We as aspiring marketing enthusiast conducted a research on the impact of Covid-19 on online grocery shopping as an academic project for Consumer Behaviour

1. • Submitted by:
• 19F314 - Aruja Bhatnagar
• 19F316 - Basu Singh Sehrawat
• 19F337 – Oshin Rajesh Dipani
• 19F339 - Prafulla Wange
• 19F356 - Tarandeep Singh
• 19F357 - Tomin George
• 19F257 - Tirth Ajit Vira

3. Problem Definition
• Management decision Problem:
How to promote online grocery shopping and increase sales post COVID
• Business Research Problem:
To identify important factors that influence online grocery shopping in India
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4. Online Grocery Shopping Industry
• Estimated market to be around $1 billion
• To reach a value of INR 1,034.13 Bn by 2023, growing at a (CAGR) of ~68.66%
• Growth Drivers:
1. Customer acceptance
2. Increasing internet and smartphone penetration
3. New market entries
4. Increasing focus of online marketplaces like Amazon and Flipkart in the
grocery segment
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5. Impact of COVID – 19
• 76% increase in the demand for online
groceries
• A large section of people working are
from their homes
• Using online grocery platforms to buy
even the perishables such as milk, eggs,
and bread
• Schemes and offers such as express
delivery, contactless delivery, and
digitally integrated payments for safe
consumption
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6. Challenges
1. Increasing pressure on supply chain for delivering the products
2. Proper resources and trainings for all employees to manage operations
3. Brands forced to think outside-the-box and make their presence digitally
more prominent
4. Increased competition from new entrants in the market- Jio Mart
launched in 200 cities and towns in May 2020
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7. Key Players
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8. Research Objectives
Analyze the trends
in online grocery
shopping market
1
Determine
important factors in
decision making
2
Analyze change in
consumer behavior
post COVID – 19
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9. Methodology
Secondary Research
Survey of 130 respondents
Conducted 18 in depth interviews
Substantiate the survey data with IDI
Analysis of the findings
Give recommendations based on the findings
Develop marketing communication
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10. In-Depth interviews - Characteristics
Exploratory research design was
followed by conducting in-depth
interviews
Characteristics:
Physical situation: Relaxed and informal
Face – to – face interviews
Remote online / telephonic interviews
Time duration: 15-20 mins
Group composition: Family, Friends &
Relatives
No. of interviews conducted: 18 10

11. Findings
from IDI
60% of the
respondents started
buying groceries
online post pandemic
50% of the
respondents said that
the amount of
expenditure has
increased
Student and salaried
professionals in the
age bracket 18 – 30
years have more
inclination to online
shopping
Most Important factor
that respondents took
into consideration:
• Convenience (10%)
• Safe handling & delivery
(50%)
• Discounts (30%)
• Variety & availability of
products (5%)
• Delivery charges (5%)
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12. Stages in
cognitive
decision
making
Need recognition –
• Input variables - Past
experiences (Internal) ,
Current COVID - 19
scenario (External)
Information search –
Websites / Apps
Alternative search –
Comparison of
different apps
Intention to buy –
Attractive discounts
and return policies
Purchase – Favorable
payment and delivery
options
Post Purchase –
Return / Refunds
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13. High
Involvement
Few differences
between
brands
Significant
differences
between brands
Low
Involvement
Dissonance
reducing behavior
Variety seeking
behavior
Complex buying
behavior
Habitual buying
behavior
Bread
Cereals and
pulses
Dairy products
Beverages (Tea /
Coffee / ketchup)
Oils
Ready to eat
(Noodles / Pasta)
Cheese / paneer /
ghee
SnacksNuts / Dry fruits
Fruits and
vegetables
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14. Consumer
Learning
• Instrumental Behavior - Rewards
• Positive Reinforcements – Discounts and
saving offers
• Negative Reinforcements – Removing the
fear of virus contact
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15. Situational
Influences in
decision
making
High Perceived Risk – High involvement
products
Types of risks:
Performance –
Quality of products
Physical – Germ /
Virus free delivery
Financial – Return /
Refund hassles
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16. Persona 2
Student
Age: 18 – 24 years
AHI: 5L – 10L
Persona 1
Married woman
Age: 25 – 40 years
AHI: 15L +
Family Size: 3 – 4 members
Persona 3
Unmarried professional
Age: 25 – 30 years
AHI: 10L – 15L
Persona 4
Married male
Age: 31 – 50 years
AHI: 20L+
Family Size: 5+ members
Consumer Personas
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17. Insights from
the survey
Persona Buying frequency Influencing factors
1 Every 2 – 3 days Offers/ discounts, safe delivery
2 2 – 3 times a month Convenience, free delivery
3 Need based Availability, quick delivery
4 Once every 2-3 months Variety
Most preferred
category
Second most preferred category
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18. Convenience
Influencing factors for purchase
Discount
Variety
Return &
Refund
Delivery
Charges
Exhchange
& Refund
Product
Quality
Payment
Issues
Positive Factors
Negative Factors
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19. Buying frequency & Spending capacity
Ticket Size
(INR)
Frequency of
buying
Insights
>4000 Once every 2 – 3
months
Bulk Buying for 5+ family
members
1000 – 4000 2 – 3 times per
month
Conservative buying for 3 – 4
family members
Less than 1000 Every 2 – 3 days Buy for immediate need,
individuals
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20. Recommendations
• Increasing traction for platform
• Ads on social media platforms like Instagram, YouTube and Facebook
• Focus should be on consumers with Persona 1
• Communication focusing on delivery charges, refunds, discounts & offers
• Increase penetration
• Attract by giving discounts to new buyers and referral bonus
• Increasing ticket size
• Marketing associated products while making the purchase
• Give reminders “Last time you bought product A with B”
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