Jasbir

Kunal
Nishant
Samadarshi
Shadab

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To Invest or notin Go Karting

Categoryand to formulate
Marketing Strategy
Decision Problem
Odyssey Wonder came to existence in 2010 with the objective to provide
adventure tourism and impart team building learning. It offers a wide variety
of adventure sports be it river rafting, trekking, hot air ballooning,
parasailing, paint ball gaming , outbound training program for corporates, all
terrain Vehicle ,Dirt biking ,Dune biking ,Go-karting .
At Jamshedpur, it operates from the famous Nicco Park. It conducts Paint ball
gaming, Zorbing, Trampoline, of which
Paint ball gaming is the famous
attraction among the visitors there. The management at Odyssey
Wonder is now contemplating to introduce 5 new adventure sports
in Jamshedpur 1) All terrain Vehicle 2)Dirt biking 3)Dune biking
4)Go-karting5) Striking Cars expanding its service portfolio.
Odyssey Wonder has been Planning to setup Adventure Sports Business by
Using Suitable Financial Loan. Thus it is important to plan these spending
well as per the requirement of the customers and also to promote them
effectively. It is a step to deliver products and services better suited to
customer needs. Further, in this competitive and growing sector of adventure
sports in Small City Like Jamshedpur, it becomes necessary to develop and
innovate to stay ahead of others and to compete. Also, as the company
grows and matures, it is looking to establish its unique identity in adventure
sports which is more recognized and focused.
Under the heat of intense competition from emerging players like MPavallion and many competitors in unorganized sector, Odyssey Wonders has
increased its marketing spends. But increasing promotion expenditure is not
the solution; the firm must understand what to say (message content and
structure) to the target market segment and how to reach out (media) cost
effectively so that more adventure sport enthusiasts get attracted to
Odyssey Wonder.
Through this study the firm wanted to identify the motivating factors
towards adventure sports among the youths (between 18-35 years of ageconsidered to be the largest segment for adventure sports) residing in
Jamshedpur Region. This would help them in enhancing the effectiveness of
their communication strategy.

Jasbir
Kunal
Nishant
Samadarshi
Shadab

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Marketing Research Problem- Customer Base at

Jamshedpur
The answer to the management decision problem is through a marketing
research problem. In this case, it is the demand for adventure biking in
Jamshedpur and characteristics of the customer base. The main parameters
to study are:Demand, Age, Disposable income & Job Profile.is
something which is related to the adrenaline. Hence Age is an important
factor to consider. The Millennial would prefer Go-Karting over any other
sport. With age, another important factor to study would be the disposable
income. Go Karting would be priced slightly higher compared to the existing
games at Nicco Park. Lastly, job profile would give an idea about a persons
working environment and whether they will go for it or not. A person whose
work demand staying late in office and also in weekends would not go for
Go-karting due to time constraints compared with the person who has 5 days
working.

Research Approach
The approach would be defined under the following heads:

Theoretical Foundations: Data from secondary sources would be

studied to know how Go-karting has fared in different parts of the
country and user experiences.
Identifying the main objective(s)
Research Questions: A questionnaire would be prepared and the survey
conducted. The target group would be existing customers to Odyssey
Wonder at Nicco Park.
Conducting Focused Group Discussions with potential customers of
Jamshedpur.
Analyzing the response by SPSS .
Conclusion report .

Research Design

Jasbir
Kunal
Nishant
Samadarshi
Shadab

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The hypothesis developed in the Research approach would be tested. Hence

it is a case of Conclusive Research. The research design is descriptive as the
market characteristics have been clearly defined and hypothesis has been
formulated. The secondary data and results from survey would be examined
to reach a conclusion.

Theoretical Foundation :
In the past decade the youth of Jamshedpur has been exposed to a lot of
adventure activities in places like NICCO PARK and Jubilee Lazer show etc.
The youth here travel to Kolkata to experience adventure activities mostly
present in Metros . Also the average Disposable income of people at
Jamshedpur is on the rise . The increasing no of four wheelers and the crowd
at the premium restaurants are indicative of the fact that Jamshedpur would
spend given the right choices.
Another inspiring factor for introducing such an adventure sport in
Jamshedpur is in recent times a lot of young service men have migrated to
Jamshedpur in companies like Tata Steel and Tata Motors . Such crowd come
from metros and are habituated with the life and adventure associated in big
cities . In Jamshedpur lack of Malls and places to spend the weekend with
friends makes them travel to nearby metro city Kolkata . Given the option of
Go-Karting and associated places like attached pool and restaurant cum Bar
would actually provide a good option to hang out with friends on week ends.
Week Day crowd: A lot of business class people who find free time now and
then and are busy on weekends with their business are also found to be a
potential customer . This is because of the capacity to spend .

Companies associated with Go-Karting :

a) HEADRUSH URBAN EXTREME :
Rate : 130 for 4 laps
250 for 10 laps
b) Smaaash Entertainment :
Rate :Weekdays: Rs 450 for advanced (6 minutes), Rs 650 for grand
(10 minutes), Weekends: Rs 550 for advanced (6 minutes), Rs 700 for
grand (10 minutes)
c) F1india :

Jasbir
Kunal
Nishant
Samadarshi
Shadab

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Rate Rate :Weekdays: Rs 300 6 laps, Rs 650 for 10 laps, Weekends: Rs

550 for advanced (6 minutes), Rs 700 for grand (10 minutes)

Problems and issues:

Scope of this study includes finding answers to following questions among
young (between the age group of 18-35) male and female enthusiasts of
adventure sports:

What are the motivating factors that pull participants to adventure sports?
Do different types of sports have significantly different pull factors?
Do personal characteristics of participants affect the level of motivation?
Is motivation level influenced by the characteristics of the sport?
Based on identified motivating factors can the population be
discriminated between male and female?
Can we discriminate between high spenders and low spenders based on
the identified motivating factors?

MATERIALS AND METHODS

To capture perceptions of youths, a questionnaire was designed and
tested with twenty respondents and all problems encountered were
removed.
Perceptions of respondents were captured on a seven point Likert Scalewith 1 being low and 7 being high. The questionnaire could capture
perception of respondents for adventure sports as a whole as well as
separately for each of the five types of similar adventure sports available in
Go-Karting category
viz.,. Whether the respondent is aware about a
particular type of sport or not has been checked by screening questions. For
a particular sport responses of only those people were analyzed who were
aware of the sport.
The questionnaire was designed in Google docs where links were posted
to various mails and forums for review of people and filling up. It was put
with a 7 day window period and after that responses were analyzed. The
online survey removes the surveyor bias. Other advantage is that the data
can be directly fed into excel sheet for analyses. Online survey also ensures
random sampling. The link for the questionnaire was mailed to about 400

Jasbir
Kunal
Nishant
Samadarshi
Shadab

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people of town Covering Employees of Company like M/s Tin Plate, M/s Tata
Motors, M/s TATA Steel, Linkedin profile, XLRI Internal mails of whom 77
relevant (from youth) responses were obtained.

Data analyses:
The motivational factors identified through exploratory studies are in Table 1.
Reliability test (t-test) for each question: This test helps in determining
whether a question is well understood and it is able to distinguish between
two classes of respondents: One who wish to Rate High and the other who
wish to Rate Low. For such questions the null hypothesis of a two tailed ttest should get rejected when applied to test if there is any significant
difference between the mean responses of top quartile and the bottom
quartile of respondents in an ordered list. The null hypothesis for each
question in the questionnaire was rejected at 0.05 level of significance.
Hence analyses were carried out with all the questions.

Table 1: Motivational factors for adventure sports

1. Provides thrill
2. Requires zeal/energy
3. Spells status
4. Builds confidence
5. Helps in personality development
6. Instills self-belief
7. Creates unique identity
8. Is a stress buster
9. Helps in goal-setting
10.
Is challenging
11.
Requires toughness
12.
Builds sense of achievement
13.
Is a unique experience
14.
It is fun/adventure
15.
Improved technology has reduced risk

Table 2: Cronbachs alpha

Sports No.
ofNo. of valid Cronbachs
type
respondents cases
alpha
ATV
51
46
0.917

Jasbir
Kunal
Nishant
Samadarshi
Shadab

Dirt
Biking 32
Dune
Biking 40
Go
Karting 37
Striking
Car
57

29

0.944

39

0.947

34

0.932

57

0.874

Table 3: Factor
dimensions

Sports type
ATV

analysis

No.
of Total
factorsExtrac variationsexpla
ted
ined
Two

60.33

Two

70.23

Two

71.44

Two

66.34

Two

56.56

Dirt Biking
Dune Biking

and

Go Karting
Striking Car

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identification

Alignment of
factorsDimen
sion 1
5, 6, 15, 4, 7,
9, 3 and 13
5, 4, 6, 9, 7,
15, 11, 2 and
3
6, 4, 5, 7, 9,
3, 15 and 8
6, 7, 9, 15, 5,
4, 12, 8, 14
and 3

of

Alignment of
factorsDimen
sion 2
1, 2, 14, 8,
10, 11 and 12
14, 1, 13, 12,
8 and 10
1, 10, 13, 14,
11, 2 and 12

11, 13, 1, 2
and 10
14, 13, 10,
7, 6, 5, 9, 4 15, 1, 12, 2, 8
and 3
and 11

Table 4: Rotated component matrix

Jasbir
Kunal
Nishant
Samadarshi
Shadab

Component
Numberi
ng
For adventure
1
14
It is fun/adventure
0.870
13
Is a unique experience
0.828
10
Is challenging
0.770
Improved technology has
15
reduced risk
0.711
1
Thrill
0.684
Builds
sense
of
12
achievement
0.629
2
Requires zeal/energy
0.598
8
Is a stress buster
0.592
11
Requires toughness
0.591
7
Creates unique identity
0.043
6
Instills self-belief
0.285
Helps
in
personality
5
development
0.285
9
Helps in goal-setting
0.080
4
Builds confidence
0.511
3
Spells status
-0.202

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2
-0.034
0.109
0.359
0.072
-0.044
0.473
0.421
0.091
0.497
0.784
0.768
0.753
0.695
0.552
0.429

Note: Extraction method: Principal component analysis; Rotation method:

Varimax .Rotation converged in 3 iterations
Reliability of data captured: Semantic scales are often used in survey
instruments to probe underlying constructs that the researcher wants to
measure. These may consist of indexed responses which are later summed
to arrive at a resultant score associated with a particular question. The
question of reliability arises as the function of scales is stretched to
encompass the realm of prediction. One of the most popular reliability
statistics in use today is Cronbachs alpha. It determines the internal
consistency or average correlation of items in a survey instrument to gauge
its reliability.
Table 2 displays the number of respondents obtained for each type of sports
and for the adventure sport as a whole. Cronbach Alphas in all five cases are
more than 0.874 indicating that reliability is high.
Validity test for questionnaire: Analyses were done first for each of the Five
types of sports in Go-karting category. In Factor Analysis only two composite
variables (dimensions) were extracted. The alignments of fifteen variables
were noted and these were compared with the composite variables extracted
for the combined responses of all 77. These five alignments were found to be

Jasbir
Kunal
Nishant
Samadarshi
Shadab

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highly consistent (Table 3). This establishes the validity of the questionnaire.

RESULTS
Factor analysis and total variance explained: In each of the five cases ( ATV ,
Dirt biking, Dune Biking, Go Karting , Striking Car) two factors were
extracted. The total variance explained is more than 56% in each case (Table
3). The rotated component matrix of Factor analysis is reproduced in Table 4.
The composite variables as indicated by the two dimensions (Fig. 1) have
been labeled as:
Characteristics of the self like: Building confidence, personality development,
sense of achievement, status, self-belief and help in goal setting
Characteristics of the adventure sports encompassing: Thrill, challenge, fun,
toughness and zeal required
Based on the identified factors, the population was successfully
discriminated on the basis of two separate categorical variables namely,
gender and spending pattern of participants. In the analysis over 73% in
case of gender (77% in case of spending) of original grouped cases have
been correctly classified.

DISCUSSION
This study establishes that all the fifteen factors as identified by previous
researches contribute towards building motivation for the adventure sports.
It further suggests that factors influencing the motivation to participate do
not differ for all the Five categories.
The participation in adventure sport is influenced by two significant factors:
Characteristics of self and the Characteristics of the sport. The marketing
strategy should go around the above two factors
Characteristics of Sport
-- Thrill , uniqueness , adventure
.
1(thrill),2(uniqueness),3(adventure) ,6(Toughness) , 7(Risk) ,8(stress buster)
Characteristics of Self confidence building . 4 (self belief), 5(confidence)
9(Status quotient),
10(energy level),11(Sense of achievement), 12(Self Realization)

Jasbir
Kunal
Nishant
Samadarshi
Shadab

One of its kind 3

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13(one of a kind sports) , 15 (Different league ) ,

Technology pro 3 14(importance of technology) ,16( technically advanced )

Risk Factor 2 17 (too risky ?) 18 (is risk worth the fun) 19(government
regulations) 20 (can technology reduce risk)

CONCLUSION
They expect that the Go-Karting and other related sport should provide thrill,
challenge and fun. It should pose tough situation and should require high
level of enthusiasm for participation
Accordingly, in order to attract participants, the firm Odyssey Wonder
should design communication messages highlighting these two aspects.
Limitations: The respondents are residents of Jamshedpur regions only. This
study needs to be replicated at other areas not pertaining to the Corporate
Sector but also to the Business class families which constitute significant
numbers to increase external validity. The target segment selected was only
youth. However, people of other age groups also get attracted to adventure
sports. Their motivation factors also need to be studied. Further, it is felt that
the motivation factors may differ between male and female respondents.