Minor Project Report

On

Study on Consumer Preferences on Shoe Companies

in National Capital Region

Submitted in partial fulfillment for the award of the

Degree of Bachelor of Commerce (H) 2017-2020

UNDER THE GUIDANCE OF

Ms. NUPUR ARORA
ASSISTANT PROFESSOR

SUBMITTED BY:
Harsh Kothari
Roll No. 04017788817, Batch No. (BCOM (H) 2nd SEM A Section)

Vivekananda School of Business Studies

Vivekananda Institute of Professional Studies

1
CONTENT
 Student Under Taking ………………..…………………………...3
 Certificate……………………………….......................................4
 Acknowledgement……………………………………………….....5
 Chapter 1: Introduction……………………………………………6
 Purpose of the Study…………………………………………......7
 Research Objective of the Study…………………………………7
 Rational for choosing the topic…………………………………..8
 Chapter 2: About the topic……………........................................9

 About the shoe industry in India…………………………….......10

 Market Size, Growth and Segmentation……………………..… 11

 Evolution of Indian Market…………………………………….. .13

 Impact of GST on Shoe Companies……………………………..16

 Leading Shoe Companies………………………………………...17

 Chapter 3 : Findings and Analysis……………………………….24
 Chapter 4 : Suggestions……………………………………….......37
 Recommendation…………………………………………….......38
 Signification of Study……………………………………………38
 Delimitation of Study…………………………………………….39
 Chapter 5 : Conclusions………………........................................40
 Conclusion………………………………………………………..41
 Bibliography……………………………………………………..42
 Annexure…………………………………………………………...43
 Questionnaire…………………………………………………… 44

2
 STUDENT UNDERTAKING

This is to certify that I have completed the Project titled “Study on Consumer Preferences on
Shoe Companies in National Capital Region” under the guidance of “Ms. NUPUR ARORA”
in partial fulfillment of the requirement for the award of degree of Bachelor of Commerce
with Honors (BCOM HONS) at Vivekananda Institute of Professional Studies, Vivekananda
School of Business Studies, New Delhi. This is an original piece of work and has not been
submitted elsewhere.

Harsh Kothari

3
 CERTIFICATE

This is to certify that the project titled “Study on Consumer Preferences on Shoe Companies
in National Capital Region” is an academic work done by “HARSH KOTHARI” submitted in
the partial fulfillment of the requirement for the award of the degree of Bachelor Commerce
with Honors (BCOM HONS) from Vivekananda Institute of Professional Studies,
Vivekananda School of Business Studies, New Delhi., under my guidance & direction. To the
best of my knowledge and belief the data & information presented by him/her in the project
has not been submitted earlier.

Ms. NUPUR ARORA

4
 ACKNOWLEDGEMENT

I express my sincere gratitude and thanks to Ms. NUPUR ARORA for giving me an
opportunity to enhance my skill in my project. I am thankful for her guidance, patience and
consummate support. I extend my heartiest thanks to her for enlightening my path. Without
her sincere advice, this project has been impossible.
Moreover, I would also like to thank the various people who were involved with this project
and gave me invaluable guidance in this regard. Without their help, this project would not
have been as comprehensive and detailed as it is.

5
 CHAPTER 1:
INTRODUCTION

6
Purpose Of Study

 To study what kind of shoes does people of different age group prefer.

 To study the demand and supply of Shoes in the market.

 To know that how people get know about new product.

 To study weather famous names affect the sales of the product.

 To identify areas where there can be scope for improvement.

 To develop practical knowledge with theoretical aspects.

Research Objectives of the study

 To study the most preferred brand in National Capital Region.

 To study the reason of preferred brand by people.
 To study the consumer satisfaction.
 To study the products available for different people.

7
 Rationale for choosing the
topic
I wanted to learn about the shoe brands that are leading in the Indian market now a
day. The main aim of choosing this topic is to mainly learn more about the Indian
market and how it works.
There are many shoe brands competing in the Indian market, and how they compete
that fascinates me and thus that makes me urge more to learn more about that and thus
increase my knowledge about it.
Different brands use different techniques to promote their products and thus they
make their brands different from others.
With my new understandings, I would like to know if any theories are true and can
apply what I learned.

8
 CHAPTER 2:
ABOUT THE
COMPANIES AND
THE TOPIC

9
 ABOUT THE SHOE
INDUSTRIES IN INDIA
India is the second largest footwear producer in the world, with footwear production
accounting for approximately 9 per cent of the global annual production – 22 billion pairs
as compared to China, which produces over 60 per cent of the global production.

India annually produces 2.1 billion pairs of which 90 pc are consumed internally while
the rest are exported primarily to UK, Germany, USA, Italy and France
India annually produces 2.1 billion pairs of which 90 per cent are consumed internally
while remaining are exported primarily to European nations which include United
Kingdom, Germany, USA, Italy and France, as per market analysts.

Footwear exports from India have grown at a CAGR of 20 per cent in Indian Rupee terms
during the last five year backed by growing demand from European nations and
increasing focus of main importing countries to shift sourcing from China to other low
cost producing countries.

India is the third largest footwear consuming country in the world after China and USA,
but with very little separating the three, India is very soon expected to be the second
largest consumer as well.

In absolute terms, footwear exports from India have risen from Rs. 71.5 billion in FY10
to Rs. 180.0 billion in FY15.

The growth in Indian fashion and lifestyle market has given an impetus to the footwear
industry as well. From a basic need-based industry, it has become an evolving fashion
and style category.

10
Fig.2.1 Exports from India

Market Size, Growth & Segmentation

As per the India Retail Report, India‟s total retail market is worth Rs 3,893,425 crore,
growing at 18 per cent and is expected to cross Rs 6,156,333 crore by 2017. Modern retail
is estimated at 42 per cent of this total market and is expected to grow by 21-23 per
cent Y-o-Y. Retail expansion grew at an average of 16-18 per cent in terms of number of
outlets and retail space with same outlet growth being around 25 per cent.

The footwear market in India, like its international counterpart, has always been broadly
classified into three segments, Men‟s, Women‟s and Kids. Men‟s market is growing at a
CAGR of 10 per cent. At present, men‟s market contributes around 60 per cent of sales in
the footwear segment as against women‟s share of 30 per cent. The women‟s
segment, however, is growing at a much faster CAGR of 20 per cent.

11
Based on the usage, the market can be divided into two sub categories:

 Regular (consisting of daily and sports footwear, material can be leather/non-

leather)
 Occasional (consisting of premium and luxury, material can be leather/non-
leather)

From price point, the footwear industry in India can be divided into five parts:

 Mass (Rs 150-700)

 Mid/Economy (Rs 700-1000)
 Active Sports (Rs 1000-3000)
 Premium (Rs 3000-5000)
 Luxury (Above Rs 10,000) segment
The footwear market of the country is shared between organised and unorganised
segment. The organised segment caters to about 1/3rd of the market while the remaining
market is fetched by unorganised players.

The unorganised segment gains prominence in the Indian context due to its price-
competitive products, which are more suitable and attractive to the price conscious Indian
consumer. But with increased household income, shifting consumer behaviour from
saving to spending, increasing brand consciousness amongst Indian consumers, influx of
large number of global brands and penetration in tier – II and III cities by footwear
companies, the organised retail in footwear market is rapidly evolving and expected to
grow at a higher rate in the future.

The rural market of India is still largely untapped for footwear manufacturers. Companies
are re-positioning themselves and launching specific products and price ranges to expand
their presence and increase their consumer base in rural areas.

12
The Evolution of the Indian Footwear Market

President-South Asia, Bata, Rajeev Gopalakrishnan, analyses the evolution of footwear

industry in his own way. He says, “As consumers‟ exposure to multi-channels on TV,
movies, content increased over years, their expectation from footwear have evolved.
Buying shoes for special occasions started becoming a norm. Advent of digital
technologies and penetration of smartphones brings instant awareness for Indian
consumers about the latest global trends and makes them aspire for the latest. Footwear is
not just for utility anymore; they are more of a fashion statement. This has increased the
per capita consumption from 1.6 to 2.4 in last 5 years. The market is also likely to gain
from the proliferation of the retail culture, which is expected to boost it at a CAGR of 11
per cent between 2015 and 2023. Since the global footwear market is highly fragmented,
the focus now lies in diversifying the product portfolio through research and development
to meet the changing customer needs.”

“The industry is at a very interesting crossroad. The demography and changing buying
behaviour are triggering enhanced demand from the existing pie. Rising disposable
incomes and new entrants into workforce, especially women are pushing the domestic
demand on the upside. On the other hand, the pain points of the industry – tax component
and incentives on investor allowance are being worked upon. The organised sector will
tend to be big beneficiary of these trends,” says COO, INC. 5 Shoes Pvt. Ltd., Rajesh
Kadam.

He further says, “India is witnessing a change in terms of its basic aspiration that has seen
the buyer‟s preference move to more of branded stuff. More international players will
enter the market and they will offer a wide variety to the consumer. All these are way
different when we started out when it was a basic need that this industry fulfilled.”

90 per cent of the footwear produce of India is still consumed by the domestic market and
the rest is exported.

13
“Indian footwear industry is exploring ways to increase exports and the growth in export
of footwear will depend on quality and cost competitiveness,” says MD Sreeleathers,
Satyabrata Dey.

According to him, India is attracting various established fashion brands of the world as
well as retailers who are re-orienting their focus on the domestic footwear market. This
has led to a significant increase in the number of retail outlets nationwide.

Key Trends Shaping the Indian Footwear Market

 Casualization and the Growth of Sports Shoes: According to Rajeev

Gopalakrishnan, “The surging demand for designer yet comfortable shoes
among women and sportswear or athletic shoes among men, have been
bolstering opportunities for footwear sales.”
It is true that, the choice of footwear, both for men and women in India is always
dominated by the fashion of the season. However recently, comfort has been the
determining factor for the consumers in buying footwear. Casualization has kicked in as a
big trend and with that sales of sneakers, converse also have picked up, as these are
preferred for everyday wear. In fact, heels over three inches, most favourite in women‟s
segment, have recorded a decline of 17 per cent since last September.

MD & CEO Metro Shoes, Farah Malik, says, “The last year saw an upsurge in the casual
category for men and in men‟s wear saw an increased acceptance of brighter colours and
quirkier patterns. We have also seen a spurt in kids wear.”

 Increased Trust in Branded Footwear: Though the market share of branded

and non-branded footwear in the country is almost the same till date, but brand
consciousness of the Indians is increasing substantially.
As Rajesh Kadam of INC. 5 says: “A certain segment of Indian consumers is definitely
become brand conscious, and the rest of the market does have an aspiration to get there.”

Farah Malik adds, “A fast growing economy and a rising number of affluent consumers
have pushed India into the league of most brand conscious countries globally. However

14
most consumers prefer a price point ranging between Rs 999 – 4999 with regard to both
national and international brands.”

 Growing Opportunities in the Women’s Segment: Women‟s footwear

constitutes only 30 per cent market share currently. But the growth rate of this
segment is double than the men‟s segment. Where the men‟s footwear market
has registered 10 per cent CAGR growth rate in the last fiscal, it is 20 per cent
for women‟s segment.
 Omni-channel Retailing: Retailers have started venturing into Omni-channel
retailing and trying in-store marketing solutions such as beacons to enrich the
shopping experience and trying to find out ways to bridge the gap between
offline and digital channels. In addition to engage users on digital platform, and
even influence their merchandising decisions, many retailers are using the
platform geo-fencing and mobile-enabled sites). In 2016, retailers have
incorporated mobile into other parts of the customer journey, including order
fulfillment, payments, and loyalty .not just to showcase products, but to
actually sell them. The same goes for mobile. Companies won‟t just use the
small screen to „get in front‟ of customers.

15
IMPACT OF GST ON SHOE COMPANIES

The fundamental is that GST is going to be a game changer for the entire footwear industry
as well as for the industry at large. I believe the footwear industry has been recognized by the
Government of India as a focus sector in the Make in India whether we do it for India or we
do it for the world. And we had a target of achieving $27 billion from the base of $15 billion
where there is a 20% growth targets which has been set by the government for the next five
years.

One must understand that this sector is highly unorganized where 80% to 85% of the industry
falls under very small micros, small and medium enterprises and hardly you can name brands
which are there in the footwear space which are in the let us listed space. So there is hardly 5-
6% of the space which is catering by the large scale industry.

So this is where the GST can have a better play for the industry and the whole idea of GST
was to integrate the sector as one sector. When we talk about GST one nation one tax, I
would also believe that it is one sector. But when you have unorganised sector and organised
sector which are competing with each other, we are competing internally rather than
externally. And while the government has withdrawn all the exemptions various tax slabs
structure which were there in the past as legacy, but go

And this is where industry is really shouting and crying about it that the whole idea was to
grow the industry in India where the manufacturing sector needs a push from the government
on Make in India and we can create two to three million new jobs at the grass root level.
Unfortunately, the tax rates there are a huge divide between 5% and 18%. So there is a lure
for 13% differential for unorganised sector not to pay the tax and this is where probably the
industry is scared and there is lot of demonstrations happening and we are really concerned
about the high rate of tax for shoes above 500.

16
Leading Shoe Brands in India

There are many Companies in India in the field of Show Production. There are
Indian as well as Foreign brands in the Indian Market.
Most Popular brands in India are:

1. Bata
2. Liberty
3. Nike
4. Adidas
5. Converse

1. BATA

Bata India is the largest retailer and leading manufacturer of footwear in India
and is a part of the Bata Shoe Organization.

Incorporated as Bata Shoe Company Private Limited in 1931, the company was
set up initially as a small operation in Konnagar (near Calcutta) in 1932. In
January 1934, the foundation stone for the first building of Bata‟s operation -
now called the Bata. In the years that followed, the overall site was doubled in
area. This township is popularly known as Batanagar. It was also the first
manufacturing facility in the Indian shoe industry to receive the ISO: 9001
certification.

The Company went public in 1973 when it changed its name to Bata India
Limited. Today, Bata India has established itself as India‟s largest footwear
retailer. Its retail network of over 1200 stores gives it a reach / coverage that no

17
other footwear company can match. The stores are present in good locations and
can be found in all the metros, mini-metros and towns

Fig.2.2 Bata market share

Bata‟s smart looking new stores supported by a range of better quality products
are aimed at offering a superior shopping experience to its customers.The
Company also operates a large non retail distribution network through its urban
wholesale division and caters to millions of customers through over 30,000
dealers.Some of the major product categories of Bata are:

 Men

 Women

 Kids

18
2. LIBERTY

Fig. 2.3 Liberty Logo

Liberty Shoes Limited, an Indian multinational company, is based out of Karnal,

Haryana. Founded in 1954 and one of the leading global footwear makers today. Liberty
Shoes first associated in India for distribution and exclusive showrooms with Balbir
Singh & Son's in the year of 1983, which was later named as Naruson Sales Corporation.

The company was incorporated on 3 September 1986 as a Public Limited Company and
obtained the Certificate of Commencement of Business on 11 March 1988. The company
has been set up to manufacture and sell leather and non-leather shoes, leather shoe uppers
and leather garments Presently the company is engaged in the manufacturing of leather
and non-leather shoes.

It has also set up a joint venture in Russia to manufacture shoes in 1991 under the name
of M/S Liberty &Go, with M/S Gorky Production & shoes Unit, Gorky. The Company is
marketing its product nationally and internationally under the brand name "LIBERTY"
and is well established in the national and international market. The company has entered
into an agreement with one of the group firms M/S Liberty Enterprises for using the
established brand name "LIBERTY".

Currently, Liberty Shoes have operations in over 25 countries. Also the company has a
global presence with more than 6000 multi brand outlets with more than 400 outlets. Its
shoes are available in a wide range, including:

 Men

 Women
 Boys and Girls

19
 3. NIKE

Fig. 2.4 Nike Logo

Nike is a global footwear, accessories, apparel, services, and equipment brand that is
based at Portland, Oregon. It is the global leader in athletic apparel and footwear as well
as sports equipment. Its revenue is presently US$ 24.1 billion and it has at least 44
thousand employees around the world. Its present worth is approximately US$ 10.7
billion making it the top sports business brand in that regard. It is a Fortune 500 company
as well.
The company was founded on January 25, 1964, as Blue Ribbon Sports, by Bill
Bowerman and Phil Knight, and officially became Nike, Inc. on May 30, 1971. The
company takes its name from Nike, the Greek goddess of victory. Nike markets its
products under its own brand, as well as Nike Golf, Nike Pro, Nike+, Air Jordan, Nike
Blazers, Air Force 1, Nike Dunk, Air Max, Foamposite, Nike Skateboarding, and
subsidiaries including Brand Jordan, Hurley International and Converse. Nike also owned
Bauer Hockey (later renamed Nike Bauer) from 1995 and 2008, and previously
owned Cole Haan and Umbro. In addition to manufacturing sportswear and equipment,
the company operates retail stores under the Nike town name. Nike sponsors many high-
profile athletes and sports teams around the world, with the highly recognized trademarks
of "Just Do It" and the Swoosh logo

Nike offers shoes in the following categories:

 Men
 Men‟s training
 Women
 Women‟s training
 Kids

20
 Golf
 Running
 Skateboarding
 Basketball
 Snowboarding
 Football
 Surfing
 Soccer
 Tennis

4. ADIDAS

Fig.2.5 Adidas Logo

Adidas is one of the most popular shoe brands in India and its sneakers, fashion oriented,
and sports shoes are highly sought after. The company was founded by Dassler brothers –
Adi and Rudolph – who came up with the first soccer shoes that had studs.

The company was started by Adolf Dassler in his mother's house; he was joined by his
elder brother Rudolf in 1924 under the name Dassler Brothers Shoe Factory. Dassler
assisted in the development of spiked running shoes (spikes) for multiple athletic events.
To enhance the quality of spiked athletic footwear, he transitioned from a previous model
of heavy metal spikes to utilizing canvas and rubber. Dassler persuaded U.S.
sprinter Jesse Owens to use his hand made spikes at the 1936 Summer Olympics. In 1949,
following a breakdown in the relationship between the brothers, Adolf created Adidas,
and Rudolf established Puma, which became Adidas' business rival.[1]

21
 Adidas' logo is three stripes, which is used on the company's clothing and shoe designs as
a marketing aid - Adidas bought the branding in 1952 from Finnish sports
company Karhu Sports; the branding became so successful that Dassler described Adidas
as "The three stripes company".[7][8][9] The brand name is uncapitalized and is stylized
with a lower case "a"

Its shoes are available in the following categories and more:

 Women
 Adventure
 Men
 Outdoor
 Girls
 Sneakers/canvas
 Boys
 Sandals
 Casual
 Slippers
 Sports
 Sandals

22
 5. CONVERSE

Fig.2.6 Converse Logo

Converse, a leading American brand, deals with athletic apparel and lifestyle fashion in
addition to footwear. It is presently owned by Nike and was set up during February 1908
in Malden, Massachusetts. At present its head offices are at North Andover in the same
state.

During World War II, the company shifted its manufacturing from the public, and instead
made footwear for the military. It was one of the few producers of athletic shoes and for
over a half century the company dominated the American court shoe market. From the
1970s, the company lost its dominant position after other companies presented their own
styles.Converse shoes are distinguished by a number of features, including the company's
star insignia, the All Star's rubber sole, smooth rounded toe, and wrap-around strip.

Converse manufactures its products under the Cons, Chuck Taylor All-Star, John
Varvatos, and Jack Purcell trade names. In addition to apparel and footwear, the company
sells other items through retailers in over 160 countries and through approximately 75
company-owned retail stores across the United States, and employed 2,658 in the U.S. in
2015

Its shoes are available in the following ranges:

 Collections
 Kids
 Men
 Sales
 Women

23
 CHAPTER 3:

FINDINGS AND
ANALYSIS

24
FINDINGS AND DATA INTERPRETATION

1. What type of shoes do you wear?

a) Flats

b) Heels

c) Trainers

d) Chunky

e) Others

Flats Heels Trainers Chunky Other

42 4 14 1 11

Table 3.1 Response

15.3 Flats
Heels
19.4
58.3 Trainers
5.6 Chunky
Others

Fig.3.1 Summary of the question

According to the survey, 58.3% people preferred Flats whereas only 1.4% people
preferred Chunky. 19.4% people preferred trainers and 15.3% people preferred other
types of shoes and only 5.6% people preferred heels. As a result most people liked
wearing flat shoes.

25
2. Where would you rather buy your shoes from?

a) Online

b) Stores

c) Others

Online Stores Others

55 16 1

Table 3.2 Response

OTHER 1

STORE 55

ONLINE 16

0 10 20 30 40 50 60

According to the survey, 76.4% of people preferred shopping shoes from Stores
whereas only 22.2% of people preferred shopping online. And only 1.4% of the
people preferred shopping from any other way.

26
 3. How often do you buy a pair of shoes?

a) Weekly

b) Fortnight

c) Monthly

d) Quarterly

e) Once every 6 month

f) Once in a year

Weekly Fortnight Monthly Quarterly In 6 Once a

months year

0 0 12 23 19 18

Table 3.3 Responses

0 Weekly
12
18 Fortnight
Monthly
Quarterly
23
19 once 6 months
once a year

Fig.3.3 Summary of the question

According to the survey, 0% of people preferred buying shoes weekly and fortnight.
12% of the people preferred buying new pair of shoes very month. 31.9% of the
people preferred buying a pair of new shoes every quarter. 26.4% of the people
preferred buying a pair of shoes every 6 months and 25% of the people preferred
buying shoes once a year.

27
4. How much would you spend on a pair of shoes?
a) Less than 1000
b) 1000 to 2000
c) 2000 to 3000
d) More than 3000

Less than 1000 1000-2000 2000-3000 More than 3000

12 25 24 12

Table 3.4 Responses

25

20

15
25 24
10

12 12
5

0
Less than 1000 1000-2000 2000-3000 more than 3000

Fig.3.4 Survey Result

According to the survey, 16.7% of the people preferred spending their income on
shoes ranging less than 1000. 34.7% of the people preferred spending their income
on shoes ranging from 1000 to 2000 whereas 33.3% of the people preferred spending
their income on shoes ranging from 2000-3000 and only 16.7% of the people
preferred spending more than 3000 on purchasing a single pair of shoes.

28
 5. What type of color do you prefer to wear for shoes?
a) Bright
b) Darker
c) Neutral

Bright Darker Neutral

6 34 32
Table 3.5 Responses
34
35 32
30

25

20

15

10
6
5

0
Bright Darker Neutral

Fig. 3.5 Survey Result

According to the survey, only 8.3% of the surveyed people preferred purchasing
bright colored shoes. 44.4% of the surveyed people preferred purchasing neutral
colored shoes whereas 47.3% of the surveyed people preferred purchasing dark
colored shoes.

29
 6. Which Brand shoes do you like?
a) Bata
b) Liberty
c) Converse
d) Nike
e) Adidas

Bata Liberty Converse Nike Adidas

7 5 11 39 10
Table 3.6 Responses

10 7
5 Bata
Liberty
11 Converse
Nike
Adidas
39

Fig. 3.6 Survey Results

According to the survey, only 9.7% of the surveyed people preferred purchasing Bata
Shoes. Only 6.9% of the surveyed people preferred purchasing Liberty Shoes over
others. 15.3% of the surveyed people preferred purchasing Converse brand shoes.
Whereas 13.9% of the surveyed people preferred purchasing Adidas Shoes over all
other brands. And surprisingly 54.2% of the surveyed people preferred spending their
income on the brand Nike over all other brands.

30
 7. What is most important factor you see while buying a pair
of shoe?
a) Comfort
b) Design of the shoe
c) Cost of the shoe
d) Brand name
e) Others
Comfort Design Cost Brand Other
61 8 0 3 0
Table 3.7 Responses
70
61
60

50

40

30

20

10 8
3
0 0
0
Comfort Design Cost Brand Other

Fig. 3.7 Survey Results

According to the survey, majority of the surveyed people preferred purchasing a pair
of new shoes on basis on comfort, i.e., 87.4%. 11.1% of the surveyed people
preferred design of the shoes while purchasing a new pair of shoes. And only 4.2% of
the surveyed people preferred purchasing shoes on the basis of brand name. 0% of
the surveyed people preferred purchasing a pair of new shoes on the basis of cost or
and other factor that may influence purchasing the it.

31
 8. What size of shoe you wear?
a) 1-3
b) 4-6
c) 7-9
d) 10 and above

1-3 4-6 7-9 10 and above

0 12 40 20
Table 3.8 Responses

20 12

1 to 3
4 to 6
7 to 9
40 10 and above

Fig. 3.8 Survey Results

According to the survey, 55.6% of the surveyed people had a shoe size ranging
between 7 to 9 inches. 27.8% of the surveyed people had a shoe size ranging from 10
and above inches. 16.6% of the surveyed people had a shoe size ranging from 4 to 6
inches. 0% of the surveyed people had a shoe size ranging from 1 to 3 inches.

32
 9. How do you get to know about the new shoe products?
a) TV Advertisement
b) By Shopkeepers
c) By Online Surfing
d) By Friends and Family
e) Other Means
TV By By Online By Friends Other
Advertisement Shopkeepers Surfing & Family Means
9 10 42 7 3

Table 3.9 Responses

45
42
40

35

30

25

20

15
9 10
10
7
3
5

0
TV Shopkeepers Online Surfing friends and Other
Advertisement Family

Fig.3.9 Survey Results

According to the survey, 12.7% of the surveyed people got to know about the new
product by TV Advertisements and 14.1% of the surveyed people got to know about
the new products by shopkeepers. 59.2% of the surveyed people got to know about
the new products by online surfing. 9.9% of the surveyed people got to know about
the new product by family and friends and only 4.2% of the surveyed people got
know about the new product by other means.

33
 10. Do you think festivities and special Occasion affect the
demand of shoes?
a) Yes
b) No
c) Maybe

Yes No Maybe
47 10 14
Table 3.10 Responses

14

YES
NO
10
MAYBE
47

Fig. 3,10 Survey Results

According to the survey, 66.2% of the surveyed people said YES festivals and
special occasion affect the demand of the footwear. Whereas 14.1% of the
surveyed people said NO festivals and special occasions don‟t affect the demand
of the footwear. And 19.7% of the surveyed people said MAYBE festivals and
special occasions affect the demand of the footwear in the market.

34
11. If a star were to endorse a brand of shoes would that
make you buy it?
a) Yes
b) No
c) Maybe

Yes No Maybe
6 46 20
Table 3.11 Responses

50
46
45

40

35

30

25
20
20

15

10
6
5

0
Yes No Maybe

Fig 3.11 Survey results

According to the survey, 8.5% of the surveyed people said YES if a star endorse a
product it affect the demand of the footwear. 26.8% of the surveyed people said
MAYBE if a star endorse a product it affect the demand of the footwear. 66.7%of the
surveyed people said NO if a star endorse a product it affect the demand of the
footwear in the market.

35
 12. Does SALE affect the demand of the shoes?
a) Yes
b) No
c) Maybe

Yes No Maybe
51 8 12
Table 3.12 Responses

12

8
Yes
No
51
Maybe

Fig.3.12 Survey Results

According to the survey, 71.8% of the surveyed people said that YES sale affect the
demand of the footwear in the market. 16.9% of the surveyed people said MAYBE
sale affect the demand of the footwear in the market. 11.3% of the surveyed people
said NO sale affect the demand of the footwear in the market.

36
CHAPTER 4:
SUGGESTION

37
Recommendations
In this section some viable recommendations are forwarded on the bases of the
research findings. For any business operation to be successful, the products
acceptance by consumers is a key issue that must not be neglected as in
competitive and dynamic environment. These days, in seeking, to choice among
different products to satisfy their need and want, consumers see each product as a
bundle of attributes with varying abilities of delivering the benefits to satisfy this
need and want. Even though, the attributes of significance to buyers vary by
product, style, quality and price are attributes sought in a shoe. In addition,
consumers varied by demographic factor; age as to which product attributes they
see as most relevant and the importance they attach to each attribute. Therefore, it
is critical to all companies in foot wear industry; to identify the stage of life their
consumers‟ are in and what product attributes they pay the most attention can help
shoe companies to successful segment the markets and design marketing programs
according to the attributes that are salient to different consumers‟ age groups. 48
Particularly, the domestic shoe companies and factories found in Ethiopia better
constantly come up with new styles/designs and product line extensions to bring
back competitive advantage taken by imported shoes regarding fashionability, wide
variety and comfortability. Thus, deeper understanding of target consumers can
allow them, what new style or design and comfort of product to produce or
modifying existing products style or design and how to market them. So that, the
domestic companies work more on deeper consumer insight investments to take
steps in influencing consumers‟ choice decision.

Significance of the study

This study will help all stakeholders: shoe retailers, wholesalers, manufacturers,
consumers as well as the government, by indicating the current actual status of
domestic shoes market in terms of consumers‟ preference, pointed out potential
areas which need improvement and recommendations were forwarded in order to
tackle the problems identified. Moreover, it will also beckon others a potential area
for further study in a broader scope and wider context.

38
Delimitation of the study
The main purpose of this study was to identify factors affecting consumers‟ shoe
preference either imported or domestic leather shoes. Therefore, this study was
delimited in terms of customer preference for imported or domestic shoe on current
local shoe market based on: product price, quality, style and age variables. Besides,
to conduct this study in all domestic shoe markets is not a simple task that can be
easily accomplished. So to make extensive and feasible investigations and analysis,
the study limited on 180 leather shoe consumers in Addis Ketema shoe market.
More over the study limited on age segmentation, and other demographic variables
were not analyzed.

39
CHAPTER 5:
CONCLUSION

40
 CONCLUSION
So according to my survey I conclude that:
1) Most of the people preferred wearing Flat Shoe than others.
2) Most of the people preferred buying footwear from shops rather than
online or any other means.
3) Most of the people tend to buy a new pair of footwear at a quarterly
basis.
4) Most of the people prefer spending Rs 1000 to Rs 2000 on a new pair of
shoes.
5) Most people tend to prefer dark colored footwear.
6) Most of the people preferred buying NIKE brand shoes as compared to
others.
7) Most of the people check the comfort of the shoe and then purchase the
shoes.
8) Most people have a shoe size ranging from 7 to 9.
9) Most of the people get to know about the new product by surfing online.
10) Most people said Yes festivals and special occasion affect the demand
of footwear.
11) Most people said No if star endorse a product it affect the demand of
the goods.
12) Most people said Yes SALE affect the demand of the product.

“THE BOTTOM LINE” OF THE MARKET RESEARCHSPEAKS THAT BRANDED

SHOES IN INDIA HAS BEENINCREASING ON DAY BY DAY BASIS.THAT
SOUNDS GOOD FOR INTERNATIONAL AS WELLAS DOMESTIC MARKET.

41
BIBLIOGRAPHY
 http://www.indiaretailing.com/2017/03/22/fashion/stepping-into-a-bigger-
better-future-a-report-on-indias-footwear-market/
 https://retail.franchiseindia.com/article/launch-pad/fashion-and-
accessories/India-s-footwear-industry-stepping-towards-a-bigger-and-brighter-
future.a5880/
 https://economictimes.indiatimes.com/opinion/interviews/india-has-the-
largest-footwear-market-in-the-world-adesh-gupta-ceo-liberty-
shoes/articleshow/59366264.cms
 https://business.mapsofindia.com/top-brands-india/top-shoe-brands-in-
india.html

42
ANNEXURES

43
QUESTIONNAIRE
Section-A
1) Name:
2) EMAIL ID
3) Age
a) Less than 20
b) 20 to 30
c) 30 to 40
d) More than 40
4) Gender
a) Male
b) Female
c) Other
5) Income
a) Less than 20000
b) 20000 to 30000
c) 30000 to 40000
d) More than 40000

44
Section-B
1. What type of shoes do you wear?
a) Flats
b) Heels
c) Trainers
d) Chunky
e) Others

2. Where would you rather buy your shoes from?

a) Shops
b) Online
c) Others

3. How often do you buy a pair of shoes?

a) Weekly
b) Fortnightly
c) Monthly
d) Quarterly
e) Every Six months
f) Once a Year

4. How much would you spend on a pair of shoes?

a) Less than 1000
b) 1000-2000\
c) 2000-3000
d) More than 3000

5. What type of colour do you prefer to wear for shoes?

a) Bright

45
 b) Darker
c) Neutral

6. Which Brand shoes do you like?

a) Bata
b) Liberty
c) Converse
d) Nike
e) Adidas

7.What is most important factor you see while buying a pair of shoe?
a) Comfort
b) Design of shoe
c) Cost of shoe
d) Brand Name
e) Others

8. What size of shoe you wear?

a) 1-3
b) 4-6
c) 7-9
d) 10 and above

9. How do you get to know about the new shoe products?

a) TV Advertisement
b) By online surfing
c) By Shopkeepers
d) By Friends and Family
e) Others

10. Do you think festivities and special Occasion affect the demand of shoes?

46
 a) Yes
b) No
c) Maybe

11. If a star were to endorse a brand of shoes would that make you buy it?
a) Yes
b) No
c) Maybe

12. Does SALE affect the demand of the shoes?

a) Yes
b) No
c) Maybe

47