M.A.Ishantha USE 2017 OCT 0045

You might also like

Download as pdf or txt
Download as pdf or txt
You are on page 1of 38

See discussions, stats, and author profiles for this publication at: https://www.researchgate.

net/publication/343040841

Impact of Supermarkets on Traditional Markets and Retailers in Sri Lanka's


Western Province

Experiment Findings · July 2020

CITATIONS READS

0 7,630

1 author:

Asith Ishantha
Future University Hakodate
5 PUBLICATIONS   6 CITATIONS   

SEE PROFILE

Some of the authors of this publication are also working on these related projects:

Impact of Supermarkets on Traditional Markets and Retailers in Sri Lanka’s Western Province View project

MALL CUSTOMER SEGMENTATION USING CLUSTERING ALGORITHM View project

All content following this page was uploaded by Asith Ishantha on 10 October 2020.

The user has requested enhancement of the downloaded file.


Impact of Supermarkets on Traditional Markets and Retailers in
Sri Lanka’s Western Province

Name: M.A.Ishantha

Student ID: USE/2017/OCT/0045

Lanka Nippon BizTech Institute

Jully 2020
Declaration

I declare that this report is my own work and has not been submitted in any form for another
degree or diploma at any university or other institution of higher education. Information
derived from the published or unpublished work of others has been acknowledged in the
text and a list of references is given.

Name of Student Signature of Student


M.A.Ishantha Asith Ishantha
Date: 7/12/2020

Name of supervisor: Signature of Supervisor


Bhashini Wijewickrama
Date:

1
Acknowledgement
I would like to express my special thanks of gratitude to our lecturer Bhashini Wijewickrama
who gave us the golden opportunity to do this wonderful project on the “Impact of Supermarkets
on Traditional Markets and Retailers in Sri Lanka’s Western Province”, which also helped me in
doing a lot of Research and I came to know about so many new things I am really thankful to
her.
Secondly I would also like to thank my parents and friends who helped me a lot in finalizing this
project within the limited time frame.

2
Abstract
This study measures the impact of supermarkets on traditional markets in western province in Sri
Lanka quantitatively using difference-in-difference, qualitatively using in-depth questionnaire and
aims to analyze and understand factors that are affecting customer choice of supermarket and
traditional market. This report consists of several sections describing the introduction, its
background, project Objectives and Literature Review. The descriptive and advanced analysis
section describes in detail the variables identified, how they are measured and prepared for analysis
and analysis findings, what we have concluded from our project that how variables under study
are related with each other and affect customer choice of each market. Convenience, variety,
product quality, prices and store loyalty were the main factors identified through initial study and
literature review as factors affecting customer choice of both markets and hence a project
framework designed evaluated these factors and how they affect market choice. Survey
questionnaire was used for data collection from 19 respondents based on which research analysis
has been done.

Keywords: traditional market, super market, most important factors when do shopping

3
1. Contents
1. INTRODUCTION ..................................................................................................................................... 6
Background of the study ............................................................................................................... 7
Motivation and the significance of the study ............................................................................... 8
Objectives...................................................................................................................................... 8
Description about each chapter in the report .............................................................................. 9
2. LITERATURE REVIEW ........................................................................................................................... 10
Background and the Importance of the study ............................................................................ 12
Methods of analyzing .................................................................................................................. 13
3. METHODOLOGY .................................................................................................................................. 14
Methodologies used for descriptive analysis.............................................................................. 14
Methodologies used for advanced analysis ................................................................................ 14
4. DESCRIPTION OF DATA ....................................................................................................................... 14
Data collection method............................................................................................................... 14
Variables and Data types ............................................................................................................ 15
5. ANALYSIS ............................................................................................................................................. 15
Descriptive analysis ..................................................................................................................... 15
Advanced analysis ....................................................................................................................... 23
6. DISCUSSION AND CONCLUSION ......................................................................................................... 27
7. REFERENCES ........................................................................................................................................ 28
8. APPENDICES ........................................................................................................................................ 29

4
List of Figures
Figure 1:Gender .......................................................................................................................................... 15
Figure 2:Age ................................................................................................................................................ 15
Figure 3:Occupation .................................................................................................................................... 16
Figure 4:Detail view of Occupation ............................................................................................................. 16
Figure 5:Travelling time .............................................................................................................................. 17
Figure 6:Super market Preference .............................................................................................................. 17
Figure 7:Traditional market preference...................................................................................................... 18
Figure 8:female frequency of shopping ...................................................................................................... 18
Figure 9:Male frequency of shopping ......................................................................................................... 19
Figure 10:What type of product customers are more likely to buy ........................................................... 19
Figure 11:Most important factor ................................................................................................................ 20
Figure 12: How many people does customer buy for ................................................................................. 20
Figure 13:TV commercial affection to market ............................................................................................ 21
Figure 14:what to buy in supermarket?...................................................................................................... 21
Figure 15:what to buy in traditional market? ............................................................................................. 22
Figure 16:Reasons for prioritize the supermarket ...................................................................................... 22
Figure 17:Reasons for prioritize the traditional market ............................................................................. 23

List of Tables

Table 1:difference between traditional market and supermarket with respect to gender. ...................... 24
Table 2:difference between traditional market and supermarket with respect to age group. ................. 24
Table 3:difference between traditional market and supermarket with respect to occupation................. 25
Table 4:difference between traditional market and supermarket with respect to travelling time. .......... 25
Table 5: difference between traditional market and supermarket with respect to most important factor
when select product’ .................................................................................................................................. 26

5
1. INTRODUCTION

Everyone loves shopping. we tend to guess most people love shopping though in some cases
shopping appears like a guilty pleasure. Be it shopping, or perhaps simply buying daily desires,
we tend to might acknowledge that we tend to like to do it. Different people have a unique habit
based on their shopping frequency and most preferred market. some of them tend to like grocery,
whereas some others like a traditional market. Understanding this insight, we'd prefer to do more
discovery regarding Sri Lankan preferences between traditional and grocery as their most popular
destination of shopping. We tend to conduct this survey by expanding our panel of the respondent
because it wasn't only specifically subjected to female, however additionally male. We tend to
thought-about that searching in each market may be done by each gender and that we expect to
capture larger insights. 19 respondents randomly obtained within the survey.

First of all, we will go through the Sri Lankan market introduction. The first supermarket was
initiated in Sri Lanka with the departmental store, namely Cargill's and Millers, which was during
the Ceylon period in Sri Lanka. The supermarkets initially started in the 1980's but the expansion
appeared from 2000s onward. major supermarket chains that are dominating the industry are;
Cargills Food City, Keels super, Arpico and Laugfs super. In addition to the above major
supermarket chains there are other supermarket chains such as Park & Shop, Sentra, Kings Super,
Sun Up, Crystal and Prince Super to name a few. In addition to the major supermarket chains,
there are a lot of single owner, self service and retail outlets operating all over the country with
mini supermarket concepts.

The raised competition has resulted in supermarkets reaching rural cities in their efforts to search
out new customers and wage-price wars. Hence, whereas Sri Lankan supermarkets catered solely
to the high class within the early 2000s, their mushrooming in smaller cities and predatory
valuation practices mean that customers from the lower classes now have easy accessibility to
supermarkets. This is certainly also the case in other developing countries (Collett & Wallace
2006).

The competition between supermarkets is theoretically helpful to customers, and maybe to the
economy as a whole, comparatively very little understanding about the impact of supermarkets on
traditional markets. Measuring the impact is very crucial given that supermarkets are currently
directly competing with traditional markets that used to cater to a special market section. This
study analyzes the impact of supermarkets on traditional markets in western province Sri Lanka.
In the Western Province, there are a number of supermarkets that have been established and the
grocery owners are a little bit scared about whether there will be a collapse with the rapid
development of the supermarkets. However, the customers are still interested in traditional
groceries because of their unique advantages like bargaining.

6
Now we will go through international history regarding supermarket. Bitter competition within the
retail industry has been present in developed countries for much of the past century, significantly
within the United states and Western Europe. The competition exists primarily between traditional
markets and modern retailers, that is, supermarkets and hypermarkets. Towards the last decade of
the millennium, however, the trend has expanded to developing countries, wherever deregulations
within the retail sector aimed at increasing foreign direct investment (FDI) have resulted within
the proliferation of supermarket chains (Reardon & Hopkins 2006). Supermarkets’ share of the
retail food sector in several developing economies, like the Republic of Korea, Thailand, Taiwan,
Mexico, Poland, and European countries, have reached 50%. In Brazil and Argentina, wherever
the proliferation began earlier, the share was around 60 %. Traill (2006) uses varied assumptions
and predicts that by 2015, supermarkets’ share of the retail grocery store can reach between 61%
in Argentina, Mexico, and Poland; 67% in Hungary; and 76% in Brazil.

Comparison of traditional market and supermarket

Traditional Market and supermarket are the places that you just can purchase several things,
however, they're different. Firstly, their products are different. goods and products in the market
rely upon plenty of things because the weather, sell times and seller’s moods, however, in the
supermarket, the products are stable. Secondly, markets are typically beginning early and finish
early too. so that, if you would like to buy good products and fresh foods, you have got to travel
as soon as possible. However, most supermarkets are open till late, so that they become more
convenient for those who don’t have day time for searching. next, in the market, you'll go from
stall to stall to check the costs and quality and you're sure to get the best deal, but, in the
supermarket, products are pricey, the worth is beyond. Lastly, some wet markets are typically wet,
dirty and not comfortable. otherwise, in supermarkets, you'll enjoy your free time for searching
and relaxing, because they're clear, more pleasurable. Even if you get nothing as a result, no one
can complain about you. overall, supermarkets and traditional markets have some benefits and
drawbacks.
Background of the study
Bitter competition within the retail industry has been present in developed countries for much of
the past century, significantly within the United states and Western Europe. The competition exists
primarily between traditional markets and modern retailers, that is, supermarkets and
hypermarkets. Towards the last decade of the millennium, however, the trend has expanded to
developing countries, wherever deregulations within the retail sector aimed at increasing foreign
direct investment (FDI) have resulted within the proliferation of supermarket chains (Reardon &
Hopkins 2006). Supermarkets’ share of the retail food sector in several developing economies, like
the Republic of Korea, Thailand, Taiwan, Mexico, Poland, and European countries, have reached
50%. In Brazil and Argentina, wherever the proliferation began earlier, the share was around 60 %.
Traill (2006) uses varied assumptions and predicts that by 2015, supermarkets’ share of the retail
grocery store can reach between 61% in Argentina, Mexico, and Poland; 67% in Hungary; and
76% in Brazil.
7
The first supermarket was initiated in Sri Lanka with the departmental store, namely Cargill's and
Millers, which was during the Ceylon period in Sri Lanka. The supermarkets initially started in
the 1980's but the expansion appeared from 2000s onward. major supermarket chains that are
dominating the industry are; Cargills Food City, Keels super, Arpico and Laugfs super. In addition
to the above major supermarket chains there are other supermarket chains such as Park & Shop,
Sentra, Kings Super, Sun Up, Crystal and Prince Super to name a few. In addition to the major
supermarket chains, there are a lot of single owner, self service and retail outlets operating all over
the country with mini supermarket concepts.

Motivation and the significance of the study

This survey will help to identify both markets’ weakness and strengths and what customers is
looking from them. It will help to improve their business and build future strategies along with
customers’ expectations. Sri Lankan market still consist with retailers and supermarkets while
even there is a high impact from supermarket to retail sector. Because retailer and wet markets
have niche products to sell and government protection for their business. This survey is going to
address about these unique qualities that have in wet market.

Objectives

• Identify the difference between traditional market and supermarket with respect to age.
One of the objectives to do this survey and statistics was to check does market preference
change respect to age or not.

• Identify the difference between traditional market and supermarket with respect to gender.

One of the objectives to do this survey and statistics was to check does market preference
change respect to occupation or not.

• Identify the difference between traditional market and supermarket with respect to
occupation

One of the objectives to do this survey and statistics was to check does market preference
change respect to occupation or not.

8
• Identify the difference between traditional market and supermarket with respect to
travelling time.

One of the objectives to do this survey and statistics was to check does market preference
change respect to travelling time or not.

• Identify the difference between traditional market and supermarket with respect to most
important factor when select product.

One of the objectives to do this survey and statistics was to check does market preference
change respect to most important factor when select product or not.

• To identify the factors of selecting markets

As many of similar projects are observed, identifying the factors when do shopping was
one of the main objectives in this statistical project.

Description about each chapter in the report

In literature review, divided into two parts. Background and importance of the study, method of
analyzing. In first part, we explained research paper that has very similar background for our
research from all research papers. In method of analyzing we briefly describe all techniques used
for their projects.
In methodology, divided into two parts. Methodologies used for descriptive analysis and
Methodologies used for advanced analysis. In first part we have explained techniques that we
used for descriptive analysis. In second part, we explained that, techniques used for advanced.
In description of data, we explained about our obtained data.
In analysis we have done the analysis with visual way and advanced way.
In discussion and conclusion, we conclude our objectives and our further improvements in
future.

9
2. LITERATURE REVIEW
The number of non-traditional grocery outlets has increased substantially in the past few years,
these grocery outlets are targeting specific high-volume categories of dry grocery products, paper
products, frozen foods, limited perishable produce and meat products, health and personal care
products, and general merchandise. Low operating margins provide attractive low-priced products
to consumers whilst ensuring high volume supplier shipments (Capps and Griffin, 1998). The
study of Crask and Reynolds (1978) dealt with frequent and infrequent shoppers to the
departmental stores, and found frequent customers were likely to be younger, more educated, and
had higher incomes.
The consumer behavior for store selection has been found very much similar to consumer behavior
for brand choice. The store selection is very much affected by factors like its location, variety,
prices offered etc. each being a source of competitive advantage for retailers (Brown 1989; Craig,
Ghosh, and McLafferty 1984; Huff 1964). Many studies have also pointed out that the store
location along with price, assortment and store environment are the most dominant factors for the
store selection.
In another study, Bell and Lattin (1998) demonstrated that customers who buy large quantity
preferred supermarket formats, while people who buy small quantity preferred small traditional
stores, similar results were arrived at by Bell, Ho and Tang (2001).
One view in store choice literature features store location plays important role in store choice
specifically due to traveling cost (Brown 1989; Craig, Ghosh, and McLafferty 1984; Huff 1964)
Another review focuses on the store attributes like Price being one of the easily noticeable
attributes when selecting shopping destination (Bell, Ho and Tang, 2001).The role of store
atmosphere, store ambience, store image, store environment and workers’ attitudes has also been
studied as a part of store attributes (Martineau, 1958)
It has also been found to be dependent on the timing of shopping frequency, with consumers
visiting smaller local stores for “fill-in” trips and supermarkets for regular shopping (Kahn and
Schmittlein, 1989).
Income level of families is also considered a factor of store choice where high income levels are
expected to lead to higher consumption levels, which would imply larger aggregate shopping.
Literature from Prais and Houthakker 1971; supports the view that a household income has a major
effect on its consumption. higher income will result in high quality of shopping items (Bawa and
Ghosh, 1999). Baumol and Ide (1956) and Brown (1978) observed that customers may be willing
to travel long distances, if stores offer more offers.
Finn and Louviere (1996) in their study discovered six dimensions, namely merchandise,
atmosphere, services, accessibility, anchor tenant and trendiness

Hu and Jasper (2001) investigated about the mature consumer experiences on shopping mall. In
their study, they identified five major factors which were very important for experienced and
mature consumers during the shopping from supermarket. The factors which emerged in their
findings were convenience, choice, crowds, ambiance, parking and hedonic shopping orientation.

10
Wendy and Sandra (2005) studied shopping mall preferences of teens from 12 to 17 years of age.
In their study, they concluded that the most important attributes in teens’ choice are as follows:
how friendly and welcoming the supermarket is to teens; whether the supermarket contains frozen
food area; whether it is a good place to hang out with friends; and whether it is very attractively
designed.

Dubihlela and Dubihlela (2014) in their study focused on Southern Africa found the main features
of shopping market which are directly related to customer satisfaction. They identified various
features in shopping malls, such as merchandizers, accessibility, service, amenities, ambiance,
entertainment, security and many more. On the basis of their mall culture research, they also
suggested the promotional strategy to the marketer for better customer satisfaction. Various other
studies revealed that shopping Centre image has been dominated by four key attributes, namely,
merchandise mix, accessibility, services and atmospherics (Dennis, Marsland & Cockett, 2001;
Finn & Louviere, 1996; Frasquet, Gil & Molla, 2001).

There is a wealth of literature dealing with the two main areas where supermarkets have affected
the retail sector in developing countries: supply chains and traditional retailers (Traill 2006, and
Reardon & Hopkins 2006). Supermarkets select, monitoring, and have a contract with their
suppliers. They either have their own distribution hubs to deal directly with farmers or use selected
wholesalers to supply them with food of quality with agreed standards. This practice has both
positive and negative impacts on the supply chains. On the positive side, it forces the suppliers to
be professional because they must transport the goods as strict schedule and have audited financial
records. Secondly, the suppliers are now not as vulnerable to price changes as the prices have been
agreed upon in the contract. However, the negative effects include supermarkets excluding small
suppliers who cannot keep up with the quality standards, a stocking fee charge, and much longer
payment periods than traditional retailers.After several years of competition, the traditional
retailers that are still doing in business are those selling (unique) niche products and locations,
where supermarkets are legally prevented from entering.

This is not surprising for some reasons. Firstly supermarkets, because of their economic power,
can afford to sell cheaper, stable price rate and mostly higher quality products. Moreover,
information on the price of each good is listed and easily accessible by the public. Thirdly,
supermarkets provide a cleaner and more comfortable shopping environment, have longer opening
hours, and offer more payment options—such as credit and debit cards and credit financing for
large household appliances. Fourthly, products sold in supermarkets, such as foodstuffs, pass
quality controls and are not sold past their expiration dates.

Moreover, the CPIS study finds that the goods sold in the two market types are largely
complementary, with traditional markets providing fresh foods and supermarkets selling processed
food and non-food goods. Related to this difference, the study states that the competitive advantage
of traditional markets is the low prices and freshness of the produce, while supermarkets provide

11
superior comfort and cleanliness. Thus, the study asserts that traditional markets and supermarkets
complement each other. However, the study also warns that if traditional markets are not managed
properly, they could lose their advantage over the supermarkets.

Jakpat mobile survey platform in Indonesia shows that, most customers tend to buy toiletries and
ready-made food products in supermarket, but they tend to buy foods materials in supermarket.
This survey further shows selected items, customer tend to buy from supermarket are, toiletries,
dairy product, Frozen food and snack. Fruit and veggies, egg and meat, seasoning, rice and
traditional snack are bought from traditional market.
According to their survey, female customers do not have regular pattern on shopping both in
traditional market and supermarket. 66% of respondents from their survey, more likely to prioritize
supermarket to traditional market as the place to shop. They further explain about their reasons for
prioritize. They discovered that two segments of respondent in the age of 18-25 years old said that
supermarket were chosen as the first destination due to comfort and cleanliness and 24x7
operational hours. Respondents in the age of 26+ years old said that their motives based on
promotions and locations were near.
34% of respondents from their survey, more likely to prioritize traditional market to supermarket
as the place to shop. They further explain about their reasons for prioritize. Respondent in the age
of 18-25 years old said that their reasons were based on the economic and cognitive aspects. They
considered that the sellers in traditional market have better knowledge of product quality and the
price was cheaper. In other hand, respondent in the age of 26+ years old said that their reasons
were based on the geographical and economic motives. They prioritized traditional market because
the locations were near and there was a chance to bargain.
Researches could discover about their negative perceptions about both markets. Traditional market
was negatively perceived as dirty, wet, less safe, less variation of products, and only open at certain
times. Other while, supermarket was negatively perceived as expensive, less fresh products, and
required respondent to queue for paying.

Background and the Importance of the study


comparing hypermarket and traditional wet market consumers perception was the similar analysis
has done. This study was conducted in two different store formats, which are hypermarket and
traditional market respectively. Totally 200 questionnaires were distributed and collected. Each
market has 100 questionnaires respectively. First of all, the general data such as respondents’
profiles, trip patterns and transaction patterns were analyzed by using descriptive analysis. This
approach generates frequently and percentage of the respondent’s characteristics and presents the
basics data and information. Secondly, reliability of the respondents’ perception on store image
will be tested to examine whether if the data reliable or not. The level of reliability, which is called
Cronbach’s alpha, the alpha value should not lower than -.70to obtain the consistent result.

12
After that, independent t-test will be used to examine the level of significant on store attributes
between different store formats. Moreover, we will also test the correlation between store formats
and demographic characteristics, trip patterns and transaction patterns. The difference of mean will
be calculated, and 95% of confidence intervals were taken in this study.

Methods of analyzing

comparing hypermarket and traditional wet market consumers perception (comparing-


hypermarket-and-traditional-wet-market-consumers-perception, 2017) was the similar analysis
has done. This study was conducted in two different store formats, which are hypermarket and
traditional market respectively. Totally 200 questionnaires were distributed and collected. Each
market has 100 questionnaires respectively. First of all, the general data such as respondents’
profiles, trip patterns and transaction patterns were analyzed by using descriptive analysis. This
approach generates frequently and percentage of the respondent’s characteristics and presents the
basics data and information. Secondly, reliability of the respondents’ perception on store image
will be tested to examine whether if the data reliable or not. The level of reliability, which is called
Cronbach’s alpha, the alpha value should not lower than -.70to obtain the consistent result.
After that, independent t-test will be used to examine the level of significant on store attributes
between different store formats. Moreover, we will also test the correlation between store formats
and demographic characteristics, trip patterns and transaction patterns. The difference of mean will
be calculated, and 95% of confidence intervals were taken in this study. In this study, Descriptive
analysis is done for Gender, Age, Ethnic, Marital Status, Education level, Occupation, Household
size, Monthly income, Trip patterns, travelling time, Transportation mode, Frequency of visiting,
visiting market with whom and Time spent using bar plot diagram interpretation and pie chart.
Reliability analysis is done to satisfy store attributes as the reasons for consumers to shop. Item-
Total statistics is done for store attributes as the reasons for consumers to shop. Group statistics is
done for respondent’s file, trip patterns and transaction pattern of different store to identify their
changes respect to each other. Independent samples test is done for respondent’s file, trip patterns
and transaction pattern of different store to identify changes respect to each. Independent T-test
analysis is done to examine of respondents’ profile, trip patterns, transaction pattern and store
attributes. Independent sample test for store attributes as the reasons for consumers to shop.

13
3. METHODOLOGY

Methodologies used for descriptive analysis


descriptive statistics meaning that use of statistical and graphic techniques to present information
about the data set which we gathered from people. In this research, histograms, multiple bar plot
diagrams and pie chart are generated by R studio. Pie graph, which a circle is divided into sectors
that each represent a proportion of the whole. Histogram diagram, which consisting of rectangles
whose area is proportional to the frequency of a variable. Multiple bar plot, which compares many
sets of data you want. It is a common practice to begin an analysis by examining graphical displays
of a data set and to compute some percentages get a better sense of the data to be analyzed. Pie
chart diagrams are used for descriptive analysis of Gender, Age, Occupation, Household size, Trip
patterns, travelling time, Frequency of visiting and most import factor when selecting product and
commercial affection to market. Bar plot are used for prioritize markets respect to frequency of
going and what to buy in both markets. Pie charts and plot charts from obtained dataset are used
to analyze descriptively by interpret them. Their percentage values are used to do comparison and
make conclusion.

Methodologies used for advanced analysis

This study based on qualitative variables. Because of that quantitative advanced analysis cannot
be used. Each of qualitative variables are weighted according to scale, which has used in
questionnaire. Then comparison of variables is done and generated percentage values to make
conclusion. Many tables are generated that make easy to make conclusion. Each table is help to
satisfy objectives, which are mentioned above. Group statistics techniques are used to satisfy
objectives for age, gender, occupation, travelling time and most important factor when select
product respect to each market. Scales were given to the customer to prioritize the preferred
market. that scale was weighted with some values and that weights were used to do advanced
analysis to accomplish objectives.

4. DESCRIPTION OF DATA

Data collection method


The primary data gathering is done by using a survey method. The convenience sampling method
is used with a help of a questionnaire. Secondary Sources of information is gathered from research
papers, articles and from relevant web sites. From the total population that consists of all the retail
customers in Sri Lanka, a sample of 19 respondents were selected using the convenience sampling
method from the Western province, which represents the highest number of traditional markets,
groceries and supermarkets in Sri Lanka.

14
Variables and Data types

Categorical variable was used for this statistics project. Categorical variables represent groupings
of some kind. When do some calculations for comparison, sometimes recorded as numbers, but
the numbers represent categories rather than actual amounts of things.

5. ANALYSIS

Descriptive analysis

Figure 1:Gender

Figure 1 shows that, there is more female does shop at markets than male does. Gender distribution
of respondents are much balanced at shopping than expected, which are 52.6% for female and
47.4% for male.

Figure 2:Age

15
Figure 2 pie diagram shows that respondents at both markets with the age of 16-25 and 26-35 are
the highest, which are 52.6% and 21.1% respectively, compare with the ages which are between
36-45, 46-55 and 55+.
The total percentage of this range of age (36-45 years old, 46-55 years old and 55+) for both
markets is 26.3%.

Figure 3:Occupation

In Figure 3 showed that the respondents who are younger generation and have at least considerable
education level. In this section, it showed that most of the respondents of both markets are
Unemployed people. (12 respondents out of 19). Rest of them are employed respondents.
We will see this diagram in detail manner to get more information about respondents.

Figure 4:Detail view of Occupation

16
In Figure 4, it showed that most of the respondents are students (10 respondents). Followed by 2
respondents of house wives, 1 accountant, 1 assistant manager, 1 lecturer, 1 school teacher, 1
software engineer, 1 trainee and 1 visiting lecturer.

Figure 5:Travelling time

In Figure 5, Majority of the respondents are travel from home to the markets were just within 20
minutes and 63.2% as the percentage. 36.8% respondents of markets have travelling time between
10 minutes. None of respondents no need to spend more than 20 minutes for travelling.
It clearly shows that people prefer short time travelling when shopping.

Figure 6:Super market Preference

17
Figure 6 shows that supermarket preference of 19 respondents. Most of female respondents usually
select the supermarket as their preferred place to shop. But most of male respondents don’t have
much preference as female does to go supermarket.

Figure 7:Traditional market preference

Figure 7 shows that most female respondents usually go to traditional market. As an overall
prediction, female have preference to go traditional market than male does. Male respondents don’t
have much preference for shopping in both markets according to above two diagrams. They
sometimes do only for special reasons.

Figure 8:female frequency of shopping

18
Figure 8 shows that, Majority of female respondents (40%) visiting markets once a week. Most
of respondents next to majority visiting markets on weekend (30%).

Figure 9:Male frequency of shopping

Figure 9 shows that Majority of male respondents (55.55%) visiting markets on weekend. Most of
respondents next to majority visiting markets once a week (22.22%).

Figure 10:What type of product customers are more likely to


buy

This Figure 10 shows that, most of respondents select product type depend on product. From data
obtained, 78.94% respondents selected that answer

19
Figure 11:Most important factor

Figure 11 showed that most of the respondents’ (57.9%) concern was quality of the product against
other factors. Price also one of the most affected factors when selecting products.

Figure 12: How many people does customer buy for

Figure 12 showed that 33.3% and 22.2% of respondents of both markets have household size of 5
and 3. On the other hand 16.7% and 16.7% of respondents of household size of 2 and 4.

20
Figure 13:TV commercial affection to market

Figure 13 shows that,42.1% of respondents answered that, tv commercial are going to affect for
their shopping while majority of respondents disagree with it.

Figure 14:what to buy in supermarket?

21
Figure 15:what to buy in traditional market?

Above Figure 14 and 15 interpret that, most of respondents (77.8%) are buying dairy products
from supermarket compare to traditional market. Most of respondents have high interest regarding
fruit and veggies (73.7%), egg and meet (68.4%) and rice(57.9%) to buy from traditional market.
While Many respondents are buying dairy products from supermarkets, most of respondents are
buying veggie/fruit and egg/meat from traditional market.

Figure 16:Reasons for prioritize the supermarket

Figure 16 shows that respondent’s reasons for prioritize supermarket. Most of respondents strongly
agree with More comfortable and cleaner. Most of respondents partially agree with cheaper and
nearby factor. Most of respondents agree with promotion factor offered by supermarket.

22
Figure 17:Reasons for prioritize the traditional market

Figure 17 shows that respondent’s reasons for prioritize traditional market. Most of respondents
agree with More comfortable and cleaner. But considerable level of respondents disagrees with
that. Most of respondents disagree with open until night factor and partially agree with cheaper
factor. While most of respondents disagree with seller’s knowledge factor, considerable level of
respondents agrees with that. Because of subjective factor, it depends on market. Most of
respondents agree with chance to bargain. It is the highest vote for some factor.

Advanced analysis

When we gather feedback from customer, we give scale for customers to prioritize the preferred
market.
Scale consisted with 5 selections.

• Never go - 0
• Rarely go - 0.25
• Sometimes go - 0.5
• Usually go - 0.75
• Frequently go - 1
We gave weights for each of them, to make easy the analysis. Advanced analysis done by
using these weights.

23
Table 1:difference between traditional market and supermarket with respect to gender.

gender supermarket traditional market

percentage percentage

male 18.42% 31.57%

female 23.68% 27.63%

At both different store formats, we can find that there is more female shop at markets than males
do. Gender distribution of respondents at traditional market was much more balanced than gender
distribution of respondents at supermarket, which are 31.57% for male and 27.63% for female at
traditional market. We can conclude, that selecting a market with respect to gender is not accurate
for current generation. They have interest for both markets because of different reasons.

Table 2:difference between traditional market and supermarket with respect to age group.

Age group supermarket traditional market

percentage percentage

16-25 26.31% 35.5%

26-35 13.15% 9.21%

46-55 3.94% 13.15%

56+ 1.31% 0.84%

The data collection of this study showed that respondents at traditional and supermarket with the
age group of 16-25 years old are the highest, which are 26.31% and 35.5% respectively, compare
with the ages which are between 26-35 years old(13.15% and 9.21%),46-55 years old(3.94% and
13.15%) and 56 years old and above(1.31% and 0.84%).
One phenomenon can be found in this data is the number of respondents of traditional market with
the age which are between 16-25 years old and 46-55, are much higher than the respondents of
supermarket. We can conclude that selecting a market is not strongly depend on age group.

24
Table 3:difference between traditional market and supermarket with respect to occupation

occupation supermarket traditional market


percentage percentage

Unemployed 23.68% 44.73%


Employed 13.15% 17.10%

In the previous data showed that the respondents who are younger generation (25 year and below)
and have at least tertiary education level had a large portion of entire respondents, In this section,
it showed that most of the respondents of bother markets are unemployed.
Most of respondents from unemployed and employed give traditional market at high vote against
supermarket.
One phenomenon can be found in this data is roughly the number of unemployed respondents of
traditional market is two times bigger than supermarket unemployed respondents.

Table 4:difference between traditional market and supermarket with respect to travelling time.

travelling time supermarket traditional market


percentage percentage

Up to 20 min 26.31% 4.60%


No more than 10 min 15.78% 11.84%

Most of respondents’ travel from home to the markets were just within 20 minutes and this was
showed by 26.31% respondent of supermarket and 4.60% respondents of supermarket. Categories
of up to 40 min and 40+ didn’t choose by any respondents.
From the data we can conclude that people prefer to travel from home to market in shorter time.
One phenomenon can be found in this data is most of respondents choose supermarket against
traditional market in both time period. so, we can conclude that travelling to supermarket is very
shorter and effective compare with traditional market to save time.

25
Table 5: difference between traditional market and supermarket with respect to most important factor when select product’

most important factor when supermarket traditional market


select product
percentage percentage

Quality of the product 22.36% 35.52%


price 11.84% 14.47%
Look and appearance 1.31% 9.21%
Quality of the product was the most important factor for both respondents represents both markets
and 22.36% for supermarkets and 35.52% for traditional market respectively.
With this information, we can clearly understand that traditional market respondents more likely
to prioritize traditional market to supermarket as the place where quality of the product is good
and price is reasonable.

26
6. DISCUSSION AND CONCLUSION

In this statistical research project, there are 19 respondents are responded their feedbacks. Based
on these feedbacks, we have done analysis to make decision and identify and satisfy the objectives
in this project. 19 respondents are comparatively small sample from society. To make decision
about society, there must be a broad range and many representatives, who represent each society
level and age level. It is a big weakness in this project. There must be at least 100 respondents
from different society level. As a further improvement, we expect to distribute 200 questionnaires
for each market, totally 200 questionnaires. In this project, most of respondents were students. It
strongly affects for the project and the expected result. Because of student’s mind set different
from the adult’s mind set. With country’s corona pandemic situation, it was a big barrier to reach
real audience. So as a further improvement, we expect to identify the best audience for the research
project. Without using internet, we expect to distribute our questionnaires in hard copy way to
reach the real audience’s. We expect to distribute these questionnaires in selected traditional
markets and supermarkets. When we make questionnaire, we had only read one research paper
similar to proposed research. So, we only had little knowledge regarding research. But while
ongoing the research we had go through many research papers and obtained lot of knowledge and
information from there. That time we feel that, we couldn’t enter some key questions that will
strongly affect for research. As further improvement, we expect to finalize great questionnaire.
Before finalizing the questionnaire, we expect to go through many research papers to get good
knowledge.
Because of reasons what we had mentioned above, we couldn’t satisfy some objectives with
expected result. However, we are going to conclude the results we obtained through analysis. As
we all know, we could to prove that more female shop at markets than males do. In table 1, it
clearly proves that most of the respondents were female. Next, we go through market interest
respect to age-group. According to general knowledge, old generation much familiar with
traditional markets while new generation familiar with supermarkets. But according to our research
most of young generation responders voted that they like traditional market against supermarket.
The percentage was 35.5%. Normally people don’t like to spend time for travelling. We were able
to prove it through our research. According to table 3, all of respondents don’t want spend time no
more than 20 min. for transportation. As we all know customers really aware about product quality.
We were able to proves it through our research also. Most of respondents from both markets really
aware about product quality when buy product.
We were able to satisfy many objectives successfully through our research project. In future
developments, we expect to maintain high quality research with more information than this project
with further improvements what we had mentioned above.

27
7. REFERENCES
Bell, H. a. (2001). Retrieved from https://faculty.wharton.upenn.edu/wp-
content/uploads/2012/04/20_Ho-Tang-Bell-(1998)-MS.pdf

Collett, P. a. (200). ‘Background Report: Impact of Supermarkets on.

comparing-hypermarket-and-traditional-wet-market-consumers-perception. (2017, 6 26). Retrieved


from https://studydriver.com/comparing-hypermarket-and-traditional-wet-market-consumers-
perception/

Craig, G. a. (1984). Retrieved from


https://www.sciencedirect.com/science/article/abs/pii/S0022435909000025

Dubihlela, D. &. ((2014)). Attributes of shopping mall image, customer satisfaction and mall patronage
for selected shopping malls in Southern Gauteng, South Africa. Journal of Economics and
Behavioural Studies.

Ghosh, B. a. (1999). Retrieved from https://experts.illinois.edu/en/publications/a-model-of-household-


grocery-shopping-behavior

Houthakker, P. a. (1971). Retrieved from https://www.jstor.org/stable/29793353

Ide, B. a. ((1956)). Retrieved from


https://www0.gsb.columbia.edu/mygsb/faculty/research/pubfiles/3922/inventory_costs.pdf

Lattin, B. a. ((1998)). Retrieved from https://faculty.wharton.upenn.edu/wp-


content/uploads/2012/04/22_Bell-Lattin-(1998)-MS.pdf

Martinea. (1958). Retrieved from https://doi.org/10.1177/002224295802300201

Reardon, T. a. ((2006) ). ‘The Supermarket Revolution in Developing.

Schmittlein, K. a. (1989). Retrieved from


https://www.rug.nl/research/portal/files/42479071/Shopping_trip_article_final.pdf

Ticket booking. (n.d.). Retrieved 05 05, 2019, from bus ticket bookin: www.ticket.com

Traill, W. B. ((2006) ). ’The Rapid Rise of Supermarkets?’.

Wendy, B. W. (2005). Teens and shopping mall preferences: A conjoint analysis approach to
understanding the generational shift toward an experience economy. Journal of Shopping Center
Research, .

www.trainsystem.com. (2016, 10). Retrieved 05 18, 2019, from Sri Lanka Railway: www.train.com

28
8. APPENDICES

29
30
31
32
33
1
2
3

View publication stats

You might also like