Influence of Consumer Demographic Characteristics on Factors Attracting the Purchase of Two-Wheelers–A Post-Purchase Survey of Two-Wheeler Holders

 

Devasenathipathi T., Prof. Mark J.

Head and Associate Professor, Department of Management Studies, PPG Institute of Technology, Rathnagiri Road,  Saravanampatti P.O., Coimbatore-641035, Tamil Nadu, India

Director, PPG Business School, Rathnagiri Road,  Saravanampatti P.O, Coimbatore-641035 , Tamil Nadu , India,

*Corresponding Author E-mail: vijayangudevasena@gmail.com; director@ppgbschool.ac.in

 

ABSTRACT:

This article brings interesting details about is there any association between the demographic characteristics and choice of product features. In order to find the answer for framed objectives, 294 two-wheeler holders were surveyed. By using simple percentage analysis and one-way ANOVA, Collected data were statistically analyzed and results of the study found that different demographic factors have different influence on the product features. However, Still there are different other factors that influence consumers purchasing decisions. Finally researcher recommends that need more research on same topic in different industry or products.

 

 


INTRODUCTION:

The unprecedented technological advancement that has led to the information explosion in the last decade has impacted every sphere of human activities – form the way the people think and decide, to the way they buy and consume, to the way the perceive and expect – all have undergone a dramatic change. With extra disposable income there is a drastic change in consumer purchase decision and spending pattern.

 

Consumer purchase decisions are moderated by many factors - social, economic, cultural, psychological and demographic. Because demographic variables help in distinguishing consumer groups according to their homogenous needs, preferences and usage rates demographic characteristics are taken as prime factors in framing marketing strategies. Demographic characteristics which influence buyers' purchasing decisions are: Gender, age, education, marital status, family size, employment, income etc. The personal characteristics such as buyer’s age, life cycle stage, occupation, economic situation influence a buyer’s decision. Further buying choices are influenced by four major psychological factors: Motivation, Perception, Learning, Beliefs and Attitudes.

 

In many previous studies, relations between the importance of product aspects and demographic factors have been studied and indicated. However, knowledge of the relation of demographic variables to more specific product aspects is more informative for product development and marketing purposes.

 

In this research work, researchers had taken six attracting features of two –wheelers purchase namely riding comfort, design and elegance, suspension, mileage and price of the bikes and examine if there is any significant relation/difference between individual demographic characteristics and attracting features of the bikes during the time of two-wheeler purchase. In other words the researchers have tried to find out is there any association between the demographic characteristics and choice of product features.

 

REVIEW OF LITERATURE: 

Arch G. Woodside (1975) examined the influence of gender on purchase decision of automobiles and found that high percentages of husband-dominant families for bringing-up the idea to purchase an automobile. Chinmun Kumar Nath(2006) analyzed the impact of promotional tools on rural and urban customers at the time of buying their two wheelers and highlighted the impact of advertising as the most influencing/motivating factor among rural and urban consumers. Abdul Haneef et. al., (2006) instituted that the personal characteristics such as buyer’s age, life cycle stage, occupation, economic situation and life style influence a buyer’s decision and points that person’s buying choices further influenced by four major psychological factors such as motivation, perception, learning, beliefs and attitudes. Neoh chee yeong’s (2007) results have confirmed that country of origin of brand and consumer ethnocentrism influence consumer purchase preference. Skyline Business School project report (2008) brings attention the influence of demographic characteristics on purchase of motor bikes. According to the study even low income families prefer to buy motorbikes and mostly age group 20 to 25 years and students prefer to purchase bikes than the other age group. It has also been found that most of people decide to acquire motorbikes from getting information from friends and relatives and sale representative. Shaharudin et. al., (2010): Good image from marketing activities such as advertising, sales promotion, customer relationship marketing programs, public relations, sponsorship marketing, and etc. increases the consumer’s desire to buy the product. Subadra et. al., (2010) in their study have found that general influencing factors – external, technical, cost and service do not differ significantly among the respondents of the different age groups in the purchase of motor bikes. Chen1 et. al., (2012) Women choose luxury goods for personal use whereas general products like pen apparels, scooters, cycles for family use. Nikhil Aggarwal (2010) in his dissertation says that all the companies concentrate more on their top brands. The area in which all the companies are lacking is Inputs (Insurance, Free works shop Gifts and Cash discounts). Jagwinder Singh (2011) in his research differentiated the buying behavior of rural households from that of urban households with respect to television (entertainment product), refrigerator (home appliance), and an automobile (two-wheeler, motorcycle and car/jeep). Habitat (rural or urban) has a relation with income and the timing of buying automobile; it differed during the festive / special occasion. Further, there is no association has been observed between habitat and income in case of planning for few days, few weeks and years before buying an automobile. Shaharudin et.al., (2011), The customers are looking at other elements beyond quality perceptions on their purchase decisions and only they themselves understand what they are actually looking for. Buyers may not rely on the perceptions of quality alone in deriving intention to purchase or not to purchase any motorcycle/scooter product.  Omesh Chadha (2011) study revealed that most of the respondents were aware of many popular brands of Bikes and customers were found to give more importance to fuel efficiency than to other factors. They believe that the brand name tells them something about product quality, utility, technology and the like.

 

The consumers prefer to purchase the Bikes which offer high fuel efficiency, good quality, technology, durability and reasonable price. Sher Akbar et. al., (2011) the result has shown that product, price, and place were significance in students’ decision on buying motorcycles. Most respondents have given importance to purchase of the cheapest Motorcycles from competitors. Overall results of this study still give high importance to the price of the product.

 

RESEARCH OBJECTIVES AND METHODOLOGY:

To describe how different factors attracting the purchase of two wheelers differ in relation to consumers demographic characteristics.

In order to avoid research discrepancies arising out of lack of understanding of questionnaires, initially the questionnaires were tested with five two-wheeler showroom managers and MBA students who having two wheelers-purchase-experiences very recently. On the basis of their recommendation modifications were made in the questionnaire.

 

Primary data was collected from the customers who have two-wheeler and had purchase experience at some of the two-wheeler showrooms at Coimbatore. Non probability convenient sampling technique is used for selecting the respondent from the total population. Sample size of the study was 294. The data drawn from the various sources were subject to satisfied treatment using the appropriate tables. The data were analyzed and collated in Microsoft excel and SPSS -16.0th version. The simple percentage analysis and ANOVA-table method were used to analyze the data and analyzed data were interpreted and ledger at the end of the each table.

 

ANALYSIS AND FINDINGS

Demographic profile of the respondents: All the respondents of the survey are male adults. 44.9% respondents were in the age group of 26-35 years, followed by 33.7% of the samples aged less than 25 and then 19.4% of them were 36-45 years whereas meager 2% of the two wheeler holders were more than 46 years of age. Respondents’ marital status varied relatively with 54.1% of the subjects unmarried and 45.9% of them married. Half of the respondent were (51%) having UG, PG or professional degrees or engineering degrees, 32.7% of them studied up to higher secondary education or diploma/certificate-course holders and 16.3% of the two-wheeler holders were in other categories (poor education or no education).

 

Age and factors attracting purchase decision:

Hypothesis: There is no significant difference between ages in relation to factor attracting to purchase of two-wheelers.

 

 

 


Descriptive

 

 

N

Mean

 

N

Mean

Riding Comfort

Up to 25 years

99.00

3.30

Mileage

99.00

3.03

26- 35 years

132.00

3.20

132.00

3.34

36-45 years

57.00

2.53

57.00

2.58

More than 46 years

6.00

4.00

6.00

3.50

Total

294.00

3.12

294.00

3.09

Design and elegance

Up to 25 years

99.00

4.22

User friendly

99.00

3.00

26- 35 years

132.00

4.08

132.00

3.32

36-45 years

57.00

4.49

57.00

4.21

More than 46 years

6.00

3.50

6.00

4.50

Total

294.00

4.20

294.00

3.41

Suspension

Up to 25 years

99.00

3.06

Price

99.00

3.06

26- 35 years

132.00

3.14

132.00

2.66

36-45 years

57.00

2.95

57.00

3.11

More than 46 years

6.00

3.50

6.00

1.00

Total

294.00

3.08

294.00

2.85

ANOVA

 

 

Sum of Squares

df

Mean Square

F

Sig.

Riding Comfort

Between Groups

28.99

3.00

9.66

4.35

0.01

Within Groups

644.60

290.00

2.22

Total

673.59

293.00

Design and elegance

Between Groups

9.62

3.00

3.21

2.17

0.09

Within Groups

428.94

290.00

1.48

Total

438.56

293.00

Suspension

Between Groups

2.52

3.00

0.84

0.42

0.74

Within Groups

577.52

290.00

1.99

Total

580.04

293.00

Mileage

Between Groups

24.56

3.00

8.19

5.91

0.00

Within Groups

401.96

290.00

1.39

Total

426.52

293.00

Use friendly

Between Groups

61.41

3.00

20.47

9.03

0.00

Within Groups

657.61

290.00

2.27

Total

719.02

293.00

Price

Between Groups

33.45

3.00

11.15

4.61

0.00

Within Groups

700.66

290.00

2.42

Total

734.11

293.00

 


The null hypothesis is partially rejected as the age of the respondents significantly differ to Riding comfort (.01), Mileage (0.00), User friendly (0.00) and Price (0.00).The respondents from the age of more than46 years have given more importance to purchase factors like riding comfort, mileage, user friendly. This may be due to the fact that as people age they become more rational and objective and quality and cost conscious.  Price of the bikes was more considered by 36- 45 years consumer groups. 

 

Impact of Income on Factors attracting purchase decision:

Null Hypothesis: there is no significant difference between different Incomes in relation to factors attracting purchase decisions of two wheelers.

 

 

 


Descriptive

 

 

N

Mean

 

 

N

Mean

Riding Comfort

Up to 10000

75.00

3.01

Mileage

Up to 10000

75.00

3.04

10001 to 20000

129.00

3.18

10001 to 20000

129.00

3.01

Above 20001

90.00

3.13

Above 20001

90.00

3.26

Total

294.00

3.12

Total

294.00

3.09

Design and elegance

Up to 10000

75.00

4.51

User friendly

Up to 10000

75.00

3.31

10001 to 20000

129.00

4.19

10001 to 20000

129.00

3.42

Above 20001

90.00

3.96

Above 20001

90.00

3.48

Total

294.00

4.20

Total

294.00

3.41

Suspension

Up to 10000

75.00

3.00

Price

Up to 10000

75.00

3.01

10001 to 20000

129.00

3.05

10001 to 20000

129.00

2.92

Above 20001

90.00

3.20

Above 20001

90.00

2.60

Total

294.00

3.08

Total

294.00

2.85

ANOVA

 

 

Sum of Squares

df

Mean Square

F

Sig.

Riding Comfort

Between Groups

1.31

2.00

0.65

0.28

0.75

Within Groups

672.29

291.00

2.31

 

 

Total

673.59

293.00

 

 

 

Design and elegance

Between Groups

12.45

2.00

6.23

4.25

0.02

Within Groups

426.10

291.00

1.46

 

 

Total

438.56

293.00

 

 

 

Suspension

Between Groups

1.92

2.00

0.96

0.48

0.62

Within Groups

578.12

291.00

1.99

 

 

Total

580.04

293.00

 

 

 

Mileage

Between Groups

3.53

2.00

1.76

1.21

0.30

Within Groups

422.99

291.00

1.45

 

 

Total

426.52

293.00

 

 

 

User friendly

Between Groups

1.22

2.00

0.61

0.25

0.78

Within Groups

717.80

291.00

2.47

 

 

Total

719.02

293.00

 

 

 

Price

Between Groups

8.30

2.00

4.15

1.66

0.19

Within Groups

725.81

291.00

2.49

 

 

Total

734.11

293.00

 

 

 

 

 


The descriptive mean analysis suggests that consumers who fall under monthly income of up to ten thousand have given importance to design and elegance than the other monthly income groups. The null hypothesis mentioned above is partially rejected as it is observed that except for design and elegance of the bike which differs significantly to various income groups riding comfort, suspension, mileage, user friendly and price were not significantly different with different monthly income of the consumers.

 

Marital Status and Factors attracting purchase decision:

Null Hypothesis: There is no significant difference between marital statuses in relation to factors attracting purchase of two-wheelers.

 

 

 


Descriptive

 

 

N

Mean

 

 

N

Mean

Riding comfort

Unmarried

159.00

3.11

Mileage

Unmarried

159.00

3.25

Married

135.00

3.13

Married

135.00

2.91

Total

294.00

3.12

Total

294.00

3.09

Design and elegance

Unmarried

159.00

4.15

User friendly

Unmarried

159.00

3.36

Married

135.00

4.25

Married

135.00

3.47

Total

294.00

4.20

Total

294.00

3.41

Suspension

Unmarried

159.00

2.94

Price

Unmarried

159.00

2.91

Married

135.00

3.24

Married

135.00

2.78

Total

294.00

3.08

Total

294.00

2.85

ANOVA

 

 

Sum of Squares

df

Mean Square

F

Sig.

Riding comfort

Between Groups

0.03

1.00

0.03

0.01

0.91

Within Groups

673.56

292.00

2.31

Total

673.59

293.00

Design and elegance

Between Groups

0.74

1.00

0.74

0.50

0.48

Within Groups

437.81

292.00

1.50

Total

438.56

293.00

Suspension

Between Groups

6.62

1.00

6.62

3.37

0.07

Within Groups

573.42

292.00

1.96

Total

580.04

293.00

Mileage

Between Groups

8.15

1.00

8.15

5.69

0.02

Within Groups

418.37

292.00

1.43

Total

426.52

293.00

User friendly

Between Groups

0.85

1.00

0.85

0.35

0.56

Within Groups

718.17

292.00

2.46

Total

719.02

293.00

Price

Between Groups

1.19

1.00

1.19

0.48

0.49

Within Groups

732.92

292.00

2.51

Total

734.11

293.00


 

The Null hypothesis of the above study is partially rejected as it is observed from the above table that marital status is significantly related to one factor ie Mileage than the other factors like Riding comfort, design and elegance, user friendly and price of the bike. The descriptive mean analysis reveal that unmarried consumers have given more importance to mileage than the married consumers.

 

 

Occupation and Factors attracting purchase decision

Null Hypothesis: Occupation of the respondents does not significantly influence the different factors that the two –wheeler buyers consider while choosing the respective brands.

 

 


 

Descriptive

 

N

Mean

N

Mean

 

Riding comfort

Student

123.00

2.73

Mileage

Student

123.00

3.24

 

Executive/employees

123.00

3.32

Executive/employees

123.00

3.05

 

Business/professionals/self employees

48.00

3.63

Business/professionals/self employees

48.00

2.81

 

Total

294.00

3.12

Total

294.00

3.09

 

Design and elegance

Student

123.00

4.09

User friendly

Student

123.00

3.63

 

Executive/employees

123.00

4.25

Executive/employees

123.00

3.39

 

Business/professionals/self employees

48.00

4.33

Business/professionals/self employees

48.00

2.88

 

Total

294.00

4.20

Total

294.00

3.41

 

Suspension

Student

123.00

2.90

Price

Student

123.00

3.12

 

Executive/employees

123.00

3.24

Executive/employees

123.00

2.54

 

Business/professionals/self employees

48.00

3.13

Business/professionals/self employees

48.00

2.94

 

Total

294.00

3.08

Total

294.00

2.85

ANOVA

 

 

 

Sum of Squares

df

Mean Square

F

Sig.

 

Riding comfort

Between Groups

35.56

2.00

17.78

8.11

0.00

 

Within Groups

638.03

291.00

2.19

 

Total

673.59

293.00

 

Design and elegance

Between Groups

2.69

2.00

1.34

0.90

0.41

 

Within Groups

435.87

291.00

1.50

 

Total

438.56

293.00

 

Suspension

Between Groups

7.28

2.00

3.64

1.85

0.16

 

Within Groups

572.76

291.00

1.97

 

Total

580.04

293.00

 

Mileage

Between Groups

6.82

2.00

3.41

2.36

0.10

 

Within Groups

419.70

291.00

1.44

 

Total

426.52

293.00

 

User friendly

Between Groups

19.97

2.00

9.98

4.16

0.02

 

Within Groups

699.05

291.00

2.40

 

Total

719.02

293.00

 

Price

Between Groups

21.54

2.00

10.77

4.40

0.01

 

Within Groups

712.57

291.00

2.45

 

Total

734.11

293.00

 

 

 

 

 


The framed null hypothesis is partially rejected as it is investigated that except the three factors riding comfort, User friendly and Price, other factors were insignificantly related to the occupation of the two wheeler holders. The descriptive mean analysis suggests that most of the student category consumers were more attracted by price and user friendly factors whereas business and professionals had given importance to riding comfort of the bike.

 

DISCUSSION:

Buyer’s behavior and buying decisions are influenced by plethora of factors. Importantly, demographic variables like age, sex, family size cycle, income, education, occupation, religion, race, cast and nationality, etc play very significant influence in purchase of any products and services. Hence, in this research, researchers analyzed how demographic factors like age, income, occupation, marital status associates with selected features of two-wheelers. Researchers investigated how riding comfort, design and elegance, suspension, mileage, unfriendly and price were influenced by the consumer’s demographic factors. The result have shown that product features have significantly affected the decision making process of the consumers and also these product features significantly differed and attracted the consumers with respect to different demographic character tics. The respondents from the age group of more than forty six years have given more importance to purchase factors like riding comfort, mileage, user friendly. Price was more considered by middle age consumers. Further research found that Design and elegance of the bikes and suspension of the bike were equally considered by all age groups. However, further research required to conclude that whether features of the products will differ to younger age or not in different geographical locations. Consumers who fall under monthly income of up to ten thousand have given importance to design and elegance than the other monthly income groups. Spinster consumers have given more importance to mileage than the married consumers. Depending on the nature of jobs too people's intention to purchase of bike differs. Student’s category of consumers has given more importance to user friendly factors where as business and professionals have given importance to riding comfort of the bike.

 

CONCLUSION:

In the final analysis, the researchers have come to understand that different demographic factors have different influence on each of the product features. It can be concluded that, while the younger age group focus on elegance and external factors of the products as they grow in the age, the choice is more towards comfort, mileage, and price. There is bit of distortion in this that when the consumers income is considered, the low income group are cost conscious and high income group are look –conscious. Again, when educational back ground is considered the not well educated go much for look and studied go for price and comfort. Thus from the study , researchers can recommend  marketers have to be very clear and specific in defining the market segmentation, profiling consumer, designing the target market  as well as in devising promotional mix. This research is intended to be useful in such aspects. 

 

This study has provided some serious insights into the implication of demographic factors for Two-wheeler companies and marketers in India. It provides an insight into how factors attracting purchase behavior differ to demographic factors of the consumer’s. More importantly, it would help the marketers in the formulation of appropriate strategies to promote their brand of bikes. This study has investigated six prime attracting factors effecting consumer decision making. Still there are different other factors that motivate, attract the consumers purchasing decisions which can be considered in the study to arrive at more accurate findings.

 

REFERENCE:

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12.     Sher Akbar, Abu Hassan Abu Bakar(2011) , Factors Affecting the Consumer’s Decision on Purchasing Power , Journal of Economics and Behavioral Studies Vol. 2, No. 3, pp. 108-116, Mar 2011

13.     Study on the factors leading to the purchase of motorbikes Posted by Skyline Business School /  August 12, 2010 / in Dissertation , http://www.skylinecollege.com/blog/dissertation/study-on-the-factors-leading-to-the-purchase-of-motorbikes.

14.     Taryadi and Hananto, Arga,(2011) Analysis of Relationship between Pioneer Brand Status and Consumer’s Attitude toward a Brand (Case on Yamaha Automatic vs. Honda Automatic Transmission Motorcycle in Indonesia) (February 21, 2011). Available at SSRN: http://ssrn.com/abstract=1765742 or doi:10.2139/ssrn.1765742.

15.     Taryadi and Hananto, Arga,(2011) Based on result from 90 respondents, confirms the perception that Yamaha, is  the pioneering brand in the automatic transmission motorcycle and  tend to ascribe higher brand attitude toward Yamaha.

16.     Xiufeng, Zhang; Baoku, Li(2011) The results show that: customer satisfaction, perceived value, switching costs and brand preference have a positive effect on motorcycle repurchase, and have different effects on repurchase.

17.     Xiufeng, Zhang; Baoku, Li(2011), The study of influencing factors of motorcycle customer repurchase intention,  E -Business and E -Government (ICEE), 2011 International Conference . Issue Date :  6-8 May 2011   On page(s): 1 - 4  Print ISBN: 978-1-4244-8691-5  References Cited: 6  Digital Object Identifier :  10.1109/ICEBEG.2011.5886997  Date of Current Version :   16 June 2011

 

 

 

 

Received on 08.10.2012           Modified on 20.10.2012

Accepted on 25.10.2012           © A&V Publication all right reserved

Asian J. Management 3(4): Oct.-Dec., 2012 page 204-209