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CUSTOMER AWARENESS IN SALES PROMOTION INTRODUCTION

The importance of consumer sales promotion in the marketing mix of the fast moving consumer goods (FMCG) category throughout the world has increased. Companies spend considerable time in planning such activities. However, in order to enhance the effectiveness of these activities, manufacturers should understand consumer and retailer interpretations of their promotional activities. The study here pertains to consumers perceptions regarding sales promotion. Some past researches have suggested that promotion itself has an effect on the perceived value of the brand. This is because promotions provide utilitarian benefits such as monetary savings, added value, increased quality and convenience as well as hedonic benefits such as entertainment, exploration and self-expression In saying, marketing involves the conception, pricing, promotion and distribution of ideas, goods and services. The fundamental objective of marketing is to exchanges of goods and services (Frances Brassington and Stephen Pettitt, 2005) By designing products setting sensible, acceptable and justifiable prices, creating awareness and preferences, and ensuring availability and service, the marketer can influence the volume of exchange therefore marketing can be considered as a demand management activity on the part of the selling company.

Promotion is an important component of marketing mix which has got a very significant impact on the demand managing activity of marketing. The key components of promotion includes personal selling, direct marketing, advertising, sales promotion, and public relations. Sales promotion is a range of marketing techniques designed with in a strategic marketing frame work to add extra value to a particular product or services, developing a promotion strategy involve deciding on the objectives of marketing communication. Promotion objectives are so vital that these objectives are the key in determining the role of each components of the promotion mix in the marketing objectives of the organisation. The role of promotion mix components depends on the type of organization, nature of products, etc. Promotion is a part of integrated marketing
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communication which recognizes the advantages of having a complete plan to find better ways of understanding and connecting with consumers.

Organizations are forced to test various strategies to find a better one suitable for them in increasing their sales and market share. Sales promotion is one of the important promotion strategies followed by the retailers. Sales promotion refers to communication strategies designed to act as a direct inducement, an added value, or incentive for the product to customers. In retail industry sales promotion efforts are designed in such a way that it always assists all other promotional activities undertaken by a retail store. Sales promotion always tends to encompass all the external factors such as advertising, publicity and direct marketing although these might be used to deliver sales promotions. Since the sales promotion is all about communicating we could see in this study that how an effective sales promotion strategy executed or implemented through a better communication results in positive perception in consumers there by resulting increased sales.

The leave no stone unturned to woo the consumer in various festive seasons. The Drivers of various festive Bonanza re of two types one is to cash in on increased festive season spending and the other one is more of a bottom-line driven, with loss making stores looking to wipe out losses. Retails stores utilises the festive seasons to liquidate all stocks and inventories to avoid loss on account of excess inventory and low turn over. The promotion programmes relate to consumer purchase decision and what the strategies adopted by the retail group. Most observers feel that dealing activity do not build long term consumer loyalty. The different services offered by the retail chains or hypermarkets may be perceived positively by certain set of consumers due to the opportunity it provides them to look at the products leisure. Retailers often develop and design the retail marketing mix to ensure patronizing the retail store or format by the target segment or to attract new customers. The attractive sales promotion offers may or may not be effective

INDUSTRIAL PROFILE

After achieving the leadership position in Software solutions, the group entered into the state of Gujarat- non IT technologies, where local players are formidable. The group launched its organization, Deccan solutions in Ahmadabad in June 2003 is a Case Study with IIM-A for its first day net paid sale of 4, 52,000 lakh copies. In 2004 Deccan solutions further launched its edition in Surat &Baroda and Rajkot in early 2005. In Sep. 2004, Deccan solutions group had taken over another Gujarati newspaper Saurashtra Samachar in Bhavnagar- the leading newspaper in Saurashtra region. In just two years Deccan solutions has become the no.1 in Ahmadabad, Baroda & Surat in terms of leadership. Also launched its North America edition from New York in May 2004.

After setting many new trends in Hindi & Gujarati market, Deccan solutions group, in association with Zee, launched its English newspaper DNA (Daily News & Analysis). In July 2005 with a circulation of 3 lakh + copies per day.

In sep. 2004, the group has also launched a monthly complete Hindi magazine Aha Zindagi for positive & good life. Today the magazine enjoys circulation of 1.35 lakh copies with 5.95 lakh readers.

Over a period, the group has diversified its business into Textile, Solvent Extraction, Job Printing, FMCG, and IT & Family entertainment. As of today Deccan solutions group is a 400 crore company.

Milestones:

2009

Inauguration of Deccan solutions Print Planet at Changodar, Ahmadabad by Narendra Modi, chief minister, Gujarat, on November 13, 2009

Installation of KBA printing machines imported from Germany at Jaipur and Ahmadabad facilities

Launch of DB Star Jodhpur editions on Aug15, 2009

2008

Deccan solutions completes fifty glorious years as a leading Hindi publication Business Deccan solutions, a Hindi financial newspaper, was launched in Bhopal, Indore, Raipur, New Delhi, Panipath, Jalandhar and Ludhiana with separate editions for each of these cities

Launch of Deccan solutions editions in Pali, Nagaur, Bhilai, Ratlam and Shimla Launch of DNA in Jaipur as a franchise by DB Corp Ltd Launch of editions of DB Star in Bhopal and Indore MY FM consolidates its network with 17 radio stations in 7 states, across India

2007

Launch of DB Gold the first compact newspaper in Gujarati from Surat Launch of DNA in Ahmadabad and Surat as a franchise by DB Corp Ltd Launch of Young Deccan solutions Magazine for children and Lakshya, a career magazine

MY FM enhances its reach to 14 cities across India Launch of Deccan solutions Ludhiana edition on Dec 15 Launch of Deccan solutions Bhuj edition on July 30, making it the only Gujarati newspaper with seven editions in Gujarat
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Launch of Deccan solutions Rajkot edition on Nov 01

2006

Entry in Punjab with launch of Amritsar and Jalandhar edition on Oct 08

2005

Inception of DB Corp Ltd, pursuant to the demerger of publishing business of Writers and Publishers Limited (WPL)

The Deccan solutions group won license from Ministry of Information and Broadcasting for launch of radio business, through their subsidiary, Synergy Media Entertainment Ltd (SMEL), in seventeen stations, in the name of MY FM

AHA! Zindagi magazine launched in Gujarati language IMCL, a new web media company was formed as a subsidiary of DB Corp

2004

Launch of new Hindi magazine, AHA! Zindagi, the first of its kind on lifestyle and positive thinking In their first merger and acquisition, the Deccan solutions group acquired Saurashtra Samachar the sixty years old, largest circulated daily newspaper of Saurashtra

Launch of Deccan solutions Baroda edition on Sept 12 Initiated presence in Maharashtra with the launch of Deccan solutions Mumbai edition in July

Launch of Deccan solutions Surat edition on March 28

2003

Launch of Deccan solutions from Ahmedabad on June 22. This was the biggest launch of any new edition, across languages, across territories in India where the daily was launched with 4,52,000 copies on day first and became the leading publication in Ahmadabad city

2001

Deccan solutions Group further consolidated its position by launching Faridabad edition, in Haryana state, after two editions from Panipat and Hisar

2000

Deccan solutions group expands presence to Haryana state on June 04, by launching Panipat and Hisar editions

Launch of Deccan solutions Chandigarh edition on May 07

COMPANY PROFILE

Established in the year 2000, we, Deccan Energy Solutions Pvt Ltd., are eminent organization engaged in supplying and system integrating a wide range of quality-assured Solar Home & Street Lights, Lanterns, Water Heaters and Panels. Offered array of products is manufactured by expert professionals using excellent quality raw material and cutting-edge technology. These solar products are traded by our professionals in adherence with the international quality standards. Widely used in domestic and commercial purposes, these solar products are highly appreciated among the clients for its remarkable features such as longer functional life, efficient performance, low maintenance and user & environmental friendliness. Backed up by a top-class infrastructure facility, we are trading a qualitative & qualitative range of solar products. Our sophisticated infrastructure is well-equipped with the latest machines, tools and advance technology to ensure the uninterrupted flow of work. Further, to handle all the business process, we have appointed a team of deft professionals. These professionals are wellversed with the entire process and help us in meeting the expectation of our clients. Also, owing to their hard work and sincere efforts, we have been successful in gaining an immense success in this domain. Moreover, with their help, we have been successful in developing a vast clientle all across the Indian Subcontinent. Under the valuable guidance of our mentor, 'Mr. K. Duraisamy', we have been able to create a unique niche in the domestic market. His brilliant management skills, vast experience and indepth knowledge have helped us in staying ahead of our counterparts.

Company Profile
Basic Information
Business Type

Importer Supplier Trader

Ownership & Capital


Year of Establishment 2000

Ownership Type

Private Limited Company

Trade & Market

Major Markets

Indian Subcontinent

Annual Turnover

Rs. 2 - 5 Crore ( or US$ 400 K - 1 Mn Approx.)

Team & Staff


Total Number of Employees 11 to 25 People

Company USP
Primary Competitive Advantage

Experienced R & D Department

Good Financial Position & TQM

Large Product Line

Large Production Capacity

Quality Measures/Testing Facilities

Yes

Packaging/Payment and Shipment Details


Customized Packaging Yes

Payment Mode

Cash

Cheque

Credit Card

DD

LC

Pay Order

Wire Transfer

Shipment Mode

By Air

By Road

By Sea

Our Team
Our organization is firmly supported by a team of deft professionals, who work relentlessly to accomplish the pre-defined organizational goals. Our competent professions supports us as a backbone and enables us to offer a qualitative range of Solar Home & Street Lights, Lanterns, Water Heaters and Panels news papers. These professionals possess an impeccable knowledge and experience of this domain that helps us in carrying out all business process in more efficient manner. Further, to ensure the streamline flow of work, all team members work in a cordial manner. Below mentioned are the members, our team comprises:

Engineers Production managers Quality controllers Research experts Sales and marketing executives Administrative personnel Skilled and semi-skilled worker

Our Quality Assurance


Owing to excellent quality of offered solar products, we have gained an immense success in this domain. To maintain the same, we ensure to quality check the offered array of Solar Home & Street Lights, Lanterns, Water Heaters and Panels using premium quality raw material and components. Also, our engineers check the entire range of solar products keeping international quality standards in mind. Further,to dispatch only defect-free range of products, we have appointed a team of efficient quality controllers. These quality controllers also test the entire range on various per-defined parameters to ensure its flawlessness.

Client Satisfaction
In order to trade and offer a qualitative range of solar products, we have developed a safe & sound infrastructure. Our sophisticated infrastructure facility enables us to carry out all the business processes without any hassle. Further, to ensure the smooth execution of all the processes, we have divided our premises into various divisions. Holding their specific responsibilities and duties, these departments are system integrating, quality controlling, administrative, logistic, packaging and warehousing. Also, we have installed latest machines, tools and advance technology at our infrastructure.

SCOPE OF THE STUDY

This study helps in identifying the key and strategic influencing factors which has an influence in the performance level of the sales and provides way and means through which better results i.e, higher sales promotion can be achieved it is high important to study the sales promotion in the present dynamic and complex world of intense competition in order to satisfy the organization expectation an d need better than competitor

The present study is limited to Deccan Solution limited located at Kanchanbag, Hyderabad. The scope of the present study has confined to above objectives.

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Need For the Study


Every organization big or small, productive or non productive economic or social, old or newly established should provide training to all employees irrespective of their qualification, skill, suitability for the job etc., Marketing plays a very important function of any personal administration

In order to find out the effectiveness of marketing, of Deccan Solutions wants Find out there employees opinion and their satisfaction level. So that this study was conducted to collect data and from the observation and findings, suggestions as to be submitted to the personal Department. It are hoped that the personal Department will look in to suggestions and try to implement them.

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OBJECTIVES OF THE STUDY

PRIMARY OBJECTIVE

The main purpose of this research is to gain the effects of promotional programme on consumers perception with special reference to the promotional programmes of _____. And to assimilate how it affects on consumers buying decision. This research also helps to understand how successfully they could carry out certain schemes and how far it could gain the consumers attention.

SECONDARY OBJECTIVE

Following are some of the secondary objectives for which the research is carried out. To study about consumers attitude towards sales promotion To evaluate the effectiveness of sales promotion schemes. To study about the suitability of offers in each departments To find the customer loyalty to the sales promotion programmes To find out the best communication channel for promotion. To find out the effects of sales promotion on consumer perception To find out the awareness level of the consumers with concern to various sales promotions To find out the effects of sales promotion on buying decision.

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Limitations Of The Study


Any Research study does have limitations no matter how much care is taken by researcher to avoid them. These limitations may be build in the system or may have erupted in to the study due to the following factors.

The Researcher has to face more difficulties in administering the questionnaire, As the respondents were not responded during there working hours. Some employees did not disclose much of information for fear of the superior.

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RESEARCH METHODOLOGY

CONSUMER ORIENTED SALES PROMOTION


Consumer Oriented Sales Promotion is the main topic of this project. Here emphasize is given to motivate consumer to increase sales. Consumer Oriented Sales Promotion includes Sampling, Couponing, Premiums, Contest, Refunds, Rebates, Bonus Packs, Price-off, Event marketing etc.

DEFINITION:
For the purpose of this study, following definitions of sales promotion were kept in mind. Kotler defines sales promotion as: Sales promotion consists of a diverse collection of incentive tools, mostly short-term designed to stimulate quicker and/or greater purchase of particular products/services by consumers or the trade. Roger Strang has given a more simplistic definition i.e. sales promotions are short-term incentives to encourage purchase or sales of a product or service.

Hence, any forms of incentives (price cut or value added nature) offered for short period either to trade or consumers are considered as sales promotion activities.

MARKETERS USES CONSUMER ORIENTED SALES PROMOTION TOOLS FOR THE FOLLOWING REASONS:

To increase short term sales To induce trial To reduce inventory To establish a brand name To make cross selling To cope up with competition To avoid advertising clutter
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TOOLS OF CONSUMER ORIENTED SALES PROMOTION:


There are so many tools or technique available to the marketers for achieving objective of sales promotion. These tools should be used considering all other factors affecting such as cost, time, competitors, availability of goods etc. These tools are as under

1. Coupons 2. Price-Off 3. Freebies 4. Scratch Cards 5. Lucky Draws 6. Bundling Offer 7. Extra Quantity Lets have look at each tool

1. COUPONS:
Coupon is the oldest and most widely used way of sales promotion. Coupons have been used since 1895. It is mostly used by packaged goods. It is worthwhile to use coupon as a promotion tool because data shows that market for packaged goods increased from 16 billion in 1968 to 310 billion in 1994. To boost up the sales not only manufacturer but retailers personally can also used. A coupon leads to price reductions so as to encourage price sensitive customers. Non users can try a product which may leads to regular sales.

2. PRICE-OFF:

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A price-off is simply a reduction in the price of the product to increase sales and is very often used when introduction a new product. A reduction in price always increases sales but the use of this technique should be carefully considered in the current market situation.

Price-off is the most preferred sales promotion technique because consumers response very positively to this scheme. Not only that but it also cause large increase in sales volume. Price-off reductions are typically offered tight on the package through specially marked price packs. E.g. Krack Jack offers 30% Price-off.

3. FREEBIES
Freebies are a popular form of modern marketing and are some of the best things about the internet. The definition of freebies is products or services given away for free at no cost to the consumer. Well thats the definition we came up with. I am a bargain freebie shopper, pretty much going for any free product and informing everyone about it.

At different times, big and small companies often give away prizes and money which is too good to be true. Often its in the pursuit of more customers or a larger fan base and it often works.

4. SCRATCH CARDS
A scratch card (also called a scratch off, scratch ticket, scratcher, scratchie, scratch-it, scratch game, scratch-and-win or instant game) is a small token, usually made of cardboard, where one or more areas contain concealed information: they are covered by a substance that cannot be seen through, but can be scratched off.

5. BUNDLING OFFERS
Product bundling is a marketing strategy that involves offering several products for sale as one combined product. This strategy is very common in the software business (for example: bundle a word processor, a spreadsheet, and a database into a single office suite), in the cable

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television industry (for example, basic cable in the United States generally offers many channels at one price), and in the fast food industry in which multiple items are combined into a complete meal. A bundle of products is sometimes referred to as a package deal or a compilation or an anthology.

FACTORS INFLUENCING CONSUMER ORIENTED SALES PROMOTION:

Mainly four factors should be taken into account while determining the sales promotion program.

> Target market > Nature of product > Stage of product life cycle > Budget available for promotion a

1. TARGET MARKET: While doing sales promotion, marketer must know who their target market is; otherwise there is no use of all effort because it leads to no where. A target market can be in any of the stages of buying hierarchy i.e. awareness, knowledge, liking, preferences, conviction and purchase. Each stage defines a possible goal of promotion.

2. NATURE OF THE PRODUCT:

There are various product attributes which influence sales promotional strategy. When the unit price is low the manufacturer as well as the customer has low risk but he can get the benefit of mass marketing. Therefore, mass marketing requires mass sales promotion schemes. Sales promotion scheme differ for products like its durability, perishable goods etc.

3. STAGE OF PRODUCT LIFE CYCLE:

Sales promotion strategies are influenced by the life cycle of a product. When a new product
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introduced, prospective buyers must be informed about its existence and its benefits and middlemen must be convinced to stock it. Later, if a product becomes successful, competition intensifies and more emphasis is placed on sales promotion to increase its sales.

4. Budget Available for Promotion:

The funds available for promotion are the ultimate determinant of the promotional programme. A business with ample funds can make more effective use of sales promotion programme than a firm with limited financial resources. The budget for sales promotion can be prepared by the following methods

Percentage of Sales Fixed funds available for sales promotion Following the competition, and Budgeting by objective.

SALES PROMOTION FROM THE CONSUMERS POINT OF VIEW

Willingness to buy on sales promotion offer

Sixty per cent of the sample did not show willingness to buy a brand due to promotion while 30% showed willingness and 10% were not sure. This indicates that when 30% showed willingness and 10% consumers who were not sure, these groups might be lured through innovative and lucrative sales promotion offer.

Ability To Induce Trial

Forty per cent of the respondents had said that sales promotion had the ability to induce trial which reinforces the above inference.

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Long-Term Impact

In order to understand ability of the promotions to increase long-term sales, respondents were asked about continuity of purchase of a brand after the withdrawal of promotion. Eighty per cent of the respondents indicated that they would not continue. But 20% said they would. Thus, it could be inferred that promotions in this category (low involvement products) might encourage trial and brand switching but not long term loyalty.

PREFERENCE OF SCHEMES: Price off was the most preferred type of scheme. Maximum customers ranked price-offs as number one or two.

PERCEIVED QUALITY:

Majority of respondents had a perception that the quality of the promoted brands remained the same during promotion, while some of them felt that it was inferior than before. It can be inferred that promotions were not leading to negative brand quality perceptions. It is found that some customer strongly preferred to buy their regular brand and said that sales promotion would not weaken their loyalty towards the brand.

PERCEPTIONS REGARDING UNDERLYING COMPANY MOTIVATIONS On tapping perceptions regarding underlying company motivations for sales promotion, to increase sales was ranked highest followed by to attract switchers and to sell excess stocks. While providing value to customers and To reinforce company image were ranked lowest. This indicates that consumers believed that companies were undertaking such activities only for their own benefit and not for the benefit of
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consumers.

Findings from retailer and consumer perception studies, it is evident that there was a matching of perceptions regarding nature of scheme (price offs as most preferred type of scheme mentioned by consumers and retailers perceptions about consumer preferences). Since retailers observe consumers in store behavior were frequently and directly, their perceptions regarding providing consumer behavior are likely to be accurate. Such inputs from the retailers would be useful to companies.

The retailers had the perception that those schemes which were announced through mass media had better response. This was reinforced by the consumer survey which showed that recall in case of heavily promoted schemes on TV was found to be very high. Retailers prediction of companies motivation for offering sales promotion were matching with the consumer perception regarding the same. Thus both viewed that companies were using sales promotion activities mainly to increase short term sales or encourage switching or selling excess stock and not really to give value benefit or enhance/reinforce brand/company image. TRADE ORIENTED SALES PROMOTION

Trade Oriented Sales Promotion aimed to motivate channel member of the company and to encourage them to push companys product. Trade Oriented Sales Promotion includes dealer contest and incentives, trade allowances. Point-of-purchase displays, sales training programs, trade shows, cooperative advertising, and other programs designed to motivate distributors and retailers to carry a product and make an extra effort to push it to their customers SALES PROMOTION FROM THE RETAILERS POINT OF VIEW:

Perceptions on Scheme Preference

It was found that retailer perceived price offs as a better form of sales promotion activity. Price offs in their opinion had relatively a greater impact compared to any other form of sales promotion activity like Bonus packs, Premium, Contests etc. Retailers preferred price offs the
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most, then bonus pack, premium, contests, in order of importance.

Perceptions about Buying Roles

Retailers viewed that the person who came to the shop (who may be a maid, son, daughter, daughter-in-law and child) was the decider of a toilet soap brand and not the Income provider (e.g. head of the family). It could be inferred that visibility of information about the sales promotion activity at the point of purchase could result into the purchase of a promoted brand.

Perceptions about their role in decision-making

Retailer had relatively very low influence in affecting choice. It could be inferred that visibility and awareness about the scheme were the critical success factors so that pull could be created.

Perceptions about Response to Sales Promotion Offers

They believed that younger age-groups were more experimental in nature, amenable to trying new brands, and sought/looked for or asked whether there were any) sales promotion schemes running on any toilet soap at the time of purchase.

Perceptions about Communications of Sales Promotion Schemes

Retailers perceived that role of word of mouth and television advertising played an important part in providing information inputs to consumers regarding sales promotion activities.

Variations in Information Flow

Smaller (non-supermarket, small format store) retailers received relatively less support compared to supermarkets in terms of servicing, margins, information about sales promotion activities from the dealers. Many a times small retailers were only informed verbally about sales
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promotion schemes by the dealer salesmen during the scheduled weekly visits.

Dealer-Retailer Dynamics

At the time of sales promotion activities, dealers had tendency to push unwanted stocks onto the smaller retailers. In fact these retailers preferred to stock variety of brands and wanted payment for shelf and window display to increase traffic into their store. However, supermarkets and big retailers were pampered and given special services and given better margins and better allowances.

Margins

It was found that in sales promotion schemes margins varied from 6 to15% depending of the size of the retail outlet, bargaining power of a retailer, quantity ordered by him etc. Mostly margins were linked to size of the volumes that were ordered.

Perceptions about terms and conditions

Retailers were not found to be happy with sales promotion schemes where their margins were cut on the pretext of just fast movement of inventory of the brand being promoted. Also if additional incentive was offered it was subject to minimum performance requirement.

Nature of POP

Retailers indicated that most of the POP (Point of Purchase) materials were meant for brand advertisement and not for giving information regarding the schemes. Thus it could be inferred that companys follow up was not adequate.

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Servicing during duration of Scheme

In stock-out situation during the running of the sales promotion schemes, smaller retailers had to wait for replenishment of stocks till the next scheduled weekly visit by the dealer salesman but big retailers were serviced on telephonic request for replenishment of stocks. This clearly indicated the disparity in treatment.

Problem of left-over

A leftover stock at the end of any scheme was required to be sold by the retailers before they ordered fresh stocks. In case of bonus packs scheme, leftover stock was often dismantled (cut open buy one get one free) and sold them individually as a regular soap. This approach of the company leads to misappropriation which in turn could result in adverse brand image.

Gifts for Retailer motivation

Companies at times were rewarding retailers by giving free gifts like thermos flasks or clocks if they sold more than certain quantity in a given period. Companies were making a halfhearted effort to motivate retailers.

Perceptions about mass media announcements

Retailers viewed that whenever sales promotion scheme was announced on TV, it created pull and they were more than willing to stock such brands. For example Medimix and Dettol contest was not advertised on TV, hence there was very little awareness leading to unsold stock till 6 months. While Lux Gold Star which was heavily promoted on T.V. is recalled even today.

Post Promotion Behavior

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Retailers observed that in most cases sales promotion scheme on a brand might encourage a buyer to switch a brand temporarily but he would revert back to original brand after promotion.

Handling Problems Many a times retailers had to handle various sales promotion offers simultaneously in a category and also across categories and there was no formal communication planning either from the dealer or the company. Remembering each offer and handling was a problem especially for a small retailer which was often an as one-man show.

WHY DO SALES PROMOTION SCHEMES AFFECT SALES?

There are three mechanisms behind these facts. It is Purchase quantity, Brand switching and Category expansion.

First, consumer can increase the quantity they buy just because the product is on sale.

Second, consumers are inducing to purchase another brand different from the one they would have purchased when there is no promotional incentive. Finally, consumers total consumption of the product category is increased by the promotion. However, in the long term this positive effect may be diluted because a promotional campaign has no permanent effect in the sales of the firm

FACTORS INFLUENCING CONSUMER BEHAVIOR There are both internal and external factors that affect the ways in which consumers act. The internal factors are interest, attitude, opinion, outlook etc. The external factors are society, culture peer, family (wells,1975). Individuals use certain goods and practices in a number of ways firstly they use the goods as materials with which to create foster and develop their identity (Elliot and Wattanasuwan, 1998).
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Here the symbolic meaning of goods is used as an outward expression of their self concept and connection to society. Certain recent research found that consumers develop a sense of who they are over time, through a long, continues process of self examination and observation.

The study of consumer behaviour includes a broad range of topics and activities, it is concerned with understanding of individuals purchase and consumption activities and how individual consumers are acquiring information and the way they process the information into a purchasing decision. Solomon and Stuart (2000) explains the consumer buying behaviour as the process individuals or groups go through to select, purchase, or use goods, services, ideas, or experience to satisfy their needs and desires also emphasised by Kotler and Amstrong (2000). The consumer decision making process can be explained in the following diagram. These are some of the highly significant factors that affects and influence the consumer in making a buying decision.

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Here the researcher trying to explain in detail the motivational factors on perception of a brand, package or a promotional activity makes the consumer aware of the availability of a product. Consumers buying decision is often motivated by something more than awareness, Belk (2003) it depend mainly on his needs and drives. Consumer motivation is the driving force which makes the buying decision.

SAMPLING DESIGN 1)POPULATION: The population consists of both managerial staff and nonmanagerial staff of Deccan Solution, Hyderabad.

2)SAMPLE UNIT: Sample unit will be the employees in Deccan Solutions ,Hyderabad 3)TYPE OF SAMPLING : Simple random sampling is used as the sampling technique. 4)SAMPLE SIZE: The research has collected information form 100 employees of Deccan Solution, Hyderabad with the structured questionnaire.

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DATA ANALYSIS AND INTERPRETATION


ANALYSIS OF CONSUMER SURVEY FOR SALES PROMOTION
INTRODUCTION:
This chapter deals with the analysis and interpretation of the collected primary data. The research is conducted to evaluate the consumer perception of various sales promotion offers with respect to m/s Big Bazaar, Bangalore with special reference to various promotion offers operated and introduced by them. Here the researcher has collected the data through questionnaire from 100 respondents chosen by the method of convenience sampling is analyzed here.

The personal detail of 100 respondents such as gender classification, age wise classification, location wise, income wise classification, their mother tongue, family size, occupation are shown below: Gender: Out of 100 respondents there were 68 males and 32 female respondents.

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Q1. Which brand of Soap / Detergent do you use?


Bathing soaps Lux Hamm Lifebuoy Nima Others Respondents 41 3 14 8 34

40 35 30 25 20 15 10 5 0 Nirma supper Wheel Surf Ariel Others

Interpretation:
The above question has been formed to know the soaps and detergents at the top of the mind of the customers. It shows those consumers purchase and use of that particular brand. It will help to the company to know the market scenario and the major brands in the market. Form the above result it is clear that out of 100 customers more than 40 are consumers are having the same brand as the image in their mind, whereas others category is also showing the higher graph than these 3 major players(Hamam, Lifebuoy, Nima).

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Detergent powder Nirma supper Wheel Surf Ariel Others

Respondents 19 14 35 18 14

40 35 30 25 Column2 20 15 10 5 0 Nirma supper Wheel Surf Ariel Others Column1 Series 1

Interpretation:
Form the above result it is clear that out of 100 customers 35 are purchasing the same brand of detergent, whereas all others are on same level.

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Q2. Do you always buy the same brand of Soap / Detergent?


Particulars Yes No Respondents 56 44

100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% YES NO

INTERPRETATION: The objective behind the formation of this question is to know the level of brand loyalty of the consumers towards the brands of soaps available in the market. The above figure shows that on 56% of the respondents are loyal to their brands of detergent/soap. FMCG are such a market where the level of loyalty remains low and this is because of many reasons.

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Q3. Which factors do you normally consider while purchasing a particular brand of Soap / Detergents?
Bathing soap 19 33 16 23 6 3

Factors Fragrance Quality Company image Price Packaging Others

Det.powder 18 36 13 19 11 3

40 35 30 25 20 15 10 5 0 Fragrance Quality Company image Price Packaging Others Series 1 Series 2 Column1

Interpretation:
The objective behind this question is to know the effect of influencing factors in the purchase decision of the soaps and detergent powders. It mainly contains the factors like, quality which players an important role in the purchase decision of the soaps and detergents both. If we look at the graph of the soaps and detergent it shows quality as the most influencing factors in the purchase decision while price is also an important for purchase decision.

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Q4. Do you consider promotional schemes while purchasing a particular brand of Soap / Detergent?
Particulars Yes No Respondents 78 22

H0: Promotional schemes have a significant effect on the purchase of brand. H1: Promotional schemes do not have an effect on the purchase of brand.

YES NO

Interpretation:
Answer of this question will give idea about the effect of promotional schemes in the purchase decisions. Such types of schemes always attract more and more consumers towards particular brand. Simultaneously it gives idea about the factors which consumers look most in the product before they make final decision. Here H0 is accepted as the graph shows that 78 out of 100 consumers are looking for such schemes before they make purchase.

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Q5. Which of the following promotional schemes you have come across so far?
Promotional schemes Coupons price off Freebies scratch cards lucky draw Bundling extra qty. Respondents 16 84 24 12 9 31 44

Coupons Price off Freebies Scratch Cards Lucky draw Bundlings Extra qty

Interpretation:
The above stated question clearly states the awareness of promotional schemes offered in the market by the marketers to attract more and more consumers. The results show that price off and extra quantity is the two main offers/schemes which consumers have came across at the time of purchase. It will help the manufacturers and marketers too how too launch their new products in the market with which schemes.
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Q6. Which medium do you feel is suitable to promote the various promotional schemes?
Source Radio TV Newspaper Hoarding Others Respondents 11 69 43 15 12

80 70 60 50 40 30 20 10 0 Radio Tv Newspaper Hoaring Others Series 1 Column1 Column2

Interpretation:
This question gives stress on the media habit of the people and through which the product should be launch or they think it would be better than other Medias. The above result shows TV as the best media to market the product which will cover majority of the viewer ship. On the second place it shows news papers as the media to promote the product in the market.
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Q7. Is there any existing scheme on the Soap / Detergent you are currently using?
Particulars Yes No Respondents 58 42

Series 1 Column1 NO Column2

YES

10

20

30

40

50

60

Interpretation: The answer of the respondents give idea about the awareness of the promotional schemes offered in the market on their existing soaps and detergents. In this situation more then 40% of the people are not aware or having vague idea about the promotional schemes running into the market. It shows that people are not much aware of the schemes which continue in the market it may be because of the present stock of the product at their place.

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Q8. If yes, please specify?


Particulars 3+1/Other Free Discount No idea No answer Respondents

36 22 6 36

40 35 30 25 20 15 10 5 0 3+1/other Free Discount Series 1 Series 2 Series 3

No Idea NoAnswer

Interpretation:
This question supports the above question. It enlists the answers of those customers who are aware of the present schemes offered in the market and also those schemes which are more demanded in the market. The result shows that 1+1 or 2+1 or other free schemes are more demanded and more aware schemes in the market. So manufacturers may go for the same at the time of launching their product.

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Q9. If you get an attractive promotional offer in the product other then of your choice will you switch over?
Particulars Yes No Respondents 73 27

YES NO

Interpretation:
It shows the level of brand loyalty among the consumers. The result clearly shows that out of 100, 73 people are ready to switch over to another brand if they find better promotional schemes which suits their budget means more qyt + less cost + quality. Combination of all these schemes will run better in the market.

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Q10. Give reason for the same?

Particulars Cost+qty Quality Satisfaction Brand loyal More benefit/budget Season change No answer

Respondents 16 17 2 5 22 2 36

40 35 30 25 20 15 10 5 0 Column2 Column1 Series 1

Interpretation:
Above question it gives specific reasons for switching too other products. It shows that extra quantity with less or same price, more satisfaction, quality and other factors influence consumers to switch over too other brands.

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Q11. Since how long are you in this business?


Particulars 1-5 Years 5-10 Years More than 10 years Respondents 24 27 49

50 45 40 35 30 25 20 15 10 5 0 1-5years 5-10years More than 10years

Interpretation:
This question gives idea about the benefit to the retailers who are on the market from long period of time and the benefits they are getting more as compare to others. It also shows their experience in the field and the services they are providing too their new and regular customers. It also gives idea about the benefits they are gaining for wholesalers and direct from the company.

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Q12. Name the Soap / Detergent (Company) you stock for.


Companies Nirma HUL P&G Godrej Others Respondents 96 100 90 94 68

100 90 80 70 60 50 40 30 20 10 0 Nirma Hul P&G Godrej Others

Interpretation:
It gives idea about the capacity of the retailers to stock the goods and also the variety of the products they are stocking. It will also make clear the demand of the goods in their stores and the selling of the product in market. Most of the retailer stocks all types of soap and detergent.

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Q13. Rank the following factors that customers look for in the purchase of Soap / Detergent. (Rank from 1 to 6)
Factors Fragrance Quality Company Image Price Packaging Others 1 3 66 9 17 4 1 2 24 23 18 28 5 2 3 33 7 34 24 2 0 4 22 3 24 16 27 8 5 10 1 11 6 38 34 6 8 0 4 9 24 55

70 60 50 40 30 20 10 0 Factors Fragrance Quality Company Image Price Packaging

Interpretation: It gives an idea about the priority the influencing factors too the consumers and also the weight age of that factor over other factors. In the above result people are more quality and price oriented. On the other hand people are also conscious about the company image. Because sometimes the consumer remember that name of the product by the company name and also from the past performance of that company. Fragrance and packaging are not influencing factor as per the respondents.

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Factors

Fragrance

11

17

41

21

Quality

43

34

16

Company Image

13

16

27

26

11

Price

27

28

14

16

Packaging

33

43

11

Others

32

63

100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Factors Fragrance Quality Company Image Price Packaging Others

42

Interpretation :
It gives an idea about the priority the influencing factors too the consumers and also the weight age of that factor over other factors. In the above result people are more quality and price oriented. On the other hand people are also conscious about the company image. Because sometimes the consumer remembers that name of the product by the company name and also from the past performance of that company. Fragrance and packaging are also play important role for purchasing detergent powder.

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Q14. Do you suggest customers to purchase a certain brand?


Particular Yes No Respondents 33 67

80 70 60 50 40 30 20 10 0 YES NO

Interpretation:
This could be a very help question to understand the role of retailers in the purchase decision. In above graph 67% of retailer are not suggest to purchase particular brand because of personal relation or that customer are brand loyal. While 33% of the retailer are suggesting the consumers to buy particular brand. There could be many reasons like, extra margin, relations with consumers and quality of the products which retailer may get the benefit of the same.

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Q15. If Yes why?


Particular High margin Quality Relationship No reason Respondents 9 17 7 67

High Margin Quality Relationship No Reason

Interpretation:
it gives idea about the reasons why retailers suggest the consumers to buy particular brand. In above graph and table it is clear that for margin and of better relations with consumers and too provide quality product to consumers they suggest consumers too bye particular brand. For the company it may be helpful to target such retailers to sell their product in the market easily.

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Q16. Do customers look for various schemes in the product?


Particular Yes No Respondents 92 8

Series 1 Column1 NO Column2

YES

20

40

60

80

100

Interpretation:
This gives a real helpful data for checking the effect of sales promotions in the market and how seriously consumers follow the promotions before they go for purchase particular brand. The above result shows that only 8 out 0f 100 didnt go for the promotion otherwise all are looking for any type of the promotions on the product.

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Q17. If yes which schemes?


Promotional Schemes Coupons Price Off Freebies Scratch Cards Lucky Draws Bundling Offer Extra Quantity Respondents

11 82 35 2 19 65 79

90 80

1.2 1

70 60 50 0.6 40 30 20 0.2 10 0 Coupons Price Off Freebies Scratch Cards Lucky Drawa Bundlings Extra offer Quantity 0 0.4 0.8 Column1 Column2 Column3 Column4

Interpretation:
The above stated results show the demand of various types of promotional schemes in the market by the consumers. Almost all types of schemes are being demanded by the consumers in the market but there are three major schemes which consumers generally look at the time of purchase or before that. Price off, product bundling and extra quantity are more demanded by the consumers over others schemes.

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Q18. Which Trade Promotions do various companies offer?


NIRMA
Promotions Extra Margin Extra Units credit facility Gifts promo. Exp. Respondents

46 34

55 24 8

H0: Effect of trade promotions for all four brands is similar. H1: Effect of trade promotions for all four brands is not similar.

60 50 40 30 20 10 0 Extra Margin Extra Units

Credit Facility

Gifts Promo.Exp

Interpretation:
From the above graph shows the trade promotions offered by the NIRMA Ltd to the retailers to attract them towards stocking their goods and also stop them switching them too other major players in the market. NIRMA is mainly offering credit facility which is offered by all major players it may differ in the time limit of the credit. It

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is also providing extra margin, and units with occasional gift with their schemes.

HUL
Promotions Extra Margin Extra Units Credit facility Gifts Promo. Exp. Respondents 47 34

58 25 22

Extra Margin Extra Units Credit facility Gifts Promo.Exp

Interpretation:
The advantage of HLL over NIRMA is that it bare promotional expenses which NIRMA is not doing. It attracts more consumers through such promotions, such as display of the product, banners etc. So this may help it to attract more retailers. It may because of its less cost of production in other segments in which nirma is not operating.

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P&G
Promotions Extra Margin Extra Units Credit facility Gifts Promo. Exp. Respondents 40 33

55 20 12

Promo.Exp

Gifts

Credits Facility

Extra Units

Extra Margins 0% 20% 40% 60% 80% 100%

Interpretation: P&G is also a big player in the FMCG market. It is also providing all the facilities which others are providing to retailers.

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GODREJ
Promotions Extra Margin Extra Units Credit facility Gifts Promo. Exp. Respondents 46 32 57 19 18

60

50

40

30

20

10

0 Extra Margins

Extra Units

Credit Facility

Gifts

Promo.Exp

Interpretation:
Godrej is a big player in the FMCG market. It is also providing all the facilities which others are providing to retailers. But it is lacking in bearing expenses which HUL is providing to maximum number of retailers.

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OTHERS
Promotions Extra Margin Extra Units Credit facility Gifts Promo. Exp. Respondents

30 18

38 15 7

Extra Margin Extra Units Credit Facility Gifts Promo.Exp

Interpretation:
Others include local players, as well as we established players like, wipro but their products are not in demand like other players but still they are providing all the facilities to retailers to attract towards stocking their products.

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Q19. Give suggestions about futuristic promotional schemes?


This show the consumers future expectations from the whether company to come with new schemes or continue with present one. It shows consumers demand which the manufacturers have to meet.

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FINDINGS OF THE REPORT:


Sales Promotion, a short-term inducement, offered to a consumer or trade has gained momentum as a promotional tool world over. It represents nearly three fourth of the marketing budget at most consumer product companies. Sales promotions can enhance consumers self-perception of being smart or a good shopper Quality as the most influencing factors in the purchase decision while price is also an important for purchase decision. Schemes always attract more and more consumers towards particular brand. Simultaneously it gives idea about the factors which consumers look most in the product before they make final decision Price off and extra quantity is the two main offers/schemes which consumers have came across at the time of purchase TV as the best media to market the product which will cover majority of the viewer ship. On the second place it shows news papers as the media to promote the product in the market People are not much aware of the schemes which continue in the market it may be because of the present stock of the product at their place. 1+1 or 2+1 or other free schemes are more demanded and more aware schemes in the market. People are ready to switch over to another brand if they find better promotional schemes which suits their budget means more qyt + less cost + quality.Extra quantity with less or same price, more satisfaction, quality and other factors influence consumers to switch over too other brands. Retailer stocks all types of soap and detergent because of competition.People are more quality and price oriented. Consumer remember that name of the product by the company name and also from the past performance of that company. Consumer remembers that name of the product by the company name and also from the past performance of that company. Retailers are not suggest to purchase particular brand because of personal relation or that customer are brand loyal Margin and of better relations with consumers and too provide quality product to consumers they suggest consumers too bye particular brand. Customers are looking for any type of the promotions on the product before them going to purchase.

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Price off, product bundling and extra quantity are more demanded by the consumers over others schemes. NIRMA is mainly offering credit facility which is offered by all major players it may differ in the time limit of the credit. HUL attracts more consumers through such promotions, such as display of the product, banners etc.

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SUGGESTIONS
1. Since sales figures showing noticeable growth on special offers, consumers should be made aware about the various available offers on a regular basis through better coverage. 2. The offers given should be of quality products and conditions should be under profit to consumer. 3. 4. The offers should be for the whole day. More details should be included in the advertisements about the sales promotion of Deccan Solutions 5. Discount offer can be allocated for a single piece rather than using the offers like buy one get one. 6. 7. 8. 9. 10. The availability of the branded product should be heterogeneous. The offer should be available to all the products in Deccan Solutions. The offers should be frequent. Offers should be at the level of middle class people. Since the special offer has made a great impact over the departments they can adopt this strategy in the future concepts. 11. 12. Consideration should be given to discount offers. As the customer gives more weight age to the quality, it can be taken as a main promotional feature for the products. 13. The coverage should be well extended since it has been the major issue related to sales promotion activities 14. Signages can be positioned is those area (entry and exit) as such the customers can easily come to know about the offers for the different products and it should be more clear.

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CONCLUSION
The study reflects that the use of sales promotion undeniably has increased over the years in India. Future holds lot of promise for such schemes across wider range of product-markets. Sales Promotion has ceased to be major differentiator at least in the metros, with almost all companies offering similar freebies and gifts. As a result now marketers have to find out some innovative ways of sales promotion to differentiate from competitors. Currently Price off and Bye one get one free offers are very effective to attract the consumers towards the products.

We have noted that these kind of promotional tools are useful for short term increase in sales and to induce first trial. These types of promotional schemes should be consistent and changed from time to time depending upon season and competitors schemes. With the Increasing number of supermarket, the branded packaged goods work as silent sales person. So in such stores, sales promotion plays a more effective role in stimulating consumers demands. One of the very important facts we came to know from this project is that sale of goods which contain large quantity and having big packaging e.g. detergent are stagnating because consumer prefer to buy small pack goods, the reasons are: small pack goods reduce risk of bad quality, It had low cost or say price, and last but important factor i.e. mentality to purchase just to try first. Sales of small pack goods are quite high, but from the companys point of view small pack goods is less profitable compare to large pack goods. So here marketer tries to increase sales of large pack goods by using sales promotion tactics like price off and percentage extra

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APPENDICES:Q1. Which brand of Soap / Detergent do you use?


Detergent powder Nirma supper Wheel Surf Ariel Others Respondent

Bathing soaps Lux Hamam Lifebuoy Nirma Others

Respondent

Q2. Do you always buy the same brand of Soap / Detergent? Particulars Yes No Q3. Which factors do you normally consider while purchasing a particular brand of Soap / Detergents? Factors Fragrance Quality Company image Price Bathing soap Det.powder Respondent

58

Packaging Others Q4. Do you consider promotional schemes while purchasing a particular brand of Soap / Detergent? Particulars Yes No Q5. Which of the following promotional schemes you have come across so far? Promotional schemes Coupons price off Freebies scratch cards lucky draw Bundling extra qty. Q6. Which medium do you feel is suitable to promote the various promotional schemes? Source Radio TV Newspaper Hoarding Others Respondent Respondent Respondent

Q7. Is there any existing scheme on the Soap / Detergent you are currently using?

59

Particulars Yes No Q8. If yes, please specify? Particulars 3+1/Other Free Discount No idea No answer

Respondent

Respondent

Q9. If you get an attractive promotional offer in the product other than of your choice will you switch over? Particulars Yes No Q10. Give reason for the same? Particulars Cost+qty Quality Satisfaction Brand loyal More benefit/budget Respondent Respondent

60

Season change No answer

Q11. Since how long are you in this business?


Particulars 1-5 Years 5-10 Years More than 10 years Respondents 24 27 49

Q12. Name the Soap / Detergent (Company) you stock for.


Companies Nirma HUL P&G Godrej Others Respondents 96 100 90 94 68

Q13. Rank the following factors that customers look for in the purchase of Soap / Detergent. (Rank from 1 to 6)
Factors Fragrance Quality Company Image Price Packaging Others 1 3 66 9 17 4 1 2 24 23 18 28 5 2 3 33 7 34 24 2 0 4 22 3 24 16 27 8 5 10 1 11 6 38 34 6 8 0 4 9 24 55

61

Factors

Fragrance

11

17

41

21

Quality

43

34

16

Company Image

13

16

27

26

11

Price

27

28

14

16

Packaging

33

43

11

Others

32

63

Q14. Do you suggest customers to purchase a certain brand?


Particular Yes No Respondents 33 67

Q15. If Yes why?


Particular High margin Quality Relationship No reason Respondents 9 17 7 67

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Q16. Do customers look for various schemes in the product?


Particular Yes No Respondents 92 8

Q17. If yes which schemes?


Promotional Schemes Coupons Price Off Freebies Scratch Cards Lucky Draws Bundling Offer Extra Quantity Respondents

11 82 35 2 19 65 79

Q18. Which Trade Promotions do various companies offer?


NIRMA
Promotions Extra Margin Extra Units credit facility Gifts promo. Exp. Respondents

46 34

55 24 8

H0: Effect of trade promotions for all four brands is similar. H1: Effect of trade promotions for all four brands is not similar.

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Q19. Give suggestions about futuristic promotional scheme

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BIBLIOGRAPHY

BOOKS

Philip Kotler, Marketing Management, 11th edition, Pearson education Asia Publication. C.R.Kothari, Research Methodology methods & techniques, New Age International(p)ltd.publishers,2ndedition.
WEBSITES

http://www.nirma.co.in_files http://www.hul.co.in_files http://www.pg-india_files http://www.godrej_files

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