Consumer behavior and preference towards hathway broadband internet an empirical study with reference to pune city, maharashtra

International Journal of Management (IJM), – 6502(Print), ISSN 0976 – 6510(Online)
International Journal of Management (IJM), ISSN 0976
Volume 1, Number 2, July - Aug (2010), © IAEME
ISSN 0976 – 6502(Print), ISSN 0976 – 6510(Online) IJM
Volume 1, Number 2, July - Aug (2010), pp. 89-97
© IAEME, http://www.iaeme.com/ijm.html ©IAEME

CONSUMER BEHAVIOR AND PREFERENCE TOWARDS
HATHWAY BROADBAND INTERNET- AN EMPIRICAL
STUDY WITH REFERENCE TO PUNE CITY,
MAHARASHTRA.
Dr. Arun H. Gaikwad
Science College, Sangamner (Ahemadnagar)
E-Mail: arunhgaikwad@gmail.com

Prof. Mrs.Nandini Milind Deshpande
Sinhgad College of Arts & Commerce, Narhe, Pune.
E-Mail: deshpande.nandini@yahoo.in

INTRODUCTION
Internet is an ideal electrical communications system which permits any person or
machine to reliably and instantaneously communicate with any combination of other
people or machines anywhere, anytime, and at zero cost. It is the latest and most powerful
invention, with a current reach to every corner of the globe, and already moved into space
on a floating web of satellites.
After the WTC attacks, the internet played a key role in keeping communication
going, performing as an efficient and stable network for thousands of effected worker in
lower Manhattan when desk phones and cell phones had failed. Unlike a telephone call,
which requires a direct circuit connection between two telephone sets, data sent over the
internet consists of discrete packets that can follow different channels in a sequence over
time and rejoin at the final destination, in a process known as packet switching. For that
reason, important information was able to flow around damaged of destroyed cables and
telephone switching equipment.
It gives the ability to make complex information like audio, video, and interactive
functions accessible to a world wide audience at an extremely low cost. The internet is
based on a common standard, the TCP/IP network protocol, which provides all computers

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International Journal of Management (IJM), ISSN 0976 – 6502(Print), ISSN 0976 – 6510(Online)

on the net with the same interface and capabilities. This common foundation makes all of
the internet technologies- Email, web, Usenet, IRC, MUD’s, mailing lists- available
universally to anyone connected to the net. It fosters free speech on a global scale and is
the largest common area that has yet existed in human existence where the digital
information travels at about 2/3 of the speed of light on copper wire and on fiber optic
cables, 200 thousand kilometers a second and it’s based on one of the simplest concepts –
digital 1’s and 0’s.
The Hathway Broadband Internet is promoted by the Rahejas, as and of the
leading cable broadband services providers. The company offers analog and digital cable
television services across 125 cities and towns and high speed cable broadband services
across 18 cities. The company owns and operates cable networks that reach
approximately 8 millions cable homes across India, supported by 71 analog head – ends.
19 digital head–ends and more than approximately 15,000 km of HFC network. The
company has acquired interest in more than 21 multi systems operators (MSO) and
independent cable operators (ICO).
It addition, the company had 3,22,135 broadband subscribers as of
November 30, 2009. As per the company, it is currently India’s largest cable broadband
enabled homes passed, as on November 30, 2009. As of December 31, 2008 the
subscriber base constituted approximately 54% of the total cable broadband market in
India. (Source MPA report)
BUSINESS SIZE AND REVENUES
Approximately 60% of Hathway’s revenues are generated by cable TV services
and broadband (internet) delivery brings in the remaining 40%.
In Fy 09, cable TV contributed 62% and broadband 38% of its annual revenue of
Rs. 673 crore, subscriptions accounted for 53% of the revenues. Hence carriage fee in
value added cable TV services probably accounted for 9% of Rs. 673 crores of Rs. 60.57
crores.

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Hathway Cable & Datacom: Objects of Issue.
Particulars Amount (Rs. In Crore)
Acquisition of Customers 243.60
Development of digital cable services 156.40
Development of broadband services 83.00
Repayment of debt 96.70
The Hathway Broadband Plans
Limited Download plans
Plan Speed Installation D/L limit Months Charges Status
Blast 2 mbps 600 200 MB 1 49 Postpaid
2048
Limited
Modem rental- Rs 50/month,0.80 paise/ MB for additional download
Powerway 2 mbps 250 10 GB 3 1,500 Prepaid
Expressway 1 mbps 250 4 GB 4 1,100 Prepaid
4 months
Expressway 1 mbps 250 12 GB 12 2,750 Prepaid
12 months

Special 24 Hrs Unlimited Plans
Plan Speed Installation D/L Months Charges(Rs) Status
Limit
Expressway 1 500 Unlimited 1 999 Postpaid
Unlimited mbps
Hathway 512 512 500 Unlimited 1 599 Postpaid
Monthly kbps
Hathway 512 512 500 Unlimited 3 1,750 Prepaid
Quarterly kbps
Xtra kbps
Yearly kbps
Blast 384 384 525 Unlimited 1 475 Postpaid
Unlimited kbps
256 Blast 256 600 Unlimited 3 1,269 Prepaid
Quarterly kbps
256 Blast 256 500 Unlimited 6 2,267 Prepaid
Xtra kbps

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Night Unlimited Plans
Plan Speed Installation D/L Months Charges(Rs) Status
Limit
Night Unlimited from 11pm to 7am
Hathway 512 kbps 250 3 GB 2 1,000 Prepaid
512- 3 GB
Hathway 512 kbps 250 10 GB 6 2,800 Prepaid
512-10
GB

The wealth of products and services produced in a country make our economy
strong. Almost all of the products, which are available to buyers, have a number of
alternative supplies; i.e. substitute products are available to consumers, who make a
decision to buy products. Therefore, a seller, most of his time, seeks buyers and tries to
please them. In order to be successful, a seller is concerned with:
• Who is the customer?
• What do consumers buy?
• When do consumers buy?
• From where do consumer’s buy?
• Why do consumers buy?
After the second world war, the manufacturer’s attention has switched over from
the products to the consumers and is specially concentrated on the consumer behavior.
The manufacturer possesses no control over the behavior of consumers. A modern
marketer first tries to understand the consumers and their response, and then he studies
the basic characteristics of their behavior. It can be said that a consumer is the pivot
around which the marketing system revolves. The selection or choice of products or
services by consumers greatly determines the fate of the producers. As such, the marketer
must know the consumers, more and more, in order to manufacture the products, which
give them satisfaction, in the way customers need. The marketing programmes and
policies depend upon the consumer behavior. If one makes out the marketing
programmes, neglecting the consumer behavior, one will naturally invite failure. A
careful study of consumer behavior will facilitate the marketer in determining the size,
form, style, color-the complete packaging of a brand.

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Consumers or consumer is the central them of the marketing system. For a
product to sell with or without advertising, it must satisfy some needs of the consumers.
These needs dominate the behavior of the consumers. Buying motives that prompt to buy
may be fear, desire for more, variety, fashion, possession, romantic affection and
comfort.
STATEMENT OF THE PROBLEM
The study on consumer behavior helps to know who the consumers are, what they
want, how they use and reacts to the services provided. The wants of the consumer are
carefully studied by conducting surveys on consumer behavior. This study will help to
gain knowledge about the influence of consumer to prefer a particular internet service
provider company and the problem faced by them on using their services.
The aim of the researcher was that the study will help to gain knowledge on the
issues such as the factors influencing the customer to prefer a particular brand, the
satisfaction of the respondents with their preferred brand and to know the opinions and
ideas of the consumers about the brand.
SCOPE OF THE STUDY
This study focuses on how and why consumers make decisions to use goods and
services. The dissatisfaction with a choice of internet facility may have been caused due
to a variety of reasons. This can be continuing poor service problem, poor influence of
the existing consumers towards potential consumers, web access problem, Hacking or
security problems, speed problems; each of these possible consequences of post used
services dissatisfaction has significant ratification for internet facility providers.
OBJECTIVES
1. To study the consumer satisfaction towards Hathway Broadband Internet.
2. To know the advertisement effectiveness of Hathway Broadband Internet.
3. To know the brand loyalty of the respondents towards Hathway Broadband Internet.
RESEARCH DESIGN
Descriptive research design is one that simply describes something such as
demographic characteristics of consumer who use the Hathway Broadband Internet.

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METHODOLOGY
Both primary and secondary sources of data were utilized for the study. Primary
data was collected by means of administering a questionnaire to the customers.
Secondary data had been collected from various reference books, publications,
periodicals etc.
SAMPLE DESING
For the purpose of study, the data has been colleted in different places of the Pune
city. Two Hundred Hathway broadband internet consumers were randomly selected for
the study. In this method, the sampling units are chosen primarily in accordance with the
investigator’s convenience.
HYPOTHESIS
1. The Hathway Broadband Internet customers are completely satisfied .
2. The maximum customers have chosen this company because of its economical
and attractive plans.
3. The maximum customers are having the opinion that it is growing company .
Table – 1: Table showing the distribution of sex of the respondents.
SEX NO. OF REPONDENTS PERCENTATE
MALE 160 80
FEMALE 40 20
TOTAL 200 100

SEX OF THE RESPONDENTS

Female
Male
40 Female
160 (Male)

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LIMITATIONS OF THE STUDY
The main constrain, during the survey was to find potential respondents.
Sometimes respondents does not co-operated with me or the possibility of ambiguous
replies or omission of certain questions made the interpretation of the data difficult.
Personal interview method of data collection is very time consuming, when large and
widely spread geographical survey area is taken. As most of the respondents interviewed
were salaried class, who had a busy schedule, the questionnaire had to be administered
rapidly.
FINDINGS OF THE STUDY
Among the total 200 respondents, 80 percent of the respondents were male while
the remaining 20 percent of the respondents were female.
1. From the study undertaken, out of the total number of respondents, 42 percent of the
respondents are falling under the age group of 31 – 40 years.
2. Among the total respondents in the occupation category, 52 percent of the
respondents are falling under the service category.
3. From the survey undertaken, 55 percent of the respondents are using the Hathway
Broadband internet from less than 6 months whereas only 29 percent of the
respondents are using from 1 year and only 12 percent of the respondents are using
from more than 3 years.
4. Among the total 200 respondents, 50 percent of the respondents have choosen limited
download plan and 43 percent of the respondents have choosen special 24 hrs
unlimited plan whereas only 7 percent of the respondents have choosen night
unlimited plan.
5. From the survey undertaken, 71 percent of the respondents got the information
regarding Hathway broadband internet from friends and only 19 percent respondents
from pamplets.
6. Among the total 200 respondents, 76 percent of the respondents before being the
hathway broadband internet customer were the internet customer of other company
like 23 percent of the respondents used BSNL broadband and 22 percent of the
respondents used Reliance broadband.

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7. From the study undertaken, 34 percent of the respondents have choosen hathway
broadband internet because it is economical and 27 percent of the respondents have
choosen it because it has very attractive plans.
8. Among the total 200 respondents 43 percent of the respondents spend money between
Rs. 500 to Rs. 1000 and only 14 percent of the respondents spend money above Rs.
1000.
9. From the study undertaken 82 percent of the respondents felt that the company
communicate very well and are satisfied with them, while filing a complaint whereas
5 percent of the respondents felt that the company communicate poorly with them.
10. Among the total 200 respondents 62 percent of the respondents felt that the
company’s performance have been growing from the date they had taken the internet
facility.
SUGGETIONS
The following are the suggestions that can be inferred from the study:-
1. The delivery of services is based on the human element, hence the employees and
agents are needed to be given frequent orientations related to service delivery and
customer handling.
2. All the customers who enter the office environment must be given due respect,
acceptance of their complaints and enquiry irrespective of their demographic status.
3. The employees should deliver excellent service in such a way that the customer
should feel that they are, by all means, important to the organization. These would
make them loyal customers.
4. To attract more customers situated in all the areas, advertisement can be given
through all Medias to attract the customer.
5. The manufacturers should introduce more sponsorship programmes and use the
advertisement tactics to induce the people to prefer hathway broadband internet.
6. The installation charges should be reduced and separate more attractive plans
especially for the students category should be introduced which should be more
economical to afford, which are at present not so impressive.

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7. In order to increase the customers of hathway broadband internet, the hathway
company can conduct frequent exhibitions, advertising campaigns in various
organizations, institutions etc. regarding their plans, importance and their uses.
8. In order to enhance customer satisfaction, the hathway company must look into all the
factors relating to services and frequently intimating the current customer about the
current status of the plans, venture of new plans through mobile alerts, e-mail
intimation or directly through telephone. This will have a direct impact on the
customer satisfaction.
CONCLUSION
The study revealed that in general, all the customers have certain level of
expectations from the services that are to be delivered by hathway broadband internet
company. Their expectation level varies irrespective of the demographic profile (such as
gender, age, marital status, no. of family members, occupation, education & their income)
but they look forward to excellent delivery of services. Further, the study gave an insight
into the actual experience of services provided by the hathway company. However, the
forthcoming years will be more dynamic and challenging for these internet provider
companies as delivering excellent services to all the strata of the economy will ensure
their share. It is certified that the consumer behavior concept is an unpredictable one in
any kind of market. But this study has attempted its best to reveal the same.
BIBLIOGRAPHY
1. Philip Kolter, Principles of Marketing
2. Sherlekar S. A., Marketing Management
3. Davar Rustom S., Modern Marketing Management
4. Ramaswamy V. S., & Nama Kumari, S., Marketing Management
5. Saxena Rajan, Marketing Management.
6. Sontakki, C. N., Marketing Management.
NEWS PAPER
Times of India
Economic Times
WEBSITES
www.google.com.
www.hathway.com

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Consumer behavior and preference towards hathway broadband internet an empirical study with reference to pune city, maharashtra

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