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Sustainable Marketing

By
Dr. Dinesh Nilkant
Dr. Varsha Agarwal
Prof. Sunitha B K

Proceedings of International Conference on Sustainable


Business Management Practices and Social Innovation

ICSBMPSI-2021

Eureka Publications
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ISBN: 978-81-950380-9-1

First Edition - 2021

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Special Thanks to
Mr. Shresth Poddar
6th Semester BBA A

Mr. Dikshant Khandelwal


6th Semester BBA F

Ms. Jetturi Keerthana


4thSemester BBA L

Ms. Pooja Pravardhini


4thSemester BBA J

Ms. G. Haritha Sre


4thSemester BBA K

Ms. Kiran Munvar


4thSemester BBA B

Mr. Chirag Begani


4thSemester BBA L
Acknowledgement
VIDHYANIDHI-The Student Research and Development Cell of Center
for Management Studies, Jain (Deemed-to-be) University has always been
putting its strenuous efforts to promote a research oriented environment to
be created for students. Keeping in mind the same spirit SRDC came up
with a unique idea of collaborative research activities open to people from
all walks of life to avail the benefits of research learning. We would like to
acknowledge the encouragement and patronage provided by our esteemed
Chancellor, Dr. Chenraj Roychand for conducting a ‘One-Day
International Conference’ on ‘Sustainable Business Management Practices
and Social Innovation’. Creating a research culture at the graduate level is
remarkable and to achieve this end our gratitude is also extended to our
Pro-Chancellor, Dr. N Sundararajan for his unconditional and
motivational support. Sustaining the same research culture requires a
strong and clear pathway for which we would like to acknowledge the
important contribution of our Vice-Chancellor, Dr. Raj Singh for always
being our strong moral pillar. Our sincere thanks go as well to our
Registrar, Dr. N V H Krishnan for proving his all-time pearls of wisdom
to achieve this objective. Finally, we thank our Director-Academic
Planning, Prof. Sridhara Murthy for being a strong inspirational figure
and making the conference a success.

Dr. Dinesh Nilkant


Dr. Varsha Agarwal
Prof. Sunitha B K
Jain (Deemed to be University)
Ranked among the top universities in India and considered a cerebral
destination for students across the world and Bangalore in particular, for
its illustrious history of developing talent, Jain (Deemed-to-be University)
is a hub for learning in every sense of the world. The University which is
based in Bangalore-the Silicon Valley of India, offers a conducive
environment for learning, be it academics or extracurricular activities.
Known for its emphasis on education, entrepreneurship, research and
sports, Jain (Deemed-to-be University) has some of the best minds in the
educational and research fields, and centers that inspire entrepreneurship
and groundbreaking work to simplify and manage life better. What makes
Jain (Deemed-to-be University) different is its outlook towards life, its
values and beliefs. Its ever-evolving and open-minded system and quest
for continued success and resilience, has made it one of the top universities
in India.
Center for Management Studies
Center for Management Studies (CMS) is an integral part of Jain
(Deemed-to-be University). It is an institute that harnesses an international
outlook with the commitment to create top-notch business leaders of the
corporate world. CMS is an ultimate destination for students where they
will find new routes to fulfill their dreams. It is one of the top management
centers with best facilities in Bengaluru, and the programs offered for
bachelor and postgraduate degrees are designed to introduce students to
the basics of business and communication. The entrepreneurship program
has been designed to ignite creativity in students and encourage their
resolving skills to pursue their own ideas. Our academic practices
empower our students to redefine conventional wisdom and business
perspectives. Students are prepared for successful careers in management,
finance and communication and are able to pursue extracurricular
activities. CMS is committed to train budding business leaders and
aspiring media professionals. In CMS, we provide all essential facilities to
the students that will fulfill their academic goals and transform them into
extraordinary personalities.
Student Research & Development Cell
(SRDC)-Vidhyanidhi
Student Research and Development Cell-Vidhyanidhi of Center for
Management Studies, Jain (Deemed-to-be University) promotes and
encourages research culture among students. Its main motto is to inculcate
research and innovative skills among students and professionals across the
globe. 'Vidhyanidhi' is a platform to apprise students with the basics of
research at the under graduate level and to strengthen their research skills.
The research cell is responsible for informing students about research
opportunities and encouraging them to publish their original research
papers in leading journals and presenting at conferences. The cell is
working towards achieving its mission by conducting seminars,
conferences and academic writing workshops to inform about the
emerging trends and to develop analytical research skills of students.
About the Conference
The Virtual International Conference on Sustainable Business Practices
and Social Innovation is an initiative of the Student Research
Development Cell of Center for Management Studies, Jain Deemed-to-be
University. The purpose of this conference is to enable the students of
Management and Social Sciences to be aware of innovative, practical,
sustainable, business approaches that achieve positive social &
environmental change.

The COVID-19 pandemic has disturbed the political, social, economic,


religious and financial infrastructures globally. The pandemic is a
cataclysmic caution of the fact that the system we live in is not sustainable
anymore. In these uncertain and unpredictable times, it is important to
keep in mind the 2030 global sustainability agenda for our common future.

The coronavirus crisis recovery is a chance to redesign a sustainable,


inclusive economy, revitalize industry, preserve vital biodiversity systems
and tackle climate change. As the world stands on the verge of change, it
essentially creates a crucial moment for leaders to seize the opportunity to
shape a better new normal. The many actions through the crisis have
shown that businesses are an important part of the solution and that all our
capabilities across nations should be emphasized towards attaining
sustainability in the process ICSBMPSI-2021 brings a confluence of
experts from the diverse domains of life, business and management. The
insights of these stalwarts will pave the path to learn, explore and
experience the dimensions of sustainable and innovative business practices
by the students and future entrepreneurs. The Conference envisages to
create a platform which ensures the interchange of innovation and
sustainable thoughts and designs to invigorate a holistic socio-economic-
political development.
Table of Contents
S. N. Chapters Page No.

1. A Framework Proposal on the Relationship


among CRM Dimensions and Marketing
Capabilities
Shivani Mishra 1-6
2. Retailers Strategies for Engaging the Customers
through Mobile App
Dr. Yashashwini. A, Umesh Babu. G 7-14
3. A Study on Consumer’s Preference towards
Coca-Cola in the Reference to Mangalore
District
Velita Carlo 15-24
4. Green Marketing in Indian Scenario: Challenges
and Opportunities
Dr. K. Balaji 25-32
5. A Study on Consumer Preference on
Lakmeproducts in Mangaluru
Rithika M, Dr. Neethu Suraj 33-48
6. Green Marketing-An Analysis of Starbucks
Company
Paladugula Krishna Jayanth 49-58
7. Concerns of Supply Chain Management and
Threats in the Resilient Markets
Dr. Abhishek Sharma 59-65
8. A Study on the Changing Customer Perceptions
towards Health Insurance amidst COVID-19
Sharon Elizabeth Jacob, Dr. Kanchana Naidu 66-76
9. Post COVID-19 Brand Care: A Perspective on
the Strategies for Advertising and Marketing
Campaign
Iqra Manzoor, Dr. Zia-ul-Haq, Nadia Rashid 77-82
10. A Study on the Role of Recent Trends in Digital
Marketing
Mr. Mohammed Tazeer, Mrs. Basanthi Goswamy 83-95
11. A Feasibility Study on Creating a New Model to
Encourage Textile E-Marketing
Bhanusree P, Dr. Ethan Malar. J 96-102
12. Impact of Digital Marketing on Consumer
Behavior and Satisfaction Rate in India:
Perspective to Y Generation
Mr. Arunkumar, Mr. Diwakar. B 103-113
13. A Study on Analysis of Customer Satisfaction
towards Supermarket-in India
Mrs. Rani Anthony Raj, Mrs Pavana R Kulkarni 114-125
14. An Analysis of Digital Marketing-Impact of
COVID 19
Paladugula Tejaswini 126-135
15. Consumer Buying Behaviour towards Health
Insurance in Gujarat
Dr. Dharmendra S. Mistry, Dr. Pallavi C. Vyas 136-157
16. A Comparative Study of Consumer buying
Behaviour towards Chips with reference to
Bingo and Lays
Mr. Devaraj B. Dodamani, Mr. Venkatesh 158-173
Malali, Ms. Bhuvaneshwari D, Ms. Anita
Naragund, Mr. Vikas Parvati
17. Use of Social Media Marketing in Social
Enterprises
Sambhrami Patil, Sowparnika P 174-183
18. Marketing
Sarvagya Singh 184-196
19. Green Packaging Practices used in Textile &
Garment Industry
Dr. Manjali Sharma 197-199
20. Green Marketing and Ethical Consumerism
Dr. Sugunavalli, P. Sathya 200-207
21. Tata Nano: A Positioning Disaster?
Dr. Pratik C Patel 208-216
22. Brand Sustainability in Textile Sector
Ms. Megha Gohil, Dr. Manjali Sharma 217-227
23. A comparative study of consumer buying
Behaviour towards chips with reference to
Bingo and Lays
Anita Naragund, Bhuvaneshwari D Devaraj 228-262
Dodamani, Venkatesh Malali, Vikas Parvati
24. Strength of Social Media over Marketing
Mr. Piyush A Patel, Mr. Yogesh J Patel, 263-271
Mr. Shahnavajkhan Pathan
25. Modern Corporate Ethics in Marketing of
Goods and Services
Dr. P. Selvamani 272-278
26. The Growing Impact of Social Media in Sports
Dr. Kahkashan Khan 279-285
27. A Comprehensive Study on Brand Sustainability
and its Importance
Bharathi N, Varsha Balaji, Tejashree P.N, 286-296
Shreyas U, Manasa L
28. Business Management Practices and Social
Innovation in Digital Marketing
Sahana B.C, Manjula Bhaskar 297-307
29. Relation between Sustainable Green Marketing
and Consumer Behaviour
Neha Agarwal 308-314
30. Green Product Marketing: An Ethical Initiative
“Green Hai Tho Future Hai”
Abdal Ahmed, Dr. Suman Vij, Sumera Qureshi 315-325
31. Sustaining Brands in the Digital Arena &
Varying Consumer Behaviour
Dr. Neelam Sheoliha 326-335
32. To Study Green Marketing and Green Packaging
Products and it’s Effects on Consumer Buying
Approach
Mrs. Namrata Dedhia 336-341
33. Effectiveness of Digital Marketing
Bhanu Prasad P S, Harshitha N, Shruthi S, 342-350
Dr. Padma C
34. Socially Sustainable: Exploring Green Tourist
Behaviour Promotion through Social Media
Shruti Gulati 351-359
35. A Study on Consumer Purchase Behaviour
Towards Green Products in Ecotourism
Ms. Roshni Saikia 360-369
36. Probing Into the Influence of ‘Green’ Brand
Personality on the Purchase Dynamics of
Consumers: An Empirical Analysis
Shaunak Roy, Dr. Shivaji Banerjee 370-391
37. Managerial Response to Ewom during online
Shopping
Gunjan Singh 392-402
38. MINISO (Japan) Marketing Strategy
Nasif Ahmed 403-412
39. Consumer Perception towards Digital Payment
Applications in Coimbatore City
Mrs. R. Naveena, Dr. V. Mathan Kumar 413-422
40. Role of Public Participation in Social Innovation-
A Study
Dr. Azmath Rukhsana, Syed Bilal Irfan 423-432
41. A Conceptual Framework for Examining the
Role of Social Media in Consumer Engagement
Dr. Sunishtha Dhaka, Dr. Sunny Dawar, 433-441
Ms. Savita Panwar
42. Provider-Recipient Dyadic Interactions: Impact
of Service Quality on Customer Behaviors using
a Multi-Modeling Approach
Mr. Shahbaz Sharif 442-480
43. Reconceptualizing Public Relation in Post
COVID-19 World
Aliyu Sani, Desmond Onyemechi Okocha 481-490
44. Impact of E-Commerce Globally: Benefits of
Business Organization, Consumers and Society
Akriti Kumari 491-499
45. Social Learning Process on Sustainability
Initiatives of Marketing Professionals
Ranjith, KADKA, Jayawickrama, WDC 500-514
46. Brand Sustainability during Crisis
Sanjeev Chinnamanthur 515-523
47. The Influence of E-Retailing in Creating a
Demand for Conspicuous Consumption
Dr. Tabitha Durai, Immanuel Debbarma 524-540
01
A Framework Proposal on the Relationship among
CRM Dimensions and Marketing Capabilities
Shivani Mishra1
1
Gorakhpur University, Gorakhpur.

Abstract
Customer relationship management (CRM) has a growing popularity and
is becoming one of the hottest academic and practical topics in the
business field. In fact, due to the competitive environment, CRM is crucial
and has become aniche for firm performance. However, there is limited
research that reveals the relationship between CRM dimensions and
Marketing capabilities.
CRM enables Organizations to know their customers better and to build
sustainable relationships with them. The main components of CRM are
people, technology, and processes. This paper provides an extensive
review of the literature regarding the CRM procosses. In addition, for
organizations to be successful adopter and implementers of CRM
program/systems, they should understand the need for business process
reengineering and effective anticipation and Management of the change
that may accompany any CRM initiatives.
This step emphasizes on increasing the understanding of CRM concept
and communicating and spreading the knowledge of the promising benefits
of CRM programs/ systems to all parties in the organization. All that will
contribute in increasing the success rate of CRM programs/ system
implementation.
Introduction
Knowing your customers better will enable you to serve them better and
keep them loyal forever. This is the Main theme of customer Relationship
Managerment (CRM).
A business philosophy reference stated that “CRM is a relationship
orientation, customer retention and superior customer value created
through process management.” As a business strategy “CRM is a customer

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focused business strategy that aims to increase customer satisfaction and


customer loyalty by offering a more responsive and customized services to
each customer”
Among the reasons for the little consensus around the meaning of CRM
are ----
i. The different academic backgrounds of the researchers and scholars.
ii. CRM is still an emergent perspective and need more time and
studies to reach the consensus.
iii. The multidisciplinary/plinary nature of CRM where it is a
combination of management, marketing and is disciplines.
Hence, for increasing the understanding of the notion of CRM, there is a
need for an extensive and critical investigation for the different
components and elements of CRM initiatives or program where any CRM
inifiative or program consists of three elements; people, processes, and
technology.
However, to enrich the literature about CRM, this study will define it as “a
strategic approach that enables organizations to use internal resources (i.e.
Technology, People, and process to manage the relationship with
customers for the whole of their lives cycles, in order to create a
competitive advantage and improve an organizations performance.”
CRM Dimensions
It is a proven fact that the multidimensions concept of CRM can be
considered relatively new, because of the only few studies. Which are
made on the CRM dimensions of some service sectors such as banking and
contact centres, thus the range of information on this concept is quite
limited. To drive the point home, it can be said that CRM consists of four
broad behavioural dimensions.
These behaviourial dimensions are: key customer focus, CRM
organizations knowledge management and technology-based CRM. It is
essential that all of these dimensions must work systematically in an
organization to guarantee its improved performance. In this regard,
investigation on the impact of CRM dimensions on call-centers Malaysia
can be taken as a typical example. He declares that CRM orientation, as
one of the CRM dimensions, is more comprehensive than key customer

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focus. Consequently, this study is being done with the aim of filling the
gap that has been left because of the very little attention gives to the
above-mentioned dimensions in the hotel industry, Therefore, it is logical
to go into details of about CRM dimensions as follows:-
Customer Orientation
It is important in the first instance to confirm that the Main Main purpose
behind customer-Oriented behaviours is to increase customer long- lasting
satisfaction and to create customer- loyalty. Therefore, studies have
demonstrated that good customer- oriented behaviours, in an organization,
definitely ensures a treamondously positive impact on its performance.
Moreover, current researches have revealed that service firms, like hotels,
require a better understanding of customer orientation and its great
importance to such firm and their performance.
As in the service oriented organization, the delivery of service in a hotel
occure when there is interaction between service providers and the service
encounter. Further more, serveral studies revealed that there is a relation
ship between customer orientation and Marketing planning capabilities.
Hence, we note that despite the numerous positive impacts of customer-
orientation on organization performance, the fact remain that there is still a
shortage of literature about customer-orientation impact on hotel
performance.
CRM Organization
First and foremost, to enhance service employees to conduct customer-
Oriented behaviours, organizations have to develops an appropriate
working enviroment for service in work, for instance, providing staff with
the modern tools and technology, customer- inspirational leadership, and
appropriate rewards system. As a result of the previous supportive working
conditions, organizations can ensure the required customer oriented
behaviours of their employees.
The researchers also argue that CRM cannot be successful even if the
organization enjoy the most advanced technology and adapt a customer-
oriented approach, unless the project is completely integrated by them.

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Further, as a confirmation for this point stress that CRM success dues not
only require technological quality or systems, but it also requires an
effective service concept as well as suitable operation procedures.
Thus, the success of CRM implementation relies on the active involvement
of the employees in the organization itself.
Inevitably, all the organization resources have to be integrated in order to
implement CRM successfully and in turn, to improve organization
performance.
It goes without saying that knowledge about customer plays a vital role in
CRM, taking into our consideration the fact that the Main purpose behind
collecting data about customers is to get a clear image about them from
different perspectives.
Knowledge Management
Needless to say that useful information about customers can be gathered
through interactions with them or from different touch points within the
organization itself, and the criterion for deciding whether CRM is
successful or not, is to effectively transform customer information into
customer knowledge.
In this connection, we can say that Manging knowledge effectively can
greatly help an organization to have success in building better customer
relationship, resulting in a positive impact on the organization
performance.
Customer knowledge management is firmly associated with Marketing
capabilities, and it greatly enables organizations to take strategic
managerial decisions for improving their performance.
Technology Based CRM
CRM strategy will end in failure if the information technology is not used
properly, thus the suitable use of technology in marketing is one of the
greatest opportunities in hotel industry, because of the fact that it is
important to get the right information from the right people at the right
time, so that the right decisions can be made and/or the service can be
rendered.

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Consequently, CRM based technology enables organization to plan and


implement successful marketing actions for retaining customers long-last
and Making them more profitable, because of the customer database and
other information- storing systems.
Moreover, they also recommend investigating separately the mediating
impact of marketing-planning capabilities and the implementation of
marketing capabilities on the relationship between between CRM and
organizations performance.
Additionally, this study is also designed to be more comprehensive than
the study of changet, because it will investigate the mediating effect of
marketing capability between each dimension of CRM, not only CRM
technology and hotel performance.
Marketing-Planning Capabities
Marketing planning capabilities as the firme ability to expect and react to
the changes in the market environment for the purpose of directing its
resources actions to work towards the alignment of the firm with the
environment and the achievement of organizational financial goals.
Furthermore, the collaboration between the organization’s customer
orientation and its marketing capabilities is positively related to its
business performance, because it leads to the creation of casual ambigrity,
making it difficult for competitors to determine the firm’s competitive
advantage.
Marketing Implementation Capability
Marketing Implementation Capability is the process that transforms plans
into actions, thus, marketing implementation capabilities play a vital role
to improve organizational performance through transforming marketing
strategy plan to actions.
Additionally, lec. et. al., (2011) empirically find that marketing
implementation capabilities play a significant mediating effect on the
relationship between customers knowledge and organization performance.

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CRM can play a key role in developing marketing capabilities, Thats mean
CRM antecedes the development of marketing capabities in the
organization.
Thus, it can be said that marketing capabilities is an intergrated process,
designed to make use of corporate knowledge, skills, and resources, It
enables businesses to meet there customers need in a better way, through
value added services to their products.
Conclusion and Recommendation
In conclusion, this study has provided a theretical model to show the firm
relationship between CRM dimensions, marketing capabilities and hotel
performance. It contributers enormously to the body of knowledge, as it
provides a comprehensive framework that is used for explaining the
impact of the CRM four dimensions on hotel performance.
Moreover, this dimensions of customer-relationship management and hotel
industry performance and uniquely extends the body of knowledge by
explaining the theortical possibilities of the mediating role of marketing
capabilities in the relationship between CRM dimensions and hotel
performance.
References
1. Customer Relationship Management: Key components for IT success,
Industrial Management and Data base. 2011 understanding success
and failure in customer relationship management. Industrial Marketing
Management. 2012.
2. Planning and Doing: The Relationship between Marketing Planing
2010.
3. An Evaluation of divergent perspectives on customer relationship
management. Toward a common understanding of an emerging
phenomenon. 2008.
4. A case of managing customer relationship management.
5. Empricial insignt and lesson learned. 2009.

ICSBMPSI-2021 6
02
Retailers Strategies for Engaging the
Customers through Mobile App
Dr. Yashashwini. A1, Umesh Babu. G2
1
Associate Professor, CMS-Jain deemed to be University, Bengaluru.
2
Assistant Professor, East West Institute of Technology, Bengaluru.
E-mail Id: [email protected], [email protected]

Abstract
Mobile apps have become go-to-tactic for retailers as they offer the
promise to provide convenient digital engagement. In this research we can
find two types of customers who are best served with these apps- “offline-
only” customers they purchase exclusively from the retailer’s physical
store, and “distant” customers who don’t purchase through physical store
but feels convenient to access the same on app, which in turn convenient
for customer engagement. The result of the research confirms the
economic value of retailer apps and the significant marketing strategy
adopted to enhance customer engagement.
Keywords: Distant customers, Digital engagement, Customer
engagement, Segmentation variables.
Introduction
1
Today’s competitive market place, retailers are adding value to the
business by adding mobile app which in turn very convenient to the
customers for shopping and enhance customer engagement (Gill et al.,
2017). 2Engagement entails non-transactional interactions with the retailer
such as physically assessing the fit and feel of products, drawing on the
expertise of a salesperson or of user reviews, and identifying alternative
products using the retailer's online recommendations (Van Heerde, 2018).
3
“In today's competitive landscape, a mobile application is not just another
piece of technology for retailers, it is a vital tool to engage shoppers with
their brand”. Evidence suggests that engaging customers is important
because it increases customer value. inquiry.” A natural question in
assessing this impact is which customer segments are best served by the
app. By focusing only on customers who access the app we can provide a

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more detailed investigation of the heterogeneity within this ever-growing


user group. We propose two key segmentation variables: distance from the
physical store and current channel usage. Our proposition is that the
retailer app best serves current offline-only customers and distant
customers. Offline-only customers (those who never bought online) may
be “physically” engaged with the retailer, but may not be “digitally”
engaged with the retailer. Distant customers, because of their remoteness
to the physical store, face a barrier to engaging with the retailer because
they lack the convenience to physically interact with the retailer. An app
provides convenient digital engagement superior to what they might obtain
now if they visit the retailer's website through their mobile or desktop
device (Synchrony, 2018).
Review of Literature
Our paper contributes to the 4multichannel and customer engagement
literatures (Wiesel, 2018) consider the online channel to consist of both
fixed (desktop or laptop) and mobile shopping. We view apps as a
particular type of mobile online channel. Regarding engagement, the
literature discussed below suggests the benefits of the app are to provide
convenient access to superior digital engagement, while the app will also
impose costs related to learning and habit-change.
Customer engagement
(Chang et al., 2018), Several non-transactional manifestations of
engagement have attracted attention. These include research shopping,
where the customer gathers information on one channel before possibly
purchasing on another It is useful to distinguish between “digital” and
“physical” engagement. Digital engagement refers to non-transactional
shopping activities available online, such as easy access to consumer
reviews, online chat services, and alternative products suggested by
website recommendations. Physical engagement refers to non-
transactional shopping activities available offline, in the physical store.
These include physical inspection of products, personal interaction with
store personnel, and drawing on family and friends' opinions when
shopping together. We draw on these concepts to identify what the
literature says retailer apps provide to customers.

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Retailer apps and customer engagement


5
The practitioner literature is rife with debate on the merits of a retailer's
app vs. its website. The consensus appears to be that a website is a home
base that comes first. But, apps bring the website to life. They serve
customers seeking deeper, more convenient digital engagement. YML
(2018), a mobile consultancy, points out the following ways in which apps
achieve this: (1) Apps are particularly amenable to organization on one's
mobile desktop in a prominent location. (2) Apps provide instant, one-
click access to the retailer, rather than the two-step process of opening a
mobile browser and typing in the name of the retailer. (3) Apps are
effective at delivering push notifications, an important way to increase
customer retention. (4) Apps are easier to personalize because they link
directly to the mobile user's account.
Research Methodology
The study is based on exploratory research with a purpose to understand
the areas in which the problem lies.
Sample Size and Data Collection
The study mainly focused on age group of 20-40 as target population who
are working professional based out in Bengaluru city and adopted both
primary and secondary method of data collection. Primary data was
collected through self-administered questionnaire of 5 items from 150
respondents based on 5-point Likert’s scale and Secondary data was
collected through journals, magazine and authenticated websites.
Research Objective
1. To analyse retailer apps especially enhance the value of offline-only
and distant customers.
2. Identifying three mechanisms by which the app may enhance distant
more than near customer value and offline-only more than online
customer value.
Research Design
After review of various papers and journals the study developed a research
design. This research employed both primary and secondary method of

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data collection. Primary data was collected through self-administrated


questionnaire having 5 items for a total sample size of 150 respondents.
Further the data collected through convenient sampling were statistically
tested using SPSS software employing KMO and Bartlett’s Test,
Correlation and Regression analysis.
Research Question
1. Does the retail app offers enough superior digital engagement to
benefit the offline-only customer who currently experiences physical
engagement.
2. How to increase app usage has become more important as many firms
are moving away from mobile app downloads as a key metric.
Research Hypothesis
H1: Distant and offline-only customers are more likely to value the
benefits of the app.
H0: Distant and offline-only customers are not more likely to value the
benefits of the app.
Research Frameworks

Distant Customer

Offline-only Customer

Mobile app access Purchase

Firm Actions

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Table 1.Variable operationalization


Si No Variable Operationalisation
1 App access Total number of times the mobile app was
purchase accessed in a particular week.
2 Promotions The number of individuals, minor, and major
promotion sale days in a particular week.
3 Social posts The total number of social posts on Twitter or
Facebook in a particular week that specifically
refer to the mobile app.
4 Online Total amount spent on weekly internet display
advertising advertising.
5 Offline Total amount spent on weekly Newspaper,
advertising Magazine, Radio, Television and Billboard
advertising

Data Analysis and Interpretation


KMO and Bartlett’s Test
Table 2.KMO and Bartlett's Test
Kaiser-Meyer-Olkin Measure of Sampling Adequacy. .917
Bartlett's Test of Sphericity Approx. Chi-Square 2378.027
df 105
Sig. .000

The above table shows KMO and Bartlett’s Test value to be 0.917 which
make the data suitable for research.
Cronbach's Alpha- Reliability Statistics
Cronbach's Alpha N of Items
0.963 5

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Anova
Sum of df Mean F Sig.
Squares Square
Between 107.141 17 6.302 41.683 .000
Groups
Within Groups 19.958 132 .151
Total 127.099 149

From the above table which can see that significance value is 0.000 which
is less than the required vale of 0.05 which makes the hypothesis
acceptable.
Anova
Sum of df Mean F Sig.
Squares Square
Between 101.593 17 5.976 56.322 .000
Groups
Within Groups 14.006 132 .106
Total 115.599 149

The above table shows that significance value of 0.000 for the hypothesis
Findings, Recommendation and Conclusion
Findings
This suggests that distant and offline-only customers find their interactions
with the app to be more valuable, which, although we cannot measure it
directly; implies they find these actions more engaging. This result
suggests that the digital engagement offered by the app is especially
important for distant customers who lack easy access to the physical
engagement offered by the store. For distant customers, the app may serve
as a substitute for directly visiting the website or for incurring the costs of
traveling to the store.

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Recommendation for Future Research


The finding common to both groups is that app access translates more
readily into purchase for these customers. This puts the onus on retailers to
increase access. However, we find that access is difficult to stimulate
through marketing. Promotions and offline advertising do stimulate access,
but the effect, measured by elasticity, is small. Surprisingly, social media
posts, whose copy is designed to stimulate app access is ineffective. We do
not have the detailed data to discern why these social media posts are
unsuccessful, a fertile area for future research.
Conclusion
We analysed that consumers who have downloaded the retailer's app.
Focusing solely on this group allows us to detail how accessing the app
affects purchase behavior, but as a result we cannot comment on how
methods of acquiring app users determine app usage habits. Further work
is needed on how to manage the adoption process. While our study does
not match adopters to non-adopters, our data does demonstrate that a
substantial number of app users have decreasing sales over time.
Nonetheless, further work which investigates if there is a relationship
between mobile app usage by type of mobile adopter may be very
interesting. Finally, we do not observe the non-transactional aspects of
engagement directly, e.g., how extensively the customer considers online
user reviews. We assume for example that the offline-only shopper is less
digitally engaged than the online shopper, and this seems reasonable given
we know the online shopper has online activity. But more detailed
measurement of engagement would be an important addition to our work.
References
1. Gill, M., Sridhar, S., & Grewal, R. (2017). Return on engagement
initiatives: A study of a business-to-business mobile app. Journal of
Marketing, 81(4), 45-66.
2. Kannan, P. K., & Li, A. (2017). Digital marketing: A framework,
review and research agenda. International Journal of Research in
Marketing, 34(1), 22-45.
3. Kim, E., Lin, J. -S., & Sung, Y. (2013). To app or not to app:
Engaging consumers via branded mobile apps. Journal of Interactive
Advertising, 13(1), 53-65.

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4. Kim, S. J., Wang, R. J. H., & Malthouse, E. C. (2015). The effects of


adopting and using a brand's mobile application on customers'
subsequent purchase behavior. Journal 91(2), 182-197.
5. Narang, U., & Shankar, V. (2017). The effects of mobile apps on
shopper purchases and product returns. Marketing Science
InstituteWorking Paper Series Report, 17-100 of Interactive
Marketing, 31(August), 28-41.
6. Pauwels, K., & Neslin, S. A. (2015). Building with bricks and mortar:
The revenue impact of opening physical stores in a multichannel
environment. Journal of Retailing,
7. Petrin, A., & Train, L. (2010). A control function approach to
endogeneity in consumer choice models. Journal of Marketing
Research, 47(1), 3-13.
8. Pozzi, A. (2013). The effect of internet distribution on brick-and-
mortar sales. RAND Journal of Economics, 44(3), 569-583.
9. Synchrony (2018). Synchrony study: Consumer adoption of retailer
mobile apps doubles. https://newsroom.synchrony.com/press-release/
technology-innovation/synchrony-study-consumer-adoption-retailer-
mobile-apps-doubles accessed on August 24, 2018.
10. Van Heerde, H. J. (2018). Delusion in attribution: Caveats in using
attribution for multimedia budget allocation. Journal ofMarketing
Research, 55(5), 667-685.
11. Wiesel, T. (2018). Device switching in online purchasing: Examining
the strategic contingencies. Journal ofMarketing, 83(5), 1-19.
12. YML (2018). Mobile-friendly website or native app? Here's how to
decide which comes first. https://ymedialabs.com/mobile-friendly-
website-or-native-app-hereshow-to-decide-which-comes-first
(accessed August 28, 2018).

ICSBMPSI-2021 14
03
A Study on Consumer’s Preference towards
Coca-Cola in the Reference to Mangalore District
Velita Carlo1
1
St. Agnes College (Autonomous), Mangalore University, Karnataka.
E-mail Id: [email protected]

Abstract
The study is based on the customer’s preference towards Coca-Cola. A
sample survey is of 63 respondents which was undertaken with the
reference to Mangalore city. The main objective of the study is to know the
customer preference towards Coco-Cola drink.
Keywords: Soft drinks, Coco-Cola, need of consumers, Customer
preference.
Introduction
Coca-Cola is a carbonate soft drink manufactured by Coca-Cola Company
in the late 19th century by John Stith Pemberton. It is originally marked as
a temperance drink and intended as a patent medicine. The drinks name
refers to two of its original ingredients: coca leaves and kola nuts.
Consumer preference is defined as the subjective tastes of individual
consumers, measured by their satisfaction with those items after they’ve
purchased them. This satisfaction is often referred to as utility. Consumer
value can be determined by how consumer utility compares between
different items.
Consumer preferences can be measured by their satisfaction with a specific
item, compared to the opportunity cost of that item since whenever you
buy one item, you forfeit the opportunity to buy a competing item.
The preferences of individual consumers are not contained within the field
of economics. These preferences are dictated by personal taste, culture,
education and many other factors such as social pressure from friends and
neighbors. For example, someone who prefers to own a specific brand of a
smartphone because her friends all have the same brand.

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People often prefer some aspects of a product, but not others. When
comparing sofas, the color, fabric and size of the sofas can each have an
impact on consumer preference, as well as the number of extra cushions
they have. Not all of these aspects carry the same weight. When
comparing two restaurants, for example, you may prefer the food and the
ambiance of one over the other, but having a rude waiter at one restaurant
may cause you to prefer the other restaurant overall.
While consumer preference is an indicator of consumer demand, it’s
important to note that consumer choices are not always determined by
preference alone. Choices are often limited by a consumer’s income or
budget, compared to the cost of the item, which is why so few people drive
luxury cars or fly first-class.
Objectives
 To change the sales strategies according to the needs of customers
 To know the percentage of people using a particular product
 To identify the factors affecting consumers buying behavior
 To observe the customers preference towards Coca-Cola
 To evaluate the reason to buy cola drinks
Research methodology
Research design: data collected for the study has been divided into 2 parts
Primary data: this data is mainly gathered through the questionnaire
being distributed
Secondary data: this data is collected through various secondary sources
like previous project reports, internet journals and books.
Sample design: the study is directed by the public
Sample unit: selected public
Sample size: 63 consumers
The scale was used for measurement of items. Respondents were asked to
reveal their agreeableness and disagreeableness for the statement whereas
1=strongly agree, 2=agree, 3=neutral, 4=disagree, 5=strongly disagree.
Sample area: Mangalore District

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Limitations
 Quality of information is highly related to respondent’s knowledge
 The area of study is limited to Mangalore state only. So result may
vary according to geographical area.
 Economic and market conditions may very
 Study is confined to consumers mostly belonging to age group
between 15-35years.
Literature review
Anand (2016), a study on consumer’s preference towards Coca-Cola
This study was conducted to know the factors which influence people
consumer to prefer cold drinks and major finding of the study is that “coca
cola” is more popular and preferred by rural respondents among all other
categories as its percentage i.e. 22% and 12% of the rural consumers prefer
“limca brand”.
Bangera (2011), study on consumers preference and satisfaction of
Coca-Cola
highlighted the consumer preference and satisfaction towards Coca-Cola
products of ATC beverages with sample size of 70 and this study revealed
that taste and flavor of the product is the main factor which influence the
consumer to try out the product and concluded that the product offers by
the company is good in quality but consumers are less aware of it due to
less proportion activity.
Rowena (2007), a study on preference towards coca cola among
college students in Mangalore city of Karnataka
This study highlight the frequency of brand switching and preference
towards coca cola among college students in Mangalore city of Karnataka.
This study also revealed that a large number of consumers would
eventually try out a new product, the youth will do so at a much quicker
pace and they fail to remain loyal to a single brand but alter preferences
from one brand to another in the same product class over a period of time.

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Table 1.table showing gender of respondents


Respondents frequency Total (%)
Male 18 28.6
Female 45 71.4
Table 2.table showing occupation of respondents
Student 34 54
Professional 18 28.6
Businessman 1 1.5
other 10 15.9
Table 3.table showing age groups
15-20 19 30.2
21-35 41 65.1
36-45 2 3.1
46-55 1 1.5
Table 4.do you drink Coca-Cola?
Yes 49 77.8
no 14 22.2
Table 5.Which drink do you prefer the most?
Coca-Cola 22 35.5
Sprite 19 30.6
Pepsi 11 17.7
7 UP 5 8.1
Table 6.What do you like the most about Coca-Cola?
Brand name 17 27
Packing 2 3.17
Price 0 0
Taste 40 63.5
other 4 6.3
Table 7.Do you like coca- cola?
Yes 48 76.1
no 15 23.8

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Table 8.How many coca -cola do you drink in a month?


1-2 47 74.6
2-5 12 19.04
5-10 2 3.17
More than 10 2 3.17
Table 9.Do you drink Coca-Cola more than water?
Yes 2 3.17
no 61 96.8
Table 10.How would you rate the quality of coke?
0 6 9.5
1 5 7.9
2 7 11.1
3 10 15.8
4 28 44.4
5 7 11.1
Table 11.Do you buy coke multi pack?
Yes 4 6.3
No 46 73.01
May be 13 20.6
Table 12.What quantity do you most prefer to buy?
200-250ml 32 50.7
300-500ml 11 17.4
1 liter 17 26.9
2 liter 3 4.7
Table 13.How well do Coca-Cola product taste?
Very good 15 23.8
Good 40 63.4
Very bad 1 1.5
Bad 7 11.1

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Table 14.How long have you been a Coca-Cola Customer?


Less than 6 months 9 14.2
More than Six months 2 3.17
1-2 years 5 7.9
3 or more years 45 71.4
I have never bought coca cola 2 3.17
Table 15.What's your general impression of Coca Cola's advertisements?
Traditional 1 1.5
Trendy 23 36.5
Controversial 1 1.5
Commercial 13 20.6
Enjoyable 25 39.6
Table 16.How do you think Coca-Cola product are priced?
Extremely overpriced 4 6.3
Slightly overpriced 21 33.3
Correctly priced 38 60.3
Low priced 0 0
Table 17.How satisfied are you with the Coca-Cola brand?
Very satisfied 8 12.6
Satisfied 29 46.03
Average 20 31.7
Dissatisfied 5 7.9
Extremely dissatisfied 1 1.5
Table 18.Would you pick coke over any other soft drink?
Yes 22 34.9
No 25 39.6
Maybe 16 25.3
Table 19.On what occasion do you often consume Coca-Cola?
Feeling thirsty 7 11.1
Without any reason 14 22.2
Parties 41 65.07
Others 1 1.5

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Table 20.Do you think taking too much coke would cause health problems?
Yes 50 79.3
No 2 3.1
Don’t know 11 17.4
Table 21.What do you think about the characteristics of coca cola logo?
Bright colour 32 50.7
Eye catching pattern 30 47.6
Other 1 1.5
Table 22.Will you focus on coca-colas new products?
Yes 38 60.3
no 25 39.6
Table 23.What all changes do you want the
manufacturer to make in it to promote sale?
Quality 22 34.9
Price 14 22.2
Advertisement 11 17.4
Flavor 16 25.3
Table 24.What is your most preferred channel
for purchasing Coco-Cola products?
Super markets 24 38.09
Retails 14 22.2
Local shops 16 25.3
Pubs &Restaurants 9 14.2
Table 25.Do you suggest Coca-Cola brand to your family/friends?
Yes 45 71.4
no 18 28.5

Findings
1. In the study female respondents are more compared to male
respondents.
2. As majority of the respondents belongs to students and employee
communities, one can expect good sales of Coca-Cola.
3. The majority of the respondents are young and they are found of
consuming Coca-Cola for several reasons.

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4. Majority of the respondents consume Coca-Cola.


5. Most of the respondents prefer Coca-Cola compared to other soft
drinks.
6. Majority of the consumers like to consume Coca-Cola due to its taste.
7. Majority of the respondents like to consume Coca-Cola.
8. In this study it is identified respondents drink Coca-Cola atleast for 1-2
months.
9. The majority of the consumers drink water more than coke only 2% of
people drink coke more than water.
10. The quality of coke is rated 4 out of 5.
11. The majority of the respondents are not interested in buying multi
packs.
12. Nearly half of the respondents prefer purchasing 200-250Ml quality of
soft drinks.
13. The taste of Coca-Cola is rated has good.
14. Most of the respondents are Coca-Cola customers more than 3 years.
15. Consumers likes to watch its advertisement because it’s trendy and
enjoyable.
16. Consumers are satisfied with the pricing of Coca-Cola as it is correctly
priced.
17. Respondents are satisfied with Coca-Cola brand.
18. Most of the respondents prefer Coca-Cola over other soft drinks.
19. The majority of the respondents are consuming Coca-Cola during
parties.
20. Taking too much coke may cause health issues.
21. Consumers think that Coca-Cola logo has bright color than eye
catching pattern.
22. Consumers do not want the focus on coca-colas new product.
23. Consumers wants manufacturer to bring changes in the quality of
Coca-Cola to promote its sale.
24. The majority of the respondents prefer to buy Coca-Cola from super
markets.
25. Consumers will suggest Coca-Cola to their family and friends.

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Suggestions
Suggestions have been made based on certain factors as highlighted by the
study.
 Efficient Promotional activities pertaining to consumers are to be
taken up.
 Company should improve the quality of packaging.
 Introduction of a new flavor is suggested to make the product
promotion more efficient.
 The company should do the more advertisements to increase the sales.
Conclusion
This treatment of customer has to be continued and different plans in the
future have to be introduced by the company to achieve its vision. To
survive in this competitive era company has to come up with many
innovative taste and flavor.
The study shows consumer prefer Coca-Cola due to taste, quality, price
level and other factors they are satisfied with Coca-Cola when it is
compared to other soft drinks.
The company should also see that they won’t compromise with the
environment and health of the living creature. Has consuming over Coca-
Cola may lead health issues.
References
1. Anand (2016), a study on consumer’s preference towards Coca-Cola,
2. Bangera (2011), study on consumer’s preference and satisfaction of
Coca-Cola.
3. Banumathy and Hemameena (2006), Customer satisfaction and
customer’s preferences towards soft drinks.
4. Bererly J. Tepper, (1998), “Sources of Customer Preferences with soft
drinks. “A Comparative study of different customers segment.”
5. Donnelly (1995) “Companies need to continuously innovate to
maintain market leadership,”
6. Grimm (2004), a study on consumer’s preference towards Coca-Cola.
7. Punitha (2005), a study on consumer’s preference towards soft drinks.

23 Sustainable Marketing
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8. Ray (2009), a study on preference towards coca cola among the young
generation.
9. Rowena (2007), a study on preference towards coca cola among
college students in Mangalore city of Karnataka.
10. Stephen Daniells (2008), “Marketing Research Methodology” Pearson
Education.
11. Thomas Michael, 2012, “Impact of Media on consumers Brand
Preference, “A Study on carbonated Beverage market with reference
to Coca-Cola”.
12. William R. George (1999), “A Study of Marketing strategies and
Brand Preference,” Journal.
13. Z. Ahmed (2013), a study on consumers purchase decision towards
Coca-Cola

ICSBMPSI-2021 24
04
Green Marketing in Indian Scenario:
Challenges and Opportunities
Dr. K. Balaji1
1
Assistant Professor in MBA, Sree Vidyanikethan
Institute of Management, Tirupati, A.P India.
E-mail Id: [email protected]

Abstract
In the modern era of globalization, it has become a challenge to keep the
consumers in fold and even keep our natural environment safe and that is
the biggest need of the time. Green marketing is a phenomenon which has
developed exacting importance in the contemporary market and has
emerged as a significant concept in Indian scenario than other parts of the
world, and is seen as an essential approach of facilitating sustainable
development. In this explorative study, the main prominence is given for
the concept, necessitate and significance of green marketing. Data has
composed from various source like books, journals, websites and
Magazines. It explores the major issue in implementation of green
marketing practice. The study escalates the present situation of Indian
market and explores the challenges have with green marketing.
Keywords: Green Marketing, Environment, Traditional Marketing,
Consumerism, Marketers.
Introduction
First of all, environment and environmental problems, one of the reason
why the green marketing emerged. According to the American Marketing
Association, green marketing is the marketing of products that are
presumed to be environmentally safe. Thus green marketing incorporates a
broad range of activities, including product modification, changes to the
production process, packaging changes, as well as modifying advertising.
Green marketing refers to holistic marketing concept wherein the product,
marketing consumption on disposal of products and services happen in a
manner that is less detrimental to the environment with growing awareness
about the implications of global warming, non-biodegradable solid waste,

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harmful impact of pollutants etc., both marketers and consumers are


becoming increasingly sensitive to the need for switch into green products
and services.. Generally terms like phosphate free, recyclable, refillable,
ozone friendly and environment friendly are most of the things consumers
often think after.
Evolution of Green Marketing
According to Peattie (2001), the evolution of green marketing has three
phases.
First phase was termed as "Ecological" green marketing, and during this
period all marketing activities were concerned to help environmental
problems and provide remedies for environmental problems.
Second phase was "Environmental" green marketing and the focus
shifted on clean technology that involved designing of innovative new
products, which take care of pollution and waste issues.
Third phase was "Sustainable" green marketing. It came into prominence
in the late 1990s and early 2000concerned with developing good quality
products which can meet consumers need by focusing on the quality,
performance, pricing and convenience in an environment friendly way.
Characteristics of Green Products
We can define green products by following measures:
1. They are originally grown.
2. They are recyclable, reusable and biodegradable.
3. Includes natural ingredients.
4. Use of approved chemicals.
5. Do not harm or pollute the environment.
6. Eco -friendly packaging i.e. reusable, refillable containers etc.
Objectives of the Study
This study aimed to cover the following objectives:
1. To get aware about the concept of green marketing scenario.
2. To recognize the significance and necessitate of green marketing.
3. To learn the challenges and prospects of green marketing aspects.

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Research Methodology
The investigate is exploratory in nature; it focus on Literature review,
Magazines, Journals, websites and the other consistent source.
Review of Literature
Pride and Ferrell (1993) stated that Green marketing, also alternatively
known as environmental marketing and sustainable marketing, refers to an
organization's efforts at designing, promoting, pricing and distributing
products that will not harm the environment.
Polonsky (1994) defines green marketing as .all activities designed to
generate and facilitate any exchanges intended to satisfy human needs or
wants, such that the satisfaction of these needs and wants occurs, with
minimal detrimental impact on the natural environment.
Elkington (1994: 93) defines green consumer as one who avoids products
that are likely to endanger the health of the consumer or others.
Kilbourne, W.E. (1998) discussed areas that must be examined for their
effect in the marketing/environment relationship, namely economic,
political and technological dimensions of the cultural frame of reference.
Donaldson (2005) in his study reported the strong faith of consumers in
the known commercial brands and in the feeble behavior referring to the
"green" claims, which was the main cause behind the consuming failure to
interpret their concerns beyond the environment in their behavior.
According to Prakash (2002), the relationship between the marketing
discipline, the public policy process and the natural environment is
important.
Alsmadi (2007) while investigating the environmental behavior of
Jordanian consumers reveals a high level of environmental conscience.
Frazier (2008) The decision to use environmental claims in marketing
communications is a serious one. Environmental claims must be honest,
sincere and a reflection of the organization's mission.
Brahma, M. & Dande, R. (2008), The Economic Times, Mumbai, had an
article which stated that, Green Ventures India is a subsidiary of New

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York based asset management firm Green Ventures International. The


latter recently announced a $300 million India focused fund aimed at
renewable energy products and supporting trading in carbon credits.
A study by Nancy E. Furlow (2010) described the phenomena of Green
washing in an elaborated way and also gave the managerial implications.
According to that article early 1990s saw a rapid rise in products touting
environmental claims
Need of Green Marketing
From the above analysis of the literature the reasons that why the firms are
looking after the use of Green Marketing are
1. To create the environmental marketing to be an opportunity that can be
used to achieve its objectives
2. To meet a moral obligation to be more socially responsible
3. To meet the norms of Governmental bodies from time to time.
4. To go in accordance with the actions of the Competitors activities.
Golden Rules of Green Marketing
1. Know your Customer: Make sure that the consumer is aware of and
concerned about the issues that your product attempts to address.
2. Educating your customers: It is not just a matter of letting people
know, whatever you're doing is to protect the environment, but also a
matter of letting them know why it matters.
3. Being Genuine & Transparent: means that a) You are actually doing
what you claim to be doing in your green marketing campaign and b)
The rest of your business policies are consistent with whatever you are
doing that's environment friendly.
4. Reassure the Buyer: Consumers must be made to believe that the
product performs the job, in this film should not forgot product quality
in the name of the environment.
5. Consider Your Pricing: use of higher-quality ingredients make sure
those consumers can afford the premium and feel it's worth it.

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Countries ranked according to their response level


Table 1.Countries ranked according to their response
level on Green Marketing
Rank Countries
1 India
2 UK
3 US
4 Thailand
5 Australia
6 Canada
7 China
Source-Namex International Journal of Management Research
The Four Ps of Green Marketing
1. Product
Products must be recycled or reused, environmentally responsible
packaging green, certified products, which meet or exceed
environmentally responsible criteria.
2. Price
Pricing is a critical element of the marketing mix. Environmentally
responsible products, however, are often less expensive when product life
cycle costs are taken into consideration, for example fuel-efficient
vehicles, water-efficient printing and non-hazardous products.
3. Place
The location must differentiate a company from its competitors. This can
be achieved by in-store promotions and visually appealing displays or
using recycled materials to emphasize the environmental and other
benefits.
4. Promotion
Promoting products and services to target markets includes paid
advertising, public relations, sales promotions, direct marketing and on-
site promotions.

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Green Products in India


1. Wipro Info tech (Green IT) was India‘s first company to launch
environment friendly computer peripherals.
2. Samsung, was the first to launch eco friendly mobile handsets (made
of renewable materials)-W510 and F268- in India.
3. Oil and Natural Gas Corporation Ltd. (ONGC), India‘s largest oil
company, has introduced energy- efficient Mokshada Green
Crematorium, which saves 60% to 70% of wood and a fourth of the
burning time per cremation.
4. Reva, India‘s very-own Bangalore based company was the first in the
world to commercially release an electric car.
5. Honda India introduced its Civic Hybrid car.
6. ITC has introduced Paper Kraft, a premium range of eco-friendly
business paper. Indusind Bank installed the country‘s first solar-
powered ATM and thus brought about an eco-savvy change in the
Indian banking sector.
7. Suzlon Energy manufactures and markets wind turbines, which
provide an alternative source of energy based on wind power. This
green initiative taken by the company is extremely important for
reducing the carbon footprint.
10 Ways to Go Green
1. Unplug when not in use.
2. Use less water, every drop counts.
3. Switch to compact fluorescent light bulbs.
4. Choose products with less packaging.
5. Buy organic and local food.
6. Drive less that saves fuel.
7. Recycle more.
8. Switch to green power, use non conventional energy like solar power
etc.
Green Marketing-Challenges
The major challenges which Green marketing have to be faced are:
1. New Concept- The consumer needs to be educated and made aware of
the environmental threats. The new green movements need to reach

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the masses and that will take a lot of time and effort.
2. Cost Factor- Green marketing involves green technology, green
power/energy for which a lot of money has to be spent on R&D
programmes for their development and subsequent promotional
programs which ultimately may lead to increased costs.
3. Convincing customers- The Company should ensure that they
undertake all possible measures to convince the customer about their
green product, the best possible option is by implementing Eco-
labeling schemes.
4. Sustainability- Initially the profits are very low since renewable and
recyclable products and green technologies are more expensive.
5. Non Cooperation- The firms practicing Green marketing have to
strive hard in convincing the stakeholders and many a times it may fail
to convince them about the long term benefits of Green marketing as
compared to short term expenses.
6. Avoiding Green Myopia- Green marketing must satisfy two
objectives: improved environmental quality and customer satisfaction.
Suggestions
There are some suggestion that an organizations should implement for
catering challenges.
1. The consumer needs to be educated and made aware of the
environmental threats.
2. Make sure that consumer feel that they can make a difference.
3. The Organization and the Government work in unison towards the
common goal of minimizing the detrimental environmental impact of
their activities.
4. The Organization must use USP (Unique Selling Proposition).
Conclusion
Green marketing is a tool for defending the environment for upcoming
cohort. It is not going to be an effortless model. Indian market consumers
too are prepared to pay top price for green products. Therefore there is a
need for green marketing and a need for a shift in the consumer‘s behavior
and approach towards more environment friendly life styles. Finally green
marketing requires that consumers want a cleaner environment and are
willing to pay for it, possibly through higher priced goods, modified

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individual lifestyles, or even governmental intervention.


References
1. Sharma D.D. (2008), ―Marketing Research: Principle Application &
Cases‖ N. Delhi, Sultan Chand & Sons.
2. R. Shrikanth Et al(2012) Contemporary green marketing-brief
reference to Indian scenario, International journal of social science and
interdisciplinary research, vol. I, Jan.2012.26-38.
3. Dr. Sarawade W.K. (2012) Conceptual development of green
marketing in India, Excel journal of engineering technology and
management science, vol. I, June 2012.1-6.
4. K. Uday Kiran (2012) Opportunity and challenges of green marketing
with special reference to Pune, International journal of management
and social science research,vol.I,Oct.2012.18-24.
5. Rahul Singal Et al (2013) Green marketing: challenges and
opportunity,International journal of innovation Engineering and
technology,vol II,Feb.2013.470-474.
6. http://www.managementparadise.com.
7. http://www.businessworld.in.
8. http://www.outlookindia.com.
9. http://en.wikipedia.org.
10. http://www.business-standard.com.
11. http://www.encyclopedia.com.

ICSBMPSI-2021 32
05
A Study on Consumer Preference on
Lakmeproducts in Mangaluru
Rithika M1, Dr. Neethu Suraj1
1
St. Anges College (Autonomous) Mangalore.
E-mail Id: [email protected], [email protected]

Abstract
The consumers are the largest economic group in any country and the
present-day business activities are because of consumers only. Thus,
consumers are the pillars of the economy. The consumers are not only
heart of marketing system consumer sovereignty has become a myth on
account of the variety of problem in the process of merchandising the
study of consumer behavior enables marketer to understand and predict
consumer behavior in the market place. Every individual perceives the
world through his senses like hearing, touch, smell, sight and awareness.
The purpose of this research is to study the consumer behaviour and
perception towards cosmetics with special reference to the Lakme
cosmetics products. To understand the attitudes and perception of
consumer's towards Lakme products. Majority of respondents are level of
satisfaction towards the quality of Lakme products is high. Even though
their prices are high, consumer are much satisfied while buying the Lakme
products due to their quality and effectiveness. Thus, Lakme products are
playing a vital role in satisfying the wants of the consumers. The company
can improve the design and look to attract more customers. Data collected
for the study has been divided into 2 parts Primary data this data was
mainly gathered through questionnaire being distributed. Secondary data.
The data collected through various secondary sources like previous
project reports from college library and, internet journals and books. The
study is directed towards the lecturers and students of the educational
institution in Mangaluru. Simple Percentage analysis is used for
calculations. Google form questionnaire is used for survey purpose. The
sample taken for the study includes 50 respondents.
Keywords: Products, Consumer Satisfaction, Consumer Behaviour.

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Introduction
Lakmé is an Indian cosmetics brand which is owned by Hindustan
Unilever. Having Kareena Kapoor and Ananya Pandey as the ambassador,
it ranked at number 1 among the cosmetics brands in India. Lakme started
as a 100% subsidiary of Tata Oil Mills (Tomco). It was named after the
French opera Lakmé, which itself is the French form of Lakshmi (the
goddess of wealth) who is renowned for her beauty. It was started in 1952
famously, because then Prime Minister Jawaharlal Nehru was concerned
that Indian women were spending precious foreign exchange on beauty
products and personally requested JRD Tata to manufacture them in India.
Simone Tata joined the company as director and went on to become the
chairperson. In 1996, Tata sold off their stakes in Lakmé Lever to HUL,
for Rs 200 Crore (45 million US$).
In the Brand Trust Report 2012, Lakme was ranked 104th among India's
most trusted brands and following year it was ranked 71st on the list. In
2014, Lakme was ranked 36th among India's most trusted brands
according to the Brand Trust Report 2014. The company is the title
sponsor for Lakme Fashion Week (LFW) a bi-annual fashion event which
takes place in Mumbai.
The consumers are the largest economic group in any country and the
present-day business activities are because of consumers only. Thus,
consumers are the pillars of the economy. The consumers are not only
heart of marketing system consumer sovereignty has become a myth on
account of the variety of problem in the process of merchandising the
study of consumer behaviour enables marketer to understand and predict
consumer behaviour in the market place. It also promotes understanding of
the role that consumption plays in the lives of individuals.
Objectives of the Study
 To understand the attitudes and perception of consumer‘s towards
Lakme products.
 To study the growth of the cosmetic sector in today‘s scenario.
 To analyses the consumers awareness level towards Lakme products.
 To find out the satisfaction level of consumer‘s towards Lakme
products.

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Statement of the Problem


Today the consumers are ruling the market that is why the famous author -
Philip Kotler decried the consumers as the king markets are highly
complex. To meet this environment, a firm has to be constantly innovating
and understanding the latest consumer’s need and wants. The study on
consumers opinion help to know who the consumers are, what they want,
how they use them, from where they buy, when they buy and how they
react with the product it also enables to know what motivates and induces
the consumer to use a particular product.
Many brands of products are made available in the market. But consumers
prefer for a particular branded of products to purchase them. The study
also helps to know various marketing variables such as price and product
features of Lakme product. To find out the consumer satisfaction level of
Lakme products. The purpose of this research is to study the consumer
behaviour and perception towards cosmetics with special reference to the
Lakme cosmetics products at Mangaluru District.
Review of Literature
1. K. MANIMEKALAI, THASSIM BEEVI ABDUL KADER,
JANUARY/ 2019, A STUDY ON CONSUMR BUYING
BEHAVIOUR TOWARDS LAKME PRODUCT: This research study
thus given insight into consumer behaviour and consumer perception
related to the usage of Lakme products in Ramanathapuran. Naturally,
a person grooming himself or herself perceives that their level of
confidence and happiness would increase. Now a day more of men
also interested to use cosmetic products. Lakme should launch new
categories of beauty products for men. Consumer buying behaviour is
the important factor to forecast the sales of any products in a particular
area. So, the company should keep a close eye on market situation.
2. B.A. CHUKWU (2019): This study was conducted in Enugu State
Nigeria to analyse the consumer buying behaviour. In this study it is
found a positive relationship between the Brand, Brand awareness and
Consumer Buying Behaviour. It suggested to the Industries that
effective advertisement is needed for understanding the Consumer
buying behaviour. And also, the study suggested the emotional
advertisements is needed to gain more customers.

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3. S. BAGIYALAKSHMI AND S. SARANYA (2017): In his study


entitled, “a study on cosmetics usage of girls”. The purpose of the
study is to find cosmetic usage of girls and the most popular products
are coloured cosmetics, of which nail polish, lipsticks and shine are the
largest number of products in the entire Indian cosmetics and toiletries
market. Popular local brands in the region include Lakme and Revlon.
This study has made a serious attempt to study the behaviour of
teenage girls in the use of cosmetics. A sample of 100 girls was
examined and their data collected. The samples for the study are
selected systematically. The study uses statistical techniques such as
percent analysis and Chi-square test. In addition, a study may also be
conducted to identify differences in the use of cosmetics by female
students of the arts and sciences, engineering and other professional
academy students. The behaviour of workers in cosmetics can also be
studied.
4. INDIRAPRIYA DHARSHINI (2016): This study―consumer
satisfaction on personal care products of HUL. Now a day most
business organizations are operating in a complex and competitive
environment where demands are constantly changing. In this era of
intense competition, especially within the FMCG sector, one can
achieve success only after having a thorough understanding about their
largest consumer preference and satisfaction. Personal care industry is
composed of hair care, skin care and cosmetics is India ‘s largest fast-
moving consumer goods company with a heritage of over 60 years in
India and touches the lives of two out of three Indian. HUL is looking
to diversify its beauty and personal care portfolio and is also working
on expending its distribution network. In research consider that price
factor influences the buyer buying products.
5. KAMESWARA (2015): studied on consumer attitudes and perception
on personal care products and cosmetics, generally it is not on easy
task to process the factors influencing the consumer to accept certain
personal care and cosmetics while assessing is multi-dimensional.
Also, it is not always simple to establish the connection between the
physiological perception and reaction of the consumer response of in
case of personal care or cosmetic products, not only based on sensory
properties of the products and it is physical status, but it is also
associated with other factors like previous knowledge, preview
experience as well as consumer attitudes and beliefs. In the present

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globalised scenario, the consumers today are much more demanding in


terms of quality and safety, product labelling, determination of
produces to implement certain healthy standard quality products. This
use to studied the information of consumer perception and
consumption of personal care products.
6. SYED KAZIM AND D. G. KANTHARAJ (2015): In their study
entitled Impact of Advertisements towards Customer Purchase
Decision: A Study with reference to Cosmetic Products. In the last two
decades, advertising has increased dramatically change. Advertising
has a major impact on customers' purchasing decisions for specific
brands. It is generally accepted that advertising can give a product or
service special features that would otherwise be lacking. The study
focuses on identifying the impact of advertising on the behaviour and
attitudes of consumers, especially cosmetics, among young people
aged 15 to 24 years. To find answers to the research problem, a
descriptive search mode was used. The information was collected from
primary and secondary sources. The study was conducted in Bangalore
with a sample of 100 people, focusing on the random sampling method
for adolescents. The collected data were analysed by SPSS using
various statistical techniques. The study then showed that there is a
close relationship between cosmetics advertising and the buying
decision of the customers. The result of the study would help the
various stakeholders to exercise caution.
7. SAMAR FATIMA (2015): Her Study discloses the important
variables influence the buying behaviours of the people and also said
that those factors motive to change the behaviours of the consumers. It
includes advertisements and Perception of customers. The research
area for the study is Karachi boundaries and 200 respondents were
taken for the study, who uses cosmetics brands. It is concluded that the
cosmetic companies should be attractive and informative to gain
customers.
8. NISCHAY, K. UPAMANNYU, S. S BHAKAR (2014): In their study
entitled Examine the impact of customer satisfaction on branding and
loyalty intent, directly and indirectly, based on a hypothetical model
(MP) in India, in the recent Fair for a Cosmetic Fair at Gwalior. The
measurements were standardized to make them suitable for the study.
The number of factors was identified by the exploratory factor analysis
for all variables. The current structural equation modelling was used in

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this study on AMOS 16. The SEM results show that there is a close
relationship between customer satisfaction and brand image. The result
of SEM also shows that there is a close relationship between the brand
image and the intent to be loyal and that the relationship between
customer satisfaction and loyalty intent was considered weak. The
indirect relationship between customer satisfaction and loyalty through
branding proved to be very strong. The measure of the benefit of the
brand image is the functional, social, symbolic, experiential and
aesthetic improvement. A survey was conducted among 250
respondents. The results also showed that overall satisfaction affects
customer retention, which means marketers must focus on branding
benefits to strengthen customer loyalty.
9. KISAN SHIVAJIRAO DESAI (2014): In his study he found that the
factors influence on buying behaviour. Buying Behaviour is having a
positive correlation to Advertisements. The research was conducted by
taking a sample of 100 respondents. It is also suggested to make
advertisement quality and content to attract the customers.
10. AKWASI AMPOFO (2014): It is concluded in his study that
advertisement itself is not enough to gain customers. But as a cosmetic
industry they need to advertise to create awareness about the products.
And also, income plays a major role in purchase of cosmetics. And
also, it suggested the cosmetic Industries to give offers and Discounts.
The sample size for the study is 25.
11. G. SYAMALA (2013): “Study of the products of Lakme company ltd.
with reference to Pune city, Lakme is an Indian cosmetics brand from
Unilever”. It began as a wholly-owned subsidiary of Tata Oil Mills
(TOMCO), part of the Tata Group, named after the French opera, the
goddess of wealth. Lakme Indian Cosmetics was founded in 1952. The
then Prime Minister Jawaharlal Nehru personally asked JRD Tata to
make it in India. Simone Tata joined the company as a director and
then became president. In 1996, Tata sold its shares for 200 crores ($
45 million) to HUL. Lakme still occupies a special place in the heart
of Indian women. In this research report, customer satisfaction with
Lakme is highlighted. In addition, an attempt is made to find out who
the competitors are and which different Lakme products are used by
the customers.
12. JUNAID (2013): It is found that the Cosmetic Usage is depends on the
Income of the people. Youth are using more cosmetic items.

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Advertisements play a role in attracting the young people. And also, it


is founded that the comparing to women, men also interested to buy
cosmetic items now a days.
13. DR. SOMANATH CHAKRABARTI (2010):Paper in detail. To
highlight the Motivational and attitudinal aspects of affectively com-
mitted regular buyers by studying the correlations of affective
commitment. Superior customer value to customers may increase their
level of regular buyers and to plan a proper relationship marketing
campaign for them. Stores especially need to target people who place
high importance on the motivations of the need to look after unwell
people, nutrition and look after environment.
14. DR.S. SARAVANAN (2010): To analyse the factors influencing
women’s purchasing behaviour. Most of the respondents were satisfied
with all the factors like price, quality, availability, service, size and
design and no one is dis-satisfied with the above-mentioned defects.

Data Analytics and Interpretation


Table 1.Which Purpose Do You Usually Use Lakme Products
RESPONSE FREQUENCY PERCENTAGE
Lip colour 17 34%
Face 13 26%
Eyes 11 22%
Nail enamel 6 12%
Hair spa 3 6%
Source: Primary Data

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Interpretation
As shown in the table and chart the survey was conducted among 50
respondents in which 17 use for lipstick, 13 use for face, 11 use for eyes, 6
use for nail enamel and 3 use for hair spa purpose.
Table 2.What do you think is the Main
Reason for your use of Lakme Products
Response Frequency Percentage
Quality 26 52%
Availability 11 22%
Variety 7 14%
Price 4 8%
Promotion 2 4%
Source: Primary Data

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Interpretation
As shown in the table and chart the survey was conducted among 50
respondents says that 26 for quality, 11 for availability, 7 for variety, 4 for
price and 2 for promotion is the main reason to buy the lakme products.
Table 3.Which of the Following Products
of Lakme have you Been Using
Response Frequency Percentage
Kajal 15 30%
Mascara 14 28%
Compact 11 22%
Hair Spa 6 12%
Creams 4 8%
Source: Primary Data

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Interpretation
As shown in the table and chart the survey was conducted among 50
respondents 15 are using kajal, 14 are using for mascara, 11 are using for
compact, 6 are using for hair spa and 4 are using creams in lakme
products.
Table 4.Are You Satisfied With The Lakme Products
Response Frequency Percentage
very satisfied 21 42%
Satisfied 14 28%
Neither satisfied nor dissatisfied 10 20%
Dissatisfied 4 8%
Very dissatisfied 1 2%
Source: Primary Data

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Interpretation
As shown in the table and chart the survey was conducted among 50
respondents 21 are very satisfied, 14 are satisfied, 10 are neither satisfied
nor dissatisfied, 4 are dissatisfied and 1 is very dissatisfied with
lakmeproduct
Table 5.Which Online Website do you Prefer to Purchase Lakme Products
Response Frequency Percentage
Amazon 23 46%
Filpkart 11 22%
Myntra 11 22%
Ajio 5 10%
Source: Primary Data

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Interpretation
As shown in the above table and chart the survey was conducted to 50
respondents 23 respondents prefer amazon, 11 prefer flipkart, 11 prefer
myntra and 5 prefer ajio online website to purchase lakme products
Table 6.How Did you Come to Know about the Lakme Brand
Response Frequency Percentage
Through advertisement 19 38%
Word mouth influence 11 22%
Internet 11 22%
Newspaper 5 10%
Work place 4 8%
Source: Primary Data

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Interpretation
As shown in the above table and chart the survey was conducted to 50
respondents in which 19 respondents came to know through
advertisement, 11 respondents came to know through word mouth
influence, 11 respondents came to know through internet, 5 respondents
came to know through newspapers and 4 respondents came to through
work place.
Research Methodology
Methodology is an essential aspect of any research of investigation. It
enables the investigation to look at the problem in a systematic,
meaningful and in an orderly way. The present study is descriptive and
analytical one. This study is based on secondary data.
Primary Data
This data was collected mainly through the questionnaire which was
distributed.

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Secondary Data
Secondary data refers to the information or fact has been collected already
through newspaper, related journal and through Internet.
Research Design
The research design refers to preplanning of what a researcher does in his
study the design adopted in the study comes under descriptive and
analytical research. Such the data collected from the annual report of the
company is analyzed under various, statistical tools.
Sampling Size
50 samples have been undertaken for the purpose of study. The
respondents were selected by adopting convenience sampling technique.
Care was taken to given due representation to the entire population that is
from private employee, government employee, student, business and
homemaker. Again, care has been taken to include respondents of different
locations at Mangaluru District.
Limitations of the Study
1. The project is subject to following limitations of the study.
2. Sample size in 50 due to the constraints of time and resources.
3. The method which was adopted for collecting the data i.e., convenient
sampling method in this study has its own limitations.
4. The customer response may be biased and it has only limited
applications.
5. The study pertains only to the selected respondents of Mangaluru.
Therefore, the findings out of the study cannot be generalized at all
places.
Findings of the Study
1. 92% of the respondents use the Lakme products.
2. 34% of the respondents are using the Lakme products for lipstick,
26%for face, 22% for eyes, 12% for nail enamel and 6% for hair spa.
3. 30% of the respondents are using Lakme products for less than 5
years, 24% for 2years, 18% for more than 5 years, 14% for 1 year and
2 years.

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4. 72% of the respondents think that Lakme provides quality products.


5. 52% of the respondents are mainly usingLakme products for quality
purpose, 22% for availability and 14% for variety.
6. 30% of the respondents are using kajal, 28% are using mascara, 22%
are using compact, 12% are using hair spa and 8% are using creams.
7. 42% of the respondents are very satisfied, 28%are satisfied, 20% are
neither satisfied nor dissatisfied with the Lakme products.
8. 52% of the respondents agree littleto experiment Lakme products on
their skin, 24% neither agree nor disagree and 22% agree.
9. 52% of the respondents depend on the recommendation of a sales
person or beauty professional.
10. 42% of the respondents believe in the promised effects of Lakme
products to some extent.
11. 32% of the respondents like to see more shades, 28% like to see more
product range, 16% like to see all new changes.
12. 46% of the respondents prefer amazon, 22% for flipkart and Myrta and
10% for ajio to purchase the Lakme products.
13. 46% of the respondents purchase monthly, 38% yearly and 16%
weekly.
14. 34% of the respondents spend 500-1000, 22% spend below 500 and
1000-1500, 12% are not prefer to say.
15. 38% of the respondents came to know about the Lakme through
advertisement, 22%word mouth influence and internet, 10%
newspaper and 8% work place.
16. 66% of the respondents change their perception through quality
advertisement.
17. 38% of the respondents sometimes collect information before
purchasing Lakme products, 36% always collect, 22% rarely collect.
18. 34% of the respondents use Lakme products for being fashionable,
26% for young looks, 22% for better feeling, 14% for facial care and
4% for medical purpose.
19. 72% of respondents are recommend others to buy Lakme products.
20. 54% of the respondents are satisfied, 28% are neutral, 18% are very
satisfied.
21. Majority of the respondents think that Lakme provides with an option
of healthy long lasting and harmless products.
22. 52% of the respondents are bought Lakme product price rise by 10%
to 15%.

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23. Majority of the respondents did not face any problems while using
Lakme products.
Conclusion
This research study thus given insight into consumer behaviour and
consumer perception related to the usage of Lakme products in Mangaluru.
Naturally, a person grooming himself or herself perceives that their level
of confidence and happiness would increase. Now a day more of men also
interested to use cosmetic products. Lakme should launch new categories
of beauty products for men. Consumer buying behaviour is the important
factor to forecast the sales of any products in a particular area. So, the
company should keep a close eye on market situation.
Even though their prices are high, consumer are much satisfied while
buying the Lakme products due to their quality and effectiveness. Thus,
Lakme products are playing a vital role in satisfying the wants of the
consumers. The company can improve the design and look to attract more
customers.
References
1. Bernstein, Douglas A. (5 March 2010). Essentials of Psychology.
Cengage Learning. pp. 123-124. ISBN 978-0-495-90693-3. Retrieved
25 March 2011.)
2. Elizabeth A. Minton, Lynn R. Khale (2014). Belief Systems, Religion,
and Behavioural Economics. New York: Business Expert Press LLC.
ISBN 978-1- 60649-704-
3. E. Bruce Goldstein (2009) 'Sensation and Perception; 8th Edition,
University of Pittsburgh and University of Arizona ISBN-10:
0495601497 | ISBN-13: 9780495601494, pp. 5-7
2. Gregory, Richard. "Perception" in Gregory, Zangwill (1987) pp. 598-
601.
3. J. Scott Armstrong (1991). "Prediction of Consumer Behaviour by
Experts and Novices". Journal of Consumer Research (Journal of
Consumer Research Inc.) 18: 251-256. i:10.1086/209257.

ICSBMPSI-2021 48
06
Green Marketing-An Analysis
of Starbucks Company
Paladugula Krishna Jayanth1
1
BBA 3rd Year, International School of Business Research,
(Affiliated to Banglore University) Electronic City, Banglore.
E-mail Id: [email protected]

Abstract
GREEN MARKETING concept is acceptable in letter and spirit to all
stakeholders such as producers, consumers, governments and investors
etc. at large as it protects, conserve environment and brings sustainability
in providing healthy and eco-friendly goods & services, which helps in
planet safeguarding. Ethical consumerism is a broad term that selling a
good product at reasonable price, with pure ingredients,TRANSPARENCY
of information and promotion.The transparency in sustainable design,
consistent messaging intentional pricing, and social proof that enables
financial reward and environmentally fairness of the company. Green
marketing aims to improve their communication in terms of ethically
conscious products. Sometimes misleading consumers on their true
intention may happen by the companies which phenomenon is
GREENWASHING. The trust between business to consumer is damaged
which can further lead to boycott of the particular product. GREENPRICE
for the products may be a little higher than the convention alternatives due
to the change in process, technology inputs and modifications, but in the
long run the price will become reasonable. The social responsibility has
started that companies must behave in an environmental friendly
fashion.The present study explains the green marketing strategies,
methods and an analysis is made how the Starbucks Company has adopted
it for its growth and expansion to achieve the previously achieved goal.
Keywords: Green Marketing, sustainability, Transparency, Green
Washing, Green Price, Strategies.

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Introduction
Climate changes caused variation in the environment such as earth
warming, severe flooding, serious rains and no rains, earthquakes, tsunami
and many unfavourable changes in temperatures. This has lead to several
countries taking action to safeguard rich earthly environment. The safeless
technologies and production methods are increasingly harming the eco and
earthly environment in which the human beings and other living creatures
are facing serious side effects. Unhealthy sourcing and production
processes accompanied by the release of poisonous wastages. Ethical
consumerism brings awareness among the suppliers of goods and services
to follow in letter and spirit. It involves marketing of goods at fair price,
usage benefits, safety and social responsibility to the society at large. Thus
Green Marketing and ethical consumerism helps the producer and the
consumer interdependently and protect the world earth environment.
Green Marketing refers to the process of selling products or services based
on the environmental benefits. The consumers will view greenness in
production, packaging and marketing that leads to pro decisions of buying.
Green Marketing satisfies human needs and environmental conditions and
strengthens ecological balance. The term Green Marketing refers to the
planning, development and promotion of products or services that satisfy
the needs of consumers for the quality, output prices and services without
negative effect on the environment with regard to use of inputs.
Meaning
Green marketing is a broad term which covers producing of products or
rendering of services and selling, based on their environmental benefits.
The products or services have environmentally friendly production,
packaging and selling. It pulls customers willingness to purchase. Green
marketing is the marketing of products that are presumed to be
environmentally safe and which cover all activities such as product
suitability, its shapes and modifications, production process, usage of
packaging material to fulfil environmental safety conditions.
Ethical consumerism refers to purchase of more goods and services which
are ethically sourced. Ethically produced, ethically distributed to satisfy
the consumers. Ethical consumerism is a broad term which involves of
telling a good product at good price but also covers so many other factors

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such as naturally pure ingredients, ethical procuring, production and


distribution, transparency of information to consumer, protecting human
rights and health, promoting environment, ethical marketing and
advertising, renewable and recycling packaging and social responsibility
practice.
Objectives of the Study
 To study the green marketing ways and methods those are applicable
to the companies.
 To analyze the advantages of green marketing.
 To explain how the Starbucks organization has applied green
marketing to regain original position.
Methodology
The study covers that green marketing concepts and application steps and
in what way these have been followed by the Starbucks coffee product
outlets company.
Source of Data and Sample
The present study is based on secondary data and analysis is made on
Starbucks Company to explain how far it has applied green marketing
strategies.
Green Marketing Advantages
 Because of green marketing products are differentiated buy customers
and easily capture brand name and could attract the high demand there
on fetching more cash flows to the organizations and company could
be highly identified with green products.
 Green products and marketing enables the company to identify itself
and gain competitive advantage among competitors.
 The green marketing adoption by a company could create a new
market horizons and new product lines to the existing one.
 Practice of green marketing has increased awareness among producers,
government, non -government organizations and consumers at large
and the companies will be benefited in the long run.

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Stakeholders Acceptance
The Green Marketing has acquired wide acceptance by all stakeholders.
There should be a need to lay down the standard with regarding to green
source, production, marketing and advertising for an objectivity judgment
by international agencies. It will encourage the activities and much-needed
levels of playing fields.
Factors that Promote Green Marketing
The practice of green marketing by organizations will add to the costs in
sourcing, modifications to the production process and fair advertising etc.
Generally the following factors will affect the green marketing.
Income Level: The increase in income levels of consumers probably helps
to consume these goods as the income increases the demand for green
products also increases.
Younger Age People: Generally younger people aware of latest trends in
technology, environment factors, production process, social interaction
and shows more interest in general well being of the society, ultimately
motivated to purchase green products or services.
Social Norms: People are more likely to consume ethically when they live
in an area which is relatively common and influence the green products
consumption.
Exploitation: The green consumers will be exploited by the organizations,
deliberately mislead the public by false matter and using appropriate
words such as natural, real, environmental friendly have become
thoroughly polluted to increase product sales.
Green Market Trends
The organizations have realized that:-
 Organizations believe there is moral obligation for social
responsibility to the environment to give back something to the
society.
 The consumers are referring green products that do not harm health,
environment and quality perspective.

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 Organizations perceiving environmental marketing as an opportunity


to achieve greater goals and wide objectives in the longer period.
 Firms are developing competitive advantage and efforts are made for
the simultaneous meeting of competitive spirit and business objectives.
Sustainable Business Practices
Sustainable Design: Green Market required sustainability of product full
cycle with the following landmarks.
 From where the material procured.
 Particulars of workers involved in process of manufacturing.
 Payment system to the manpower.
 Product packaging methods.
 End step of product life span.
Transparency: There should be transparency by leveraging sustainable
design, consistent messaging, international pricing and social proof that
will enable financial rewards and commitment to environmental green
marketing.
Shift to Green
 The Green Marketing is a holistic marketing concept where in the
production, marketing consumption and disposal of products and
services will result a low detrimental to the environment. As the
awareness about Global Warming, Non Biodegradable solid waste,
harmful impact pollutants has been increasing; both consumers and
marketers are becoming sensitive and shifting to “Green”.
 Today consumers are becoming more and more conscious about the
environment. The environmental values integrated in the purchasing
decisions and moreover customers want to support companies to
incorporate sustainability.
Green Marketing Mix 4p’s
The practice of four P’s such as green product, green price, green place
and green promotion could lead to company’s new innovations and Eco-
friendly products.

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Green Products: Management covers product designers, with market


drive and customer requests for green product attributes such as energy
saving, organic, green chemicals, local Sourcing etc. Green products can
be efficiently made to save water, energy, money and to reduce harmful
effects on environment.
Green Prices: For such products may be a little higher than conventional
alternatives. Target consumers are very positive and willing to pay extra
for green products.
Green Place: An area to manage Logistics to reduce transportation and
emissions aiming to control carbon footprint. This gives an initiative to
develop production unit near to customers.
Green Promotions: It can attract customers on the basis of performance,
money savings, health and convenience or just plain environmental
friendliness. Posting of profiles related to Green Marketing on social
networks create awareness across the online Peer groups. The Reliance
Fresh while selling fresh vegetables and fruits transmits and initiate
communication of Green Marketing.
Cost Reduction: Companies develop symbiotic relationship in which the
waste generated by a company could be used by another company as a cost
effective raw material.
Example: fly ash of thermal power company used to manufacture fly ash
bricks.
Principles for Greenness
 Adapt to new technology consistently.
 Adopt new process.
 Modify existing process if required.
 Select process to reduce environmental impact.
 Implement control system to follow Green Marketing norms.
Green Washing
Many firms deceive clients and customers intentionally as well as at times
unintentionally by not giving correct information about the environmental
advantages of their products, leading to a wasted purchase. It conveys that

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establishments falsely tried to gain more profits while depriving


consumers. Green washing includes such as hidden production cycle, no
proof claims, vague statements, irrelevant ingredients and wrongful use of
Eco labels. However by diminishing Green washing companies can
increase the green trust among the consumers.
Green Marketing Straregies-Starbucks Company
Company Profile
Starbucks Company, a coffeehouse industry, opened first on Seattle,
became leader by expanding seventeen thousand coffee houses in the
world out of which ten thousand exist in United States. It was established
in1971 by Zev Siegl, Gordon Bowker, and Jerry Baldwin, as a specialized
quality coffee from Arabica Beans.
The Starbucks Company over a period of time developed, expanded its
own line of merchandises along the coffee products such as coffeeMugs
and Tumblers entertainment division, beverage premade coffee drinks, and
ice cream, by which the company has ventured into other activities.
Expansion
During 1990 the Starbucks opened more branches along with the brand
popularity also increased. And it was acquired by Howard Schultz, listed
publicly in 1992.In its expansion policy it has acquired Seattle Coffe
Company, sixty outlets, Diedrich coffee (2006), formed partnership with
Barners & Noble where on it was able to open coffee shops in USA. It has
introduced quality management, Fresh coffee beans, human resources,
training, coordination, excellent procurement for high quality product with
a high perceived value. The retailer outlets opened based on traffic flow
and destiny demographic characteristics. All these strategic management
steps gave a dividend of 20% upto 2006.
Increasing Pressure from Competitiors
Later on due to increasing competition, the brand equity in the market was
declined and supply chain system began to show gaps. The continuous
unfocussed marketing strategies, derailed marketing processing
information has strengthened other competitors share. The different

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marketing activities became disconnected to Starbucks expertise, as a


result decreased the brand image of luxury exclusively.
Diminished Public Perception
The negative feedback surveys from customers, further entry of
competitors, the changing market strategies, lack of consideration did not
support supply chain management .The small town word of mouth
approach has not satisfied global market approach. The rivals heavily
invested in marketing approach.
Starbucks luxury market approach was later rivaled by middle class
market further short-term marketing activities did not expect any
continuance and did not help brand development. The over expansion of
products and retail outlets became a problem of coordination and as
cumulative negative result, it closed 600 outlets in America. The
company’s own policies contrasted themselves and closed non performing
outlets during 2009.
Starbucks’ Green Marketing Strategies
For the revival to reach previous positions the Starbucks company has
announced its corporate social responsibility, Policy, formally launched
website for online community interactions and feedback, encouraged
patronage discounts, embraced social media as marketing strategy.Further
actively undertaken green marketing, environmentally friendly strategies
during recessionary period. The
Starbucks Company has undertaken and implemented green marketing
policies such as mentioned under.
 The company has started green marketing strategies from 2004
onwards by the use of recyclable cups, napkins, paper bags in coffee
retail outlets.
 The corporate social responsibility policy has increased consumer
consciousness, in 2008. The interactive website, environmental
savings and sustainable efforts has increased the interest among
consumers, with chief executive focus on “GIVING MORE THAN
WE TAKE FROM PLANET”.
 The company focused on sourcing of coffee beans from sustainable
ethical farm growers.

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 The Starbucks preliminary targets up to 2030 include reducing carbon


emits by 50%, eliminating waste, using fresh water , committed to
transparent short and long term goals. Cooperatively work with star
bucks partners customers and stakeholders for achieving sustainability
targets as a part of 50th anniversary in 20201.
 Applying plant based food and beverages to reusable, looking for
future opportunities.
 Partnered with other companies for food share program, Next Gen,
cup challenge, renewable energy.
 Starbucks is ethically sourced and making entire coffee sector the
world’s first sustainable agriculture product.
 The partners mobilizing for online “Green Apron” course on
sustainability and environmental stewardship.
 Sustainability is the flagship, today level of consumption and
production is more than planet can take.
Conclusion
Starbucks’0 over expansion, disconnecting between product lines and
inconsistent management strategies, the company lost its growth and sold
600 non performing outlets. To gain the original position the star bucks
has implemented green marketing, ethical consumerism and social
responsibility to surpass the competitors and to recapture the consumer
community.
References
1. Effectiveness of Green Marketing for Starbucks.pdf.
2. What is Green Marketing? Importance, Advantages, Disadvantages
(commercemates.com).
3. Green Marketing Strategy and the Four P's of Marketing
(saylordotorg.github.io).
4. http://kau.diva-portal.org/smash/record.jsf?pid=diva2%3A731607&d
swid=OATDFullTextWindow.
5. Green Marketing: A Theoretical Perspective: Journal of Marketing
Management: Vol 14, No 6 (tandfonline.com).
6. Young Consumer's Green Purchasing Behavior: Opportunities for
Green Marketing: Journal of Global Marketing: Vol 31, No 4
(tandfonline.com).

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7. Journal Vol-3-29-1-20111-final (nitttrbpl.ac.in).


8. chosing_the_right_green_marketing.pdf (d1wqtxts1xzle7.cloud
front.net).
9. CSR and Ethical Consumerism-Business Guide by Dr Prem.
10. Green and Ethical Consumerism, and Their Impact on Companies
Corporat Essay-2 (studentshare.org).
11. Green Marketing And Ethical Consumerism Marketing Essay
(ukessays.com).
12. Green Marketing: Advantages and Disadvantages (ukdiss.com).
13. (PDF) Impact Of Green Marketing-An Indian Prospective | Journal
ijmr.net.in(UGC Approved)-Academia.edu.
14. Green Marketing: Introduction, Meaning, Importance, Model and
Benefits (businessmanagementideas.com).
15. What Does Ethical Consumerism Mean for Business? | Leading in
Context.
16. Green-Marketing-An-Emerging-Approach-to-Sustainable-Develop
ment.pdf (researchgate.net).
17. Ethical Consumerism Isn.pdf (elearningontario.ca).
18. Green Marketing: Introduction, Meaning, Importance, Model and
Benefits (businessmanagementideas.com).
19. Emerging Trends of Green Marketing in India (slideshare.net).
20. What is Green Marketing? Importance, Advantages, Disadvantages
(commercemates.com).

ICSBMPSI-2021 58
07
Concerns of Supply Chain Management and
Threats in the Resilient Markets
Dr. Abhishek Sharma1
1
Assistant Professor, Bareilly College, Bareilly (U.P.)
E-mail Id: [email protected]

Abstract
Because of the expanded rivalry and multiplication of different items, the
market request has gotten unpredictable and overseeing vulnerability has
become significant piece of inventory network. Many assembling
organizations in India are confronting intense rivalry and trouble in
coordinating with the market costs of items made in different nations.
Ware related items contend basically on cost though short life cycle items
contend on highlights, assortment and execution. For some, ware based
items, Indian organizations don't have the economies of scale. To oversee
Highly esteemed items the organizations need to come out with different
imaginative arrangements like systems administration with providers who
are situated in various topographical areas.
Keywords: Uncertainty, Short life cycle Products, Highly Valued
Products, Performance.
Preamble
“Supply Chain management is a set of approaches utilized to efficiently
integrate suppliers, manufacturers, warehouses and stores, so that
merchandise is produced and distributed at the right quantities, to the
right locations, and at the right time, in order to minimize system wide
costs while satisfying customer service level requirements”
David Simchi- Levi, Phillip Kaminsky, Edith Simchi-Levi
Inventory network has arisen as one of the most remarkable business
devices in the new occasions. Providers, producers, wholesalers, retailers
and a large group of administration associations have found that they need
to either change their activities or be beaten by rivalry from more forceful
organizations. Organizations are moving towards a complete arrangement

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of supply connected straightforwardly to current interest in the picked


markets, so the reserve funds produced using improved efficiencies are
shared across the organization.
Inventory network has become a fundamental piece of business these days.
It contains the utilization of all out framework way to deal with dealing
with the whole progression of data, materials and administrations from
crude material providers through creation and dispersion focuses to the
end clients. It incorporates the entirety of the cycles that enhance material
and carry the eventual outcome to a client.
A store network is dynamic which includes the consistent progression of
data, item and assets between various stages. Each stage performs various
cycles and connects with different phases of the inventory network. The
basic role of store network's presence is to fulfill client needs. The
exercises start with a client request and finishes with fulfilled client paying
for their buy. A common store network includes the accompanying stages:
 Customers
 Retailers
 Wholesalers/Distributors
 Manufacturers
Component: Raw Material Suppliers
In an assembling firm, crude materials go through at least one cycles,
which changes them into different degrees of work in cycle stock. Last
handling of this stock yields completed merchandise stock, which might be
held at the firm, the dispersion place, stockroom claimed by the maker or
distributer and at retail stores. Ordinarily the producers may burn through
60 to 70 percent of absolute income on bought materials and
administrations .A common specialist co-op may burn through 30 to 40
percent of all out income on bought materials and administration.
Nowadays organizations are depending like never before on providers
around the globe.
Since materials include quite a huge part of deals income, organizations
can procure huge benefits with a little rate decrease in the expense of
materials because of which store network the executives has become a
serious term. According to World Bank review India has slipped Logistics

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Performance record because of our more vulnerable fixation on


coordination. Coordination cost in India is 13-14 percent of GDP when
contrasted with 7-8 percent in the created nations. The coordination market
in India eased back in the second 50% of 2012 and will stay limited the
following not many months on account of the monetary vulnerability,
property consultancy CBRE South Asia Pvt. Ltd.
According to CMD of CBRE, South Asia Pvt Ltd, said, “The prevailing
economic uncertainty in the global and Indian economy continues to affect
all sectors, including the logistics market in India. On the other hand, the
Government of India continues to give impetus to this important sector by
implementing various reforms. This coupled with an expected revival in
the economy will help the sector in the long run.”
As indicated by the report, private players are progressively seeing
creating warehousing spaces the nation over. Districts, for example,
Gurgaon, Chennai, Hyderabad, Pune and Kolkata are seeing dispatch of
huge scope supply in the warehousing and coordinations space, which is
required to give various development alternatives to occupiers in the
coming a few years.
Objectives of Supply Chain Management
 To augment the general worth created
 To accomplish greatest production network productivity
 To lessen the production network expenses to the base conceivable
level.
 For any firm to be effective, its store network procedure and serious
system should have an essential fit i.e, both store network and serious
methodologies ought to have a similar objective. Key fit requires
consistency between the client's needs and the abilities the store
network expects to construct. In other word , vital fit necessitates that
a firm requirements to accomplish the harmony among responsiveness
and productivity in its inventory network which best addresses the
issues of the organization's serious system. To analyze about the
association's inventory network execution as far as proficiency and
responsiveness ,the significant variables are to be inspected viz:
 Production
 Inventory

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 Transportation
 Facility area
 Information
 Sourcing and
 Pricing
 Production: The Performance of the supply chain depends upon what
is produced, how it is produced and when it has to be produced.
 Inventory: All the raw materials, work in progress and finished goods
comprises inventory. Any change in inventory policies can greatly
affect the efficiency and responsiveness of the supply chain.
 Transportation: Inventory has to be moved through various
combinations of transportation modes. The responsiveness and
efficiency of the supply chain is significantly affected by the choice of
transportation routes and modes.
 Facility location: Decisions regarding the location of the facilities,
their capacity have a major impact on the performance of the supply
chain.
 Information: Information consists of analysis of data regarding
inventory, facilities, transportation and customers throughout the
supply chain. It helps the supply more efficient and responsive.
 Sourcing: Source is a specific location or enterprise where goods are
obtained. It is the activity of buying or procuring the right materials in
right quantities of right quality, in right condition, in the right time, at
the right price from the right supplier. An effective procurement
strategy involves reduction in no of suppliers due to which buyers can
negotiate effectively with limited suppliers.
 Pricing: Pricing affects the customer segment which is price sensitive.
Sellers adapt short term discounts to eliminate supply surpluses.
Customers with varying needs can be attracted with the help of
differential pricing strategy which helps to either increase revenues or
decrease costs.
Challenges for Achieving Strategic Fit
Increasing Product Variety
Makers have depended on mass customization to satisfy the client's need
for altered items. The intricacy of store network increments with the
expansion in item assortment. Expanded assortment prompts expanded

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vulnerability which thusly results into greater expenses and lower


responsiveness.
Decreasing Product Life Cycles
Because of the most recent advancement in item plan and handling
innovation, the item life pattern of items is contracting quickly.
Accomplishing vital fit turns out to be more troublesome as the whole
inventory network is consistently constrained to fabricate and convey new
items. Expanded vulnerability and diminished open door has squeezed
supply chains to organize and make a decent match among market interest.
High Demanding Customers
Customers have become demanding in terms of cost and product
performance due to which it has become difficult for the companies to go
with increase in the product’s prices. Today’s customer’s demand better
quality and performance for the price which they have paid at the time of
purchase.
Fragmentation of Supply Chain Ownership
Organizations have reevaluated numerous non center capacities to
different parts to build up their own center abilities. Because of the above
explanation the production network has received another possession
structure for itself which brought about trouble in dealing with the store
network.
Globalisation
Because of WTO exchange progressions the roads have expanded in
worldwide business sectors. Firms which has worldwide inventory chains
has profited generally. The issues in worldwide store network are the
expanded distance and trouble in coordination. The homegrown firms need
to rival worldwide organizations to get their piece of the pie in the
worldwide market.
Lack of Risk Management Strategies
Organizations need techniques at whatever point there is vulnerability
popular. As referenced above, exceptional request reductions can occur in
each industry; patterns and requests change every day. At the point when

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confronted with these hindrances it is smarter to have a proactive


arrangement set up, than a receptive, automatic that can cause more harm
than the difficult itself.
Drastic Reduction in Orders
A quick, intense slice in requests because of a restlessly foreseen change
sought after makes an expanding influence that resounds all through your
inventory network. What's more, when this rush of reductions starts, it
can't be halted. The harshest outcomes are frequently at the finishes of
your inventory network, those organizations that give the pieces constantly
that make up the end result. In some extraordinary cases, these arranged
reductions can mean cutbacks and plant terminations for more modest
providers and makers.
Long Lead Times Causing Delayed Delivery
Past long lead times, inconvenience adrift can twofold your normal
conveyance date with lost payload or because of privateers. Customers
may favor locally as opposed to hanging tight for shipment. Look into the
advantages of lower producing costs to long or significantly longer lead
times.
Overemphasis on Cost Cutting
Cost cutting is at the highest point of each chief's psyche today. Lean
assembling is the most recent pattern to hit the assembling business and
each association is investigating it. Nonetheless, overemphasized cost
cutting can effect sly affect your production network. Eliminating the
additional leeway in your inventory network may likewise eliminate the
adaptability of association's responsiveness to slight changes in requests,
requests and items. All the previously mentioned difficulties are making
the organizations troublesome in accomplishing a harmony among
responsiveness and proficiency in their store network.
Conclusion
The estimating of future interest is basic to a store network chief's dynamic
and arranging measure. In the event that inventory network the board starts
with a figure that is considerably in mistake, as far as timing or amount the
impacts will be felt all through the cycle like producer should change and

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run at less limit or stay at work longer than required to satisfy client needs,
imperfect strategic costs, item will be at wrong spot at some unacceptable
time affecting client care. Having a strong danger the executives
methodology can assist you with alleviating regular disappointments. An
all around arranged and executed methodology can assist you with limiting
and control the effect startling occasions can have on your inventory
network, while boosting the open doors they can introduce.
Inventory network the executives is sharp in putting resources into RFID
these days as it can give them preferences in perceivability of their items
through the inventory network. The advantages are viewed as enhancing
different strategies for perceivability, for example, Electronic Data
Interchange and bar coding. Different advantages of RFID can be seen
outside of ordinary inventory network, for example, a decrease in burglary
from the stores, transport or capacity, and an impediment to increment in
item falsifying. Both of these issues are costing organizations billions of
dollars every year. Drug organizations are progressively stressed over
forging and RFID labels on every item may assist with this issue.
Inventory network the board has become a critical factor in the
achievement or disappointment of any firm.
References
1. D.K .Agarwal, Logistics and Supply Chain Management, MacMillan
Publishers Ltd, 2003.
2. K.Shridhara Bhatt, Logistics and Supply Chain Management,
Himalaya Publishing House, 1st Edition.
3. Sunil Chopra, Peter Meindl, D.V. Kalra, Supply Chain management,
Pearson Education Inc.3rd Edition.
4. Rakesh singh, when scm works and when it doesn’t, Indian
Management, December 2002, pp40-42.
5. http://www.ciilogistics.com/newsroom.htm.
6. https://newsletter.ciilogistics.com/march2013/1w/nlfull.htm#article.
7. http://www.softwarethinktank.com/articles/%EF%BB%BF-top-5-
reasons-supply-chains-fail.
8. http://www.supplymanagement.com/news/2013/the-five-major-issues-
facing-supply-chain-leaders.

65 Sustainable Marketing
08
A Study on the Changing Customer Perceptions
towards Health Insurance amidst COVID-19
Sharon Elizabeth Jacob1, Dr. Kanchana Naidu2
1
Student, III B.Com (Commerce), Women’s Christian College, Chennai
(Affiliated to University of Madras)
2
Associate Professor, Department of Commerce, Women’s Christian College,
Chennai (Affiliated to University of Madras)
E-mail Id: [email protected], [email protected]

Abstract
The health insurance sector in India saw slow growth in the country as a
vast majority of the population either remains unaware of health
insurance or looks at it as an investment with no return. Even of those
insured, a large portion remains inadequately insured, failing the very
purpose of health insurance. But the COVID-19 pandemic caused a
tremendous growth in the health sector from early 2020. This paper
primarily aims to determine whether the recent growth is just a temporary
response to the pandemic, or whether the pandemic had indeed caused a
permanent change in the mindset of the public towards health insurance.
In addition to it, the perceived benefits and satisfaction derived from
health insurance policy by policy-holders are also studied.
Keywords: Health Insurance, Policy Holders, COVID-19, Pandemic,
Customer Perception.
Introduction
Health insurance is a type of insurance which provides the insured
coverage for medical, surgical, and sometimes dental expenses and the
cost of prescription and over-the-counter drugs incurred by them, in return
for a periodic payment of a sum called premium. Doing so, the risk is
spread over all the insured. Most comprehensive insurance programs today
cover the expenses associated with routine, preventive, and emergency
medical procedures. Health insurance providers (can be government or
standalone private insurance providers) can either reimburse the insured
for the expenses incurred by them, or can also directly pay the health care

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providers enabling cashless transactions. The two main types of health


insurance offered in India are Indemnity Plan and Fixed Benefit Plan.
Indemnity plan and its sub-categories like individual insurance plan,
family insurance plan, and group insurance plan cover the medical
expenses of the insured for any of the medical treatment they might
require, but Fixed Benefit Plan pays the insured a fixed amount for pre-
determined diseases like Cancer, ESRD, etc.
Health insurance is extremely important for a variety of reasons including,
but not limited to, protection of savings during medical emergencies,
prevention of lifestyle diseases by providing for regular checkups,
assurance of quality treatment from a network of good linked hospitals,
enabling cashless transactions during hospitalization, receiving tax
benefits as deductions, etc.
Customer Perception towards Health Insurance
Customers of health insurance are highly satisfied with their decision to
buy insurance due to its numerous benefits. Once bought, only a few ever
consider discontinuing. The difficulty lies in bringing the public to take up
health insurance and not making them continue on the policy, as people
who were ever hospitalized or required extensive medical treatment vouch
for health insurance as indispensable. In today’s world when technology
has drastically improved our lives, the health insurance sector also saw the
benefits of incorporating technology to increase its reach among the
public, and also in simplifying their procedures, making them more
efficient and effective, for the current and prospective customers.
Objectives
The following are the objectives of the study:
 To determine whether there has been a permanent shift in the
mindset of the public towards health insurance caused by the
pandemic
 To measure the levels of awareness of the insured public towards
health insurance and its features
 To identify the pattern of health insurance practices and habits of
the insured public

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 To analyze the perceptions of the insured public towards their


health insurance policies and insurance providers, especially in
regard to benefits and satisfaction derived
Review of Literature
Research articles, publications in journals, statistical publications and
newspaper articles found in the area of health insurance comprises the
literature reviewed. The research papers provided an insight into the levels
of awareness the general public had about health insurance, their primary
sources of awareness and their main driving forces towards and against
health insurance. Suman Goel studied the consumer behavior towards
health insurance in the northern district of Haryana while Thomas
Varghese studied the determinants of health insurance purchase decisions
in the southern state of Kerala. Garage, Tare and Das studied the consumer
perceptions of health insurance and Khan, Bharathi and Londhe analyzed
and ranked the buying factors of health insurance from the point of view of
sales professionals.
Research Methodology
Population
The population of this study is individuals from all over India who have
health insurance.
Sample
The sample size of the pilot study is 30 respondents.
Sampling Technique
The sampling technique used is simple random sampling under probability
sampling.
Data Collection Method
The data of this study has been collected from both primary and secondary
data sources.

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Primary Data
Primary data was collected via structured questionnaires in the form of
Google Forms from respondents all over India.
Secondary Data
Secondary data was collected from research articles, journals, newspapers
and statistical publications.
Data Analysis & Interpretation
Table 2 shows the health insurance status of the respondents. Majority of
the respondents (96.67%) had an existing health insurance policy .70% of
the respondents had a private insurance provider while the rest of the
respondents’ insurance provider was the government. Highest number of
respondents (12) paid an annual premium of more than Rs.30,000. 46.67%
of the respondents knew that COVID-19 was covered under their
insurance plan.
Table 3 depicts the reasons the respondents had for taking up health
insurance. It shows that the primary reason people take up health insurance
is for risk cover, followed by better medical treatment and rising medical
costs.
Table 4 shows that the majority of the respondents strongly agree that
health insurance reduces out of pocket expenditure and also leaves the
savings intact in case of health emergencies.
Table 5 shows the satisfaction derived by the respondents from their
health insurance policies, in respect to various aspects of the policy.
Highest satisfaction is derived from the availability of good linked
hospitals followed by the reputation of the insurance provider, their
customer service, coverage provided by the plan and the claim settlement
speed and procedure.
Table 6 shows a comparison of the respondents’ attitude towards health
insurance and its advisability before the pandemic and now during the
pandemic. Before the pandemic only 10 of the respondents would have
highly recommended health insurance to others, while after the onset of
the pandemic 22 respondents highly recommended health insurance.

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Table 1.Demographics
Particulars Variables Frequency Percentage
Gender Male 14 46.67%
Female 16 53.33%
Transgender 0 -
Age Below 30 years 11 36.67%
30-45 years 3 10%
45-60 years 16 53.33%
Above 60 years 0 -
Marital status Married 19 63.33%
Unmarried 11 36.67%
Separated 0 -
Widowed 0 -
Education Graduate 14 46.67%
Post-Graduate 6 20%
Professional 4 13.33%
Others 6 20%
Occupation Student 11 36.67%
Unemployed 0 -
Salaried 17 56.67%
Self Employed / Business 2 6.67%
Monthly income Below Rs.15,000 2 6.67%
Rs.15,000-Rs. 30,000 1 3.33%
Rs.30,000-Rs. 50,000 3 10%

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Above Rs. 50,000 17 56.67%


Nil 7 23.33%
Annual savings as Less than 10% 9 30%
percentage of income 11%-20% 7 23.33%
21%-30% 4 13.33%
31%-40% 1 3.33%
More than 40% 9 30%
Place of residence Rural 2 6.67%
Semi-urban 10 33.33%
Urban 18 60%
Number of dependent 3 or less 23 76.66%
members in the family 4-6 6 20%
more than 6 1 3.33%

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Table 2.Health Insurance Status of Respondents


Particulars Variables Frequency Percentage
Is it a newly purchased policy or an existing Existing policy 29 96.67%
one (been more than 1 year since purchase)? Newly purchased policy 1 3.33%
Who is your health insurance provider? Private insurance provider 21 70%
Government 9 30%
What is the kind of coverage you have? Individual 6 20%
Family 14 46.67%
Employer provided 10 33.33%
What is the annual premium paid for the Below 10,000 5 16.67%
health insurance? 10,000-20,000 7 53.33%
20,000-30,000 6 20%
Above 30,000 12 40%
Was COVID-19 covered under your health Yes 14 46.67%
insurance plan? No 9 30%
No idea 7 23.33%
If not, did you upgrade your insurance policy? Yes 3 33.33%
(Answer only if COVID-19 was not covered No 6 66.67%
under your existing plan)
How many uninsured members are there in Up to 2 members 4 13.33%
your family? 3-5 members 2 6.67%
6 and more members 0 -
All members are insured 24 80%
Do you think the sum assured of your Yes 26 86.67%
insurance policy is adequate? No 4 13.33%

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Table 3.Purpose of Health Insurance


Reason Strongly Agree Agree Neutral Disagree Strongly Disagree Total
Risk cover 18 11 1 0 0 30
Better medical treatment 10 16 4 0 0 30
Rising medical cost 8 18 4 0 0 30
Possibility of pandemics 5 13 10 1 1 30
Tax benefits 6 14 9 1 0 30
COVID-19 6 13 8 2 1 30

Table 4.Benefits of Health Insurance


Benefits Strongly Agree Neutral Disagree Strongly Total
Agree Disagree
Reduces out of pocket expenditure 14 13 1 1 1 30
Savings not affected in the case of an 14 12 3 0 1 30
emergency
Ensures peace of mind 10 15 5 0 0 30
Protection for family 11 15 3 1 0 30
Good linked hospitals 9 18 3 0 0 30
Better health practices (eg. regular 9 17 4 0 0 30
health checkups)

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Table 5.Satisfaction Levels of the Respondents


Aspects Highly Satisfied Neutral Dissatisfied Highly Total
Satisfied Dissatisfied
Customer service 5 22 3 0 0 30
Claims settlement speed and procedure 7 17 6 0 0 30
Linked hospitals 10 17 3 0 0 30
Grievance redressal system 3 20 6 1 0 30
Coverage provided 7 18 5 0 0 30
Premium charged 6 20 4 0 0 30
Reputation of the insurance provider 9 17 3 1 0 30
Overall Satisfaction 8 19 3 0 0 30

Table 6.Respondents’ Attitude towards Health Insurance


Particulars Variable Frequency Percentage
Would you have recommended health Highly recommend 10 33.33%
insurance to others before the onset of Recommend 13 43.33%
pandemic? Neutral 6 20%
Not recommend 1 3.33%
Not at all recommend 0 -
Would you currently recommend health Highly recommend 22 73.33%
insurance to others? Recommend 4 13.33%
Neutral 3 10%
Not recommend 1 3.33%
Not at all recommend 0 -

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Conclusion
People today are aware of health insurance and its various features and
benefits. Majority of the policy holders look at health insurance as
necessary as they reap multiple benefits (like risk coverage, linked
hospitals, etc.) and are highly satisfied with their insurance provider and
their insurance policy. The pandemic has aided in improving the value and
perceived necessity of health insurance as after the onset of the pandemic
the proportion of the respondents who earlier either recommended or were
neutral towards health insurance decreased and the proportion who highly
recommends health insurance increased significantly. This depicts that the
growth in the health insurance sector after the onset of the pandemic is not
just a temporary response to the COVID-19 pandemic, but a shift in the
perspective of the policy holders as to how important and necessary health
insurance is in today’s world.
References
1. Anjali Jacob, A study on customer perception towards health
insurance inRanny Taluk, International Journal of Advance
Research and Development, Volume 3, Issue 12, 2018.
2. Arunesh Garg, Satisfaction and Problems of Health Insurance
Policyholders in India, International Journal of Banking, Risk and
Insurance Volume 1 Issue 2 September 2013.
3. Garage D, Tare S, Das S. A study on consumer's understanding of
health insurance benefits. J Dent Res Rev 2020;7, Suppl S2:62-4.
4. Jyoti Prakash Rath, Dr. Maheshwar Sahu. (2017). “A Study on
Growth And Development of Health Insurance In India In The Post
Privatization Era.” International Journal of Research-
Granthaalayah, 5(3), 287-292.
5. Khan, Muazzam & Bharathi, S. Vijayakumar & Londhe,
Bhausaheb. (2015). Ranking the Critical Buying Factors of Private
Health Insurance Using Analytic Hierarchy Process. Indian Journal
of Science and Technology. 8. 35-42. 10.17485/ijst/2015/
v8iS6/62090.
6. Muthu, M. Vinoth., A study on health insurance schemes of select
health insurance companies in india, 2019.
7. Prof. Nirav R. Joshi, Prof. Suraj M. Shah, An Empirical Study On
Consumer’s Perception Towards Health Insurance In Ahmedabad

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City, international Conference on Science, Technology and


Management, September 2015.
8. Reshmi, B, Sreekumaran Nair, N, Sabu, KM & Unnikrishnan, B
2007, 'Awareness of health insurance in a South Indian population-
A community-based study', Health and Population: Perspectives and
Issues, vol. 30, no. 3, pp. 177-188.
9. Shekhar, Ravi. (2020). "Adjusting To The New Normal" Impact Of
COVID-19 In Insurance Industry. 10.13140/RG.2.2.20492.33922.
10. Shet N, Qadiri GJ, Saldanha S, Kanalli G, Sharma P. Awareness
and attitude regarding health insurance among insured and
uninsured: a cross sectional study. Int J Community Med Public
Health 2019;6: 40716.
11. Singh, Binod. (2010). An Empirical study on perception of
consumers in the insurance sector. Indian Journal of Economics and
Business (IJEB). 9. 61-73.
12. Sonal Kala, Dr. Premila Jain, Awareness of Health Insurance
among people with special reference to Rajasthan (India),
International Journal of Business quantitative economics and
applied management research, Volume 1, Issue 12, May 2015.
13. Suman Goel, Health Insurance: An Empirical Study of Consumer
Behaviour in Rohtak District of Haryana, International Journal of
Research in Management, Science & Technology Vol. 2, No. 2,
August 2014.
14. Varghese, T., Determinants of Consumer Purchase Decisions of
Health Insurance in Kerala (Thesis Doctoral). Cochin University of
Science and Technology, India, 2013.
15. Vijay, Arun & Venkatachalam, Krishnaveni. (2018). A Study on
Policyholders’ Satisfaction of Health Insurance with Special
Reference to Ernakulam District, Kerala. International Journal of
Engineering and Technology (UAE). 7. 160-163. 10.14419/ijet.
v7i3.6.14961.
16. Vijeta Chaudhary. Health Insurance: A Study on Customer’s
Satisfaction and Awareness. Res. J. Humanities and Social
Sciences. 2019; 10(2):371-375 doi: 10.5958/2321-5828.2019.000
63.9.

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09
Post COVID-19 Brand Care: A Perspective
on the Strategies for Advertising
and Marketing Campaign
Iqra Manzoor1, Dr. Zia-ul-Haq2, Nadia Rashid3
1
Senior Research Fellow, Central University of Kashmir.
2
Senior Assistant Professor, Central University of Kashmir.
3
Senior Research Fellow, Central University of Kashmir.

Abstract
With the spread of COVID-19, conventional wisdom was questioned. This
pandemic has effected every aspect of life and economy. It has effected the
face of business, marketing, branding and advertising forever. Customers
and business organisations both faced disruptions and now the vaccine is
on its way to reach all the regions of the globe. Therefore, there is a need
to carry on lives and work by adopting appropriate measures and
strategies. This paper presents the overall strategies that can be put into
place by brands to revive post COVID-19 pandemic. The strategies that
can help the businesses to deal with the changing times include;
addressing the concerns of consumer, communication and campaigns
according to the changing times, employing influencers and endorers.
Keywords: brands, COVID-19, pandemic, advertising.
Introduction
There have been a number of lethal virus pandemics throughout the history
of mankind. In the 14th century (between AD 1346-1353), the Bubonic
plague (also known as Black Death) killed almost 75 to 200 million of the
human population. From February 1918 to April 1920, the Spanish flu
(also known as the 1918 flu pandemic) was a lethal influenza pandemic
caused by the H1N1 influenza a virus (wikipedia).
In current times, viruses such as Ebola and SARS are less lethal than their
predecessors, still managed to wipe out a significant number of infected
people. Towards the end of 2019 a new virus broke out in the Chinese
region of Wuhan named COVID-19 by the World Health Organization

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(WHO), within a month reached epidemic status and within two months
elevated to a pandemic status (Escalas, 2004).
The virus has effected the consumer behaviour making it highly palpable
as the mortality rate increased due to its global spread. It has resulted in
the empty retail store shelves and panic buuying for certain catagory of
products. This behaviour was due to fear and anxiety and fear that
emerged in the face of virus (Holt, 2005, 2012).
The effect of corona virus pandemic on world economy is most likely to
be unprecedented after the Great Depression of 1930 (Euronews, 2020)
and has therefore resulted in the most significant changes in the history of
marketing. Due to social distancing and widespread lockdown worldwide,
the short term effect of the virus could be felt immediately.
The post pandemic era will have the effect as it has caused the intense
economic, cultural, social and political impact (He, H., & Harris, L. 2020).
There is no certainity about when the pandemic will end and how long its
effect will be felt. There seems be be unison that the recovery will be
difficult and slower than the ‘Great Recession’ of 2008 (R. Taylor, C.,
2020).
Organisations have been troubled by uncertainities and doubt and the
situation is evident in the business and marketing. The COVID-19
pandemic has caused changes in the consumer behaviour which inturn has
resulted changes in the marketing, promotions and advertising. Brands
have reevaluated their strategies regarding current and post pandemic
marketing and advertising campaigns to maintain constant flow of income.
During these challenging times advertising industry have suffered as the
expenditure on advertising and marketing campaigns have declined
worldwide substantially (R. Taylor, C., 2020). This paper aims to discuss
the strategies regarding advertising and marketing campaigns that brands
can put into place to revive after COVID-19 pandemic.
COVID-19 and Brands
Many countries were send into lockdown and some businesses are
effected far more than others. COVID-19 pandemic has effected each
sector differently. As the vaccine is out and yet to reach all the regions, it
is already impacting several things and is imperative to consider what post

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COVID-19 world is going to be like. During the pandemic brands took


care of the customers by addressing their issues and delivering the purpose
and value. This must prevail post pandemic as well.
Adertising and Marketing Campaign Strategies for Brands
Addressing consumer concerns
Health, hygiene and wellness have become the priority due to COVID-19
and has changed the consumer behaviour. Advertisers who have stuck the
right message during these tough times have already won it. Lifebouy
incorporated the message of frequent hand washing in their campaign,
Domino’s ‘contactless deliveries’, Uber’s ‘thank you for not riding’ have
made a place in customers minds during this time. Brands who added
positive value by sending a social message or doing social good will take
the precedence. It will not end with the pandemic. Marketers must ensure
that in the post pandemic times advertisements and marketing campaigns
all the content and messages are relevent, intelligent, responsive and to the
point.
New campaign for new reality
COVID-19 pandemic has changed a lot about customers and businesses
and has changed the way both behave. It has impacted each business
differently and for revival and recovery strong marketing strategies are
required. Marketers decisions are being made that employ technology as
the businesses have moved online and digital. COVID-19 stayed for a long
enough time to make or break a habit. World has never before been so
dependent on digital world that it has created the new normal. Online
engagement has increased drastically eg; work from home, online classes,
online shopping and social media usage. People have moved towards the
digital media during the lockdown period. Advertisements in the digital
space will engae the target market and support the brand by nuturing
campaigns, social media campaigns and content marketing.
Revisiting pre COVID-19 campaigns
How consumers consume and work has undergone mutations.Post
pandemic time will not be similar to pre pandemic time for brands due to
changed consumer behaviour. Ads and campaigns that were part of
marketing strategy before pandemic did not work during the pandemic and

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will require a change after the pandemic is over. Brands should make
changes in the advertising and marketing campaigns by focusing on
creative and strategic marketing campaigns and ads. Investing in ads and
campaigns is crucial to be in existance post pandemic.
Communication for new normals
COVID-19 is bizarre time for businesses and marketers. Contactless
payments and deliveries are the new normal due to the pandemic. It has
caused attitudinal shift resulting in new consumer behaviournad that is not
the status quo. Post COVID-19 era will be different for brands and
marketers with a different behaviour of customers. Customers will be
looking for reassurance and want to deal with the brands that were
considerate during the pandemic times. It will be cost effective for
companies to make changes in the pre and during pandemic campaigns
then creating brand new content. Brands who hadsend a social message a
social message to audience during these tough times should make relevant
changes to the existing content so that their empathy and insightfulness is
not forgotten.
Moving beyond advertising communication
Brands need to be tactful, mindful and empathetic to the customers during
these tough times. Brands must admit the crisis while constantly reflecting
right tone and message that will retain the customers. This can be achieved
by right marketing campaigns. Brands must also use a representative to
gain market, whether an influencer or endorser, to disseminate the content.
Truthful, accurate and clear content should be dessiminated from the
bloggers and influencers.
Conclusion and Directions for Future Research
“Its not the strongest of the species that servives, nor the most intellegent,
but the one most responsive to change” Charles Darwin, 1809.
COVID-19 pandemic is the tough times for individuals and businesses as
the crisis is something that has establised new business reality and created
a new normal. Brands had lowered the spending on advertising as COVID-
19 has brought panic and caution into the business world. This article
presents the strategies that brands can put into place to revive post
COVID-19 pandemic. Compared to pre COVID-19 crisis, the challenges

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to the businesses were far greater during pandemic times due to unstable
situation and changing behaviours. Brands can actively adopt new
strategies in post crisis time to serve the changing needs and behaviours of
consumers. The main objective of the paper was to put forward the overall
advertising and marketing campaign strategies for the brands but future
analysis should focus on deeper issues relating to advertising and
segements of customers. From the research perspective, it is important to
conduct studies which would extend the current findings. The academic
community can engage in studies on following research questions:
What is the impact of attitude and intention of customers towards
advertising and marketing campaign post COVID-19 pandemic?
How change in consumer behaviour due to crisis has changed their values
and beliefs?
What could be the long tern and short term impact of COVID-19
pandemic on advertising after the pandemic is over?
How the long term and short term change in advertising and marketing
campaign would effect brands?
What is the impact of influencer marketing towards advertising and
marketing campaign post COVID-19 pandemic?
Such studies could help brands to better understand the market post
COVID-19 pandemic and make a stronger existence.
References
1. ‘Pandemic’, accessible at: https://en.wikipedia.org/wiki/Pandemic#:~:
text=Throughout%20human%20history%2C%20there%20have,people
%20in%20the%2014th%20century, accessed on 25 December, 2020.
2. Charles R. Taylor (2020) Advertising and COVID-19, International
Journal of Advertising, 39:5, 587-589, DOI: 10.1080/02650487.
2020.1774131
3. Escalas, J. E. (2004). Narrative processing: Building consumer
connections to brands. Journal of consumer psychology, 14(1-2), 168-
180.
4. Euronews (2020), ‘COVID-19: World economy in 2020 to suffer
worst year since 1930s Great Depression, says IMF’, accessible at:

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https://www.euronews.com/2020/04/14/watch-live-international-
monetary-fund givesworld- economic-outlook-briefing-on-COVID-19,
accessed 20 December, 2020.
5. He, H., & Harris, L. (2020). The Impact of COVID-19 Pandemic on
Corporate Social Responsibility and Marketing Philosophy. Journal of
Business Research.
6. Holt, D. B. (2005). How societies desire brands: Using cultural theory
to explain brand symbolism. In Inside consumption (pp. 295-313).
Routledge.
7. Holt, D. B. (2012). Cultural brand strategy. In Handbook of marketing
strategy. Edward Elgar Publishing.

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10
A Study on the Role of Recent
Trends in Digital Marketing
Mr. Mohammed Tazeer1, Mrs. Basanthi Goswamy1
1
Asst Professor, Darshan College, Affiliated to Bangalore University, St.
Anthony’s Institution, Opp. RV College, Mysore Road, Bangalore-560059.
E-mail Id: [email protected], [email protected]

Abstract
The rapidly emerging digital economy is challenging the relevance of
existing marketing practices, a radical redesign of the marketing consists
the business needs of the modern times. To reach minimum customers in
the globe it is necessary to assist marketing by using the technology.
Digital marketing is an umbrella term for marketing using digital
technologies which include internet, mobile phones, display
advertisements and of any other digital medium. Marketing in today’s
environment performs various marketing initiatives which reflect
marketing in the dawn of new age of marketing. The trend of digital
marketing is growing day by day with the main concepts of Internet
marketing that is turning into an dynamic platform of digital marketing
along with the electronic gadgets like the digital billboards, tablets and
smart phones, gaming consoles, and many such gadgets that help in digital
marketing. Flipkart with its innovative digital marketing have created a
niche market in online stores competing with the conventional stores
showing the power of online marketing. The case study analyses how
Flipkart.com has brought in an array digital and online marketing
strategies to succeed and make it big in the digital marketing sector.
Digital marketing is going to be top on the agenda of many marketers, and
they might be looking for innovative ways to market online, reduce cost
per lead, increase click-through-rates and conversion rates, and discover
what’s hot in digital marketing. The specific challenges associated with
the new age of marketing and suggestions to overcome it.
Keywords: Digital marketing, SEO, SEM, E-Commerce marketing,
flipkart.com, business models, insights, non internet channels such as
mobile phones, SMS, MMS, challenges and suggestions.

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The rapidly emerging digital economy is challenging the relevance of


existing marketing practices, a radical redesign of the marketing consists
the business needs of the modern times. To reach minimum customers in
the globe it is necessary to assist marketing by using the technology.
Digital marketing is an umbrella term for marketing using digital
technologies which include internet, mobile phones, display
advertisements and of any other digital medium. Marketing in today’s
environment performs various marketing initiatives which reflect
marketing in the dawn of new age of marketing. The trend of digital
marketing is growing day by day with the main concepts of Internet
marketing that is turning into an dynamic platform of digital marketing
along with the electronic gadgets like the digital billboards, tablets and
smart phones, gaming consoles, and many such gadgets that help in digital
marketing. Flipkart with its innovative digital marketing have created a
niche market in online stores competing with the conventional stores
showing the power of online marketing. The case study analyses how
Flipkart.com has brought in an array digital and online marketing
strategies to succeed and make it big in the digital marketing sector.
Digital marketing is going to be top on the agenda of many marketers, and
they might be looking for innovative ways to market online, reduce cost
per lead, increase click-through-rates and conversion rates, and discover
what’s hot in digital marketing. The specific challenges associated with the
new age of marketing and suggestions to overcome it.
Digital marketing, SEO, SEM, E-Commerce marketing, flipkart.com,
business models, insights, non internet channels such as mobile phones,
SMS, MMS, challenges and suggestions.
Literature Review
Marketing is one of the business functions that are most dramatically
affected by emerging information technologies. Internet is providing
companies new channels of communication and interaction. It can create
closer yet more cost effective relationships with customers in sales,
marketing and customer support. Companies can use web to provide
ongoing information, services and support.
Online banner advertising has great potential as an advertising medium. It
is easy to create, place and use. It offers companies targeting well

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educated, innovative, affluent the students with great potential for


successful segments that are highly represented.
Objectives of the Study
 To study the role of digital marketing in return on web.
 To study the different channels of digital marketing services.
 To analyse the approach which help them to get more business.
 To study the growth of digital marketing.
Introduction
Digital marketing is one type of marketing being widely used to promote
products or services and to reach consumers using digital channels. Digital
marketing extends beyond internet marketing which includes mobiles
phones, social media marketing, display marketing advertising search
engine marketing and many other forms of digital media.
Through digital media, consumers can access information at any time and
at any place where they want. With the presence of digital media,
consumers do not just rely on what the company talks about its own brands
but also they can follow the media, friends, associations, peers are having
the opinion of the products.
Canon image gateway helps consumers to share their digital photographs
with their friends and family.
Magazines publishers can activate and drive their customers into internet
with e-mail and SMS messages to improve re- subscription rate.
Electronic marketing is a transfer of goods and services from the
manufacturers to the end consumers involving one or more electronic
methods or media. E- Marketing began with the use of telegraphs in the
19th century, with the invention and mass acceptance of the telephone,
radio. Electronic media has become the dominant marketing force in the
recent times.
Meaning of Marketing
Marketing are the activities of any manufacturing unit associated with
buying and selling their products or services. This includes advertising,
selling and delivering products to the end consumers. The employees who

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work in the marketing departments of such manufacturing units try to get


the attention of target audiences by using slogans, packaging design,
celebrity endorsements and general media exposure.
Meaning of Digital Marketing
Digital marketing is an umbrella term for the marketing of products or
services using digital technologies, mainly on the internet, mobile phones,
display advertising and by any other means of digital medium. The way in
which digital marketing has developed since the 19th and the 20th century
has changed the way brands and businesses utilize technology and digital
marketing for their own advantage. Digital marketing companies are
becoming more prevalent as well as efficient, as digital platforms are
increasingly incorporated into marketing plans and everyday life and as
people use digital devices instead of going to physical shops.
Comparison between Traditional Marketing and Digital Marketing
Traditional Marketing Digital Marketing
Traditional marketing includes Digital marketing includes online
print, broadcast, direct mail andadvertising, email marketing, social
telephone. media, text messaging, search engine
optimization and pay per click.
No interactions with the Interaction with audience.
audience.
Results are easy to measure. Results are to a great extent and easy to
measure.
Advertising campaigns are Advertising campaigns are planned over
planned over a long period of a short period of time.
time.
Expensive and time consuming Reasonably cheap and rapid way to
process. promote the products or services.
Success of traditional Success of digital marketing strategies
marketing strategies can be can be celebrated if the firm can reach
celebrated if the firm can reach some specific number of local
large local audience. audiences.
One campaign prevails for a Campaigns can be easily changed with
long time. ease and innovations can be introduced
within any campaign.

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Channels of Digital Marketing


Search Engine Optimizations [SEO]
It is the process of affecting the visibility of a website or a web page in a
search engine ‘natural’ or unpaid ‘organic’ search results. In general, the
earlier/ higher ranked on the search engine results page and more
frequently a website appears in the search result list, the more the visitors
it will receive from the search engine users. SEO may target different
kinds of search engine including image search, local search, video search,
academic search and news search and industry- specific vertical search
engines.
SEO statistics

1. Organic search visits fall 3% as growth weakens across devices.


2. 61% of marketers say growing SEO/organic presence is a high
inbound marketing priority.
3. Media and publishing have the highest average Moz domain authority
of 86.
4. 254/500 Small-medium businesses only have a basic understanding of
SEO.

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5. Google accounted for 91% of US site visits produced by mobile search


in Q3 2017.
6. In 2017, 48% of 1,200 global digital marketers say on-page SEO is
still considered to be the most effective SEO.
7. 65% of marketers agree that link building is the most difficult tactic to
perform.
8. 50% of page-1 Google results are now HTTPS.
9. As of April 2017, the global marketing share percentage, in terms of
the use of Search Engines heavily favours Google, with over 77%.
10. 18% of local searches done on mobile devices lead to a sale within a
day.
Search Engine Marketing [SEM]
It is a form of internet marketing that involves the promotion of websites
by increasing their visibility in search engine results pages through
optimization and advertising. SEM may use search engine optimization to
adjust or rewrites website content to achieve a higher ranking in search
engine result pages, or use pay per click.
Social Media Marketing [SMM]
It is the process of gaining website traffic or attention through social media
sites. SMM programs usually centre its efforts to create content that
attracts attention and encourages readers to share it across their social
networks. The resulting electronic word of mouth refers to statement
consumers share via the internet about an event, product, service brand or
company. When the underlying message spreads from user to user and
presumably resonates because it appears to come from a trusted, third
party source, as opposed to the brand or company itself, this form of
marketing results is earned media rather than paid media.
1. Face book provides the highest social value for B2C (96%) whereas
LinkedIn provides the highest social value for B2B (93%).
2. Written articles (27%), videos (26%), and images (24%) are the three
most engaging content on social media.
3. Only 5% of web-using adults have a lot of trust in the information they
get from social media.
4. 70% of Instagram posts don't get seen.
5. Social Media captures over 30% of online time.

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6. 40% of internet users are most likely to use social networks to keep in
touch with what their friends are doing, whilst only 27% use social to
research/find products to buy.
7. 25% of Instagram ads are single videos. Social Media and video
viewing are the two most popular online activities, together accounting
for more than a third of all internet time.
8. 86% of consumers prefer more authentic and honest brand personality.
9. User-generated content has a 4.5% higher conversion rate.
Online Reputation Management [ORM]
It is coined by public relation. Basically ORM is a process which includes
undertaking of the comprehensive research and the analysis of the online
content. Tracking the user’s actions, opinion about a brand. It reduces the
risk of featuring amongst the negative user sentiments.
Google +
Google has described Google + as a ‘social layer’ that enhances many of
its online properties and that it is not simply a social networking website,
but also an authorship tool that associates web content directly with its
owners or authors. It is the second largest social networking site in the
world after face book.

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Online Advertising
It is a very important part of digital marketing. It is also called internet
advertising through which companies can deliver their message about the
products or services. Internet based advertising provides the content and
advertisements that best matches to consumer interests. It’s common to
hear that Google+ is great for reaching people in tech and it could be true
based on these demographics.
E-mail Marketing
Email marketing when messages about the products or services are sent
through email to the existing or potential consumer, it is defined as email
marketing. Direct digital marketing is used to send advertisements to build
brand and customer loyalty and also to build customer trust and to make
brand awareness. Companies can promote its manufactured goods and
services by using this element of digital marketing easily.

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Ecommerce statistics

1. Email marketing and SEO are the most frequent sources of ecommerce
traffic for respondents across all revenue ranges while channels such
as affiliates and content marketing were less frequently used.
2. Average ecommerce conversion rates are 1%-2%. Even if you are
doing everything right, you can still expect to win the sale around 2%
of the time.
3. For the majority of online transactions, the path from awareness to
conversion is very short - 71% of consumers make their purchase
within a week of awareness or desire.
4. Less than half (43%) of companies with online stores report seeing
significant traffic from social media.
5. In Q2 201, total digital commerce has grown to account for over 1 in
every 6 discretionary dollars spent by consumers.
6. Consumers in Australia, New Zealand, Canada, France, Belgium and
South Africa were most likely to be influenced by price or promotions.
In these countries, more than 38 % of consumers said price and
promotions were the factors that drove their most recent product
choice.
7. 64% of consumers say that watching a video on social media
influenced them to make a purchase.
8. 22% of Omni-channel sellers sell through other marketplaces
(including Amazon, Etsy, eBay, etc.
9. Ecommerce is growing 23% year-over-year, yet 46% of American
small businesses do not have a website.
10. 37% of online spend in the US and Europe is now made through
Amazon. This figure is 57% for US consumers.

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Who is using SMS, and why?


There are broad demographic differences when it comes to SMS usage.
For example, just 75% of 50-64 year old Americans use their phone for
text messaging, compared to 97% of 18-29 year olds. There is also a
gender split-women tend to read text messages less frequently than men.

Of course, the most relevant question for marketers is: are people using
SMS to interact with businesses? The answer is yes-more than 1 in 10
SMS exchanges in the US are with businesses. Typically these messages
fit into one of three categories:
 Confirmations and verifications (such as purchase confirmation,
identity verification)
 Customer service (asking questions, resetting passwords)
 Coupons and special offers (timely deals, location-based marketing)
Like email, there are laws surrounding unsolicited SMS messages-users
must opt-in to receive texts. According to a recent report, the top 5 reasons
users opt-in is:

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Affiliate Marketing
It is a type of performance based marketing, in this type of marketing
companies reward their affiliates for each visitor or customer they bring by
marketing efforts created on behalf of a company. An industry has four
major core players the merchants, the network, the publisher and the
customer. The market has grown in such complexity resulting in the
emergence of a secondary tier of player including affiliate management
agencies, super affiliates and specialized third party vendors.
Pay Per Click [PPC]
In marketing it a way of using search engine advertising to generate clicks
to a particular website rather than ‘earning’ those clicks organically. PPC
is good for searchers and advertisers. It is the best way for companies to
advertise and also brings low cost with greater engagement with the
products and services.
Advantages of Digital Marketing
Stay Updated with Products or Services
Digital marketing technologies allow the end consumers to stay with the
company information updated. Nowadays a lot of end users can access
internet at any place and at any time and these companies are continuously
updating information about their products or services.
Greater Engagement with Digital Marketing
Consumers can engage with the company’s various activities. Consumers
can visit company’s website, read information about the products or
services and make purchases online and also provide feedback.
24/7 Shopping
Since internet is available all day long, there are no time restrictions for
when customers want to purchase a product or service online.
Apparent Pricing
Company shows the prices of products or services through digital
marketing channel and this makes prices very clear and transparent for the

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customers. Company may regularly changes in the prices or gives special


offers on their products or services and customers are always in
advantages by getting informed instantly by just looking at any one mean
of digital marketing.
Brand Development
A well maintained website with quality content targeting the needs and
adding value to the companies target audience can provide significant
value and generate leads opportunities. The same can be said for utilizing
social media channels and personalized email marketing.
Latest Development in Digital Marketing
One of the major changes that occurred in traditional marketing was the
‘emergence of digital marketing’ this led to the reinvention of marketing
strategies in order to adapt to this major change in traditional marketing.
As digital marketing is dependent on technology which is ever evolving
and fast changing, the same features should be expected from digital
marketing developments and strategies.
Segmentation
More focus has been placed on segmentation within digital marketing, in
order to target specific markets in both business to business and business
to consumer sectors.
Influencers Marketing
Important roles are identified within related communities, known as
influencers. This is becoming an important concept in digital targeting. It
is possible to reach influencers via paid advertising, such as Face book
Advertising, Google campaigns or through sophisticated social customer
relationship management software such as SAP C4C, Microsoft
Dynamics, Sage CRM and Sales force CRM. Many companies now focus
at master level on engagement strategies for influencers.
Disadvantages of Digital Marketing
Digital Marketing is an expansion tool for the businesses, facing some
limitations and hindrances. Some of these limitations have been identified
and discussed below:

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1. Digital marketing is closely reliant on the internet. In some areas,


internet facility may not be accessible to the consumers or with poor
internet connections.
2. As digital marketing is highly dependent on the internet, so the
marketers may find it hard to make their advertisements more
comprehensive and start a conversation with their consumers about the
company brand image or products.
3. Another drawback of digital marketing is that even a person or group
of persons can harm the image of a recognized brand through
'Doppelganger'. Anti-brand activists, bloggers, and opinion leaders
spread the term ‘Doppelganger’ to disapprove the image of a certain
brand.
4. Another practical drawback of Digital Marketing is that it is only
beneficial for consumer goods. The industrial goods and
pharmaceutical products cannot be marketed using digital channels.
Conclusion
Digital channel in marketing has become essential part of strategy of many
companies. In recent times, even for a small business entrepreneur this is a
very cheap and efficient way to market their products or services. Digital
marketing has no boundaries. A company can use any device such as smart
phones, tablets, laptops, televisions, game consoles, digital billboards and
media such as social media, videos, content, e-mail, and a lot more to
promote company itself and its products and services. Digital marketing
may succeed more if it considers end users needs as a top priority. The
attempts made on digital marketing won’t come without the trial and error
effect. Each manufacturing company must test and evolve all the
advertising efforts and manufacturing efforts at the heart of all digital
marketing initiatives. Companies should create innovative customer
experiences and specific strategies for media to identify the best path for
driving up digital marketing performance.

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11
A Feasibility Study on Creating a New Model
to Encourage Textile E-Marketing
Bhanusree P1, Dr. Ethan Malar. J2
1
Student, III B.COM (Accounting & Finance) Women’s Christian College,
Chennai (Affiliated to University of Madras)
2
Associate Professor, Department of Commerce (Accounting & Finance)
Women’s Christian College, Chennai (Affiliated to University of Madras)
E-mail Id: [email protected], [email protected]

Abstract
The project titled ‘A feasibility study on creating a new model to
encourage textile e- marketing’ is carried out with the main objective of
introducing a new model to encourage textile e-marketing and to forecast
the demand of this online platform.
This study focuses on customer’s requirements and anxieties while
shopping online. Confidentiality of information, delivery of right orders,
user-friendly nature and rating of the online platform play an important
role in the customer’s decision as to whether to place the orders online or
to go for traditional shopping. Also, the cost of the product increases as it
passes from manufacturer or producer to wholesaler, then to retailer and
finally to consumer. An online platform can bring great cost advantage to
both the manufacturer and consumer by connecting them directly, thereby
removing a chain of intermediaries between them. In addition to that,
textile societies and clusters have fewer opportunities to engage in online
marketing compared to other players in the industry. Textile shopping is a
recurring activity for any human being that can range from clothing
requirements to decoration requirements. Hence, an all in one platform
for the textile choices of customers that connects major players in the
textile industry through an online platform saves considerable time and
effort and can boost textile trade.
The satisfaction of consumers and cost concerns of sellers are important
factors deciding the price and quality of any product as well as continuous
trade of that product. Hence, the researcher has tried to forecast the
demand of an online platform that directly connects consumers with textile

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manufacturers, brands, designers, tailoring units, textile societies and


textile clusters all over India.
Keywords: Online shopping, Textile, E-marketing, Textile marketing,
Textile e-marketing.
Introduction
Clothing being a basic necessity of human beings is something that always
has demand until the human race exists on Earth. Indian textile industry
has a rich heritage and is mentioned in Vedic literature and also Indian
epics like Ramayana and Mahabharata. Textile industry is one of the
oldest industries in India and its existence can be traced back to Harappa
Civilization. Textile industry (particularly cotton textile manufacturing)
was one of the largest manufacturing industries in the Mughal empire and
was a major part of the empire’s international trade. [1].
The Indian textile industry is one of the largest in the world with a huge
raw material base and manufacturing strength. There are 1200 small,
medium and large- scale textile mills operating in India. Indian textile
industry is the second largest manufacturer and exporter of textiles in the
world, after China. It contributes to 12% of India’s total export earnings
(2018-19). India has a share of 5 % of the global trade in textiles and
apparel. The textile industry contributes to 7% of industry output in value
terms and 2% of India’s GDP. The textile industry provides employment
to 45 million people directly and 6crore people indirectly. [2]
Textile Industry in India is mainly dominated by cotton. Three- fourth of
the total fibre consumed in the country is cotton. Globally, fibre
consumption is dominated by manmade fibres having 70 per cent of share
in total fibre consumption. However in India, fibre consumption is skewed
towards natural fibres with around 65 percent share, especially cotton.
Also, there are 34 million cotton textile spindles in the country for
manufacturing cotton yarn which account for 70% of India’s textile
exports. [3]
According to Table: 1, production of yarn and fabric has decreased during
2018-19 compared to 2017-18 and 2016-17. According to Table: 2, blend
productivity has slightly increased from 2016-17 to 2018-19 and cotton
productivity though even lower than blend productivity has increased from

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2016-17 to 2018-19. According to Table: 3, export has increased from


Rs.18.62 crores in 2017-18 to Rs. 19.94 crores in 2018-19.
Table 1.Production
Product 2016-17 2017-18 2018-19
Yarn (Lakh Kgs.) 521.95 527.81 504.16
Fabric (Lakh Mtrs.) 201.81 191.58 190.06
Source: Annual report of Ministry of Textiles 2019-20
Table 2.Productivity
Parameters Unit 2016-17 2017-18 2018-19
Cotton Productivity GMS 93.05 93.17 93.28
(40’s converted)
Blend Productivity GMS 94.84 95.89 96.66
(40’s converted)
Source: Annual report of Ministry of Textiles 2019-20
Table 3.Detail of Turnover (Rs. in Crore)
Particulars 2017-18 2018-19
(Audited) (Audited)
Export:
A Handicrafts 2.86 2.78
B Handlooms 6.25 7.52
C Ready to Wear 9.51 9.64
1 Sub Total 18.62 19.94
Domestic:
A Handicrafts and Handlooms 8.85 7.90
B *Bullion 586.48 25.64
2 Sub Total 595.33 33.54
3 (1+2) Grand Total 613.95 53.48
Source: Annual report of Ministry of Textiles 2019-20
*
The decrease is mainly due to the stop of bullion business as per the direction
of the Ministry of Textiles.
Fashion, specifically clothing ranked the highest on the list of categories
that online shoppers spent money on across India according to estimates
for 2020. The share of digital retail shoppers as a share of India's
population was eleven percent in 2019. [4]

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According to Cambridge English Dictionary, textile as a noun means a


cloth made by hand or machine. According to Cambridge English
dictionary, e-marketing as a noun means the process of advertising and
selling products and services on the internet. Textile e-marketing in simple
sense means marketing of textiles on or using the internet.
The market of the textile sector has been consumers who look for fashion
and selection at best optimal price. This has led to great appreciation of
digital marketing. This study is all about integrating different players in
the textile industry to give consumers the maximum benefit. This study
can be useful to any player in the textile industry to get an idea about basic
preferences of consumers and also to develop an online platform that
fulfills the consumer’s requirements. This survey can also be useful to any
online platform developer who is interested in integrating different players
in the textile industry.
The researcher, while working on this topic had many limitations, some
situational and few self-imposed, such as majority of the respondents
being students, majority of respondents residing in southern states, the
chances of their opinion being biased etc.
Objectives
Primary objectives:
 To introduce a new model to encourage e- marketing in the textile
industry.
 To forecast the demand of this innovative online platform.
Secondary objectives:
 To assess the cost benefit to each interest group.
 To project the cost and revenue of this new online platform.
 To determine when the online platform will reach its break- even.
A New Model to Encourage Textile E-Marketing
This online platform is all about bringing together different players in the
textile industry virtually facilitating online trade of textiles. This model
allows customers to place an order for any clothing or textile from any
textile manufacturer, brand, designer, tailoring unit, textile society or

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cluster listed with the online platform and also facilitate online tailoring if
required of material either bought through this online platform or already
in the hands of the customer. It also incorporates features like cash or
credit payment, rating and reviews etc. and protects the confidentiality of
data while being able to be user-friendly. This research focuses on
feasibility study of this online platform by collecting information
regarding the demand of this online platform from consumers and the
willingness of sellers to sell through it.
Relevance to Sustainable Business Environment and Social
Innovation
A sustainable business environment is one where profitability, concern for
environment and social commitment are in harmony. This online platform
supports profitability of sellers by aiding to avoid costs involved in setting
up and maintenance of physical outlets and related expenses. In certain
cases, it can facilitate commencement of production after receiving orders
which ensures efficiency of raw materials used. This is impossible in case
of physical outlets. Also online platforms do not require buyers to burn
petrol or diesel to buy the product. It aids in moving into a paperless
economy. Thus, it also takes into account environmental concerns. Social
commitments can be kept by ensuring safe working conditions, providing
equal opportunities etc. This online platform promotes fair trade by
charging the seller’s only a reasonable commission out of their sales rather
than exploiting them and also can help reduce pollution. Thus, this new
model of an online platform integrating various players in the textile
industry is in support of sustainable business environment and social
innovation.
Challenges
India has one of the fastest growing internet populations in the world.
Although, India has an online population of 500 million only 50 million
online users buy some kind of products online. According to the World
Bank report, ’Unleashing E-commerce for South Asian Integration’,
although e-commerce in India has grown substantially in recent years,
online sales as a percentage of total retail sales were only 1.6% compared
to 14% for China and 15% globally.

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Consumer’s preference for traditional shopping is a major threat to this


online application. Confidentiality of information, service quality and
rating can also influence the preference of consumers to order textile
through this online platform.
Even though this platform can provide equal opportunities to textile
societies and clusters for e-marketing, the competition they may
particularly face while selling along with textile manufacturers and brands
can hinder their growth or affect their willingness to sell through the
application. Textile societies and clusters to face the competition and to
sustain in this online platform need to have good marketing skills and
innovative ideas. Other sellers also may not cooperate with this online
platform because of competition from all over India, but there is also a
chance that they might be willing to sell through this online platform
because of its global reach.
Moreover, this application as such needs to survive through the
competition from online shopping sites like Amazon, Flipkart, etc. and
also from individual online shopping sites of textile shops, designers and
brands.
Conclusion
Digital marketing has marked the beginning of a new era where marketing
can reach people across the globe much easily surpassing the physical
barriers and boundaries. Textile, now- a- days, is looked at as a piece of art
and the buyers consider the design, quality, material, trend, price etc.
before purchasing it. The buyers who search for the best- best quality, best
design, best price etc. may be motivated to buy online because of the
major advantages of digital marketing though they need to be careful and
conscious while shopping online. Also for sellers who do not leave any
way to increase their sales, an online outlet is often looked at as an
additional source of revenue at the lowest cost.
Considering that clothing is a basic need for all and sometimes even
looked into as a matter of status and prestige as well as the increasing
appraisal of digital marketing, this online platform can be useful to the
economy. An online platform can reduce the seller’s expenses such as
salary of sales staff, rent and maintenance of physical outlet, commission
paid to intermediaries and other marketing expenses. At the same time,

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consumers can enjoy cost benefits as they are directly connected with the
seller and save their time and effort with facilities like free delivery. This
online platform also provides equal opportunities to textile societies and
clusters for online sales. This online platform acts as a single stop shop
and single solution for all the textile requirements of the consumers and
can boost the textile trade in India.
References
1. Annual report of Ministry of Textiles 2019-20.
2. Statista: E-commerce in India-statistics and facts published by
Sandhya Keerlery.
3. Wikipedia: History of textile industry in India.
4. www.ipinnovative.com-Research article titled ‘Impact of Coronavirus
on Indian textile sector’ authored by Ashok Panigrahi.

ICSBMPSI-2021 102
12
Impact of Digital Marketing on Consumer
Behavior and Satisfaction Rate in India:
Perspective to Y Generation
Mr. Arunkumar1, Mr. Diwakar. B1
1
Assistant Professor, Allum Karibasappa Institute of Management, Ballari.
E-mail Id: [email protected], [email protected]

Abstract
In the era of digitization, buying behavior of the consumer has gone to the
heights of purchasing through online and has created new streams for all
sectors towards the product design, product features, price, discount, offer
and so on. To encounter the market/consumer, now-a-days digital
marketing uptrend an essential role in grabbing the interest of consumer
behavior towards buying through various approaches of digital marketing
such as social media, pop-ups, e-mail, websites, blogs, mobile apps and
others. Consumers are inherently focused through psychological,
personal, social and cultural factors towards buying behavior motives and
decision. The research study is basically examined on traditional to
modern marketing by selecting the Y generation (millennial) born kids
who are early adopters of digital platform and play a predominant role in
the aces towards research and transformation of digitization to an
advanced level along with Z generation. There always exists a selection of
favored digital platforms by Y and Z generation but rest of the un-favored
strategies must be perceived positively by both the generations.
Keywords: Digital marketing, consumer buying behavior, y gen, z gen,
traditional and modern marketing.
Introduction
Digital Marketing is a strategy to promote products and services by
different gates of digital channels to reach large customers at specific time
through their favored channel at any part of the globe via Internet and it’s
also called as ‘Online marketing’ or ‘Web marketing’ or ‘Internet
marketing’. With the switch of marketing techniques to digital from

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traditional marketing, the decision making process of consumer has gone


beyond identification. As digital marketing is aggressively integrated into
various marketing plan in everyday life and as many people started using
digital devices rather than approaching to physical stores, digital
marketing has become widespread in adopting combinations of various
approaches like E-mail direct driven marketing, E-commerce marketing,
campaign marketing, social media marketing, search engine marketing
(SEM), search engine optimization (SEO). Several others have become
routine place.
Consumer buying behavior after the digitization has gone to the next level,
and has been digitized with support of internet. It has created a new
growth stream for business and consumers as well. After the adoption of
digital marketing best practices there arrived a change in consumer
thinking ability like a start of research about products, brand switching and
its more convenient for consumer to compare online. Current era has
changed so much that consumers are welcoming new products with good
quality features with applause and giving support to new startups also. All
this uptrend is because of digitization that has changed consumer behavior.
The birth of digitalization was in 1990’s, which was era of Y generation
(1981-1995) and they are also known as Millennial. Y generation born
kids are early adopters of digital platforms, those now are playing a vital
role in development, research and transformation of digitization to an
advanced level along with Z generation (1996-2012). Digital marketing
strategies significantly influence, grab attention of the millennial to visit
digital platforms, write feedback/online reviews and to make it user
interface (UI). There always exists a selection of favored digital platforms
by Y and Z generation but rest of the un-favored strategies must be
perceived positively by both the generations.
Review of Literature
Manu Vasudevan Unni (2020) Discussed on digital marketing by
explaining some of positive, negative effects of digital and social media
marketing on consumers. He has specified that social and digital media
platform have made a measurable impact on consumer behavior.
Additionally enlightened on consumer behavior through EKB model
(Engel, Kollat and Blackwell Model).

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Mrs. Reshma Desai (2019) Studied on the impact of facilities and


convenience in digital marketing mode that make easy for consumers in
choosing the digital purchases. Described on adoption of high band width
internet access, that influences the consumers to switch on digital
marketing platforms.
Sayabek Ziyadin, Raigul Doszhan, Alex Borodin, AizhanOmarova,
AigerimIlyas (2019) Studied the concept of consumer digital culture,
digital advertising, online WOM, digital environments and how all these
social networking influence the buying behavior. They also explained
about behavior of social network users in 2019, average time spent by
users on internet and growth of instagram popularity for advertising.
Katherine Taken Smith (2011) Examined on various common strategies
of digital marketing and ascertained which are preferable by millennial
that are effective in influencing their behavior. Explained the type of
digital marketing strategies are preferred by millennial that play a role in
influencing their behavior towards digital marketing.
Objectives of the Study
1. To examine about traditional and modern digital marketing.
2. To study the behavioral factors influencing Y generation towards
digital purchase.
3. To evaluate the various digital channels with different variables that
induces consumers to switch from traditional purchase to digital
purchase.
4. To assess consumer satisfaction rate at online shopping sites in India.
Research Methodology
This paper is both descriptive and analytical in nature. Data for descriptive
research is been collected from various secondary sources like, research
articles, websites etc. Data for analytical research is collected by survey
method through Google forms with sample size of 100 respondents. Data
analysis is done using Ms-Excel sheet through bar chart tool.
To Framework about Traditional & Modern Digital Marketing
Traditional Marketing
Traditional marketing is an oldest form of marketing, that was X
generation and almost nearer to Z generation. Now a day’s in most of the

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cases traditional marketing is being replaced by digital one and change in


technology, customer preferences, life style, lead business to adopt the
digital platforms to capture large market share.
Traditional marketing is also called as offline marketing, which gives the
tangible effect for both buyers and sellers. it’s a conventional procedure in
carrying out the business process which includes the concept of selling
products only in offline/physical outlet with various marketing and
advertising patterns like pamphlets, newspapers, radio, hoardings, paper
insertions, print media, magazines, word of mouth, cold calling,
commercial television adds etc, excluding digital advertisements to reach
audience from offline modes is called traditional marketing.
Digital Marketing
Digital marketing is a newest form of marketing that started growing faster
in Y generation but got a revolutionary change in Z generation that has
overtaken the practices of traditional marketing with complete digital
touch and it’s because of various drawbacks of traditional marketing like,
limited options, lack of innovation in acknowledging customers.
Digital marketing is also called to as 'Internet marketing', 'Web marketing'
or 'Online marketing'. It is a platform of marketing, promoting, selling
products or services via internet with various digital sources like, websites,
search engine optimization, social media, email and others tools to reach
target receivers. In relation to digital marketing, advertisers are generally
known as sources and the targeted sub-groups are called as receivers. It’s
an arena where it creates an easy interaction between sources and receivers
with feedback.
To Study the Factors Influencing Y Generation towards Digital
Purchases
Consumer buying behavior impact is controlled by two major factors: (1)
Internal Influential Factor (Individual factors)-Personality, perception,
demographics, consumer knowledge, motivation, attitudes, beliefs and life
style. (2) External Influential Factor (Environmental factors)-Family,
reference group, household, social class and culture.
Above motioned elements are major factors that eminently play role in
decision making process to buy a goods/service. Consumers behave

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differently when they choose different product of different age group,


different geographical location and different social cultural background.
But ultimately buying behavior or decision process is affected by
psychological, personal, social and cultural factors.
Psychological Factors: It holds four important factors affecting the
consumer buying behavior, those are attitudes, beliefs, perception and
motivation. The height of motivations acts on buying behavior of
customers. Every individual has different basic needs like social needs,
biological needs, social security needs. Needs and wants are unlimited,
which provokes the individual psychology to search and switch for digital
platforms that caters the wide range of products/services. The ability to
select, understand, interpret information in a way to encounter the world is
derived as perception. Perception process lies in three stages like selective
attention, selective retention and selective distortion. Every individual has
different beliefs, attitude towards various products, that makes the
customer buying behavior and all these variables combine together to
perform a broad conception of consumer behavior that review consumer
decision making process.
Personal Factors: These factor reviews the consumer buying behavior
and there are some key personal factors that motivate the buying behavior:
life style, economic situation, age, occupation, family, life cycle,
personality and self concept. Age and life-cycle make a huge impact on the
consumer buying behavior; it’s for sure that once the time passes then
people update and switch to different product/services. Family life-cycle
includes different phases in form of young singles, married couples,
unmarried couples and old age which gives exact idea for marketers to
develop product for each phase. The occupation of customer matters, if he
is an business person way of spending will differ from an monthly salaried
employee. Life style of a consumer is important factor that affects the
buying behavior, the way he is been recognized in surrounding
environment.
Social Factors: Every individual has someone around influencing their
buying decisions, so as social factors is also a part of it. The important
social factors are: Family, reference groups, role and status. Reference
groups play a role in influencing consumer in two ways like informational
utility and value expression. Reference group is imaginary individual or

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group formulate of having remarkable connection related to individual


evaluation or behavior. Buying behavior of a family member is strong
influenced by a family member, so marketers are trying to find influencer
for husband as well as wife. If husband is found influencing for wife, they
try targeting husband in their advertisement. Each individual has a
different role to play in society depending on groups, clubs, family or
organization they belong to.
Cultural Factors: Culture differs from region to region and social class.
Every culture involves different aspects such as religion, geographic,
nationalities, racial group’s etc. culture cannot be static, it gets changed
from time to time, or generation to generation. It’s a continues change,
improvement and people from different social class said to have various
desires and consumption pattern. According to researches the class of
particular society can be found by buying behavior and habits. In this
format marketing procedures can be altered according to different social
classes.
To Evaluate the Various Digital Channels with Different Variables
That Induces Consumers to Switch from Traditional Purchase to
Digital Purchase
A Primary data is collected through standard questionnaires using Google
form. First 100 respondents were considered for the analysis.
Socio-Economic Factors
Gender Male = Female=
57% 43%
Year of 1964 to 1981 to 1996 to 2013 -
Birth 1980 1995 2018 onwards
1.9% 49.5% 48.6% NIL
Education Illiterate Below +2 Graduation Masters Others
qualification 0% 1.9% 32.7% 61.7% 3.7%
Occupation Student Business Employee Others -
/Profession 40.2% 11.2% 40.2% 8.4%

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Table 1.Analysis of factors motivating customers to shift from


Traditional purchase to Modern purchase Platforms
VARIBALES

(10%)
Cashless Transact-ion

Ease Access (20%)

Flexibility (30%)
(40%)
Direct
(50%)
Customized
(60%)
Product Comparison
(70%)
Trust

Discounts (80%)

Cash back (90%)


policy (100%)
Customized return
to

worthiness
website

Search
FACTORS - - - - - - - - - -
Social Media 1 3 3 4 4 12 11 15 32 15
Websites 2 6 5 1 7 25 18 12 7 17
Email 2 3 1 17 13 11 16 12 13 12
Mobile App 4 6 9 7 9 15 14 5 14 17
Pop-ups 0 8 6 12 9 12 12 15 8 18
User feedback's 0 3 9 7 8 15 26 7 11 14
Content 3 12 15 13 8 14 11 8 4 12
Marketing
Digital 6 10 13 5 2 7 10 17 14 16
Discounts
Video Ads 5 9 2 12 8 11 10 18 10 15
Blogs 5 5 11 7 12 10 16 11 10 13

35
30 Cashless Transaction
(10%)
25
20 Ease Access (20%)
15
10 Flexibility (30%)
5
0 Direct to website (40%)

Customized Search
(50%)
Product Comparison
(60%)

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Interpretation
Customized return policy and cash back is accepted by respondents as
highest motivating variables to mobile app and social media. Discount is
second towering variable to influence factors like pop-ups, digital
discounts, video ads and next to second its trustworthiness variable
inducing to go for user feedback and blog options. Few other variables like
product comparison, direct to website, flexibility motivates to choose
modern purchase platforms like website, email and content marketing
respectively.
To Assess Consumer Satisfaction Rate at Online Shopping Sites in
India
Table 2.Analysis of consumer satisfaction level
on online purchase by various attributes
VARIABLES
Dissatisfied
Very

Satisfied
Not

Neutral
Satisfied
Very

satisfied
Extremely
FACTORS - - - - -
Discounts 6 6 31 38 19
Cash Back 5 24 28 24 19
Wide Range of Products 7 7 14 40 32
Easy Return Policies 4 16 20 38 22
Flextime Shopping 4 8 19 35 34
Price 4 12 34 34 16
Privacy 9 13 11 30 37
Prime Days 4 18 27 33 18
Product Comparison 6 7 27 37 23
Door Step Delivery 3 8 10 30 49
Credit to Wallet 14 28 24 19 15
COD 6 7 15 33 39
Loyalty Benefits 8 13 24 38 17
Trust on Brands 4 11 33 31 21
Post Purchase Service 4 12 38 33 13
Damage free delivery 12 13 26 25 24

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Personnel Contact 4 16 25 33 22
Grievance Response 4 17 28 33 18
Order Tracking 5 8 19 36 32
No Cost EMI 10 8 29 31 22

60

50

40

30
Very Dissatisfied
Not Satisfied
20
Netural
Very Satisfied
10
Extremly Satisfied

0
Prime Days

COD

Order Tracking
No Cost EMI
Price
Cash Back

Privacy

Credit to Wallet

Personnal Contact
Wide Range of Products

Loyalty Benefits
Discounts

Easy Return Policies

Trust on Brands
Post Purchase Service

Grievance Response
Flextime Shopping

Product Comparison
Door Step Delivery

Damage free delivery

Interpretations
Consumers are switching to digital shopping platforms which made them
extremely satisfied with following attributes like privacy, door step
delivery and cash on delivery. Few other consumers are just satisfied
through digital shopping with attributes like discounts, wide range of
products, easy return policy, flextime shopping, price, prime days, product

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comparison, loyal benefits, damage free delivery, personnel contact,


grievance response, order tracking, no cost EMI. Some parts of the
respondents are neutral with variables cash back, price, trust on brands,
post purchase service. Remaining consumers are not satisfied with the
variable or the option of credit to wallet.
Findings
1. Digital marketing has a greater scope in future market.
2. Modern marketing has emerged in the retail domain, completely
altering the competitive landscape using the online channel. This
happened in conjunction with consumer behavior changing as the
online technology matured.
3. SEO and SEM are efficient because they are aimed at users already
showing interest in some of the advertised goods by searching the
web.
4. SEO is the most technique adopted acquiring a customer organically
(i.e. free of charge).
5. Social media an advertiser can select which group of people to target
with his ad based on users’ interests and their demographic data.
6. Remarketing is definitely one of the major advantages of digital
marketing, as it provides the ability to segment the user based on
which part of the buying process they are located in and access them
with a custom message or an ad for that part of the process.
7. Also, unlike traditional marketing, digital marketing is measurable. It
is possible to see which ad was interesting to the audience and which
failed, and then adjust the advertising strategy accordingly.
8. Digital marketing is an innovative, influential contribution to the field
of marketing.
Conclusion
Our key objective in this paper is to set a schema for research on impact of
digital marketing with perspective to Y Gen. Impact of Digital Marketing
has a decisive role towards buying and satisfaction behavior rate of
consumers with no restrictions to select, opt and purchase of the product or
services in the society. Digital Marketing has vested in the market through
eco manner in an extremely inexpensive and competent way in fulfilling
the desires as a peak priority.

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Based on previous observations and research on the concept of Digital


Marketing has ascertained and explained that ecommerce influences the
buying behavior of Y gen with reference to Z gen, with regard to choosing,
selecting, purchasing payment mode and finally satisfaction rate.
We have examined and proposed a framework that highlights the impact
of digital marketing in India. Utilizing the ideas of academia and
practitioner we have extant the research scope of millennials’ role in
influencing buying behavior.
Finally, we have unified the research gap into useful information to gain
knowledge. For one, the pace of digital marketing tool development has
increased massively. Focusing towards the fulfillment of consumer
need to gain competitive advantage and implementation of
technological developments by the firms.
To summarize, digital marketing has a bright future for long term
sustainability of the product or services in the current technological market
with all its pros and cons and ROI.
References
1. Manu Vasudevan Unni (2020), Does Digital and Social Media
Marketing Play a Major Role in Consumer Behaviour?, IJRESM,
April, pp 272-278.
2. Sayabek Ziyadin, Raigul Doszhan, Alex Borodin, Aizhan Omarova,
and Aigerim Ilyas (2019), The role of social media marketing in
consumer behavior, EDP Sciences, pp 1-9.
3. Mrs. Reshma Desai (2019), “Digital Marketing-New Age Consumer
Behavior (Mumbai Region)”, IJRAR, March, pp 38-43.
4. Katherine Taken Smith (2011), Digital marketing strategies that
Millennials find appealing, motivating, or just annoying, Journal of
Strategic Marketing, October, pp 489-499.
5. Raluca Dania Todor (2016), Blending traditional and digital
marketing, Bulletin of the Transilvania University of Braşov, pp 51-
56.

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13
A Study on Analysis of Customer Satisfaction
towards Supermarket-in India
Mrs. Rani Anthony Raj1, Mrs Pavana R Kulkarni1
1
Asst.Professsor, SSMRV College, Jayanagar, Bangalore-49.
E-mail Id: [email protected], [email protected]

Abstract
Amidst the competitive and complex market scenario in India, it is difficult
to analyze the changing attitudes, likes, dislikes and satisfactory levels of
customers. The field is such that only the ending and most outstanding will
survive without being choked. The attempt made here is to analysis the
customer satisfaction level towards Supermarket. On the outset itself the
problem was identified and defined as to assess the customer satisfaction
towards food and grocery retailing and design marketing strategies for
enhancement of customer happiness in clear terms with the help of a pilot
survey.
The researcher carried out this survey keeping in mind the need and
importance of the proposed study. And this has enabled the researcher to
easily determine the scope and objectives of this study.
Descriptive approach was considered ideal for the study as it entailed the
ever changing opinion of the customers. Simple random sample has been
taken as 100 respondents with 20 respondents from each of the retail
outlet brands such as food world, subhiksha, spencers, fabmall and
reliance fresh. These outlets have been from in Bangalore north.
They were considered adequate to represent the entire characteristics of
the population for the study. Primary data was collected using structured
questionnaire as an effective instrument. The collected data was tabulated
for the purpose of consolidation and logicality, and the same was analyzed
and interpreted in a judicious way to facilitate systematic progression of
the subject matter of the study.
The findings were taken up for drawing logical conclusions. Based on the
findings suitable suggestions and recommendations were brought out for

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the benefits Supermarket. The respondents were presented with a well


structured questionnaire as a part of the survey method, which was easy to
fill up. And the opinions of the respondents were rated on a percentage to
arrive at the level of satisfaction. The main sources of data were the
questionnaire and the other relevant magazines, books and websites.
Keywords: Supermarket, Customer, Pilot study.
Introduction
Retailing includes all the activities involved in selling goods or services
directly to final consumers for personal, nonbusiness use. A retailer or
retail store is any business enterprise whose sales volume comes primarily
from retailing.
Any organization selling to final consumers whether it is a manufacturer,
wholesaler or retailer is doing retailing. It does not matter how the goods
or services are sold or where they are sold.
Types of Retailers
Consumers today can shop for goods and services in a wide variety of
retail organizations. There are store retailers, nonstore retailers and retail
organizations. Perhaps the Best-know type of retailer is the department
store.
The most important retail-store types are described.
Speciality Store: Narrow product line with a deep assortment. A clothing
store would be a single-line store; a men’s clothing store would be a
limited-line store; and a men’s customshirt store would be a super
speciality store.
Examples: Athlete’s Foot, The body shop
Departmental store: Several product lines-typically clothing, home
furnishings, and household goods-with each line operated as a separate
department managed by specialistbuyers or merchandisers.
Examples: Sears, JC Penney

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Supermarket: Relatively large, low-cost, low-margin, high-volume, self-


service operation designed to serve total needs for food, laundry and
household products.
Examples: Kroger, Food world, big bazaar.
Convenience Store: Relatively small store located near residential area,
open long hours, seven days a week and carrying a limited line of high-
turnover convenience products at slightly higher prices, plus takeout
sandwiches, coffee, soft drinks.
Examples: 7-Eleven, Circle K.
Discount Store: Standard merchandise sold at lower prices with lower
margins and higher volumes. Discount retailing has moved into speciality
merchandise stores, such as discount sporting-goods stores, electronics
stores and bookstores.
Examples: Wal-Mart, Circuit city.
Off-price retailer: Merchandise bought at less than regular wholesale
prices and sold at less than retail; often leftover goods, overruns and
irregulars.
Examples: Sam’s club, Max clubs.
Superstore: About 35000 square feet of selling space traditionally aimed
at meeting consumers’ total needs for routinely purchased food and
nonfood items, plus services such as laundry, dry cleaning, shoe repair,
check cashing, and bill paying. A new group called category killers carries
a deep assortment in a particular category and a knowledgeable staff.
Examples: IKEA, Home Depot.
Catalog Show room: Broad selection of high-markup, fast-moving,
brand-name goods at discount prices. Customers order goods from a
catalog, and then pick these goods up at a merchandise pickup area in the
store.
Example: Service Merchandise.
Levels of service: The wheel-of-retailing hypothesis explains one reason
that new store types emerge. Conventional retail stores typically increase

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their services and raise their prices and less service. New store types meet
widely different consumer preferences for service levels and specific
services.
Retailers can position themselves as offering one of four levels of service:
1. Self service: Self service is the cornerstone of all discounts operations.
Many customers are willing to carry out their own locate-compare-
select process to save money.
2. Self-selection: Customers find their own goods, although they can ask
for assistance.
3. Limited service: These retailers carry more shopping goods and
customers need more information and assistance. The stores also offer
services (such as credit and merchandise-return privileges).
4. Full service: Salespeople are ready to assist in every phase of the
locate-compareselect process. Customers who like to be waited on
prefer this type of store. The high staffing cost, along with the higher
proportion of specialty good as and slowermoving items and the many
services, results in high-cost retailing.
Marketing Decisions
In the past retailers held customers by offering convenient location, special
or unique assortments of goods, greater or better services than competitors
and store credit cards. All of this has changed. Today, national brands such
as Calvin Klein, Izod and Levi’s are found in department stores, in their
own shops, in merchandise outlets and in off-price discount stores.
In their drive for volume, national-brand manufacturers have placed goods
everywhere. The result is that retail-store assortments have grown more
alike. Service differentiation also has eroded. Many department stores
trimmed services and many discounters have increased services.
Customers have become smarter shoppers. They do not want to pay more
for identical brand, especially when service differences have diminished;
nor do they need credit from a particular store, because bank credit cards
are almost universally accepted.
Supermarkets have opened larger stores, carry a larger number and variety
of items and upgrade facilities. Supermarkets have also increased their
promotional budgets and moved heavily into private brands. Retailers’

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marketing decisions in the areas of target market, product assortment and


procurement, services and store atmosphere, price, promotional and place.
Target Market: A retailer’s most important decision concerns the target
market. Until the target market is defined and profiled, the retailer cannot
make consistent decisions on product assortment, store décor, advertising
messages and media, price and services levels. Some retailers have defined
their target markets quite well.
Product assortment and procurement: The retailer’s product assortment
must match the target market’s shopping expectations. The retailer has to
decide on product-assortment breadth and depth. The real challenge begins
after defining the store’s product assortment and that is to develop a
product-differentiation strategy.
In view of the relationship between high traffic and high rents, retailers
must decide on the most advantageous locations for their outlets. They can
use a variety of methods to assess locations, including traffic counts,
surveys of consumer shopping habits and analysis of competitive
locations. Several models for site location have also been formulated.
Retailers can assess a particular store’s sales effectiveness by looking at
four indicators:
1. Number of people passing by on an average day.
2. Percentage who enter the store
3. Percentage of those entering who buy
4. Average amount spent per sale.
Supermarkets have a high turnover and are therefore able to buy goods in
bulk. This cuts down the unit cost and, in turn, the price which further
encourages business.
Classic self-service 4,000-20,000sq-ft with shopping carts as popularized
in India by ‘Crazy Boys’ films with typical focus on regular groceries,
household goods and personal care products. Tesco and Safeway are
famous chains. In India Nanz Food world and Nilgirils.

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Strengths of Supermarket from Consumer Point of View


Supermarket format of retailing try to fulfill these expectation through
following merits.
1. It saves the time because customer will get everything at a one place
with self-service.
2. It provides perfect platform for comparison of a same product from
different company with a different brand name with complete
information, which could be required to compare the brands and take a
best purchasing decision.
3. Multi brand department stores offer an intermediate solution with
complete brand choice to the customer and spacious shop, which
allows the manufacturers to present his product appropriately.
5. Sometimes customer also get discount because multi brand stores go
for bulk purchase and pass the earning of differences toward the
customer.
2. Customers get a detail and computerize bill so there is no possibility of
any discrepancy in billing.
Retailing in India
Retailing in India is gradually inching its way to becoming the next boom
industry.
The whole concept of shopping has altered in terms of format and
consumer buying behaviour, ushering in a revolution in shopping. Modern
retail has entered India as seen in sprawling shopping centres, multi-
storied malls and huge complexes offer shopping, entertainment and food
all under one roof. By 2020, an estimated 50 million square feet of quality
retail space will be available across India. This is in sharp contrast to the
situation a decade ago. Then, there was not one shopping mall in India.
Today, in Delhi, Mumbai and their suburbs, there are about 100 malls. Of
the 700 new malls coming up all over India, 40 per cent are concentrated
in the smaller cities. Organized retailing in small-town India is growing at
a staggering 50-60 per cent a year compared to 35-40 per cent in the large
cities.
India's vast middle class and its almost untapped retail industry are key
attractions for global retail giants wanting to enter newer markets.

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Traditional markets are making way for new formats such as departmental
stores, hypermarkets, supermarkets and specialty stores. Western-style
malls have begun appearing in metros and second-rung cities alike,
introducing the Indian consumer to an unparalleled shopping experience.
As organized retailers carve out a bigger piece of the retail pie for
themselves it’s an exciting time for the retail sector.
With the growth of organized retailing estimated at 40 per cent (CAGR)
over the next few years, Indian retailing is clearly at a tipping point. India
is currently the ninth largest retail market in the world.
The Indian retailing sector is at an inflexion point where the growth of
organized retail and growth in the consumption by Indians is going to
adopt a higher growth trajectory.
The Indian population is witnessing a significant change in its
demographics. A large young working population with median age of 24
years, nuclear families in urban areas, along with increasing working-
women population and emerging opportunities in the services sector are
going to be the key growth drivers of the organized retail sector.
Initially, this was about Indian corporate houses rolling out malls and
supermarkets, but with Wal-Mart coming into the Indian market, the era of
the superstore is dawning.
Unlike the kirana stores that served us for decades, this new breed of retail
chains is heavily dependent on IT.
Wal-Mart, the world’s largest retailer, and Bharti Enterprises have signed
a Memorandum of Understanding (MoU) to explore business opportunities
in the Indian retail.
Review of Literature
The retail sector in India is highly fragmented and organized retail in the
country is at a very nascent stage. Of the 12 million retail outlets, more
than 80% are run by small family businesses which use only household
labour. China and Brazil, took 10-15 years to raise the share of their
organized retail sectors from 5% to 20% and 38% respectively. India too is
moving towards growth and maturity in the retail sector at a fast pace.

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Malls to move beyond the metros


The boom in the retail sector is also associated with rise of malls across
India. There are 220 mall projects in the pipeline till 2007, 139 in the big 8
cities-including the metros-and 81 in other tier II cities. Increasing
awareness levels in tier II cities are eroding the ‘urban aspiration’ lead of
the metros and the international brands have started looking at these
smaller cities to increase their penetration.
Franchising is the way ahead
The report says multinational retailers are firming up their India entry
strategies. If they are already present here, they are undergoing rapid
expansions. Franchising is gaining steam with the retailers and franchisee
activity in tier II cities is pegged to rise. The report forecasts a number of
strategic partnership opportunities between Indian and international
retailers. An international retailer looking to enter India needs to be
extremely well versed with local retail culture and know-how. The number
of states and union territories in India number 35 and languages, cultures;
habits and consumer preferences are different in every one of them.
Companies have to understand and retain customers. A 5% reduction in
customer defections can treble profits.
Objective of the Study
 To decide on the parameters which effect the customer satisfaction
while shopping for food and groceries.
 To measure these parameters.
 To analyze the existing marketing strategies of various retail brands.
 To know the quality of service.
 To suggest better marketing strategies to improve customer relations.
Research Methodology
Research Design: Research design is a detailed blue print used to guide
the research study towards its objectives. The process of designing a
research study involves many interrelated decisions. The most significant
decision is the choice of research approach as it determines how the
information will be obtained.

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The type of research is descriptive approach which means asking questions


to people who are believed to possess the desired information. It measures
the magnitude of people’s knowledge, attitudes and buying behaviour. In
survey method the data collection is through structured direct interview.
Structured direct interview is a formal questionnaire (i.e. set of questions)
that is structured and direct and the interviewer is instructed to ask the
persons those questions only in the order given in the questionnaire. This
type of interview is referred to as “Structured survey”. Its advantage is
that, less skilled interviewers can be used resulting in lower cost per
interview. It gives standardized information and hence editing, tabulating
and analyzing of the data are more easily done.
Sources of Data Collection
Primary data: It has been collected using the structured questionnaire with
personal interviews with the customers at the stores and through personal
observations.
Secondary data: It bas been collected from various magazines, papers,
Text books and related websites.
Sampling Design
Sampling Technique
Stratified random sampling: Under this sampling design item has an
equal chance of inclusion in the sample. All choices being independent of
one another. It gives each possible sample combination an equal
probability of being chosen.
 SAMPLING UNIT: The survey was conducted at five food retail
brands such as food world, subhiksha, spencers, fabmall and reliance
fresh.
 SAMPLE SIZE: Simple random sample has been taken as 100
respondents with 20 respondents from each of the retail outlet brands.
 SAMPLE DESCRIPTION: Sample is taken for this research is from
Rajaji nagar, Mahalaxmi layout of Bangalore north. Selection of
respondents for the study conducted review and feedback for 14 days.
Each day I selected the random time slot to go to stores for
interviewing customer. The procedure I adopted to distribute the
questionnaire to all the customer present in the retail stores and

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interviewed who were agreeable to answering questions. This way the


above procedure ensured randomness of respondents.
Research Analysis
The data so generated would be subjected to rigorous statistical treatment
and the inferences will be drawn accordingly. The basic analytical tools
like bar charts and pie charts will be used.
Contribution from the Study
 This research study would help the supermarkets to improve the
service.
 The study analysis the schemes employed by the supermarkets to
influence the purchase.
 The study would help to the stores in improving the existing level of
satisfaction among customers.
 The study seeks competitive analysis of pricing among retailers.
 The study contributes to identify problems if any in the field of
customer satisfaction in the grocery retail sector and come out with a
solution.
Data Analysis and Interpretation
Major Findings of the Research
1. The people who visit supermarket belong to the higher group that is Rs
15,000-30,000 per month.
2. Customers who visit store are very regular and most of the customers
who purchase daily are of fruits and vegetables.
3. The survey indicates that major of the customers purchase regularly
from the same store as store staff identifies their daily customers and
has good relationship management by store.
4. It is evident that most of the respondents make their purchases weekly
and monthly and most of the customers shop on Saturday and Sunday.
5. The study reveals that some of the customers still prefer to buy in the
tradition kirana shop as they are located in the customer’s residential
area.
6. Most of the respondents have mentioned that location conveyance,
wide range of merchandise and low prices are the main reasons for
shopping in the store.

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7. Location and ambience is rated as strongly agree and agree by


majority of the respondents in terms of attributes such as store location
is convenient, store looks modern & well equipped, ambience is
appealing and store timings are convenient.
8. It is found that the most of the respondents has rated as excellent for
the quality and merchandise components. Some of the respondents
said good and fair.
9. More then 75% of respondents have rated strongly agree and agree for
the attributes of sales personnel. Few of the respondents have said
disagree for the attribute employees are knowledgeable & friendly.
10. Service attributes has been rated very satisfied by most of the
respondents. Some of the respondents have rated satisfied for the
service attributes. Few of the customers felt dissatisfied with attributes
such as post sales problems solved immedidetly and parking is
sufficient.
11. Most of the respondents are of the opinion that very much satisfied
with shopping at supermarket and 43% of the respondents rated
satisfied at their shopping in supermarket.
Recommendations and Conculsion
 Retailers should learn quickly to build a retail brand directly and not at
factors like priming location, value pricing or product assortment to
build their business.
 Retailers should maintain customer data and communication to build a
relationship among customers
 Education and tanning of staff needs to be done to enhance customer
service.
 Retailers should use advertisement promotions to drive store traffic
For example: mailing a brad sheet to its customers giving them details
of the promotional offers available and price comparisions across
brands.
 Retailers should also understand that the retail experience has become
a popular leisure activity and they are vulnerable to any new
competition for the customer’s entertainment.
 Retailers should build their brands with images that seek to entertain
and involve their customers.

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 In an era of hyper competition retailers should adopt E- retailing which


would benefit to deliver better services, assortments, products
information, speed, price and so on.
 Retailers should maintain consistency in the visual imaginary for all
products and the other is colour coding of displays to aid easy
recognition of sections and departments.
 International brands should be made available in Supermarket.
 Supermarket should have more cash counters.
 Special offers should be notified through the e-mails.
 Improve on telephone booking and delivery.
 Supermarket should play music.
 Supermarket should display products in their corresponding sections
References
1. Marketing Management book -philip Kotter.
2. https://www.clarabridge.com/blog/the-key-to-customer-satisfaction-
analysis.
3. https://www.surveymonkey.com/welcome/enterprise/?program=7013
A000000ih75QAA&utm_bu=sme&utm_campaign=717000000588867
86&utm_adgroup=58700005408205938&utm_content=43700049186
769441&utm_medium=cpc&utm_source=adwords&utm_term=p4918
6769441&utm_kxconfid=s4bvpi0ju&utm_test=&gclid=CjwKCAiAx
Kv_BRBdEiwAyd40N05e0mAPaPIV-x_h9w3qu04Qox5T1UV1
ZTQtOfjvXf4I4H3IEPpU7xoCbVEQAvD_BwE&gclsrc=aw.ds.

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An Analysis of Digital Marketing-
Impact of COVID 19
Paladugula Tejaswini1
1
Management Trainee, SourceTrace Systems India Pvt. Ltd, Coimbatore.
E-mail Id: [email protected]

Abstract
With the development of digital era social media consumers have been
increasing and are becoming more dependent on digital marketing. The
new digital marketing channels would become more prevalent and immune
to situations like COVID 19 and companies enhancing in promoting their
products and services to diversified public. Companies are selecting
suitable marketing channels to strengthen the product brand name to
consumers and public at large and allocating budget requirements.
Companies have taken steps to assess current trends during COVID 19,
planned future realistic goals by stabilizing channels, developing
marketing contents, product messages and accessibility of product services
to outreach the consumers and at his residence. Further, organizations
have applied the marketing strategies such as pay per click, search engine
optimizations, social media, Ecommerce, Email, user generated content,
interactive content etc., to meet COVID 19 lockdown situation making
their products, services available to consumers. Because of COVID 19 the
consumers have changed their habits in the ways of bulk purchasing,
searching products on digital platforms, and spending more on groceries,
domestic, pharmacy, health care conscious products and entertainment
items while staying at home. The present study analyses the digital
marketing strategies, challenges, channels that are available to COVID 19
situational sales and also described the impact of the COVID 19 on digital
marketing.
Keywords: Digital Marketing, COVID 19, Social Media, Consumers,
Companies.

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Introduction
Digital Marketing is a component of marketing activities that utilizes
mobile phones, computers, digital media platforms to sell the products and
services. 1990s are recognized as a start for digital marketing but however
it became more sophisticated in 2000s and 2010s with the growth of
proliferation devices that access digital media. With the development of
social media platforms educated consumers became more dependent on
web marketing for their common and daily requirement from 2013
onwards. Today it has become inseparable from the concepts of marketing
and technology development. The concept of digital marketing enhances
the customer relationship management. Now a day’s consumers are using
different channels for product information and their behavior diversified
the marketing technologies. Digital marketing is also referred as internet
marketing, online marketing or web marketing.
Objectives of Study
a) To analyze the digital marketing platform and strategies that has been
working prior and during COVID 19 in the market arena.
b) To study the changing consumer, active digital sales, COVID 19
marketing challenges and successful digital companies during COVID
19
c) To give conclusions based on the study.
Source of Data: The present study is based on the secondary data on
digital marketing sustainability during COVID 19 and impact of corona on
digital marketing growth.
Methdology: The secondary data is collected with regard to digital
marketing strategies, changing consumer and market challenges prevailed
during COVID 19 and conclusions are given based on it.
Distinctive Characters
Digital Marketing offers new channels in addition to conventional that
works entirely on many online platforms. It enables enormous availability
of data to public and help companies to make better informed campaign
decisions. Digital Marketing would become more prevalent if there is
brand awareness, price benefits, quality and belief exists and it is immune
to situations like COVID 19 and strikes other situations. It is having a

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better future growth and the COVID 19 situation promoted its track to
greater extent.
 There was 5 trillion online ads growth annually in digital media by
2014 and the digital media spending growth crossing 49%.
 During the COVID 19 the digital marketing played vital role in getting
products as public was unable to move outside.
 As per Zeniths Advertising Forecasts 5% growth in expenditure per
annum and 330 billion dollars of the advertising will reach by 2021
which account 49% of global expenditure.
 The location based marketing is a great attracting point that half of the
advertisers increasing their budget. Further reduction in Instagram
rates is also an impact showing factor.
 The factors such as revenue on SnapChat rose from 1.21 billion dollars
to 1.68 billion dollars in 2019 and social referral traffic was grown by
110% in the last two years.
Brand Awareness
Brand awareness is the prerequisite of consumer buying decision. Content
market institute study reveals that 83% of digital marketing expenses are
invested on enhancing brand name in public.
Impact of Brand Awareness on Digital Marketing
 Because of brand awareness 71% of retail purchases are made in USA
and 82% of online shoppers are looking for the services from well
known brands.
 A survey by Statista projects that 231 million people in USA use
internet shopping and compare products and prices.
 According to Deloitte, one in three US consumers is influenced by
social media when buying a product and 47% interact with the brand
on social media.
Benefits of Social Media Marketing
 Company can promote diversified large audiences at social media
platforms at little cost or no cost.
 Companies directly deals with customers on personalized and direct
marketing and feed back is allowed on both the sides.

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 It facilitates resolving of issues, obtains competitors information and


boosts competitive advantage.
Advantages of Digital Marketing
All types of businesses have made access to the mass market at affordable
prices and develop personalized marketing. It enables global reaching of
companies and their diversified products with low cost if planned properly.
 Companies can get detailed information about customers and could
assess easily the effectiveness of campaign.
 By getting involved with social media, company can build customer
loyalty and create reputation.
 Company can promote diversified large audiences at social media
platforms at little cost or no cost.
 Companies directly deals with customers on personalized and direct
marketing and feed back is allowed on both the sides.
 It facilitates resolving of issues, obtains competitors information and
boosts competitive advantage.
 By using content marketing strategy company can gain social currency
and passing content by user to user becoming a viral. Digital
marketing can be seamless and immediate.
Channels of Digital Marketing
All digital channels are important, feed off each other, create interactive
platforms that lead more traffic conversations and promote the product
purchases. Digital marketing tools and techniques monitor with great
accuracy for effective sales promotion. The following channels perform its
functions to drive traffic to website, online product platforms.
a) Organic Research, b) Direct, c) Social Media, d) Paid Search, f) Referral
and Email f) Affiliating third party resellers such as GroupOn, Rakuten,
Amazon, eBay and Etsy.
Digital Marketing Steps of the Companies
 Explore current trends in fast changing environment and practices and
modifications to optimize strategy.
 Analyze the past tracks achieved, define future realistic goals, plan in a
smart achievable way and protect future maximum hurdles.

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 Select suitable digital marketing channel to suit the product, brand


name, consumers and public at large. For this, analyze the features,
characters, costs and outreach level of the channels and develop the
content to coincide its inbuilt capability.
 Finally allocate the budget required and frame time scheduled for
realistic strategy to surpass in the consumer market. Digital marketing
strategy involves efforts in many different areas to improve and
optimize overall strategy.
Challenges for Companies
Consistency in creativity, brand presence, digital marketing toolkits and
efforts of quality, engagement, conversation etc., all lead to growth of
business. Digital marketing can be used to drive sales, build awareness,
collect leads and rollout promotions. Several challenges are:
 Identify the buyers personal to develop right message.
 Challenge of building informative and attractive website to deliver
correct message is needed.
 Good quality and relevant content will strike a resonance with target
audience and content creation is a significant challenge.
 Social media is a crucial channel; it can keep developing and adding
more fans and followers over time with content consistency and
creativity.
 Match the business objectives, strategies, budgets and product sales.
Digital Marketing Strategies
Digital marketing aims to achieve brand awareness, audience growth,
generate more leads and conversations, increase engagement and
interactions leading to increased sales. Digital marketing consists of free
and paid strategies to boost.
Companies Market Effort Online
 Pay per Click: It is a pay to play format to get Google search results
that reaches 90% percent of people on the internet. The display
network and search network possibly show targeted ads on Google
during different stages.

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 The search engine optimizations provide solution to problems, attract


qualified traffic, increase web visibility and brand authority and
improve conversion rates.
 Social Media Marketing: Major brands are always using face book,
Instagram, twitter, LinkedIn, you tube in a creative and precise way to
increase engagement and improve brand perception. Face book is the
main content distribution channel, Instagram is a big social media
platform and twitter has the largest users globally.
 Ecommerce and E mail marketing both are conversion means of
product sales. E commerce website with its three pillars such as blog
post, category page and product pages develops visual appealing on
products and services focusing on to drive buyers to get them and opt
in to list of offerings.
 Interactive Content: It delivers value and generates user participation
at different stages during awareness and consideration stage that build
trust user engagement to share the email addresses. It allows clearer
measurement and sixty percent of businesses are using it.
 Live experiences is a natural possible interaction, brings a feeling of
urgency and importance to the content and brand, the possible
comments will help to increase positive behavior of buyers.
 User generated content allows public to generate content from brand
incentives that increases closeness between company and consumer.
 Digital marketing institute has suggested that 49% of purchases will
depend on the recommendation of a credit worthy person in the
society; consumers need the motivation verdict of the people they trust
and believe companies are investing in social media tools.
Impact of COVID-19 & Changing Consumer Behaviour Due to the
Pandemic
Global Pandemic
Corona virus pandemic has caused global social and economic disruption,
global recession, cancellation of events, supply and food shortages,
decreasing emissions and agricultural disruptions and lockdown situation
all over the world. The corona virus fear has psychologically affected
minds of public and most of the brands started showing variation in the
marketing. The fear concern visibility affected social behavior. Most of the

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brands are showing variations in their marketing communication and


influencing the consumer choice.
 Reduced incomes, lower economic activity, consumers spending more
on groceries and household supplies rather than other products is the
situation of COVID19. As per Mckinsey 10% growth in online
business was witnessed across all categories during the pandemic. And
nearly 25% of new consumers have entered into online marketing and
services.
 People purchased bulk pack size products to consume and store to
avoid future marketing hardships.
 As corona was on the rise, the economy level gradually decreased and
consumer has adopted online particularly educated youth resorted to
online purchases.
 During COVID 19 consumers are caring for themselves using virtual
tools. Consumers are spending food groceries, household items and
also on entertainment. And resulted increase in use of health and
fitness supplements community purchase through apps websites.
 Consumers are avoiding purchasing in crowded stores focusing on cost
consciousness and keeping in view sustainable options. Soul trace and
Kaya revealed that there was 30% increase in online sales. Further,
Ecommerce, Myntra viewed-seven lakh new consumers utilized online
market.
 Ecommerce is gaining popularity with brand awareness increase in
virtual reality shopping and consumers habituated to new habits and
also carefulness about health.
Impact of COVID-19
 The online buying has increased and the physical buying came down.
The tourists and travel brands needed to create reposition.
 Consumer behavior changes fundamentally due to economic crisis that
is affected by COVID 19. The environment crisis heavily impacts
decision making process of the consumer who faces risk of losing job
and reduction in incomes. The risk of illness pressure of corona virus
has changed the lifestyle of consumers very rapidly.

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Escalation in Digital Marketing of Companies due to COVID-19


 The digital sales are increased by 18% and the traffic on digital
platforms by 13% in 2020.
 The general shopping landscape is changing such that the groceries,
household goods, pharmacy and general merchandise goods are having
more demand and 14% of mobile wallets are selling through Email.
 Market trends are moving towards market from home, right message at
right time and budget optimization and digital channel adoptions.
COVID-19 Marketing Challenges
 The marketing mix of customer sentiment and digital landscape should
be such that marketers must be sensitive to COVID 19 economic
environment and marketing messages should satisfy the customers and
public.
 The customer signal hubs enable the companies to actively respond to
customers through multiple digital channels and experiences are
synthesized and shared by purchasers and companies.
 The Global demand centre owns marketing strategy for demand
generation, campaigning management to gain customer consent and to
nurture their potentiality.
 During COVID 19 marketing budgets are reduced but even though it
has to boost customer’s stability and consent and also revenue growth.
 Marketing challenge is to use digital technology for wide range online
purchases and developing the techniques to enable customers friendly.
 The listening tools. Social listening dashboard could promote brand
sentiment, management reputation and extends opportunities to
companies and customers.
 COVID 19 digital technologies will empower companies to reinforce
customer’s responsiveness by enabling customer centricity and more
adaptable solutions make business services more flexible for virtual
consumers.
Innovative & Successful Digital Marketing Campaigns during
Covid-19
 The marketing strategy of Cadbury for COVID 19 is “THIS
DOESN’T NEED TO END” during lockdown has captured real
moments from the consumers across the globe.

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 The Dove teams digital campaign-“COURAGE IS BEAUTIFIL” to


encourage the front line healthcare workers. The brand has announced
5 million pounds worth products and protective equipments to
governments and NGO’s. It has reminded self care tips to avoid
corona. Many such as Ford, Heineken, Ikea etc, brand companies
successfully campaigned in the context of corona.
Conclusions
The following are the conclusions of the study,
 During COVID 19 digital marketing played vital role in getting
products as public was unable to move outside.
 There was 5 trillion online ads growth annually in digital media and
spending growth was 49%.
 Brand awareness increased, consumer habits changed digital platforms
are heavily being using by educated persons and successful social
media channels are coming into existence. COVID 19 has promoted
the digital marketing strategy channels.
References
1. AdamEnfroy.com written by Rock content(Global Company), 10 Best
Marketing Strategies for Digital Growth (2021) (adamenfroy.com),
2. Himanshu Vadhwani|21st May 2020, How Digital Marketing is New
Turn to Businesses in COVID-19, https://yourstory.com/mystory/
digital-marketing-new-turn-businesses-COVID-19?utm_pageload
type=scroll.
3. Durga Bhavani|21st Nov 2020, Sales Challenges for New Companies
2020, https://yourstory.com/mystory/sales-challenges-new-companies-
2020?utm_pageloadtype=scroll.
4. Mind Strom, Dec 14, 2020, successful digital marketing campaigns of
COVID-19, Successful Digital Marketing Campaigns of COVID-19
(mindstorm.in).
5. Birbahadur Kathayat, July 23, 2020, The impact of Coronavirus on
digital marketing and effective solutions, The impact of Coronavirus
on digital marketing and effective solutions (searchenginewatch.com).
6. NIBUSINESS, Develop a digital marketing plan: Advantages and
disadvantages of digital marketing, Advantages and disadvantages of
digital marketing | nibusinessinfo.co.uk.

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7. Nabil Friej- June 3, 2020, COVID 19 Impact on digital marketing,


COVID-19’s Impact on Digital Marketing | SCORE.
8. Published by MBA Skool Team, Published on July 02, 2012,
Challenges Of Digital Marketing, Challenges Of Digital Marketing |
Business Article | MBA Skool-Study.Learn.Share.
9. Sammeha Iyer, July 10 2020, Top 12digital marketing challenges
2020, Top 12 Digital Marketing Challenges in 2020 (henry
harvin.com).
10. Wipro digital, April 29 2020 The top marketing challenges amid
COVID 19 and how to overcome them The Top Marketing Challenges
Amid COVID-19, and How to Overcome Them (wiprodigital.com).
11. Deloitte, Changing consumer, digital marketing and impact of
COVID-19, Changing consumer, digital marketing and impact of Covi
(deloitte.com).
12. Abilash Kumar Singh, SEP 12, 2020, 10:30 IST, Impact of the
COVID-19 pandemic on consumer behavior, Impact of the COVID-19
pandemic on consumer behavior (indiatimes.com).
13. Dr. Surabhi Singh, MAY 09, 2020, 22:50 IST, Impact of COVID-19
on consumer behaviour, Impact of COVID-19 on consumer behaviour
(indiatimes.com).
14. The Indian Express, Thursday, December 31, 2020 Explained: How
the COVID-19 pandemic has changed consumer behaviour,
Explained: How the COVID-19 pandemic has changed consumer
behaviour | Explained News, The Indian Express.

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15
Consumer Buying Behaviour towards
Health Insurance in Gujarat
Dr. Dharmendra S. Mistry1, Dr. Pallavi C. Vyas2
1
Professor and Principal, Prin M C Shah Commerce College, Ahmedabad, Gujarat.
2
Assistant Professor and Head of Economics Department, Prin M C Shah
Commerce College, Ahmedabad, Gujarat.
E-mail Id: [email protected], [email protected]

Abstract
Health insurance has become inevitable due to changes in life style and
genesis of varieties of diseases. Urbanization and industrial development
have created issues of water pollution, air pollution, soil pollution and
ultimately created threats to the life of people which has also made health
insurance inevitable. The present study focuses on buying behaviour
towards health insurance in Gujarat. The present study is based on
primary data collected with the help of structured questionnaire. The study
found that There is significant influence of demographical factors (such as
Region, Educational Background, Income and Age) on buying behaviour
towards health insurance. It can be said that most of the individuals in
Gujarat are without health insurance and those who are having health
insurance have inadequate health insurance coverage. Those who have
Health Insurance, they buy for family and meeting increasing or high
health care cost. The most commonly cited reasons for not taking health
insurance policy was poor service provided.
Keywords: Buying behaviour, Health Insurance, Demographical Factors,
Health Care.
Introduction
According to the Several studies and government records, considerable
part, even up to three fourth of health care expenses are borne by
individuals and in about 40% of the cases, this leads to huge financial
liability for the affected families. This is further compounded by the
government policy to gradually withdraw from secondary and tertiary
medical care, opening up the field for private sector which inherently is

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profit motivated. Moreover, life styles are changing which results into new
disease patterns that invite for long term medication, coupled with the cost
of medical care. The state of Gujarat has been considered to be developed,
advanced in health care and people are believed to be health conscious,
especially in preventive medical care. In spite of this, the incidence of life
style diseases is high in Gujarat.
Hence, the present study aims to study buying behaviour towards health
insurance as well as to understand the factors influencing the purchase
decision of health insurance policies in the state of Gujarat. The study has
been based on Primary data collected through structured questionnaire. It
is hypothesized in the present study that there is no significant influence of
demographical factors on buying behaviour towards health insurance of
the respondents.
Therefore a study on factors influencing consumer purchase decision in
the health insurance market is relevant for two reasons: 1) The existing
shortage of studies and research gap in an area which is having social
relevance and 2) To understand consumer disposition towards health
insurance concept and the reasons for purchase or non-purchase of health
insurance.
Literature Review
Author and Major Findings
Year
(Dewey, Proposed the classical five stage model of the
1910) consumer buying process. Stage 1: Problem or need
recognition, Stage 2: Information search , Stage 3:
Evaluation of alternatives, Stage 4: Purchase decision,
Stage 5: Post purchase behavior
(Zeithma & Consumer decision making involves a number of sub-
Berry, 1988) concepts. Some researchers have suggested that
consumers are 'value driven'. A consumer's perceived
value may be seen as an expression of 'an overall
assessment of the utility of a product (or service)
based on perceptions of what is received and what is
given. The consumer decision making happens after
the consumer’s evaluation of their perception.

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(Hansen, Several perspectives have been considered in the


2005) consumer behaviour and consumer decision making
process. Some factors that form these perspectives are
price, attitude, awareness, risk perception etc. The
price affected perceived quality, which in turn affected
attitude, which in turn affected buying intention of the
consumer.
(Patel, 2002) Lack of consumer awareness of where to get health
insurance, what it costs and what options exist is a
critical barrier that prevents many people from
obtaining coverage in the individual market. The
employee’s indifference towards the insurance
schemes can be overcome at least partly through
education efforts and products that make LTC
insurance contingent on life and disability sales.
(Sidhardha & It was found that family, advisors and self-interest are
Sumanth, major drivers in investing in insurance. The study
2017) shows that tax benefits, risk coverage and growth.
Majority of the customers tries to seek insurance
policies from insurance advisors and they prefers to
take insurance for himself/herself and for his children
and Insurance form Public sector insurance companies
than private sector insurance companies. The
periodicity of i
(Yadav & The consumer decision to purchase insurance product
Tiwari, 2012) from different insurance companies can be affected by
several factors like age, gender and income level. The
features of policy that attracted policyholders such as
company reputation, money back guarantee, risk
coverage, low premium and easy access to agents.
Buyers have opted for LIC policies because of safety
and rest of the respondent's opted for private players
for higher returns.
(Suman & Majority of public use television for entertainment or
Kapoor, 2014) information gathering, followed by friends and family
and newspaper. Radio is seems to be outdated in urban
areas. But after revolution in mobile technology and
satellite radio it again starts growing. Majority of the

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public goes behind brand name. That’s why corporate


advertising plays a vital role in growing stage. It is
also found that Insurance companies like to give their
ads in News/Business channel. It may be because of
Insurance is related to finance and Insurance is mainly
taken as a tax saving instruments.
(Lulla & Young population is more interested in private sector.
Monu, 2015) But aged group were more interested in taking policies
from public sector because their mindset is already set
to the feeling that security and safety is more in public
sector than in private sector. People having lower
income prefer to buy public sector insurance product
whereas the people having higher saving prefer to buy
private sector insurance product due to product
diversity, customer centric approach, easy accessibility
and technological advancement.
(Jetawat & It was found that Services quality by insurer,
Mistry, 2017) socialization of respondents and Ease of access factors
means difference is not significantly different in case
of gender wise and are equally influencing male and
female respondents and so accordingly PODs and
POPs can be designed for branding by insurance firm.
Marital Status wise mean difference is highest for
service qualities provided by insurer, Ease of Access
to Customer and Concerns for family needs of
customers, so insurance companies thus should try to
maintain the timely and satisfactory service, ease of
access for customers and understanding needs of
customers especially i.e. Married customers by
carrying out marketing research as majority of
respondents in this study were married respondents.
(Arual Minesh It was found that people who have bought their policy
Rajkumar & because some agent coaxed him, is not satisfied with
Kannan, 2014) their existing policy and some even remarks that life
insurance is not necessary at all in today's scenario.
People still prefers LIC over other private players. In
fact, people have made the name LIC synonymous
with insurance. It was found that the most important

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reason, why a customer to buy an insurance product is


Tax Rebate. This pattern is very prominent among the
younger individuals, who have recently become
financially independent. Older people consider life
coverage as the most important reason. Internet proved
to be the most prominent information source among
the people. Again, this pattern is more prevalent
among the youth. Friends and peer groups were also
considered as an important information source by the
people. People regard advertising and word of mouth
as very relevant factors for selecting a company. The
advertising can be any form like print media,
television commercials or other electronic media.
Word of mouth account for the goodwill of the
company, which it has earned through its years of
devoted and dedicated service to its customers. Agent's
knowledge influences greatly the purchase decision of
a customer. The way he behaves and presents himself
also affect the buying decision of the customer.

From the above review of empirical works, it is clear that different authors
have approached buying behaviour for insurance products in different
ways in varying levels of analysis. These different approaches helped in
the emergence of more and more literature on the subject over time. It
gives an idea on extensive and diverse works on buying behaviour for
insurance products. It has been noticed that the studies on consumer
purchase decision of insurance products in various aspects provide
divergent results relating to the study period overlap or coincide. The main
reason for divergence in the results is use of different method for the
measurement of buying behaviour. All the studies aimed to analyze
buyers’ behaviour towards insurance products in India & abroad with
number of factors. The survey of the existing literature reveals that no
specific work has been carried out to examine and ascertain buyers’
behaviour towards insurance products in Gujarat. The present study is an
attempt in this direction and therefore, aims to enrich the literature on
Consumer Purchase Decisions of Health Insurance.

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Objectives
 To study buying behaviour towards health insurance.
 To understand the factors influencing the purchase decision of health
insurance policies.
Methodology
Geographical coverage
Hence, the research work had geographical coverage of Urban areas of
Gujarat i.e. all eight municipal corporations-Ahmedabad, Surat, Vadodara,
Rajkot, Jamnagar, Junagadh, Bhavnagar and Gandhinagar-together
constituting about 75% of the total urban population.
Sampling Method and Sample Size
The research study has used multi stage random sampling as the method of
sampling. The sample size of the present study was 800 respondents from
all the 8 municipal corporation of the State of Gujarat.
Research Instrument: Questionnaire
Data has been collected using a structured questionnaire based on literature
study. The questionnaires have been delivered in person to the respondents
to ensure better response rate and completed questionnaires have been
collected, providing opportunity for the respondents to clarify point, if any.
Research Design
To understand the buying behaviour of the respondents about health
insurance in Gujarat, the data pertaining to demographical factors (such as
Educational background, Occupation, Income, Age) and variable (such as
hospitalization, medical expenses, source to meet heath care expenses,
health insurance coverage, reasons for having and not having health
insurance) has been collected and analysed. The following hypothesis was
framed:
Null Hypothesis-There is no significant influence of demographical factors
on buying behaviour towards health insurance of the respondents.
Alternate Hypothesis-There is significant influence of demographical
factors on buying behaviour towards health insurance of the respondents.

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Hypothesis Testing
The primary data collected was coded and tabulated and analysis was
conducted using MS Office-Excel
Limitations
The present study has also faced problems due to some external factors
which were out of control. Though an effort has been made to ensure
correctness of data collected, it might be possible that some of the
respondents have not provided accurate data. The geographical scope was
limited to the state of Gujarat. Hence, the generalisation of findings might
be limited to societies similar to Gujarat.
Result and Discussion
Age Category of Respondents

The age group of the respondent is


Percentage of Respondents an important factor as age
in Different Age Groups represents where the respondent is
Percent located in the family life cycle.
All regions had fair distribution of
26.0 respondents in different age
25.1
22.7
groups. The highest number of
respondents was in the age group
of 31-40, while the lowest number
16.3
of respondents was in the age
group of above 60. 75 percentages
9.9
of the respondents had the age
ranging from 18 to 50 years and
hence the results of the present
study would be very useful
because it would be based on
18 - 30 31 - 40 41 - 50 51 - 60 60 +
opinion of young and middle aged
people who generally delay the
decision of buying of health
insurance.

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Gender-wise Breakup

Region Wise Male- Female Respondents

Male Female

Vadodara 59.86394558
40.13605442
Surat 89.61038961
10.38961039
Rajkot 60
40
Junagadh 96.20253165
3.797468354
Jamnagar 85.71428571
14.28571429
Gandhinagar 83.51648352
16.48351648
Bhavnagar 79.75460123
20.24539877
Ahmedabad 69.75308642
30.24691358

Out of total respondents investigated for this study, overwhelming majority of them were males (80%) whereas
less percentage was found to be female (20%). In an Indian society the household are normally headed by the
males. It is also observed that in developed cities i.e. Vadodara, Rajkot and Ahmedabad response from women
was found to be good as compared to the developing cities i.e. Bhavnagar, Gandhinagar and Jamnagar; while the
cities having dominance of rural population i.e. Surat, Junagadh have very low participation from women.

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Occupation

Occupation

Self Employed/Business 49.40


Private organisation service 26.57
Practicing Professionals 2.17
Others (eg NRI) 3.62
Government Service 10.75
Agriculture 7.49

0.00 10.00 20.00 30.00 40.00 50.00 60.00

Percentage

Individual’s occupation does have a bearing on his personality and so also the ways of looking at the problem
before him. The quality of life and health is also determined by an individual’s occupation and the income he
derives from it. Occupation of an individual also influences him or her in buying particular health policy or
insurance policy which in turn reflects pattern of behaviour and level of understanding of particular phenomenon.
Hence, occupation was investigated by the researcher as one of the variables for the present study. As people of
Gujarat are business minded, about 50 percentages of the respondents were self-employed and about more than 40
percentages of respondents were working in public and private organisations and professionals. About 10
percentages of the respondents were employed in agriculture and other economic activities including NRI. Hence,
the sample represented fair participation of the respondents as far as occupation was concern.

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Education

Below Graduation
Degree Holder (Other than Professional Degree)
Post Graduate (Other than Professional Degree)
Professional Degree Holder
3%

7%

28%
62%

Education is one of the most important characteristics that can affect the individual’s attitudes and the way of
looking and understanding any particular phenomena. Hence, the variable ‘Educational Level’ was investigated by
the researcher and it was found that educational background varied from region to region and 61 percentage had
education below graduation level, 28.45 percentage were educated up to degree level, 7 percentage attained post-
graduation and only 3 percentage of the respondents were holding professional degree. It was found that due to
low level of educational background, much effort should be required to create awareness about health insurance
among people in Gujarat.

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Marital Status

Marriage is one of the most important social institutions in a


Marital Status
developing country like India. The buying behaviour regarding
health insurance and attitudes of the person can also differ by the
marital status of the persons because the marriage might make
the persons little more responsible for health and influence
buying decision of health insurance. The present study,
therefore, consisted of the variable “Marital Status”. It was
15.74 observed that 84 percentages of the respondents were married
and the remaining 16 percentage were unmarried. Therefore, it
Married was also observed that respondents preferred to have family
health coverage rather than individual coverage.
Single

84.26

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Income and Medical Expenditure

Family income of an individual plays an important role


Family Income to shape the economic conditions of an individual and
also represents capacity of expending (including health
35.00 32.83 32.37
insurance expenses) and life style of the individual. The
30.00 researcher, therefore, in this study attempted to
25.00 investigate the family income as one of the variables.
21.66
64% of the respondents were having family income
20.00 ranging from Rs. 5001 to Rs. 25000. About 21.66
15.00 percentages of the respondents were having family
income of Rs. 25001 to 50000, whereas only 7.03
10.00 6.11 7.03
percentages of the respondents were having family
5.00 income of more than Rs. 50,000. The family income
0.00 was found to be in accordance of their occupation.
< 5000 5001 to 10001 to 25001 to > 50000
10000 25000 50000

Percentage

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An average monthly medical expenditure of the


Avg. Monthly Medical Expenses ('000 Rs.)
respondents is inclusive of the cost of medicines
90.00 81.39 purchased, occasional minor hospitalization and
80.00 doctor’s consultation charges. About 81.39 percentages
70.00 of the respondents expended less than two thousand
60.00
rupees per month on medicine. The rest had medical
expenses ranging Rs. 2,000 to 10,000 per month. It was
50.00
found that most of the respondents felt that the health
40.00 care cost has been increasing significantly day by day.
30.00 Hence, the present study would be helpful to make
20.00 buying decision of health insurance to meet health care
6.15 8.83 cost.
10.00 1.10 2.52
0.00
<2 > 10 2-5 5-8 8 - 10

Percentage

Relation between Income and Expenditure


Spending of an individual is influenced by income of an individual. Hence, to prove statistical significance of the
relation between income and expenditure, Chi-square test was attempted. The test was found to be significant
(with p value (.002283) < 0.05 and the chi-square statistic of 36.7375) and hence the relationship between monthly
income and monthly expenditure explained above were statistically significant.

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Hospitalization

Hospitaization
As idea about requirement of Health Insurance can be known
from hospitalization of the respondents. The higher the
chances of hospitalization, the greater the chances of buying of
health insurance. Hence, variable “Hospitalization” has been
14 studied. It was found that 86 percentages of the respondents
were not hospitalized and hence they did not feel the need of
health insurance. The health insurance providers are required
to convince them health insurance will provide safety and
protection to the entire family against uncertainty of heath care
requirements.

86

NO YES

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Meeting Health Care Expenses and Status of Health Insurance in Gujarat

Status of health insurance and attitude of individual


towards it can easily be judged the way in which medical
expenses are met. Hence, the researcher has studied the
variable “Meeting Health Care Expenses”. On one hand
only 9 percentages of the respondents met their health
care cost from health insurance policy and 32
percentages received government aid for the purpose,
while on the other hand 38 percentages used their own
funds for the purpose. It can be said that most of the
individuals in Gujarat are without health insurance
coverage. Hence, there is huge opportunity for the health
insurance providers in the state of Gujarat.

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From the variable “Meeting Health Care Cost”, it was


possible to get Gross Idea about the status of Health
Insurance. To have clear idea about thereof, simple and
straightforward variable “Status of Health Insurance” has
56 been included in the present study and it was found that 54
54 percentages of the respondents did not have health insurance.
52 This has confirmed the findings of the variable “Meeting
50 Yes No Health Care Cost”.
48
46
44
42
40

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Health Insurance Coverage

After getting status about health insurance, it has become


necessary to know the actual coverage of health insurance.
Hence, the “Sum Assured” was studied and it was found
that out of 800 respondents, 46 percentage of them had
health insurance and only about 8 percentage of them had
health insurance coverage of Rs. 5,00,000 and above. This
shows inadequate health insurance coverage because of
< 50,000 lack of awareness, high premium for high coverage and
100 50.83
30.39 50,000 - < 1,00,000 mind set of people of not feeling need of health insurance.
4.9713.81 7.73
0 1,00,00 - < 2,00,000

Coverage of Health 2,00,000 - < 5,00,000


Insurance
5,00,000 and Above

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Awareness about Health Insurance

Awareness about the various aspects pertaining to health insurance service


and its availability being pre-requisites for purchase decision. Hence, the
level of awareness about health insurance (Contributing Awareness of
benefits of health insurance, Awareness of schemes offered by insurance
companies, Awareness of disease not covered in insurance schemes,
Awareness of Cost of health insurance premium and Awareness of Claim
procedure.) among the sample under consideration was measured based on
six factors on a self-rating basis and the consolidated value was taken. It
was found that there was significant influence of demographical factors
(such as Region, Educational Background, Income and Age) on level of
awareness.

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Reasons for Having and Not Having Health Insurance Coverage

Reasons for Having Health


People buy if they have necessity and willingness to buy.
Insurance Hence, the Variable “Reasons for Having Health Insurance
Coverage” has been part of the present study.
It was found that people bought health insurance with a
Expecting Health reason to have Better Health Care for Family, followed by to
Problem
meet Health Care Expenses, to have Protection against
Rising Cost of Health Care, to avail Benefits of Tax and
Tax Benefits Attractive Schemes, and to have Protection against Rising
Cost of Health Care. It was found that people bought for
family and meeting increasing or high health care cost. The
17 0 12 Better Health vary purpose of health insurance i.e. protection against
14
Care for Family expecting health problem as well as protection against rising
17 cost of health care was least motivating factor to buy health
30
Attractive
insurance. Hence, there is great need for creating awareness
Schemes about health insurance and for introduction of customized
health insurance products.

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People do not buy, if no motivation to buy is found. To


make people Buyer from Non Buyer, it is equally important
to know the reasons for not Taking Health Insurance. Hence,
“Reasons for Not Taking Health Insurance” were studied by
16 17
the researcher. The most commonly cited reasons for not
Do Not Feel The taking health insurance policy was poor service provided,
22 13 Need followed by high premium, Did not feel the Need of Health
No Return for
Insurance, Shortage of Disposable Funds, No Returns for
11 21
Investment investment and Availability of Alternate Sources. Hence,
health insurance providers are required to remove myth
High Premium
Charged about health insurance by improving services, explaining the
importance of having health insurance and its benefits in the
Alternate
Sources
long run or old age or for elderly family members.
Poor Services
Provided
Shortage of
Disposible Funds

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Major Observations

1. There is significant influence of demographical factors (such as


Region, Educational Background, Income and Age) on buying
behaviour towards health insurance (Contributing Awareness of
benefits of health insurance, Awareness of schemes offered by
insurance companies, Awareness of disease not covered in insurance
schemes, Awareness of Cost of health insurance premium and
Awareness of Claim procedure) of the respondents. Awareness is
found to be very low about selection of suitable health insurance
products.
2. It can be said that most of the individuals in Gujarat are without health
insurance and those who are having health insurance have inadequate
health insurance coverage. People meet Health Care Cost from their
own pockets or under Government Schemes.
3. Those who have Health Insurance, they buy for family and meeting
increasing or high health care cost. The vary purpose of health
insurance i.e. protection against expecting health problem was least
motivating factor to buy health insurance.
4. The most commonly cited reasons for not taking health insurance
policy was poor service provided, followed by high premium, Did not
feel the Need of Health Insurance, Shortage of Disposable Funds, No
Returns for investment and Availability of Alternate Sources.

Conclusion

The above observations show clear reasons discriminating between Non-


Buyers and Buyers. Health insurance providers are required to remove
myth about health insurance by improving services, explaining the
importance of having health insurance and its benefits in the long run or
old age or for elderly family members. Hence, there is great need for
creating awareness about health insurance and for introduction of
customized health insurance products through the appropriate promotion
strategy with a view to facilitate them to take buying decision of health
insurance and thereby to make them Buyers from Non-Buyers.

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References
1. Arual Minesh Rajkumar, P., & Kannan, N. (2014). Factors Affecting
Customer's Preferences for Selection of Life Insurance Companies:An
Empirical Study with Reference to Tamilnadu. International Journal
of Accounting & Business Management, 2(1), 87-95.
2. Dewey, J. (1910). How We Think. Boston, MA: D C Health & Co.
3. Hansen, T. (2005). Perspectives on consumer decision making: An
integrated approach. Journal of Consumer Behaviour, 4(6), 420-437.
4. Jetawat, P. H., & Mistry, S. H. (2017). Demographic Analysis of
Factors Influencing Purchase of Life Insurance Products in Gujarat.
International Journal of Engineering Development and Research,
5(3), 1087-1094.
5. Lulla, R., & Monu, B. (2015). Changing Perception Of Consumers
Towards Insurance Products (A Comparative Analysis Between Public
Sector & Private Sector Companies). International Journal of
Engineering Technology, Management and Applied Sciences, 3(March
(Special Issue)), 605-615.
6. Patel, V. (2002). Raising awareness of Consumer’s options in the
Individual Health Insurance Market. Health Aff (Millwood)(July-
December, Suppl Web Exclusives), 367-371.
7. Sidhardha, D., & Sumanth, M. (2017). Consumer buying behavior
towards life insurance: An analytical study. International Journal of
Commerce and Management Research, 3(7), 1-5.
8. Suman, S., & Kapoor, M. (2014). Advertising Effectiveness on
Consumer Decision Making & Decision Making : Study ofInsurance
Industry. International Journal of Advancements in Research &
Technology, 3(1), 83-94.
9. Yadav, b., & Tiwari, A. (2012). A Study On Factors Affecting
Customers Investment Towards Life Insurance Policies. International
Journal of Marketing, Financial Services & Management Research,
1(7), 106-123.
10. Zeithma, P. A., & Berry, L. L. (1988). SERVQUAL: A Multiple- Item
Scale for Measuring Consumer Perceptions of Service quality. Journal
of retailing, 64(1l), 112-117.

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16
A Comparative Study of Consumer
buying Behaviour towards Chips with
reference to Bingo and Lays
Mr. Devaraj B. Dodamani1, Mr. Venkatesh Malali1,
Ms. Bhuvaneshwari D1, Ms. Anita Naragund1,
Mr. Vikas Parvati1
1
Students, MBA Department, Global Business School, Hubli, Karnataka, India.

Abstract
Purpose- The aim of this article is to study consumer buying behavior
towards chips withreference to Bingo and Lays”using factor analysis
approach
Research design- In this paper, variables were identified with the help of
literature Review, which set the relationship between demographics and
tool factor analysis between demographics through which we can study
and establish interrelationship among them.
Findings- The result of Factor analysis identified that, there are Eight
prominent factors, they are: Taste, Availability, Variety, Quality,
Packaging, Price, Visibility, Flavors.
Research limitations- The factor analysis has the prominent factors listed
by inputs of the primary data and which could be biased and may
influence and reliability of the model. The factor analysis does not provide
the ranking or hierarchy of the factors in the research, which may be fixed
using ISM-interpretive structural modelling.
Originality- This study has bbeen made in the period of Sep 2020- Dec
2020 to explore the feasible relationship of Ddemographics and factors of
the consumer buying behaviour to understand the perception ofconsumers
towards chips in Hubli-Dharwad.
Keywords: Buying behaviour, Brand preference, Snacks food.

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Introduction
The Indian food industry is poised for huge growth, increasing its
contribution to world food trade every year. In India, the food sector has
emerged as a high-growth and high-profit sector due to its immense
potential for value addition, particularly within the food processing
industry.
The food industry, which is currently valued at US$ 39.71 billion! is
expected to grow at a Compounded Annual Growth Rate (CAGR) of 11
per cent to US$65.4 billion by 2018. Food and grocery account for around
31 percent of India’s consumption basket.
Accounting for about 32 per cent of the country’s total food market, The
Government of India has been instrumental in the growth and development
of the food processing industry. The government through the Ministry of
Food Processing Industries is making all efforts to encourage investments
in the business. It has approved proposals for joint ventures (JV), foreign
collaborations, industrial licenses and 100 per cent export-oriented units.
Literature Reviews
 Tempting food words activate eating simulations: Papies, 15
November 2013-The study of Tempting food words activates eating
simulations of eating the food includes lot of test and texture
temperature off food, situations of eating food, etc.Here in this
literature, we can find the chips especially potato chips are shown ass
unhealthy food because people are forgetting natural and health food
for snacks.
 Effect of ripening on eating quality of keitt mango chips: F.
Appiah, P. Kumah, I. Idun, J.R. Lawson (2009)-As per this article
consuming Mango can provide vitamins A, B & C to our body but
Mango is seasonal fruit so it will be stored and make use as per
requirement. Chips showed increased levels of protein and crude fiber
with ripening whereas the levels of carbohydrates declined.
Magnesium levels in chips increased with ripening whereas the levels
of phosphorus, potassium, calcium and sodium declined.
 Fish and chips with a side order of Trans fat: The nutrition
implications of eating from fast food outlets: Sue Lloyd Martin
Caraher Tim Madelin (2010)-The article says that chips and fish are

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likely to be high tin less healthy, saturated fat, because the oil that they
are cooked in will most likely have been used a number of times. This
will be cooked with remaining fried oil which is not good to human
body where in this case was studied on school and college children.
 The only Problem is, children will like their chips’: education and
the discursive production of ill-health: John Evans, Bethan Evans &
Emma Rich (2006)-Eating chips is an extension of the restricted
dietary practices of the home into the school canteen. Although the
concept of lifestyle features prominently in this discourse, it is
fundamentally disconnected from the sociocultural conditions that
pupils may experience.it is he or she who will determine the
authenticity of the patient’s/pupil’s condition. Help feed and define a
culture that builds pressures for perfection and competence that are
impossible and even undesirable to achieve. Rather than having palate
full of fruit now it is chips.
 Taste or health: A study on consumer acceptance of corn chips:
Beverly J.TepperAmy C.Trail (1998)-In this this case After evaluating
305 adult consumer data shows result that Data were analyzed using
unique factors like, perception about the corn chips , health dimension
and respondents attitude towards fat in diet and sensory attribute like
color & crunchiness of respondents.
 Modification of Fishbein and Ajzen's theory of reasoned action to
predict chip consumption: G.Towler R.Shepherd-This article
explains that 288 respondents replied for questionnaire of consumption
of high fat food item I.e. chips. The important predictor reported that
the theory of reasoned action is both the person’s attitude and the
subjective norm also perceived control over predictor of intention of
behaviour.
 Construal levels of healthy eating. Exploring consumers’
interpretation of health in the food context: Amber Ronteltap Siet
J.SijtsemaHans DagevosMariët A.de Winter (2012)-Health of person
is very important for their survival here in this case the study aims
explore, operationalize and test consumer’s interpretation of healthy
eating by using insights from construal level theory. Perception and
Presentation both are different from each other where perception will
thinks and believe in whereas Presentation is interpreting or
implicating the task for example, people thinks apple is healthy food
but the thing is how much they eat that apple is the matter.

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 Color and image texture analysis in classification of commercial


potato chips: (F Mendoza, 2007)-It explains that The inclusion of
independent color and textural feature from images documentary
features have potential or possibility to model consumer behavior in
the respect of visual taste preferences of potato chips as not
mentioning the company chips product. Also categories the taste and
preference of set of customers.
 Brand Awareness in Confectionery Food Products in Twin Cities
of Hubli-Dharwad (Karnataka): (SA Shaikh, 2017)-The reporter is
emphasis only on brand awareness about snacks item where in Twin
cities of Hubli-Dharwad. There people more aware about the chips
brand lays and bingo a good product in taste wise they have got by
choosing 300 samples.
 Shopper's Perception towards Store Brands within Retail Stores:
(MACHAVOLU, Nov2013)-The purpose of studying is main focus on
shopper's perception towards the store brands and their emotions
associated with the purchase of store brands. It is to understand the
perception and attitude about chips brands of Bingo. And the factors
like radio, newspaper, magazine, shopkeepers, window display etc.
 A Study on the Relevance of Packaging in Children’s Purchase
Decision of Branded Potato Chips: (Tanmoy De, April-2011)-The
study express that school going children have self-expression to recall
their chips brand packaging which has been displayed over package
maybe by identify the brand by brand logo, shape, package, colour,
design also flavour of chips.
 Buying Behavior of Rural Consumer with Reference to Packaged
Food Products in Bihar: (Jha, April 2013)-The report says that In
India, fast moving consumer goods in market is one of the major factor
is package of food products to recognize easily and it also focuses on
how individuals make their decisions to spend their available resource
like money, time etc., Especially in rural market people may not aware
or literate but people perception towards the snacks like, chips takes
place.
 A study on customer satisfaction towards Lays chips, in Avadi,
Chennai: (Sundarapandi C., 2015)-In this case, Customers plays
important role in the any business activity and its serious responsibility
of business to get consumer satisfaction and to earn good by them. The

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universe of the population includes the respondents who are the


consumers of Lays Chips, with respect to Avadi.
 Eliciting a policy response for the rising epidemic of
overweight‐obesity in India: (Reddy, 2005)-The report will explain
the advertisements should not mislead consumers to believe that the
consumption of products advertised would lead to positive personal
changes. It needs for suitable alternative products that are both
acceptable to consumers and affordable. As per the case 70% of
children eat chips once or more in a week. Companies brands of potato
chips (Lays and Bingo) give misleading information on trans-fat
content.
 Literature Review Conclusion: By studying these literature reviews
that we have understood that Customer perception towards eating
potato chips differs from one another. We can find chips are most
likely to have it. Especially college-going students are more prefer of
snacks is this Bingo and Lays branded chips. Maybe the reason is
packaging affordable price and quality taste which are highlighted
from retail shops and from marketing activities. We found that from
one of the Literature, it shows people think eating chips may not be
healthy but the thing is how much they eat is the matter.

Global Potato Chips Market

 Potato chips are one of the most convenient food options currently
available for people to keep pace with their busy lifestyle. It shortens
the meal preparation time and can be served in the form of a quick
snack or part of the meal.
 The raw materials that are used in the manufacturing of potato chips
are potatoes, oil and salt, which are widely available in every part of
the world. Hence, reliable supply of potatoes and other materials are
ensured, thereby providing the potato chips market with a constant
supply and efficient production planning.
 Developing countries are expected to drive the global potato chips
market in the coming years. Earlier, the consumption of potato chips
was largely confined to the western countries. However, with the
emerging trend of westernisation of food consumption patterns in
addition to growing economy, rise in middle class population and

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increasing urbanisation, the consumption of potato chips in developing


countries is expected to grow at a significant rate.
 The growth of the organized retail sector is currently having a positive
impact on the global potato chips market. Earlier, a number of global
players were hesitant to sell their products in emerging regions
because of lack of infrastructure, storage facilities, and appropriate
knowledge about the developing markets. However, with an increase
in the number of organised retail stores, many players are investing in
these markets. This is anticipated to eventually result in the augmented
consumption of potato chips during the next few years.
 Due to the rising health consciousness among global population,
several potato chips manufacturers are launching value added products
that are healthier as compared to traditional potato chips. This includes
products with reduced fat and calorie content, fortified with healthy
ingredients, lower cholesterol, etc. Chips that are gluten-free, non-
GMO verified and made with sea salt, natural colours and flavours are
gaining more popularity than the traditional ones. Other than this,
potato chips manufacturers have also expanded their spending for
various R&D activities to introduce more diverse products in the
market so as to strengthen their product portfolio. These are some
factors which are having a direct impact on the growth of the market.

Chips Market
The global potato chips market reached a value of US$ 30 Billion in 2019.
The market is further expected to exhibit stable growth during 2020-2025.
Potato chips represent one of the most popular snack foods consumed
across the globe. These are thin slices of potato which are seasoned after
being fried until crisp. At the time of frying, the sugar present in potatoes
combine with amino acids and turns brown which results in the yellowish-
brown colour of potato chips. In addition to this, potato chips are
processed and stored in such a way that they are inert towards any
microbiological spoilage, chemical and enzymatic activities as well as
moisture or other vapor migration. The taste, texture and colour of the
chips remain unaltered for a long period of time. Apart from this, potato
chips are generally packed and sold in air-tight plastic bags which
significantly increases the longevity of the products.

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Bingo Chips

Bingo was launched by ITC Foods in March 2007 with a wide range of
exciting packaged salted snacks. The range now includes multiple flavor
variants of Potato Chips & Finger Snacks. The brand is associated with
youth, fun and excitement. It fullfils the consumers need for variety and
novelty in snacks.
Strengths in the Bingo Chips
 Special advertisement strategy: One of Bingo’s key advantages from
the beginning was that it used an attractive advertising campaign and
often portrayed itself as something special. The ads have made
consumers aware of its products and advertisement has a high recall
value.
 Special product: Bingo has always been sold as a special triangle-
shaped chip. Besides this, the brand also has six sub-brands: Bingo
Yumoto’s Original, Bingo Yumitos, Bingo Rulz, Bingo Starters,
Bingo tedhe medhe, and Bingo mad angles. Bingo has tried to create a
good brand image for its products in the market.
 Variety of flavors: Obviously, with so many sub-brands, Bingo was
expected to have a range of flavors, as is the case here. Today, Bingo
has 19 varieties in its kitty, each of which can be found here.
 Strong Rural and Urban distribution Network: ITC has several
brands under its umbrella, most of which are linked to food and
beverage. As a result, the distribution of Bingo is also far and wide.
ITC is connected to rural areas. ITC also opened ITC Choupal Sagar
and created its reach in rural areas.
 Backing ITC: ITC is one of India’s biggest FMCG firms and has deep
pockets as well. That’s why ITC ‘s funding is a really positive thing
for Bingo.
Weaknesses in the Bingo Chips
Advertising Low on TV: Bingo is advertised a lot at the beginning, but the
brand-building process has not proceeded, so brand recall is weak for the
brand right now.High-fat content: healthy people avoid high fat and high
cholesterol in potato wafers.

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Opportunities in the Bingo Chips


Micro-distribution-Bingo must be aimed at micro-distribution because
these potato chips are actually distribution focused games and reachability
is the winning factor.
Brand building-In addition to scope, Bingo also needs to concentrate on
that brand recall through better ads, something that Kurkure has done
consistently and has reaped the benefits.
Variety of taste and chip-More variety in taste and variety in chip texture
or shape will help Bingo in the long run. Variety is also a choice for food
items.
Threats in the Bingo Chips
Health awareness-One of the major challenges to any fast-food dependent
on potatoes is that people are becoming more and more nutritious and have
started to disregard chips and other fried products.
Competition-has massive competition with brands such as Lays, Kurkure,
and others. Regional brands such as Balaji wafers are also available. These
regional brands, national brands, and international brands are all
competing for the same space in the consumer’s mind and stomach.
Lays Chips
In 1932 sal esman Herman W. Lay opened a snack food operation in
Nashville, Tennessee and, in 1938; He purchased the Atlanta,
Georgiapotato chip manufacturer "Barret Food Company" renaming it
"H.W. Lay & Company." Lay criss-crossed the southern United States
selling the product from the trunk of his car. In 1942 Lay introduced the
first continuous potato processor, resulting in the first large-scale
production of the product. The business shortened its name to "The Lay's
Company" in 1944 and became the first snack food manufacturer to
purchase television commercials, with Bert Lahr as a celebrity spokesman.
His signature lines. "so, crisp you can hear the freshness." became the
chips" first slogan along with "de-Lay-sious!" As the popular commercials
aired during the 1950s. Lay's went national in its marketing and was soon
supplying product throughout the United States.

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Strengths in the Lays


Global yet local: Lays has been a popular flavour of potato chips across
the world because while they have flavors which are accepted
internationally like Classic Salted or American Cheese, they also have
local flavors like Spanish Tomato Tango or India’s magic masala. These
flavors give a local tinge to the brand.Frito Lays: Frito Lays is a veteran in
snacking business and has been a consistent leader here. The company has
a market share of more than 35 percent of the world market in snack chips
and 60 percent in the United States. Frito Lays also has five of the world’s
top chips brands -Lay’s, Ruffles, Doritos, Tostitos, and Cheetos each of
which gives the company an annuals sale of 1 billion USD each.
Weaknesses in the Lays
Reduction in snacks consumption: There has been a reduction in snacks
consumption globally due to growing health concerns. This reduction has
impacted the sales of Lays negatively.Poor margins: There is very high
competition in the snacks market and not much scope for differentiation
except in flavoring. The scope of price differentiation is less since the
customer is highly priced sensitive. Thus, these brands need to keep prices
as low as possible with the result that the margins are very low.
Opportunities in the Lays
Healthy snacks: There has been a shift of customer preference of
customers from snacks to healthy snacks. This has resulted in a creation of
a new market for baked snacks as well as organic snacks. These areas that
Lays can look into for new business.Exposure In comparison to earlier
years people are more aware of global brands as well as global flavors
with the result that there is increased scope for globalizing the offerings
from Frito Lays.
Research Design
Research Approach: Survey Method
Research method: Descriptive Research
Data collection approach: Online Questionnaire
Location of research: Hubli Dharwad

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Sampling Method: Convenience Sampling


Sample Size: 400
Sampling unit: Bingo and Lays consumers.
Statistical tools: SPSS-factor analysis
Objectives
 To Know the perception of consumers towards chips in Hubli-
Dharwad.
 To understand the factors that influence consumer to select the chips
Brands of lays and Bingo.
 To understand which brand is preferred more in Hubli-Dharwad.
Data and discussions
Reliability Test
Cronbach's Alpha N of Items
0.932 22
Source: Primary Data
From the above Reliability Statistical table, we have Cronbach’s Alpha
value as 0.932, which is more than 0.7 hence, the data collected is Reliable
in nature.
Table 2.Demographic Details
Description Details Frequency %
Gender Male 190 47.3
Female 207 51.5
Age group Bellow 20 72 17.9
21-30 193 48.0
31-40 77 19.2
Above 40 60 14.9
Profession Student 205 51.0
Employee 118 29.4
Others 79 19.7
Source: Primary Data

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Among 402 respondents47.03% are male and remaining female. As table


depicts above age of 50 are less IT savvy and hence not responded to this
survey. Maximum respondents are students, Employees &Others.48% of
the respondents are between the age 21-30 and 18% of the respondents are
Bellow 20 and 20% respondents are Between 31-40 and 15 % of the
responses are above 40.
Table 3.Time taken to select the brand and how frequently buy chips
Description Frequency %
0 to 2min 165 41.0
3 to 5 min 141 35.1
More than 5 min 96 23.9
How frequently do buy chips
Daily 69 17.2
Weekly 122 30.3
Sometimes 133 33.1
Occasionally 78 19.4
Source: Primary Data
From the above table we come to know that 41% of the respondents will
take 0 to 2 minutes and 35 % of the respondents will take 3 to 5 minutes
and 24% of the respondents will take more than 5 minutes to select the
brand.And 33% of the respondents sometimes 31% of the respondents
weekly 20% of the respondents occasionally and 18% of the respondents
daily used chips.
Table 4.Which products you usually buy
Frequency Bingo Lays Ruffles Pringles Others Total
Age Bellow 34 23 6 3 6 72
20
21-30 89 59 22 18 5 193
31-40 39 13 20 5 0 77
Above 31 12 10 7 0 60
40
Total 193 107 58 33 11 402
Source: Primary Data
From the above graph we come to know that 48% of the respondents
Bingo 23% of the respondents Lays and 15% of the respondents Ruffles

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and 8% of the respondents pringles and 3% of the respondent’s others


usually buy product.
Table 5.Age * Which Bingo flavor would you choose
Which_Bingo_flavour_would_you_choose Total
Tomato Cream Salted others 5
flavour and potato
chips onion chips
Age Bellow 19 24 25 4 0 72
20
21-30 75 61 44 11 2 193
31-40 4 22 37 13 1 77
Above 4 13 31 11 1 60
40
Total 102 120 137 39 4 402
Source: Primary Data
As per the survey 75 of people age between 21-30 buys Tomato flavoured
Whereas 61 of people aged between 21-30 buys cream and onion.
Table 6.Age * Which LAYS flavor you choose
Which_LAYS_flavour_you_choose Total
magic Cream tomato Classic other
masala. and tango. salted.
onion.
Age Bellow 19 20 21 11 1 72
20
21-30 27 58 66 38 4 193
31-40 8 17 30 14 8 77
Above 5 13 16 16 10 60
40
Total 59 108 133 79 23 402
Source: Primary Data
As per the survey 66 of people age between 21-30 buys Tomato flavoured
Whereas 58 of people aged between 21-30 buys cream and onion.

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Table 7 Age * Time taken to select brand Cross tabulation


Time_taken_to_select_brand Total
0 to 2min 3 to 5 min More than 5 min
Age Bellow 20 49 21 2 72
21-30 102 69 22 193
31-40 9 38 30 77
Above 40 5 13 42 60
Total 165 141 96 402
Source: Primary Data
As per the above table we can say that 102 of people aged between 21-30
takes 0-2 minutes to select the brand of chips whereas 49 of people age
bellow 20 takes 0-2 minutes to take select Brand.
Table 8.Which pack size is mostly preferred for chips
and whether shift between the products
Description Frequency %
Which pack size is mostly preferred for chips
12G (Rs 5) 93 23.1
25G (Rs 10) 144 35.8
52G (Rs 20) 103 25.6
90G (Rs 35) 62 15.4
Total 402 100
Whethershiftbetweentheproducts
No 175 43.5
Yes 227 56.5
Total 402 100
Source: Primary Data
From the above graph we come to know that 36% of the respondents 25G
and 26% of the respondents 52G 24% of the respondents 12G and 15% of
the respondents 90G preferred size of the chips. And 57% of the
respondents are shift between the product and 43% of the respondents are
not shift between the product.

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Table 9.Factor analysis: Influencers of buying Bingo Chips


Rotated Component Matrixa
Component
1 2
FactorBingoTaste .713 .233
FactorBingo Availability .729 .074
FactorBingo Variety .824 .072
FactorBingo Quality .855 .104
FactorBingoPackaging .848 .095
FactorBingoPrice .874 .080
FactorBingoVisibility .865 .041
FactorBingo Flavours .861 .120
Source: Primary Data
From the above table it is found that the factors that influence the
respondents are Price (.874) and Taste (.233) of Bingo chips
Rotated Component Matrixa
Component
1 2
LAYSFactorTaste .772 .070
LAYSFactor _availability .779 .129
LAYSFactor _Variety .859 .024
LAYSFactor _Quality .908 .014
LAYSFactor _Packaging .908 .014
LAYSFactor _Price .874 -.041
LAYSFactor _visibility .883 .010
LAYSFactor _Flavour .874 .008

Source: Primary Data


From the above table it is found that the factors that influence the
respondents are Quality(.908) Packaging(.908)and Availability(.129) of
Lays.
Conclusion
The research is conducted to know the Consumer buying behaviour
towards chips with reference to bingo and lays. Both Bingo and Lays

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brands are the two top brands in the in the Chips sector of the food
industry.
Buying is one of the most important variables in consumer behaviour. In a
marketing context, behaviour is predispositions towards specific brands,
products or companies that cause consumer respond favourably or
unfavourably towards them. Conditions of competition are changing
rapidly today and companies that strategize and react to these changes
promptly and quickly are the most successful.As per the survey most of
the female preferred tomato flavour of both Bingo and Lays and most of
the youth age between 21-30 prefer to have chips on usual basis.
This project was an opportunity to learn about the food industry and also
the Buying Behaviour of the people among Hubli and Dharwad.
References
1. C.Trail, B. J. (July 1998). Taste or health: A study on consumer
acceptance of corn chips. Food Quality and Preference.
2. F Mendoza, P. D. ( 2007). Colour and image texture analysis in
classification of commercial potato chips. Food Research
International,Elsevier.
3. F. Appiah, P. K. (2009). Effect of Ripening on Eating Quality of 'Keitt'
Mango Chips. ISHS Acta Horticulture 911.
4. G.TowlerR.Shepherd. (October 2012). Modification of Fishbein and
Ajzen's theory of reasoned action to predict chip consumption.
Appetite.
5. Jha, M. ( April 2013). Buying Behavior of Rural Consumer with
Reference to Packaged Food Products in Bihar . Bihar: International
Journal of Management Research And Review .
6. John Evans , B. E. (20 Dec 2006). The only Problem is, children will
like their chips’: education and the discursive production of ill-health.
JournalPedagogy, Culture & Society .
7. Machavolu, S. K. (Nov2013). Shopper's Perception Towards Store
Brands Within Retail Stores: A Case of Nellore City of Andhra
Pradesh. Clear International Journal of Research in Commerce &
Management.
8. Madelin, S. L. (2010). Fish and chips with a side order of Trans fat:
The nutrition implications of eating from fastfood outlets. Centre for
Food Policy.

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9. P., D. P. (2015). Customer Satisfaction And Its Inference Towards


Select Fast Moving Consumer Goods: A Study. Journal of Commerce
and Management Thought.
10. Papies, E. K. (15 November 2013 ). Tempting food words activate
eating simulations. Original Research Article.
11. Reddy, S. K. (2005). Eliciting a policy response for the rising
epidemic of overweight‐obesity in India. Wiley Online Library.
12. SA Shaikh, B. N.-I. (2017). Brand Awareness in Confectionery Food
Products in Twin Cities of Hubli-Dharwad (Karnataka).
indianjournals.
13. Sundarapandi C., K. M. (2015). A study on customer satifaction
towards Lays chips, in Avadi, Chennai. Avadi, Chennai: International
Journal of Business Economics & Management Research.
14. Tanmoy De, G. G. ( April-2011). A Study on the Relevance of
Packaging in Children’s Purchase Decision of Branded Potato Chips.
Srusti Management Review.
15. Winter, A. J. (2012). Construal levels of healthy eating. Exploring
consumers’ interpretation of health in the food context. Appetite.

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17
Use of Social Media Marketing
in Social Enterprises
Sambhrami Patil1, Sowparnika P1
1
Graduate Student at Jain University, CMS.
E-mail Id: [email protected], [email protected]

Abstract
During the pandemic situation, most of the companies have shifted to
digital platforms to make sales, despite the loss of physical presence. But
what about social enterprises whose marketing strategies were largely
dependent on offline platforms before? This research paper aims to find
out if social enterprises are using social media platforms to continue to
work for their social cause.We usedmultiple-case study method and
analysis of Instagram profiles of four social enterprises to give them a
profile optimization score based on 3 metrics: Building Brand Identity,
Engagement, and Bio Optimization. We were able state propositions of
current and potential application of social media marketing strategies for
social enterprises like building brand identity, audience engagement
activities, being on multiple digital platforms based on the target
audience, partnerships, collaborations and networking. However, a future
research should be done by considering a larger set of data, classifying
them based on their profit-orientations (non-profit, for-profit, and hybrid)
to understand specific marketing strategies that can collectively be used
for each of them. Other factors like reach of Instagram and Facebook
Marketplace (in case of profit-oriented social enterprises), Video content,
User Experience Scores should also be considered.
Keywords: Social Enterprises, Social Media Marketing.
Introduction
Social Media Marketing is the use of social media platforms to connect
with your target audience toincrease profits, sales, and building a brand
identity. The major social media platforms include Twitter, Instagram,
Facebook, YouTube etc. Our point of study is Instagram.

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Instagram is an ideal platform to start building an online presence for a


business. It has around 800 million active users, out of which 500 million
are on the platform on a daily basis with 80% of them being outside the
US. Many small and large businesses are coming onto Instagram because
of the following benefits:
 There is no limit to the success a business can reach with a dedicated
Instagram strategy.Size of the business doesn’t matter. They can still
reach their target customers on Instagram.
 Businesses can directly make money from Instagram.
 They can collaborate with micro-influencers and develop partnerships.
During pandemic, we all know that a lot of new small businesses launched
their products or services through Instagram. Many micro and macro
influencersare using these products and genuinely promote small
businesses. Gone are the days when competition was the most important
aspect. Small influencers and brands are coming together to collectively
benefit each other. Everyone wants a sense of belongingness to a
community or be a part of a social cause and do their small part in helping
others by donating some amount, spreading awareness, or buying products
from economically/socially-backward communities.
When most of them are on online platforms like Instagram and everything
is shifting to a digital platform, it is time for social enterprises to build an
online presence as well and inculcate social media marketing strategies to
raise funds, conduct awareness programmes and collaborate. Social
enterprises are businesses/organizations of different profit orientations,
which work towards tackling social problems, ranging from creating
products to protect the environment, raising awareness about social issues
to providing employment opportunities to economically/socially backward
communities.With the help of online users, it is now possible to reach a
greater audience and work collectively towards the betterment of the
society.
Research Objectives
 Recognize the importance of social media marketing for the success of
social enterprises during the pandemic.

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 To find if social enterprises are using Instagram effectively to grow


their brand and increase the awareness of the social cause that they are
working for.
Approach & Methodology
We have adopted a multiple-case study method to cross-analyse the social
media marketing of 4 social enterprises and develop propositions from the
results obtained. The enterprises were selected based on the period of time
they have had an online presence for, and the growth of the brand on
Instagram.
We have chosen Instagram as our platform for the analysis because
engagement with brands on Instagram is 10 times higher than Facebook,
54 times higher than Pinterest, and 84 times higher than Twitter, making it
an ideal platform to be on, based on the target audience.
For data collection, a combination of in-depth interviews, social media and
website analysis was used. To grow on a platform like Instagram, profile
optimization and branding plays a huge role. Therefore, the following
metrics was developed to give “Instagram Profile Optimization Scores” to
each of the organization: (The scores were given out of 10 in order to
compare the organizations with respect to the growth of their brand and
strategies used)
The first metric is ‘Building Brand Identity’ which comprises of 3
components:
1. Consistency in use of brand colours for all the posts. (2 Points)
This is one of the most important aspect for building a brand because the
human brain prefers brands that are recognizable. There are several studies
conducted which proves the same. Research compiled by Colorcom
suggested that consumers ‘make a subconscious judgment about a
environment or product within 90 seconds of initial viewing and that
between 62% and 90% of that assessment is based on colour alone’. In
case of social enterprises, it is important to choose a colour that speaks the
social cause of the enterprise to enhance that feeling for their audience.
Consistency in using the colours strengthens the identity of the brand,
building trust and familiarity of the cause.

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2. Audience Engagement Activities, Responding to comments (2


Points)
In order to retain the audience gained, it is very important to interact with
them and host certain no. of engagement activities. In case of non-profits,
conducting fundraising activities, collaborating with micro-influencers to
conduct interactive workshops, making the audience feel like they are a
part of the cause is very important.
3. Hashtags (1 Point)
Hashtags is the one organic tool that can increase the reach of an
Instagram Profile. Moreover, having a hashtag for the organization or a
campaign itself will act like a ‘Call To Action’ because the audience will
use that hashtag while talking about the organization or the campaign on
their pages.
The second metric is ‘Bio Optimization’ which has 3 components:
(Optimizing the bio of the profile will help to rank better in the Search
Engine of Instagram)
1. One-line Description (1 Point)
Stating the objective or social cause of the organization will help new
visitors to briefly know what the organization is about.
2. Call To Action (1 Point)
Having a call to action will push the new and existing audience to take an
action, be it exploring the website of the organization, providing funds,
emailing for collaborations etc.
3. No Broken Links (1 Point)
It is very important to regularly update the links in the bio and check if
they are working.
The third metric is ‘Story Highlights’ which has 2 components. It is
important to update it regularly as they act like a mini-website for the
organization. Older posts about events, testimonials, awards and
recognition get lost in the feed. Some audience might scroll through the

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entire feed while some may not. Having them in story highlights will make
it easier for the new audience to understand the cause better.
1. Understandable and Organized (1 Point)
2. Updated Regularly (1 Point)
Overview of Selected Enterprises
1. Phool (For-Profit Social Enterprise)
Social Cause: Making fragrance products by collecting temple waste,
reducing flower pollution and preserving the Ganges. Thereby, providing
better livelihoods for women.
Stores: Retail stores in Hyderabad, New Delhi, Goa, Bangalore, Jaipur and
Mumbai. Digital store on company website and Instagram shop.
Digital Promotion Platforms: Instagram, Facebook, Twitter, Linkedin,
Company Website
Featured on: Fast company, Forbes, Fortune Stanford Social Innovation
Review
2. Kranti (Non-Profit Social Enterprise)
Social Cause: Empowering girls from Mumbai's red-light areas by given
them education, a secure home and the chance to heal and become agents
of social change.
Impact: Trained and nurtured the first girls from India's red-light area to
study abroad, received UN awards for their social justice work, and
written, directed and performed their own play in front of 100K+ audience
members.Kranti girls are currently studying abroad in London, Rome,
Chicago, and Los Angelesand two older girls are in well-paid positions
with NGOs in Mumbai and Bangalore.
Digital Promotion Platforms: Instagram, Facebook, Twitter, YouTube,
Company Website

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3. KhaDigi (For-Profit Social Enterprise; B2B since 2017, B2C since


2020)
Social Cause: Empowering artisans to manufacture fabrics that are
innovative and sustainable.
Stores: Manufactured at 7 clusters of Madhya Pradesh. Digital store on
company website and Gocoop.
Impact: Khadigi has worked with over 1,000 artisans and the intervention
resulted in a rise of over 300 percent in their monthly income.
Business Relations: Reliance Group, The Aditya Birla Group, and many
reputed designers
Digital Promotion Platforms: Facebook, Instagram, Linkedin, Twitter,
Gocoop, Company Website
4. Paint It Red (Non-Profit Social Enterprise-Sec 8)
Social Cause: Ending period poverty in India by providing basic
information on periods, creating a multidimensional network to engage in
championing menstrual rights, provide access to sustainable menstrual
products and empowering womxn and girls through workshops and
lessons on menstrual hygiene practices.
Campaigns conducted: Red Set Go, Bleed In Peace, Talk Period To Me,
Art Sale, Say It With A Pin.
Digital Promotion Platforms: Facebook, Instagram, Twitter, Company
WordPress Blog, Impact Guru (Fundraiser)
Instagram Profile Analysis
General Profile Background
Profile Optimization Scores
Building Brand Identity
Bio Optimization

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Name of the One Line Call To No Broken Total


company/ Description Action Links Score
organisation (1) (1) (1) (3)
Phool 1 1 1 3
Kranti 1 0 1 2
KhaDigi 1 0 1 2
Paint It Red 1 1 1 3

Story Highlights
Name of the company/ Understandable, Regular Total
organisation Organized (1) Updates (1) Score (2)
Phool 1 1 2
Kranti 1 0.5 1.5
KhaDigi 0.5 0 0.5
Paint It Red 1 1 2

Total Optimization Scores


Name of the company/ Brand Bio Story Total
organisation Building Optimization Highlights Score
(5) (3) (2) -10
Phool 5 3 2 10
Kranti 2.5 2 1.5 6
KhaDigi 3 2 0.5 5.5
Paint It Red 4.5 3 2 9.5

Name of the Username Branding Period Follower


company/ Colour of Count
organisation Time
Phool @phool.co Mix of 3 Years 43,200
colours 4
representing Months
festive vibes
Kranti @wearekranti No Brand 3 Years 1594
Colour 1
Month

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KhaDigi @khadigi.official Shades Of 3 Years 1151


Brown
Paint It Red @paintitred_in Shades Of 1 Year 1147
Red 2
Months

Name of the Feed Theme Audience Usage Of Total


company/ = Brand Engagement Hashtags Score
organisation Colour (2) (2) (1) -5
Phool 2 2 1 5
Kranti 0 1.5 1 2.5
KhaDigi 1 1 1 3
Paint It Red 2 1.5 1 4.5

Results and Discussion


From these scores and profile observations, we propose the following
strategies that play a huge role in building brand identity and growth of
social enterprises:
Proposition 1: Consistency in using brand colours, regular updates,
and audience engagement activities plays a significant role in building
an identity for Social Enterprises
Paint It Red and Phool have had a consistent online presence from the time
that they launched their organization. Paint It Red has conducted various
campaigns like ‘Flow Fellow’ for college students, ‘Talk Period To Me’
and many others to involve their audience and raise awareness. The recent
campaign is called “Red Set Go” which includes activities like A-Z
menstruation dictionary, Innovation Challenge to write a policy brief, Red
Conclave, Digital Postcards, Artists Collective and many more. Phool on
the other hand creates special hampers during festival seasons and uses
paid promotion to attract new audience. Both the enterprises have
maintained consistency in posting with their brand colours and conveying
their cause. While Phool has been there for 3 years gaining 43,200
followers, the other two organizations-KhaDigi and Kranti have also been
there for 3 years, but their follower count didn’t cross 1500. This is
because of the lack of consistency in posting. Their accounts were inactive

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for more than 2-3 months constantly. During a conversation with the
creative head of KhaDigi, ‘Suhani Shridhar’, she said, “KhaDigi hasn’t
had a great online presence before. Launching our business on Gocoop
during the pandemic made us realize the amount of reach we can get from
an online presence. We will be doing a rebranding of our logo and
inculcate strategies to give a feel of aesthetics to our brand”.
Proposition 2: Partnership, Networking and Collaborations is the new
trend
Every brand is now connecting with micro-influencers to promote their
products. Paint It Red partnered with ‘TRUCUP’ who provided menstrual
cups at subsidized rates. For an art sale, artists from across the country
donated their artwork for an exclusive sale on their social media handles
through which over INR 50,000 was raised in 2 weeks. Phool has an
affiliate marketing programme. KhaDigi spoke about their future plans of
connecting with micro-influencers in the fashion industry to promote their
products on Instagram.
Proposition 3: Being on multiple digital platforms based on the target
audience
While developing digital presence on one digital platform is the first step,
it is also important to find other platforms that is more suitable for the
cause and the target audience. Paint It Red collect funds through ‘Impact
Guru’ while selling pins on ‘Say It With A Pin’. KhaDigi sell their fabrics
on ‘Gocoop’, a handloom fabric ecommerce store. They also plan on
launching the enterprise on various other platforms like Etsy and Jaypore.
We can learn from this that social enterprises need to identify other
platforms that can help them in raising funds or selling their products.
Conclusion and Future Research
In this article, we have described the application of social media marketing
in social enterprises. Based on the analysis of cases, this article has the
following implications: First, we find that consistency in using brand
colours, regular updates, and audience engagement activities plays a
significant role in building an identity of asocial enterprise. Secondly,
social enterprises need to identify other platforms that can help them in
raising funds or selling their products. Thirdly, partnership, networking

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andcollaborations is the new trend that will help in making a greater


impact. However, we suggest further testing of these propositions with
larger set of data in future research. Social media marketing is growing
and evolving day by day, and it’s also one of the most popular media
platforms. Talking about the future of SMM, it’s going to include the
growth of micro influencers, video content, user experience scores and AI.
These factors and the profit orientation of the social enterprises should also
be taken into consideration for future research.
References
1. (n.d.). Retrieved from KhaDigi: https://khadigi.co.in/.
2. (n.d.). Retrieved from Phool.co: https://phool.co/.
3. (n.d.). Retrieved from Kranti: https://www.kranti-india.org/.
4. Archana Singh, G. K. (2015). Application of Social Marketing in
Social Entrepreneurship: Evidence From India. Social Marketing
Quarterly, 1-21.
5. Articles. (n.d.). Retrieved from Entrepreneur: https://www.entrep
reneur.com/article/309671#:~:text=Companies%20rely%20on%20In
stagram%20because,attention%20of%20target%20audience%20mem
bers.
6. Colour, K. (2016, September 5). Colour Important Brand. Retrieved
from Key Colour: http://www.keycolour.net/blog/color-important-
brand/#:~:text=Color%20is%20very%20important%20in,convey%
20emotions%2C%20feelings%20and%20experiences.
7. KhaDigi. (n.d.). Retrieved from Instagram: https://www.instagram.
com/khadigi.official/.
8. Paint It Red. (n.d.). Retrieved from Instagram: https://www.instagram.
com/paintitred_in/.
9. Phool.co. (n.d.). Retrieved from Instagram: https://www.instagram.
com/phool.co/.
10. Smith, K. (2019, January 20). Instagram Stats. Retrieved from Brand
Watch: https://www.brandwatch.com/blog/instagram-stats/.
11. WeAreKranti. (n.d.). Retrieved from Instagram: https://www.
instagram.com/wearekranti/.

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18
Marketing
Sarvagya Singh1
1
Section L, Jain-Center of Management Studies.

Abstract
Marketing refers to activities a company undertakes to promote the buying
or selling of a product or service. Marketing includes advertising, selling,
and delivering products to consumers or other businesses. Some marketing
is done by affiliated on the behalf of the company. Professionals who work
in a corporation's marketing and promotion departments seek to get the
attention of key potential audiences through advertising. Promotions are
targeted to certain audiences and may involve celebrity endorsement,
catchy phrases or slogans, memorable packaging or graphic designs and
overall media exposure. This research work aims for studying the various
possible departments of marketing.
Keywords: Global Marketing, Green Packing Development, Impact and
Role of Social Marketing, Green Retailing Analysis, Green Marketing and
Ethical Consumerism, Sustainable Consimer Behaviour, Contomporary
Issues in Marketing, Brand Sustainability, Use of Marketing in Social
Innovation, Boosting Eco-Friendly Brand Image, Media and
Environmental Changes, Digital Marketing.
Global Marketing
Global marketing is defined as the process of maintaining the marketing
strategies which involve simply selling of good globally and
internationally. In simple words selling of goods from one country to
another. Global marketing is more than selling your product or service
globally. It is the full process of planning, creating, positioning, and
having the product promotion in such a way to make your company stand
on global level.
Business of a company or organisation will only flourish when there is a
proper marketing done for the company.

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Global marketing can benefit us in following ways -


1. New way of revenue generation and revenue potential. By taking your
business global, you get access to a much larger base of customers.
2. The Ability to Help More People
3. Flow of talent world wide
4. Learning a New Culture
5. Exposure to Foreign Investment Opportunities which helps to more
exposure of different strategies of marketing
6. Improving Your Company's Reputation globally
7. Diversifying Company Markets and landing them into international
markets.
The most important aspects of global marketing-

1. Reporting and analysis- Market analysis can help in getting valuable


insights into shifts in the economy, competitors, ongoing market
trends, demographics, and the traits of customers' expenditure.
2. Market research- market must be studied so that the customer’s
requirements can be studies in order to get a perfect market overview.
3. Marketing activities- Marketing refers to activities undertaken by a
company to promote the buying or selling of a product or service.
Marketing includes advertising, selling, and delivering products to
consumers or other businesses.
4. Market mix- The marketing mix refers to the set of actions, or tactics,
that a company uses to promote its brand or product in the market. The

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4Ps make up a typical marketing mix-Price, Product, Promotion and


Place.
Green Packing Development
The other name for green packing is sustainable packing. Sustainable
packaging is the development and use of packaging which results in
improved sustainability. That means the use of natural materials, with over
exploitation and saving for future generation.
Green packing or sustainable packing happens in a number of ways:
 Ingredients: Using raw 100% recycled or raw materials
 Production process: By minimising the production process, supply
chain and carbon footprint
 Reusability: Creating a circular economy around the packaging,
extending its lifecycle and usability.

Green packing markets are getting developed in a very high rate as to


ensure sustainability and hence making the markets green.
Impacts and Role of Social Media on Marketing
Social media has become a powerful platform for marketing due to the
high brand exposure and great return on investment. The biggest effect of

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social media marketing is that you can reach to your targeted audience,
stay engaged with them and respond to their queries quickly.
There are major benefits of using social media to promote your brand.
Some of them are:
1. The growth of social signals- Your search engine optimization
endeavour can be boosted to a large extent by social signals.
Remember that the more people talk about your brand on social media,
like, follow and recommend your brand page to others, the more
chances of your web page to rising up in search ranking.
2. Promoting company branding and consciousness- Social media
users can always keep the memory of your brand alive in the minds of
a vast number of people by sharing your page on their walls. This in
the turn will create awareness about your product, which eventually
will convert into more customers.
3. Do not underestimate word of mouth advertising- People tend to
believe familiar people more than descriptions or reviews of your
goods on your webpage. If you keep your current customers satisfied
and happy, ultimately they will be the one who will promote your
brand to their friends and acquaintances

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Some of the most famous platforms of marketing are-


1. Instagram
2. Facebook
3. You-tube
4. LinkedIn
5. Snapchat
6. Pinterest
7. Monster.in
8. Twitter
Green Retailing Analysis
Green retailing is the practice of reducing environmental waste in every
section of your business using a management-led approach. As well as
being great for the environment, green retailing has the added benefits of
reducing costs in some cases, as well as increasing efficiency. Green
retailing is something that you will have to be dedicated to and continually
work on, but the payoff for your business could be massive in terms of
reputation and revenue. Did you know that the fashion industry is one of
the most polluting industries in the world.
According to a study, transport accounts to 14% of global greenhouse gas
(GHG) emissions, lighting accounts to 18% of its energy use and
improved lighting can result a cost saving of 20-40% (Greening Retail).

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Retailing basically comprises three main activities transportation, storage


and outlet store.
The main motive of green retailing is to achieve sustainability. The more
the green retailing the mire will be sustainability.

Green Retailing
Green Marketing and Ethical Customerism
Green marketing refers to the process of selling products or services based
on their environmental benefits. Such a product or service may be
environmentally friendly in itself or produced or packaged in an
environmentally friendly way. It takes advantage of customers’
willingness to purchase, and sometimes pay a premium for products that
provide private benefits as well as public environmental benefits.
Green marketing targets such customers under the assumption that they
will pay a premium for environmentally-preferable, or green, electricity
products, and the development of this customer driven market has been
heralded by some as offering significant, new, ‘market-based’
opportunities for renewable’s.
Importance of Green Marketing
In terms of marketers

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1) Opportunities: It appears that all types of consumers, both individual


& industrial are becoming more concerned and aware about the natural
environment. Organizations think that green marketing can be used to
achieve its objectives.
2) Competition: Competitors' environmental activities pressure firms to
change their environmental marketing activities.
3) Government pressure: As with all marketing related activities,
governments want to "protect" consumers and society; this protection
has significant green marketing implications.
4) Social responsibility of firm: Organizations believe that they have a
moral obligation to be socially responsible & green marketing
provides a sense of social responsibility.
5) Cost reduction: Firms may also use green marketing in an attempt to
address cost or profit related issues. (Waste disposal, recycle,
reduction in material use etc.)
6) Positioning: Green marketing can differentiate the firm’s products
from the rivals which are helpful for brand positioning.

Sustainable Consumer Behaviour


Sustainable consumer behaviour is the sub-discipline of consumer
behaviour that studies why and how consumers do or do not incorporate
sustainability issues into their consumption behaviour. Further, it studies
the products that consumers select, how those products are used, and how
they are disposed of in pursuit of their individual sustainability goals.

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Most agree that climate change is a serious threat. It has increasingly been
recognized by scientists and policymakers as a consumer behaviour issue:
What, how, and how much people consume directly impacts the
environment. Sustainable consumer behaviour is behaviour that attempts
to satisfy present needs while simultaneously benefiting or limiting
environmental impact. Moreover, understanding sustainable consumer
behaviour is central to any paradigm shifts in how society approaches
environmental problems. This article summarizes and organizes research
from the past 20 years and explores the psychological drivers of
sustainable consumer behaviour. Four areas of scientific inquiry that have
dominated research agendas are identified:
a) Cognitive Barriers,
b) The Self,
c) Social Influence,
d) Product Characteristics.
The objective is to provide a valuable research tool that stimulates
additional research in the area of sustainable consumer behaviour.

Comtomporary Issues in Marketing


The two biggest unifying (and perhaps most important) themes in
contemporary marketing are: the rapid proliferation of media platforms,
and, the rapid change in the marketplace (product innovation, marketing
terminology/technology, consumer behaviour/tastes). The ever increasing
number of marketing options, and the competition for mindshare among
consumers and businesses that are overwhelmed with competing
marketing messages, are real-world challenges that result from these rapid
changes.

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Whilst there is a growing number of contemporary marketing issues, only


five issues are discussed in this papers based on their creative strategic
thinking/innovativeness and sustainability.
In an era of Super smart-phones, high-speed internet, and convergence of
digital media in day to day life, it is important that traditional marketing
techniques to evolve along with the digitisation of advertising, sales
promotion and brand management. Marketing has moved on from basic
advertising and sales promotion, to a more personal and customised
approach. towards customers, delivering a whole new level of involvement
and experience to the consumers.

Brand Sustainability
A sustainable brand is one that has successfully integrated environmental,
economic and social issues into its business operations. However, many
companies that consider themselves to be sustainable only meet one-third
of this definition. The communications marketplace has been losing the
battle to maintain the sanctity of this concept as companies, activists and
others throw the word “sustainable” around to refer solely to
environmental issues. However, as I’ve discovered in my work branding
sustainable businesses, focusing on the environmental side is a good place
to start. Sustainability has become a buzzword, especially in the fashion
industry. With consumers seeking more ethical clothing, organizations are

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responding by advertising their dedication to better practices. The trouble


is that many companies are now “greenwashing” their values, lying about
sustainability practices to market their products.

Brand Sustainability
Use of Marketing in Social Innovation
In the front-end of the innovation process, social innovation marketing
contributes to the identification of future and new market opportunities
and research into customer needs: Research into customer requirements in
specific market segments or product categories.
There is a key role of social innovation in marketing-
1. Restoring trust in business
2. Adapting to resource scarcity and environmental concerns
3. Attracting and retaining talent
4. Changing performance metrics
5. Search for growth and inclusion at scale
When the word social innovation comes, social media plays a important
role in marketing which indeed helps in the great value of market and
helps to expand business more.

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Boosting Eco-Friendly Brand Image


Becoming known as an eco-friendly brand isn't easy. Especially when so
many brands present themselves as environmentally minded, and make so
much noise on social and traditional media, even if their practices don't
follow suit. The best, and most ethical, way to successfully promote
yourself as an environmentally conscious brand is to actually become one.
The first step toward becoming an environmentally friendly business
branding is to analyse the energy impact of your company-starting with the
products and services you offer-as well as the suppliers you work with, the
packaging you use, the efficiency of your office space, and the commute of
your workers.

Sustainable green building of brands will attract a huge customer base, and
will be attractive for the company. By this the name of the company will
be in good hands, as the people of this era are totally concerned for the
ecosystem.

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Media and Environmental Changes


New media marketing, on promoting brands and selling products and
services through established and emerging online channels, harnessing
these elements of new media to engage potential and current customers.
New media marketing encompasses many different mediums, including
display advertising, content marketing and social media promotions. The
objective of all new media marketing is to get consumers to interact with
the brand, engaging them in a way that increases awareness and correlates
to sales. New media marketing changing ecommerce in-
Consumers today are empowered with an incredible amount of
information, allowing them to thoroughly research their purchases before
contacting a business. In fact, most people decide to buy before talking to
a sales professional, Web services company Market 8 reported. This
paradigm shift between buyers and sellers has forced businesses to change
their approach to marketing. New media helps online businesses:
 Gather customer data
 Build relationships
 Know when to sell

Many environmental factors effect marketing processes-


a. The economic environment,
b. The competitive environment,
c. The cultural environment,
d. The political/legal environment,
e. Technological environment and the ethical environment
Digital Marketing
Digital marketing is the use of the Internet, mobile devices, social media,
search engines, and other channels to reach consumers. Some marketing
experts consider digital marketing to be an entirely new endeavour that
requires a new way of approaching customers and new ways of
understanding how customers behave compared to traditional marketing.

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Digital marketing targets a specific segments of the customer base and is


interactive. Digital marketing is on the rise and includes search result ads,
email ads, and promoted tweets-anything that incorporates marketing with
customer feedback or a two-way interaction between the company and
customer. Internet marketing differs from digital marketing. Internet
marketing is advertising that is solely on the Internet, whereas digital
marketing can take place through mobile devices, on a subway platform, in
a video game, or via a smartphone app.

Digital marketing can be broadly broken into 7 main categories


1. Content Marketing.
2. Search Engine Optimization.
3. Search Engine Marketing/Pay-per-Click.
4. Social Media Marketing.
5. Affiliate and Influencer Marketing.
6. Email Marketing.
Thank You

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19
Green Packaging Practices
used in Textile & Garment Industry
Dr. Manjali Sharma1
1
Center of Management Studies.

The apparel industry grew by 17% in 2011 according to the reports of


World Trade Organization. This number is certainly going to rise with
every passing year. Clothes today have become more than just basic
necessities. We own more clothes than we actually use in our lifetime. The
life cycle of clothes have a huge impact on the environment. Life of
clothes usually can be divided into three stages: Production, Use, and End
of Life.
And each stage contributes to the amount of waste disposed, ultimately
affecting the environment. The production phase of yarn and fabrics is
accountable for the maximum waste footprints for instance making a
single t-shirt from cotton uses up to 2700 litres of water. The growing
demand, changing trends, and the rising uproar on sustainability has led
the apparel industry to invent technologies that keep the environment
green and use techniques that leave little or no carbon or water footprints.
The following are a few innovative technologies that have been developed
in the past two years paving way for adopting environmentally friendly
options in future.
The much embraced trend of washed and faded denims has a new and
improved eco-friendly substitute. Conventional and commercial
sandblasting processes posed hazardous not just to the environment but
also to workers, thanks to the high exposure to silica and the firing of sand
under high pressure. Surface activation is a treatment that uses a
concentrated paste of sodium hydroxide on the denim surface once the
jeans are dyed. The technique provides the same results and also retains
fabric strength, shortens the process duration, and reduces the
concentration of chemicals consequently benefiting the environment.
Brands like Gucci, Levi's, H&M, and Versace have banned the use of
sandblasting and are moving towards greener alternatives.

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Ever thought of fabrics and garments that can purify the air, and keep the
atmosphere clean? A path breaking technology helps decrease the quality
of the air by harnessing on the power of light triggered catalysts that break
the pollutants in the air down. The garments can decompose pollutants by
majority, by vehicles, and even by industries. Nano particles of titanium
dioxide are applied to the clothes by washing or spraying.
Garments become the catalytic surface to cleanse the air. The raw
materials for such treatments are oxygen and titanium dioxide, which are
available in plenty and exist naturally in the atmosphere. Moreover, a
special fabric is not required for such treatment; hence individuals get all
their existing garments washed with catalytic material to purify air.

In the apparel industry eliminating or reducing wastages would decrease


the cost of raw materials and production. But manufacturing with zero
wastage until now was too idealistic an idea to achieve. Direct Pattern on
Loom (DPOL) adds new dimension to designing with absolutely no waste
in the process of pattern making and cutting. With DPOL one can produce
ready to stitch garment parts.
This innovative method increases fabric efficiency by 15 to 20 percent and
reduces lead time by 50 percent. DPOL is the perfect blend of textile
technology, fashion designing, and garment engineering. The fabrics for
making garments according to this concept are specially designed for
specific use. This makes it hard to make a copy of such garment. Any form
of embellishment is done when the fabric is being manufactured. It can be
used to design both knitted and woven high fashion garments.
Recycling and being sustainable have become mottos of many apparel
brands to show responsibility and fulfill the demands of consumers going
green. This has led a popular denim brand to manufacture jeans out of
recycled plastic bottles. The plastic bottles are smashed into flakes and
later turned into polyester fibres. These fibres are blended into cotton

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fibres to make denim pants and jackets. A single pair of jeans uses 8-9
twelve or twenty ounce bottles.

Similarly denim pants are made out of beer bottles and t-shirts out of clean
water bottles, discarded x-ray films, and yogurt cartons. Just one glass
bottle takes one million years to break down completely in the
environment. Recycling bottles to make fashionable garments would save
the planet from huge landfills and at the same time provide an innovative
pair of jeans. The beer bottles are decomposed into fine particles which are
later melted and squeezed into fibre. The fabrics used are a mix of 25
percent glass bottle fibres and 75 percent cotton. The cross section of
bottles and cotton fibres result into a soft material, giving the same results
of the traditional denims.
The garment and clothing industry is waking up to the changing times and
making efforts to keep the environment clean. Brands today, are
encouraging consumers to use recycled clothes and turn towards more
sustainable products. With inventing fibres with scrapped waste, waterless
dyeing techniques, pattern making with zero waste and textiles that purify
air, clothing technologies are bringing new possibilities to make sure they
keep it clean and green.
References
1. Treehugger.com
2. Urbantimes.com
3. Missingdimensions.com
Image Courtesy
1. Fashionista.com
2. Greenbiz.com
3. Treehugger.com
4. Livbit.com

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20
Green Marketing and Ethical Consumerism
Dr. Sugunavalli1, P. Sathya2
1
Associate Professor, Department of Commerce with Professional Accounting,
PSG College of Arts and science, Coimbatore.
2
Full-time Research Scholar, Department of Commerce,
PSG College of Arts and science, Coimbatore.
E-mail Id: [email protected], [email protected]

Abstract
Green marketing is a progressive issue that most of its dimensions are
unknown or intangible for consumers. Also consumer behaviour is defined
and analysed through its awareness of green marketing issue which causes
purchasing decision. It is the process of developing products and services
and promoting them to satisfy the customers who prefer products of good
quality, performance and convenience at affordable cost, which at the
same time do not have a determined impact on the environment.
Companies all over the world are striving to reduce the impact of products
and services on the climate and other environmental parameters. It
includes a brand range of activities like product modification, changing
the production process, modified advertising and change in packaging that
aimed at reducing the detrimental impact of products and their
consumption and disposal on the environment.

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Marketers have found new ways of thinking leading to a development


within the marketing area, the concept of green marketing has emerged
and aims to improve communication in terms of ethically conscious
products. However, along with the concept of green marketing, companies
are sometimes misleading the consumers on their true intention, this
phenomenon is called Green washing. This occurs when companies
portray themselves to being greener.
Keywords: Green marketing, Ethical consumerism, consumer behaviour,
Sustainability, Green and Ethical consumerism.
Introduction
Today’s consumers are more concerned more than ever about the
environmental impact of products they buy. Pragmatic consumers
purchase those products and packages that can be recycled or otherwise
safety disposed of in their communities. As a result, the number of
industries under fire from environmentalists has grown very rapidly. Green
Consumerism has helped to spur significant shifts in the way in which
some industries view the environmental challenge. The marketing area has
not been untouched by the repercussions of global warming as well as
including sustainable practice, which has increased throughout the last
decades. As a result, marketers have been able to develop new ways of
thinking and adapting themselves to the market by utilizing sustainable
marketing or green marketing, which is another definition. One of the
factors explaining the emergence of green marketing, is due to the
increasing concern among individuals for sustainability. Therefore it is
vital to incorporate this discourse in the world of marketing.
Definition

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Green marketing is the marketing of products that are presumed to be


environmentally preferable to others. Thus green marketing incorporates a
broad range of activities, including product modification, changes to the
production process, sustainable packaging, as well as modifying
advertising. Other similar terms are used are environmental marketing and
ecological marketing.
Green, environment and eco-marketing are part of the new marketing
approaches which do not just refocus, adjust or enhance existing marketing
thinking and practise, but seek to challenge those approaches and provide
a substantially different perspective.
Evolution of Green Marketing
The concept of green marketing has been around since the first Earth Day
in 1970. But the term Green Marketing came into prominence in the late
1980s and early 1990s. The American Marketing Association (AMA) held
the first workshop on “Ecological Marketing” in 1975. The proceedings of
this workshop resulted in one of the first books on green marketing
entitled “Ecological Marketing.” The evolution of green marketing has
three phases:
Ecological: During this period all marketing activities were concerned to
help environment problems and provide remedies for environmental
problems.
Environmental: The focus shifted on clean technology that involved
designing of innovative new products, which take care of pollution and
waste issues.
Sustainable: It came into prominence in the late 1990s and early 2000.
This was the result of the term sustainable development which is defined
as “meeting the needs of the present without compromising the ability of
future generations to meet their own needs”. Although green consumers
express their environmental concerns in individual ways, they are
motivated by universal needs.
Consumer Behaviour
Consumers nowadays have a greater understanding for sustainable
development and green consumption. Moreover there is a deeper

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understanding for individual choices and the consequences caused, both in


a positive as well as a negative way. Furthermore leading to consumers
being more responsible when it comes to their individual purchasing
decisions. Another interesting factor would be to understand when and
how the behaviour of a consumers may change, whether or not is it while
making a purchase in the supermarket and also if there is a difference
depending on the product or service. Media and marketing have created a
need for overconsumption. It is vital to understand the consumers’ own
concern for the environmental or ethical issues, furthermore increasing the
understanding for products, production and consumption. The difficulty
lies within trying to change or redirecting ones behaviours, which can
prove to be more complex for some individuals than others. Consumers
with a deeply rooted loyalty to a brand, may have the willingness to lead a
more responsible life, however they are less likely to stop buying a
company’s products completely.
Objectives of the Study
 To understand about green marketing
 To study on consumer perceptions about green products
 To know the buying motives in purchase of green products and ethical
consumerism
Scope of the Study
Green marketing is not just setting products based on their environmental
benefits, but it is a wider concept. Green marketing involves developing
products and packages that are environment friendly or less harmful to the
environment. It includes many areas ranging from conservation to control
of pollution. Companies should make every possible effort to undertake
research and development in order to come up with eco-friendly products
in the interest of the consumer’s wellbeing in particular and that of
societies in general. It is predicted that the future markets would be
directly linked to the development, transfer and implementation of eco-
friendly technologies, referred to as Environmental Technologies. In order
to develop goods that can appeal to the consumer, reasonably affordable
prices and environment-friendly products causing minimal damage are
required. In order to reflect an image of high quality, environmental

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sensitivity and hence production of products compatible with environment


are required.
Green Marketing Overview
In terms of people
Green products ensure safety: A true green product must not be harmful
for the customer and it ensures a healthy life.
Customer satisfaction: Such products perform well and mitigate the
financial risk.
Social status: Green products can enrich the living standards, enrich social
status and make a sense that customer is responsible to his/her society &
environment.
Cost & benefit: In case of cost & benefit comparison green products
provide a long run benefit.
Government pressure: Such as prohibition in using poly-ethane bag.
Green Marketing Mix-Four Ps
Product: A producer should offer ecological products which not only
must not contaminate the environment but should protect it and even
liquidate existing environmental changes.
Price: Prices for such products may be a little higher than conventional
alternatives. But target groups like for example LOHAS are willing to pay
extra for green products.
Place: A distribution logistics is of crucial importance, main focus is on
ecological packaging. Marketing local and seasonal products e.g.
vegetables from regional farms is easier to be marketed “green” than
products imported.
Promotion: A communication with the market should put stress on
environmental aspects, for example that the company possesses a CP
certificate or ISO 14000 certified. Further that a company spends
expenditures on environmental protection should be advertised.
Sponsoring the natural environment is also important.

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Benefits of Green Marketing


Company’s point of view
 It saves money in the long run, though initially the cost is more.
 It ensures sustained long term growth along with profitability.
 It enhance brand reputation and market value.
 Risk mitigation
 Most of the employees also feel proud and responsible to be working
for an environmentally responsible company.
 Effective utilization of resources.
Customer’s point of view
 Green products ensure safety
 Customer satisfaction
 Social status
 Cost & benefit
Ethical Consumerism
Ethical consumers purchase products and services that view as ethical, this
consumption of goods and services is intentional as most customers are
interested in purchasing goods that has an ethical brand, ethical
consumerism by some people is seen as a way of life. An increasing
number of people begun to realize to far less damage to the environment.
This includes buying foods produced under environmentally sustainable.
Recent studies consistently report that that a large number of residential
customers(40-70%) express a willingness to pay a 5-15% premium for
green products, while some consumers also find these green goods to
expensive and these producers actually claim that the extra prices reflect
the extra cost involved. There are some factors that affect ethical
consumption and they include income; goods that are environmentally
friendly are more costly than regular goods.
Challenges or Constraints or Problems of Green Marketing
Many organizations want to turn green and there is an increasing number
of consumers' want to associate themselves with environmental-friendly
products. But the implementation of green marketing in business is not an
easy job. The firm has to face many challenges or constraints or problems

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while treading in the way of green marketing. Some of these challenges or


constraints or problems are being as follows:
 Green products require renewable and recyclable material, which is
costly.
 Requires a technology, which requires huge investment in R & D.
 Need for Standardization.
 New Concept for the masses.
 Majority of the people are not aware of green products and their uses.
 Majority of the consumers are not willing to pay a premium for green
products.
 The customers may not believe in the firm’s strategy of Green
marketing,
 Green marketing will be successful only in long run.
 The firm may give up on Green marketing concept or be forced to
practice unfair means to cut cost to sustain in the competition and thus
the entire idea of going green will be a circus.
 The firms practicing Green marketing have to strive hard in
convincing the stakeholders and many a times there may be some who
simply may not believe and co-operate.
 Green marketing should not neglect the economic aspect of marketing.
Marketers need to understand the implications of green marketing.
Conclusion
The term “marketing” is moving towards “consumer satisfaction along
with environment protection” through the promotional campaigns of
almost every big business houses across the globe. There seems to be
awareness about ethically conscious products and many individuals
themselves as green consumers. This is crucial for the future while the
green consciousness amongst both companies and consumers is increasing.
However as seen in this thesis many individuals are green thinkers but
might not always be green practitioners. The actual behaviour needs to
change rather than just the intentional. Furthermore some individuals
might want to purchase more ethically conscious products but are hindered
for financial reasons. Hopefully this will change and green products will
become the norm. Concerning the topic of green knowledge the most
important is to be educated and to be aware of what you are purchasing
many consumers might not always be aware of what they are buying.

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Fairly often individuals think that they are educated green buyers when in
fact they do not always have the complete knowledge regarding products,
labelling and sustainable supply chains. Many respondents, which were
students in this thesis had a knowledge about sustainability and there needs
to be more information for people which have not chosen to study or work
in this area. An important lesson is that consumers are able to change the
views and strategies of companies by making better choices and the
awareness of how you’re purchasing decisions is not known to a greater
extent. This has to change and gathering information about different
ingredients as well as the processes around the end product is vital in
becoming a green consumer.
References
1. Akenji, L. (2014). Consumer scapegoatism and limits to green
consumerism. Journal of Cleaner Production, 63, 13-23.
2. Ankit, G. & Mayur, R. (2013). Green Marketing: Impact of Green
Advertising on Consumer Purchase Intention. Advances in
Management, 6 (9), 14-17.
3. Balabanis, G. (2013). Surrogate Boycotts against Multinational
Corporations: Consumers’ Choice of Boycott Targets. British Journal
of Management, 24 (4), 515-531.
4. Chen, Y. & Chang, C. (2013). Greenwash and Green Trust: The
Mediation Effects of Green Consumer Confusion and Green Perceived
Risk. Journal of Business Ethics, 114 (3), 489-500.
5. Krahmann, E. (2013). Green consumer markets in the fight against
climate change. European Security, 22 (2), 230-247.
6. Lane, E.L. (2013). Green Marketing Goes Negative: The Advent of
Reverse Greenwashing. Intellectual Property & Technology Law
Journal, 25 (1), 20-26.
7. www.greenmarketing.net/stratergic.html.

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Tata Nano: A Positioning Disaster?
Dr. Pratik C Patel1
1
Assistant Professor, BRCM College of Business Administration
(Affiliated to VNSGU), V T Choksi Law College Campus,
Nr. Lal Bunglow, Athwalines, Surat 395007, Gujarat, India.
E-mail Id: [email protected]

Abstract
This case study narrates the insightful and interesting story of Tata Nano,
the world's cheapest car. Though much applauded and publicized for the
feat of having manufactured a car at an impossibly low cost, Tata Motors
faced many challenges in making this car a viable commercial proposition
and subsequently faced many challenges in achieving the desired success.
Tata successfully created an altogether new segment of minicar through
Nano. They targeted those middle-class family who aspire to have car but
due lack of money they can have bikes only. But the much-hyped Tata
Nano could not match the expectation of people and ultimately withdrawn
from market due to poor sales.
A number of factors like initial production delays, product attributes,
economic crisis, political controversies, and wrong target market all
contributed to failure of Tata Nano. In the highly competitive market
Positioning plays a vital role but Tata made a blunder by positioning
Nano as the “cheapest car” which ultimately damaged the most. Tata
tried to change its image form cheapest car to smart city car but it was too
late.
This paper discusses about what went wrong to make this car
commercially successful.
Keywords: Tata Motors, Nano, Cheapest Car, Cheap car stigma,
Positioning.
Introduction
The Tata Nano is a city car manufactured by Tata Motors. Made and sold
in India, the Nano was initially launched with a price of one lakh rupees or

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100,000 (US$1,500), which increased with time. Designed to lure India's


burgeoning middle classes away from two-wheelers, it received much
publicity. Tata and industry experts expected it to create a new segment of
Indian car owners: low-income first-time buyers, shifting from two wheels
to four wheelers. Tata Nano positioned itself a car largely for rural
customer.
After having successfully launched the low cost Tata Ace truck in 2005,
Tata Motors began development of an affordable car that would appeal to
many Indians who ride motorcycles. The purchase price of this no frills
auto was brought down by dispensing with most nonessential features,
reducing the amount of steel used in its construction, and relying on low
cost Indian labour. The introduction of the Nano received much media
attention due to its low price.
This was to be the flagship product for the passenger-car market. Tata
made a big bet on the Nano. It spent close to $400 million developing the
vehicle and hundreds of millions more building a factory capable of
manufacturing 15,000 to 20,000 of the tiny cars a month.
At its launch in 2009, Indians were so eager to get their hands on one that
200,000 orders were put through before the first Nano had even rolled off
the production line. Ratan Tata, the company's leader, had set ambitious
sales targets of 20,000 per month, so 240,000 per year. But the Nano could
never cross the mark of 80000 units per annum. Within three years after
launch the sales was hovering around 2,500 a month, in the year 2012
itself.

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Reasons for Failure


Even after creating lot of hype around Nano could never match the
expectation and ultimately got closed down. The failure of the most
ambitious project of Ratan Tata was due to large number of factors like;
Singur factory pullout: Tata Motors announced in 2006 that the Nano
would be manufactured in Singur, West Bengal. Local farmers soon began
protesting the forced acquisition of their land for the new factory. Tata first
delayed the Nano launch and later decided to build the car in a different
state, Gujarat, instead. All this took lot of time and the cost increased
substantially. This was very crucial given the fact that you have announced
to give car in one lakh rupees only. This ultimately disturbed the whole
price equilibrium.
Initial long waiting period: When the Nano was launched, it had very
large waiting periods before the car could be delivered to their purchasers
due to shift of plant from Singur to Sanand. The company took 21 months
to complete deliveries of over 100,000 bookings. While the closest
competitor Maruti Suzuki Alto 800 which had higher sales figure still
managed to convert a lot of Nano bookers into Alto buyers.

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The Product Nano When Tata first designed the Nano, engineers tried to
strip down features to keep costs in check. When the first models hit the
roads, the base model had no air conditioning, no stereo and just a single
windshield wiper. There was much that the Nano lacked and ultimately
failed to attract the mass.
Looking at the ‘looks’ factor: The design of the Tata Nano did not go
down too well with the target Indian consumer, who concentrate more on
how something ‘looks’. The average Indian wanted a car that his neighbor
would envy. For many the car was just a glorified tuk-tuk only. According
to many it sounded like an auto-rickshaw also.
The cheap car stigma / Misaddressed ‘the cheap car’ officially. Buying
a car in India at least is associated with social status and prestige; if a
person owns a car, he is assumed to be successful and settled. It differs
hugely from the Western market, where cars are more of a necessity rather
than luxury. If a person buys a car in US, no one gives a damn unless it’s a
Ferrari or Lamborghini.
Tata made a big mistake by using the term ‘cheap’ as the USP of Nano. It
was like calling Sachin Tendulkar ‘the short man’ instead of ‘the little
master’. Tata failed to understand the consumer psychology. The people
the car was targeting didn’t want have the stigma of owning the cheapest
car in the world so many of them stretched their budgets and bought other
car. The story might have been different have they used a word like “the
most affordable car” than “the cheapest car”.
Negative publicity & failed PR management: The Nano's image also
tarnished by a series of cases in 2010 when the cars caught fire. The
company said it investigated and that the blazes weren't the result of any
manufacturing defect. Yes, a few Tata Nano’s caught fire-but, weren’t
there a hundred other Tata Nanos that did not? But the people started
suspecting safety standards of Nano largely because the car was positioned
as a cheap car. People tend to believe that built in quality was
compromised to keep the price in check. The PR cell at Tata failed to
contain the collateral damage done by the spiraling negative publicity,
which was one of the reasons Tata Nano did not take off.
Expectation versus reality: An average Indian family of four had
difficulty fitting in Nano. There was no boot-space, the car was not meant

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for the rough Indian roads which all went down very negatively into the
Indian psyche, and hence the lack of acceptance of Tata Nano.
Target Market problem: The value engineering and innovation was
brilliant. But it was never quite clear who the car was for. Was it to replace
a two-wheeler for commuting, was it a second car for an affluent family or
an aspirational first car for a 30-year-old, or was it for all of these people?
Unrealistic Pricing: was it actually one lakh rupee car?
Announced as the most affordable production car in the world, Tata aimed
for a price of one lakh rupees, which was approximately $2,000 US at that
time. However in reality very few got the car in that price due to multiple
factor. Apart from shifting of plant from Singur to Gujarat the price of the
car negatively affected by recession at world level from early 2008.
These all ultimately made the price of one lakh an unrealistic one and Tata
had to increase the price. A fully equipped Nano was sold at around
200,000 rupees (two lakh) while still being perceived as a one lakh value.
For the price of a Nano, one could easily get a 3 year old "full" car. By
stretching a bit one could have a far better Maruti Suzuki Alto.
Attempt of revival
Struggling to get desired sales the Tata decided to revive the brand many
time though it failed every time. Initially Tata stepped up its efforts,
including a new marketing campaign, dealerships in midsized cities and
financing options for the car with the help of 29 Indian banks. Tata also
tried to revamp Nano by bringing modernized avatar, with more safety
features; of course, the price of the car has also increased. Tata also tried to
reposition the Nano as "cool people's car" in place of its original
positioning of "people's car". It gave the car a face-lift, adding a stereo,
hubcaps and chrome trim, raised the price and started a new marketing
campaign to give it more prestige. The company also tried to design the
car to make it more appealing to buyers under 35 years old and a little
more aspirational than what it was before. Tata also tried to position Nano
as the 'smart city car' suitable for city driving.
Even after all these efforts the Tatas were not able to revive the brand;
largely due to poor perception held by the people at large coupled with
some strategic blunders made by the company.

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Conclusion
The failure of Tata Nano is a great lesson for all the marketers. The car
was coined as a dream come true for a common man of India. It was
targeting the middle class who would have never thought of purchasing a
car. It was able to successful to connect with people and created huge
hype. But the hype it created started vanishing when production got
delayed for more than a year. When it was actually launched the buzz
around it already had gone. Furthermore the global recession made it
difficult for company to sale Nano at one lakh rupee. When Tata increased
the price it further distanced the customers. The biggest damage was done
when the car was positioned as the cheapest car. People disliked it and
started shifting to other options. Ultimate damage was done when few cars
caught with fires which developed an impression that quality of Nano was
compromised to keep the price in check.
The idea to produce Nano was to bring car in the range of a common man
but Tata made a mistake of setting an unrealistic price of one lakh rupee. It
further became difficult to keep price in check due to shifting of plant from
Singur to Sanand and global recession. Tata was able to create a new
market segment of minicar for entry level buyers but missed out on the
opportunity to grab it successfully with Nano which later on grabbed by
company like Renault (kwid) and Maruti (Alto) etc.
In many ways Tata Motors failed to carry forward the excitement from the
launch. Nano’s failure can also be contributed to its poor positioning
strategy and inability to justify increased pricing and product quality.

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Ratan Tata with Tata Nano

Ratan Tata and Gujarat Chief Minister with Tata Nano

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Tata Nano 2009 Model

Tata Nano caught in fire

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References
1. http://trak.in/tags/business/2013/11/30/ratan-tata-nano-failed/ accessed
on 15/3/17.
2. http://www.letuspublish.com/7-reasons-tata-nano-not-take-off-expect
ed/ accessed on 15/3/17.
3. http://www.businessinsider.com/tata-nano-failure-2011-12?IR=T
accessed on 15/3/17.
4. https://www.wsj.com/articles/SB100014240527023045207045791
25312679104596 accessed on 15/3/17.
5. http://economictimes.indiatimes.com/industry/auto/news/passenger-
vehicle/cars/tata-nano-failed-customer-aspirations-in-totality-maruti-
suzuki-chairman-r-c-bhargava/articleshow/55230430.cms accessed on
15/3/17.
6. https://nextbillion.net/why-the-failure-of-the-nano-has-been-a-success/
accessed on 15/3/17.
7. http://www.thereviewbin.in/why-did-tata-nano-fail/ accessed on
15/3/17.
8. https://hbr.org/2011/01/learning-from-tatas-nano-mista accessed on
15/3/17.
9. https://www.theguardian.com/commentisfree/2014/feb/03/tata-nano-
car-cheap-poor-safety-rating accessed on 15/3/17.
10. https://bloginnovation.wordpress.com/2011/10/23/why-tata-nano-
failed-indian-mothers-point-of-view/ accessed on 15/3/17.
11. http://www.thehindu.com/business/Industry/Nano-failed-to-meet-
peoples-aspirations-says-Maruti-chief/article16091813.ece accessed
on 15/3/17.
12. https://www.ft.com/content/7092436e-ee34-11e0-a491-00144feab49a
accessed on 15/3/17.
13. http://www.financialexpress.com/auto/news/unfazed-by-nano-failure-
tata-motors-to-roll-out-new-small-car/262899/ accessed on 15/3/17.

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22
Brand Sustainability in Textile Sector
Ms. Megha Gohil1, Dr. Manjali Sharma1
1
Sheth P.T. Mahila College of Arts & Science, Department of Apparel Design,
Vanita Vishram, Athwalines, Surat-395009, Gujarat.

Abstract
Nowadays, because of the environmental and social problems societies
around the world are facing, sustainability has been increasingly used in a
specific way. Sustainability is the processes and actions through which
humankind avoids the depletion of natural resources, in order to keep an
ecological balance that doesn’t allow the quality of life of modern
societies to decrease. In this way, the term “sustainability” has been
broadly applied to characterize improvements in areas like natural
resources overexploitation, manufacturing operations, and the linear
consumption of products, the direction of investments, citizen lifestyle, and
consumer purchasing behaviors, technological developments or business
and general institutional changes. This review paper is mainly focuses on
importance of sustainable development in textile sector and how young
Indian brands are celebrating sustainability by adopting traditional
aspects in modern era.
Keyword: Sustainable Development, Brand Sustainability, Textile.
What Is Sustainability?
Sustainability can be defined as the practice of maintaining world
processes of productivity indefinitely natural or human-made by replacing
resources used with resources of equal or greater value without degrading
or endangering natural biotic systems. Sustainable development ties
together concern for the carrying capacity of natural systems with the
social, political, and economic challenges faced by humanity.
Sustainability Science is the study of the concepts of sustainable
development and environmental science. There is an additional focus on
the present generations' responsibility to regenerate, maintain and improve
planetary resources for use by future generations.

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Sustainability focuses on meeting the needs of the present without


compromising the ability of future generations to meet their needs. The
concept of sustainability is composed of three pillars: economic,
environmental, and social also known informally as profits, planet, and
people.
Key Notes
 Sustainability focuses on meeting the needs of the present without
compromising the ability of future generations to meet their needs.
 Investors can be wary of companies that commit to sustainability.
Although the optics can be beneficial to share price, investors worry
about companies being transparent with their earnings results.
 Big brands often make pledges to sustainability, but it often takes a
long time to achieve sustainability goals.
How Sustainability Works
Sustainability encourages businesses to frame decisions in terms of
environmental, social, and human impact for the long-term, rather than on
short-term gains such as next quarter's earnings report. It influences them
to consider more factors than simply the immediate profit or loss involved.
Increasingly, companies have issued sustainability goals such as
commitment to zero-waste packaging by a certain year, or to reduce
overall emissions by a certain percentage.
These companies can achieve their sustainable needs by cutting emissions,
lowering their energy usage, sourcing products from fair-trade
organizations, and ensuring their physical waste is disposed of properly
and with as small of a carbon footprint as possible.
What is Sustainable Development?
Sustainable development is the organizing principle for man development
goals while simultaneously sustaining the ability of natural systems to
provide the natural resources and ecosystem services on which the
economy and society depend. The desired result is a state of society where
living conditions and resources are used to continue to meet human needs
without undermining the integrity and stability of the natural system.

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Sustainable development can be defined as development that meets the


needs of the present without compromising the ability of future
generations to meet their own needs. Sustainability goals address the
global challenges, including poverty, inequality, climate change,
environmental degradation, peace and justice.
While the modern concept of sustainable development is derived from the
1987 Brundtland Report, it is also rooted in earlier ideas about sustainable
forest management and twentieth-century environmental concerns. As the
concept of sustainable development developed, it has shifted its focus
more towards the economic development, social development and
environmental protection for future generations. It has been suggested that
the term 'sustainability' should be viewed as humanity's target goal of
human-ecosystem equilibrium, while 'sustainable development' refers to
the holistic approach and temporal processes that lead us to the endpoint of
sustainability". Modern economies are endeavoring to reconcile ambitious
economic development and obligations of preserving natural resources and
ecosystems, as the two are usually seen as of conflicting nature. Instead of
holding climate change commitments and other sustainability measures as
a remedy to economic development, turning and leveraging them into
market opportunities will do greater good The economic development
brought by such organized principles and practices in an economy is called
Managed Sustainable Development (MSD).
What is Brand Sustainability?
Sustainability brands are products and services that are branded to signify
a special added value in terms of environmental and social benefits to the
customer and thus enable the differentiation from competitors.
Sustainability branding is the process of creating and maintaining an
identity of a specific product, service, or business that reflects special
added value in terms of environmental and social benefits. A brand is only
perceived as being sustainable if it can credibly convey sustainability
benefits which are noticeable by and relevant to the consumer. A
sustainability brand must have an integrated culture for success. The key
to a sustainable brand is trust between the consumer and the brand, only
when this is achieved can a sustainable brand truly generate a USP and
reap the benefits of it.

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Opposed to the term green brands which mainly focus on environmentally


sound business practices, sustainability brands additionally acknowledge
the social dimension of providing products and services. This entails,
among others, health and safety issues resulting from direct or indirect
product use (consumption level) as well as the conditions under which a
particular product is produced (production level). The physical protection
and well-being of people at work (i.e. employees as well as workers within
the supply chains) are important indicators of sustainability brands and
sustainability marketing in general which adheres to the triple bottom line
of ecological (environmental), social (equity), and financial (economic)
sustainability.
Sustainability is the Chosen Path for Textile Industry
The textile industry is the second largest sector of global trade market, in
terms of economic activities, with the market estimated to reach USD
1,230 billion by 2024, from USD 920 billion in 2018. However, being a
lucrative market on one end, the industry is like a double-edged sword,
which requires a high level of monitoring and adaptation to proper
guidelines to reduce its side-effects on the environment. The goal of
sustainable fashion is to create flourishing ecosystems and communities
through its activity. This may include: increasing the value of local
production and products; prolonging the lifecycle of materials; increasing
the value of timeless garments; reducing the amount of waste; and to
reducing the harm to the environment created as a result of production and
consumption. Another of its aims can sometimes be seen to educate people
to practice environmentally friendly consumption by promoting the "green
consumer".
To begin with, sustainability in the textile and clothing industry has gone
beyond just using organic materials and efficient processes. The textile
chain consumes a huge amount of water and energy, along with the use of
various chemicals and harmful substances. Most of the textile industries
discharge a huge amount of harmful waste, posing a threat to natural
bodies. There is a dire need to adopt newer methods of manufacturing,
which do not hamper the environment, and to utilize natural resources, to
help us not only sustain the textile industries but the eco-system as whole.

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The textile industry needs to keep track of sustainability at every step of its
production. As a whole, it can be outlined to include the following
measures:
1. Utilization of natural resources water and energy in production
processes.
2. Availability of raw materials which are sustainable in the long-run
3. Handling of chemicals in processes like dyeing and coating
4. 4.Disposal and treatment of waste material Adherence to guidelines to
eliminate health-risks of workers, as well as consumers
5. Animal cruelty norms in the procurement of wool, silk, fur, etc.
If textile industry wants to make conscious progress without further
endangering nature, companies should take implement manufacturing
practices which reduces carbon footprint, invest in research &
development to use sustainable raw materials and produce environment-
friendly finished products. Many international clothing brands are today
leading the Sustainability Mission as they are best placed to drive
consumer opinion and also back-link it to production & sourcing practices.
Characteristics of Sustainable Fashion match the philosophies of "slow
fashion" in that emotional, ecological and ethical qualities are favored over
uniform and bland convenience. Slow fashion challenges growth fashion's
obsession with mass-production and globalized style and becomes a
guardian of diversity. It changes the power relations between fashion
creators and consumers and forges new relationships and trust that are only
possible at smaller scales. It fosters a heightened state of awareness of the
design process and its impacts on resource flows, workers, communities,
and ecosystems. Slow fashion often consists of durable products,
traditional production techniques or design concepts that strive to be
season-less or last aesthetically and materially for longer periods of time.
Sustainable fashion is a movement and process of fostering change to
fashion products and the fashion system towards greater ecological
integrity and social justice. Sustainable fashion concerns more than just
addressing fashion textiles or products. It comprises addressing the whole
system of fashion. This means dealing with interdependent social, cultural,
ecological, and financial systems. Sustainable fashion also deals with
considering fashion from the perspective of many stakeholders-users and
producers, all living species, contemporary and future dwellers on earth.

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Sustainable fashion, therefore, is the responsibility of citizens, the public


sector, and the private sector. A key example of the need for systems
thinking in fashion is that the benefits of product-level initiatives, such as
replacing one fiber type for a less environmentally harmful option, is eaten
up by increasing volumes of fashion products. An adjacent term to
sustainable fashion is eco fashion.
Young Indian brands are adopting sustainability
Up cycled, ethically-made and cruelty-free, many young Indian brands are
celebrating sustainability by bringing together zero-waste design, small-
scale production and time-tested Indian traditions.
The tension between consumerism and the climate crisis is a tight trope.
However, these Indian brands are on a mission to chart a responsible and
conscious design process for garments, footwear, and accessories. From
Mumbai-based brand, Doh Tak Keh breathing life to fabric waste, Papillon
du thé upholding local craft techniques, to clothing label Kaiyare’s
conscious clothing that only uses natural fabrics, these brands prove why
sustainability is about all of us pitching in small ways.
Recycle and Upcycle
Indian brands are carrying centuries-old practices of recycling and up-
cycling like Kantha embroidery on old saris and quilts and the use of
katran (fabric waste) in our clothing into the future. By ditching the use
(and wastage) of new resources for production and adding its design
signature, these brands have managed to turn fabric scraps into clothing
and old tires and recycled plastic into footwear. “I believe that up cycling
is not just a sustainable practice towards an eco-friendly future but it also
serves as a design challenge to construct unique products,” says Juhi
Melwani, designer and founder of Doh Tak Keh.
1. Doh Tak Keh
Juhi Melwani’s Mumbai-based luxury streetwear brand takes fabrics
scraps and turns them into pantsuits, jackets, shirts and skirts with intricate
embroideries of hand-made illustrations. Its Spring-Summer ’20 collection
features skirts with patchwork that are made from single-use grain sacks,
khadi dresses and co-ord sets. Besides sourcing textile scraps from all over

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the country, she also reuses leftovers from her Doh Tak Keh studio that get
translated into beautiful details on her creations.
2. Paaduks
Making shoes can be extremely wasteful if the resources are not used to
full potential. Enter Paaduks, the footwear brand that shapes old tires,
rubber mats, and even conveyor belts into comfortable, everyday-wear
sandals for men and women. Co-founded by Jay and Jothsna Rege in
2013, the brand made its first prototype with the help of a master cobbler
in Govandi, Mumbai. Its shoes have distinct Indian designs as they use
kalamkari, ikat, ajrakh, dabu, and indigo prints.
3. Nothing New
Nothing new gives sneakers a sustainable twist by using plastic worth 5.6
water bottles (one litre) in each pair. The brand claims that all the materials
that go into the making of its sneakers, down to its lace and the label, are
made from recycled plastic.
4. Natural Materials
Organic fibres reigned supreme in India in the form of cotton, jute, and
silk before synthetic materials like polyester, rayon, and nylon took over
the racks of fast fashion outlets. But now, Indian brands are turning to
organic cotton, banana fibre and ethically-sourced wool and interpreting
them in an urban aesthetic. “When we were exploring Indian craft and
sustainability, it was very clear to us that traditional techniques, materials
and methods of production defined sustainability in itself,” share Anvitha
Prashanth and Nikitha Satish of Kaiyaré.
5. Kaiyaré
This clothing and accessories brand strikes a harmonious balance of
everything handmade and sustainable, seeped in Indian craft traditions.
Besides using waste fabrics for its clothing, the brand also uses
agricultural waste like banana tree bark in its line of bags, baskets, and
home accessories. Kaiyaré works with the women artisans from the
villages around the forest reserves of Kabini in Karnataka and Madhya
Pradesh, highlighting the importance of working with the people who
inherit generational knowledge of natural fibres and fabrics.

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6. A Big Indian Story


As veganism gains ground in the country, the lifestyle is inspiring not just
dietary changes but also the way people shop. While footwear hasn’t been
popularly associated with organic materials, A Big Indian Story is
breaking conventions by being India’s first accessories brand to use
Piñatex, a natural textile made from pineapple tree leaves, in its everyday-
use bags and shoes for men and women.
7. All Birds
This footwear brand brings together natural, recycled, and repurposed into
its sneakers, slippers and high-tops. All Birds’ shoes are made from
Merino wool from New Zealand, TENCEL Lyocel from South Africa,
SweetFoam™ made from sugarcane in Brazil, and the brand’s own natural
yarn Trino that is made using eucalyptus tree fibres and Merino wool.
8. Small Scale Production
The model of mass manufacturing has failed the environment on multiple
fronts. But, these labels making products in small, sustainable batches can
save the day. “We must improve efficiency from the ground up to have a
sustainable financial growth,” says Sayesha Sachdev, co-founder and
creative director of CORE by JSI.
9. Seek Collective
While working for brands like Calvin Klein and Armani for a decade in
New York, Carol Miltimore travelled solo to India. This led to the
discovery of its rich craft community and her decision to start Seek
Collective. Its garments involve handloom weaving, natural dyeing, and
hand embroidery.
10. CORE By JSI
With classic silhouettes like shirt dresses and blazers in a neutral palette,
CORE by JSI champions slow productions with its eco-friendly textiles
like Tencel and recycled banana crepe and eco-friendly and vegan inks
teamed with high-precision tailoring.

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11. Zero Waste


The global apparel industry is responsible for grim statistics in the wastage
of its resources as a large portion of fabric scraps end up in landfills
because it’s cheaper than recycling. Call it fashion’s most radical ambition
but zero-waste design is now paving the way for many upcoming Indian
brands. Mayura Davda-Shah of Mayu says, “It is imperative for fashion
businesses now to be thinking about the whole supply chain from a
sustainable lens.”
12. MAYU
Minimal, utilitarian and timeless, MAYU’s bags, laptop sleeves, wallets
and card cases for both men and women use European fish leather, which
is tanned with natural dyes and made by Indian craftsmen in a zero-waste
facility in India. All the leather is sourced from organic fish farms in
Ireland.
13. Moborr
Made with hand-dyed yarns that are handwoven in age-old handlooms in
different parts of rural India, Moborr’s minimalist, transseasonal clothing
for women is made with rain-fed organic cotton, plant-based dyes and
features coconut shell buttons.
14. LOTA India
LOTA India, the brainchild of Delhi-based couple Adhiraj Singh and
Shradha Kochhar, not only uses industrial fabric waste to collage it into
graphic shirts but also refrains from carrying out campaign shoots to cut
down on its carbon footprint.
15. Handmade
One could say that the return to handmade is a response to fashion’s
fatigue over the industry’s relentless pace. Many designers are ditching
hectic production schedules to create pieces that are meticulously made by
hand.

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16. RaasLeela
Gujarat-based label RaasLeela’s designs use appliqué that are hand-
stitched from the smallest of the fabric remnants. All of its clothing-
handmade, upcycled, dye-free and bleach-free-celebrates local culture and
natural materials.
17. Kaleekal
Thiruvananthapuram-based Alan Alexander Kaleekal’s genderneutral
brand uses merino wool, silk, cashmere and organic cotton, and waste silk
yarns which is then hand-woven by local artisan clusters in Kerala.
18. Soham Dave
Electrical engineer-turned designer Soham Dave’s designs-from
monochromatic staples with traditional Ajrakh motifs to shibori dresses-
are consciouslyhandcrafted with biodegradable materials.
19. Local Craft Techniques
Every state in India has its unique certain weaving, dyeing, embroidery, or
printing technique that is sustainable in its very construct. Many young
brands are now relying on the deep sense of ecological responsibility and
wisdom of these techniques to guide them along the path of sustainability
in creativity. “It’s important for us to help sustain the future of these crafts
and the skilled artists who rely on it craft for their livelihoods. It would be
a real loss to let that intergenerational knowledge and expertise disappear,”
asserts Nisha Marani, creative director of Sunday/Monday.
20. Sunday/Monday
New York-based designer Nisha Mirani ’s textiles celebrate India’s craft
traditions with Indian motifs in her scarves, rugs, and tableware that are
handwoven in Gujarat and Rajasthan. The textiles are designed in New
York and handmade by the weaving families in Gujarat and a
blockprinting family in Rajasthan. Mirani, a daughter of Gujarati
immigrants, has a single-sighted motive to uphold, preserve, and showcase
India’s craftsmanship traditions in the global market.

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21. Papillon Du Thé


The Sri Lankan jewellery brand’s roots lay deep in the country’s ingenious
crafts and the excel lence of its craftsmen. Creative director Saskia
Fernando’s necklaces, rings, and earrings are inspired by traditional Sri
Lankan jewellery worn by its locals and made using techniques handed
down over generations. “As a local brand, we engage artisans in our
production process from start to finish. Our collections are created in small
workshops by craftspeople who depend on boutique brands such as ours to
keep their trade going,” says Fernando.
22. STRAW India
Co-founder of STRAW India, Sonam Shah has travelled the world in the
quest for local craft techniques and the artisans behind them. STRAW
India’s bags use raffia from the farmers of Ghana and recycled brass and
wood for its jewellery made by the residents of Malawi. “We collaborate
with artisans/brands from around the globe who handcraft in small batches
adopting traditional techniques and raw materials native to their region,”
shares Shah.
References
1. https://en.wikipedia.org/wiki/Sustainable_development.
2. https://youmatter.world/en/definition/definitions-sustainability-
definition-examples-principles/.
3. https://www.investopedia.com/terms/s/sustainability.asp.
4. https://www.brandingstrategyinsider.com/brand-sustainability-
defined/#.X-3C_FUzbIU.
5. https://www.sutlejtextiles.com/blogs/blog-post.php?id=C1.
6. https://en.wikipedia.org/wiki/Sustainable_fashion.
7. https://elle.in/article/indian-brands-sustainability/.
8. Annie, Gullingsrud (2017-02-09). Fashion fibers: designing for
sustainability. New York, NY, USA. ISBN 9781501306648. OCLC
915250289.

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23
A comparative study of consumer
buying Behaviour towards chips with
reference to Bingo and Lays
Anita Naragund1, Bhuvaneshwari D1,
Devaraj Dodamani1, Venkatesh Malali1, Vikas Parvati1
1
Student, MBA Department, Global Business School, Hubli, Karnataka, India.

Abstract
This survey is conducted to know the Buying Behaviour of the consumers
towards Chips with reference to Bingo and Lays.
Project title- “A comparative study of consumer Buying Behaviour
towards chips with reference to Bingo and Lays” The main objectives to
conduct this survey are-To know the perception of consumers towards
Chips in Hubli-Dharwad. To understand the factors that influence
consumer to select the chips Brands of Lays and Bingo. To understand
which Brand is preferred more in Hubli-Dharwad.
This survey is conducted under descriptive research method with the
sample size of 400. The technique used to collect data is judgemental
sampling technique and convenience sampling and the data is collected
through questionnaire. The location selected to conduct this survey is
Hubballi and Dharwad.
And the result is as per the survey most of the female preferred tomato
flavour of both Bingo and Lays and most of the youth age between 21-30
prefer to have chips on usual basis.
Introduction
Food industry
The Indian food industry is poised for huge growth, increasing its
contribution to world food trade every year. In India, the food sector has
emerged as a high-growth and high-profit sector due to its immense

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potential for value addition, particularly within the food processing


industry.
The food industry, which is currently valued at US$ 39.71 billion! is
expected to grow at a Compounded Annual Growth Rate (CAGR) of 11
per cent to US$65.4 billion by 2018. Food and grocery account for around
31 percent of India’s consumption basket.
Accounting for about 32 per cent of the country’s total food market, The
Government of India has been instrumental in the growth and development
of the food processing industry. The government through the Ministry of
Food Processing Industries (MoFPI) is making all efforts to encourage
investments in the business. It has approved proposals for joint ventures
(JV), foreign collaborations, industrial licenses and 100 per cent export
oriented units.
Market Size
The Indian food and grocery market is the world’s sixth largest, with retail
contributing 70 per cent of the sales. Food has also been one of the largest
segments in India's retail sector, which was valued at US$ 490 billion in
2013@. The Indian food retail market is expected to reach Rs 61 lakh
crore (US$ 894.98 billion) by 2020.
The Indian food processing industry accounts for 32 per cent of the
country’s total food market, one of the largest industries in India and is
ranked fifth in terms of production, consumption, export and expected
growth. It contributes around 14 per cent of manufacturing Gross
Domestic Product (GDP), 13 per cent of India’s exports and six per cent of
total industrial investment. Indian food service industry is expected to
reach US$ 78 billion by 2018.The Indian gourmet food market is currently
valued at US$ 1.3 billion and is growing at a Compound Annual Growth
Rate (CAGR) of 20 per cent. India's organic food market is expected to
increase by three times by 2020.
The online food ordering business in India is in its nascent stage, but
witnessing exponential growth. The organised food business in India is
worth US$ 48 billion, of which food delivery is valued at US$ 15 billion.
With online food delivery players like Food Panda, Zomato, TinyOwl and

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Swiggy building scale through partnerships, the organised food business


has a huge potential and a promising future.
Investments
According to the data provided by the Department of Industrial Policies
and Promotion (DIPP), the food processing sector in India has received
around US$ 6.82 billion worth of Foreign Direct Investment (FDI) during
the period April 2000-March 2016. The Confederation of Indian Industry
(CII) estimates that the food processing sectors have the potential to attract
as much as US$ 33 billion of investment over the next 10 years and also
generate employment of nine million person-days.
Mr Tomasz Lukaszuk, the Ambassador of the Republic of Poland had also
highlighted the keen interest shown by Polish companies looking for
opportunities in India to expand collaboration and invest food processing
Government Initiatives
In order to promote food processing industries, increase level of
processing and exploit the potential of domestic and international market
for processed food products, Vision Document-2015 was prepared by the
Ministry of Food Processing Industries. The document envisages trebling
the size of investment in the processed food sector by increasing the level
of processing of perishables from 6 per cent to 20 per cent, value addition
from 20 per cent to 35 per cent and share in global food trade from 1.5 per
cent to 3 per cent by 2015. According to the Ministry, an investment of Rs
100,000 crore (US$ 14.67 billion) would be required in 2015 to achieve
these targets. The Government of India has also relaxed foreign direct
investment (FDI) norms for the sector, allowing up to 100 per cent FDI in
food product e-commerce through automatic route.
Road Ahead
Going forward, the adoption of food safety and quality assurance
mechanisms such as Total Quality Management (TQM) including ISO
9000, ISO 22000, Hazard Analysis and Critical Control Points (HACCP),
Good Manufacturing Practices (GMP) and Good Hygienic Practices
(GHP) by the food processing industry offers several benefits. It would
enable adherence to stringent quality and hygiene norms and thereby
protect consumer health, prepare the industry to face global competition,

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enhance product acceptance by overseas buyers and keep the industry


technologically abreast of international best practices.
Chips Market
Market Overview
The global potato chips market is forecasted to witness a CAGR of 4.40%
during the forecast period (2020-2025).
The global potato chips market reached a value of US$ 30 Billion in
2019. The market is further expected to exhibit stable growth during
2020-2025. Potato chips represent one of the most popular snack
foods consumed across the globe. These are thin slices of potato
which are seasoned after being fried until crisp. At the time of
frying, the sugar present in potatoes combine with amino acids and
turns brown which results in the yellowish-brown colour of potato
chips. In addition to this, potato chips are processed and stored in
such a way that they are inert towards any microbiological spoilage,
chemical and enzymatic activities as well as moisture or other vapor
migration. The taste, texture and colour of the chips remain
unaltered for a long period of time. Apart from this, potato chips are
generally packed and sold in air-tight plastic bags which
significantly increases the longevity of the products.
Product variety, a mix of regional snacks flavors, changing consumer
lifestyles and growth in distribution channels are major factors
contributing to increasing sales of potato chips across the globe.
The introduction of healthier alternatives, like the low-fat and low-sodium
chips, in the emerging markets also influencing the growth of the potato
chips market.
However, there are many potato chip substitutes available in the market,
and this could be a major threat and likely to hamper the market growth at
some extent during forecast period.

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Global Potato Chips Market Drivers


 Potato chips are one of the most convenient food options
currently available for people to keep pace with their busy
lifestyle. It shortens the meal preparation time and can be served
in the form of a quick snack or part of the meal.
 The raw materials that are used in the manufacturing of potato
chips are potatoes, oil and salt, which are widely available in
every part of the world. Hence, reliable supply of potatoes and
other materials are ensured, thereby providing the potato chips
market with a constant supply and efficient production planning.
 Developing countries are expected to drive the global potato
chips market in the coming years. Earlier, the consumption of
potato chips was largely confined to the western countries.
However, with the emerging trend of westernisation of food
consumption patterns in addition to growing economy, rise in
middle class population and increasing urbanisation, the
consumption of potato chips in developing countries is expected
to grow at a significant rate.
 The growth of the organized retail sector is currently having a
positive impact on the global potato chips market. Earlier, a
number of global players were hesitant to sell their products in
emerging regions because of lack of infrastructure, storage
facilities, and appropriate knowledge about the developing
markets. However, with an increase in the number of organised
retail stores, many players are investing in these markets. This is

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anticipated to eventually result in the augmented consumption of


potato chips during the next few years.
 Due to the rising health consciousness among global population,
several potato chips manufacturers are launching value added
products that are healthier as compared to traditional potato
chips. This includes products with reduced fat and calorie
content, fortified with healthy ingredients, lower cholesterol, etc.
Chips that are gluten-free, non-GMO verified and made with sea
salt, natural colours and flavours are gaining more popularity
than the traditional ones. Other than this, potato chips
manufacturers have also expanded their spending for various
R&D activities to introduce more diverse products in the market
so as to strengthen their product portfolio. These are some
factors which are having a direct impact on the growth of the
market.
Key Market Segmentation
IMARC Group provides an analysis of the key trends in each sub-
segment of the global potato chips market report, along with
forecasts for growth at the global, regional and country-level from
2020-2025. Our report has categorized the market based on region,
product type, and distribution channel.
Breakup by Product Type
 Plain
 Flavoured

The potato chips market has been segmented on the basis of different
type of product available for consumers including plain and
flavoured. Currently, plain potato chips are the most preferred type
of potato chips across the globe.
Breakup by Distribution Channel
 Supermarkets/Hypermarkets
 Convenience Stores
 Specialty Food Stores
 Online Stores
 Others

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Based on distribution channel, potato chips can be obtained by


consumers through various means such as supermarkets/
hypermarkets, convenience stores, specialty food stores and online
stores. Amongst these, supermarkets/ hypermarkets represent the
largest segment on account of the availability of a wide variety of
product types and brands.
Regional Insights
 United States
 United Kingdom
 Russia
 China
 Argentina
 Brazil
 India
On a geographical front, the United States represents the biggest
market for potato chips, holding the majority of the share. This can
be attributed to the snacking habit of people and increasing demand
for convenient food across the region. The United States is followed
by United Kingdom, Russia, China, Argentina, Brazil and India.
Competitive Landscape
The global potato chips market is highly fragmented with the
presence of numerous small and large manufacturers who compete in
terms of prices and quality. Some of the leading players operating in
the market are:
 PepsiCo
 Kraft Foods
 Kellogs
 Diamond
 General Mills
 Nestle
Bingo Chips
Bingo! was launched by ITC Foods in March 2007 with a wide range of
exciting packaged salted snacks. The range now includes multiple flavor

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variants of Potato Chips & Finger Snacks. The brand is associated with
youth, fun and excitement. It fullfils the consumers need for variety and
novelty in snacks.

Strengths in the SWOT Analysis of Bingo Chips-Bingo Chips


SWOT Analysis
Special advertisement strategy: One of Bingo’s key advantages from the
beginning was that it used an attractive advertising campaign and often
portrayed itself as something special. The ads have made consumers aware
of its products and advertisement has a high recall value.
Special product: Bingo has always been sold as a special triangle-shaped
chip. Besides this, the brand also has six sub-brands: Bingo Yumoto’s
Original, Bingo Yumitos, Bingo Rulz, Bingo Starters, Bingo tedhe medhe,
and Bingo mad angles. Bingo has tried to create a good brand image for its
products in the market.
Variety of flavors: Obviously, with so many sub-brands, Bingo was
expected to have a range of flavors, as is the case here. Today, Bingo has
19 varieties in its kitty, each of which can be found here.
Strong Rural and Urban distribution Network: ITC has several brands
under its umbrella, most of which are linked to food and beverage. As a
result, the distribution of Bingo is also far and wide. ITC is connected to
rural areas. ITC also opened ITC Choupal Sagar and created its reach in
rural areas.

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Backing ITC: ITC is one of India’s biggest FMCG firms and has deep
pockets as well. That’s why ITC ‘s funding is a really positive thing for
Bingo.
ITC is giving a good margin and has good delivery network hence its
availability is also good.
ITC’s Fair pricing guarantees spontaneous transactions.
Bingo has recently launched Bingo Starters for Bingo! Starters is a healthy
snack from ITC. Key ingredients of Bingo! Starters is dal (Pulses Chips).
This Chips is baked not fried and is a good source of protein and dietary
Fibre
Weaknesses in the SWOT Analysis of Bingo Chips-Bingo Chips
SWOT Analysis
Advertising Low on TV: Bingo is advertised a lot at the beginning, but
the brand-building process has not proceeded, so brand recall is weak for
the brand right now.
High-fat content: healthy people avoid high fat and high cholesterol in
potato wafers.
Wafers have a high customer brand switch, which makes it difficult to
understand customers.
Opportunities in the SWOT Analysis of Bingo Chips-Bingo Chips
SWOT Analysis
Micro-distribution-Bingo must be aimed at micro-distribution because
these potato chips are actually distribution focused games and reachability
is the winning factor.
Brand building-In addition to scope, Bingo also needs to concentrate on
that brand recall through better ads, something that Kurkure has done
consistently and has reaped the benefits.
Variety of taste and chip-More variety in taste and variety in chip texture
or shape will help Bingo in the long run. Variety is also a choice for food
items.
Leverage of successful ITC brand

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Promote special offers to attract the target group


Purchase smaller competitions and resort ties, food chains
Team up with major supermarket chains like Walmart, D-Mart, Big
Bazaar to sell their products.
Offer Free Gifts inside the pack to attract children.
Threats in the SWOT Analysis of Bingo Chips-Bingo Chips SWOT
Analysis
Health awareness-One of the major challenges to any fast food dependent
on potatoes is that people are becoming more and more nutritious and have
started to disregard chips and other fried products.
Competition-has massive competition with brands such as Lays, Kurkure,
and others. Regional brands such as Balaji wafers are also available. These
regional brands, national brands, and international brands are all
competing for the same space in the consumer’s mind and stomach.
The threat of local substitute snacks
Reduced consumption of healthy people
Government Regulations are also a threat.
Changing norms for Preservatives can also a major threat to the company.
Overall, we can see that Bingo has a good market presence, but demand is
lower than that of other chips makers. So bingo needs to get into the
advertising game right now and buck up for its market share.
Lays Chips
In 1932 sal esman Herman W. Lay opened a snack food operation in
Nashville, Tennesse and, in 1938; He purchased the Atlanta,
Georgiapotato chip manufacturer "Barret Food Company" renaming it
"H.W. Lay & Company." Lay criss-crossed the southern United States
selling the product from the trunk of his car. In 1942. Lay introduced the
first continuous potato processor, resulting in the first large-scale
production of the product. The business shortened its name to "The Lay's
Company" in 1944 and became the first snack food manufacturer to

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purchase television commercials, with Bert Lahr as a celebrity spokesman.


His signature line. "so crisp you can hear the freshness." became the chips"
first slogan along with "de-Lay-sious!" As the popular commercials aired
during the 1950s. Lay's went national in its marketing and was soon
supplying product throughout the United States
Lay's is a brand of potato chip varieties, as well as the name of the
company that founded the chip brand in the United States. It has also been
called Frito-Lay with Fritos. Lay's has been owned by PepsiCo through
Frito-Lay since 1965.
"Lay's" is the company's primary brand, with the exception of limited
markets where other brand names are used: Walkers in the UK and
Ireland; Smith's in Australia; Chips in Egypt and the West Balkans;
Tapuchips in Israel Margarita in Colombia; Sabritas in Mexico; and,
formerly, Hostess in Canada.

Strengths in the SWOT analysis of Lays


Global yet local: Lays has been a popular flavour of potato chips across
the world because while they have flavors which are accepted
internationally like Classic Salted or American Cheese, they also have
local flavors like Spanish Tomato Tango or India’s magic masala. These
flavors give a local tinge to the brand.
Frito Lays: Frito Lays is a veteran in snacking business and has been a
consistent leader here. The company has a market share of more than 35
percent of the world market in snack chips and 60 percent in the United
States. Frito Lays also has five of the world’s top chips brands -Lay’s,
Ruffles, Doritos, Tostitos, and Cheetos each of which gives the company

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an annuals sales of 1 billion USD each. The company has the presence in
all popular chips categories such as potato chip, tortilla chip, and corn chip
sectors. This experience gives Lays the much-needed backing in the chips
category.
Wide distribution channel: PepsiCo which is currently the owner company
of Lays has a widespread distribution channel. This ensures that Lays is
made available in even remote locations which in turn has increased its
popularity manifold.
Target segment: Lays has the right segment as its primary target which is
the young adult. Through interesting advertisements and right brand
ambassadors who represent youth, vibrancy, and energy the brand has won
the hearts of millions of youngsters across the world.
Local Sourcing: One of the key strategies of Fritolays to win the hearts of
customers was to introduce local sourcing and connect them to the supplier
through one of their programs called “Lays Local Campaign” which was
introduced in the year 2009. Through this program, a customer could get
introduced to five farmers who were growing potatoes for the company.
This was done in order to ensure that the customer had no qualms about
the source.
Weaknesses in the SWOT analysis of Lays
Weaknesses are used to refer to areas where the business or the brand
needs improvement. Some of the key weaknesses of Laysare:
Reduction in snacks consumption: There has been a reduction in snacks
consumption globally due to growing health concerns. This reduction has
impacted the sales of Lays negatively.
Poor margins: There is very high competition in the snacks market and not
much scope for differentiation except in flavoring. The scope of price
differentiation is less since the customer is highly priced sensitive. Thus
these brands need to keep prices as low as possible with the result that the
margins are very low.
The low propensity for innovation: In a snack like Frito Lays there is very
low scope for innovation. The result is that the brand Lays which has been
in the business for a long time is losing market share to smaller rivals and

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the low brand loyalty from customers is making them switch brands
aggressively.
Opportunities in the SWOT analysis of Lays
Some of the opportunities include:
Healthy snacks: There has been a shift of customer preference of
customers from snacks to healthy snacks. This has resulted in a creation of
a new market for baked snacks as well as organic snacks. These areas that
Lays can look into for new business.
Exposure: In comparison to earlier years people are more aware of global
brands as well as global flavors with the result that there is increased scope
for globalizing the offerings from Frito Lays.
Analysis of Lays
Some of the threats include
Competition: Some of the major competitors of Lays are Ruffles, Doritos,
Tostitos, and Cheetos. There is also growing competition from a lot of
local brands
In 1932 sal esman Herman W. Lay opened a snack food operation in
Nashville, Tennesse and, in 1938; He purchased the Atlanta,
Georgiapotato chip manufacturer “Barret Food Company” renaming it
“H.W. Lay & Company.” Lay criss-crossed the southern United States
selling the product from the trunk of his car. In 1942, Lay introduced the
first continuous potato processor, resulting in the first large-scale
production of the product.
The business shortened its name to “The Lay’s Company” in 1944 and
became the first snack food manufacturer to purchase television
commercials, with Bert Lahr as a celebrity spokesman.
His signature line, “so crisp you can hear the freshness,” became the
chips” first slogan along with “de-Lay-sious!” As the popular commercials
aired during the 1950s, Lay’s went national in its marketing and was soon
supplying product throughout the United States

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In 1932 sal esman Herman W. Lay opened a snack food operation in


Nashville, Tennesse and, in 1938; He purchased the Atlanta,
Georgiapotato chip manufacturer “Barret Food Company” renaming it
“H.W. Lay & Company.” Lay criss-crossed the southern United States
selling the product from the trunk of his car. In 1942, Lay introduced the
first continuous potato processor, resulting in the first large-scale
production of the product.
The business shortened its name to “The Lay’s Company” in 1944 and
became the first snack food manufacturer to purchase television
commercials, with Bert Lahr as a celebrity spokesman.
His signature line, “so crisp you can hear the freshness,” became the
chips” first slogan along with “de-Lay-sious!” As the popular commercials
aired during the 1950s, Lay’s went national in its marketing and was soon
supplying product throughout the United States
Objectives
1. To know the perception of consumers towards Chips in Hubli-
Dharwad.
2. To understand the factors that influence consumer to select the chips
Brands of Lays and Bingo.
3. To understand which Brand is preferred more in Hubli-Dharwad.
Literature Reviews
Tempting food words activate eating simulations Papies, 15 November
2013-The study of Tempting food words activate eating simulations of
eating the food includes lot of test and texture temperature off food,
situations of eating food, etc.
Here in this literature we can find the chips especially potato chips are
shown ass unhealthy food because people are forgetting natural and health
food for snacks.
Effect of ripening on eating quality of keitt mango chips
F. Appiah, P. Kumah, I. Idun , J.R. Lawson(2009)-As per this article
consuming Mango can provide vitamins A, B & C to our body but Mango
is seasonal fruit so it will be stored and make use as per requirement.

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Chips showed increased levels of protein and crude fiber with ripening
whereas the levels of carbohydrates declined. Magnesium levels in chips
increased with ripening whereas the levels of phosphorus, potassium,
calcium and sodium declined.
ish and chips with a side order of Trans fat: The nutrition implications of
eating from fast food outlets
Sue Lloyd Martin Caraher Tim Madelin (2010)-The article says that chips
and fish are likely to be high tin less healthy, saturated fat, because the oil
that they are cooked in will most likely have been used a number of times.
This will be cooked with remaining fried oil which is not good to human
body where in this case was studied on school and college children.
The only Problem is, children will like their chips’: education and the
discursive production of ill-health
John Evans, Bethan Evans & Emma Rich (2006)-Eating chips is an
extension of the restricted dietary practices of the home into the school
canteen. Although the concept of lifestyle features prominently in this
discourse, it is fundamentally disconnected from the sociocultural
conditions that pupils may experience.it is he or she who will determine
the authenticity of the patient’s/pupil’s condition. Help feed and define a
culture that builds pressures for perfection and competence that are
impossible and even undesirable to achieve. Rather than having palate full
of fruit now it is chips.
Taste or health: A study on consumer acceptance of corn chips
Beverly J.TepperAmy C.Trail (1998)-In this this case After evaluating 305
adult consumer data shows result that Data were analyzed using unique
factors like, perception about the corn chips , health dimension and
respondents attitude towards fat in diet and sensory attribute like color &
crunchiness of respondents.
Modification of Fishbein and Ajzen's theory of reasoned action to predict
chip consumption
G.TowlerR.Shepherd-This article explains that 288 respondent replied for
questionnaire of consumption of high fat food item I.e. chips. The
important predictor reported that the theory of reasoned action is both the

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person’s attitude and the subjective norm also perceived control over
predictor of intention of behavior.
Construal levels of healthy eating. Exploring consumers’ interpretation of
health in the food context.
Amber Ronteltap Siet J.Sijtsema Hans Dagevos Mariët A.de Winter
(2012)-Health of person is very important for their survival here in this
case the study aims explore, operationalize and test consumer’s
interpretation of healthy eating by using insights from construal level
theory. Perception and Presentation both are different from each other
where perception will thinks and believe in whereas Presentation is
interpreting or implicating the task for example, people thinks apple is
healthy food but the thing is how much they eat that apple is the matter.
Color and image texture analysis in classification of commercial
potato chips
(F Mendoza, 2007)-It explains that The inclusion of independent color and
textural feature from images documentary features have potential or
possibility to model consumer behavior in the respect of visual taste
preferences of potato chips as not mentioning the company chips product.
Also categories the taste and preference of set of customers
Brand Awareness in Confectionery Food Products in Twin Cities of
Hubli-Dharwad (Karnataka)
(SA Shaikh, 2017)-The reporter is emphasis only on brand awareness
about snacks item where in Twin cities of Hubli-Dharwad. There people
more aware about the chips brand lays and bingo a good product in taste
wise they have got by choosing 300 samples.

Shopper's Perception towards Store Brands within Retail Stores: A


Case of Nellore City of Andhra Pradesh
(MACHAVOLU, Nov 2013)-The purpose of studying is main focus on
shopper's perception towards the store brands and their emotions
associated with the purchase of store brands. It is to understand the

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perception and attitude about chips brands of Bingo. And the factors like
radio, newspaper, magazine, shopkeepers, window display etc.
A Study on the Relevance of Packaging in Children’s Purchase Decision
of Branded Potato Chips
(Tanmoy De, April-2011)-The study express that school going children
have self-expression to recall their chips brand packaging which has been
displayed over package maybe by identify the brand by brand logo, shape ,
package, colour, design also flavour of chips.
Buying Behavior of Rural Consumer with Reference to Packaged
Food Products in Bihar
(Jha, April 2013)-The report says that In India, fast moving consumer
goods in market is one of the major factor is package of food products to
recognize easily and it also focuses on how individuals make their
decisions to spend their available resource like money, time etc.,
Especially in rural market people may not aware or literate but people
perception towards the snacks like, chips takes place.
A study on customer satisfaction towards Lays chips, in Avadi, Chennai
(Sundarapandi C., 2015)-In this case, Customers plays important role in
the any business activity and its serious responsibility of business to get
consumer satisfaction and to earn good by them. The universe of the
population includes the respondents who are the consumers of Lays Chips,
with respect to Avadi.
Eliciting a policy response for the rising epidemic of overweight‐obesity in
India
(Reddy, 2005)-The report will explains the advertisements should not
mislead consumers to believe that the consumption of products advertised
would lead to positive personal changes. It need for suitable alternative
products that are both acceptable to consumers and affordable. As per the
case 70% of children eat chips once or more in a week .Companies brands
of potato chips (Lays and Bingo) give misleading information on trans-fat
content.

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Customer Satisfaction and Its Inference towards Select Fast Moving


Consumer Goods: A Study (P., 2015)-As per this article the study
explained that chips are also purchased on the basis of quality, price, brand
status, identity, packaging are plays vital role in the market to increase the
sales and expand the business.
Research Methodology:
 Nature of Study: descriptive analysis
 Statement of the problem: this study basically tries to explore
Buying Behaviour of consumers of hubli dharwad city towards chips
of two different brands namely Bingo and Lays and also to explore the
factors which influence the consumer to choose a particular brand.
 Study Area: Hubli Dharwad
 Data Collection Method:
Primary Data: Online Questionnaire
Secondary Data: Various online websites, Research papers, etc
 Sampling Size: 400
 Sampling unit: Bingo and Lays consumers.
 Sampling Method: Judgmental sampling and convenience sampling
method.
 Types of Statistical Tools
1. Excel (descriptive analysis)
2. SPSS (Cross Tabs, Factor analysis)
Analysis and Interpretation
Reliability Test
Table 1.Reliability Statistics
Cronbach's Alpha N of Items
.932 22
Source: Primary Data

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From the above Reliability Statistical table, we have Cronbach’s Alpha


value as 0.932, which is more than 0.7 hence, the data collected is Reliable
in nature.
1) Gender
Table 2.Gender
Gender
Frequency Percent
Valid Male 190 47.3
Female 207 51.5
Total 397 98.8
Missing System 5 1.2
Total 402 100.0
Source: Primary Data

Figure 1.Gender
From the above graph we come to know that 48% of the responses are
Male and 52% of the responses are female.
2) Age
Table 3.Age Group
Age
Frequency Percent
Valid Bellow 20 72 17.9
21-30 193 48.0
31-40 77 19.2
Above 40 60 14.9
Total 402 100.0
Source: Primary Data

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Figure 2.Age group


From the above graph we come to know that 48% of the respondents are
between the age 21-30 and 18% of the respondents are Bellow 20 and 20%
respondents are Between 31-40 and 15 % of the responses are above 40.
3) Occupation

Table 4 Occupation
Occupation
Frequency Percent
Valid Student 205 51.0
Employee 118 29.4
Others 79 19.7
Total 402 100.0
Source: Primary Data

Figure 3.Occupation

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From the above graph we come to know that 51% of the respondents are
students and 29% of the respondents are employees and 20% of the
respondents are others.
4) Time taken to select the brand

Table 5.Time taken to select the brand


Time_taken_to_select_brand
Frequency Percent
Valid 0 to 2min 165 41.0
3 to 5 min 141 35.1
More than 5 min 96 23.9
Total 402 100.0
Source: Primary Data

Figure 4.Time taken to select the brand


From the above graph we come to know that 41% of the respondents will
take 0 to 2 minutes and 35 % of the respondents will take 3 to 5 minutes
and 24% of the respondents will take more than 5 minutes to select the
brand.
5) How frequently do buy chips
Table 6.How frequently do buy chips
How_frequently_do_buy_chips
Frequency Percent
Valid Daily 69 17.2
Weekly 122 30.3

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Sometimes 133 33.1


Occasionally 78 19.4
Total 402 100.0
Source: Primary Data

Figure 5.How frequently do buy chips


From the above graph we come to know that 33% of the respondents
sometimes 31% of the respondents weekly 20% of the respondents
occasionally and 18% of the respondents daily used chips.
6) Which products You usually buy?
Table 7.Which products You usually buy
Which products you usually buy
Frequency Percent
Valid Bingo 193 48.0
Lays 107 26.6
Ruffles 58 14.4
Pringles 33 8.2
Others 11 2.7
Total 402 100.0
Source: Primary Data

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Figure 6
From the above graph we come to know that 48% of the respondents
Bingo 23% of the respondents Lays and 15% of the respondents Ruffles
and 8% of the respondents pringles and 3% of the respondents others
usually buy product.
7) Which pack size is mostly preferred for chips?
Table 8.Which pack size is mostly preferred for chips
Which_pack_size_is_mostly_preferred_for_chips
Frequency Percent
Valid 12G (Rs 5) 93 23.1
25G (Rs 10) 144 35.8
52G (Rs 20) 103 25.6
90G (Rs 35) 62 15.4
Total 402 100.0
Source: Primary Data

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Figure 7
From the above graph we come to know that 36% of the respondents 25G
and 26% of the respondents 52G 24% of the respondents 12G and 15% of
the respondents 90G preferred size of the chips.
8) Which Bingo flavour would you choose?
Table 9.Which Bingo flavour would you choose
Which_Bingo_flavour_would_you_choose
Frequency Percent
Valid Tomato flavour chips 102 25.4
Cream and onion 120 29.9
Salted potato chips 137 34.1
others 39 9.7
5 4 1.0
Total 402 100.0
Source: Primary Data

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Figure 8
From the above graph we come to know that 35% of the respondents
salted potato chips and 30% of the respondents cream and onion 26% of
the respondents tomato flavour chips 10% of the respondents others would
choose Bingo Flavour.
9) Which LAYS flavour you choose
Which_LAYS_flavour_you_choose
Frequency Percent
Valid magic masala. 59 14.7
Cream and onion. 108 26.9
tomato tango. 133 33.1
Classic salted. 79 19.7
other 23 5.7
Total 402 100.0

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From the above graph we come to know that 34% of the respondents
tomato tango 27% of the respondents cream and onion 20% of the
respondents classic slatted and 15% of the respondents are magic masala
6% of the respondents other choose Lays Flavour.
10) Whether shift between the products
Whether_shift_between_the_products
Frequency Percent
Valid No 175 43.5
Yes 227 56.5
Total 402 100.0

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From the above graph we come to know that 57% of the respondents are
shift between the product and 43% of the respondents are not shift
between the product.
Factor Analysis
Rotated Component Matrixa
Component
1 2
Factor_Bingo_Taste .713 .233
Factor_Bingo _Availability .729 .074
Factor_Bingo _Variety .824 .072
Factor_Bingo _Quality .855 .104
Factor_Bingo _Packaging .848 .095
Factor_Bingo _Price .874 .080
Factor_Bingo _Visibility .865 .041
Factor_Bingo _Flavours .861 .120
Extraction Method: Principal Component Analysis.
Rotation Method: Varimax with Kaiser Normalization.
a. Rotation converged in 3 iterations.

From the above table it is found that the factors that influence the
respondents are Price (.874) and Taste(.233)of Bingo.
Rotated Component Matrixa
Component
1 2
LAYS_Factor_Taste .772 .070
LAYS_Factor _availability .779 .129
LAYS_Factor _Variety .859 .024
LAYS_Factor _Quality .908 .014
LAYS_Factor _Packaging .908 .014
LAYS_Factor _Price .874 -.041
LAYS_Factor _visibility .883 .010
LAYS_Factor _Flavour .874 .008
Extraction Method: Principal Component Analysis.
Rotation Method: Varimax with Kaiser Normalization.
a. Rotation converged in 3 iterations.

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From the above table it is found that the factors that influence the
respondents are Quality(.908) Packaging(.908)and Availability(.129) of
Lays.
Crosstabs
Gender * Which_Bingo_flavour_would_you_choose Crosstabulation
Count
Which_Bingo_flavour_would_you_choose Total
Tomato Cream Salted others 5
flavour and potato
chips onion chips
Gender Male 46 64 58 21 1 190
Female 56 56 74 18 3 207
Total 102 120 132 39 4 397

As per the above table we can say that 74 of the female buys salted potato
chips of Bingo where as 64 of males buy Tomato Flavour of Bingo.

Age * Which_Bingo_flavour_would_you_choose Crosstabulation


Count
Which_Bingo_flavour_would_you_choose Total
Tomato Cream Salted others 5
flavour and potato
chips onion chips
Age Bellow 19 24 25 4 0 72
20
21-30 75 61 44 11 2 193
31-40 4 22 37 13 1 77
Above 4 13 31 11 1 60
40
Total 102 120 137 39 4 402

As per the survey 75 of people age between 21-30 buys Tomato flavoured
Where as 61 of people aged between 21-30 buys cream and onion.

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Gender * Which_LAYS_flavour_you_choose Crosstabulation


Count
Which_LAYS_flavour_you_choose Total
magic Cream tomato Classic other
masala. and tango. salted.
onion.
Gender Male 29 54 64 30 13 190
Female 30 52 67 48 10 207
Total 59 106 131 78 23 397

As per the above table we can say that 67 of Female buys tomato tango
whereas 64 of the male but Tomato flavour.
Age * Which_LAYS_flavour_you_choose Crosstabulation
Count
Which_LAYS_flavour_you_choose Total
magic Cream tomato Classic other
masala. and onion. tango. salted.
Age Bellow 19 20 21 11 1 72
20
21-30 27 58 66 38 4 193
31-40 8 17 30 14 8 77
Above 5 13 16 16 10 60
40
Total 59 108 133 79 23 402

As per the above table we can say that 66 of people aged between 21-30
preferred tomato flavour where as 58 of people aged between 21-30 prefer
onion flavour.
Gender * Time_taken_to_select_brand Crosstabulation
Count
Time_taken_to_select_brand Total
0 to 2min 3 to 5 min More than 5
min
Gender Male 73 66 51 190
Female 92 73 42 207
Total 165 139 93 397

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As per the above table we can say that 92 of the female takes time 0-2
minutes to select the brand whereas 73 of males take 0-2 minutes for the
same.
Age * Time_taken_to_select_brand Crosstabulation
Count
Time taken to select brand Total
0 to 2min 3 to 5 min More than 5 min
Age Bellow 20 49 21 2 72
21-30 102 69 22 193
31-40 9 38 30 77
Above 40 5 13 42 60
Total 165 141 96 402

As per the above table we can say that 102 of people aged between 21-30
takes 0-2 minutes to select the brand of chips whereas 49 of people age
bellow 20 takes 0-2 minutes to take select Brand.
Findings
1. 52% of the respondents are male where as 48% are female.
2. 18% of the respondents use chips frequently.
3. 48% of the respondents buys Bingo whereas 23% of the respondents
buy Lays brand.
4. 35% of the respondents prefer bingo salted potato flavour.
5. 34% of the respondents choose tomato tango flavour in lays brand.
6. According to the survey, among 8 factors, price factor and Taste
factors are the main factors that lead to influencing the purchase of
BINGO Chips.
7. According to the survey, among 8 factors, quality factor and
packaging and availability factors are the main factors that lead to
influencing the purchase of lays chips.
8. As per survey we can say that 67 of Female buys tomato tango
whereas 64 of the males but Tomato flavour.
9. As per the survey 75 of people age between 21-30 buys Tomato
flavoured Where as 61 of people aged between 21-30 buys cream and
onion.

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10. As per the above table we can say that 66 of people aged between 21-
30 preferred tomato flavour where as 58 of people aged between 21-30
prefer onion flavour.
11. As per the above table we can say that 66 of people aged between 21-
30 preferred tomato flavour where as 58 of people aged between 21-30
prefer onion flavour.
12. As per the above table we can say that 92 of the female takes time 0-2
minutes to select the brand whereas 73 of males take 0-2 minutes for
the same.
13. As per the above table we can say that 102 of people aged between 21-
30 takes 0-2 minutes to select the brand of chips whereas 49 of people
age bellow 20 takes 0-2 minutes to take select Brand.
Suggestions
 From the survey it is found that the Visibility of Bingo is less so the
company should focus on improving visibility of the Chips. so the sale
of Bingo Chips increases.
 According to the survey it is found that the Flavour of lays is less the
company should improve the taste of other flavours. So that the other
flavours also get sold.
Conclusion
Both Bingo and Lays brands are the two top brands in the in the Chips
sector of the food industry
As per the survey most of the female preferred tomato flavour of both
Bingo and Lays and most of the youth age between 21-30 prefer to have
chips on usual basis.
This project was an opportunity to learn about the food industry and also
the Buying Behaviour of the people of Hubli and Dharwad.
References
1. C.Trail, B. J. (July 1998). Taste or health: A study on consumer
acceptance of corn chips. Food Quality and Preference.
2. F Mendoza, P. D. ( 2007). Colour and image texture analysis in
classification of commercial potato chips. Food Research
International,Elsevier.

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3. F. Appiah, P. K. (2009). Effect Of Ripening On Eating Quality Of


'Keitt' Mango Chips. Ishs Acta Horticulture 911.
4. G.TowlerR.Shepherd. (October 2012). Modification of Fishbein and
Ajzen's theory of reasoned action to predict chip consumption.
Appetite.
5. Jha, M. ( April 2013). Buying Behavior Of Rural Consumer With
Reference To Packaged Food Products In Bihar . Bihar: International
Journal Of Management Research And Review .
6. John Evans , B. E. (20 Dec 2006). The only Problem is, children will
like their chips’: education and the discursive production of ill-health.
JournalPedagogy, Culture & Society .
7. MACHAVOLU, S. K. (Nov2013). Shopper's Perception Towards
Store Brands Within Retail Stores: A Case Of Nellore City Of Andhra
Pradesh. Clear International Journal of Research in Commerce &
Management.
8. Madelin, S. L. (2010). Fish and chips with a side order of Trans fat:
The nutrition implications of eating from fastfood outlets. Centre for
Food Policy.
9. P., D. P. (2015). Customer Satisfaction And Its Inference Towards
Select Fast Moving Consumer Goods: A Study. Journal of Commerce
and Management Thought.
10. Papies, E. K. (15 November 2013 ). Tempting food words activate
eating simulations. ORIGINAL RESEARCH ARTICLE.
11. Reddy, S. K. (2005). Eliciting a policy response for the rising
epidemic of overweight‐obesity in India. Wiley Online Library.
12. SA Shaikh, B. N.-I. (2017). Brand Awareness in Confectionery Food
Products in Twin Cities of Hubli-Dharwad (Karnataka).
indianjournals.
13. Sundarapandi C., K. M. (2015). A study on customer satifaction
towards Lays chips, in Avadi, Chennai. Avadi, Chennai: International
Journal of Business Economics & Management Research.
14. Tanmoy De, G. G. ( April-2011). A Study on the Relevance of
Packaging in Children’s Purchase Decision of Branded Potato Chips.
Srusti Management Review.
15. Winter, A. J. (2012). Construal levels of healthy eating. Exploring
consumers’ interpretation of health in the food context. Appetite.

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Annexures
1) Gender
 Male 
 Female 
2) Age
 Bellow 20 
 21-30 
 31-40 
 Above 40 
3) Occupation
 Student 
 Employee 
 Home-maker 
 Others 
4) Time taken to select the brand....
 0 to 2min 
 3to 5 min 
 More than 5 min 
5) How frequently you use chips?
 Daily 
 Weekly 
 Sometimes 
 Occasionally 
6) Which among the following products you usually buy?
 Bingo 
 Lays 
 Ruffles 
 Pringles 

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7) Which pack size is mostly preferred for chips?


 12G (Rs 5) 
 25G (Rs 10) 
 52G (Rs 20) 
 90G (Rs 35) 
8) Which Bingo flavour would you choose?
 Tomato flavour chips 
 Cream and onion 
 Salted potato chips 
 Others 
9) Factors influencing the purchase of BINGO chips.
Factors Highly influenced neutral Less Not
influenced influenced influenced
Taste
availability
Variety
Quality
Packaging
Price
Visibility
Flavour

10) Which lays flavour would you choose?


 Magic Masala. 
 Cream and Onion. 
 Tomato Tango. 
 Classic Salted. 
 Other 

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11) Factors influencing the purchase of LAYS noodles.


Factors Highly influenced neutral Less Not
influenced influenced influenced
Taste
availability
Variety
Quality
Packaging
Price
Visibility
Flavour

12) Whether did you shift between the products (Bingo & Lays)
 Yes 
 No 

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24
Strength of Social Media over Marketing
Mr. Piyush A Patel1, Mr. Yogesh J Patel1,
Mr. Shahnavajkhan Pathan1
1
Asst. Prof., Faculty of Computer Science, Shri C.J. Patel College of Computer
Studies, Sankalchand Patel University, Visnagar, Gujarat (India).
E-mail Id: [email protected], [email protected], [email protected]

Abstract
The growing popularity of social media has forced marketers to think of
social media in addition to the traditional functional areas of marketing.
Social media mainly relies on internet or cell phone based apps and tools
to share information between people. The number of social media users
today exceeds the population in some countries. The impact of social
media on marketing can be assessed by comparing marketing before
social media and marketing after the introduction of social media and the
type of technologies used in social media
Keywords: Marketing before Social Media, Evolution of Social Media,
Social Media Today, Web Technology, Impact of Social Media on
Marketing, Social Media Concerns and Criticisms.
Introduction
Social media are primarily internet or cell phone based applications and
tools for sharing information between people. It speeds up conversation
and connection between people. It includes popular networking websites,
like Face Book and Twitter; as well as bookmarking sites like Digg or
Reditt and uses web page technology.
Initially, social media may have started out for social engagement, but its
business value quickly became evident and they also became the
marketer's new best friend. As the use of social media becomes popular
and the number of social media users has grown more than the population
of some countries, marketers have had to seriously revise their game plan
to accommodate this change in the market. media landscape. The industry
is rewriting its conventional strategies and transforming the basic structure

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of the campaign. Has social media once devoid of any commercial content
had such a big impact on the marketing industry?
Marketing Previous to Social Media
Social media has evolved over time, and its user base has grown even
more than the populations of some countries. During the 1930s,
newspapers and magazines were the choice of the media. P&G was the
first company to use advertising in print media. The 1950s were known as
the era of television advertising, which led marketers to turn to electronic
advertising. In 1960, the concept of corporate social responsibility
emerged. During the 1970s the computer was born and the logo, credit
card and direct marketing, media research, payroll, visa card and master
cards, etc. find the app. Cable TV was introduced in the 1980s and
changed the landscape of advertising media. With the launch of the World
Wide Web that is, www. AT&T was the first company to use modern
media for marketing
Evolution of Social Media
Early pioneers of social media were
 User net (1979)
 Bulletin Board System (1979)
 Online Service (early to mid 1980‟s)
 CompuServe (1980)
 AOL (1983)
 Genie (1985)
 Internet Relay Chat (1988)
 ICQ (mid 1990)
Early Social Networks were
 Dating Sites
 Online Forms
First true social networks were
 Six Degrees (1997)
 Asian Avenue, MiGente, Black Planet (1997-2001)
1. Live Journal (1999)

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2. Massive Multiplayer Online, Role Playing Games (MMORPGS)


(Early 2000)
Y2K-The Decade of Social Networks and Social Media
 Friendster (2002)
 LinkedIn (2003)
 Myspace (2003)
 Facebook (2004)
 Kontain (2008)
Other types of Social Networks
 Niche Social Networks
 Photo bucket (2003)
 Flickers (2004)
 You Tube (2005)
1. Social News and Bookmarking
 Delicious (2003)
 -Digg(2004)
2. Real Time Updates
 Twitters (2006)
 Posterous (2009)
Social Media Today
Social media is used today primarily in three functional areas of
marketing:
 Advertisement
 Burger King‟s Facebook humour
 Dunken Donut‟s Facebook/Twitter news
1. Research
 “My Starbuck Ideas” & „Ideas in Action‟
 Kellog‟s new product research
2. Public Relation

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 Dell‟s image turnaround


 SyFy blogger relation
 Ford putting out PR fire
Web Technology used in Social Media
Web 1.0
“The read only web” focusing on read only content and static HTML
website. There were 45 million global users in 1995.
Web 2.0
“The widely read & write web” focusing on user generated content and
read and write website.
 Over 1 billion global user (2006)
Web 3.0
“The Portable Personal web” focusing on meaning of data,
personalization, intelligent searches and behaviors.
Semantic web
Complex searches that return tailor made solution based on user behavior
and interest.
Five components to web 3.0 are
1. Micro-blogging
2. World of virtual real estate
3. Personalization
4. Mobile marketing
5. In real time

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Top 10 social networking sites in the world


Sno Social Neworking Site Number of Visitors Per Month
1 Facebook 627,100,000
2 Twitter 104,600,000
3 MySpace 88,200,000
4 Linkedin 57,200,000
5 Ning 43,100,000
6 Tagged 31,030,000
7 Classmates 32,000,000
8 Hi5 27,000,000
9 Myyearbook 12,000,000
10 Meetup 9,000,000
Source: Das B.and Sahoo J.S (2011), social Networking Sites -Acritical
analysis of Its Impact on Personal and Social Life” International journal of
Business and social Science, july p 223 http://www.ijbssnet.com/
journals/Vol. 2 No. 14; July 20 11/25.pdf
Impact of social media on marketing
As marketers are always interested in grabbing the attention of the
consumer. People have embraced new media and technology to such an
extent that smart phones, etc. have given marketers the ability to reach
consumers 24/7 through a variety of mediums. This increases the chances
of seeing the messages. So it's obvious to attract marketers to social media.
Traditional campaign approaches are being eclipsed not only by the rise of
social media, but also by the increasing difficulty in creating a great
campaign due to a very competitive market.
The problem lies in the change in consumer mindset. Social media has led
to a culture of active engagement, immediate access to everyone and for
everything and constant communication. This is of course something that
traditional advertising and other marketing methods could never achieve.
While social media like the Face book page, Twitter and YouTube etc.

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Top 100 brands of facebook

Source www.socialbaker.com
Can directly meet the new growing expectations of consumer demand.
Besides its initial engagement, social media activity is also likely to be
sustained as attention is maintained for a period of time rather than for a
few moments. The impact of social media can be seen in TV commercials
that sign a call for consumers to visit their website, Facebook or Twitter
page with the promise of an exciting online experience, fun incentives, and
more. 'a sense of community that people really want to get involved in.
with. Consumers use social media for fun and it makes no difference to
them whether they join an unbranded or branded game. However, the more
successful the creation, the more likely consumers are to develop a sense
of loyalty to the hosting brand.
Many campaigns have taken advantage of technological tools. With these
tools, advertisers can track the destination of their message.
As Rohit Ohri, executive chairman, Dentsu India, says: “Communication
has moved from “one-to-many” to one-to- one” to “one-to-community”.
Evolved marketers are increasingly looking at targeting communities.”
These communities, he adds, are not just defined by occupation or
industry. Increasingly, communities are defined by interests. “Bikers,

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hikers, new mothers, lovers...these are just a few examples of interest


groups, marketers are talking to these days,” point out Ohri. In US and
Europe brands are also using Twitter commerce. Dell has used it to
advertise different types of deals so has low-cost American airline Jet
Blue. Volkswagen recently ran an Application Programme Interface (API)
based on LinkedIn‟s viewer pages. Women professionals online could see
an ad for Beetle; young male professionals interested in sports saw the
polo ad; and senior executives got to see an ad for family car Jetta-with all
viewing taking place at the same time. This helped the company get 2700
product recommendation in 30 days.
There is a good example of Old Spice You Tube campaign
The Man Your Man Could Smell Like‟ which was viral hit. Making it one
of the most successful brand campaigns ever, transforming the image of a
brand that had previously been deemed old fashioned and out of place in
the contemporary market. The brand now has spin off games, featuring
videos, Facebook page and links to their retails ages. The site attracts
thousands of consumers who want to join and play along with this clever
marketing game.
Nokia has launched an aggressive viral campaign, comparing its Lumia to
competitors like Samsung Galaxy, on You Tube, to revive its fortunes in
the Indian smartphone market currently dominated by phones running on
the Google Android platform. The You Tube campaign shows short clips
of Lumia representatives challenging consumers with a rival smartphone,
primarily Samsung's, in malls and pubs in terms of speed and internet and
social media experience. When Lumia wins, the other consumer holds up a
banner saying, "My phone has just been blown away by the Nokia Lumia".
Social networks provide a platform for direct interaction between the
brand and users. Has resulted in a change in the role of marketers from
positioning their products or services to customer advisers. Once
considered the domain of the PR agency, it is now infiltrated by marketers.
Marketers are often assigned to handle inquiries, grievances, and praise for
a brand from people on social media. This gives the company the
opportunity to gain a deep and precise view of the public perception of a
company or a product and allows it to work on both well received and less
popular aspects. Real-time feedback gives brands the ability to react and
resolve any issues immediately.

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The impact of social media on public relations can be tracked by


examining how social media has affected the costs of marketing efforts.
This can be accomplished using a few standard metrics like online
advertising, public relations, search engine optimization, and the website
to show a holistic view of the real value that social media brings to the
table.
Here is the list of metrics that can be used to assess public relation in order
to display a cross-channel view of social media delivery.
1) Cost per Impression
2) Cost per engagement
3) Cost per site visitor
4) Cost per click
5) Cost per inbound link
6) Cost per subscriber
Many of these metrics can be used to create a cross-channel dashboard that
will show how social media and PR efforts complement each other and
produce "inexpensive" results.
Social media concerns and criticisms
As social media has grown in popularity, multiple concerns have arisen
regarding the technology. If comments and tweets are posted in a hurry, it
can lead to marketing disasters that can damage both the client and the
reputation of its agencies. The moment the consumer finds a brand's social
networking activity intrusive or annoying, the consumer is lost. There are
many instances where brands try to abuse the system due to bogus
reviews. Since marketers deal directly with the public, they can't hide
behind the scenes, but need to become more responsible for the brand.
Other social media concerns are social media stalkers, child predators, and
privacy concerns.
Despite the potential drawbacks of social media, the popularity of social
media outstrips traditional forms of marketing. If you compare TV ads
with online viruses promoted through social media, TV ads can cost
millions; are poorly targeted and do not allow data capture where the cost
on social media is near zero. This is why social media is becoming popular
among marketers.

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Conclusion
As the popularity of social media increases and there is no turning back, it
looks like social media will to a large extent overtake other functional
areas of marketing. Social media tries to bridge the gap between marketers
and consumers through ongoing dialogue, building trust, and engaging
with the right audience in the right way, as quickly as possible.
References
1. Shelley Singh, I Want You, The Economic Times, 21 December 2011.
2. Delshad Irani and Amit Bapna, Give Your Campaign 9 Lives, The
Economic Time, 18 Jan 2012.
3. Das B.and Sahoo J.S (2011),”social Networking Sites -Acritical
analysis of Its Impact on Personal and Social Life” International
journal of Business and social Science, july p 223.
4. www.socialbaker.com.
5. www.businessdictionary.com.
6. Nichole Kelly, 6 Ways to Track the Impact of Social Media on Public
Relations, Social Media Examiner.
7. Lakendradavis-846677, The Impact of Social Media on Marketing,
PPT-2007.
8. Social Media Wikipedia www.google.com.

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25
Modern Corporate Ethics in
Marketing of Goods and Services
Dr. P. Selvamani1
1
Assistant Professor, Department of Business Administration,
Government Arts College, (Autonomous), Salem-636007.

Abstract
Corporate ethics means the set of rules and regulations or principles that the
organisations should follow. While in corporate ethics refers to a code of
conduct that corporate are expected to follow while doing corporate.
Through ethics a standard is set for the organisations to regulate their
behavior. This helps them in distinguishing between the wrong and the right
part of the corporate. The ethics that are formed in the organisation are not
a rocket science. These are based on the creation of a human mind. That is
why ethics depend on the influence of the place, time, and the situation. Code
of conduct is another term that is used extensively in corporate currently. It
is a set of rules that are considered as binding by the people working in the
organisation. Corporate ethics compromises of all these values and
principles and helps in guiding the behavior in the organisations. Corporate
should have the balance between needs of the stakeholders and their desire
to make profits. While maintaining these balances, many times corporate
require to dothe compromises. To combat such scenarios, rules and
principles are formed in the organisation. This confirms that corporate gain
money without affecting the individuals or society as a whole. The ethics
involved in the corporate reflect the philosophy of that organisation. One of
these policies determines the fundamentals of that organisation. As a result,
corporate often have the ethical principles. This paper discusses the
corporate ethics in sales promotion of goods and services.
Keywords: Entrepreneurs, Corporate, Customer, Advertisement,
Economy, Marketing.
Introduction
Ethical sales and marketing, or simply ethical sales promotion practices,
is not really a sales promotion strategy. It is more a school of thought

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that guides sales promotion efforts. Through sales ethics and ethical
marketing, responsibility, equality, and honesty are promoted. Of course,
this is a difficult subject to tackle because it is highly subjective and
everyone has a little different ideas of what constitutes right and wrong.
Because of that, ethical sales promotion isn’t so much a rule system as it
is a system of guidelines.Ethical sales promotion refers to the process by
which companies market their goods and services by focusing not only
on how their products benefit customers, but also how their benefits are
socially responsible or environmental causes. To put this another way
ethical sales promotion is not a strategyit is a philosophy. It includes
everything from ensuring whethersales promotions are honest and
trustworthy to build strong relationships with consumers through a set of
shared values. Companies with a focus on ethical sales promotion
evaluate their decisions from a corporate perspective for example
whether a particular sales will deliver the desired return as well as a
moral perspective whether a decision is right or morally sound. With that
out of the way let’s get to the good stuff.
Objectives
The ethical sales promotion has some principles as the conjoint standard of
truth will be observed in all forms of sales promotion communication.
Personal ethics will guide the actions of sales promotion professionals.
Advertising is set apart from entertainment and news and the line is clear.
Marketers will transparent about who is paid to endorse their
products.Consumers will be treated fairly depending on who the consumer
is and what the product is.Consumer privacy will be respected and upheld
at all times.Marketers will comply with standards and regulations set by
professional organisations and the government. Ethics should be discussed
in everysales promotion decisions in an open and honest way.
Corporate Ethical Principles
Essentially any corporate that run in India comprises of these ethical
principles. There is great pressure to do right instead of maximizing profits
and this principle is tested. The executives need to demonstrate courage and
personal integrity, by doing what thing is right.These are the principles,
which are upright, honorable. They need to fight for their beliefs. For these
principles, they will not back down and be hypocritical or experience.No

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ethical behavior can be promoted without faith. And for trust loyalty needs to
be demonstrated. The administrators need to be worthy of this trust while
remaining loyal to the institutions and the person. There should be friendship
in the time of adversity and support and devotion for the duty. They should
not use or disclose personal information.
This leads to confidence in the organization. They should safeguard the
ability of a professional to make an free decision by avoiding any kind of
influence or the conflicts of interest.So, they should remain loyal to their
company and their colleagues. When they accept the other employees, they
need to provide a reasonable time to the firm and respect the proprietary
information attach to the previous firm. Thus, they should refuse to take part
in any activity that might take the undue advantage of the firm.The ethical
executives are honest while dealing with their regular work. They also need
to be truthful and do not deliberately deceive or mislead the information to
others. There should be an avoidance of the partial truths, overstatements,
misrepresentations, etc. Thus, they should not have selective omission by any
means possible.These are two necessarily different forms of behavior in the
organization. But they go in tandem that is why they have been put under one
principle. When the executive is ethical he is compassionate, kind, and
caring.There is one golden rule which states that help those who are in need.
Further, seek their accomplishments in such a manner that the corporate
objectives of the firm are achieved.
The executives also need to show respect towards the employee’s dignity,
privacy, autonomy, and rights. He needs to maintain the interests of all those,
whose decisions are at stake. They need to be courteous and treat the person
equally and rightly.The executives need not be just fair in all the dealings, but
they also should not exercise the wrong use of their power. They should not
try to use over each or other indecent manners to gain any sort of advantage.
Also, they should not take undue advantage of anything or other people’s
mistakes.Fair people are inclined more towards justice and ensure that the
people are equally treated. They should be tolerant, open-minded, willing to
admit their own mistakes. The executives should also be able to change their
beliefs and positions based on the situation.Any executive, if ethical, should
be a leader to others. They should be able to handle the responsibilities. They
should be aware of the opportunities due to their position. The executives
need to be a proper role model for others.

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The use of ethics as a sales promotion tactic


Corporate ethics has been an increasing concern among larger companies,
at least since the 1990s. Major corporations increasingly fear the damage
to their image associated with press revelations of unethical practices.
Marketers have been among the fastest to perceive the market's preference
for ethical companies, often moving faster to take advantage of this shift in
consumer taste. This results in the expropriation of ethics itself as a selling
point or a component of a corporate image.
Ethics in advertisement and promotion
Advertising is mass and paid communication, with a fundamental purpose
to deliver information, acquire attitudes and induce action beneficial to the
advertiser-generally the sale of the product or service. Advertising and
promotion have a significant influence on people, society in large, while
shaping their attitudes, behaviors and priorities. Some scholars believe that
advertising supports ethical problems. It is also considered unethical to
shame a substitute or rivals product or services. Other ethical problems
include, mistreatment of female, advertising to children, misleading
advertising and other problems, which lead to ethical decline of society.
Mistreatment of female is evident immensely in sales promotions.
Often female are matched up with household products such as cleaning
supplies and are shown as doing domestic work, which represents
stereotyping of female. Female are also often used as sex symbols, to
convey particular messages about products. Also men are often apparent in
thisadds, which deliver the idea of them being a handy man. An ad, which
demonstrates ethical features, is truthful, it doesn’t make false claims, and
it provides sufficient information for the buyer to make informed choices.
Exhibiting a level of respect and dignity for its buyers is important while
demonstrating decency. An example of an advert produced by Coca Cola,
through using false advertising, it showed unethical problems behind its
production. Coca Cola used of Karl LangerfeldChanel designer who had
claimed to lose 80 pounds on a diet that was mainly attributed to diet coke,
“I drink diet coke from the minute I get up to the minute I go to bed and I
drink nothing else”. This advert was specially targeted towards female as it
aimed to be conveyed as a fashion trend, through the use of a famous
fashion designer. Coke used thin models and world-renowned fashion

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designers both of whom are cautious of body image, which shows the
wrong message for female, especially young female.
The advert shows that going overboard with dieting is conventional and
that diet coke is the way of going about achieving a thin and attractive
body. It is ethically wrong to be using Karl Lagerfeld's extreme dieting
ways in order to promote diet coke. It is not only advocating an extreme
statement, but it is also sending the wrong message about the drink by
directly associating it to a “healthy ideal body”. Often the line between
ethical and unethical advertising is blurred, what may seem unethical to
some consumers or corporate, may not to for others. Therefore, in cases
like this, corporate should proceed with caution, because unethical
advertising and promotion can fail, causing consumers to shy away from
the company consequently defeating the purpose of any campaign.
Deceptive Advertising and Ethics
Another breach of sales promotion ethics has to do with the use of
deceptive advertising. This form of advertising is not specific to one target
market, and can sometimes go unnoticed by the public. There are a
number of different ways in which deceptive sales promotion can be
presented to consumers; one of these methods is accomplished through the
use of humor. In a study conducted by HassibShabbir and Des Thwaites,
238 sales promotions were assessed and 73.5 percent of them were found
to have used deceptive sales promotion practices. Of those sales
promotions that were conducted deceptively, 74.5 percent of them used
humor as a masking device in order to mislead potential customers.
Part of what drives this study is the idea that humor provides an escape or
relief from some kind of human constraint, and that some advertisers
intend to take advantage of this by deceptively advertising a product that
can potentially alleviate that constraint through humor. Through the study
it was also found that all types of humor are used to deceive consumers,
and that there are certain types of humor that are used when making
certain deceptive claims.It is important to understand that humor is not the
only method that is used to deter consumer's minds from what a product
actually offers. Before making important purchases, one should always
conduct their own research in order to gain a better understanding of what
it is they are investing.

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Corporate Unethical Advertising


In certain jurisdictions, the law prohibits the open advertising of such
things as alcohol or cigarettes. This doesn’t stop the companies that
produce these products from advertising anyway. They do it by finding
roundabout ways to remind customers that these products exist without
referring to them directly.Some advertisers will blatantly lie about how
popular a product is or its quality. A good example is when
telecommunication companies claim that you can get coverage no matter
where you are with their service, or when internet service providers
claim you will get upload and download speeds that they cannot possibly
deliver.This is when an advertiser makes subjective claims about their
products, as opposed to objective ones that can be readily tested. For
example “the best tasting burger”is not something you can readily verify.
This is when asales promotion claims to deliver results without any
scientific proof to back up their claims. When a company claims that
their product gets rid of all the acne on your face without explaining how
that works, they are resorting to unverified claims.When asales
promotion portrays woman as domestic servants or sex objects, then it is
promoting negative stereotypes and is encouraging an already deeply
sexist culture.Whenever a company makes misleading or blatantly false
claims about competing brands, they are being unethical.Children watch
a lot of sales promotion ads and mostly aren’t able to be objective in their
evaluation of it. When a company seeks to exploit the innocence of
children to its own profit, it is being unethical.In order to set yourself
apart as a company that practices ethical sales and marketing, you have
to make sure every aspect of your company is ethical, from the way you
source your materials to the way you treat your workers to the way you
advertise. It is possible to be profitable without being unethical. You just
have to commit to it.
Conclusion
Thus, the above content helps us in distinguishing between the wrong and the
right part of the corporate. The ethics that are formed in the organization are
not rocket science. They are based on the creation of a human mind. That is
why ethics depend on the influence of the place, time, and the situation.

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Corporate ethics compromises of all these values and principles and helps in
guiding the behavior in the organizations.
References
1. https://www.toppr.com/guides/corporate-communication-and-
ethics/corporate-ethics/meaning-and-ethical-principles-in-corporate.
2. https://smallcorporate.chron.com/ethical-practices-sales-marketing.
3. https://www.wordstream.com/blog/ws/2017/09/20/ethical-marketing.
4. https://www.wikipedia.org.

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26
The Growing Impact of Social Media in Sports
Dr. Kahkashan Khan1
1
Assistant Professor, Department of Humanities & Management Science, Madan
Mohan Malaviya University of Technology, Gorakhpur, Uttar Pradesh, India.
E-mail Id: [email protected]

Abstract
Online Mediahas affected every industry and it hasn't left the sports
business immaculate by the same token. The attention on Social Media in
the Internet Marketing and Search Engine Optimization (SEO) industry
has been filling quickly lately. Online Media is profoundly woven in our
social culture and Social Media stages like Twitter and Facebook have
empowered Professional groups and competitors overcome any issues
among fans and themselves.This research paper discusses about the
positive and negative role and impact of social media in sports.
The present research paper uses secondary sources such as newspaper
publications, periodicals, books, journals, internet resources, and other
relevant literature review published earlier. In addition various reports
and documents relating to the issue were used for the study. The analysis
for the study was qualitative and descriptive in nature.
Keywords: Sports, Social Media, Search Engine Optimization, Facebook,
Twitter.
Introduction
The ascending of cell phone clients and web-based media has changed the
manner in which we take a gander at assortment things in the present
society, remembering our commitment for sports. There are a wide range
of online media stages like Facebook, Twitter, Instagram and YouTube
and so forth; individuals can utilize these web-based media instruments
actually helpfully in their every day lives. Online media has become a
significant device for conveying substance and pulling in new perusers,
just as making more cooperation. The online media instruments have
affected the games from a wide range of ways, for example, interchanges
and sports promoting.

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Clearly, web-based media is one of the main instruments for sports, the
fans and the competitors. Most importantly, as we probably am aware, the
number of inhabitants in web-based media clients has expanded drastically
over the previous years. Individuals can take part in the games, follow
their #1competitors and groups, and get the most refreshed games
substance promptly. Second, for sports associations, the benefits of
utilizing web-based media is that it can help sports associations to
fabricate associations with people in general, to decrease their showcasing
costs and to expand deals and so on Associations can utilize web-based
media to advance two-path discussions with people in general and
manufacture a network under their central goal. Third, online media has
got fascination as a fundamental apparatus for interfacing with avid
supporters. For singular avid supporters, web-based media is a significant
instrument for them to interface and offer data with others, to take part in
two-path correspondence with sports associations. At last, competitors can
profit by utilizing online media to associate with their fans, to manufacture
an individual brand and to advance themselves and so on Contrasted and
the customary media, the online media these days costs less however
influences all the more productively and all the more reliably. Only one
post for each day could make the competitor dynamic in his/her fans'
sights, which will bring comparing financial advantages. Furthermore, the
competitor himself/herself may appreciate more while sharing their games
pertinent updates, which will positively prompt a maintainable turn of
events.
Notwithstanding of the numerous advantages, there are still a few
negatives of online media in sports. For instance, awful substance can be
spread more rapidly than any other time; players may have no clue about
utilizing the online media fittingly; negative remarks from fans could
influence the exhibition of the competitors or the group, and so on There
are loads of cases showing that the utilization of web-based media among
competitors should be prepared and one awful post can significantly
impact the competitors just as the games associations. With everything
taken into account, online media is still at its early stages and will proceed
to develop, and the commitment of web-based media in sports is one of the
main issues in the games business. The avid supporters and competitors,
just as sports associations are holding onto online media as the main
instruments to advance, to convey and to collaborate.

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Online Media has truly changed the whole culture of sports utilization.
Today, alongside watching the game live, fans are likewise discussing it
live on Social Media. The discussions may incorporate a specific
exceptional episode out of the match, a unique presentation from a
headliner or a group.
Also, everybody needs to know whether others' thought process the
function. Because of every one of these, games have transformed from an
exhausting, singular movement to an intriguing gathering or network
building action.
A New Way of Doing Business
Online Media is additionally changing the way sports crews are working
together. Today, associations are using web-based media to fabricate
associations with people in general and diminish their advertising costs
other than expanding deals.
Concerning competitors, web-based media has become another and
worthwhile method of working together. Sportspersons today are utilizing
their noteworthy after on different stages like Instagram, Twitter, and
Facebook to advance brands, items or administrations. Famously known as
Social Media Marketing or Influencer Marketing, this type of
advancement crusade is increasing expanded prevalence among
associations.
Positive effect of media on sports
The positive effects of media in sport include:
Motivating the up and coming age of individuals to partake-Coverage of
game makes more individuals need to participate. For example Sports and
Gymnastics during the Olympics and Tennis during Wimbledon.
These positive good examples are made through the media's presentation
of their exhibitions.
The media can raise the profile of numerous games and individual players.
Introduction can likewise prompt expansions in investment. This is
particularly significant for minority sports. For example Hockey and Darts
are two genuine instances of this.

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Expanded media inclusion likewise builds the measure of income from


sponsorships and limited time openings. This cash can be re-put into the
game to create offices or instructing openings.
Amusement from game can be improved with a more noteworthy
comprehension of the game, rules and their application. Sky sports'
Commentary/ game investigation is point by point and creates observer
understanding.
In the present day, sports punditry is tremendously definite and will
instruct those watching and create understanding.
For certain games the impact of the media has prompted changes in rules
and the structure of occasions. Rivalry for allies/watchers implies that
sports and clubs need to contemplate the requirements of their clients and
how to pull in new crowds.
Negative effects of media on sport
The negatives effects of media in sport include:
The expanded media inclusion can empower spectating and not taking an
interest. There has likewise been a decrease in live spectatorship as you
can follow sport from the solace of a home and the expense of tickets have
expanded massively.
The medias impact can influence seeing experience because of expanded
TV breaks and breaks for ads.
Loss of conventional brandishing values-Match timings have been
adjusted to suit TV. Custom was Saturday evening, presently football is
demonstrated routinely and even on request.
The tension on contenders supports degenerate conduct and neutralizes the
estimation of sportsmanship.
The media can contrarily elevate reports identifying with sports groups or
people. This squeezes entertainers, groups and the board.
Media inclusion of improper conduct of competitors can influence the
game, crowds and the entertainer themselves.

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This can be -
 On-field conduct-Inappropriate activities, for example, swearing,
unsporting conduct and rough direct.
 Off-field conduct-Rugby/Football players acting seriously in clubs and
negative press influencing proficient execution.
Production of negative good examples can cause the forceful conduct
found in pro game towards authorities to convert into grass root level.
There is an expanded tension on authorities as:
 Bad choices are featured and examined in more detail by the media.
 Increased media inclusion and pre/post game 'publicity' is likewise
frequently a purpose behind the ascent in player and onlooker
savagery. This makes an authorities work more earnestly.
Papers are frequently overwhelmed by a couple of sports. These will in
general be male-overwhelmed sports with betting organizations included
conspicuously. Females and ethnic minorities sports are demonstrated less
frequently.
Conclusion
Clearly, web-based media is one of the main devices for sports, the fans
and the competitors. Most importantly, as we probably am aware, the
number of inhabitants in web-based media clients has expanded
significantly over the previous years. Individuals can take part in the
games, follow their number one competitors and groups, and get the most
refreshed games substance immediately. Second, for sports associations,
the upsides of utilizing web-based media is that it can help sports
associations to fabricate associations with general society, to decrease their
advertising costs and to expand deals and so on Associations can utilize
web-based media to advance two-route discussions with people in general
and fabricate a network under their central goal. Third, online media has
got fascination as a fundamental apparatus for interfacing with avid
supporters. For singular avid supporters, online media is a significant
device for them to interface and offer data with others, to take part in two-
path correspondence with sports associations. At last, competitors can
profit by utilizing online media to interface with their fans, to assemble an
individual brand and to advance themselves and so on Contrasted and the

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customary media, the web-based media these days costs less however
influences all the more productively and all the more reliably. Only one
post for every day could make the competitor dynamic in his/her fans'
sights, which will bring comparing monetary advantages. Additionally, the
competitor himself/herself may appreciate more while sharing their games
significant updates, which will unquestionably prompt a practical turn of
events.
In spite of the numerous advantages, there are still a few negatives of
online media in sports. For instance, awful substance can be spread more
rapidly than any other time in recent memory; players may have no clue
about utilizing the online media fittingly; negative remarks from fans
could influence the presentation of the competitors or the group, and so on
There are loads of cases demonstrating that the utilization of online media
among competitors should be prepared and one terrible post can
significantly impact the competitors just as the games associations. With
everything taken into account, online media is still at its outset and will
proceed to develop, and the commitment of web-based media in sports is
one of the main issues in the games business. The avid supporters and
competitors, just as sports associations are holding onto online media as
the main devices to advance, to impart and to cooperate.
References
1. Brown, M. (2003), “An analysis of online marketing in the sport
industry. User activity, communication objectives, and perceived
benefits”, Sport Marketing Quarterly, Vol. 12 No. 1, pp. 48-55.
2. Browning, B. and Sanderson, J. (2012), “The positives and negatives
of Twitter: exploring howstudent-athletes use Twitter and respond to
critical tweets”, International Journal of SportCommunication, Vol. 5
No. 4, pp. 503-521.
3. Burton, N. and Chadwick, S. (2008), “From Beckham to Ronaldo-
assessing the nature of footballplayers brands”, Journal of
Sponsorship, Vol. 1 No. 4, pp. 307-317.
4. Butts, F.B. (2008), “NCAA athletes and Facebook”, The Sport
Journal, Vol. 11 No. 1, pp. 23-30.
5. Cave, A. and Miller, A. (2015), “The importance of social media in
sport”, available at: www.telegraph.co.uk/sponsored/business/

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business-sport-series/11691416/social media-in-sport.html (accessed


16 July 2015).
6. Clavio, G. (2008), “Demographics and usage profiles of users of
college sport message boards”, International Journal of Sport
Communication, Vol. 1 No. 4, pp. 434-443.
7. Clavio, G. (2011), “Social media and the college football audience”,
Journal of Issues inIntercollegiate Athletics, Vol. 4 No. 1, pp. 309-325.
8. Clavio, G. and Eagleman, A. N. (2011), “Gender and sexually
suggestive images in sports blogs”, Journal of Sport Management,
Vol. 7 No. 4, pp. 295-304.
9. Clavio, G. and Kian, T.M. (2010), “Uses and gratifications of a retired
female athlete’s Twitterfollowers”, International Journal of Sport
Communication, Vol. 3 No. 4, pp. 485-500.
10. Clavio, G., Walsh, P. and Coyle, P. (2013), “The effects of gender on
perceptions of team Twitterfeeds”, Global Sport Business Journal,
Vol. 1 No. 1, pp. 1-14.

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27
A Comprehensive Study on Brand
Sustainability and its Importance
Bharathi N S1, Varsha Balaji2, Tejashree P.N2,
Shreyas U2, Manasa L2
1
Assistant Professor, SSMRV College.
2
BCOM, 2nd year Students, SSMRV College.

Abstract
Purpose: The study of the article aims in providing the knowledge and
information about brand sustainability, which play a major role in the
present era. The purpose of this paper is to make people understand how
the brand sustainability takes place and the importance of branding. The
past decades have witnessed top brands, namely, Apple, Google,
McDonald’s, Nike, Samsung and Walmart striving toward achieving the
status of “Global Sustainable Champion” (Fombrun, 2007; Papista et al.,
2018; WEF, 2018). In this article we discuss about the role of brands in
the creation of sustainable markets, it aims on highlighting the leading
role of sustainability and their strategies. The study provides a summary
on brand sustainability and its strategies, corporate brand, the strategies
and awareness of branding, consequences faced and outcome of brands in
COVID era, green branding among young consumers, the opportunity and
jeopardy behind branding.
Approach: Based on a systematic review of multiple sources of data
emerging around brand sustainability, including the topics covered on
various issues of brand sustainability.
Keywords: Brand sustainability, Green branding, young consumers,
corporate branding and its equity, brand sustainability during pandemic.
Introduction
Given that marketing discipline has consumer in the center of its
philosophy and marketplace as the main playground; and that it has often
been accused for creation of uncontrolled consumption of planet resources
(Christensen et al., 2007), Brand is a unique blend of functional and

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emotional characteristic which gives unique experience and full filled


promise to consumers. Brand and consumers are inter linked to one
another. Brand helps the consumers to express their interest, attitude,
preference and personality of the consumers. It is a strong instrument to
tackle the consumers and gain profit. Sustainability means rethinking how
products are generated or produced. “The term sustainability combines
environmental, economic and social responsibilities and Includes blending
of profit, people and planet to form business culture, strategy and
Operations” (Chaudhuri and Jayaram, 2019; Kleindorfer et al., 2005).
Young consumers are unpredictable in nature, the emerging technologies
and the drastic changes occurred over decades have led to behavioural
changes. Generation by generation branding has changed its dimensions
according to the necessity and preferences of consumers. Majority of the
population in the countries which are densely populated, such as India, has
50% of its population are youngsters hence study on young consumers will
make the business concerns much stronger to establish their brand and
achieve its sustainability.
Green branding is a concept suitable for the millennial generation. They
may prefer to buy from companies who share their worldview, when it
comes to the environment. By the year 2030 those companies that invest
in initiatives that help people and the planet as well as their bottom line
and who can communicate those efforts effectively will have a
competitive edge. Green branding focuses even on the emotional side of
their consumers it is a two edged knife which uplifts the interest in both
the consumers and companies. Pandemic has changed lives of each and
every person, company and business. Every sector is facing the adverse
effects of pandemic in different phases. In this article we have tried to
emphasize the brand sustainability, its role and importance. consumer
brand knowledge, brand image brand equity are discussed.
Literature Review
Sustainable brand management perspective is seen as effective approach
that can bring sustainability to life and provide multiple benefits for both
consumers and companies. As a reflection of company's culture, brands
are a significant instrument for driving the change into society with respect
to environmental crisis. (Grubor Aleksandra and Olja Milonov, 2018)

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Majority of brands are tagging sustainability to signify them as a strong


indicator of corporate environmentalism. Today, the top brands’ need is to
become sustainable and greener to retain their market positions and to
emerge as a globally acceptable brand (Grant, 2008)
The preference toward sustainable products have gained pace by late
2000s and with the increasing rate of population growth, there is an urgent
need to practice resource-efficient activities to diminish the effects on the
ecosystem (Meng et al., 2018; Nimse et al., 2007; Verma and Chandra,
2018).
Few Forbes’ top brands are able to win young consumers’ trust in
developing the perceived value of being a sustainable brand. It proves that
being at the top, brand “Apple” and “Google” are successful in creating a
sustainable brand image for young consumers. Moreover, strong brands
such as “Apple” and “Google” are adapting sustainable practices by hitting
on social and economic aspects of the product. The young consumers are
keen to buy those brands, which are benefitting the society and are cost-
efficient too. (Manu Sharma and Sudhanshu Joshi, 2019)
Big brand governance is not, and never will be, a complete solution to
what Newell (2010) rightly calls the ‘elephant in the room’: the
environmental ills of capitalism. Yet it is too powerful to ignore. It can-
and is-improving the quality of some products and some processes. At the
same time, however, brand MNCs are an engine of a world economy that
within the current institutional paradigm must keep growing to function.
Profits for big brand companies like Walmart rely on turning over huge
amounts of lowcost consumer goods. And all brand MNCs are competing
to outgrow and out-expand each other: it is in their corporate DNA to do
so.
Sustainability is also providing an increasingly important source of supply
chain innovation. As John Paterson, IBM’s vice president of global supply
and chief procurement officer sums up, it’s clear that there’s real financial
benefits to be had for procurers across the world to get innovative with
their suppliers’ (Woody, 2010).

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Ethical eco- Relationship


Modern
friendly marketing
marketing
marketing
Figure 1.Brand Sustainability Equation:
Objectives
1. To understand the importance of brand sustainability and its role.
2. To highlight and educate about corporate branding and its equity.
3. To overcome the fear of the pandemic and spreading awareness about
green branding.
4. To understand the perils and opportunities behind branding.
1. Role of Sustainability, Consumer Brand Knowledge and Brand
Awareness
Sustainability can bring deeper meaning to a brand image and
consequently stronger emotional bonds and differentiation, its proper
implementation into society requires strong brands and comprehensive
strategy which focuses on criterial like uniqueness, innovativeness, co-
creation of sustainable value, accurate and clever communication. The
mainstream rules for each successful brand strategy is: understanding
“what matters to people in their lives, how and in what direction culture is
changing, how to lead rather than follow and how to ‘walk the talk’ of
brand integrity”. Sustainable brand effect can be successfully achieved
only by symmetrically matching the brand strategy with consumers’ brand
perceptions. The brand associative network the consumer associative
knowledge network based on the human associative memory(HAM)
model is drawn to represent consumer brand knowledge structure by
combining psychological cognitive theory and the network analytic
method to investigate the relationship between brand structural position in
consumers’ associative knowledge network and sustainable brand
awareness. The cognition pattern affects the “spreading activation” in the
brand association network. This enables firms to dynamically evaluate the
effect of their previous brand awareness programs optimize their brand
investment which leads to long-run brand success. Dimension of
sustainability can use places as a brand position. THE SUSTINABLE
PLACE BRANDING ANALYSIS (SPBA) help manager to prioritize
which attribute of marketing mix should receive more attention and

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analyze the most appropriate position from a wide array of possible


positions, which involves the creation and ownership of a credible,
valuable and distinctive position in the minds of that place’s customers,
which can lead to consumers’ satisfaction, loyalty and competitive
advantages. The main features to achieve sustainability is the triple bottom
line: environmental quality, economic prosperity and social justice and the
notion that the processes taking place today should have positive impacts
while reducing negative effects on the future generations.
2. Corporate branding and brand equity
Corporate branding requires greater emphasis on factors internal to the
organization. The emotional values of brands are communicated not just
by advertising, but also through employee’s interaction with different
stakeholders. Importance of Brand vision is to convey the brands core
values and guide employees behavior. Each and every brand will have a
unique set of value to target market.
A brand’s positioning set out what the brand is, who it is for and what it
offers, it will be affected by artifacts, physique which provides cause about
the brand’s performance characteristics.
Influential source for a brand’s personality is its positioning and an
integrated approach to branding can help rein force the synergy between
these.
A relationship between the brand and its consumers evolves which is
characterized by the values inherent in the trends personality.
The final component of brand identity involves the identification of
presentation system to present the brand’s identity so as to reflect
consumer’s aspirations and self-image. Brands symbolic meanings helps
consumer understanding and express aspect.
Successful management of internal brand resource should result in a
favorable brand reputation. Thus, managers should work reduce gaps and
eliminate sources of incongruity. By including both internal and external
components in the process, the model provides a balance approach to
brand building.

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Brands are multidimensional entities, whose success requires matching a


firms functional and emotional values with consumer. Corporate branding
relies heavily on an organization’s members holding congruent perception
about the nature of their brand.
The brand team needs to ensure that all form of brand communication
present a coherent brand identity.
Corporate branding required increased emphasis on interned brand
resource to present a coherent brand identity to stakeholders. Organization
also need to pay attention to the composition of their brand terms and be
aware of their strength and weaknesses. The increasing heterogeneity of
brand teams under corporate branding should enhance the resource of the
brand team but will require greater on integration to arrive at congruent
brand perceptions.
Brand Equity
Brand equity refers to a value premium that a company generates from a
product with recognizable name when companies to a generic equivalent.
Companies opt for a strategy of converting intangible assets to tangible
assets to create the firm value and place in market. Corporate social
performance is positivity related to a company’s reputation. The financial
firms that tend to improve their business models and follow the path of
growth and sustainability by managing their brand equity for a long run
approach need to focus on developing brand sustainability.
Brand value are the main variable included in the econometric determinate
in the financial sector. Damodrarn principle which examined intangible
assets as an incremental cash flow of branded to unbranded companies,
Sustainalytics index or the average environmental and social governance
score and Bloomberg BICS techniques and concluded that higher values of
sustainability tend to be correlated with higher average brand values and
brand values, was positivity affected by the ESG score.
3. Upshot of brand sustainability during the pandemic, Green
branding among young consumers
Green transparency has the second-highest priority and need to practice for
targeting young consumers as young consumers are more open to new

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innovations and are highly influenced by sustainable and greener products


and their attitude can significantly influence their purchasing Intentions
toward sustainable products. Understanding young consumer’s sensitivity
toward sustainable products is significantly important for marketers to
understand and eliminate obstacles in green consumption and creating
appropriate green brand strategies is required in order to reduce the gap
and accelerate for large-scale adoption of sustainable behavior of all
members of the community. Strong brands such as “Apple” and “Google”
are adapting sustainable practices by hitting on social and economic
aspects of the product. “Corporate social responsibility” initiatives are the
most critical brand attribute which influence the young consumers for
product or brand selection.
COVID-19 has brought financial as well as environmental pressures and
that will drive innovation towards more reusable and sustainable products.
Consumers know that companies are able to do more just based on what
companies were able to do in the pandemic. Hence firms need to work on
the current trends. Two major trends in current scenario is cleanliness and
a heavy reliance on e-commerce. These areas are in many ways at odds
with sustainability, as shipped goods can come with an abundance of
packaging and many cleanliness products, from wipes down to more
necessary personal protective equipment like masks and gloves. Brands
have traditionally up charged for sustainably labeled products, but that
higher price tag is not necessarily reflective of actual production and
supplier expenses. It's a premium model that might need to go away in
order to keep sustainability's momentum up and win over a growing swath
of people roiled by what's shaping up to be a deep recession. Pre-
pandemic, there was 8% growth rate for social responsibility product
attributes or claims. But, in pandemic Brands taking a short-term hit to
revenue by reducing their premiums on sustainability might help offset
such trends and ultimately be worth the reward in terms of building brand
equity over the long run.
4. Big brands in global economy and opportunity and risk behind
brand
Big Brands in Global Economy
In last few decades, retail has become base for a global economy and retail
chain store have gained significant economic power, with economic

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globalization, trade has integrated but production has disaggregated as


corporation have completed to outsource manufacturing and services to the
lowest cost countries with cheapest labor. Global outsourcing business
models growth helps us to explain the rise of retail in the world economy.
70% of all employment and one third of global gross domestic product and
economic activity in developed countries in now tied to retail.
Sustainable brand requires a different approach than regular business. To
ensure smooth transaction planning is the only way, the planning is vitally
important to have effective measure in place. Using social media power
and live streaming. Sustainable marketing is great way to promote eco-
friendly aspects of a company, it is necessary for a business to use all of it
genetic makeup to promote itself and stand out in its market.
Opportunity and Risk behind Brand
Companies owned assurances schemes and a mean to reduce information
asymmetry and build trust. They possess potential to be the foundation for
corporation to hones gains from investments in terms of brand value and
customer loyalty and so to internalize some of the positive externalities
from market development work. Acknowledge their effectiveness in
bringing sustainable market to life, but also stress the risk of brands
achieving discursive dominance over the public debate.
Big brands are never the complete solution, yet it is greater threat to ignore
them. Profits for big brands companies like Walmart rely on turning over
huge amount of low cost consumer goods. All brands of MNC”s are
competing to outgrow and expand. It is the corporate DNA to do so. With
the increasing scope of big brand sustainability, private companies is
increasing in importance within the transaction governance system.
Conclusion
This article explains how trading and practice evolve in modern business
environment, where sustainability is major global issue. Strong brand
plays important role in change towards sustainable behavioural pattern of
both corporate and consumer. However, fitting internal culture and brand
image is the main change organization faces. Thus, maximizing brands
impact requires comprehensive green branding strategy that calls for
multiple policy and organizational culture. However, research in the

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sustainable branding practice is at beam currently . There are not enough


companies that actually implemented the sustainability concept into their
business modules. It is crystal clear that there is enough scope for the
further research of branding and its techniques with young consumers as
well Green branding as a weapon of sustainability.
It has become one of the main business and society topics. Translating
sustainable principles into real behavior requires integrating it into society
and business ideology as a core value. It takes time, investment and
consistency in all stages, as well as leading consumers through the green
maze, which is path full of risk and challenges.
In the upcoming years branding can be used as a major instrument to catch
hold of consumers through different strategies as well research and
development is required to guide the growth of corporate branding and
brand equity.
References
1. Grubor Aleksandra and Olja Milonov from University of Novi Sad,
Faculty of Economics in Subotica, Republic of Serbia. “Sustainable
Branding” ENTRENOVA 8-9, September 2018, publication available
at: https://www.researchgate.net/publication/315860190.
2. Manu Sharma and Sudhanshu Joshi from the School of Management,
Doon University, Dehradun, India. “Brand sustainability among young
consumers: an AHP-TOPSIS approach YOUNG CONSUMERS,
VOL.20 NO.4, 2019, ISSN1747.
3. Viriya Taecharungroj from Mahidol University International College,
Thailand; Morakot Muthuta, Faculty of Liberal Arts, King Mongkut’s
Institute of Technology Ladkrabang, Bangkok and Pheereeya
Boonchaiyapruek Faculty of Architecture, Silpakorn University,
Thailand. Place Branding and Public Diplomacy (2019) 15:210-228
“Sustainability as a place brand position: a resident-centric analysis of
the ten towns in the vicinity of Bangkok” https://doi.org/
10.1057/s41254-019-00127-5.
4. Anca Cristina Stanciu Adina Burghelea (Cocoș) Ovidius University of
Constanta, Faculty of Economics Sciences, Romania “Sustainability
Brand and its Role” Economic Sciences Series Volume XX, Issue 1
/2020.

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5. Peter Dauvergne and Jane Lister, Liu Institute for Global Issues,
University of British, Columbia “Global Environmental Change”.
6. Matthias Lehner and Sue Vaux Halliday, ISSN 1473-2866, available
at: http://www.ephemerajournal.org/contribution/branding-sustainabi
lity-opportunity-and-risk-behind-brand-based-approach-sustainable.
7. Xuan Gong, Changzheng Wang, Yi Yan, Maohong Liu and Rizwan Ali
from Economics and Management School, Wuhan University, China
“What Drives Sustainable Brand Awareness: Exploring the Cognitive
Symmetry between Brand Strategy and Consumer Brand Knowledge”,
Symmetry 2020, doi: 10.3390/sym12020198, available at: https://
www.researchgate.net/publication/338997263_What_Drives_
Sustainable_Brand_Awareness_Exploring_the_Cognitive_Symmetry
_between_Brand_Strategy_and_Consumer_Brand_Knowledge.
8. Peter Adams, May 2020, “Why sustainability could be more crucial -
and difficult-for brands in the COVID-19 era” available at: https://
www.marketingdive.com/news/why-sustainability-could-be-more-
crucial-and-difficult-for-brands-in-th/577503/.
9. Samer Ajour El Zein, Carolina Consolacion-Segura and Ruben
Huertas-Garcia from School of Business Administration, Technical
University of Catalonia, Spain, “The Role of Sustainability in Brand
Equity Value in the Financial Sector”, Sustainability 2020, Economic
and Business Aspects of Sustainability available at https://doi.
org/10.3390/su12010254.
10. Christensen, T.H., Godskesen, M., Gram-Hassen, K., Quitzau, M.,
Ropke, I. (2007), Greening the Danes? Experience with consumption
and environment policies“, Journal of Consumer Policy, Vol. 30, pp.
91-116.
11. Grant, J. (2008), “Green marketing”, Strategic Direction, Vol. 24 No.
6, pp. 25-27.
12. Meng, Y., Yang, Y., Chung, H., Lee, P.H. and Shao, C. (2018),
“Enhancing sustainability and energy efficiency in smart factories: a
review”, Sustainability, Vol. 10 No. 12, p. 4779.
13. Newell, P., 2010. The elephant in the room: Capitalism and global
environmental change. Global Environmental Change, doi: 10.
1016/j.gloenvcha.2010.11.011.
14. Woody, T., 2010. IBM suppliers must track environmental data, New
York Times, 14 April, available at http://green.blogs.nytimes.

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com/2010/04/14/ibm-willrequire-suppliers-to-track-environmental-
data.
15. Papista, E., Chrysochou, P., Krystallis, A. and Dimitriadis, S. (2018),
“Types of value and cost in consumer-green brands relationship and
loyalty behavior”, Journal of Consumer Behaviour, Vol. 17 No. 1, pp.
101-113.

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28
Business Management Practices and Social
Innovation in Digital Marketing
Sahana B.C1, Manjula Bhaskar2
1
Assistant Professor, Department of B.Voc RM,
BMS College for Women, Bangalore-560004.
2
Lecturer, Department of B.Voc IT, BMS College for Women, Bangalore-560004.
E mail Id: [email protected], [email protected]

Abstract
Marketers are faced with new challenges and opportunities within this
digital age. Digital marketing is the utilization of electronic media by the
marketers to promote the products or services into the market. The main
objective of digital marketing is attracting customers and allowing them to
interact with the brand through digital media. This paper focuses on the
importance of digital marketing. Additionally the differences between
traditional marketing and digital marketing in this paper are presented.
This study has described various forms of digital marketing, effectiveness
of it and the impact it has on firm’s sales.
Keywords: Digital Marketing, Promotion, Effectiveness.
Introduction
Business management practices Focuses on Data-Driven Decision-Making
and also Combines Managerial and Leadership Skills. Social innovations
are new social practices currently that aim to meet social needs in a better
way than the existing solutions.
Social innovation is the process of developing and deploying effective
solutions to challenging and often systemic social and environmental
issues in support of social progress. Social innovation is one of the key to
the success of business.
In this current situation if you want to engage your audience or convert
customers and boost sales it is important for you to be sensitive towards
the latest digital marketing trends to stay in line and compete.

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Traditional marketing have certain limitations & loophole, hence it made


way to digital marketing/ digital era. Highly personalized “smart content”
that’s focused on relationship-building is one response to this, essentially
finding a way to address very specific buyer personas. This can be tailored
towards a specific characteristic of a demographic, including age, location
or even what point in the buyer’s journey a person is. The paper focuses on
traditional marketing in respect of current digital scenario
Review of Literature
Dr.Madhu Bala and Mr. Deepak varma (2018) researcher in there paper
“A critical review of digital marketing” has tried to assess successful
technique of internet marketing and had compared between traditional and
digital marketing. The researcher has made secondary data analysis by
collecting data from various sources like researches, reports, newspapers,
websites etc, and has found that the digital marketing is cost effective and
has a great commercial impact on business.
Sanjay Bhayani and Nishant V Vachhani (2018) researcher in their
paper “Internet marketing vs Traditional marketing-A comparative
analysis” has tried to evaluate the market penetration of internet marketing
with compared to traditional marketing and also studied the consumer
buying pattern through internet marketing options. Researcher has used
descriptive analysis by collecting responses from 500 samples and has also
used secondary data and quoted that online marketing is more prolific as
compared to physical purchasing and has also observed that electronic
catalogue facilities are more preferred.
Ishtiaq Ahmed (2016) researcher in his paper “Effects of Digital
marketing on customer relationship” has tried to measure and emphasize
the impact of digital marketing on relationship with customers. Research is
based on empirical study by using brainstorming, questionnaire and has
found that Social media is the best way to get connected to customers
Objectives
1. To analyse the difference between traditional and digital marketing
2. To understand the various strategies applied in the field of digital
marketing
3. To understand the Future of Digital marketing

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Research methodology
The research was done by using the Secondary data-Newspapers,
magazines, articles, Journals, case Studies, online portals as a major source
of information.
Data Analysis
Traditional marketing has many facets. For instance, it includes tangible
items like print ads in magazines or newspapers, business cards. It can also
include commercials on radio or TV, posters, brochures and billboards.
Anything except digital ways to promote your brand is traditional
marketing.
Digital marketing includes social media mentions, websites, banner ads
and YouTube videos. Digital marketing is quite similar to traditional
marketing but just uses digital devices. One can start promoting business
through social media marketing. Online marketing is a form of inbound
marketing, and its main aim is for customers to find you.
Marketing your business through social media channels becomes easy like
online organic search, paid search or by reading content online like article
or blog. The audience becomes familiar with your content as and when
they keep seeing it, which helps build trust.
The differences between traditional and digital marketing
Traditional Marketing Digital Marketing
Traditional marketing includes Digital marketing includes online
print, broadcast, direct mail, and advertising, email marketing, social
telephone media, text messaging, affiliate
marketing, search engine
optimization, pay per click
No interaction with the audience Interaction with the audience
Results are easy to measure Results are to a great extent easy to
measure
Advertising campaigns are planned Advertising campaigns are planned
over a long period of time over short period of time
Success of traditional marketing Success of digital marketing
strategies can be celebrated if the strategies can be celebrated if the

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firm can reach large local audience firm can reach some specific
number of local audience
One campaign prevails for a long Campaigns can be easily changed
time with ease and innovations can be
introduced within any campaign
Limited reach to the customer due Wider reach to the customer
to limited number of customer because of the use of various
technology customers technology
24/7 year-round exposure is not 24/7 year-round exposure is
possible possible
No ability to go viral Ability to go viral
One way conversation Two ways conversation
Responses can only occur during Response or feedback can occur
work hours anytime

The various strategies applied in the field of digital marketing are:


Internet marketing plan will help define specific e-marketing objectives
and develop strategies to ensure that resources are deployed to take
advantage of the marketing opportunities provided by the Internet, and to
counter its threats.
E-marketing is focused on how a company and its brands use the web and
other digital media such as e-mail and mobile media to interact with its
audiences in order to meet its marketing goals. We plowed through all the
variety of marketing arenas from content and social marketing to
marketing technology, analytics and organizational transformation, to find
and establish the ultimate summary for marketing trends 2020. The various
marketing trends articles of different authors and experts were read,
dissected, analyzed and summarized as below.
1. Artificial Intelligence: “Artificial intelligence is the biggest
commercial opportunity for companies, industries, and nations over
the next few decades” and “will increase global GDP by up to 14%
between now and 2030,” which means that “AI latecomers will find
themselves at a serious competitive disadvantage within the next
several years.”

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2. Chatbot’s: They are artificial intelligence (AI), which uses verbal


interactions with humans and has helped to collect more data insights
which makes it possible to offer a continuously improving digital
services. TIDIO research from Jan 2020 found that 43% of consumers
prefer to message in online Chatbot rather than phone customer
service centres. Surveys show that Chatbot’s will power 85% of
customer service by 2020.Top benefits of chatbots are 24-hour service
(64%), instant responses to inquiries (55%), and answers to simple
questions (55%). 63% of respondents prefer messaging an online
chatbot to communicate with a business or brand. By 2022, chatbots
will help businesses save over $8 billion per annum. 80% of
businesses want chatbots by 2020
3. Personalization & Customization: If you want to stand out in 2021,
you need to personalize your marketing-and that means personalized
content, products, emails and more. Consider these personalization
stats:
 63% of consumers are highly annoyed with generic advertising
blasts
 80% say they are more likely to do business with a company if it
offers personalized experiences
 90% claim they find personalization appealing

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Here are a few other companies that are successfully using


personalization today
 EasyJet launched a data-driven email campaign that uses customers’
travel history with the airline to build personalized stories, which then
suggest where they might like to travel next. About 12.5 million
unique emails have been sent, which had a 25% higher click-through
rate than non-personalized emails.
 Cadbury’s created a personalized video campaign that matches a
Dairy Milk flavor with users based on data from their Facebook
profile, including age, interest and location. The campaign generated a
65% click-through rate and a 33.6% conversion rate, proving that the
personal touch works.
 Starbucks uses a gamified mobile app that draws on data like
purchase history and location to get as personal as possible, allows
customers to customize their drinks, and encourages further use with
its rewards system-which skyrocketed their revenue to $2.56 billion
Video Marketing
Video marketing is one of, if not the, most important marketing trend
today and likely for the next 5-10 years. These numbers show the
importance of incorporating video into your digital marketing strategy in
2021:
 70% of consumers say that they have shared a brand’s video
 72% of businesses say that video has improved their conversion rate
 52% of consumers say that watching product videos makes them more
confident in online purchase decisions
 65% of executives visit the marketer’s website and 39% call a vendor
after viewing a video
4. Influencer Marketing: Influencer marketing is a type of word-of-
mouth marketing that focuses on using key leaders to amplify your
brand message to a larger market. Influencers can be well-known
celebrities, but more often they are Instagram or YouTube
personalities with a huge niche following who can help spread the
word about your business or product through their social channels.

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Because influencer marketing is generally more authentic than corporate


advertising:
 63% of consumers trust influencers’ opinions of products much more
than what brands say about themselves
 58% of people have bought a new product in the past six months
because of an influencer’s recommendation
Influencer marketing is not just a trend: A mediakix study predicts that the
ad spend for influencer marketing could reach $10 billion by next year:

5. Interactive content: Its anything that people can click on swipe or


interact with online. According to outgrow 93% marketers rate

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interactive content has highly effective at educating the buyer. In


2020, most of the companies has experimented using interactive
content types such as augmented reality ads, quizzes and polls, 360
degree videos.
6. Voice interaction: SIRI, Google, Alexa are used to gain information
at the earliest. So marketers targeting voice search users should use
key words that people will speak rather than type to improve service.
The increasing use of voice search has made it important for companies to
rethink their digital marketing strategies in 2021. Consider these numbers:
 50% of all searches will be via voice by 2020
 55% of all American homes will own a smart speaker by 2022
 72% of people who own voice-activated speakers say that their
devices are used as part of their daily routines
 Voice shopping is set to jump to $40 billion in 2022, up from $2
billion today
 Global smart speaker shipments have almost trebled between Q1 2018
and Q2 2019, growing from 9.36 million units to 26.1 million units

To understand the future of Digital marketing


According to Fink (2007), a well-designed IT architecture is crucial in
increasing the level of knowledge dissemination and developing new
processes and products, especially as a way to foster knowledge generation
(de Souza and Júnior, 2013).

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So far little evidence has been provided with regards to which digital tools
are actually used to address social needs (Smith and McKeen, 2011). To
sum up, digital tools ensure the tools by which SI players interact and the
present article aims at identifying current digital devices, channels and
platforms enabling new SI initiatives.
The latest digital marketing technology hype cycle
Across all digital platforms and marketing cloud services, the trends are
well documented by Gartner in their digital marketing hype cycles which I
summarize each year. Here is the latest visual from Gartner of the 2020
digital marketing hype cycle.

.
From reviewing the latest hype cycle here are the core marketing themes
that will be most significant for marketers considering their adoption of
digital technology in 2021 and beyond:
 Conversational marketing
 Consumer privacy and consent
 Artificial Intelligence and machine learning for marketing
 Personalization is referenced as personification.
 Marketing Hubs (clouds) and email automation
 Fewer new innovations

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Conclusion
To conclude social innovation as well as business management practices is
involved in the field of digital marketing and has future scope for
implementation in industries, retail and business sector to be competitive
in today’s era.
Suggestion for Future Study
Here an attempt has been made to study Business management practices
and social innovation in Digital marketing. This study has one limitation
that it is based on secondary data, which allows other researchers to further
research. Digital channel in marketing has become essential part of
strategy of many companies. Nowadays, even for small business owner
there is a very cheap and efficient way to market his/her products or
services. Digital marketing has no boundaries. Company can use Artificial
Intelligence, chat bots and lot more to promote company itself and its
products and services.
References
1. https://digitalmarketinginstitute.com/blog/10-trends-in-digital-marke
ting-in-2020#:~:text=Get%20Involved%2C%20or%20Get%20Left,
among%20the%20most%20prominent%20trends.
2. https://socialinnovation.org/event_auto/branding-digital-marketing-
for-social-impact-how-to-get-started/.
3. https://www.researchgate.net/publication/300572133_The_Importan
ce_of_Marketing_for_Social_Innovation.
4. https://economictimes.indiatimes.com/tech/internet/internet-users-in-
india-expected-to-reach-500-million-by-june-iamai/articleshow/ 63000
198.cms?from=mdr.
5. https://www.mycustomer.com/marketing/technology/10-ways-to-trans
form-traditional-marketing-into-social-innovation.
6. https://digitalmarketinginstitute.com/blog/3-innovations-that-will-
transform-your-digital-marketing-strateg.
7. https://www.singlegrain.com/digital-marketing/digital-marketing-
trends-2021/.
8. Merisavo, M. (2005). The effects of digital marketing on customer
relationships. Managing Business in a Multi-Channel World: Success

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Factors for E-Business, 89-104. https://doi.org/10.4018/978-1-59140-


629-7.ch006.
9. Bhayani, S., & Vachhani, N. V. (2014). Internet Marketing vs
Traditional Marketing: A Comparative Analysis. FIIB Business
Review, 3(3), 53-63. https://doi.org/10.1177/2455265820140309.
10. Bala, M., & Deepak Verma, M. (2018). A Critical Review of Digital
Marketing Paper Type:-Review and Viewpoint. International Journal
of Management, 8(10), 321-339.
11. https://www.smartinsights.com/digital-marketing-strategy/digital-mar
keting-trends-innovation/.
12. https://scielo.conicyt.cl/scielo.php?script=sci_arttext&pid=S0718-
27242016000400004.

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29
Relation between Sustainable Green
Marketing and Consumer Behaviour
Neha Agarwal1
1
Research Scholar, Department of Home Science,
Dayalbagh Educational Institute, Agra-282005.
E mail Id: [email protected]

Abstract
Sustainable enterprise is working as an organization that attempt to
complete the needs of present and future generation of customers and
stakeholders through new businesses like green products those are
creative and innovative that speed up to positive social change, preserve
environment integrity and economic growth. Nowadays almost
government of every country is working to gain profits and to protect
environment. But still based on previous researches the majority of the
consumers still have lack knowledge about sustainable enterprises and
because of such low awareness towards green products organizations are
still not pushing towards developing more such type of products. The
purpose of the Present study is to find the relation status between
sustainable green marketing and consumer behaviour. Secondary data
was collected for the present study. Based on the previous data, this
relation can be improved by using some suggestions and these are
consumers need to aware for the environment condition and willing to pay
more to improve the environment. Companies are starting to educate the
masses with an increase in advertising that puts emphasis on green
products and how they are more beneficial for the consumers. This kind of
advertising goes a long way in educating the masses and promoting the
concept of green marketing among the people. Innovative methods,
strategies and policies to be developed and implemented so that it will
help the retailers and customers towards the sustainable change.
Keywords: Green marketing, Consumer behaviour, Environment change,
Improve relation.

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Introduction
The pollution is increasing day by day and one reason is that many types
of non-biodegradable products are available in markets. So that
Environmental issues are increasing day by day and it became a sizzling
topic nowadays as almost every country’s government and society has
started to be more aware about these issues. This leads to a trend of
enterprises of green marketing used by the firm as one of the strategies in
order to gain profit and protect the environment. "Green Marketing" refers
to holistic marketing concept wherein the production, marketing
consumption a disposal of products and services happen in a manner that
is less detrimental to the environment with growing awareness about the
implications of global warming, non-biodegradable solid waste, harmful
impact of pollutants etc., both marketers and consumers are becoming
increasingly sensitive to the need for switch in to green products and
services. All activities designed to generate and facilitate any exchanges
intended to satisfy human needs or wants, such that the satisfaction of
these needs and wants occurs, with minimal detrimental impact on the
natural environment. Due to increased environmental awareness over the
past decades, many economic sectors are recognizing the desperate need
for more sustainable business practices. Today the concept of
sustainability is almost constantly encountered by showing application in
corporate strategy, consumer choice, student education and academic
research. The need for sustainable business practices by corporations
around the world is identified to be a result of overall increase in the
consumer awareness of lack of environmental protection and social
inequities. It is important that the consumers’ behaviour should be
improvised and sustained with the help of using some useful methods by
which they will be willing to pay for green products by thinking for the
protection of environment and sustainability of green marketing can help
to make eco balance for environment.
Objective
To find the relation status between sustainable enterprises and consumer
behaviour.

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Consumers concern for environment


Environmental attitude is identified as the judgment an individual has
towards the protection and promotion of the environment. Over the last
decade environmentalism has emerged to be a vital aspect due to
increasing issues related to acid rains, depletion of the ozone layer, and
degradation of the land and many more pressing environmental issues.
This resulted in increase in consumer concern with regards to restoration
of ecological balance by presenting demands for green products in
countries around the world. Conflicting results have been published with
regards to the relationship that currently exists between attitude towards
the environment and the resultant behaviour. On the other hand, the
majority of the consumers still have lack ‘green’ knowledge and because
of such low awareness towards green products organizations are still not
pushing towards developing more green products nor are they working
hard on green packaging. Organizations still believe that marketing aspects
such as developing a proper supply chain, packaging, pricing etc. take
precedence over green marketing initiatives. However, this is all changing.
People are beginning to realize their role and responsibilities towards the
environment.
Consumers attitude towards green marketing
Green marketing depends on the consumer’s attitude towards the
environment. If there is no strong demand for such a shift in consumer
attitude, businesses will not put in the extra effort to move towards
introducing green products and services. The core idea of green marketing
is to create awareness among people on the environmental issues and how
consumers would be helping the environment if they switch over to green
products. Thus green marketing aims to provide more information to
people and also gives those more choices to switch over to green lifestyle.
This identifies with the idea that there is a need to change the overall
attitude consumers have towards a product thereby impacting their
decision making. This scenario will apply to a green marketing context
also.
Lack of communication is considered to be a major reason for commercial
failures of environmentally sustainable products mainly because
communication is a major step in the development of a positive behaviour

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towards consumer’s consumption patterns. A number of studies have dealt


with the value perception of a specific set of environmental attributes.
Moreover, previous researches carried out in western nations supported
that consumers have positive green perceptions on eco-branded products.
However, a number of studies have also depicted that people tend to have
a negative view towards green products that according to them shows a
marked trade-off between its effects on the environment and the functional
performance of the brand. Emotional brand benefits can therefore be stated
as being an important factor in encouraging consumers to alter their actual
buying behaviours and purchase eco- friendly items.
Need for sustainable green marketing
Most firms have started using sustainable development framework which
is known as green marketing and most of the organizations have
acknowledged green products which are environmentally friendly. There
are five dimensions of sustainability: (i) an environmental dimension (e.g.,
preservation of natural resources), (ii) a social dimension (e.g., improving
the living conditions of the world’s poor and promoting equal
opportunities for all), (iii) an economic dimension (e.g., economic viability
and economic growth that secure human well-being), (iv) a temporal
dimension (in that the needs of current and future generations are
considered), and (v) a developmental dimension, because development
(e.g., technological innovation or changes in lifestyles and political
priorities) is needed to achieve sustainability. Due to increased
environmental awareness over the past decades, many economic sectors
are recognizing the desperate need for more sustainable business practices.
Examining strategies for starting small-scale enterprises can reveal how
such communities can harness the initiative of local entrepreneurs to create
businesses that are at the same time environmentally sustainable and
economically profitable. Marketing managers can use green marketing to
earn profits. In addition, green marketing is able to preserve the
environment while satisfying customers’ needs.
Suggestions to improve the relation
Green marketing is a continuous process that requires constant inputs from
the suppliers, government legislations and policies and the people. This is
required so that the businesses green marketing strategy can be aligned to

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the target markets and so it can gain a sustainable competitive advantage.


It is important that strategies and policies in relation to green products be
developed and implemented so as to guide and help the retailers and
customers towards a green change. There are some major suggestions to
improve the relation between green marketing and consumers which are
given below:
 For green marketing to be effective, you have to do three things; be
genuine, educate your customers, and give them the opportunity to
participate.
i) Being genuine: It means that a) you are actually doing what you claim
to be doing in your green marketing campaign and b) that the rest of
your business policies are consistent with whatever you are doing
that's environmentally friendly. Both these conditions have to be met
for your business to establish the kind of environmental credentials
that will allow a green marketing campaign to succeed.
ii) Educating your customers isn't just a matter of letting people know
you're doing whatever you're doing to protect the environment, but
also a matter of letting them know why it matters. Otherwise, for a
significant portion of your target market, it's a case of "So what?" and
your green marketing campaign goes nowhere.
iii) Giving your customers an opportunity to participate means
personalizing the benefits of your environmentally friendly actions,
normally through letting the customer take part in positive
environmental action.
 Marketers need to understand the implications of green marketing. If
they think customers are not concerned about environmental issues or
will not pay a premium for products that are more eco- responsible,
then it is important to find an opportunity to enhance product's
performance and strengthen customer's loyalty and command a higher
price.
 Effective advertising strategies have the ability to cause a shift in
consumers who are willing to pay a premium price for environmental
products to green consumption patterns.
 Brands have the capability to cause a change in consumer’s attitudes.
It can be noted that if affective marketing concepts are promoted then
it is possible to shift consumers who are passive towards concepts of
“green” to active ones who are willing to go the extra mile and pay

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premium price in order to arrive at products. which are pro


environmental in nature thereby promoting effective green
consumption behaviour.
 Businesses should concentrate on focusing on developing a green
product that have a demand from the general public and which also
aligns to the company’s core positioning. Furthermore, businesses
should also present efforts in a manner that reduces the risk related to
costs.
 Marketers can provide training to their employees, especially sales
representative. This is to give them knowledge on how to promote the
green product effectively by clearly presenting the main message to
the consumers.
Conclusion
Today environmental problems are very serious and it affected so badly
and the current consumption levels are too high and are unsustainable.
Therefore, there is a need for green marketing and a need for a shift in the
consumer’s behaviour and attitude towards more environmental friendly
life styles. The current study is a compilation of various aspects related to
green marketing. It is clearly evident from review of literatures and the
conceptual model that the majority of the consumers still lack ‘green’
knowledge and because of such low awareness towards green products
organizations are still not pushing towards developing more green
products nor are they working hard on green packaging. Creating and
implementing a green marketing strategy is not straight forward because it
is not only complex, but also a relative concept that continuously varies
over time. However, this is all changing. People are beginning to realize
their role and responsibilities towards the environment. Although this
change is not happening quickly, it is happening. Companies are doing
their efforts to improve the situation and government also took many
initiatives and supporting the organization to develop the green market.
Awareness programmes can help to change the thinking of the customers
for green products and for environment.

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References
1. Bukhari, S. S. (2011). Green Marketing and its impact on consumer
behaviour. European Journal of Business and Management. 3(4).
ISSN 2222-1905. 2222-2839.
2. Davis, J. J. (1995). Consumer response to corporate environmental
advertising. Journal of Consumer Marketing, 11(2), 25-37. http://
dx.doi.org/10.1108/07363769410058902.
3. Doyle, J. (1992). Hold the Applause: A Case Study of Corporate
Environmentalism. The Ecologist, 22(3), 84-90.
4. Hanss, D. and Bohm, G. (2012). Sustainability Seen from the
Perspective of Consumers. IJC. DOI: 10.1111/j.1470-6431.
2011.01045.x
5. Jacob, J. and Jacob, J. (2012). Green Marketing: A Study of
Consumers’ Attitude towards Environment Friendly Products. Asian
Social Science. 8 (12). 1911-2017, 1911-2025. http://dx.doi.org/
10.5539/ass.v8n12p117.
6. Kotchen, M. J., and Reiling, S. D. (2000). Environmental attitudes,
motivations and contingent valuation of nonuse values: a case study
involving endangered species. Ecological Economics, 32(1), 93-107.
http://dx.doi.org/10.1016/S0921-8009(99)00069-5.
7. Ottman, J. (1998). Green Marketing: Opportunity for Innovation.
NTC-McGraw-Hill, New York, NY.
8. Shahidullah, A. K. M. and Haque, C. E. (2014). Environmental
Orientation of Small Enterprises: Can Microcredit-Assisted
Microenterprises be “Green”? Sustainability. 6, 3232-3251; doi: 10.
3390/su6063232.
9. Vandermerwe, S., and Michael, D. O. (1990). Customers Drive
Corporations Green. Long Range Planning, 23(6), 10-16. http://dx.
doi.org/10.1016/0024-6301(90)90096-M.
10. Wong FuiYeng & Rashad Yazdanifard (2015). Green Marketing: A
Study of Consumers’ Buying Behavior in Relation to Green Products.
Global Journal of Management and Business Research: E Marketing.
15 (5) Version 1.0. 2249-4588 & 0975-5853.

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30
Green Product Marketing: An Ethical Initiative
“Green Hai Tho Future Hai”
Abdal Ahmed1, Dr. Suman Vij2, Sumera Qureshi3
1
Research Scholar, Dept. of Management, Dehradun, Uk-India.
2
Associate Professor, Dept. of Management,
Shri. Guru Ram Rai University, Dehradun, Uk-India.
3
Research Scholar, Dept. of Law, H.N.B Garhwal University,
B.G.R Campus, Pauri, Uk-India.
E mail Id: [email protected], [email protected],
[email protected]

Abstract
Indian green marketing sector is growing day by day and many Indian
and international companies are producing green products or services &
also performing part of CSR which impact is showing positive impact on
environment. Green Revolution in India started as a new revolution in late
1960’s and its success attained within a decade. Whereas, Green
marketing was introduced internationally in 1975 and in India in 1990.
Concern for the society is changing Consumer Buying Preferences.
Trending and changing the attitude of the consumers are leading to a new
way of Green lifestyle.
Many national and international organizations are upgrading their roles
to perform Corporate Social Responsibility as a process in their
production and operations management to improve the quality of
environment. These changes in the marketing dynamics and preferences of
the consumers are observed by the organizations in order to capture to the
demands of the dynamic market.
The main aim of this research paper is to understand the change in the
market and preferences of consumer and to find out the numerous changes
that have been adopted by the organizations as well as the consumption
with respect to “Green Ethical Marketing”.
This research paper is based on secondary data collected through
different sources and their analysis, which include research papers by

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different researchers, articles, journals, conference proceedings,


periodicals, text books and digital available data analyzed for relevant
application of Green Marketing in India.
Keywords: Green Products in India, Green Awareness among Customers,
Green marketing as Ethical Marketing, Organizations performing CSR.
Introduction
Green Marketing in contrast with traditional marketing take care all those
activities that guarantee the best of service to the customers and also
meeting the needs of the customers in such an efficient and innovative way
that ensure the environment is not under threat in any manner due to any
activities. We can say that it is Holistic marketing. Ecological marketing,
Ethical marketing, sustainable marketing, are the terms which are other
names to the green marketing. Due to immense increase in consumption
change and awareness about the safety and sustainability of the
environment, ethical marketing is gaining attention and consumption
resulting in its applications. Whereas, ecological products marketing leads
to positive & ethical impact on the environment and their benefits to the
society and organizations are producing goods & services and advertising
on the basses of ethical marketing.
It is important to identify the products which can be tagged as “Green”. A
green product includes:
 No use of hazardous chemical and process leads to environmentally
sustainability.
 Products made out of organic contents.
 Products which relate to Ethical Marketing.
 Products which drive Corporate Social Responsibility.
 They are healthy on consumption and as well as on environment.
 No to plastic and plastic products in production and packaging.
 Use of those types of raw materials which can be easily recycled or
can be decomposed.
 Products should be made under strict provisions & procedures
provided under legislations, rules and regulations.
 Imposing strict control over pollutions.
 Strictly following the third party certifications like ISO, BIS, and
FSSAI.

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 No or less waste produced while production and after consumption.

Literature Review
History of Green Marketing
The first wave of green marketing came in the 1980s. The substantial point
of reference for the principal wave of green marketing came in the form of
books which were called Green Marketing. They were by authored by Ken
Pattie (1992) in England and by Jacquelyn Ottman (1993) in the United
States of America. In India, Madhumita, G.& Sara. (2014) gave a brief
outlook of green marketing, how it works and its avenue in India.
Prothero, A. (1998) introduced several papers that were discussed in the
July 1998 issue of 'Journal of Marketing Management' which focused on
green marketing. Jain, S.K. & Kaur, G. (2004) discussed that business
firms too have risen to the occasion and have started responding to
environmental challenges by practicing green marketing strategies.
Chauhan, H.P.S. (2015) talked about sustainable development as per the
Report of the World Commission on Environment and Development by
UNO. He talked about the keys of success in green marketing, its
advantages and problems associated with it. Tiwari, J.(2014) talked about
green marketing being a tool for protecting the environment for future
generation. And may more taken part in strengthening the wave of Green
Products Marketing.
Green Production leads to Sustainable Corporate Management
Sustainable corporate management is that reduces the harmful impacts at
the time of production of products or even completely avoids them. The
main aim behind this type of production and marketing is that customers
should be encouraged to conscientiously and sustainably consume it.

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Green Relate to Economy


In the economic context, green means that which deals in promoting and
emphasizing on environmental compatibility of products and sustaining
the same. It includes all the advertising and information to promote the
green products to convince customers to buy the sustainability in the form
of product. It also resembles the balance sheets and its production process.
Indian government also promoting GM
In 1991 govt. of India launched the scheme of Eco-mark to increase
consumer awareness in respect of environment friendly products. The
main aim behind the scheme was to show advantages to the customers
behind green products which have less or no harmful environmental
impact.
Objectives of the Study
 To elaborate the meaning and scope of Green Product Marketing in
India.
 To know about the position of green products in India
 To know the Status of sustainable product consumption in India.
 Strategies made by organizations to make awareness in customer’s
modern demands and to encash the same to maximize profits and
sustainability.
 To know how organizations are performing their duties through green
marketing as a part of CSR.
 To know about ethical incentives taken by organization by producing
green and by customers by consumption the green.
Scope and Opportunities of Green Product Marketing in India
 Advancement in Green Awareness/ Environmental Awareness
When people ''go green,'' they are practicing environmental awareness.
The term means exactly what you expect it to being aware of the natural
environment and making choices that benefit rather than hurt the earth.
Eco-friendly products consumption and awareness increased in recent
years in India. We can say that now consumers are setting a trend by using
of organic, environmentally friendly and discussion about ethical
awareness.

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 Leads to Increasing in Consumer-Demand


Indian buying behavior depends on emotions; most of the purchase is
based on emotional buying. As we know that we all Indians directly
touched with our country and if better awareness is done, most of
consumers will opt for green products as it leads to environmental
sustainability. Organizations in India has identified the mood & need of
the consumers and organizations also want to take advantage of consumers
demand for green products which can leads to environment friendly
development and upliftment of sustainability environment and this can
also lead to competition advantage in markets also.
 Green Marketing Meeting Corporate Social Responsibility
CSR is one of the main aim of today’s Indian organizations like SBI,
TATA GROUP, WIPRO, LG INDIA and the list is endless which are
promoting eco-friendly products and doing their duties towards
environments aspects, even society is also benefited for long. They engage
in activates, do third party certification, help environment to be friendly in
larger extent and in this form organizations also discharge their Corporate
Social responsibility.
 Green Products Gives Birth to Competitive Markets in India
Competition is one of the important factors between organizations due to
which consumers can get good quality products in affordable prices. Lack
of competitive markets can lead to monopolist markets. Green awareness
in consumers, organizations leads to competitive markets, whereas
practicing green marketing will encourage to demand and sustainable
environment.
 Initiative Taken By Government
Now a day’s government is also very serious about sustaining the
environment and taking a lot of initiative to launch the activates to save the
environment. Government had also led the foundation to lead green
publicity by promoting and making legislations, policies, rules and
regulations for eco-friendly products.

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 Green Products are Cost Effectiveness and long lasting


Green products are usually made up of Eco-friendly, bio-degradable,
recycled and reused raw material due to most of the time it is cost effective
and even consumers are also willing to pay more. These types of products
are usually long lasting and reusable. Cost is the major factor on which
purchase is dependent and markets relay on these consumptions.
Other than these above mentioned characteristics Green Product
Marketing are long life products, reusable, eco-friendly, sustainable,
social, ethical, future based meaningful marketing. We can say that “green
marketing is an hour for need marketing”.
 Green marketing: Sales-oriented, yet environmentally conscious
Today’s organizations Communicate sustainable production strategies and
environmentally conscious activities, still sales oriented but do think about
environment under CSR.
Some Strategic Process Followed by Organizations to Attain
Ethical Market’s Sustainability
1. Organization opting for Sustainable design
In operation a green product marketing the business should be sustainable.
This green marketing seems to be easy, but many organizations get it
wrong. Green marketing or sustainable marketing is not only relates to
recycling logo or sustainable packaging or planting trees only for profits in
mind, rather it leads to greenwashing. Green marketing really relates to
sustaining the life cycle process in long run like from where the material is
sourced from? What are the tools used to process those raw materials to
finished products and even packaging style should be sustainable.
Sustaining production & operations also include waste generated
management throughout the supply chain and also getting rid of after the
use of that product by consumers.
There’s a lot to be consider while designing sustainable process and to
overcome these problems professionally some tools play important role in
green indicative. Some of the tools are given below:
Life Cycle Assessment (LCA)

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Sustainable Management Systems (SMS)


2. Maintaining the Consistent transparency
The second strategy followed by good organization in green business is to
maintain continuous transparency related to tools used, process,
certifications, policies, and packaging and even after use consequences if
any. Cycle of the processes should be followed maintaining constant
transparency by organizations starting from procurement of raw material,
use of raw material, fair wages to workers, use of percentage of chemicals
etc. it means that the processes should be ethical under sustaining
marketing.
3. Moderate pricing for green products
Today’s buyers are smart enough and knows about what the organizations
are doing to sustain the environment and sustainability also reflect in their
products and brands are also very conscious about this. Green products are
mostly understood to be more expensive as it includes the increased cost
of sustainable design and processes which makes these products slightly
more expensive but in many cases customers are willing to pay more to
sustain environment. Moderate high prices for sustainable environment is
always welcome bye customers but falls impression or misleading
information of the product (greenwashing) leads to switching to alternate
brand or not believing in green products.
4. Use of ethical background for products
Organizations that are providing green sustainable products are usually
provide the proof for their working from time to time and show their
credibility for society and claim the same by customers. The credibility as
a sustainable company can be done by third party certification and even by
endorsements.
Some certifications to consider include:
ISO, BIS, Bureau Veritas (India) Pvt. Ltd.
OneCent International Pvt. Ltd.
Natural Organic Certification Agro Pvt. Ltd.

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FSSAI (food safety and standard authority of India)


Eco-Lables like Hand to Hand, Green Global Certificates etc.
Whereas, endorsements include some expert recommendations, bloggers,
brand ambassadors, organizing ethical conferences, seminars etc. and these
endorsement and certification can be used to encash the market and
customers.
Green Marketing as Corporate Social Responsibility of
Organizations in India
Indian green marketing sector is growing day by day, whereas, many
Indian and international companies are producing green products and
services & also performing part of CSR whose impact is positive. Some
organizations like:
Fabindia
Fabindia is a leading Indian fashion brand which is promoting handmade
and handloom with in introduction in cosmetics, fashion clothing and
furniture. They follow complete eco-friendly production & operations
process without using hazardous chemical to save environment. Whereas,
this brand also encourage eco-friendly plastic less packaging to promote
CSR.
TATA Group of Companies
Tata group is one of the leaders in trend setter in encouraging green
marketing in Indian & International markets. Tata group under their brand
produce products which are ethical for society and adopts green awareness
to make its images. Tata also revealed that they are working since 2010 on
17 CMD i.e. Clean Development Mechanism projects by their products
under tata steel, Tata motors, Tata chemicals and Tata consultancy services
to check harmful emission.
LG India
LG India is one of the promoters of green products in India; they are
producer of electronics appliances & gadgets which are eco-friendly in
nature. They use third party certification like Bureau of energy efficiency

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by government of India. They rarely use mercury, lead or halogen in their


production and operations process.
Samsung India
Samsung India is one of the leaders in manufacturing of LED TV, air
condition and refrigerators in India. They are making efforts in line of
promoting and encouraging green marketing in production of products.
They also claim that products consume 40% less electricity.
Wipro
Wipro is one of the IT giant in India. Wipro is “Green IT” under this they
have launched new eco-friendly “wipro greenware desktop” under Wipro’s
green initiative and also performing part of CSR.
Induslnd Bank
Induslnd Bank was the first to introduce save papers under green initiative.
They introduced paperless banking in their ATM & in their branches and
started sending electronic messages and mails. After that other bank like
SBI, ICICI etc. also followed the same to save environment. Whereas, at
the time of COVID-19 all banks was on digital mode and this helped to
aware customers about paperless banking.
Suggestions
The following below eco-friendly measures can be taken as suggestions
for a Greener society:
 Generation of renewable sources of energy is one of the good steps
taken by our Govt.
 There should be eco-friendly practices with Public awareness
campaigns.
 This is the age of rapid development and the education of these society
development must be given in school and collages level by
introduction of chapter or subject with EVS, activities done by NCC,
NSS cadets and Scouts or Seminars, Competitions etc
 Govt. conformance to environmental legislations (Laws) and strictly
following them.

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 Govt. should take actions regarding recycling wastes and planning


wastage reduction.
 Books can be digitized to reduce paper consumption.
 In factories, at the time of production using if eco-friendly raw
materials and operations methods also leads to eco-friendly sustainable
environment.
Conclusion
The researches have revealed that customers are ready to become green
customers instead of traditional consumer. But the marketers need to
segment the right set of customers than target them with right promotion
mix and position their product or service as green products. Further this
“Ethical Approach” of companies must be reality and not for promotion
only for better implementation. Further the government must take strict
initiatives in order to safe guard the environment in border interest of
mankind and formulate and practice laws which will make safer
environment. Further the king of the market i.e. the customer must
understand that it is their responsibility to develop green patronage and
show their green credence by buying green products and services even at
high prices.
References
1. DeannaPratt, Nov.25, 2019, https://medium.com/better-marketing/4-
ethical-green-marketing-strategies-7a1b38ade31e.
2. Ivey Business Journal, Retrieved from website: http://ivey business
journal.com/publication/corporate-sustainability-what-is-it-and-where-
does-it-come-from/.
3. Suresh, K. 2006, Green Marketing, I edn. ICFAI Publications. pp. 237.
4. Thogersen, I. 2006, Media Attention and the Market for Green
Consumer products, Business Strategy and the Environment, 15, pp.
145-156.
5. Wilson, M. 2003. Corporate Sustainability: What is it and Where Does
it Come From.
6. Polonsky, M. J. 1994, An Introduction to Green Marketing, Electronic
Green Journal, l(2), pp. 1. Retrieved from website: http://escholarship.
org/uc/item/4 9n325b7.

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7. Deshmukh.G.K., Joseph Sanslo'ity and Indurkar. S.K., Jan-June, 2016,


introspection into Green Credence: Theory or Reality, International
Journal of Microfinance, Vol.2 no.1, ISNN: 2229-449X.
8. Dr. Shruti P Maheshwari, Awareness of Green Marketing and its
Influence on Buying Behaviour of Consumers: Special Reference to
Madhya Pradesh, India, February 2014, AIMA Journal of
Management & Research, Volume 8 Issue 1/4, ISSN 0974-497.
9. Mohd. Salman Shamsi, Zainus Salikin Siddiqui, (2017), Green
Product and Consumer Behavior: An Analytical Study, Pertanika J.
Soc. Sci. & Hum. 25 (4): 1545-1554.
10. Abdal Ahmed and Sumera Qureshi, sep. (2019), Green Marketing: A
Door to Sustainable Development, A Journal of Composition Theory,
ISSN: 0731-6755.
11. http://www.ecolabelindex.com/ecolabels/?st=country.in.
12. https://study.com/academy/lesson/environmental-awareness-definipi
tion-history-importance.html.
13. https://www.ionos.com/startupguide/grow-your-business/what-is-
green-marketing/.
14. http://www.legalserviceindia.com/legal/article-1333-green-marketing-
the-way-ahead.html#:~:text=Wipro%20has%20launched%20a%20
new, water%20efficiency%20and%20waste%20management.

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31
Sustaining Brands in the Digital Arena
& Varying Consumer Behaviour
Dr. Neelam Sheoliha1
1
Associate Prof- Management, IMS Noida, Noida.
E-mail Id: [email protected]

Abstract
The market revolution has brought us a new era- “of the digitalisation”
and this era has brought us some new tests and trials that seek to solve the
problems of organization in a better and new way. In the he digital era as
far as branding is concerned, it has brought many benefits to the
organization and it can be enormously a significant marketing tool, but
only when the organization administers to gain a positive relationship
between the brand and consumers and if it hold a relative advantage with
comparison to its adversaries; because, on the other hand, besides all
advantages it brings us, the digital era can set up many traps.
This paper is about the present scenario in the global market and pays our
attention to some segments of business which are important in digital era
for survival and the achievement of an organization.
It presents the existing awareness of consumers and their way of thought
process and buying behaviour. The purpose of this paper is to point out
conceptual frameworks of branding in Internet form, to show how those
frameworks can help marketing planners by organizing and integrating
the existing knowledge in development of successful strategies of branding
on the Internet.
A real example of one of the leading global brands that succeeded to win
the challenges of the digital era will be presented in this paper.
Keywords: digital era, digital marketing, Internet, branding, consumers.
Introduction
Modern business is categorised by everyday changes, that are rapid and
are often unpredictable. With the development of technology, &

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digitization, the initiation of Internet and the changes that came with it,
and is expected to come, is making the market digital. The information is
easily and much more accessible to manufacturers and also to the
consumers, so that they should be used as in the best possible way. Market
Communication is the key hypothesis for any successful business or any
organization. Organizations usually have various ways for communication,
creation to convey a special and perfectly clear message assigned to the
consumer. By the emergence of modern technology and digital era, has
change the attitude and the awareness of consumers which has been
presented in the paper, some consumers are identified with traditional
media, and younger modern generations apply digital media as a method
of informing and shopping. Each type of media proffers some advantages
as well as the constraints in the meaning of creativity.
Today it is not enough to publish the message in different media, it is
necessary to direct the marketing in media on what is important for the
people, with special accent on additional product value.
The Methodology and Discussion
The methodology is based on an analysis of several literary and research
sources and the purpose of this paper is to highlight the importance of
digital marketing and advertising as key to attract consumers.
This paper presents a theoretical research, where the application of
analysis, synthesis and comparison of relevant literature sources and
research, given inclusive thinking on the subject.
Questions that were analysed in this paper are the following:
RQ1: Reviewing of the new-digital age, and the advantages which it is
provided?
RQ2: Comparison of traditional and digital marketing / advantages and
disadvantages?
RQ3: Relationship between the digital age and the consumers?
The answers to these questions created the image of the current situation,
through this paper.

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The New-Digital Age


Contemporary Marketing denotes a business activity which get along with
the production and consumption in such a way so as to satisfy the
necessities of a society and appear on the market as the claim a profitable
way
1. As per one of the definitions of the marketing One of the definitions of
marketing states that it represents the art of finding and keeping the
consumers. Branding contributes to both the goals, especially keeping
the consumer who are more important and valuable. The relationship
between the cost of keeping and the price of the product is much more
favourable than the relationship between the cost of acquiring a new
customer and the same price of the product. The increment of
customer retention, rating by 5%, can increase profitability by 35% to
95% depending on activity
2. In not-so-distant past, the commercial functioned in a simple
way. Brand messages that are brilliantly creative, found their way to
consumers through various forms of media, through television,
newspapers, and sometimes in the form of electronic mail. Consumers
familiar with the brand through these media could choose and
purchase a product or service. Instinct and brand recognition led to the
purchase. Consumers had very little information in order to be able to
make rational decisions. Consumers would compare the products on
the shelves and chose a brand that is adequate for them. Simply put,
marketing is the tool that has served and serves for the transmission of
messages from the organization to the consumer. But it is different
today; consumers have an unlimited amount of information at their
disposal. There is a lot of competition which is strongly deployed in all
market segments, a lot of competitive products and services, sending
messages to the consumer; it has all become a difficult challenge.
Fortunately, the digital age has created new forms of two-way
channels that transmit the message to consumers throughout the
market chaos. This can be represented in a following way (Fig. 1.):

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The New Digital Marketing: Marketing messages must be fragmented and


creatively fed into various digital channels to reach consumers at the
correct moment file [3]
3. The area of distribution for information is unlimited, consumers now
are very much aware about markets. Google connects potential buyers
with the presented online opinion, articles, and reviews. Digital media
channels provide the opportunity to develop deep relationships with
consumers more than has ever before been possible. However, the
digital era is a marketing double-edged sword. The world has become
digitized. More than half of the adult world population spends most of
its waking hours, "connected", using the Internet, mobile phone or
other digital media. We conclude that the social web does not belong
to anyone, and yet, it belongs to everyone. The digital era requires the
change of all without excuses, all leading organizations have initiated
changes within the organization-one part refers to the aspect of
products and solutions it offers, and the other on the issue of its own
organization and the way it provides services to final users. The
digitization is not only the use of the Internet and mobile applications,
it changes the way of work and production, needed jobs, successful
business models, products that the market wants

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4. Often there is no perception that the job market is changing every few
years. It is noted that the requirements of customers and
competitiveness significantly change every few years in industries
such as steel production, telecommunications, healthcare and
entertainment
5. Globalization and technology are the leading drivers through which a
new level of fragility in the global economy is created. The future is no
longer what it once was, the changes are happening so fast that the
ability to accept and adapt to change has become a competitive
advantage; the organization will change or they will perish. On this
basis, it can be concluded that there are three types of companies:
 companies that make things possible,
 which view events from the side,
 those that wonder what happened. Marketing challenges faced by
today's organizations are
 consumers are becoming more sophisticated and price sensitive,
 have no time and seek greater benefits,
 recognize that the equality of products from supplier to supplier is
increasing,
 are less sensitive to manufacturing brand and are increasingly
accepting dealers’ brand and generic products,
 expect a lot from provided service,
 are less loyal to supplier.
All this indicates that organizations are faced with severe challenges trying
to improve their performance on the market. Wise, market-oriented
organizations improve: their own knowledge about customers,
technologies to connect customers and understanding their business
6. Such organizations are urging their customers to participate in creating
products, are available 7 days a week, 24 hours a day by phone or via
email. 
They use technologies such as video conferences, sales automation,
websites and Internet and extranet. Such organizations have adopted and
apply the digital age. A premium will be achieved by organizations that
have invented new ways of creating, communicating and delivering value
to their target market. On this basis, it is concluded that organizations fall
into two types: those that change and those that disappear.

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Table 1.Differences between traditional and Digital Marketing


Traditional Marketing Digital Marketing
A closed system Open system
Not transparent Transparent
Mass communication Communication is one to one Oriented to the
product
Formal communication Informal communication
Paid Free
Oriented to the product Focused on consumer
Focused on consumer
The message is created by In creating messages participating consumers
a professional

In Table 1, we can observe a comparison of traditional and digital


marketing: Traditional marketing is considered to be traditional, because it
contains original and basic methods of marketing and advertising on four
basic ways: through the press, through electronic devices (TV, radio),
through direct mail and by phone. Before the digital era began, those were
the basic ways in which we were given the necessary information about
products and services. Digital marketing is marketing that, with the help of
electronic devices such as computers, smart phones, tablets, and
sometimes even a game consoles, connects stakeholders. So, any type of
device that can be connected to the Internet can participate in digital
marketing. One of the leading methods and ways to interpret the digital
marketing are social networks, which cannot be imagined without digital
marketing today. The benefits to marketing via social networks are
numerous and largely gained at a very low cost. Through social networks,
the company can
7. increase product and brand awareness, increase web traffic, increase
customer loyalty and increase success of new product launches
The Relationship between the Digital Age and the Consumers
Organizations have to accept that they do not know their consumers, not
anymore. All researches and data collecting over the past few years cannot
provide an adequate picture of modern consumers now. The truth is: the
consumer develops much faster than the organization itself. Today's world
is the one in which technology and information flows will allow the

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consumers to always be several steps ahead of the organization. It can be


concluded that organizations today do not know enough about their
customers. Today's consumers’ awareness in the digital age can be
presented (Fig. 2.)

Figure 2.The New Consumer’s Decision Journey: With brand loyalty


diminishing, purchase decisions are increasingly driven by a single
critical moment that is generally influenced by digital channels [3]
We can conclude that the contemporary consumer-digital consumer,
conveys the decision to purchase the brand through one of the three ways:
1. No-loyalty-without the loyalty of consumers who were dissatisfied
with a previous purchase, as if they buy a particular product for the
first time, thoroughly investigate using all available information in
order to make a good decision. In this case also comes to culmination
of digital and traditional marketing channels together into a single
valuable proposal that influences the consumer's decision at the time
of purchase.
2. Blind-Loyalty-due to lack of access to information (or the will to use
the technology) or an absolute loyalty to the brand, consumers will
continue to buy the product of the same brand over and over again
without considering the alternatives. They enter the loop of "blind-
loyalty" and remain there until they feel the disappointed by the
brand. Through genuine quality products, excellent service and a
feeling of complete experience, all brands should seek to focus their
customers this way.
3. Quasi-loyalty-in the digital world, there is an increasing percentage of
consumers who are satisfied with the last purchase of the brand, but it
is possible that under the influence of various factors they taste the

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product of another brand. Just a decade ago, most of these consumers


would probably move into the "blind-loyalty" group and bought the
product of a certain brand without question. 
Today, these consumers often have critical moment right before buying.
By using the wealth of information that are available to them at this time,
consumers will either opt to have the mood to purchase products from the
same brand, or could be affected by one or 379 Slađana Borić et al. more
factors to buy a product of another brand. For "quasi-loyalist" those can be
negative information about the current brand, or positive information
about another brand, which will determine the outcome.
The critical moment, often called the zero moment of truth, the outcome of
this critical moment is defined as: the digital marketing. At the critical
moment, consumers can visit the site via a computer or a mobile phone,
can access a social network such as Facebook and see the experience with
the brand, can be informed about a particular brand, run a search that
reveals the most important news about the brand, and opt for
shopping. Digital marketing can and should be applied, in the traditional
sense to help shape and strengthen and perpetuate the image of the brand.
From marketing point of view, loyal consumers make the major capital of
an organization.
The Examples of Digital Marketing Apply in Company Nike
Nike brand has transformed its marketing strategy by accepting digital
key strategies such as the use of analytics, social engagement and
"storytelling". The problem with which the Nike Company faced with is:
as one of the biggest sports brands in the world, Nike brand has not fought
for display or distraction for some time, simply put, for sometime the
company has lived from its earlier popularity. However, the brand has
noticed that their traditional strategy of advertising has contributed less
and less as the time passed. The largest market for the Nike brand products
represents the group of young people aged 15 to 25 years, who spend 20%
or more on the Nike brand than any other group [9]. But these generations
and buyers, through changing time and consumer awareness, were looking
for the brand that offered constant changes and innovations, not just the
same old thing over and over again. Nike brand understood that the new
approach is needed to win this digital generation of consumers. The
solution was found in the understanding that marketing in the digital age is

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the conversation, not a monologue. Nike brand has reduced the cost of
advertising on television and the press by 40% between 2010 and 2012,
but has increased the total marketing budget to $2.4 billion in 2012 [9],
which is directed as follows; Nike brand has chosen to use a combination
of technological innovations, analytics and social media to win a new
group of digitally educated consumers. Engineers and scientists associated
with prestigious organizations such as MIT and Apple are engaged in
building an exciting new technology and market research. One of their
biggest achievements was the creation of Nike + products in 2010-a device
that allows users to monitor their workout, upload results to the web,
monitor progress and share their achievements and experiences socially. It
is essential that this new community is constantly creating incredible
amounts of data, which Nike brand uses to track consumer behavior in
online communities and created space for the Nike supporters and creates
meaningful relationships between the brand and its consumers. Nike has
moved its Social Media Marketing team in the homes of the consumers.
Results: Nike's new approach-creating various social digital strategy,
which has achieved continuous communication with the customers and
provided data to users, necessary for further successful business of the
company, had great results. It all starts with understanding the business
challenges the brand is faced with. Effective marketing strategy should be
focused on the market; all important decisions must be based on solid
research and data. 380 Analyisis of digital marketing and branding for the
purpose of understanding the consumers in digital age
Conclusion
Every time has its own rules, so that business activities in business and in
life are effective, it is necessary to adapt and accept the rules. In this case
we should accept the rules of the digital age. In order to become powerful,
the brand, to be well-placed on the market, to guarantee the quality and
gain the loyalty of consumers, it is needed a lot of time, a large number of
different experts who will, through the process of creating and launching
the brand in the market, go through a number of different analytical tests.
Today, what helps to isolate a specific brand over its competitors is the
emotional value of the product or “higher value''. Modern consumers are
not satisfied with the basic, default product quality, which is why the
creators of the brand and marketing sector tend to create an adequate
emotional component for a specific brand, and thereby differentiate the

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product in the minds of consumers. It is extremely important at all times to


bear in mind the wishes of consumers and know their attitudes. Without
digital marketing we have nothing to look for in the digital age, neither as
an organization nor as a consumer.
References
1. Rocco, F.: Marketing: osnova i načela, Birotehnika, Centar za dopisno
obrazovanje, Zagreb. (1991).
2. Reichheld, F.F.: The Loyalty Effect: The Hidden Force Behind
Growth, Profits, and Lasting Value. Bain & Company, Boston. (1996).
3. Greenberg, E., Kates, A.: Strategic Digital Marketing: Top Digital
Experts Share the Formula for Tangible Returns on Your Marketing
Investment. McGraw-Hill Education, New York City. (2014).
4. Bačelić, M.: Digitalno doba zahtejva promenu svih bez iznimke.
(2015). Available: http://liderpress.hr/tvrtke-i-trzista/ poslovna-
scena/digitalno-doba-zahtijeva-promjenu-svihbez-iznimke (current
November 2015).
5. Slywotzky, J.A.: Value Migration: How to Think Several Moves Ahead
of Competition. Harvard Business School Press, Boston. (1996).
6. Kotler, Ph.: Kotler on marketing: How to create, win and dominate
markets, Simon and Schuster, New York City. (2012).
7. Tomše, D., Snoj, B.: Marketing Communication on Social Networks-
Solution in the Times of Crisis. Časopis za marketing teoriju i praksu-
Marketing, Vol. 45, No. 2, 131-138. (2014).
8. Sourabh, B,: Social Media Marketing-A powerful and adaptable
approach for achieving and sustaining positive consumer behavior.
International Journal of Software and Web Sciences (IJSWS), Vol. 1,
No. 10, 77-81. (September-November 2014).
9. Vipat, R.: Digital marketing at Nike. (2013). [Online] Available:
http://www.slideshare.net/ojasvipat/final-digital-marketing-at-nike
(current Nove).

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32
To Study Green Marketing and Green
Packaging Products and it’s Effects on
Consumer Buying Approach
Mrs. Namrata Dedhia1
1
Sasmira Institute of Management Studies and Research Center.
E-mail Id: [email protected]

Abstract
In today’s era the importance of “Green” is getting more importance.
Global warming is creating hazardous layer on the earth and its effects on
public is increasing day by day. Pollution from various sources is the
greatest contribution to the global warming. Therefore such issues are
demanding more for new market i.e. Green Marketing. The researcher has
studied green marketing and green packaging products and its effects on
consumers buying approach. The research has collected the data by
asking questionnaire to customers. The researcher has selected simple
random method for selecting respondents and thus conclude the research
buy adding more awareness about green marketing and green packaging
products
Keywords: Green Marketing, Green Packaging Products, Consumer
Approach.
Introduction
From 1980’s the environment is facing issues such as global warming,
green house effects, pollutions and change in climate. The waste from
industries, residential areas, restaurants, malls etc has lead to increase in
environmentalism which has raise the consumer to demand more for green
products. Before this organizations has used the green marketing concepts
as well as trying to develop green products that will help to decrease more
environmental problems. Many organizations are trying to solve issues
which are harmful to the environment and building up the interest towards
consumers. Thus green marketing done by the organizations will help to
meet consumers expectation and will also help to gain competitive

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advantage. The study of green marketing and usage of green packaging


products and its effects on consumers buying approach is being studied in
this research paper.
Green Marketing: Green Marketing is the marketing of those products
and services which are eco-friendly to the environment. Green marketing
is part of the new marketing approaches which do not just refocus, adjust
or enhance existing marketing thinking and practice, but seek to challenge
those approaches and provide a substantially different perspective. In more
detail green marketing belong to the group of approaches which seek to
address the lack of fit between marketing as it is currently practiced and
the ecological and social realities of the wider marketing environment.
Green Products: Green products are the products useful to the
environment. It also helps in building the green marketing strategies to
differ from other competitors. Green products consists of characteristics
such as green process, improves sustainability, recycled content,
recyclable, low toxicity, biodegradable etc. This products are
manufactured without inclusion of any chemicals. The packaging of green
products can be reduce, reuse and recycle and thus cuts down the amount
of wastage to the environment and helps to conserve natural resources.
Consumers Buying Approach: As ecological issues are getting worse,
now adays consumers are more concern with the environment protection
and therefore are demanding more for green lifestyle and this has led to
consumer buying approach. The present scenario delves in understanding
the relationship between environmental concerns and consumer choice
behavior in buying green products. Thus consumer influence for
segmenting different market for supply of green products. The usage of
green products has shown more personal experience with the product
rather than information provided by the market.
Literature Review
Ottman, Stafford & Hartman, 2006: For modifying the business it is
necessary to implement new green product development and this will
result in reduction of costs i.e. operation and production. The different
firms have set up the solar panel technology which in results in
investments on cost benefits.

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Tsai, Chuang, Chao and Chang, 2012: Decreasing negative impacts on


human health and environment shows more concerns for firms to practice
green product development to standardize the product and manage raw
materials.
Ankit and Mayur, 2013: Green advertising on pollution with free
messages attracts consumers attention and helps in enhancing the
knowledge of products and ecological issues.
Ottman, 2011: Firms adopting green marketing has great opportunity to
receive loans and grants from government to set up the technology for the
development of the products.
Halbright & Dunn, 2010: International firms started implementing green
marketing products which results in producing hybrid cars that purposely
aim to balance the demand of the firm’s revenues with the firms
responsibility to reduce the environmental impacts of pollution.
Research Methodology
The researcher will conduct the research from customers point of view.
The main concept behind doing this research is to study green marketing
and green packaging products and its effects on consumers buying
approach. The research is conducted in Lonavala region. There were 50
customers who respondents to the questionnaire.
Sample Area: Lonavala
Sample Population: 50
Data Collection: Questionnaire to Customers
Results and Discussions
From the questionnaire below it shows that 24% are aware about the green
products. The 10% customers comes to know about green products from
magazines, 18% from newspapers,20% media and 2% from other sources.
24% customers have bought green products at home. The 12% customers
buy products based on packaging, 13% on brand and rest 25% buy due to
eco-friendly products. The 38% customers are ready to pay more green
products. 40% customers says green products actually are beneficial for
the environment. 36% customers agree about the advantages to the
environment.28% customers says green products are useful in household

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activities. 30% customers says at any time the green products are available
at all place. 17% customers strongly agree about green marketing is more
effective than regular marketing followed by 4% are agree, 18% are
neutral and 11% customers are happy with the regular marketing.
Conclusions
The researcher hereby, concludes that it is very necessary to create more
awareness about green marekitng and green packaging products. The new
green market shows huge impact on customers mind as it eco-friendly in
nature. As literacy levels is increasing in India the response for Green
concepts is also in flow in the market. Green market and green packaging
products show undergo more promotion activities and should create
awareness in the market. As global warming is increasing rapidly thus the
usage of green concepts should also increase in flow.
References
1. Ankit, G., & Mayur, R. (2013). Green marketing: Impact of green
advertising on consumer purchase intention. Advances in
Management, 6(9), 14-17. Retrieved from http://ezproxy.snhu.edu/
login?url=http://search.proquest.com/docview/1437355962?accounti
d=3783.
2. Halbright, R., & Dunn, M. (2010). Case study: The Toyota Prius.
Retrieved from http://www.maxdunn.com/files/attachments/maxdunn/
PMBA:%20Presidio%20MBA%20Home/Prius_Marketing_Case_St
udy.pdf.
3. Ottman, J. A. (2011). The new rules of green marketing: Strategies,
Tools, and Inspiration for Sustainable Branding. Retrieved from
http://www.greenleaf-publishing.com/content/pdfs/NRoGM_ ch1_2.
pdf.
4. Tsai, M. T., Chuang, L. M., Chao, S. T., & Chang, H. P. (2012). The
effects assessment of firm environmental strategy and customer
environmental conscious on green product development. Environ
Monit Assess, 184, 4435-4447. doi: 10.1007/s10661-011-2275-4.
5. Ottman, J. A., Stafford, E. R., & Hartman, C. L. (2006). Avoiding
green marketing myopia. Environment, 48(5), 22-36, 2. Retrieved
from http://ezproxy.snhu.edu/login?url=http://search.proquest.com/
docview/224016352?accountid=3783.

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Appendixes
Name:-
Age:-
Gender:-
1) Are you aware about green products?
 Yes 
 No 
2) From where do you came to know about green products?
 Magazines 
 Newspapers 
 Media 
 Others 
3) Have you purchase any green products?
 Yes 
 No 
4) From the following qualities what makes you buy a green product?
 Packaging 
 Brand 
 Eco-friendly 
5) Would like to may more for green products?
 Yes 
 No 
6) Do you think green marketing benefits to the environment?
 Yes 
 No 

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7) Have you heard about the advantages of green marketing?


 Yes 
 No 
8) Are green products useful at home?
 Yes 
 No 
9) Are green products available to you at all time?
 Yes 
 No 
10) What do you thing green marketing is more effective than regular
marketing?
 Strongly Agree 
 Agree 
 Neutral 
 Disagree 

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Effectiveness of Digital Marketing
Bhanu Prasad P S1, Harshitha N1, Shruthi S1, Dr. Padma C2
1
B.Com. 1st Year, SSMRV College, Bangalore.
2
Assistant Professor, SSMRV College, Bangalore.
E-mail Id: [email protected], [email protected]
[email protected], [email protected]

Abstract
Digital marketing refers to the marketing of digital media goods or
services, primarily on the Internet, but also including mobile devices,
display ads and every other digital medium. Within this digital age,
marketers are presented with new threats and opportunities. Digital
marketing is the use of electronic media by advertisers to promote the
demand for goods or services. Digital marketing's main goal is to attract
consumers and encourage them to engage through digital media with the
brand. Since the 1990s and 2000s, the rise of digital marketing has
changed the way brands and companies by using technology for
marketing.
This paper focuses on the relevance of digital marketing, elements,
Advantages and digital marketing boost to today’s business. Moreover, it
also describes about Traditional Marketing and Digital Marketing.
Keywords: Digital Marketing, Promotion, Effectiveness, Customer Reach.
Introduction
Digital marketing is one type of marketing that is widely used to promote
products or services and to use digital channels to reach consumers.
Digital marketing, including channels which do not require the use of the
Internet, extends beyond internet marketing. It covers mobile phones (both
SMS and MMS), marketing for social media, display advertising,
marketing for search engines and many other forms of digital marketing.
Both marketing campaigns using an electronic device or the internet
include digital marketing. To communicate with current and prospective
customers, companies exploit digital platforms such as search engines,
social media, email and their websites. This may also be referred to as

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'online marketing' or 'internet marketing'. The use of various digital


techniques describes digital marketing.
Digital marketing refers to the marketing of digital media goods or
services, especially on the Internet but also including cell phones, display
ads and every other digital medium.
Digital marketing approaches such as Search Engine Optimization
(SEO), Search Engine Marketing (SEM), Content Marketing,
influencer marketing, content automation, campaign marketing, data-
driven marketing, e-commerce marketing, social media marketing,
social media optimization, e-mail direct marketing, display ads, e-
books, and optical disks and games are becoming more popular in
advancing technology.
Digital marketing is a broad term that refers to different promotional
techniques deployed using digital technologies to reach customers. In
addition to mobile and conventional TV and radio, digital marketing
embodies a wide variety of service, product and brand marketing strategies
that predominantly utilize the Internet as a central promotional medium.
Canon iMage Gateway enables customers to exchange digital images
A shift of Marketing from Traditional to Digital
Digital marketing growth is inseparable from the development of
technology. Ray Tomlinson sent the first email in 1971, and his
technology set up the network to allow individuals to send and receive
files via various machines.
In the 1980s, storage capacity of computer was already big enough to
store huge volumes of customer information. Companies started
choosing online techniques, such as database marketing, rather than
limited list broker. This kind of databases allowed companies to track
customers' information more effectively, thus transforming relationship
between buyer and seller. However, the manual process was not so
efficient.
Traditional Marketing ver sus Dig ita l Marketing
Traditional marketing is the most recognizable form of marketing. Traditional
marketing is non-digital way used to promote the product or services of business

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entity. On the other hand, digital marketing is the marketing of products or


services using digital channels to reach consumers. Some comparisons are
presented below:
Traditional Marketing Digital Marketing
Traditional marketing includes Digital marketing includes online
print, broadcast, direct mail, and advertising, email marketing, social media,
telephone text messaging, affiliate marketing, search
engine optimization etc.,
No interaction with the audience Interaction with the audience
Results are easy to measure Results are to a great extent easy to
measure
Advertising campaigns are Advertising campaigns are planned over
planned over a long period of short period of time
time
Expensive and time-consuming Reasonably cheap
process
Success of traditional marketing Success of digital marketing strategies
strategies can be celebrated if the can be celebrated if the firm can reach
firm can reach large local audience some specific number of local audience.
One campaign prevails for a long Campaigns can be easily changed with
time ease and innovations can be introduced
within any campaign
Limited reach to the customer Wider reach to the customer because of the
due to limited number of use of various customers technology
customer technology
24/7 year-round exposure is not 24/7 year-round exposure is possible
possible
No ability to go viral Ability to go viral
One way conversation Two ways conversation
Responses can only occur during Response or feedback can occur anytime
work hours

El e m e nts o f Di gi tal Marketing: There are various elements by which


digital marketing is formed. All forms operate through electronic devices. The
most important elements of digital marketing are given below:

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Social Media
One of the most significant digital marketing platforms is social media
marketing today. It is a computer-based tool that enables individuals to
create, share ideas, knowledge and images about the product or services of
the business. Internet users continue to spend more time on social media
channels than any other kind, according to Nielsen. Facebook, Twitter,
LinkedIn and Google+ are social media marketing networks. Companies
may promote product and service events through Facebook, run
promotions that comply with Facebook guidelines, and explore new
opportunities. Via Twitter, companies will increase their brand recognition
and exposure. It is the best method for marketing the goods and services of
companies. Professionals write their profiles on LinkedIn and exchange
information with others. In LinkedIn, the company can establish its profile
so that professionals can view and obtain more information about the
product and services of the company. Google+ is also a social networking
network that is more powerful than Facebook, Twitter and other social
media. Not only is it a simple social media network, but it is also a tool for
authorship that directly connects web content to its owner.
Online advertising
A very significant aspect of digital marketing is online advertising. It is
often referred to as internet advertisement in which the organization may
send a message about goods or services. Internet-based advertising offers
content and commercials that better serve the needs of customers.
Publishers place their goods or services on their websites so that free
information is accessed by customers or users. More productive and
appropriate advertising should be put online by advertisers. The business
manages its budget well by online ads and it has complete control over
time.
Email Marketing
It is known as email marketing when messages about goods or services are
sent to the current or potential customer via email. Direct digital marketing
is used to deliver advertising, create brand and consumer loyalty, build
customer interest, and raise awareness of the brand. Through making easy
use of this aspect of digital marketing, businesses may promote their goods
and services. Compared to ads or other types of media representation, the

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cost is comparatively low. By developing an enticing combination of


graphics, text and links on goods and services, the company will bring
complete attention to the client.
Text Messaging
It is a way of transmitting information from cellular and smart phone
devices about goods and services. Companies may submit information in
the form of text (SMS), photographs, video or audio through the use of
phone devices (MMS). Marketing via cellular SMS (Short Message
Service) became increasingly common in Europe and some parts of Asia
in the early 2000s. Order confirmations can be submitted and updates sent
via text messages. Faster and more substantial results are obtained by
using SMS for promotions. Under this strategy, businesses can send their
clients marketing messages in real-time, at any time, and can be assured
that the message will be seen. Companies may create a questionnaire and
collect valuable consumer input that is important for improving their
goods or products.
Affiliate Marketing
A type of performance-based marketing is affiliate marketing. A company
rewards associates for any visitor or customer they bring by marketing
activities they generate on behalf of the company in this form of
marketing. There are four main players in the industry: the merchant (also
known as "retailer" or "brand"), the network, the publisher (also known as
"affiliate") and the client. In such a complexity, the market has expanded,
leading to the emergence of a secondary level of players, including
affiliate management companies, super affiliates and specialist third-party
suppliers. There are two methods of doing affiliate marketing: a company
can sell others an affiliate program or it can sign up to be an affiliate of
another company.
If the business wishes to drive an affiliate program, then the owner of the
business must pay affiliates a commission fee for each lead or sale they
drive to the website of the company. Here, the key objective of the
organization is to find affiliates that can enter untapped markets. For
instance, since its subscribers are hungry for resources, a business with an
e-zine can become a good affiliate. Therefore, the presentation of one's

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offer via “trusted” company can grab the attention of prospects which
might not have otherwise reached.
Search Engine Optimization (SEO)
SEO (search engine optimization) is the mechanism by which the
popularity of a website or web page in the "natural" or un-paid ("organic")
search results of a search engine is affected. Generally speaking, the earlier
(or higher rated on the search results page) and more often a website
appears in the list of search results, the more visitors. SEO can target
various types of search, such as image search, local search, video search,
academic search, news search, and vertical search engines relevant to the
industry.
Pay Per Click (PPC)
Pay-per-click marketing is a way to produce clicks on your website by
using search engine ads rather than "earning" such clicks organically. For
searchers and advertisers, pay per click is fine. As it brings low cost and
greater interaction with the goods and services, it is the best way for
company advertising.
Advantages digital marketin g b ri ngs to Customers
Digital marketing has altered consumer purchasing behaviour with rapid
technical advances. As seen below, it has provided customers with various
benefits:
Greater engagement
With digital marketing, customers can interact with the different
operations of the business. Consumers can visit the company's website,
read product or service information, make online transactions and provide
feedback.
Stay updated with products or services
Digital marketing technologies make it possible for customers to keep
updated with company information. A number of people can now access
the internet online at any time and businesses actively update details about
their goods or services.

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Clear information about the products or services


Customers get clear knowledge about the goods or services by means of
digital marketing. There is a slight risk of misinterpretation in a retail store
of the details taken from the sales person. The Internet, however, offers
detailed product data on which consumers can rely and make purchasing
decisions.
Easy comparison with others
Many businesses are trying to sell their goods or services using digital
marketing, it is becoming the customer's biggest asset in terms of enabling
consumers to make cost-and-time-friendly comparisons between products
or services from different suppliers. In order to obtain information about
the goods or services, consumers do not need to visit a variety of various
retail outlets.
24/7 Shopping
The internet is open all day long, when consumers want to purchase a
product online, there is no time limit for them.
Share content of the products or services
Digital marketing offers consumers the ability to share with others the
content of the brand or services. You can conveniently move and get
information about the characteristics of the item or services to others
using digital media.
Enables instant purchase
In conventional marketing, clients first look at the advertising and then
locate the right physical store to buy the goods or services. With digital
marketing, however, consumers can immediately buy goods or
services.
Digital Marketing-a boost to today’s businesses:
Regardless of what the business sells, digital marketing also means
building up people from the customer to recognize the needs of your
customers and create useful online material.

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B2B Digital Marketing


Digital marketing activities are likely to be based on online lead generation
if the organization is business-to-business (B2B), with the ultimate aim
being to talk to a salesperson. Your marketing strategy's job is to attract
and convert the highest quality leads through your website and support
digital platforms for salespeople. You would possibly want to concentrate
on business-focus efforts outside the website. we would possibly want to
concentrate efforts beyond the website on business-focused platforms such
as LinkedIn, where your population spends their time online.
B2C Digital Marketing
Depending on the price point of goods, if the business is business-to-
consumer (B2C), the aim of digital marketing efforts is to draw people to
the website and make them become consumers without ever having to talk
to salespeople. For that reason, from the moment someone lands on your
website, to the moment they make a purchase, you are probably less likely
to concentrate on 'leads' in their typical context and more likely to
concentrate on creating an accelerated buyer's path. This would also mean
that your product features are higher in the marketing funnel than for a
B2B company in your content, and you will need to use stronger calls-to-
action (CTAs). For B2C businesses, channels such as Instagram and
Pinterest are more useful than LinkedIn business-focused platforms.
Concluding Remarks and Proposal
The digital marketing platform has become an important part of the
strategy of many businesses. Even for small business owners, there is now
a very affordable and easy way to advertise their goods or services. There
are no borders on digital marketing. Any devices such as smartphones,
tablets, computers, televisions, game consoles, digital billboards and social
media, SEO (search engine optimisation) videos, content, e-mail and lot more to
promote company itself and its products and services. may be used by the
organization. Digital marketing may succeed more if it considers user needs as a
top priority. Just like “Rome was not built in a day,” so, digital marketing results
won’t also come without attempt, without trial (and error). The watchwords
“test, learn and evolve” should be at the heart of all digital marketing
initiatives. Companies should create innovative customer experiences and

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specific strategies for media to identify the best path for driving up digital
marketing performance.
To conclude, digital marketing has a promising future with all its pros and
cons for the long-term survival of the goods or services in the current
technological market.

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34
Socially Sustainable: Exploring Green Tourist
Behaviour Promotion through Social Media
Shruti Gulati1
1
PhD Scholar, Department of Commerce,
Delhi School of Economics, University of Delhi.
E-mail Id: [email protected]

Abstract
Social media is one of the most powerful inventions of today’s time and
era. It has the ability to transform consumer’s behaviours and attitude
towards a healthier, sustainable and an overall better economy.
Sustainability is the need of the hour, since resources are scarce which
makes them precious and require a rational usage. Green tourist
behaviour is a move which is welcomed globally and has several
international organisations promoting and backing the revolutionary
movement. An attempt has been made to study if social media which has
successfully become a part of everyone’s life, can rather help in inducing
the much-needed cultural change and an awakening towards
sustainability. Thus, taking basis of the Social Impact theory and AIDA
model, a conceptual framework has been proposed and empirically tested
on Indian tourist using PLS SEM in this exploratory study of the tourist
behaviour.
Keywords: Sustainability, tourist, user generated content (UGC),
destination, promotion, PLS-SEM.
Introduction
“We are living on this planet as if we had another one to go to.”
-Terry Swearingen
Very often we hear about global warming and the rising temperatures, the
depleting forests and the wildfires, natural calamities and disastrous mis-
happenings the roots of which is the ignorance of ‘sustainability’.
Sustainability is dire need in today’s time. The awakening for it is
inexistent or unknown is still a question to ponder deep over considering

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how conveniently it is turned a blind eye to. In the era of social media,
there is an ease to inculcate any change through mass audiences and
minimal efforts. The relevance of social media advertising in tourism has
been previously been noted due to the ‘information intensive’ nature of the
industry, thus social media promotion helps in information dissemination
to tourists. (Hays et al., 2011)
While many studies have studied the impact of social media on tourist
behaviour such as Milano et al. (2011), Peasonen (2011), Hays (2013),
very few studies have studied the impact of social media on sustainable
tourism. This study seeks to fill this gap by proposing a conceptual
framework on how social media can be used to promote green tourist
behaviour and later empirically testing the impact of social media
promotion in generating sustainable demand.
This study aims to answer the following research questions:
What is green tourist behaviour?
Can social media be used for promoting green tourist behaviour?
Theoretical Background
Environmental Sustainability
UNEP and UNWTO (2005) have defined environmental sustainability as
“Make optimal use of environmental resources that constitute a key
element in tourism development, maintaining essential ecological
processes and helping to conserve natural heritage and biodiversity.”
Tourism
"Tourism comprises the activities of persons traveling to and staying in
places outside their usual environment for not more than one consecutive
year for leisure, business and other purposes." (UNWTO, 2017).
Sustainable Tourism
World tourism organisation has defined sustainable tourism as ‘‘tourism
that meets the needs of present tourists and host regions while protecting
and enhancing opportunities for the future’’ (WTO, 2000). Sustainability
is considered as the principle for economic development the essence of

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which is that it does not trade off human and ecological advancement.
Ideas such as futurity, equity and holism have found their space in the
sustainability concepts. (Pekkola et al., 2000)
Green Tourist Behaviour
Green tourist is a person who is travelling outside his place of residence
for travel or leisure or business but has concern for the environment and its
resources. Two prominent studies have been a breakthrough for
understanding the Green Tourist Behaviour i.e. Swarbrooke and Horner’s
(2007) and Miller’s (2003) where the propounded that Green behaviour
can be determined by three major factors i.e. information obtained from
various media channels and pressure groups, the disposable income and
employment. Social media tends to focus on the information aspect. The
areas of concern of a green tourist are shown in figure 1.
Social Media
Social media can be defined as “a group of Internet-based applications that
allow the creation and exchange of User Generated Content” (Kaplan &
Haenlein, 2010). Social media is a common platform for common people
with common interests, where people interact on without constraints of
time and place (Weber, 2009).
“Social media is the media people use to be social.”
-Safko (2010)
Social media marketing refers to the process that allows and empowers
firms and individuals to promote their products and services through social
media channels and reach mass audiences and thus tap communities that
may not be reached through traditional media channels (Weinberg, 2009)
Research Methodology
A sample of 250 Indian tourists was collected through a self constructed
questionnaire. All the variables were measured using a 5-point Likert scale
where 1 meant “strongly disagree” and 5 meant “strongly agree”. The
questions were self-constructed through an in-depth literature analysis and
thus taking into account research gaps of the existing literature. PLS-SEM
Path Modelling using Path coefficients has been used to test the

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hypothesised relationships. SmartPLS Professional Software v3.3.2


(Ringle, Wende, & Becker, 2015) has been used for data analysis.
Framework for Promoting Green Tourist Behaviour using Social
Media
For the purpose of this study, two fundamental theories have been kept as
a basis of the conceptual framework that is proposed and tested
empirically. These are:
The AIDA Model
Widely used in advertising, the AIDA model includes 4 major stages
(Michaelson & Stacks, 2011) i.e. awareness, interest, desire and action
(Lewis, 1989). Started as a theory aimed at the products industry, soon
AIDA model founds its utility in service industry such as tourism (Rawal,
2013).

Awareness Interest Desire Action

Figure 1.AIDA Model


The Social Information Processing Theory & Tourist behaviour
Developed in 1992, by Joseph Walther this theory discusses the relevance
of relationships in a computer mediated environment such as chats via
instant messaging, emails, texts etc. for not so traditional face to face
communication. This theory elaborates how social media helps in
processing interpersonal influence. The basic premise on which this is
build is that “meaning is socially constructed, and social environments
offers an important source of information and cues about individual’s
behaviour and perceptions”. (Tham et al., 2013).

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Proposed Model

Figure 2.Conceptual Model to promote green


tourist behaviour through social media
Hypotheses
 H1: Social media promotion activities positively impact awareness
about sustainability
 H2: Social media promotion positively influences building a connect
among green tourists
 H3: Awareness about sustainability positively influences building a
connect among green tourists
 H4: Awareness about sustainability positively impacts sustainable
demand generation
 H5: Connecting green tourists positively impacts sustainable demand
generation
 H6: Social media promotion positively impacts sustainable demand
generation
Results and Analysis
Structural Equation Modelling
The technique used for studying the hypothesised relationships is PLS-
SEM, as the study is exploratory and the model is just identified which
makes it a suitable technique (Hair et al., 2017). As per the two-step
approach (Anderson & Gerbing, 1988) for PLS SEM, the results of the
structural equation modelling are:

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Figure 3.Measurement Model Results


SD1 was the only item that was eliminated. AVE, CR, HTMT and
Cronbach alpha were all satisfactory as per threshold (Hair et al., 2011;
Chin, 2010; Henseler, 2015: Hair et al., 2017).
To start with collinearity was assessed of all the indicators of the
constructs and found satisfactory (Hair et al., 2014), Bca Bootstrap of
5000 samples is shown below:
Table 1.Hypothesis Summary
Hypothesis Path Path T P Decision
coefficient value value
H1 Promotion  0.453 2.864 0.004* Supported
Awareness
H2 Awareness  0.559 3.371 0.001* Supported
Connect
H3 Promotion  0.084 0.239 0.812 Not
Connect Supported
H4 Awareness  0.276 2.149 0.032* Supported
Sustainable
Demand
H5 Connect  0.116 0.720 0.471 Not
Sustainable Supported
Demand
H6 Promotion  0.36 2.058 0.040* Supported
Sustainable
Demand
*Significant at 5% level of significance

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To check the model fit, the predictive power is checked in PLS SEM and
values above the value of 0 are considered relevant for a new or just
discovered model (Hair et al., 2017; Chin 2010). R2 values indicate that the
endogenous latent constructs can predict moderately the exogenous
variables. The blindfolding Q2 show are above 0, hence endogenous latent
constructs can significantly and moderately predict the exogenous
variables (Chin, 2010).
Table 2.Predictive relevance
R2 Q2
Connect 0.38 0.102
Sustainable Demand 0.342 0.212

Discussion
While the concern for Sustainability has been a talked about area since
1980s (WCED), the advent of social media in marketing mix is fairly new.
The empirical results show that an Indian tourist gains awareness about
sustainable tourism through social media promotion activities and may
eventually demand sustainable tourism product and thus indulge in green
tourist behaviour. It is due to the transparency that media has now attained
through social media channels that prompts this sustainably aware
behaviour where questions can be asked and doubts clarified (Carter and
Rogers, 2008). At the same it can be seen that as much as social media
channels connect people, promotion activities may not actually help the
same. Only social platforms such as PlanetA can actually help through
collaborations etc. for promotion and demand generation. In tandem with
previous research, media dependency indeed positively affects purchase
intentions (Bigné-Alcañiz et al., 2008; Patwardhan & Yang, 2003). Social
media has indeed been instrumental in information dissemination which is
a vital aspect of adoption of green tourist behaviour and thus in lines with
the revolutionary studies by Swarbrooke and Horner’s (2007) and Miller’s
(2003). The conceptual framework proposed which is on lines of AIDA
model thus can be said to be effectively making a mark on tourists in terms
of building a connection and thus motivating them towards a sustainable
demand, this is in lines with previous studies indicating that consumer
behaviour about sustainability is shaped through internet when companies
share their sustainability initiatives (Thurau & Walsh, 2003; Men & Tsai,
2012; Reilly & Weirup, 2010).

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Conclusion, Limitation & Scope of Future Study


This study takes into account the informational aspect of sustainable
behaviour, the other two aspects commonly worked upon (Swarbrooke and
Horner, 2007; Miller’s 2003) of income and employment have been kept
out of the study and thus not included as apart of demographics. This study
draws implications based on the behaviour of Indian tourists and thus the
generalisation to other countries may not be as accurate as Indians differ
culturally from the world at large. Thus, it is suggested that academicians,
researchers can take forward the proposed model and make a cross cultural
comparison amongst tourists of various countries. Also, it is suggested that
the suggested model can be tested for consumption of sustainable products
for a meaningful comparison of adoption of sustainable behaviour for
products and service and to note if they vary.
References
1. Ayeh, J.K. (2015). Travellers’ acceptance of consumer-generated
media: An integrated model of technology acceptance and source
credibility theories. Computers in Human Behavior, 48, 173-180.
2. Berscheid, E., Snyder, M., & Omoto, A.M. (1989). The relationship
closeness inventory: Assessing the closeness of interpersonal
relationships. Journal of Personality and Social Psychology, 57,
792807.
3. Buhalis, D. (1998). Strategic use of information technologies in the
tourism industry. Tourism Management, 19(5), 409421.
4. Bustam, T. D., Buta, N., & Stein, T. V. (2012). The role of
certification in international ecotourism operators’ internet promotion
of education. Journal of Ecotourism, 11(2), 85-Cantallops, A. S., &
Salvi, F. (2014). New consumer behavior: A review of research on
eWOM and hotels. International Journal of Hospitality Management,
36, 41-51.
5. Carrigan, M., & Attalla, A. (2001). The Myth of the Ethical Consumer
-- Do Ethics Matter in Purchase Behaviour? Journal of Consumer
Marketing, 18(7), 560-577.
6. Cheng, M., Wong, I. A., Wearing, S., & McDonald, M.
(2017).Ecotourism social media initiatives in China. Journal of
Sustainable Tourism, 25(3), 416-432.

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7. Hays, S.; Page, S.J.; Buhalis, D. Social media as a destination


marketing tool: Its use by national tourism organisations. Current
Issues Tourism. 2013, 16, 211-239.
8. Law, R., Qi, S., & Buhalis, D. (2010). Progress in tourism
management: A review of website evaluation in tourism research.
Tourism Management, 31(3), 297313.
9. Lemelin, H., Dawson, J., & Stewart, E.J. (Eds.). (2013). Last chance
tourism: Adapting tourism opportunities in a changing world.
Abingdon: Routledge.
10. Leung, D., Law, R., Van Hoof, H., & Buhalis, D. (2013). Social media
in tourism and hospitality: A literature review. Journal of Travel &
Tourism Marketing, 30(12), 3-22.
11. Liburd, J.J. (2005). Sustainable tourism and innovation in mobile
tourism services. Tourism Review International, 9(1), 107-118.
12. Reis, H.T., Clark, M.S., & Holmes, J.G. (2004). Perceived partner
responsiveness as an organizing construct in the study of intimacy and
closeness. In D.J. Mashek & A.P. Aron (Eds.), Handbook of closeness
and intimacy (pp. 201225).
13. Robinson, M., You, Y., & Pekkola, S. (2000, 12). From information to
conversation. ACM SIGGROUP Bulletin, 21(3), 63-66. doi: 10.1145/
605647.605658
14. Scott, M.M., & Frew, A.J. (2013). Exploring the role of in-trip
applications for sustainable tourism: Expert perspectives. In Gretzel,
U., Law, R. & Fuchs, M. (Eds), Information and Communication
Technologies in Tourism 2010 (pp. 3646). Berlin: Springer.
15. Swarbrooke, J & S. Horner, (2007), Consumer Behaviour in Tourism,
Publisher London; Burlington, MA: Butterworth-Heinemann, 2nd
edition.
16. UNWTO Home Page. Available online: https://www.unwto.org/
sustainable-development.
17. WCED. Our common future; Oxford University Press: New York,
NY, USA, 1987.

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35
A Study on Consumer Purchase Behaviour
Towards Green Products in Ecotourism
Ms. Roshni Saikia1
1
The Assam Royal Global University.
E-mail Id: [email protected]

Abstract
The growth of ecologically favorable consumer behavior is increasing due
to the present environmental degradation. The focus of consumers has
shifted towards environmental protection. Hence the in-depth study on
green purchasing behavior and their attitude towards green products is of
crucial importance today. This study aims to investigate the role of
consumer behavior towards green products ecotourism. It also aims to
determine the examine the significance of awareness level of on consumer
buying behavior. It was hypothesized that there is a significant relation
between perception level and consumer buying behavior. An exploratory
survey was conducted through physical and online survey to determine
what eco-tourists feel while looking for eco products to buy. Results
revealed that participants significantly experience dissatisfaction while
buying eco-products in select destinations as it was felt that there exists
eco-selling without much emphasis on the ethics behind green marketing.
This study provided information on the importance of incorporating
ecological attributes to the design of consumer products. As of now, not all
companies offer eco-friendly products because it is not known if
consumers are willing to pay more for the “environment friendly”
attribute. This study hopes to shift the paradigm of companies as it will try
to establish the functional attributes along with product attributes related
to the environment. If an ethic based orientation can be managed, then
conservation and ecotourism can be sustainable as well as compatible in
nature.
Keywords: Consumer behaviour, Green products, Ecotourism, Eco-sell,
Sustainability.

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Introduction
Sustainability issues, green brands, and environmental consciousness are
on the rise in emerging economies. Government and consumers are
becoming conscious of environment related problems. In the past few
years ecotourism has become a trending word to sell a variety of products.
In some ways this resembles the tendency of manufacturers to label
numerous products as green or eco- friendly. There has been an increase in
the environmental awareness of consumers, which has also resulted in the
rise in demand for green products. This an observation which many
companies have taken advantage of by producing green products and
services (Chan,1999 ;Ottman 1992;Peattie & Ratnayaka 1992 ; Salzman
1991; Vandermerwe & Oliff ,1990) The concept of green products is
becoming more popular with the aspect of cosmetic and food items.
Marketers are keen to sell organic products with increasing awareness of
issues such as the environment, naturopathy, and the green world (Rana,
2012). Recently, studies on consumers’ environment-friendly behavior and
attitudes towards green products have gained prominence in emerging
economies. However the problem is that consumers do not know what
they are getting, nor its impact on the environment, and do not know how
the product differed from others, if, indeed, there was any difference.
There is no question that green sells. Green products are considered to be
more attractive in today’s market ( Juwaheer, Pudaruth and Noyaux 2012).
It is estimated at over $200 billion in 2006 (Gupta & Ogden 2009). There
are many studies that have discussed the role of personal and social factors
on green buying behavior (Khare, 2015). Green products can be stated as
having less of an impact on the environment and are less damaging to
human health than conventional products, and hence are also called
sustainable or environmentally friendly products. This reduces the usage
of conventional products. Conventional products are manufactured
conventionally. Knowledge and awareness about green products play a
very vital role in enabling the customers to use them. But this awareness
and knowledge do not exist holistically throughout all the spheres of the
society, thus restricting the usage of the green products.
Over the last decade, consumer consumption of goods and services has
increased tremendously across the world, leading to the depletion of
natural resources and severe damage to the environment (Rahman, 2015).
J. Polonsky (1994) defines green marketing as the activities designed to

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generate and facilitate any exchanges occurred to satisfy human needs or


wants, such that the satisfaction of these needs and wants occurs, with a
minimal negative impact on the natural environment. The greening of the
market must not be taken as a kind of fad, or fashionable interest in
environmental interests; (Lane 1990). There is emerging opposition to
irresponsible environmental behavior, and the marketplace is advocating
environmental sensitivity-a walk lightly approach to our travels on this
earth. In tourism terms there is considerable collective power resting
within the hands of the individual tourist, regarding the impact on the
places visited, the nature of the tour operation, and the attitudes which
tourists bring with them on return home (Salazar et al. 1991; Grotta 1990).
The research carried out in other research papers used the Theory of
Planned Behavior (TPB) model or its extended version with one or two
antecedences to understand consumers’ purchase behavior towards green
products. While detailed previous literature study found that green
awareness, perceived value, green trust, willingness to pay a premium
price, behavioral belief, normative belief, and control belief are the major
antecedents of the TPB model to understand the consumers’ purchase
behavior towards green products but none of the studies carried out with
integrating effect of all these variables on determining green buying
behavior which will be explored by this research. Thus, this paper seeks to
develop a framework for predicting consumers purchasing behavior
towards green products in ecotourism would be a valuable contribution to
the existing body of knowledge in the area of green marketing. The
marketers often exploit growing consumer interest in "green" products,
through "eco-sell. Therefore the collective interests of this marketplace
have the potential to be constructively used or abused.
Review of literature
Kamal Manaktola and Vinnie Jauhari (2007), seeks to explore the factors
which influence the consumer attitude and behavior towards green
practices in the lodging industry in India and also to explore the
consumers’ intentions to pay for these practices. The researcher has done
the factor analysis to assess the expectations of the consumers on the use
of green practices in the lodging industry. The findings imply that a firm’s
visible subscription to ISO 9000 or environmental partnership and training
imparted to employees influenced consumers to stay in an environmentally

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friendly hotel. The factor analysis about awareness on environmental


factor indicates that positive disposition towards environment positively
influence all the components of environmental consciousness such as
energy efficiency and conservation, solid waste minimization, purchase
local products, water conservation, and environmental purchasing. The
results indicate that there is a significant relationship between consumer
attitude and behavior towards green practices in the hotel industry.
A study by Arpita Khare (2015), examined the influence of past
environmental attitudes, social and personal environmental norms, social
influence, and green self-identity on Indian consumers’ green buying
behavior. The findings add to the existing literature on green buying
behavior in the emerging markets. Three factors were found to be relevant
in predicting consumers’ green buying behavior. They were related to
group conformance, self-identity, and past buying behavior. Consumers’
self-identification with environment-friendly traits was a major predictor
of green buying behavior. It was also found that there was no moderating
influence of demographic variables on any of the factors in predicting
green buying behavior. Social environmental norms and personal norms
did not influence consumers’ green buying behavior.
A study by Yatish Joshia, Zillur Rahman (2015), tried to identify various
prevalent motives, facilitators, and barriers affecting purchase decision-
making towards green products. The findings showed numerous factors
that affect consumers’ green purchase behavior. Consumers’ high concern
for environmental and social issues and the functional and green attributes
of products are the two major sets of motives that drive their green
purchase behavior. Consumers’ concern and sense of responsibility
towards environmental and social issues were found to have a positive
impact on their buying behavior.
Prashant Kumar and Bhimrao M. Ghodeswar (2015), indicate that Indian
consumers care about the environment which is exhibited in their green
product purchase decisions. They are concerned with environmental
protection issues, realize their responsibilities towards environmental
protection, believe in the existence of environmental problems and their
solutions at individual levels, extensively search for product-related
environmental information and make environmentally friendly purchase
decisions. The important factors affecting green product purchase

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decisions are supporting environmental protection, drive for environmental


responsibility, green product experience, environmental friendliness of
companies, and social appeal.
Rambalak Yadav, Govind S. Pathak (2017), supported the role of TPB
variables in determining the consumers' intention and behavior towards
green products. Perceived value was reported to have a significant positive
influence on the consumer green purchase intention. Willingness to pay
the premium (WPP) was not reported to have any significant impact on
consumer's green purchase intention. This may be because the price is still
an issue for Indian consumers as they are price sensitive.
Objective of the study
1. To examine the significance of awareness level on consumer buying
behavior.
2. To study the satisfaction level of consumers regarding the usage of
green products in eco destinations.
Research Methodology
A descriptive research study has been conducted. The data was collected
by distributing the structured questionnaire to different groups of
consumers in selected eco-destinations of Kamrup district , Assam. The
resulting sample size is 81 respondents out of a total of 100 respondents.
The Cochran's formula (1963:75) for calculating the sample for
proportions has been used.
A total of 100 questionnaires were distributed as the target population for
this study, desiring a 95% confidence level and 5% precision. The
questionnaire was divided into nine sections. The first section addressed
the demographic characteristics of the respondents and each question from
section second to sixth addressed an objective of the study using the
statement-based questionnaire and providing options on the Likert scale.
The seventh question focuses on the level of satisfaction of the
respondents and sections eight and nine are the open-ended questions
where the respondents are asked to express their views. The overall
reliability score is 0.939 which exceeds the recommended Cronbach’s
alpha value of 0.700. This indicates a high degree of acceptable, consistent
scoring for the various sections of the research. Participants were told

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about the aim of this research and that the results can be shown to
interested parties. Ethical standards were greatly observed in this study.
Discussion
The results revealed that the majority of respondents have an average level
of awareness about green products in select destinations of Assam. Some
of the respondents were aware of green products whereas the majority of
middle-aged respondents have a significantly low level of awareness about
green products. It was found that the majority of respondents believe that
deterioration of the environment is a serious issue and green products can
contribute to saving the environment. The majority of respondents
supported the offered green products must be priced at low rates .
Consumers prefer green products over non-green products but due to the
high price of the products, some find it difficult to cope up with their
needs.
It was found that there is no significant relation between attitude towards
green products and the buying behavior of the consumers which depicts
that attitude does not play an important role in influencing the buying
behavior. Consumers tend to buy products that are favorable and fulfill
their needs.
As we can observe that the p-value (.000) is less than the alpha value
(0.05). It was inferred that there is a significant relation between awareness
level about green products and consumer buying behavior . However, It
was seen that most products are mostly unrelated to ecotourism, still the
green label is used to sell them. People with less awareness level about the
true nature of green products were often misguided through eco-selling.
Suggestions
 Marketers need to attain comprehensive knowledge about issues
related to green products and how consumers perceive it. Most of the
consumers are not well aware of the green products and marketers
must promote their products with more emphasis on the ethics,
according to consumer needs and need to frame proper policies and
strategies related to segmentation and positioning. It is suggested that
marketers should identify the demographic variables that acts as key
factors which shape the green consumer profile.

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 The majority of respondents feel that premium pricing of green


products is a mere wastage of money and it is used by marketers to
capture most of the market. They feel that the health benefit claims
and environment claims of the green products are usually exaggerated.
As consumers are now much aware of the terms like green products,
green marketing, green initiatives, green business, green values, etc.
and they feel that companies are claiming more and performing less.
Hence it leaves a word of caution for the marketers to pursue the green
marketing strategies carefully so that they can convince and not
confuse.
 The findings imply that consumers prefer a green product with not
only the green attributes but with favourable functional attributes. So,
marketers should not only focus on the green characteristics of the
product but also on functional attributes. Companies need to introduce
innovative products and eco -services that combine green and
functional attributes. Further, marketers can run campaigns to promote
public awareness of eco-labels, inform citizens about the meaning and
availability of the eco-labels, and the benefits of using green products
without emphasizing on just ‘eco-selling’.
 Assam needs to raise the awareness level of consumers. The price of
green products and availability is also main issue as people find green
products are exaggerated in terms of pricing. Companies should offer
affordable products available in the eco-destinations. Another
significant implication of this study is that consumers will purchase
green products if they are available at convenient locations and in
variety to attract consumers.
Conclusion
As we all know that there are numerous stakeholders involved in
ecotourism having different perspectives and values. Their marketing
activities may be sometimes exploitative of the environment reserve
through eco-sell, or can also overlook the current market by their
operation’s commitment to ecologically ethical activities. Therefore it was
realized that there is a necessity for a proper balance to exist between
conservation and profit-making perspectives. Acceptance of a strategic and
pro active approach provides a good response to confront ecotourism by
incorporating the positive values and principles into both the product and
the marketing activities.

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This will in turn increase trust, demand for, and satisfaction for the
products among the consumers. Further, it will also conserve the resources
on which the products are based , which in turn will raise the sustainability
of both the resource base and in general, the ecotourism industry. The
influence of affective variables such as specific emotions (guilt,
generativity) and role of promotion advertising was not studied in this
research and future research may explore these variables. Future studies
require to cater to the role of various other variables like trust, values,
indulgence which might act as moderators or mediators to the basic
constructs of green marketing and ethical consumerism.
References
1. Agyeman, C. M. (2014). Consumers' buying behavior towards green
products: An exploratory study. International Journal of Management
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2. Barman, A. (2008). Consumers’ Willingness to be Environmentally
Friendly (CWEF). International Journal of Management Science, 4(1),
51-65.
3. Bukhari, S. S. (2011). Green Marketing and its impact on consumer
behavior. European Journal of Business and Management, 3(4), 375-
383.

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4. Chan, K. (1999). Market segmentation of green consumers in Hong


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6. Grotta, S. (1991). "The Ecotounst as Ambassador." Ecotourism and
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7. Ghodeswar, P. K. (2015). Factors affecting consumers’ green product
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347.
8. Ibáñez, P. H. (2012). Consumer attitude and purchase intention toward
green energy brands: The roles of psychological benefits and
environmental concern. Journal of Business Research, 65, 1254-1263.
9. Jauhari, K. M. (2007). Exploring consumer attitude and behavior
towards green practices in the lodging industry in India. International
Journal of Contemporary Hospitality Management, 19(5), 364-377.
10. Juwaheer, T., Pudaruth, S., & Noyaux, M. (2012).Analysing the
impact of green marketing strategies on consumer purchasing patterns
in Mauritius.World Journal of Entrepreneurship, Management and
Sustainable Development, 8(1), 36-59.
11. Kant, D. J. (2018). Green purchasing behavior: A conceptual
framework and empirical investigation of Indian consumers. Journal
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consumers in an emerging economy. Indian Institute of Management-
Rohtak, 33(3), 309-329.
13. Mahapatra, D. S. (2013). A study on consumer’s perception of green
products: An empirical study from India. International Journal of
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Environmental Concern and Environmental Attitude on Purchase
Intention towards Green Products: A Case Study of Young Consumers
in Thailand. International Journal of Business Marketing and
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15. Mishal, A., Dubey, R., Gupta, O. K., & Luo, Z. (2017). Dynamics of
environmental consciousness and green purchase behavior: an

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empirical study. International Journal of Climate Change Strategies


and Management, 9(5), 682-706.
16. Pathak, R. Y. (2017). Determinants of Consumers' Green Purchase
Behavior in a Developing Nation: Applying and Extending the Theory
of Planned Behavior. Ecological Economics, 134, 114-122.
17. R, J. (2016). A study on the green purchasing behavior of young
consumers in Mettupalayam (Coimbatore District). International
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Research, 31(3), 3-9.

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36
Probing Into the Influence of ‘Green’ Brand
Personality on the Purchase Dynamics of
Consumers: An Empirical Analysis
Shaunak Roy1, Dr. Shivaji Banerjee2
1
Assistant Professor, Faculty of Management, Department of Commerce and
Management Studies, St. Xavier’s College (Autonomous), Kolkata, India.
2
Assistant Professor and Former Head, Faculty of Management, Department of
Commerce, St. Xavier’s College (Autonomous), Kolkata, India.
E-mail Id: [email protected], [email protected]

Abstract
Green brands are increasingly becoming popular in India as an effective
alternative to those brands that consume more energy and exhaust more
natural resources. Yet, limited attention has been given to understand why
users of green products associate themselves with green brands in India.
The current study thus, endeavours to probe into the perceptions and
attitudinal dimensions of respondents dwelling in various metro cities
towards the personality of by several green brands. Consequently, it aims
to examine whether such personality dimensions have any significant
impact on the purchase intentions of consumers towards such brands, and
whether it affects active customer engagement and generates customer
loyalty in the long haul. Consumers tend to perceive green brands in a
manner that bears a robust relationship with ecological preservation as
well as sustainable business undertakings. To this end, a sample of 341
participants from India were interviewed, to offer their views with regard
to their purchase intentions, engagement levels as well as loyalty levels
towards green product offerings. The study revealed that all the three
hypotheses, namely the impact of green brand personality dimensions on
consumer purchase intentions, active customer engagement and consumer
loyalty, have been validated through the path analysis conducted as part
of the structural equation modelling procedure. It can be concluded that
the dimensions of brand personality have a significant impact on
consumer purchase intentions, active customer engagement as well as
customer loyalty. The study proffers pertinent implications for brand

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managers of green products and services, while offering pragmatic


research insinuations and insights for green business practices.
Keywords: green marketing; eco-friendly; green purchase behaviour;
customer purchase intention; active customer engagement; consumer
loyalty.
Introductory Observations
Over the course of the preceding decades, several corporates have
comprehended the need to adopt green business practices in light of the
perennial vicissitudes in the global environmental conditions, and the
challenges emanating therefrom. This has triggered the pressing need to
innovate and develop a new category of product offerings called ‘green
products.’ Green brands happen to be those brands that are bracketed
together by consumers with environmental conservation and sustainable
business practices. They may belong to any product category as such, be it
automobiles, consumer durables, FMCG, technology, or even the service
sector, such as hospitality, healthcare, etc. Such brands appeal to
consumers who are environmentally conscientious and appreciative of
their need to safeguard the environment. A green brand can add sui generis
selling point to a product and can ameliorate the corporate image. Over the
past few decades, a significant amount of research has been undertaken for
the delineation, estimation, and comprehension of the antecedents and
corresponding upshots of building robust brands (D. A. Aaker and Biel
2013). Much like human beings, green brands also tend to have the
personalities that define them and assist in positioning themselves
uniquely in the minds of their target consumers, thereby gaining valued
competitive advantage. Brand personality, as a construct, may be defined
as “the set of human personality traits that are both applicable to and
relevant for brands” (Azoulay and Kapferer 2003). For instance, an electric
car may be perceived by consumers as having a “down-to-earth” and
“honest” personality (Evarts 2019), as well as say, a “feminine”
personality (Blanco 2007).
The current study inspects whether the perceptions of consumers towards
the principal dimensions of brand personality in the setting of several
green brands have any impact on their purchase intentions towards green
products and services, as well as their engagement and loyalty levels. To
this end, the new brand personality scale advanced by Geuens et al.

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(2009), shall be measured and validated in the Indian context. Their


revamped framework of brand personality offers a more reliable, valid,
and generalizable scale to measure personality dimensions across multiple
product categories. The new scale comprises of five broad dimensions,
encompassing twelve personality items, namely, “down-to-earth”,
“stable”, “responsible”, “active”, “dynamic”, “innovative”, “aggressive”,
“bold”, “ordinary”, “simple”, “romantic” and “sentimental”.
Review of Background Literature
Studies on Brand Personality
Brand personality explicates the symbolic consumption and the emotional
influences that consumers associate with a brand (J. L. Aaker 1997). It
happens to be a feasible metaphor whose dormant idea is established in the
fact that consumers develop empathies toward certain brands based on
their personalities (Louis and Lombart 2010; Molinillo et al. 2017;
Caprara, Barbaranelli, and Guido 2001). Over time multiple scales and
measurement frameworks have been proposed and developed to define the
construct of brand personality. For instance,The Penta-dimensional model
identified by J.L. Aaker comprises 42 personality items The new five-
dimensional twelve-item brand personality scale proposed by Geuens et al.
(2009) has been adopted in the study as it proves to be more reliable and
consistent across product categories. Using these brand personality
dimensions; researchers need to determine how they would result in
increased preferences and repeat purchase behaviour among consumers. In
fact, the personality of a brand acts as a stimulant for consumers to
develop favourable perceptions and ambitions to own the brand as well as
develop emotional attachments with it.
Studies on Green Purchase Behaviour
Consumer purchase intentions are expected to reflect the drivers that
stimulate a said behavior (Ajzen 1991), and specify the degree to which
individuals are willing to try, or exert any effort, to accomplish the said
behavior (H. S. Chen, Tsai, and Hsieh 2017). The purchase intentions of
consumers towards green brands are a key factor that can be used to assess
the capability to execute favorable purchase behavior towards such brands
in the future (Shi Wee et al. 2014). Erstwhile research has substantiated
the liaison between the quality of green brands and the ensuing intention to

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purchase them (Barbarossa and Pelsmacker 2016; Joshi and Rahman 2015;
Hojnik, Ruzzier, and Ruzzier 2019). In recent times, ‘green' has emerged
as the buzzword, especially among the younger populace, as the majority
of the people dwelling in nations such as India, Brazil, China, France, the
UK, and the US have testified (Saxena and Khandelwal 2010).
Academic research on pro-ecological consumerism dates back to the early-
1970s (Kirmani and Naved Khan 2016; Dursun et al. 2016). Subsequently,
this domain has witnessed phenomenal academic inquest by both
marketing practitioners as well as academicians, with specific emphasis on
the impact of marketing activities on the promotion of eco-friendly and
green products and services (Valecha, Mathur, and Khanna 2018;
Hartmann and Apaolaza-Ibáñez 2012; Dursun et al. 2016). This surge in
consumer as well as organizational cognizance of green marketing
attributes has been spurred by the rapid depletion of non-renewable energy
resources in current times across the world, along with the germination of
contaminants (Ogiemwonyi et al. 2020; Goh and Balaji 2016). In a study
by Orzan et al. (2018), it was observed that the likelihood of ecologically
conscientious consumers to prefer or procure green brands were higher for
those products whose production process was more eco-friendly.
Conceptual Framework
Brand personality, as shown in Figure 1, is a five-dimensional, twelve-
item construct. The goal is to determine whether the personality items of
green brands have any positive influence on consumer purchase intentions
(Hypothesis 1), active customer engagement (Hypothesis 2) and customer
loyalty (Hypothesis 3). They have been discussed below:
 Hypothesis 1: There exists a significant relationship between the
dimensions of brand personality and consumer purchase intention of
green brands
 Hypothesis 2: There exists a significant relationship between the
dimensions of brand personality and active customer engagement
towards green brands
 Hypothesis 3: There exists a significant relationship between the
dimensions of brand personality and consumer loyalty towards green
brands

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These propositions have been hypothesized conceptually in Figure 1 using


a Conceptual Framework.

Source: Authors’ Conceptualization


Figure 1.Conceptual Framework
Methodology
Sample
In the current study, a total sample of 356 participants was contacted
initially, using convenience sampling, to offer their views concerning the
purchase intentions, engagement levels as well as customer loyalty
towards green products. To this end, an online structured questionnaire
was disseminated among the participants, asking them about their views.
A total of 341 respondents were finally shortlisted out of the total panel of
356 respondents, because of completed and valid responses received,
resulting in a valid response rate of 95.8 percent. The male-female ratio
happened to be 27:23. Further, the respondents’ age was heavily skewed
towards the cluster of 31 to 50. Most respondents belonged to service
professions, either employed privately or in government service. The
demographic profile of the study participants has been outlined in Table 1.

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Table 1.Demographic Profile of Participants


Demographic Classification Frequency Percentage
Variable
Gender Male 184 0.54
Female 157 0.46
TOTAL 341 1.00
Age Group 18-24 61 0.18
25-30 79 0.23
31-50 147 0.43
Above 50 54 0.16
TOTAL 341 1.00
Occupation Student 50 0.15
Employee in Government 84 0.25
Service
Employee in Corporate 134 0.39
Service
Business/ Entrepreneur 61 0.18
Other Occupation 12 0.04
TOTAL 341 1.00
Monthly Below INR 20,000 144 0.42
Income INR 21,001-INR 40,000 76 0.22
(in INR) INR 40,001-INR 80,000 60 0.18
INR 80,001-INR 1,60,000 53 0.15
Above INR 1,60,000 9 0.03
TOTAL 341 1.00
Source: Compilations based on Field Data Collection by authors

Research Instruments
The twelve items are “down-to-earth”, “stable”, “responsible”, “active”,
“dynamic”, “innovative”, “aggressive”, “bold”, “ordinary”, “simple”,
“romantic” and “sentimental”. Similarly, consumer purchase intentions
refer to their purposes to procure green brands, products, and services. To
this end, the scale developed by Al-shaaban & Nguyen (2014) was used
along with specific items from the scale advanced by Morwitz (2014), and
Curvelo et al. (2019) was used. However, items in the scale had been
reoriented to suit the context of green brands as evident in the current
study. To measure active customer engagement, the study has adopted the

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scale developed by Chuah et al (2020), with necessary modifications to


conform to the context of the current study. Customer loyalty in the
context of green brands has been measured using the instrument proposed
by Lin et al. (2017) and remodified to suit the context of green brands.
Findings
Purchase Frequency of Green Brands
The purchase frequency and other involvements related to the purchase of
green brands have been documented in Table 2.
Table 2.Purchase Frequency and Involvement Statistics of Green Brands
Green Product Purchase Variable Frequency Percentage
Purchase Frequency of Green Brands
Less than 3 times 109 0.32
3-6 times 58 0.17
6-10 times 75 0.22
Above 10 times 99 0.29
Purchase Motivation of Green Brands
Family 75 0.22
Friends/ Acquaintances 90 0.26
Colleagues 57 0.17
Neighbours 119 0.35
Approx. Purchase Amount for Green
Brands
Below INR 500 107 0.31
Between INR 500 and INR 2000 57 0.17
Between INR 2001 and INR 5000 97 0.28
Above INR 5000 80 0.24
Source: Compilations based on Field Data Collection by authors

A significant proportion of the respondents have been observed to


purchase green products and services above ten times. It has been
observed that the majority of the participants have been motivated to
purchase green brands on the influence of their neighbors as well as their
friends and other acquaintances.

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Test for Reliability


Cronbach’s Alpha has been used to assess the reliability and internal
consistency that exists between the variables specified in the current study.
The reliability analysis results have been demonstrated in Table 3.
Table 3.Reliability Analysis
Construct Cronbach’s Items Total Correlation Cronbach’s
Alpha Value of Alpha When
Corrected Item Item
Removed
Brand 0.984 DTE 0.979 0.851
Personality STA 0.964 0.817
Items (BPI) RES 0.978 0.929
ACT 0.911 0.838
DYN 0.882 0.828
INV 0.889 0.805
AGR 0.860 0.814
BLD 0.817 0.827
ORD 0.905 0.839
SIM 0.845 0.826
ROM 0.862 0.832
SEN 0.899 0.802
Customer 0.983 CPI1 0.896 0.830
Purchase CPI2 0.883 0.834
Intention CPI3 0.906 0.821
(CPI) CPI4 0.923 0.854
CPI5 0.897 0.834
CPI6 0.892 0.876
Active 0.939 ACE1 0.910 0.907
Customer ACE2 0.849 0.829
Engagement ACE3 0.905 0.840
(ACE) ACE4 0.933 0.824
ACE5 0.867 0.817
ACE6 0.873 0.866
Customer 0.955 CL1 0.957 0.863
Loyalty (CL) CL2 0.935 0.913
CL3 0.950 0.920
CL4 0.938 0.915
Source: Compilations based on Field Data Collection by authors

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As observed from the Cronbach’s Alpha scores, high reliability is


discerned, as the scores happen to exceed 0.7, which is often accepted as
the standard limit (Adadan and Savasci 2012). Further, the cumulative
correlations of the revised items also happen to be above the cut-off score
of 0.5 (Matta, Azeredo, and Luiza 2016).
Tests for Validity
After the reliability has been assessed, a test for validity has been
conducted to determine the degree to which the study measures are in tune
with the proposed claims. To this end, a convergent validity analysis has
been conducted to assess, whether or not the test items happen to converge
to measure a specific construct or not. The results emanating from the test
of convergent validity have been demonstrated in Table 4.
Table 4.Convergent Validity
Construct Items Factor AVE C.R.
Loading
Brand Personality Items DTE 0.872 0.771 0.971
(BPI) STA 0.898
RES 0.862
ACT 0.897
DYN 0.899
INV 0.923
AGR 0.852
BLD 0.919
ORD 0.833
SIM 0.818
ROM 0.831
SEN 0.920
Customer Purchase Intention CPI1 0.915 0.768 0.952
(CPI) CPI2 0.868
CPI3 0.917
CPI4 0.818
CPI5 0.856
CPI6 0.880
Active Customer Engagement ACE1 0.877 0.795 0.959
(ACE) ACE2 0.908

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ACE3 0.930
ACE4 0.879
ACE5 0.827
ACE6 0.924
Customer Loyalty (CL) CL1 0.839 0.727 0.914
CL2 0.849
CL3 0.819
CL4 0.902
Source: Compilations based on Field Data Collection by authors

All three conditions for convergent validity were fulfilled by the above
measurement frameworks (Hair et al. 2006; 2010). Thereafter, the
divergent validity of the aforementioned constructs has been calculated
using the square root of AVE and the correlation coefficient matrix. The
divergent validity is used to test whether or not the construct is truly
distinct from another theoretical construct. The results of the divergent
analysis are demonstrated in Table 5.
Table 5.Divergent Validity
Construct Inter-construct Correlations
BPI CPI ACE CL
BPI 0.974
CPI 0.935 0.981
ACE 0.962 0.940 0.988
CL 0.884 0.917 0.892 0.962
Source: Compilations based on Field Data Collection by authors

Divergent validity was obtained by comparing the shared variance


between factors with the AVE from the individual factors (Fornell and
Larcker 1981). The analysis demonstrated that the MSV and ASV between
factors were less than the AVE for the individual factors. Finally, the
square root of AVE was also greater than the inter-construct correlations.
Hence, divergent validity was substantiated.
Structural Equation Modelling
The preliminary stage in interpreting the SEM results encompassed a
systematic review of fit indices, which provided evidence on how well the
fit is between the data and the proposed structural model. In the present

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study, a maximum likelihood procedure has been used as the foundation


for the SEM estimation. A similar set of fit indices was used to examine
the structural model. (Hair et al. 2006). Comparison of all fit indices with
their corresponding recommended values provided evidence of a good
model fit (χ2/df: 1.96; GFI: 0.94; AGFI: 0.96; CFI: 0.98 and RMSEA:
0.02). This summary of model fit indices has been demonstrated in Table
6.
Table 6.Model Fit Indices for the Goodness-of-Fit Measures
Goodness of Fit Recommended Actual Value of Result of
Measure Value Measures Model Fit
CMIN/DF ≤ 3.00 1.962 Good
GFI ≥ 0.90 0.944 Good
AGFI ≥ 0.90 0.958 Good
NFI ≥ 0.90 0.979 Good
CFI ≥ 0.90 0.991 Good
RMSEA ≤ 0.05 0.022 Good
Source: Compilations based on Field Data Collection by authors

The significance and strength of the hypothesized relationships in the


research model have been scrutinized and the structural model analysis
results, as well as the path coefficients, path significances, and variance,
have been clarified for each dependent variable. These coefficients have
been presented in Figure 2.

Figure 2.Path Analysis Results (Hypothesized Model)

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The above path validation diagram reflects the ensuing path coefficients of
the hypothesized research model. All of the three hypotheses were
supported by the data entered into the model. Three endogenous variables
were tested in the model and the results revealed that brand personality as
a construct significantly influenced consumer purchase intention (β= 0.73;
p<0.05), thereby supporting hypothesis H1. Brand personality was also
found to be significant in positively influencing active customer
engagement (β= 0.68; p<0.05), supporting hypothesis H2 and finally
customer loyalty as well (β= 0.59; p<0.05), thereby supporting hypothesis
H3. A summary of the hypotheses testing results obtained from the path
analysis is displayed in Table 7.
Table 7.Validation of Path Analysis Results
Hypotheses Path Coefficient Direction Results
H1 BP  CPI 0.179 Positive Supported
H2 BP  ACE 0.388 Positive Supported
H3 BP  CL 0.593 Positive Supported
Source: Compilations based on Field Data Collection by authors

The above table reveals that all the hypotheses have been validated
through the path analysis conducted as part of the SEM procedure. They
have all been validated and it can be concluded that the dimensions of
brand personality have a significant impact on consumer purchase
intentions, active customer engagement as well as customer loyalty.
Discussion
The current study has been an attempt to assess the impact of consumer
perceptions of green brand personality on purchase intentions, active
customer engagement, and customer loyalty towards such brands. The
results derived to support the hypothesized model. Specifically, the SEM
technique generated an acceptance of hypothesis 1, where it was observed
that consumer perceptions of the personality of green brands have a
significant impact on the purchase intentions of such consumers. It must
be noted that brand personality happens to be a key component of brand
identity, which aids in fostering valued brand equity (Su and Tong 2015).
In recent times, brand personality has evolved as one of the most relevant
aspects in marketing, because consumers tend to make purchase decisions
based on their perceptions of brands as opposed to the fundamental traits

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of the green product or service itself (Maehle, Otnes, and Supphellen


2011a). With the breath of time, brands establish prevailing connotations
in their consumers’ minds, which in turn empower consumers to retrieve
evidence documented in their minds to make rational purchase decisions.
This is where purchase intention plays a key role, as it is often shaped by
the arrangement of sui generis and propitious liaisons in consumer
memory that offers a necessary reason to acquire the green product or
service. Among the highest standardized regression weights were the
personality traits, viz. “down-to-earth”, “stable” and “sentimental”.
Although all the items had positive associations, respondents connected
more with these personality traits, in terms of their developing purchase
intentions. Participants generally approve of the fact that the green
products they purchase are usually associated with practical connotations
and performances, rather than with nonconcrete ideologies pertaining to
environmental conservatism. Stability in green brands implies that they are
less likely to collapse or acquiesce, as a foundation with respect to the
manner in which they are perceived by participants. They generally tend to
last more and are concretely recognized by consumers. Green consumers
tend to have greater levels of trust in such stable brands. The other
personality trait with a high score is sentimental, and encompasses feelings
such as love and compassion for the entity. Participants use green products
especially since they are known to exhaust reduced levels of raw materials,
while consuming lesser energy. This thwarts the release of toxic matter
into the environment, involving the sentiment, where consumers help
protect the environment, while preserving rare resources for the future
generations.
Next, from a theoretical perspective, the results confirm the hypothesized
relationship between brand personality and active customer engagement,
in terms of green brands, is perceived to be a significant elucidation for
how consumers tend to get involved and committed to specific green
brands. This validates hypothesis 2. Today, there exist multiple green
brand manufacturers, and competition seems to rise in a previously niche
segment. Hence, green brand marketers must develop high standards of
quality and offer parallel echelons of utilitarian paybacks. This is where
the management of brand personality plays a major role in significantly
influencing consumer engagement levels, and helps distinguish each brand
as such, while alluring a whole new range of consumers, concerning such

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green brands (Vlachos and Vrechopoulos 2012). Participants have been


observed to opt for such green brands that possess unique personalities,
especially since they can uniquely connect with the said brand and utilize
it as a means of conveying their personalities (Ekhlassi et al. 2012). Active
customer engagement is observed to be an uninterrupted psychological
procedure that consumers traverse to develop favorable levels of trust and
commitment towards the said green brands. It is known to validate the
modules by which dedication might be spurred and preserved for both
novel and existing customer segments. It must be noted that the construct
of customer engagement happens to be multidimensional and encompasses
the assertions of passionate green consumers in such a definite setting.
Finally, the study corroborates that the dimensions of green brand
personality have a significant bearing on the loyalty levels of target
consumers, thereby proving the validity of hypothesis 3. In fact, by
entangling the concept of brand personality in the communication of green
brands, the loyalty levels towards such brands can be indeed be
augmented. The study posits that participants tend to have favorable
inclinations towards those green brands that possess a distinct brand
personality, as well as have higher levels of understanding. This results in
such consumers becoming more likely to consume such green products
and services, in tune with their traits. Brand personality not only plays a
key role in shaping customer retention but also has an intense influence on
the holistic performance of a green business enterprise. For such green
brands to be successful, a definite brand personality must be shaped by
marketers. The personality of a green brand, when associated with
consumers, and are in turn, recognized positively by them, a special form
of relationship is developed with the concerned brand that significantly
influences the levels of brand loyalty. The study reveals that green brand
personality, as a construct plays a massively influential role in nurturing
customer loyalty.
Conclusive Deliberations
A well-grounded knowledge about green brands triggers the development
of pro-green marketing awareness among target consumers. It further
stimulates empathy and concern for environmental protection while
focussing on how the degradation of the environment can be safeguarded.
The study revealed that consumers develop awareness and inclinations to

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purchase green brands mostly from their neighbors and friends as well as
acquaintances. This indicates that word-of-mouth plays a key role in
positioning such green brands in a relevant manner. Green brands tend to
have a down-to-earth personality, coupled with dominant stable and
sentimental attributes. Together, this implies that such brands have a high
assurance factor associated with them. Such assurance implies that green
brands provide a form of sustenance and emotional backing to the target
consumers, thereby enabling them to not only sustain a judicious standard
of living but also help them develop a sense of protection for their
immediate environment, which in turn, defends them from the incidence of
any contingency. In the context of the current study, green brands have
also been found to be proficient in that the participants of the study had
developed a significant amount of reliance, belief, and endurance in a
specific green brand’s personality traits. While all consumers are equally
accountable for looking after the environment and maintaining its
threatened resources, power- and energy-hungry corporates should be
careful enough to ensure that they strictly abide by the environmental
norms.
The findings of the current study proffer valuable implications for the
manufacturers and consumers of green brands, and it posits that the
purchase behavior concerning green brands shall continue to remain an
important area of the academic inquest in the future. Green brands should
stress upon their colossal role in nurturing a green business milieu,
especially to their target consumers. To achieve this, marketers of green
brands should focus on developing exemplary green brand personalities to
fortify the green brand awareness and cognition of present and prospective
customers. This would help distinguish the paybacks of purchasing green
brands, as opposed to their traditional counterparts. Purchase intentions
can only be formed when the personality of the green brand personality is
consistent with the perceptions of consumers. Active customer
engagement is required in this context to facilitate this development. This
is accomplished when the manufacturers of green brands unswervingly
position, promote, and communicate their green product offerings
employing conventional and contemporary media such as digital, to boost
the positioning of green brands, along with developing favorable
dispositions and awareness levels among specific customer groups.

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37
Managerial Response to Ewom
during online Shopping
Gunjan Singh1
1
Phd Research Scholar (Ugc Net), Babu Banarasi Das University, Lucknow, U.P.
E-mail Id: [email protected]

Abstract
The Internet and digitalisation have changed the way consumers make
choices and have impacted on how businesses effectively monitor and
manage their brand. As eWOM travels fast there is need for managing
eWOM during online shopping as it can result into reputation building of
the brand. Companies need to take advantage of both the positive and
negative impacts of eWOM and adopt better eWOM strategies to enhance
their brand reputation. Research to date has indicated that eWOM can
influence customers’ purchase behaviours and hotel performance, but the
management of the process in marketing is still vague.
The study is conducted to gain insights about the strategies adopted by
managers to manage eWOM online. The manager’s response to the
customer’s reviews during online shopping is studied. The study aims to
fill the theoretical gap and build on the theories around branding and
management issues in relation to eWOM.
The study suggests that successful eWOM management can help
businesses to achieve a competitive advantage. The study also depicts
strategies to control and monitor the eWOM online.
Keywords: Ewom Management, Manager Response, Online Shopping,
Brand Reputation.
Introduction
A new generation of online tools, applications and approaches, such as
blogs, social networking sites, online communities and customer review
sites, commonly referred to as Web 2.0(Constantinides & Fountain, 2008)
have transformed the internet from a “broadcasting” medium to an
interactive” one allowing the wide technology-mediated social

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participation (Chua & Banerjee, 2015).The growing importance of the


Internet and the development of devices that access it (e.g., smart phones)
have jointly contributed to the increasing importance of electronic word of
mouth (eWOM). When consumers are involved in a buying decision
process, they often conduct online searches (e.g., blogs, forums, content
sharing websites) to get information regarding products (Browning et al.,
2013; Xieet al., 2017). Thus, a company’s eWOM exerts an impact on its
reputation (Browninget al., 2013;Nietoet al.,2014). In particular, eWOM
informs consumers’ service quality perceptions and behaviors during the
buying decision process (Browninget al., 2013; Filieri and McLeay, 2013),
largely because consumers consider eWOM more relevant than
communication provided by the companies, with its commercial purposes
(Bickart and Schindler, 2001). Consumers might anticipate that companies
disguise negative features of their products (Parket al., 2007), whereas
eWOM appears more trustworthy because it is provided by customers who
have consumed the product and is independent of the company’s
marketing actions (Sparkset al., 2013).Thus, a company’s website might
be enriched by the inclusion of customers’ information-exchange, as
information that complements marketing content. However, eWOM about
a company or product also appears on various websites, beyond the
company’s, which makes monitoring eWOM very complicated.
Consumers turn to eWOM for guidance because the information reduces
the degree of perceived uncertainty they suffer (Mauri and Minazzi, 2013).
Considering the importance of eWOM, responding to online customer
reviews is widely regarded as a tool that supports reputation management
and might reinforce or rebuild company reputations (Zhanget al., 2020). In
particular, management responses can be used as an instrument for service
recovery (Zhanget al., 2020) and customer relationship management
(Hennig-Thurauet al., 2010;Weiet al.,2013; Zhanget al.,2020).Response
quantity positively influences consumer perceptions and subsequent
behavior (Xieet al., 2016;Proserpio and Zervas, 2017), though not all
studies observe a significant positive effect of response quantity on
consumer perceptions (Mauri and Minazzi, 2013). Nonetheless, empirical
evidence indicates that the content of the response is a key element
regarding the efficacy of the responses (Zhanget al., 2020).
Negative electronic word of mouth (eWOM) is a type of consumer
complaint behaviour that involves communication regarding an unpleasant

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purchase episode and is triggered by perceived dissatisfaction with that


experience (Singh & Howell, 1984). Given the popularity of, and easy
access to the Internet, many unhappy consumers air their frustration by
writing product reviews. Without the limitation of geographic boundaries,
consumer grievance is disseminated in the cyberspace to a large number of
people with diverse backgrounds at an unprecedented rate. Thus the study
is conducted to gain insights about the responses made by managers during
online shopping when customers post online reviews.
This study poses the following main questions:
 How managers are responding to the customer’s reviews during online
shopping?
 What are the strategies adopted by the managers to manage eWOM
online?
Aim of the Study
The study is conducted to gain insights about the strategies adopted by
managers to manage eWOM online. The manager’s response to the
customer’s reviews during online shopping is seen.
Objectives of the Study
 To review the strategies adopted by the managers in managing eWOM
online.
 To investigate about the response of the managers to the customer’s
reviews during online shopping.
Research Methodology
The method used in this paper is a general literature review which
provides an examination of the recent and current literature and covers
different subjects in varying levels of completeness and
comprehensiveness and secondary data is taken from the journals to
elaborate the topic. The study describes about the management techniques
followed by managers in the response of eWOM online.
The narrative form is the main characteristic of this type of review (Grant
& Booth, 2009) that has been adopted in this paper. The searches are made
from articles in Google Scholar, Web of Science, semantic scholar and
various other useful sources.

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Discussion-Literature Review
eWOM
Globally, 61% online shoppers give importance to the electronic word of
mouth (eWOM) before making a purchase decision (Charlton 2015). In
India, eWOM is considered as a key driver that aids people in making an
online purchase as 20-50% of online sales are influenced by eWOM
(Marketingbuzzar 2015). Hence, marketers should find the right customer
segment and analyze online behaviour before launching any eWOM
campaign to engage those customers.
The internet has become a platform facilitating the “social” customer
electronic word of mouth (eWOM) and a major source of customer
information and empowerment (Constantinides & Fountain, 2008).A
fundamental element of the social eWOM is the Customer Generated
Content or CGC (Huang & Benyoucef, 2012). Through CGC individuals
share opinions and experiences on companies, brands, products or services
and create large-scale word of mouth networks. These way consumers can
make their personal opinions easily accessible to global communities or
individual peers who use the information as an extra factor supporting
their purchasing decisions (Dellarocas, 2003). Free and easy access to such
information has weakened the power of marketing communication;
Information provided by online peers’ influences customer perceptions,
preferences and decisions much more than information provided by
companies (Constantinides & Fountain, 2008).
The eWOM networks reach larger audiences and building on internet’s
low costs and multiple communication capabilities (Dellarocas, 2003).
Control of marketers and companies on communication channels and
messages migrates to consumers who become critical, more assertive and
powerful, taking over control of the information they obtain about
products, brands and companies. Consumers become co-creators of value
as direct stakeholders (Burtona & Khammash, 2010). The information in
consumer reviews is widely considered as more reliable than marketer-
sponsored information (Bickart & Schindler, 2001; Hung & Li, 2007; Ho-
Dac, Carson, & Moore, 2013). The changing nature of customer influence
presents businesses with risks as well as opportunities (Henning-Thurau,
Walsh, 2003). In order to mitigate threats on revenue or reputation,
companies are forced to develop monitoring capabilities and quick

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responding in diverse review platforms (Chua & Banerjee, 2015). To do


this effectively, companies need to understand the dynamics of online
consumer reviews and the impact of consumer review platforms where
customer reviews and comments are posted.
Monitoring of Customer Reviews
Customers and shareholders continuously pressure companies to increase
customer satisfaction and quality of service in order to circumvent harm
through reviews among others. Monitoring of reviews though, can
examine customer opinions and hence contribute to company
improvements. Review analytics engage in collecting, monitoring,
analyzing and summarizing information to extract useful patterns and
intelligence. The goal thereby is to analyze influential users, insights into
changing consumer tastes and interests, ad-campaign effectiveness and
competitive intelligence. Consequently, the data can be used for product-
design-development, learning, tracking consumer concerns and the
development of influencers themselves (Becker & Nobre, 2014; Fan &
D.Gordon, 2014). Even though, CGC and its emergence are difficult to
control, this powerful source can be measured and controlled accurately
through proper engineering of a website including review format
characteristics (Dellarocas, 2003). Therefore, for the application of
analytics on online reviews, it is of importance to know what review
format characteristics on review platform have the most influence on
consumer purchasing decisions (Henning-Thurau & Walsh, 2003).
Additionally, the goal of a (reviewing) platform is to attract visitors, foster
consumer interaction and support decision making. Also, the
encouragement of consumers to return to the platform is of vital
importance (Huang & Benyoucef, 2013). Thus, review platform
engineering needs to know and take into account the customer view and
their desires for a helpful reviewing platform in order to be successful.
Responding to Customer Reviews
Based on the analyses of the length and the content of manager responses
for each online review, five principles that can enhance online reputation
regardless of platform are seen.

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 Address a positive online review by providing a generic, short


response
Managers need to be careful even when responding to positive reviews.
While a simple “thank you” had little impact, more customized responses
perceived as promotional and thus viewed as disingenuous negatively
affected future reviews.
 Delay responses for positive reviews
Managers can mitigate the negative effect of response time by delaying
responses to positive reviews until after the review reaches the second
page of reviews (for example, TripAdvisor shows 10 reviews per page).
The delayed response allows the positive review to be buried behind newer
reviews (all platforms in our sample automatically sort reviews from
newest review to oldest review and are not bumped up after a manager
response). By doing so, managers obtain any direct, positive effects from
thanking a reviewer without negatively influencing future reviewers.
 Respond to all negative online reviews
Negative online reviews impact buying decisions and potentially lead to
some consumers avoiding some businesses entirely. To reduce the
damaging effects of negative online reviews and the potential loss of a
significant share of customers, managers should engage in responding to
an online review primarily as a complaint management strategy. A
manager’s response to a negative online review potentially prevents a
subsequent negative review, because a future reviewer can observe prior
complaint management interactions for a complaint similar to their own.
 Address a negative online review by providing a tailored solution
to the specific complaint
Managers should customize their response to each negative review to
increase the quality of their complaint management. Specifically,
managers should communicate actions they have taken to rectify the
problem(s) expressed in each negative review. By addressing the
reviewer’s issue, the manager can potentially appease an unsatisfied
customer and show subsequent reviewers that the firm cares about
customer complaints and issues. Thus, an organization can proactively
manage service recovery efforts.

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 Respond quickly to all negative reviews


Manager responses to negative reviews should be timely, so that a
manager’s response is visible to future reviewers. The faster the manager
responds to a negative online review, the faster the reviewer is appeased
and prospective reviewers can see that the manager and the firm are
dedicated to solving customer complaints in a timely fashion.
 Mitigate the bad, maximize the good
Customers expect independent businesses to interact more with them and
they are not surprised when they receive a response to their comment. In
an age where customer word of mouth can quickly go viral, these five
principles provide a proactive approach to service recovery efforts by
placing more emphasis on manager responses to negative reviews, which
helps mitigate potential future negative reviews and maximize the benefits
of positive reviews.
Strategies adopted by Managers
Firms have developed intervention strategies in response to the economic
impact of online or electronic word of mouth (eWOM) documented across
a variety of industries (Luca 2011). While the extant research has primarily
focused on identifying the presence and efficacy of “promotional” reviews
as an intervention strategy (Zervas 2016), the ubiquitous practice of
manager response (MR), defined as the act of managers publicly replying
to online reviews, has been largely overlooked by researchers.
Although an MR is directed at an individual reviewer, their public nature
leads to the possibility of creating an externality on the opinions of
subsequent reviewers. The practice of MR can change the trajectory of a
firm’s online reputation. MRs could increase the potential cost of writing a
negative review, leading to more positive subsequent ratings (Zervas
2017). The presence of MRs could encourage customers to voice their
complaints, leading to more negative subsequent ratings(Chevalier, Dover,
and Mayzlin 2016). We find that while manager responses to negative
reviews (MR-N) positively impact subsequent opinion, manager responses
to positive reviews (MR-P) negatively impact subsequent opinion. We
demonstrate that MR tailoring is a moderator that magnifies the divergent
effects of MR-N and MR-P.

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While MR-N is an act of complaint management, MR-P is a demonstration


of customer appreciation through affective delivery. Both of these
behaviors are well-studied customer satisfaction management strategies in
offline settings. The literature documents complaint management’s
positive impact on satisfaction (Spreng, Harrell, and Mackoy 1995),
repurchase intent (Knox and Van Oest 2014), and economic outcomes
(Davidow 2000). MR-N is an example of complaint management in
eWOM environments. While it seems reasonable that recipients of MR-Ns
should experience greater satisfaction, we study whether this effect
extends to observers. The affective delivery literature generally suggests
that firms can increase positive affect and loyalty in customers by showing
warmth and gratitude in service (Tsai and Huang 2002). eWOM
Intervention Ma, Sun, and Kekre (2015) document that firms’ responses to
complaints on Twitter en-courage future complaints. MRs on Twitter are
reactive. Since Twitter complaints are directed“@” the firm, there is an
expectation of response. This expectation mitigates concerns regarding the
motivations behind the MR. In the online review setting, reviews are
primarily a peer-to-peer exchange of experiences. Therefore, there is no
direct expectation that managers should respond. This ambiguity opens the
door for reviewers to interpret the managers’ motivations as less customer-
oriented and more self-promoting. In the proactive online review context,
Gu and Ye (2014) document that hotels’ responses to negative reviews
increase subsequent ratings of the same hotel by the same customer.
However, other negative customers who observe their peers receiving an
MR, but do not receive one themselves, end up rating the hotel worse in
subsequent reviews. Chevalier, Dover, and Mayzlin (2016) argue that MRs
from high-end hotels encourage consumers with negative experiences to
write reviews in a manner similar to the Twitter case studied by Ma, Sun,
and Kekre (2015). In contrast, Proserpio and Zervas (2017) use a sample
of mixed-level hotels to argue that MRs to online reviews discourages
negative reviewers from reviewing. Consumers may respond positively to
the former, consistent with social exchange theory (Blau1964), and
negatively to the latter, consistent with reactance theory (Brehm 1966).
The major challenge in demonstrating a causal empirical relationship
between MRs and sub-sequent reviewer opinions stems from the
endogeneity issue that any changes in ratings can be due to unobserved
contemporaneous investments in product or service quality. Several

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studies attempt to resolve this endogeneity issue by using a difference-in-


differences strategy which compares one site that contains MRs
(Tripadvisor) with another site that has few or no MRs (Expedia) (Mayzlin
2016).
eWOM Management
Successful eWOM management can help businesses to achieve a
competitive advantage (Litvin, Goldsmith & Pan, 2008). However, the
industry has remained in the process of improving strategies for better
eWOM management and capturing its influence (Yen & Tang, 2015).
Chen and Xie (2008) argued that online consumer reviews, a type of
product information created by users based on personal experiences, can
serve as a new element in the marketing communications mix and work as
free ‘sales assistants’ to help consumers identify the products that best
match their idiosyncratic usage conditions. eWOM can impact the firm’s
financial performance showing the positive and negative eWOM (Raguseo
& Vitari, 2017). Compared to traditional WOM, eWOM's wear-out effect
can be much shorter due to the large number of reviews (Xun & Guo,
2017). As consequence managers need to handle mass amounts of
consumer review information related to the brand (Cantallops & Salvi,
2014). Well-established research has shown that eWOM can have a direct
effect on product sales and revenues but not much is known about the
direct effect of eWOM on companies’ costs related to delivering customer
service (King et al., 2014). The different types of eWOM, whether
negative (NOWOM) or positive reviews, paid (editor) reviews and non-
paid reviews, should be handled differently (Wilson et al., 2017). In order
for firms to determine whether the review is real or fake provides another
layer of difficulty in managing eWOM. Although, technology has
encouraged the co-creation of experiences and enhanced the interaction
between business and consumers but more importantly, eWOM need to be
managed effectively as it can also help to reduce the risk of diminishing a
brands reputation, but can also present opportunities to enhance a brands
reputation (Benckendorff et al., 2014; Zhang et al., 2010) Limited research
has investigated the way that how firms can better manage eWOM as part
of their digital marketing strategies, or how businesses can manage eWOM
more strategically and effectively (Wilson et al., 2017). As eWOM has
continued to evolve, in more recent studies it enabling a better
understanding of how eWOM can be used by managers to build, grow and

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maintain their firm’s brands and products (Wilson et al., 2017). Businesses
could develop online review management strategies that plan, manage, and
leverage eWOM communication (Gvili & Levy, 2016). With the increased
importance of online reviews for service industries such as hotels,
managers are starting to pay more attention to eWOM feedback. For
example, the Director of Communications at Shangri-La Hotel Singapore
indicated the increasing importance of eWOM management and stated that
“today with savvy customers on the rise, online reviews are already a part
of marketing for most businesses” (Hew, 2017).Recent studies have found
that managerial responses can lead to better star ratings in the TripAdvisor
ratings and can have an impact on the volume of subsequent consumers
(Xie et al., 2016). Moreover, a managerial response can moderate the
influence of ratings and the volume of consumer eWOM on hotel
performance (Xie et al., 2016). However, these studies have only indicated
that hotel managers have generally responded more often to their guest’s
comments on third-party websites, for example, TripAdvisor. It has also
been found that hotel managers also respond more often to positive
reviews rather than negative reviews (Kwok & Xie, 2016; Xie et al.,
2016). Some studies indicated that overall, responses to eWOM ratings are
still relatively low (Lee & Blum, 2015), highlighting how, when or what
hotel managers should address in handling or responding to eWOM. There
is need for on-going evaluations of the eWOM management process as
technology continues to evolve.
Thus the conceptual framework is developed for the study.

Conclusion
The study centres on the managerial response and strategies adopted by the
managers in the management of eWOM during online shopping. The study
more generally contributes to the knowledge of marketers by providing
insights into the eWOM management and strategies adopted.

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The study depicts that there is the requirement of the eWOM management
during online shopping. The study suggests strategies for managing
eWOM online. The study thus provides details about the eWOM
management.
References
1. Efthymios Constantinides.(2016). Impact of Online Product Reviews
on Purchasing Decisions. 12th International Conference on Web
Information Systems and Technologies, 20(1).
2. Xie, K. L., Zhang, Z., Zhang, Z., Singh, A., & Lee, S. K. (2016).
Effects of managerial response on consumer eWOM and hotel
performance. International Journal of Contemporary Hospitality
Management, 28(9), 2013-2034. doi:10.1108/ijchm-06-2015-0290.
3. Rosa M. Hern, ez-Maestro.(2020).Management response to eWOMin
rural lodging establishments.https://www.emerald.com/insight/
content/doi/10.1108/SJME-11-2019-0093/full/html.
4. Victoria Browning, Kevin Kam Fung So, Beverley Anne Sparks.
(2013). The Influence of Online Reviews on Consumers' Attributions
of Service Quality and Control for Service Standards in Hotels.
Journal of Travel & Tourism Marketing 30(1-2): 23-40.
5. Barbara A. Bickart.(2002). Internet forums as influential sources of
consumer information. Journal of Interactive Marketing. 15(3):31.
6. Dr. Kerry T. Manis, Dr. Yang Wang, Dr. Alexander Chaudhry.(2020).
5 Principles for Responding to Customer Reviews. https://hbr.org/
2020/05/5-principles-for-responding-to-customer-reviews.
7. Nina Isabel Holleschovsky, Efthymios Constantinides. (2017). Impact
of online product reviews on purchasing decisions.
8. Kip Becker, Helena Nobre.(2014). Social Network Reputation
Management: An International Study. Journal of Promotion
Management. 20(4):436-451.
9. Chen, Yubo and Xie, Jinhong, Online Consumer Review: Word-of-
Mouth as a New Element of Marketing Communication Mix (July 1,
2004). Management Science, Vol. 54, No. 3, pp. 477-491, 2008.

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38
MINISO (Japan) Marketing Strategy
Nasif Ahmed1
1
IMBA, Department of Business Administration,
University of International Business and Economics.
E-mail Id: [email protected]

Abstract
In the past two years, famous products have become popular in major
cities in China. In areas where there is a lot of people, such as pedestrian
streets or large shopping malls, "leisure products" and other Japanese
leisure brands will become your eyes. From the perspective of strategic
management, based on the blue ocean strategy, the popular well-known
brand-excellent brand marketing strategy has been analyzed and
researched. With the decline of the traditional physical retail industry and
the popularity of online retail, this article analyzes and researches the
marketing strategy of one of the most popular brands in the world-famous
products. The world-renowned products opened 1,600 stores in more than
two years, of which 1,400 were domestically, and were once popular in
major cities in the country. From the perspective of marketing mix
strategy, the secret to the success of famous and high-quality products is
analyzed.
Keywords: Strategy, Famous products, Sales channels, Marketing mix
Strategy.
Introduction
MINISO is an internationally renowned leisure emporium brand and a
sequence management enterprise. it absolutely was founded by Japanese
designer Miyake Junta and Chinese young entrepreneur Ye Guo Fu in
Tokyo, Japan. He wants to be the chief designer. Mr. Guo Fu follows the
"simple, natural, high-quality" business philosophy and also the "return to
nature" brand plan, and MINISO has always focused on aesthetic daily
necessities. looking forward to the fundamental ethics of wonderful
product design, high cost performance and comfy shopping experience,
MINISO has attracted the eye of consumers by setting personalized

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consumption trends within the home market. MINISO adheres to the


celebrated life philosophy and also the brand spirit of "respecting
consumers", and is committed to providing customers with "high quality,
competitive prices and creativity" products. MINISO has won the love of
major consumers aged 18 to 35 with its simple, high-quality functions and
trend of maintaining with the days.
MINISO has established a replacement form of inventive collection store,
which has become a significant influence in department shops and
shopping malls for catering, fast clothing and entertainment activities. It
strives to supply consumers with cleverer, simpler and comfortable
products so consumers can knowledge a stress-free and happy routine
when shopping. The brand logo is a picture of a sack, simple but stylish.
Although it perfectly displays the commercial characteristics, it also
emphasizes the concept of consumption, which is extremely recognizable
and memorable.
The combination of the brand name and therefore the eye-catching product
portfolio provides consumers with a "smiling service" and advocates a
"happiness is that the best" life attitude. The essence of life is that the
pursuit of happiness. allow us to face life happily and revel in life!
Company Profile
MINISO is a retail chain of retail stores, clothing, household goods,
stationery, bags and accessories. Hire and manage high-quality store
operators, and organize training on store opening, operation and
organization. MINISO is headquartered in Guangzhou, Guangdong
Province. MINISO has an income of $1.8B and has 5,000 employees.
MINISO raised a total of US$145.6 million in funding. MINISO entered
the Chinese market in 2013 and began to develop extensively in the
Chinese market. MINISO actively explores the untapped international
market, and has opened more than 3,500 stores within five years, and its
business revenue in 2018 reached 2.5 billion US dollars. Recently,
MINISO has cooperated with more than 80 countries (including the United
States, Canada, Russia, Singapore, United Arab Emirates, South Korea,
Malaysia, Hong Kong and Macau, with an average monthly growth rate of
80-100.

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Objectives
1) To educate people about the real state of MINISO.
2) To promote MINISO’s design philosophy.
3) To advocate a relaxed and fashionable lifestyle and directs a superior
product consumption pattern.
Unique Market Entry Strategies
Compared with the traditional retail industry, MINISO has designed a
novel product style called "MINISO Style" with low price, high quality
and interesting appearance, which can meet the needs of today's
customers. MINISO is a business model called "Three Highs and Three
Lows". Three lows refer to low prices based on low costs and low profits,
while three highs refer to higher efficiency, higher technology and higher
quality. In order to maintain its price advantage, MINISO adopts a batch
quotation system to improve the bargaining power of large-scale
purchases. MINISO does not involve traditional retail that includes large-
scale intermediate channels, while MINISO is committed to customizing
acquisitions, which ultimately prevents suppliers from determining the
final product pricing. After the goods enter the warehouse, they will be
cleared in time according to the process to ensure that new goods arrive at
the store every 7 days. In addition, the gross profit margin should be
controlled. The company’s gross profit margin is controlled at around 8%,
while the gross profit of the store is controlled below 38% to ensure a truly
low price. MINISO has joined hands with the world's leading trading
suppliers and formed a global design team operated by Miyake Junya.
They adhere to the concept of returning to nature, comfort, purity and
happiness. With the help of extensive market research, we are defining
specific features and advantages that are valued by target market segments.
MINISO's marketing strategy is constructed on the placement of product
difference. The main target customers of MINISO are housing
manufacturers who require unique style products and services.
Marketing Communication Strategy
We position MINISO as a "fast fashion designer" brand in Japan because
they are creative and famous for their fashionable and special products,
high-quality products, and give priority to the health and safety of products
and materials. Their products are famous because they combine fashion

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and leisure. Our marketing focus will be on brand awareness in Japan and
globally.
To create a Buzz, please do the following: Run a user-initiated photo
contest on the MINISO social media account and website to make more
people aware of it. Pull approaches to attract, retain and stimulate
customers: use advertising and mass media advancements, word of mouth,
customer affiliation management, and promotions and discounts.
Miniso Intensive Management
From the product packaging design and price, the products sold here are
full of brand characteristics, which completely makes the brand's "three
highs and three lows" business philosophy tense. The interior decoration
style of the store is unique, modest and fashionable, and emphasizes the
MINISO awareness. Store sellers and helpers tend to generate images of
high-end shopping environments.
Miniso Product Design Strategy
Therefore, we pursue a simple and natural life philosophy, design and
manufacture high-quality products at honest prices, while taking into
account the earth's resources, environment, recycling and other issues, so
as to truly return to the nature of nature and products.
MINISO is not only a brand that provides quality products, but also a way
of life. It does not pay attention to so-called trends. MINISO does not like
popular brands and increases their brand value by raising prices. On the
contrary, MINISO insisted on the consumer's point of view when
developing products, that is, return to the essence and return to nature.
MINISO provides various products at reasonable prices to extend the life
of customers. It provides direction for naturalness and simplicity in
consumers' lives.
The design of the MINISO logo is related to the image of the shopping
bag. It is simple and stylish. While perfectly showing the characteristics
of industry, it also emphasizes the concept of consumption, which is
highly recognizable and unforgettable.

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The combination of the emblem name and therefore the graphic


combination is an expression of "smiling service" to consumers and
advocates the "happiness is that the best" life attitude. The essence of life
is that the pursuit of happiness. Let us face life happily and enjoy life!
Miniso: The Values of the Brand
Miniso's values are five basic points aimed at promoting smart
consumption:
 The simplicity of the product is of utmost importance to MINISO.
 The legality of the product should not be excessive or exaggerated.
 The best quality at high quality and low price.
 Common, material selection and the most natural products come out.
 Respect consumers and nature.
Market Segmentation
Demographic
 Age: 18 to 35 years old
 Gender: Male and Female
 Occupation: Professional and technical, students, homemakers and
craftspeople
 Generation: Millennial (the early 1980s as starting birth years and the
mid-1990s to early 2000s as ending birth years)
Psychographic
 Social Class: Middle Class
 Personality and Self Concept: Competence (reliable, intelligent, and
successful)
Behavioral
 Benefits: Quality and Convenience
 User Status: Potential users and first-time user
 User rates: Medium User
 Loyalty Status: Strong

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Marketing Communication Strategy


 To create buzz- User-generated photo contest on our social media
accounts and web site
 To attract, retain and motivate customers for a pull strategy-Use
advertising and mass media promotion, word of mouth referrals,
customer relationship management, and sales promotions and
discounts
Miniso: The Brand Strategy
There are a wide range of products sold, including snacks, clothing,
cosmetics, jewelry, household goods, electronic products... Miniso’s
strategy involves selling many products every day, these products are
very cheap, high quality, and have modern and universally appreciated
design. In addition, Miniso will try to launch new products regularly.
Indeed, there are new tourists every seven days. The low price of the
product is caused by the material used (usually plastic), which is usually
lower in cost than other materials, and is produced in China, production
and labor costs also are cheaper than typical. The quality of brand
products is the slogan of the brand, which is promoted by the brand itself
with the slogan of "10 yuan per item, quality of life". This quality
assurance allows brands to achieve economies of scale and significantly
increase their marginal advantages. Therefore, this strategy is very
profitable.
The brand also ensures that its customers conduct research and design.
Indeed, the brand collaborates with designers all over the world to inspire,
discover and stay ahead of foreign trends. The focus of this design is the
product to the store because they have a unique decoration that makes
shopping easier and more enjoyable. Miniso's strategy is also based on the
choices of its customers and their presence on the Internet. The fact that
this store wants to export to all over the world brings it closer to
customers and enables them to get more. The brand also aims to attract
the widest range of middle-class customers. The ages of his clients also
vary. This segmentation makes it possible to have more customer choices.
For these reasons, there are good reasons to believe that the brand has
huge opportunities in the future. By maintaining this strategy and
regularly proposing new products, it may retain its customers. These

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opportunities will be countless, especially since it has conquered foreign


markets.
Situation Analysis
Consumer analysis: Popular among people between 18 and 35 years old.
The usual customers are those who like to bargain or buy a single product
at the best price. Customers like fashionable products, but they are cheap
and of high quality.
Product analysis: Pursue the life philosophy of "simple, natural and
high-quality". It offers high-quality various products at allowable prices,
such as household necessities, health and beauty, accessories, sports and
gifts, seasonal products, bags, electronics, food and beverages.
Market trend analysis: MINISO is welcomed by the locals. Global
expansion means that foreigners like the high-end quality of their
products. MINISO is now keeping up with the trend because they are
upgrading or adding more products.
Research and Development System
Inspired by 100 Japanese yen stores and similar retail concepts in Europe
and America, Chinese entrepreneur Ye Guofu and Japanese designer Junya
Miyake founded MINISO, a low-cost grocery store chain in 2013. In the
past five years, MINISO has been the fastest. According to Euromonitor
International, Chinese retailers are growing. Now, the company has 3,500
stores in 79 countries/regions around the world. Its internally sold products
are all designed in-house, and an efficient supply chain based on bulk
procurement helps retailers keep costs low and allows retailers to the
product is priced between 2 and 5 dollars. Ye Guofu said in an interview
with Cheung Kong Graduate School of Business in the spring of 2017 that
the company's gross profit margin was 8%.
Like other companies in the grocery store, the company prioritizes e-
commerce due to high costs. MINISO has established.

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Brand Analysis
The Threat of Substitute Products
MINISO established a product center, responsible for the research and
development of all products. MINISO has 200 professional employees
who travel the world and go to all fashion cities to discover the most
promising trend-setting products and ideas. In the past, before paying
attention to the needs of target consumers and MINISO's delivery
capabilities, they put forward new product development suggestions. After
receiving the suggestion, we will determine its feasibility based on our
database. After the proposal is approved, it will be delivered to Miyake
and its international design team for design work. MINISO contains the
simple, unique, pure and simple features of Northern Europe and Japan.
This is the reason for establishing the unity of our product design.
Rivalry Among Competing Firms
When MINISO enters a new country, the company first conducts extensive
market research to understand local policies, laws and regulations, culture
and traditions. After entering the market, they will also make appropriate
adjustments in various aspects, for example, the products will change
according to local needs. However, they will never change our service
goals and location selection principles. Changes in consumption patterns
will not lead to changes in consumer demand. Customer needs always
exist, and consumers will never get tired of shopping in stores. When they
truly realize our dream of providing high-quality, low-cost products and
providing consumers with a relaxing shopping experience, they will
welcome our store. The main competitors of MINISO are DCM Holdings,
Izumiya and Chie Imai.
The threat of New Entrants
MINISO, the truth behind the global brand. China is hailed as a country of
blatant reproduction and questionable quality. Although things are slowly
changing. If you are in mainland China, please check Mo Bikes, a smart
bike-sharing system. It is very innovative and a model of Chinese
innovation. But these innovations are unacceptable in the traditional
market. After all, the Chinese do not even want to buy Chinese goods.
Let's take a look at the Japanese brand MINISO, which is Chinese. Their

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logo is similar to that of Uniqlo. Use a simple red box and sans-serif text.
However, MINISO added a small handle to make it look like a bag.
Rivalry Among Competing Firms
When MINISO enters a new country, the company first conducts extensive
market research to understand local policies, laws and regulations, culture
and traditions. After entering the market, they will also make appropriate
adjustments in various aspects, for example, products will vary according
to local needs. However, they will never change our service goals and
location selection principles. Changes in consumption patterns will not
lead to changes in consumer demand. Customer needs always exist, and
consumers will never get tired of shopping in stores. When they truly
realize our dream of providing high-quality, low-cost products and provide
consumers with a relaxing shopping experience, they will welcome our
store. The main competitors of MINISO are DCM Holdings, Izumiya and
Chie Imai.
Bargaining power of suppliers and Buyer
MINISO conducts global procurement wholeheartedly welcomes the
world's first-class import and export suppliers and manufacturers. MINISO
chain stores are located in large shopping malls, commercial streets and
popular leisure pedestrian shopping areas.
Therefore, we provide a product line for department stores. MINISO has
about 50,000 products, and about 500-1000 new products emerge every
month. It has been committed to the development of attractive products,
and to bring surprises and desires to consumers, thus becoming a casual
and popular brand.
Conclusion
Based on the comprehensive analysis of MINISO's marketing
environment and marketing strategy, the problems in MINISO's
marketing are analyzed. First, through the analysis of the marketing
environment, MINISO's industrial environment and consumer behavior
are analyzed. Then, from the perspective of marketing, it pointed out the
marketing problems currently faced by MINISO and proposed reasonable
countermeasures to evaluate the potential and missing factors of
MINISO's market development. First, homogenize the MINISO product,

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which can be found in the paper. When innovating and improving new
products. MINISO’s marketing model is single and needs to be
increased. Added MINISO diversified marketing model. The
management system is not sound; the company should standardize
management. The product channels are unreasonable, and reasonable
distribution channels should be designed so that the products can bring
the greatest benefits to consumers. In addition, MINISO's success also
benefits from its successful marketing mix strategies, such as enhancing
market competitiveness, expanding the market scope and improving
economic efficiency.
References
1. Zhou Yu Quan, editor in chief of Zhang Ji xiao. Marketing. Beijing:
Tsinghua University Press, 2007.
2. Zhu Yue ling, relationship marketing strategy based on customer
trust. China Trade. Issue 16, 2010.
3. Kotler (United States), Keller (United States). Marketing
management. Shanghai: Shanghai people's Publishing House, 2009 /
11 / 01.
4. Zhou Wen gen, Xiao Jian ling. Channel development and
management. Beijing. Renmin University of China, 013 / 05 / 01.
5. Li Guo Qiang. Market Research and Market Analysis [M]. Beijing:
Renmin University Press of China 2005 / 79 / 86.
6. Zhu Fang ming. Brand promotion [M]. Beijing: China Economic
Press, 2010.
7. Old smile. Miniso taught a vivid lesson for physical stores. Sales and
Marketing [J1.2015, (33).

ICSBMPSI-2021 412
39
Consumer Perception towards Digital
Payment Applications in Coimbatore City
Mrs. R. Naveena1, Dr. V. Mathan Kumar1
1
Assistant Professor, Department of Commerce, Karpagam Academy of
Higher Education, Coimbatore- 641021, Tamil Nadu, India.

Abstract
India is developing country and the technology is taking world to next
generation. In developing technology there is a huge way to gain the
information. In this world of technology, the sectors are growing faster.
There are some sectors has digitalized all the way banking sector has
develop in payment system. The e-commerce makes a new change in
payment system like banking cards, UPI, mobile wallet, internet banking,
mobile banking, BHIM app. The above said payment system more at UPI
Unified Payment Inference (UPI) is interacted with Reserve Bank of India,
launched in the year 2016 and linked with 142 banks. Virtual Payment
Interface (VPI), Mobile number, Account number & IFSC code, Aadhaar
number, QR code are methods of UPI and process are bank to bank;
social media to social media and it is real-time payment system in the
world. Digital Payment Application is financial or banking transaction of
money from one person to other person on online payment and it makes
great changes in India. In order to identify the Consumer Perception
towards Digital Payment Applications in Coimbatore city present study
have been carried out.
Introduction
Factor of digital payment growing merchants accepting digital payment
mode in short time of life, demonetization in digital payment application,
government policies on cashless economy in future growth, the major
factor is ease of use in digital payment application, smart phone uses is
increases in internet world, the transaction has regulatory support of
application and the improvement in the technology is important factor in
digital payment application. The digital payment application is uses in
micro, small, medium enterprises.

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The mostly used applications are Paytm, Google pay, Amazon pay, Free
charge and PhonePe. The level of uses on digital payment is increasing in
daily life of payment. The digital payment is the one of the solutions for
the card less and cashless economy. The application gets details about
bank, branch, contact number, etc. The information has been secured with
software and details only share at the time of transaction like name,
amount and contact number it only shows to the receiver of the money.
The digital payment application has updated that they launch QR code for
the individual enterprises one scanning the code the sender sends the
money to the enterprises account without getting any information about
the banks, name and contact number. The enterprises started their business
without any credit facility.
The MSMs enterprises comes with new way of earning the money with the
consumers it helps many consumers to pay the money without cash in
hands. The major change occurs only the system is get changing ever time
the new things. The enterprises gain many things through the digital
payment application like bill their product, rewards and any time
transaction. The enterprises get digitalized in the year 2019 and digital
payment application introduce the location of the best enterprises the cam
register and make credit point for it. The enterprises are now uses the ease
way payment system as digital payment application.
Review of Literature
Dr. K. Kamatchi Eswaran (2019) conducted a study on “Consumer
Perception towards Digital Payment Mode with Special Reference to
Digital Wallets” and the study tendency on perception, preference and
satisfaction level of digital payment with 150 respondents. They found that
helped in adoption of digital payment and level of satisfaction more in
educated consumer.
Aleksandar Smolarezyk (2018) conducted a study on “Customer
satisfaction with mobile payment” with 164 respondents. The study
focused on consumer satisfaction and dissatisfaction of mobile payment
and satisfaction level of technology-based service. They found that
satisfaction ability to conduct payment quickly, easily and independent of
the possession of cash and cards. Dissatisfaction source is efficacy, safety,
and cross platform interoperability while designing their application.

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Dr. R. Krishna Kumari, Ms. G. Pavithra (2018) constructed a study on


“Digital Payment Systems; awareness and usages in Coimbatore city” with
250 respondents and the study cognizance on awareness level, purpose,
factor influencing the preference of digital payment. The study uses of
tools were percentage analysis and descriptive analysis and they found that
the government efforts in creating awareness, building trust, providing
cyber security frame work, faster acceptance among the public to adopt
towards digital payment system.
Dr. K. Hema Divya, K. Suma vally (2018) conducted a study on “Digital
Payment in India with perspective of consumer adoption“. The study
focused on impact on digital payment, usage of digital payment and
customer income status with 200 respondents and they used tools were
simple percentage analysis and chi square test. They found that the study
gives emphasis to the percentage of awareness on maximum utilization of
technology and awareness towards the effective usage of technology and
security.
Statement of the Problem
Digital Payments are changing the traditional ways of making and
receiving payments, doing shopping, paying bills, etc. India is in the
Second position in world in population. Still Indian Economy is
developing in the world. In order to accelerate the execution of the concept
of digital economy there are number of digital payment systems
introduced. These payment systems can make changes in the standard of
living of People. In India many cashless payments systems were such as E-
Payments, online payments and Mobile wallets etc. Thus, there exists stiff
competition among the Digital Payment application providers to retain
their existing consumers and to attract new ones. Thus, in this study an
earnest attempt has been made to identify consumer perception towards
digital payment applications in Coimbatore City.
Objectives of the Study
 To analyze the socio-demographic profile of the respondents
 To study the factors influencing consumers towards digital payment
mode

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Methodology
Data
 Data is collected through structured questionnaire.
Sampling
 Convenience sampling method is adopted, data collected from 120
respondents residing in Coimbatore City.
Frame work of Analysis
 Simple Percentage Analysis
 Chi-square Test
Findings
Consumer Perception towards Digital Payment Applications- Socio
Demogrphic Profile
The Table 1 potrays the population engaged in use of digital payments.
Most of the respondents are from urban area (43.3), are male (63.3), are in
the age group of 18-24 years (84.2), are married (84.2), are post graduated
(45.8), are doing their own business (60.0). Their monthly income is up to
Rs.20000, Monthly Expenditure is between Rs.10000-15000 (36.7), know
about digital payment applications though friends(46.6), use of digital
application on monthly basis(35.8), their monthly spending on digital
application is between 501-1000(33.4), mode of payments through debit
cards(47.0), Experience towards use of digital applications between 13
months to 2 years (30.0) and majority of respondents use google pay
(58.4) digital application followed by phonepe (20.9) and paytm (12.5).

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Table 1.Socio Demographic Profile- Simple Percentage Analysis


Socio Demographic Factors No. of. Percentage
Profile Respondents
Area of Residence Urban 52 43.3
Semi Urban 27 22.5
Rural 41 34.2
Gender Male 76 63.3
Female 44 36.7
Age Group 18-24 yrs 101 84.2
25-32 yrs 11 9.2
32-40yrs 3 2.5
Above 40 yrs 5 4.2
Martial Status Married 101 84.2
Unmarried 19 15.8
Educational SSLC 3 2.5
Qualification HSC 12 10.0
Under- 50 41.7
graduation
Post-graduation 55 45.8
Occupation Public sector 1 0.8
Private sector 35 29.2
Student 12 10.0
Business 72 60.0
Monthly Income Below 10000 31 25.8
10000-15000 42 35.0
Above 20000 47 39.2
Monthly Expenditure Below 10000 40 33.3
10000-15000 44 36.7
Above 20000 36 30.0
Information about Social media 56 46.6
digital payments Friends 58 48.3
Magazines 1 0.8
Television 5 4.16
Use of digital Daily 17 14.1
payments Weekly 34 28.3
Monthly 43 35.8
On rare 26 21.6

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occasions
Monthly spending on Less than 500 36 30.0
digital payments 501 to 1000 40 33.4
1001 to 2000 22 18.3
2001 to 3000 22 18.3
Mode of payment Debit cards 56 47.0
Credit cards 25 21.0
Mobile wallets 34 28.0
Others 5 4.0
Experience of digital Up to 3 months 20 16.6
payments Between 3 to 6 34 28.4
months
Between 7 to 12 18 15.0
months
Between 13 36 30.0
months to 2
years
Above 2 year 12 10.0
Digital Payment Phonepe 25 20.9
Applications Google pay 70 58.4
Paypal 2 1.6
BHIM 8 6.6
Paytm 15 12.5
Source: Primary Data
Consumer Perception towards Digital Payment Applications
Chi-square test is employed to find out the significant differences between
the observed distribution of data and the expected distribution.
Out of Eight independent variables selected for analysis, only two
variables are found to be significantly associated with consumers
perception namely, monthly income and monthly expenditure. Only
significant variables are elaborately discussed in the following paragraphs.

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Table 2.Factors influencing Consumer Perception towards Digital Payments


Factors Level of Perception Total Chi-
Low Moderate High Square
Value
Area of Residence
Urban 6 29 6 52
(11.5) 55.8) (11.5) (100.0)
Semi Urban 3 16 8 27
(11.1) 59.3) (29.6) (100.0) 3.570
Rural 5 39 8 41
(12.2) 95.1) (19.5) (100.0)
Gender
Male 10 55 11 76
(13.1) (72.4) (14.5) (100.0)
Female 4 29 11 44 2.245
(9.1) (65.9) (25.0) (100.0)
Age
18-24 yrs 14 71 16 101
(13.8) (70.4) (15.78) (100.0)
25-32 yrs 0 6 5 11
(0.0) (54.5) (45.5) (100.0)
32-40 yrs 0 2 1 3 9.698
(0.0) (66.6) (33.4) (100.0)
Above 40 yrs 0 5 0 5
(0.0) (100.0) (0.0) (100.0)
Martial Status
Married 12 74 15 101
(11.8) (73.4) (14.8) (100.0)
Unmarried 2 10 7 19 5.216
(10.5) (52.8) (36.7) (100.0)
Educational Qualification
SSLC 1 2 0 3
(33.4) (66.6) (0.0) (100.0)
HSC 4 7 1 12
(33.3) (58.4) (8.3) (100.0)
UG 5 35 10 50 8.725
(10.0) (70.0) (20.0) (100.0)

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PG 4 40 11 55
(7.3) (72.7) (20.0) (100.0)
Occupation
Public sector 0 1 0 1
(0.0) (100.0) (0.0) (100.0)
Private sector 5 23 7 35
(14.2) (41.8) (20.0) (100.0)
Student 1 7 4 12
(8.3) (58.4) (33.3) (100.0) 4.161
Business 8 54 10 72
(11.1) (79.1) (13.8) (100.0)
Monthly Income
Below-10000 11 19 1 31
(35.6) (61.2) (3.2) (100.0)
10000-15000 3 33 6 42
(7.1) (78.5) (14.4) (100.0) 14.019*
Above 20000 10 5 32 47
(21.2) (10.8) (68.0) (100.0)
Monthly Expenditure
Below-10000 5 30 5 40
(12.5) (75.0) (12.5) (100.0)
10000-15000 5 29 10 44
(11.4) (65.9) (22.7) (100.0) 18.331*
Above 20000 4 25 7 36
(11.1) (69.4) (19.5) (100.0)
Source: Primary Data
*Significant at one percent level
Monthly Income
The percentage of consumers with high level of perception is found high
among respondents whose monthly income is above Rs.20000 and the
percentage of consumers with low level of perception is found high among
respondents whose monthly income is below Rs.10000. There exist a
significant association between monthly income and level of perception
towards digital Payments. This indicates that Monthly income play a
significant role in acceptance of digital payments mode. Consumers with
high monthly income are more inclined to use the digital payments mode.

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Monthly Expenditure
The percentage of consumers with high level of perception is found high
among respondents whose monthly Expenditure ranges between Rs.10000
to Rs.15000 and the percentage of consumers with low level of perception
is found high among respondents whose monthly expenditure is above
Rs.20000. There exist a significant association between monthly
expenditure and level of perception towards digital Payments. This
indicates that Monthly Expenditure play a significant role in acceptance of
digital payments mode. Consumers with high Monthly Expenditure uses
the digital payments mode to pay their expenses.
Conclusion
The usage of digital payment applications day by day getting mor
familiarity in India with 44% increase after demonetarization in 2016. As
per RBI and National Payment Corporation of India, the cashless
transactions had been more intensive in familiar channels such as NEFT,
mobile Wallets, Mobile Banking, BHIM, UPI, etc. In recent days the
number of users has been increasing day by day with more number young
and adults, particularly the usage of digital payment applications by
students, employees and business persons. In overall the digital payment
application is most benefit to the users in terms of Quick payments,
avoiding to carry physical cash, save time, high secured payment, getting
discounts and rewards. Hence the posture of Indian citizens is shift which
is preference a excellent growth for cashless based economy. This will
include India towards more use of digital application mode payments.
References
1. K. Kamatchi Eswaran (2019) “consumer perception towards digital
payment mode with special reference to digital wallets” RESEARCH
EXPLORER-A Blind Review & Refereed Quarterly International
Journal ISSN: 2250-1940 (P) 2349-1647 (O), Volume 5, Issue 22
page no: 01-08.
2. Aleksandra Smolarczyk (2018) “Customer satisfaction with mobile
payments” thesis in Aalto University School of Business, page no: 2-
76.

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3. R. Krishna Kumari, G. Pavithra (2017) “Digital Payment System:


Awareness and Usage in Coimbatore City” PSGR Krishnammal
College for Women, Coimbatore page no: 01-05.
4. Live mint (2018) “Customer perception towards Mobile Wallets”,
IJRDO- Journal of business Management- ISSN: 2455-6661.
5. K.Suma vally, K.Hema Divya, (2018) “A study on Digital payments in
India with perspective of consumers adoption” International Journal
of Pure and Applied Mathematics Volume 118 No. 24, ISSN: 1314-
3395 page no: 02-09.

ICSBMPSI-2021 422
40
Role of Public Participation in
Social Innovation-A Study
Dr. Azmath Rukhsana1, Syed Bilal Irfan2
1
Assistant Professor, Dept of Commerce, BMS College for women, Bengaluru.
2
Assistant Professor, Dept of Management, HKBK Degree College, Bengaluru.
E-mail Id: [email protected], [email protected]

Abstract
Public participation is imperative for social innovation in any country.
The objective of any social innovation is to find out solutions that meet
social needs more effectively than those that already exist. In order to
develop solutions, it is first important to identify the challenges and
problems that need to be addressed. But often those driving an innovation
process are civil servants, public policy makers and non-profit leaders
who do not experience these problems and challenges first hand. Citizens
or the public themselves are best placed to articulate these challenges.
They have information about themselves that no government or
bureaucracy can ever have and so social innovators must recognise that
citizens or public are experts in their own lives and nobody else can better
understand the process. This paper highlights the need and importance of
public participation in social innovation, problems that need to be
addressed and the key areas for social innovation.
Keywords: Social innovation, public participation, innovation process.
Introduction
Both central and state Governments are facing societal challenges that are
acting as a brake on sustainable economic growth, leading to inequality
and instability in society, and how it affects upon the general well-being of
the society. Social innovation is a response to these challenges that offers
considerable new solutions, new methodologies and new conceptual
frameworks. “Social innovations are new solutions (products, services,
models, markets, processes etc.) that simultaneously meet a social need
(more effectively than existing solutions) and lead to new or improved
capabilities and relationships and better use of assets and resources. In

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other words, social innovations are good for society and enhance society’s
capacity to act. ”Social innovation and its related fields (public services
innovation, social entrepreneurship, social enterprise, social investment,
design thinking) have generated much interest in recent years. Social
innovation as a self-defined field has emerged only within the last decade
or so but interest has spread quickly around the world. The existence of
social innovation is certainly not new, but social innovation as a self aware
field and a phenomenon recognized and taken seriously by policy makers
and public managers .Recently, Our world has created complex health
issues like the recent coronavirus pandemic which has affected the entire
world that require novel system solutions if we and our planet are to
survive and thrive.
Public Participation
Participation can be viewed as a continuum of interaction between
government and the public, ranging from informing and listening at one
end, to implementing jointly agreed solutions at the other; and in between
there is dialogue, debate and analysis. Public participation can be
described as a deliberative process by which interested or affected citizens,
civil society organisations, and government actors are involved in policy-
making before a political decision is taken. It is argued that a core
component of genuine participation is the possibility for involved
actors/stakeholders to change their mind, which enables people to come to
a shared understanding of issues and solutions instead of just exchanging
views.
One useful definition of public participation is provided by the
International Association for Public Participation. They examine the
different goals of public participation from the point of view of the state.
This is laid out as a spectrum of participation that moves from inform to
consult, to involve, to collaborate, to empower.

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Why is Public Participation Important in Social Innovation?


Participation is very much necessary to better understand social
needs
To develop solutions it is first important to identify the challenges and
problems that need addressing. In some cases, where it is citizens
themselves who develop an innovation, needs and challenges will already
be well understood. But often those driving an innovation process are civil
servants, public policy makers and non profit leaders who do not
experience these problems and challenges first hand. Citizens themselves
are best placed to articulate these challenges. Citizens are experts of their
own lives: they have information about themselves that no centralised
bureaucracy can ever have, namely, knowledge of their own needs, desires
and experiences. The tacit knowledge that citizens hold is often critical to
the innovation process.
Citizens or the public in general can be the source of innovative
ideas
In many cases, citizens themselves hold the relevant knowledge and skills
to develop effective innovations. Engagement processes, such as citizen
competitions and co-design processes, can help to uncover these ideas.
Public participation introduces divergent thinking which helps to
find novel solutions to complex problems
Diverse perspectives add particular value when we are trying to solve
tough problems. Diversity is especially important where the problem at

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hand is complex: if we only look to experts with similar perspectives and


heuristics, then they are likely to ‘get stuck in the same places’. A diverse
group of solvers will not. Research also suggests problem solvers who are
‘marginal’ in some sense-e.g. they have expertise in a very different field
of study, or are in some sense distant from the ‘establishment’ in their own
professional community-aren’t bound by conventional thinking which
means that they are often able to approach a problem with novel insights.
It can increase the legitimacy of projects and decisions
Where citizens have been involved in the design, development and
implementation of a social innovation or in a decision making process
relating to that innovation, the innovation is more likely to be seen as
legitimate as if it had been developed without such a process.
Challenges of Public Participation
Participatory planning in itself is not a golden recipe for success. There are
a number of challenges that have to be taken into account. Some of them
are discussed below:
 Participatory practices can be costly in time and money
 There is a knowledge gap to be bridged between citizens and
government officials in complex decision-making processes.
 Participatory arrangements are sometimes criticised as lacking
representativeness by disproportionately involving the wealthy, well-
educated citizens.
 There is a culture gap between government officials and citizens and
public officials have sometimes little experience in organising an
effective participatory approach
 The way governments organisations function are not always aligned to
participatory processes. For example, formal decision-making
procedures are often lengthy in nature, which does not correspond to
the expectations of citizens involved, who expect quick decisions and
results.
 Participating in public meetings is usually not a priority for people
when competing with work, household or other daily obligations. Less
time is available after completing daily chores, which makes the
engagement more difficult.

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 Motivate the citizens, stimulate their interests, and obtain meaningful


inputs are the questions that practitioners need to answer.
 Participating in public meetings is usually not a priority for people
when competing with work, household or other daily obligations. Less
time is available after completing daily chores, which makes the
engagement more difficult.
 Some administrators who organise the public engagement process are
not equipped with engagement skills. They may also have less
experience in public participation. Skilled practitioners are critical to
the success of participation as they can facilitate the process, maintain
a good relationship with citizens, and generate better results.
Social Innovation is Need of the Hour
India is the world’s second most populated country with over 1.3 billion
people and is the world’s 7th largest country in terms of area. It has a
unique geographical and human diversity with a multilingual and multi-
ethnic society and is also the world’s largest democracy.
These are just a few of the reasons why India is significant when it comes
to the practice of social innovation. The biggest challenges facing India
today relate to poverty alleviation, and issues such as low levels of
education, poor health outcomes and limited access to inputs to improve
livelihoods continue to hinder the country’s development. India is also
known for its chronic levels of air pollution; indeed, 22 of the world’s 30
most polluted cities are in India.
Basic social needs where innovation could be thought of and Examples of
social innovation cases and their success factors derived from the database
demonstrate the wide scope of the analysis:
Food
New social practices based around food are emerging due to uncertainties
within the current pandemic and the Changes in economic and
environmental conditions over the last few years have challenged the
security of the world’s food supplies. As such, there have been a number
of important innovations concerning food over the last few decades.
In April 2015, a free food programme by the name ‘Operation
Sulaimani’ was introduced by the district administration and Kerala Hotel

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and Restaurants Association where free meals are offered to all those who
couldn’t afford a meal across restaurants in the city.
The intention was to ensure that no one in Kozhikode goes hungry on
account of an empty or even lost wallet.
Langar Aid-A project by Khalsa Aid is providing food to individuals who
we know are in a vulnerable state and supply breakfast food items to
churches and other organisations that run breakfast clubs, these
include:Jesus Centre, Refuge Centre, God’s Kitchen, Foyer, Various
hostel/ lodges etc
Healthcare
Gaps continue to exist in health systems and access to health services, in
low- and middle-income countries, despite advances in disease prevention
and control, diagnosis and treatment. Social innovations provide a fresh
lens to strengthen health systems and primary health care. Through
participatory approaches, novel solutions are designed and implemented
by innovators, health system actors and other actors to address complex
and longstanding health problems.
Few inspiring examples of social innovation in healthcare are -
AYZH (pronounced “eyes”) a NGO started by Zubaida Bai with the
simple idea of developing affordable, appropriate health technologies
produced by women for women in rural India focus on addressing
women’s most pressing health needs like providing clean birth kits for
clean and safe delivery under project named JANMA, providing
postpartum mother care kit for post delivery comfort and cleanliness for
mothers under a project named JANANI and Project KANYA-Providing
Menstrual Health kit and giving girls and women confidence with clean,
reliable menstrual products.
Statistics reveal that of the 800,000 hearing impaired babies born globally
each year, a striking 100,000 are Indian. In a nation grappling with a lack
of resources, cases of hearing impairment in newborns go undiagnosed due
to the expensive screening equipment and procedures.
Project Listen UP of Sohum Innovation Labs India Pvt Ltd is aiming to
tackle this problem of no diagnosis with its development of a low-cost

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hardware-cum-software solution which screens and diagnoses infants with


hearing impairments at an early stage, using brainstem auditory evoked
response
Education
Over the last few decades, universities, business schools, and community-
based learning programs have embraced social entrepreneurship and
innovation education. More and more programs offer training programs,
accelerators, business plan competitions, and funding as a means of
helping hopeful change agents translate their good intentions into impact.
Social innovation education at its best-within both traditional educational
institutions and the social sector more broadly-helps learners, leaders, and
innovators translate their big ideas into innovations that benefit the
economy, as well as society and the planet.
Bharat Calling, an organisation founded by TISS Alumnus Sandeep
Mehto, which helps connect students from rural areas to prestigious
universities. The main aim of the organisation is to address the appalling
dropout rates and increase awareness amongst rural students about the
kinds of opportunities that are available to them by way of higher
education.
They conduct a simple orientation, in rural government schools sharing
with the students various career options, followed by a camp of 30 days
that enables students to apply for admission to higher education institutes
of their choice. By providing them with the information they need, the
awareness they spread itself has been enough impetus to keep the program
going strong.
The Kahani Project aims to answer this question. A Pune-based
initiative, The Kahani Project creates a free, online repository of audio
stories in various Indian languages for children who are visually
challenged. Listening to stories is a fundamental right of every child. With
this strong belief, The Kahani Project is of the opinion that captured digital
audio format stories can be made more accessible and available to children
of all age groups, nationalities and disabilities.The Kahani Project
conducts live story-telling sessions for different marginalised urban
communities. The project is approaching the issue of mixed ability
inclusion through audio instead of through braille literacy. The project has

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interacted with over 1,000 children since its inception and has over 400
stories in 10 Indian languages available on the website and SoundCloud
channel for free listening.
Conclusion
Although these concepts suggest an incredibly diverse range of activities,
we can identify three defining features of engagement or participation:
 People take part in engagement activities voluntarily-participation can
be incentivised, but it cannot be coerced.
 Engagement requires some form of action on the part of citizens-
participants are not simply passive recipients.
 Participation and engagement activities are usually directed towards
some form of collective action which aims for a common purpose or
goal. This means that they are often strongly connected to a social
mission.
References
1. Arthur Schopenhauer (2003), The Process of Social Innovation,
https://www.mitpressjournals.org/doi/pdf/10.1162/itgg.2006.1.2.145.
2. Castro Spila, J., Luna, A. & Unceta, A. (2016): Social Innovation
Regime. An Exploratory Framework to measure Social Innovation.
SIMPACT Working Paper, 2016(1). Gelsenkirchen: Institute for Work
and Technology
3. Dharmadhikari, A. (2017, March 4). These 8 Initiatives Are
Transforming The Landscape Of Indian Education. Homegrown.
https://homegrown.co.in/article/21768/social-enterprises-8innovati ve-
initiatives-in-education-that-are-having-a-positive-impact-on-india.
4. Gavin Dykes, Jen Groff, Helena Renfrew-Knight and Dan Sutch.
(2010). Driving Social Innovation In Education. Hewlett Packard.
https://www.researchgate.net/publication/263125874_Social_Inno
vation_in_Education.
5. Kevin Chika Urama & Ernest Nti Acheampong (2013), Social
Innovation Creates Prosperous Societies, Stanford Social Innovation
Review, accessed 7 January 2021,
6. Konda, I., Starc, J., & Rodica, B. (2015). Social Challenges are
Opportunities for Sustainable Development: Tracing Impacts of Social
Entrepreneurship through Innovations and Value Creation. Economic

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Themes, 53(2), 211-229. https://doi.org/10.1515/ethemes-2015-0012.


Lindi van Niekerk (2020), COVID-19: an opportunity for social
innovation?, accessed 7 January 2021, https://www.inter national
healthpolicies.org/featured-article/COVID-19-an-opportunity-for-
social-innovation/. https://ssir.org/articles/entry/social_innovation_
creates_prosperous_societies>.
7. Mediawire, National Projects Team (2020), Why social
entrepreneurship is the need of the hour during COVID-19, accessed 6
January 2021, https://timesofindia.indiatimes.com/business/inter
national-business/why-social-entrepreneurship-is-the-need-of-the-
hour-during-COVID-19/articleshow/76296764.cms.
8. Maja Novak (2019), 8 inspiring examples of social innovation in
India, Social Innovation Academy, accessed 7 January 2021,
https://www.socialinnovationacademy.eu/8-inspiring-examples-of-
social-innovation-in-india/.
9. Nyseth, T., Ringholm, T., & Agger, A. (2019). Innovative Forms of
Citizen Participation at the Fringe of the Formal Planning System.
Urban Planning, 4(1), 7-18. https://doi.org/10.17645/up.v4i1.1680.
10. Rustam Sengupta. (2012). Sustainable and Inclusive Innovations in
Health Care Delivery-A Business Model Perspective. GIZ India &
CII-ITC Centre of Excellence for Sustainable Development.
https://www.gita.org.in/Attachments/Reports/giz2013-en-healthcare-
india.pdf.
11. Soule, Malhotra, Clavier n.d., Defining Social Innovation, Stanford
Graduate School of Business, accessed 7 January 2021, https://www.
gsb.stanford.edu/faculty-research/centers-initiatives/csi/defining-
social-innovation.
12. Sonne L. (2015), The Usefulness of Networks: A Study of Social
Innovation in India. In: Nicholls A., Simon J., Gabriel M. (eds) New
Frontiers in Social Innovation Research. Palgrave Macmillan, London.
https://doi.org/10.1057/9781137506801_11.
13. Simon Tucker. (2014). Social Innovation for Public Service
Excellence. Global Centre for Public Service Excellence.
14. Unceta, A., Luna, Á., Castro, J., & Wintjes, R. (2019). Social
Innovation Regime: an integrated approach to measure social
innovation. European Planning Studies, 28(5), 906-924. https://doi.
org/10.1080/09654313.2019.1578338.

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15. The Young Foundation (2012) ‘Social Innovation Overview-Part I:


Defining social innovation’. A deliverable of the project: “The
theoretical, empirical and policy foundations for building social
innovation in Europe” (TEPSIE), European Commission-7th
Framework.
16. https://youtu.be/baTKpkNVbJg.
17. https://youngfoundation.org/wp-content/uploads/2013/11/Engagign-
citizens-in-social-inno.pdf.
18. Social Innovation & Social Entrepreneurship. Impact Garden.
19. Growing Social Innovation. (2012). Action for India. <\https://
www.dasra.org/assets/uploads/resources/AFI%20Forum%202012%20
-%20Growing%20Social%20Innovation.pdf>.

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41
A Conceptual Framework for Examining the
Role of Social Media in Consumer Engagement
Dr. Sunishtha Dhaka1, Dr. Sunny Dawar1, Ms. Savita Panwar1
1
Faculty of Management & Commerce, Manipal University Jaipur, Rajasthan (India)

Abstract
Consumer engagement is an intellectual construct which is related with
positively connect of consumer through cognitive, behavioral and
emotional activities during the personal or virtual interface with brand
communications. There is a need to define consumer engagement in a
better way to conceptualize and operationalize this for measuring the
consumer brand relationship. This can be viewed under the shadow of
relationship marketing, brand loyalty, marketing orientation, social
networks, and brand relationship framework. Social media is an
innovative marketing platform to engage the consumer for developing
better consumer brand relationship. Social media platforms allow the
firms to create, track and measure the consumer interest in the brand
offers of the firms by observing their likes, comments, and share. The
purpose of this research is to review the recent literature available
explaining the relationship between social media and consumer
engagement and would propose a conceptual framework based on the
reviews. The critical review of the available literature would provide
insights to future researchers related to antecedents and effects of social
media platforms on consumer engagement.
Keywords: Consumer engagement, Social media, User Generated Content
websites, Consumer relationship, Marketing orientation.
Introduction
Consumer engagement has become the vital factor to get the success as
effectively engaged customer would take interest in the companies offers.
Companies have to give value to its customers because without them no
business would sustain. It is very much essential that proper
communication must be implemented in small and larger firm so that
engagement may take place properly. With the quick development and

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growth of social network sites, the problem of connecting customers on a


personal level has been solved and technological advancement have made
it easier to enable businesses to establish a relationship with customers.
In present scenario, companies have increased their advertising budgets for
doing the social network advertising. Social media advertising has gained
a lot of customer’s attraction and also of researchers and marketers.
Consumer engagement was never been so much essential as now it is. So
many stores have already closed their doors and marketing efforts have
been shifted towards exclusively online platforms. Those days have gone
when people used to go through the conventional and print marketing
sources to get the information about the products and services. Now they
try to get the knowledge about the products and services on online
platforms.
Social media has become the primary content marketing platform for most
of the business houses irrespective of their size to provide enough
awareness to customers about the companies offers and in current
marketing environment these channels have become very much important.
Social media provides a number of benefits to customers in most of the
marketing avenues which remained normally closed to firms. Earlier
research have focused on the impact of social media marketing and also
the consumer’s acceptance of social media marketing in different business
platforms. The studies have also focused on influence of social media
advertising on the consumer decision making process.
Social media creates a link between the usage of a product and the
customer feedback which is given as a result of consumption. Social media
has seen a remarkable growth potential in last few years and has modified
technology to become significant part of the business, culture and society.
In this innovative world social networking sites like Facebook, LinkedIn,
YouTube, Instagram, Twitter and many more have become the sources of
gaining lot of customers attentions to engage them in advertising of
businesses. It is considered as the process of message diffusion and getting
customer consideration by helping them to access the social media
websites for the promotion of companies offers.
It has been seen in few years online networks has influenced the
companies advertising strategies in multidirectional forms. It has forced
the firm to fulfil the liability for designing and differentiating their

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marketing offers for the better branding of their products. Previous


research has observed the studies of social media advertising keeping into
consideration the traditional effects of internet advertising. There is
emergent need to study the consumer engagement in the consideration of
effects of social media marketing.
This current study would establish a model to investigate the consumer
engagement in social media marketing to find out the relationship among
the different factors related to social media and consumer engagement.
The current study will also focus on what is the role played by social
media in consumer engagement so that social media and community
member relationship, brand relationship and product relationship can be
found out.
Concept Development and Discussion
Social ties enhance the consumer engagement in social media advertising
and the extent to which users actively involved in social media platform to
get the product and service knowledge. Social media marketing has a
sound effects on consumer attitudes and perceptions for the social
networking advertisements who find social media a good source of
information for collecting the details about the companies offers. People
spend a lot of time on searching the detailed information about the
products which they want to buy so that comparison can easily be made
among all the brands available of a particular product category. Social
media platforms offer a platform with full of possibilities for nurturing and
sustaining the strong relationship through online consumer engagements.
Advertising credibility also significantly affect the consumer engagement
and level of interaction have direct impact of advertisement on consumer
engagement. Highly informative advertising has significant impact on
consumers’ engagement. Design of social media advertising and user
perception of advertising have direct influence on level of consumer
entertainment and interaction and this exhibits direct relationship between
social media interaction and consumer engagement. The informational
extent of social media advertising will have direct and positive consumers’
engagement. Credibility of social media sites have direct influence on
consumer media interface, and it will influence long term commitment of
consumer for the different product offers provided by the companies.

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Social media interaction with consumer defines the ways through which
consumer can be influenced for interacting with brands.
The current study has been undertaken for the fulfilment of following
objectives.
i. To examine the background of social media and consumer engagement
from various types of UGC platforms used by the firms to create value
ii. To develop the conceptual model based on the various factors derived
from the previous research done by earlier researchers.

Figure 1.Conceptual Framework Based on Factors Between Social


Media And Consumer Engagement
(Author’s Proposed Model Based on Literature)
User-Generated Websites: User Generated Content Websites as a Social
Media Platform to Facilitate Customer Engagement
Much research on social media has underlined the increase of user
generated content (UGC) websites (Li et al., 2008; Tapscott et al., 2006,
2008). UGC websites are the online platforms in which firms formulate a
forum for user to interact with the firms through various ways of
contribution in UGC (e.g., photos, videos, blogs, etc.).
UGC websites connect consumers and firms to engage in a variety of
functions, such as online social networks (e.g., Facebook and LinkedIn),
collage sharing (Youtube, Google Video), idea generation (e.g., Dell Idea
Storm and MyStarbucksIdea) and social bookmarking (e.g., Delicious,
StumbleUpon, Twine).

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Deloitte organised a research study around 90 firms across various sectors


of industry to identify the usage of UGC websites. During the past three
years, it was identified that nearly 75% of survey respondents had
implemented a UGC website (Deloitte, 2008). Businesses analysed that the
advantages of UGC websites range from gaining insights (39%) from
users and amplifying word of mouth (29%) to new product development
process (21%) and public relations (35%) can be produced from
employing UGC websites (Deloitte, 2008).
A systems theory called Socio-technical (e.g., a UGC website)
encompasses two parts- the social and technical subsystems (Cherns, 1976,
1987; Pasmore, Francis, Haldeman, & Shani, 1982). Socio-technical
theory suggests that factors related with social factors impact on applying
how a user perceives his/her experiences.( Jensen & Aanestad, 2007;
Prahalad et al., 2004a).
Social Interface
To construct positive user consumer experiences in a UGC website social
interface is required. Social interfaces are defined as the transmission
among the firms and users through the UGC website (Prahalad et al., 2000,
2004b). Social interface between the company and partner users influences
how a user experiences his/her environment by allowing users to
experience the UGC website and engage through UGC (Barley, 1996;
Jensen et al., 2007).
Social Interface offers the consumer with the capability to change his/her
experiences engrossing with the firm through user generated content that
will be advantageous to both. (Vandenbosch , 1996; Yen et.al., 2006).
Hence, social Interface indoors the UGC website by fostering a DART
antecedents with the organization and fellow users, depicting a translucent
business approach in engaging customer by offering access to social
resources in the UGC website (Jensen et al., 2007 Prahalad et al., 2004b,
2004a; Wixom et al., 2005).
Social Approachability
Social approachability is defined as having the capability to admittance
towards the social resources for the purpose of involving users towards
engaging. Social approachability is having two major divisions that is used

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in facilitating user experiences; a) admittance to social resources and 2) a


build of social associations.
Admittance to social resources is defined as the affluence with which
information, expertise, and users can be opened within the UGC website
(Wixom et al., 2005). A Build of social associations denotes the awareness
that most people who are important to the user are participating in the
same UGC website (Dickinger et al., 2008; Hsu et al., 2008). Participation
of the consumers in user generated content websites, are mainly looking
for involvements that match personal interests and wishes. Consequently,
users are in search of accessing the expertise and personal friendships that
enable the development of value to an individual user (Wellman, 1999,
2001; Wellman et al., 2003).
Prahalad and Ramaswamy (2004a) suggested that social approachability
enables pleasurable involvements that encourages the customer
engagement. The Researcher’s suggested that users must have admittance
to a critical mass of known associations in engaging themselves with a
website (Hsu et al., 2008). Specifically, the critical mass of known
acquaintances is required to create social encouragement and for handlers
to remark social interactions as useful, warranting a customer’s
engagement behavior (Dickinger et al., 2008).
Conclusion
The growth of social media has altered the role of organizational
boundaries in the relationship between users and organizations. When
enhancing value for the user, the UGC website bridges the organizational
borderline linking the organization and users. The UGC website acts as the
forum for facilitating user experiences.
The practice of social media marketing aims to involve customers in the
online platform where customers spend a huge amount of time nowadays.
Since social business can gain momentum from the touch points on social
media where customers interact with the brands of their interest and
connects with the business, therefore it can be employed as a fool proof
strategy to give mileage to one’s business. The information generated
through these interactions can be analysed and imbibed to design and
create further experiences of customers and facilitate the next set of
conversations.

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Varied areas of study like psychology, organisational behaviour and


sociology have studied the concept of engagement however, the concept
has gained popularity recently in the marketing literature (Brodie et al.,
2011). In marketing the focus of customer engagement is aimed at
building powerful brands. (Sashi, 2012).
Engagement is one of the key factors that enable the real use of social
technology and smooth social interfaces and approachability can make the
engagement experiences rewarding. Opposite to traditional media which
pushes the brand impressions, social media attracts and encourages
collaborations. Consumers on social media feel that by sharing their
buying experiences with their friends or acquaintances they can make
better product choices collectively. Social media not only becomes a
platform for people to get connected with their family and friends but for
businesses it plays a pivotal role in connecting the employees with the
customers. Word of mouth, online review and recommendations and
blogging etc. motivates a customer to get engaged with the brand (Van
Doorn et al. (2010).
When a customer interacts with one another on the social platforms
regarding brands, the chances for repeats purchases of products and
services increases. This enables businesses to understand customer need
more accurately and hence contributing positively to business growth.
References
1. Barley, J. B. 1996. Firm resources and sustained competitive
advantage. Journal of Management, 17: 99-120.
2. Brodie, R.J.; Hollebeek, L.; Juric, B. & Ilic, A. (2011) Customer
Engagement: Conceptual Domain, Fundamental Propositions, and
Implications for Research. Journal of Service Research. Vol. 14, no.3,
pp. 252-271.
3. Cherns, W. & Todd, P. 1976. On the use, usefulness and ease of use of
structural equation modeling in MIS research: A note of... MIS
Quarterly, 19(2): 237
4. Deloitte. 2008. 2008 Tribalization of Business Study. In E. Moran &
P. Asmundson & K. August& K. Openshaw (Eds.): 31.
5. Dickinger, A., Arami, M., & Meyer, D. 2008. The role of perceived
enjoyment and social norm in the adoption of technology with network
externalities. European Journal of Information Systems, 17: 4-11.

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6. Francis, N. & Shah, S. 2010a. How communities support innovative


activities: An exploration of assistance and sharing among end-users.
Research Policy, 32(1): 157-178.
7. Haldeman, L. & Sahni, N. 2006. Connect and Develop: Inside Proctor
& Gamble's new model for innovation. Harvard Business Review,
March: 1-8
8. Hsu, C. & Lin, J. C. 2008. Acceptance of blog usage: The roles of
technology acceptance, social influence and knowledge sharing
motivation. Information & Management, 45: 65-74.
9. Jensen, T. B. & Aanestad, M. 2007. How Healthcare Professionals
"Make Sense" of an Electronic Patient Record Adoption. Information
Systems Management, 24(1): 29-42.
10. Li, G. L., Morrison, P. D., Searls, K., Sonnack, M., & von Hippel, E.
2008. Performance Assessment of the Lead User Idea-Generation
Process for New Product Development. Management Science, 48(8):
1042-1059.
11. Pasmore, W., Francis, C., Haldeman, J., & Shani, A. 1982.
Sociotechnical systems: A North.
12. Prahalad, C. K. & Ramaswamy, V. 2000. Co-opting customer
competence. Harvard Business.
13. Prahalad, C. K. & Ramaswamy, V. 2004a. The future of competition:
Co-creating unique value with customers. Boston, MA: Harvard
Business School Press.
14. Prahalad, C. K. & Ramaswamy, V. 2004b. Co-creation experiences:
The next practice in value creation. Journal of Interactive Marketing,
18(3): 5-14
15. Sashi, C.M. (2012) Customer engagement, buyer-seller relationships,
and social media. Management Decision. Vol. 50, No.2, pp.253-272.
16. Tapscott, D. & Williams, A. D. 2006. Wikinomics: How Mass
Collaboration Changes Everything. New York City, NY: Portfolio
17. Van Doorn, J., Lemon, K. N., Mittal, V., Nass, S., Pick, D., Pirner, P.
& Verhoef, P. C., Aug-2010, In : Journal of Service Research. 13, 3, p.
253-266 14 p.
18. Vandenbosch, B. & Higgins, C. 1996. Information Acquisition and
Mental Models: An Investigation into the Relationship Between
Behaviour and Learning. Information Systems Research, 7(2): 198-
214.

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19. Wellman, B., Quan-Haase, A., Boase, J., Chen, W., Hampton, K., &
de Diaz, I. I. 2003. The social affordances of the Internet for
networked individualism. Journal of Computer-Mediated
Communication, 8(3).
20. Wixom, B. H. & Todd, P. A. 2005. A theoretical integration of user
satisfaction and technology acceptance. Information Systems
Research, 16(1): 85-102.
21. Yen, J., Fan, X., Sun, S., Hanratty, T., & Dumer, J. 2006. Agents with
Shared Mental Models for Enhancing Team Decision Making.
Decision Support Systems, 41: 634-653.

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42
Provider-Recipient Dyadic Interactions:
Impact of Service Quality on Customer
Behaviors using a Multi-Modeling Approach
Mr. Shahbaz Sharif1
1
University of Veterinary and Animal Sciences, Lahore.

Abstract
Service-oriented industries are now focusing on capturing the encounter
behaviors of both service provider and service recipient. It depends on the
conditions of assessing the psychological needs of both parties in which
service-provider provides services to recipient and recipient reciprocate
service-provider in turn to their services. Drawing from service-encounter
needs theory (SENT), this research conducted two studies based on
exploring the service provider-recipient dyadic encounter relationships
between service quality and customer behaviors. By collecting data from
403 respondents from broad range of service industries, study 1 found that
service quality dimensions: reliability, responsiveness, assurance, and
empathy were found to have significant impact on customer satisfaction
but, tangibility did not affect customer satisfaction. Interestingly, customer
satisfaction is a psychological indicator of enhancing customer loyalty
behaviors (Zhang and Bloemer, 2008). So by surveying 361 respondents
from different industries, study 2 was proposed to explore the mediating
role of customer satisfaction between service quality and customer loyalty
behaviors: repurchase-intention (RPI), words of mouth (WOM) and
willingness to pay more (WPM) and to extend the literature of loyalty
behaviors. Study 2 results showed that there were significant mediating
relationships between service quality and RPI, WOM and WPM.
Moreover, the research provides the guidelines, limitations and future
directions.
Keywords: Service Quality, Customer satisfaction, Customer loyalty
behaviors, dyadic interactions, Pakistani service industries, Multi-
modeling approach.

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Introduction
Service quality and customer satisfaction are two important elements that
many service industries would delightedly profess to be endeavoring to
offer to their customers. These two elements are considerably used by
service and banking industries to assess the loyalty behaviors of their
customers. Particularly, service quality has been persistently expanded by
experts of various industries, business schools and popular business press
to obtain desirable results. However, the research says that most of them
would settle without any provoking on the importance of offering their
customers’ service quality (Caruana, Money, & Berthon, 2000). Many
practitioners have failed to distinguish between the two terms of service
quality and customer satisfaction and have often used the terms
interchangeably.
Service quality has been made an extensive amount of interest for social
scientists, practitioners and researchers in the past two decades. The
practitioners and researchers consider that service quality increases the
efficiency level of the firms (Ali & Raza, 2015, Al-Hawari, 2006;
Caruana, Money, & Berthon, 2000; Cheruiyot & Maru, 2013; Yoo & Park,
2007), service quality and customer satisfaction are interchangeable
variables (Caruana, Money, & Berthon, 2000), service quality is positively
linked to customer satisfaction by targeting customers only (Ali & Raza,
2015, Amin & Isa, 2008; Arasli, Katircioglu, & Mehtap-Smadi, 2005;
Awan, Bukhari, & Iqbal, 2011; Terrence Levesque, 1996). Despite the
pieces of literature works on service quality, there are some most critical
areas about which the researchers know little. First, although the
investigation of service quality perception is continuously growing,
employee-customer dyad, a self-reporting of employees-service quality
and customer experiences of satisfaction and loyalty behaviors have not
received empirical consideration in the service quality literature. Second,
most of the literature studies on service quality and customer satisfaction
have done in service industry (Ali & Raza, 2015; Caruana, Money, &
Berthon, 2000; Arasli et al., 2005; Newman & Cowling, 1996; Rust &
Oliver, 1994; Wang et al., 2003; Zhu et al., 2002) and in baking industry
(Caruana, Money, & Berthon, 2000; Ali & Raza, 2015; Amin & Isa, 2008;
Blanchard & Galloway, 1994). Unfortunately, other industries have always
been neglected and given less consideration in the literature. Interestingly,

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this study captures broader number of industries and carries a multi-


modeling approach.
Most interestingly, this research sequentially conducted two studies.
Thereafter, Study 1 extends the ontological network of service quality by
conceptualizing customer satisfaction as an outcome of service quality. In
addition, the understanding of employees-service quality is not only
limited to satisfaction assessments but also involves in achieving other
behavioral outcomes. Likewise, psychological factor of customer
satisfaction is considered good indicator for forecasting customer loyalty
behaviors (Zhang and Bloemer, 2008) and also helpful in building the
customer long-term dealings (Adjei and Clark, 2010). Therefore, study 1
contributes to the research gap and extends the literature of service quality
by conceptualizing customer satisfaction as a mediating variable in
achieving loyalty behaviors of the customers. Considering the importance
of this, it is undisputed matter that collective impact of service quality and
customer satisfaction on customers’ loyalty behaviors remains
controversial (Cronin et al., 2000). To handle the gap and controversial
things, study 2 calls the future research and tries to fill the research gap of
study 1.
Based on above discussion, this study has twofold objectives. First, this
study aims to identify service provider-recipient encounters’ relationship
based on employee-service quality and customer-satisfying experiences
about service quality. Service encounter needs theory (SENT) defines the
mechanisms through which service encounter behaviors influence
outcomes for employees and customers (Bradley Graham et al., 2010).
Further this theory suggests that adverse responses from both parties
should be studied in service industries (Bradley Graham et al., 2010).
Drawing from SENT theory, this study aims to explore service provider
(employees)-recipient (customers) dyadic relationship in multiple
industries e.g., food industry, hospitality & tourism industry, banking
industry, transport industry and health industry. The reason to select
multiple industries, the previous study suggested to conduct research in
different industries especially food and healthcare industry (Alnaser, Abd
Ghani, & Rahi, 2018). The main purpose of this is to see that whether the
employees say exactly the customers have experienced. In simple, study 1
captures the images of multiple industries where employees self-reported
their service quality because employees’ self-reporting behaviors are likely

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to be more reliable and valid and show their involvement in work than
supervisor and co-workers (Berry, Carpenter, & Barratt, 2012) and
customers show their experiences to reciprocate the employees because
satisfaction assessment needs experiences of the customers (Bolton and
Drew, 1991; Cronin and Taylor, 1994). Second, the research conducts
study 2 to explore the mediating role of customer satisfaction between
service quality and loyalty behaviors. Specially, the study 2 explores that
whether the employees’ self-reporting meets the desires of the customer’
satisfaction and customer loyalty behaviors e.g., re-purchase intention
(RPI), words of mouth (WOM) and willingness to pay more (WPM). The
study 2 also captures two-faced response system.
Literature Review and Conceptual Model
Service Quality
This is a general model and measurement instrument for all service
industries. Actually, much piece of work has recently been done by
researchers and social practitioners and they addressed the measurement
approach and conceptualization in the development of SERVQUAL model
in service industries. The SERVQUAL model has multiple dimensions and
has best diagnostic characteristics of the banking and hospitality contexts
over the other service quality measures such as SERVPERE (Angur et al.
1999), the SERVPERE dimensions were totally different from the
SERVQUAL dimensions because there were some overlaps (Jabnoun and
Al-Tamimi, 2003). Cui et al. (2003) exposed SERVPERF and
SERVQUAL were not unidimensional and they also revealed that while
analyzing confirmatory factor analysis, the measurement scales of
SERPERE lacked validity with samples from different cultures.
Even though the existence of multiple methodological problems have been
contested and are debated, the majority of research work has been strongly
predisposed by the conceptual model of service quality proposed by
Parasuraman et al. (1985), and consequently operationalized and advanced
by the same authors.
After the radical work of Parasuraman, Zeithaml, and Berry (1985), the
literature studies have paid much attention to service quality model. They
used the service quality construct based on 10 dimensions and proposed a
gap model. Afterwards, they reduced the service quality dimensions to 5 in

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the year 1988. They developed the survey questionnaire of 22 items and
declared it as SERVQUAL model. Parasuraman, Berry, and Zeithaml
(1991; 1994) and Angur et al. (1999) stated that SERVQUAL model is the
combination of diagnostic characteristics and ensures some practical
implications. Now, this measurement model has been used by different
service industries and many academic researchers as well (Albert Caruana,
2000; Ali & Raza, 2015; Amin & Isa, 2008; Awan et al., 2011; Dölarslan,
2014; Lam & Woo, 1997; Raza et al., 2015; Wang, Lo, & Hui, 2003; Zhu
et al., 2002). These five dimensions of service quality are tangibility,
reliability, responsiveness, assurance and empathy.
Literature studies show five original dimensions of service quality whereas
some studies have been used six dimensions. The sixth dimension is
‘compliance’ which items have been taken from compliance aspect of
Islamic banking SERVQUAL scale (Othman and Owen, 2001). This study
conducted to multiple sectors known as multi-modeling. So, this study did
not take compliance scale. Karatape et al. (2005) advocated that service
quality measures addressed to one culture may influence service quality
sentimentalities in a different culture. Therefore, the present study
provides useful visions for researchers and academics in implementing
SERVQUAL in the Pakistani multiple contexts to capture the two faced
response rates that mean employee-customer dyad. The researchers have
done much piece of works on service quality and customer satisfaction.
These relationships are being addressed below:
Service quality and customer satisfaction
Previous literature studies argue that the service quality is a better
measurement enhances customer satisfaction (Dölarslan, 2014; Anderson
& Sullivan, 1993; Levesque & McDougall, 1996). Oliver (1980) explains
that customer satisfaction requires the needs of customer expectations of
the services and products. If the satisfaction measure matches the customer
expectations or even satisfaction measure exceeds customer expectations
then it can say that they are satisfied. If the performance measure does not
match or exceed, they are dissatisfied (de Wulf, 2003). Previous research
works have acknowledged different factors that influence the customer
satisfaction in the banking sector especially in the Europe and USA.
For the satisfaction of the customers, Greek Cypriot bank in Turkey
applied SERVQUAL technique to attain customer satisfaction. The service

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quality dimensions are used in predicting customer satisfaction and these


dimensions are named as explanatory variables. In addition, the literature
study shows that the reliability dimension has highest effect on customer
satisfaction (Arasly et al., 2005a). This model was consistent with Ali &
Raza, (2015) and Amin & Isa, (2008) who found that there are positive
and significant relationship between each SERVQUAL dimension and
customer satisfaciton. In the retail banking, customers put themselves
under the criteria of satisfaction towards their banks to which service
quality is provided. A study on college students in Bahrain described that
the young customers focus more on prevailing factors like friendliness of
bank staff, 24-hours ATM, bank’s reputation, convenient location and
availability of space where they would like to park conveyance
(Almossawi, 2001). The banks can probably influence the level of
customer satisfaction by providing these benefits on a continuous basis.
Now, banks are providing innovative methods to satisfy the customers
such as online system, internet banking, and call and telephone center.
However, Levesque and McDougall (1996) identify that competitiveness
and convenience are two important factors of the bank which are more
likely to affect customer satisfaction. In the service industries, there are
great importance gives to service quality perceptions and the association
between service quality and customer satisfaction (Ali & Raza, 2015;
Amin & Isa, 2008; Dölarslan, 2014; Taylor and Baker, 1994). Some
academic and social researchers defined that customer satisfaction is an
antecedent of service quality (Parasuraman et al., 1985, 1991, 1994;
Bitner, 1990), and others stood up against this argument and mentioned
that the service quality acts as an antecedent of customer satisfaction
(Cronin and Taylor, 1994; Anderson and Sullivan, 1993). The recent
research has been done in the UAE retail banking advocates that service
quality dimensions are well correlated with customer satisfaction (Jamal
and Naser, 2002). Nevertheless, there is too little literature demonstrating
the importance of service quality dimensions in defining customer
satisfaction (Levesque and McDougall, 1996). Anderson et al. (1994)
suggest that if the banks use improved quality will enhance more customer
satisfaction. The researchers advocate that the service quality instrument is
used in determining service deficits in the banking sector than any other
serve measuring instrument (Angur et al. 1999).

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Moreover, Awan et al. (2011) examined that service quality and customer
satisfaction has well correlated to each other. These findings validate the
importance of service quality in the Pakistan banking sector. In recent
times, many literature studies have mainly focused on service quality and
customer satisfaction using different contexts. For example, Ali & Raza,
(2015) examined service quality dimensions and customer satisfaction in
the Pakistan internet banking sector. Their findings argue that the service
quality and customer satisfaction can only be better predicted through
SERVQUAL dimensions. Based on above discussion, the present study
may predict employee-customer response rate about the services rendered
by employees and the experiences of customers as recipient. For this
purpose, the hypothetical statements are proposing here:
Research hypotheses
On the basis of past empirical findings, the research hypotheses of this
study are as follows:
H1a: Tangibility dimension will positively and significantly affect
customer satisfaction.
H1b: Reliability dimension will positively and significantly affect
customer satisfaction.
H1c: Responsiveness dimension will positively and significantly affect
customer satisfaction.
H1d: Assurance dimension will positively and significantly affect
customer satisfaction.
H1e: Empathy dimension will positively and significantly affect customer
satisfaction.
H1f: Overall service quality will positive and significantly affect customer
satisfaction.
Research methodology of study 1
Participants and procedure
To test the proposed hypotheses, the study collected data form a broad
range of industries (e.g. hospitality industry, banking industry, food
industry and health industry). The study administered 500 survey
questionnaires among the service provider-recipient encounter’ dyads
however, 403 survey questionnaires were valid and reliable. The response

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rate was (80.6%). The employees were asked to respond the survey
questionnaires and forward the same to the customers in same time and
place. The employees’ questions were separated from the customers’
questions so that they can easily understand what the research want from
them. Majority of respondents were male (62.03%). 30% respondents were
found to have master degree, (50.12%) respondents were found to have
bachelor degree and (19.85%) respondents found having an education of
intermediate level. Ethnicity of the respondents (urban=67.7%, and
rural=32.3%) were also found.
Measurement scales
According to service encounter needs theory (SENT), service encounter’
outcomes can be assessed by both service provider on one hand and
service recipient on other (Bradley Graham et al., 2010), further define that
service-encounter must help both parties to accomplish their needs in
sense of their self-reporting competency and efficacy. Based on above
arguments, study 1 extends the literature of service provider-recipient
dyad. The employees responded to their portion of survey questionnaires
about their service quality because employees’ self-reporting behaviors are
likely to be more reliable and valid and show their involvement in work
than supervisor and co-workers (Berry, Carpenter, & Barratt, 2012).
Meanwhile, customers were asked to respond to their portion of survey
questionnaires about their satisfaction towards employees’ service quality.
All measurement scales of this study are measured on a 5-point Likert
scale ranging from (1) ‘strongly disagree’, (2) ‘disagree’, (3) ‘neutral’, (4)
‘agree’ and (5) ‘strongly agree’ to test the perception of employees and
experience of customers about service quality.
Service quality
The service quality scale including 22-items consists of five dimensions
has been adopted from Parasuraman et al., (1988). This measurement scale
includes five dimensions such are tangibility, reliability, responsiveness,
assurance and empathy.
Customer satisfaction
The ‘customer satisfaction scale’ is adopted from the literature study
(Caruana, 2002).

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Individual characteristics
This study uses individual characteristics such as gender, education level
and ethnicity.
Findings of the study 1
To analyze the statistical data, the present study used structural equation
modeling, specifically, applied the latest version smart PLS 3.3.2. This
study runs the PLS-SEM technique because it is suitable for exploratory
researches where new relationships are being investigated (Hair et al.,
2018; Muhammad et al., 2017). Accordingly, this study proposed new
relationships among the constructs hence; this study is related to
exploratory nature. Moreover, this technique is appropriated for building
theories and predicting applications in contexts where the research is under
study and new as in the present study (Roldán and Sánchez-Franco, 2012).
Particularly, PLS-SEM technique is used at analyzing complex and multi-
dimensional model as Hair et al., (2012) argues that PLS technique is used
when the model is based on complexity and has many latent constructs and
indicators. Moreover, Partial Least Square (PLS-SEM) operates much in
multiple regression analysis (Hair et al., 2012).
Assessment of measurement model
PLS-SEM provides many rigorous measures for construct reliability,
convergent validity, and discriminant validity (Fornell, C., Larcker, D.F.,
1981; Hair et al., 2018). By using structural equation modeling, the study
performed a series of confirmatory factor analyses (CFA) to assess the
constructs’ validity and reliability. To assess the convergent validity of the
constructs, outer loadings, and AVE (average variance extracted) are
measured (Hair et al., 2012; 2013). Outer/factor loadings of latent
constructs should be greater than 0.70 or higher in exploratory research
(Joe F. Hair Jr, 2012; Hair et al., 2013). Importantly, factor loadings above
0.7 explain over 50% of the indicator variance (Hair et al., 2012; Joseph F.
Hair, 2013). By assessing EFA, the outer loading of one item of tangibility
(TAN4=0.691), and one item of customer satisfaction (CS1=0.625) were
below the acceptance threshold. So, these outer/factor loadings were
removed from the measurement model. Outer/factor loadings of constructs
are shown in (Table .1). Meanwhile, AVE should be 0.5 or greater than 0.5
(Hair et al., 2013), it should be greater than squared correlation (Fornell,

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C., Larcker, D.F., 1981) and square root of AVE of any construct must be
higher than the correlation with other constructs (Wong, 2013). Therefore,
the study found that AVE of all latent constructs was greater than the
acceptance threshold (Table .1).
To assess construct reliability, the internal consistency of constructs
typically evaluates as composite reliability and high values indicate higher
reliability (Sarstedt et al., 2014). Specifically, reliability values fall
between 0.60-0.70 in exploratory research (Hair et al., 2012) however, it
should be equal to and greater than 0.70 (Hair et al., 2013). The study
showed good composite reliability values of all constructs in (Table .1).
Table 1.Validity and reliability of the constructs (end of the chapter)
By assessing discriminant validity, the study used the HTMT ratio
(Heterotrait-monotrait) criteria (Henseler et al., 2015). HTMT criterion
recommends that HTMT values should be less than 0.90, acceptable
criteria (Henseler et al., 2015). This study calculated discriminant validity
and mentioned in (Table .2). Structural equation modeling was evaluated
and the study claimed that there were good validity and reliability of the
constructs.
Table 2.Discriminant validity (HTMT) ratio (end of the chapter)
Assessment of path model (Path Coefficient)
Smart-PLS 3.3.2 generates t-statistics to test the inner and outer model
significant level by applying a technique, called bootstrapping (Hair et al.,
2018). Bootstrapping was used to test respondents’ data with subsamples
5000 from the original sample size 403. Bootstrapping recommends three
values (e.g. path coefficient, t-values, and p-values) to reject and accept
the research hypothesis (Hair et al., 2014), t-values should be greater than
1.65 with (p<0.10), 1.96 with (p<0.05) and 2.57 with (p<0.01) (Hair et al.,
2014; Hair et al., 2013). This study used a 5% (0.05) significant level to
test the proposed hypotheses so that t-values should be greater than 1.96
with (p<0.05) because, t-values are considerable measures to test the
hypothesis whether it is significant or not (Wong, 2013). Table .3 presents
the effect of total service quality and each of dimensions of service quality
on customer satisfaction. The study found that tangibility had not a
significant impact on customer satisfaction (b = 0.049, p > 0.05). So, the

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hypothesis (H1a) was not supported. However, reliability had a significant


and positive impact on customer satisfaction (b = 0.453, p < 0.05),
therefore, the hypothesis (H1b) was supported. Responsiveness had a
significant and positive impact on customer satisfaction (b = 0.141, p <
0.05) and the hypothesis (H1c) was also supported. Assurance was found
to have a significant and positive impact on customer satisfaction (b =
0.180, p < 0.05) so that the hypothesis (H1d) was supported. Accordingly,
empathy had also a significant and positive influence on customer
satisfaction (b = 0.170, p < 0.05) and the hypothesis (H1e) was also
supported. Finally, the study measured the overall effect of service quality
on customer (b = 0.773, p < 0.05) and this overall effect was significant
and positive. At last, the hypothesis (H2) was supported and accepted on
the following grounds.
Table 3.Effect of service Quality and its dimensions on customer
satisfaction (end of the chapter)
Assessment of model fitness
PLS-SEM is predictive-oriented software. It deals with providing model-
fitness parameters e.g. R2 (coefficient of determination), Q2 (predictive
relevancy and accuracy), and f2 (effect size). R2 is used to test the model
predictive accuracy (Joe F. Hair Jr, 2014) and is calculated by taking a
square of the correlation coefficient. Management scholarly researches
argue that R2 values are ranging from 0.25 to 0.50 to 0.75 respectively
indicate a weak, moderate, and strong effect (Sarstedt et al., 2014; Hair et
al., 2013; Ringle et al., 2012; Joe F. Hair Jr, 2014). In structural equation
modeling, f2 values are ranging from 0.02 to 0.15 to 0.35 respectively,
indicate a small, medium, and large effect by exogenous variable to an
endogenous variable (Sarstedt et al., 2014; Joe F. Hair Jr, 2014). The
researchers suggest that as a rule of thumb Q2 values should be greater
than zero (0) for a specific endogenous construct from exogenous
construct to predict model accuracy and relevancy (Sarstedt et al., 2014;
Joseph F. Hair, 2013). Based on the above threshold values, the study
found that there were good model-fitness and predictive-accuracy (see
table 3).

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Discussion of the study 1


The present study has twofold purpose to determine the dyadic interactions
between service provider and service recipient such as (1) to investigate
the dyadic interactive outcomes from the effect of service quality to
customer satisfaction in different service industries and (2) to quantify the
mediating role of customer satisfaction between service quality and
customer loyalty behaviors where both parties (service provider-recipient)
responds separately to show their psychological underpinnings of their
competence. Study 1 investigates the effect of service quality dimensions
on customer satisfaction. Past studies have done much piece of work on
service quality and customer satisfaction but one thing makes this research
unique and different from others, is the dyadic interactions of both parties
pursuing their psychological needs. Second, this research selected different
service industries to target the maximum likelihood and reliable response
rate based on encountering behaviors. Study 1 findings show that
dimensions of service quality (reliability, responsiveness, assurance, and
empathy) have significant and positive effect on customer satisfaction. The
results are consistent with the following studies Ali & Raza, (2015); Amin
& Isa, (2008); Albert Caruana, (2000) and Terrence Levesque, (1996)
examined by using the SEM approach that each dimension of service
quality (tangible, reliability, responsiveness, assurance and empathy) has
significant and positive effect on customer satisfaction. One dimension of
service quality; tangibility did not affect customer satisfaction. Meanwhile,
the overall impact of service quality on customer satisfaction was found to
be significant.
The uniqueness of this is that the employees of the service industries have
provided the services in best manners and made customer to reciprocate
the employees in dyadic encountering interactios. Moreover, customers
responded exactly according to employees’ perceptions because both
participants showed their needs. So, there was a strong bonding interaction
between service provider and service recipient.
Study 2
Customer satisfaction is psychologically a good indicator and predictor for
customer loyalty behaviors (Zhang and Bloemer, 2008), service quality
and customer satisfaction jointly affect loyalty of customers and helpful in
achieving long-term relations with customers (Adjei and Clark, 2010).

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Based on above evidence and to fill the study 1 research gap, Study 2 was
supposed to test the effect of both service quality and customer satisfaction
on customer loyalty behaviors. The study 2 was also conducted to explore
the mediating role of customer satisfaction between service quality and
loyalty behaviors of the customers. The expression of employees-service
quality may be hindered or strengthened the role of customer satisfaction
to loyalty behaviors (e.g. re-purchase intention, words of mouth, and
willingness to pay more). Research along this sight may carry the
significant practical implications of service provider-recipient dyads.
Particularly, the goal of the study 2 is to explore the mediating role of
customer satisfaction from employees self-reporting service quality to
customer loyalty behaviors (an employee-customer dyad).
Loyalty behaviors
According to Oliver (1997), loyalty behavior is defined as “a strong desire
to re-purchase or utilize a favorite service/product constantly in the future,
where same brand or hand-set is being purchased until the marketing
efforts would switch off the “loyalty behavior” (Oliver, 1999). However,
loyalty behavior is a dominant construct has good relationship with
marketing and is based on re-buying product/service (Zhang and Bloemer,
2008). For instance, current research works have shown that customer
loyalty is hypothesized from behavior, integrated and attitudinal
perspectives (Dölarslan, 2014; Homburg and Giering, 2001; Hur et al.,
2012). In addition to the present study, Fullerton (2003), Zhang and
Bloemer (2008) and Dölarslan, (2014) hypothesized loyalty as
fundamentally “behavioral intention” and identified three basic type
factors related to customer loyalty behavior:
1. Positive WOM (Word of mouth) communication;
2. (2) WPM (willingness to pay more); and
3. RPI (Repurchase intention)
WOM communication has much importance in the service industry as
defined well by (Hartline and Jones, 1996; Maxham, 2001; Zeithaml et al.,
1993, 1996), chiefly as it targets the customer attitudes and reduces the
level of risk and uncertainty during re-purchase decisions (Wangenheim
and Bayon, 2004). The previous study advocated that WOM

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communication can be negative, neutral or positive (Anderson, 1998),


however industrial managers are seemed more interested in encouraging
positive WOM communication (Hutchinson et al., 2009). In addition,
WPM is termed as the customer is willingness to pay maximum sum of
money for a service or product (Homburg et al., 2005) and the customer is
willingness to re-buy this service or product even an increase in price
(Srinivasan et al., 2002) and also reveal that loyalty has consistent effect
on both the WOM communication and WMP.
Vazquez-Casielles et al. (2009) define that RPI relates to customer re-
buying attitude towards a service or product and the customer wants to
maintain him/her within the particular product or service. Moreover,
he/she commits to make transaction with the service provider of that
service or product. The study shows that the RPI dimension of loyalty
behavior is related to customer satisfaction (Dölarslan, 2014 Pihlström and
Brush, 2008; Zhang and Bloemer, 2008). Consistently, customer
satisfaction has been advocated to correlate positively to RPI.
Customer satisfaction and loyalty behaviors
Satisfaction and re-purchase intention (RPI)
Past studies have addressed that customer satisfaction significantly and
directly affects customer behaviors (Brady et al., 2005; Dölarslan, 2014;
Cronin et al., 2000; Oliver, 1999). In addition, the customers who are
highly satisfied tend to repurchase the product or service (Zeithaml et al.
1996). In opposite way, if the customers are strongly dissatisfied with the
product or service, they find its competitor (Jiang and Rosenbloom, 2005).
Particularly, some literature studies have revealed how satisfaction effects
RPI (Tam, 2004), either as a good predictor of RPI (Dölarslan, 2014;
Zhang and Bloemer, 2008). Therefore, the present reasonably expects that
customer satisfaction positively and significantly affects RPI. For this
purpose, the following hypothesis is addressed.
H3a Satisfaction has a significant effect on RPI.
Satisfaction and words of mouth (WOM)
There are many literature evidences of finding the impact of customer
satisfaction on WOM communication. Such as, the customers who are
highly satisfied tend to repurchase the product or service (Zeithaml et al.

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1996). Similarly, WOM communication is extremely influenced by


customer satisfaction and dissatisfaction (Anderson, 1998). Dölarslan,
(2014) showed that if the customers show dissatisfaction about the
product/service rather than satisfaction, there would be greater rate of
WOM communication. On the opposite direction, Brown et al. (2005)
advocate that customer satisfaction plays an important role to repurchase
behavior which often reflects positive words of mouth. However, most of
studies advocate that customer satisfaction significantly and positively
influences the positive WOM communication (Chang et al., 2013;
Hutchinson et al., 2009; Lai and Chen, 2011; Gallarza and Saura, 2006;
Vazquez-Casielles et al., 2009). Therefore, the present study expects that
the customer satisfaction significantly and positively influences positive
WOM communication. For this reason, a hypothesis is proposed.
H3b Satisfaction has a significant effect on positive WOM
communication.
Satisfaction and Willingness to pay more (WPM)
Anderson (1996) argues that if the customer satisfaction increases then the
price elasticity of demand will decrease. In simple words, the customer
satisfaction influences individuals’ willingness to pay more for the
product/service (Homburg et al., 2005). Nonetheless, the researcher
proved that the customer satisfaction has a negative relationship with the
price elasticity of demand where the customers are dissatisfied with the
purchase of product/service (Anderson, 1996). But many studies showed
positive and significant relationship between the customer satisfaction and
WPM (Homburg et al. 2005; Zhang and Bloemer, 2009). Therefore, this
study expects that the customer satisfaction affects WPM. For this
prediction, the study proposes a research hypothesis.
H3c Satisfaction has a significant effect on WPM.
Mediating role of Customer Satisfaction between Service Quality and
Loyalty behaviors
The present study is considered customer satisfaction as mediator between
service quality and customer loyalty behaviors. The first study of Taylor &
Baker (1994) explained that customer satisfaction acts as a moderator
between service quality and customer loyalty behaviors but their later

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study found that customer satisfaction acts as mediator instead of


moderator. In addition, the previous study found customer satisfaction
mediates the positive and significant relationship between service quality
and re-purchase intention (RPI) (Bou-Llusar et al. 2001). Another study
provided shred of evidence that customer satisfaction is an influential
factor which mediates the relationship between service quality and RPI
(Cronin et al., 2000). Service quality is based upon technological services
influences customer satisfaction which in turn, determines the customer
loyalty behavior in the Indian banking industry (Lenka et al., 2009).
Therefore, it is found that customer satisfaction plays mediator role
between service quality and loyalty behavior. Chang and Polonsky (2012)
advocated that customer satisfaction partially mediates the relationship
which increases positive loyalty behavior of customers. However, the
study argued that the positive effect of service quality on customer loyalty
behavior was possible with the overall influence of customer satisfaction
and service quality (Yieh et al., 2007). Han and Ryu (2009) found that
loyalty behavior can be predicted by overall effect of its antecedents and
customer satisfaction.
Literature studies showed that service quality positively affects customer
satisfaction, which in turn positively affects customer loyalty (Bou-Llusar
et al. 2001; Izogo and Ogba, 2015; Kim and Lee, 2010; Lenka et al.,
2009). A study conducted in Netherlands shows that service customer
satisfaction mediates the positive relationship between service quality and
customer loyalty (Bloemer et al. (1998), and in Japan (Bei and Chiao,
2001), partially mediates the relationship between service quality and
customer loyalty behavior (Crauana, 2002). In addition, Kim (2011)
advocates the indirect effect of service quality on customer loyalty through
the mediation of customer satisfaction among the restaurants in Korea.
In this global world, customers tend to create negative word of mouth
(WOM) when they feel dissatisfaction. Moreover, they induce other
customers to create negative WOM (Newman, 2001; Caruana, 2002).
These positive and negative WOM communications are very useful in
Asian countries such as Pakistan, where cultural and social aspects are
formulated in a way to create social interactions among the people. It is
also highlighted by Shanka (2012) in the Ethiopian banking sector that
there was positive relationship between service quality and customer
loyalty. In addition, the study provided high service quality increases

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customer satisfaction, which in turn increases customers’ loyalty. Arasli et


al. (2005b) explored from the study and examined that the service quality
has positive and significant indirect effect on customer WOM
communication.
Willingness to pay more (WPM) is also a psychological property which
defines individual behavior towards any product or service. This study
posits that customer satisfaction indirectly influences the customer loyalty
behavior. The literature study found that service quality affects number of
behavioral intentions through the mediating role of customer satisfaction
and explains whether this relationship is direct or indirect (Cronin et al.,
2000). Many researchers advocate service quality has indirect positive
effect on customer loyalty and this is only possible through customer
satisfaction (e.g., Taylor, 2002; Gotlieb et al., 1994; Roset & Pieters,
1997). The present study also investigate the mediating relationship of
customer satisfaction between serivie qulaity and WPM. While getting the
literature evidences, Taylor, (2002) found that customer satisfaction acts as
a mediator between the service quality and behavior intentions (WPM,
switching intention and advocacy). In the said study, there was significant
and positive association between service quality (independent) and
customer satisfaction (dependent). On the other way, the customer
satisfaction (mediator) creates positive and significant relationship
between service quality and WPM, so there was partial mediation (Baron
& Kenney, 1986; Taylor, 2002). Furthermore, Jaiswal, and Niraj (2011)
found the fully mediating role of customer satisfaction between service
quality and willingness to pay more (WPM). After the depth debate and
based on literature evidences, the present study proposes the following
hypotheses.
H4 Customer satisfaction positively and significantly mediates the
relationship between service quality and RPI.
H5 Customer satisfaction positively and significantly mediates the
relationship between service quality and WOM.
H6 Customer satisfaction positively and significantly mediates the
relationship between service quality and WPM.

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Research methodology of study 2


Participants and procedure
To test the proposed mediating hypotheses, this study surveyed the
employee-customer dyad from tourism industry, transport industry, and
banking industry. The study distributed 425 survey questionnaires to
respondents including employees and customers. The study is comprised
of employee-customer dyad therefore, the employees were asked to self-
report their service quality and customers were asked to rate their
satisfaction and loyalty behaviors e.g., RPI, WOM and WPM. The survey
questionnaire was categorized into two parts: (1) indicates employee self-
reporting items and (2) indicates customer ratings about service quality of
employees. Out of 425, 361 survey questionnaires were proved reliable
and valid. The response rate was 84.9%. 63.99% respondents were male
and 36.01 respondents were female. 58.45% respondents were belonged to
urban areas and rest of them from rural areas.
Measurement scales
As with study 1, all measurement scales are measured on a five-point
Likert ranging from (1) ‘strongly disagree’, (2) ‘disagree’, (3) ‘neutral’, (4)
‘agree’ and (5) ‘strongly agree’ to test the perception of employees (self-
reporting) and experience of customers about the service quality of
employees. An employee-customer dyad is proposed to test the mediation
of customer satisfaction between service quality and loyalty behaviors.
Service quality
Same as in study 1, the service quality scale consists of five dimensions
has been suggested by Parasuraman, (1988). This measurement scale
includes five dimensions such are tangibility, reliability, responsiveness,
assurance and empathy.
Customer satisfaction
A three items ‘customer satisfaction scale’ is adopted from the developed
scale of literature study (Cronin et al. 2000).

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Loyalty behaviors
The RPI and WOM communication scales have been found from the
literature studies (Dölarslan, 2014; Maxham 2001; Terrence Levesque,
1996). But this study adopted two items of RPI more comprehensive and
clear, suggested by (Terrence Levesque, 1996), three items of WOM
communication suggested (Dölarslan, 2014) and two items of WPM
communication also adapted from (Dölarslan, 2014; Zeithaml et al. 1996).
This scale will measure on 5 point Likert scale ranging from “1=strongly
disagree” to “5=strongly agree”.
Individual characteristics
This study uses individual characteristics such as gender and ethnicity.
Findings of study 2
Assessment of measurement model
By assessing the structural equation modeling, construct reliability and
validity were performed to test the factor structure known as construct
reliability and validity. Joseph F. Hair, (2013) suggests that a researcher
begins with examining the indicator factor’s loading. Therefore, the
present study adopts the Hair et al., (2018) criteria for factor loadings
which should be greater than 0.7. Factor loadings above 0.7 explains that
construct is over 50% of the indicator variance (Hair et al., 2018; Joseph
F. Hair, 2013). Moreover, composite reliability should be equal to or
greater than 0.70 (Hair et al., 2018). The study found that the factor
loading of all constructs was satisfactory and good according to
acceptance threshold. Therefore, there were good validity and reliability.
Table 4.Validity and reliability of the constructs (end of the chapter)
Based on HTMT (Heterotrait-monotrait) ratio criteria (Henseler et al.,
2015), HTMT values should be less than 0.90. The study proved that the
HTMT values of all constructs are less than the threshold value 0.90.
Therefore, there were good validity and reliability.
Table 5.Discriminant validity (HTMT) ratio (end of the chapter)

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Structure equation modelling


Secondly, the structure equation modelling (SEM) was used to test the
regression coefficients known as path coefficient analysis by following
bootstrap technique. The path coefficient standard values fall between +1
to -1 (Hair et al., 2013; Roni et al., 2015) suggest that path model
coefficient closer to +1 indicates high & positive relationship and on the
opposite side indicates high negative relationship. The rejection and
acceptance of hypothesis depends upon two parameters known as t-value
and p-value. Customer satisfaction was found to have significant effect on
RPI (b=0.441, p<0.05) so, the hypothesis (H3a) was supported. On the
other hand, customer satisfaction had a significant effect on WOM
(b=0.547, p<0.05) therefore, the hypothesis (H3b) was supported. Finally,
customer satisfaction was found to influence WPM (b=0.515, p<0.05) so
that the hypothesis (H3c) was also supported. The results are shown in
table 6.
Table 6.Effect of customer satisfaction on loyalty behaviors (end of the
chapter)
Thirdly, the study explored the mediating role of customer satisfaction
between service quality and RPI (b=0.317, p<0.05) and there was a partial
mediation. Therefore, the hypothesis (H4) was accepted and supported.
Secondly, customer satisfaction was found to have mediated relationship
between service quality and WOP (b=0.393, p<0.05) and the mediation
was partially mediated. So, the hypothesis (H5) was supported. Finally,
there was also a partial mediation between service quality and WPM
though the role of customer satisfaction (b=0.370, p<0.05). Therefore, the
hypothesis (H6) was supported and accepted. The mediating results are
shown in table 7.
Table 7.Mediating role of customer satisfaction between service quality
and loyalty behaviors (end of the chapter)
Assessment of model fitness
PLS-SEM is predictive-oriented software and deals with the parameters of
model fitness; R2 (coefficient of determination), Q2 (predictive relevancy
and accuracy), and f2 (effect size) (Sarstedt et al., 2014; Hair et al., 2018).
Using the model fitness threshold of study 1, the study 2 showed that there

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was good model fitness in term of model accuracy; relevancy and effect
size (see tables 6, 7).
The discussion of study 2
In contrast, study 2 adopts the psychology behavior which involves three
distinctive loyalty behaviors such as (1) RPI, (2) WOM communication
and, (3) WPM. Study 2 extends the dyadic interactions of service provider
and service recipient by exploring the mediating role of customer
satisfaction between service quality and customer loyalty behaviors (RPI,
WOM and WPM). Study 2 found that there were significant and positive
mediating relationship between service quality and re-purchase intention
(RPI), between service quality and words of mouth (WOM) and between
service quality and willingness to pay more (WPM). There were all partial
mediations. In dyadic interactions, customers are now looking for better
services and they think which types of facilities are helpful in maintaining
their goodwill and make them comfortable. This research suggests that the
higher level of service quality give customers the higher level of
satisfaction in turn, produces higher level of customer loyalty behaviors.
Study 2 findings are consistent with Karatape et al. (2005), Dölarslan,
(2014), Mittal and Kamakura (2001) and Homburg and Giering (2001).
The uniqueness of study 2 also explains the behavior of two parties;
employees on one hand and customers on other. Dyadic interactions of
both parties mutually agreed with their psychological needs and emotions.
Customer gave the positive views on employees’ services exactly as
employees expect from their good doings that furtherly directs customer
loyalty behaviors.
Limitations and future directions
Every empirical research has some limitations and future directions.
Therefore, this research has also some limitations are: the data was
collected from only Pakistani service industries but there should be
selected international service industries to generalize the concept. Second,
the sample size of each study was small and covered the territory region of
Pakistan. Future research should be conducted on three-encounter
behaviors of supervisors at service quality level, satisfaction as employees’
level and loyalty behaviors at customers’ level. Future study may be
conducted on exploring the mediating effect of trust, organizational

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culture, organizational commitment, citizenship behavior based on dyadic


encounter interactions. The researchers may follow the same pattern to
investigate the same phenomenon in international service industries.
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78. Oliver, R. (1980), “A cognitive model of the antecedent and
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80. Oliver, R.L. (1999), “Whence consumer loyalty”, Journal of
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81. Othman, A., & Owen, L. (2001). The multi dimensionality of Carter
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industry: A study in Kuwait finance house. International Journal of
Islamic Financial Services, 3(4), 1-12.

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82. Othman, A., & Owen, L. (2002). The multidimensionality of


CARTER model to measure customer service quality in Islamic
banking industry: A study in Kuwait Finance House. International
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84. Parasuraman, A. (1998). Customer service in business-to-business
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86. Parasuraman, A., Zeithaml, V.A., and Berry, L.L. (1988),
“SERVQUAL: A MultipleItem Scale for Measuring Consumer
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87. Parasuraman, A., Berry, L. L., & Zeithaml, V. A. (1991).
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88. Parasuraman, A., Zeithaml, V. A., & Berry, L. L. (1994). Alternative
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89. Petrick, J.F. and Backman, S.J. (2002), “An examination of the
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90. Pihlström, M. and Brush, G. (2008), “Comparing the perceived
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91. Ramayah, T., Md-Taib, F., & Ling, K. P. (2006). Classifying users
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93. Roni, S. M., Djajadikerta, H. & Ahmad, M. A. N. 2015. PLS-SEM


Approach to Second-order Factor of Deviant Behaviour:
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99. Jiang, P. and Rosenbloom, B. (2005), “Customer intention to return
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104. Vazquez-Casielles, R., Suarez-Alvarez, L. and Del Rio-Lanza, A.B.


(2009), “Customer satisfaction and switching barriers: effects on
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Antecedents to Customer Loyalty by Applying Structural Equation
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106. Yoo, D. K., & Park, J. A. H. (2007). Perceived service quality:
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110. Wangenheim, F.V. and Bayon, T. (2004), “The effect of word of
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Modeling (PLS-SEM) Techniques Using SmartPLS. http://market
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112. Zeithaml, V.A., Berry, L.L. and Parasuraman, D.B.A. (1993), “The
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12, DOI: 10.1177/0092070393211001.

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113. Zeithaml, V.A., Berry, L.L. and Parasuraman, D.B.A. (1996), “The
behavioral consequences of service quality”, Journal of Marketing,
Vol. 60 No. 2, pp. 31-46.
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service quality in consumer banking. International Journal of Service
Industry Management, 13(1), 69-90.

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Table 1.Validity and reliability of the constructs


Scales Standardized loadings Composite reliability AVE
Service quality
Tangibility 0.859*** 0.549***
Tan1 0.769***
Tan2 0.732***
Tan3 0.750***
Tan4 0.691
Tan5 0.708***
Tan6 0.744***
Reliability 0.898*** 0.745***
Rel1 0.836***
Rel2 0.892***
Rel3 0.861***
Responsiveness 0.924*** 0.710***
Res1 0.744***
Res2 0.883***
Res3 0.871***
Res4 0.872***
Res5 0.834***
Assurance 0.893*** 0.677***
Ass1 0.724***
Ass2 0.850***
Ass3 0.860***

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Ass4 0.849***
Empathy 0.879*** 0.645***
Emp1 0.765***
Emp2 0.792***
Emp3 0.838***
Emp4 0.814***
Customer satisfaction 0.889*** 0.666***
CS1 0.625
CS2 0.845***
CS3 0.817***
CS4 0.823***
CS5 0.779***
Notes: AVE = Average variance extracted

Table 2.Discriminant validity (HTMT) ratio


Assurance customer satisfaction Empathy Reliability Responsiveness
Customer- satisfaction 0.715
Empathy 0.612 0.732
Reliability 0.571 0.871 0.630
Responsiveness 0.625 0.701 0.660 0.617
Tangibility 0.887 0.741 0.688 0.662 0.712
Note: Diagonal values represent square root of AVE and below values represent construct’ correlations

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Table 3.Effect of service Quality and its dimensions on customer satisfaction


Hypo Relationship Β S.E t-values p-values Decision R2 Q2 f2
H1a TAN→CS 0.049 0.056 0.879 0.379 Rejected 0.657 0.431 0.003
H1b REL→CS 0.453 0.043 10.645 0.000 Accepted 0.356
H1c RES→CS 0.141 0.046 3.097 0.002 Accepted 0.031
H1d ASS→CS 0.180 0.051 3.547 0.000 Accepted 0.042
H1e EMP→CS 0.170 0.044 3.887 0.000 Accepted 0.047
H2 SQ→CS 0.773 0.023 34.366 0.000 Accepted 0.598 0.394 1.489

Significant at *p < 0.05


Note: TAN=tangibility, REL=reliability, RES=responsiveness, ASS=assurance, EMP=empathy and SQ=service quality
Table 4.Validity and reliability of the constructs
Scales Standardized loadings Composite reliability AVE
Service quality
Tangibility 0.859*** 0.549***
Tan1 0.724***
Tan2 0.842***
Tan3 0.788***
Tan4 0.830***
Tan5 0.779***
Tan6 0.776***
Reliability 0.898*** 0.745***
Rel1 0.797***

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Rel2 0.787***
Rel3 0.836***
Responsiveness 0.924*** 0.710***
Res1 0.742***
Res2 0.884***
Res3 0.874***
Res4 0.868***
Res5 0.838***
Assurance 0.893*** 0.677***
Ass1 0.800***
Ass2 0.818***
Ass3 0.799***
Ass4 0.701***
Empathy 0.879*** 0.645***
Emp1 0.750***
Emp2 0.791***
Emp3 0.824***
Emp4 0.799***
Customer satisfaction 0.889*** 0.666***
CS1 0.859***
CS2 0.891***
CS3 0.778***
Re-purchase Intention 0.901*** 0.819***
RPI1 0.905***

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RPI2 0.905***
Words of mouth (WOM) 0.889*** 0.727***
WOM1 0.845***
WOM2 0.873***
WOM3 0.839***
Willingness to pay more (WPM) 0.934*** 0.876***
WPM1 0.940***
WPM2 0.932***

Notes: AVE = Average variance extracted

Table 5.Discriminant validity (HTMT) ratio


Ass CS EMP RPI REL RES SQ TAN WPM
Customer satisfaction 0.899
Empathy 0.573 0.579
Re-purchase intention 0.597 0.542 0.810
Reliability 0.708 0.700 0.599 0.562
Responsiveness 0.656 0.612 0.632 0.476 0.594
Service quality 0.900 0.801 0.882 0.745 0.854 0.876
Tangibility 0.654 0.629 0.679 0.685 0.600 0.652 0.865
willingness to pay more 0.606 0.603 0.636 0.593 0.553 0.661 0.803 0.804
words of mouth 0.662 0.649 0.678 0.601 0.691 0.721 0.865 0.812 0.842
Note: Diagonal values represent square root of AVE and below values represent construct’ correlations

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Table 6.Effect of customer satisfaction on loyalty behaviors


Hypo Relationship Β S.E t-values p-values Decision R2 Q2 f2
H3a CS→RPI 0.441 0.055 07.970 0.000 Accepted 0.402 0.155 -
H3b CS→WOM 0.547 0.035 15.432 0.000 Accepted 0.575 0.210 -
H3c CS→WPM 0.515 0.039 13.300 0.000 Accepted 0.524 0.230 -
Significant at *p < 0.05
Note: RPI=re-purchase intention, WOM=words of mouth, WPM=willingness to pay more, CS=customer satisfaction
Table 7.Mediating role of customer satisfaction between service quality and loyalty behaviors
Hypo- Relationship Indirect Relationships Decision C.I
B S.E t-values p-values 2.5% 97.5%
H4 SQ→CS→RPI 0.317 0.046 06.910 0.000 Accepted 0.233 0.397
H5 SQ→CS→WOP 0.393 0.036 10.813 0.000 Accepted 0.310 0.461
H6 SQ→CS→WPM 0.370 0.038 09.655 0.000 Accepted 0.295 0.443
Significant at *p < 0.05
C.I: confidence interval*
Note: RPI=re-purchase intention, WOM=words of mouth, WPM=willingness to pay more, CS=customer satisfaction

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43
Reconceptualizing Public Relation
in Post COVID-19 World
Aliyu Sani1, Desmond Onyemechi Okocha2
1
B.Sc, MBA, CNA, Department of Mass Communication, LIFE-ND,
Nigeria Bingham University, Nigeria.
2
PhD National Project Accountant Senior Lecturer, Department of Mass
Communication, LIFE-ND, NigeriaBingham University, Nigeria.

Introduction
Wilcox and Cameron [2009:5] explained that people often define public
relations by some of its visible techniques and tactics such as public in a
newspaper, a television interview with an organization spokesman or the
appearance of a celebrity at a special event. What people fail to understand
is that public relations are a process involving many subtle and far
reaching aspects. Public relations include research analysis, policy
formation, programming communication and feedback from numerous
publics. Its practitioners operate on two distinct levels, as advisers to their
clients or to an organization’s top management and as technicians who
produce and disseminate messages in multiple media channels.

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L Davis {2004:202} argues that the home fro public relations functions is
still not clear in most organizations while Wilcox and Cameron {2009:5}
further claims that public relations practitioners serve as an intermediary
between the organisation and all the publics that exist in the organisation.
Theaker {2004:6} further claims that public relations as a discipline is
concerned with the reputation of organisation {product services or
individuals} with the aim of creating understanding and support.
Koekemoer {2004:397} argues that the differing concepts of public
relations reflect the revolution of this maturing function in organizations
and society. The above authors indicate the struggle of an emerging
profession seeking its unique identity. These various definitions are
important, as they are indicative of the rapidly changing roles of public
relations.
Definition of Public Relations
1. The belief and salient concept of Public Relations is that every
organization has a background or environment from which it operates.
Although most peoples especially in the business world today, were
familiar with, but have low or loose real mentality towards the art or
practice, because many title and officers were allocated to the
fractional with different duties or else.
2. The Webster’s new English dictionary (3rd edition) defines Public
Relations as the promotion of rapport and good will between a person
form or institution, special public or community at large through the
distribution of interpretative materials, the development of the
neighborly interplay and assessment of public interaction.
3. Looking at it professionally, Public Relations has been defined in
various ways, expert have contributed to its successful meaning, such
as sam black who says in 1934 that “the establishing of two-way
communication to resolve conflict of public interest, seeking common
ground or areas of mutual interest and establishment of understanding
base on truth knowledge with full information”.
4. according to Mexican statement, which was pronounced in an
international conference Public Relations practitioners held in Mexico
in 1978,says Public Relations is the act and social science of analyzing
trends, predicting their consequences, counseling the organization
actions which will serve both the organization public interest.

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5. In the above definition the nature and role of Public Relations in


changing world is taken into consideration. This definition shows three
main functions of Public Relations practitioners they are:
 To ascertain and to evaluate public opinion.
 To counsel or advice management in ways of dealing with public
opinion as its exist. Using of communicating media to influence public
Paul W. Gawet, a pioneer of media.
The Importance of Public Relations
The importance of public relations explained in seven compelling points
(1) Public relations is free
(2) Public relations is more effective than paid advertising.
(3) Public relations complements your marketing activities.
(4) Public relations is crisis mitigation
(5) Public relations increases brand visibility
(6) Public relations is a long-term game
(7) Public relations beats advertising
PR professional Robert Wynne says ‘With advertising, you tell people
how great you are. With publicity, others sing your praises. Which do you
think is more effective?’
Role and Practice of Public Relations
Seitel {2001:25} argues that, although modern public relations initially
developed as a tool used in power struggles, its role in present day society
is vastly different because we are living in a complex society and are
confronted by a knowledge explosion which is fuelled by advanced
technology, which changes the role of public relations. This therefore is
the role of public relations practitioners today. To interpret institutions to
the publics they serve and to promote both the image and reputation of
these institutions.
Rensburg and Kant {2009:49} affirm that; Public relations do not exist as
a function on its own. It is an integral part of the communication function
of an organisation. Public relations affects almost everyone, all of us
practice public relations in one-way or the other. During the past few
decades public relations has increased prominence and professional
stature. While marketing and sales have as their primary objective the

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selling of an organizations product the aim of public relations is to sell the


organisation itself.
Underpinning this perspective is a variety of activities that are basic and
endemic to the public relations perspective.
Lubbe and puth {2006:10} further maintain that public relations
practitioners are involved in a variety of work assignment or role, which
may include the following;
1. Research: the first step in any project is to gather intelligence in order
to understand the variables in the case. What are the key public
opinions and attitude? Which groups or persons are concerned enough
to act? Who are the opinions leaders that matter?
2. Strategic planning: the situation and data need to be formed into a
strategy. This involves asking; where are we now? How did we get
here? Where do we want to be? How do we get there?
3. Counseling: fellow managers must understand the plan and agree it
should be implemented. They may have a role in implementation and
at least will need to explain it to their staff.
4. Communication/Action: messages or appeals are sent to the various
publics involved, activities or actions are staged; feedback must be
interpreted and everyone must be kept informed.
5. Media relations and placement: this is one of the key functions in
which practitioners may be engaged. Johnston and zawari Kotland
Mindak (2000) argued that public relations play a greater role in
academia, but a relatively reduced role in commercial organizations.
Newson and Carrell (2001) also asserted that public relations director
should serve as a spokesperson for the organization and overseer of the
entire public relations program.

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Tools of Public Relations


1. Palmer (2005) emphasized that a wide range of public relations tools
are available and suitability of each tool depends on the promotional
objective. The tools are described as controlled (e.g. House ads, Public
service ads, Publications, Photographs, Displays, exhibits),
uncontrolled (e.g. News release, Press conferences, Talk and interview
shows, Public service announcements) and semi-controlled (e.g.
Electronic communication (web sites, chat rooms), Special events and
sponsorship, Word of mouth). Lancaster (2005) states that companies
that use television as a medium of communication stand the chance of
achieving a high level of impact on their customers or public due to its
visual nature.
2. Clow and Baack (2007) also argued that the internet could be used as a
major tool of public relations to help combat negative word of mouth.
3. Khalil (2004) also asserted that the explosive growth of mobile
computing and wireless networks has helped educational institutions
stay at the forefront of the changing world.
4. Audu (2006) revealed that the Internet has many benefits in the
academic cycle as it provides around the clock access to global sources
of information. Thus internet and website provide a faster, broader
reach for public relations practitioners to publish company press

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releases, background information, introduce new products or services


and provide promotional information for an organization.
Challenges of Public Relations
Like all forms of marketing communication, public relations also come
with its special challenges. An investigation into the literature reveals that
the major problems faced by the public relations unit of many
organizations are lack of qualified personnel, operational space,
recognition and budget.
Public relations still captures only a small portion of the overall marketing
budgets of most firms, though public relations is considered as an
important brand building tool. Bruning and Ralston (2001) also wrote that
the practice of public relations at most universities has been relegated to a
single office concerned primarily with managing institutional reputation.
Goals of Public Relations
As a practitioner of Public Relations alertness or keep informed should be
the first thing to learn or know followed by well- planned schedule or
strategy with proper involvement mastering all the ethics of the practices.
For further understanding this study will provide some points of goals of
the study;
1. Establishing and sustaining good reputation.
2. Mentally to counsel
3. Focusing on interpretation of all attitudes
4. Preparing budget
5. Advising management corporate design matter
6. Creating links for organization
7. Supervising all Public Relations functions
8. Production of literatures
9. Monitoring and evaluating public activities.
The Function of Public Relations Practitioner
Public Relation Officers (P.R.O) will function alike irrespective of the
organization for which they work commercial or non-commercial. A non-

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commercial organization may be a government institution, its agencies,


charity organization (N.G.O).
Though the pre-eminent function of public relation officer is the
formulation and execution of Public Relations programme for his
organizations public. This person in charge of public relation department
should be versatile about issue and be ready with ideas that serve as a
candid advice on matters that bind his organization and its public.
Public relations requires any person who intends to practice it successfully
to have the following skills.
 Ability to analyze a situation.
 Ability to define the public relations needs of an organization.
This shows the extent of closeness, ability to give (either error as right)
decision or advices, also right to formulate, execute implement and a lot
more. The show that one of the major functions of the Public Relations
practitioners is his closeness or relationship with either general manager or
chief executive of the respective company.
Relations Management
Public relations specialists establish and maintain relationships with
1. An organization's target audience
2. The media,
3. Relevant trade media,
4. Other opinion leaders.
PR Common Responsibilities
1. Designing communications campaigns,
2. Writing press releases and other content for news,
3. Working with the press,
2. Arranging interviews for company spokespeople,
3. Writing speeches for company leaders,
4. Acting as an organisation's spokesperson,
5. Preparing clients for press conferences,
6. Media interviews and speeches,
7. Writing website and social media content,

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8. Managing company reputation (crisis management),


9. Managing internal communications
PR Tools
Let us now broadly classify the PR tools used to communicate to the
public.
 Oral communication
 Printed and graphic communication
 Print media
 Outdoor media (electronic displays, hoardings, posters)
 Broadcast media (radio, television, films)
 Other media (websites, endorsements, exhibitions)
The Public in Public Relations

The public is any group whose members have a common interest or


common values in a particular subject, such as political party. Those
members would then be considered stakeholders, which are people who
have a stake or an interest in an organization or issue that potentially
involves the organization or group they're interested in. The Publics in
Public Relations are:

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 Traditional Publics: Groups with which the individual has an


ongoing and long-term relationship with, this may include;
Employees, Media, Governments, Investors, and Customers
 Non-Traditional Publics: Groups that are typically unfamiliar with
the organization and the individual has not had a relationship with but
may become traditional publics due to changes in the organization, in
society or if a group changing event occurs.
 Latent Publics: A group whose values have come into contact with
the values of the organization but whose members haven't yet realized
it; the members of that public are not yet aware of the relationship.
 Aware Publics: A group of members who are aware of the existence
of a commonality of values or interests with your organization, but
have not organized or attempted to respond to that commonality.
 Intervening Publics: Any public that helps an individual send a
message to another public, could be the media or someone with
stature.
 Primary Publics: If a public can directly affect an organization's
pursuit of its values-driven goals. This publics would include media,
employees, government, shareholder, financial institutions, and the
immediate community.

Secondary Publics: Have high interest in the company such as the
primary publics but will not be directly affected by decisions of the
organization.
 Internal Publics: People within an organization
 External Publics: People outside of an organization

Domestic Publics: Those within the country
 International Publics: Those outside of the country and when
communicating with this publics individuals must be wary of that
areas culture, beliefs, values, ethic, and other valuable cultural
difference as to not offend anyone.
Public Relation Code of Ethics
The Public Relation Student Society of America has established a set of
fundamental guidelines that people within the public relations professions
should practice and use in their business atmosphere. These values are:
 Advocacy: Serving the public interest by acting as responsible
advocates for the clientele. This can occur by displaying the

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marketplace of ideas, facts and viewpoints to aid informed public


debate.
 Honesty: Standing by the truth and accuracy of all facts in the case
and advancing those statements to the public.
 Expertise: To become and stay informed of the specialized knowledge
needed in the field of Public Relations. Taking that knowledge and
improving the field through development, research and education.
Meanwhile, professionals also build their understanding, credibility,
and relationships to understand various audiences and industries.
 Independence: Provide unbiased work to those that are represented
while being accountable for all actions.
 Loyalty: Stay devoted to the client while remembering that there is a
duty to still serve the public interest.
 Fairness: Honorably conduct business with any and all clients,
employers, competitors, peers, vendors, media and general public.
Respecting all opinions and right of free expression.
Conclusion
Public relations describes the various methods a company uses to
disseminate messages about its products, services, or overall image to its
customers, employees, stockholders, suppliers, or other interested
members of the community. The point of public relations is to make the
public think favorably about the company and its offerings. Commonly
used tools of public relations include news releases, press conferences,
speaking engagements, and community service programs.
Public relations involves two-way communication between an
organization and its public. It requires listening to the constituencies on
which an organization depends as well as analyzing and understanding the
attitudes and behaviors of those audiences. Only then can an organization
undertake an effective public relations campaign.

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44
Impact of E-Commerce Globally: Benefits of
Business Organization, Consumers and Society
Akriti Kumari1
1
IMBA, School of Business Administration, University of
International Business and Economics, Beijing, China.
E-mail Id: [email protected]

Abstract
The aim of this study is to understand the growth and impact of E-
commerce and its impact on current business aspects and job creation. E-
commerce is growing rapidly with its new concept and pace around the
world, thanks to the penetration of smartphones and the Internet to
various levels of society around the world. Growth and its profits are
already visible in research in developed countries, but if business goes to
developed and underdeveloped countries, we will see more positive results
in the future. E-commerce is opening a global business channel that will
witness the growth of business in the coming days. With the impact of
globalization and global economies around the world will witness
improved knowledge and growth as well as innovation in information
technology with the growth of E-commerce in today’s society. In addition
to the above, E-commerce will play an important role in the benefits of
consumers and the society.
Keywords: E commerce, global business, consumers, society.
Introduction
E-commerce, commonly known as e-commerce, is a next-generation
business methodology that facilitates and meets the diverse needs of
organizations around the world. E-commerce means transactions between
buyers and sellers on an electronic platform, which is explained in other
words as an "online meeting" that helps reduce the cost of doing business
and increase the speed and productivity of delivery. The World Wide Web
is the most common platform for e-commerce, but with the development
of various applications, the E-commerce industry is undergoing major
changes. E-commerce relies on various technologies, such as internet

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platforms, smartphone / mobile technologies, supply chain and logistics,


and digital marketing. Also, in the field of e-commerce, businesses are
paperless through electronic data interchange, email, and electronic money
transfers. E-commerce offers many benefits, such as lack of cash, business
using credit cards, debit cards, smart payment cards, bank transfers and
other online modes and applications. The opportunity that opens up to
countries, regardless of their economic development, thanks to electronic
commerce is enormous. E-commerce has practically eliminated the lack of
distance between buyer and seller by providing a platform for interaction,
communication and transactions in the virtual world. Originally E-
commerce was popular and accepted only in developed countries, the
reasons were Internet penetration, expensive data, lack of infrastructure,
resistance to adaptation of new technologies, high cost of equipment, etc.
But now everything is changing at a rapid pace, the state of economic
development and the cost of data downloads are falling rapidly. So now
the days when we see developing countries reaping the great benefits of e-
commerce. Customers also have the advantage of conducting 24x7
transactions because organizations offer their products and services day
and night anywhere in the world. Electronic commerce has also helped
organizations to reach their customers with new products and services,
digital marketing has opened a new horizon that has brought customers
closer to organizations. E-commerce provides customers with 24x7 online
support, which includes both pre-sale and post-sale. This helps
organizations increase customer satisfaction and brand loyalty. One of the
main benefits of doing business online is inventory. Sellers don't have to
keep the full range of products mentioned on their websites in their
warehouse and lock in working capital, they can flexibly provide a search
at the same time a customer places an order. Electronic commerce grows
day by day. Today the Internet affects all companies in the world.
Organizations use the Internet for a variety of digital marketing activities,
such as web marketing, email marketing, social media marketing, etc. to
build a business. In this way, the Internet has become a mandatory feature
of the daily activations of companies around the world. This feature of the
Internet, where customers have all their data at their fingertips, creates a
high level of competition between brands.

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Impact of E-commerce on Global business


E-commerce and E-commerce are not just the internet, websites, or
viewpoints. The treatment of a new conceptual concept that includes all
economic concepts and the previous management concept. As such, E-
commerce and E-commerce impact many business areas and disciplines of
business management studies. Information Systems Management, Human
Resource Management, Finance and Accountability, Global Economy,
Marketing, IT, Law and Business Ethics. You can see that the benefits of
E-commerce affect the three main interests: business organizations,
consumers and societies. There are various problems and flaws those faced
with E-commerce such as its security goal being a troublesome problem.
Anyone, good or bad, can easily open a website, and there are many bad
sites that target cybercrime users' money. It is open for instant online
transactions, verifying the site's security certificates. It is easy and
convenient to buy, it is not necessary to have personal data to establish the
e-commerce, which is mainly in marketing and sales. E-business has the
effect of increasing market transparency at the macro level and at the
micro level, more productivity. The main way in which E-commerce
affects the economy, in general, is impacted on productivity and inflation.
Continuing the expansion of E-commerce also means creating pressure to
increase inflation through the powers, costs and costs of a mayor in vendor
sales. Electronic commerce is synonymous with electronic commerce and
implies the exchange of services and services in the field of electronic
support. The number of electronic companies has grown significantly with
the launch of the Internet.
Electronic commerce in the current aspects of our diarrheal life, the
Internet has become an individual part of our lives, which has a unique
impact on our social activities. All of them, go to the bank to make
transactions effectively or withdraw money or go to the market to buy
things and basic products now it is very difficult, but as human as it is, it is
too busy to work and work at work. at work at work at work at work at
work brought in these circumstances, shopping in has become an
increasingly integral part of our partnership. Each business is different in
appearance, including each business different in style, promotion and
volume, but the energy requirement is the same for everyone, but on the
day; It is important that life in the Internet world is truly respected

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regarding the business transaction and that you can remain Competitive
with them.
1. The benefits of E-commerce for Business
a) International market: It used to be a single entity market in a
geographic area, but now it has become a borderless market including
national and international markets. By enabling e-commerce,
companies can now reach people from all over the world. In fact, all
E-commerce companies have become virtual multinational companies.
b) Saving operating costs: The cost of creating, processing, distributing,
storing and retrieving information on paper has been reduced.
c) Mass customization: E-commerce has completely changed the way
consumers purchase goods and services. Through processing, products
and services can be customized according to customer requirements.
In the past, when Ford started producing cars, customers could have
any color as long as it was black. Customers can now configure a car
that meets their specifications online within a few minutes via
www.ford.com.
d) Reducing telecommunications costs: The Internet is much cheaper
than value-added networks (VAN), which are dedicated to the
organization and its authorized partners based on the lease of
telephone lines. Sending a fax or e-mail over the Internet is also
cheaper than dialing directly.
e) Digitization of products and processes-especially in the case of
software and music/video products, which can be directly downloaded
in digital or electronic format via the Internet or sent to customers via
email.
f) There is no longer a 24-hour limit: customers or suppliers can contact
the company at any time.
Some of the advantages of E-commerce for companies are that by
increasing the customer base with lower barriers to goods, it can increase
potential market share. Provide safe and instant business transactions; in
the launch of new products and new services {24/7, 365 days of sales
(buyer and seller)}, it is also easy to engage in retail business, thereby
expanding the business scope.
E-commerce has a negative impact on businesses because they need to
update hardware and software regularly. The website needs to be

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maintained regularly, which adds cost and expertise to the E-commerce


infrastructure. They need proper training and maintenance. Customer
loyalty and logistics needs. Fraudulent orders have security and credit card
issues, and Internet services are sufficient.
The benefits of E-commerce for consumers
a) Access 24 hours a day, 7 days a week, which allows customers to buy
or carry out other transactions almost anywhere 24 hours a day, almost
all year round. For example, check balances, payments, get trips and
other information.
b) More options: Customers can not only choose and customize various
products, but also choose international suppliers.
c) Price comparison: customers can "shop" around the world and visit
different sites directly, or visit a single site where multiple providers
aggregate and compare prices to compare.
d) Improved delivery process, from instant delivery of digital or
electronic goods (such as software or audio-visual files) downloaded
over the Internet, to online tracking of the progress of packages
delivered by mail or courier.
e) Competitive environment: Deep discounts can be offered to founders
because different retailers compete for customers. It also allows many
individual customers to add their orders and present them to a single
order from a wholesaler or manufacturer, and obtain more competitive
prices.
E-commerce has some benefits for customers because it provides detailed
information about virtual showcases on websites with online catalogs. It
will regularly reduce the price of coupons and other competitions. The
platform has 24-hour access and convenience. The global market where
products are bought or sold. They provide secure business transactions.
With many options and ranges, it is easier to compare prices with other
high-end brands. If the customer thinks the quality of the returned product
is low, it's easy. Saves time and helps you review easily.
The downside of E-commerce for customers is that they cannot personally
inspect the products and the privacy and security of online shopping has
also decreased. Possibility of credit card fraud. Delay in receipt of goods,
quality and cost cannot be guaranteed. Lack of personal interaction. There
are very few cases of website fraud.

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The benefits of E-commerce to society


a. It allows more flexible work practices: It improves the quality of life
of many people in society, allowing them to work from home. This is
not only more convenient, and provides a more comfortable and less
stressful working environment, but also reduces environmental
pollution because it reduces the number of people who need to go to
work on a regular basis.
b. Establish people-to-people connections: enable people in developing
countries and rural areas to enjoy and obtain products, services,
information and others that were otherwise unavailable.
c. Promote the provision of public services: For example, medical
services for tax declaration (online consultation with doctors or nurses)
can be made through the Internet (through the tax bureau website).
d. 24-hour access: If we buy goods in the online store, our operating
costs are lower; our service quality is higher, so the extra cost can save
unnecessary expenses. For example, if our product or service is
downloadable, the shipping fee will be completely cancelled. For
every online business, more and more coupons and transactions are
inevitable, which is very impressive for customers.
e. Compared with the actual purchase through the Internet, the price is
reduced: if we buy in an online store, the operating cost is lower; our
service quality is higher, so the additional cost can save unnecessary
expenses. For example, if our product or service is downloadable, the
shipping fee will be completely cancelled. For every online business,
more and more coupons and transactions are inevitable, which is very
impressive for customers.
f. Global market: All customers in the world can find sites, products and
information without leaving home. In e-commerce, we don't need to
visit the business in person. The convenience of physical signatures is
not a criterion to consider. We can buy things at home; users can
easily select products from various processes without actually moving.
g. Easy to compare prices: Everyone can easily compare products and
prices of different companies based on quality and quantity or with the
services they provide. Price, because prices are easy to compare.
h. Merchandise return: online returns may cause problems. In this
process, the uncertainty regarding advance payment and delivery of
goods may become more complicated. Will the goods be returned to

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the place of origin? Who pays for the return? Is it possible to refund?
Will I have anything left? How long does this take? Compare this to
the offline experience of returning the product to the store. Before
purchasing, be sure to check the return policy. Always make sure that
returns are an option
The social impact of E-commerce can be measured by satisfaction and
confidence from extensive use of the Internet. The areas with the fastest
population growth include students and youth who are users of advanced
applications and online technologies. The increase in the number of
Internet users has also led to substantial growth in other digital industries,
such as e-commerce, mobile commerce, and digital advertising.
Entrepreneurs are also attracted to advanced computer technology and its
usefulness for e-commerce. The development of educational levels at all
levels has generated a great demand for E-commerce and mobilE-
commerce markets. Changes in online shopping habits the online shopping
process has been continuous to make it easier, more understandable and
easier to use. As the online quote offers some attractive prices and
discounts. In addition to better transactions, it also changed the buying
habits of online shoppers.
The main advantage of online or online shopping is that you will never
know the characteristics of the product you are buying, and you will be
able to compare its quality and characteristics with reviews of other
competing brands and other products on the market. user. A cheerful
lifestyle has a great influence on various social media tools. Facebook,
Quicker, Snapdeal, Amazon, Pinterest, and Instagram allow consumers to
organize their favourite collection items and segments to share with others
around the world. Therefore, society can connect with individuals or
communities to share their views and ideas. The biggest advantage of E-
commerce is that it can provide secure purchase transactions over the
Internet and can verify and confirm credit card transactions in real time.
There are also big differences in E-commerce adoption between countries,
especially in marketing and after-sales. Digital solutions that replace
traditional applications provide many opportunities for businesses and
individual consumers. The services are directly oriented to the clients.
Product negotiations are too fast.

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Conclusion
The following results are the conclusion of this article. E-commerce will
show tremendous growth in promoting global business and removing
barriers between countries, and will become an integral part of its
contribution to GDP. Countries will open their commodity import markets
through e-commerce, which will benefit all sectors of society in terms of
knowledge, skills, technological advancement and better forms of
marketing and employment. With technological developments that take
place every day, new advances and applications will be introduced every
day, and turnover will show growth. This leads to a situation where
customers start to order goods in nearby stores via the Internet and deliver
the products at their convenience. Digital marketing is also growing at a
faster rate. In every source, digital marketing has shifted from traditional
marketing to online marketing, and it is fast, simple and profitable.
Therefore, the integration of digital marketing and E-commerce will bring
innovation in marketing functions. The job market will undergo major
changes in the nature of jobs and the demand for technical skills. Most
customers live in rural areas and have insufficient knowledge of computers
and the Internet. Customers in some urban areas do not have credit
services, so online purchases and sales of products are limited to the urban
class who is proficient in computer and Internet. Due to E-commerce and
digital business, traditional jobs will be reduced, but this will open up new
horizons for work in the field of information and communication
technology. The final result will depend on the candidate's skill level, not
the department.
References
1. Malkawi, B. H. E-commerce in Light of International Trade
Agreements: The WTO and the United States-Jordan Free Trade
Agreement. International Journal of Law and Information Technology,
Vol. 15 No.2, 2007, 153-169.
2. Inc. Magazine-December 2010/January 2011English.
3. ECLAC. Electronic Commerce, International Trade and Employment:
Review of the Issues. UN, Economic commission for Latin America
and the Caribbean ECLAS, Washington Office, April 2002, pp 1-30.

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4. WTO. Study from WTO Secretariat highlights potential trade gains


from electronic commerce, available at http://www.wto.org/english/
newse/pres98e/pr96e.htm (March 13, 1998).
5. Ham, S. and Atkinson, D. R. a third way framework for global e-
commerce. Progressive Policy Institute, Technology & New Economy
Project, March, 2001, 1-29.
6. Clarke, G. R.G., (2001). Does Internet Connectivity Affect Export
Performance? Evidence from the Transition Economies. Mimeo,
World Bank, Washington DC.2001.
7. Inc. Magazine-December 2010/January 2011English.
8. Internet Usage Statistics World Internet Users and Population Stats,
http://www.internetworldstats.com/stats.htm.2010.
9. Ebayinghttp://www.ebayinc.com/who we are, March 9, 2011.
10. Clarke, G. R.G., (2001). Does Internet Connectivity Affect Export
Performance? Evidence from the Transition Economies. Mimeo,
World Bank, Washington DC.2001.
11. Mann, C.L. Implications of Global Internet Commerce for Trade
Competitiveness: A Consideration for Selected Latin and Asian
Countries: Chile, Mexico, Peru, Korea, Thailand, and Vietnam.
Washington D.C., World Bank, 2001.
12. Baily, M.N. Macroeconomic implications of the new economy.
Institute of International Economics Working Paper, 2001, 01-9,
(http://www.iie.com/catalog/WP/2001/01-9.pdf).
13. Daly, John and Robert R. Miller. Corporations' use of the internet in
developing countries. Discussion Paper # 35, International Finance
Company. Washington DC.1998

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45
Social Learning Process on Sustainability
Initiatives of Marketing Professionals
Ranjith, KADKA1, Jayawickrama, WDC1
1
Department of Marketing Management,
University of Sri Jayewardenepura, Sri Lanka.
E-mail Id: [email protected], [email protected]

Abstract
The study aimed to discover how sustainability practices of marketing
professionals were learned though the social learning process. The study
is of importance given the role of marketing professionals in implementing
sustainability initiatives in the corporate sector. For this purpose, the real
life stories of Marketing professionals were critically analyzed. .Due to the
lack of previous research studies on how sustainability practices were
learned, primary data were collected by following a narrative inquiry
based research approach. To minimize the issue related with recalling the
most significant but sensitive data, we used systematically designed Life
story stimulated research guide by incorporating projective techniques to
stimulate past soft memories associated with learning sustainability by
marketing professionals. The collected inquiries provided a deeper
understanding that marketing professionals have followed a social
learning process with regard to learning sustainability. Furthermore,
Marketing professionals have not continued the whole social learning
process in respect of environmental sustainability. Study implied that
sustainability education should be based on more a practical curriculum
that is based on a social learning process, rather than being trapped in a
typical in-house classroom curriculum. The study contributed to expand
the knowledge base on learning suitability practices. Furthermore the
findings on learning suitability practice emphasized that social learning
processes of environmental sustainability have been compromised along
with the life of marketing professionals participating in the research.
Keywords: Sustainability, Social Learning process, Narrative inquiries,
Projective techniques.

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Introduction
Marketing managers are in a unique position in a firm's value chain to
include stakeholders' concerns in the strategy and to promote sustainability
practices in two ways. One is longstanding marketing focus on customer
relationships that extends to multiple stakeholders (Sheth, 2012). Murphy
et al. (2005) explains stakeholder relationship marketing as Creating,
maintaining and enhancing strong relationships with customer, employee,
supplier, community and shareholder or any stakeholder of a business with
the goal of delivering a long term economic, social and environmental
value to all stakeholders in order to enhance the sustainability business
performance of the enterprise. Second, marketing nowadays is
experiencing a shift from customer exchange to a value creation paradigm
encompassing all stakeholders (Sheth & Uslay, 2007). Recent marketing is
recommending a stakeholder marketing perspective to align with
sustainable business goals. Stakeholder marketing refers to activities
within a system of social institutions and processes for facilitating and
maintaining value through exchange relationships with multiple
stakeholders (Hult et al., 2011). Stakeholder orientation refers to the extent
to which a firm understands and addresses the stakeholders' demand in
their strategic plan and in their daily operations (Ferrell et al., 2010).
Adoption of stakeholder orientation provides the business firms an
opportunity to understand its impact on the stakeholders, anticipate
changing societal expectations and use its capacity for innovation to create
additional business (Lazlo et al., 2005).sibbel, (2009) Facilitate this
approach by pointing out the fact that focus now can be shifted towards
training the professionals who manage the resources, educate the public or
design the options from which the choices are made.
Hence, the aim of the research is to understand how sustainability is
learned by marketing professionals. The findings are based on a cross
sectional exploration of marketing professionals. Our aim is to contribute
to the knowledge of educating future Marketing professionals about the
contribution towards the achievement of sustainability. We also highlight
the fact that the world is not on the correct path of achieving sustainability
and more importantly it is currently being used only as a marketing tool in
satisfying companies’ economical goals. Reflection of an idea that the
correct path of achieving sustainability is being followed by the marketing

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professionals is crucial to justify that the world or who are being served by
them are served fair.
Literature Review
Brundtland's report brought the concept of sustainability to the attention of
the global business world in 1987. The Brudlant report brought
Sustainable Development to the mainstream international political agenda
by creating a simple definition that became widely quoted worldwide
defining Sustainability as “Development that meets the present without
compromising the ability of future generations to meet their own needs”.
Sustainable development has been debated among three main sectors. As a
result, often it is presented being divided into the economy; environment
and society (Giddings et al., 2002) The three sectors are presented in
interconnected rings.
Pressure on resources, growing global population and an expanding
middle class, global crises and a changing role of government are
exacerbating global sustainability challenges, but also provide an
opportunity for businesses (Tilley and Young, 2006). As per Royal society
(2012), the effective way to reduce the negative environmental effects of
human activity is to decrease resource consumption of those who consume
the most. Companies play an important role in the society, creating and
fulfilling needs through marketing campaigns and the provision of product
and Services. The adoption of marketing plan has been successfully
developed as a vehicle for corporate cultural change towards a customer
focused outlook (Giles, 1989). Companies now may be viewed as the
potential driver for sustainable consumer behavior change (Bocken, 2017).
But the business is a composition of different managerial actions where
Marketing management plays an important role. Virtually all persons and
organizations engage in marketing activity at various times. However, they
do not engage with equal skills at all times (Kotler, 1972) Marketing
should be an engine of growth and profitability of the business (Morgan,
2012).
Pantelica et al (2016) argues that, marketing has a significant role in
shaping consumption patterns and therefore can be employed in pursuit of
more sustainable businesses practices (Supply Side) and the more
sustainable consumption (demand side). According to Pantelica et al
(2016) embedding sustainability practices in business and marketing

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strategy is a complex process. In order to facilitate this process, the


marketing students need to gain the adequate knowledge of sustainability
and furthermore they believe that sustainability can contribute to the
company‘s business and marketing goals (Sibbel, 2009) Facilitate this
approach by pointing out the fact that focus now can be shifted towards
training the professionals who manages the resources, educate the public
or design the options from which the choices are made. Since, it is being
believed that sustainability only achieved, if each and every person
contributes towards the achievement of sustainability.
Individual Learning, social learning and eco cultural Sustainability
Glasser, (2009) Defines learning more generally as the process of
acquiring the knowledge, skills, norms, values or understanding through
experience, imitation, observation, modeling, practice or study, by being
taught or as a result of collaboration. Social learning is a higher form of
learning occurring in a social context for the purpose of personal and
social adaptation (Goldstein, 1981). Bandura's social learning theory
(1977) explained human behavior in terms of continuous interaction
among cognitive, behavioral and environmental influences. Bandura has
separated the conditions for successful behavioral modeling into four
components. They are Attention, Retention, Reproduction and Motivation.
Attention: A “model “behavior in the environment must grab or capture a
potential learner’s notice. Attention processes determine what features of
the modeled behaviors the learner will focus on. ‘‘People cannot learn
much by observing unless they attend to, and perceive accurately the
significant features of the modeled behavior’’ (Bandura, 1977, p. 24).
Accordingly there must be a modeled behavior towards which the
attention of the learner has directed upon.
Retention: The learners must remember the observed behavior. Retention
processes help the observer to imprint the observed behaviors to memory
in symbolic form. Bandura (1977) proposed that learners use mainly
imaginable and verbal systems to remember the modeled behaviors. When
using imaginable systems, the learner envisions performing the modeled
behavior at a later time or in a different situation. Learners use the verbal
system when given the opportunity to discuss what they observed. Verbal
discussions also provide opportunities for the observer to compare their

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judgment with the judgment of others and to distinguish accurate from


inaccurate thinking.
Reproduction: The learner must be able to accurately replicate the
observed behavior. According to Bandura, learners must first cognitively
organize constituent elements of the modeled behavior. Once the learner
has organized the elements of the modeled behavior, new patterns of
behavior can be initiated. Monitoring by other observers and subsequent
feedback help to refine and eventually reproduce the desired behavior.
Observations cannot be correctly reproduced without providing
opportunities for the learner to implement all four phases of enactment.
Motivation: The environment must offer an opportunity that increases the
probability for a learner to demonstrate what they have learned. Bandura
(1977) noted that learners are more likely to adopt modeled behaviors if
they are motivated by intrinsic or extrinsic factors. Intrinsic motivation
comes from inside an individual rather than from any external source.
Extrinsic motivation refers to factors that are external such as the promise
of a reward or the threat of punishment.
In addition to the above model (Glasser, 2009) characterizes as long as
learning by individuals or collectives involves some form of input drawn
from another as a social learning. He differentiates passive learning and
active learning.
Methodology
A qualitative study design is used since the purpose of the study is
descriptive, often in the form of a survey. Usually there is no hypothesis as
such, but the aim is to describe a population or a subgroup within the
population with respect to an outcome and a set of risk factors. Narrative
inquiries were collected from the sample since narrative inquiry is defined
as, as a subset of qualitative research designs in which stories are used to
describe human actions. Those stories may be oral or written, may be
accessed formally through interview or informally through naturally
occurring conversations and they may be stories that cover an entire life or
specific aspect of life (Chase, 2005). Narrative Inquiry methodology itself
was not sufficient to get more rich data within a short period of time hence
it required multiple points of contact with the participants and ideally
different forms of data collecting techniques at the same which lead the us

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to adopt multiple modal research design that combined projective


techniques and interviews.
We developed a life story stimulated research guide comprising multiple
projective techniques in the form of an electronic booklet that provided
stimulus in projecting a comprehensive narration by the respondents. The
stories were voice recorded at the same time with the written consent of
the respondents. A projective technique is a data collection method that
allows the participants to project their subjective or deep-seated beliefs
into a stimulus, an object, and product or revealed through the expression
of imagery (Boddy, 2005). We had the opinion that with a limited time
available to spend with a particular respondent it was very effective in
selecting responses from the respondent regarding the research questions
within a very short period of time. In the same time since it was designed
in electronic form, we could lend a handheld device to the respondents, to
project their story with ease. The stimuli used in projective techniques
were continuously adjusted to make a better disturbance free environment
in the minds of the respondents. Completion techniques (Burns & Lennon,
1993), associative techniques (Gordon & Langmaid, 1988), choice or
ordering techniques (Mostyn, 1978), expressive techniques used in the
research (Lannon and Cooper, 1983) and Construction techniques were
some of the major techniques adopted in the research.
19 marketing professionals were interviewed for the research, that
represents different sectors, different age categories and with different
levels of educational background. We had an initial discussion with the
respondents to understand their personal sustainability. The marketing
professional who demonstrated a dominant level of sustainability in their
personal lives were only selected for interviews. Interviews were collected
at interviewees’ personal residence. The expressed narrations were
triangulated through personal artifacts and personal culture.
Sustainability is a Social learning
Marketers demonstrated that they learned sustainability through
interactions, with people and environment. Bandura’s social learning
theory (1977) explains human behavior in terms of continuous interaction
among cognitive, behavioral and environmental influences. He has
separated the conditions for successful behavioral modeling into four
components. Attention, Retention, Reproduction and Motivation.

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Findings and Discussion


Sustainability is a social Learning
The marketers learning Behaviour a social learning process explained by
Albert Bandura. learning more generally as the process of acquiring the
knowledge, skills, norms, values or understanding through experience,
imitation, observation, modeling, practice or study, by being taught or as a
result of collaboration (Glasser, 2009) .
Bandura has separated the conditions for successful behavioral modeling
into four components.

Figure 1.Process of Social Learning


Table 1.Explained Steps of Social Learning Process
Social Learning process
Attention A “model “behavior in the environment must grab or
capture a potential learner’s notice.
Retention The learners must remember the observed behavior.
Reproduction The learner must be able to accurately replicate the
observed behavior.
Motivation The environment must offer a consequence that
increases the probability for a learner to demonstrate
what they have learned.

Attention
Marketers, from childhood have got the opportunity to experience the way
how their parents engaged with the practices that associate with
sustainability; they have had their attention towards the practices in terms
of economic, environment and social through a role model. Different
marketers have had different role models in their life ranging from parents,
managers, teachers, lecturers, marketers to religious leaders. (Glasser,
2009)supports this idea, since passive learning relies on the wisdom
received of others, it is continuously used for making it readily available

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the narrow interest over the common good .This finding explains that there
is evident fact that marketer have influenced by a passive learning
(Glasser, 2009) Explains that it doesn’t require inputs in the form of
communication or interaction -direct feedback-from the living being.it
includes learning that results from reading newspapers ,watching a
blacksmith forge a tool, viewing a movie, listening to radio programme or
attending a lecture or poetry reading (without raising questions from the
audience), searching the internet, following a recipe. Further (Glasser,
2009) explains that passive learning could be observing the practices of
and interactions among others. Marketers explained that during their
childhood they could see how people worked with cohesion which still
they try to do. Marketer tends to follow the practices of the role model
which they trust. Here having demonstrated the fact of trust is again vital
since (Glasser ,2009) explains that, one of the drawbacks of passive
learning is that it depends on trust, where in the narrations of the marketers
trust fact is inherited in the role models they are interested in. When it
comes to the environmental suitability most of the marketers have got the
attention in their childhood how their parents worked friendly with the
environment but, the fact is that, environmental sustainability is more or
less a kind of passive learning which might have been influenced from the
fact that passive learning are needed to embraced, actively or at least
tactically encoded in the transferred knowledge. Where in most of the
narrations it is evident that, though marketers have seen how parents
engaged with the environment in pro ecological Behaviour, there is no
sufficient evidence of those values and assumptions being encoded in the
transferred knowledge. Marketers from childhood were transferred in
values and assumptions even by their parents to enjoy a more sustainable
life in terms of social and economic. This is evident that marketers explain
that they were encouraged to learn. There is an underlined motivation that
through learning only they can enjoy a better life since they can do a better
job.

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Figure 2.Attention in a graphical illustration


Retention
The life story narrations explain that, the marketers still recall the
sustainability practices that their parents, role models did. According to
Bandura's social learning theory (1977) Retention means, the learners must
remember the observed behavior.it is clear from each and every narration
of the marketer that, when it terms of the social and economic
sustainability practices there were influenced by school, friends and lot of
formal and informal activities engaged in lot of social institutes.
Accordingly it is evident that, there is a resemblance of active social
learning process where (Glasser, 2009) explains Active Social learning is
built on conscious interaction and communication between at least two
living beings.it is inheritably dialogical. Marketers recall in their narrations
the situations where they were able to cope with people, work with people,
help people in the activities they were engaged with during their childhood
to date. On the other hand marketers recall how their parents and more
importantly the society, engaged with pro social Behaviour including
maintaining home gardens full of daily required fruits and vegetables.

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Figure 3.Retention in a graphical illustration


Reproduction
Marketers' involvement with much more extracurricular activities paved
them the way to work with people. More importantly marketers were
surrounded by a lot of friends with them. Marketers have enjoyed a lot
exploring different experiences including playing, fundraising campaigns,
engaged with social activities etc. where they were able to work with
collaborations, find solutions to the daily experienced problems with the
shared experiences of friends. According to the active social learning
process, it is clear that, (Glasser, 2009) bring forward the facts that, social
learning can take place in the context of conversation, course of Socratic
method, dancing with a partner, symphony practice, a community meeting
an open participatory public review process and although less visceral
video conferencing over the internet. Opportunities for cross fertilization
and emergence make it much more effective than passive social learning at
creating innovations and widely diffusing novel behaviors. Most of the
marketer during their childhood has had so many enjoyable experiences
with friends. Which researcher believes might be the fact behind still
marketers tends to care about people. More importantly a fact that must
have led them to select a profession like marketing.in terms of economic
perspective, most of the marketer have had the opportunity to come across
with an opportunity to find themselves a income and depends on the
income he/she earns as soon as they are grown enough to take care of
themselves .that opportunity is varying from marketer to marketer. But
still each of them has experienced a memorable first time they earned

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themselves a n income. Researcher from the evidence explains that, a lot


of marketers were not exposed to an opportunity where they reproduced
pro ecological Behaviour which they recalls. Only three marketers out of
19 participants had received an opportunity to engage with pro ecological
Behaviour including, take care of a harvested field which the market
enjoys himself. Engithan explained,
“I stayed overnight in the trees. Listening to various sounds of birds and
animals.at first it was very fearful. But with time, I got used to it. That is a
wonderful experience. I even went to school from there.”
Through narrations it is evident that most of other marketer has not been
given an opportunity to reproduce the pro ecological Behaviour despite
they were encouraged in learning.

Figure 4.Reproduction in a graphical illustration


Motivation
Marketers are enjoying the profession that he deals with. Marketer is self-
motivated from the marketing profession. Self Determination Theory
(SDT) is one of the theories that best synthesize the relationship between
positive behavioral consequences and the motivation for acting (Verdugo

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et al., 2016). This is very important since it mentions that it is able


maintenance of sustainable behavior without the need of extrinsic
consequences and repeated interventions (de Young, 1993).Marketers has
a self-motivation towards the profession by a marketer since it makes him
enjoy the job. Marketers tend to enjoy longer hours in their job where he
feels no mental distress. Most of the marketers love their profession.
According to self-determination theory, this sort of Behaviour is
recognized as a feeling of satisfaction. Satisfaction is an intrinsic positive
consequence emerging from a behavior that fulfills the expectations of an
individual (Ryan & Deci, 2000). This intrinsic satisfaction includes
interests, Curiosity, joy and sense of competence provided behavior
(Verdugo et al., 2016).
This might be the reason behind demonstrating a weak practice of
Environmental sustainability. The demonstration of weak pro sociological
Behaviour and the trend of emerging extrinsic motivation underneath the
social relationships maintained by the marketer and the most important
fact of marketer being an influence person in the society together bring
forward a fact that, there should be a increment in the concentration of
economical sustainability above all other sustainability which is inherited
with the extrinsic motivation, in supportive to, (Giddings et al., 2002)
explanation that international forums and organizations are heavily
influenced by the large corporations. Since the government and large
companies have embraced sustainable development. The separation of
Sustainable development into three sectors can be used to justify the
concentration on one part rather than the whole. This brings out the
important finding that marketers tend to believe their core of life is
economic stability. This argument has a strong supportiveness towards the
fact that the conventional three pillars of sustainability has its own
drawbacks of identifying three sectors as different three rings. As per
literature, it is argued that one of the major issues with three sector
separation is to encourage a technical fix approach to sustainable
development issues (Giddings et al., 2002). (Giddings et al., 2002) Says
that Sustainable development focuses on pollution control, lower resource
use and greenhouse gas trading rather than dealing with the deeper issues
related with Sustainable Development, seeing the inter relationship
between the social, economy and the environment. (Giddings et al., 2002)
argues that, the suggestions provided are not sufficient for a sustainable

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development like reducing interest rate under the economic sector, further
he argues that, sectorial attention is distracting thinking about the core of
sustainable development like the nature of the society, what priorities are,
how decisions should be made on whose interest.

Figure 5.Composition of Extrinsic and Intrinsic


Motivations within Sustainability Practices of Marketers
The attachment of marketers with the extrinsic motivation is increasingly
becoming high. The altruistic Behaviour, said to be, Altruism can be
defined as actions intended at maximizing others’ benefits (Van Lange,
2000) is also explained to be led by extrinsic motivation. In simple terms,
marketers tend to respect their customer groups with an underlined idea of
protecting their revenue source. These extrinsic motivations have some
drawbacks as well; the individual solely depends on the source of
receiving the benefits, so if the source is not available the motivation will
not be there. That means if the extrinsic consequences are removed the
sustainable behavior is also extinguished (Lehman & Geller, 2004).
Extrinsic consequences are more related with anti-ecological or anti-social
behaviors than to sustainable actions (Corral-Verdugo, 2010 ). In addition
to these ( Crompton & Kasser, 2009) explains that, materialistic people
who are more addicted to extrinsic consequences are less inclined with
environmental conservation and more ambitious after money and power
and to exploit the natural resources. This could be the reason behind
having a weak demonstration of pro ecological behavior from the

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marketers. Hence the marketers are influenced by a trend that they are
moving towards Motivation towards the environmental sustainability, as a
result the core of sustainable development would be damaged.in addition
the findings of the research would support to the arguments that is being
developed, that, Material reality, where the economy must be nested in
society and the environment. Researcher brings forward this argument
supportive to the, (Giddings et al., 2002) the ‘nested’ model rather than the
‘three-ring’ model encourages a conceptual outlook sympathetic to
integration. Of course this again is a very broad-brush model. Most
humans live their lives in all three areas, often without sharp distinctions in
thought or practice.

Figure 6.Nested Model of Sustainability


References
1. Bandura, A., & McClelland, D. C. (1977). Social learning theory (Vol.
1). Prentice Hall: Englewood cliffs.
2. Bocken, N. (2017). Business-led sustainable consumption initiatives:
Impacts and lessons learned. Journal of Management Development.
3. Boddy, D. (2009). Management. Pearson Education.
4. Chase, S., 2005. “Narrative inquiry: multiple lenses, approaches,
voices. 3rd ed.

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5. Chase, S. E. (2005). Narrative inquiry. Multiple lenses, approaches,


voices. Teoksessa NK Denzin & YS Lincoln (toim.) The Sage
handbook of qualitative research. 3. painos.
6. Giles, W. (1989). Marketing planning for maximum growth.
Marketing Intelligence & Planning.
7. Gök, O., & Hacioglu, G. (2010). The organizational roles of marketing
and marketing managers. Marketing Intelligence & Planning.
8. Goldstein, H. (1981) Social Learning and Change: A Cognitive
Approach to Human Services, Columbia, SC: University of South
Carolina Press.
9. Hult, G. T. M., Mena, J. A., Ferrell, O. C., & Ferrell, L. (2011).
Stakeholder marketing: a definition and conceptual framework. AMS
review, 1(1), 44-65.
10. Kotler, P. (1972). A generic concept of marketing. Journal of
marketing, 36(2), 46-54.
11. Laszlo, C., Sherman, D., Whalen, J., & Ellison, J. (2005). Expanding
the value horizon: how stakeholder value contributes to competitive
advantage. Journal of Corporate Citizenship, (20), 65-76.
12. Le, T. (2019). A belief in karma and its influences on marketing
decisions: Perceptions of marketing managers in a Western context
(Doctoral dissertation, University of Otago).
13. Morgan, N. A. (2012). Marketing and business performance. Journal
of the academy of marketing science, 40(1), 102-119.
14. Odreman, H. A. (2016). Videotaped role-play simulation in teaching
transcultural self-efficacy to interprofessional healthcare students.
15. Patton, M. Q. (2014). Qualitative research & evaluation methods:
Integrating theory and practice. Sage publications.
16. Sheth, J. N. (2012). The reincarnation of relationship marketing.
Marketing News, 31st December, 11.
17. Sheth, J.N. & Uslay, C., 2007. Implications of the revised definition of
marketing: From exchange to value creation. Journal of Public Policy
& Marketing.
18. Verdugo, C., Lomelí, Cruz, & Frías, V.O.C., 2016. Intrinsic Motives
of Autonomy, Self-Efficacy, and Satisfaction Associated with Two
Instances of Sustainable Behavior: Frugality and Equity.
19. Wind, Y. (2005). Marketing as an engine of business growth: a cross-
functional perspective. Journal of Business Research, p. 863-873.

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46
Brand Sustainability during Crisis
Sanjeev Chinnamanthur1
1
PhD Research Scholar Dayananda Sagar University, Under the guidance
of Dr Suresh Ranganathan, (Asst Professor, DSU, Bangalore)
E-mail Id: [email protected]

Abstract
SARS-Cov-2 virus, popularly known as COVID-19 pandemic has spread
farther, wider and faster than any wild fire has ever spread in the history
of human kind. COVID-19 is a deadly virus that has infected more than a
million in India and more than 10 million across the world. Caused over
1.5 Lakh deaths in India and close to two million deaths across the world
and continues to cause deaths on a daily basis with no respite. The virus
spreads human to human via droplets and also spreads airborne as
confirmed by world's renowned scientists and WHO. There have been
series of lockdowns across the world where all businesses are shut. All
industries are shut down affecting all sectors of businesses. In India
lockdown was announced on March 22nd. Lockdown has all the public
transport, malls, cinemas, airports, retail, sabzi mandis and markets were
shut. No public gathering of any sort allowed during lockdowns. Except
the essentials like chemists and hospitals, basic groceries, fruits and
vegetables vendors. And no individual is allowed to step out of the house.
This certainly has economic impact in terms of consumer spending and
government spending besides several job cuts, pay cuts. Even though the
lockdown is being implemented intermittently by the authorities,
essentially the markets and the human lives are largely in statue mode.
This paper focuses up on how brands sustain such statue mode. How
brands survive such a crisis. What brands must do to move across the
silent lanes and by lanes of human entitlements and lives. Come out
successfully out of the crisis and continue to succeed even long after the
crisis is over. As COVID-19 Pandemic crisis is the first of its kind, this
paper presents some little research done in relation to a crisis like this and
lays down the approach the brands should adopt in order to overcome
such crisis successfully.

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Keywords: brands, crisis, consumer, customer, marketing. Brand,


Organization, Product terms are used to imply the same meaning
interchangeably as applicable.
Introduction
The purpose of this article is to examine what a brand could do to sustain
such economic crisis or a pandemic in particular. What brand marketing
activities big brands can do to survive the crisis. As we are currently
facing COVID-19 pandemic crisis, it becomes all the more difficult to
gauge the happenings around any brand as this situation is first of its kind
the world has seen. Last pandemic the world witnessed was during 1918
when Spanish flu hit the world. Spanish flu was deadly in the sense the
number of lives it took away. The estimated number is around 50 million
lives lost. During world war 1, companies did not focus much on brands.
There was hardly any detailed research available on brands and their
impact on the minds of consumer. Essentially there was no pandemic like
COVID-19 before. And there was never stronger focus on brands as it is
during this decade. Before we get to see what brands need to do, let us
understand what a brand means.
Literature Review
Brand is one of the most valuable assets for many firms. What does a
brand mean? As per Phillip Kotler (2002, 593), a brand is " a seller's
promise to deliver a specific set of features, benefits and services
consistent to buyers". As per American Marketing Association, "A brand
is a name, term, design, symbol, or any other feature that identifies one
seller's good or service as distinct from those of other sellers". A brand is a
means to differentiate from the competitors. Which means that a brand in
itself can act as a unique talking point for any given product. That can
happen only when a brand walks that extra mile to earn the requisite
advantage over the others. So from the above, we can say that a brand is a
promise to deliver, brand is a name, term, design symbol to differentiate.
What else constitutes a brand? As per the framework suggested by de
Chernatony and Riley (1998) there are 12 themes under which a brand can
be defined. It is imperative to see what brands need to do in order to stay
relevant in the backdrop of these various themes. And then see what
brands need to do to stay relevant and sustain a crisis.

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Brand as a logo
American Marketing Association defines (1960) brand as " A name, term,
design, symbol, or a combination of them, intended to identify goods or
services of one seller or group of sellers and to differentiate them from
competitors". Any brand will put consumer in the center. And every brand
marketing activity will revolve around the consumer in the center.
Brand as a company
Corporate identity is vital as favorable corporate identity gives competitive
advantage to organizations (van Reil and Balmer, 1997). This has been
emphasized by Simonin and Ruth (1998) in their article "Is the company
known by the company it keeps?". Scholars have also argued "a company
is known by its brands"(Varadaranjan et al., 2006).
Brand as a shorthand
Brands simply refer to an offer or service or a product. According to
Brown (1992) "a brand name is nothing more or less than sum of all the
mental connections people have around it". Consumers under time
constraint are more likely to buy brands with names they recognize
(Chevan, 1992).
Brand as identity system
As per Kapferer (1992) a brand has an identity structure with six
integrated facets of culture, personality, self-projection, physique,
reflection, and relationship. Product features, symbols constitute the
physical part of the brand, while character and attitude constitute the brand
personality, set of values for the culture, and so on and so forth. A brand is
much more beyond just a symbol or a label. It is positioned as an identity
of its own in the minds of a consumer.
Brand as an image in the consumer's mind
"A brand is a consumer's idea of a product" (Pitcher 1985). This image is
not-so-easily-erasable one in the mind of a consumer. Image can be
positive or negative depending on the kind of brand marketing activity and
the brand's delivery system against its' promise.

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Brand as a value system


As per Clark (1987) consumers associate not just value with the brands but
also heritage and relate their personal experience with themselves.
According to Sheth et al. (1991) a brand is a value system. It represents
five essential values. They are functional values (Product features), social
values (acceptability and aspirations), emotional values (feelings and
aesthetics, epistemic values (novelty or knowledge-seeking behavior),
conditional values (seasonal & situational).
Brand as a personality
Aaker (1996) defines brand personality as metaphor which "can help brand
strategist by enriching their understanding of people's perceptions of and
attitude toward the brand, contributing to a differentiating brand identity,
getting the communication effort and creating brand equity".
Brand as a relationship
Duboff (1986) and Woodward (1991) say that brand personality is Infact a
prerequisite for a relationship between consumers and brands. Kapferer
(1992) and Blackston (1993) are of the view that if a brand can be
personified consumers would not just perceive them, but would also have
relationship with them.
Given the multi-faceted avatars of a brand, a crisis such as this, may
damage and put the brand out of relevance.
This paper focuses on "8 e's approach" for the brands to follow in order to
not only sustain the crisis but also successfully nourish the brands. Not
only during the crisis but also long after the crisis is over.
Empathize
As per Oxford dictionary, empathize means to "understand and share the
feelings of another". Essentially as a brand you must make the customer
comfortable and build the trust and faith in him or her. How do brands
empathize? Take banking sector or retail sector, brands must make sure
that the customer is safe as long as he or she is in the premises of the bank
or the retail shop. Another way to empathize is to ensure product
distribution and availability at an arm's length. Remember brands should

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not only empathize with their customers but also with their partners.
Which brings us to the point of regular and timely service to trade.
Volvo’s new digital initiative called "Contactless Programme" is a classic
example in this case. It is online car buying and servicing. Prospective
buyers are asked to fill in an E-book with the required details and Volvo
reaches out to the customer, enables the customer to pay online with
digitized finance offers and an online channel to buy the car and get a
contactless delivery. Existing customers can go online and book their car
for servicing at the nearest dealer location. Volvo cars is known for safety
technology and they live up to their core value by empathizing with their
customers via their new "Contactless Program".

Figure A1.Source. www.volvo.com


Empathize by going digital. Empathize by renewing your delivery system.
Go digital now if you have not. All in all, brands need to love what the
customer loves. Respect what the customer respects. Fear what the
customer fears.
Enrich 1+1 = 11
Enrich the brand with strong and strategic alliances. Alliance with an
NGO. Alliance with a Government establishment. Create a collaborative

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and energize your customers with much required information. Spread


knowledge. Spread awareness. Financially and technically brands may not
be equipped to energize as a single entity. Therefore, alliances become
crucial. Brands need to be agile in formulating the alliances. You need to
identify the right partner and the right brand to associate with. NDTV
alliance with Dettol adds more value to and makes a bigger impact on the
life of a consumer. Recently Lego worked with UK government and made
an educational video for the customers which highlights the significance of
social distancing. Alliances need to be made on a long-term basis and not
short term. And customers will look up to a positive alliance that brings
cheer to their lives.
Empower
During the crisis such as this or any other, your customers are constantly
looking for information and knowledge and awareness. Majority of them
are. Empower your customers with information. Content is anyways king.
So carpe diem. Provide your customers very relevant information. Make
content in the form of videos. The other type of empowerment the brands
must focus up on is Psychological Empowerment. A positive story to light
up the mood will certainly help. Will certainly raise positive emotions in
the minds of the consumer. Psychological empowerment is not
everybody's art but a great soother at the time of pandemic a brand can
provide to the customers. Therefore, brands must pursue it.
Engage
The right message to the right customer at the right time is the key. In
today's Digital era brands have the technology to know their customers in
and out. Engaging with your customers must be two fold. One is "Plan and
Engage" and the other is "Moment-based Engaging". Both are important.
Spotify created a story (Fig1) that revolved around the customer at that
moment. It is moment-based engaging in action here. Spotify spotted a
tweet by a random customer mentioning how the biscuit in his hand
reminds him of Spotify logo. On real time basis Spotify responds to his
tweet in a witty and cheerful way. It is instantaneous. And it became an
instant talking point on Twitter and all online social media platforms. Do
not intrude. Create a story and do not tell a story. Spotify created one
(Fig1). Brands must make customer's story your story and not the other

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way round. Engage by creating stories that is customer-centric. Ensure the


story you create is consistent with your brand core value. There is
abundant data on the time consumers spend on social media, mobile apps
and so on. Remember consumers are multi-dimensional. So is the social
media platform. These apps give real time messages by the customers.
Remember not to forget the fact that brands need to engage with customers
only to drive business and nothing else as the end objective.

FigureA2.Source: Twitter.com
Enlarge
Brands need to have a big heart for not unnecessarily raising the prices of
the products during the pandemic. So brands need to enlarge their hearts.
Endure the loss in profits or rate of profit for a bigger gain. Organizations
hardly defocus from their revenue targets. Management must set a
precedent in such crisis times in particular and prioritize customer over
revenue. And that is being sensitive to the crisis situation. Customers will
appreciate it. And do not forget that the customers will remember the
brands who exploit the situation and take undue advantage of the situation
and they will remember not in a good light and not on a pleasant note. On
the other hand, extend extra offers and services to the customers. The offer
may be in terms of pricing or in terms of service or in terms of gift
coupons and so on and so forth. It doesn't matter in what form they come,
it will be welcomed. Only under the circumstances where your cost goes
substantially high and becomes impossible to absorb the cost within, only
then price rise as an option can be considered.

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Embrace
What is heart to the body is employees to the organization. Embrace them.
Do not just lay them off. Customers will respect the brands or
organizations which take good care of their people. Remember happy
employees happy partners happy customers. You cannot afford a
disgruntled employee treating the customer with slightest disrespect during
a pandemic at the least. American grocery chain Trader Joe's initiative of
telling their employees who are not well to stay home gained accolades
from the customers. Essentially keep the employees with you and keep
them engaged and happy at the time of pandemic. Bring in renewed focus
upon existing subscriber base and reduce focus up on getting new
acquisitions. Customers may not like it in the midst of a crisis answering
the calls by the tele-calling agencies pushing for a sale. Instead leverage
your existing customers and delight them and turn your existing customers
as "Promoters" who will turn into strong brand ambassadors for you
during the crisis and remain so long after the crisis is over.
Erase
Any crisis is an opportunity for the brands to erase bad memories and
create new pleasant moments that can be cherished by for their customers.
This is the time when the customers will respect and remember the brands
that touch upon their lives. So brands need to walk that extra mile and
reach out to the customers. Especially the brands that made mistakes in the
past, this is your golden opportunity to revive and regain.
Enhance
Don't go dark during a crisis. Instead enhance over all branding activity
online, offline, OOH and so on and so forth. Make your brand Omni-
present. This is the time to invest in your brand as a long term brand
initiative. There have been a number of studies which show clear
advantage in more investments and a clear disadvantage for those who go
dark during any crisis. Customers expect brands to advertise and flourish
ahead with branding activity during crisis. Out of sight out of mind can't
be more apt than it is in this situation. Customers will not like it if they
don't hear from you. So brands need to shout out. Follow them and ensure
you create the right buzz. On the traditional side, ensure regular retail
presence in terms of enough POS material in the form of posters, danglers,

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flyers and so on. On the digital side make videos and be present on
YouTube. Brands like Dyson and Lego are making video content and
gaining eyeballs. Back home in India Durex has launched a new brand
campaign that signifies wearing a mask. The campaign is witty and
focuses upon the Durex brand core values. Coca-Cola launched an
innovative brand initiative in Philippines where it ran an advertisement
that all future spending on advertisement is being shifted to public service
announcements linked to fighting the pandemic. So brands wake up and
please don't go dark.
Conclusion
Brands need to adapt to the new business environment and formulate a
new marketing strategy in order to bring in a positive change in the lives
of their customers. They need to ensure that all the e's listed above are in
sync with only one objective and that is drive business better for the
betterment of their customers and therefore drive incremental revenue
market share (IRMS) for the organization. While doing all this, it is
imperative to keep the core values of the brand intact. Remember revenue
takes a back seat and the customer takes the front seat. This, as a policy,
all brands need to quickly adopt during the crisis and long after the crisis is
over and also on a continuous basis, in letter and spirit. Remember Rome
was not built in a day. Neither were brands. But there is always a fast track
approach or a crash course in every sphere of life. And a crisis is such an
inflection point in the life of a brand. If utilized in a wise manner, it will
not be exaggerating to say brand-sustenance and brand-revival can indeed
be fast-tracked during a crisis.
References
1. European Journal of Business and Management. ISSN-2222-1905
(Paper) ISSN 2222-2839 (Online) Vol4, No.3. 2012. Upendra Kumar
Maurya P. Mishra.
2. https://youtu.be/x6sYo4UYFmE Ref: Driving Digital Strategy: A
Guide to Reimagining Your Business-a book by Sunil Gupta Harvard
Business Publishing.

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The Influence of E-Retailing in Creating a
Demand for Conspicuous Consumption
Dr. Tabitha Durai1, Immanuel Debbarma2
2
Research Supervisor & Convener, Assistant Professor, Department of
Commerce, Madras Christian College, Tambaram, Chennai-59.
1
Ph.D Scholar, Department of Commerce, University of Madras, Chennai-600005.

Abstract
With the development in networking technology, has become a boon in
collecting information from all around the world and which has resulted in
dissemination of information. With information all around, consumers are
aware of brands and products from all over the world, and with a good
economic background has influenced consumers to buy conspicuous
goods. This study intends to identify the e-retailing factors in influencing
conspicuous consumption. A structured questionnaire has been developed
and primary data has been collected in order to test the data and come out
with a result. The findings from the study reveals that there are many e-
retailing factors that influence conspicuous consumption, this study has
also identified the characteristics of conspicuous goods and identified the
social media platforms that are powerful in reaching consumers.
Keywords: Conspicuous, Luxury, E-retailing, Social Media.
Introduction
Consumption is no more seen as a simple satisfaction need, but it is seen
as a multi-variance of choices, expression of emotions and presentation of
life, identity construction, implementing social communication and
comparisons. Consumption has become a social lifestyle, where social
disproportions are visualized, social extremities are being formed and
social relations are being formed [Ilyin, 2005 and others]1 . Veblen says,
the means of communication and population mobility presents an
individual to the general public who do not have any other opportunities to
judge the individual’s venerability than those material valuables (and
probably education) that they, being under the direct supervision, are able
to show off [Veblen, 1984: 122]2. In the course of urbanisation process,

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conspicuous consumption was evident enough which changed the concept


of self-perception, self-identification of the members of the society
(Valery, 2017).
Conspicuous consumption can generally be termed as consumption of
luxury goods and services, the demand for conspicuous consumption has
tremendously been a sign of demonstrating behaviour about one’s wealth
rather than to cover basic needs. It is estimated that this kind of behaviour
can be seen from consumers who have considerable amount of disposable
income to be spent on goods and services which are not necessary but are
luxurious in nature. With increasing information and trend system of the
world in various social media platforms, the consumption of conspicuous
good is rising and becoming a trend.
Multiple researches have been conducted to find out the conspicuous
consumption to define and explain the consumption lifestyle, explaining it
as an attribute of Socio-Cultural decadence. Various articles have
identified the relation of conspicuous consumption with income
distribution of social groups, identified the influencing factors. It is noticed
that the technology is developing at a very quick rate, which has changed
the way retailing is done. The new way of retailing is called e-retailing, it
is the process of sale and purchase of goods through internet. This process
of sale and purchase of goods through internet is evolving with
development of technology. The factors of e-retailing changes with
changes of technology, factors that is important in this generation may
become obsolete in the future generation.
It has been found out that conspicuous consumption is rising due to
globalisation, with advancement of e-commerce various factors of e-
retailing prevails in conspicuous consumption. The purpose of this paper is
to identify various e-retailing factors that are responsible for conspicuous
consumption. This paper also aims to find out the characteristics of
conspicuous consumption and social media platforms that influences
consumers in buying conspicuous goods.
Review of Literature
There has been a lot of studies conducted on Conspicuous Consumption
and below are the various studies on conspicuous consumption and other
elements of marketing.

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Andrey Vasilyevich, Valery Konstantinovich, Eka Demurievna and


Agamali Kulamovich3 in their study, “Conspicuous Consumption as an
attribute of Socio-Cultural Decadence in Russia” has investigated on the
social trends in Russia after which has come to a notice that demonstrative
behaviour in a modern community has become a representative of any
social strata. They have also found out the factors that motivates
demonstrative behaviour and also have found out that advertising plays a
very important role in mass consciousness and forming social and cultural
trends.
Anchada Charoenrook and Anjan Thakor, in their study4 “A Theory of
Conspicuous Consumption” explained why producers price their goods
above the marginal cost and also explained why conspicuous consumption
can be a signalling game where wealth can be expressed in order to gain
social status. The article also explains the choice of goods that qualify for
conspicuous consumption. Goods with higher variability of innate utility
of consumption in the cross-section of consumers are accepted as
conspicuous goods at higher prices than goods with lower variability with
comparable mean utilities.
Wilfred Amaldoss and Sanjay Jain in their study5, “Conspicuous
Consumption and Sophisticated Thinking” proposed a monopoly model of
conspicuous consumption using rational expectation framework, their
result suggested that as follower effect increases, profits of a monopolist
also increase. The study also notices that their study subjects seem to use
both sophisticated thinking and adaptive learning in their rational
behaviour.
Andreas Chai, Wolfhard Kaus and Christian Kiedaisch in their study6,
“Conspicuous Spending and the Income Distribution of Social Groups”
did an extensive study in South Africa here the study analyses the relation
between the spending on conspicuous goods and the distributions income
within its social group. The study also finds that a conspicuous spending of
a household is negatively correlated with the average income.
Rik Linssen, Luuk van Kempen and Gerbert Kraaykamp in their study7,
“Subjective Well-Being in Rural India: The Curse of Conspicuous
Consumption” did their study on low households in rural India. The study
found that lower levels of subjective well-being is observed on individuals
who spent more on conspicuous goods. They have identified the group of

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people of luxury lifestyle living and the other group people living humble
lifestyle contradicting in the consumptions style.
Emilia Reis in her study8, “Influencing Factors on Consumer Buying
Behaviour of Luxury Goods-A Research On The Buying Behaviour Of
Young Consumers In Finland” has identified the characteristics of luxury
goods acknowledged by young customers of Finland and also found out
the buying behaviour of young consumers.
Christopher J. Berry9 in his book, “A Conceptual and Historical
Investigation” has defined the usage of luxury goods and used historical
views to explain the adoption of luxury goods. The great merit of Berry’s
work is to show the exact contrary with an intriguing mix of historical and
conceptual analysis. The author also talks about human desires and added
that in theoretical realisation, human desires has no boundary.
Zhang, J.Q., Craciun, G. and Shin, D.10 in their study, “When does
electronic word-of-mouth matter? A study of consumer product reviews”,
have demonstrated the importance of eWOM and also explained the
negative implications of eWOM which can result a negative impact on the
brand in the course of a long run of the business. An effective change in
the management of the business can lower down the duration of the
negative impact on the business, due to eWOM. Words of mouth can be
employed with an intelligent strategy to promote an idea or products.
The above reviews are focussed on conspicuous consumption and
representation to the social trend, reason that lies behind high end pricing,
rational behaviour of consumers on conspicuous consumption, increase of
young shoppers in buying conspicuous goods. This article aims at finding
out e-retailing factors influencing consumers in conspicuous consumption,
this article also aims at determining the characteristics of conspicuous
goods. Social media platforms are used to market the brands among
consumers, this article aims at identifying the social media platforms
influencing conspicuous consumption.
Objective of the Study
This study has three objectives, the first aim of this study is to identify the
factors that influences consumers buying through e-retailing for
conspicuous consumption, the second objective is to determine the

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characteristics of conspicuous goods and the third objective is to identify


the social media platforms that influences conspicuous consumption.
Research Methodology
A well-structured questionnaire has been prepared using Google form for
the collection of primary data. Convenience sample was adopted and a
sample of 100 responses were collected. All the data collected were
considered fit for the analysis and the data were entered into Statistical
Package of Social Sciences (SPSS). The statistical tool used for the study
is Factor Analysis for the first objective and Sample t-Test for the second
and third objective. Sources like marketing blogs available online,
marketing news like Economic Times, Marketing Week, etc and research
journals are used to collect secondary data.
Analysis and Findings
The study is executed to find out the E-retailing factors in creating the
demand for conspicuous goods, the data is collected and the input of the
data I done in SPSS and the following results have been acquired.
Cronbach’s Alpha
The Cronbach’s Alpha is a statistical tool that determines the internal
consistency or average correlation of items to figure out its responsibility
(Reynaldo & Santos, 1999)11. The value of Cronbach’s Alpha is 0.957
which is more than 0.7, it suggests that the items have a relatively high
internal consistency.
Table 1 Showing the value of Cronbach’s Alpha
Reliability Statistics
Cronbach’s Alpha N of items
0.957 58

The Factors of E-Retailing Influencing Conspicuous Consumption


E-tailing, or online retailing, has experienced rapid growth globally during
the past ten years. In a study written by Dixit and Amit, by 2016 globally
e-tailing are expected to reach sales of $1.92 trillion. It is estimated that by
2018 e-tailing will contribute 1.61 percent to global GDP. E-tailing is
considered to be playing an important role in the growing of global GDP

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(Dixit, S. & Sinha K. Amit 201612). The first objective is to identify the
factors that influences consumers buying through e-retailing for
conspicuous consumption
KMO and Bartlett’s Test
KMO is a test that determines the sampling adequacy, which should be
greater than 0.5 for a satisfactory factor analysis to proceed. In the table
the value of Kaiser-Meyer-Olkin measure of sampling adequacy is 0.688
which can be concluded that the sample size is adequate to derive the e-
retailing factors that influences conspicuous consumption.
Table 2.Showing the value of KMO and Bartlett’s Test
KMO and Bartlett's Test
Kaiser-Meyer-Olkin Measure of Sampling Adequacy. .688
Bartlett's Test of Approx. Chi-Square 4123.838
Sphericity df 561
Sig. .000

Communalities
Communalities indicates the amount of variance in each variable that is
accounted for. In the table 3 we can see the communalities for 34 variables
that influences conspicuous consumption. In the table we can observe that
the range of the factors are from 55.7% to 89%, this indicates that the
variance for the factors that leads to conspicuous consumption contributes
significantly.

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Table 3 Showing the value of Communalities


Initial Extraction
Website design 1.000 .708
Comparison 1.000 .803
Clear display and explanation of the product 1.000 .777
User friendly website 1.000 .698
Easy to compare 1.000 .840
Paying online 1.000 .843
Personal information 1.000 .798
Payment record 1.000 .774
Privacy 1.000 .838
Reliability 1.000 .557
Blogs 1.000 .791
Reviews 1.000 .746
Vlogs 1.000 .748
Ratings on social media sites 1.000 .786
Brand’s social media presence 1.000 .828
Trending on popular algorithms 1.000 .808
Pop up ads 1.000 .769
Advertisements or reviews by influencers 1.000 .875
Advertisements by the store page 1.000 .846
Social media advertising 1.000 .863
Time saving 1.000 .735
Shop while sitting at home 1.000 .796
Delivery 1.000 .885
Free shipping 1.000 .851
Product quality 1.000 .850
Product variety 1.000 .798
New product 1.000 .857
Special size 1.000 .890
Customer care 1.000 .625
Limited edition 1.000 .783
No sales tax 1.000 .805
Better pricing 1.000 .664
Offers and discounts 1.000 .821
Value for money 1.000 .731
Extraction Method: Principal Component Analysis.

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Total Variance
In table 4 we can find out that all the seven extracted factors are those with
eigenvalue greater than 1. It is concluded that the 34 variables re reduced
to 7 predominant factors with cumulative vale percentage of 20.718,
34.662, 47.674, 58.346, 66.485, 72.689 and 78.788.
Table 4.Showing the Predominant Factors with eigen values (end of
the chapter)
Rotated Component Matrix
In the table it is observed that 33 variables have created six factors, the
first factor can be suitably named as “Product Judgement” with 7 variables
under it. The second factor with 7 variables can be termed as “Online
Features”, the third factor can be named as “Advertisements and Design”
with 6 variables under it, the fourth factor is suitably named as “Social
Media” with 5 variables under it, the fifth factors is termed as “Online
Information” which has 5 variables under it, the sixth factor is termed as
“Finance” with 3 variables under it.
The areas that influence conspicuous consumption online can be classified
into 6 factors. Product Judgement is experienced by any product or brand
before selling. A consumer before buying a conspicuous product, makes
his judgement on the product first, he looks at the quality, durability etc.
before buying a product. When a consumer shops online he looks at the
online features that contributes to his online shopping experience.
Consumers often read the reviews about products before buying it online
as they find it convenient in finding the right product. Advertisements also
play a very important role in influencing consumers in buying conspicuous
goods, advertisements and reviews by influencers in contributes to
conspicuous consumption. Ratings and social media hype about
conspicuous products influences consumers to buy conspicuous goods.
When online information and privacy is available, consumers feel more
comfortable to buy conspicuous goods online, with better pricing and
minimal taxes, online purchases become easy and fun.

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Table 5.Showing the Variables under six Factors


Rotated Component Matrix
Component
1 2 3 4 5 6
Product quality .865
New product .828
Limited edition .779
Product variety .721
Value for money .715
Customer care .694
Reliability .533
Easy to compare .727
Reviews .725
Special size .716
Time saving .664
Free shipping .640
Delivery .508
Shop while sitting at home .409
Advertisements by the store page .815
Social media advertising .786
Pop up ads .783
Website design .690
Advertisements or reviews by .662
influencers
User friendly website .621
Vlogs .802
Blogs .789
Ratings on social media sites .690
Brand’s social media presence .608
Trending .596
Paying online .785
Privacy .713
Personal information .433
Clear display and explanation of the .416
product
Payment record .411
No sales tax .758
Offers and discounts .595
Better pricing .570

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Characteristics of Conspicuous Goods


Luxury brands are called luxury due to their unique characters. Heine in
2011 has defined six major characteristics for a luxury brand. They are
price, quality, aesthetics, rarity, extraordinary and symbolism (Emilia R.
2015). The second objective of the study is to determine the characteristics
of conspicuous goods, for which the primary data collected has been put to
test in SPSS and the test used is Sample T-Test. The table below shows the
statistical result of the test.
Table 6.One Sample T-Test find out the mean and t- value of
characteristics of conspicuous goods (end of the chapter)
In the table above, 11 variables of various characteristics have been taken
for the study which after test, possessed the mean value ranging from 3.70
to 4.26, standard deviation ranges from 0.683 to 0.869, standard error
mean ranging from 0.068 to 0.087. The variable Rarity has got the highest
mean value of 4.26 explains that consumers look for uniqueness when it
comes to conspicuous goods. Then with little lower mean value of 4.24,
Quality is the second highest characteristics consumers look for and after
that with mean value of 4.14 consumers look for Performance in
conspicuous goods. We can also see that the variables Rarity, Quality and
Performance has received the highest t value, when brought down to
ranking, rarity is in first position with t value of 62.040, quality comes in
second position with t value of 61.670, then in the third position comes the
variable performance with t value of 59.431.
In this study variable Rarity has received the highest mean value from
which we can come to a conclusion that consumers when they look for
conspicuous good, they search for unique or rare products. After which the
second nature that consumer search for, in a conspicuous goods is the
quality, followed by performance of the product.
Social Media Platforms Influencing Conspicuous Consumption
Social Media is considered as a tool that provides a collective wisdom,
which can be strategicaly tapped for the purpose of yielding an extremely
powerful and accurate indicator for future outcomes (Asur & Huberman,
2010)12. Social media platofrms have become easy to use and a trending
platforms for every individual that is changing quickly the public

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discourse in society and agendas and trends are being set about topics
ranging from environment and poltics to technology and entertainment
industry (Asur & Huberman, 2010).
The third objective is to identify the social media platforms influencing
conspicuous consumption. Thirteen social media platforms have been
taken for this study and the primary data has been tested statistically.
Table 7.One Sample T-Test find out the mean and t value of Social
Media Platforms Influencing Conspicuous Consumption (end of the
chapter)
The above table is the result of the statistical test of the thirteen variables
which has been tested statistically and it is found out that Instagram is the
variable with highest mean value of 4.38. YouTube has received the
second highest mean value with 4.18 and Facebook with third highest
mean value of 3.82. The t value of social media platforms influencing
conspicuous consumption. The table shows Instagram is a variable with
highest t value of 60.693, which signifies that the usage of Instagram is
high and the influencing power to buy conspicuous goods is high. The
variable with second highest t value is YouTube, with value of 53.348,
which signifies that after Instagram influencing power of YouTube to buy
conspicuous goods is high, then with third highest t value of 50.902 is
Facebook.
The study has identified the factors of E-retailing that are influencing in
conspicuous consumption. Six factors have been identified in this study,
the factors are concluded as Product Judgement, Online Features,
Advertisements and design, Social Media, Online Information and
Finance. Before buying any conspicuous goods a consumer, enter into the
stage of product judgement, where the consumer looks at the durability
and quality of the product. Then the next factor consumer gets influenced
with is the features that are available online and not in stores, for example
free shipping, shop at ease while sitting at home, online reviews,
comparison etc. Advertisements and design can be very influencing when
it comes to reputed brand, advertisements with offer information intrigue
consumers to shop. Social media has become a necessary factor for every
business, without social media it has become very hard to reach
consumers. Online information like trending all over media, google search
engines and social media platforms cane be very intriguing to check on the

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product and buy. There are various financial benefits when consumption is
done online, no extra tax, no delivery charge, extra discounts etc. can be
motivating to consume conspicuous goods. This study has also identified
the characters of conspicuous consumption and determined the social
media platforms influencing conspicuous consumption.
Recommendation of the Study
Conspicuous consumption as explained by Solomon and others, is an act
where an individual expresses the wealth visually, that symbolizes high
status consumer behaviour for the urge of social recognition(Solomon,
199214; Mason, 199815; Chaudhuri and Manjumar, 200616). This study is
executed with three objectives, the first is to identify the factors that
influences consumers buying through e-retailing for conspicuous
consumption, the second objective is to determine the characteristics of
conspicuous goods and the third objective is to identify the social media
platforms influencing conspicuous consumption. It has been observed that
six e-retailing factors are identified that influences conspicuous
consumption. These factors can be helpful for marketing the product or
brand to right consumers and through right channel. This study has also
identified various social media platforms, which can be used to advertise
or market a product in the right platforms. The study has determined the
characteristics of conspicuous goods or in other words it has identified the
behaviour or point of view of consumers when it comes to conspicuous
consumption, which will help the production sector in meeting consumer
desire as far as conspicuous consumption is concerned.
Conclusion
In this new generation of advanced technology, consumers are highly
exposed to multiple advertisements due to the presence of mass media
(Zhang et al (2010). This has resulted in dissemination of knowledge and
trends of different countries which has led to the rise in conspicuous
consumption. Berry has said that despite the presence of multiple luxury
brands around us in our existence, defining the term “luxury brand” has
become a difficult job due to its subjective and relative nature (Berry,
1994), a product that cost ten thousand rupees can be a luxury for a
customer but average product for another customer, in this study the
various characteristics of conspicuous goods are tested and the result is

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that, a conspicuous good should be rare in nature, by which consumers


define a conspicuous product. Various factors had also been identified that
influences conspicuous consumption, product judgement is executed first
by the consumers then the online buying features are experienced and
judged by the consumers. Consumers look for a good product then they
look for online features like quick delivery, comparison, etc., after which
the influences of advertisements sets in and the influence of social media
then has its influence on conspicuous consumption. Talking about social
media, this study has identified various social media factors that influences
consumption of conspicuous goods, out of which Instagram is found out to
be the most influential platforms for conspicuous consumption. As
Instagram is a platform with many users all over the world, the
advertisements and marketing in this platform is found out to be effective.
References
1. Ilyin, V.I. 1998. Consumers’ behavior. Syktyvkar: Syktyvkar State
University Press.
2. Veblen, T. The Theory of the Leisure Class: An Economic Study of
Institutions. Moscow: Progress, 1984.
3. Andrey Vasilyevich VASILYEV, Valery Konstantinovich
KOVALCHUK, Eka Demurievna KORKIYA and Agamali
Kulamovich MAMEDOV: Conspicuous Consumption as an attribute of
Socio-Cultural Decadence in Russia, Man In India, 97 (10) : 399-414.
4. Anchada Charoenrook and Anjan Thakor: A Theory of Conspicuous
Consumption.
5. Wilfred Amaldoss and Sanjay Jain: Conspicuous Consumption and
Sophisticated Thinking, Management Sience, Vol. 51, No. 10, October
2005, pp. 1449-1466, issn 0025-1909, eissn 1526-5501-05-5110-1449.
6. Andreas Chai, Wolfhard Kaus and Christian Kiedaisch: Conspicuous
Spending and the Income Distribution of Social Groups, Economic
Inquiry, January 2019, DOI: 10.1111/ecin.12756.
7. Rik Linssen, Luuk van Kempen and Gerbert Kraaykamp: Subjective
Well-Being in Rural India: The Curse of Conspicuous Consumption,
Social Indicators Research, (2011) 101: 57-72 DOI 10.1007/s11205-
010-9635-2.
8. Emilia Reis: Influencing Factors on Consumer Buying Behaviour of
Luxury Goods-A Research on The Buying Behaviour Of Young

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Consumers In Finland, Turku University of Applied Sciences, June


2015, Bachelor’s Thesis.
9. Berry, C. J. (1994). Idea of Luxury: A Conceptual and Historical
Investigation. New York: Cambridge University Press.
10. Zhang, J.Q., Craciun, G. and Shin, D. (2010) “When does electronic
word-of-mouth matter? A study of consumer product reviews”, Journal
of Business Research, 63(12), pp. 1336-1341.
11. Reynaldo, J. & Santos, A., (1999). “Cronbach’s Alpha: A tool for
assessing the reliability of scales”. Journal of Extension, 37(2), 1-5.
12. Dixit S. & Sinha K. Amit (2016), “E-Retailing Challenges and
Opportunities in the Global Marketplace”, IGI Global Book, USA.
13. Asur, S., & Huberman, B.A. (2010). “Predicting the Future with Social
Media”. 2010 IEEE/WIC/ACM International Conference on Web
Intelligence and Intelligent Agent Technology.
14. Solomon, M. (1992), Consumer Behavior: Buying, Having and Being,
Allyn and Bacon, Boston.
15. Mason, R. (1998), The Economics of Conspicuous Consumption:
Theory and Thought since 1700, Edward Elgar, Aldershot.
16. Chaudhuri, H. and Manjumar, M. (2006), “Of Diamonds and Desires:
Understanding Conspicuous Consumption from a Contemporary
Marketing Perspective”, Academy of Marketing Science Review, Vol
11.

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Table 4.Showing the Predominant Factors with eigen values


Total Variance
Component Initial Eigenvalues Extraction Sums of Squared Rotation Sums of Squared
Loadings Loadings
Total % of Cumulative Total % of Cumulative Total % of Cumulative
Variance % Variance % Variance %
1 15.483 45.538 45.538 15.483 45.538 45.538 7.044 20.718 20.718
2 3.272 9.623 55.161 3.272 9.623 55.161 4.741 13.944 34.662
3 2.389 7.026 62.187 2.389 7.026 62.187 4.424 13.012 47.674
4 1.779 5.233 67.421 1.779 5.233 67.421 3.628 10.672 58.346
5 1.448 4.257 71.678 1.448 4.257 71.678 2.767 8.139 66.485
6 1.320 3.881 75.559 1.320 3.881 75.559 2.110 6.205 72.689
7 1.098 3.228 78.788 1.098 3.228 78.788 2.03 6.098 78.788
Extraction Method: Principal Component Analysis.

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Table 6.One Sample T-Test find out the mean and t- value of characteristics of conspicuous goods
Test Value = 0
Mean Std. t df Sig. (2-tailed) Mean 95% Confidence
Deviation Difference Interval of the Difference
Lower Upper
Rarity 4.26 .691 62.040 99 < .001 4.240 4.10 4.38
Quality 4.24 .683 61.670 99 < .001 4.260 4.12 4.40
High Price 3.74 .848 44.089 99 < .001 3.740 3.57 3.91
Aesthetics 3.82 .869 43.959 99 < .001 3.820 3.65 3.99
Buying 3.80 .853 44.559 99 < .001 3.800 3.63 3.97
Experience
Heritage 3.76 .818 45.967 99 < .001 3.760 3.60 3.92
Status 3.70 .785 47.136 99 < .001 3.700 3.54 3.86
Extraordinary 3.78 .860 43.972 99 < .001 3.780 3.61 3.95
Symbolism 3.72 .780 47.721 99 < .001 3.720 3.57 3.87
Performance 4.14 .697 59.431 99 < .001 4.140 4.00 4.28
Public Figure 3.78 .860 43.972 99 < .001 3.780 3.61 3.95
Source: Compound Data

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Table 7.One Sample T-Test find out the mean and t value of
Social Media Platforms Influencing Conspicuous Consumption
Test Value = 0
Mean Std. t df Sig. (2-tailed) Mean 95% Confidence
Deviation Difference Interval of the
Difference
Lower Upper
Instagram 4.38 .722 60.693 99 < .001 4.380 4.24 4.52
Facebook 3.82 .716 50.902 99 < .001 4.180 4.02 4.34
Twitter 3.48 .926 37.566 99 < .001 3.480 3.30 3.66
YouTube 4.18 .821 53.348 99 < .001 3.820 3.68 3.96
WhatsApp 3.18 .957 33.212 99 < .001 3.180 2.99 3.37
Messenger 3.02 .910 33.191 99 < .001 3.020 2.84 3.20
WeChat 2.42 .987 24.529 99 < .001 2.420 2.22 2.62
Tumblr 2.70 .835 32.341 99 < .001 2.700 2.53 2.87
Reddit 2.76 .976 28.288 99 < .001 2.760 2.57 2.95
LinkedIn 2.78 .991 28.062 99 < .001 2.780 2.58 2.98
Snapchat 3.22 .881 39.690 99 < .001 3.220 3.06 3.38
Pinterest 3.02 .953 31.681 99 < .001 3.020 2.83 3.21
Telegram 2.98 .864 34.477 99 < .001 2.980 2.81 3.15
Source: Compound Data

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