1. A
PROJECT REPORT
ON
“CONSUMER BEHAVIOUR TOWARDS
CONSUMPTION OF FAST FOOD”
SUBMITTED TO
MATRIX BUSSINESS SCHOOL
(2008-2009)
SUBMITTED BY
Gulab Ch. Sharma
MATRIX BUSINESS SCHOOL
PUNE
2008-2010
1
2. CERTIFICATE
This is to certify that the FIELD WORK titled
“CONSUMER BEHAVIOR IN CONSUMPTION OF FAST
FOOD”
out by Mr. GULAB
Is a Bona fide work carried
CHAND SHARMA student of Master of MARKETING
MANAGEMENT Semester 2nd of
MATRIX BUSINESS SCHOOL, PUNE.
Internal Guide Director
Dr. Madhuri Shete Dr. J.N. Pol
Date:
Place: Pune College Seal
2
3. Acknowledgement
A successful project can never be prepared by the single effort or the person to whom
project is assigned , but it also demand the help and guardianship of some conversant
person who helps in the undersigned actively or passively in the completion of successful
project.
With great pleasure I express my gratitude to our director Dr.J.N.Pol and project guide
Prof. Madhuri Shete without their help this would not have been completed. They have
given there precious suggestions and constructive guidance have been indispensable in
the completion of this project work.
I would also like to thank the staff of the Matrix Business School. They have supported
me in this endeavor, and appreciated me in my efforts during my project.
Last but not the least I would also like to thank my friends and all the responded. Who
directly and indirectly supported to me during my project work, without the help of
whom this project would not have been possible.
Gulab Ch. Sharma
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4. INDEX
Sr no Title Page No.
1 Executive Summary 5-6
2 Objective and Scope of the Study 7-8
3 Theoritical Background 9
4 Research Methodology 10-12
5 Data analysis and Interpretation 13-23
6 Finding 24-25
7 Limitations 26-27
8 Conclusion 28-29
9 Recommendation 30
10 Annexure 31-32
11 Bibliography 33
4
6. EXECUTIVE SUMMARY
Project Title
“Consumer Behavior in the consumption of fast food”
The study of any subject is made by examining it in an organized fashion. There are three
classes of variables involved in understanding consumer behavior; STIMULUS,
RESPONSE and INTERVENING variables. Stimulus variables, such as advertisements,
products exist in both the individuals’ external environment.
These generate a sensory input to consumers. Response variables are the resulting mental
/ or physical reactions of individuals who are influenced by stimulus variables. For e.g. : -
purchasing a product or forming attitudes about it could be viewed as response variables.
Many of the variables affecting consumers (such as personality, learning, and perceptions
are external situations, motives, and so forth) cannot be directly observed.
A questionnaire was prepared by us in order to conduct market survey. The questionnaire
was based on different parameters to judge and understand the consumer behaviors and
determine the best possible strategies which could be used to attract customers.
The research carried out in this project was descriptive in nature. The study was aimed at
knowing the various eating habits of a consumer.
This project helped in understanding what exactly a customer looks in an eating joint
before entering it. It gave an idea about the essential factors that are required now a day
for an eating joint to attract customers in this competitive world.
We were also given a task to understand the customer eating habits, what a consumer
wants while eating in a restaurant what all a consumer look for and what are their
expectations, how can restaurant owner satisfy the needs and wants of a consumer so that
the consumer may come back.
This project helped us to figure out the different consumer eating behavior and to
understand the overall customer perception of eating in a restaurant as well as their
demand for restaurant.
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8. OBJECTIVES & SCOPE OF THE STUDY
Objective:-
To analyze consumer behavior towards consumption of fast food.
•
Scope of the project:-
The market survey has done in fast food restaurants; this project is useful for the
better understanding of the consumer behavior. The project encompasses the various
behavior of customer, their pre and post behavior when they eat. There is also overview
of the consumer’s attraction towards fast food restaurants, mostly consumer perceptions
are changing and most of the consumer now prefers to eat in fast food restaurant. The
project work involves specific guidelines for the restaurant and helps the restaurants to
understand better the consumer behavior in fast food restaurants.
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9. Theoritical background
Consumer behavior:-
Consumer behavior is the study on when, why, how, where and what people do or do not
buy products. It blends elements from psychology, sociology, anthropology and
economics. It attempts to understand the buyer decision processes/buyer decision making
process, both individually and in groups.
The study of consumer behavior is the study of how individual makes decision to spend
their available resources (time, money and efforts) on consumption related items.
It studies characters of individual consumers such as demographics, psychographics, and
behavioral variables in an attempt to understand people’s wants. It also tries to assess
influences on the consumer from groups such as family, friends, reference groups, and
society in general.
Definition of consumer behavior:
“The decision process and physical activity individuals engage in when evaluating,
acquiring, using or disposing of goods and services”.
The term consumer behavior can be defined “As the behavior that consumer display in
searching for purchasing, using, evaluating and disposing of products, services and ideas
which they expect satisfy their needs.”
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11. RESEARCH METHODOLOGY
Research Methodology ill common parlance refers to a search for knowledge. One can
also define also research as a scientific and systematic research for pertinent information
a specific topic. Research is an art of systematic investigation. Some people consider
research as a movement, a movement to the known to the unknown.
According to Clifford Woody: -
“Research comprises defining and redefining problems, formulating hypothesis or
suggested solutions, collecting, organizing and evaluating data, making deductions mil
reaching conclusion, and at last carefully testing the conclusion to determine whether
they fit the formulating hypothesis.”
Marketing research is defined as a systematic gathering and analysis of the data
concern with an objective. The whole activity is divided into various parts and after
compilation of that we reach at certain findings, which enable us to marketing decision. It
involves the diagnosis of information needed and the selection of the relevant and inter-
related variables.
Research Plan: -
Research Approach: SURVEY METHOD
Primary Source
Primary data consists of original information gathered for specific purpose. The primary
data is collected through questionnaire. The questionnaire is through common instrument
collecting primary collection. I collected the data through questionnaire from different
small eating joints.
Research Instrument
The research instruments used for collecting the primary data were the questionnaire.
Questionnaire
The questionnaire was carefully developed tested and debugged before they were
administered on a large scale. Each questions contributed to the research objective here
questionnaire is structured types means there are concrete, definite and predetermined
questions.
The questions are presented are exactly same wording and in the same an order to all
respondents. The questionnaire had a mix type of open ended, closed ended and multiple
choice questions. The questions were limited in numbers simple direct and unbiased
technology was adopted.
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12. Data Source:
Primary:
The data was collected through questionnaire comprising of 17 questions.
Secondary:
The data was collected through:
Data Collection Instrument:
Questionnaire
Sampling Procedure:
1. Sample Unit : Consumer visited Small Eating Joints
2. Sample Size : 50 Respondents
3. Sampling Method : Random Sampling Method
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13. Question no.1
1. Do you visit restaurants?
Visit Restaurants Yes No
Respondents (in %) 100% 0%
Respondents (in No.) 50% 0
Respondents (in %)
120%
100%
80%
60% Respondents (in %)
40%
20%
0%
Yes No
Interpretation:-
All the candidates interviewed visited small eating joints.
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14. Question no.2
2. Your suitable timing for visiting food joint?
Suitable timing Morning Afternoon Evening Late Night
10% 20% 50% 30%
Respondents
(in %)
5 10 25 15
Respondents
(in No.)
Suitable time of visiting
Respondents (in %)
10%
30%
20% Morning
Afternoon
Evening
Late Night
50%
Interpretation:-
Maximum respondents are visiting food joints in evening and late night because at day time
they have a busy schedule.
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15. Question no. 3
3. You like to visit food joint with?
Visit food with Family Friends Alone
Respondents (in 50% 40% 10%
%)
Respondents (in 25 20 5
No.)
Respondents (in %)
10%
Family
Friends
50% Alone
40%
Interpretation:-
Humans are social being so they like to visit different restaurants in group.
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16. Question no. 4
4. What part of your monthly income you spend in restaurants?
Part of income <10% <15% >15%
(in 40% 36% 24%
Respondents
%)
Respondents (in 20 18 12
No.)
Respondents (in %)
24%
40%
<10%
<15%
>15%
36%
Interpretation:-
Most of respondents are spending approx 15% of their monthly income.
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17. Question no. 5
5. How much you spent at a time visiting food joint?
Spent at a time <200 <500 <1000 >1000
Respondents 30% 40% 20% 10%
(in %)
15 20 10 5
Respondents
(in No.)
Respondents (in %)
10%
30%
20% <200
<500
<1000
>1000
40%
Interpretation:-
Most of respondents are spending approx 500 rupees at a time visit.
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18. Question no. 6
6. Which food joint preferred by you most?
Preferred food Mc Donald’s Pizza Hut Domino’s Other
joint
Respondents 40% 30% 14% 16%
(in %)
20 15 7 8
Respondents
(in No.)
Respondents (in %)
16%
Mc donalds
40%
14%
Pizza Hut
Domino’s
Other
30%
Interpretation:-
Most of the respondents are visiting McDonalds because McD has a brand
identity in the minds of consumer as providing cost effective products.
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19. Question no.7
7. Favorite cuisine?
Favorite Western junk Chinese South Indian Other
cuisine food nodules
50% 30% 16% 4%
Respondents
(in %)
25 15 8 2
Respondents
(in No.)
Respondents (in %)
4%
16%
Western junk food
Chinese nodules
South Indian
50%
other
30%
Interpretation:-
Most of the respondents are selecting western junk food and Chinese nodules as their
favorite cuisine.
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20. Question no. 8
8. Your preference for the food joint is due to?
Preference for Convenience pricing taste Other
food
Respondents 24% 28% 36% 12%
(in %)
12 14 18 6
Respondents
(in No.)
Respondents (in %)
12% 24%
Convenience
pricing
taste
36% Other
28%
Interpretation:-
Most of the respondents are preferring restaurants due to their provided food taste
and price.
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21. Question no. 9
9. Are you satisfied with its pricing?
Yes No
Satisfied
80% 20%
Respondents (in %)
40 10
Respondents (in No.)
Respondents (in %)
90%
80%
80%
70%
60%
50%
Respondents (in %)
40%
30%
20%
20%
10%
0%
Yes No
Interpretation:-
Now days most of restaurants are providing cost effective foods, so mostly
respondents are satisfied with its price.
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22. Question no.10
10.Which is the most effective promotional activity for food joints
according to you?
Effective Discount Home delivery Other
Promotional
activity
Respondents (in 60% 20% 20%
%)
Respondents (in 30 10 10
No.)
Respondents (in %)
20%
Discount
Home delivery
Other
20% 60%
Interpretation:-
Most of the respondents prefer the most effective promotional activity as they are
getting more in fewer prices for discount scheme.
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23. Question no.11
11.Are you satisfied with the ambience of your preferred food joint?
Satisfied with the Yes No Little bit
Ambience
Respondents (in 70% 20% 10%
%)
Respondents (in 35 10 5
No.)
Respondents (in %)
10%
20%
Yes
No
Little bit
70%
Interpretation:-
Most of the respondents are satisfied with the ambience provided by restaurants
because now days they have well space and services.
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25. FINDINGS AND OBSERVATIONS
1. Almost every person contacted or interviewed said that he/she has visited small
eating joints.
2. From analysis we found out that most of the people were affected and attracted
with offers and schemes.
3. It has been found out that most of the people in Pune city visit small eating joints
for refreshment and enjoy.
4. Consumers choose small eating joints because they all want taste change and
economic food.
5. Most of the people who visit small eating joints prefer to spend 15% of their
monthly income and more than 500-1000 Rs at a time eating.
6. Advertising plays a very crucial part in the consumer decision making process.
7. Most of the respondents take on the spot decision of eating different products
because of the various product displays.
8. For most of the respondents quality plays a very important role because most of
the respondents said that they want quality products’ and that’s also one reason
for most of the respondents sticking to particular brands.
9. We can also say that location, variety convenience and economical products are
not the only things which attract the customer but there are some other factors
which play a major role in attracting the customers as mentioned above.
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27. LIMITATIONS
Time constraint
The allotted time to conduct the survey was 15 days. Therefore it became a bit difficult to
cover the entire city of Pune. However, the key areas were aptly covered.
Availability of data:
Most of the restaurants and eating joints were not in favor of us conducting the survey
inside their premises as it would disturb their customers. ‘Non-willingness of the
respondents to answer the questionnaire was also a hurdle.
Reliability of data:-
Reliability of data always remains a prime concern when humans are surveyed. Mon-
interest, poor understanding, unclear questions, inability to think instantly and customer
biases creeps in apprehensiveness in the minds of the researcher while tabulating and
analyzing the data.
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29. CONCLUSION
Consumer’s behavior is often studied because certain decisions are significantly affected
by their behavior or expected actions. For this reason consumer behavior is said to be
applied discipline.
1. In a general sense, the most important reason for studying consumer behavior is
the significant role it plays in our lives. Much of our time is spent directly in the
market place, eating or engaging in other activities. A large amount of additional
time is spent thinking abut products and services, talking to friends about them,
and seeing or hearing advertisements about them. In addition, the goods people
eat and the manner in which they use them significantly influence how they live
their daily lives. These general concerns alone are enough to justify our study of
consumer behavior. However, many seek to understand the behavior of
consumers for what are thought to be more immediate and tangible reasons.
2. The main reason behind this project was to find out the behavior of the consumer
behavior while eating in small eating joints because most of the population
surveyed preferred to eat at large restaurants and how day by day the consumers
demands are increasing and through this project I came to know that what are the
various behavior of a typical customer who eats in different eating joints.
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30. Recommendations
1. Most Suitable timing for customers are evening and late night so customers are
recommended that they hope they will be enjoy better services at that time.
2. Customers visit food joints with group.
3. Most of the people spend 500 rupees at a time visit, so they hope to eat more in
this budget.
4. Western foods (pizzas and burgers) and Chinese nodules are favorite cuisines of
customer’s comparatively Indian cuisine, so food joints have to serve these
cuisines most.
5. Customers face convenience problems, so food joints have to rectify this.
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31. Annexure
Questionnaires on Consumer Behavior towards
consumption of fast food
1. Name :-
…………………………………………………………………………
………
2. Gender?
a. Male b. Female
3. Age?
a. <15 b. <25 c. >25
4. What is your profession?
a. Working b. Student c. ……….
5. Income (annually)?
a. 1-1.5lakhs b. 1.5-3lakhs c. >3lakhs
6. Do you visit restaurants?
a. Yes b. No
7. How often you visit restaurants?
a. Weekly b. monthly c. occasionally
8. Your suitable timing for visiting fast food restaurant?
a. Morning b. afternoon c. evening d. late night
9. You like to visit food joint with?
a. Family b. friends c. alone
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32. 10.What part of your income (monthly) you spend in restaurants?
a. <10% b. <15% c. >15%
11.How much you spent at a time visiting fast food restaurant ?
a. <200 b. <500 c. <1000 d. >1000
12.Which fast food restaurant preferred by you most?
a. McDonald’s b. Pizza Hut c. Domino’s d. Other
13.Favorite cuisine?
a. Western junk food b. Chinese nodules c. South Indian d.
other
14.Your preference for the fast food restaurant is due to?
a. Convenience b. pricing c. taste d. other
15.Are you satisfied with its pricing?
a. Yes b. No
16.Which is the most effective promotional activity for restaurants
according to you?
a. Discount b. Home delivery c. Other
17.Are you satisfied with the ambience of your preferred fast food
restaurant?
a. Yes b. No c. little bit
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33. Bibliography
Books and magazines:
Consumer Behavior
•
- Fourth edition by David L. London & Albert J. Delia Bitta.
Research methodology (Methods & Technology)
•
Revised Second edition by C.R.Kothari
Through net surfing:
www.google.com
•
www.wikipedia.com
•
www.answers.com
•
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