a study of customer perception and experience towards ...

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A STUDY OF CUSTOMER PERCEPTION AND EXPERIENCE TOWARDS CHINESE SMARTPHONE BRANDS AMOUNG YOUTH IN THRISSUR ” Project Report submitted to CHRIST COLLEGE, IRINJALAKUDA (AUTONOMOUS) In partial fulfillment of the requirement for the award of the degree of BACHELOR OF COMMERCE Submitted by NAVANEETH JYOTHI (CCASBCM061) Under the supervision of Prof. JEBIN K. DAVIS DEPARTMENT OF COMMERCE CHRIST COLLEGE (AUTONOMOUS), IRINJALAKUDA MARCH 2021

Transcript of a study of customer perception and experience towards ...

“ A STUDY OF CUSTOMER PERCEPTION AND EXPERIENCE

TOWARDS CHINESE SMARTPHONE BRANDS AMOUNG YOUTH IN

THRISSUR ”

Project Report submitted to

CHRIST COLLEGE, IRINJALAKUDA

(AUTONOMOUS)

In partial fulfillment of the requirement for the award of the degree of

BACHELOR OF COMMERCE

Submitted by

NAVANEETH JYOTHI

(CCASBCM061)

Under the supervision of

Prof. JEBIN K. DAVIS

DEPARTMENT OF COMMERCE

CHRIST COLLEGE (AUTONOMOUS), IRINJALAKUDA

MARCH 2021

CERTIFICATE

This is to certify that the project entitled “ A STUDY OF CUSTOMER

PERCEPTION AND EXPERIENCE TOWARDS CHINESE

SMARTPHONE BRANDS AMOUNG YOUTH IN THRISSUR ” by Mr.

Navaneeth Jyothi is a bona-fide record of work done under my guidance and

supervision in partial fulfillment of the requirement for the award of the degree

of Bachelor of Commerce.

Prof. Dr. JOSHEENA JOSE Prof. JEBIN K. DAVIS

(Head of the department) (Project Guide)

DECLARATION

I, Navaneeth Jyothi., hereby declare that the bonafide record of “A STUDY OF

CUSTOMER PERCEPTION AND EXPERIENCE TOWARDS CHINESE

SMARTPHONE BRANDS AMONG YOUTH IN THRISSUR ” done in

partial fulfillment of the B.com degree programme of Calicut University under

the guidance of Prof. Jebin K.Davis, Department of Commerce, Christ College

(Autonomous) Irinjalakuda.

I also declare that the project has not formed on the basis of reward of any degree

or any other similar title to any other University.The information and data given

in the report is authentic to the best of my knowledge.

Place: Irinjalakuda NAVANEETH JYOTHI

Date: CCASBCM061

ACKNOWLEDGEMENT

First, I praise and thank God who showers his blessings upon me, who guide,

shield and strengthen me all the time.

I wish to express my profound gratitude and heart-felt thanks to our Principal Fr.

Dr. Jolly Andrews CMI for his encouragement and for giving me permission for

the study.

I am thankful to Prof. Jebin K.Davis, my Project Guide, for his valuable guidance,

help and encouragement in the preparation of this report.

I express my sincere gratitude to Prof. Dr. Josheena Jose, Head of the Department

of Commerce and other members of faculty of the Department for their valuable

advices and co-operation, rendered for the successful completion of my project.

I also take this opportunity to thank my parents, friends and classmates who have

been a source of inspiration. Without their encouragement, it would not have been

possible for me to complete my project successfully.

Place: Irinjalakuda NAVANEETH JYOTHI

Date: CCASBCM061

CONTENTS

SL

NO.

TITLE

PAGE

NO.

1

LIST OF TABLES

2

LIST OF FIGURES

3

CHAPTER 1: INTRODUCTION

1-5

4

CHAPTER 2: REVIEW OF LITERATURE

6-11

5

CHAPTER 3: THEORETICAL FRAME WORK

12-30

6

CHAPTER 4: DATA ANALYSIS AND

INTERPRETATION

31-49

7

CHAPTER 5: FINDINGS, SUGGESTIONS

AND CONCLUSION

50-53

8

BIBLIOGRAPHY

54-56

9

APPENDIX

57-61

LIST OF TABLES

TABLE

No.

TITLE

PAGE

No.

3.1 Market share of smartphones in India 2020 25

4.1 Gender wise classification of respondents 31

4.2 Educational Qualification of respondents 32

4.3 Awareness/knowledge level of Chinese

Smartphone brands

33

4.4 Purchase intention/preference of Customers

towards Chinese Smartphone brands.

34

4.5 Awareness level/experience about after sale

services of Chinese Smartphone brands

35

4.6 Customers considered price range when

purchasing a Chinese Smartphones

36

4.7 Major reason/criteria for preferring Chinese

Smartphone Brands

37

4.8 Degree of Agreement towards the statement,

Chinese Smartphone Brands market is growing

much better than other Smartphone brands

market in Kerala.

38

4.9 Specific feature needs to be improved more in

Chinese Brand Smartphones

39

4.10 Satisfaction level of Overall performance of

Chinese Brand Smartphones

40

4.11 Problems faced by Customers while using Chinese

Brand Smartphones

41

4.12 Probability for switching to alternate brands 42

4.13 The Smartphone brand which offers more value

for money products in mid range budget segment

43

4.14 Perception about price of Chinese Brand

Smartphones (Expensive or not)

44

4.15 Suggest Chinese Smartphones to others 45

4.16 Ranking of Specific features/Characteristics of

smartphones by respondents to the order of

priority they consider while selecting a chinese

smartphone

46

4.16.1 Ranking of Specific features/Characteristics of

smartphones by respondents to the order of

priority they consider while selecting a chinese

smartphone

46

4.17 Respondents level/degree of agreement 48

LIST OF FIGURES

TABLE

No.

TITLE

PAGE

No.

4.1 Gender wise classification of respondents 31

4.2 Educational Qualification of respondents 32

4.3 Awareness/knowledge level of Chinese

Smartphone brands

33

4.4 Purchase intention/preference of Customers

towards Chinese Smartphone brands.

34

4.5 Awareness level/experience about after sale

services of Chinese Smartphone brands

25

4.6 Customers considered price range when

purchasing a Chinese Smartphones

36

4.7 Major reason/criteria for preferring Chinese

Smartphone Brands

37

4.8 Degree of Agreement towards the statement,

Chinese Smartphone Brands market is growing

much better than other Smartphone brands

market in Kerala.

38

4.9 Specific feature needs to be improved more in

Chinese Brand Smartphones

39

4.10 Satisfaction level of Overall performance of

Chinese Brand Smartphones

40

4.11 Problems faced by Customers while using Chinese

Brand Smartphones

41

4.12 Probability for switching to alternate brands 42

4.13 The Smartphone brand which offers more value 43

for money products in mid range budget segment

4.14 Perception about price of Chinese Brand

Smartphones (Expensive or not)

44

4.15 Suggest Chinese Smartphones to others 45

4.16 Ranking of Specific features/Characteristics of

smartphones by respondents to the order of

priority they consider while selecting a chinese

smartphone

47

4.17 Respondents level/degree of agreement 49

CHAPTER 1

INTRODUCTION

CHAPTER 2

REVIEW OF LITERATURE

CHAPTER 3

THEORY FRAMEWORK

CHAPTER 4

DATA ANALYSIS AND INTERPRETATION

CHAPTER 5

FINDINGS,SUGGESTIONS & CONCLUSION

BIBLIOGRAPHY

[1]

1.1 INTRODUCTION

Consumer perception in simple terms is the viewpoint or notions that consumer

forms about various brands.Consumer perception can make or break any

brand.When customers had a pleasant experience of getting their products

delivered on time they form a perception.Customer experience is

what customers feel while shopping, affected by such factors as how a store is

laid out, the level of service they receive, and how easy it is to find products.

Delivering a great customer experience is hugely important for any business. The

better experience customers have, the more repeat custom and positive reviews

the business will receive, while simultaneously reducing the friction of customer

complaints and returns.Primary objective/aim of this study was to examine the

different factors affecting the consumer perception towards Chinese brand

smartphones and users experience with it.

A smartphone is a mobile phone that includes advanced functionality beyond

making phone calls and sending text messages and performs many of the

functions of a computer, typically having a touchscreen interface, internet access,

and an operating system capable of running downloaded apps.It is estimated that

by the year 2022 there will be nearly 442 million smartphone users in India.

According to a study by Trendforce, Chinese phone makers represented six of the

global top ten in smartphones. Since India is the 3rd largest smartphone market

of the world, it is an attractive market for Chinese Smartphone brands like

Oppo, Xiaomi ,Oneplus, vivoetc. Chinese Smartphone brands like

Xiaomi, Oppo, Vivo and Realme dominated the Indian smartphone market in

India in 2020 according to a study a IDC(International Data Corporation).

These four brands had a total market share of 69% with Xiaomi as the top

player with 27% share, as per International Data Corporation’s Quarterly

Mobile Phone Tracker. Samsung is the only non-Chinese smartphone brand

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among the top five with a share of 20%. The budget smartphone industry is

dominated by the Chinese brand “Xiaomi” also known as “Redmi” and “Mi”, as

it is the most sold smartphone brand in India. Whereas the premium smartphone

segment is dominated by these three brands: “OnePlus”, “Apple”, “Samsung”etc.

Since Indian smarphone market is dominated by Chinese smartphone brands it is

important to study customers perception about it.This study aims to identify

whether the customers are satisfied with the use of Chinese brand smartphones

and to know more about the Chinese smartphones and their pros and cons.

Smartphone companies invest heavily in research and development of their

devices and it is important to understand customer perception towards Chinese

smartphone brands.

This study is an attempt to understand customer perception and customer

experience towards Chinese Smartphone brands among youth in Thrissur district.

1.2 statement of problem

There has been a significant growth in the popularity and smartphone market

dominance for the Chinese smartphone brands in the Indian smartphone market.

This study make an attempt to analyze and find out how the specific smartphone

features,price.brand loyalty,brand awareness and social influence affect the

Customers buying decisions. Since the Indian smartphone market is dominated

by Chinese brands there is also a need to find out the reasons for the popularity

and wide acceptance compared to the Indian Smartphone brands and this study

may provide the informations on the areas for which improvements are needed

and strategies needed for capturing the customers attention and trust.So this study

helps to understand awareness level,opinion, and user experience of Chinese

Brand Smartphones among youth in Thrissur.

1.3 significance of study

Smartphone market in India has huge competition. Chinese Brand Smartphones

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have a significant influence on Smartphone buying decision in India dominantly

in low budget price segments and budget segments. The Noticable growth of

Chinese smarphones sales and market dominance after the introduction of Xiaomi

branded Chinese smarphones is remarkable in India.Each and every brand offers

various features and is targeting to different needs of the customer therefore it is

important to study the perception of various customers. Many of the customers

may not have a clear on how they should choose a brand over others like on the

basis of features, brand value, technological factors, price, quality issues,

reliability,security concerns among the different brands in the smartphone

industry.So There is a need for study in the field of consumer perception towards

Chinese smartphone brands and this study helps to provide insight about it .so

this study is relevant and useful to Chinese Smartphone companies as well as

customers to understand and for making informed decision regarding,smartphone

selection, smartphone usage experience,perception towards Chinese smartphone

brands etc.It may also be useful to Indian Smartphone companies to know

customers desires and attracting factors/features in Chinese smartphones and to

develop strategies and compete against Chinese brands.

1.4 Scope of the study

The aim of this study is to analyze the the consumer perception ansd experience

towards Chinese smartphones among youth.So this study is conducted among

the youth in thrissur district.

1.5 OBJECTIVES OF THE STUDY

*To Examine the influence of Price,Product specifications,Build quality and ease

of use on the purchase intention of Chinese smartphone brands.

*To study the brand loyalty,brand awareness & market performance of Chinese

smarphones.

*To analyse the User experience,perception and satisfaction towards Chinese

brand smartphones.

[4]

1.6 RESEARCH METHODOLOGY

Research methodology is a way to systematically solve the research problem.It is

the specific procedures or techniques used to identify,select,process, and analyse

information about a topic.It may be understood as a science of studying how

research is done scientifically.

1.6.1 RESEARCH DESIGN

Type of study/Sample Design: The type of study used for this project is

descriptive in nature.

1.6.2 SAMPLE DESIGN

*Population: Population is all the inhabitants of a particular place. A group of

individual persons, objects, or items from which samples are taken for statistical

measurement. Here the population of the study is the youth in Thrissur district.

*Sampling method: The technique of sampling used for this study is

convenience sampling. The most common type of non probability sampling done

without any restrictions is convenience sampling. The researcher has the freedom

of choosing any respondent based on his convenience.

*Sample size:Sample size is the number of units to be selected from the

population for carrying out the research. Sample size chosen for the study is 50.

1.6.3 DATA COLLECTION

Questionnaire is prepared on google form for collecting primary data and

journals, articles, internet etc. used as secondary data.

While deciding about the method of data collection to be used for the study the

researcher should keep in mind two types of data i.e, primary and secondary.

* Primary data: Primary data is a type of data which is collected for the first time

and that is collected by researchers directly from main sources through

interviews,surveys,questionnaires etc.

* Secondary data: Secondary data means the data that are already available.That

is they refer to the data which have already been collected and analyzed by

[5]

someone else. Secondary data are collected either from published data or through

websites. The data collected were edited, coded and processed with the help of

Microsoft word and Excel.

1.6.4 DATA ANALYSIS

Statistical tools like percentages are used for data analysis.Various charts and

diagrams/graphs are used for pictorial representation.used for data

analysis.Various charts and diagrams/graphs are used for pictorial representation.

1.7 LIMITATIONS OF THE STUDY

*The study was confined to 50 respondents only.

*This perception may change from time to time.

*The study results may not applied to the customers in other parts of the country.

*The study was made up of the users of Chinese smartphones.

*Since there was no personal interaction with respondents, there was Low level

of accuracy because it depends on the respondents response.

1.8 Chapterization

1.8.1 Chapter 1 – Introduction

1.8.2 Chapter 2 – Review of literature

1.8.3 Chapter 3 – Theoretical framework

1.8.4 Chapter 4 – Data analysis and interpretation

1.8.5 Chapter 5 – Findings, Suggestions & conclusions

[6]

LITERATURE REVIEW

1. (Jain & Bagga, 2017) Here in the article the authors examined the change in

purchase intention of the consumers after Doklam standoff.According to the

authors Perceived features and quality brings most impact on purchase intention

of consumers. Chinese phone in India are offered at lower prices which are more

affordable by middle income group consumers.The authors reported that

fashionable and trendy smartphone models are offered in the market so people

have a tendency to change their phones in a year and so they don’t feel like

spending much on their phones in one time.Their study mentions that consumers

seem to be concern for quality of Chinese mobile phones as these brands lack

trust.The authors suggests that brands need to make sure that they provide

products that stand up to the quality of phones from big brands as China is

perceived as a cheap, low quality, counterfeit brand.The authors concludes that

After the Doklam issue between India and China, it could be seen that those

consumers think that the sales will be affected and have tried to boycott Chinese

products but this cannot be completely done as no other alternative to these

Chinese brand products are available that too at such low cost.

2. (RAI, 2021) This study examined the impact of brand personality, attribute

factors, and price factor on consumer’s purchase intention of smartphones. The

paper puts the emphasis on how the consumer preference functions in the

selection of the smartphone and which factor plays the more significant role in

smartphone purchase intention.Brand personality, attribute factor, and product

price were taken as independent variables to identify the impact on purchase

intention. The result of the research found that the brand personality has no

significant impact on the purchase intention of smartphone. It is also found that

the product attributes and product price have a significant influence on consumer

purchase intention of a smartphones but brand personality has not a significant

influence on the purchase intention for the buying of smartphones in Nepal.

[7]

3. (Zeng, Bhutto, & Soomro, 2019) The findings of this article revealed

significant relationships between brand image and brand trust,brand satisfaction,

and brand trust, brand trust, and (attitudinal & behavioural loyalty) except for

brand awareness. The findings also revealed that impact of brand awareness on

brand trust found to be insignificant in both gender (male & female), impact of

brand Image found to be significant in male but insignificant in female group.

Impact of brand satisfaction on brand trust found to be significant in both genders,

but impact is higher in male than female gender. Also, the study found that male

user is more concerned about behavioural loyalty while female more concerned

about attitudinal loyalty. This study suggests that domestic brands are lacking in

creating awareness, so domestic brands need to focus on their marketing

strategies and advertisements plans and also makes the strategies that can attract

both male and female gender and entertain their concerns as well.This study

suggested gender is a significant moderator in the relationships between brand

image, brand awareness, brand satisfaction, brand trust, and brand loyalty in the

context of domestic Smartphone brands.The findings of the study suggest that

customers will be loyal when the Smartphone brands companies offer a good

image and quality, awareness, satisfy the need of consumers.The finding of this

study helps managers to understand the role of domestic brands in Smartphone

industry of China. In addition, this study suggested that domestic brands also

should keep an eye on foreign brands and develop their strategies efficiently and

effectively so they can easily compete with international brands. The study also

suggests that executives and managers understand the changes in the business

environment; it can be beneficial for a business to retain loyal customers and

increase sales shortly.

4. ( Appiah, Ozuem, Howell, & Lancaster, 2019) This paper proposes that

customers identify with brands to satisfy self‐definitional needs. Four major

themes were identified in the purchase of smartphones: identity, satisfaction,

[8]

brand loyalty, and brand switching. Brand switching occurs when a customer's

belief in a brand is externally influenced within the social setting. This study

found that , there is an indication that users of a specific brand derive their identity

from affiliations with social groups.This study provided consideration for

prevalent market disruptions in a competitive market, in the context of the

smartphone industry, and this was validated by empirical data collected from

smartphones users in the United Kingdom. Empirical data from smartphone users

confirmed in this study that nonutilitarian factors such as sociopsychological

benefits motivate consumers to continue buying the brands they buy.Consistent

with the above empirical evidence, the branding literature however reveals that

brands can provide self‐definitional benefits beyond utilitarian benefits

establishing that the sustainability of brand loyalty could be accomplished from

an identity theory perspective.This study also suggests that the consequences of

implementing these identity strategies would enable brand managers or

organisations to withstand disruptions in competitive markets and lead to high

brand advocacy among consumers through positive brand image and word of

mouth.This further mitigates brand switching during market disruptions in

competitive markets.

5. (Bisht, 2020) This study focuses on the premium segment smartphones. It is

found that Brand name, performance and camera are factors which play a vital

role in influencing a premium smartphone purchase. It was found that OnePlus

provides affordable premium smartphones which have a good design and a decent

build quality. The author recommends that premium brands should make their

smartphones more work oriented, So that they attract more customers.

6. (Rajasekaran, Cindhana, & Priya, 2018) From their study it is found that the

four key factors which influence the usage and purchase decision of smartphone

are product features, price, peer groups and brand image. So the manufacturers

and marketers can focus on these factors when they design and promote the

[9]

product. From the study it is found that customers are more interested in product

features like processing speed, camera and battery life so the manufactures can

concentrate more on it while designing smartphone.The authors suggests that ,as

price of the smart phone play a vital role in purchase decision, smartphone

marketers can increase the brand loyalty among smartphone users by offering

discounts if they buy their brand second time.They further suggests that

manufactures can offer different kinds of smartphone for different group of target

customers say youth, business professionals and housewife etc.

7. ( Gupta & Singh, 2019) This study positively shows the importance of price

factor în shaping the consumer willingness to purchase Chinese mobile phones.

The Authors suggested that, the Chinese mobile manufacturing companies needs

to focus on the quality for all the features mainly entertainment feature and design

along with product price in budget in order to develop and maintain the

willingness of the young Indian consumers to purchase Chinese mobile phones

and to focus more on product price along with product quality and product design

in case of 26-35 yrs age group.The results of this study illustrates that product

price have significant Influence on consumer willingness to purchase after the

controlled effect of product quality and product design.This study further

suggests that Chinese mobile phone companies needs to continually work on

reducing down the price of the mobile phones in order to maintain the Indian

consumers' willingness to purchase.

8. (Fazal & Kanwal, 2017) The results of the study showed that the customers are

loyal to their brands if their perceptions regarding services of the brand are

fulfilled. Further it has been found that if customer is satisfied with the services

and products of a brand remain loyal otherwise he will switch to other brand.

Study also found that loyal customer have trust in brand of mobile phones they

are using.In this study it has been found that price is considered relevantly by the

loyal customers. The authors further suggested that mobile phones brands should

[10]

look on the market prices also if they want to keep their customer loyal.This study

concludes that customers are equally loyal to brand attitudinally as well as

behaviorally.

9. (Sthapit, Laohakosol, & Sharma, 2018)The results of the study showed that

compatibility, social influence and product features significantly influence the

purchase intention of the smart-phone buyers.This study indicated that Nepali

buyers are more likely to purchase smart-phones if they find attractive product

features compatible with their needs and social sphere.Further, the study

suggested that price, quality and the country of origin do not have much influence

on the Nepali buyers’ intention to purchase the smart-phones.The study

underscored the smart-phone marketers need to design their strategy considering

the product features, compatibility with lifestyle and social sphere desired by the

buyers, while promoting their respective brands. Further, it indicated that

marketers could tap into social media marketing and generate favourable word-

of-mouth to promote their smart-phone brands and generate positive purchase

intention.The study thus highlighted the importance of social factors in

influencing the purchase intention of electronic products like smart-phones.

10. ( Bringula, Moraga, Catacutan, Jamis, & Mangao, 2018) According to the

authors findings it can be concluded that online purchase intention of

smartphones are mainly influenced by company-related factors.Therefore, online

shopping companies can entice possible customers to purchase smartphones only

if their prices are reasonable, their services are secured, and their company is

trusted.It was found that trust is the consistent and the strongest predictor of

online purchase intention of smartphone.One key finding of the study was that it

disclosed that customers had almost an equal weight on considering price and

security when buying smartphones.This study further revealed that price can no

longer influence purchase intention when all other personal-related factors were

considered.Another key finding of the study is the possible role of budget in

[11]

smartphone purchase intention.This study provided empirical evidence that there

are factors that could influence purchase of smartphone through online shopping.

The results of the study helped better understanding of consumer purchase

intention of smartphones in an online environment.

[12]

THEORY FRAMEWORK

3.1 Customer

In sales, commerce and economics, a customer (sometimes known as

a client, buyer, or purchaser) is the recipient of a good, service, product or

an idea - obtained from a seller, vendor, or supplier via a financial

transaction or exchange for money or some other valuable consideration.

3.1.1 Five Main Types of Customers

In the retail industry, customers can be segmented into five main types:

1. Loyal customers: Customers that make up a minority of the customer base

but generate a large portion of sales.

2. Impulse customers: Customers that do not have a specific product in mind

and purchase goods when it seems good at the time.

3. Discount customers: Customers that shop frequently but base buying

decisions primarily on markdowns.

4. Need-based customers: Customers with the intention of buying a specific

product.

5. Wandering customers: Customers that are not sure of what they want to

buy

3.1.2CHARACTERISTICS /FEATURES OF CUSTOMERS

These are any attributes relating to personality, values, attitudes, interests, or

lifestyles. They are characteristics like social class, family life cycle, usage rate

& experience brand loyalty, personality & motives, perceived risk,

innovativeness, opinion and lifestyle that determine how a customer thinks of

1. Customers reign supreme. They control the experience they want; they

research, explore, and share.

2. Most of the Modern Customers are ALWAYS connected. 24 hours a day,

7 days a week, on any internet-enabled device.

3. Customers expect personal interactions

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4. Customers compare, and compare, and compare. They look at products

they’re interested in across multiple channels and devices.

5. Customers trust word-of-mouth over brands.

6. Customers are highly opinionated. They’re ready to talk to anyone about a

good or bad experience. Customers are more likely to recommend a brand

after they’ve had a positive interaction with them.

3.2 Customer perception definition and Meaning

“Marketing concept that encompasses a customer’s impression, awareness, or

consciousness about a company or its offerings.”

(Meaning)

Customer collects information about a product and interprets the information to

make a meaningful image about a particular product, this is called as customer

perception. The entire process of customer perception starts when a consumer

sees or gets information about a particular product. This process continues until

the consumer starts to build an opinion about the product.When a customer sees

advertisements, promotions, customer reviews, social media feedback, etc.

relating to a product, they develop an impression about the product. Everything

that a company does affects customer perception. The way the products are

positioned in a retail store, the colors, and shapes in logos, the advertisements,

the discounts that are offered, everything impacts the customer perception.

3.2.1Factors influencing Customer perception

Customer perception can be influenced by external factors, some of which are

listed below:

1. Personal experience

Customer perception is highly influenced by the personal experience that a

customer had while buying and using a particular product. If the quality, customer

service, price, logo, color, discounts, etc. were able to make an excellent

impression on the minds of the customers, they would build a good perception of

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the brand. But in case they did not enjoy the experience with the brand, it will

leave an everlasting impression.

2. Advertising

Customers get to see the products first through advertisements and therefore

become one of the biggest factors that influence customer perception. The

advertisement and campaigns that a company runs will help to build a positive

customer perception.

3. Influencers

People generally buy things when another person has tried and tested it. Such

people who have bought it first and tried the product become influencers. When

people hear about the great product that the influencer has tried out, it will

influence the person to buy it and test it out, as the recommendation has come

from a known person whom they trust.

4. Customer reviews

Many people look into the customer reviews before buying a product. This shows

that customer reviews are an important factor in defining customer perception. If

the consumers see that a product has a lower number of stars it means that product

does not have good customer reviews. The impression that it creates on the

consumer’s mind is negative.

5. Social Media

Social media has become the strongest medium to manage customer perception.

When social media audience gets consistent communication regarding a product,

the users build an image of the product. Social media can be used to post content,

images, videos, etc. which helps to build the kind of perception intended by the

company.

3.2.2 Importance of Customer Perception

Consumer perception can make or break any brand. When customers had a

pleasant experience of getting their products delivered on time they form a

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perception. Getting the products that were as described in the product description

also creates a positive customer perception. When customers experienced a great

after-sale service it is going to develop a positive opinion about the brand.

But when customers had a bad experience such as broken products, no returns,

no after-sales service, etc. the customers build a negative perception about the

brand.

3.3 Customer Experience

Customer experience is what customers feel while shopping, affected by such

factors as how a store is laid out, the level of service they receive, and how easy

it is to find products.It is customers holistic perception of their experience with

any business or brand. Customer experience is the result of every interaction a

customer has with a company’s business, from navigating the website to talking

to customer service and receiving the product/service they bought from the

Company.

3.3.1 Influence of Customer experience on Company’s Business decisions

Delivering a great customer experience is hugely important for any business. The

better experience customers have, the more repeat custom and positive reviews

the business will receive, while simultaneously reducing the friction of customer

complaints and returns.

3.3.2 The benefits of delivering a great Customer Experience include:

*increased customer loyalty

*increased customer satisfaction

*better word-of-mouth marketing, positive reviews, and recommendations.

*ecommerce marketplaces can increase repeat custom and reduce returns.

*service industries can gain recommendations and reduce complaints.

3.4 Customer Satisfaction

Customer satisfaction is a measure of how products and services supplied by a

company meet or surpass customer expectation.It is defined as the number of

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customers, or percentage of total customers, whose reported experience with a

firm, its products, or its services (ratings) exceeds specified satisfaction goals

Customers play an important role and are essential in keeping a product or service

relevant so it is in the best interest of the business to ensure customer satisfaction,

and build customer loyalty.

3.5 After-sales Service

After-sales service, also called after-sales support, refers to the services and

support a business offers to the customers as part of its customer satisfaction and

customer retention policy after the offering is sold.

This after-sales service definition can be divided into three parts for better

understanding:

*Services and support provided to the customers: After-sales services include all

the services provided to the customer by the manufacturer, retailer, or a third-

party customer service or training provider concerning the offering.

*As part of customer satisfaction and customer retention policy: After-sales

services form a part of the marketing strategy targeted to increase customer

satisfaction, brand loyalty, and word-of-mouth-marketing by fulfilling what’s

promised to the customers.

*After the offering is sold: Such services are provided after the customer has paid

for the offering.

Examples of after sales service

*Warranty. A common example of after sales service is the provision of a

warranty for the good. A warranty allows the good to be repaired or replaced if it

breaks down within a certain period of time after purchase.

*Free service after six months (e.g. car/bike)

*Advice on how to use the product (Apple care)

*Firms following up with a phone call to the customer asking how the product is

working out.

[17]

3.6 Value for money products

They are described as goods that meet the measure of quality, which evaluates

the fiscal cost of purchasing against benefits, bearing in mind factors such as

installation, purpose, maintenance, and disposal among others. They can also be

described as products derived from each acquisition or every summation amount

of money spent by minimum purchase price as well as the maximum

effectiveness and efficiency of that particular purchase.These products are not

merely about saving money but also about making sure that the business remains

effective, efficient and economical.

3.7 Smartphones

A smartphone is a mobile phone that includes advanced functionality beyond

making phone calls and sending text messages and performs many of the

functions of a computer, typically having a touchscreen interface, internet access,

and an operating system capable of running downloaded apps.Most smartphones

have the capability to display photos, play videos, check and send e-mail, and

surf the Web. Modern smartphones, such as the iPhone and Android based phones

can run third-party applications, which provides limitless functionality.While

smartphones were initially used mostly by business users, they have become a

common choice for consumers as well.With the advancements in technology

modern smartphones are smaller and cheaper than earlier devices.Users also have

a much wider range of smartphones to choose from than before.Since

smartphones have a wide range of functionality, they require advanced software,

similar to a computer operating system. The smartphone software handles phone

calls, runs applications, and provides configuration options for the user. Most

smartphones include a USB connection, which allows users to sync data with

their computers and update their smartphone software. Smartphones can browse

the Internet and run software programs like a computer. Smartphones use a touch

screen to allow users to interact with them.

[18]

3.7.1 Smartphone History

The first smartphone was IBM's Simon, which was presented as a concept device

rather than a consumer device at the 1992 COMDEX computer trade show. It was

capable of sending emails and faxes, as well as keeping a calendar of events for

the user, as opposed to simply making calls and sending messages.Consumer

smartphones evolved away from personal digital assistants (PDAs) around the

turn of the 21st century when devices such as the PalmPilot began to include

wireless connectivity.Several manufacturers, including Nokia and Hewlett

Packard, released devices in 1996 that were combinations of PDAs and typical

cellphones that included early OSs and web browsing capabilities.BlackBerry

released its first smartphones in the mid-2000s, and they became very popular

with consumers and in the enterprise.Many of these early smartphones featured

physical keyboards.In 2007, LG released the Prada and Apple released the

iPhone, the first smartphones to feature a touchscreen. HTC released its Dream

smartphone a year later, which was the first to include Google's Android

OS.Other significant advancements in the history of smartphones include Sony's

release of the Xperia Z5 Premium phone with a 4K resolution screen in 2015.

Networking advancements in Wi-Fi and LTE have also progressed over the years,

improving the connectivity of smartphones for faster use. In 2019, folding

smartphones have started being released, such as Samsung’s Galaxy Fold.

3.7.2 Cell Phone vs Smartphone

A cellphone is simply a telephone that doesn't need a landline connection. It

enables the user to make and receive phone calls. Some cellphones also offer text

messaging.A smartphone has more advanced features, including web browsing,

software applications and a mobile OS. In turn, a smartphone also offers

capabilities such as support for biometrics, video chatting, digital assistants and

much more.

[19]

3.7.3 Key features &characteristics of a smartphone

* Storage(Internal memory)& R.A.M

The internal memory of a smartphone can either be eMMC (embedded-

MultiMediaController) or UFS (Universal Flash Storage). It can be expanded via

a microSD in some cases and contains user data such as photos, videos, music,

documents and app data. It is a permanent memory foam, and won't be lost when

the user turn off the device.RAM stands for Random Access Memory. RAM is

volatile, i.e. it does not store information like a memory card, it is temporary and

all information contained within is lost when you turn off the power.RAM is a

super-fast type of memory that stores the apps you've opened since you turned on

your phone.That memory lets you return to an app you've previously used and

pick up right where you left off, without delay.

* Speaker&Sound Quality

The sound quality of a speaker is the result of several elements-materials, design,

and executio and every detail matters in the final sound. Sound quality is

typically an assessment of the accuracy, fidelity, or intelligibility of audio output

from an electronic device. Quality can be measured objectively, such as when

tools are used to gauge the accuracy with which the device reproduces an original

sound; or it can be measured subjectively, such as when human listeners respond

to the sound or gauge its perceived similarity to another sound.

* Display quality

Display “Quality” provides the means to see just how accurately the newly

calibrated and profiled smartphone screen can display known color Values.It

determines the quality of viewing experience in smartphones.

* Smartphone Processor

Smartphone processor also known as chipset,is a component that controls every

applications and activities in smartphones and ensures it fuctions correctly.The

processor is the central hub of the smartphone.It receives and executes every

[20]

command,performing billions of calculations per second.The effectiveness of the

processor directly affects every applications in smartphones.

* Touchscreen.

Touch-screens are typically found on larger displays, in phones with integrated

PDA features. Most are designed to work with either the user’s finger or a special

stylus. Tapping a specific point on the display will activate the virtual button or

feature displayed at that location on the display. A touchscreen or touch screen is

the assembly of both an input ('touch panel') and output ('display'). The

touchscreen enables the user to interact directly with what is displayed in the

screen.

* GPS(Global Positioning System)

Most of the smartphones are equipped with Global Positioning System (GPS).

This technology allows people to locate certain addresses and area all around the

world. This helped improved not just communication, but most especially,

transportation.

* Wi-Fi

Wi-Fi(Wireless-Fidelity) is a facility allows computers, smartphones or other

devices to connect to the internet or communicate with other users wirelessly with

in a particular area.This wireless technology allows these devices to communicate

without direct ethernet cable, network cables,landlines or other physical

connections.

* The ability to download applications and run them independently.

*Support for third-party applications

* Wireless synchronization with other devices, such as laptop or desktop

computers.

* The ability to sync more than one email account to a device.

* The ability to run multiple applications simultaneously.

* A hardware or software-based QWERTY keyboard.

[21]

* A digital camera, typically with video capability.

* Internet connectivity.

* A mobile browser.

* Gaming.

*Alarm clock, stopwatch, timer.

3.7.4 Advantages of Smartphones

*Instant Communication

The advent of smartphone technology modernized communications. It has paved

the way to SMS, text messaging, call, video chat, and apps that allow people to

instantly communicate to everyone across the globe.Unlike previous

communication devices, they can be on hand for the caller at all times and used

in any place where there is a signal.

*Web Surfing

The smartphones also make it convenient for people to surf the web. These

devices are integrated with mobile browsers that enable them to research and

access websites anytime and anywhere. With this, people have easy access to

information.

*Camera

Camera is considered as most important feature in a smartphone. It saves people

from buying a separate digital camera to take photos and videos. According to a

2014 Comtech study, the camera ranked third as the most important consideration

for consumers in buying a smartphone. With this, smartphone giants make sure

their phones are equipped with the best camera.

*Entertainment

Smartphones are also viewed as a source of entertainment – games, music,

movies, and books.Watching movies and reading e-books are also convenient

through smartphones.

[22]

*Education

Smartphones also aid education, especially in children. With easy access to

information and helpful content, children can have a more interactive

learningthrough watching education videos and playing education applications.

*Productivity apps

Smartphones can do numerous functions with the help of appsThe functionality

of apps varies from each other – photo and video editor, ticket booking, online

store, payment system, data analysis, personal assistant, etc.

*Privacy

With smartphones, users can snap photos and secure their photo library with a

password. Using Smartphones users can also send messages to other devices

without the fear of anyone knowing it. Online transactions can also be done

through smartphones.

*Small and Convenient

They fit easily into your pocket or bag. They don't weigh much. There are

inexpensive models available for those with a limited budget. If the battery gets

low, you can recharge them in your car or plug them into an electrical outlet using

a cable.

*Texting

Text messaging (also known as texting) enables people to communicate with

short written messages. Originally, phones used SMS technology, allowing the

sending of letters, numbers, and symbols, but more recently, MMS technology

has allowed multimedia, such as photos and videos, to be sent too. Texting is a

great way to send someone an important instant message, as unlike email, people

are more likely to read their texts straightaway.

*Video in Real Time

Real-time video enables the live streaming of live events across the internet, as

well as to other phones and devices.

[23]

*Maps, Navigation, and Travel

GPS to direct us to our destinations. Whether driving, cycling, or walking, users

can get live updates on their present location, roadworks, accidents, and other

causes of slow-moving traffic, plus information on nearby facilities, such as

restaurants, gas stations, and hotels. When traveling by plane or train, Users can

use their smartphone to explore timetables, purchase and display their tickets.

*Online Banking and Finance

Smartphones are an excellent way to organize the users finances.Users can check

their account balances, transfer money, and pay bills, all with just a few clicks.

3.7.5 Disadvantages of Smartphones

*Costly

Smartphones can be expensive, especially those high-end phones with great specs

and features. Apart from the smartphone itself, some applications require

beingpurchased in order to fully use the other functionalities offered by the app.

If the User also want data connectivity, they need to maintain a data plan.

*Poor Social Interaction

Based on the new data released by analytics firm Flurry, people use smartphones

at least 5 hours a day. They also added that people’s usage of apps increases to

69% last 2017. With this, the “real” social interaction degrades. People no longer

interact with people outside as they tend to spend more time with their

smartphones.

*Distraction

Despite the productivity, smartphones can really be distracting. Applications

notify the user when there are messages, updates, latest offerings, etc. These

interrupt the momentum which can potentially affect users productivity.

*Health Issues

Smartphones are also found to have a negative impact on the users health.

Smartphones emit radiofrequency energy which can be absorbed by the tissues in

[24]

the body. Sleep deprivation is also one of the common bad effects of using

smartphones. Moreover, phones produce HEV light which can damage your eyes

retina.

*Addiction

This may include addiction to games, social media, etc.

*Privacy Threats

Even if smartphones are made private, there are still security risks and threats

everywhere. Hackers are always present and virtual viruses are potent.

Smartphones are vulnerable to these threats when the user access the internet.

*The electromagnetic radiation will be high because of the heavy internet usage

and might lead to health problems such as a brain tumor and Skin Cancer.

*Even many psychological issues such as loneliness, being suspicious all the

time, feeling self-centered etc. are caused by using a smartphone and being

online, for most of the time.

*Spending most of the time on your phone creates neck problems and sleep

deprivation.

*Chances of losing money due to fraudulence on the internet.

*Usage of Apps by not having complete awareness might lead to the leakage of

personal information, which could be really dangerous.

3.7.6 Market Share of Smartphones in India 2020

Chinese smartphone brands like Xiaomi, Oppo, Vivo and Realme dominated

the Indian smartphone market in India. These four brands had a total market

share of 69% with Xiaomi as the top player with 27% share, as

per International Data Corporation’s Quarterly Mobile Phone

Tracker. Samsung is the only non-Chinese smartphone brand among the top

five with a share of 20%. Vivo stood at the third position, with strong growth in

the offline channel, dethroning Samsung for the leadership position in the offline

[25]

channel with 30% share, driven by the dedicated efforts in marketing and

promotional activities in offline channels.Realme(sub brand of Oppo), at the

fourth spot, was the fastest growing mobile brand in India with a total share

of 13% and an YoY growth rate of 19%. Vivo snatched the third spot with a

share of 18% while Oppo took the fifth spot with 11% total market share.

OPPO's annual growth remained flat YoY in 2020, while it maintained a focus

on the offline channels, and regained its third slot ahead of Xiaomi with an 18%

annual share.Others includes Transsion (ranked sixth) accounted for an

impressive 64% annual growth in 2020, driven by its online-exclusive Infinix

portfolio and its Itel and Tecno-branded phones widely available in smaller towns

and rural areas. Apple, at the seventh slot, exited 2020 with YoY growth of

93%As per IDC, the Indian smartphone market exited 2020 at 150 million

units, a 1.7% YoY decline, after several years of growth.

Table 3.1 Market share of smartphones in India 2020

Company 2020Q4

Shipment

Volumes

2020Q4

Market

share

2020Q4

YoY

Growth

2020

Shipment

Volumes

2020

Market

Share

2020

YoY

Growth

Xiaomi 12.0 27% 12% 41.0 27% -6%

Samsung 7.7 17% 35% 29.7 20% -4%

Vivo 7.6 17% 10% 26.7 18% 12%

Realme 5.2 12% 11% 19.2 13% 19%

Oppo 5.1 11% 7% 16.5 11% 1%

Others 7.2 16% 75% 16.6 11% -23%

Total 44.8 100% 21% 149.7 100% -2%

Source: IDC Quarterly Moblie Phone Tracker, February 2021

[26]

3.8 Brands

A brand is an identifying symbol, mark, logo, name, word, and/or sentence that

companies use to distinguish their product from others. A combination of one or

more of those elements can be utilized to create a brand identity. Brands are used

in business, marketing, and advertising for recognition and, importantly, to create

and store value as brand equity for the object identified, to the benefit of the

brand's customers, its owners and shareholders.Eg; apple,nike,Tesla ,etc.

3.8.1 Brand equity

Brand equity refers to a value premium that a company generates from a product

with a recognizable name when compared to a generic equivalent. Companies can

create brand equity for their products by making them memorable, easily

recognizable, and superior in quality and reliability.Brand equity, in marketing,

is the worth of a brand in and of itself (the social value of a well-known brand

name).Brand equity describes the level of sway a brand name has in the minds of

consumers,and the value of having a brand that is identifiable and well thought

of.Brand Equity, the value of a brand, is largely determined by

four key elements: brand awareness, brand attributes and associations, perceived

quality, and brand loyalty.

3.8.2 Brand preference

It represents which brands are preferred under assumptions of equality in price

and availability. Brand preference is a reflection of customer loyalty, successful

marketing tactics, and brand strengths. Brand preference indicates the degree to

which a consumer is inclined to use a particular brand's product instead of a

competitor's and contributes significantly to brand equity.

3.8.3 Brand Awareness

Brand awareness is a marketing term that describes the degree of consumer

recognition of a product by its name. Creating brand awareness is a key step in

promoting a new product or reviving an older brand. Ideally, awareness of the

[27]

brand may include the qualities that distinguish the product from its competition.

3.8.4 Brand Loyalty

Brand loyalty, in marketing, consists of a consumer's commitment to repurchase

or continue to use the brand. It can be demonstrated by repeated buying of a

product, service, or other positive behaviors such as word of mouth advocacy.

3.8.5 Brand Association

Brand association is anything which is deep seated in customer's mind about

the brand. Brand should be associated with something positive so that the

customers relate your brand to being positive.Brand associations are the attributes

of brand which come into consumers mind when the brand is talked about.

3.8.6 Brand Attributes

Brand attributes are the functional and emotional associations which are assigned

to a brand by its customers and prospects.They are the basic elements for

establishing a brand identity.

3.9 Perceived Quality

Perceived quality can be defined as the customer's opinion about the overall

quality or image of the product or service or the brand itself with respect to its

purpose of use as against its alternatives. Perceived quality might not be linked

to the actual product but is more skewed towards the brand image, customer

experience with the brand and its other products, peer opinions, etc.

3.10 Most Popular Chinese Smartphone Brands in India

Here is the list of top Chinese smartphone companies in India. According to a

study by Trendforce, Chinese phone makers represented six of the global top ten

in smartphones. The brands are: Lenovo, Xiaomi, ZTE, TCL/Alcatel, Huawei and

Coolpad.

a.Xiaomi – Redmi – Mi

Xiaomi was the largest smartphone company in China, leading both the largest

smartphone as well as television market of India and China.The most popular

[28]

brands of Xiaomi smartphones are Mi Note Series, Mi Series and Redmi

Series.Redmi brand of smartphones are owned by the Chinese company Xiaomi,

Xiaomi’s secret weapon was essentially price. It sells high-end reliable product

(with a premium Android ‘skin’ called MIUI). Also, it mostly sells online , so no

retail margins.

b.OnePlus 1+

OnePlus creates beautifully designed smartphone with best technology. The

Chinese smartphone manufacturer opened new OnePlus stores as well as new

service centre in India.The company is a genuine innovator in two ways. First, its

phones run on CyanogenMod, a reworking of Android that looks like the raw

stock Android OS but lets users configure for their own needs. Second, OnePlus

distributes its phone by personal invitation. The latter strategy has come in for a

lot of criticism, but at least OnePlus was trying to do something different. And

users love its sleek stylish devices.

c.Vivo

Vivo Mobile owned by Chinese BBK Electronics that manufactures smartphones,

has expanded its business over 100 countries. Vivo is one of the most popular

Chinese mobile brands in India along with Oppo, Realme, Xiaomi and OnePlus.

d.Oppo

Oppo mobile communications company is one of the leading manufacturer of

smartphones in India and top smartphone brand in China. The Chinese brand

Oppo is also sponsor of Indian national cricket team.

e.Realme

Realme first appeared in China in 2010 with the name “OPPO Real”.It was a sub-

brand of Oppo. Realme is a Chinese smartphone manufacturer and Shenzhen

based (headquaretered) independent company, launched Realme 1 exclusively to

the Indian mobile market in 2018.

[29]

f.Lenovo (Motorola)

Lenovo Chinese company is the world’s largest personal computer vendor and

also one of the largest manufacturer of tablet, smartphones and laptops. Lenovo

Group acquired the popular smart phone brand company, Motorola Mobility from

Google.

g.Meizu

Meizu Technology moved its focus to smartphones in 2008 and today one of the

largest smartphone manufacturer in the world. MEIZU M6T, MEIZU 16th are

the two most popular smartphones available in India from Meizu with screen

fingerprint recognition with 20 MP front cameras.

h.Coolpad

Coolpad is a large smartphone company in China, offering wide range of

smartphones geared with metal body, fingerprint scanner,4000 mAh battery and

front-facing camera etc.Coolpad has actually been around since 1993, making

white label devices for big operators like T-Mobile. But it emerged as its own

brand on the back of the Android boom.

i.Zopo Mobile

Zopo entered into the Indian market of smartphone with their product Speed 7

and Speed 8 smartphone in August 2015. Zopo Mobile headquartered in

Shenzhen of China and is the first company to launched Linux OS smartphone in

India.

j.Huawei

Huawei Technologies sells consumer electronics and smartphones in India, also

opened a research and development center in Bangalore. The global leader of

telecom sector, Huawei has engagement with the Indian government for 5G trials.

k.Tecno Mobile

Tecno Chinese mobile is based in Hong Kong, officially entered into the Indian

market in April 2016 and also identified India as one of the top emerging markets

[30]

of smartphone in Asia along with Bangladesh and Nepal.

l.Gionee The firm has a long history in consumer electronics, starting out in 2002

in video and DVD. By 2005, it was a phone maker with its own manufacturing

facility in Dongguan.Gionee introduced its first Made in India smartphone F103.

Gionee India was sold to Karbonn Mobiles.

m.Honor - Honor(stylized and marketed as HONOR) is a sub-brand of the

Chinese corporation Huawei.Honor is a smartphone brand owned by Shenzhen

Zhixin New Information Technology Co., Ltd. It was formerly owned by Huawei

Technologies.Honor provides smartphone handsets targeting young consumers.

While Honor was officially founded in 2013, the project was actually conceived

in late 2011.

[31]

DATA ANALYSIS AND INTERPRETATION

TABLE 4.1 Gender wise classification of respondents

Source: Primary data

Figure 4.1 Gender wise classification of respondents

Interpretation

This table shows that the respondents include 56% of male members and 44% of

female members.

56

44

Male Female

Gender Frequency Percentage

Male 28 56

Female 22 44

Total 50 100

[32]

TABLE 4.2 Educational Qualification of respondents

Qualifications Frequency Percentage

S.S.L.C 3 6

PLUS TWO 19 38

GRADUATION 25 50

P.G 3 6

Total 50 100

Source: Primary data

Figure 4.2 Educational Qualification of respondents

Interpretation

6% of the repondents have S.S.L.C as their educational qualification, 38% of the

respondents have plus two as qualification, 50% of the respondents have

graduation as qualification and another 6% of repondents have P.G as their

qualification.

0

10

20

30

40

50

60

SSLC Plus Two Graduation P.G

[33]

TABLE 4.3 Awareness/knowledge level of Chinese Smartphone brands

Particulars Frequency Percentage

High 7 14

Moderate 35 70

Low 8 16

Total 50 100

Source: Primary data

Figure 4.3 Awareness/knowledge level of Chinese Smartphone brands

Interpretation

Only 14% of respondents posses high level of knowledge/awareness about

Chinese Smartphone brands,70% of the respondents have moderate level of

awareness and 16% of the respondents have low knowledge level.

0

10

20

30

40

50

60

70

80

High Moderate Low

[34]

TABLE 4.4 Purchase intention/preference of Customers towards Chinese

Smartphone brands.

Chinese Smartphone

brands

Frequency Percentage

Xiaomi/Redmi/Mi 15 30

Oneplus 18 36

Oppo 7 14

Vivo 8 16

Honor 2 4

Total 50 100

Source: Primary data

Figure 4.4 Purchase intention/preference of Customers towards Chinese

Smartphone brands

Interpretation

Majority of the respondents (36%) prefers Oneplus smartphones for purchasing

and only 4% of the respondents prefers honor smartphones.

0

5

10

15

20

25

30

35

40

[35]

TABLE 4.5 Awareness level/experience about after sale services of Chinese

Smartphone brands

Particulars Frequency Percentage

Very good 3 6

Good 26 52

Average 16 32

Neutral 3 6

Not good 2 4

Total 50 100

Source: Primary data

Figure 4.5 Awareness level/experience about after sale services of Chinese

Smartphone brands

Interpretation

52 % of the repondents have good experience/awareness level about the after sale

services of Chinese Smartphone brands and only 4% of the respondents have bad

experience/awareness level.

0

10

20

30

40

50

60

Very good Good Average Neutral Not good

[36]

TABLE 4.6 Customers considered price range when purchasing a Chinese

Smartphone

Price range (in Rs.) Frequency Percentage

Below 10000 3 6

10000 - 15000 24 48

15000 - 25000 14 28

25000 - 40000 6 12

40000 and above 3 6

Total 50 100

Source: Primary data

Figure 4.6 Customers considered price range when purchasing a Chinese

Smartphone

Interpretation

48% of the respondents prefers/choose 10000–15000 price range as their

considered price range when purchasing a Chinese brand smartphone, 6% of the

repondents choose 40000&above as their considered price range.

0

10

20

30

40

50

60

Below 10000 10000 - 15000 15000 - 25000 25000 - 40000 40000 - andabove

[37]

TABLE 4.7 Major reason/criteria for preferring Chinese Smartphone

Brands

Particulars Frequency Percentage

Low price 15 30

Overall Performance 32 64

Build Quality 3 6

Total 50 100

Source: Primary data

Figure 4.7 Major reason/criteria for preferring Chinese Smartphone

Brands

Interpretation

64% of the respondents chooses Overall performance as their prime criteria for

preferring Chinese Smartphone brands, 30% of the respondents chooses Low

price and only 6% of the respondents chooses Build quality as their prime criteria

for preferring Chinese smartphones.

64%6%

30%

Overall Performance Build quality Low price

[38]

TABLE4.8 Degree of Agreement towards the statement, Chinese

Smartphone Brands market is growing much better than other Smartphone

brands market in Kerala.

Particulars Frequency Percentage

Agree 37 73

Neutral 13 26

Disagree 0 0

Total 50 100

Source: Primary data

Figure 4.8 Degree of Agreement towards the statement, Chinese Smartphone

Brands market is growing much better than other Smartphone brands

market in Kerala.

Interpretation

74% of the respondents agree that Chinese Smartphone brands market is growing

much better than other Smartphone brands in Kerala, 26% of the respondents has

neutral opinion on this statement and none of the respondents showed

disagreement to the above statement.

74%

26%

0%

Agree Neutral Disagree

[39]

TABLE 4.9 Specific feature needs to be improved more in Chinese Brand

Smartphones

Specific Features Frequency Percentage

Storage & R.A.M 16 32

Camera quality 9 18

Processor 12 24

Display quality 5 10

Speaker quality 4 8

Others 4 8

Total 50 100

Source: Primary data

Figure 4.9 Specific feature needs to be improved more in Chinese Brand

Smartphones

Interpretation

32% of the respondent’s opinion is to improve Storage&R.A.M and 8% of the

respondents mentioned about some other features (battery backup, optimization,

build quality etc) to be improved.

0

5

10

15

20

25

30

35

Storage & RAM camera quality Processor Display Quality Speaker quality Others

[40]

TABLE 4.10 Satisfaction level of Overall performance of Chinese Brand

Smartphones

Particulars Frequency Percentage

Highly satisfied 2 4

Satisfied 30 60

Neutral 18 36

Dissatisfied 0 0

Highly dissatisfied 0 0

Total 50 100

Source: Primary data

Figure 4.10 Satisfaction level of Overall performance of Chinese Brand

Smartphones

Interpretation

60% of the repondents are satisfied with the performance of the Chinese

Smartphones, 36% of them have neutral opinion on this and none of the

respondents are either dissatisfied or Highly dissatisfied.

Percentage

Highly Satisfied Satisfied Neutral Dissatisfied Highly dissatisfied

[41]

TABLE 4.11 Problems faced by Customers while using Chinese Brand

Smartphones

Particulars Frequency Percentage

Difficulty in multitasking 9 18

Heating issues 35 70

Camera issues 2 4

No issues 4 8

Total 50 100

Source: Primary data

Figure 4.11 Problems faced by Customers while using Chinese Brand

Smartphones

Interpretation

70% of the respondents faced Heating issues while using Chinese Brand

Smartphones, 8% of the respondents faced no issues at all.

0

10

20

30

40

50

60

70

80

Difficulty in multitasking Heating issues Camera issues No issues

[42]

TABLE 4.12 Probability for switching to alternate brands

Particulars Frequency Percentage

Yes 16 32

Maybe 32 64

No 2 4

Total 50 100

Source: Primary data

Figure 4.12 Probability for switching to alternate brands

Interpretation

64% of the respondents says they may switch over to alterbate brands if they offer

similar smartphones with same features for a lower price and only 4% of the

respondents says they will not switch over to alternate brands.

0

10

20

30

40

50

60

70

Yes Maybe No

[43]

TABLE 4.13 The Smartphone brand which offer more value for money

products in mid range budget segment

Particulars Frequency Percentage

Indian Smartphone brands 9 18

Chinese Smartphone brands 41 82

Other Smartphone brands 0 0

Total 50 100

Source: Primary data

Figure 4.13 The Smartphone brand which offers more value for money

products in mid range budget segment

Interpretation

82% of the respondents says Chinese Smartphone brands offer more value for

money products in mid range budget segment and only 18% of the repondents

says Indian Smartphone brands offer more value for money products.

82%

18%0%

PERCENTAGE

Chinese Smartphone brands Indian Smartphone Brands

Other smartphone brands

[44]

TABLE 4.14 Perception about price of Chinese Brand Smartphones

(Expensive or not)

Particulars Frequency Percentage

Yes 1 2

Maybe 17 34

No 22 44

Don’t Know 10 20

Total 50 100

Source: Primary data

Figure 4.14 Perception about price of Chinese Brand Smartphones

(Expensive or not)

Interpretation

44% of the respondents says Chinese Brand Smartphones are not expensive and

only 2% of the respondents says Chinese brand smartphones are expensive.

0

5

10

15

20

25

30

35

40

45

50

Yes Maybe No Don't Know

[45]

TABLE 4.15 Suggest Chinese Smartphones to others

Particulars Frequency Percentage

Yes 18 36

Maybe 28 56

No 4 8

Total 50 100

Source: Primary data

Figure 4.15 Suggest Chinese Smartphones to others

Interpretation

56 % of the respondents says they may suggest Chinese smartphones to others

and only 8% ot the respondents says they will not suggest it to others.

0

10

20

30

40

50

60

Yes Maybe No

[46]

TABLE 4.16 Ranking of Specific features/Characteristics of smartphones

by respondents to the order of priority they consider while

selecting a chinese smartphone

Features Frequencies

Rank

1

Rank

2

Rank

3

Rank

4

Rank

5

Camera,Display quality & Build quality 24 6 8 6 6

Storage capacity & R.A.M. 8 22 9 10 1

Sound quality 4 4 24 8 10

Performance of processor 4 11 5 18 12

Battery capacity 10 7 4 8 21

Total frequencies 50 50 50 50 50

Source: Primary data

TABLE 4.16.1 Ranking of Specific features/Characteristics of smartphones

by respondents to the order of priority they consider while

selecting a chinese smartphone

Features Total (points) RANK

Camera,Display quality & Build quality 186 1

Storage capacity & R.A.M. 176 2

Sound quality 134 3

Performance of processor 127 4

Battery capacity 127 4

Source: Primary data

[47]

Figure 4.16 Ranking of Specific features/Characteristics of smartphones

by respondents to the order of priority they consider while

selecting a chinese smartphone

Interpretation

Most of the respondents gave rank 1 for Camera,Display quality& build quality

and chose it as their 1st priority smartphone feature while selecting a Chinese

Smartphone likewise most of the repondents gave rank4 for performance of

processor and Battey capacity respectively as their least priority Smartphone

feature while selecting a Chinese smartphone.

0

20

40

60

80

100

120

140

160

180

200

Camera,Displayquality &Build

quality

Storage capacityand RAM

Sound Quality Performance ofProcessor

Battery Capacity

[48]

Table 4.17 Respondents level/degree of agreement

(S.D stands for strongly disagree, S.A stands for strongly Agree and N stands for

Neutral)

Statements S.A Agree N Disagree S.D

Q15.Chinese Smartphone brands

are more economical than other

brands.

28% 46% 24% 0% 2%

Q16.They are more durable/They

lasts long.

6% 34% 36% 20% 4%

Q.17.I usually consult my friends

/relatives before buying a chinese

smartphone.

14% 48% 34% 4% 0%

Q18.Chinese Smartphones have a

user friendly&simple interface.

12% 46% 26% 12% 4%

Q19.Chinese Smartphone brands

are reliable brands.

10% 30% 40% 14% 6%

Q20.Chinese Brand's smartphones

are more fashinable &attractive.

20% 32% 38% 4% 6%

Total percentage 100 100 100 100 100

Total frequency 50 50 50 50 50

Source: Primary data

[49]

Figure 4.17 Respondents level/degree of agreement

Interpretation

Most of the respondents agreed that Chinese smatphone brands are more

economical than other brands.Majority of them have neutral opinion on the

statement that Chinese smartphones are more durable.48% of the respondents

agreed that they usually consult their friends and relatives before buying a chinese

smartphone.46% of the respondents agreed that Chinese Smartphones have a user

friendly & simple interface and only few of them showed disagreement with

this.Most of them have neutral opinion on the statement that Chinese smartphone

brands are reliable brands and 15% of them showed their disagreement towards

this and most of the repondents gave neutral response to the statement that

Chinese Brand’s smartphones are more fashionable and attractive

0%

10%

20%

30%

40%

50%

60%

S.A Agree N Disagree S.D

[50]

5.1. FINDINGS

*Most of the respondents have Sufficient/moderate level of awareness about

Chinese Smartphone brands and only few of them have low knowledge

level.From this it is concluded that Chinese smartphone brands have much

popularity among young generation.

*Oneplus and Xiaomi’s smartphones are the most preferred Chinese Brand

Smartphones for purchasing by the respondents.

*Majority of the repondents have good experience/awareness level about the after

sale services of Chinese Smartphone brands.

*Many of the respondents preferred/chose 10000–15000 price range as their

considered price range when purchasing a Chinese brand smartphone and few of

the repondents chose 40000&above as their considered price range.

*Overall performance was the respondents prime criteria for preferring Chinese

Smartphone brands and many of them chose Low price.

*Majority of the respondents agreed that Chinese Smartphone brands market was

growing much better than other Smartphone brands in Kerala.

*Specific features that are needed to be improved in Chinese Brand Smartphones

are Storage&R.A.M and processor according to majority of the respondents and

some of them suggested some other features such as battery backup, optimization,

build quality etc to be improved more in Chinese smartphones.

*Most of them are satisfied/had neutral opinion with the performance of the

Chinese Smartphones.

*Heating issues are the major issue faced by majority of the users while using

Chinese Brand Smartphones.

*When asked about opinion on switch over to alterbate brands if they offer similar

smartphones with same features for a lower price, most of the respondents had

responded positively.This showed that brand loyalty had not much role/impact

on customers buying decisions in the case of Chinese smartphones and very few

[51]

of them had different opinion on this.

*Majority of the users said that Chinese Smartphone brands offer more value for

money products in mid range budget segment.

*Many of them said that Chinese Brand Smartphones aren’t expensive.

*Most of them are ready to suggest Chinese smartphones to others.

*Majority of the respondents chose Camera,Display quality& build quality and

Storage capacity&R.A.M as their 1st priority and 2nd priority smartphone feature

respectively while selecting a Chinese Smartphone likewise most of the

repondents chose processor and Battey capacity respectively as their least priority

Smartphone feature while selecting a Chinese smartphone.

*Most of the respondents agreed that Chinese smatphone brands are more

economical than other brands.

*It is seen that majority of them expressed neutral opinion on the statement that

Chinese smartphones are more durable.

*Many of the respondents agreed that they usually consult their friends and

relatives before buying a chinese smartphone.

*The Interface of Chinese smartphones are simple and user friendly according to

the opinion of majority users.

*It is found that most of the respondents had neutral opinion on the statement

regarding reliabilty of Chinese smartphone brands.

*Many of the repondents said that Chinese Brand’s smartphones are more

fashionable and attractive.

5.2 Suggestions

*Chinese Smartphone companies need to improve duarability of their

smartphones.

*Battery optimization & backup, processor,storage and bulid quality are the

specific features needed to be improved more in Chinese smartphones according

to the results of the study.

[52]

*Chinese smartphones build design need to be more stronger,fashinable and

appealing and try to avoid plastic built body.

*The smartphone companies must focus on overall performance of the devices

with innovation and maintained quality rather than only relied to camera aspects

and cheap pricing only so as to ensure increasing market share.

*Price and Quality being dominant factors for purchase decision, smartphone

companies have to maintain competitiveness in order to hold their positions and

sustain it through delivering high quality products at honest prices.

*The Chinese smartphone companies can regain the confidence in their

customers by providing more care for privacy and security of the users as many

of the respondents had a fear of security/privacy issues.

*Due to the increasing availability of various smartphone options and newer

competitors entering the Indian smartphone market gradually it is vital for

Chinese smartphone companies to address factors like price, quality of their

product and need more innovative advertising/promotion techniques to promote

the product, to effectively market to their target segment.

*Chinese Smartphone Companies are needed to provide/add more security

features in the smartphones in order to Create a trust in mind of customers towards

security of their devices.

*According to the results of this study most of the respondents may switch to

alternate brands if they offer similar specifications and pricing strategies for

smartphones so Chinese smartphone companies needed to consistently provide

more quality smartphones in order to maintain loyal customers.

*The Chinese smartphone companies are recommended to reduce the heating

problems in their smartphones as many of the users faces heating issues and this

wasone of the major issue faces by users in Chinsese smartphones.

*According to the results of the study Camera,Display quality& build quality and

Storage capacity& R.A.M plays a crucial role in Chinese smartphone purchase

[53]

decisions therefore the Chinese smartphone manufacturers should focus on

improving these aspects, so that large number of customers are attracted to them.

5.3 Conclusions

The result of the research confirmed that a majority of the Customers buying

decisions are less influenced by brand loyalty and brand awareness and price,

perceived quality & smartphone specifications plays major role in customers

perception towards Chinese smartphones.Customers buys smartphone based on

features and overall performance and factors affecting performance of

smartphones rather than brandname or brand value or Brand only.Most of the

respondents of this research were mainly youth.Findings indicate that most of the

respondents had overall good experience on Chinese smartphones and most of

them recommended to use/buy it and majority of them had good satisfaction on

these smartphones also.The Smartphone industry in india is growing at a high rate

therefore it is important for various smartphone manufacturers to understand the

factors affecting consumer’s perception towards Chinese brand smartphones.This

study may also be useful for Indian Smartphone manufacturers to compete against

Chinese smartphone brands.Since Chinese smartphones have comparitively high

market dominance in Indian smartphone market and it shows the acceptance and

recognition of Chinese smartphone brands.The study reveals that Chinese

smartphones are more economical and affordable than other brands with

attractive features and specifications and also the users had good experience with

the after-sales sevice of Chinese brand smartphones.

[54]

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*https://www.investopedia.com/terms/b/brand.asp#:~:text=A%20brand%20is%

20an%20identifying,name%20is%20called%20a%20trademark.

*http://www.walkthroughindia.com/industry/top-12-most-popular-chinese-

mobile-brands-in-india/

*https://techterms.com/definition/smartphone

*https://www.nextpit.com/ram-rom-internal-memory-differences

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perception/#What_are_the_Factors_Influencing_Customer_Perception

[56]

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to-dominate-indian-smartphone-market-

idc/articleshow/80928589.cms#:~:text=Chinese%20smartphone%20brands%20l

ike%20Xiaomi,total%20market%20share%20of%2069%25.&text=0-

,Chinese%20smartphone%20brands%20like%20Xiaomi%2C%20Oppo%2C%2

0Vivo%20and%20Realme%20dominated,Indian%20smartphone%20market%2

0in%20India.

*https://www.wikipedia.org

*https://www.slideshare.net

[57]

APPENDIX

[58]

Customer Perception and Experience towards Chinese Smartphone Brands

Questionnaire

Section:A

Name:

Age: 14 – 20 20 – 40

Gender: Male Female Other

Educational Qualification :SSLC Plus Two Graduation PG Others

1.Your awareness /knowledge level about Chinese Smartphone brands?

High Moderate Low

2.Which Chinese Smartphone brand do you intend to purchase / prefer to

purchase?

Redmi/Xiaomi/Mi Oppo Oneplus Vivo Honour Motorola

Others

If others please specify*

3.Your experience /awareness about after-sales service of Chinese Smartphone

Brands?

Very good Good Average Not good Neutral

4.What is your considered price range when purchasing a Chinese Smartphone?

Below 10000 10000- 15000 15000-25000 25000-40000

40000 and above

5.Main Reason for preferring Chinese Smartphone brands?

Low price Build quality Overall performance Others

If others please specify*

6.Chinese Smartphone Brands market is growing much better than other

Smartphone brands market in Kerala, Do you agree?

Agree Neutral Disagree

7.In your opinion which specific feature need to be improved more in Chinese

Smartphones?

[59]

Camera quality Processor Speaker quality storage&RAM

Display quality

8.Are you satisfied with the overall performance of Chinese Smartphones?

Highly Satisfied Satisfied Neutral Highly Dissatisfied

Dissatisfied

9.What are the problems faced by you while using Chinese Smartphones?

camera issues Heating issues Difficulty in multitasking Other issues

No issues

if other issues please specify*

10.Would you switch over to alternative brands if they offer a similar smarphones

with same features for a lower price?

Yes Maybe No

11.Which Smartphone brands offer more value for money products in mid-range

budget segment?

Chinese Smartphone brands Indian Smartphone brands

Other brands

If other brands please specify*

12.Do you think that Chinese smartphones are expensive?

Yes May be Don’t Know No

13.Will you suggest Chinese smartphones to others ?

Yes No May be

[60]

Section:B

14.Rank the following specific features /Characteristics of smartphones to the

order of priority you consider while selecting a Smartphone?

No Features Rank

1 Camera, Display quality and

Build quality

2 Storage capacity and RAM

3 Sound Quality

4 Performance of Processor

5 Battery Capacity

Section:C

Please specify the degree of agreement with the following statements.

[ please tick on the most suitable box ]

Categories

Strongly

Agree

Disagree Neutral Agree Strongly

Disagree

15.Chinese

Smartphone

brands are more

economical than

other brands

16.Chinese

Smartphones are

more durable

/they lasts long.

[61]

17. I usually

consult my

friends or

relatives before

buying a

Chinese

smartphone.

18.Chinese

smartphones

have a user

friendly &

simple interface

19.Chinese

Smartphones are

reliable brands

20.Chinese

Brand’s

Smartphones are

more

fashionable&att

ractive