Consumers Preferences Towards Restaurants: Examining Their Homogenity

The reverberations of rapidly growing Indian economy are being observed in lifestyle of consumers in India. The number of people dining at restaurants is rising as more women are working outside the home, busier lifestyles and more disposable income. The present paper attempts to analyze Indian consumers' preferences towards restaurants with the help of survey conducted outside the restaurants (usable surveys 370) and segments them on the basis of these preferences. The findings of this study suggest how preferences of consumers converge and their relative positions in dealing with extrinsic and intrinsic cues. The study proposes seven factors that evolve out of responses of consumers towards 36 variables that a consumer normally faces. The study advocates three segments of consumers visiting restaurant viz. "deal seekers," "preference seekers" and, "experience seekers," based on their preferences. The outcome of the study carries implications for researchers and entrepreneurs. By 2025, India will become fifth largest consumer market as income and standards of living scale upwards, according to a study by McKinsey Global Institute (2005). The report further adds that Indian middle class will grow from present 50 million to about 583 million by then. The imprints of thrust in India’s development are observable in changing life styles of consumer. On the social plane, nuclear families are coming up that gross high per head income. Whereas, on the economic side, rising family incomes in India are exhibiting an accelerator effect on consumption. This has a direct bearing on the spending involving food. The dining which earlier used to be occasional is fast catching up and settling as recourse to quick meals, entertainment, social gathering, family-outing etc. In India the plausible reasons for this trend are similar to world at large like increasing pattern of more women working outside the home, busier lifestyles and more disposable income (Roseman 2006). Other reasons attributed are quick meals, sojourn with friends, convenience, family outing, social occasions, business necessity, celebration, regular weekly dine-out etc. (Kivela 1997; Kivela et al. 1999; Pedraja and Yague 2001). Kendall (2000) predicts that the trend for eating out more often will continue and even accelerate. According to a research project conducted by Federation of Hotel and Restaurant Associations of India (2005) eating out has emerged as a trend in 10 million households in India whose household income is on average Rs. 46,000 per month and about 40% of these opt to eat out at least in a month. As per one of the estimates, the figure of restaurants that customers use to eat out is approximately 500,000 in organized sector and is expected to scale upwards in medium term (The Economic Times 2005). Consumer decision making process has always been a subject of interest for marketers. Its understanding helps them to blend a focused marketing mix to delight customers on a sustainable basis. Present study examines the decision making process in respect of one of the fast emerging area of service in India i.e., restaurants. The scanning of decision making process of consumers in restaurant sector will help to comprehend how people select restaurants, weigh variables in restaurant selection, convergence of their preferences etc., especially in India. The study augments understanding regarding preferences of selected cross-sections of the consumers concerning restaurants and their cognitive