A Study on Customer Perception regarding Purchase Decision of Two-Wheelers in Bhubaneswar Market

By Avik Mitra (11DM010)

Introduction
ICRA: domestic two wheeler industry is expected to report a volume growth of 8-9% in 2012-13; a strong volume expansion over the last 3 yrs. At a CAGR of 21.8%. Addition of 77 million youth to the Indian population mix in the last decade - the key contributor to the two-wheeler industrys volume growth over the last 10 years.

Objectives
Identify certain underlying perceptions customers take recourse to while making purchases of two wheelers.

Check how far customers perceptions and purchase decisions are linked to one another.
Look into the effects as well as the magnitude of such effects of those perceptions on the purchase decisions of customers for two wheelers. Make an assessment of any marked deviations in the perceptions affecting purchase decisions; check whether certain set of perceptions play an important role consistently or whether a certain set of perceptions is insignificant in the context of purchase decision of two wheelers.

Literature Review
Suresh Vadde (2010) in his study on Consumer Behavior towards two wheeler automobiles: A comparative study in rural and urban areas, it was found that the consumer decision to purchase a two wheeler is based on own perception, experience and belief. S Saravanan, N Pachanatham & S Pragadeeswaran (2009) their study on Consumer Behavior towards Show room services of Two Wheelers with reference to Cuddalore District, their study was aimed to find out the consumer behavior towards show room services of two wheelers. Their study was conducted in cuddalore district with a sample size of 200 users who were selected randomly. Their results show that the ages of the respondents are positively correlated with Yamaha and others brand and negatively correlated with TVS, Hero Honda and Bajaj. Result exhibits that five variables (age, professional status, personality, size of family and educational qualification) have significantly contributed for predicting the Availability of spare parts.

Literature Review (contd)

McAlister (1982) demonstrates how an inventory of attributes of products may be used to understand the choice of products by customers. In the same token, an inventory of attributes for motorized two-wheelers should be established to understand how customers choose between the products. In other words, a scale of preferences should be established to understand the preferences of customers.

Research methodology
Convenience sample of 200 respondents.

Primary data collected with the help of questionnaires, Secondary data. Incorporation of certain statistical tools for data analysis:
i. Correlation for determining the level of association b/w variables affecting customer perception and their respective purchase decisions. ii. ANOVA to determine the effect of perception on purchase decision and look into the sources of variations, if any.

references
Schiffman Leon G., Kanuk Leslie Lazar, Kumar S. Ramesh, Consumer Behaviour, Tenth Edition. Saravanan S., Panchanatham N., Pragadeeswaran S., Markets and Consumers. Jha Manish, Sirohi Rajiv, Madan Suman, Arora Shilpa, Impact of Advertisement on Consumer Buying Behaviour in Two Wheeler Segment. Mahendra M.V.S., A Study on Consumer Behaviour Towards Twowheelers. Sureshranjan S.G., Selvachandra M., Factor Analysis of Rural Consumers Preference Attributes in the Purchase of Two-Wheelers: An Empirical Analysis. http://www.moneycontrol.com/news/icra-reports/two-wheelermay-see-growth8-9fy13-icra_710047.html