1. HBK
Group member:
Muhib Ullah
Shahrukh Afridi
Sajjad Ahmad
Shahood Khan
Mian Shawal Raheem
BBA Section B 4th semester
Subject: psychology
Submitted to Mam Maidah Waheed
2. PHYSICAL ENVIRONMENT:
Architecture:
They have made their building wide rathar than tall which makes it easy for
customers in search of products and captured an area of 50 kanals on ring road
peshwer. Also it is close to hayatabad about 1.5 km where a big amount of
Peshawar population lives and makes it easy for them to reach out. They have
a large branding on top of their building as (HBK Arena) and more branding on
inside.
Layout:
They have grid layout systemand placed their products on shelves which help
in a wider view and also it has low costs through this grid system customer
familiarity increases so it gets easy for customers finding products. Itdisplays
large merchandiseexposureand makes the Mall well equipped also ease of
cleaning increases with grid system it will be easy to clean which also attract
more customers. Visibility increases with grid system so customers can easily
find for the portion he is lookng for. They haveshelves in grids which increases
display.
Lighting and Music:
Ithas Fluorescent lighting all over the mall the lighting is bright which enhance
visibility the lighting is not very softbut it makes the products look better also
the lights shifts when the valve of products increases it is slightly softer where
expensive products areplaced which is a sign of high quality.music there was
popular which psychologists suggests for a retail store but they whereshifting
alot sometimes to non popular and sometimes they evan stop the music so the
music was not constant.
Colour and Smell:
3. Colour in HBK wherefancy on outer side there was a combination of
(blue,red,grey) butit was moresimple on inside of the mall it was off white all
over the area to keep it simple.The smell was pleasant which makes customers
to stay longer in the mall.
Psychological environment
If we see the cognitive map of HBK so it’s the most preferable mall in Peshawar up till now.
Because its near to the McDonald’s on ring road. This mall is on main ring road beside
McDonald so if people come to McDonald they will definitely visit this mall because its
building design is very attractive and it directly attract people to itself and compel to visit this
mall. And if we see according to psychological behavior that why would people visit this mall
so here are some factors on the basis which people will prefer this mall first is Prices charged
for goods ( in HBK everything or every commodity that is present there its prices are very low
from outside market price or any other famous stores in Peshawar) second factor is Distance
from usual places of departure ( HBK is very preferable mall in Peshawar because it’s on main
ring road which is near to most of the people and as I have mentioned above that it’s on the
beside of McDonald’s ) third factor is size of the store ( so HBK size is very large because in
this mall you will get everything there is nothing that you can’t get here everything is here for
example vegetables , dry fruits , electronic appliances , blankets, bed sheets , sea food etc. and
these things you will get on price below market price) fourth factor is Quality of products ( so
the products which were present there were of high quality ) so its most preferable mall
according to all these four factors.
The second thing in psychological environment is crowding so as we asked to HBK
MANAGER about the total customer that visit the mall in one one single day so his answer
was about (2500 to 3000) customer visit daily our mall and he also stated that in starting days
the customer which would visit us were of the tourist customer like they would come to the
mall to only see the mall infrastructure because this mall level is like England and Dubai malls.
But now the number of customer that visit HBK is increasing day by day and also the manager
mentioned that they will increase this number of customer. And one another thing if we see in
most of the stores if there is more crowding so most of the customer leave the store without
buying anything and they become dissatisfied. But in HBK the situation is different there is no
problem of crowding because of its large size as I visited HBK so I noticed that there is lot of
space in different aisles so I conclude that if in future the crowding increased so that will not
make a problem.
Another thing it’s the mall where you can easily go with your family because it’s very peaceful
place and the employees that work here are also very cooperative to their customer. And if we
see this mall according to economic point of view so the products here you will get it below
from market price (for example bottle of jam e shereen in outside market you will get it about
on 280 rupees but here in HBK you will get it for only 239 rupees and also the oil we use for
cooking you can get it here below market price).
4. And also if we see in HBK there are small type of seafood restaurant and also formal type of
restaurant which provide burgers and pizza and near future they are going to start cafe so if
person come to eat pizza, burger or seafood or visit café so obviously he will take round of
mall and can buys something.
And also it’s not that type of store which will compel you to check every corner to find anything
you need if you visit it and take a round of this mall you will get to know the place of thing
you need. and everything has its separate cash counter means burden of customer are less on
cash counters. Because every commodity or product has its own cash counter. I think around
10 to 15 cash counters were there to serve to their customer.
And the last thing I want to mention is lighting of mall so the lighting was very pleaseful to
eyes and that lighting made visible and made the product beautiful that customer can’t go
without that product he will have to buy it.
Consumer Decisions Making
Firstly, i will discuss some theoriesinfluencing consumer decisionmaking one of which
is utilitytheory. HBK influences consumer’s decisions by telling them that it is easily
accessible because it is situated at a distance of 1.3 KM from Hayatabad and Hayatabad
has a high potential customer, providing their consumers safe and wide parking area,
offering a large variety of high quality products at discount rate. In short high utility
influences consumers to shop at HBK.
We can also explain how HBK influences consumer decisions in accordance
with prospect theory. People make decisions based on the likelihood of gains. From
the beginning HBK has kept their profit margins very low due to which consumers will
prefer to shop there as they will get products at lower prices which increases their value
for Money and making them feel that they will lose this opportunity consumer ignore
the transport expense or any other lose and will care about the discounted products or
any other gains they get from shopping at HBK.
HBK use partially compensatory strategies that is Frequency of Good and Bad
Features by putting forth all the good features of HBK such as it is near your
hometown, has a safe place for your vehicle, clean environment, products of different
category, brands, quality at lower prices, keeping this in mind consumers would
compare it with other markets and would more probably choose HBK for shopping.
HBK use Availability Heuristic by advertising through social media and placing
banners and posters all over the ring-road and other places delivering consumers the
message that it is near your hometown and products are at discount so whenever people
wants to go to a market they will think of HBK.
HBK use Representative Heuristic as the infrastructure of HBK resembles of a mall
like abroad so consumers will expect it to be better than any other mall they have visited
before this will motivate them to make a visit at HBK.
HBK use Anchoring and Adjustment Heuristic by keeping low profit margin.
5. When consumers see the prices of products in local market and then see prices at HBK
as nearly every product is at discount rate the consumers are prone to see the products
at HBK as cheap so consumers will prefer to shop at HBK.
HBK target both Type 1 & Type 2 Thinking Process to influence consumer decision
making. In targeting Type-1 thinking they focused on mass advertisements for showing
their presence to the consumers. They also announced lucky draw, they also did
celebrity endorsements to show people that influential people also come and shop here
through this they are indirectly attracting consumers. In targeting Type-2 they provide
consumers a variety of products in different categories maintaining good quality &
service and selling products at discount.
PRODUCT/SERVICES
Product design:
HBK is design in such away that everyone access their choice product very easily. There is specific
shelf for every product and its price labelled on it. There is parking space for vehicles. When a customer
don’t find there choice product guards are stand for helping them. HBK use specific shopping cart in
which there is space for carrying child.
Understanding, satisfying customer (color, gender)
HBK target both males and females but its very common there are some differences that exists between
males and females in terms of taste and preferences. For example males like dark and brown colors
while female like pink and red colors. There are also different cultural and demographic differencese.g.
the people of Peshawar like cool product due to the climate change.
Packaging and Positioning:
Packaging is an important factor that influence customer decision. HBK succeeded in packaging due to
paying special attention to family and cultural values. Especially in holidays HBK comes up with
special designing in packaging. They also design fashionable packaging to their products for youth.
HBK position their product in such a way that everyone can find it easily. They kept covenantal good
in front which everyone can see easily. They uses strategic positioning to have same images all around
the world which is a success because it is part of everyday life. Consumer focus usually on the Centre
array for which HBK kept luxury products.
Placement:
HBK is located in Arena Main Ring Road Achini Road Peshawar. It is a Retailpark that includes Retail
outlets, Restaurants,Play area and HBK hypermarket. McDonald and HBK share the same location.
Sales techniques:
HBK have variety of products for which they use different types of selling techniques. They sell
products in bulks and also in retail. For shops HBK sells in bulks and when someone by single products
it provide also provide product to them. HBK focus on its consumer that what kind of product they
need.
6. Advertisement of HBK
Marketing Mix Models; 4Ps: Already discussed above.
Marketing Mix Models: The 4Cs
Customer: As we know that customer or consumer is the king in this competitive world,
product will not create its demand if the consumer doesn’t want it. HBK provide high quality
of product and services such as hypermarket, retail shops, Restaurant, Play Area, pharmacy
and there are a lot of variety present it product many branded products available for customer.
Customer want clean and good environment so HBK provide centralized Air conditioning,
modern firefighting system, building management system and many more. Peoples and many
cities face parking facility problem so HBK provide open Air parking for more than 300
vehicles. Purpose of these things is to attract more and more customers and keep these
customers for long time.
Cost to satisfy; HBK keep low profit margin on basic product and also give discount as well
to satisfy customer. Due to large area of HBK there is a no rash in moil so customer easily
obtain product/services. Psychological cost is that HBK give different offers to customer such
as lucky winner offers so people thing in later that why we cannot get this offer so people feel
guilty.
Convenience to buy; Finding product/services in a HBK is very easily because in every shelf
consist of same variety of product and above this shelf there is a big picture of these product
which is easily for the customer to find them. And HBK have also a delivery system if someone
need delivery they provide them
Communication; Customer do direct contact with HBM management and also have an online
website that people communicate with it.
Product Placement in Films; There is a no such an advertisement of HBM present but their
management says that we are creating a short films etc for the promotion of HBK.
Persuasion according to consumer personality/motivation; Two ways which modifies
customer belief about HBK, one is central route to persuasion and other is the peripheral route
to persuasion
The Central route to persuasion; HBK advertised some product have directly talk about product
I will give some example of central route of persuasion of HBK advertisements such as
This advertisement they directly talk about the product and its
price which are central persuasion to consumer personality they
seeking to persuade you to purchase their product will emphasize
on freshness and low price. And they in this advertisements that
“HBK Hypermarket apkay liyae laya Summer Cool bachat
hi bachat offer. Toh dair kis baat ki? Aaye aur khareeday
7. bachat offer products”.And there are a lot of other strategy for advertisement of HBK which
are directly linked with product quality etc.
Second is the peripheral route to persuasion they linked
advertise indirectly to the product/service such as
In this advertisement they basically try to attract whole family
they offer a free mehandi designs for female on day before Eid.
Obviously when parents come with their kids they also do other
shopping as well.
Another advertisement is Lucky Draw Winner
This advertisement is basically about when someone purchase
more than RS10000 this person select for Quran Dazee winner
will be awarded by Toyota car. So people try to purchases more
than RS10000.
Hierarchy of Effects Models
Awareness; the first things in the Hierarchy of Effects model HBK try to spreading out
Awareness about their product/service
Knowledge; giving knowledge about their product/services in the advertisement
Link; they linked advertisement with different thing such as Ramadan package.
Preference; make a strategy like (Lucky Draw Winner) already discussed above.
Conviction; more strengthening the customer’s desire to purchase they offer free sample, lucky
draw winner and also for other winner some discounts.
Purchase; in the last purchase stage come, company should focus more upon it and try to make
customer satisfying.
Branding:
Three things Name, Logo and slogans
Name HBK
