MARKETING RESEARCH

MUGS N BEANS
Group 2
MOHIT NIMBALKAR 2016PGP237
PRADYUMNA CHOUDHARY 2013IPM061
S AU M YA G AR G 2016PGP343
S H AR AT H M AD H U L I K A 2013IPM083
SHRUNGA HEDE 2013IPM090
VAN D A N VAM S I 2016PGP417
V I S H E S H N AG PA L 2016PGP431
 INTRODUCTION
Mugs n Beans is a restaurant near IIM Indore campus which started its operations in
November 2016
Customers: consist of students from nearby colleges as well as families coming to the
restaurant on weekends. Although still new, the manager feels that the sales of the restaurant
are lower than expected.
Promotion and Advertising: it gives 10% discount to IIM Indore students (only discount
available to students). Also, it has once distributed its pamphlets to residents within 4km radius
of the restaurant since it is located in a residential area.
Demand for Products: since the food is more focused on snacking as compared to meals, the
demand is cyclic, depending on the season (for example, punches and juices do well in
Summers).
Before taking up any new initiative or make changes to existing system, the manager wants to
better understand the consumer preferences which he feels can be given by market research.
 PROBLEM DEFINITION
MDP: How to increase the sales of the restaurant within a constrained budget?
MRP:
What makes a customer choose a particular dine-in over others?
What kind of marketing tool (eg. TV ads, internet, word-of-mouth etc.) has the greatest
influence on a customers decision to go for a particular dine-in?
What value added services (like games, DJ floor, music etc.) can influence customers
choice?
What are the special occasions on which customers like to visit a restaurant?
Hypothesis:
Null: A particular factor does not affect customers preference
Alternate: A particular factor affects customers preference
 RESEARCH DESIGN
SAMPLING PLAN
Population Definition: People staying within 10 km radius of Mugs n Beans
Number & Composition:
Approx. 25-35 expected-survey (z=1.96, e=0.25, s=0.66; Implies sample
size=28)
Focus Group Discussion: 2-3; In-depth interviews: 4
FIELD WORK
Date Work
28/2/17 and Survey at IIM Indore, People sitting at various cafs/Restaurants,
4/3/17 send out questionnaire to students from other campuses

7/3/17 and 8/3/17 Focus group discussion, in depth interviews

Till 11/3/17 Analysis and Documentation
12/3/17 Report Submission
RESEARCH QUESTIONS
 DATA ANALYSIS
Identifying outliers using various techniques (like Boxplot etc.)
Perform hypothesis testing using techniques like One-sample t-test
Simple tabulation
Cross-tabulation
Discriminant analysis
 FINDINGS/RESULTS
Based on our data analysis using SPSS software, we will find out which all
factors are important when it comes to consumer preference for a particular
restaurant/caf.
The analysis would also give us an idea of which marketing tool is more
receptive to consumers when it comes to choosing any restaurant/caf.
Our analysis would also give us an idea about which value added services like
live music, board games, etc. will be more effective when it comes to increasing
the footfall at any restaurant/caf.
Our research questions would also help us to find out the special occasions on
which Mugs n Beans can try to attract greater number of customers
 LIMITATIONS
Tested Sample: since we have to work with limited information, resources and
times, the sample may not represent the tastes of the population as a whole
and we are limited to conduct our survey as per convenience sampling.
Survey Nonresponse: some of the students from the other local institutes may
not send us a response
Since responses from the students of other local institutes would be taken
through mail surveys, there may be some communication gap occurring
between the respondents and field researchers
Due to limited resources, we wont be able to provide much of an incentive for
the respondents to respond to our study which may result in insincerity on
the part of respondents
CONCLUSIONS & RECOMMENDATIONS
Based on our analysis of the market research, our recommendation to the manager of
Mugs n Beans would be to direct his resources at the factors which are relevant for a
consumer when it comes to choosing a restaurant/caf.
Since our analysis would give us which tools are more important than others for
publicizing restaurants/cafs, we would give recommendation to the manager to focus
on those tools for effective results.
Based on our findings, we would be able to recommend to the manager of Mugs n
Beans to adopt certain value added services that would help them pull crowd.
Based on the findings about special occasions on which customers like to visit
restaurants, Mugs n Beans can launch special schemes on such occasions to attract
greater number of customers.
THANK YOU!