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2012 Cambridge Business & Economics Conference ISBN : 9780974211428

FACTORS INFLUENCING CUSTOMER BUYING MOTIVES;


WITH SPECIAL REFERENCE TO SRI LANKA TELECOM
BROADBAND AT MICRO LEVEL

Pradeep Randiwela

p_randiwela@yahoo.co.uk

University of Colombo-Sri Lanka

Tharanga S. Widanachchi

tharangasw@gmail.com

June 27-28, 2012


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ABSTRACT

Motives are the drives, impulses, wishes or desires that initiate the sequence of activities known

as behavior. Behind any purchasing action, there are several factors, which are playing an

influential role where that makes the customer to perform the task.

This study examines key influential factors that motivated and moves the customer

towards a purchase and determines the level of influence that each influential factor has

contributed to the scenario. Focusing on the set-up in depth, the research explores the factors

influencing customer buying motives, with special reference to Sri Lanka Telecom Broadband at

micro level. The main objective of this study is to assess the degree of influence generated by

influencing factors of customer buying motives. It is also intended to classify them based on their

gravity at buying decisions. This will provide an insight and help future marketing activities of

the company.

In-depth discussion with internal product development and marketing groups of the

company coupled with a comprehensive survey based on a questionnaire distributed among

sample of broadband users at micro business and residential level has been used as the dominant

research strategy. Results of the study reveals that “Emotional factor” is the dominant influential

factor among others, with 4.0229 mean value whilst, purchase orientated (3.5720), result

oriented (3.5500), profit or money oriented (3.2937) and experience oriented (2.9750) factors

respectively, has taken the remaining positions in the influential order. The research reveals that

the emotional factor should be given top most priority at each respective marketing attempt with

the required attention to other factors accordingly.

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INTRODUCTION

Sri Lanka Telecom PLC, together with its subsidiaries, provides Telecommunication services to

residential, corporate, and business customers in Sri Lanka. It is diversified in to several areas

which include Fixed and wireless (CDMA) telephony, Broadband, IPTV, Mobile services,

Domestic and international leased circuits, Frame relay, ISDN, Satellite uplink, Maritime

transmission, Wi-Max services and Directory services. Currently it is the only service provider in

the country to offer telephone, Internet and television services via one connection.

SLT group has a customer base of over four million including multinational corporations,

large and small corporate, retail and domestic customers. Running with an annual turnover in

excess of Rs 40 billion the company is making an important milestone in the journey towards its’

vision of all Sri Lankans being seamlessly connected with world class information,

communication and entertainment services. Being the leading Telecommunication service

provider in Sri Lanka, Sri Lanka Telecom launches its products to the local market gradually

targeting different market segments Island wide. Though the massive customer awareness

programs are coupled along with its products and services, the fixed line market faces intense

competition from the mobile service providers while experiencing low response for its traditional

core businesses.

Even though a massive customer awareness programs are carried out different stages such as:

pre-product launch, after commercialization and at the time of value added services are launched,

it is vital to understand the effectiveness of those programs and campaigns, given objectives of

such initiatives.

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Problem Identification

There are several causes which has encouraged this study such as:

a. Inability to obtain anticipated customer responses after investing on those programs.

b. Lack of understanding on forceful buying motives with regards to the companies’ sub

brands.

c. Gradual decline in the Broadband market share

Research Questions

Main intention of this research study is to seek out answers for following research questions.

What are the major factors that drives customer to purchase the Broadband product?

What degrees of influence are made by these factors?

Research Objectives

 to assess the variability of influence generated through influencing factors of

customer buying motives with regards to the SLT Broadband and,


 to classify them considering most influence to least forceful.

Conceptual Framework

There are several competitive classifications on buying motives applied by experts in the arena

of marketing, in identifying the level of influence generated by the identified influential factors

of customer buying motives. Among those, the classification of Gitomer, J has been selected as
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the most spirited categorization of customer buying motives in order to carry out the study in the

most fruitful manner. Figure 1.1, depicts the conceptual framework used in this study.

Figure 1.1: Factors Influencing Customer Buying Motives

Factors
Influencing
Customer
Buying
Motives

Source: Gitomer J. , 2004, Inside Tuscon Business, Vol. 13 Issue 52, p10-10

Structure of the Study

This paper consists five parts: the first section includes background to the study, problem

identification, research questions and research objectives, and conceptual framework. The second

part deals with review of literature and evolving concepts. The third section, of the study

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explains the methods of data collection along with the sampling techniques and statistical data

analysis employed. The final part of this paper includes the analysis of data, findings, conclusion

and recommendations.

REVIEW OF LITERATURE

Analyzing customer buying motives has identified as a cornerstone of a successful marketing

strategy. The factors which precipitate the buyer's motives and guide their final selection of the

product can be perceived as best satisfying their purchasing need. While the perception of the

buyer will mediate the information used and the interpretation put on it, all purchase decisions

incorporate a mix of price, Technological, performance, personal and emotional factors. While

one motive may dominate others, the availability of choice in the market place means that buyers

will often be faced with two or more acceptable solutions to their purchase need, and so may

appear to behave 'irrationally' in making their final selection. Therefore identifying and

understanding the factors influencing the customer buying motives is a key concern in the

development of effective marketing strategies.

A motive is an internal energizing force that directs persons’ activities towards satisfying

needs or achieving goals. Buyers’ actions are affected by a set of motives rather than by just one

motive. Motives also affect the direction and intensity of behaviour, Pride and Ferrel, (2010).

Furthermore, motives can be explained as drives, impulses, wishes or desires that initiate the

sequence of activities known as behaviour, Udell, (2001)

According to Udell, (2001), the importance of customer buying motives in the marketing

success of a product was emphasized forty years ago in the pioneering work of researcher

Melvin T. Copeland. In an attempt to present a classification of motives useful to business

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management, Copeland proposed separating them into two categories, rational and emotional:

These motives have their origin in human instincts and emotions and represent impulse or

unreasoning promptings to action. By going through the classifications of Copeland and other

experts in the subject matter, Udell, (2001), has introduced a new classification of buying

motives by dividing them in to two extremes, those which are operational and those which are

sociopsychological. He further explains that the operational buying motives as those reasons for

the purchase that are directly related to the anticipated performance of the product and

sociopsychological motives as reasons for the purchase that are indirectly related to the

anticipated performance of the product and directly related to the consumers social and

psychological interpretation of the product.

Evolving Concepts

Consumers make many buying decisions every day. Most large companies conduct researches on

consumer buying decisions in great detail to answer questions about; what consumers buy? ,

where they buy? , how and how much they buy? , when they buy? and why they buy?. Though

the questions are set and straight forward, learning about the whys of consumer buying

behaviour is not as easy as the answers are often locked deep within the consumers mind. In

some cases the customers themselves are not aware of what exactly influence their purchases.

There the buying decisions are made at unconscious level which shows the vitality of a depth

understanding prior to next step, Kotler and Armstrong, (2008).

According to Kotler and Armstrong, (2008), customer purchases are influenced strongly

by cultural, social, personal, and psychological characteristics. The cultural factor exerts broad

and deep influence on consumer behavior. The marketer needs to understand the role played by
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the buyers’ culture, sub culture and the social class. Social factors are being sub grouped as small

groups, family and social roles and status. A buyers’ decision also influenced by personal

characteristics such as age, life-cycle stage, occupation, economic situation, life style, personality

and self concept. Psychological factors including motivation, perception, learning, beliefs and

attitudes are also should be taken as key concerns.

According to Gitomer, (2004), “people don’t like to be sold, but they love to buy”. He

argues that the least powerful way of completing a transaction is teaching sales people on how to

sell, and by knowing or without knowing it has been practiced for the last 120 years. As per his

classification, customer buying motives consists of; (a) Purchase – Oriented, (b) Emotional -

Oriented, (c) Experience - Oriented, (d) Profit or Money – Oriented and (e) Result – Oriented

factors.

It is an undeniable rule that on the surface seems relatively simplistic, but when digging

deeper, the complexity lies in uncovering the motive of why people buy. Uncovering buying

motives goes against the strategy of “selling.” Selling implies informing the prospect of who you

are, how great you are, what your product is, what your product does, and a myriad of features

and benefits that most buyers are completely aware of. Uncovering buying motives is harder to

do and requires a lot more work on the part of the salesperson, but if done properly will both

double the sales and eliminate competitors. The fundamental principle is uncovering the

prospects “why.” Why do they want this? Why do they need this? Why is it important that they

buy it now? And assorted other emotional questions that create what is known as buyer urgency.

Once the reasons for purchase decision has been understood carefully, then are able to match

those motives with value, believability and trust, Gitomer, (2004). He further explains the

reasons for purchase decision such as: history, past experiences, expertise, wisdom, need, want,

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desire to solve or resolve, desire to recover, desire to change, desire to own, desire to win,

passion, fear, greed, vanity, desire to impress, peace of mind, and desired outcome. People

buy for their reasons, not the sellers. If that understanding is there, then their urgency to buy is

become the sellers reality. Regardless of the prospect’s desire and motive to buy, reasons for

selling should match the customer’s reasons for buying, in other words, motives, with regards to

any successful marketing attempt.

Along the process, Gitomer (2004), introduces a challenging way to perceive this

comprehensive process. He comes with a concept that not to think of it as just a “motive”, but to

think of it as “money.” Find the motive means find the money or at least the path that will leads

to the desired destination. For the customer, its’ not what the seller want or need. Its’ what the

customer feels safe buying and when he feels that it is the best time to buy. There is no any

answer for urgency, especially when the sales person needs the sale but the customer is hesitating

for no apparent reason. Its’ their motive, emotion and logical justification balanced with their

tolerance for risk.

RESEARCH METHOD

Primary data collection method has been used in this study. An in-depth discussion carried out

with the SLT internal product development and marketing groups as well as a comprehensive

survey was carried out based on the targeted customer segments in the country. As SLT holds a

massive customer base Island wide as well as the company provides a range of products and

services it has been decided to narrow down the research to a single product that is SLT

Broadband. A broad discussion was carried out with the SLT internal staff in order to identify the

set internal considerations and assessments on customer behaviour and buying motives in the

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target market. The understanding gained from the above mentioned discussions and the

parameter illustrated in the Figure 1.1, were used to develop the questionnaire for the survey.

Sample Selection

As SLT targets a huge broadband market, the most convenient and productive method of

sampling is non-probability sampling. Hence, the sampling method used for this research is

purposive sampling. Mainly sampling is been focused on micro level business customers along

with the residential customers in professional and none-professional categories, where there is a

huge competitive and potential market exists in all over the country. Though the business

customer segment consist of “very large”, “large”, “medium”, “small” and “micro” categories it

has been decided to narrow down the sample to the “micro” level business customers as other

customer segments are very well looked after by an appointed marketing manager. Therefore the

impact of awareness campaigns to those higher levels is lesser, compared with the “micro”

business segment. And also the impact of “micro” level business customers to the business

environment and position is considerably higher where the respective segment size is

comparably huge.

The respective sample has been selected by covering different areas in Colombo

district, so the sample represents different views and believes where it will be a plus point in

evaluating the final results of the research. When working on a highly competitive situation as

current, it is a crucial factor to find out the most to least influential factors with regards to the

customer buying motives prior reaching the targeted customer segments in a more effective

manner.

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For gathering the customer information the SLT directory was the selected resource of

data. While selecting the sample, judgmental sampling has also been merged into the purposive

sampling method where necessary. From the areas which were covered by the broadband

product, the targeted segments have been selected as it contains different interest groups.

Business customer (Micro level) and residential customer (Professional / None Professional)

segments were considered as major two categories. Among the broadband coverage areas, the

above mentioned sample has been drawn out purposively where it consists of it consists of 50

heads from business customers and 50 heads from residential customers.

An internal discussion carried out with heads of product planning and marketing units at

Sri Lanka Telecom this ensured a considerably accurate representation of internal views towards

the factors influencing customer buying motives with special reference to SLT Broadband at

micro level.

Data Analysis

Te qualitative approach has been dominant tool used with a practical classification considering

most to least force and also which is applicable to the real time environment. Therefore, each and

every measurement variable has been evaluated through five point lickert scale system (1 to 5,

where 5 = “Strongly positive position” and 1 = “Strongly negative position) along with in depth

analysis using mean, standard deviation, one-way ANOVA test and Tukey test. When there are

more than two groups for the analysis, the most appropriate way to do the analysis is to use a

one-way analysis of variance (ANOVA) to evaluate whether there is any evidence that the means

of the populations differ, which will lead further to investigate that which of the means represent

the difference, Crichton (1990).

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Tukey's multiple comparison test is one of several tests that can be used to determine

which means amongst a set of means differ from the rest. The test compares the difference

between each pair of means with appropriate adjustment for the multiple testing. The results are

presented as a matrix showing the result for each pair, either as a P-value or as a confidence

interval. These respective tests, assumes that the data from the different groups come from

populations where the observations have a normal distribution and the standard deviation is the

same for each group, Crichton, (1990). The study also covers a comprehensive percentage

analysis on identified key areas under each factor to elaborate the scenario in a very much

descriptive manner.

DISCUSSION

This section reveals the variability of influence generated through influencing factors of

customer buying motives with regards to the SLT Broadband with the views of the participants

of the conducted survey. During the analysis, the outcomes of the questionnaire (Refer Appendix

A: Questionnaire) is being analyzed with the aid of statistical methodologies tables and graphs,

in finding out the most appropriate and reliable answers for the research questions identified.

Descriptive Analysis

In order to identify the situation more clearly, the total research questionnaire (Refer Appendix A:

Questionnaire) will be evaluated using five measurement variables (Influential factors) identified.

The depth analysis on the respective variables and identifying the positive and negative

relationships among those will lead to discover the most reliable classification of factors

considering most to least force, which is more practical indeed.


Profit or Money - Oriented Factor
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A set of straight and hidden questions has been prepared to identify the influence generated via

profit or money oriented factor and have been surveyed among the targeted customer sample of

hundred heads. While examining the results found out for each of the question raised for this

respective measurement variable, profit or money - oriented factor, it can be clearly seen that the

profit or money - oriented factor has a comparably lesser effect towards the customer buying

motives. Here for all the questions provided under this category, the mean responses floating

around the lickert scale value “Three”. This depicts that people are somewhat neutral on this

respective category compared with the other factors. And also when analyzing the standard

deviation, it shows that the answers given by the selected sample was very much similar as

almost all the observations are being clustered around the mean, although they represent different

customer groups. Below table depicts the above discussed scenario.

Table 4.1: Analysis on Profit or Money Oriented Factor


Question Mean Standard Deviation

Broadband price range matches to the ability of expense 3.300 1.040

Service bought is worth for the money 3.270 1.053

Way of grading the Broadband package which is using at the moment 3.440 1.057

Ever think of upgrading the existing package for a better package 2.680 1.180

“Price of the product is a limiting factor for you to go for an upgrade” 3.7700 0.9729

Willingness to pay any amount for the Broadband package, if it is worth for
3.370 1.331
money and if it makes your tasks easy

Dependability of the Broadband package bought, for day today activities


3.2000 0.9101
without any hesitation of malfunctioning

Broadband product makes life easy and saved time 3.320 1.205

The majority of the responses (63.9%) are for values “Three” and “Four” and when summing up,

the outcome tends to move towards the neutral side.

Figure 4.1: Analysis on Profit or Money Oriented Factor


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Purchase - Oriented Factor

A set of questions has been prepared to identify the level of influence generated through the

purchase – oriented factor towards the customer buying motives. The following statistics shows

the results found out for each of the question raised for this respective measurement variable.

Table 4.2: Analysis on Purchase Oriented Factor


Question Mean Standard Deviation

Type of reason forced to buy a Broadband connection 4.080 1.134

Got the connection at correct time 3.6500 0.9468

How soon it was to make the decision to buy the product 3.6200 0.8620

Were there any influencers that pushed to purchase the Broadband


3.120 1.174
connection

Do the awareness campaigns, seasonal or special promotions have pushed


3.390 1.154
for the purchase

Here through the analysis it can be observed that the purchase oriented factor has a comparably

higher effect towards the customer buying motives. Here for all the questions provided under this

category, the mean response floating around the lickert scale values “Three” and “Four”. This

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depicts that people are somewhat positive on this respective category compared with the other

factors. Further the standard deviations under this respective category are also comparably low

and almost all the observations are being clustered around the mean. This shows that the answers

given by the selected sample was very much similar with different customer representation.

The below graph depicts the above explained scenario in a very much descriptive manner.

The majority of the responses are for values “Four” and “Three” and when summing up, the

outcome tends to move towards the positive side.

Figure4. 2: Analysis on Purchase Oriented Factor

Emotional - Oriented Factor

The conducted survey has analyzed the influence generated via the emotional - oriented factor

also in order to identify the factors influencing customer buying motives, in a way that leads to

come up with a reliable classification. The following statistics shows the results found out for

each of the question raised for this respective measurement variable.

Through the analysis it can be observed very clearly that the emotional oriented factor has

the comparably highest effect towards the customer buying motives. Here for all the questions

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provided under this category, the mean responses floating around the lickert scale value “Four”

in a tight way (Refer: Table 4.3). This depicts that people are almost positive on this respective

category compared with the other factors. Further the standard deviations under this respective

category are also very much low and almost all the observations are being clustered around the

mean in a strong manner. This shows that the answers given by the selected sample was very

much similar and they are highly aggressive on the emotional – oriented factor even with a

sample of different customer representation.

Table 4.3: Analysis on Emotional Oriented Factor


Question Mean Standard Deviation

What motivates to make the purchase 4.180 1.175

What type of image that was in the mind about the Broadband product
4.0400 0.9312
before the purchase

Broadband Technology will provide a better learning experience 4.0400 0.8867

“It is a necessary requirement for everyone to have a Broadband


3.990 1.030
connection nearby”

Will it be a plus point for a person to have a Broadband connection to


4.2700 0.7086
meet the ever-changing demand in the market

Broadband product has changed the lifestyle to some extent 3.7900 0.9979

“Broadband has helped to build up the personality via opening the doors
3.8500 0.9143
to international level”

From the total responses 72.5% are for values “Four” and “Three” and when summing up, the

outcome tends to move towards the strongly positive side. The graph included underneath

elaborates the explained scenario.

Figure 4.3: Analysis on Emotional Oriented Factor

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Experience - Oriented Factor

A set of questions has been prepared to identify the level of influence generated through the

experience – oriented factor towards the customer buying motives. The following statistics

shows the results found out for each of the question raised for this respective measurement

variable. The analysis reveals that the purchase oriented factor has a comparably lower effect

towards the customer buying motives. Here for all the questions provided under this category, the

mean responses floating around the lickert scale value “Two” and “Three”. This depicts that

people are somewhat negative on this respective category compared with the other factors. And

also when analyzing the standard deviation, it shows that the answers given by the selected

sample was very much similar as almost all the observations are being clustered around the mean

even with the representation of different customer groups.

Table 4.4: Analysis on Experience Oriented Factor


Question Mean Standard Deviation

Relevant social class represent in the society 3.010 1.030

Does the Broadband product has awarded a brand-new experience 3.220 1.115

Does the family members uses the service regularly 3.050 1.290

Does the neighbors/friends/relatives are using the Broadband service 3.150 1.038

Does the neighbors/friends/relatives are having the better package of the 2.7800 0.8713
Broadband product

Does the family members has influenced to upgrade the product due to 2.390 1.230
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their individual requirements or due to social influence

Respond positively to the requests of the family members, regardless of 2.770 1.171
the money incurred for upgrades

“Broadband has become a cultural requirement of the modern society” 3.430 1.027

From the total responses 50.7% are for values “Two” and “Three” and when summing up,

the outcome tends to move towards the negative side. Below graph visualize the explained

scenario in a very much explanatory manner.

Figure 4.4: Analysis on Experience Oriented Factor

Result - Oriented Factor

A set of questions has been prepared to identify the level of influence generated through the

result – oriented factor towards the customer buying motives. According to the statistical

findings the purchase result oriented factor has a comparably higher effect towards the customer

buying motives. Here for all the questions provided under this category, the mean responses

floating around the lickert scale value “Three” showing very much closer value range for value
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“Four”. This depicts that people are somewhat positive on this respective category compared

with the other factors. Further the standard deviations under this respective category are also

very much low and therefore it can be clearly stated that almost all the observations are being

clustered around the mean.

Table 4.5: Analysis on Result Oriented Factor


Question Mean Standard Deviation

Satisfied with the after sales service provided by the company 3.2000 0.9640

Recommend the SLT Broadband product to some other party without any
3.310 1.116
hesitation

Ever feel like shifting from SLT fixed Broadband to Mobile Broadband 3.390 1.197

What makes the attachment to the product in any above situation 3.190 1.203

Trust the Sri Lanka Telecom as a company and trust the service they
3.8600 0.7250
provide

If, came to know that, there are some faults in the Broadband product,
3.7400 0.9059
will there be another chance to rectify them

If a new fixed Broadband player comes to the market with a set of


3.710 1.038
attractive packages, then what will be the reaction

Sri Lanka Telecom as a company 3.8900 0.8027

Sri Lanka Telecom Broadband as a product/service 3.6600 0.8901

Figure 4.5, further describes the scenario, where it makes clear that when summing up the

outcome, it tends to move towards the positive side.

Figure 4.5: Analysis on Result Oriented Factor

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SUMMARY, CONCLUSION AND RECOMMENDATIONS

The conducted survey was a successful attempt in finding out the factors influencing customer

buying motives with special reference to SLT Broadband at micro level. Through the response

obtained for the questionnaire (Refer Appendix A: Questionnaire), it has been observed the level

of influence generated through each factor along with a thorough understanding on related

background information in a very broad manner. Following depicts the summary of the data

analysis of the conducted research study. In order to identify the analysis in a very broad manner

the data has been organized in a way such that they represent the answers for the research

questions of the respective study.

When summing up the answers for the research question one for this respective study,

that is; what are the major influencing factors that move the customer to purchase the Broadband

product? What can be the best representation of factors, considering most to least influence? ; the

research itself directs the analysis towards below conclusions

Below graph depicts the summation of the results analyzed separately in the previous

chapter, when analyzing the five factors as a whole. There it shows clearly that the emotional -

oriented factor dominates the buying motives in a massive way where the purchase – oriented

factor follows the same by getting the second position in the influential flow. Result - oriented

factor, profit or money - oriented factor and the experience - oriented factor holds the next

immediate positions in the influential order respectively.

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Figure 5.1: Factors influencing customer buying motives – Classification summary

The above classification further supported by the below statistical representations.

Table 5.1: Descriptive Statistics


Variable Mean Standard Deviation

Profit or Money Oriented Factor 3.2937 1.1321

Purchase Oriented Factor 3.5720 1.1042

Emotional Oriented Factor 4.0229 0.9670

Experience Oriented Factor 2.9750 1.1395

Result Oriented Factor 3.5500 1.0251

According to the above statistics generated via a depth analysis using a five point lickert scale,

the study discloses the most influential factor as the “Emotional factor” with 4.0229 mean value.

Respectively, Purchase oriented (3.5720), Result oriented (3.5500), Profit or Money oriented

(3.2937) and Experience oriented (2.9750) factors has taken the remaining positions in the

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influential order. The research reveals that the Emotional factor should be given high priority at

each respective marketing attempt with the required attention to other factors accordingly.

In-order to establish the above findings in a more statistically reliable way the one-way

analysis of variance (ANOVA) test has been applied to the scenario. It allows in determining if

one identified factor, has a significant effect on customer buying motives across any of the other

factor under the study.

Table 5.2: One-way ANOVA test


One-way ANOVA: Response versus Factor

Source DF SS MS F P

Factor 4 445.59 111.40 96.44 0.000

Error 3695 4268.26 1.16

Total 3699 4713.85

A significantly low p-value of “0” with a 95% confidence interval resulting from a one-way

ANOVA test indicates that the factors influencing customer buying motives are differentially

expressed though the test does not specifically indicate which pair of factors exhibits the

statistical differences. Furthermore the resulted p-value “0” indicates the significant difference

between the factors influencing customer buying motives.

As there is a significant difference, it is very much crucial to identify that between which

factors the difference exists. There the Tukey test plays the major role in analysing the data

accordingly. Below tables depicts that which means are significantly different from one another.

All pair wise comparisons have been carried out with the 95% simultaneous confidence

intervals

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Table 5.3: Tukey test – Emotional factor


Factor = Emotional subtracted from

Factor Lower Center Upper

Experience -1.200 -1.048 -0.896

Profit or Money -0.881 -0.729 -0.577

Purchase -0.623 -0.451 -0.279

Result -0.621 -0.473 -0.325

Statistical theorems explain that if the confidence interval doesn't contain “0”, then there is a

significant difference between the factors. Accordingly, the first confidence interval goes from

-1.200 to -0.896, so there's no “0” in this range for the experience factor compared with the

emotional factor. As all the other confidence intervals also does not holds “0” at the respective

intervals, it can be precisely stated that there is a significant difference between each factor

towards the “Emotional - oriented” factor.

T able 5.4: Tukey test – Experience factor


Factor = Experience subtracted from:

Factor Lower Center Upper

Profit or Money 0.172 0.319 0.465

Purchase 0.430 0.597 0.764

Result 0.432 0.575 0.718

The first confidence interval goes from 0.172 to 0.465, so there's no “0” in this range for the

profit or money oriented factor compared with the experience factor. As all the other confidence

intervals also does not holds “0” at the respective intervals, it can be precisely stated that there is

a significant difference between each factor towards the “Experience - Oriented” factor.

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Table 5.5: Tukey test – Profit or money factor


Factor = Profit or Money subtracted from:

Factor Lower Center Upper

Purchase 0.111 0.278 0.445

Result 0.114 0.256 0.399

The first confidence interval goes from 0.111 to 0.445, so there's no “0” in this range for the

purchase factor compared with the profit or money oriented factor. As the other confidence

interval also does not holds “0” at the respective intervals, it can be clearly stated that there is a

significant difference between purchase and result oriented factor towards the “Profit or money -

Oriented” factor.

Table 5.6: Tukey test – Purchase factor


Factor = Purchase subtracted from:

Factor Lower Center Upper

Result -0.186 -0.022 0.142

The confidence interval goes from -0.186 to -0.022, so this interval does cover “0” for the result

factor compared with the purchase oriented factor. Therefore it can be quite correctly stated that

there is no any significant difference between result oriented factors towards the “Purchase -

Oriented” factor.

When extrapolating the data analyzed, the path is very much clear to come up with

general conclusions with regards to the factors influencing customer buying motives with special

reference to the Sri Lanka Telecom Broadband at micro level. Therefore the respective analysis

of the sample data has led the study towards making inferences about the whole applicable

population in a very much precise manner. Below graph depicts the best representation of factors,

considering most to least influence generated through each identified influential factor.
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Figure 5.2: Factors influencing customer buying motives – Classification of factors


considering most to least force

Most
Influential

When summing up the answers for the research question two for this respective study, below

includes the recommendations that can be recommended to help guide and refine the future

marketing attempts to be align with the influencing factors for customer buying motives.

The conducted study has unlocked a series of valuable concepts to be practiced by the Sri

Lanka Telecom PLC, in each single activity carried out. SLT should concern more on its

awareness mechanisms to be aligned with the factors influencing customer buying motives, by

putting required attention to the level of influence generated by each factor. SLT should concern

more on grabbing the hearts and minds of the existing as well as potential customer segments by

taking the opportunity to the maximum, with the thorough background knowhow. Along the way

SLT should work more on identifying ways and means for improving its processes and related

activities in order to be reached by the end customer in the most influential way. The company

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should plan and implement competitive, effective, reliable as well as practical awareness

mechanisms according to the best representation of the influential factors identified, considering

most to least force.

When summarizing all five influential factors, it has been understood that along with the

competitive as well as cutting edge awareness mechanisms the factors influencing customer

buying motives should also needed to be blended. It has been analyzed such that the company

would be able to go for big targets with the mix of those two aspects.

Conclusion and Recommendations

Sri Lanka Telecom PLC, together with its subsidiaries, provides Telecommunication services to

residential, corporate, and business customers in Sri Lanka. The company practices massive

customer awareness programs, coupled along with the newly introducing products and packages

as well as introducing value added services and new modifications to the existing products as the

leading Telecommunication service provider in Sri Lanka. Therefore the company has identified

the vitality of having a better understanding on the customer buying motives with regards to the

influence generated via each factor, In order to better streamline its marketing attempts, in facing

its rival activities at any given moment.

Most developing countries like Sri Lanka have many opportunities as well as need to

undergo many difficulties on conducting effective awareness campaigns due to a bunch of

reasons. When considering the Telecommunication business arena, it is a challenging factor to

identify the factors influencing customer buying motives carefully and to be more effective in

awareness methodologies and to be align with the identified factors, while thriving for hard

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targets. Therefore a company like Sri Lanka Telecom needs to put so much energy on keeping

and improving the level of its marketing attempts while facing any type of opportunities or

obstacles.

This respective research evaluates factors influencing customer buying motives

individually and has come up with a classification considering most to least force. While

conducting the research study different factors of customer buying motives have been observed

carefully, and through the observations following key areas can be recommended to be

implemented at the company premises in the future, targeting more effectiveness in its future

marketing attempts and more market share to the company.

As the leading Telecommunication Company in the country Sri Lanka Telecom PLC

should,

a. Understand the personnel priorities and concerns of the targeted end customers and

address accordingly

b. Be more customized in awareness methodologies and be align with the customer buying

motives in each attempt

c. Identify the competitor movements in their marketing endeavors and be proactive

wherever necessary

d. Maintain comprehensive repository of market intelligence

e. Plan for awareness campaigns through getting forecasted market information via

comprehensive researches

It was a great experience to go through factors influencing customer buying motives with

regards to a business entity while that entity is running on a very competitive environment. Each

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and every chapter in this analysis report explains the entire set of information gathered and

analyzed in-order to identify the best classification of the factors influencing the customer

buying motives as well as to make comprehensive understanding of those factors. Company

resource personals, survey representatives, company documents, lectures, articles, related books

and last but no means least the Internet was a huge back for conducting the respective research

study without facing to any major limitations. From the beginning to the end, the total experience

was invaluable as the conducted research was very informative as well as provided many

opportunities to take clear decisions and also to come up with the best as well as the most

reliable classification, which has been proved statistically.

The respective research was conducted in an unbiased manner; therefore any interested

party can depend on the decisions and predictions made in the research report. In concluding

this document it can be clearly stated that the conducted research study on the factors influencing

customer buying motives with special reference to SLT Broadband at micro level, was a great

experience and a great milestone.

REFERENCES

Chang, W.L., Lu, L.C., Su, H.J.,Lin, T.A. & Chang, K.Y. (2011). “Mediating effect of buying
motives between physical vanity and online compulsive buying”. African Journal of
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Erasmus, A.C., Boshoff, E. & Rousseau G.G. (2001). “Consumer decision making models within
the discipline of consumer science: a critical approach”. Journal of Family Ecology and
Consumer Sciences, vol. 29, pp.82-90

Gitomer, J. (2003). “Rather than selling, take a look at buying”. Grand Rapids Business Journal,
vol. 21, Issue 47, pp.23-23

Gitomer, J. (2004). “Before you sell, tap into the motives for buying”. Business Journal (Central
New York), vol. 17, Issue 47, pp.11-11
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Gitomer, J. (2004). “Determine buying motive, then sell”. Inside Tuscon Business Journal, vol.
13, Issue 52, pp.10-10

Hibbert, S.A., Hogg G. (2005). “Social entrepreneurship: Undestanding the consumer motives
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Kotler, P., Armstrong, G. (2008). Principles of Marketing. India: Prentice-Hall of India


Publications

Kotler, P., Keller, K. (2009). Marketing Management. India: Prentice-Hall of India Publications

Levine, D.M., Krehbiel, T.C., Berenson, M.L., Wiswanathan, P.K. (2011). Business Statistics, A
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Sheth, J.N., Newman, B.I. and Gross, B.L. (1991). “Why we buy what we buy: A theory of
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Sri Lanka Telecom PLC. 2010 Annual Report. Investor Relations. Retrieved October 28, 2011
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Tadajewski, M. (2006). “Remembering motivation research: toward an alternative genealogy of


interpretive consumer research”. Sage Journals, vol. 6, Issue 4, pp.429-466

Udell, J.G. (2001). “A New Approach to Consumer Motivation”. Journal of Retailing, vol. 40,
Issue 4, pp.6-11

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ABBREVIATIONS

 ADSL - Asymmetric Digital Subscriber Line


 ANOVA - ANalysis Of Variance
 CDMA - Code Division Multiple Access
 ICT - Information and Communication Technologies
 ISDN - Integrated Services Digital Network
 IP - Internet Protocol
 IPTV - Internet Protocol Television
 MPLS - Multi Protocol Label Switching
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 NGN - Next Generation Networking


 PLC - Public Limited Company
 SLT - Sri Lanka Telecom
 TDM - Time-Division Multiplexing
 VPN - Virtual Private Network
 VoIP - Voice Over Internet Protocol
 Wi-Max - Worldwide Interoperability for Microwave Access

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