Abstract
We are living in a world that is becoming closer and closer, and the fast-food awareness of Chinese consumer is stronger than last decades. The marketing research is an effective tool to know the potential market that what is the market size and current market situation. The corporate will base on the research result to make the marketing strategy and consider whether the market is valuable or not.
The project is aiming at investigation of mashed potatoes consumption situation. In the first part of the project that is the background of the Hohhot Mengrui food company. That will launch mashed potatoes on the north-east Chinese market. Base on the local consumer’s needs and wants to innovation the product in order to increase the sales.
The part two and part three mention which methods were used in the market research and in order to know consumer’s purchasing psychology. The dish of mashed potatoes is a kind of daily food. Thereby the project is using desk and field research to investigate the consumer daily consumption.
The fourth part of project is talking about the result of the marketing research. Through the finding result to analysis, it is a conclusion of what factors influence consumer buying behavior. The people in different ages will have different purchasing psychologies. This part also mentions the market strategy for different target groups.Table of content
Abstract II
1. Introduction 1
1.1 Background of the company and market 1
1.2 Purpose for the project 1
1.3 Research question 2
1.3.1 Project aims and objectives 2
1.4 Demarcation 2
2. Literature review 4
2.1 Introduction 4
2.2 Consumer buying behavior 4
2.2.1 Stage of the consumer buying process 5
2.2.2 Types of consumer buying behavior 7
2.3 Consumer purchasing decision 8
2.3.1 Psychological and personal influence 8
2.3.2 Social influence 9
2.4 Segmentation, targeting and positioning 10
2.5 Conclusion 10
3. Methodology 12
3.1 Introduction 12
3.2 Formulating and clarifying the research topic 12
3.1.1 Research objective 13
3.2 Research process 13
3.3 Research philosophy 14
3.4 Research approach 15
3.5 Research strategy 15
3.6 Secondary data 15
3.7 Field research 16
3.7.1 Interview 17
3.7.2 Questionnaire design 17
3.8 Conclusions 18
4. Finding 19
4.1 Finding of secondary data 19
4.1.1 Economic situation of North-East China 19
4.1.2 Consumption situation of North-East China 20
4.2 Finding of primary data 20
4.2.1 Finding of interview 20
4.2.1.1 Finding of the seller 21
4.2.2 Finding of questionnaire 21
4.2.2.1 The basic background of investigate group 22#p#分页标题#e#
4.2.2.2 The analysis of staple food consumption 25
4.2.2.3 Investigation and analysis of mashed potatoes consumption 34
4.2.3 Analysis of the mashed potatoes 37
4.2.3.1 The basic situation of mashed potatoes 37
4.2.3.2 The functional of mashed potatoes 38
4.3 Finding on consumer buying psychology 38
4.3.1 Purchasing psychology of children 39
4.3.2 Purchasing psychology of teenagers 39
4.3.3 Purchasing psychology of the aged people 40
4.3.4 Purchasing psychology of female buyers 40
4.4 Finding on segmentation, targeting and positioning 41
4.4.1 SWOT analysis of the existing mashed potatoes market 41
4.4.2 Consumption condition of people in different ages 43
4.4.2.1 The consumption situation of 5-19 years old consumer 43
4.4.2.2 The consumption situation of 20-29 years old consumer 45
4.4.2.3 The consumption situation of 30-49 years old consumer 46
4.4.2.4 The consumption situation of over 50 years old consumer 46
5. Conclusion and recommendation 48
Bibliography 50
Appendix 1: 52
Appendix 2: 54
1. Introduction
1.1 Background of the company and market
Hohhot Mengrui Food Company is a well-know manufacturer of mashed potatoes products. The company adopts the advanced technology in their daily production and develops the new tastes for the local market. At present, the company has many tastes for the different target groups, such as flavor, aroma of milk, bacon flavor (barbecue flavor), The Assignment is provided by UK Assignment http://www.ukassignment.organd beef flavor (mild). Hohhot Mengrui has a good reputation in the mashed potatoes food industry and also has a stable market share in the local market.
With the culture complex and globalization, Chinese eating habit has been changed by these foreign businessmen and tourists. The GDP growth is quite high in the last decade. The Chinese people have a higher standard of living and easy to accept the new things. The foreign foods are more popular in China than before. It is also become a developing trend of Chinese people daily life.
1.2 Purpose for the project
With the deep culture combination, more and more Chinese people are used to try new eating habits and lifestyle. In the other hand, China is one of the fastest developing countries all over the world. Hohhot Mengrui Food Company is located in the North-East China. Developing this market is good for the company to long-term development. With the further development of the Changchun’ economy, the consumption’ structure has been changed. More and more residents pay attention to their health and quality of life. In the western countries, it is a more popular trend to eat potatoes. The potato is not only a kind of snack but also their staple food in their daily life. The people in the north-east of China like potatoes very much. However, the fried potato chips caused many problems so that more people don’t eat it so much anymore. According to this situation, the company want to do the market research to know what is the customers’ needs and wants, then sell the mashes potatoes and make a market strategy to satisfy the North-east China’s consumer market and instead of the fried potato chips.#p#分页标题#e#
1.3 Research question
What are consumer’s purchasing psychology and buying behaviors of north-east China consumers’ while they decide to purchase the mashed potatoes?
1.3.1 Project aims and objectives
Critically review academic literature on buying behavior.
To research the food consumption of North-East of China.
The consumer purchasing psychology on the consumption of mashed potatoes.
1.4 Demarcation
The project focuses on which factors influence consumer’ buying behavior, and analyses the process of decision-making. The consumer’s buying behavior is different with the different time and different situations. The author uses desk and field research in order to know the consumer’s buying psychology. It is only using interview and questionnaire to collect the information of consumer buying situation. The focus group is limited and it cannot represent all the consumers. The sample is randomizing, the majority are women who like shopping. Sometimes the male also have a high purchasing power and highly consumption of food.
The time is limited for the author, the author will research and analysis more in the future.2. Literature review
2.1 Introduction
With the economic development and globalization, the original seller’s market has been changed into buyer’s market. The seller should know what is consumers’ needs and wants in order to satisfy its consumers. The marketing research is a good way to know the consumer’s needs and help enterprise to find its niche market and choose the suitable target market. The project is focus on the sales decline of mashed potatoes in the Northeast Chinese market. The company should not only serve the original consumer but also find the new consumers in order to increase the sales. The paper is aim of analyzing consumer buying behavior to buy the mashed potatoes and use a critical orientation to compare the traditional theory with the current consumer buying behavior. According to the investigation result to find the suitable target group and make the new marketing strategy.
2.2 Consumer buying behavior
Consumer buying behavior is the decision processes by which individuals search for, select, purchase, use, and dispose of goods and services, in satisfaction of their needs and wants. It is influenced by factors such as the consumer's societal role, social and cultural environment and the norms. (Business dictionary) As conventionally conceived, it embraces the awareness of a want ,search for and evaluation of possible means of satisfying it ,the act of purchase itself ,and the evaluation of the purchased item in use ,which directly affects the probability of repurchase(Foxall, Glodsmith, &Brown, 1994).Consumer buying behavior refers to final buying decision of the consumer. Use the buying behavior to analysis consumer buying reaction by the marketing strategy and know what, where, when and how consumer to buy. If the marketer has a clearly understanding of consumer buying behavior, they will provide the good service and suggestions to influence consumers’ decision-making. However different consumers have different needs, they will have different decision-making angle and we should do more investigation to know their needs.#p#分页标题#e#
2.2.1 Stage of the consumer buying process
Need Recognition—information search--- evaluation of choices--- purchase decision---post-purchase behavior
Need Recognition
According to the text book the need recognition essentially depends on how much discrepancy exists between actual state and desired state (James ,Roger & Paul ,1988,pp 176).However though negative and positive motivational forces seem to differ dramatically in term of physical and emotional activity (Leon G & Leslie Lazar Kanuk ,1991,pp 72).The actual and desired state is not fixed all the time ,it will be change by several reasons .John W (2005)was pointed the different physical needs ,the result of the depletion of the current solution to a need and the decline of consumer’s anticipate of the actual state.(John W ,Orville 2005,pp 110)Base on the potatoes, the consumer actual state is eating potatoes in order to solve the hungry problem and the desired state is not only solve the hungry but also has good taste and other requirements. According to the different situations, the consumers’ needs will change with the different environments such as the new information and the increase of need dimensions.
Information search
Information search can be defined as the motivated activation of knowledge stored in memory or acquisition of information from the environment (James, Roger & Paul, 1988, pp 183).Before the consumer purchase the product they should collect more information in order to satisfy their needs. Which brand is the best? They will get information from their family and friend, then to choose the better one. However, the new company and the new product is lack of this reputation. The consumer should spend time to know and taste it.
Evaluation of different purchase options
The book was defined that the evaluation of different purchase option is based on consumers’ beliefs about the consequence of buying and using those products or brand (Peter & Olson, 1994, pp 163) the company need to establish criteria for evaluation in order to know the buyer wants or does not want. Virtually any type of product-related consequence can be a choice criteria in a brand choice decision, including beliefs about functional consequences (product performance), psychosocial consequences (approval of friend).or value consequences (a sense of achievement or self-esteem) (Peter & Olson, 1994, pp 163).Sometimes, the consumers may have their own preference in memory of the choice of different brand. The different function of the product can meet different consumers instead of the different brands .Nowadays, the company adopt the diversification of product to satisfy the different consumer ,such as theThe Assignment is provided by UK Assignment http://www.ukassignment.org shampoo of P&G Ciairol is focus on the young group and head shoulders is focus on the people who want to removal antidandruff.#p#分页标题#e#
Purchase decision
In the stage of purchase is the behavioral intention to buy (Peter & Olson, 1994, pp 166) through the evaluation of the product, the consumer will buy the products. However the consumer maybe depends on different situations delay or not to buy the products. The mashed potatoes are a kind of based food of the people’ life and it is easy to buy. The purchase decision will be change by the other situation, such as the product distribution channel is not convince to the consumer and if the consumer busy with their work and they have no time to buy it.
Post Purchase Behavior
According to the Peter the post purchase is means the reevaluate consumers’ decision choice after they used it (Peter & Olson, 1994) as the common situation, if the company provide a good service and product to the consumer, they will re-buy the product. However the limitation of this is if the product and the service will change, the company will lose these consumer who like the original product. Such as Coca Cola, the core product is the classical cola by the fixed taste, then they want to increase their market share they develop new taste. The loyal consumer will lose interest in of the company.
It simple to say the decision can be form in collect information, evaluation of the alternative and make the purchasing decision. Robert (1990) noted there also has different functions in the stage of decision making, such as the process of the decision making is not follow the strict logical sequence.
2.2.2 Types of consumer buying behavior
According to Krugman (1965) there are two levels of involvement in consumer purchase decision that is high involvement level and low involvement level. (Robert, 1990, pp 8) High involvement products for which the buyer is prepared to spend considerable time and effort in searching. The decision making process is more complex than low involvement product’s. The consumer will take more time to compare the different brands and collect more information before their make decision. And the low involvement products are bought frequently and with a minimum of thought and effort. It is easy to get the product and not have great impact on the consumer's lifestyle. (Business dictionary) However each product can not be distinguished to the high involvement or low involvement. The different consumers will have different motivations to collect the information which product they want to buy. Assael (1998) pointed base on the product which the consumer are willing to buy, there are four types of consumer buying behavior.
Complex buying behavior is the consumer will collect more information and compare with the alternative before their purchase.
Habitual buying behavior is where the individual buys are base on their habit such as the consumer is loyal to one brand or same product.
Variety seeking buying behavior is where the consumer likes to buy and experiment with different products.
Dissonance reducing buying behavior is when buyer is highly involved with the purchase of the product, because the purchase is expensive or infrequent. (#p#分页标题#e#http://www.learnmarketing.net/consumer.htm )
High involvement Low involvement
Significant difference between brands Complex buying behavior Variety-seeking behavior
Few difference between brands Dissonance-reducing behavior Habitual buying behavior
Source: Adapted from Kotler (2000) and Assael (1998)
As a critical analysis to look at the four types of buying behavior that the consumer has different buying habits. The buying habit also base on their personal lifestyle and their buying consumption concept. Such as the Chinese housewife they like to compare several times when they buy the product and like to collect the information before their purchase.
2.3 Consumer purchasing decision
The consumer’s purchasing decision was made by six stages and it also is influence by some factors. Peter (1995) pointed the environmental variable and personal disposition and motivation can not be left as mere speculation, but it will be informed well.
2.3.1 Psychological and personal influence
According to John & Orville (2005) the consumers ‘decision making process is be influence by psychological include perception, memory, needs and attitudes. The consumers’ personal characteristic like demographic and lifestyle affect the psychological factors. And base on the Maslow (1970) the human needs and wants will be dividing into five levels, such as physiological need, safety need, social need esteem need and self actualization. The Maslow’s hierarchy of need is be used in the consumer buying decision-making ,the company should base on the consumer’s need to provide different service to satisfy the different consumer who stay in the different levels .The consumer’s real buying action will be influence by their memory that the last purchasing action, if the company serve well for consumer ,they will like to buy it again. The purchasing experience will also change consumer’s real action.
2.3.2 Social influence
The consumer’s purchase active also influence by the social influence that is include culture ,subculture ,social class ,reference groups and family.(John &Orville ,2005,pp 125)With the change of trend and different culture ,the consumer’s buying decision will be changed. James (1968)pointed the cross-cultural difference is offer the insight special buying decision. The globalization and mixed culture, the consumer’s knowledge will increase and change the buying option. According to Peter (2004)that social environment includes face to face interaction among small group of people. The family and the reference group will influence the decision maker, such as commend the same brand and same place where can buy the product. The consumer’s knowledge and the reference of the product and the outlet will influenceThe Assignment is provided by #p#分页标题#e#UK Assignment http://www.ukassignment.org their decision-making and increase their consumption behavior.
2.4 Segmentation, targeting and positioning
Any company can not satisfy the whole consumer of the industry ,the company should segmentation ,targeting and positioning the market in order to maintain the low operation cost. John (2005) market segmentation can be defined as the process which divide into subset of the consumer who has the similar needs and characteristic and also lead them to response similar way to a special product or marketing program. The argument is the three decision process start will consumer’s specific requirement and different need and demand. That is the consumer who has the similar preference will be as the same segmentation. According to the Porter (1985) market segmentation do not need a purely adaptive strategy: The market segmentation consist of the selection of specific segments that serve a special product to complete with their competitors. This application of market segmentation serves the purpose of developing competitive scope, which can have a "powerful effect on competitive advantage because it shapes the configuration of the value chain." (Porter,1994)
Gunter and Furnham (1992) prescribe that develop positioning after selecting target markets. However, Aaker (1996) recommends developing the positioning objective only after the brand identity and value proposition have been developed. Kotler
(1994) added the recommend that is the positioning as the unique selling proposition. It means the positioning is more emphasize the different category of products.
.
2.5 Conclusion
The consumer buying behavior is a complex process that includes such need recognition, information search, evaluation of choices, purchase decision post-purchase behavior. The psychological ,personal and social factors will influence the consumer decision-making. With the economic growth and globalization, the consumer pays more attention to their lifestyle and living standard. The mashed potatoes are a popular product in Western County and it is a new product of China. The consumer has the different understanding of the mashed potatoes. It can accord the local culture and consumer specific knowledge to make the segmentation, targeting and positioning the whole market. As the new product it should focus on the specific marketing strategy to improve the traditional method. The traditional method is lack of the information ,technology ,trend and the marketing opportunity. It should create a new way to stimulate the consumer’s consumption and change their buying reference. The author will deeply understanding and research in the details in order to know the consumer reference and the decision-making process.
3. Methodology
3.1 Introduction
This part takes the details for which methodology will be used in analysis the secondary data and collecting primary data. According to Walter (1982), if the manager establishes company strategy and plans, they should make them basing on the marketing research. The research methods are very important for the managers when they do the effective marketing research.#p#分页标题#e#
3.2 Formulating and clarifying the research topic
Basing on the literature review, the consumer purchasing decision will be made by five stages. The project will collect the information about consumer’s real needs and wants, then according to the different segment to improve the mashed potatoes and acquire the market share of Northeast China. That means not only focus on meet the existing market, but also acquire the potential market. The mashed potatoes are a maturity product of Western country and it also has a stable market share. However, it is a new star product in Chinese market. The people should take some time to accept it and like it. Therefore the marketing research should focus on the consumer buying behavior and their motives to know consumer’s purchasing psychology. With the globalization and culture complex, the Chinese people have changed their eating habits. Especially for the young generation, they are more interest in the new goods and taste new lifestyle. The mashed potatoes as a fast-food and snack are easy to be accepted by the Chinese people. As the buyer market, it is very important to know consumer’s needs then design their products.
3.1.1 Research objective
To investigate consumer’s buying motivation
To investigate consumer’s buying psychology
To investigate segmentation of the consumers
3.2 Research process
An effective marketing research should be following the right process. According to Paul and Carol (2004) pointed, the marketing research will begin with systematic information collection, then analysis and interpretation the existing information, using the relevant information to make the final marketing decision.
The marketing research process(Sources from Marketing Research in Practice, PP 12)
In the brief part, the research should declare the background of problem or research issue. That includes the reason that causes interested in the issue and what information is effective to make final decision. That is also a clearly objective of the marketing action. Before have a clearly objective, how to collect the information and which method will be used, it is the main problem will be solved in the problem proposal. The proposal is also a guide of the whole marketing strategy. That isThe Assignment is provided by UK Assignment http://www.ukassignment.org including the timetable of the whole research and how much money will the corporate spend on the research and how to which method will be used to collect the accuracy data.
A useful marketing research should include qualitative research and quantitative research. Base on Aaker (2000), the quantitative research is focus on the measurement of market. That is a description of the market and includes market scale, purchase frequency, brand share and other items. The quantitative research is make an overview of the current situation and has a widely research ranging. The quantitative data has a high requirement of information accuracy, because the quality of information is reflecting the decision directly.#p#分页标题#e#
Compare with the quantitative research, the qualitative research is concerned with the consumer’s and salesperson understands. It should know consumer’s motivation when they purchase the product and also know their understanding of product and brand. The qualitative research is focus on a specific view to collect the information and it is deeper than the quantitative research. Other hand, the quantitative research is more widely of the information ranging.
Finished the quantitative research and qualitative research, it should analysis the research information. Combine all the information and use the information to find the current situation and solve the problem. Then make the final marketing plan.
3.3 Research philosophy
The research philosophy is made according to the positivism and realism. The positivism prefers working with the social reality and product can be produced by the physical and natural scientists (Remenyi et al. 1998). The research is undertaken and the research should collect more information to support the research. That is the first feeling for the research objective by the research, and the research should analysis step by step. That is including the researcher feeling when they do the personal interview. Sometimes the researcher personal feeling will influence the investigator’s answer. The theory of realism is the external force will influence on the individual mind. It is also divided into direct realism and critical realism. According to the Mark (2007) direct realism is that the information what you see and what you get, and the critical realism is the information was not only base on what you see, but also by the researcher experience.
3.4 Research approach
This project is adopt the deductive approach that is deeper understanding and knowledgeable with the research as scientific research (Mark, 2007). This project was combined the theory and real data to find out the result in order to solve the research problem. The research is furthermore on the consumer daily food consumption in order to forecast the potential market for the mashed potatoes. Using the secondary and primary data to know which factors will influence consumer buying behavior and what is the consumer buying psychology.
3.5 Research strategy
The suitable research strategy should answer the research and meet the research objective (Mark 2007). Base on the existing information to analysis the current situation in order to solve the problem. The project uses the survey strategy to continue the marketing research. The author is using the questionnaire to investigate the consumer buying behavior. From the questionnaire, it is easy to compare the consumption situation that people in different ages of people have different buying psychology.
3.6 Secondary data
Base on the definition of secondary data that is not gathered of the immediately study at hand, the data is not collect by the current user (Bilbert, 1999). It also include internal and external data, the internal data is focus on sales invoices and salesperson’s report. And external data include the published and commercial data, that the data from financial report and store audit data.#p#分页标题#e#
Compare with the primary data, the secondary data has some own advantages and the most significant is costly and time economic for the market researcher. When the researcher log on the internet and go the library they will find the source which they desired. It is very costly and quickly to find the existing information. At the same time, the information is often available and it can enhance the existing primary data (Alvin & Ronald, 2000) but other hand the secondary is often out of date and not quite relevant for the specific purpose. Sometimes the secondary data is lack of accuracy and bound of error.
3.7 Field research
The primary data is originated information which collects by the researcher for the purpose of investigation (Bilbert, 1999). The mainly advantage of primary data is in-depth understanding and in date of the investigation. It is more relevant to the research. The primary data provide quick, efficient and accurate information of the target group (William 1997). However it takes long time and spends more on collecting the primary data. Because of the cost and time, maybe the research is narrow and no width.
The primary is useful tool to know consumer’s needs and want, especially for the new product and expansion in the new market. The project is aiming to use the method to collect primary data in order to know consumer’s purchasing psychology and make a suitable marketing action plan. There are some methods to contact the consumer and collect the data, such as face to face, phone mail and internet. In order to acquire the accuracy and keep the high response rate, the author take face to face as the main method to collect the information.
3.7.1 Interview
As a rule, the interview includes depth interview, face to face interviewing and telephone interviewing. The mashes potato is a kind of necessaries of consumers’ life and the purchasing frequency is high. It easy to contact with the final consumers, hereby is more costly to choose the face to face interviewing that is also can be named as personal interview. Through the personal interview, the research contains the opportunity to get the feedback of the investigator. That also can probe the complex answer, the research have time to know the answer more directly and clearly (William, 1997).Other hand, the depth interview is not suitable for common指导留学作业提供指导Essay,指导Assignment,请联系QQ:949925041 consumer, because the depth interview will take long time, and the purchasing time for consumer is limited. If the research is including too many problem and difficult to answer, the consumer is not willing to do the interview. Use the face to face will get a highly response rate and investigate consumer’s psychology more accuracy. The researcher will investigate the expression of the consumer in order to estimate the veracity of the interview.#p#分页标题#e#
The interview divided into two part, one is interviewing with the salesperson and the other is interviewing with the consumer who shopping in the supermarket. Interviewing with the salesperson, it can know the sales of the current market, how large of the existing market size and how to improve the sales method. And connect with the consumer in order to know their awareness of mashed potatoes, what is their expectation of the product.
3.7.2 Questionnaire design
The questionnaire is a formalized set of the question in order to collect respondents’ information (Naresh, 1996). The questionnaire should be set of specific question which the respondent to answer it. Questionnaires are a useful tool to investigate the consumer’s psychology. The mashed potatoes belong to a kind of staple food. There is no specific requirement for consumer. The author handed out the questionnaires to the public place. In the North East China, the usage rate of internet rate is not quite. If adopt the internet questionnaire, the investigate outcome is not comprehensive, some consumer are not log on the internet, and the response rate is quite low. Hereby the author chooses handout the questionnaires in the shopping mall center and traffic where has a large amount of people. It also chooses fast-food restaurant and supermarket as the data collection location. The sample is width of these places. The author does the questionnaire to know consumer’s consuming habit of staple food and mashed potatoes.
In the staple food questionnaire, the beginning it should know the consumers’ brief background. The question 1 and 5 are aiming to investigate how much money consumers spend on their daily consumption. That is to know consumer’s purchasing power and how much money they want to pay for the food. From question 2 to 4, it is investigate consumer’s requirement of the food, what type of the taste. That can help the producer to innovate the products. The questions from 6 to the end are the place of the product, and the consumer’s purchasing location that buy the food.
And on the questionnaire of mashed potatoes consumptions, from question 1 to 4 are the research of potato consumption situation and the awareness of the potatoes. From 5 to the end there are the consumption situation of the mashed potatoes and the taste of the mashed potatoes.
3.8 Conclusions
From the literature review and research objective, the main issue is to know what factors will influence consumer’s buying behavior. The project is fellow the research process to make a marketing research and use secondary and primary data to collect the consumer’s information. Through that method to know consumer’s needs and buying psychology.
Finding
In this part, the article focuses on the primary and secondary data to describe the consumption situation of North-East China. Through the economic index and people daily consumption, the author makes an analysis of the potential market.#p#分页标题#e#
4.1 Finding of secondary data
4.1.1 Economic situation of North-East China
While the economy in China is rapidly developing, the leaders pay more and more attention to the North-East area. Northeastern China locates between Russia and Korea. The straight distance to Japan is 300km. In the recent decades, the local government opened the market and made new policy in order to stimulate the economic growth. The series policies lead to attract more foreign investment and speed up the total consuming amount. From the year of 2000 to 2007, the fixed assets investment grows rapidly. The GDP of 2007 is 2.33 trillion, which is double of the year 2000(China economic, 2006). Considering the well recommended external environment, more and more foreign investors are interested in the market and willing to act more projects. In 2007, the total amount of international trade in northeast China achieved 87.1 billion U.S. dollars. It is 170.6% more that it in 2002(China economic, 2006). This booming economic background benefits the people in daily life. The consuming content is more and more modern and western style. It changes peoples wearing, living and eating habits. Traditional Chinese food is not the only choice any more. Teenagers are even more exhausted on junk food.
There is a large population and high population growth rate in Northeastern China. Until 2005, the population reached 1.07 trillion that is 8% of the whole country and 61% people live in the urban. With the highly economic development, the urbanization rate is 53.9% in the year 2006(China economic, 2006). That is much higher than the average level of the whole China.
4.1.2 Consumption situation of North-East China
Rapidly economic growth led to the development of accommodation catering industry in the North-East China. In other hand, the income level of people has increased and stimulates the daily consumption. The total consumption is 836.04 billion RMB in the year of 2007 and it grows up 17.6% than it in 2006. Especially in the food and beverage industry, the growth rate increases 44%. With the highly income and cultural complex, more and more people pay attention to their quality of life and change a healthy lifestyle. According to the food consumption, the North-East people are more interested on the food which is nutritional, healthy and convenient. The demand of food is in various forms in the recent years. While the average income goes up, food and beverage consumption increases指导留学作业提供指导Essay,指导Assignment,请联系QQ:949925041 either. Especially the young people are willing to try new tastes. So that the western food is more popular in the Chinese market now and enter their daily life. The mashed potatoes is a main food within western cultural, it will has a large potential market in the North-East China.
4.2 Finding of primary data
In this field, the research conducts interview and questionnaire to collect the customer information in order to know consumer’s purchasing psychology.#p#分页标题#e#
4.2.1 Finding of interview
The project adopts interview as a significant tool. The content is talking with the salesman in enterprises and some consuming customers. From this part, the article will search which factors were effecting consumer’s purchasing motivation and psychology. Through the consumers’ reaction in the interview, it can be observed to monitor their mood, attitude, and body language.
4.2.1.1 Finding of the seller
The seller emphasize that the mashed potatoes is necessary food of consumer’s daily life. It is not only a kind of snack, but also a kind of staple food and full of nutrition. And most people consider potato as a raw material, the finished product is healthier. Meanwhile cooked potato seems a kind of green and convenient food. It is very important to distinguish the mashed potatoes and common potato goods such as fried potatoes and potato chips.
In the other hand, a sense of uncertain product will influence consumer’s buying behavior when the consumers make purchasing decisions. Thereby, as the producer should build consumer’s purchasing confidence of their motives and avoid the psychological insecurity. As the research the main factor of insecurity are information asymmetries and lack of commercial credit. In Chinese consumer’s market, some producers are not willing to public their production processing chart to the consumers. Even the consumers have no idea about the company and the products. Nowadays, some companies were deceived the consumer that terrible company is raiding the market.
When the company makes the promotion activity, they are not only promote the product but also public their corporate goodwill in order to let consumer build confidence about the corporate.
4.2.2 Finding of questionnaire
It is using the questionnaire to know the consumption level and structure of consumer in the North-East China area. It also knows the consumer’s buying behavior, the knowledgeable of mashed potatoes and which taste is most suitable for them. How much it costs can be accepted by final market.
4.2.2.1 The basic background of investigate group
The age distribution
(The table was created by the author)
Our total sample is 110 people. According to the table, the people of 30-39 years old are more than others. This group is the main participants in the daily purchasing. The people in this age are almost married and have children. In China, people have tradition to take care old parents. So these middle-age people will buy food for themselves, their children and their parents. Meanwhile these people are busiest people. They are suffering the pressures from their job, external environment, and the family. They need easy cooked food to save time.
Gender distribution
Because the questionnaire papers were handout on the street, the male investigators are quite less than female ones. In the food consumption, female’s purchasing power is much stronger than male’s. In the research process, there are 33 males and 77 females.#p#分页标题#e#
(The table was created by the author)
(The table was created by the author)
Combine with the two charts, both male and female, the group of 20-49 is a main purchase participant. It is obviously clear for the people from 30-39 years old.
Education background distribution
(The table was created by the author)
From the sample, the most of investigators are with the bachelor degree. Any way, the questionnaire is taken in the urban. The education level is higher. The people with high education background are more careful about the time they spend on meals. They would like to spend more time on others like entertainment. They also would like to have western fast指导留学作业提供指导Essay,指导Assignment,请联系QQ:949925041 food more than traditional Chinese food. It was thought as a fashion.
Occupational background
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Income situation
(The table was created by the author)
According to the table, the income of north-east is around RMB1, 000 to 2,500 per month, which is around USD150-USD400. The group includes the people at institutes and the students who get the money from their parents.
From the investigation group, the main participant is female on food consuming. And the middle level income person and student have highly purchasing power. The person who works in the institute is the mainly purchasing participants. They have capability to consumption and they have enough time on their daily dinner.
4.2.2.2 The analysis of staple food consumption
The expenditure of staple for investigate group
(The table was created by the author)
According to the questionnaire analysis, different consumers will have different expenditure plan for their daily purchasing. The most investigators spend 500-800 RMB on their staple food consuming. Their daily consumption is around 17-27 RMB. Nowadays, the most Chinese family only has on child and the family member is 3. So the one person’s consumption is 6-9 RMB per day.
On their eating habit, most people pay more attention on the dinner. Because in the morning, the young people are hurry to work, they always eat convince food as the breakfast in order to save time. As the office man or lady, they often have lunch on the work place. Finished the work and come back to home, they have enough time to cook and have enough time to eat them. The expenditure of purchasing material for dinner is much higher than breakfast and lunch.
The taste analysis for investigation group
(The table was created by the author)
From the chat, the taste for breakfast is can be divided into sweet taste and salty taste. In the investigation group, 61% prefer their breakfast as sweet taste, eat the bread and milk instead of Chinese conditional food such as porridge and pickles. Their taste influenced by the western cultural step by step, more and more family accept the western taste.#p#分页标题#e#
Lunch is more important than others. Through the table, more people will choose meat tastes that mean they like to eat more fresh such as pork, beef and chicken. In their mind, especially for the young woman, they concern with their stature and beauty. They eat more healthy and energy food in order to complement the necessary nutrition. So the people are willing to buy meat taste and vegetarian food as their lunch. But there is also have 19% the investigator pay less attention to the quality of the food. These people are busy with work and have no requirements for the lunch. Only fast –food and convince food is enough.
As the traditional eating habits, the Chinese people are empathizing on their dinner. They will choose meat food as their dinner. They work whole day and need cook perfect dinner to reward them. It is also a wonderful time because families will sit and eat together. However the eating habit has been changed from the research 41% investigator choose vegetarian food to eat instead of the meat. 29% investigators even choose convince food, because they feel so tired after work. When they come back home, they just want to relax themselves. They are not willing to spend more time on cooking the dinner. With the economic development, more and more people are super nutrition, that is bad for them health. They want to adjust their eating habit to make healthier and keep fit. Even some family don’t eat dinner, they only eat some fruits instead of traditional food.
The requirements for the staple food
(The table was created by the author)
Each customer has different requirement of its daily consumption. From the chart, most people are concerning the taste and health. Then they will consider whether the food is easy to cook or not. And the food is valuable for the existing price. Less people will consider the brand when they purchase staple food. The brand image is指导留学作业提供指导Essay,指导Assignment,请联系QQ:949925041 play less important role in the consumer’s staple food consuming. Comparing with oldies, modern people would like chosen green and nature food.
The taste investigation
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Of consumer daily consumption, different consumers prefer different tastes. In the investigation group, the most popular tastes are beef taste and chili taste. It is nearly 50% the investigators choose and like these taste. It is also a Chinese traditional taste and a common taste of their daily consuming. Through the investigation, the different people of different ages have different taste preferences. The people from 5-29 years old would like to accept the new taste such as chocolate, coffee and fruit flavors. And the age over 30 is prefer the traditional flavor such as salty and meat flavors. The male prefer the strong flavor and female like sweet flavors.
The expenditure of meal #p#分页标题#e#
(The table was created by the author)
As a rule, the expenditure is not quite high when the consumers having a meal by itself. In the investigate group, most consumer that around 45% are willing to pay around 21-25 RMB for their lunch or dinner. And 25% are willing to pay 15-20 for their meal. Fewer consumers are not sensitive for the price of staple food. There are only 5% are not consider with the price. Compare with the last five years, the consumption of food was increase 35%. That means more and more people prefer the quality meal not only concern with the price. The food market has a highly potential market to development.
The main distribution channel of staple food
(The table was created by the author)
The producer of staple food sets up different distribution channel to sell their product. That includes supermarkets, convenience stores and food shops. With the highly economic development, the quality of life has been improved in the recent years. 60% of the investigators choose supermarket as their mainly place where purchase the staple food. And 18% will choose convenient store to buy the staple food. It also has some investigators choose other place to purchase staple, but the proportion is quite low. It become a new trend that consumer are willing to buy the goods from the supermarket.
With the economic development, the consumption level of north-east China has increase significantly. The consumer not only requires the more types of merchandise and higher quality merchandise, but also require more convenient and better shopping environment. The supermarket can meet these consumers’ satisfaction, especially in the mainly big cities.
The purchasing power of new product
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When a kind of staple food launch to the market, most people choose to find it on the shelves. With the research, there are 38% of the investigator adopt this purchasing behavior. Then promotion effective is also a mainly factor influence the consumer buying behavior. There are also some consumers are accept their friends and owner recommend to buy the products. The TV advertisement is not quite effective for promoting staple food.
As usual, the producer will use mass media, interpersonal communication and personal experience to promote their new products. Staple food belongs to necessary of consumer’s daily life. Interpersonal communication is the most effective tool for the staple food. It can help consumer to change the new taste and change their attitude. Through the research, more female consumers are influencing by the product’s word of mouth. And the young people will influenced by the popular trend. So when the new product launch the market, it is very important to establish a good reputation and keep a good relation with these early buyers.
The requirements of food packaging
(The table was created by the author)
There are 60% of the investigators are pay more attention on safety and health packaging when they choose the staple food. That means if the consumers’ see the product is much better. So the transparent packaging is also play an important role to influence consumer’s buying psychology. Most consumers are not pay attention to the beautiful color of staple food packaging. #p#分页标题#e#
The consumers are curious to the new product, but they often concern with safety and healthy issues. It is necessary to eliminate the safety issue for the new products. It can emphasize to promote new product is safety and healthy goods. It is good for their healthy. It can help producer build a good brand image and enhance the confidence of consumers.
4.2.2.3 Investigation and analysis of mashed potatoes consumption
(The table was created by the author)
According to the research, there are 98% of the investigator eat potatoes, and most of the consumers are often eat it. Potato is thought as a common and popular food on consumer’s daily consumption. And more people have some basic knowledge of potatoes and as long as the day taste. The price is suitable for the people, even the people who sensitive to the price. If the taste and the selling price are right, the people are willing to accept mashed potatoes. According to the special area, it is quite necessary 指导留学作业提供指导Essay,指导Assignment,请联系QQ:949925041to research more information.
Understanding of potatoes
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Most investigators know the potato’s nutritional value is only a little. The awareness of them is only stand at the surface of the potato. Even some choose total lack of understanding of potato’s nutritional value. It can be found, potato is only a common and traditional daily consumption goods. It needs a long-time to promote the nutritional value of the potatoes.
The function of the potato
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There are 53% the investigators consider that potato is a health goods with highly nutritional value. There are some investigator think that there is no special nutrition with the potato. There are only 3% of the investigator knows the potato can keep fit. It is popular goods for the women who want to keep fit.
If the enterprise introduces the nutrition value of the potato, more consumers will know the value of potatoes and accept it.
The understanding of mashed potatoes
(The table was created by the author)
By the research, 92% investigators heard about mashed potatoes and 75% investigators have eaten it before. There are 58% investigators like mashed potatoes and are willing to buy it. The most people consider the mashed potato is a kind of staple food or dish. The research result is quite similar with research of the potatoes. There are also some investigators consider potato is a kind of green food. This is determined by consumer’s long-term eating habits.
The price investigation of home-made mashed potatoes
(The table was created by the author)
The selling price of KFC’s mashed potatoes is 5 RMB. Compare with that price, 28% investigators are willing to spend below 3RMB to cook mashed potatoes by themselves. There are also 34% investigators are not sensitive to the selling price of home-made mashed potatoes. If the taste is good, the making price is less important. The selling price is influencing by the product’s quality.#p#分页标题#e#
4.2.3 Analysis of the mashed potatoes
4.2.3.1 The basic situation of mashed potatoes
International consumption situation of Mashed potatoes
In the United Kingdom, Australia, New Zealand, Germany, Russia, Canada, Italy and other European countries, mashed potatoes are essential to people’s daily life and it is a one of the four major food. In these countries, annual per person’s potato consumption is 100 kg. That amount is almost the same as the consumption of food.
Domestic consumption situation of mashed potatoes
Most domestic consumer recognized the mashed potato is a kind of dishes, especially in the northeast areas. And the vast majority of people still think the potatoes are not a substitute for rice and other staple food. With the economic development and cultural complex, the Chinese consumer is more or less influenced by foreign ideas. Some people with high education background knew the nutrition of the potato and accept to eat mashed potatoes as a staple food. At the same time, the nutritional value of potatoes was known by more and more Chinese people. They begin to accept this new type of food.
At the present, only KFC and McDonald provide mashed potatoes for the Chinese consumers. That means there has a big potential market to development.
With international practice more and more quickly, a number of European and American products will gradually be introduced to the Chinese people. These goods will enter consumer’s daily life. The mashed potatoes as the main food of European area it will find t a larger space for development.
The functional of mashed potatoes
First of all, the people are not worry about excess fat when they eat potatoes. Because it is only contains 0.1% fat of one kilo. Eat potatoes every day can reduce the fat intake and gradually to eliminate the excess fat. If the people want to lose weight, they can make mashed potatoes to instead of other staple food and dishes. Insist on eat potato, it is good for your healthy and it is also an effective way to prevent excess nutrients.
Secondly, in people's impression that soybean consist a great deal of protein and known as health food. However, both the protein content nutritional value and health care functions of potato are much higher than the soybean. According to expert analysis, the nutritional value in 0.5 kilograms of potatoes is equivalent to 2 kg apples. The mashed potato is a kind of green and healthy food.
Finding on consumer buying psychology
Basing on the literature review, different target groups have different purchasing psychologies. These purchasing psychologies were influenced by consumers’ social factors and personal factors. It is totally mental reaction. From the personal factors, it will be influenced by different genders, ages, occupations, income levels, and education background. The finding focuses on the different ages to analysis different purchasing psychologies, and how the consumers are impacted by those elements. According to the research, the most investigators are females. So it is necessary to know females purchasing psychology clearly.#p#分页标题#e#
4.3.1 Purchasing psychology of children
Because the children are not independent, they are lack of own ideas when they buy the products. Normally the children are not clear with what they really want and desire. They are lack of knowledge and living experience. But they have a highly purchasing desire, especially when they seen the brilliant TV advertisement, or which only belongs to their friends. They are easily affected by surround environment and they always copy their company’s behavior. This 指导留学作业提供指导Essay,指导Assignment,请联系QQ:949925041situation will encourage them to own that products. It is very difficult to know children consuming psychology. They always buy the goods only depend on their curiosity. It is very important to stimulate their interests on the goods.
Although the children’s purchasing psychology is difficult to understand, at the same time they are lack of own desires. However, they are easy to accept new things and easy to influence by the promotion activity. And the mashed potato is a popular kind of food for the children group. It is necessary to hold and attract more children to consuming it.
4.3.2 Purchasing psychology of teenagers
Thinking ability of young people has made a significant progress. They are able to consider the issue by themselves and have the ability to select the goods which they like. The young consumer’s purchasing psychology is complexity than the children’s. At the same time, they have a lot of knowledge and living experience. Their large amount of information and economic capacity help young consumer to decide which the best one.
The young people are full of their own ideas and like to catch up the trend of the times. They have a strong spirit of adventure and creativity. In the daily purchasing process, the young people pay more attention for the appearance of merchandise. At the same time, they also requested the merchandise in trend and it better use modern technology. As a rule, the young people pursuit of enjoyment, fashion and unique goods.
Most young people prefer special goods in order to distinguish their characters and show their personalities. They will consider their age, position and interested when they purchase the goods or choose the eating place. Other hand, if the young people are interested in the food, they are not sensitive to the selling price and producing method. Such as the KFC mashed potatoes, the young people, especially for the young students are love to eat them. They are not pay attention to the nutrition of potato, they only concern with the taste and eating environment.
4.3.3 Purchasing psychology of the aged people
With the age increase, the aged people’s perceived ability and physical strength are decline. Especially compare with the youth, so the aged consumer like good service and also many elderly people have "a sense of nostalgia" and be trusted and loyalty for the old brand. They often confuse on the new product, new brand and show their psychological worried. In their shopping process, the elderly enjoy the product which is good for healthy and prolong their life. The healthy promotion is more effective for the aged group. Compare with other group, the aged people are more loyalty for the product. If they trust in this brand or product, they will not easy to change it. But at the same time, if they lose confidence for the brand, it would be difficult to retain their purchase. Most aged people like shopping with their friends, so the word of mouth is more important for the corporate. #p#分页标题#e#
4.3.4 Purchasing psychology of female buyers
Considering the investigated group, the youth females are the main purchasing participants. Especially it is very obvious on the food procurement. If the corporate know the youth female buying psychology, it can strengthen their sales.
With the standard of living improve continuously, more and more women pay attention to maintain their body image. Concerned with beauty is the nature of female, it also fully reflected their daily consumption. Most of the women consider the food and product which whether can maintain its beauty. Especially in recent years, more and more women tend to buy slimming food. As long as it has a clearly effect, they never care about the selling price.
Trough the research, the female emphasizes emotion promotion. They are interested in the colorful advertisement. If the food advertisement is looking more delicious and attractiveness, the female will believe advertisement and buy the food.
Compare with last ten years, the female employment rate has been increased. They are not only a housewife, but also an office lady. More and more female take less time on cooking, and they prefer the finished food and semi-finished food. Because of the time limitation, they like to choose larger supermarkets and convince stores when they buy the food.
As a rule, Female consumers have a strong sense of self-protection and of sensitive to the social environment. They are more empathizing for their self-esteem and self-psychology. Usually, they will consider their own vision, and preferences to evaluate the other people and goods. They like go shopping with friend but they are hate wear the same clothes with friend. They do not like others to emulate their own style. In shopping process, salesperson’s attitude and language impact on female consumers’ buying behavior.
Finding on segmentation, targeting and positioning
4.4.1 SWOT analysis of the existing mashed potatoes market
Strengthen
First of all, the staple food is one of the necessities and it also occupies the important position in people daily diet. With people’s real income rising and residents of Engel's coefficient was decline, the consumer spending power has increased. At present, the competition is quite low in the Staple food market. However, the potential market is quite large and has a good prospect for development.
Secondly, as people's living standards improve, the eating habit of Chinese people has changed fundamentally. Some people are not willing to spend time on cooking food. More and more people are inclined to fast food, or semi-finished food. Because these food are not only save time to cooking but also more convenient to carry and use. At the same time, the people’s income of the rural area has gone up and their diet has been improved. The demand for processed foods and finished goods are increase significantly.
From another hand, the ripe consuming stimulates the demand for semi-finished goods. And the government carries out the long-time holiday in order to encourage people consuming more. With that situation, the awareness of people's leisure has increase. More people have a new understanding of finished goods. These kinds of food will help them to improve the efficiency of work and livelihood. It can change people’s lifestyle and pull the normal consumption.#p#分页标题#e#
Weakness
Mashed potato belongs to a kind of necessities, because the manufacture is lack of brand awareness and also the consumer are not consider the brand when they purchase the mashed potatoes.
In recent years, the manufacturers aware of the importance of brand value gradually. Enterprises with Large scale plan to expand their production and invest more on product research and development in order to enhance their competitive advantage. Other hand, the convenience staple food is no clear concept of consumer’s mind. It is necessary to set up publicity and change people's concept of daily consumption.
Opportunity
More and more consumers have brand awareness when they purchase the product. If the manufacture set up their own brand and get a high reputation, their sales will stable in the long-term running. From the research, the loyalty of male is much stronger than the female. If the male consumer satisfied with your product, they are willing to buy the product again and won’t to change the brand.
From 2005, with the development of grain market, it brings a new opportunity for the mashed potatoes product. It becomes a new trend to consuming these healthy foods.
Threat
In the Chinese market, only KFC and McDonald provide Mashed potatoes.指导留学作业提供指导Essay,指导Assignment,请联系QQ:949925041 The mashed potatoes belong to a blank state of the food industry. It has a big potential market. However, if the market is mature and low barrier to enter, a large amount of the competitor will enter the market to acquire the market share. The formation of scale and one must have a follow-up are many. At the same time, the enter risk is high because of the corporate will spend money and time to educate the consumers.
4.4.2 Consumption condition of people in different ages
Connection with the literature review, no company has capability to cover and sever the entire consumers at the same time, use the same product. According to the mashed potatoes industry, it is necessary to know the different need and want with the different groups. In this part, the author will divide the whole market into different pieces depend on their age. The different age of people have different purchasing psychology.
4.4.2.1 The consumption situation of 5-19 years old consumer
The age from 5-19, most are the young student, they are growing up in the E times and influencing by the internet and computers. They are good at controlling their own environment than any previous generation. They have a larger demand for the new product which is with high quality. They not like the selling cheat their feeling that sell the bad quality product to them. They like special goods, but not be a low-price. They concern with the quality of product but neglect the durability of them. Because they like to accept the new things and have a highly change frequency.#p#分页标题#e#
According to the research, the staple consumption of age from 5 to 19 is around 300-500RMB. They like to choose western food as their breakfast such as milk and bread. And in the lunch time, they prefer the meat instead of the vegetables. Sometimes, they will choose the convince food in order to save the time. In this segmentation, the taste is more important, they prefer milk and meat taste. They are willing to compare the taste when they purchasing the products. This group of consumers is buying the product as their wish, they don’t choose the fixed one to buy it. They like to go to the supermarket which is nearby their school or home. The student is not sensitive to the price promotion, but the corporate can launch the product with the toys, it can be attractive for the young students. The young student has a strong curiosity to the new taste and new goods. They are eager desire to know the new things and willing to taste. In the daily consumption, they trusted by their first feeling, thereby the newfangled promotion activities is more effective for them.
Due to existing eating habit, they often eat potatoes in their daily life. The majority of people know the nutritional value of the potatoes. They also consider potato can prevent the disease. Most of the young students think potato is a kind of vegetable that base on their earlier education. They like to eat the fast food and that is a trend in the young people. All of them have heard about the mashed potatoes and eaten the KFC mashed potatoes. Most of them are like the mashed potatoes and its taste. They are more inclined to purchase the finished goods rather than cook at home. If the mashed potatoes with a good taste and high quality, they are not too sensitive with the selling price.
It can be seen that these people have very strong purchasing power, and willing to accept new things. They are not willing to cook the food on themselves and are sensitive to the price. Mashed potatoes are a kind of low-cost snack food, it is easy to received by them and become to their favorite food. This target group has a great potential market to development in the future.
4.4.2.2 The consumption situation of 20-29 years old consumer
The people from 20-29 are the main participant of the consumption. They are open-minded and with higher education qualifications, they are also influenced by Western cultural and network. They have higher income and strong culture of inclusiveness. Other hand, their collective consciousness and family concept are weak. The people of this age prefer to chase the trend, at the same time they are ignoring the price. They also like foreign goods and was highly acclaimed. Their staple food consumption than the 5-19 years old consumer has increased. Most of them are single and just have the right to choose the goods which they would like to buy. Hereby they will become the main consumers of the consumption.
The consumption of these people is 500-800 RMB, even some people over 800RMB. They are pay less attention to their breakfast, both western and Chinese breakfast are OK for them. They like eating meat in their lunch and dinner time. Sometimes, they will choose the convince food in order to save time. They concerned with the quality of the food, so they often buy the products in larger scale supermarket. And they also have a strictly requirement of packaging, they prefer the transparent packaging. When they choose the new product, the first step they will consider about the nutrition and taste. They like to taste the new flavor and foreign products. They are not sensitive to the price, they only consider the quality and taste of the mashed potatoes. #p#分页标题#e#
This age of people are often eating potato in their meals. Most of them think that potato is a nutritious health food, a small number of people think that potato can help people to keep fit. The majority of people consider the potato is a kind of vegetables. Due to accept the amount of information and highly healthy awareness, some people think that potato is a kind of coarse grains. This group of people likes to eat fast food and most of them heard of mashed potatoes. Not all of them eat the KFC mashed potatoes but they give a high evaluation of the mashed potatoes. They have stringent requirements of the taste, and like salty and spicy foods.
4.4.2.3 The consumption situation of 30-49 years old consumer
The people of age 31-40 have experienced China's reform and opening and economic restructuring. They are the high-tech users, with the highest revenue, and strong purchasing power. They accept the foreign culture and have a strong family values. When they are shopping, they are not only concern with the quality of the product, but also sensitive to the selling price. They have a highly nationalism and no obvious tendency to buy foreign goods. This group is the main participant on the staple food consumption.
The daily staple food consumption is around 500-800 RMB. But some people are willing to pay more in order to improve their quality of meal. This group of people is like traditional breakfast such as porridge and pickles. They like meat and convince food in the lunch time and prefer fruit and vegetable for their dinner. These ages of people pay more attention to the healthy and want to keep fit, especially for the women. They like to buy the staple food in the supermarket, but sometimes they buy it in the small outlet which is near the home. The brand recognition is the main factor when they choose the products. At the same time, they also have curious for the new brand and new products. They like to choose the safety packaging product, it had better with the transparent packaging. Most of them think potato with a highly nutritional value. Some of them heard of mashed potatoes, but only a few have eaten the KFC mashed potatoes. They also pay more attention to the taste of the food and like the strong flavor such as sweet, salty and chili.
4.4.2.4 The consumption situation of over 50 years old consumer
Over 50-year-old age groups have experienced the China's "Cultural Revolution", as the backbone of society, their lifestyle is quite stable. Generally, they with low level of education and income are not high. Other hand, their cultural acceptance is weak, and do not like to accept new things. They also have a Strong sense of collectivism, emphasis on family values. When they purchase the products, firstly they will look at the selling price. They also have fixed buying habits, such as the fixed purchase place, time and purchasing way.
Most of the people’s consumption is 300-500RMB. Some of them reach 500-800 RMB, even some is over 1000RMB. Their meal habit is quite similar with the people who around 31-49,#p#分页标题#e#指导留学作业提供指导Essay,指导Assignment,请联系QQ:949925041 but more like vegetables. They also concern with the nutrition of the food. But they don’t like the milk taste, they prefer the salty flavor. They are willing to buy the food in supermarket, and often buy it in the same one. When they buy food, they are not only concern with the brand recognition, but also like to attend the promotion activity, especially for the price discount. It can attract more people, because they are sensitive to the selling price.
Such people often eat potato in their daily meal and have some vague understanding about the nutrition of potato. The potato is a nutritional health and green food. It has the capabilities to prevent disease. Only a few of them have eaten the KFC mashed potatoes, but they are quite interested in it. With the age increasing, their teeth are worse than before. The mashed potatoes with a highly nutrition is easy to eat. If the manufacturer takes a good promotion, it is easy to hold this group of people.
5. Conclusion and recommendation
Through the marketing research analysis, the mashed potato is a kind of convenient food. It is mixed with convenience, full functionality and benefits for people’s healthy. It also can be a kind of staple food. From western diet history, the mashed potato is good to be eating with meat, fish and any other main dishes. Potato is a full energy resource from starch. It could keep the mind clear and resistant of hungry feeling.
The different age of people have different eating habits and purchasing psychology of the mashed potatoes. Hereby, there are some kinds of people and industries with a highly demand of mashed potatoes.
Firstly, they are food service catering, such as the hotel, restaurant, canteens of school. They has a stable demand and prefer the convince food to save the production cost. Secondly, the families who have knowledgeable of mashed potatoes’ nutritional value like the style of western fast food. These group people will like to accept the mashed potatoes and have a stable demand for it. At the last, it is suitable for the people who do not have much time on their meal, such as the office man, students and the travelers. They are busy with the study and work and not willing to pay more time on the food. The mashed potatoes are easy to eat and easy to find it, that is a good choice when they are purchasing. Potato is good for people in any ages. In all styles, there are main dishes cooked by potatoes. However in Chinese food, the dish of mashed potatoes is mixed with traditional salted and fermented soya paste and minced green onion. This is a very popular dish with North eastern barbeque.
Face to the current situation, the Hohhot Mengrui food company should take some action to enter the North-East Chinese market. From the marketing research, the company can follow these strategies to build its brand image and acquire the market.#p#分页标题#e#
Good taste. Mashed potatoes is a Multi-functional health food and with highly nutritional value. All the target groups are emphasizing the good taste, and use the special taste can attract more consumers. The company should invest more in the taste innovation, according to the different people’s taste to produce the products.
The enter cost and risk. Mashed potatoes are new product in the north-east market. Only KFC provide the mashed potatoes to consumers. Hereby, it is a good opportunity for the company to development. But other hand, the operation risk is also high, and will spend more to promote the function of the mashed potatoes in order to encourage consumer to accept and buy this kind of products.
Guide consumption trend. Let more consumer to consume this healthy convince food. If the consumer knowledgeable about the mashed potatoes, they will like to buy it.
In brief, The North-East has a big potential market of mashed potatoes, the company will aim on this market to development. The company will do more research to know the market situation and make the specific strategy in order to stimulate the sales rate.Bibliography
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Paul Christ “Know this marketing basics “Available from: http://www.knowthis.com/tutorials/principles-of-marketing/consumer-buying-behavior/purchasing-decision-process-steps-3-to-5.htm Know this media press
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Appendix 1:
Questionnaire for staple food consumption
Dear friends, your ideas are very important and helpful for us to increase our service level. We would try our best to fulfill your need comfortable and serve you better.
Age: male( )female( )
Educational background:
High school, secondary school ( ) college, university ( ) Master ( ) Occupational Background:
Management staff ( ) technical staff ( )
Service staff ( ) house wife( ) students( )Income per month:
1,000 RMB ( ) 1,001-1,500RMB ( ) 1,501-2,000RMB ( ) above 2000( )
How much would you spend on staple food per month, e.g. rice, flour, eggs and milk ?
A: 300 RMB B :301-500 RMB C :501-800 RMB D :801-1,000 RMB
E: above 1,000 RMB
2. Which food would you prefer for your daily meal?
Breakfast:
A: sweet taste, e.g. milk, bread, etc.
B: salty taste, e.g. porridge, pickles, etc.
C: convenient food, snacks such as cookies, instant noodles, etc. Lunch:
A: meat
B: vegetarian, light taste
C: junk food
Dinner:
A: meat, strong tastes B: vegetarian, light taste C: junk food
3. Do you have any requirements of your staple food? Multiple Choices
A: affordable B: delicious C: easy to cook D: natural and health E: green and fresh F: well-known brands
4. Which is your favorite taste: A: beef taste B: chicken taste C: milk taste D: chili taste E: seafood taste F: ribs taste G: Other ( ) #p#分页标题#e#
5. How much will you spend on lunch or dinner? (Only yourself)
A: 15-20RMB B :21-25RMB C :26-30RMB D :31-35RMB E: Don’t care for the price
6. Where do you always buy staple food?
A: convenient stores B: Supermarket C: deli D: food stores E: street market F: anywhere
7. if a new kind of staple food come out, in which way would you buy it?
A: Watch TV ads B: owner recommend C: Promotional Activity D: Friend‘s Introduction E: find it on the shelves occasionally
8. Which requirement do you have on food packaging?
A: Safety and Health B: beautiful color C: easy to open D: transparent packaging
Thank you for cooperation!
Appendix 2:
Questionnaire of Mashed potatoes consumption
Dear friends, your ideas are very important and helpful for us to increase our service level. We would try our best to fulfill your need comfortable and serve you better.
Age: male( )female( )
Educational background:指导留学作业提供指导Essay,指导Assignment,请联系QQ:949925041
High school, secondary school ( ) college, university ( ) Master ( ) Occupational Background:
Management staff ( ) technical staff ( )
Service staff ( ) house wife( ) students( )Income per month:
1,000 RMB ( ) 1,001-1,500RMB ( ) 1,501-2,000RMB ( ) above 2000( )
1. Do you eat potatoes? A: Yes B: No
How often do you eat potatoes at home?
A: everyday B: once a week C: once a month D: not sure
Do you know the nutritional value of potatoes?
A: yes, comprehend B: a little C: total lack of understanding
3. How do you think about potatoes?A: nutritional health food B: disease prevention function C: keeping fit function D: No special nutrition E: no feeling about it
4. What do you think potatoes are? A: A vegetable B: occasional staple food C: a staple food of coarse grain
5. Did you hear anything about mashed potatoes before?
A: yes B: no
6. Have you eaten KFC mashed potatoes before ?
A: yes B: no#p#分页标题#e#
How do you like KFC mashed potato?
A: Like it very much B: dislike it at all C. no special feeling about it
8. In your opinion, what is the mashed potato? A: a kind of staple food B: snacks C: dessert D: baby food
E: Green food F: junk food
9. The selling price of KFC mashed potatoes is around 5 Yuan (120 grams).If you want to cook same amount of mashed potatoes at home, how much will you pay on the raw materials?
A: below 3 RMB B: 3-6 RMB C : 7-10 RMB D: not sensitive to the price
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