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CHAPTER – I

1.1 INTRODUCTION OF THE STUDY

In today's competitive and changing business environment that the power of retailers and
the customers’ demand level is continuously growing, expanding long-term relationship with
customers is vital and necessary for the success and survival of producers. Previous studies have
shown that price is an important variable, but other variables such as product and service quality
are important in the process of customers’ purchase decision. Customers in this era are targeted
by mass media and they change the consumers' way of thinking through emotions, needs, wants
and demands. Market researchers and organizations spent billions of dollars on consumer
research to identify important factors that influence on consumer decisions. The analysis of
consumer behavior is effective in detecting the orientation of consumers’ behavior.

According to above discussion, the industry are not an exception and these companies
should maintain long-term and profitable relationships with their own customers in order to
survive in the competitive environment. When management has a deep and true understanding of
the effective factors on the behavioral intentions of customers, company can strengthen long-
term relationships with customers more effectively. Therefore, the first step is to identify the
factors affecting on customers purchase intention. Due to the lack of research in this area, there is
a necessity to address this issue seriously. Consequently, the main purpose of this study is to
investigate factors affecting on the purchase intention of Bono brand tile customers.

Customers in this era are targeted by mass media and they change the consumers' way of
thinking through emotions, needs, wants and demands. Market researchers and organizations
spent billions of dollars on consumer research to identify important factors that influence on
consumer decisions. The analysis of consumer behavior is effective in detecting the orientation
of consumers’ behavior.

Despite the emphasis on customers’ maintenance in marketing texts, access to such


targets is changing rapidly for manufacturer and seller companies. In market, billions of dollars
are spent on brand advertising by the companies of home appliances and tile. However, studies
show that consumers are only able to differentiate between few brands. The main problem is that
brand advertising solely is not a guarantee for brand success.

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Therefore, marketing specialists require a clear strategy which is based on a complete
understanding of reasons that encourage consumers to repurchase intention of a brand. in the
crowded market that we witness the activity of several brands, the purchase reduction of these
appliances due to conditions such as economic downturn and the decrease of people purchase
power, as well as the efforts of these companies to make their own brands distinctive in the
minds of consumers, professional marketers should realize that how change the variables
affecting on brand loyalty in order to change to impact on the repurchase intention of brand

So, several studies have been conducted about marketing issues by researchers. The
results of studies about customers’ satisfaction and brand awareness showed that while few
brands became successful but the majority of them are indistinctive and suffer from brand loyalty
reduction. Previous studies of marketing mention that the main factor in the success of
companies and the creation of competitive advantage is the increase of perceived value,
perceived quality and customer satisfaction. Also, creating valuable products and inducing the
desired brand image are recognized as the basic requirements of customers’ behavioral intention

Purchase intention

Purchase intention, also called customer or buyer’ intent, is a measure of each shopper’s
propensity to buy a product or service. It is:

“The Sum total of cognitive, affective and behavioral towards adoption, purchase, and
use of the product, services, ideas or certain behavior”

The concept is simple, but in practice, it’s not as black and white as it sounds. Intent
cannot be chalked up to a yes or no answer to the question of whether somebody intends to buy a
product.

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4 Types of Customer Purchase Intention

Informational intent

This intent type captures consumers in the information-gathering stage. They’re


searching for a specific answer or educating themselves on a certain topic. Engage these
customers with educational resources through your content and email marketing strategy.

Investigative intent

Customers with this type of intent are in the research stage. They’re not quite ready to
purchase a product but are currently exploring their options through comparison shopping,
researching their options, reading product and brand reviews, and social listening.

Because of the massive amount of options available to online consumers, an increasing


amount of time is spent in this intent stage across all industries and product types.

Navigational intent

Those who are interested in visiting a specific website or going directly to a brand’s
online store will land in this intent category.

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This is often a term associated with search user intent, rather than online shopper intent,
but those with navigational intent may have a higher intent to purchase — after all, they’re
seeking out a specific brand or web property.

Transactional intent

This is the type of intent that most people think of when they consider buyer intention.
Transactional intent is those with strong purchase propensity, who have “high intent to buy”, and
are interested in purchasing a specific product or service.

There are varying degrees of transactional intent, but customers within this intent type are
closer to the conversion stage of the customer journey.

With the customers at this stage, making the sale is the name of the game, and to do so,
you’ll want to provide them with the individualized promotion or incentive that they’re most
likely to take action on.

Why Customer Intent Matters

Customer purchase intention is the single most important customer variable to measure
and take action against in eCommerce.

But most eCommerce teams create buyer personas, build customer segments around
those personas, and think their job is done. If you stop at segmentation, your team will never
realize it’s full potential, because you’ll be unable to get as individualized as consumers need to
convert.

To neglect customer intent is to neglect the vast majority of your would-be customers.


Measuring and taking action on customer intent can help:

 Improve conversion rates, average order value and revenue per visitor.


 Increase margins
 Protect brand equity and perception
 Improve profitability and marketing channel ROI
 Drive customer lifetime value and retention,

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 Personalize the customer experience.
Factors that influence consumer purchase intention

There are a lot of variables that influence online shopping such as time efficiency,
convenience, security, cost, information and characteristics of the products and its culture,
demographics, and environment. One of the major success factors of online shopping has been
its convenience and delivery of products to the customer’s doorway. The seller should take into
deliberation numerous aspects concerning security. For example, the consistency of software, the
security of the hardware, the effectiveness of statistics encryption, the reliability of the website’s
system of payment, are a few. The design of the website also has an impact on the purchases
made by the consumer. The design should be clean and looks spacious, color theme should not
be too loud or too boring and the fonts should be easy for the consumers to read

Free delivery often attracts customers who buy very often from Online Shops, to them
Shipping expenses matter most and free of charge Shipping can hold on to these customers for a
elongated time. Further said that to make a customer loyal to your brand it is necessary to have a
return policy especially in clothing business where size can be easily mismatched. Refund policy
should be stated as the consumers shy away from online shopping because they do not want to
risk that the product is either damaged or not the correct size. Refunds should be made within a
given time period to reassure the consumers that a product can be replaced with ease if they are
not satisfied with it.

CONVENIENCE

Consumers these day’s do not want to squander away their time and energy in visiting the
mall when they can have those same products delivered at their homes with much less bother by
only ’clicking a button’. Going to the mall is seen as an inconvenience as they are tagged as
crowded places, where first the consumer has to spend their easy access to full product
information can facilitate and help user make an online purchase decision

PRICE

Vulnerable and conscious to the increase of the prices the consumers are typically in
relation to the possession of products at the lowest rate or get the best value for the money they

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splurge through online shopping. When products and brands have lot of similarity, and are
competitive in price; consequently, consumer retention is quite vulnerable to change their choice
of brand or retailer.

Price is the main concern that consumers take in consideration prior to purchasing online
and they have various fears that price is usually high. Price factor involves examining the
consumers move toward squandering away funds when shopping online as income of the people
is extremely low. Cost sensitive customers are generally concerned with purchasing merchandise
at the lowest prices or getting the most value out of it.

Consumers have given performance advertising channels such a vital position in fashion
purchasing since they so efficiently balance these two very diverse needs, and to avail the best
price consumers now only need to log onto specific blogs and enter codes given for discount
vouchers. Also, they can browse the sites that give price comparison for products so that
consumers can avail the best prices, of course this means that the businesses have to be more
careful when pricing their products as the competition is cut throat and consumer loyalty wavers
to whoever has the lowest pricing

INFORMATION ABOUT PRODUCT OR SERVICE

The internet has made it easier for the sellers to supply information concerning their
products or services available for their patrons online. This is more cost efficient for the firms
also as it is cheaper than distributing out promotional material for instance. The information
supplier can obtain an improved understanding of the customer’s needs and wants as they select
the desired information they wish for from the websites. However, the firm has to form a
passageway and demonstrate to the consumers where their site can to be found as the internet is
packed with competition

SECURITY

Awareness of security has been explored to deepen understanding of consumer buying


behavior, especially in the field of e-retail. He recognize two main types of risk: product
category risk and financial risk. Product category risk is focused on the product itself and is
related to the customer's belief in whether the product will perform as per expectation. Financial

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risk is related to interne fraud related to theft of identity and personal bank details or credit card
scams. Consumer’s aim to shop online depends on their past experience shopping online. If they
had an excellent experience with no troubles then they will consider doing it yet again but if they
faced security issues or problems with the product, they purchased then that will see it as a
negative point in their minds and they will prevent from shopping online again

1.2 STATEMENT OF THE PROBLEM

During the past decades, there were remarkable changes in Indian tea industry due to the
changes in socio economic development. The consumers concern towards tea consumption
habits and environmental issues are improving day by day. Consumers are familiar about the
Leafy Tea products carry benefit in terms of health and impart energy to the user. Because of this
positive change in the consumption habits of people, initiatives by the companies and
governments putting their great efforts to serve the people healthy and to save the environment
as well. There are number of studies that look into the consumer belief on Leafy Tea
consumption, however this study focus to determine the factors influencing consumers of Leafy
Tea products in Chennai.

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1.3 OBJECTIVES OF THE STUDY

The Objectives of the study are:

• To analyses the impact of product quality on purchase intention towards


Leafy tea products.

• To analyses the impact of product packaging on purchase intention


towards Leafy tea products.

• To analyses the impact of perceived price on purchase intention towards


Leafy tea products.

• To analyses the impact of product shelf life on purchase intention towards


Leafy tea products.

• To make suggestions and improvements based on the results of statistical


analysis.

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1.4 SCOPE OF THE STUDY

The main scope of this study is to figure out the main factors that can influence Leafy
Tea products purchase habits among consumers in Chennai. This study will help the marketers to
develop strong strategies influencing not only consumer perspective and buying intention but
also actual purchase behavior. Hence, the result of this study may provide useful information for
Leafy Tea products marketers to frame successful marketing policies

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1.5 LIMITATIONS OF THE STUDY

 The time limit is one of the main factors to conduct the study effectively.
 The data collection is applicable in Chennai only.
 The respondent may not be true in filling up the questionnaire.

 The study was only confined to 150 respondents.

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1.6 INDUSTRY PROFILE

The Indian tea industry dates back to 172 years, and occupies a significant and distinct
position in the Indian economy. The tea products can be broadly segmented into crush, tear and
curl (CTC), orthodox and green tea. In India, nearly 80% of all families consume tea, making it
the most popular beverage in the country. Majority of tea plantations in India are located in rural
hills and backward regions of the Northern, Eastern, and Southern states.  In addition, some tea
varieties, for instance, Darjeeling tea, are grown only in India and are in high demand
worldwide. In India, tea is traded and purchased through private selling and auctions. The
majority of tea trading is conducted through auctions in six major cities: Calcutta, Guwahati,
Siliguri, Cochin, Coonoor and Coimbatore. With more than 13,000 gardens and over two million
workers, the Indian tea industry is one of the largest in the world. The Indian tea industry
generates a sizable amount of foreign exchange and high revenue for the government. Strong
geographical indications, significant investments in tea processing facilities, ongoing
innovations, expanded product mix and strategic market growth contribute to Indian
tea's reputation as one of the best in the world.

India is the second-largest producer of tea globally. Indian tea is one of the finest in the
world due to strong geographical indications, heavy investment in tea processing units,
continuous innovation, augmented product mix, and strategic market expansion. As of a 2018
survey, a total of 6.37 lakh hectares of area was cultivated in India for tea production. India is
also among the world's top tea consuming countries, with 80% of the tea produced in the country
consumed by the domestic population. India's total tea production for the calendar year 2020 was
1,257.52 million kg and for the financial year 2020-21 it was 1,283 million kg. In May 2022,
India’s tea production stood at 127.11 million kgs, and it was at 91.77 million kg in April 2022.
From January-September 2022, India’s tea production stood at 984.67 million kg.

The northern part of India is the biggest producer at about 83% of the country's annual
tea production in 2021-22 with the majority of the production coming from Assam followed by
West Bengal. The Assam valley and Cachar are the two tea producing regions in Assam. In West
Bengal, Dooars, Terai and Darjeeling are the three major tea producer regions. The southern part

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of India produces about 17% of the country's total production with the major producing states
being Tamil Nadu, Kerala, and Karnataka.

Production & Exports Scenario

India is one of the top tea-consuming countries in the world, with domestic


consumers accounting for 80% of the country's tea production. The northern part of India is the
biggest tea producer, accounting for approximately 83% of India's annual tea production in 2022,
with major contributions from Assam and West Bengal. The remaining 17% of India's tea is
produced in the southern region, with Tamil Nadu, Kerala and Karnataka being the top three
producers. Overall, 1,344.4 million kg of tea was produced in India in FY 2021-22.

Month wise tea production trend in 2022 (in million kgs)

With 10% of global exports, India is one of the world's top 5 tea exporting countries. In
FY 2021-22, tea exports from India were valued at US$ 750.63 million. Black tea is the most
popular variety exported from India, accounting for approximately 96% of total tea exports.
Other export varieties include regular tea, green tea, herbal tea, masala tea and lemon tea. Black
tea, regular tea and green tea account for roughly 80%, 16% and 3.5% of the total tea exports
from India, respectively. India being the world's second-largest tea producer holds a strong
position in the global export market. Russia, Iran, the UAE, the US, the UK, Germany and China
are some of the top countries that import tea from India. India exported US$ 61.48 million worth
tea to these countries in the first quarter of FY 2022-23.

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Recent trends in the Indian Tea Industry

Consumer choices have become increasingly sophisticated with the onset of


globalisation. Customers have started demanding innovation and diversity in all sectors, as the
variety of items available increased due to the removal of international barriers. The tea industry,
which the country holds in high esteem, has also gone through a major shift, requiring firms to
adapt to the most recent consumer trends in the market.

With globalisation and the Internet acting as the main drivers for emerging new tea
trends, customer preference for high-end and sophisticated tea products evidently increased. A
tea lover now has access to various teas, thanks to growing e-commerce and lower international
barriers.

Over the years, tea packaging has undergone several changes. The initial goal was to
prolong the shelf life of tea leaves or powder. Therefore, environmental concerns were not taken
into consideration. However, customers are gradually turning away from firms that are
"unfriendly" to the environment.

During the pandemic, physical stores were forced to shut down, while online sales
increased dramatically. Several direct-to-consumer (D2C) tea brands sprouted during the
pandemic, and their "online-only" business models saw impressive growth.

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EXPORT TREND – TOTAL PRODUCT

India is among the top 5 tea exporters in the world making about 10% of the total exports.
In the year 2021, the total value of tea exports from India was around US$ 687.9 million. Indian
Assam, Darjeeling, and Nilgiri tea are considered one of the finest in the world. The majority of
the tea exported out of India is black tea which makes up about 96% of the total exports. The
types of tea exported through India are: Black tea, Regular tea, Green tea, Herbal tea, Masala tea
and Lemon tea. Out of these, black tea, regular tea and green tea make up approximately 80%,
16% and 3.5% of the total tea exported from India.

India's total tea exports during 2021-22 in quantity was 201 million kg. The total exports
during January-April 2022 was 65 million kg and was valued at US$ 215 million, a 9% increase
from the same period in 2021. The exports from India in terms of quantity for the period
January-December 2021 was 197 million kg with the total export value of US$ 718 million (a
1.7% increase from 2020). During the financial year 2021-22 period (between April-November
2021), India exported tea worth US$ 458.88 million. India's export price per kilogram has seen a
steady increase over the years. During 2021-22, the unit price of tea was US$ 3.62 per kg. This,
in the previous year was US$ 3.52. From 2018-19, the price per unit of tea exported out of India
has increased by 17% in 2021-22. This has allowed the country to have a better profitability out
of the exported goods.

From April 2022-June 2022, India’s total tea exports stood at 65.19 million kgs, this was
valued at US$ 236.36 million, a rise of US$ 19.77 million as compared to the same period
previous year.

EXPORT BY COUNTRY

India exports tea to more than 25 countries throughout the world. Russia, Iran, UAE,
USA, the UK, Germany, and China are some of the major importers of tea from India. During
2021-22 Russia, Ukraine and Kazakhstan imported 32.5 million kg, 1.68 million kg and 6.48
million kg of tea from India. The share of Indian exports to the CIS nations during that period
was 21% (42.5 million kg) of the total exports. Iran, UAE and USA are among India's top tea
export destinations. During 2021-22, the three countries imported 29.3 million kg, 23.3 million

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kg and 13.5 million kg of tea from India. The value of total exports to these countries combined
was US$ 277.3 million during the same period.

During 2021-22, the exports to Germany, USA, UAE and Ireland increased by 14%,
12%, 70% and 17% respectively over the previous year. Some of India's other tea export
destinations are Poland, Canada, Saudi Arabia, Egypt, Afghanistan, Bangladesh, China,
Singapore, Sri Lanka, Kenya, Japan, Pakistan and Australia, etc. All these countries combined
accounted for US$ 116 million of tea exports from India contributing to 16% of the tea export
revenue for the year 2021-22.

Government Initiatives

The Tea Board of India, established as a statutory body under the Ministry of Commerce,
is in charge of developing and promoting the tea industry in India. The Tea Board of India’s
vision and mission is to make the country a leading producer of tea across the globe. In this
regard, the Tea Board of India established several programmes and schemes to foster the
development and growth of the tea industry.

Some of the major schemes and promotional activities undertaken by the Tea Board of
India are mentioned as follows:

Tea Development and Promotion Scheme: This scheme was launched on November 11,
2021, to increase the production, productivity and quality of Indian tea products to remain
competitive in international markets. It also focuses on the growth of small tea growers, their
collectivisation for moving up the value chain, value addition in their teas for better price
realisation and increasing their share in export markets.

Capacity building workshop on specialised tea production and packaging and marketing
of different types of tea: On June 14-15, 2019, the Tea Board of India held a capacity-building
workshop on specialised tea production and packaging and marketing of several types of tea in
Borhat, Assam, to spread knowledge on the cutting-edge technology for producing various types
of speciality tea, handling of the produce, tea marketing and trading and promotion for Assam
tea.

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Orientation programme for small tea growers and manufacturers on the export of tea: To
encourage the export of handcrafted and speciality teas produced by small tea growers, the North
Eastern Zonal Office of the Tea Board in Guwahati hosted a day-long "Orientation workshop for
small tea grower manufacturers on the export of tea" at the Guwahati Tea Auction Centre
(GTAC). The event was attended by more than 70 small tea growers and manufacturers from
various regions of the North East.

GOVERNING BODY – TEA BOARD OF INDIA

The Tea Board of India was set up in 1953 for the development of tea industry in India. It
started functioning in 1954. The board is located in Kolkata and has 17 offices across India.
Being the regulatory body, the Board exerts control over the producers, manufacturers, exporters,
tea brokers, auction organizers and warehouse keepers through various control orders notified
under Tea Act. The responsibilities of the board are increasing production and productivity,
improving the quality of tea, market promotion, and welfare measures for plantation workers and
supporting Research and Development.

Besides the development and regulatory framework, the Tea Board of India also
undertakes direct promotional activities, including organizing joint participation in international
fairs and exhibitions, arranging buyer and seller meets, and sending and hosting trade
delegations. It also conducts market surveys, analyzes, identifies and tracks consumer behavior,
and provides relevant and accurate information to the importers and exporters.

Road Ahead

The primary driving force behind the sector is the widespread consumption of tea across
all socioeconomic strata in India. The country's rapid economic development and rising
disposable income of the middle class are also accelerating the industry's growth. The rise in
demand for packaged tea in urban and rural areas, where there is less chance of adulteration and
simpler storage, is also helping the Indian tea sector expand rapidly.

In the next few years, the tea industry’s growth is anticipated to be driven by the rising
popularity of cafes and lounges serving different beverage varieties. The industry's distribution

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networks, which include supermarkets and neighbourhood "Kirana" stores, will also aid in the
industry's growth.

1.7 COMPANY PROFILE

LEAFY TEA Company are dedicated to providing the highest quality tea and tea
products available.

We carry a wide variety of teas, from black and green teas to white and herbal teas, and
everything in between.

Whether you're a tea lover yourself or you're looking for the perfect gift for a tea lover in
your life, we have something for everyone.

Our export office located at Ashoknagar chennai and our warehouse and blending unit
located at coimbatore And SIDCO Karaikudi

Factsheet

Basic Information

Nature of Business Exporter and Manufacturer

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Additional Business Exporter, Wholesaler, Trader, Supplier, Distributor

Company CEO Anto Michael

Plot No 247, Door No 24, 16th Avenue, Kaniappa Nagar,


Registered Address Ashok Nagar, Near Velankanni School, Chennai- 600015,
Tamil Nadu, India

Total Number of Employees 11 to 25 People

Year of Establishment 2016

Legal Status of Firm Individual – Proprietor

Annual Turnover Rs. 50 Lakh - 1 Crore

Statutory Profile

Import Export Code (IEC) BNXPA*****

Banker PUNJAB NATIONAL BANKPUNJAB NATIONAL BANK

GST No. 33BNXPA5271N1ZH

Packaging/Payment and Shipment Details

Payment Mode Cash, Credit Card, Cheque, DD, Online

Shipment Mode By Road

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PRODUCTS

Red Dust Tea Assam dust tea

Royal Gold Tea Masala Chai

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ADDRESS

LEAFY IMPORTS & EXPORTS

Plot No 247, Door No 24, 16th Avenue, Kaniappa Nagar,

Ashok Nagar, CHENNAI, Tamil Nadu 600083,

Chennai - 600015, Tamil Nadu, India

CHAPTER – II

2. REVIEW OF LITERATURE

Ghosh (2016) Purchase intention is a kind of decision-making that studies the reason to buy a
particular brand by consumer. He defines purchase intention as a situation where consumer tends

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to buy a certain product in certain condition. Customers purchase decision is a complex process.
Purchase intention usually is related to the behavior, perceptions and attitudes of consumers.
Purchase behavior is a key point for consumers to access and evaluate the specific product. He
states that purchase intention is an effective tool to predict buying process.

Kotler & Armstrong (2016) Purchase intention may be changed under the influence of price or
perceived quality and value. In addition, consumers are affected by internal or external
motivations during the buying process. Researchers have proposed six stages before deciding to
buy the product, which are: awareness, knowledge, interest, preference, persuasion and purchase.
Customers always think that purchase with a low cost, simple packaging and little known
product is a high risk since they the quality of these products is not trustable

Erics, et al (2017) Generally brand is a name and symbol. It is a very important tool to create a
positive image in customers. Brand has a very important role in creating loyal customers and
retaining companies’ market share. Loyal customers are loyal to brand, do repurchase and
recommend brand to others. Brand loyalty means customers pay more money to particular brand
against similar products. Previous studies show that repeated purchases of customers due to long-
term loyalty leads to profitability and growth of companies. In previous studies, the relationship
between brand equity and consumers’ purchase intention is investigated

Arslan & Altuna (2017) There is a significant relationship between brand equity and the
willingness to recommend brand purchase to others. Most of previous studies tested the influence
of brand image on consumers' purchase intention and showed a significant relationship between
these variables. Quality should be improved every moment concluded that if a product has a
better quality, customer will be more inclined to purchase it. Also, their study emphasized that
product quality has a positive impact on customers’ purchase intention. He investigated the
higher quality product creates higher purchase intention toward lower quality products.

Zeeshan (2018) in his study found that brand image has a significant effect on the purchase
intention of men. He states that there is more likely that high brand awareness lead to high brand
association in the minds of customers. Consequently, it is more likely that brand awareness leads
to the increase of consumer decision to buy that brand. Results also suggest that attitude toward
brand has a significant impact on their purchase intention. In their study showed that brand name

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has a significant impact on the purchase decision of customers. As a result, according to the
above discussions, the first hypothesis is proposed.

Keller (2018) Perceived quality is customer perception of general quality or superiority of one
product or service - with attention to the purpose of that product or service- in comparison to
other alternatives. Perceived quality can be defined as the customer perception of general quality
or superiority of one product or service in the light of its expected goal case in comparison to
other alternatives. Perceived quality is a general and intangible feeling about brand. However,
perceived quality is usually based on key dimensions that consist of product specification
(reliability, performance and brand). The identification and measurement of its main dimension
will be useful, but it should not be forgotten that perceived quality is a general perception

Lisen and Vanec (2019) quality is useful for creating competitive advantage. Product quality is
a key factor in assessing purchase intention. It is a continuous process of improvement that the
continuous changes increase product performance and consequently the satisfaction of
customers’ needs. He investigated the effect of product quality on purchase intention. They
collected questionnaires and found that product quality has a significant and positive effect on
purchase intention. A number of other researchers also found that brand quality has an impact on
customers’ purchase intention

Yang (2019) Packaging in its new role acts as the representative of manufacturer and through
this position it can be used as the carrier of advertising messages, purchase motivational tool, and
the carrier of company slogan. Nowadays, there is no doubt that proper packaging can create
distinctiveness for most of the companies. Therefore, companies now focus on the different
aspects of packaging and recognize that even with slight change in packaging high profitability
can be gained in product sale. The visual aspect of packaging has an especial importance in the
process of foods purchase due to its role in establishing direct relationship with customer and its
effect on customer mind

Cahyorini and Rusfian (2020) believe, this aspect can have significant momentarily effects on
customers’ purchases intention due to the fact that customers are affected by appearance aspects
of product especially its packaging in unplanned purchases. In their study concluded that visual
and functional aspects of packaging impact on the purchase of products. In another study

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concluded that packaging has a significant impact on customers' purchase. Packaging has a
significant impact on brand loyalty which in turn effects on customers purchase intention.
Similarly, the study showed a significant impact of packaging on customer's purchase intention.

Wickliffe & Pysarchik (2020) The price is defined as the money that customers exchange in
terms of service or product, or the value they receive. It is important for a company to retain
loyal customers who are willing to pay higher prices for their favorite brand and don’t buy based
on lower price. He introduce product aspects as features that have an inherent impact on
customer behavior such as brand and price. These two factors cover the major part of product
features. The price has a significant impact on brand loyalty which in turn effects on customers
purchase intention

Pavlou (2020) defined online purchase intention as “the consumers’ willingness to be involved
in an online transaction.” Purchase intention can be seen as “the probability that the consumer
will purchase the product”. The notion intention refers to the “antecedents that stimulate and
drive consumers’ purchases of products and services”. The purchasing behavior of online
consumers is linked to how clients make their choices regarding what product or services to
purchase online. Therefore, it is vital to inspect the purchase intentions of clients to attain
healthier and outpacing financial bottom lines, exceeding those of competitors.

Halim and Hamed (2021) Purchase intention is a topic of critical attention to strategy creators
and commercial experts, and it is vital to recognize which variables in a certain buyer group
impact purchase intention. It is considered to be a prime input that marketers utilize to project
forthcoming sales and manipulate actions to impact purchasing behavior. Based on the above
mentioned, this research is going to analyze the factors affecting consumers’ purchase intention
in social commerce context in the Lebanese market, which will comprise the following factors:
Perceived risk, Trust, Online Behavioral Advertising, Social Commerce Constructs, by which
those factors are one of the most studied factors in the domain of online purchase intention and
adds the most novel factors as well (i.e. online behavioral advertising).

Hermann et al (2021) studies showed that price is one important factor in customer purchase,
thereby it has a significant impact on customer satisfaction. Also, consumer satisfaction is
affected by price perception directly and is affected by price fairness indirectly. In another

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research, he studied the effects of consumer perception of price fairness on its purchase decision
and referred to it as a proper predictor for purchase decision of consumer. They also state good
value in exchange for received money among the criteria that consumer takes into consideration.

Khraim (2021) Advertising is a subset of promotion mix that is as 4p (Product, price, place and
promotion) in marketing mix. Advertising as one of the strategies of promotion, is an important
tool in creating awareness in the minds of potential customers in order to make decision to buy
the product. Manufacturers create an emotional link with customers through advertising. As a
result, it is more likely that these kinds of customers create an emotional link with the ads of that
bran

Latif and Abideen (2022) When the customer pays attention to advertising, he/she creates a
feeling toward it that leads to brand promotion and those who have good feeling toward brand
develop desired attitude toward it. The positive response to brand or certain advertising increases
the likelihood of its positive evaluation. In their studies on Malaysian consumers found that
found that advertising is a powerful device to inform and affect consumer behavior. In their
study examined the impact of advertising on consumer buying behaviour

Abdullah (2022), intention is a measure of how willingly people approach a specific type of
behavior and how many times they attempt to conduct that particular behavior. Customers'
willingness to buy a product or service is referred to as their intention to purchase. The intention
to buy can also be described as the likelihood that a customer will buy a product after evaluating
it. Many factors affected the consumer's intention when selecting a product, according and with
strong external influences, the final decision is dependent on the consumer's intention.

Hosein (2022) Purchase intention is a form of decision making that investigates a consumer's
motivations for buying a specific brand. Purchase purpose, is an effective tool for predicting the
purchase process and it defined as “the probability of customers attempting to buy a product is
referred to as purchase intention”. According to, consumers' purchasing intent can be calculated
on a regular basis and used by marketers as an input for predicting sales and market share

CHAPTER – III

3. RESEARCH METHODOLOGY

24
Research is a scientific and systematic search for pertinent information on a specific
topic. Research is an art of scientific investigation. According to Clifford Woody, “Research
comprises defining and redefining problems, formulating hypothesis or suggested solutions,
collecting, organizing and evaluating data, making deductions and reaching conclusions and at
last carefully testing the conclusions to determine whether they fit the formulating hypothesis”.

RESEARCH DESIGN

Research design is the arrangement of conditions of collection and analysis of data in a


matter that aims to combine relevance to the research purpose with economy in procedure.

Descriptive research design

The design for this study is descriptive research design. This design was chosen as it
describes accurately the characteristics of a particular system as well as the views held by
individuals about the system. The views and opinions of employees about the system help to
study the suitability of the system as well as the constraints that might restrict its effectiveness

SAMPLING TECHNIQUES

The sampling technique adopted for the purpose of the study is Non -probability
convenience sampling. As the name implies a convenience sample means selecting particular
units of the universe to constitute a sample.

Sample size

The sample size of the study is 150. This sample is considered as representative.

DATA COLLECTION

Primary source

The primary source of data is through Questionnaire.

Secondary source

25
The secondary source of information is based on the various details retrieved from
Journals, Websites and Magazines. The data for this study has been collected through primary
sources. Primary data for this study was collected with the help of Questionnaires and evaluation
feedback forms. The extra information was collected through interviews with the employees at
various companies.

STATISTICAL TOOLS USED

Statistical tools like simple percentage and chi square used in the compilation and
computation of data.

 Simple Percentage analysis


 Chi-square analysis
 Correlations
 Anova

1. PERCENTAGE ANALYSIS
Percentage refers to a special kind of ratio. Percentage is used in making comparison
about two or more series of data. Percentage as also used to describe relationship. It is also used
to compare the relative terms of two or more series of data.
Number of respondents
Percentage of respondents = ______________________ X 100
Total respondents
2. CHI-SQUARE

Chi-square was done to find out one way analysis between socio demographic variable and
various dimensions of the programme.

(O – E)2
= ______
E
O – Observed value, E – Expected value

3. CORRELATION

26
The degree of relationship between the variables under consideration is measured through
the correlation analysis.

“Correlation analysis deals with the association between two or more variables”.

This correlation is a statistical device which helps us in analyzing two correlations of two
or more variables. 

R=
∑ XY
∑ X2Y 2

4. ANOVA

Examination of change, or ANOVA, is a solid measurable method that is utilized to show


contrast between at least two methods or parts through importance tests. It likewise shows us an
approach to make numerous examinations of a few populace implies. The Anova test is
performed by looking at two sorts of variety, the variety between the examples implies, just as
the variety inside every one of the examples. Beneath referenced recipe addresses one way
Anova test measurements:

F = Anova Coefficient,

MST = Mean sum of squares due to treatment

MSE = Mean sum of squares due to error

CHAPTER – IV

27
4. DATA ANALYSIS AND INTERPRETATION

TABLE – 4.1

GENDER OF THE RESPONDNENTS

GENDER NO. OF RESPONDENTS PERCENTAGE (%)

Male 98 65.3%

Female 52 34.7%

Total 150 100%

Source: Primary data

INTERPRETATION:

The tables above shows that 65.3% of the respondents are male, 34.7% of the
respondents are Female.

Majority 65.3% of the respondents are gender of the respondents in male

CHART – 4.1
28
GENDER OF THE RESPONDNENTS

TABLE – 4.2

29
AGE GROUP OF THE RESPONDNENTS

AGE NO. OF RESPONDENTS PERCENTAGE (%)

Below 25 years 33 22.0


25-35 years 36 24.0
35-45 years 59 39.3
Above 45 years 22 14.7
Total 150 100%

Source: Primary data

INTERPRETATION:

The tables above shows that 39.3% of the respondents are age group between 35 – 45
years, 24% of the respondents are age group between 25 – 35 years, 22% of the respondents are
age group of Below 25 years, 14.7% of the respondents are age group of above 45 years.

Majority 39.3% of the respondents are age group between 35 – 45 years.

CHART – 4.2

30
AGE GROUP OF THE RESPONDNENTS

TABLE – 4.3

31
MARITAL STATUS OF THE RESPONDNENTS

MARITAL STATUS NO. OF RESPONDENTS PERCENTAGE (%)

Married
97 64.7%

Unmarried
53 35.3%

Total 150 100%

Source: Primary data

INTERPRETATION:

The table above shows that 60.7% of the respondents are married person, 35.3% of the
respondents are Unmarried category.

Majority 60.7% of the respondents are married person.

CHART – 4.3

32
MARITAL STATUS OF THE RESPONDNENTS

TABLE 4.4

33
EDUCATIONAL QUALIFICATION OF THE RESPONDNENTS

EDUCATIONAL LEVEL NO. OF RESPONDENTS PERCENTAGE (%)

Diploma 33 22.0
UG 49 32.7
PG 25 16.7
Others 43 28.7
Total 150 100

Source: Primary data

INTERPRETATION:

The tables above shows that 32.7% of the respondents are UG qualification, 28.7% of the
respondents are Other qualification, 22% of the respondents are Diploma qualification and
remaining 16.7% of the respondents are PG qualification.

Majority 32.7% of the respondents are UG qualification.

CHART – 4.4

34
EDUCATIONAL QUALIFICATION OF THE RESPONDNENTS

TABLE – 4.5

35
OCCUPATION OF THE RESPONDNENTS

OCCUPATION NO. OF RESPONDENTS PERCENTAGE (%)

Student 21 14.0
Employed 18 12.0
Enterpreneur 20 13.3
Unemployed 23 15.3
Agriculture 53 35.3
Others 15 10.0
Total 150 100%

Source: Primary data

INTERPRETATION:

The tables above shows that 35.3% of the respondents are Agriculture, 15.3% of the
respondents are Unemployed, 14% of the respondents are Student, 13.3% of the respondents are
Enterpreneur, 12% of the respondents are Employed, 10% of the respondents are Other.

Majority 35.3% of the respondents are Agriculture.

CHART –4.5

36
OCCUPATION OF THE RESPONDNENTS

TABLE – 4.6

37
MONTHLY INCOME OF THE RESPONDNENTS

INCOME NO. OF RESPONDENTS PERCENTAGE (%)

Below Rs. 10000 72 48.0


Rs. 10000-20000 45 30.0
Above Rs. 20000 33 22.0
Total 150 100%

Source: Primary data

INTERPRETATION:

The tables above shows that 48% of the respondents are earning Below Rs. 10000, 30%
of the respondents are earned between Rs 10000-20000 and remaining 22% of the respondents
are respondents are earned Above Rs. 20000.

Majority 48% of the respondents are earning Below Rs. 10000.

CHART – 4.6

38
MONTHLY INCOME OF THE RESPONDNENTS

TABLE NO - 4.7

39
AGREE LEVEL OF PRODUCT QUALITY OF LEAFY TEA

Strongly Agree Strongly


Neutral Disagree
QUALITY agree disagree
Res Per Res Per Res Per Res Per Res Per

High quality 42 28.0% 60 40.0% 39 26.0% 3 2.0% 6 4.0%


Fressness and
24 16.0% 42 28.0% 66 44.0% 15 10.0% 3 2.0%
aromatic
Smooth and pleas
6 4.0% 30 20.0% 18 12.0% 81 54.0% 15 10.0%
and taste
Reasonable price 42 28.0% 63 42.0% 36 24.0% 4 2.7% 5 3.3%
Quality across
18 12.0% 78 52.0% 39 26.0% 8 5.3% 7 4.7%
multiple purchase
High quality
15 10.0% 60 40.0% 48 32.0% 21 14.0% 6 4.0%
ingredients
Source: Primary Data

INTERPRETATION

The above table shows that level of Agree, 40.0% of the respondents are Agree that high
quality, 44% of the respondents are Neutral about Freshness and aromatic, 54% of the
respondents are Disagree the smooth and pleas and taste, 42% of the respondents are Agree that
Reasonable price, 52% of the respondents are Agree that quality across multiple purchase, and
remaining 40% of the respondents are Agree that High quality ingredients.

CHART NO - 4.7

40
AGREE LEVEL OF PRODUCT QUALITY OF LEAFY TEA

TABLE NO - 4.8

41
AGREE LEVEL OF PRODUCT PACKAGING OF LEAFY TEA PRODUCT

Strongly Agree Strongly


Neutral Disagree
PACKAGING agree disagree
Res Per Res Per Res Per Res Per Res Per

The packaging is
easy to open and 18 12.0% 60 40.0% 45 30.0% 24 16.0% 3 2.0%
close
Packaging is
sturdy and 60 40.0% 15 10.0% 60 40.0% 6 4.0% 9 6.0%
durable
Moisture and
other
39 26.0% 75 50.0% 15 10.0% 15 10.0% 6 4.0%
environmental
factors
Eco-friendly and
81 54.0% 6 4.0% 57 38.0% 3 2.0% 3 2.0%
sustainable
Overall satisfied
78 52.0% 3 2.0% 36 24.0% 18 12.0% 15 10.0%
the packaging
Source: Primary Data

INTERPRETATION

The above table shows that level of Agree, 40.0% of the respondents are Agree that the
packaging is easy to open and close, 40% of the respondents are Strongly agree and Neutral
about Packaging is sturdy and durable, 50% of the respondents are Agree that Moisture and other
environmental factors, 454% of the respondents are Strongly Agree that Eco-friendly and
sustainable, 52% of the respondents are Strongly Agree that Overall satisfied the packaging.

CHART NO - 4.8

42
AGREE LEVEL OF PRODUCT PACKAGING OF LEAFY TEA PRODUCT

TABLE NO - 4.9

43
AGREE LEVEL OF PRICE OF LEAFY TEA PRODUCT

Strongly Agree Strongly


Neutral Disagree
PRICE agree disagree
Res Per Res Per Res Per Res Per Res Per
The price of leafy
tea is competitive
12 8.0% 57 38.0% 51 34.0% 24 16.0% 6 4.0%
compare to
similar tea
The price is
affordable for my 78 52.0% 15 10.0% 9 6.0% 42 28.0% 6 4.0%
budget
Good value for
the amount of tea
72 48.0% 9 6.0% 53 35.3% 9 6.0% 7 4.7%
include the
packaging
Willing to pay
tea product based
23 15.3% 99 66.0% 12 8.0% 10 6.7% 6 4.0%
on quality and
taste
The price is
accurate and
47 31.3% 23 15.3% 53 35.3% 22 14.7% 5 3.3%
reflects its
quality and taste
Source: Primary Data

INTERPRETATION

The above table shows that level of Agree, 38.0% of the respondents are Agree that The
price of leafy tea is competitive compare to similar tea, 52% of the respondents are Strongly
agree that The price is affordable for my budget, 48% of the respondents are Strongly Agree that
Good value for the amount of tea include the packaging, 66% of the respondents are Agree that
Willing to pay tea product based on quality and taste, 35.3% of the respondents are Neutral for
The price is accurate and reflects its quality and taste.

CHART NO - 4.9

AGREE LEVEL OF PRICE OF LEAFY TEA PRODUCT


44
TABLE NO - 4.10

AGREE LEVEL OF PRODUCT SHELF LIFE OF LEAFY TEA

45
Strongly Agree Strongly
Neutral Disagree
SHELF LIFE agree disagree
Res Per Res Per Res Per Res Per Res Per
Prefer this tea
45 30.0% 24 16.0% 51 34.0% 15 10.0% 15 10.0%
longer shelf life
Freshness of tea
product near their 23 15.3% 99 66.0% 12 8.0% 10 6.7% 6 4.0%
expiration date
I believe clearly
market expiration 23 15.3% 90 60.0% 23 15.3% 7 4.7% 7 4.7%
date
Longer shelf life
to maintain their 30 20.0% 84 56.0% 15 10.0% 12 8.0% 9 6.0%
quality and taste
Willing to pay a
higher price with 23 15.3% 99 66.0% 12 8.0% 10 6.7% 6 4.0%
a longer shelf life
Source: Primary Data

INTERPRETATION

The above table shows that level of Agree, 34.0% of the respondents are Neutral for
Prefer this tea longer shelf life, 66% of the respondents are Agree that Freshness of tea product
near their expiration date, 60% of the respondents are Agree that I believe clearly market
expiration date, 56% of the respondents are Agree that Longer shelf life to maintain their quality
and taste, 66% of the respondents are agree that Willing to pay a higher price with a longer shelf
life

CHART NO - 4.10

AGREE LEVEL OF PRODUCT SHELF LIFE OF LEAFY TEA

46
TABLE NO - 4.11

AGREE LEVEL OF PURCHASE INTENTION ABOUT LEAFY TEA

47
Strongly Agree Strongly
PURCHASE Neutral Disagree
agree disagree
INTENTION
Res Per Res Per Res Per Res Per Res Per
Provide health
36 24.0% 36 24.0% 35 23.3% 18 12.0% 25 16.7%
benefits
I feel that current
lifestyle and 41 27.3% 33 22.0% 38 25.3% 18 12.0% 20 13.3%
preferences
Satisfied the
variety of tea
41 27.3% 57 38.0% 12 8.0% 15 10.0% 25 16.7%
product available
on market
I believe tea
product good
35 23.3% 43 28.7% 26 17.3% 22 14.7% 24 16%
offer value for
their price
Offer and
discount price or 47 31.3% 55 36.7% 23 15.3% 16 10.7% 9 16%
promotion
Source: Primary Data

INTERPRETATION

The above table shows that level of Agree, 24.0% of the respondents are Strongly agree
and agree that provide health benefits, 27.3% of the respondents are Strongly Agree that I feel
that current lifestyle and preferences 38% of the respondents are Agree that variety of tea
product available on market, 28.7% of the respondents are Agree that I believe tea product good
offer value for their price, 36.7% of the respondents are agree that Offer and discount price or
promotion.

CHART NO - 4.11

AGREE LEVEL OF PURCHASE INTENTION ABOUT LEAFY TEA

48
TABLE NO: 4.12

CHI-SQUARE ANALYSIS

NULL HYPOTHESIS
49
HO: There is no significance between the Age of the respondents and the packaging is
easy to open and close.

ALTERNATIVE HYPOTHESIS

H1: There is significance between the Age of the respondents and the packaging is easy
to open and close.

Case Processing Summary

Cases

Valid Missing Total

N Percent N Percent N Percent

Age * The packaging is easy


150 100.0% 0 .0% 150 100.0%
to open and close

Age * The packaging is easy to open and close Crosstabulation

Count

The packaging is easy to open and close

Strongly
Strongly Agree Agree Neutral Disagree Disagree Total

Age Below 25 years 18 15 0 0 0 33

25-35 years 0 34 2 0 0 36

35-45 years 0 11 43 5 0 59

Above 45 years 0 0 0 19 3 22

Total 18 60 45 24 3 150

50
Chi-Square Tests

Asymp. Sig. (2-


Value df sided)

Pearson Chi-Square 2.648E2a 12 .000

Likelihood Ratio 238.791 12 .000

Linear-by-Linear Association 115.175 1 .000

N of Valid Cases 150

a. 8 cells (40.0%) have expected count less than 5. The minimum


expected count is .44.

RESULT

The calculated value is greater than the table value. So we reject the null
hypothesis. There is no significance between the Age of the respondents and the packaging is
easy to open and close.

TABLE NO: 4.13

51
CHI-SQUARE ANALYSIS

NULL HYPOTHESIS

HO: There is no significance between the Age of the respondents and the packaging is
study and durable.

ALTERNATIVE HYPOTHESIS

H1: There is significance between the Age of the respondents and the packaging is study
and durable.

Case Processing Summary

Cases

Valid Missing Total

N Percent N Percent N Percent

Age * Packaging is sturdy


150 100.0% 0 .0% 150 100.0%
and durable

Age * Packaging is sturdy and durable Crosstabulation

Count

Packaging is sturdy and durable

Strongly
Strongly Agree Agree Neutral Disagree Disagree Total

Age Below 25 years 33 0 0 0 0 33

25-35 years 27 7 2 0 0 36

35-45 years 0 8 51 0 0 59

Above 45 years 0 0 7 6 9 22

Total 60 15 60 6 9 150

52
Chi-Square Tests

Asymp. Sig. (2-


Value df sided)

Pearson Chi-Square 2.259E2a 12 .000

Likelihood Ratio 233.688 12 .000

Linear-by-Linear Association 117.204 1 .000

N of Valid Cases 150

a. 11 cells (55.0%) have expected count less than 5. The minimum


expected count is .88.

RESULT

The calculated value is greater than the table value. So we reject the null
hypothesis. There is no significance between the Age of the respondents and the packaging is
study and durable.

TABLE NO: 4.14

53
CHI-SQUARE ANALYSIS

NULL HYPOTHESIS

HO: There is no significance between the Age of the respondents and Moisture and other
environmental factors.

ALTERNATIVE HYPOTHESIS

H1: There is significance between the Age of the respondents and Moisture and other
environmental factors.

Case Processing Summary

Cases

Valid Missing Total

N Percent N Percent N Percent

Age * Moisture and other


150 100.0% 0 .0% 150 100.0%
environmental factors

Age * Moisture and other environmental factors Crosstabulation

Count

Moisture and other environmental factors

Strongly
Strongly Agree Agree Neutral Disagree Disagree Total

Age Below 25 years 33 0 0 0 0 33

25-35 years 6 29 1 0 0 36

35-45 years 0 46 13 0 0 59

Above 45 years 0 0 1 15 6 22

Total 39 75 15 15 6 150

54
Chi-Square Tests

Asymp. Sig. (2-


Value df sided)

Pearson Chi-Square 2.718E2a 12 .000

Likelihood Ratio 249.127 12 .000

Linear-by-Linear Association 108.646 1 .000

N of Valid Cases 150

a. 10 cells (50.0%) have expected count less than 5. The minimum


expected count is .88.

RESULT

The calculated value is greater than the table value. So we reject the null
hypothesis. There is no significance between the Age of the respondents and Moisture and other
environmental factors.

55
TABLE NO: 4.15

CHI-SQUARE ANALYSIS

NULL HYPOTHESIS

HO: There is no significance between the Age of the respondents and Eco – friendly and
sustainable.

ALTERNATIVE HYPOTHESIS

H1: There is significance between the Age of the respondents and Eco – friendly and
sustainable.

Case Processing Summary

Cases

Valid Missing Total

N Percent N Percent N Percent

Age * Eco-friendly and


150 100.0% 0 .0% 150 100.0%
sustainable

Age * Eco-friendly and sustainable Crosstabulation

Count

Eco-friendly and sustainable

Strongly
Strongly Agree Agree Neutral Disagree Disagree Total

Age Below 25 years 33 0 0 0 0 33

25-35 years 34 0 2 0 0 36

35-45 years 14 6 39 0 0 59

Above 45 years 0 0 16 3 3 22

Total 81 6 57 3 3 150

56
Chi-Square Tests

Asymp. Sig. (2-


Value df sided)

Pearson Chi-Square 1.316E2a 12 .000

Likelihood Ratio 146.153 12 .000

Linear-by-Linear Association 88.406 1 .000

N of Valid Cases 150

a. 12 cells (60.0%) have expected count less than 5. The minimum


expected count is .44.

RESULT

The calculated value is greater than the table value. So we reject the null
hypothesis. There is no significance between the Age of the respondents and Eco – friendly and
sustainable.

57
TABLE NO: 4.16

CHI-SQUARE ANALYSIS

NULL HYPOTHESIS

HO: There is no significance between the Age of the respondents and Overall satisfied
the packaging.

ALTERNATIVE HYPOTHESIS

H1: There is significance between the Age of the respondents and Overall satisfied the
packaging.

Case Processing Summary

Cases

Valid Missing Total

N Percent N Percent N Percent

Age * Overall satisfied the


150 100.0% 0 .0% 150 100.0%
packaging

Age * Overall satisfied the packaging Crosstabulation

Count

Overall satisfied the packaging

Strongly
Strongly Agree Agree Neutral Disagree Disagree Total

Age Below 25 years 33 0 0 0 0 33

25-35 years 34 0 1 1 0 36

35-45 years 11 3 35 10 0 59

Above 45 years 0 0 0 7 15 22

Total 78 3 36 18 15 150

58
Chi-Square Tests

Asymp. Sig. (2-


Value df sided)

Pearson Chi-Square 2.086E2a 12 .000

Likelihood Ratio 201.024 12 .000

Linear-by-Linear Association 101.692 1 .000

N of Valid Cases 150

a. 10 cells (50.0%) have expected count less than 5. The minimum


expected count is .44.

RESULT

The calculated value is greater than the table value. So we reject the null
hypothesis. There is no significance between the Age of the respondents and Overall satisfied the
packaging.

59
TABLE NO: 4.16

CORRELATION

The table shows that the relationship between Monthly income of the respondents
and the price of leafy tea is competitive compare to similar tea.

NONPARAMETRIC CORRELATIONS

Correlations

The price of
leafy tea is
competitive
compare to
Monthly income similar tea

Kendall's tau_b Monthly income Correlation Coefficient 1.000 .908**

Sig. (2-tailed) . .000

N 150 150

The price of leafy tea is Correlation Coefficient .908** 1.000


competitive compare to
Sig. (2-tailed) .000 .
similar tea
N 150 150

Spearman's rho Monthly income Correlation Coefficient 1.000 .944**

Sig. (2-tailed) . .000

N 150 150

The price of leafy tea is Correlation Coefficient .944** 1.000


competitive compare to
Sig. (2-tailed) .000 .
similar tea
N 150 150

**. Correlation is significant at the 0.01 level (2-tailed).

60
Correlations

The price of
leafy tea is
competitive
compare to
Monthly income similar tea

Monthly income Pearson Correlation 1 .915**

Sig. (2-tailed) .000

N 150 150

The price of leafy tea is Pearson Correlation .915** 1


competitive compare to
Sig. (2-tailed) .000
similar tea
N 150 150

**. Correlation is significant at the 0.01 level (2-tailed).

RESULT

This is a positive correlation. There are relationships between Monthly income of


the respondents and the price of leafy tea is competitive compare to similar tea.

61
TABLE NO: 4.17

CORRELATION

The table shows that the relationship between Monthly income of the respondents
and The price is affordable for my budget.

NONPARAMETRIC CORRELATIONS

Correlations

The prise is
affordabe for my
Monthly income budget

Kendall's tau_b Monthly income Correlation Coefficient 1.000 .879**

Sig. (2-tailed) . .000

N 150 150

The prise is affordabe for my Correlation Coefficient .879** 1.000


budget
Sig. (2-tailed) .000 .

N 150 150

Spearman's rho Monthly income Correlation Coefficient 1.000 .923**

Sig. (2-tailed) . .000

N 150 150

The prise is affordabe for my Correlation Coefficient .923** 1.000


budget
Sig. (2-tailed) .000 .

N 150 150

**. Correlation is significant at the 0.01 level (2-tailed).

62
Correlations

The prise is
affordabe for my
Monthly income budget

Monthly income Pearson Correlation 1 .902**

Sig. (2-tailed) .000

N 150 150

The prise is affordabe for my Pearson Correlation .902** 1


budget
Sig. (2-tailed) .000

N 150 150

**. Correlation is significant at the 0.01 level (2-tailed).

RESULT

This is a positive correlation. There are relationships between Monthly income of


the respondents and The price is affordable for my budget.

63
TABLE NO: 4.18

CORRELATION

The table shows that the relationship between Monthly income of the respondents
and Good value for the amount of tea include the packaging.

NONPARAMETRIC CORRELATIONS

Correlations

Good value for


the amount of
tea include the
Monthly income packaging

Kendall's tau_b Monthly income Correlation Coefficient 1.000 .911**

Sig. (2-tailed) . .000

N 150 150

Good value for the amount of Correlation Coefficient .911** 1.000


tea include the packaging
Sig. (2-tailed) .000 .

N 150 150

Spearman's rho Monthly income Correlation Coefficient 1.000 .954**

Sig. (2-tailed) . .000

N 150 150

Good value for the amount of Correlation Coefficient .954** 1.000


tea include the packaging
Sig. (2-tailed) .000 .

N 150 150

**. Correlation is significant at the 0.01 level (2-tailed).

64
Correlations

Good value for


the amount of
tea include the
Monthly income packaging

Monthly income Pearson Correlation 1 .919**

Sig. (2-tailed) .000

N 150 150

Good value for the amount of Pearson Correlation .919** 1


tea include the packaging
Sig. (2-tailed) .000

N 150 150

**. Correlation is significant at the 0.01 level (2-tailed).

RESULT

This is a positive correlation. There are relationships between Monthly income of


the respondents and Good value for the amount of tea include the packaging.

65
TABLE NO: 4.19

CORRELATION

The table shows that the relationship between Monthly income of the respondents
and Willing to pay tea product based on quality and taste.

NONPARAMETRIC CORRELATIONS

Correlations

Willing to pay tea


prduct based on
Monthly income quality and taste

Kendall's tau_b Monthly income Correlation Coefficient 1.000 .681**

Sig. (2-tailed) . .000

N 150 150

Willing to pay tea prduct Correlation Coefficient .681** 1.000


based on quality and taste
Sig. (2-tailed) .000 .

N 150 150

Spearman's rho Monthly income Correlation Coefficient 1.000 .727**

Sig. (2-tailed) . .000

N 150 150

Willing to pay tea prduct Correlation Coefficient .727** 1.000


based on quality and taste
Sig. (2-tailed) .000 .

N 150 150

**. Correlation is significant at the 0.01 level (2-tailed).

66
Correlations

Willing to pay tea


prduct based on
Monthly income quality and taste

Monthly income Pearson Correlation 1 .737**

Sig. (2-tailed) .000

N 150 150

Willing to pay tea prduct Pearson Correlation .737** 1


based on quality and taste
Sig. (2-tailed) .000

N 150 150

**. Correlation is significant at the 0.01 level (2-tailed).

RESULT

This is a positive correlation. There are relationships between Monthly income of


the respondents and Willing to pay tea product based on quality and taste.

67
TABLE NO: 4.20

CORRELATION

The table shows that the relationship between Monthly income of the respondents
and The price is accurate and reflect its quality and taste.

NONPARAMETRIC CORRELATIONS

Correlations

The price is
accurate and
reflects its
Monthly income quality and taste

Kendall's tau_b Monthly income Correlation Coefficient 1.000 .881**

Sig. (2-tailed) . .000

N 150 150

The price is accurate and Correlation Coefficient .881** 1.000


reflects its quality and taste
Sig. (2-tailed) .000 .

N 150 150

Spearman's rho Monthly income Correlation Coefficient 1.000 .929**

Sig. (2-tailed) . .000

N 150 150

The price is accurate and Correlation Coefficient .929** 1.000


reflects its quality and taste
Sig. (2-tailed) .000 .

N 150 150

**. Correlation is significant at the 0.01 level (2-tailed).

68
Correlations

The price is
accurate and
reflects its
Monthly income quality and taste

Monthly income Pearson Correlation 1 .910**

Sig. (2-tailed) .000

N 150 150

The price is accurate and Pearson Correlation .910** 1


reflects its quality and taste
Sig. (2-tailed) .000

N 150 150

**. Correlation is significant at the 0.01 level (2-tailed).

RESULT

This is a positive correlation. There are relationships between Monthly income of


the respondents and The price is accurate and reflect its quality and taste.

69
TABLE NO: 4.21

ANOVA

NULL HYPOTHESIS Ho:

There is no significant relationship between Qualification and Monthly income

ALTERNATIVE HYPOTHESIS H1:

There is a significant relationship between Qualification and Monthly income

ANOVA

Qualification

Sum of Squares Df Mean Square F Sig.

Between Groups 151.565 2 75.782 294.126 .000

Within Groups 37.875 147 .258

Total 189.440 149

POST HOC

Multiple Comparisons

Dependent Variable:Qualification

95% Confidence Interval


Mean Difference
(I) Monthly income (J) Monthly income (I-J) Std. Error Sig. Lower Bound Upper Bound

Scheffe Below Rs. 10000 Rs. 10000-20000 -1.458* .096 .000 -1.70 -1.22

Above Rs. 20000 -2.458* .107 .000 -2.72 -2.19

70
Rs. 10000-20000 Below Rs. 10000 1.458* .096 .000 1.22 1.70

Above Rs. 20000 -1.000* .116 .000 -1.29 -.71

Above Rs. 20000 Below Rs. 10000 2.458* .107 .000 2.19 2.72

Rs. 10000-20000 1.000* .116 .000 .71 1.29

LSD Below Rs. 10000 Rs. 10000-20000 -1.458* .096 .000 -1.65 -1.27

Above Rs. 20000 -2.458* .107 .000 -2.67 -2.25

Rs. 10000-20000 Below Rs. 10000 1.458* .096 .000 1.27 1.65

Above Rs. 20000 -1.000* .116 .000 -1.23 -.77

Above Rs. 20000 Below Rs. 10000 2.458* .107 .000 2.25 2.67

Rs. 10000-20000 1.000* .116 .000 .77 1.23

Bonferroni Below Rs. 10000 Rs. 10000-20000 -1.458* .096 .000 -1.69 -1.22

Above Rs. 20000 -2.458* .107 .000 -2.72 -2.20

Rs. 10000-20000 Below Rs. 10000 1.458* .096 .000 1.22 1.69

Above Rs. 20000 -1.000* .116 .000 -1.28 -.72

Above Rs. 20000 Below Rs. 10000 2.458* .107 .000 2.20 2.72

Rs. 10000-20000 1.000* .116 .000 .72 1.28

Sidak Below Rs. 10000 Rs. 10000-20000 -1.458* .096 .000 -1.69 -1.23

Above Rs. 20000 -2.458* .107 .000 -2.72 -2.20

Rs. 10000-20000 Below Rs. 10000 1.458* .096 .000 1.23 1.69

Above Rs. 20000 -1.000* .116 .000 -1.28 -.72

Above Rs. 20000 Below Rs. 10000 2.458* .107 .000 2.20 2.72

Rs. 10000-20000 1.000* .116 .000 .72 1.28

*. The mean difference is significant at the 0.05 level.

HOMOGENEOUS

Qualification

Subset for alpha = 0.05

Monthly income N 1 2 3

Scheffea Below Rs. 10000 72 1.54

71
Rs. 10000-20000 45 3.00

Above Rs. 20000 33 4.00

Sig. 1.000 1.000 1.000

Ryan-Einot-Gabriel-Welsch Below Rs. 10000 72 1.54


F Rs. 10000-20000 45 3.00

Above Rs. 20000 33 4.00

Sig. 1.000 1.000 1.000

Ryan-Einot-Gabriel-Welsch Below Rs. 10000 72 1.54


Range
Rs. 10000-20000 45 3.00

Above Rs. 20000 33 4.00

Sig. 1.000 1.000 1.000

Means for groups in homogeneous subsets are displayed.

a. Uses Harmonic Mean Sample Size = 45.171.

RESULT
From the above analysis, we find that calculated value of the F-value is a positive 45.171
value. There is a significant relationship between Qualification and Monthly income

72
CHAPTER – V

5. FINDINGS, SUGGESTIONS AND CONCLUSION

5.1 FINDINGS
 Majority 65.3% of the respondents are gender of the respondents in male.
 Majority 39.3% of the respondents are age group between 35 – 45 years.
 Majority 60.7% of the respondents are married person.
 Majority 32.7% of the respondents are UG qualification.
 Majority 35.3% of the respondents are Agriculture.
 Majority 48% of the respondents are earning Below Rs. 10000.
 The 40.0% of the respondents are Agree that high quality, 44% of the respondents are
Neutral about Freshness and aromatic, 54% of the respondents are Disagree the smooth
and pleas and taste, 42% of the respondents are Agree that Reasonable price, 52% of the
respondents are Agree that quality across multiple purchase, and remaining 40% of the
respondents are Agree that High quality ingredients.
 The 40.0% of the respondents are Agree that the packaging is easy to open and close,
40% of the respondents are Strongly agree and Neutral about Packaging is sturdy and
durable, 50% of the respondents are Agree that Moisture and other environmental factors,
454% of the respondents are Strongly Agree that Eco-friendly and sustainable, 52% of
the respondents are Strongly Agree that Overall satisfied the packaging.
 The 38.0% of the respondents are Agree that The price of leafy tea is competitive
compare to similar tea, 52% of the respondents are Strongly agree that The price is
affordable for my budget, 48% of the respondents are Strongly Agree that Good value for
the amount of tea include the packaging, 66% of the respondents are Agree that Willing

73
to pay tea product based on quality and taste, 35.3% of the respondents are Neutral for
The price is accurate and reflects its quality and taste.
 The 34.0% of the respondents are Neutral for Prefer this tea longer shelf life, 66% of the
respondents are Agree that Freshness of tea product near their expiration date, 60% of the
respondents are Agree that I believe clearly market expiration date, 56% of the
respondents are Agree that Longer shelf life to maintain their quality and taste, 66% of
the respondents are agree that Willing to pay a higher price with a longer shelf life
 The 24.0% of the respondents are Strongly agree and agree that provide health benefits,
27.3% of the respondents are Strongly Agree that I feel that current lifestyle and
preferences 38% of the respondents are Agree that variety of tea product available on
market, 28.7% of the respondents are Agree that I believe tea product good offer value
for their price, 36.7% of the respondents are agree that Offer and discount price or
promotion.

CHI SQUARE ANALYSIS

 The calculated value is greater than the table value. So we reject the null hypothesis.
There is no significance between the Age of the respondents and the packaging is easy to
open and close.
 The calculated value is greater than the table value. So we reject the null hypothesis.
There is no significance between the Age of the respondents and the packaging is study
and durable.
 The calculated value is greater than the table value. So we reject the null hypothesis.
There is no significance between the Age of the respondents and Moisture and other
environmental factors.
 The calculated value is greater than the table value. So we reject the null hypothesis.
There is no significance between the Age of the respondents and Eco – friendly and
sustainable.
 The calculated value is greater than the table value. So we reject the null hypothesis.
There is no significance between the Age of the respondents and Overall satisfied the
packaging.

CORRELATION ANALYSIS

74
 This is a positive correlation. There are relationships between Monthly income of the
respondents and the price of leafy tea is competitive compare to similar tea.
 This is a positive correlation. There are relationships between Monthly income of the
respondents and The price is affordable for my budget.
 This is a positive correlation. There are relationships between Monthly income of the
respondents and Good value for the amount of tea include the packaging.
 This is a positive correlation. There are relationships between Monthly income of the
respondents and Willing to pay tea product based on quality and taste.
 This is a positive correlation. There are relationships between Monthly income of the
respondents and The price is accurate and reflect its quality and taste.

ANOVA

From the above analysis, we find that calculated value of the F-value is a positive 45.171
value. There is a significant relationship between Qualification and Monthly income

75
5.2 SUGGESTIONS

Tea is a popular beverage and due to its extensive consumption worldwide consumer
becomes very fussy or particular about the brand and quality of the Leafy tea. The consciousness
about the beverage quality adds to many factors like popularity of the Leafy tea brand, colour,
aroma, price etc. The entire study is made to find out whether all these factors like popularity of
particular tea brand, colour, aroma, price and brand loyalty really influences tea consumption
behaviour of a consumer. All these attributes/traits are highly responsible with tea consumption.
Our study proves that while considering a particular tea brand things like popularity of a
particular tea brand, loyalty towards specific brand and other qualitative factors like colour,
aroma etc are associated while choosing that particular brand. A consumer depends totally on
these entire factors for choosing a specific brand of his/her need. The extensive study is done
different regions of Chennai city and a clear conclusion can be drawn from the statistical analysis
that all the behavioural traits highly influence consumer’s tea consumption behaviour.

76
5.3 CONCLUSIONS

The study conclude that both income and education have a significant impact on brand
loyalty for Leafy tea. The product, marketing, and lifestyle attributes are the main factors
influencing the purchase decision of the Leafy tea by the consumer. The product-related
attributes contribute more to the purchase decision of Leafy tea. Thus firms can increase their
market share by planning their marketing strategies, focusing mainly on product-related aspects.
To build a loyal customer base, companies should consider injecting differentiated product
attributes in terms of the blend of flavor, taste, color, and aroma of the final tea that ensure the
superiority of the brand. This study provides further insight into marketing research and can also
be used as a guideline for business planning and an efficient marketing strategy.

77
REFERENCES

1. Aaker, D. A (1991). Managing brand equity. New York: Macmillan.

2. Banerjee Mritunjoy: “Organisation Structure & Design” in organization Behaviour, #rd


Edition, New Delhi Allied Publishers, 1995.

3. Banerjee, B (1993): Tea Production & Processing, New Delhi, Oxford & IBH Publishing
Company.

4. Blackwell, R. D., Miniard, P. W. & Engel, J. F. (2001). Consumer behavior. Orlando:


Harcourt College Publishers.

5. Blackwell, R. D., Miniard, P. W. & Engel, J. F. (2006). Consumer behavior. Mason:


Thomson.

6. Dwivedi, H. N (1999) Production of Tea in India, Kolkata.

7. FAO (1980):- The Marketing Processing of Tea.

8. Fullerton Ronald A (1994). Tea and the Viennese": A Pioneering Episode in the Analysis of
Consumer Behavior; Advances in Consumer Research ; 1994, Vol. 21 Issue 1, p 418.

9. Gabbott, M. & Hogg, G. (1998). Consumers and services. Chichester: John Wiley & Sons.

10. Majumder Ramanuj (2010). Consumer Behaviour: insights from Indian Market.

11. Misra Shib Narayan: Tea Industry in India, New Delhi, Ashish Publishing House,1986.

78
QUESTIONNAIRE

A STUDY OF FACTORS INFLUENCING CUSTOMER PURCHASE


INTENTION TOWARDS LEAFY TEA PRODUCTS

DEMOGRAPHIC DETAILS

Please tick in the appropriate cells

1)NAME

2)GENDER MALE FEMALE

3)AGE Below25 25-35 35-45 45 and above


years years
4)MARTIAL STATUS Married Unmarried

5)EDUCATION
diploma UG PG OTHERS
LEVEL

6) OCCUPATION Student employed


Entrepreneur Unemployed Agriculture others

Below 10000 Above 20000


7)Income 10000 To
20000

79
PART 2

Please tick in the appropriate cells

1) What do you think about following statements regarding Product Quality of Leafy
tea product?
SA-(Strongly agree), A-(Agree), N-(Neutral), D-(Disagree), SD-(Strongly Disagree)

STATEMENTS
SA A N D SD
The leafy tea product is of high quality
The leafy tea product is fresh and aromatic
The leafy tea product has a smooth and
pleasant taste
The leafy tea product has a reasonable price for its
quality
The leafy tea product is consistent in quality
across multiple purchases.
The leafy tea product is made from high-quality
ingredients

2) What do you Think about following statement regarding Product packaging of leafy tea
products.
SA-(Strongly agree), A-(Agree), N-(Neutral), D-(Disagree), SD-(Strongly Disagree)
STATEMENTS SA A N D SD
The packaging of the leafy tea product is easy to
open and close
The packaging of the leafy tea product is sturdy and
durable
The packaging of the leafy tea product protects the tea
from moisture and other environmental factors

80
The packaging of the leafy tea product is eco-friendly
and sustainable

Overall, I am satisfied with the packaging of the leafy


tea product

3. What do you Think about following statement regarding Product price of leafy tea products.

STATEMENTS SA A N D SD

The price of the leafy tea product is competitive


compared to similar tea products on the market

The price of the leafy tea product is affordable for my


budget

The price of the leafy tea product is a good value for the
amount of tea included in the packaging

I would be willing to pay more for this leafy tea product


based on its quality and taste.

I feel that the price of the leafy tea product accurately


reflects its quality and taste

4) What do you Think about following statement regarding Product Shelf life of leafy tea
products.
SA-(Strongly agree), A-(Agree), N-(Neutral), D-(Disagree), SD-(Strongly Disagree)

STATEMENTS SA A N D SD
I prefer leafy tea products with a longer shelf life.

I am concerned about the freshness of leafy tea products


near their expiration date.

I believe that leafy tea products should have a clearly


marked expiration date.

I trust leafy tea products with a longer shelf life to


maintain their quality and taste.

81
I am willing to pay a higher price for leafy tea
products with a longer shelf life.

5. What do you Think about following statement regarding Purchase intention of leafy tea
products.

SA-(Strongly agree), A-(Agree), N-(Neutral), D-(Disagree), SD-(Strongly Disagree)

STATEMENTS SA A N D SD
I believe that leafy tea products would provide health
benefits to me

I feel that leafy tea products would fit well with my


current lifestyle and preferences

I am satisfied with the variety of leafy tea products


available on the market

I believe that leafy tea products offer good value for their
price point
I would be more likely to purchase leafy tea products
if they were offered at a discounted price or promotion

82

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