Jewellery Buying Preference
CHAPTER I
1.1 INTRODUCTION
Till the early 1990s, the average Indian bought jewellery for investment rather than for adornment. Jewellery made of 18-karat was not favored as it was considered a poor investment.
Confidence in the local jeweler was the hallmark of the gold jewellery trade in India. A jeweler or a goldsmith in a local area had a fixed and a loyal clientele. The buyer had implicit faith in his jeweler. Additionally, the local jeweler catered to the local taste for traditional jewellery.
However since the late 1990s, there is a change in consumer tastes and preferences: Women are increasingly opting for fashionable and lightweight jewellery instead of traditional chunky jewellery. There is a rise in demand for lightweight jewellery, especially from consumers in the 16-25 age group, who regarded jewellery as an accessory and not an investment. The new millennium witnessed a definite change in consumer preference.
Consumer preference for a product can make or break a company. If consumers generally like a product, it can stay around for years and sell millions of copies. However, if consumers do not like the product, it could disappear very quickly if the company cannot figure out how to fix the problem.
Consumer preferences are defined as the subjective (individual) tastes, as measured by utility, of various bundles of goods. They permit the consumer to rank these bundles of goods according to the levels of utility they give the consumer. Note that preferences are independent of income and prices. Ability to purchase goods does not determine a consumer’s likes or dislikes.
The study of consumer buying preference enables the marketer to predict consumer tastes and preferences about the product in the market; it also produces understanding of the role that consumption has in the lives of every individual.
Branded jewellery also gained acceptance forcing traditional jewelers to go in for branding. Given the opportunities the branded jewellery
1.1 INTRODUCTION
Till the early 1990s, the average Indian bought jewellery for investment rather than for adornment. Jewellery made of 18-karat was not favored as it was considered a poor investment.
Confidence in the local jeweler was the hallmark of the gold jewellery trade in India. A jeweler or a goldsmith in a local area had a fixed and a loyal clientele. The buyer had implicit faith in his jeweler. Additionally, the local jeweler catered to the local taste for traditional jewellery.
However since the late 1990s, there is a change in consumer tastes and preferences: Women are increasingly opting for fashionable and lightweight jewellery instead of traditional chunky jewellery. There is a rise in demand for lightweight jewellery, especially from consumers in the 16-25 age group, who regarded jewellery as an accessory and not an investment. The new millennium witnessed a definite change in consumer preference.
Consumer preference for a product can make or break a company. If consumers generally like a product, it can stay around for years and sell millions of copies. However, if consumers do not like the product, it could disappear very quickly if the company cannot figure out how to fix the problem.
Consumer preferences are defined as the subjective (individual) tastes, as measured by utility, of various bundles of goods. They permit the consumer to rank these bundles of goods according to the levels of utility they give the consumer. Note that preferences are independent of income and prices. Ability to purchase goods does not determine a consumer’s likes or dislikes.
The study of consumer buying preference enables the marketer to predict consumer tastes and preferences about the product in the market; it also produces understanding of the role that consumption has in the lives of every individual.
Branded jewellery also gained acceptance forcing traditional jewelers to go in for branding. Given the opportunities the branded jewellery