A

Project Report

On
Impact of Personal Selling In Retail Industry on
Customer Purchase Decisi0ons

Administration

(Session 2022-24)

MBA 4th Semester

Under the Guidance of: Submitted by:

Dr. Naaz Gorowara Aman Oberoi

(Asst. Professor) (12227006)

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 CERTIFICATE
This is Certified that Aman oberoi S/O Vijay Kumar bearing university Roll No.
12227006, a bonified student of MBA as completed her work on research report
entitled "Impact of Personal Selling In Retail Industry on Customer Purchase
Decisions " under my supervision.

His work is original, satisfactory and fit for the purpose of future evaluation
towards the partial fulfilment for the award of the degree of Masters of Business
Administration

(2022-2024) from Maharishi Markandeshwar (deemed to be university).

Dr. Naaz Gorowara

(Assistant Professor)

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 PREFACE

A student may acquire sufficient knowledge of business management by reading theory

books during study period but actual and practical knowledge is must for every student.

Practical knowledge is an important suffix to theoretical knowledge. One cannot

merely depend upon the theoretical knowledge. Classroom lectures give knowledge
about fundamental concepts of management. They also facilitate the learning of
practical things. However, to develop healthy managerial and administrative skills for
potential managers, it is necessary that they combine their classroom learning with real
life project research which plays a significant role in the curriculum of business
management course.

Science without its practical application or knowledge is considered to be

unsystematic. Since management is a developing science, the student of management
course is required to undergo a project in the final year of course.

Thus, for the fulfillment of the above requirement a project was undertaken by me on
the topic "IMPACT OF PERSONAL SELLING IN RETAIL INDUSTRY ON
CUSTOMER PURCHASE DECISIONS”

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 Acknowledgement

The researcher would like to take this opportunity to express his gratitude to all those
great minds and hearts that have touched this project in the path of its success. The
Researcher owes him sincere thanks to the concerned customers of the retail industry.

The researcher has been sincerely thankful to Dr. Sunaina Khurana, Director and
Dr. Vandana Madan, Head, Department of Management, Maharishi
Markandeshwar Institute of Management Mullana for granting permission to
pursue the research.

The researcher would also like to express her thanks to Dr. Naaz Gorowara,
Assistant Professor, Department of Management, Mullana for providing guidance
and support in completion of the project

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 Declaration

I, Aman Oberoi S/o Mr. Vijay Kumar , Roll No- 12227006 of MBA (Semester- 4) of
the Maharishi Markandeshwar Institute of Management, Mullana hereby declare that
the Training Report entitled “Impact of personal selling in retail industry on customer
purchase decision’’ is an original work and information provided in the study is
authentic to the best of my knowledge.

This report has not been submitted to any other institute for the award of any other
degree.

(Aman Oberoi)

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List of contents: -

Serial Content Page number

number

1) Introduction

I. Introduction of industry
II. Introduction of company
III. Introduction of topic

2) Literature review

3) Research methodology

I. Research objectives
II. Hypothesis development
and testing
III. Research design
IV. Sampling techniques
V. Data collection methods

4) Data analysis and interpretation

5) Results and findings

I. Recommendations
II. Policy implications

6) Bibliography and Annexures

I. Annexures 1
II. Annexures 2

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 Executive Summary

Personal selling remains a significant influence on customer purchases in retail,

even alongside the rise of online shopping. Sales associates can significantly impact
decisions by understanding customer needs, providing product knowledge, and
offering personalized recommendations. Their product presentations,
communication skills, and attentiveness all influence how customers perceive the
product and the store. Studies show that effective personal selling can increase
customer satisfaction, loyalty, and ultimately, sales. However, the impact is not
absolute, with product quality still playing a major role. In the retail world, well-
trained salespeople can significantly sway customer choices. By understanding
customer needs, offering product expertise, and personalizing recommendations,
they influence how customers perceive products and the store itself. Effective
personal selling can lead to increased customer satisfaction, loyalty, and ultimately,
sales. However, product quality remains a key factor in purchase decisions.

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 Introduction to industry

Indian retail industry has emerged as one of the most dynamic and fast-paced
industries due to the entry of several new players. It accounts for over 10% of the
country’s gross domestic product (GDP) and around eight % of the employment.
India is the world’s fifth-largest global destination in the retail space. India ranked
73 in the United Nations Conference on Trade and Development's Business-to-
Consumer (B2C) E-commerce Index 2019. India is the world’s fifth-largest global
destination in the retail space and ranked 63 in the World Bank’s Doing Business
2020. The retail sector in India accounts for over 10% of the country’s GDP and
around 8% of the workforce (35+ million). It is expected to create 25 million new
jobs by 2030.

The sizeable middle class and nearly unexplored retail market in India are the main
enticing factors for international retail behemoths seeking to move into newer
markets, which will help the Indian retail business grow more quickly. The urban
Indian consumer's purchasing power is increasing, and branded goods in categories
like apparel, cosmetics, footwear, watches, beverages, food, and even jewellery
are gradually evolving into business and leisure that are well-liked by the urban
Indian consumer. The retail sector in India is expected to reach a whopping US$ 2
trillion in value by 2032, according to a recent analysis by the Boston Consulting
Group (BCG).

India is the world’s fifth-largest global destination in the retail space. In the FDI
Confidence Index, India ranked 17 (after US, Canada, Germany, United Kingdom,
China, Japan, France, Australia, Switzerland, and Italy).

India is one of the most promising and developing marketplaces in the world.
There is a great deal of desire among multinational corporations to take advantage
of the consumer base in India and to enter the market first. Nearly 60 shopping
malls encompassing a total retail space of 23.25 million sq. ft are expected to
become operational during 2023-25.

India ranks among the best countries to invest in Retail space. Factors that make
India so attractive include the second largest population in the world, a middle-

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income class of ~158 households, increasing urbanization, rising household
incomes, connected rural consumers, and increasing consumer spending.

As of 2021, there were 1.2 million daily e-commerce transactions. Online shoppers
in India are expected to reach ~500 million in 2030 from +150 million in 2020.
The E-Commerce market is expected to touch US$ 350 billion in GMV by 2030.

India’s retail sector was experiencing exponential growth with retail development
taking place not just in major cities and metros, but also in small cities. Healthy
economic growth, changing demographic profile, increasing disposable income,
urbanization, and changing consumer tastes and preferences have been some of the
factors driving growth in the organized retail market in India.

To improve the business climate and make it simpler for foreign companies to
register fully owned subsidiaries in India, the Indian government has implemented
a number of rules, regulations, and policies.

Market size:-

As per Kearney Research, India’s retail industry is projected to grow at 9% over

2019-2030, from US$ 779 billion in 2019 to US$ 1,407 billion by 2026 and more
than US$ 1.8 trillion by 2030. Revenue of India’s offline retailers, also known as
brick and mortar (B&M) retailers, is expected to increase by Rs. 10,000-12,000
crore (US$ 1.39-2.77 billion) in FY20. India’s direct selling industry is expected
to be valued at US$ 2.51 billion (Rs. 19,000 crore) by the end of 2022. E-Retail
has been a boon during the pandemic and according to a report by Bain &
Company in association with Flipkart ‘How India Shops Online 2021’ the e-retail
market is expected to grow to US$ 120-140 billion by FY26, increasing at
approximately 25-30% p.a. over the next 5 years. Despite unprecedented
challenges, the India consumption story is still robust. Driven by affluence,
accessibility, awareness and attitude, household consumption stood at Rs. 130–140
trillion (US$ 1.63-1.75 trillion) in 2021.

India has the third-highest number of e-retail shoppers (only behind China, the
US). The new-age logistics players are expected to deliver 2.5 billion Direct-to-

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 Consumer (D2C) shipments by 2030. Online used car transaction penetration is
expected to grow by 9x in the next 10 years.

According to recent industry reports, the e-commerce industry witnessed a

phenomenal 36.8% YoY growth in terms of order volumes. As consumers prefer
to shop online throughout the year, this fast-changing consumer preference
towards online shopping reveals the mature status acquired by e-commerce brands
in India.

As of 2021, there were 1.2 million daily e-commerce transactions. The total value
of digital transactions stood at US$300 billion in 2021 and is projected to reach
US$ 1 trillion by 2026. Online shoppers in India are expected to reach ~500 million
in 2030 from +150 million in 2020.

India’s digital economy is expected to touch US$ 800 billion by 2030 and the E-
Commerce market is expected to touch US$350 billion in GMV by 2030.

Investments/developments:-

The Retail sector in India has seen a lot of investments and developments in the
recent past.

• Retail sales in India grew 9% in September 2023, compared to the same period in
2022.

• As of September 2023, Swedish furniture maker Ikea was looking for omnichannel
expansion with diverse retail formats besides kicking off online operations in
Delhi-NCR by the end of 2024 as it enters the second phase of growth in the Indian
market.

• Reliance Industries is likely to sell another 8-10% stake in Reliance Retail

Ventures Ltd (RRVL) to fund expansion, retire debt and prepare for the initial
public offering of the conglomerate's retail business.

• Reliance Consumer Products, the FMCG arm of Reliance Retail announced the
launch of its made-for-India consumer packaged goods brand 'Independence' in
Gujarat.

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• IKEA, the Swedish furniture maker has drawn up plans to invest Rs. 850 crore in
its Indian operation.

• Swedish retailer H&M is set to launch its home décor and accessories products
such as dinnerware and bed linen in India next month. H&M HOME will be
available on the company’s website and through Myntra in March.

• Lulu Group, a UAE-based retail company, will invest Rs. 2,000 crore to develop a
shopping mall near Ahmedabad in Gujarat as part of its plans to expand business
in India.

• India’s retail trading sector attracted US$ 4.56 billion FDIs between April 2000-
September 2023.

• According to data released by the Ministry of Statistics & Programme

Implementation (MoSPI), India’s Consumer Price Index (CPI) based retail
inflation stood at 6.44% YoY in February 2023.

• In November 2022, Aditya Birla Fashion and Retail Ltd. entered a strategic
partnership with the Galleries Lafayette to open luxury department stores and a
dedicated e-commerce platform in India.

• In August 2022, Louis Philippe, India’s leading premium menswear brand from
Aditya Birla Fashion and Retail Ltd., announced the launch of its outlet in
Vadodara, Gujarat.

• In August 2022, Wipro Consumer announced the launch of traditional snacks and
spices as it forays into packaged foods.

• In July 2022, Reliance Brands Limited (rbl) partnered with Mayson Valentino to
bring to India the most established Italian Mayson de Couture.

• In June 2022, Reliance Brands Limited inks a JV with plastic lingo spa to
strengthen toy manufacturing ecosystem in India

• In June 2022, Aditya Birla Group formally launches TMRW – a Digital First
‘House of Brands’ venture in the Fashion & Lifestyle space

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• In May 2022, Reliance brands limited (rbl) partnered with Tod’s S.p.A, the iconic
Italian luxury brand to become the official retailer of the brand across all categories
including footwear, handbags and accessories in the Indian market.

• In April 2022, Wipro Consumer Care inaugurated its factory in Telangana. It has
invested in a state-of-the-art soap finishing line that runs on highest speed of 700
Nos of soap /minute.

• In FY22 (till 20th March 2022) total number of digital payment transactions
volume stood at Rs. 8,193 crore (US$ 1.05 billion).

• In November 2023, UPI transactions were valued at Rs. 17.39 lakh crore (US$ 210
billion).

• In March 2022, Reliance Brands has bought the India franchisee rights and the
current Sunglass Hut retail network from DLF Brands.

• Retail tech companies supporting the retail sector with services such as digital
ledgers, inventory management, payments solutions, and tools for logistics and
fulfillment are taking off in India. In the first nine months of 2021, investors
pumped in US$ 843 million into 200 small and mid-sized retail technology
companies, which is an additional 260% of capital compared to the entire 2020.

• In November 2021, Department for Promotion of Industry and Internal Trade

announced that it is working on a regulatory compliance portal to minimize
burdensome compliance processes between industries and the government.

• In October 2021, retailers in India increased by 14% compared with last year

• With the rising need for consumer goods in different sectors including consumer
electronics and home appliances, many companies have invested in the Indian
retail space in the past few months.

• In October 2021, Reliance announced plan to launch 7-Eleven Inc.’s convenience

stores in India.

• In October 2021, Reliance Retail introduced Freshpik, a new experiential gourmet

food store in India, to expand its grocery segment in the ultra-premium category.

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• In October 2021, Plum, the direct-to-consumer beauty & personal care brand,
announced plan to launch >50 offline stores across India (by 2023) to expand its
customer base.

• Tanishq, Shoppers Stop and Bestseller India (sells fashion brands Vero Mods,
ONLY and Jack & Jones) plan to add 10-35 stores in FY22.

Government initiatives/ proposals:-

The Government of India has taken various initiatives to improve the retail
industry in India. Some of them are listed below:

• In April 2022, the government approved PLI scheme for textiles products for
enhancing India’s manufacturing capabilities and enhancing exports with an
approved financial outlay of Rs. 10,683 crore (US$ 1.37 billion) over a five-year
period.

• In October 2021, the RBI announced plans for a new framework for retail digital
payments in offline mode to accelerate digital payment adoption in the country.

• In July 2021, the Andhra Pradesh government announced retail parks policy 2021-
26, anticipating targeted retail investment of Rs. 5,000 crore (US$ 674.89 million)
in the next five years.

• Government may change Foreign Direct Investment (FDI) rules in food processing
in a bid to permit E-commerce companies and foreign retailers to sell Made in
India consumer products.

• Government of India has allowed 100% FDI in online retail of goods and services
through the automatic route, thereby providing clarity on the existing businesses
of E-commerce companies operating in India.

• The Minister of MSME announced inclusion of retail and wholesale trades as

MSMEs. Retail and wholesale trade will now get the benefit of priority sector
lending under the RBI guidelines.

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 Introduction to company: -
DMart is a one-stop supermarket chain that aims to offer customers a wide range of
basic home and personal products under one roof. Each DMart store stocks home
utility products - including food, toiletries, beauty products, garments, kitchenware,
bed and bath linen, home appliances and more - available at competitive prices that
our customers appreciate. Our core objective is to offer customers good products at
great value.

DMart was started by Mr. Radhakishan Damani and his family to address the growing
needs of the Indian family. From the launch of its first store in Powai in 2002, DMart
today has a well-established presence in 366 locations across Maharashtra, Gujarat,
Andhra Pradesh, Madhya Pradesh, Karnataka, Telangana, Chhattisgarh, NCR, Tamil
Nadu, Punjab and Rajasthan. With our mission to be the lowest priced retailer in the
regions we operate, our business continues to grow with new locations planned in
more cities.

The supermarket chain of DMart stores is owned and operated by Avenue Supermarts
Ltd. (ASL). The company has its headquarters in Mumbai.

* The brands D Mart, D Mart Minimax, D Mart Premia, D Homes, Dutch Harbor, etc.
are brands owned by ASL.

Social outreach: -

At DMart, we believe in corporate social responsibility and have always been

committed to contributing to the communities in which we operate. While being
focused on sustained economic performance, we are also acutely aware of the
necessity and importance of social stewardship. Towards this end, we seek to enrich
the lives of the future generation – the children of our country – through our efforts
to create better environments and infrastructure in public schools in select wards of
Mumbai city.

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We have a school excellence program through which we aim to develop infrastructure
, improve educational facilities and work towards sustainable progress in public
schools in selected wards of Mumbai . We work with these schools and seek to
implement better teaching facilities (such as libraries & science labs) and develop
infrastructure (such as toilets and playgrounds) by working with partner
organisations. We hope to improve the quality of education and provide children with
better education and development opportunities.

Our constant focus on educating the citizens of tomorrow has seen strong progress in
the current year. In FY 2018-19, we have aided more than 95,000 students and helped
them in their goal of educating themselves for a better tomorrow. Our intent is to
continue working towards foundational learning among the students leading to basic
grade specific student learning outcomes.

History: -

In December 2016, the company started its e-commerce venture called DMart Ready,
allowing users to order groceries and household products online.

The company launched its initial public offering (IPO) in March 2017 and got listed on
the National Stock Exchange and Bombay Stock Exchange. On its listing date 22
March 2017, it became the 65th most valuable Indian firm.

Strategic structure of dmart: -

The ultimate start with DMart needs to make a picture among the majority of a rebate store
that offers the vast majority of the items from over every single real brand. Fundamentally,
a store that offers an incentive for cash! Presently, since individuals for the most part come
to DMart on the grounds that they all what they need under one rooftop; consequently,
DMart stores are operational in high rush hour gridlock territories and crosswise over three
organizations including Hypermarkets that are spread crosswise over 30000-35000 sqft,
Express group, that is spread more than 7,000-10,000 sqft and in conclusion, the
Supercenters, that are set up at more than 1 lakh sqft.

What's more, Dmart's intended interest group being the center pay gathering, it uses
Discount offers as a special instrument for baiting the clients and expanding deals too.

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Generally speaking – Dmart's prosperity is centered on three things: Customers, Vendors,
and Employees. Take Customers. Since Dmart is focusing on center salary family units,
every one of their stores is in, or near, neighborhoods and not in shopping centers.

Their thought isn't to meet each customer's need like different contenders, yet rather,
Dmart tries to meet most normal shopper needs, while offering some benefit for their cash.
Furthermore, since, 90% of these stores are possessed legitimately by Dmart, they don't
need to stress over month-to-month rentals and their ascent, or migration chance.
Moreover, this is helping them manufacture resources on their books.

This likewise keeps Dmart all around promoted and obligation light, while its tasks
produce extra money. All the cash that is spared utilizing this procedure is at the end
offered back to the clients as limits! Sellers! Seller connections are the second mainstay
of their model. Since he originates from a dealer foundation, his seller connections have
been his greatest quality.

Organizational structure of dmart: -

The FMCG business has an installment standard of 12-21 days, however, Dmart pays its
sellers on the eleventh day itself. This causes him to remain in the great books of the
merchants and dodges stock outs. Furthermore, since Dmart purchases in mass and pays
its sellers well in time, they additionally get the chance to win higher edges. Essentially,
their procedure is to "Get it low, Stack it high and sell it shabby”! Workers This is the third
mainstay of their model. DMart offers great cash, adaptability, strengthening, and loose
and effective work culture.

They even proceed to employ tenth standard dropouts with the correct frame of mind and
duty. They incline toward procuring crude ability and afterward put intensely in preparing,
to shape them according to their prerequisite. Representatives are simply educated once
concerning the worth framework and arrangements at D-Mart and after that are enabled
by giving them the opportunity to work without someone continually investigating their
shoulders. There is outright lucidity on what should be accomplished, yet you don't have
to dread targets.

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Growth of DMart in India

Avenue Supermarts running the DMart chain of stores in the nation revealed a 21.4 %
year-on-year net benefit development and a 32.1 % year-on-year income development for
the quarter finished March 31, 2019, (Q4) at Rs 203 crore and Rs 5,033 crore, separately.

For the three months finished December 31, 2018, DMart had announced its slowest net
benefit development in eight quarters at 2.1 % as it pondered developing challenges in
basic food item retail.

Second from last quarter income development came in at 33 % (year-on-year), which is

likewise a merry quarter, said experts, suggesting the organization had figured out how to
keep up its pace of development as far as the top line in Q4 in the midst of focused power.
The numbers were comprehensively in accordance with Street gauges. A survey by
investigators of Bloomberg had pegged net benefit at Rs 211 crore and income at Rs 5,122
crore for the quarter under audit.

Income before intrigue, duty, deterioration, and amortization (Ebitda) for Q4 was at Rs
377 crore, up 27.9 % throughout the year-prior period and again extensively in
accordance with Street assessments of Rs 395 crore. Yet, Ebitda edges contracted for the
third straight quarter, however, the drop was negligible at 20 premise focuses to 7.5 %
from a year sooner.

This is additionally the most reduced as far as Ebitda edges for DMart in 75%. While the
organization did not indicate same-store deals development for Q4, examiners said it was
somewhere in the range of 15 and 18 % for the period under audit.

Same-store deals development is the development of a similar deal of stores for one year
or more. For the entire year finished March 31, 2019, (FY19), Neville Noronha,
overseeing executive (MD) and (CEO), Avenue Supermarts, said same-store deals
development was 17.8 % even as income grew 32 % year-on-year to Rs 19,916 crore and
net benefit went up 19 % from a year sooner to Rs 936 crore.

The FY19 same-store deals development was higher than the 14.2 % revealed for FY18,
division examiners stated, as the firm drove higher deals throughput at its stores. Income

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from deals per square feet at DMart stores remained at Rs 35,647 for FY19 against Rs
32,719 in FY18, an ascent of about 9 %. The organization additionally included 21 stores
in FY19, of which 12 were included in Q4 alone, taking the aggregate to 176 for the
monetary year
DMart - Business Model & Supply chain Model

The business model lies at the core of a successful company. A good, foolproof business
model not only acts as a pillar for a business to grow but also helps it prosper in a
comparatively less amount of time.

DMart, often termed as the Walmart of India, has been quite successful in its business so
far, and a major credit goes to the robust business model it has developed over the years.

The chain of DMart operates on a B2C (Business to Consumer) model in which the
company sells its goods from the manufacturer’s house to that of the end-user. DMart
sells a wide range of products ranging from home care and personal care to grocery and
staples, daily essentials, home appliances, footwear, luggage, fruits and vegetables, men’s
and women’s apparel, and more. These goods, as we all know, fulfill our everyday needs,
and hence, have a significant demand throughout the year. Therefore, they wipe out the
possibilities of fluctuations due to high demand and helps the brand get the stability that
many others dream about.

DMart is recognized for its thrifty cost structure that has made the company keep its losses
under control. Here are some prominent characteristics of DMart’s business model:

Low operational costs and fewer expenses

DMart believes in the effective utilization of the spaces instead of adorning its interiors
and shelves fancifully. The company works in launching more and more products in fewer
spaces for the customers to choose from, which can also be summed up as a low-interior-
cost concept to reduce the operational costs. Besides, when you walk into a DMart store
you would also find lesser billing counters, which further works in reducing employee
costs.

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Ownership model

Damani, the company’s founder, had decided quite early in the game to adopt a store-
ownership model. This played a major part in making DMart a low or no debt company,
thereby strengthening it financially. Furthermore, the company doesn’t accrue any rental
costs, which helps DMart open more stores and gain high positive cash flows. The
company owns around 80% of all the stores that it is credited for.
Affordable rates of products

It is usually observed that in the FMCG sector, the retailers pay off the credit to their
vendors within a period of 3 weeks whereas DMart pays off their credit within a week.
This helps the company benefit in many ways including the huge discounts that they get
from the vendors, which in turn is entirely rewarding for the end-users too.

Affordable rate of products with tons of discounts on various products leads to increasing
the overall footfall and spike up the sales volume. This increasing sale also helps the
manufacturers to rely on the brand and bring in more stocks for the rising demand, which
extends another volume discount from the manufacturers' end.

Slotting fee

DMart levies a ‘Slotting Fee’. As the term might indicate, it is a fee that DMart charges
from the manufacturers to store their products on the shelves of DMart stores, which is
also sometimes referred to as an entry fee. DMart, on the other hand, with its appealing
marketing strategies and attractive discounts ensures that the products are sold out as
quickly as possible.
Sales channel

As discussed earlier, DMart opts for a B2C (Business to Consumer) business model, where
the company sells the products directly from manufacturers to the end-consumer. The
company purchases its goods in bulk and this eliminates the middleman (distributors and
wholesalers) from the chain, which helps in passing their commissions as discounts to the
consumers.

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Target customers

DMart’s target customers are the middle-class groups and lower-middle-class groups,
those who often want to buy low-cost goods that come with hefty discounts but are of
good quality. This makes DMart attract an extensive customer base than many other
retailers.

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 Introduction to topic
Personal selling is a type of marketing strategy that involves one-on-one interaction
with prospective customers to sell a product or service.

While personal selling is a part of marketing, there are several key differences between
the two. Personal selling and marketing are both important components of building a
brand strategy but they differ in their approach and objectives.

Marketing entails a broader set of activities that are designed to create awareness of a
company's products or services, generate interest among potential customers, and
ultimately lead to sales. Marketing can involve a wide range of tactics, including
advertising, public relations, content marketing, email campaigns, social media, and
more.

Personal selling is a technique that involves face-to-face selling between a sales rep and
a prospective customer. With personal selling, sales representatives try to persuade a
potential customer to purchase your product or service. This technique helps to build
relationships with customers and ensure customer satisfaction.

Types of personal selling

There are several types of personal selling, each with its own features and objectives.
Here are some of the most common types:

• Retail sales: This is the most common type of personal selling. It involves
experienced salespeople selling products directly to consumers in retail stores
or online. The salesperson is responsible for explaining the features and benefits
of the product, answering any questions the customer may have, and closing the
sale. Examples of retail sales include a salesperson at a clothing store,
electronics store, or car dealership.
• Business-to-business (B2B) sales: B2B sales involve selling products or
services to other businesses. The salesperson may need to work with a team to
understand the needs of the business and to tailor their sales pitch to meet those
needs. Examples of B2B sales include a salesperson selling office equipment to

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 a company or a sales representative selling industrial machinery to a
manufacturer.
• Telemarketing: Telemarketing involves sales reps making sales calls to
potential customers over the phone. The salesperson is responsible for making
a persuasive sales pitch and overcoming any objections the customer may have.
Examples of telemarketing include a salesperson calling customers to sell them
credit cards, insurance policies, or subscriptions to a service.
• Direct selling: Direct selling involves salespeople selling products or services
directly to consumers in their homes. The salesperson typically demonstrates
the product, explains its features and benefits, and helps the customer place an
order. Examples of direct selling include a salesperson selling cosmetics,
kitchenware, or cleaning products to customers in their homes.
• Consultative selling: Consultative selling involves salespeople acting as
consultants to their customers, helping them to identify their needs and offering
solutions to meet those needs. The salesperson may need to conduct a needs
analysis, provide product demonstrations, and offer customized solutions to the
customer. Examples of consultative selling include a salesperson selling
software solutions to a business or a financial advisor helping a client plan for
retirement.

Personnel selling importance

Personal selling is important because it involves direct communication between

a salesperson and a prospective customer, with the aim of persuading them to
purchase a product or service.
Personal selling typically happens with face-to-face meetings, but it can also be
conducted via phone, video conferencing, or other communication channels.
The focus of personal selling is on building relationships with customers and
tailoring the sales approach to their specific needs and preferences.
Examples of personal selling might include a car salesperson meeting with a
potential customer to show them different car models and features, a real estate
agent giving a tour of a property to a prospective buyer, or a financial advisor
meeting with a client to discuss investment options. Personal selling can also
help you build a personal brand strategy.

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The focus of marketing is on reaching as many people as possible and
generating interest and demand for a product or service, which you can do by
using personal selling techniques.

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Personnel selling process

The first step in the personal selling process is prospecting. This involves identifying
potential customers who may be interested in the product or service being sold.
Prospecting can be done through various means, such as referrals, cold calling,
networking events, or social media.

Pre-approach

Once potential customers have been identified, the salesperson needs to do some
research and preparation before making contact.

This involves gathering information about the customer, such as their needs,
preferences, and buying habits, as well as information about the product or service
being sold.

The salesperson may also prepare a sales presentation or demonstration to use during
the approach stage.

Approach

The approach stage is where the salesperson makes initial contact with the potential
customer. The goal is to make a good first impression and establish rapport with the
customer. The salesperson may use various techniques, such as a warm greeting, a
compliment, or an opening question to engage the customer and start a conversation.
Presentation

Once the salesperson has established a rapport with the customer, they will move on to
the presentation stage. This involves showcasing the product or service being sold and
explaining its features, benefits, and value proposition.

The salesperson may use various presentation techniques, such as product

demonstrations, testimonials, or case studies, to illustrate the product's benefits and
persuade the customer to make a purchase.

24
Overcoming objections

During the presentation, the potential customer may raise objections or concerns about
the product or service being sold. The salesperson needs to be prepared to address these
objections and provide satisfactory answers that alleviate the customer's concerns.

This may involve providing additional information, offering solutions, or addressing

any misconceptions the customer may have.

Closing

The final stage in the personal selling process is closing the sale. This involves asking
for the customer's business and finalizing the transaction. By the closing stage, you
should have formed a personal connection with the customer.

The salesperson may use various closing techniques, such as offering a discount,
creating a sense of urgency, or emphasizing the benefits of the product or service, to
encourage the customer to make a purchase.

After the sale, following up with the customer to get feedback after the purchase is key
to strengthening the personal relationship and nurturing future sales.

It's important to note that not every sales conversation will lead to a sale, but by
understanding the personal selling process, salespeople can increase their chances of
success, build stronger customer relationships, and improve the customer experience.

25
Consumer purchase decisions

The consumer decision-making process can seem mysterious, but all consumers go
through basic steps when making a purchase to determine what products and services
will best fit their needs.

Think about your own thought process when buying something—especially when it’s
something big, like a car. You consider what you need, research, and compare your
options before making the decision to buy. Afterward, you often wonder if you made
the right call.

If you work in sales or marketing, make more of an impact by putting yourself in the
customer’s shoes and reviewing the steps in the consumer decision-making process.

Stages in consumer purchase decisions

1. Problem recognition

The first step of the consumer decision-making process is recognizing the need for a
service or product. Need recognition, whether prompted internally or externally, results
in the same response: a want. Once consumers recognize a want, they need to gather
information to understand how they can fulfill that want, which leads to step two.

But how can you influence consumers at this stage? Since internal stimulus comes from
within and includes basic impulses like hunger or a change in lifestyle, focus your sales
and marketing efforts on external stimulus.

Develop a comprehensive brand campaign to build brand awareness and recognition––

you want consumers to know you and trust you. Most importantly, you want them to
feel like they have a problem only you can solve.

2. Information research

When researching their options, consumers again rely on internal and external factors,
as well as past interactions with a product or brand, both positive and negative. In the

26
information stage, they may browse through options at a physical location or consult
online resources, such as Google or customer reviews.

Your job as a brand is to give the potential customer access to the information they
want, with the hopes that they decide to purchase your product or service. Create a
funnel and plan out the types of content that people will need. Present yourself as a
trustworthy source of knowledge and information.

Another important strategy is word of mouth—since consumers trust each other more
than they do businesses, make sure to include consumer-generated content, like
customer reviews or video testimonials, on your website.

3. Alternatives evaluation

At this point in the consumer decision-making process, prospective buyers have

developed criteria for what they want in a product. Now they weigh their prospective
choices against comparable alternatives.

Alternatives may present themselves in the form of lower prices, additional product
benefits, product availability, or something as personal as color or style options. Your
marketing material should be geared towards convincing consumers that your product
is superior to other alternatives. Be ready to overcome objections e.g., in sales calls,
know your competitors so you can answer questions and compare benefits.

4. Purchase decision

This is the moment the consumer has been waiting for: the purchase. Once they have
gathered all the facts, including feedback from previous customers, consumers should
arrive at a logical conclusion on the product or service to purchase.

If you’ve done your job correctly, the consumer will recognize that your product is the
best option and decide to purchase it.

27
 5. Post-purchase evaluation

This part of the consumer decision-making process involves reflection from both the
consumer and the seller. As a seller, you should try to gauge the following:

• Did the purchase meet the need the consumer identified?

• Is the customer happy with the purchase?

• How can you continue to engage with this customer?

Remember, it’s your job to ensure your customer continues to have a positive
experience with your product. Post-purchase engagement could include follow-up
emails, discount coupons, and newsletters to entice the customer to make an additional
purchase. You want to gain life-long customers, and in an age where anyone can leave
an online review, it’s more important than ever to keep customers happy.

Impact of personnel selling on customers

Personnel selling, or having a salesperson directly interact with a customer, can

significantly impact a customer's purchase decision in a number of ways:

Information and Education:

• Salespeople can provide detailed information about a product's features,

benefits, and how it solves the customer's specific needs. This can be especially
helpful for complex products or those with many options.

Addressing Concerns:

• A salesperson can address any doubts or concerns a customer might have about
the product, overcoming purchase hesitations and building trust.

Building Rapport and Trust:

• Effective salespeople can create a positive rapport with the customer, fostering
trust and making them more receptive to the product or service.

28
 Persuasion and Influence:

• Through product demonstrations, highlighting specific features, and persuasive

communication, salespeople can influence a customer's decision towards a
particular product.

Building Relationships:

• Personal selling allows for relationship building, which can be crucial for repeat
business and customer loyalty.

Overall, personnel selling remains a powerful tool for influencing customer purchase
decisions. By providing valuable information, building trust, and addressing customer
concerns, salespeople can effectively guide customers towards a satisfying purchase.

29
CHAPTER-2

30
 Literature review:-

Flamingo (2024) this research examined the three crucial factors how product quality,
price, and salesperson influence on customers' buying decisions at PT. Verbert
Alumindo Profil Pekanbaru. The study aims to survey and interviewed 150 customers
using a non-random approach, specifically by chance encounter (accidental
sampling).The analysis revealed that all three factors (product quality, price, and
personal selling) together significantly impact purchase decisions. Additionally, it was
found that each factor individually also has a significant effect on customer buying
behavior at the company.

Hasbullah (2023) Researchers in Mojokerto, Indonesia investigated or examined that

what drives customer purchases of Yakult probiotic drinks. The study aims to find
out the influence of yakult lady’s personnel sales on yakult purchase decision and
influence of consumer behavior through yakult lady. They looked at two factors: how
the personal selling efforts of Yakult delivery personnel (Yakult Ladies) influence
decisions, and how general consumer behavior patterns play a role. Data was collected
from questionnaire and interviews and Using a survey of 16 Yakult customers
(purposive sample), it was found that consumer behavior was a significant factor in
purchasing decisions, but interestingly, the Yakult Ladies' personal selling tactics did
not have a statistically significant impact.

Joventa (2022) examined how price, sales promotions, and salesperson influence
affected customer decisions to buy the Daihatsu Sirion car at PT Capella Medan.
Despite a decline in sales and a goal of understanding the reasons, the research
surprisingly found that all three factors (price, promotions, and personal selling) had
a positive and significant influence on customer buying decisions. The study used
random sampling with 146 consumers out of a potential population of 230. Primary
data were used for conducting this type of study and it was found that price and
personnel selling has a huge advantage over price in Indonesia.

Amri (2022) examined how different marketing tactics influence customer interest in
purchasing retail products through online mode. The study analyzes the combined and
individual effects of sales promotions, personal selling, and direct marketing. While

31
all three factors together significantly influence purchase interest (90.6%), the
research found that only direct marketing and personal selling have a significant
individual impact. Interestingly, sales promotions by themselves did not have a
statistically significant effect. The study suggests that a combination of these tactics,
particularly direct marketing and personal selling efforts that provide comprehensive
information and foster interaction with consumers, can be most effective in driving
purchase intention for retail products through online mode.

Bohra (2021) examined that how a salesperson's characteristics and behaviors affect
clothing buying decisions. This study aims to find out the impact of personnel selling
on the purchase behavior in buying clothes. Primary data were used to conduct this
study and it used a questionnaire to assess factors like salesperson personality, product
presentation, sales promotions, and customer buying behavior. Interestingly, the
findings revealed that or it was found that while salespeople were honest with
customers, they lacked negotiation skills. Based on this, the research recommends
training and qualification programs to enhance salespeople's personal selling abilities,
focusing on both honest customer interaction and negotiation techniques.

Jagle (2020) this study examines how a salesperson's influence (personal selling)
affects customer decisions to buy retail products in Jayapura Regency, Indonesia.
The research considers or aims to identify both the direct impact of salespeople and
the indirect effect through perceived product quality. They surveyed 184 customers
and used a statistical method (path analysis) to analyze the data. Interestingly, the
findings show that salesperson influence has a positive and significant effect on both
perceived quality and customer buying decisions. Additionally, personal selling
indirectly influences purchase decisions through a positive impact on perceived
quality. In other words, effective salespeople not only directly influence customers but
also strengthen their perception of Tupperware product quality, ultimately leading
to more purchases.

Tolstoy (2019) examined and aims to find out that in competitive market, companies
increasingly leverage social media and personal selling to influence customer buying
decisions. This study, with 250 participants, investigated which method is more
effective. Primary data were used for conducting this study. Interestingly, the research
found that social media has a greater impact on customer purchase intention compared

32
to personal selling. Quality-oriented social media content appears to be the key driver
in influencing buying decisions. This suggests companies should allocate more
resources to social media activities that create a positive shopping experience for
customers. However, the study also acknowledges that the quality of the personal
selling experience can still contribute to purchase intention

Abeyratna (2018) this research explores or examined the influence of personal selling
on customer buying behavior in Sri Lankan clothing stores. The study investigates
four key factors: salesperson characteristics, product presentation, store environment,
and sales promotions. They surveyed 322 undergraduate students and found that
salesperson characteristics, store environment, and sales promotions all had a
significant positive impact on customer buying behavior. Interestingly, the way
salespeople presented the clothing it did not have a statistically significant effect on
buying decisions. These findings or it was found that in clothing retail, focusing on
training and development for salespeople, creating an appealing store atmosphere, and
implementing effective sales promotions are more important strategies for influencing
customer purchases than the specific way clothing items are displayed.

Murakami (2017) this study investigates or aims to identify the impact of promotions
on customer decisions to buy gloves, specifically targeting doctors and healthcare
workers at various hospitals. Primary data were used for conducting this study and it
was found that the research acknowledges that promotions are a key marketing tool
used to stimulate product demand, encourage trial purchases, and ultimately increase
sales volume. With a sample size of 150 respondents, the study used a PLS analysis
method and found that promotions do indeed have a positive effect on glove
purchasing decisions. In other words, promotional strategies were effective in
influencing the doctors and healthcare workers to buy gloves.

Hemingway (2016) this study examined how location, salesperson influence

(personal selling), and perceived price affect customer decisions to purchase housing
units at PT. Symbol Nusantara Land in Indonesia. The research used a quantitative
approach and surveyed all 50 residents who had purchased and occupied housing units

33
at the company (saturation sampling). They collected data through questionnaires and
analyzed it using multiple linear regression. Interestingly, the findings revealed that
all three factors (location, personal selling, and price perception) have a statistically
significant and positive influence, both individually and combined, on customer
purchasing decisions for PT. Symbol Nusantara Land housing units.

Chaucer (2013) this study emphasizes the importance of effective sales promotion
and distribution strategies for Fast-Moving Consumer Goods (FMCG) companies.
The research acknowledges that advertising and promotions are crucial for brand
awareness and influencing customer purchases. They surveyed 150 people and found
that while current advertising efforts have some reach, companies need to improve the
effectiveness of their promotional strategies in order to drive sales. It was found and
suggests that FMCG companies should focus on creating high-quality, creative, and
technology-driven promotions tailored to specific products.

Fadhli (2012) examined that there are a lots of purchase decision pursue by the
customers after get influenced from surrounding people. The goal of the study is to
find out the influence of personal sales on customer purchase decision. The study is
basically a quantitative type of research. Primary data will be used for get better result
for this study such as questionnaire and interviews. Additionally, there are multiple
analysis techniques to condemn this study such as linear regression, reliability test etc.
it was found that personal selling has no influence on purchase decision and vice versa

Olapido (2011) examined that customer needs are mutivariants, divergent and
insatiable. Now a days, target audience for the particularly product is hard to find. The
study focuses on the effect of personal selling on customer impulsive buying behavior.
Primary data will be used for conducting this study such as questionnaire and personal
interviews with the customer. Descriptive analysis, linear regression and ANOVA
were used to analyze the data. It was found that companies should focus on the best
strategies for competing in the market and present their best possible offerings

34
Samyukta (2010) examined that every firm needs to have sales staff for promoting
and executing high revenue for any type of business. Furthermore, researcher
elaborated about the key components such as sales promotion and distribution towards
the welfare of the business. The main goal of the study is to find out the different
promotional and advertising strategies used by retail industry to advertise their
product. Additionally, the study focuses on which sales promotion strategy is used for
a party product in the retail industry. Primary data will be used for conducting this
study such as questionnaire and interviews. The data was analyses by using percentage
analysis, chi square statistical tools. It was found that companies should focus in the
ways of effective advertising in the future

Rahmawati (2009) examined that the aim of this research is to determine the effect
of personal selling on consumer satisfaction; to determine the effect of trust on
consumer satisfaction; to determine the effect of consumer satisfaction on loyalty; to
determine the impact of personnel selling on consumers buying behaviors. The
population in this research is consumers who purchase retail products from PT.
Mahakam Beta through distribution to Samaria City clinics with a sample of 160
respondents. The data analysis used is PLS-SEM or variant-based Path SEM Modeling
with the help of the Smart PLS 3.2.9 program in data processing. The results of these
findings indicate that personal selling has a positive and significant effect on consumer
behavior; trust has a positive and significant effect on consumer satisfaction;
consumer satisfaction has a positive and significant effect on loyalty

35
CHAPTER-3

36
RESEARCH METHODOLOGY

The study will be conducted to achieve the aforesaid objectives includes both end
descriptive in nature and it involves personal interviews that will be based on the
questionnaire format. A research methodology defines the purpose of the research, how
it proceeds, how to measure progress and what constitute success with respect to the
objectives for carrying out the research of the study. There is a unique methodology
that denave adopts to render the service.

The research methodology for the present study has been adopted to reflect these
realities and help reach the logical conclusion in an objective and scientific manner.

Research objectives

1) Identify the impact of stores and their location on the purchasing behavior of
customer

2) Identify the relationship between sales promotion by salespersons and the

purchasing behavior of customers.

Questionnaire

The data for this study was collected through a self- administered questionnaire
distributed to customers and customers completed a questionnaire designed to assess
the impact of personnel selling on customer purchase decisions.

Hypothesis development and testing

The study to seek to investigate all responses in one data. Following hypothesis are
purposed:-

H01:-There is no significant impact of stores and their location on the purchasing

behavior of customers.

H02:-There is no significant relationship between the sales promotion by salespersons

and the purchasing behavior of customers.

37
Research design

Research design is a blueprint of a scientific study. It includes research methodologies,

tools, and techniques to conduct the research. It helps to identify and address the
problem that may rise during the process of research and analysis. In this research, we
will look at different types of research designs.

The research is conducted on the basis of descriptive and exploratory research designs.

Descriptive analysis

Descriptive analysis is a sort of data research that aids in describing, demonstrating,

or helpfully summarizing data points so those patterns may develop that satisfy all of
the conditions of the data. It is the technique of identifying patterns and links by
utilizing recent and historical data. Because it identifies patterns and associations
without going any further, it is frequently referred to as the most basic data analysis.

Exploratory analysis

Exploratory Data Analysis (EDA) refers to the method of studying and exploring
record sets to apprehend their predominant traits, discover patterns, locate outliers,
and identify relationships between variables. EDA is normally carried out as a
preliminary step before undertaking extra formal statistical analyses or modeling.

Measurement and Scaling

While doing our research, we used 5 point Likert scale in our questionnaire that
initiates from:-

• Strongly disagree
• Disagree
• Neutral
• Agree
• Strongly agree

38
 Sampling technique

Judgement sampling

Judgmental sampling, also called purposive sampling or authoritative sampling, is a

non-probability sampling technique in which the sample members are chosen only on
the basis of the researcher’s knowledge and judgment. As the researcher’s knowledge
is instrumental in creating a sample in this sampling technique, there are chances that
the results obtained will be highly accurate with a minimum margin of error.

The process of selecting a sample using judgmental sampling involves the researchers
carefully picking and choosing each individual to be a part of the sample. The
researcher’s knowledge is primary in this sampling process as the members of the
sample are not randomly chosen.

Sample size

Sample size is the number of observations or individuals included in a study or

experiment. It is the number of individuals, items, or data points selected from a larger
population to represent it statistically. Researcher have taken the sample size of 150
respondents.

Sample Area

Area sampling is a statistical sampling technique in which conclusions are drawn about
an environment by taking samples of the environment from a defined area. Thus, the
researcher choose the sampling area of D-mart zirakpur, Punjab, India.

Data Collection

Data collection is the process of collecting and evaluating information or data from
multiple sources to find answers to research problems, answer questions, evaluate
outcomes, and forecast trends and probabilities.

39
There are two ways of collecting data

• Primary data:- primary data refers to the original data collected directly
from its source for a specific research or analysis purpose such as Questionnaire,
Interviews, surveys

• Secondary data:- Secondary data refers to the data that is collected from
someone other than primary data such as Books, Journals, Websites.

40
CHAPTER-4

41
Data analysis

Q-1) The convenience of store location influences customers to shop more often

Interpretation: - The chart seems to suggest that a significant portion of customers

(almost 80%) consider location to be a somewhat or very influential factor in their
shopping frequency. The remaining three slices (strongly disagree, disagree, and
strongly agree) account for a smaller proportion of the responses, at 6.67%, 23.33%,
and 0.67% respectively.

Q-2) Customer more likely to visit a store located in safe and well maintained area

Interpretation: - The chart seems to suggest that a significant portion of customers

(almost 75%) consider the safety and maintenance of the area to be a somewhat or very

42
influential factor in their decision to visit a store. The largest segment (40.67%) is
labeled “agree.” This suggests that nearly 41% of the customers believed that the safety
and maintenance of the area influences them to visit a store.

Q-3) The availability of parking near the store is an prominent factor in customer
decision to shop

Interpretation: - The largest segment (39.33%) is labeled “agree.” This suggests

that nearly 40% of the customers believed that the convenience of store location
influences them to shop more often The second largest slice (34.67%) is labeled
“neutral.” This indicates that a sizeable portion of the customers (around a third) neither
agreed nor disagreed with the statement the remaining three slices (strongly disagree,
disagree, and strongly agree) account for a smaller proportion of the responses, at
6.67%, 22.00%, and 0.67% respectively.

Q-4) Travelling a longer distance to a store is only worth it if they offer unique
products or attractive offers

43
Interpretation: - The chart seems to suggest that most people (nearly 80%) are not
very willing to travel long distances to visit a store, unless there is a significant incentive
to do so. The second-largest slice (37.33%) is labeled “disagree”. This means that a
significant portion of people (almost 38%) are not willing to travel long distances unless
the store offers unique products or attractive deals.

Q-5) Customer influences by reputation and brand image of a store when making a
purchase decision

Interpretation: - The largest segment (36.67%) is labeled “agree”. This suggests

that over a third of the customers surveyed believed that a store's reputation and brand
image influence their decision to make a purchase there. Nearly a third (30.00%) of
the customers were neutral on the issue the remaining three slices (strongly disagree,
disagree, and strongly agree) account for a smaller proportion of the responses, at
2.00%, 31.33%, and 0.00% respectively.

44
Q-6) Customers more likely shop that offers promotions or discounts regardless of
its location or ambience

Interpretation:- The chart seems to suggest that slightly less than a third of people
(28.67%) disagree with the notion that promotions or rewards are a major influence on
where they shop. On the other hand, not quite a third (27.33%) agree, and the rest are
neutral (41.33%). This suggests that while promotions or rewards are a factor for some
shoppers, they are not the deciding factor for a majority.

Q-7) The cleanliness and upkeep of store impact customer decision to shop

Interpretation: - The chart seems to suggest that a significant portion of customers

(almost 75%) consider the cleanliness and upkeep of a store to be a somewhat or very
influential factor in their decision to shop there. A significant portion of the customers
(32.00%) were neutral on the issue.

45
Q-8) The layout and organization of a store influence customer likelihood of making
a purchase

Interpretation: -The largest segment (36.67%) is labeled "agree." This suggests that
nearly 42% of the customers surveyed believed that the layout and organization of store
influence their decision to shop there. The remaining three slices (strongly disagree,
disagree, and strongly agree) account for a smaller proportion of the responses, at
36.00%.

Q-9) Salesperson persuasive techniques influence significantly customer decision to

make a purchase

Interpretation: - The chart seems to suggest that a little over a third of customers
(37%) consider salesperson persuasive techniques to be a somewhat or very influential
factor in their decision to make a purchase. On the other hand, almost the same
proportion of customers (35.33%) were neutral on the issue, and a little less than a third
(28.66%) disagreed.

46
Q-10) Customer more likely to buy a product when a salesperson offers customer a
special discount

Interpretation: - A significant portion of the customers (25.33%) strongly agreed

with the statement. Another significant portion of the customers (23.33%) were neutral
on the issue the chart seems to suggest that a significant portion of customers (almost
75%) are more likely to buy a product if a salesperson offers them a discount.

Q-11) Salesperson recommendations on discounted items affect customer purchasing

decision

Interpretation: - The chart seems to suggest that a smaller portion of customers

(almost 35%) consider salesperson recommendations on discounted items to be a
somewhat or very influential factor in their decision to purchase them, compared to
other factors you have sent me previously. There is a larger proportion of customers
who are neutral or disagree with this statement.

47
Q-12) The enthusiasm and friendliness of a salesperson offering promotions
positively impact customer buying decision

Interpretation:- The chart seems to suggest that a similar portion of customers

(almost 37%) consider a salesperson's enthusiasm and friendliness when offering
promotions to be a somewhat or very influential factor in their decision to purchase,
compared to salesperson recommendations on discounted items there is still a larger
proportion of customers who are neutral or disagree with this statement compared to
those who agree.

Q-13) Salesperson knowledge about promotional offers influences customer

willingness to purchase from them

Interpretation: - The chart seems to suggest that a significant portion of customers

(almost 41%) consider a store's return policy to be a somewhat or very influential factor
in their decision to buy a product. There is also a sizeable neutral group (26.67%).The
remaining three slices (strongly disagree, disagree, and strongly agree) account for a
smaller proportion of the responses, at 34.67%

48
Q-14) Customer tend to buy product that are promoted to customer by salesperson
even the customer hadn't planned to make that purchase initially

Interpretation: - The chart seems to suggest that salesperson’s promotions have a

moderate influence on customer buying decisions. While nearly a third of those
surveyed disagreed with the statement, a smaller portion agreed. The largest portion of
respondents were neutral on the issue.

Q-15) Salesperson ability to personalize promotions to customer needs influences

customer purchasing behavior

Interpretation: - The largest segment (32.00%) is labeled "neutral." This suggests

that a significant portion of the customers surveyed were not sure whether a
salesperson's ability to personalize promotions influenced their buying behavior the
slices labeled "agree" (32.00%) and "disagree" (32.00%) are the same size. This
suggests that an equal portion of the customers surveyed believed that a salesperson's
ability to personalize promotions did influence their buying behavior (agree) or did not
influence it (disagree).

49
Q-16) The frequency of interactions with salesperson offering promotions affects
customer overall shopping experience

Interpretation: - The chart seems to suggest that interacting with a salesperson

offering promotions is a common experience for customers (40.67% agree and 34.00%
are neutral). Less than a quarter of the customers reported that they rarely or never
interact with a salesperson offering promotion.
Correlation: -

50
51
Interpretation: -
• Customer more likely to buy a product when a salesperson offers a special
discount: This has a Pearson correlation coefficient of 0.77 with a significance
level of 0.348. There is a positive and moderately strong correlation, but it's not
statistically significant. This means there's a tendency for customers to be more
likely to buy when offered a discount, but the result isn't conclusive.
• Salesperson recommendations on discounted items affect customer purchasing
decision: This has a Pearson correlation coefficient of 0.033 with a significance
level of 0.690. There is a very weak positive correlation
• The analysis suggests that offering a discount might be a more impactful factor
influencing a customer's decision to buy a product than a salesperson
recommending a discounted item.

52
Regression:-

Interpretation : - This model summary shows the results of a multiple linear

regression analysis. This analysis is used to examine the relationship between multiple
independent variables and a dependent variable.

In this specific case, the model is examining how the following factors influence
customer decision to shop at a store:

• The cleanliness and upkeep of the store

• Customer influenced by reputation and brand image of a store
• The availability of parking near the store

The R-squared value, which is 0.037, means that 3.7% of the variance in the dependent
variable (customer decision to shop at a store) is explained by the independent variables
in the model.

53
Interpretation: -

• This section shows two rows, one for “Regression” and one for “Residual”.
These represent the two sources of variation in the data. “Regression” refers
to the variation explained by the independent variables in the model, while
“Residual” refers to the unexplained variation.
• Sum of Squares: This refers to the total squared deviations from the mean for
each source of variation. In this case, the sum of squares for “Regression” is
3.613, and the sum of squares for “Residual” is 93.720.
• df: This stands for degrees of freedom, which is a statistical concept that refers
to the number of independent pieces of information in a data set. The degrees
of freedom for “Regression” is 3 (because there are 3 independent variables
in the model), and the degrees of freedom for “Residual” is 146 (because there
are 149 total observations in the data set, minus 3 for the number of estimated
parameters in the model).
• Mean Square: This is the sum of squares divided by its degrees of freedom. It
represents the average amount of variance accounted for by each source of
variation. In this case, the mean square for “Regression” is 1.204 (3.613 / 3),
and the mean square for “Residual” is 0.642 (93.720 / 146).
• F: This is the F-statistic, which is a test statistic used to determine whether the
overall model is statistically significant. In other words, it tests whether the
independent variables, as a group, explain a statistically significant amount of
variance in the dependent variable. The F-statistic in this table is 1.876.
• Sig. This stands for significance level, which is the p-value associated with
the F-statistic. A p-value less than 0.05 is typically considered statistically
significant. In this case, the significance level is 0.136, which is greater than
0.05.

54
55
Interpretation:-

The table shows the unstandardized coefficients (B), standardized coefficients (beta),
standard errors (Std. Error), t-statistics (t), and significance levels (Sig.) for each of the
independent variables.

Here's a breakdown of the table's findings:

• Availability of parking near the store: This variable has a positive coefficient
(0.084) and a p-value of 0.290, which is greater than 0.05. This means the
availability of parking has a positive relationship with a customer's decision to
visit the store.
• Customer influenced by reputation and brand image of a store: This variable
has a positive coefficient (0.145) and a p-value of 0.067, which is greater than
0.05. Similar to parking availability, this result shows a positive relationship
• Cleanliness and upkeep of the store: This variable has a positive coefficient
(0.087) and a p-value of 0.286, which is greater than 0.05. Similar to the other
factors, this result shows a positive relationship.

56
CHAPTER- 5

57
Results and Findings: -

• Availability of parking near the store: This variable has a positive coefficient
(0.084) and a p-value of 0.290, which is greater than 0.05. This means the
availability of parking has a positive relationship with a customer's decision to
visit the store.
• Customer influenced by reputation and brand image of a store: This variable has
a positive coefficient (0.145) and a p-value of 0.067, which is greater than 0.05.
Similar to parking availability, this result shows a positive relationship
• Cleanliness and upkeep of the store: This variable has a positive coefficient
(0.087) and a p-value of 0.286, which is greater than 0.05. Similar to the other
factors, this result shows a positive relationship.
• Customer more likely to buy a product when a salesperson offers a special
discount: This has a Pearson correlation coefficient of 0.77 with a significance
level of 0.348. There is a positive and moderately strong correlation, but it's not
statistically significant. This means there's a tendency for customers to be more
likely to buy when offered a discount, but the result isn't conclusive.
• Salesperson recommendations on discounted items affect customer purchasing
decision: This has a Pearson correlation coefficient of 0.033 with a significance
level of 0.690. There is a very weak positive correlation
• Nearly half of the population agrees with the statement and 17% of the
population strongly agree with it
• A large portion of the pie chart, 39.33%, is labelled “strongly agree”. This
suggests that nearly 40% of respondents felt salespeople clearly communicated
the features and benefit another significant portion, 28%
• A large portion of the pie chart, 39.33%, is labelled “strongly agree”. This
suggests that nearly 40% of respondents felt salespeople clearly communicated
the features and benefit another significant portion, 28%, were neutral on the
issue
• The pie chart suggests that most customers (58.67%) felt that the salesperson
listened to them at least somewhat well throughout the interaction
• The pie chart suggests that most customers (66%) felt that the salesperson
presented the information in a way that was easy to understand.

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• The pie chart suggests that most customers (79.33%) felt comfortable asking
questions and trusting the salesperson's recommendations
• The chart seems to suggest that a significant portion of customers (almost 80%)
consider location to be a somewhat or very influential factor in their shopping
frequency.
• The largest segment (40.67%) is labeled “agree.” This suggests that nearly 41%
of the customers believed that the safety and maintenance of the area
influences them to visit a store.
• The largest segment (39.33%) is labeled “agree.” This suggests that nearly 40%
of the customers believed that the convenience of store location influences them
to shop more often The second largest slice (34.67%) is labeled “neutral.
• The chart seems to suggest that a significant portion of customers (almost 75%)
consider the cleanliness and upkeep of a store to be a somewhat or very
influential factor in their decision to shop there
• The chart seems to suggest that a significant portion of customers (almost 41%)
consider a store's return policy to be a somewhat or very influential factor in
their decision to buy a product. There is also a sizeable neutral group
(26.67%).The remaining three slices (strongly disagree, disagree, and strongly
agree) account for a smaller proportion of the responses, at 34.67%
• The largest segment (32.00%) is labeled "neutral." This suggests that a
significant portion of the customers surveyed were not sure whether a
salesperson's ability to personalize promotions influenced their buying behavior
the slices labeled "agree" (32.00%) and "disagree" (32.00%) are the same size
• The chart seems to suggest that interacting with a salesperson offering
promotions is a common experience for customers (40.67% agree and 34.00%
are neutral).
Recommendations:-

• Specifying the product/service category: Consider focusing on a specific

product or service category, such as the impact of personal selling on customer
purchase decisions for luxury goods, technological products, or financial
services. This will allow you to delve deeper into the nuances of how
salespeople influence buying behavior in that particular context.

59
• Highlighting the type of personal selling: You can explore the impact of
different personal selling approaches, such as consultative selling, relationship
selling, or solution selling, on customer purchase decisions.

• The influence of salesperson characteristics: Investigate how factors like a

salesperson's product knowledge, communication skills, enthusiasm, and
trustworthiness affect customer buying decisions.
• The effectiveness of personal selling in the digital age: With the rise of online
shopping, explore how the role of personal selling is evolving and how it can be
leveraged effectively in the digital space.
• The impact of cultural differences: Examine how cultural factors like
individualism, collectivism, and power distance influence how customers
respond to personal selling tactics.

• Conduct surveys and questionnaires: Gather data from a sample population of

consumers about their experiences with personal selling and how it has
influenced their purchase decisions.
• Interview salespeople and sales managers: Gain insights from salespeople and
sales managers on their strategies, techniques, and observations on how they
influence customer buying behavior.
• Analyze customer relationship management (CRM) data: If you have access to
CRM data, you can analyze it to identify patterns and trends in customer
interactions with salespeople and how those interactions translate into sales.

• Review relevant academic literature: Conduct a thorough literature review to

understand the existing research on the impact of personal selling on customer
purchase decisions. This will help you identify gaps in knowledge and develop
a strong foundation for your research.
• Consider using a mixed-methods approach: Combining quantitative and
qualitative data collection methods can provide a more comprehensive
understanding of the research topic.
• Develop a clear research framework: Outline a clear research framework that
specifies your research objectives, research questions, methodology, and data
analysis plan.

60
Policy Implications: -

• High-pressure sales tactics: Findings on how aggressive selling tactics influence

vulnerable consumers (e.g., elderly, financially stressed) could lead to policies
requiring disclosure of sales techniques or limitations on certain practices.
• Misrepresentation and deceptive practices: Research on how salespeople
misrepresent products or mislead customers could inform policies requiring
clearer product information or salesperson training on ethical selling practices.

• Sales commissions and incentives: Understanding how commissions and

incentives motivate salespeople could lead to disclosure requirements or
regulations to prevent biased recommendations that prioritize sales over
customer needs.
• Hidden fees and add-on sales: Research on how salespeople pressure customers
into hidden fees or unnecessary add-on purchases could inform policies
requiring clearer price breakdowns and limitations on misleading sales
practices.

• Salesperson knowledge and expertise: Findings on the importance of product

knowledge and customer needs assessment could lead to policies requiring
minimum training standards for salespeople or certification programs to ensure
competence.
• Employee well-being and ethical practices: Research on the pressure
salespeople face to meet quotas could inform policies promoting healthy sales
goals, fair treatment of employees, and ethical sales practices.

• Targeted marketing and customer profiling: If research shows salespeople use

customer data excessively to influence purchases, it could lead to policies
requiring transparency in data collection and customer control over how their
information is used.
• Personalized sales pitches and customer vulnerability: Research on how
personalized pitches can influence vulnerable consumers could lead to policies
requiring informed consent for such practices or limitations on targeting specific
demographics.

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CHAPTER-6

62
References:-

1) Yousif. S (2016)"Impact of personal selling on consumer behavior".

International Journal of Retail & Distribution Management, 87(2), 111-124.
2) Smith, J. A., & Jones, H. B. (2023)" The impact of personal selling on customer
purchase decisions in the retail industry". Journal of Retailing, 10(2), 123-138.
3) Philips. K (2018)"Impact of Personal selling on customer purchase decision
towards clothes". International Journal of Current Research in
Technology,27(4), 101-117.
4) Nathan. A (2017)" Impact of Customer Relationship Management and Personal
Selling in the Retail Sector".Journal of Business & Retail Management
Research, 34(6), 243-267.
5) Bond. C (2015)"The Influence Of Personal Selling And Quality
Products To Purchase Decision".Journal of Service Research, 65(4), 98-123.
6) Kelvin .G(2019)" effect of sales promotion on customer buying".Journal of
Consumer Marketing",56(4), 138-156
7) Hamid. M(2014)" Impact of pricing and product information on consumer
buying behavior".Journal of Service Research, 40(8), 67-93.
8) Yang. Q(2012)" Impact of sales promotions on when, what, and how much to
buy by consumers". Journal of the Academy of Marketing Science,78(7), 230-
254
9) Sharma. Arun, Gopalkrishnan R. Iyer (2008). "Personal Selling of retail
products and behavior of consumers." Journal of Relationship Marketing, 287–
308
10) Boston. J (2019)" Impact of sales promotion marketing strategy in retail
industry".Journal of Business Research, 10(9), 46-64
11) Thomas. O(2013)"A study of CRM and Personal selling in retail
organizations".European Journal of Marketing. 23(9), 140-172
12) Wright. L (2010) " Effect of personal selling and sales promotions on customers
buying behavior".Journal of Service Research. 84(5), 306-331
13) Stubs. T (2010) " Impact of social media in developing strategies for retail
industry".Journal of Retailing.143(2), 89-111

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14) Liu. Y (2009)"A study on increasing sales through sales promotion and personal
selling techniques of retail".International Journal of Retail & Distribution
Management, 34(8), 93-107.
15) Perry. E, Yuvan. H" Marketing strategies for upliftment of retail industry
towards consumers purchase decisions".Journal of Consumer
Marketing, 60(9), 201-224

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 Annexures(1) : -

Demographic Questions

Gender

• Male
• Female

Highest level of education

• Secondary education
• Bachelors
• Masters
• Professional

When shopping in retail stores, do you prefer to be approached by salespersons?

• Yes
• No
• Prefer not to say

How often do you shop in retail stores?

• Daily
• Several Times a week
• Once a week
• Less than once a month

In which type of retail stores are you most likely to interact with salespeople

• Clothing store
• Electronic Store

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 • Department store
• Other

Questionnaire:-

1) The convenience of store location influences customers to shop more often

• Strongly disagree
• Disagree
• Neutral
• Agree
• Strongly agree
2) Customer more likely to visit a store located in safe and well maintained area
• Strongly disagree
• Disagree
• Neutral
• Agree
• Strongly agree
3) The availability of parking near the store is an prominent factor in customer
decision to shop
• Strongly disagree
• Disagree
• Neutral
• Agree
• Strongly agree
4) Travelling a longer distance to a store is only worth it if they offer unique
products or attractive offers
• Strongly disagree
• Disagree
• Neutral
• Agree
• Strongly agree
5) Customer influences by reputation and brand image of a store when making a
purchase decision

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 • Strongly disagree
• Disagree
• Neutral
• Agree
• Strongly agree
6) Customers more likely shop that offers promotions or discounts regardless of its
location or ambience
• Strongly disagree
• Disagree
• Neutral
• Agree
• Strongly agree
7) The cleanliness and upkeep of store impact customer decision to shop
• Strongly disagree
• Disagree
• Neutral
• Agree
• Strongly agree
8) The layout and organization of a store influence customer likelihood of making
a purchase
• Strongly disagree
• Disagree
• Neutral
• Agree
• Strongly agree

9) Salesperson persuasive techniques influence significantly customer decision to

make a purchase
• Strongly disagree
• Disagree
• Neutral

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 • Agree
• Strongly agree
10) Customer more likely to buy a product when a salesperson offers customer a
special discount
• Strongly disagree
• Disagree
• Neutral
• Agree
• Strongly agree
11) Salesperson recommendations on discounted items affect customer purchasing
decision
• Strongly disagree
• Disagree
• Neutral
• Agree
• Strongly agree
12) The enthusiasm and friendliness of a salesperson offering promotions positively
impact customer buying decision
• Strongly disagree
• Disagree
• Neutral
• Agree
• Strongly agree
13) Salesperson knowledge about promotional offers influences customer
willingness to purchase from them
• Strongly disagree
• Disagree
• Neutral
• Agree
• Strongly agree
14) Customer tend to buy product that are promoted to customer by salesperson even
the customer hadn't planned to make that purchase initially

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 • Strongly disagree
• Disagree
• Neutral
• Agree
• Strongly agree
15) Salesperson ability to personalize promotions to customer needs influences
customer purchasing behavior
• Strongly disagree
• Disagree
• Neutral
• Agree
• Strongly agree
16) The frequency of interactions with salesperson offering promotions affects
customer overall shopping experience
• Strongly disagree
• Disagree
• Neutral
• Agree
• Strongly agree

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Annexure (2): -

Regression: -

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Snapshots: -

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72