected to rise to US$ 833

billion by 2013 and to US$ 1.3 trillion by 2018, at a compound annual growth rate

(CAGR) of 10% Despite the emergence of domestic organized retail activity

Kirana shops at street corners still account for more than 90 percent of $590 billion

retail trade in the country with distinct least

54I+D):=?(HF9;)0((7 Customer Loyalty towards Kiranas in Competitive Environment; A Case


#/$1>DE))International Journal of Marketing and Technology, Vol. 2, ISSN 2249-1057, Issue 8,
pp.249-268.
54

possibility of any significant replacement. Due to intensive competition there is a

focus on retaining customers as well as finding new customers. Designing

strategies in this direction require a deep understanding of various product and

store attributes which direct customer satisfaction followed by revisit of

customers for repurchase leading to customer loyalty.

55
Nagarajan.G and Khaja Sheriff .J (2013) 7Emerging Challenges and

Prospects of FMCG Product Development .")<"1.,DE this article provides inputs

for a clear understanding of the consumer mindset towards FMCGs. It focuses on

some of the fundamental issues pertaining to the emerging challenges and

prospects of marketing FMCGs (new product launch) in India, emerging trends

in sales and customer attraction which enable to improvements in new product

development. Fundamental issues of the customer and their expectations involve

around three magical questions 1.What more? 2. What next? 3. What else? When

the marketers want to fulfill the customer requirements they come up with

challenges which are new and unseen in yesteryears.

56
Priyanka Mokshmar, (2013) stated that !"#$%&'( )**+#$,-.( $/+( 0+$",1( Outlet

Preference: the Effect Of Sales Promotion Schemes Among the Custom+&'(%*(!

234'56 The Retail Industry worldwide is the most prospering

55 !"!#!$!%& '(& !%)& *+!$!& ,+-#.//& '012Emerging Challenges and Prospects of FMCGs
7+8+1%9:+-$(,-(;-<,"56International Journal of Marketing, Financial Services & Management
Research, Vol.2, No. 1, ISSN 2277- 3622, January 2013, pp.41-52.
56
3#.4!%5!7859+:!#1& 2Factors Affecting the Retail Outlet Preference: the Effect of Sales
Promotion Schemes among The Customers of FMCGs56 Acropolis Faculty of Management &
Research, Vol. 3, No.-1, January 2013, pp.49-54.
55

among all. In India specifically Retail is contributing the most as compared to

other industries towards the economic growth of the country. Retail sector is

highly dynamic in nature and media and non-media marketing

communication are employed for a predetermined, limited time to increase

consumer demand, stimulate market demand or improve product availability.

Sales promotion is one of the techniques covered under the scope of

promotion mix. The current study aims to explore the major factors related to

promotion and other value addition aspects that make the customer choose

and visit a particular retail store for the purchase of Fast Moving Consumer

Goods (FMCGs).

57
Sathya, (2013) in this paper ;-$+.&"$,-.( =**+#$( %*( 3%-'>:+&( ?+&#+9$,%-

( Factors towards Private Label Brands in Food and Grocery Retail Sector in

3/+--",(0+.,%-56 As per FICCI-Ernst & Young 2007 report, (taken from-The

Marketing White book 2009-10),the retail sector in India was worth $280 billion,

As per the BMI India Retail Report, for the third-quarter of 2010, forecasts the

total retail sales will grow from US$ 353 billion in 2010 to US$ 543.2 billion by

2014. With the expanding middle and upper class consumer and increase in

disposable income, the scope of organized retailing is widening in India. Store

brands have also started capturing the market share

57
Sathya, ;-$+.&"$,-.(=**+#$(%*(3%-'>:+&(?+&#+9$,%-(!"#$%&'(@%A"&<'(?&,8"$+(B"C+1(D&"-
<'(;-( !%%<()-<(4&%#+&E(0+$",1(F+#$%&(;-(3/+--",(0+.,%-56()&$/?&"C/"-<G()(H
%>&-"1(%*(=#onomics and Management, Vol.2, ISSN 2278-0629, Issue 6, June 2013, pp.1-15.
56

from national brands. Almost every retailer is coming out with their own
brands, trying to increase the number and the categories of private brands as
their efforts are paying off. The fight between national brands and Private
labels is getting tougher and interesting.

58
Prabha.C and Baranidharan.K, (2013)

I-1,-+( !234'( )<8+&$,',-.56

FMCGs sector in India is one of the four largest sectors in Indian economy.

The FMCGs (fast moving consumer goods) companies have faced tough

competition among themselves over the years, which is continuously

increasing. This is due to the increase in per capita income among individuals

and various developments in rural economy. The FMCGs sector has changed

its strategies and has opted for a better-planned marketing of the products to

penetrate both the rural and urban markets. FMCGs brands to come up with

something of great value online for their brands. However, there have been

instances where brands have been launched online before being introduced

directly to their end customers.


59
Priyadharsini .R and Shyamasundarv .K, (2013) )(FE'$+:"$,#()99&%"#/(

to Ev"1>"$,%-(%*(D&"-<(=J$+-',%-(F$&"$+.E56(Brand Management is a process

of planning, implementing and monitoring brand strategies that enhances the

58Prabha .C and Baranidharan .K, I-1,-+(!234s )<8+&$,',-.56( International Journal of


Logistics & Supply Chain Management Perspectives, Vol 2, ISSN (P):2319-9032, No 4,
October K December 2013, pp.801-805
59
Priyadharsini.R and Shyamasundarv.K, )(FE'$+:"$,#()99&%"#/($%(=8"1>"$,%-(%*(D&"-
<( =J$+-',%-(F$&"$+.E56(;2?)3@G(;-$+&-"$,%-"1(H%>&-"1(%*(0+'+"&#/6(L
%1M(N6(;FFO(PQPN-886X, Issue 5, Oct 2013, pp.11-16.
57

successful marketing of products or services. The evaluation of brand

extension strategy can be done under two broad categories Evaluation of

Existing Brand Extensions and Evaluation of Prospective Brand Extensions.

The paper deals with the dependent and independent variables that could be

used by the researcher in a brand extension research especially the consumer

evaluation. The measures suggested in the paper gives a clear picture of

concepts and content of brand extension and evaluation

60
Singaravelu .K and ChellaDurai .D, (2013) Distribution System on Fast

Moving Consumer Goods K 3/"-.+'("-<(3/"11+-.+'5, the FMCGs sector has

been successful in selling products to the lower and middle income groups

and the same is true in India. The core problems of the study were constructed

on the basis of the low income group and middle income group customers.

This sector is a cornerstone of the Indian economy. This sector touches upon

every aspect of human life. Indian FMCGs market has been divided for a long

time between the organized sector and the unorganized sector. FMCG market

remains highly fragmented with roughly half the market going to unbranded,

unpackaged home-made product.

60Singaravelu .K and ChellaDurai .D, Distribution System on Fast Moving Consumer Goods
K3/"-.+'( "-<( 3/"11+-.+'56( Asia Pacific Journal of Research,Vol.I, ISSN 2320-5504, Issue:
VIII, 2013, pp.19-26.
58

61
Sundaram .N and Sriram .M, (2013) @/+(?+&#+9$,%-(%*(R%:+-( Consumers

on Buying Behaviour with Reference to Vellore District of Tamil O"<>6(;-<,"5M(This paper

portrays the perception of buying behaviour, factors of product preferences and product

switch-over among women consumers in Vellore district of Tamil Nadu. To conduct this

study, 300 respondents from 20 village blocks of Vellore district were selected using

stratified random sampling as the technique and descriptive sampling as the design. The

study came out with interesting results and conclusions. It was found that more than half of

the respondents were purchasing the product without a bill. It was also found that the

respondents who repaired their product in the authorized service centre during warranty

period did not continue the same after the warranty period and preferred nearby repair shops.

It was further found that more than half of the respondents were checking expiry date and

quality '$"-<"&<'( A/,1+( 9>&#/"',-.( "( 9&%<>#$M( @/+( '$><ES'( '#%9+( A"'( 1,:,$+<( $

%( women consumers at Vellore district. It could be used for further research in other aspects

such as gender comparison in Vellore district and comparison with other districts of Tamil

Nadu and other states of India. It was suggested that there is still a necessity to upgrade the

standard of the people in many aspects like education, occupation and level of income,

which shall help them

61
Sundaram .N and Sriram .M, @/+(?+&#+9$,%-(%*(R%:+-(3%-'>:+&'(%-(D>E,-.
(D+/"8,%>&( A,$/(0+*+&+-#+($%(L+11%&+(7,'$&,#$(%*(@":,1(O"<>6(;-<,"56 Asia-Pacific
Journal of Business, Vol. 4, No. 2, December 2013, pp.31-40.
59

to compete with the neighboring cities on living standards.

62
DhumaleChandrakant B. (2013) )(F$><E(%*(3/"-.,-.(?>&#/"'+(

D+/"8,%>&( %*( ;-<,"-( 3>'$%:+&'( A,$/( F9+#,"1( 0+*+&+-#+56( the way

Indian consumers are spending their money on various items has changed in

recent years. With the ever-increasing penetration of internet and social media,

the purchasing behavior of Indian consumers has changed dramatically.

Urbanization is taking place in India at a dramatic place and is influencing the life

style and buying behavior of the consumers. The present study is based on the

perceptions, buying behavior and satisfaction of the consumers in Indian market.

A Study on Customer
63
Gomathi .R and Kishore.S, (2013)

F"$,'*"#$,%-($%A"&<'(7+9"&$:+-$"1(F$%&+'(,-(=&%<+(3,$E56 The purpose

of this paper is to find out consumer attitude towards Departmental stores a form

of organized retail outlet in Erode city. A total of 500 consumers of departmental

stores were personally surveyed with a structured questionnaire. These

consumers are spread out throughout Erode city. Statistical analysis such as

descriptive analysis, Chi square and average percentage score were carried out.

The preferences of the consumers clearly indicate their

62
DhumaleChandrakant .B, )( F$><E( %*( 3/"-.,-.( ?>&#/"'+( D+/"8,%>&( %*( ;-<,"-
( 3>'$%:+&'( A,$/( F9+#,"1( 0+*+&+-#+56( ;-$+&-"$,%-"1( ;ndexed & Refereed
Research Journal, Vol. V, ISSN- 2320-5482, Issue-50, November 2013, pp.35-36
63
Gomathi .R and Kishore.S, A Study on Customer Satisfaction towards Departmental Stores in Erode
3,$E56(;-$+&-"$,%-"1(H%>&-"1(%*(=-.,-++&,-.("-<(2"-".+:+-$( Research, Vol. 3, ISSN No.: 2250-
0758 Issue-5, October 2013, pp.38-43.
60

importance of advertisement in influencing their purchase, the additional

facilities expected, improvement expected in handling defective goods and

many. This research analyses the attitude of the consumer towards

departmental stores. The study was restricted only to Erode city. So the results

cannot be generalized. The results may help the management of departmental

stores to understand about the factors that influence the attitude of consumers

towards departmental stores, so that they can implement the requirement of

the consumers and be successful in the emerging retailing environment.

64
AnkitKatiyar, and NikhaKatiyar, (2014) An Empirical Study of Indian

Consumer Buying Behavior of FMCGs (With Special Reference Of D"$/,-.(F

%"9T56C"$/,-.('%"9("&+(*"'$(:%8,-.(#%-'>:+&(.%%<'($/"$(/"8+('++-( a surge in their

sales in the past few decades in India more and more people are opening up to the idea

of experimenting and trying out newer bath soap. This study attempts to cover the

various factors that influence the buying decision of consumers who plan to purchase

and use bath soap. FMCGs sector is the fourth largest sector in India touchi-.(+8+&EC

%<ES'(1,*+(,-(+8+&E( <"EM( @/+( !234'( '+#$%&( ,'( 8,$"1( #%-$&,C>$%&( $%(

;-<,"S'( .&%''( <%:+'$,#( products. The field of consumer behavior is the study of

individual, group,

64AnkitKatiyar,
and NikhaKatiyar, An Empirical Study of Indian Consumer Buying Behavior of
FMCGs UR,$/( F9+#,"1( 0+*+&+-#+( I*( D"$/,-.( F%"9T56( ;-$+&-"$,%-"1( H
%>&-"1( %*( Management and Commerce Innovations, Vol. 2, ISSN 2348-7585, Issue 1, 2014, pp.211-
217.
61

organization and the process is used to select, secure, use and dispose of products

and services that satisfy their needs. The Indian soap industry includes about 700

companies with combine annual revenue about $17 billion and also spread all

over the major metropolitan cites. India per capita consumption of soap is at 460

grm. Per annum. The Indian market #"9,$"1,V"$,%-(%*(C"$/('%"9(,-<>'$&,

+'(,'(WXY(%*(;-<,"S'(9%9>1"$,%-(&+',<+-$(,-( rural area and50% soaps are

sold in rural market. To attain this objective, a survey was developed and

administered across some part of Uttar Pradesh.

Chitra. R (2014)65 )-( +:9,&,#"1( '$><E( %-( 3>'$%:+&'( ?>&#/"'+( ;-$+-$,

%-( $%A"&<'( D&"-<+<( )99"&+1'56( this paper aims to study factors "**+#$,-.

( #>'$%:+&'S( 9>&#/"'+( ,-$+-$,%-( $%A"&<'( C&"-<+<( "99"&+1M( ?>&#/"'+

( intention is explained in terms of general consumer variables (normative influence,

consumer confidence) and brand specific variables (perceived quality, emotional

value). The sample comprised of customers who were shopping in the multi-brand

retail outlets, with 266 participants completing the self-administered questionnaire

during shopping. Results reveal that susceptibility to normative influence and

consumer confidence had positive impact on brand consciousness. Brand

consciousness had positive impact on perceived quality of branded apparel &

emotional value that these brands

65
Chitra .R ()-(+:9,&,#"1('$><E(%-(3>'$%:+&'(?>&#/"'+(;-$+-$,%-($%A"&<'(D&"-
<+<()99"&+1'56( Indian Journal of Research in Management, Business and Social Sciences
(IJRMBSS), Vol. 2 , ISSN No. : 2319-6998, Issue 1, Jan. 2014, pp.46-49.
62

generate. Both quality and emotional value had significant impact on

purchase intention.
66
Nasrudeen .R and Mohamed, (2014) B+8+1(%*(3%-'>:9$,%-(%*(!"'$(

Moving Consumer Goods by Rural Consumers K )-()-"1E$,#"1(F$><E56(Ever

since independence of India, because of some obvious reasons, marketing

acquired a largely urban bias. It was the green revolution in the seventies which

provided a much-needed boost to agriculture-based rural economy in the

country. Subsequently, many firms started showing interest in the rural markets

and extended their penetration to reach smaller villages and towns. Further, now-

a-days rural consumers are behaving like urban consumers towards the urban

lifestyle, fashion, taste, preferences, etc. This necessitates making an attempt on

the level of consumption of Fast Moving Consumer Goods (FMCG) and the

scope of the study is restricted to analyze the consumption pattern and the level

of consumption of rural consumers in Madurai District of Tamil Nadu in India. It

is concluded from the study that the level of consumption of rural consumers is

low and there is vast scope for marketers to market FMCG in rural areas

66
Nasrudeen .R and Mohamed6(( B+8+1(%*(3%-'>:9$,%-(%*(!"'$(2%8,-.(3%-'>:+&(4%%<'(CE(
Rural Consumers K )-()-"1E$,#"1(F$><E56(;-$+&-"$,%-"1(H%>&-"1(%*(=#%-%:,#'6(3%::+&#+("-
<( ManagementUnited Kingdom, Vol. II, Issue 1, ISSN 2348 0386, 2014, pp.1-21.
63

67
Rajasekaran, B and Saravanan, P. A. (2014) highlighted, 3%-'>:

+&(F"$,'*"#$,%-(%-(!"'$(2%8,-.(3%-'>:+&(4%%<'5M The study throws on

the attitudes, values, beliefs and perception of the consumers with regards to

the consumption of fast moving consumer goods. To study the brand

preference of fast moving consumer goods, the preference and opinion of

consumer towards popular brands have been taken into consideration. A five

point scale was used to analyze the consumer satisfaction. The respondents

have been classified into three categories namely those holding high level,

medium level and low level of opinion. The relationship variables have been

analyzed by means of Chi-square test. The study found that the quality is the

major driver to prefer a particular brand of FMCGs. If the marketers target the

consumer with high quality goods at affordable price, certainly they will

succeed in their business.


-8, August-PXNZ([(;FFO(O%(PPWW(- 8160
68
Shanmugapriya .G and Sethuraman .R, (2014) 23%-'>:+&'S( F"$,'*"#$,

%-( $%A"&<'( \":":( F%"9( ,-( @/"-]"8>&( @%A-56( $/+( :"&^+$,-.( scenario in

India has undergone vast change since 1991 due to the economic reforms. Post-

liberalization, competition intensified in every product line and market, which forced

brands to redefine their norms of existence in all

67
Rajasekaran, B and Saravanan, P. A. (2014)6( Consumer Satisfaction on Fast Moving
3%-'>:+&(4%%<'5, GJRA - Global Journal for Research Analysis, VVol. 2, Issue 8, ISSN No. :
2277-8160, August 2014, pp.38-41.LUME-3, ISSUE
68
,+!%:;"!<#.4!&'(&!%)&,-=+;#!:!%&'>1&23%-'>:+&'S(F"$,'*"#$,%-($%A"&<'(\":":(F
%"9(,-( @/"-]"8>&(@%A-56(;-$+&-"$,%-"1(H%>&-"1(%*(=-.,-++&,-.("-<(2"-".+:+-$(F#,+-
#+6(L%1M_(UPT6( ISSN 2229, 2014, pp.122-127.
64

industries. In the FMCGs industry, especially in toilet soap sector there has

been severe competition among the MNCs, national and local players. Brand

loyalty is determined by several distinct psychological processes of the

consumers and entails multivariate measurements. Product features

(Fragrance / Skin care / Germ fight features / Colour) is one of the most

important factors that affect brand loyalty. The relationship between the

availability of the toilet soap and the extent of brand loyalty was also found to

be significant. The toilet soaps can be divided into four price segments:

Premium, popular, economy and carbolic soaps. At the same time, penetration

level of toilet soaps in urban areas is very high, but per capita consumption

levels remain low. In this scenario, it is very important for marketers to know

the consumer behavior with respect to toilet soaps, which will be very useful

in adopting suitable strategies. This research paper attempts to analyze the

brand loyalty, satisfaction, awareness regarding Hamam soap in Thanjavur

town, Tamil Nadu.

69
Sonia and Garima Dalal, (2014) 2to Study the Satisfaction Level of

3>'$%:+&'($%A"&<'($/+(D&"-<(%*(3%-'>:+&S'(4%%<'(- A Study Carried out

on 0>&"1(2"''+'56 The Indian Fast Moving Consumer Goods (FMCGs) industry

began to shape during the last fifty odd years. The FMCGs sector is a corner

69
Sonia and Garima ?!@!@1&2to Study the Satisfaction Level of Customers towards the Brand
I*( 3%-'>:+&S'( 4%%<'( - )( F$><E( 3"&&,+<( %>$( %-( 0>&"1( 2"''+'56( 4)B)`aInternational
Interdisciplinary Research Journal, Vol.2 (4), ISSN 2347-6915, April 2014, pp. 43-52.
65

stone of the Indian economy. This sector touches every aspect of human life.

Indian FMCGs market has been divided for a long time between the organized

sector and the unorganized sector. Unlike the US market for FMCGs which is

dominated by a handful of global players, ;-<,"S'(0'M(ZbX( billion FMCGs

market remains highly fragmented with roughly half the market going to

unbranded, unpackaged home-made products. This presents a tremendous

opportunity for makers of branded products who can persuade consumers to

buy branded products. Globally, the FMCGs sector has been successful in

selling products to the lower and middle income groups, and the same is true

in India. Over 70 percent of sales are made to middle class households today

and over 50 percent is in rural India. The sector is excited about a burgeoning

rural population whose income is rising and which is willing to spend on

goods designed to improve lifestyle. Also with a near saturation and cut throat

competition in urban India, many producers of FMCGs are driven to chalk out

bold new strategies for targeting the rural consumer in a big way. Moreover,

the arrival or existence of these goods must be known to consumer so that they

can take interest and if found suitable to their needs and wants, they may go

for ultimate purchase. Consumer is the central point of every business. Now a

days, attracting and satisfying customers is more difficult than producing the

goods. For any product, many brands are available in the market. Every

company wants to
66

increase its market share. But, buyers dominate the market. Therefore, seller

has to make a lot of efforts to attract and persuade the persons to purchase his

products and services.

2.3 RESEARCH GAP

The review of related literature regarding the consumer behaviour in Fast

moving consumer goods is analysed from different sources. From the analysis of

the review of literature, it is found that all the studies have attempted to examine

the consumer behaviour of various product categories with the study of only the

consumer behaviour. But no attempts have been made to study the consumer

behavior towards selection on the basis of brand wise study. So this was

identified as research gap after analyzing all the review of related literature.

Hence, in the present study an attempt has been made to study consumer

behavior towards FMCGs at different stages in purchase behaviour of consumers.

2.4 SUMMARY

Thus, the earlier studies would motivate the researcher to go in deep to

explore the consumer behaviour towards FMGCs as far as Puducherry District is

concerned. The thorough review of earlier literature will also help the researcher

to adopt the user friendly technologies in order to unearth the recent perception

and changes in the consumer behaviour towards select FMCGs.

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