Journal of Xi'an University of Architecture & Technology Issn No : 1006-7930

Consumer Buying Behaviour at Lulu Mall Cochin

Dr. B. Ganesh1, Dr. Subramania Bala Jeshurun2 1Assistant Professor, Institute of Co-operative Management, , Kerala, . 2Assistant Professor, Department of Management Studies, Francis Xavier Engineering College (Autonomous), Tirunelveli, Tamilnadu, India. Abstract

The retailing sector of Kerala is gradually marching its way towards becoming the next boom industry. The whole concept of shopping has altered in terms of format and consumer buying behaviour, ushering a revolution of shopping. The growth of integrated shopping malls, chains and multi-brand outlets is evidence of consumer behaviour being favourable to the growing organized segment of the business. Modern retail has entered Kerala as seen in sprawling shopping centres, multi stored malls and huge complexes offer shopping, entertainment and food courts. Due to these factors, the meaning of shopping has changed. It is not just a mere necessity, as it was earlier, but much more than that. The factors that affect store choice and draw customers to the shopping centre include space, ambience, and convenience and moreover an array of choice under same roof. Space, ambience and convenience are beginning to play an important role in drawing customers. This paper would concentrate on the consumer response towards the large retail outlet, behaviour the consumer exhibits while visiting or making purchases in the Lulu Mall. It would explore the purpose and motive behind the Kerala consumers ‘visit to this well-established shopping mall, the values they derive from the shopping trip and their shopping behaviour in terms of impulse purchases, time and money spent at the Lulu Mall.

Keywords: Consumer, Buying Behaviour, Retail Sector, Consumer Perception.

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Introduction

Customers are inevitable part of any business and hence the customers must be treated as the King of the market. All the business enhancements, profit, status, image etc. Of the organization depends on customers. Hence it is important for all the organizations to meet all the customer’s expectations and identify that they satisfy customers. Customer satisfaction is defined as “the number of customers or percentage of the total customers, whose reported experience with a firm, its products, or its service (ratings) exceeds specified satisfaction goals”. Intentions and loyalty Customer satisfaction data are among the most frequently collected indicators of market perceptions. Within organizations, the collection, analysis and dissemination of these data send a message about the importance of tending to customers and ensuring that they have a positive experience with the company's goods and service

The ultimate aim of every business is to increase sales by finding out the factors that drive consumer’s buying decisions. Consumer perception theory tries to analyse and explain consumer behaviour. The perception of the same product or service by different consumers would vary. This is exactly what consumer perception theory analyses by finding out what exactly motivates or influences a consumer behaviour in purchasing or not purchasing a specific product.

Customer buying pattern is a marketing concept that tells us what customers think about a brand or a company or its offerings. It can be positive or negative feelings, perceptions, inhibitions, predispositions, expectations or experiences that a customer has. If you understand the concept of customer perception, you will figure out that it is arguably the most important factor that decides the success of a brand, product or a company as a whole. How a particular brand or company is positioned also plays a vital role in this. The characteristics of a brand and its personality plays a big role in acquiring and retaining a customer.

LULU GROUP INTERNATIONAL (Lulu Group) is a highly diversified with successful business entities in strategic locations worldwide. Founded by the acclaimed business visionary Shri. Yusuff Ali M.A, Lulu Group has become a key contributor in the Gulf region’s economic standing with an annual turnover worth USD 7.4 billion. Headquartered in , the capital of the , it is a world-renowned purveyor of an international business portfolio that ranges from hypermarket operations to shopping mall development, manufacturing and trading of goods, hospitality assets, and real

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estate. Lulu Group mainly operates in 22 countries located across the , Asia, US, and Europe.

From its humble beginnings, the Lulu Group has grown from a stature to an enterprise with deep roots in the Gulf. It is seen as a benchmark in the retail industry, which has branches now out across the continents. The trust and confidence reposed by its customers and business associates as well as a sense of belonging remain its greatest assets. These are amply reflected in the many accolades that it has earned throughout its journey. Chairman and Managing Director Mr.Yusuff Ali M.A. has been recognised with a Padma Shree Award as well as a PravasiBharatiyaSammanaward, the highest honour given to a Non-Resident Indian by the Government of India. The Group, energised by a dynamic leadership and committed workforce, is surely on the fast track to growth.

Lulu Mall, a division of the much-famed Lulu Group headquartered in Abu Dhabi, is one of the largest as well as the first of its kind in India. The Group with its flagship retail chain of LULU hypermarkets and supermarkets has operations spread over 34 countries. Currently, in its 7th year of operations, Lulu Mall is the go-to destination in Kerala. In the past 6 years, Lulu Mall has been visited by 10 million people and has witnessed the entry of 1.5 million vehicles. Spanning 17 acres with a total retail space of 6.2 lakh square feet, Lulu Mall has over 225 outlets and has brought over 100 top brands to Kerala for the very first time. The mall has one of the largest hypermarkets in India, a 2,500-seater multi-cuisine food court, 11 fine dining restaurants and 6 cafes. The mall features a gold class 9-screen multiplex, and a leisure zone including South India’s largest ice-skating rink, a trampoline park, amusement rides, and a 12-lane bowling alley. The parking space of the mall is equipped with state-of-the-art automated parking guidance system and accommodates 3800 vehicles. A direct walkway connects the mall with the Edapally metro station.Located within the campus is Marriot Hotel, offering a remarkable blend of luxury and convenience to the innumerable international and domestic tourists who visit the mall.With upcoming projects in , Trivandrum, , and , to name a few, Lulu Group is racing ahead to be the top player in the Indian shopping mall segment.

Literature Review

Khare, A. (2010) recommended that in developing countries consumers are inclining aware of fashion brands. He was expressed towards understanding the different parameters of

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apparel of Indian Consumers. He researched on customers in colleges to understand the importance of fashion apparels in their lives. The result of the Indian youth consumers involved with brand fashion wear. There was not much variance in the involvement of females and males towards fashion apparel.

Verma, A.P. and Tiwari, K (2010) studies the medium to high potential customers that international and national brands can target in the Indian scenario. This study bangs the compartment values of few brands those have achieve success in the Indian market. Study identified the people are inclining mere brand conscious with the raise in income level.

Mittal, P. and Aggarwal, S. (2012)in this study it can be said that the consumer and his behaviour is the crucial factor of success in the marketing. It consists all the physical, mental and emotional processes and concerned behaviour which are detectable. Study insistences on understanding those emotional or rational pleas, which drive the purchase decision toward the branded garments. Also, certain demographic and psychographic profiles have been studied and certain relation has been developed.

Significance of the Study - CRM

Customer Relation Management (CRM) is an approach to manage a company's interaction with current and potential customers. It uses data analysis about customers' history with a company to improve business relationships with customers, specifically focusing on customer retention and ultimately driving sales growth.One important aspect of the CRM approach is the systems of CRM that compile data from a range of different communication channels, including a company's website, telephone, email, live chat, marketing materials and more recently, social media. Through the CRM approach and the systems used to facilitate it, businesses learn more about their target audiences and how to best cater to their needs

The concept of customer-relationship management started in the early 1970s, when customer satisfaction was evaluated using annual surveys or by front-line asking. At that time, businesses had to rely on standalone mainframe systems to automate sales, but the extent of technology allowed them to categorize customers in spread sheets and lists. In 1982, Kate and Robert D. Kistna Baum introduced the concept of Database marketing, namely applying statistical methods to analyze and gather customer data By 1986, Pat Sullivan and Mike Muhney released a customer evaluation system called ACT based on the principle of digital rolodex, which offered a contact management service for the first time. The main components

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of CRM are building and managing customer relationships through marketing, observing relationships as they mature through distinct phases, managing these relationships at each stage and recognizing that the distribution of value of a relationship to the firm is not homogenous.

When building and managing customer relationships through marketing, firms might benefit from using a variety of tools to help organizational design, incentive schemes, customer structures, and more to optimize the reach of its marketing campaigns. Through the acknowledgement of the distinct phases of CRM, businesses will be able to benefit from seeing the interaction of multiple relationships as connected transactions. The final factor of CRM highlights the importance of CRM through accounting for the profitability of customer relationships. Through studying the particular spending habits of customers, a firm may be able to dedicate different resources and amounts of attention to different types of consumers firm's mechanical view of customer relationships. This therefore is a sign that firms believe that customers are still resources that can be used for up-sell or cross-sell opportunities, rather than humans looking for interesting and personalized interactions

Statement of the Problem

In the year 2013, on march 10 the Lulu Mall was established as India’s biggest mall. Now in its 7th year of operations, Lulu Mall is the go-to destination in Kerala. In the past 6 years, Lulu Mall has been visited by 10 million people and has witnessed the entry of 1.5 million vehicles. Spanning 17 acres with a total retail space of 6.2 lakh square feet, Lulu Mall cochin has over 225 outlets and has brought over 100 top brands to Kerala for the very first time. The mall has one of the largest hypermarkets in India, a 2,500-seater multi-cuisine food court, 11 fine dining restaurants and 6 cafes. The mall features a gold class 9-screen multiplex, and a leisure zone including south India’s largest ice-skating rink, a trampoline park, amusement rides, and a 12-lane bowling alley. The parking space of the mall is equipped with state-of-the-art automated parking guidance system and accommodates 3800 vehicles. A direct walkway connects the mall with the Edapally metro station.A mall of this stature was established in the state of Kerala and the warm welcome it has received over the years is very much evident with the no. Of foot fall touching its highest on 7th of October 2019. Under these circumstances, a humble attempt is made to understand the consumer buying behaviour at Lulu Mall.

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Objectives of the Study

1. To understand Consumer Buying Behavior at Lulu Mall. 2. To analyse Consumer Awareness with regard to the availability of various amenities at Lulu Mall.

Data Base and Methodology

Classification of Respondents Based on Gender

The classification of the respondents is made based on the gender of the respondent.

Table 1.1.Gender wise classification of respondents Gender No. of respondents Percentage of respondents Male 46 58 Female 34 42 Total 80 100 Source: Primary Data

The gender statistics of the respondents are given in Table 1.1. From the table of 1.1 it can be inferred that the male respondents constituted 58 per cent and female respondents were found to be 42 per cent. The distribution shows that sample majority consisted of male respondents.

Classification of respondents based on the Nationality

The classification of the respondents is made based on theNationality of the respondent.

Table.1.2.Classification of respondents based on Nationality Nationality No of respondents Percentage of respondents Indians 59 74 Other Nationals 21 26 Source: Primary data

From table 1.2 it can be inferred that, 74 per cent of the respondents are Indians and 26 per cent of respondents are other nationals.

Classification of Respondents Based on the Age

The classification of the respondents is made based on theAge of the respondent

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Table 1.3.Classification of respondents based on Age Age No of respondents Percentage of respondents 20-29 years 40 50 30-39 years 18 22 40-49 years 10 13 50-59 years 4 5 60 and above 8 10 Total 80 100 Source: Primary data

From table 1.3 it can be inferred that 50 per cent respondents are in Twenties, while 22 per cent of respondents are in Thirties, 13 per cent of the respondents are in Forties, 5 per cent of the respondents are in Fifties and 10 per cent are above Sixty. The distribution shows that majority respondents are in their Twenties.

Classification of Respondents Based on the Locality

The classification of the respondents is made based on theLocality of the respondent.

Table 1.4.Classification of respondents based on Locality Locality of living No of respondents Percentage of respondents Urban 56 70 Semi-Urban 17 21 Rural 7 9 Total 80 100 Source: Primary data

The Locality statistics of respondents has been given in Table 1.4. From table 1.4 it can be inferred that 70 per cent respondents are Urban people, while 21 per cent of respondents are from Semi-Urban area and 9 per cent of the respondents are from Rural areas. The distribution shows that majority respondents are Urban people.

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Respondent’s Opinion AboutSatisfaction on Convenience or Easiness in Shopping

An effort has been made to study the general opinion of respondents about thesatisfaction with the convenience or easiness in shopping at lulu. This table analyses the number of respondents who are satisfied and the number of respondents who are not satisfied.

Table 1.5.Classification of respondents based on Satisfaction in Shopping convenience Convenient Shopping No of respondents Percentage of respondents Yes 75 94 No 5 6 Total 80 100 Source: Primary data

From table 1.5 it can be inferred that, 94 per cent of the respondents are ‘satisfied with the convenience or easiness in shopping at lulu’ and a very negligible 6 per cent said “no” to this statement. Table 1.6.Response of consumer with regard to the attributes explaining the consumer buying behavior at lulu mall Factors Knowledge Clear Have Do you Is your Is your Is your Opinion about the idea clear cut make purchase purchase purchase products about budget impulsive based on based on based on and service your need for your purchase your your your for shopping socio- psychological personal product cultural perception beliefs & service existence No: % No: % No: % No: % No: % No: % No: % Strongly 0 0 0 0 0 0 8 10 0 0 0 0 7 8 Agree Agree 45 56 39 48 37 46 57 72 31 38 41 52 14 18 Neutral 32 40 40 50 42 52 9 12 48 60 35 44 58 72 Disagree 3 4 1 2 1 2 6 1 2 4 4 1 2 Strongly 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Disagree Total 80 100 80 100 80 100 80 100 80 100 80 100 80 100 Source: primary data Note

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No: Number of Respondents. %: Percentage of Respondents Knowledge about the products and service

From the Table 1.6it was inferred that only 56 per cent of the respondents agree that they are knowledgeable about the products and service and a very relevant number of 40 per cent are with neutral opinion.

Clear idea about their need for product & service

From the Table 1.6it was inferred that 48 per cent of the respondents agree that they have Clear idea about their need for product & service. And 50 per cent of respondents have a neutral opinion. Only 2 per cent of respondents disagree with this statement.

Have clear cut budget for shopping

From the Table 1.6it was inferred that 46 per cent of respondents are agree with the statement, to have a clear-cut budget for their shopping. But a majority 52 per cent of respondents have a neutral opinion. And 2 per cent of respondents are disagree with this statement.

Impulsive Purchase

The consumers coming to the mall are fascinated by the displays and other promotions which lead them to impulsive buying. So, a high 82 per cent (10 + 72) of total respondents opines “strongly agree and agree”. 12 per cent have a neutral opinion and only 2 per cent disagree with this statement.

Purchase Based on Socio-Cultural Existence

From the Table 1.6 it was inferred that 38 per cent of respondents who agree that they makepurchase based on their socio-cultural existence. A majority of 60 per cent have a neutral opinion and 2 per cent shows a disagreement.

Purchase Based on Psychological Perception

From the Table 1.6it was inferred that a total of 52 per cent of the respondents agree that their Purchase is based on Psychological Perception but yet 44 per cent opines neutral on this.

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Purchase Based on Personal Beliefs

From the Table 1.6it was inferred that the consumers who make purchase based on their personal belief are only 24 per cent of the respondents while a major fraction of 74 per cent keeps neutral stand and yet 2 per cent disagree.

Conclusion

Today Consumers are slowly adopting themselves for better shopping experience which are transforming themselves to modern retail. Quality services render to the consumer buying behaviour is appreciable. Since, Consumer start buying the quality products and branded products as they can clearly bring effective difference between shopping from unorganised to organised retail which will enhance consumer experience and have found that lulu mall will cater to their reach for modern lifestyle. Female consumers are really enjoying the shopping experience. Male consumers for easy shopping in trend products. People appreciate on mall security. Consumers think lulu mall is best place to hang out with families and friends. There is a place for improvement consumer want from lulu mall, add more no. of entertainment related services, shops, employees are good in interacting with consumer and have good knowledge about the products and services.

References

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