Factors affecting the purchase decisions

of women for their clothing in tier 2 and Manicka

Manicka Prabu
Prabu Shanmugam
Shanmugam –– 1701143
1701143
Subhashini Kandaswami – 1701165
Subhashini Kandaswami – 1701165
lower cities(specific to multi-brand retail Himanshu
Himanshu Rathnam
Rathnam –– 1701178
Sreekar Raj –
1701178
1701139
Sreekar Raj – 1701139
outlets). Bharath
Bharath AA –– 1701176
1701176
 Problem Definition
• Background : With rapid growth in the e-commerce industry due to
internet penetration and usage, the In-store sales has a possibility
of decline in the near future due to wide range of services and
offers available online. Our research is based on what could a multi
brand retailed store do to continue its growth.

• Objective Statement : Marketing research on the factors affecting

the purchase decisions of women for their clothing in tier 2 and
lower cities(specific to multi-brand retail outlets).
 Approach Overview
• Quantitative and qualitative methods was used for
collecting data which was used to gain insights about
the purchasing behavior.
• In depth interviews with customers and industry
persons were conducted based on which further
questionnaire was developed.
• Using the data collected the conclusions were drawn.
Research Design
• Type of Research Design : Exploratory research, since
we are trying to gain insights from the data collected,
what exactly makes a women go to a store to purchase
based on many criterions.

• Information Needs : Age, marital status, occupation,

annual income, number of people present in the
family.

• Data collection from secondary sources

Research Design(contd)
• Data collection from primary sources : Data
collected through questionnaire and in-depth
interview.
• Scaling Techniques : Interval scales was used for the
research. A combination of constant sum and likert
scales were used to get opinions from the survey
conducted.
• Questionnaire development : A questionnaire was
developed after the in-depth interviews conducted
with customers in local multi-brand retail store and
a industry person. After the development of the
questionnaire, it was floated in the form of Google
Research Design(contd)
• Sampling techniques : Random Sampling

• Fieldwork : Customer and industry person in depth

interviews were conducted over phone and in
Pothys and Sarathas store in Trichy.
 In-Depth Interview
• Price of a dress plays a major role in all facets of clothing purchases.
• Customers are happy to go for shopping with toddlers.
• Sales persons are having discretions to provide instantaneous discounts / special
offerings.
• Customers prefer showrooms or exclusive stores than one stop shops in terms of
service, availability, privacy and cleanliness.
• Customers are willing to spend huge money on their wedding sarees and blouses.
They never regret it.
• Availability of parking space, food court, restrooms, wheel chairs, resting space
increases the overall shopping experience.
 Observations & Enquiries
• Customers wants to utilize the time it takes for alteration in further shopping of dresses
but none of the stores facilitates it.
• Sales assistant’s help is preferred in purchases like sarees or while trying new kind of
dress.
• Both customers and sales assistants are well aware of current tends mainly through TV
serials and word of mouth.
• Customers are well informed about their dresses. They even note down the product code
for price comparison in multiple shops.
• Customers mostly started preferring one stop shop rather than stepping to various shops.
• A sales assistant pushes a dress which is most preferred by the customer and not the
highest priced ones.
 Data Analysis
• Methodology : We have collected data through survey comprising
21 questions.
• We have used Dimensional Reduction feature of IBM-SPSS software
to identify different possible factors and significant variables
contributing to purchase decision of the buyers.
• We have used Dimensional Reduction feature of IBM-SPSS software
to identify different possible factors and significant variables
contributing to purchase decision of the buyers.
 Data Analysis(contd)
• Extraction Methods Used: Principal Components

• Extraction Criteria: Based upon Eigenvalue greater than 1 times the

mean eigenvalue.

• Rotation Used: Varimax

• ‘Suppress small coeffecient’ as .5

 Findings
• Generated result shows KMO measure of sampling adequacy as .932.
• Bartlett’s test for Sphericity shows the significance value of 0 which
indicates that variables are related.
KMO and Bartlett's Testa

Kaiser-Meyer-Olkin Measure of Sampling

.932
Adequacy.
Approx. Chi-Square 2857.743
Bartlett's Test of
df 231
Sphericity
Sig. .000
 Findings(contd)
• IBM-SPSS outcome for dimensional reduction shows that 79.328% of
variance of the model can be explained by the generated three factors.
• Scree plot generated shows that only three factors have eigenvalue
greater than 1.
 Findings(contd)
• Constraint on Number of factors:
• We had chosen the option to factor the variables on the basis of eigen
values.
• All the variables were covered under 3 factors.
KMO and Bartlett's Testa
Kaiser-Meyer-Olkin Measure of Sampling Adequacy. .928
Bartlett's Test of Sphericity Approx. Chi-Square 2558.965
df 190
Sig. .000
a. Based on correlations
• KMO Statistics has provided with a value of 92.8% The bartletts’s test has
significance value of 0
 Findings(contd)
• We could infer that a variation of 81.959 (approximately 82%) is being
explained by the factor analysis. The number of factors are also divided
into 4 parts.

• Rotated component matrix was evaluated with the same criteria used in
the case of eigen value. Varimax is used to rotate the variables and divide
them into factors.

• Constraint to neglect the value if at all it is less than 0.5 was kept.
 Findings(contd)
• Factor one includes variables from Customer Cloting Attributes: Size,
Quality, Style, Price, Offers and Brand.
• Factor two categorizes the marketing techniques used by the in store
personnel: Visual Displays, Recommendations by salesperson, Price
Reductions, Customer Treatment and Offers/Discounts.
• Factor three categorizes the store attributes to clothes purchase:
Alteration, availability of latest trends, Informed salesman, availability of
brands and availability of colors and sizes.
• Factor four categorizes the store attributes to the overall shopping
purchase: Play area, Food court, membership program and resting space.
 Conclusions
• Clothing attributes play a major or the most important role in
purchasing decision for women in tier-2 and tier-3 cities.
• The significant decisions rely on the factors such as marketing
techniques, store attributes related to clothes purchase and the
store attributes related to the overall shopping.
• The significance for the variables such as availability of brands and
resting space has significance of 0.620 and 0.629 which can be
neglected for future references and practical business scenarios.
Thank you