Research of Bottled Water Essay

1.0 Introduction Water is one of the people basic needs. All people need water to survive and no one can live without it. So, they are willing to pay the money to purchase water. From the secondary data market research, most of the American consumers drink bottled water more than tap water because they feel that tap water not safe. Many companies are reputation have filtered water until pure. So, the bottled water will bring safe and attractive package that make very people when drink something that is healthy for their body (Department of Health, 2006). Besides, in order to let consumer more convenience, most of the company will provide bottled water in everywhere. Hence, all consumers will pay the attention about the bottled water. This report is to investigate attitudes towards three leading brands in a bottled water product. This is because the most important attributes in the bottled water product category, their relative influence on consumer decision making and consumer perception of the leading brands. According Ajzen (1988) and Werner (2004), Theory of Reasoned Action (TRA) is an attempt to provide consistency in studies of the relationship between behaviour, beliefs, intentions and attitudes (Ajzen 1988; Fishbein & Ajzen, 1975; Werner 2004). In TRA, there are 2 main concepts which are â€Å"principles of compatibility† and â€Å"behavioural intention† (Ajzen 1988; Fishbein&Ajzen, 1975). The principles of compatibility will require that in order to forecast a specific behaviour directed to a specific target in a given circumstance and period, specific attitudes that identify to the specific target, time and circumstance should be assessed. For the concept of behaviour intention states that a personal’s motivation to engage in behaviour is defined by the attitudes that influence the behaviour. Behaviour intention indicates how much achievement an individual would like to commit to complete such behaviour. Higher commitment which means that behaviour performs will more likely. Behaviour intention is determined by attitudes and subjective norms (Ajzen1988; Fishbein & Ajzen, 1975). An attitude refers to an individual’s perception toward specific behaviour (Werner, 2004). ‘Subjective norm’ refers to the individual’s subjective judgment regarding others’ preference and support for a behaviour (Werner, 2004). 2.1 Research Objectives The objective of this research is to investigate attitudes towards three leading brands in a bottled water product category. Besides this research also determine which of the brands in a bottled water product category that most of the consumers interested because different brands provide bottled water will affect the choices of consumers. 2.2 Research Questions During this research, there are find out the factors that affect choosing the bottled water. Besides, this research also can find out how to promoting the brands of bottled water to consumers. Furthermore, this research finds out the effective way to success the brands provide bottled water. 2.3 Significance of the Research The major significance of the study regarding the â€Å"Attitudes towards three leading brands in a bottled water product category† is hope through the research to identify the most important attributes in the particular category, their relative influence on consumer’s decision making and consumer’s perception of the three leading brands performance in term of those attributes. Attributes in the bottled water category is an important that can impact on consumer’s buying decision making. This is because the between brand’s price of bottled water is only a bit different, so most of the consumers will choose the best quality brand. Besides, the research will examined the three leading brands company able to improve their performance in order to attract more people to buy their product. 2.0 Review of Literature 3.4 Issues of using bottled water The main issues of using bottled water is because convenience. When the consumer driving in the car or hiking in the mountain, bottled water is very comfortable to supply drinking of water for them. The size of bottled water will make it easy to suitable let consumer carry to everywhere. Furthermore, bottled water can be purchase at anywhere. The consumer can buy the bottled water at convenience store, supermarket, hypermarket and grocery store. In some countries, the tap water is unsafe to drink due to water pollution and contaminants. Therefore, the Food and Drug Administration (FDA) controls the production of bottled water in order to let all people can be sure the water in the bottle is safety, cleaner and free of contaminants. In addition, the taste of bottled water is better than tap water because bottled water does not have chlorine (Melanie, N.D). When the natural disasters, it may be cause water pollution, which mean that the water supply into people home will pollute or completely non-existent. So, in these cases, bottled water will become a lifesaver for those people. As the secondary data market researcher, the tendency in bottled water consumption in the global keep increase almost ten successive years now (Rodwan, 2009). Furthermore, the price of bottled water is very cheap. Most of the consumers also can afford it. For example like the 500ml size of bottled water is about RM1.00 and 1.5 litre size of bottled water is about RM2.00. Compare with soft drink, there are more expensive than bottled water and unhealthy for consumer body. Therefore, this is a reason why most of the consumer will purchase bottled water. Lastly, the bottled water can be reduce, reuse and recycle (3R). Therefore, the bottled water can save the environment and clean. Most of the shopping centres, they will put a recycle bin in order to let consumer convenience to drop their bottled water when they are finish their water. Besides, most of the consumers will purchase bottled water and refill it from the tap water in order to save cost and the environment. 3.5 Consumer buying behaviour The consumer buying decision is very important. Understanding the consumer buying behaviour is not very easy. Consumer buying behaviour is referring the people make the decision buying process of the end consumers like personal and household who buy goods and services for own consumption(Kotler, Armstrong, Wong & Saunders, 2008). According to marketing guru Philip Kolter (2008), consumer will pass through several stages before buy the goods and services. Some consumers will vary their decision making is because in age, education level, tastes, income, and other factors. Some consumers will vary their decision making is because the brand name, quality, reputation, and price. Consumer behaviour will cause the consumer characteristics and the consumer buying decision process. There are 4 main factors in consumer characteristics such as cultural, social, personal and psychological. The culture is the most basic cause the consumer wants and behaviour. Every group or society also have a culture and cultural to cause on buying behaviour decision may vary greatly from country to country. Furthermore, each culture has contains subculture such as racial group, religion, nationalities and geographic region. Most of the subculture will emphasize the market segments. Therefore, the marketer must often to design product in order to fulfil their needs. Moreover, social class is also one of the factors to influence consumer buying behaviour. For the social class, there are contain high class, medium class and lower class. The marketer must to understand which social class is their target market. This is because when the product is high price, lower class people won’t purchase it. For the social factors, there are include small groups, family and social roles and status. The social factors are one of the factors to influence consumer behaviour. Most of the small groups influence consumer behaviour. The marketer should identify the group of their target market. Furthermore, family is strongly affecting consumer behaviour. The marketer must to make husband, wife, and children interested on the product in order to increase rate of success. Besides, the position of person in each group can be defined to roles and status. The personal factors also are one of the factors to influence consumer behaviour. The personal characteristics like age, lifestyle and occupation. The buyer age will related with tastes in food, cloth and recreation. The marketer must to develop marketing plan for them. Moreover, the lifestyle will vary is because the age. Some consumer will like to eat McDonald, but changes along with age, the consumer will change their lifestyle and dislike to eat McDonald. Besides, the marketer must to focus on occupation factor. This is because a buyer occupation will influence the goods and services purchase. The marketer must to know which occupation will more purchase which product. Furthermore, psychological factors also can influence consumer buying decision which is motivation, perception, learning and beliefs and attitudes. For the consumer perception, they are obtained information through their 5 senses such as touch, sight, smell, taste and hearing. Therefore, they will follow their perception do a final decision. Besides, some of the consumer will do a decision making through learning. For example once the consumer has tried Starbucks coffee, they will consider their next purchase based on the first experience. The consumer buying decision process have 5 stages which is need recognition, information search, evaluation of alternatives, purchase decision and post purchase behaviour. For example like the people recognition want to buy something. Then the people will do information search. They will obtain information from other people such as family, friend and neighbours. Besides, they also will obtain information from commercial sources like advertising, salesperson and websites. All of information will be used to evaluate of alternative which brand should to choose. After evaluation, the people already have purchase decision. After purchase the product, the people will be satisfaction or dissatisfaction post purchase behaviour of the marketer. If the marketer have given the people after sales services, the people will satisfaction when purchase that product. 3.0 Methodology 4.6 Problem Statement In this research, the marketers should identify the factor influence choosing the shampoo. Furthermore, the marketers also should identify the consumer buying behaviour process when buying shampoo. Lastly, the marketers should identify the effective way to improve quality of shampoo. 4.7 Sampling Technique Adopt a good sampling technique, it is one of the important cannot be overemphasized. The non-probability sampling technique is used when the individual members of the population do not have an equal likelihood of being selected to be a member of the sampling. Normally, this technique is used is because it tends to be less expensive, fast, easier and the respondents were readily available (Castillo, 2009). Furthermore, the convenience sampling involves getting participants wherever the individual can find them and typically wherever is convenient (Sherri, 2008). This research wants a sample of 150 respondents, so the individual should stand at outside of the shopping centres and asks people who pass by to participate. 4.8 Questionnaire Questionnaire on Appendix 1 were used in this research to collect data from respondents. This research was divided into four sections at where Section 1 is respondent’s detail, Section 2 is brands, Section 3 is buying behaviour and Section 4 is quality improves. In Section 1, respondents will required to fill in their personal demographics which is gender, age, race, religion, academic qualification, occupation and income level. In Section 2, the research examined the attitudes towards three leading brands in bottled water, what are the factors that affect choosing the bottled water. In Section 3, the research will examined the consumer buying behaviour when choose the brands of bottled water, how to promoting the brands of bottled water to consumers. In Section 4, the research will examined the consumer do some quality improves, what the effective way to success the brands provide bottled water. 4.9 Method of data collection The method of data collection is used by paper based survey and face-to-face questionnaire. For the paper based survey, it will be sent to a large number of people in order to save time and cost. Most of the people are more truthful when responding to the questionnaires about controversial issues in particular due to the fact that their responses are anonymous. 4.10 Limitation of the research As the research, it is limit to the Malaysian consumer who between the age of 18 to 58 years old, because different part of world may be have different cultural factors. Besides, this research that show all the data information and result are only available in Malaysia. Furthermore, this research is only identifying the consumer buying behaviour of bottled water, because different product may different consumption pattern. Lastly, this research only selects some demographic and psychological factors. Even other types of factors also will influence consumer buying behaviour, but this research only limit two type to be investigation. 4.0 Finding Table 4.1: Demographic Factors of 150 respondents In this research, the 150 respondents have 21% female and 79% male. Besides, the age between 18-28 years old have 57%, 29-39 year old have 23%, 40-50 year old have 18% and 51-58 year old have 2%. So, from this data information can know more teenagers are like do survey. For race of respondents, Chinese respondents have occupied about half of percentage, Malay respondents have 33%, and Indian respondents have 17%. The religion of Buddha has 43%, Islam has 33%, Hindu have 17% and Christian have 7%. For academic qualification, SPM respondents have 30%, certificate respondents have 5%, diploma respondents have 29%, degree respondents have 25%, postgraduate have 8%, and others have 3%.About occupation of respondents, student occupied 63%, non-executive have 16%, executive have 11% and professional have 10%. Most of the respondents are student. Therefore, the income level less than RM1500 respondents have 63%, RM1501-RM2500 respondents have 29%, RM2501-3500 respondents have 6%, and above RM3500 have 4%. Figure 4.2: Percentage Brands Bottled Water choose by 150 respondents Figure 4.3: What type of Bottled Water normally purchased by respondents? In this research, there are 3 brands bottled water to investigate which are Sea Master, Dasani and Spritzer. In figure 4.2, the most respondents to purchase brand is Sea Master which is 55%. The Dasani brand is 24% and Spritzer is only 21%. Besides, from the figure 4.3 show most of the respondents will purchase mineral water more than drinking water. This is because they think mineral water is nature water and more healthy for their body. Figure 4.4: Factors boost respondents purchase Bottled Water The figure 4.4 show which factor will affect respondents to purchase bottled water. Bottle design have 36% is the main factor to influence respondents to purchase bottled water. Brand reputation has 21%, bottle quality has 14%, brand name has 13%, taste has 11%, and price have 5%. Therefore, the bottle design will influence consumer buying behaviour. The marketer must understand the bottle design to attract their target market in order to increase sales. Figure 4.5: Where respondents purchase bottled water? The figure 4.5 shows where the respondent will buy bottled water. Place is the one of the factors to influence consumer buying decision. In order to become successful marketer, the marketer must put their product at the right place and at the right time. From the figure 4.5, the convenience store which is 44% is most popular to purchase bottled water. The grocery store has 22%, hypermarkets have 19% and supermarkets have 15%. Therefore, convenience will affect consumer buying behaviour. Figure 4.6: Which factors will cause respondents switch cost? The figure 4.6 shows the factors affect respondents switch cost. From the figure 4.4, bottle design will affect consumer buying behaviour. Hence, bottle design also will affect respondents to switch cost. Besides, some respondents will choose bottle quality. This is because some respondents will reuse their bottle when finish water. Therefore, the marketer must understand consumer needs and wants in order to prevent customer to switching to competitor product. Figure 4.7: What respondents expected from Bottled Water? The figure 4.7 shows what are the respondents expected. Most of the respondents will purchase bottled water is because healthy. This is because most of the respondents will care their body health. Besides, some respondents will like do sport, so they need some energy come from bottled water. Figure 4.8: Pay extra for increase quality of Bottled Water Figure 4.9: Increase consumption for Quality of Packaging The figure 4.8 shows how many respondents will agree pay extra to increase quality of bottled water. 74% of respondents will agree to pay extra to increase quality. This is because the respondents will care about their health. In addition, the respondents will think money important than healthy. On the other hand, some respondents will increase consumption because the quality of bottled water. The figure 4.9 shows how many respondents will increase consumption because the quality of bottled water. The result show only 25% will choose yes. 75% respondents choose no is because quality of bottled water is only can reuse. Therefore, it doesn’t increase consumption is because the quality of bottled water. Figure 4.10: Re-use and Recycle Bottled Water The figure 4.10 shows the percentage of respondents to reuse and recycle of bottled water. As the result, most of the respondents will reuse and recycle the bottled water. This mean most of the respondents will know 3R reuse, recycle and reduce. This is because all people have responsible to protect earth. 3R will help everyone have a healthy environment and happiness. Figure 4.11: Consumption household of Bottle Water The figure 4.11 shows the consumption household of bottle water. As the result shows 33% of respondents will purchase bottled water more than their family. Besides, mother have 25%. This may be because she take care their health of family. Some respondents comment their mother will purchase 15litre per day. It is because one person at least must drink 8 cup of mineral water (Peter 2005). Therefore, respondents will purchase more water is because they take care their own body. Figure 4.12: Spokesperson will impact decision making of respondents? The figure 4.12 shows spokesperson influence decision making of respondents. 85% have agreed spokesperson will agree because respondents will think can same healthy and happiness with the spokesperson in the future. So, the marketer must hire spokesperson to help them create awareness and increase sales. Besides, spokesperson also can attract and convince more consumers to buy their company product. Figure 4.13: Recommend to friends or family The figure 4.13 shows the respondents would recommend their friends or family purchase bottled water. The result shows 84% of respondents will recommend their friends and family. This is because sharing is caring. So when the respondents caring their friends and family body health and happiness, they will share their knowledge and own perception to them. On the other hand, 16% of respondents would not recommend to their friends or family is because they think bottled water is only low involvement product. Therefore, they would not waste their precious of time to share information. Figure: 4.14: Advertisements influence Decision Making The figure 4.14 shows advertisement would impact the respondent’s decision making. In this result, most of the respondent will agree and strongly agree advertisement will influence their decision making when purchase bottled water. The advertisements will be use such as TV, radio, newspaper, magazine and broadcasting. Most of the respondents comment TV is main factors influence their buying decision. This is because the advertising of bottled water is creative and attractive. Therefore, total 62% of respondents have agreed advertisement will cause their decision making. Figure 4.15: Event and Activities impact Consumers Behaviour The figure 4.15 shows event and activities influence respondent’s decision making. As the result, there are total 56% agree some event and activities will influence their decision making. For example like promotion, role play, and some competition. The promotions such as buy 1 get one free (BOGOF), free gift and free sample. Some respondents comment sometimes the free gift and sample will impact their switch cost and influence decision making. Therefore, the marketer must create some promotional and advertising in order to increase rate of sale. Furthermore, promotional and advertising also can help company to crease brand image and long term relationship (Wayne, 1983). 5.0 Conclusion & Recommendations In this research, it can investigate the attitudes towards three leading brands in a bottled water product category which is Sea Master, Dasani and Spritzer. Besides, this research will determine which factors will impact the consumer buying behaviour. This is because the consumer buying behaviour is one of the important to increase the company sales. The marketer must understand their target market needs and wants. They need to create a business plan in order to fulfil their target market needs and wants. Therefore, the marketer wants to use consumer buying decision process which is need recognition, information search, evaluation of alternatives, purchase decision and post purchase behaviour to determining the consumer. Moreover, the Fishbein model also is one of the important factors. According Ajzen (1988) and Werner (2004), Theory of Reasoned Action (TRA) is an attempt to provide consistency in studies of the relationship between behaviour, beliefs, intentions and attitudes. For the recommendation, the marketer must provide more promotion and advertising to create awareness and brand image. This is because most of the respondents will switch cost is because the promotional. Besides, water quality is also important. The marketer must improve their water quality and make sure their water is filter until pure. This is because most of respondents want healthy life. Lastly, the marketer must use the stainless steel to do bottle water. This is because 3R reuse, recycle and reduce is all people responsible. In addition, the consumers purchase will reuse and refill water again in order to save cost and reduce pollution. Finally, all bottlers of water should be controlled by a separate institute to guarantee the quality of the product and prevent misleading advertisement. 6.0 List of References 1. Ajzen, I. & Fishbein, M., 1980, Understanding attitudes and predicting social behaviour, Englewood Cliffs, NJ: Prentice-Hall. 2. Ajzen, I. 1988, Attitudes, Personality, and Behavior, Open University Press, Milton-Keynes. 3. Ajzen, I. 1991, ‘The Theory of Planned Behavior’, Organizational Behavior and Human Decision Processes, vol. 50, no. 2, pp. 179-211. 4. B, G.D & James, J.P. 1999. Quality costing. 3rd Edition. Gower Publishing, Ltd. 5. Davis. L., 2004, Consumer Perception on Tap water, Bottle water and Filtration Devices, IWA Publishing, London. 6. Dillman, D.A., 1978, Mail and telephone surveys: The total design method, Wiley, New York. 7. Edwards, W., 1966, Some Theory of Sampling, John Wiley & Son. Inc, New York 8. Fishbein, M. & Ajzen, I. 1975, Belief, attitude, intention, and behaviour: Am introduction to theory and research. Englewood Cliff, NJ: Prentice-Hall. 9. Graham & Skinner, 1991, Handbook for Research Students in the Social Sciences, The Falmer Press: London. 10. Kotler, P., Armstrong, G., Wong,V., Saunders, J. (2008). Principles of Marketing. (5th ed.). England: Pearson Education Limited. 11. Malcolm. J., 1998, How to Collect Data: Measurement & Evaluation, ASTD Press, United States 12. Miller, K. 2005, Communications theories: perspectives, processes, and contexts. New York: McGraw-Hill. 13. Nicosia, F., 1966, Consumer Decision Processes, Prentice Hall, Englewood Cliffs. 14. Peter, T. 2005. Introduction to radar target recognition. IET 15. PeterH. Glrick, 2007, The World’s water 2008-2009: The Biennial Report on Freshwater Resources, Pacific Institute, Washington. 16. Robert, B., 1982, A Handbook of Social Science Methods, Volume 3. Prayer: New York. 17. Sherri, L., 2008, Research Methods and Statistics: A Critical Thinking Approach, 3rd Edition, Cengage Learning, p. 96 18. Simon, H. 1947, 2nd Edition, Administrative behaviour, Macmillan, New York. 19. Subhash, J. & David, G. 2012. Handbook of Research in International Marketing. 2rd Edition. Edward Elgar Publishing 20. Wayne, C.B. 1983. The rhetoric of fiction. 2rd Edition. University of Chicago Press 21. Werner, P. 2004, ‘Reasoned Action and Planned Behavior’, in S.J. Peterson & T.S. Bredow (eds), Middle range Theories: Application to Nursing Research, Lippincott Williams & Wilkins, Philadelphia, pp. 125-147. 22. Sustainabletable., 2009, The issues water, Available on: http://sustainabletable.org/issues/water/, ac cessed on 23rd March 2012 23. Anonymous, 2007, Market Research Society Malaysia, Available on: http://www.mrsm.org.my/home.html, accessed on 23rd March 2012 24. Anonymous, 2011, Water Quality, Available on: http://www.chem.duke.edu/~jds/cruise_chem/water/wattap.html, accessed on 23rd March 2012 25. Castillo, J., 2009, Convenience Sampling. Experiment Resources, Available on: http://www.experiment-resoucres.com/convenience-sampling.html, accessed on 23rd March 2012 26. Department of Health, New York State, 2006, Bottled water frequently-asked questions, Available on: http://www.health.state.ny.us/, accessed on 23rd March 2012 27. Melanie, C., N.D, Advantages of Bottled Water, Available on: http://www.ideamarketers.com/?Advantages_of_Bottled_Water&articleid=235600&from=PROFILE, accessed on 23rd March 2012 28. Peter Y., 2010, Marketing Research, Available on: http://www.slideshare.net/marcelobrescia/marketing-research-evian, accessed on 23rd March 2012 29. Rodwan, J., 2009, Confronting Challenges; U.S. and International Bottled Water Developments and Statistics for 2008. Available on: http://www.bottledwater.org/public/2008%20Market%20Report%20Findings%20reported%20in%20April%202009.pdf, accessed on 23rd March 2012 30. Sean, G., 2011, Bottled Water Scorecard, Available on: http://static.ewg.org/report/2010/bottledwater2010/pdf/2011-bottledwater-scorecard-report.pdf, accessed on 23rd March 2012 7.0 Appendices Appendix 7.1 Theory of Reasoned Action (adopted from Fishbein & Ajzen 1975) Source: http://systemscraft.wordpress.com/2009/12/30/theory-of-reasoned-action-tra-and-theory-of-planned-behavior-tpb/ (Accessed on 23rd March 2012) Appendix 7.2 Consumer Buying Decision Process Source: http://marketingfaq.net/2011/12/consumer-buying-decision-process/ (Accessed on 23rd March 2012)