Cluster Analysis through survey data for a New Instant noodles
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The document describes a study conducted to analyze consumer preferences for instant noodles. A questionnaire was used to collect data on noodle brand preferences, important product attributes, and demographic information from students. Cluster analysis was performed to segment consumers. Two segments were identified - Segment 1 values variety, availability, ease of use, taste and health; Segment 2 prefers a single flavor and is less brand conscious. The study recommends a new noodle brand targeting students focus on taste, variety, availability, ease of use and health with communication through newspapers and store displays.
![What pack size do you normally purchase? *
Single pack
Double pack
Family pack (4-in-1 pack)
Analysis : For the final analysis, the data table in PASW was obtained as such.
Name Type Description Value Labels Measurement Level
Age Numeric {1, 18-25}... Ordinal
Occupation Numeric {1, student}... Nominal
Income Numeric {1, <10000}... Ordinal
HorlicksFoodles Numeric Horlicks Foodles {1, Least important}... Ordinal
NissanTopRamen Numeric Nissan Top Ramen {1, Least important}... Ordinal
K2rrSoupy2odles Numeric K2rr Soupy 2odles {1, Least important}... Ordinal
NestleMaggi Numeric Nestle Maggi {1, Least important}... Ordinal
SunfeastYipee Numeric SunfeastYipee {1, Least important}... Ordinal
RateBrand Numeric Rate[Brand] {1, Least important}... Ordinal
RateLengthof2odles Numeric Rate[Length of 2odles] {1, Least important}... Ordinal
RateTaste Numeric Rate [Taste] {1, Least important}... Ordinal
RateVarietyofflavorsoffered Numeric Rate[Variety of flavors offered] {1, Least important}... Ordinal
RatePrice Numeric Rate[Price] {1, Least important}... Ordinal
RatePackaging Numeric Rate [Packaging] {1, Least important}... Ordinal
Rate2nstickiness Numeric Rate[2n-stickiness] {1, Least important}... Ordinal
RateEaseofpreparation Numeric Rate[Ease of preparation] {1, Least important}... Ordinal
RateAvailability Numeric Rate [Availability] {1, Least important}... Ordinal
RateHealthIngredients Numeric Rate[Health Ingredients] {1, Least important}... Ordinal
Whodecides Numeric Who decides? {1, children}... Ordinal
Channel String None Nominal
newflavors Numeric newflavors? {1, yes}... Nominal
packsize Numeric pack size {1, single pack}... Ordinal
television Numeric television {0, not through this media}... Nominal
newsmag Numeric newspaper/magazine {0, not through this media}... Nominal
friends Numeric friends {0, not through friends}... Nominal
display Numeric store display {0, not through store display}... Nominal
sources Numeric sources {0, not through other sources}... Nominal
Note: This is a sample data set and not the exhaustive list](https://image.slidesharecdn.com/brmprojectgroup3-111209134333-phpapp02/85/Cluster-Analysis-through-survey-data-for-a-New-Instant-noodles-5-320.jpg)
Cluster Analysis through survey data for a New Instant noodles
- 1. BRM PROJECT VGSOM MBA:2010-12 A Report on preferences and consumption patterns of Instant Noodles. Project Members AmolBankar -10BM60009 Mayank Mohan-10BM60048 NiloyGhosh -10BM60054 AnuradhaCkakraborthy- 10BM60014
- 2. Preamble: The objective of the report is to determine the consumer preferences for instant noodles. It is aimed at determining the features most preferred by consumers and segmenting the population according to their preferences. The same would enable a new brand to adopt the most desirable features in its product and strategies to promote the same. Tool Used: The software, PASW was used to conduct the analysis. Previously known as SPSS, it is among the most widely used programs for statistical analysis. Methodology Used: The Cluster Analysis methodology was used to conduct our analysis. Cluster Analysis:The term cluster analysis encompasses a number of different algorithms and methods for grouping objects of similar kind into respective categories. A general question facing researchers in many areas of inquiry is how to organize observed data into meaningful structures, that is, to develop taxonomies. In other words cluster analysis is an exploratory data analysis tool which aims at sorting different objects into groups in a way that the degree of association between two objects is maximal if they belong to the same group and minimal otherwise. Given the above, cluster analysis can be used to discover structures in data without providing an explanation/interpretation. In other words, cluster analysis simply discovers structures in data without explaining why they exist. Our aim to use the Cluster Analysis was to segment the Noodle customers according the Taste,Brand, Age, income, No of different Flavours offered etc. For the data gathered, 2-step clustering methodology was used to obtain the clusters. Limitations: The survey was primarily conducted amongst the student community, thus the sample set received was not a true reflection the population demographic.
- 3. Questionnaire Used:The following questionnaire was used to obtain the responses. Questionnaire for new instant noodle launch This is a survey undertaken to evaluate consumer preferences regarding noodle brands * Required Name * Age * <18 years 18-25 years 25-35 years >35 years I do not wish to disclose Occupation * Student Professional Self Employed Monthly Family Income * < Rs. 10,000 Rs. 10,000 - Rs. 25,000 Rs. 25,000 - Rs. 50,000 > Rs. 50,000 List the products in the order of preference * 1 - Most preferred, 5 - Least preferred 1 2 3 4 5 Horlicks Foodles Nissan Top Ramen Knorr Soupy Noodles Nestle Maggi SunfeastYipee
- 4. Rate the importance of the following while choosing a noodle * 1 - Least Important, 5 - Highly Important 1 2 3 4 5 Brand Length of noodles Taste Variety of flavors offered Price Packaging Non-stickiness Ease of preparation Availability Health Ingredients Who decides which brand of noodles to buy in your household? * Children Parents Spouse No specific decision-maker How do you come to know about new product launches? * Television Newspapers/ Magazines Radio Friends Store Display Others Do you like to try new flavors? * Yes No
- 5. What pack size do you normally purchase? * Single pack Double pack Family pack (4-in-1 pack) Analysis : For the final analysis, the data table in PASW was obtained as such. Name Type Description Value Labels Measurement Level Age Numeric {1, 18-25}... Ordinal Occupation Numeric {1, student}... Nominal Income Numeric {1, <10000}... Ordinal HorlicksFoodles Numeric Horlicks Foodles {1, Least important}... Ordinal NissanTopRamen Numeric Nissan Top Ramen {1, Least important}... Ordinal K2rrSoupy2odles Numeric K2rr Soupy 2odles {1, Least important}... Ordinal NestleMaggi Numeric Nestle Maggi {1, Least important}... Ordinal SunfeastYipee Numeric SunfeastYipee {1, Least important}... Ordinal RateBrand Numeric Rate[Brand] {1, Least important}... Ordinal RateLengthof2odles Numeric Rate[Length of 2odles] {1, Least important}... Ordinal RateTaste Numeric Rate [Taste] {1, Least important}... Ordinal RateVarietyofflavorsoffered Numeric Rate[Variety of flavors offered] {1, Least important}... Ordinal RatePrice Numeric Rate[Price] {1, Least important}... Ordinal RatePackaging Numeric Rate [Packaging] {1, Least important}... Ordinal Rate2nstickiness Numeric Rate[2n-stickiness] {1, Least important}... Ordinal RateEaseofpreparation Numeric Rate[Ease of preparation] {1, Least important}... Ordinal RateAvailability Numeric Rate [Availability] {1, Least important}... Ordinal RateHealthIngredients Numeric Rate[Health Ingredients] {1, Least important}... Ordinal Whodecides Numeric Who decides? {1, children}... Ordinal Channel String None Nominal newflavors Numeric newflavors? {1, yes}... Nominal packsize Numeric pack size {1, single pack}... Ordinal television Numeric television {0, not through this media}... Nominal newsmag Numeric newspaper/magazine {0, not through this media}... Nominal friends Numeric friends {0, not through friends}... Nominal display Numeric store display {0, not through store display}... Nominal sources Numeric sources {0, not through other sources}... Nominal Note: This is a sample data set and not the exhaustive list
- 6. Output:
- 7. Description: Two major segments are obtained. A brief description of the same is provided as. Segment 1: Gives relatively high importance to a variety of flavours Gives high importance to availability Gives high importance to ease of preparation Very high preference for taste High brand consciousness Gives relatively high importance to health ingredients Main source of communication is through newspapers and magazines along with in-store displays Segment 2: Prefers to stick with a particular flavour Not highly brand conscious The analysis has primarily provided with segment1 with constitutes 80% of the survey population. The second segment is the generic population not confirming to any particular segment. Conclusion: Since the survey was primarily conducted amongst the student community, our recommendation for a new instant noodle brand launch targeted at the student community the brand should focus on taste, variety of flavours, high availability, and ease of preparation along with health supplement features. The primary communication channel should be newspapers and store displays.