consumer perception on branding: a study on processed...

Consumer Perception on Branding: A study on

Processed food

Dr. Chetan Bajaj

Professor, IFIM Business School, Bangalore

[email protected]

Leishangthem Romesh Singh

PGDM Student, IFIM Business School, Bangalore

[email protected]

Md. Nakibul Hussain


[email protected]

Jenif Haque


[email protected]

Dr. Siddharth Misra*

Adjunct Professor, IFIM Business School, Bangalore

[email protected]

Dr. Rema Gopalan

Assistant Professor, IFIM Business School, Bangalore

[email protected]

ADALYA JOURNAL

Volome 8, Issue 12, December 2019 446

ISSN NO: 1301-2746

http://adalyajournal.com/

Abstract

Purpose – The purpose of this paper is to evaluate the consumer perception of branded and

non-branded processed food. More precisely, the purpose is to assess the consumer

satisfaction level with branded process food.

Design/methodology/approach – A quantitative survey of 205 consumers is undertaken to

test the research model. Structural equation modeling (SEM) is used to estimate the

parameters of the research.

Findings –In this study found that Customers prioritize freshness, quality and packaged

products above all other variables, followed closely by Price and then Convenience. The

time-saving factor is one of the undeniable factors for preferring processed foods, individuals

or groups who do not possess ample time for cooking meals go for processed food. Majority

of the consumers are satisfied with their branded processed food.

Research limitations/implications – Further research could be conducted to a different

segment of consumers and also focused on health-conscious consumers. Most of the

consumers are very much sensitive about their health, especially when they buy processed

food. Also, further researchers could add Package design.

Originality/value – The study determines the popularity of processed foods within different

segments. It provides empirical evidence about the nature and consumption pattern of

customers. The satisfaction level of customers is gauged based on various factors and its

aftereffects measured i.e. the tendency of people to recommend it to other customers, this, in

turn, will boost sales. The study reveals essential facts that reveal the linkage between the

company, its regular customers and potential customers which can be termed as the third

party. Rather than using advertising and other marketing techniques; word of mouth or

Customer-to-Customer interaction is deemed to be more valuable

Keywords – Consumer Perception, Branding, Multistage Regression.

Paper type – Research paper

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Introduction

At the start of the 21st century, a new phenomenon of substituting homemade meals with

highly processed, ready to eat food products swept the nation. This led to a boom in the

processed food market. The main reason for this shift being people breaking away from

traditional joint family to nuclear families, and thereby bringing about a change in eating

habits; mainly parting away from what can be dubbed as the traditional forms of meals. In

business whether it’s a small or large, brand always play the most important role in any

business or retail. The new wave saw an exponential increase in demand for readymade

processed foods and thereby companies saw a perfect market to expand. Companies needed

to acquire more customers while retaining existing ones by branding their products in such a

way that it attracted new customers while not deviating from their existing image.

In general, perspective, when we talk about a brand, brand, is the unique combination of

product characteristics and values, that have become attached to a product by means of its

name, packaging, advertising, pricing, user experience. These differentiate it from

competitive products in the consumer's view. Branding of products with all the nuances is a

craft indeed, a successful branding promotion appeals to the customer’s base desire to own or

consume; thereby lies the key to success. Every factor in branding reflects in a product's

packaging, ranging from color, design, shape etc. along with its base ingredients and

nutritional properties. Branding plays an important and most vital role to create a product

differentiate to form the other existing product which helps to attract and keep their faithful

consumers. An effective brand policy acts as a major perimeter in today’s markets. Anything

change in food’s original form constitutes as a processed food. To Understand, a food-

industries were pointing out on their website how their product has been made, what methods

the company is using drying or smoking to preserve their food. This study includes that most

of the processed food like Maggie, pasta, cornflakes, Kellogg's etc. are preferred by the

consumers.

India as a biggest food production country it has an opportunity to become the largest food

industry in the world. Most of the customers purchase process food because of quality taste,

brand, cooking skill, as well as changes the consumption habits due to the change of

consumption pattern. Some of the people are more focus on health, nutrition, and price of the

product. Most of the old and young consumers purchase low cost and low-quality food

products. These days’ people are completely analyzing the product nutrition and also

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selected base on brand quality of the products. Visual packaging and labeling directly

influence the consumer’s perception of the food quality and brand preference.

Worldwide the food consumption pattern has been changed in the late 1980s, where food

production companies encourage their customers as a results economic growth also increase.

(Hawkes, 2012). This revolution changes the whole food market as well as the food industry

to implement new ideas into their business model and showcase new marketing planning by

which they attract customers and boost consumers eat more process food like cold drinks soft

drinks, snacks (Ludwig & Nestle, 2008). In this circumstance, the aim of the present work is

to investigate different factors and in what way the brand regarding the processed foods

influences the consumers.

Literature Review

Product branding is widely regarded as the most convenient and popular method of elevating

consumer demand (Ahmed and Anders, 2012). Consumer perception of processed food

depends on various factors such as trust & safety, national branding, packaging, awareness

etc. Baskar et al. (2014) provide a broader view of the consumer buying behavior regarding

the branded processed food. It was found that the consumer purchased brands mostly based

on trust and safety. food without question is the nutritional value per serving, but it has been

found that it is not so. It has been found that successful branding can effectively convince

consumers to shift their priorities from a healthy meal to meals that derive a greater sense of

satisfaction through factors such as taste, smell, brand value, brand recognition. Even though

there are other factors while choosing brands, but trust and safety become a vibrant factor to

buy a branded food. For instance, if we consider an example, Coke vs generic soda. Since

Coca-Cola has built a powerful brand equity and its trust that charge more for its product.

Kazmi (2012) conduct a brief study on consumer perception and buying decision of pasta.

The study concerned about the factors that effect on consumer’s perception of pasta products

and other related reason for popularity and awareness of the pasta product in different areas

and social class. Branding gimmicks may sway consumers for a short while but it always

fails to hold the interest of the consumers, at the end of the day it always boils down to the

basic factor which is the value-for-money derived from the product (Dynan, 2000; Ahmed

and Anders, 2012).

In the current environment, demand for instant meals or replacement meals have soared

among consumers with little to no skills in cooking or do not have adequate time to prepare

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meals; this has led to the differentiation of products and strong growth of the retail players.

The boom in the number of working-class personnel in the middle-income area has led to

increased demand of ready to eat foods. These foods must adhere to the criteria of being able

to be consumed easily as well as to deliver the necessary daily nutritional requirements (Wills

et al. 2007). Retailers and food manufacturers have responded to these trends by providing

consumers with a greater selection of convenience products to meet taste and quality

preferences of diverse consumer segments. (Darian and Cohen 1995; Ahmed and Anders

2012). It is known from past research that familiar or popular brands can induce the placebo

effect in a consumer and elevate a consumer’s satisfaction derived through heightened taste

perceptions of food products (Spinelli et al. 2014).

Hu et al. (2011) shown how the consumers react to differentiated products in the processed

foods market and consumer preference to pay for said products varies according to the

product labeling and an array of other promises made by the brands. According to them, if a

brand is nationally recognized then consumers are very much preferred that food, that means

the national brand is always preferable for the consumers. However, Richie et al. (2017)

shown that most of the consumers didn’t select the national brand instead they used private

brands. Shafiea et al. (2012) investigate the fact that how consumers identify the food quality

issues in orders to investigate the potentials of organic agriculture. The study found that the

correlation between demographic factors may define organic consumers but is not always

true, it may vary from person to person; price is the prime factor of having an organic item.

Branding gives any product a unique identity which discerns itself from every product on the

shelf through the virtue of consumer perception (Perrea et al. 2014).

In addition, Mari et al. (2015) have shown the concern about consumer’s perceptions of some

external factors such as packaging and observe that how the external factor influence

purchase decision of processed cereal products. It has shown that consumers admit the aid of

packaging remarkably in terms of product protection, how much the product is hygiene,

product information i.e. who is the manufacturer of the product as well as the brand of the

food product. There are some other factors which also plays a pivotal role in consumer’s

perception such as packaging materials which is the durability of the product, product shape,

attractiveness, accessibility, environment-friendly, recyclability. Wang (2013) describe that

visual packaging important consideration to influencing the consumers to perceive value,

quality of the commodity and brand preference effect on the value of the food product b

indirect manner.

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According to Kathuria et al. (2013) the consumers actually aware of the brand they buy and

found the source of awareness. Conventionally, it is thought that consumers tend to buy

familiar brands out of habit or because of loyalty, and they are likely willing to pay more for

a branded product than for a non‐branded generic product, if they see favorable consequences

of brand use (Solomon, 2007; Paasovaara et al. 2012). It is found that the flavor, smell, free

from any harmful comical or pesticides free quality are the most important factors which

encourage to purchase of any branded processed food. The major sources of awareness for

branded foods get mostly neighbor’s, family members, friends and even sometimes the

retailer’s recommendations play the most vital role in buying behavior etc. Xie, Wang, Yang

& Zhang, (2014) examined that consumers expected more safety and healthier to organic

process food in China. These kinds of products were purchased by the higher level of

education and economically sound customers but children and older consumers were not

bought this product because of lack of knowledge and the higher price of the product.

Bora & Kulshrestha (2015) find out that nutritional valuation is an important consideration

for selection of foods, as it is implying that rich fiber products are good for nutritional value

and to be a good source of minerals. Horst, Brunner, & Siegrist (2010) conclude that cooking

skills were an important predictor for healthy eating as well as buying for ready- meal

products, as it possible cooking skill will gradually decrease in future. Moreover, Jana et al.

(2015) research found that sometimes previous buying experience of a customer influence the

brand value.

Also, the customer owns experience and previously buying attitude affect a lot towards a

brand value of a product. Sivakumar & shymala (2017) state that the brand image of the

Maggie noodle is very high as well as it is most demanded and popular for all stages of the

age group in India. The brand image of the product was repositioning again after the approval

from FSSAI and the consumption was continuing because of consumer’s trust. (Mantrala and

Zou 2012), Once consumers are given a wide array of similar products to choose from, they

start experimenting with brands; the choosing factor in such a case will be how effective a

brand is in promoting its product to consumers. Brand preference does not always follow the

leader trend i.e. the market leader in a process can be substituted with another product if it

fails to continuously capture and attain the interests of the consumers on a regular basis. The

growing consumer awareness and growing brand consciousness are also closely linked.

Experimentation leads to an opinion which in turn leads to a solidified image of the brand the

consumer might prefer. (Wang 2013), Branding helps convey information to consumers

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through packaging to communicate and influence product choice. It allows brands to

influence how consumers value quality in a product irrespective of the price factor.

Regular consumption of a single product may lead increased chances of emotional

attachment; this attachment blindsides consumers into believing that their own preference is

the very best in the market and there is no need to deviate from their choice. Consumers may

have developed emotional attachments with products if consumed for long periods of time

irrespective of quality (Cova and Pace, 2006). Increase in consumption of processed foods is

directly related to increases in disposable income in households (Mukherjee, Satija and Goyal

2012). This has led to people substituting one meal per day with non-cost effective ready to

eat meals for the day without any major or moderate financial repercussions. Quality is an

ambiguous term that means different things to different consumers, product choice decisions

often depend on individual attribute preferences, prior product experiences, and information

available from package labeling. In response, retailers have made efforts to directly target

different consumer segments with a variety of brands, product packaging, and product

selections.

Previous research study looks at in various factors in a processed food in term of brand

preference, consumer’s perception, and consumer buying behavior in term of quality,

nutrition, health, price and size of the production. Some studies explain about the skills of the

consumers while cooking the food, if the skill is low they will more prefer on process food

like a noodle, pasta, and cornflakes (Horst, Brunner, & Siegrist, 2010). Upcoming studies

could go for a fast approaching which is important for customers and in responses to changes

in market mobility (Shafiea & Rennieb 2012). This study will focus on an area which is not

touched or reached by the previous researcher in the Indian context. Previous researchers did

not examine the consumption pattern of the process foods i.e. in term of morning breakfast,

launch, evening snacks and dinner time. Consumers perception of quality food and nutrition

for health in respect to Indian middle income, lower middle income, and uppers middle

(Kathuria & Gill, 2013). Also, future study can be done by taking consideration of a large

sample size in which the gap remains by the previous researchers (Mmari, Safari &

Lwelamira,2015). The previous researcher did not study the behavior of future rural

consumers regarding packaging and further research can be extended by national or

international levels with the large level of the sample (Baskar & Sundaram, 2014).

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The research done in this field displays how effective visual packaging is in enticing

consumers (Ahmed and Anders, 2012). It disregards any type of dietary or nutritional factors.

But now consumers pay attention to what they intake. Future research can show just how

effectively breakfast cereals, oatmeals have taken over the breakfast food market (Baker and

Friel 2012).As to what percentage of the market has been taken over by processed foods and

what is yet to be untapped in the current demographic. More and more focus must put into

the production technology of a product (Perrea, Gruner and Krstallis 2014). Every product

uses different production methods which include the process of adding preservatives,

artificial coloring, artificial flavors, sugar etc. With increasing consumer awareness, we can

study how consumers actively try to avoid semi-harmful ingredients in products. Future

research into what constitutes quality in the processed food market (Grunert et al. 2004) can

set an industry benchmark to which consumers may compare every other product too.

Objectives

1. To investigate the preference level of Branded and Non-branded process food.

2. To examine the customer satisfaction on branded processed food in the rural

consumer.

Hypotheses

The relationship between Consumer preference and buying decision

Various factors determine the buying behavior of consumers. Factors such as taste,

convenience, income, variety affect the purchasable power of a product. Consumers decide to

buy products according to their wants, consumers have set criteria of requirements that

satisfy their wants when it comes to defining their purchase behavior. Products put forth by

brands must appeal to consumers however the buying decision of a product lies totally with

the consumer. The process food market has changed due to changes in socioeconomic

conditions where individuals decide on whether, when, what, where, how and from whom to

purchase processed food (Kaur & Singh, 2014). Branding is a marketing communication

vehicle, packaged and branded foods are the products most preferred by the consumer.

Consumer perceives packaged food to be the most viable solution, in spite of it being branded

or not. Packaged and branded food are more preferred to packaged and unbranded food.

H1: Consumer preference leads to a buying decision. The relationship between consumer

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satisfaction and buying decision

Consumers can rarely remain content with consuming the same product for long periods of

time. Consumers may seem to change their brand on a whim but it is not so. A variety of

factors influence their perceived notion of satisfaction. From locations where they buy said

food products to social influences such as family, society, social media influence their

consuming habits. The branding on the product depending on how much it appeals to a

customer can deliver a related amount of satisfaction.

H2: Consumer satisfaction leads to the buying decision.

Methodology

Research Design

In this study, we aim to gauge the preference, perception, attitude towards branded process

food. Dealing with the above we have made questionnaire keeping in mind the three factors

Brand, Packaging, and types of Packed Foods; the questionnaire dealing with all three of the

factors. This study was conducted with reference to studies done in this field during the

period 2006 to 2018. This paper examines the consumer’s apprehensions about consumption

of process food. This study followed Wong and Merrilees, (2015), indorsed techniques such

as accessible formats and self-addressed pre-paid envelopes to expand response rate. Both

present and new items were pre-tested in a pilot test, resulting in some changes in phrasings

and construction of the questionnaire. The reviewed questionnaires were then dispatched out

to the sample. Data collected from the full survey were entered in SPSS 20.4 for reliability

and validity tests.

Consumer Perception

Buying Decision

Consumer Satisfaction

H3

H2

H1

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Research Universe

The population or universe depicts the all-inclusive group of units which is the center of the

study. So population could be including all the persons in the city of Bangalore or a distinct

ethnic or economic group, depending on the purpose and coverage of the study. A population

could also consist of non-human units such as farms, houses or business establishments.

Sample

A sample is a set of data that is collected from a large no of the population called as

population. On the other hand, we can also say that a sample is a subset of the population.

There are so many ways to collect a sample using random sampling method or using

systematic non-random sampling. In this research, we are taking consideration 209 random

sample from the City of Bangalore.

Data Collection

This study is based on Primary as well as Secondary data. The primary data collated through

the statement questionnaire with process food consumers and non-consumers. The individual

perception of the consumer on a various attribute of process food in terms of convenience,

variety, quality price, packaging, taste and nutritious values of the processed food. On a

Likert scale of five points.

The secondary data is collected from various sources like books, articles, magazines, and

websites etc.

Tools and Techniques

The statistical tools used in this research are

Excel

SPSS

Data Analysis

This research data was collected through primary data. A multistage sampling method was

used for the study. The study was conducted in all four administrative divisions of the north-

western State of Karnataka in India.

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Table 1 Descriptive statistics

N Minimu

m

Maximu

m

Mean Std.

Deviation

QCP2 205 1.00 4.00 2.7756 1.20391

QCP3 205 1.00 5.00 3.5951 1.48092

QCP4 205 1.00 5.00 2.0780 .97204

QCP5 205 1.00 5.00 2.5707 1.21717

QCP9 205 1.00 5.00 2.8927 1.17498

QBD10 205 1.00 5.00 2.9317 1.09599

QBD11 205 1.00 5.00 2.7268 1.13047

QBD12 205 1.00 5.00 2.9561 1.03518

QBD13 205 1.00 5.00 2.5171 .84363

QCS1 205 1.00 5.00 2.6098 .97211

QCS6 205 1.00 5.00 3.1366 1.32505

QCS7 205 1.00 5.00 3.0683 1.23876

QCS8 205 1.00 5.00 2.9463 1.29177

QCS14 205 1.00 5.00 3.4976 .97329

QCS15 205 1.00 5.00 3.2829 1.23191

Valid N

(listwise) 205

Data collected from a sample size of 205 valid responses.

In the above table 1, QCP3 has the highest mean (3.5951) and Standard deviation (1.48092)

which implies that consumers mostly prefer their food according to the factors of Freshness,

Price, Convenience, Income, and proximity-based factors. Likewise, QBD12 has the highest

mean (2.9561) and standard deviation (1.03518) which reveals that customers highly value

the printed information while making the decision to buy the product. Lastly, QCS14 has the

highest mean (3.4976) and standard deviation (0.97329) this shows us that customers always

try to measure satisfaction each time they consume processed foods.

Table 2 Correlation of customer preference

Control Variables QCP2 QCP3 QCP4 QCP5 QCP9

Buying_decision QCP2

Correlation 1.000 .249 .103 .135 -.006

Significance (2-

tailed) . .000 .141 .054 .928

Df 0 202 202 202 202

QCP3 Correlation .249 1.000 -.074 .127 .223

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Significance (2-

tailed) .000 . .292 .070 .001

Df 202 0 202 202 202

QCP4

Correlation .103 -.074 1.000 .078 -.031

Significance (2-

tailed) .141 .292 . .265 .661

Df 202 202 0 202 202

QCP5

Correlation .135 .127 .078 1.000 .024

Significance (2-

tailed) .054 .070 .265 . .729

Df 202 202 202 0 202

QCP9

Correlation -.006 .223 -.031 .024 1.000

Significance (2-

tailed) .928 .001 .661 .729 .

Df 202 202 202 202 0

QCP2 is significant and highly correlated to QCP3 which proposes that packed and branded

items are preferred by the consumers where Freshness is prioritized the most. Similarly,

QCP3 is highly correlated to QCP2 and QCP9, this suggests that freshness plays a vital role

in the purchase of packaged and branded items. QCP5 is distantly correlated to QCP2, this

brings to light the degree of different variants of processed foods and the frequency of

purchase. Lastly, QCP9 is highly correlated with QCP3, which reveals that supermarkets are

the most preferred location due to convenience and for the purchase of fresh products.

Table 3 Correlation analysis of customer satisfaction

Control Variables QCS1 QCS6 QCS7 QCS8 QCS14 QCS15

Buying_decision

QCS1 Correlation 1.000

QCS6 Correlation .059 1.000

QCS7 Correlation -.017 .118* 1.000

QCS8 Correlation -.134* -.036 -.016 1.000

QCS14 Correlation -.267*** -.070 .209** .127* 1.000

QCS15 Correlation -.046 .020 .093 -.052 .355*** 1.000

QCS1 is highly correlated to QCS14. This suggests that customer’s willingness to buy ready-

to-buy processed is directly related to their satisfaction levels. Additionally, QCS14 is highly

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correlated with QCS1, QCS7, and QCS15. This proposes that if a customer is unsatisfied

with a product, then the customer may either switch to other brand or bring about a change in

their consumption habits. Lastly, QCS15 is highly correlated with QCS14, this reveals that if

customers are satisfied with a product, they might recommend it to others and vice-versa.

Table 4 Regression analysis (Stage 1)

In the above table 4, we found that the p-value is .000, this fits the criteria p<0.05 and the

beta value is .347 which indicates that Buying Decision is highly dependent on consumer

preference. Since p<0.050, therefore Null hypothesis is rejected and alternate hypothesis, H1

is accepted.

Table 5 Regression analysis (Stage 2)

Model

Unstandardized

Coefficients

Standardized

Coefficients

t

Sig.

Remarks

B Std.

Error

Beta

1

(Constant) 1.789 .186 9.611 .000

Buying decision .293 .061 .324 4.835 .000 H2

accepted

Customer Preference .174 .054 .216 3.224 .001 H3

accepted

Dependent Variable: Customer Satisfaction

In table 5, the p-value is .000 which shows that the value is highly significant and the beta

value is .324 which shows that Buying Decision has a significant effect on customer

satisfaction. Again, p<0.05, therefore Null hypothesis H0 rejected and alternate hypothesis,

H2 is accepted.

Model

Unstandardized

Coefficients

Standardized

Coefficients

t

Sig.

Remarks

B Std.

Error

Beta

1

(Constant) 1.921 .168 11.433 .000

Customer Preference .310 .059 .347 5.269 .000 H1

accepted

a. Dependent Variable: Buying decision

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Moreover, in Consumer Preference, the p-value is 0.001 which reveals that Customer

Satisfaction is partially influenced by customer preference, where the Beta value is 0.216.

Again, p<0.050, therefore Null hypothesis H0 is rejected and alternate hypothesis, H3 is

accepted.

Graphical representation of received responses:

Consumer Perception

Q2. Which food items do I prefer more.

Q4. Why do I buy branded food.

Q9. From where do I buy processed food.(More than one option can be chosen)

Q3. (If Q2,iii) Why do I prefer unpacked and non-branded items.

Q5. How often do I buy packaged branded processed food.

26

34

47

49

129

0 50 100 150

Unpackage

Non branded

Unpackage and non…

Package and non…

Package and brande…

81

61

43

104

2 20

20

40

60

80

100

120

44.5

33

59.8

33

3

0 20 40 60 80

Retail Outlet

Kirana Store

Super Market

Confectionary

Others

60

51

53

18

1

0 20 40 60 80

Freshness

Price

Convinience

Income

Locally Found

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Consumer satisfaction

Q1. I buy process (ready-to-eat) food.

Q6. Do I buy the same brand every time.

Q14.How satisfied am I with the branded process food?

Q8.Do I prefer the same brand even the others giving discount on the similar products.

Q7. If Never, why do I switch other brand.

Q15.How likely are I to recommend branded process food to others?

9%

35%

28%

15%

13%Never

Twicw Week

Once in a week

Once in two days

Daily

5%

11%

25%

39%

20%StronglyDisagree

Disagree

Neutral

Agree

Strongly agree

14.8

14.4

37.3

29.7

3.4

Never

Seldom

Sometime

Often

Almost

4.40%

10%

28.20%46.40%

11% Highlydissatisefied

Dissatisfied

Neutral

Satisfied

Highlysatisefied

10.5, 10%

16.7, 17%

44.5, 45%

21.5, 21%

6.7, 7%

Never

Seldom

Sometime

Often

Almost

19.7, 20%

30.3, 30%

16.9, 17%

28.7, 29%

4.4, 4%

Convenience

Taste

Nutrition

Quality

If any

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19.10%, 19%

34.40%, 35%12.00%,

12%

13.40%, 13%

20.70%, 21%

Food habitchange

Time Saving

Test

Lifestyle

others

Buying Decision

Q10. What influences my decision(as an individual) on choice of food products I purchase? (More than one can be chosen)

Q11. Which are the features that I like best about branded processed food. (More than one can be chosen)

Q12. Do I evaluate the product according to printed information while purchasing.

Q13.____________is the reason I purchase branded processed food.

10.50%

15.30%

25.80%30.60%

17.70% Not at all

Slightly

Moderately

very

Extremely

13.90%

58.40%

18.20%

54.50%

24.90%

0.00% 50.00% 100.00%

Children

Advertisement

Spouse

Friend and colleague

Retailer in the Shop

Chart Title

12.90%

20.10%

29.20%

23.90%

13.90%Never

Seldome

Sometime

Often

Almostalways

24.40%

35.90%

19.60%38.80%

60.30%

Packaging

Brand name

productweight

price

Quality

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Discussion

This paper establishes the theory that freshness of processed food is the most vital factor that

customers keep in mind while purchasing processed foods. Customers prioritize the freshness

of packaged products above all other variables, followed closely by Price and then

Convenience. Freshness, Convenience, and Price are all three at almost neck to neck with

each which means all three have a high weight in a customer’s preference. The time-saving

factor is one of the undeniable factors for preferring processed foods, individuals or groups

who do not possess ample time for cooking meals go for processed food, moreover, organic

food once cooked expire within a certain period of time and must be consumed lest the food

goes to waste. Processed foods in this matter possess an advantage of retaining freshness

longer than conventional food. Processed foods can be highly cost-effective as well;

traditional food require the purchase of a variety of cooking ingredients separately and when

factored in the cost of fuel and other utensils for cooking, processed foods does seem like a

preferred alternative. These factors are what attracts the most number of customers. Whereas

Income and Price display a very low score and thus it is found that these factors play almost a

negligent as they contribute the least weight to the preference of customers.

The information printed on products such as nutritional value added preservatives and

flavors, nutrients per serving etc. displayed on either side of the packet has been found to

play a critical role while determining buying decision of the customers. Most consumers have

positively answered to reading before buying a product. This tells us that customers have the

utmost faith in the brand as they choose to believe the information printed on the packets and

they are actively self-aware of the products they buying instead of blindly or randomly

choosing products off the shelf. This implies that customers of today are well informed and

make buying decisions after deliberating the facts at hand, in this case, the information

printed on the product. This further enforces the idea that customers actually compare several

products according to the printed information to arrive at a conclusion or make an informed

decision. Although similar products or the same product can be found in multiple locations,

supermarkets have been found to be the most preferred location. This also suggests that the

high popularity of supermarkets may be due the fact that supermarkets offer a wide range of

similar products. Customers will always try to get the most bang for their buck, with this

respect supermarkets allow customers to view and compare multiple products from different

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brands all under one roof. This reinforces their idea of making the most of their money and

brings about some modicum of satisfaction.

The success of a brand depends highly on fulfilling the needs and wants of the customers.

This result has been carried out over a large range of product categories such as Packaged

and branded, packaged and unbranded, Unbranded and unpacked etc. However, all these

products in some form have succeeded in satisfying the customers. Different customers have

different criteria which must be met to effectively satisfy a customer. No single product can

encompass all the qualities a customer looks for in a product. Therefore, customers branch

out seeking different product types. The processed foods in this matter have a very high rate

of satisfaction precisely because there are a lot of variants available in the market. This can

literally be translated to there is something for everyone, this explains why processed food

has a very amount of satisfaction.

Suggestions

In the study conducted, a few noticeable issues have been found. Firstly, according to the

research data, over half of the consumers of processed food fall under the age range 21-30.

This implies that the young workforce of our country is the primary customers of the product.

Therefore, companies need new innovative ideas to attract both spectrums of the target

segment, namely the young adolescent and the old alike without shunning the current

customer base. Secondly, customers have been found to prioritize the quality of processed

foods over all other factors. Thus, companies must make it their target to either maintain

quality or reach the perceived level of quality. Any action that can potentially damage or

deteriorate the public perception must be taken with caution. Thirdly, supermarkets must be

targeted more aggressively as a distribution strategy, as they show more concentration of

possible buyers and rank highest as the preferred buying site.

Conclusion

In the modern-day, consumer preferences and test are changing day-by-day because of fast-

changing lifestyle and economy. Customers are more preferred on branded packaged foods.

The success of process food product depends on the customer’s value and satisfaction. There

are several factors like quality, taste, freshness, and convenience that influenced consumer

buying decision when they purchase process food. The brand name is also a critical factor

that contributes to the decision-making process to buy the processed food. Advertising,

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friends, and colleagues are the external factors which influence the consumption patterns or

buying decision of the customers.

Acknowledgement

The satiation and euphoria that accompany the successful completion of this research would

be incomplete without the mention of the people who made it possible. We thank the research

team of Accendere Knowledge Management Services, CL Educate Ltd. for their unflinching

guidance, continuous encouragement and support to successfully complete this research

work.

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