You are on page 1of 33

AMR Term Project

Report
Study the Favorable parameters that will ensure the
Sustenance of eatery near IIM Raipur

Group:
1.
2.
3.
4.

Karteek Kala 15PGP073


Abhinav Peddinti
Swagat Kumar 15PGP052
Pavan Sandeep 15PGP
5. Mahi Teja RS 15PGP150

Table of Contents:

Introduction:.......................................................................................................................
Research Methodology:......................................................................................................
Preliminary Analysis:..........................................................................................................
Data Analysis & Interpretation:..........................................................................................
Factor Analysis...................................................................................................................
Cluster Analysis:.................................................................................................................
Multi Dimensional Scaling:...............................................................................................11
Observations & Recommendations:.................................................................................12
Questionnaires.................................................................................................................25
Initial Questionnaire.........................................................................................................27

Introduction:
The food that is served in the student mess is severely deteriorating. Daily menu
range, lack of proper taste and the monotonous menu are a few reasons due to which
the students look for dining options outside the college. Further, students frequent
during evenings (including snacks and dinner) due to the free time available, when
compared to lunch. We identified that the main reasons for outside dining are for better
quality of food implying the variety of cuisine and the taste of the menu and
experience of fine dining focusing on ambience, music and bar options (stress
relieving).
Through the survey we would want to identify the aspects that the students of IIM
Raipur regard as the must have factors for restaurant near IIM Raipur providing lunch,
snacks and dinner. As explained, the factors are classified into the basic features
covering the types of cuisines, variety in the menu and the experience aspects, which
would cover the ambience. Another important aspect we would focus is the timings of
the restaurant and the delivery promptness as most of the restaurant ordering happens
impromptu. Also we would want to establish the factors that ensure the repeatability of
the customers through this study.

Research Methodology:
Studies Proposed:
Study 1: To understand the reasons for dining out by students of IIM Raipur. Analyze
the propensity of students to dine out based upon factors like holidays, presence
certain cuisine, effect of weekdays & weekends, exams, weather etc.
Study 2: Segmentation & Profiling: To identify and profile the customer segments
based upon various factors like timings, weekdays etc.
Study 3: Consumer Preference: To gauge the preferences of consumers based on
factors like ambience, price, cuisine, quick service etc.
Study 4: Competitor Analysis: To understand who the competitors would be for the
hotel and their positioning (low cost/premium etc.) in the minds of consumer.
Deliverables:
Study 1:
Key Deliverables: Factors that effect the dining experience of students of IIM Raipur
Study 2:
Segmentation & Profiling: Key deliverables: Student segments, size of segments,
profiles of segments
Study 3:
Key Deliverables: Consumer preferences based on attributes
Study 4:

Key Deliverables: A perception map for hotels in IIM Raipur on various factors
deemed important by students of IIM Raipur

Preliminary Analysis:
1. According to our analysis, nearly 65% of the students eat outside (not in the
campus mess) atleast once or twice a week.

Diningout
frequency

Count

None

3.33%

12

64.44% 58

23

20.00% 18

35

7.78%

Morethan5 4.44%

Total

90

100%

2. The most preferred cuisine is North Indian and the least preferred one is
Continental cuisine.
North
Indian
South
Indian
Italian
Chinese
Continen
tal
Others

57.14%

26.19%

9.52%

3.57%

2.38%

1.19%

25.00%

26.19%

23.81%

8.33%

14.29%

2.38%

5.95%
4.76%

14.29%
26.19%

21.43%
29.76%

33.33%
27.38%

20.24%
9.52%

4.76%
2.38%

5.95%

5.95%

15.48%

23.81%

44.05%

4.76%

1.19%

1.19%

0.00%

3.57%

9.52%

84.52%

3. Two of the major reasons students prefer eating outside are the Dissatisfactory
mess food and Hanging out with friends

ReasonsforDiningOut

Count

Dissatisfactorymessfood 72.22% 65
Hangoutwithfriends

63.33% 57

ChangeofCuisine

35.56% 32

Holidays

22.22% 20

Festivals

14.44% 13

Birthdays

37.78% 34

Weekends

31.11% 28

Others

7.78%

Total

100%

90

4. The usual group size that dines out is between 3-5 people or more than 5 people.

Answer

Count

Alone

4.49%

13

20.22% 18

35

38.20% 34

Morethan5 37.08% 33
Total

100%

89

5. Top requisite for a restaurant according to our survey turns out to be Ambience
which is followed by Quick Service, Price and Cuisine. (Refer Appendix)
6. The highest preferred restaurant in and around the campus is Parghani Restaurant,
followed by our very own Night canteen in the campus, where as the least preferred is
Rooftop Royal located in Santhoshinagar. (Refer Appendix)
7. Nearly 87% of the students who dine out prefer to go out for Dinner over other 13%
who prefer Breakfast or Lunch. (Refer Appendix)

8. Average amount spent by a student in one visit is Rs. 450/- where the minimum and
maximum amounts vary over a range of Rs. 100/- to Rs. 1000/-(Refer Appendix)
9.Nearly half of the students (47%) prefer offers directly from the menu while the rest
prefer Combo offers and Buffets. (Refer Appendix)
10. Shirin Biryani Centre located in Sejbahar stands out for its Quality of food and low
priced menu. (Refer Appendix)
11. Parghani Restaurant stands out significantly for its Quality of food followed by
Ambience and Low priced menu. (Refer Appendix)
12. Baba ka Dhaba on the other hand stands out only for it Low priced menu. (Refer
Appendix)
13. Majority of the participants (70%) in the sample are aged between 20-25 and the
other 25% are aged between 26-30. (Refer Appendix)
14. Over 65% of the participants in the survey are male where as 35% are female
(Refer Appendix)

Data Analysis & Interpretation:


The following techniques are used for the analysis:

Factor Analysis
Factor Analysis, to group the items into factors based upon Squared Loading values
Total Variance Explained
Initial Eigenvalues
Extraction Sums of Squared Loadings

Component

Total
1
2
3
4
5
6
7
8
9
10
11
12

3.359
1.960
1.569
1.306
.910
.768
.577
.531
.366
.242
.227
.186

% of
Cumulative
Variance
%
27.994
27.994
16.332
44.326
13.073
57.399
10.880
68.279
7.585
75.864
6.400
82.264
4.812
87.076
4.422
91.498
3.050
94.549
2.014
96.562
1.891
98.454
1.546
100.000

KMO and Bartlett's Test


Kaiser-Meyer-Olkin Measure of Sampling Adequacy.
Bartlett's Test of Sphericity Approx. Chi-Square
df

Total
3.359
1.960
1.569
1.306

% of
Cumulative
Variance
%
27.994
27.994
16.332
44.326
13.073
57.399
10.880
68.279

.618
191.098
66

Rotati
on
Sums
of
Squar
ed
Loadi
ngs
Total
2.467
2.322
1.941
1.464

Sig.

.000

Passed KMO & Barletts Test.

Clean Surroundings
Wait for tasty food
Willing to pay more for
better dining
Greater Variety
Closer Reach
Quick Delivery
Concern for Surroundings
Dont travel long distances
Hate to wait longer time
Not Price Conscious
Well behaved Employees
Lesser Waiting Time

Component Matrixa
Component
1
2
3
.776
-.153
.050
.322
-.368
.590
.638
-.423
.475
.278
.405
.795
-.255
.142
.743
-.206
.532
.640

-.553
.635
.221
.504
.683
.294
-.137
-.143
.138

.109
.322
.277
.340
.250
-.342
.166
-.487
-.490

Rotated Component Matrixa


Component
1
2
3
CleanSurroundings
.428
.606
Waitfortastyfood
-.169
.747
Willingtopaymoreforbetterd
.152
.886
ining
GreaterVariety
.234
.461
-.235
CloserReach
.132
.147
.813
QuickDelivery
.358
.571
.464
ConcernforSurroundings
-.435
-.161
.456
Donttravellongdistances
.052
-.101
.822
Hatetowaitlongertime
.745
.105
.289
NotPriceConscious
-.055
.110
WellbehavedEmployees
.767
.059
-.103
LesserWaitingTime
.833
.144

4
-.365
-.049

.429
.181
-.124
-.136
.420
-.042
.785
.276
.217

4
-.459
.059
.065
.506
-.066
-.321
-.173
.191
-.328
.831
.121

The Following 4 factors have been formed for analysis:


Factor 1 (Extraction Sums of Squared Loadings = 27.99%):
1. Quick delivery
2. Well behaved Employees
Factor 2 (Extraction Sums of Squared Loadings = 44.326%):
1. Tasty Food
2. Willing to Pay for Better Dining
Factor 3 (Extraction Sums of Squared Loadings = 57.399%):
1. Reach
Factor 4 (Extraction Sums of Squared Loadings = 68.279%):
1. Not Price Conscious
2. Variety Seeking

Cluster Analysis:
The respondents are segmented using this analysis into clusters. On basis of previous
factors identified. Hierarchical Clustering is done to realize the number of clusters. The
length of Dendrogram resulted in creation of 2 cluster analysis. The K-type Cluster
analysis was used to group the respondents into 2 segments based upon factors.
From the analysis(based upon F & Sig. value) we observe that:
For Factor 1: Clusters 1 & Clusters 2 are not significantly differentiated.
For Factor 2,3,4: The Clusters are significantly differentiated.
Final Cluster Centers
Cluster
REGR factor score 1 for
analysis 1
REGR factor score 2 for
analysis 1

1
-.60276
1.11001

2
.07009
-.12907

REGR factor score 3 for


analysis 1
REGR factor score 4 for
analysis 1

.84816

-.09862

1.50006

-.17443

ANOVA
F
REGR factor score
analysis 1
REGR factor score
analysis 1
REGR factor score
analysis 1
REGR factor score
analysis 1

Sig.

1 for

2.074

.157

2 for

7.884

.007

3 for

4.297

.044

4 for

16.774

.000

Number of respondents: 49
Cluster 1: 10.4% of respondents
Cluster 2: 89.5% of respondents
Number of Cases in each Cluster
1
5.000
Cluster
2
43.000
Valid
48.000
Missing
1.000

Considering only respondents within age 20-25 years:


Final Cluster Centers
Cluster
1
REGR factor score 1 for
-.60276
analysis 1
REGR factor score 2 for
1.11001
analysis 1
REGR factor score 3 for
.84816
analysis 1
REGR factor score 4 for
1.50006
analysis 1

2
.07009
-.12907
-.09862
-.17443

ANOVA
F
REGR factor score
analysis 1
REGR factor score
analysis 1
REGR factor score
analysis 1
REGR factor score
analysis 1

Sig.

1 for

2.074

.157

2 for

7.884

.007

3 for

4.297

.044

4 for

16.774

.000

Number of Cases in each Cluster


Cluster

1
2

Valid
Missing

Multi Dimensional Scaling:

5.000
43.000
48.000
1.000

Proxscal:
Multidimensional scaling attempts to find the structure in a set of proximity measures
between objects. This process is accomplished by assigning observations to specific
locations in a conceptual low-dimensional space such that the distances between
points in the space match the given (dis)similarities as closely as possible. The result is
a least-squares representation of the objects in that low-dimensional space, which, in
many cases, will help you to further understand your data.

To position the competitors, we used Proxscal MDS. The map

Final Coordinates
Dimension
1
2
Shirin
.087
-.414
Pargani
-.358
-.379
RoyalRoofTop
.037
.240
BabaKaDhaba
-.615
.395
AgarawalSweets
.849
.158

Also, the preliminary analysis would help in understanding the positioning of these
restaurants based on these dimensions.

Observations & Recommendations:


The Factor analysis is conducted to aggregate the items from the research tool to form
four relevant and corelated factors based on this analysis.
We observe that based on Cluster Analysis, two clusters are formed for the 4 factor
groupings. The service offerings, location and operations can be decided upon this
analysis.
The Multi Dimensional Scaling (Proxscal) is used to position the competitors in this
segment. This is to understand the gap in the market or opportunity to enter in the
unattended segment
The factors from the factor analysis are:
1. Delivery Consciousness
2. Quality Experience (taste & Better Dining)
3. Reach
4. Non Price conscious, Variety Seeking

We observe that from K-type Cluster analysis of data, two clusters are formed. For
these two segments we could infer that:
Cluster 1 has taste seeking, Reach and Variety seeking customers. This segment has
10.4% of total respondents.
Cluster 2 has price conscious customers. This segment has 89% of total respondents.
For 20-25 year age segment (85% of total population)
By following the same analysis we observe that, Cluster 1 has taste conscious
customers who are ready to pay a premium for the food.(10%)
Cluster 2 were reach and price conscious customers. (90%)
Multi Dimensional Scaling has created a perceptual map of the competitors like Roof
Top, Agarawal Sweets, Pargani etc. The maps on two dimensions show Agarawal sweets
placed higher on dimension1.
Also babakaDhaba placed very high on dimension 1.
From Initial analysis, we can conclude that
Dimension 1 should be Price conscious customers
Dimension 2 should be taste and variety seeking customers
To Setup a new restaurant, based upon the analysis
Cluster 2 customers could be targeted, who are reach and price
conscious.
They are ready to adjust on quality and taste.
If cluster 1 customers are targeted, they are ready to even travel a
farther distance to get quality food. So, the restaurant should focus on
variety, taste and ambience.

Appendix
SustenanceofeaterynearIIMRaipur
September6th2016,8:39pmIST

1 - How many times do you eat outside? (In a week)

Answer

Count

None

3.33%

12

64.44% 58

23

20.00% 18

35

7.78%

Morethan5 4.44%

Total

90

100%

2 - Rate the cuisine based on your preference

3 - Reasons to dine out (More than 1 option)

4 - Group size when you dine out

5 - More than 1 option

Answer

Count

Bar

18.89%

17

PrivateDining

23.33%

21

Buet

28.89%

26

QuickService

54.44%

49

Ambience

64.44%

58

Variants

34.44%

31

Cuisine

50.00%

45

Proximitytocollege

36.67%

33

Price

51.11%

46

Others

2.22%

Total

100%

90

6 - Rank the below restaurants in and around IIM

Raipur

Questio
n

Total

18.07%

28.92%

9.64%

8.43%

12.05%

83

20.48%

15.66%

24.10%

14.46%

8.43%

83

25.30%

13.25%

12.05%

12.05%

4.82%

83

Night
Cantee

22.89

n @ IIM

Raipur
Shirin
Biryani
Center

16.87
%

Pargha

32.53

ni

Baba
Ka

3.61 %

14.46%

20.48%

25.30%

19.28%

16.87%

83

13.25

10.84%

10.84%

19.28%

24.10%

21.69%

83

10.84%

10.84%

9.64%

21.69%

36.14%

83

Dhaba
Agarwa
l
Sweets
Roof
top
Royal

10.84
%

7 - What me do you prefer to visit a restaurant?

Answer

Count

Breakfast 2.22%

Lunch

6.67%

Snacks

4.44%

Dinner

86.67% 78

Total

100%

90

8 - How much normally do you spend for a dinner


in restaurant?
Field

Minimu
m

Maximu
m

450.34

220.24

48506.85 89

Mean

Std.
Deviatio
n

Variance Count

9 - What kind of offers would you prefer?

Answer

Count

Directlyfrommenu

46.59% 41

Combooffers

25.00% 22

Buet

21.59% 19

FamilyPacks

3.41%

Others

3.41%

Total

100%

88

10 - Multiple Answers

Answer

Count

LowPrice

44.30%

35

Ambience

12.66%

10

QualityFood 45.57%

36

QuickService 20.25%

16

Total

79

100%

11 - Multiple Answers

Answer

Count

LowPrice

32.56% 28

Ambience

33.72% 29

QualityFood 48.84% 42
QuickService 10.47% 9
Total

100%

86

12 - Multiple Answers

Answer

Count

LowPrice

63.64%

49

Ambience

1.30%

QualityFood 27.27%

21

QuickService 19.48%

15

Total

77

100%

13 - Age (years)

Answer

Count

<20

1.12%

2025

70.79% 63

2530

25.84% 23

>30

2.25%

Total

100%

89

14Gender
Answer

Count

Male

62.92% 56

Female

35.96% 32

Others

1.12%

Total

100%

89

Questionnaires

Restaurant Survey
Age

<15 yrs
15-20 yrs
20-25yrs
25-30yrs
30 yrs and above

How many times do you eat outside? (in a week)

Never
1-2 tiimes
3-5 times
More than 5

What time do you prefer to visit a restaurant?

Breakfast
Lunch
Dinner
Anytime

Previous Work Experience


None
Less than 2years
More than 2years

Your State of Domicile falls in this region

North india
South India
West India
Central
East India

1. I would like the dining place to be clean and refreshing


Strongly Agree

1 2 3 4 5 6 7

Strongly Disagree

3. I would prefer to wait for more time to get tasty food


Strongly Agree

1 2 3 4 5 6 7

Strongly Disagree

4.I prefer to pay more for a good dining experience


Strongly Agree

1 2 3 4 5 6 7

Strongly Disagree

4. I prefer to have greater varieties in my menu


Strongly Agree

1 2 3 4 5 6 7

Strongly Disagree

5. I choose a restaurant close to my place


Strongly Agree

1 2 3 4 5 6 7

Strongly Disagree

6. I like my order to delivered quick


Strongly Agree

1 2 3 4 5 6 7

Strongly Disagree

7. I dont pay attention to surroundings while having food


Strongly Agree

1 2 3 4 5 6 7

Strongly Disagree

8. I dont like to travel long distances for dining


Strongly Agree

1 2 3 4 5 6 7

Strongly Disagree

9. I dont like to wait longer time to get my order


Strongly Agree

1 2 3 4 5 6 7

Strongly Disagree

10. I dont look at price while ordering food


Strongly Agree

1 2 3 4 5 6 7

Strongly Disagree

11. I prefer restaurants where waiters are well behaved


Strongly Agree

1 2 3 4 5 6 7

Strongly Disagree

12. I prefer to visit a restaurant where I donot have to wait


Strongly Agree

1 2 3 4 5 6 7

Strongly Disagree

Initial Questionnaire
1. How many times do you eat outside? (in a week)
None
1-2
2-3
3-5
More than 5
2. Rate the cuisine based on your preference
1 Chinese
2 North Indian
3 South Indian
4 Italian
5 Continetal
6 Others

3. Reasons to dine out (More than 1 option)


Disatisfactory mess food
Hangout with friends
Change of Cuisine
Holidays
Festivals
Birthdays
Weekends
Others

4. Group size when you dine out


Alone
1-3
3-5
More than 5
5. What features do you look forward to in a restaurant?
Bar
Private Dining
Buffet
Quick Service
Ambience
Variants
Cuisine
Proximity to college
Price
Others
6. Rank the below restaurants in and around IIM Raipur
Night Canteen @ IIM Raipur
Shirin Biryani Center
Pargani
Baba Ka Dhaba

Agarwal Sweets
Rooftop Royal
7. What time do you prefer to visit a restaurant?
Breakfast
Lunch
Snacks
Dinner

8. How much normally do you spend for a dinner in restaurant?


0
100
200
300
400
500
600
700
800
900
1000
Amount Spent

9. What kind of offers would you prefer?

Directly from menu


Combo offers

Buffet
Family Packs
Others

10. Which attributes stands out in this restaurant - Shirin?


Low Price
Ambience
Quality Food
Quick Service

11. Which attributes stands out in this restaurant - Pargani?


Low Price
Ambience
Quality Food
Quick Service

12. Which attributes stands out in this restaurant - Baba Ka Dhaba?


Low Price
Ambience
Quality Food
Quick Service

13. Age (years)


<20
20-25

25-30
>30

14. Gender
Male
Female
Others