SEAT NO. 16680 PRN NO.

2052406875

A FIELD PROJECT ON
“HOW DISCOUNTS AND OFFERS INFLUENCE
ONLINE CONSUMER PURCHASING DECISIONS”

Submitted to
MM’S
IMERT

SAVITRIBAI PHULE PUNE UNIVERSITY

In Partial Fulfillment of the Requirement for the Award of the

Degree of
MASTER’S OF BUSINESS ADMINISTRATION (MBA)

Submitted by
ATHARV
KAMBLE

Under the guidance

1
of DR. SARANG
DANI (2024-2026)

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 DECLARATION BY THE STUDENT

I, Atharv Kamble, a student of M.B.A., Roll No. 24126, Seat No. 16680, hereby
declare that the field project titled "HOW DISCOUNTS AND OFFERS
INFLUENCE ONLINE CONSUMER PURCHASING DECISIONS” is my
original work. I have conducted this project under the guidance of Dr. Sarang
Dani and in accordance with the rules and regulations.

I affirm that this project is free from plagiarism and has not been submitted
previously for any academic or professional purposes. All data, information, and
references used in this project are duly acknowledged.

I understand that any breach of ethical or academic integrity in this project may
result in disciplinary action as per the college guidelines.

Student Name: Atharv

Kamble Course & Year: MBA
2024-26 Roll Number: 24126
Seat Number:
16680 Date:

Signature:

3
 ACKNOWLEDGEMENT

I would like to extend my heartfelt gratitude to everyone who has contributed to

the successful completion of this field project on the topic “HOW DISCOUNTS
AND OFFERS INFLUENCE ONLINE CONSUMER PURCHASING
DECISIONS.”

First and foremost, I would like to thank my project supervisor for their
invaluable support, guidance, and feedback throughout the research process.

Their expertise in the field has greatly enhanced the quality and direction of my
work. I am also deeply grateful to the numerous authors, journals, and databases
of field projects, whose work has been a fundamental source of information and
insight for this research.

The extensive data and analysis provided by these resources have been essential
in understanding the key trends and developments within these industries.

I would also like to acknowledge the organizations, professionals, and thought

leaders, whose contributions have been significant in shaping the current
landscape of the field project.

Finally, I am thankful to my family and friends for their continuous support,

understanding, and encouragement during the course of this project. Thank you
all for your contributions and support.

4
 TABLE OF CONTENTS

Sr. No. Content Page No.

1 Chapter I: Introduction 7-11
1.1 Statement of the Problem 8
1.2 Objectives of the Project 9
1.3 Theoretical Framework 10
1.4 Significance of the Project 11
2 Chapter II: Review of Literature 12-15
3 Chapter III: Methodology 16-17
3.1 Research Design 17
3.2 Sample Selection 17
3.3 Data Collection 17
4 Chapter IV: Data Collection and Analysis 18-39
4.1 Data Collection 19-22
4.2 Data Analysis 23-24
4.3 Correlation of Primary & Secondary Data 24
4.4 Questionnaire & it's Interpretation 25-39
5 Chapter V: Findings, and Suggestions 40-44
5.1 Findings 41-42
5.2 Suggestions 43-44
6 Chapter VI: Annexures 45-50
6.1 Questionnaire Survey 46-48

6.2 Bibliography 49-50

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 LIST OF FIGURES AND GRAPHS

Sr. No. List of Graphs Page No.

1 Figure 1 25
2 Figure 2 26
3 Figure 3 27
4 Figure 4 28
5 Figure 5 29
6 Figure 6 30
7 Figure 7 31
8 Figure 8 32
9 Figure 9 33
10 Figure 10 34
11 Figure 11 35
12 Figure 12 36
13 Figure 13 37
14 Figure 14 38
15 Figure 15 39

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 ABSTRACT

In the rapidly evolving digital marketplace, discounts and promotional offers have
become strategic tools for e-commerce businesses to attract and retain consumers.
This research investigates how various forms of discounts—such as percentage
reductions, free shipping, limited-time deals, and bundle offers—influence
consumer behaviour in online shopping contexts. The study focuses on consumer
psychology, including impulse buying tendencies, perceived value, and trust in the
brand.

Using a mixed-method approach involving surveys and observation of purchase

patterns, the research explores key factors like frequency of online shopping,
product categories most influenced by discounts, and demographic patterns. It
highlights how urgency created through time-limited offers or flash sales triggers
faster decision-making, while personalized discounts enhance customer loyalty.

Preliminary findings suggest that while discounts increase short-term sales,

excessive dependence on them may reduce perceived brand value. Furthermore,
trust, convenience, and product quality remain crucial in converting a discounted
visit into a purchase.

The study concludes that discounts are highly effective psychological motivators
but must be balanced with brand positioning and customer experience strategies to
ensure long-term consumer retention. The insights can aid marketers in designing
optimized promotional strategies tailored to target audience behaviour in digital
environments.

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 Chapter I -
INTRODUCTION

8
 HOW DISCOUNTS AND OFFERS INFLUENCE ONLINE
CONSUMER PURCHASING DECISIONS

1.1. Statement of Problem

In an increasingly competitive market, businesses use various discounting strategies
to attract and retain customers. However, while discounts effectively drive sales,
their long-term impact on consumer purchasing decisions remains uncertain. Many
companies struggle to determine whether discounts build brand loyalty or encourage
price-sensitive behaviors that lead to brand switching. Additionally, excessive
discounting can lead to a devaluation of the brand and reduced profit margins,
creating a challenging balance for businesses. Consumers react differently to
discounts based on psychological triggers, socioeconomic status, and shopping
habits. Some perceive discounts as opportunities to maximize value, while others
associate them with lower product quality. Moreover, the rise of e-commerce has
changed the dynamics of discount-driven purchasing behavior, with online shoppers
being exposed to frequent flash sales, coupons, and cashback offers.

Despite the widespread use of discounts in marketing strategies, limited research

has been conducted on their long-term effectiveness in fostering consumer loyalty
versus short-term sales boosts. This study seeks to bridge this gap by analyzing how
discounts and promotional offers influence consumer purchasing decisions. It will
investigate whether discounts create lasting customer relationships or simply drive
impulse purchases. Furthermore, it will explore how different consumer segments
react to various promotional strategies. By addressing these issues, businesses can
optimize their discounting strategies to maximize revenue while maintaining a
strong brand image.

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1.2. Objectives of the Project

The primary objective of this study is to analyze the impact of discounts and
offers on consumer purchasing decisions. The specific objectives include:

● To examine the psychological triggers that drive consumers to respond

to discounts.

● To identify the types of promotional offers that are most effective in

influencing purchases.

● To evaluate whether discounts lead to brand switching or long-term

customer loyalty.

● To assess the role of discounts in modern consumer behavior.

By addressing these objectives, this study aims to provide businesses with

actionable insights that can enhance their pricing strategies and promotional
tactics. The findings will help companies design discounts that align with
consumer expectations while ensuring sustainable business growth.

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1.3. Theoretical Framework

This study is grounded in several key theories that explain consumer behavior in
response to discounts and promotional offers. The Consumer Decision-Making
Process Model serves as a fundamental framework, illustrating how consumers
move through stages of need recognition, information search, evaluation of
alternatives, purchase decision, and post-purchase behavior. Discounts influence
this process by altering perceived value, increasing urgency, and encouraging
faster decision-making. By examining how discounts impact each stage, this
study will provide insights into how businesses can strategically implement
promotional offers to guide consumers toward making purchases.

Additionally, the Price Perception Theory suggests that consumers often equate
price with quality, leading to different responses to discounted products. Some
consumers perceive discounts as a cost-saving opportunity, while others associate
them with reduced quality. Understanding these perceptions is crucial in
determining whether discounts attract price-sensitive buyers or discourage those
seeking premium products. This research will explore how price perception
influences consumer responses to various types of promotional strategies.

The Prospect Theory, introduced by Kahneman and Tversky, further supports

this study by explaining how individuals evaluate gains and losses. Consumers
tend to perceive discounts as a gain, increasing their likelihood of purchasing.
However, the framing of discounts—such as percentage-based versus
fixed-amount reductions—affects how consumers interpret the offer. This study
will analyze how different discount structures influence consumer
decision-making, helping businesses optimize their promotional techniques.

By integrating these theoretical perspectives, this study will provide a

comprehensive understanding of how discounts and promotional offers affect
consumer decision-making. The findings will help businesses design more
effective marketing strategies that align with consumer psychology and market
dynamics.

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1.4. Significance of the Project

This study is significant as it provides valuable insights into how discounts and
promotional offers influence consumer purchasing behavior. In an increasingly
competitive marketplace, businesses must understand the effectiveness of
different discounting strategies to maximize sales, attract new customers, and
retain existing ones. By analyzing consumer responses to various promotional
techniques, this research will help businesses optimize their pricing and
marketing strategies to enhance profitability while maintaining a strong brand
image. The findings will enable companies to determine whether discounts create
long-term customer loyalty or merely drive short-term sales spikes, allowing
them to develop more sustainable promotional strategies.

From a consumer perspective, this study sheds light on the psychological and
behavioral aspects of discount-driven purchasing decisions. It will explore how
factors such as perceived value, urgency, and brand perception influence
consumer responses to discounts. Understanding these elements can help
consumers make more informed purchasing decisions and recognize marketing
tactics that impact their buying choices. Additionally, the research will examine
whether excessive discounting leads to a decline in product value perception,
helping both consumers and businesses find a balance between affordability and
quality.

This research also holds academic significance by contributing to the existing

body of knowledge in marketing, behavioral economics, and consumer
psychology. By integrating theories such as the Consumer Decision-Making
Process, Price Perception Theory and Prospect Theory, this study provides a
theoretical foundation for understanding discount-driven purchasing behavior. It
will serve as a reference for future research in the field of pricing strategies,
customer engagement, and market dynamics.

Overall, the significance of this study extends to businesses, consumers, and

researchers alike. By identifying the key drivers behind discount-influenced
purchases, the research will offer actionable recommendations for businesses to
refine their promotional strategies. It will also provide valuable insights for
marketers, retailers, and e-commerce platforms to develop discounting methods
that maximize sales while ensuring long-term brand sustainability.

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 Chapter II –
REVIEW OF
LITERATURE

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The impact of discounts and promotional offers on consumer purchasing decisions
has been extensively studied in marketing. This section reviews existing literature
on various aspects of discount-driven consumer behavior, including psychological
responses, price sensitivity, brand loyalty, and digital marketing strategies.

2.1. Psychological Impact of Discounts on Consumer Behavior

Several studies have explored the psychological effects of discounts on consumers.
According to Kotler and Keller (2016), discounts create a sense of urgency that
drives impulse buying, as consumers perceive a limited-time offer as an opportunity
to maximize value. This phenomenon is supported by the Scarcity Principle, which
suggests that limited availability increases the desirability of a product (Cialdini,
2001). Similarly, Kahneman and Tversky’s Prospect Theory (1979) explains that
consumers evaluate gains and losses differently, perceiving discounts as immediate
financial benefits, which enhances their likelihood of making a purchase. Research
by Shampanier, Mazar, and Ariely (2007) found that even minimal discounts
significantly increase sales due to the psychological effect of perceived savings.

2.2. Price Sensitivity and Consumer Segmentation

Price sensitivity plays a crucial role in how consumers respond to discounts.
Monroe (2003) suggests that consumers can be categorized into price-sensitive
and quality-sensitive segments, where the former prioritizes cost savings, while the
latter values product quality over price reductions. Dodds, Monroe, and Grewal
(1991) argue that excessive discounting can lead to perceived value erosion, where
consumers associate lower prices with inferior quality. On the other hand, studies
have shown that price-sensitive consumers are more likely to switch brands based
on discount availability (Grewal, Krishnan, Baker, & Borin, 1998). This highlights
the challenge businesses face in using discounts effectively without compromising
brand perception.

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2.3. Discounts and Brand Loyalty
One of the key debates in marketing literature is whether discounts foster long-term
brand loyalty or encourage short-term sales spikes. Aaker (1996) argues that
frequent discounts can weaken brand equity, as consumers may perceive the brand
as reliant on price reductions rather than quality or differentiation. In contrast,
promotional strategies that combine discounts with added value—such as loyalty
rewards or bundled offers—tend to create stronger consumer relationships
(Chandon, Wansink, & Laurent, 2000). Research by Kimes and Wirtz (2003)
suggests that while discounts attract new customers, retaining them requires a focus
on product quality and customer experience rather than continuous price reductions.

2.4. Digital Discounts and Online Consumer Behavior

With the rise of e-commerce, digital discounting strategies have become a major
area of study. According to Smith and Anderson (2019), online shoppers exhibit a
higher sensitivity to discounts due to the ease of price comparisons across multiple
platforms. Studies show that flash sales, limited-time offers, and personalized
discounts are more effective in digital marketing, as they create a sense of
exclusivity and urgency (Zhang & Wedel, 2009). However, excessive discounting in
e-commerce can lead to deal-seeking behavior, where consumers delay purchases
until discounts are available, reducing overall profitability for businesses (Chen,
Marmorstein, Tsiros, & Rao, 2012).

2.5. Promotional Strategies and Consumer Decision-Making

The effectiveness of different promotional strategies has been widely studied in
consumer behavior research. Gupta and Cooper (1992) found that percentage-based
discounts tend to be more effective for high-priced items, while fixed-amount
discounts work better for lower-priced products. Additionally, research by Blattberg
and Neslin (1990) highlights that BOGO (Buy-One-Get-One) promotions are
particularly successful in fast-moving consumer goods (FMCG) categories, as they
encourage bulk purchases. Studies also emphasize the role of psychological pricing
techniques, such as charm pricing (e.g., ₹99 instead of ₹100), in enhancing
consumer response to discounts (Thomas & Morwitz, 2005).

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2.6. The Role of Technology in Discount Marketing
With the advancement of technology, businesses are using AI-driven discount
strategies to personalize offers based on consumer behavior (Davenport & Ronanki,
2018). Research by Grewal et al. (2020) highlights the growing influence of mobile
app-based discounts and geolocation-based promotions, which increase consumer
engagement. Personalized discounts based on browsing history and past purchases
have been found to enhance customer retention (Shankar, Smith, & Rangaswamy,
2003).

2.7. Future Trends in Discount Marketing

As businesses evolve, the future of discount marketing is shifting towards
data-driven strategies. AI and machine learning will play a crucial role in optimizing
discount campaigns based on predictive analytics (Brynjolfsson & McAfee, 2017).
Studies predict an increase in gamified discounts, where consumers earn rewards
through interactive engagement, as seen in Starbucks’ loyalty program (Kim,
Steinhoff, & Palmatier, 2021). Furthermore, blockchain technology is expected to
improve transparency in digital discounting, reducing fraudulent pricing practices
(Tapscott & Tapscott, 2016).

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 Chapter III –
METHODOLOGY

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 3.1. Research Design
This study employs a descriptive research design to analyze the influence of
discounts and promotional offers on consumer purchasing decisions. A
combination of quantitative and qualitative methods is used to gather insights
from consumers across various demographic groups. The study focuses on
identifying patterns, trends, and psychological factors that drive purchasing
behavior in response to discounts. Surveys and structured questionnaires are
used to collect data, while interviews and secondary research provide additional
qualitative insights.

3.2. Sample Selection

A stratified random sampling technique is utilized to ensure diverse
representation of consumers based on age, income level, and purchasing
behavior. The study targets consumers aged 18-60 years who frequently shop
online. The sample includes 120 respondents from Pune area to capture a broad
perspective on discount-driven purchasing decisions. Selection criteria ensure
that participants have experience with promotional offers, ensuring relevant and
meaningful responses.

3.3. Data Collection

(A) Primary Data: A structured survey questionnaire was conducted,

collecting 120 responses from consumers. The survey includes questions
related to purchasing habits, perceptions of discounts, and decision-making
factors influenced by promotions.

(B) Secondary Data: Literature from academic journals, marketing reports,

and case studies is analyzed to supplement primary findings. Previous
research on consumer behavior, pricing strategies, and promotional
effectiveness is reviewed to support the study.

The collected data is analyze allowing for the identification of key trends and
insights regarding the impact of discounts on consumer behavior.

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 Chapter IV –
DATA COLLECTION
& ANALYSIS

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4.1. Data Collection
(A) Primary Data
Primary data was collected through a structured survey questionnaire, which
gathered 120 responses from consumers. The survey was designed to explore
various aspects of consumer behavior concerning discounts and promotional offers.
It included both closed-ended and open-ended questions to gain quantitative and
qualitative insights.
The questionnaire covered key topics such as:
● Frequency of Discount Usage: How often consumers take advantage of
discounts and offers.

● Types of Discounts Preferred: Percentage-based discounts, buy-one-get-one

(BOGO) offers, cashback, and loyalty rewards.

● Impact on Purchasing Decisions: Whether discounts influence impulse

buying or planned purchases.

● Perceived Value of Discounts: Consumer perceptions of product value when

discounts are applied.

● Trust in Discounts: Whether consumers perceive discounts as genuine or

misleading.

● Brand Loyalty vs. Discount-Driven Purchases: The extent to which

discounts affect brand loyalty.

In addition to surveys, focus group discussions and in-depth interviews were

conducted with selected participants. These qualitative methods helped explore
deeper motivations and emotions behind consumer responses. Participants shared
personal experiences, preferences, and concerns regarding promotional offers.

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Data Collection Process:

● Surveys were distributed both online (via Google Forms) and offline in
shopping malls and retail stores.

● Respondents were selected through stratified random sampling, ensuring

representation across different demographics, including age (18-60 years),
income levels, and shopping preferences.

● Focus group discussions were conducted with small groups of 6-8

participants to encourage detailed discussions about consumer perceptions.

● In-depth interviews were carried out with frequent shoppers and retail experts
to understand their perspective on discount effectiveness.

The collected primary data provides a real-time understanding of consumer

behavior, allowing for in-depth analysis of how discounts and offers influence
purchasing decisions in practical scenarios.

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 (B) Secondary Data

Secondary data was gathered from academic journals, industry reports, case
studies, and market research publications to provide a theoretical foundation for
the study. This data helped establish a contextual understanding of how discounts
and offers influence consumer behavior on a broader scale.

Sources of Secondary Data:

● Academic Research Papers: Studies from marketing and consumer

behavior journals were analyzed to identify patterns and theories related to
discounts.

● Industry Reports: Reports from research firms and e-commerce platforms

provided insights into discount strategies and consumer preferences.

● Market Research Data: Published data from organizations and

government agencies helped understand global and regional trends.

● Case Studies: Real-world examples of successful and unsuccessful

discount campaigns were studied to examine their impact on consumer
purchasing decisions.

● Company Websites and News Articles: Insights from retail brands,

promotional campaigns, and business strategies were reviewed.

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 Data Collection Process:

● Literature was reviewed systematically to identify relevant theories and

frameworks.

● Statistical data from reports was analyzed to compare trends in consumer

discount behavior.

● Case studies were examined to assess the effectiveness of different

discount strategies across industries.

● Information from multiple sources was cross-referenced to

ensure reliability and consistency.

The use of secondary data provides a broader understanding of discount-based

purchasing behavior, allowing comparisons with primary data findings and
offering a more comprehensive view of the impact of promotional offers on
consumers.

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4.2. Data Analysis
The collected data was analyzed using a combination of quantitative and qualitative
methods to derive meaningful insights into consumer purchasing behavior
influenced by discounts and offers. The analysis focused on identifying trends,
patterns, and relationships between discount strategies and consumer
decision-making.

(A) Quantitative Analysis:

Quantitative data from the survey was processed using descriptive and inferential
statistical techniques to measure consumer responses. The following methods were
used:

● Frequency Distribution & Percentage Analysis: Used to determine how

many respondents prefer certain types of discounts and how often they take
advantage of them.

● Correlation Analysis: Assessed relationships between variables such as

income level, discount preference, and purchase behavior.

● Regression Analysis: Used to predict the influence of discount offers on

consumer spending habits.

● Graphical Representation: Data was visualized using bar charts, pie charts,
and histograms to present key findings clearly.

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 (B) Qualitative Analysis:
Qualitative data from surveys were examined using thematic analysis to identify
common patterns in consumer perceptions of discounts. The key techniques used
included:

● Coding and Categorization: Responses were classified into themes such as

“perceived value,” “brand trust,” and “impulse buying.”

● Sentiment Analysis: Analyzed how consumers emotionally react to different

discount strategies.

● Comparative Analysis: Insights from various consumer groups were

compared to identify differences in shopping behavior.

4.3. Correlation of Primary and Secondary Data:

● Findings from survey responses were cross-checked against existing literature

and industry reports to validate patterns and anomalies.

● Case studies from secondary data sources were used to provide real-world
context for the survey results.

● By applying these data analysis techniques, the study aims to provide a

comprehensive understanding of how discounts influence consumer
purchasing decisions and identify key factors driving these behaviors.

25
4.4. Questionnaires & Interpretations

1. What is your age group?

Age Group Respondents Percentage

18-24 47 38.2%
25-35 35 28.5%
36-50 20 16.3%
50-60 13 10.6%
60+ 8 6.5%

Figure 1

Interpretation:

● 18-24 years (38.2%): Primarily students or early professionals, highly

value discounts for cost savings.
● 25-35 years (28.5%): Working professionals, seek discounts based on
value and necessity.
● 36-50 years (16.3%): Prefer discounts on essentials, less interested
in impulse purchases.
● 50-60 years (10.6%): Lower engagement with discounts, prioritize
quality and necessity.
● 60+ years (6.5%): Least engaged with discounts, focus on stability and need.

26
2. What is your occupation?

Occupation Respondents Percentage

Student 48 39%
Job 33 26.8%
Business Owner 25 20.3%
Self-employed 8 6.5%
Homemaker 9 7.3%

Figure 2

Interpretation:

● Students (39%) form the largest group of respondents, indicating their

strong interest in discounts, likely due to limited financial resources
and price sensitivity.
● Employed Individuals (26.8%) are the second largest category,
showing that working professionals also seek discounts, possibly for
budget management.
● Business Owners (20.3%) actively participate in discount-based
purchases, suggesting they may be leveraging offers for bulk buying
or personal savings.
● Self-employed Individuals and Homemakers (6.5% and 7.3%
respectively) represent the smallest groups, indicating that their
purchasing decisions may be influenced more by necessity than
promotional discounts.
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3. How often do you shop for products or services online?

Options Respondents Percentage

Daily 23 18.7%
Weekly 31 25.2%
Biweekly 20 16.3%
Monthly 20 16.3%
Occasionally 31 17.1%
Never 8 6.5%

Figure 3

Interpretation:
● The majority of respondents (25.2%) shop online on a weekly
basis, indicating a strong and consistent consumer habit of online
shopping.
● 18.7% of respondents shop daily, which suggests a segment of highly
active online consumers who may be influenced by flash sales and time-
sensitive discounts.
● Biweekly and monthly shoppers (16.3% each) make up a
considerable portion of the audience, highlighting a preference for
planned purchases rather than impulsive buying.
● 17.1% of respondent’s shop occasionally, meaning they might be less
influenced by frequent promotional campaigns and instead purchase based
on necessity.
● The presence of ‘Never’ category indicates consumers who do not
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prefer online mediums for shopping.

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4. On which platforms do you shop for products or services?

Options Respondents Percentage

E-commerce 82 66.7%

Fashion & Beauty 38 30.9%

Food & Groceries 57 46.3%

Electronics & Appliances 30 24.4%

I don't shop online 8 6.5%

Figure 4

Interpretation:

● E-commerce platforms (66.7%, 82 respondents): Most popular choice

due to wide product range and competitive pricing.
● Food & Grocery platforms (46.3%, 57 respondents): Strong demand
for convenience and quick delivery of everyday essentials.
● Fashion & Beauty platforms (30.9%, 38 respondents): Significant
preference for specialized platforms for clothing and beauty
products.
● Electronics & Appliances platforms (24.4%, 30 respondents): Lower
usage, likely due to less frequent purchases or preference for offline
stores.
● No online shopping (6.5%, 8 respondents): Small percentage,
30
showing almost universal engagement in digital shopping.

31
5. What type of discount attracts you the most?

Options Respondents Percentage

Percentage-Based 59 48%
BOGO Free 41 33.3%
Flat Discounts 34 27.6%
Cashback Offers 36 29.3%
Limited-time Flash Sales 29 23.6%
Coupon Codes 31 25.2%
Loyalty/Reward points 26 21.1%
No Preference 3 2.4%

Figure 5

Interpretation:
● Percentage-Based Discounts (48%, 59 respondents): Most attractive,
seen as best value, especially for high-priced items.
● BOGO (33.3%, 41 respondents): Popular for added value over direct
price cuts.
● Flat Discounts (27.6%, 34 respondents): Preferred by those who favor
fixed savings.
● Cashback Offers (29.3%, 36 respondents): Appeals to customers who
like future savings.

32
 ● Flash Sales (23.6%, 29 respondents) & Coupon Codes (25.2%,
31 respondents): Moderate interest in time-sensitive deals.

● Loyalty/Reward Points (21.1%, 26 respondents): Lower preference,

less appealing than direct discounts.
● No preference (2.4%, 3 respondents): Almost all consumers are
influenced by discount types.

Businesses should focus on percentage discounts and BOGO offers, complemented by

cashback deals and flash sales.

6. Do discounts influence your decision to buy a product?

Options Respondents Percentage

Frequently 43 35%
Occasionally 66 53.7%
Never 14 11.4%

Figure 6

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Interpretation:

● 88.6% of consumers are influenced by discounts (frequently or occasionally).

● 53.7% buy occasionally, meaning discounts matter but aren’t the sole factor.
● 35% buy frequently due to discounts, making price reductions a key driver.
● 11.4% are never influenced, prioritizing quality, brand, or necessity.

Businesses should balance discounts with value-based marketing for long-term

success.

7. Have you ever made an impulse buying decision due to discounts?

Options Respondents Percentage

Frequently 30 24.4%
Occasionally 76 61.8%
Never 17 13.8%

Figure 7

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Interpretation:

● 86.2% of consumers have made impulse purchases due to discounts.

● 61.8% buy occasionally, meaning discounts influence but don’t always
trigger impulse buying.
● 24.4% buy frequently, showing a strong impact of discounts on
impulsive behavior.
● 13.8% never buy impulsively, prioritizing planned purchases.

Businesses can use limited-time discounts to boost impulse sales but should also
focus on long-term customer retention.

8. Do you wait for discounts before purchasing an item?

Options Respondents Percentage

Frequently 32 26%
Occasionally 78 63.4%
Never 13 10.6%

Figure 8

35
Interpretation:

● 89.4% of consumers wait for discounts at least occasionally.

● 63.4% buy occasionally on discount, showing discounts matter but aren’t
the only factor.
● 26% frequently wait, indicating high price sensitivity.
● 10.6% never wait, prioritizing immediate need or brand value.

Businesses can use strategic discount timing to boost sales.

9. How do frequent discounts affect your perception of a brand?

Options Respondents Percentage

Increases trust and awareness 48 39%
Makes me question the 24 19.5%
product’s quality
Brand the brand seem less 33 26.8%
premium
Doesn't affect my perception 18 14.6%

Figure 9

36
Interpretation:

● 39% believe frequent discounts increase trust and attractiveness.

● 19.5% feel they make them question the product’s quality.
● 26.8% think discounts make the brand seem less premium.
● 14.6% say discounts do not affect their perception.

This indicates that while many see discounts positively, a significant portion
associates them with lower quality or diminished brand value.

10. Are you more likely to shop during seasonal sales (e.g., Big Billion
Days, Black Friday, etc.)?

Options Respondents Percentage

Yes, always 33 26.8%
Yes, sometimes 62 50.4%
Rarely 22 17.9%
No, never 6 4.9%

Figure 10

37
Interpretation:

● 26.8% always shop during seasonal sales.

● 50.4% sometimes shop during these sales.
● 17.9% rarely shop during seasonal sales.
● A small 4.9% never shop during these events.

This indicates that a majority of people (77.2%) take advantage of seasonal sales,
either always or sometimes, while only a small portion completely avoids them.

11. What is the minimum discount percentage that motivates you to buy?

Options Respondents Percentage

10% or less 16 13%
30% 52 42.3%
50% or more 44 35.8%
Discounts don't influence me 11 8.9%

Figure 11

38
Interpretation:

● 13% are motivated by a discount of 10% or less.

● 42.3% require at least a 30% discount.
● 35.8% wait for discounts of 50% or more.
● 8.9% say discounts don’t influence their purchase decisions.

This suggests that most shoppers need significant discounts (30% or more) to be
motivated, while only a small fraction are not influenced by discounts at all.

12. Does a limited-time discount (e.g., "Offer ends in 24 hours") create a

sense of urgency for you to buy?

Options Respondents Percentage

Frequently 36 29.3%
Occasionally 71 57.7%
Never 16 13%

Figure 12

39
Interpretation:
The pie chart shows the responses of 123 people to the question about
whether limited-time discounts create a sense of urgency to buy.
● Most people (57.7%) occasionally feel a sense of urgency due to limited-
time discounts.
● A significant portion (29.3%) frequently feel urgency under
such circumstances.
● Only 13% never feel urgency due to limited-time discounts.

This suggests that limited-time discounts are generally effective in creating a sense
of urgency and driving purchase decisions for a majority of people. However, the
effectiveness varies, with some being more susceptible to the urgency than others.

13. Do you compare discounts across multiple platforms before making

a purchase?

Options Respondents Percentage

Yes, always 48 39%
Yes sometimes 50 40.7%
Rarely 18 14.6%
No, never 7 5.7%

Figure 13

40
Interpretation:

● A significant portion (39%) always compare discounts across platforms.

● A slightly larger group (40.7%) sometimes compare discounts.
● A smaller but still notable portion (14.6%) rarely compares discounts.
● Only a small percentage (5.7%) never compare discounts.

14. Have you ever regretted purchasing something on discount?

Options Respondents Percentage

Frequently 19 15.4%
Occasionally 81 65.9%
Never 23 18.7%

Figure 14

Interpretation:

● The majority (65.9%) have occasionally regretted purchasing something

on discount.
● A smaller but still significant portion (15.4%) frequently regret
such purchases.
41
 ● Only 18.7% have never regretted purchasing something on discount.

This data suggests that while discounts are attractive, they don't guarantee satisfaction.
A large portion of people have experienced buyer's remorse after purchasing
discounted items, indicating potential issues with quality, need, or impulsive buying
driven by the discount itself. The relatively low percentage who never regret it
highlights that discounts can be genuinely beneficial, but careful consideration is
still important.

15. Do you prefer loyalty programs over discounts?

Options Respondents Percentage

Yes 51 41.5%
No, I prefer discounts 52 42.3%
No preference 20 16.3%

Figure 15

Interpretation:

● A significant portion (42.3%) prefer discounts over loyalty programs.

● A slightly smaller portion (41.5%) prefer loyalty programs.
● A smaller group (16.3%) have no preference.

42
Chapter V – FINDINGS &
SUGGESTIONS

43
5.1. Findings

After analyzing the survey data on consumer shopping behavior, discount

preferences, and platform choices, several key findings emerged:

(A) Occupation Distribution of Respondents

● The majority (39%) of respondents are students, followed by

working professionals (26.8%).

● Business owners make up 20.3% of the sample, while self-

employed individuals and homemakers account for 7.3% each.

● This indicates that a significant portion of the audience consists of

young individuals, primarily students and professionals, who are likely
price-sensitive shoppers.

(B) Online Shopping Frequency

● Weekly online shoppers are the largest segment (25.2%), followed by

those who shop biweekly (18.7%) and daily (16.3%).

● A considerable percentage (16.3%) shop monthly, while 17.1%

shop occasionally.

● Only a small percentage (6.5%) do not shop online.

This suggests that online shopping has become a routine habit for most consumers,
with many making purchases at least once a week or biweekly.

(C) Preferred Online Shopping Platforms

● 66.7% of respondents shop from e-commerce platforms like

Amazon, Flipkart, and Meesho.
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 ● 46.3% frequently purchase food and groceries from platforms like
Zomato, Swiggy, and BigBasket.

● 30.9% prefer fashion and beauty platforms such as Myntra, Ajio, and Nykaa.

● 24.4% shop for electronics and appliances on platforms like Croma

and Reliance Digital.

● 6.5% do not engage in online shopping.

The dominance of e-commerce and grocery delivery platforms highlights the growing
reliance on online shopping for convenience and variety.

(D) Discount Preferences

● Percentage-Based Discounts (e.g., 50% off) are the most preferred

(48%), showing that consumers favor direct, high-value savings.

● Buy One Get One Free (BOGO) offers attract 33.3% of respondents,
indicating strong interest in deals that provide additional value rather than
just price reductions.

● Flat Discounts (27.6%) and Cashback Offers (29.3%) show

moderate preference, as they provide direct cost savings or future
benefits.

● Limited-Time Flash Sales (23.6%) and Coupon Codes (25.2%) appeal

to consumers who enjoy time-sensitive deals and special promotions.

● Loyalty Programs (21.1%) have lower engagement, suggesting

that consumers prefer instant discounts over long-term benefits.

● Only 2.4% of respondents have no preference, proving that nearly

45
all consumers are influenced by discount strategies.

46
 5.2. Suggestions

Based on these findings, the following recommendations can help businesses optimize
their marketing strategies and boost customer engagement:

(A) Target Audience Strategy

● Since students and working professionals form the largest segment,

businesses should create budget-friendly offers, student discounts,
and limited-period deals to attract price-conscious buyers.

● Business owners (20.3%) and self-employed individuals (7.3%) suggest

a potential market for professional and B2B services.

(B) Online Shopping Engagement

● As most consumers shop online at least weekly or biweekly, brands

should focus on weekly promotions, subscription-based discounts, and
engagement-driven marketing (e.g., social media contests and influencer
promotions).

● Special campaigns can target occasional and monthly shoppers by

offering incentives like personalized discounts.

(C ) Optimizing Online Platform Strategies

● E-commerce platforms (Amazon, Flipkart, Meesho) remain the most

popular. Retailers should optimize their presence on these platforms and
offer competitive pricing.

● Food and Grocery Delivery Services (Swiggy, Zomato, BigBasket) are

growing rapidly. Restaurants and grocery brands should introduce
combo deals, free delivery offers, and loyalty benefits to retain
47
customers.

48
 ● Fashion and Beauty Shopping is a niche segment (30.9%) but still significant.
Brands in this space should invest in seasonal sales, influencer marketing,
and styling recommendations.

● Electronics and Appliances (24.4%) indicate a need for price-

sensitive promotions, such as exchange offers and no-cost EMI
schemes.

(D) Effective Discount Strategies

● Use Percentage-Based Discounts (48%) as the primary promotional tool,

as consumers find them the most attractive.

● Leverage BOGO (33.3%) and Flat Discounts (27.6%) for fast-

moving consumer goods and seasonal promotions.

● Introduce Cashback Offers (29.3%) and Limited-Time Flash Sales (23.6%)

to create urgency and encourage repeat purchases.

● Enhance Coupon Code Usage (25.2%) through referral programs and

special membership benefits.

● Revamp Loyalty Programs (21.1%) to include more instant benefits

rather than long-term accumulation-based rewards.

The study reveals that online shopping is a regular activity for most consumers, with a
strong preference for e-commerce and grocery platforms. Discount-driven
purchasing behavior is evident, with percentage-based discounts and BOGO deals
being the most attractive. Businesses should tailor their marketing strategies by
focusing on high-value discounts, weekly offers, and platform-specific promotions
to maximize engagement and conversions.

49
Chapter VI –
ANNEXURES

50
6.1. Questionnaire Survey

1. Age
● 18-24
● 25-35
● 36-50
● 50-60
● 60+

2. Occupation
● Student
● Job
● Business Owner
● Self-employed
● Homemaker

3. How often do you shop for products or services online?

● Daily
● Weekly
● Biweekly
● Monthly
● Occasionally
● Never

4. On which platforms do you shop for products or services?

● E-commerce (Amazon, Flipkart, Meesho, etc.)
● Fashion & Beauty (Myntra, Ajio, Nykaa, etc.)
● Food & Groceries (Zomato, Swiggy, BigBasket, Blinkit, etc.)
● Electronics & Appliances (Croma, Reliance Digital, etc.)
● I don’t shop online

5. What type of discount attracts you the most?

● Percentage-Based (eg, 50% off, etc.)
● Buy One Get One Free (BOGO)
● Flat Discounts (e.g., ₹500 off on ₹2000+)
● Cashback Offers
51
● Limited-Time Flash Sales
● Coupon Codes
● Loyalty/Reward Points & Membership Discounts
● No preference

6. Do discounts influence your decision to buy a product?

● Frequently
● Occasionally
● Never

7. Have you ever made an impulse buying decision due to discounts?

● Frequently
● Occasionally
● Never

8. Do you wait for discounts before purchasing an item?

● Frequently
● Occasionally
● Never

9. How do frequent discounts affect your perception of a brand?

● Increases trust and attractiveness
● Makes me question the product’s quality
● Makes the brand seem less premium
● Doesn’t affect my perception

10. Are you more likely to shop during seasonal sales (e.g., Big Billion
Days, Black Friday, etc.)?
● Yes, always
● Yes, sometimes
● Rarely
● No, never

52
11.What is the minimum discount percentage that motivates you to buy?
● 10% or less
● 30%
● 50% or more
● Discounts don’t influence me

12. Does a limited-time discount (e.g., "Offer ends in 24 hours") create

a sense of urgency for you to buy?
● Frequently
● Occasionally
● Never

13. Do you compare discounts across multiple platforms before making

a purchase?
● Yes, always
● Yes, sometimes
● Rarely
● No, never

14. Have you ever regretted purchasing something on discount?

● Frequently
● Occasionally
● Never

15. Have you ever regretted purchasing something on discount?

● Yes
● No, I prefer discounts
● No preference

53
6.2. Bibliography

(A) Primary Sources

● Survey Data – Responses collected from 123 individuals across different

occupations and shopping behaviors.

● Interviews & Observations – Direct interactions with consumers

to understand their preferences in discount types and shopping
platforms.

(B) Secondary Sources

● Books & Research Papers

∆ Kotler, P. (2017). Marketing Management – A comprehensive guide to

consumer buying behavior.

∆ Solomon, M. R. (2019). Consumer Behavior: Buying, Having, and Being –

Discusses how people make purchasing decisions.

● Industry Reports & Articles

∆ Amazon Shopping Trends Report 2024 – Insights into consumer shopping

habits on e-commerce platforms.

∆ Flipkart Consumer Insights 2024 – Reports on discount strategies and purchase

motivations.

∆ Statista Reports (2024) – Data on the growth of e-commerce in India.

∆ Retail Association of India Report (2024) – Covers emerging discount strategies

in the retail industry.
54
 ● Web References

∆ Economic Times Business Report (2024) – Article on the impact of discounts

on consumer psychology.

∆ Harvard Business Review (2024) – Study on pricing strategies and discount

models in retail.

∆ E-commerce Case Studies (2024) – Real-world examples of successful online

discount strategies.

55