Consumer behaviour
in selecting Mobile
phones
Objectives
Usage pattern for various categories of
consumers
Reasons for satisfaction and dissatisfaction of
users
Liking for various attributes of the mobile
phone instrument
Usage Pattern of functionalities and added
services provided
Mobile phone Market- an Overview
Number of Basic and Mobile Phones in India
(1999 to 2006)
Year No. of Telephone
(End of March) (in Million)
Fixed (Landline+WLL) Mobile
1999 21.61 1.20
2000 26.65 1.80
2001 32.70 3.58
2002 38.53 6.43
2003 41.93 12.69
2004 42.84 33.70
2005 46.85 51.53
2006 49.57 92.52
Mobile phone Market- an Overview
Nokia- the Market Leader
largest manufacturer of mobile phones in the world
world wide market share of approx. 36%
India- 2nd largest share by sales
Nokia - the Market Leader
Dip in market share in last one year
Sony and Motorola catching up
New players coming up
More features required
Growth in the market
Secondary data analysis- TRAI research
Expected mobile phone consumer base by
2008- 120 million
Assessment of satisfaction level of
consumers-
Quality of technical service
Various attributes of phones
Functionalities & operational aspects of handsets
Usage pattern of Mobile phones
Methodology
Review of literature
In-Depth interviews
Focused group discussion
Questionnaire
Sample research
Information Needed
Relative positioning of different brands
Attributes of ideal mobile phone
Satisfaction level of users
Important drivers of buying
Reasons for replacing existing phone
Measurement and Scaling
Ordinal scale
Likert scale
Sampling plan
Sampling data
Target population
Sampling frame
Sampling technique
Sample size
Binary logit analysis
Analysis
Cross Tabulation of Age, Gender, Income
Binary Logit on :
Attributes Liked
Multimedia features
Psychographic & Demographic Effect on
Purchase
Result of Survey
Opinion about the current phone
3.57 12.5 25 23.21 35.71
Time required to charge
1.82
5.45 18.18 25.45 49.09
Ease of use
05.45 25.45 40 29.09
Appearance
Not at all good
Not good
1.79 10.71 33.93 25 28.97
Size Average
Good
1.798.93 35.71 26.79 26.79 Extremely good
Weight
3.57
0 19.64 32.14 44.64
Voice quality
10.79 19.64 53.57 25
Battey life
0 20 40 60 80 100 120
Reasons for changing the existing phone
Joyous Occasion
(Promotion/Achievement)
Bigger budget
Received as gift
6% 4% 11% 6% Old phone not working
16% well
5%
Different features
required
12%
16% Bored with the old phone
24%
Using the old phone for a
long time
New model in the market
New offers with the new
phone
Price range of the mobile phone people are looking for
13.56%
<3000
40.68% 3000 to 6000
22.03%
6000 to 9000
9000 to 15000
More than 15000
18.64% 5.08%
Importance of different features of mobiles for the
users
Integrated camera0.00%
5.77%9.62% 13.46% 71.15%
M usic player 7.69%5.77% 15.38% 23.08% 48.08%
Hands free 3.85%9.62% 17.31% 17.31% 51.92%
Least importa
Not importan
9.43%3.77% 18.87% 20.75% 47.17%
GPRS/Net access Neutral
Important
Very importa
Internal memory 3.78%
1.89%13.21% 20.75% 60.38%
Video player 7.69% 11.54% 25% 17.31% 38.46%
FM radio 3.70%
1.85%
5.56% 16.67% 72.22%
Bluetooth 1.85%
5.56% 11.11% 24.07% 57.41%
Conclusion
Most people prefer Nokia phones
High probability of switching mobile brands
Battery life- major determining feature
Camera & radio- highest priority
Price not important criteria
?
..the end!!