Understanding Consumer Behaviour and Market Strategies of Electronics Retail Sector in India: Insights from Lotus Electronics

Understanding Consumer Behaviour and Market Strategies of Electronics Retail Sector in India: Insights from Lotus Electronics

Dr. Pooja Sharma, Associate Professor, BSSS Institute of Advanced Studies, Bhopal

poojasharma@bsssias.ac.in

Dr. Darshan Subherwal, Assistant Professor, BSSS, Bhopal.

subherwaldarshan15@gmail.com

Abstract

Consumer behaviour plays a pivotal role in shaping market strategies, especially in the highly competitive retail electronics sector. This study explores the purchasing patterns, preferences, and key challenges faced by customers at Lotus Electronics, a leading retail chain in Central India. A mixed-method research approach is employed, combining customer surveys, interviews with store managers, and market trend analysis to gain comprehensive insights. The findings indicate that customers prioritize factors such as in-store promotions, flexible financing options, and strong after-sales services when making purchasing decisions. However, competitive benchmarking reveals that while Lotus Electronics excels in customer service and personalized shopping experiences, it faces challenges related to pricing competitiveness and product availability. In this context, the Ansoff Grid Matrix offers valuable insights for Lotus Electronics' growth strategy. By applying Market Penetration strategies like loyalty programs and personalized promotions, Lotus can enhance customer retention and increase repeat purchases. Market Development can be achieved by expanding into new geographic areas, particularly tier-2 and tier-3 cities, while leveraging consumer insights to tailor product offerings. Product Development can be supported by introducing new technology products and bundled packages, while Diversification could involve exploring complementary services like gadget repairs and tech workshops to further strengthen customer loyalty and market positioning. To sustain its market leadership, the study suggests strategic improvements, including digital transformation, the adoption of omnichannel retailing, expansion into tier-2 and tier-3 cities, and enhanced promotional strategies. Strengthening online presence, leveraging data analytics, and optimizing supply chain operations are also recommended to improve customer engagement and operational efficiency. These insights contribute to a deeper understanding of consumer behaviour and offer practical recommendations for businesses operating in the retail electronics industry. By aligning marketing strategies with consumer expectations, Lotus Electronics can drive customer loyalty, increase market share, and enhance long-term profitability.

Keywords: Consumer Behaviour, Market Strategy, Retail Electronics, Competitive Analysis, Digital Transformation, Ansoff Grid Matrix