TABLE OF CONTENTS

CHAPTER NO. List of Tables List of Charts Introduction 1.1 About the study I 1.2 Industry profile 1.3 About the company Main Theme Of The Project 2.1 Objectives of the study 2.2 Scope of the study II 2.3 Review of Literature 2.4 Research methodology 2.5 Limitations of the study III Data Analysis And Interpretation Findings, Suggestions And Conclusion 4.1 Findings 4.2 Suggestions IV 4.3 Conclusion Bibliography Appendix
59 61 62

TITLE

PAGE NO.

13 14 15 18 20

LIST OF TABLES TABLE NO.

3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8 3.9 3.10 3.11 3.12 3.13 3.14 3.15 3.16 3.17 3.18 3.19 3.20 3.21 3.22 3.23

NAME OF THE TABLE

PAGE NO.
21 23 25 27 29 31 33 35 37 39 41 43 45 47 49 51 53 55 57 59 61 62 63

Opinion about Gender Opinion about Age Consumer awareness about the product Consumers frequency level of buying Consumer preference towards aavin products Consumers preference towards Quantity Reason for Purchase of products Consumers opinion about Price Level Consumers opinion about Quality Level Consumer Awareness regarding ISI and Agmark standards Consumer Awareness regarding Advertisement Consumers opinion about availability of aavin stall near by area Consumer awareness regarding availability of all aavin products in the stall Consumers purchasing level during the train travel Consumer preferences of aavin stall in railway station Consumer opinion towards the budget level Satisfaction of consumers towards service Opinion of consumers towards package Satisfaction level of consumers towards Freshness Overall satisfaction of consumers compared to other products Gender and Opinion towards the budget level Age and Customer service Influence to know the product and purchase level during train travel

LIST OF CHARTS

TABLE NO.
3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8 3.9 3.10 3.11 3.12

NAME OF THE TABLE

Opinion about Gender Opinion about Age Consumer awareness about the product Consumers frequency level of buying Consumer preference towards aavin products Consumers preference towards Quantity Reason for Purchase of products Consumers opinion about Price Level Consumers opinion about Quality Level

PAGE NO.
22 24 26 28 30 32 34 36 38 40 42 44

Consumer Awareness regarding ISI and Agm Consumer Awareness regarding Advertisement Consumers opinion about availability of aavin stall near by area Consumer awareness regarding availability of all aavin products in the stall Consumers purchasing level during the train travel Consumer preferences of aavin stall in railway station Consumer opinion towards the budget level Satisfaction of consumers towards service Opinion of consumers towards package Satisfaction level of consumers towards Freshness Overall satisfaction of consumers compared to other products

3.13

46

3.14 3.15 3.16 3.17 3.18 3.19 3.20

48 50 52 54 56 58 60

ABSTRACT

This project is about A STUDY ON CONSUMER BEHAVIOUR AND SALES PROMOTION OF AAVIN MILK & MILK PRODUCTS. The main objective of the study is to find out the Sales promotion & consumer behaviour of Aavin milk and milk products. The research mainly focuses on the factors like quality, consumer preference, price, service, attitudes and experience of consumers.

In this study, data are collected from the consumers through questionnaire(interview schedule).,100 samples are selected using convenience sampling. Using the interview schedule prepared, the 100 consumers are interviewed personally and their opinion was collected.

Secondary data was collected from the management. The collected data is analyzed using analytical tools like simple percentage and chi-square test. As per the findings, suggestions are given to the company to take initiation to fulfill the consumer needs.

CHAPTER 1 1.1 Introduction about the study

Sales promotion is an important component of a small business's overall marketing strategy, along with advertising, public relations, and personal selling. The American Marketing Association (AMA) defines sales promotion as "media and nonmedia marketing pressure applied for a predetermined, limited period of time in order to stimulate trial, increase consumer demand, or improve product quality. A direct inducement that offers extra value or incentive for the product to the Sales force, distributors, or the ultimate consumer with the primary objective of creating "immediate" sales . Sales promotion is any initiative undertaken by an organisation to promote an increase in sales, usage or trial of a product or service (i.e. initiatives that are not covered by the other elements of the marketing communications or promotions mix). Sales promotions are varied. Businesses can target sales promotions at three different audiences: consumers, resellers, and the company's own sales force. Sales promotion acts as a competitive weapon by providing an extra incentive for the target audience to purchase or support one brand over another. It is particularly effective in spurring product trial and unplanned purchases. Most marketers believe that a given product or service has an established perceived price or value, and they use sales promotion to change this price-value relationship by increasing the value and/or lowering the price. Compared to the other components of the marketing mix (advertising, publicity, and personal selling), sales promotion usually operates on a shorter time line, uses a more rational appeal, returns a tangible or real value, fosters an immediate sale, and contributes highly to profitability.

Popular sales promotions activities: (a) Buy-One-Get-One-Free (BOGOF) - which is an example of a self-liquidating promotion. For example if a loaf of bread is priced at $1, and cost 10 cents to manufacture, if you sell two for $1, you are still in profit - especially if there is a corresponding increase in sales. This is known as a PREMIUM sales promotion tactic. (b) Customer Relationship Management (CRM) incentives such as bonus points or money off coupons. There are many examples of CRM, from banks to supermarkets. (c) New media - Websites and mobile phones that support a sales promotion. For example, in the United Kingdom, Nestle printed individual codes on KIT-KAT packaging, whereby a consumer would enter the code into a dynamic website to see if they had won a prize. Consumers could also text codes via their mobile phones to the same effect. (d) Merchandising additions such as dump bins, point-of-sale materials and product demonstrations. (e) Free gifts e.g. Subway gave away a card with six spaces for stickers with each sandwich purchase. Once the card was full the consumer was given a free sandwich. (f) Discounted prices e.g. Budget airline such as EasyJet and Ryanair, e-mail their customers with the latest low-price deals once new flights are released, or additional destinations are announced. (g) Joint promotions between brands owned by a company, or with another company's brands. For example fast food restaurants often run sales promotions where toys, relating to a specific movie release, are given away with promoted meals. (h) Free samples (aka. sampling) e.g. tasting of food and drink at sampling points in supermarkets. For example Red Bull (a caffeinated fizzy drink) was given away to potential consumers at supermarkets, in high streets and at petrol stations (by a promotions team). (i) Vouchers and coupons, often seen in newspapers and magazines, on packs. (j) Competitions and prize draws, in newspapers, magazines, on the TV and radio, on The Internet, and on packs.

(k) Cause-related and fair-trade products that raise money for charities, and the less well off farmers and producers, are becoming more popular. (l) Finance deals - for example, 0% finance over 3 years on selected vehicles. Many of the examples above are focused upon consumers. Don't forget that promotions can be aimed at wholesalers and distributors as well. These are known as Trade Sales Promotions. Examples here might include joint promotions between a manufacturer and a distributor, sales promotion leaflets and other materials (such as T-shirts), and incentives for distributor sales people and their retail clients. Sales promotion describes promotional methods using special short-term techniques to persuade members of a target market to respond or undertake certain activity. As a reward, marketers offer something of value to those responding generally in the form of lower cost of ownership for a purchased product (e.g., lower purchase price, money back) or the inclusion of additional value-added material (e.g., something more for the same price).

Objectives of Sales Promotion

Sales promotion is a tool used to achieve most of the five major promotional objectives : Building Product Awareness Several sales promotion techniques are highly effective in exposing customers to products for the first time and can serve as key promotional components in the early stages of new product introduction. Additionally, as part of the effort to build product awareness, several sales promotion techniques possess the added advantage of capturing customer information at the time of exposure to the promotion. In this way sales promotion can act as an effective customer information gathering tool (i.e., sales lead generation), which can then be used as part of follow-up marketing efforts. Creating Interest Marketers find that sales promotions are very effective in creating interest in a product. In fact, creating interest is often considered the most important use of sales promotion. In the retail industry an appealing sales promotions can significantly increase customer traffic to retail outlets. Internet marketers can use similar approaches to bolster the number of website visitors. Another important way to create interest is to move customers to experience a product.

Providing Information Generally sales promotion techniques are designed to move customers to some action and are rarely simply informational in nature. However, some sales promotions do offer customers access to product information. For instance, a promotion may allow customers to try a fee-based online service for free for several days. This free access may include receiving product information via email. Stimulating Demand Next to building initial product awareness, the most important use of sales promotion is to build demand by convincing customers to make a purchase. Special promotions, especially those that lower the cost of ownership to the customer (e.g., price reduction), can be employed to stimulate sales. Reinforcing the Brand Once customers have made a purchase sales promotion can be used to both encourage additional purchasing and also as a reward for purchase loyalty (see loyalty programs below). Many companies, including airlines and retail stores, reward good or preferred customers with special promotions, such as email special deals and surprise price reductions at the cash register.

CONSUMER BEHAVIOUR: Consumer behavior is "The study of individuals, groups, or organizations and the processes they use to select, secure, use, and dispose of products, services, experiences, or ideas to satisfy needs and the impacts that these processes have on the consumer and society." The study of consumers helps firms and organizations improve their marketing strategies by understanding issues such as how The psychology of how consumers think, feel, reason, and select between different alternatives (e.g., brands, products); The psychology of how the consumer is influenced by his or her environment (e.g., culture, family, signs, media); The behavior of consumers while shopping or making other marketing decisions; Limitations in consumer knowledge or information processing abilities influence decisions and marketing outcome; How consumer motivation and decision strategies differ between products that differ in their level of importance or interest that they entail for the consumer; and

How marketers can adapt and improve their marketing campaigns and marketing strategies to more effectively reach the consumer. There are four main applications of consumer behavior: The most obvious is for marketing strategyi.e., for making better marketing campaigns. For example, by understanding that consumers are more receptive to food advertising when they are hungry, we learn to schedule snack advertisements late in the afternoon. By understanding that new products are usually initially adopted by a few consumers and only spread later, and then only gradually, to the rest of the population, we learn that (1) companies that introduce new products must be well financed so that they can stay afloat until their products become a commercial success and (2) it is important to please initial customers, since they will in turn influence many subsequent customers brand choices. A second application is public policy. Social marketing involves getting ideas across to consumers rather than selling something. As a final benefit, studying consumer behavior should make us better consumers.

Benefit of Studying Consumer Behavior

The benefits of studying consumer behavior have significant bearing on marketing and public relations decisions. Studies focusing on consumer behaviors yield important information and insight into what consumers are thinking. With these insights, marketing and public relations firms may enhance their particular marketing campaigns to successfully connect with consumers. 1. Perceptions Studying consumer behavior helps marketers understand consumer perceptions about a particular product or range of products. Uncovering and correcting erroneous perceptions about a particular product may give marketers an additional competitive advantage over competitors.

2. Attitudes Consumer attitudes very often determine consumer beliefs about certain products. Discovering consumer attitudes allows marketers to fine tune their campaigns to resonate with a particular consumer niche and deepen marketing reach.

3. Cultures
Changing population demographics around the world affect the way marketing campaigns are designed. Understanding cultural nuances and subtleties may allow marketers to help further define their particular target market.

4. Lifestyles
Consumer lifestyles also determine what products appeal to certain consumer markets. Understanding consumer lifestyles is also a key component of consumer behavior that lets marketers make the appropriate appeals in promoting lifestyle products and further consumption of lifestyle products.

5. Experience
Like consumer attitudes, experience also colors consumer responses to certain products. By studying consumer behavior, marketing professionals can tap into consumer experiences with similar products to promote consumption and gain competitive advantage over competitors.

1.2 Industry Profile

The Salem District Co-op. Milk Producers Union Ltd., Sithanur, Dhalavaipatty, Salem-636 302.

If a companys current assets do not exceed its current liabilities, then it may run into trouble paying back creditors in the short term. The worst-case scenario is bankruptcy. A declining working capital ratio over a longer time period could also be a red flag that warrants further analysis. For example, it could be that the companys sales volumes are decreasing and, as a result, its accounts receivables number continues to get smaller and smaller. Working capital also gives an idea of the companys underlying operational efficiency. Money that is tied up in inventory or money that customers still owe to the company cannot be used to pay off any of the companys obligations. So, if a company is not operating in the most efficient manner (slow collection), it will show up as an increase in the working capital. This can be seen by comparing the working capital from one period to another slow collection may signal an underlying problem in the companys operations.

Working capital management is concerned with the decisions which are related with the current assets and the current liabilities. It means, it concerned with day-to-day management activities. The key factor, which is used to different long term financial management and short-term financial management, is the timing of cash. Long term financial decisions like buying capital equipment or issuing debentures, involve cash which flows over an extended period of time. But a short time financial decision mainly involves the cash within a year, or within the operating cycle of the form.

Indian Dairy has been involved in the dairy business since many years. We take pride in introducing as one of Indias leading manufactures, exporters and suppliers of dairy products, we at Indian Dairy have shown a new way of living a healthy way of living. We have wide range of product catering to people of all age. We are continuously stiving for synergy between technology, system, and human recourse to provide product and service that meet the quality, performance and pride aspiration of customers. Indian Dairy, one of the leading manufacture & exporter of skimmed milk powder, desi ghee, condensed milk, casein, full cream milk powder and all kind of dairy products, has emerged as the indubitable winner of dairy industry. Dairy industry is the most ancient of India in which dates back to the mythological era of Lord Krishna and king Virata. Undoubtedly, it can be said that there exists no other substances that can substitute milk so far, as the wholesome nutritious food is concerned. It had its profound influence over the economy of rural population both in the past and in the present times too.

As stated, even in the present day trend in the economy, proves the importance of the DAIRY Industry as powerful tool of social and economic changes. As defined in the democracy, welfare of the people means welfare of the government. In the process of evaluation under the conditions of democracy slowly the co-operative movement took the shapes and leaps in the Dairy Development in the country. Co-operative movement has its initial rules in the field of dairying in , Gujarat State moved potentially to the other regions for the benefits of the rural people.

Milk is the only natural product, which is a complete source of food; its nutritional potential is unsurpassed by any other food used by man. The proteins in milk are ideal in quality and balance top satisfy human amino acid requirements. The contents of mineral and vitamins is unique, not only in proportion but also in quality with the exception of vitamin c and iron, milk provides all the nutrients essential for mans growth and development.Milk is not only a complete food, but also quality of its nutrients both enhances and extends many nutrients present in proper quality for example the amino-acid pattern and content of milk proteins are such at they can supplement and good for the deficiency of most Cereal proteins. The supplementing cereals with milk, improve the quality and quantity of the protein supply. According to Prof.N.J.Rope man of Haivard medical school. Milk is the only single article of food that fairly represents the complete diet. It animal protein. It is on this account milk become an essential integral part of Indian food to bothvegetarians and as well as to non-vegetarians either directly as milk or indirectly through its various products. Thus in effect one should remember that it is the protein and other Casenual micronutrients such as vitamins and minerals, which are the ingredients of the chiefly Solids-NotFat (SNF) part of the milk that is important in milk rather that fat, to weigh the nutritional value of milk. Milk Constituents

Milk constituents are mainly divided into three groups namely a) Water b) Fat c) Solid-Not-Fat (SNF). The constituents other than water are called Total Solids (T.S). Total solids minus the butterfat are termed Solid-Not-Fat. All the constituents except the fat are known as milk serum.

Butterfat: The fat-exist in milk as an emulsion. Butter fat globules are in the form of small spherical myriads of 0.1 to 20 microns. The size and arrangement of the globules affect the creaming ability of milk, the viscosity of cream, and the whipping ability of cream and the churning of cream to butter. Butterfat is a very rich source of energy and also good source of vitamins A and D. Butterfat is one of the principle constituents of almost all dairy products .Proteins: The three principle classes of proteins in milk are casein, lactalbumin and lacto globulin. The casein accounts for 80% of the total protein content, that lactalbumin and lacto globulin about 20% Casein: Casein is a protein, which is found in no other product than It exists in milk with calcium casein ate. It is present in milk in a v colloidal dispersion. Because, Casein a protein, it supplies the body the muscle g material, casein when converted into sodium, casein ate, is used Lrce of protein in many of the milk products.

Lactose: Lactose a carbohydrate found only in milk is synthesized in mammary glands. Lactose serves the body as a source of energy, but it is not a rich as a butterfat in this respect. Lactose is easily changed by bacterial action to lactic acid, a change that causes to taste sour. Mineral Constituents: The mineral constituents are salts score to 0.8% of the total weight of the milk. The potassium and chlorides of milk are in solution, where as the calcium. Phosphorus and chlorides Milk minerals are very essential as foods are the young, as they help to build up bones and promote the proper development of it is an important essential for children.

SPECIAL ACHIEVEMENTS

1. The Nucleus Jersey and Stud Farm has been granted the ISO 9002:1994 Quality System Certification by the Bureau of Indian Standards vide License No. QSC/L-008958 with effect from 25-02-2002 . Now, the Quality System Certification of ISO 9002:1994 has been upgraded to ISO: 9001:2000. 2. This is the second Farm in India to obtain ISO Certification. 3. Among the 13 Farms maintained by the Co-operatives in India , this Farm is the first one to get ISO 9002:1994 Certification. 4. Even in Tamil Nadu this is the only Farm with ISO 9002:1994 Certification. 5. Out of about 65 semen stations evaluated all over India , The Nucleus Jersey Farm was awarded A GRADE by the Government of India based on the evaluation carried out by the Central Monitoring Unit constituted by the Department of Animal Husbandry and Dairying, Government of India. Only 7 Semen Stations have obtained A Grade in the country. 6. The data available in this Farm on semen production, Animal maintenance, Fodder production, trials on new fodder varieties etc are utilized by Research Scholars and Post-graduate students of Tamilnadu Veterinary and Animal Sciences University and Tamilnadu Agricultural University. 7. For the Milk Producers of Dairy Co-operative Societies of various Districts and for the under graduate students of Veterinary Colleges this Farm is highly educative. 8. Many Farmer/Producers visit this farm and seek guidance to start small dairy farms of their own at their places.

1.3 Company Profile

The prestigious Salem Dairy Complex is situated in about 46 acre of land founded by Sithanur and Dhalavaipatty villages. It is located just 6km away from Salem Railway Junction and on the way to Govt Medical College and Salem Steel Plant.

The Salem District Co-op Milk Producers Union Ltd has been registered on 10.07.1978 and it started functioning from 07.10.1978. In the beginning SDCMPU procured 33100 LPD of milk primary societies. Union gradually expanded its activities and as now reached a daily average procurement of 4, 36,712 LPD. Then gradually expanded its activities and now reached a daily average procurement of more than 4 lakh liters per day from 1049 functional DCS. Computer system with Internet facilities are used for the functioning in the union. Society Milk Billing, Pay Bills, Transport Bills and Financial accounting of the union are done through the computers.

The quality of milk available after local sales and dispatch to Chennai is converted into products viz., Butter, Ghee, Skimmed Milk Powder. Ghee and Skim Milk powder are being sold in the markets all over India through the Tamil Nadu Co-op, Milk Federation Ltd., Chennai with AGMARK and ISI Grades respectively. The commercial production of products viz., Butter, Ghee, Skim Milk Powder started from 16.08.1983. Our products bear the famous brand name AAVIN

The National dairy development board, Anand through the government of Tamil Nadu and the Tamil Nadu co-operative milk producers federation, has funded the entire project. The project had been funded under the nation wide operation flood programmed with an aim to bring about a socioeconomic awakening in rural India. The district union has 728 primary milk co-operative at its base and the Tamil Nadu co-operative milk producers federation as its apex body.

S.NO

PARTICULARS

DETAILS

1. 2. 3. 4. 5.

Arrival of Tamil Nadu Dairy Development Corporation team Starting the first set of societies Registration of Salem District Co-op Milk Producers Union Ltd Starting of Salem District Co-operative Milk Area of Operation

2.10.1974 10.11.1974 10.7.1978 7.10.1978 Salem, Erode,

Namakkal etc

DETAILS OF PROCESSING FACILITIES: 1. 2. a. b. c. d. Total extent of land Total constructed area of plant: Dairy including Powder plant, Service block, Powder & Butter storage Godown Garage Administrative Blocks 1. Ground floor 2. First floor 3. Others 3. a. b. c. d. Capacity of Plant Milk Processing Milk Powder Butter Ghee 30000 LPD 10,000 Kgs/day 9000 Kgs/day 6000 Kgs/day 492 Sq.mts 198 Sq.mts 84 Sq.mts 2966 Sq.mts 825 Sq.mts 580 Sq.mts 46 Acres

CHILLING CENTERS DETAILS

S.NO PARTICULARS 1 2 3 4 Year of Commencement Installed capacity(in liters) Area of Land No of milk routes

NAMAKKAL 1970 50000 8 Acres 8

P.VELLUR 1978 50000 1.5 Acres 9

ATTUR 1984 130000 7.39 Acres 17

THIS UNION IS SPECIALLY FEATURED WITH Training Centre Progeny Testing Scheme Clean Milk Production at Farmer level Packaging Station Milk Powder Plant ISO 9001:2000 Certification

1.6 Functional Analysis Marketing:

0.1 MARKETING DEPARTMENT:

The Marketing network is managed with 9 Milk Marketing offices, 491 agents for milk and 11 for products and through the Federation throughout the country and abroad. ISO Organization Aavin Salem is an ISO 9001:2000 certified Organization since 24.10.2002 MARKETING Fluid milk is sold through two different distribution channels Milk consumer co-operative institution Private agents The sales takes place outside the state like Ahmadabad, Delhi, Bombay, Pondicherry and Indore. Head office is located at Chennai. Sales are done only on assignment basis. The consumer societies and co-operative stores get 30 paise per litre agents get 15 paise per litre margin. The main activities of marketing section are to float milk and milk products to the consumer at various distribution points within the Salem district. MARKETING The Salem co-operative milk producers union ltd has been a dominant player for the last three details in an in contested manner. On the basis of are the unions market divided into three types, which are as follows. Local market National market World market

Objective of Marketing Division To develop a market economic outlet for the products produced. To monitor customers preference. To ensure that the resulted milks are available for consumers in time. To develop new products to suit the changing requirements.

Types of Milk Being Sold Two types of milk being sold namely Standardised milk Full cream milk

4.1 Selling Details of Milk Particular Quality Standardised milk Fat:4.5% Full cream milk Fat:6.0%

SNF:8.5% Selling price Transport charges Society (Salem only) Rs 14.50/litre Rs 0.25/litre

SNF:9.0% Rs 16/litre Rs 0.25/litre

National Market: In national market, the products are marked by and only through Tamilnadu co-operative milk producers federation (TCMPF).Through federation, the Salem milk union receives order and delivers the products. World Market: Recently the salem union has received export license to export their products to other countries/since recently they got this license , up to date they got order from gulf countries to supply Ghee, Milk powder Collection and Despatch Times Collection morning Evening Dispatch morning Evening : 8.30am-11.00am (Avg: 48,000litres) : 7.30pm-10.00pm (Avg: 30,000litres) : 9.00am-12.00pm : 9.30am-2.30am

Marketed Products and Their Packing Milk Butter Ghee Skim milk powder Kova : 500ml 250sachets : 500gram, 20kg : 0.5kg, 1kg, 15kg : 0.5kg, 1kg and 15kg : 25,100,250,500grams

STORES DEPARTMENT

Stores are meant to collect and safe raw material ancillary materials and machinery spare parts including electrical portion. There are three sections in stores namely spares, daily consumable (oil, grease packing materials) and society materials. The main function of the stores management is to maintain the stock level. The total turnover of stores is in Erode and is insured. Packing materials are purchased once in every 3 months. The cost of packing turnover is 25 lakhs. In the storage department, but butter is stored at temperature 30 degree. The milk powder is also stored and when there is demand they as converted into milk for sale. Two godown facilities to store the milk powder, like 1000 tons and 800 tons capacity. Raw material storage Number of Chiller Capacity Temperature Raw Milk Silos Capacity Number of Pasteurizers Capacity Number of Cream Pasteurizers Capacity Number of Cream Separators 5,000 litres/hr- 4 in no 10,000 litres /hr 2 in no Number of Silos Pasteurized with whole milk Pasteurized skim milk Pasteurized cream : 5(30,000 lts each) : 4(60000 lts each) : 4(1- 10,000 lts & 3-5,000 lts) : 2,500 litres/ hr :3 : 30,000 litres/ hr each : 35 -4 C :3 : 15,000 litres each at 4- 5C :3 : 10,000 litres / hr each

Quality Control

The wing comprises two sections: as Chemical and Bacteriological. The role of the lab is to assist in stage-wise testing and reporting the quality status of milk processed and standardized so that milk of the correct standards are prepared and marketed. Similarly Cream, Butter, Butter-Milk, Ghee and Skim Milk Powder are tested at regular intervals both during production and storage to check that there is no quality deterioration. Water, cleaning chemicals packing materials, etc., are also tested regularly to ensure their conformity to pre-set standards. The bacteriologists check incoming and processed in milk and also milk products in addition to water & environmental air to ensure that they are free from harmful microorganisms. They also check the sterility of plant and equipment to ensure their hygienic status. The Dairy has an effluent treatment plant. The effluent is tested periodically to ensure that it satisfies the standards prescribed by the Tamil Nadu Pollution Control Board. Production: Ice creams: Aavin ice cream is very well accepted by all segment people due to its high quality. The calorific value of Aavin ice cream is 116 Kcal per 100 ml and it contains 5g Fat, 3.1g Protein, 5.4 gm Carbohydrate, 0.6 g minerals and 8 g added sugar. Due to high content of sugar, diabetic and calorie conscious people are deprived of taking ice cream and hence it is highly essential to develop alternate product to cater the need of all the people. Hence Aavin has proposed to introduce Sugar- free ice cream. It contains unique Sucralose at 320 ppm level which is an artificial sweeter, derived from cane sugar. It does not affect the blood sugar

Products

This dairy manufacture

Butter, Ghee, Skim Milk Powder, Khova, Gulab Jamun, Mysorepa,

Milk Peda, Butter Milk, Curd, Soan pupdind Ice cream.

Milk power:

MILK POWDER PLANT Salem diary has a well equipped powder plant for the production of SMP. The designed capacity of the plant is 10T /day. But the actual production capacity of the plant is 8T/day. This is due to less TS (8.4-8.6%).According to the designed capacity if the SM has 9.4%TS, then the output will be 10T/day .powder plant consists of 2 sections an evaporating unit for concentrating SM to TS level around 40-45% and a spray drying unit for converting the concentrated milk into powder. out of 4.5 lakh litres of milk procured, about 60,000 L of pasteurised milk is used for the manufacture of SPM. Powder plant has got 2 skim milk silos each having storage capacity of 60,000L. The evaporation unit is equipped with the falling film triple effect evaporator to minimise the steam consumption. The SM from the silo is fed to the evaporation plant at a rate of 4800kg/hr9due to less total solid content in skim milk ), but the designed capacity is 5100 kg/hr. After receiving the lab report, SM is pumped into the feed balance tank .from the FBT, the SM is pumped to the condenser through coiled tubes where the SM is at 6C , is preheated to

around 40-45C by the vapour collected from the evaporator . Then the SM at 45C is passed through the calendria III,II,I respectively where in all these calendria, the incoming SM is heated by the outgoing heated water then the milk enters the pasteuriser and held at pasteurization temperature (90C), for 15 sec . After pasteurisation ,milk enters the calendria I were the vacuum is maintained at the level of 580mmHg, hence boiling of milk occurs at 68C.the vapour and the milk water the vapour separator from there the milk is pumped to calendria III, boiling occurs at 48C at a vacuum level around 680mm of Hg is maintained .then that milk is pumped into calendria II where final boiling occurs at 56cC and vacuum level is 620mm Hg then the concentrated milk is pumped to the feed balance tank of the spray dryer .on the way to the fed tank the concentration of milk is analysed by using Baume refract meter. The condensed milk should have Baume reading 19-22, which is the correct concentration for spray drying process. In the case of lower Baume reading, the milk is again sent to the evaporator through the balance tank .the vapour condensate from the condenser, is mixed with water and is pumped to the spray pond for cooling. The cooled water is recirculated to the condenser. From the feed tank the concentrated milk is pumped to the spray dryer by means of rotor pump which rotates at 280 rpm the concentrated milk pumped is allowed to enter in top the centrifugal disc atomiser wheel rotating at high speed (11000rpm) on a shaft by an electric motor. The feed tubes take the milk down to the milk distributor from where the liquid runs down into the wheel. Due to rotation of the wheel, milk is flown out at high speed through radial channels in the wheel and as a result the milk is atomised into a very fine spray .the normal size of the particles ranges from 200-250 microns. The hot air at a temperature of around 190C is obtained by the heat transfer from the steam which is passed through the coiled tubes at a pressure of 14 kg/sq cm. The air is filtered by passing through the fabric filters before it is send to heating section. The milk droplets are subjected to a stream of hot air flowing co-currently in relation to the falling droplets. Thereby the droplets of milk are dried and the dry matter fall as powder particles towards the bottom of the chamber, from which it is carried to the whirl trap, during the travel from the bottom of the drying chamber to the whirl trap, the temperature of the powder is reduced to 40 C.The fine particles are carried along with the exhaust air is separated from them by means of cyclone separator. The separated particles from the cyclone separator also reach the whirl trap .From the whirl trap the powder is sent to the packing section. Powder Filling Section

The powder from the spray drier is filled into 25kg bags .Then they are stitched in a stichwell machine. Stitching is done by pressing the pedal manually at the bottom of the machine .capacity of the filling section is 25bags they are stored in godown having capacity of 400T at the room temperature. Skim milk powder is usually packed in bulk either in bags or in barrels. But whole milk powder and baby milk powder are packed in containers preferably with nitrogen replacing the head space so that the oxygen is only 2 percent by volume. If powder is to be stored in bulk or storage bins, the storage environment should be at 30C or lower and about 20 percent relative humidity. The tests conducted during the manufacture of powder are concerning the colour, texture, organoleptic properties, moisture, solubility index, bulk density and burnt particles. These tests are conducted every 30-45 minutes. Fat per cent is tested every two hours and microbiological tests are conducted from samples taken at the beginning, the middle and the end of the production period. Tests for iron and vitamins are generally conducted by taking composite sample of an entire batch of powder. Powder Machine Cleaning Procedure The CIP cleaning employed in the powder plant is as follows: Raw water Lye (1.5 Na2 CO3) Hot Water Acid (HNO3, 1%) Lye Hot Water Total : 15 mts : 30 mts : 10mts : 15mts : 5 mts : 15 mts : 90 mts For the evaporator plant, either after 18-20 hrs of plant operation or 45000 to 90000 litre of skim milk is taken for evaporation, the plant is cleaned by CIP. For spray drying plant, clean the entire feed system at the end of each run with caustic solution (1.5%). Concentrate tank in also cleaned manually after the end of each run, atomiser wheel is cleaned manually. The powder deposits on the walls can be collected by hammering this procedure is followed after every run (20 hrs). Manual cleaning of the drying chamber is carried out weekly once. The chamber door is opened and the suction fan is put on .Then the entire sticking particles are swept off using a brush

PERFORMANCE DATA:

Ambient temperature Concentrated feed at 45C Water evaporation Solid concentration in the feed Feed temperature Inlet hot air temperature Outlet hot air temperature Powder moisture Supply air quantity Conveying air quantity Pressure drop under main cyclone Pressure drop under product cyclone Chamber vacuum Steam consumption at 14kg/cm2 Energy consumption Powder production Powder temperature at packing Powder storage silos

: 30C : 1060kg/hr : 560kg/hr : 40-45% : 53-55C : 185-190C : 88-90C : 3.4% : 17,000kg/hr : 4000kg/hr : 130-150mm WC : 150-175mm WC : 10mm WC : 1260kg/hr : 112KWH : 500kg/hr : 40C : 4*1000kg

BUTTER:

Butter serves as a balance wheel of Salem diary. The surplus milk is converted into butter and a portion of it to ghee. Pasteurised cream at 8-10C from cream storage tanks are taken for

butter preparation, with the help of butter churn or Continuous Butter Making Machine (CBM). The butter obtained is either used for conversion into ghee or for sales in 500gm packs or 20kg bulk packs. Operation of Butter Churn The capacity of churn is around 1500L.After proper cleaning with chlorine water the cream is pumped to 1/3rd of the churn and closed. The chilled water spray and motor is started. The churning occurs at 28rpm, breaking at 8rpm, final stage at 15rpm.The whole operation of batch takes around 2-3 hours of completion. Table butter is prepared in butter churn only. Salt is added at the final working by sprinkling. If any colour is needed it is added to the cream. Operation of Continuous Butter Making Machine (CBM) The CBM comprises of 3 units that that are arranged on the top of each other are beater, the draining unit and the kneader. The cream is fed to the CBM through a screw pump (for continuous air free flow).The cream enters the beater, where cream gets separated into fine butter granules and butter milk. The beater rotates at 1500rpm.Butter milk is drained off and the granules are washed and worked in the separator with chilled water supply. The butter then passes through the kneader (a twin screw conveyor) for the air free flow of butter. The fat% of butter obtained from CBM is around 82-84% milk fat. The quantity of butter depends on the inlet temp and fat content of cream. For sweet cream, optimum cream content is between 45-50%.For sour cream between 38-42%.The butter milk is drained. The butter from the butter churn and the CBM is checked for fat, SNF and acidity. If acidity of butter milk is normal it is mixed with the raw milk. The CBM is cleaned manually. This is done once in 24 hrs, causing no accumulation of butter. The cleaning is done after dismantling and washing with hot water, detergent solution, raw water, hot water and chlorine solution Butter Packaging Machine The packaging machine is of complicated mechanism working on a motor and a vacuum pump. The butter to be packed is fed manually into the hopper, which has twin screw conveyors into a mould on a rotating head, which helps in the continuous supply of butter. The vacuum pump helps in parchment paper movement.500blocks are wrapped in parchment paper. This is packed manually in cartons. Major portion of butter manufactured by CBM is used for bulk packaging ie., 20kg cooking butter in CFB cartons. This is used for melting purpose and also despatched to other diaries like Mother Diary, Calcutta.

Training centre

Salem union Training Centre is imparting various training programmers to the DCS staff and milk producers of Salem, Erode, Coimbatore and Ooty Unions.Artificial Insemination & First Aid Trg Secretary / Milk tester Trg Feeds and Fodder Trg Bulk Milk Cooler Trg and all Refresher courses to the DCS staff. For Milk Producers, Dairy Animal Management and orientation programmers are being conducted. Apart from these, we also cater to the needs of other agencies training on various activities related to Animal husbandry and Dairying on prior intimation. The Training Centre is featured with eminent faculties, modern class rooms, teaching aids, boarding and lodging facilities. For information, Officer In charge, Training centre may be contacted. . SPECIAL FEATURES OF THE COMPANY: Weekly four rail milk tankers of about 16000 liters of milk is supplied to Delhi(mother dairy), from the Salem Dairy i. Average 13000 liters of pure milk is supplied to Chennai metro for sales from Salem Dairy. ii. Milk product like Butter, Ghee, Skimmed Milk Powder, Pedal, Khova, Flavored Milk, Butter Milk, Badam Milk Powder, Ice Cream are produced in Salem Dairy and it is selling according to the customers requirements. iii. The company has ISO 9001:2000 certified and ISI certified for the skimmed milk powder production and the Salem Dairy Ghee is sold with AGMARK certified. iv. National wide database laboratory established at Salem Dairy out of 15 milk producers union selected by National Dairy development Board in India. v. Union is selling Ghee to THIRUPPATHI THIRUMALAI DEVASTHANAM in tankers for Laddu preparation. vi. The union spends 154.42 lakhs, 167.2 lakhs, 169 lakhs, 187.74 lakhs and 219.28 lakhs were spend for marketing for last five years, which includes transport and agents commission. vii. The union spends around 3 lakhs for Advertisement.

1.6 Organization Chart / Structure

FINANCE DEPARTMENT (CHART):

DG (MIN)

M (A/C) M COSTING

DM (O)

EXE (O)

JR. EXE (O)

TYPER

HELPER

CHAPTER-2 2.1OBJECTIVES OF THE STUDY

Primary objective: The main objective of the study is to study the Sales promotion & consumer behaviour of Aavin milk and milk products in Erode town Secondary objective: To identify the sales promotion strategies adopted by the aavin milk company To study the quality and consumer preferences towards aavin milk& milk products. To identify the satisfaction level of customers towards the price & service provided by the company. To study the attitudes and experience of customers towards aavin products and to suggest the valuable measures based on the findings.

2.2 SCOPE OF THE STUDY

The scope of the study is to identify and analyse the consumer behavior towards the service, price & quality of aavin milk & milk products and also to analyse the sales promotional strategies adopted by the company.This study will help the organization to increase the sales of the Aavin milk and milk products and to strengthen the sales promotion strategies.

2.3 REVIEW OF LITERATURE

Ketelaar, et al., (2001), As the flow of online sales increases and more companies begin to move into the digital arena, advertisers and digital designers are forced to stay on the cutting edge in terms of website design and content presentation. In a search to find website design techniques that increase information flow and website stickiness, two possibilities were found, persuasive navigation and "open", or visually rhetorical, online advertising. These two techniques focus on presenting targeted information to consumers, in the form of website content advertisements, while they browse a given website. Bright (2004) , The concept of intra-site advertising was tested by him and was found to be effective in terms of increasing information flow on a controlled website. Open advertising has not yet been tested in the online environment, with current studies focusing on print media, however it presents promises potential as an online persuasion technique. This paper will further explore the application of open advertising in the online context as well as elements of interactivity and design. (Zakon, 2002) says that the Web has come to encompass some 38 million plus websites. It is a tossup as to whether any of these websites effectively communicate with their target audience in a manner that is both user-friendly and efficient in terms of brand impact and sales. As most consumer advocates have come to know, digital environments that frustrate users dramatically decrease brand loyalty and can cause consumers to completely abandon a brand community in both real and virtual worlds. In an effort to stem off this flow of frustration, two new digital design techniques provide an intriguing way to increase information flow within digital environments while providing imagery and content that makes users feel intelligent and engaged. These new design techniques are persuasive navigation and open online advertising, respectively. One technique deals seductive fashion. with the information architecture of the website, while the other addresses imagery; both in an equally

Kioumarsi et al.,(2009),says that Personality characteristics impact consumer behavior because they shape the way in which consumers respond to messages at a given time. This response changes minute to minute based upon the unique characteristics of the target consumer and their ongoing life experience. The online environment presents a vast opportunity for companies to interact with consumers on a personal, customized level. Individual differences are an important aspect of this interaction as they provide insight into how people with varying levels of experience with the online environment respond to interactive persuasion techniques. Friestad and Wright (1994), in their presentation of the PKM, posit that the effectiveness of advertising persuasion techniques depends upon the level of persuasion expertise each individual possesses. In an online environment, measurement of this effect can be achieved by looking at user experience levels, self efficacy, and number of hours spent online. General knowledge gleaned from the PKM dictates that consumers with more experience in the online environment will be better at coping with persuasion techniques therein, such as open, visually rhetorical advertisements. Ketelaar et al(2004) conducted the study that an individual's need for cognition refers to their motivation to engage in meaningful cognitive thought or undertaking. A consumer's need for cognition will impact their ability to deal with tasks and social settings, such as responding to advertising messages or calls to action. This applies directly to the concept of open, visually rhetorical advertising because such messages require a higher cognitive processing load to be understood and learned. Although need for cognition was not found to impact interpretations of open advertisements in the Ketelaar et al. study, it is still an interesting variable that can be effectively measured and manipulated for this type of research endeavor. Additionally, cognitive response, and the need therein serve an important part in the development of brand attitudes within a target consumer.

McGinnis and Jaworski (1989) ,The concept was elaborated upon by in their seminal piece regarding information processing in advertising: "Cognitive and emotional responses related to imagined product consumption experiences are the strongest determinants of brand attitude. As shown, need for cognition is linked to the development of brand attitude in consumers. When examined in terms of its relationship to time spent processing online, visually rhetorical advertising, need for cognition could prove to be an interesting differentiator within the sample group. In addition to need for cognition, an internal motivation toward the product being advertised should be apparent within driven consumers. This motivation helps push the consumer toward unraveling the visual riddle presented in an open advertisement. Type of motivation, either utilitarian ("goal-oriented") or hedonic ("expressive"), is a diverse and interesting factor to analyze across consumer groups. Phillips (2000) shown in research undertaken by, consumers with utilitarian, goaloriented motivations are keen on evaluating product attributes and therefore less likely to be attracted to open advertisements. Consumers with hedonic or "expressive" goals are more likely to seek out the entertainment value in the open advertisement. Huang (2003), in his online study of websites, found that level of attention in consumers is most linked to utilitarian design while both control and interest are linked to hedonic performance measures. Liu, et al (2002), based on their online research, concluded that higher levels of active control within consumers resulted in being geared towards more utilitarian, goal-based website designs. As shown in these studies, motivation is an individual difference worth characterizing. Type of consumer motivation is extremely important when analyzing online consumer behavior as it helps categorize amongst user groups, across sites.

2.4 RESEARCH METHODOLOGY

RESEARCH DESIGN The research design chosen is descriptive as the study reveals the state of facts existing. Descriptive research design: Descriptive research studies are those studies which are concerned with describing the characteristics of a particular individual, or a group. The study is concerned whether certain variables are associated with the study. And also the study is concerned with specific predictions, with narration of facts and characteristics concerning an individual, group or situation. METHODS OF DATA COLLECTION: While deciding about the method of data collection for the study the researcher should keep in mind the two types of data collection. Primary Data: Data has been collected from few respondents by communicating with them directly and discussing their views about the organization. Most of these included informal discussion with the employees. One of the other sources of collecting the primary data was by distributing the questionnaires and getting back the responses for them. Such questionnaires were distributes among the production employees and also the executive level employees. Secondary Data: Secondary data has been collected from the following sources: Books and journals at the organization and the college library. Through the internet.

SAMPLING: Sampling is that part of statistical practice concerned with the selection of individual observations intended to yield some knowledge about a population of concern, especially for the purposes of statistical inference. Convenience sampling: Convenience sampling is a type of nonprobability sampling which involves the sample being drawn from that part of the population which is close to hand. That is, a sample population selected because it is readily available and convenient. It may be through meeting the person or including a person in the sample when one meets them or chosen by finding them through technological means such as the internet or through phone. Sample Size The size of the sample selected for study is 200 units. DATA ANALYSIS Collected primary and secondary data are scheduled to suitable table for the purpose of analysis. Suitable statistical tools were applied in various places for analysis. TOOLS FOR DATA ANALYSIS The collected data have been analyzed with the help of tools like simple percentage method, chi square test. Data collected was analyzed using tools like; Percentage analysis Chi-Square test Anova Weighted average Regression Correlation

SIMPLE PERCENTAGE ANALYSIS Simple percentage analysis refers to a ratio. With the help of absolute figures it will be difficult to interpret any meaning from the collected data, but when percentages are found out then it becomes easy to find the relative difference between two or more attributes. No. of Respondents Percentage = Total Number of Respondents 100

CHI-SQUARE TEST The Chi-square test is for testing the independence of two variables and testing hypotheses concerning proportions. One of the tests of proportions is that of testing the differences among several population proportions, which is an extension of testing the difference between two population proportions. This Chi-square test is used for testing the difference between two population proportions, testing the difference among several population proportions. The Chisquare test can be used to test the differences among (c) population proportions by using a tabular design for the analysis of the frequencies Chi-Square test enables whether or not two attributes are associated. Chi-Square is calculated as follows. (O E)
2 2

= E

Where O = observed frequency of the cell in row and column E= expected frequency of the cell in rows and column

Degree of freedom ( DF ): DF = (r-1)* (c-1) Where R=Number of rows in the table. C=Number of columns in the table.

2.5 Limitations of the study

Some customers hesitate to fill the questionnaire. It is not assured that the responses from all the respondents are true as some of them may like to tell the incorrect information. The survey was conducted in a short period as a part of the curriculum. Certain individuals took more time than require for answering the questionnaire.

CHAPTER -3 ANALYSIS AND INTERPRETATION Table No.1 Table showing the Opinion about Gender Particulars Male Female TOTAL No. of Respondents 76 24 100 Percentage 76 24 100

100

Interpretation 80
60 40 20

From the above table it is clear that 76% of the respondents are male and the remaining W es t
N orth

E a s t

24 % of the respondents are female.

0 1s t Qtr 2ndQtr 3rdQtr 4thQtr

CHART NO.1

Chart showing the Opinion about Gender

8 0 7 0 6 0 5 0 4 0 3 0 2 0 1 0 0

7 6

2 4

MAL E

F E MAL E

Table No.2
Table showing the Opinion about Age Particulars (In years) 18-20 21 30 31 40 Above 41 TOTAL Sources : Primary Data Interpretation From the above table 42.5 % of the respondents are coming under the age group of 21 30 yrs and 32.5 % of the respondents are under the age group of 31 40 years and Above 41 are 15%. No. of Respondents 20 85 65 30 200 Percentage 10 42.5 32.5 15 100

Table No.3
Table showing the Consumer awareness

Awareness of aavin products Friends Relatives Neighbors Advertisement Total

No. of Respondents

Percentage

20 30 40 110 200

10 15 20 55 100

Interpretation: From the above table it is clear that, 10% of respondents know about the aavin milk through friends,15% of the respondents are through relatives, 20% of the respondents are through neighbors and 55% of respondents are through advertisement.

CHART NO.3
Chart showing the Consumer awareness

10% 15% 55% 20% Friends Relatives Neighbors Advertisement

Table No.4
Table showing the frequency level of buying

Frequency in buying Once in a day Twice in a day Once in a week Occasionally Total

No. of respondents 150 40 5 5 200

Percentage 75 20 2.5 2.5 100

Interpretation: From the table it is clear that, 75% of respondents prefer to buy Aavin milk once in a day,20% of respondents prefer to buy Aavin milk twice in a day,2.5% of respondents prefer to buy Aavin milk once in a week and 2.5% of respondents prefer to buy milk occasionally.

CHART NO.4
Chart showing the frequency level of buying

80 70 60 50 40 30 20 10 0

75%

20% 3% 2%

Once in a day Twice in a day Once in a week Occasionally

Table No.5
Table showing the consumer preference towards aavin products

Customer preference Milk Sweets Curd Butter Total

No. of respondents 120 25 30 25 200

Percentage 60 12.5 15 12.5 100

Interpretation: From the table it is clear that, 60% of respondents prefer to buy Aavin milk ,12.5% of respondents prefer to buy Aavin sweets ,15% of respondents prefer to buy Aavin curd and 12.5% of respondents prefer to aavin butter.

CHART NO.5
Chart showing the consumer preference towards aavin products

60% 60 50 40 30 20 10 0 Milk Sweets Curd Butter 13% 15% 12%

Table No.6
Table showing the customers preference towards Quantity
Quanti ty 2 Litre 1 Litre Litre Litre Tot al No. of respondents 20 16 0 10 10 20 0 Percentage 10 80 5 5 10 0

Interpretation: From the table it is clear that, 10% of respondents buy 2 litre of milk per day,80% of respondents prefer to buy1 liter ,5% of respondents buy Liter and 5% of respondents buy per day.

CHART NO.6
Chart showing the customers preference towards Quantity 80% 80 70 60 50 40 30 20 10 0 2 Litre 1 Litre Litre Litre 10% 5% 5%

Table No.7
Table showing the Reason of Purchase

Reason of purchase Quality Freshness Neat package Easy availability Total

No. of Respondents 120 25 15 40 200

Percentage 60 12.5 7.5 20 100

Interpretation: From the above table it is clear that, 60% of respondents prefer to buy aavin milk due to quality, 12.5% of respondents prefer to buy due to freshness, 15% of respondents buy due to neat package and 20% of respondents buy because of easy availability.

CHART NO.7
Chart showing the Reason of Purchase 70 60 50 40 30 20 10 0 Quality Freshness Neat package Easy availability 13% 7% 20%

60%

Table No.8
Table showing the Price Level

Price level Strongly Agree Agree Neither agree nor disagree Disagree Strongly Disagree Total

No. of Respondents 50 100 25 20 5 200

Percentage 25 50 12.5 10 2.5 100

Interpretation: From the above table it is clear that, 25% of respondents are strongly agree with the price level of aavin milk, 50% of the respondents are agreed, 12.5% of the respondents are neither agree nor disagree,10% of respondents are disagree and 2.5% of respondents are strongly disagree.

CHART NO.8 Chart showing the Price Level

50 45 40 35 30
25%

50 %

25 20 15 10 5 0 Strongly Agree Agree

13 %

10% 2%

Neither Disagree agree nor disagree

Strongly Disagree

Table No.9
Table showing the Quality Level

Quality level Strongly Agree Agree Neither agree nor disagree Disagree Strongly Disagree Total

No. of Respondents 40 120 30 5 5 200

Percentage 20 60 15 2.5 2.5 100

Interpretation: From the above table it is clear that, 20% of respondents are strongly agree with the quality of aavin milk, 60% of the respondents are agreed, 15% of the respondents are neither agree nor disagree,2.5% of respondents are disagree and 2.5% of respondents are strongly disagree.

CHART NO.9 Chart showing the Quality Level

2.5%

2.5% Strongly Agree 20% Agree Neither agree nor disagree Disagree Strongly Disagree

15%

60%

Table No.10
Table showing the Consumer Awareness regarding ISI and Agmark standards

Consumer awareness Yes No Total

No. of Respondents 50 150 200

Percentage (%) 25 75 100

Interpretation: From the table it is clear that, 25% of the respondents have the awareness regarding ISI and Agmark standards and 75% of the respondents are not having the awareness regarding ISI and Agmark standards.

CHART NO.10 Chart showing the Consumer Awareness regarding ISI and Agmark standards

80 70 60 50 40 30 20 10 0

75%

25%

Yes

No

Table No.11
Table showing the Consumer Awareness regarding Advertisement

Consumer awareness Yes No Total

No. of Respondents 120 80 200

Percentage (%) 60 40 100

Interpretation: From the above table it is clear that, 60% of the respondents have the awareness of aavin milk through advertisement and 40% of the respondents have not seen the advertisement.

CHART NO.11
Chart showing the Consumer Awareness regarding Advertisement

60 60 50 40 30 20 10 0 Yes No 40%

Table No.12
Table showing the availability of aavin stall near by area Availability Yes No Total No. of Respondents 110 90 200 Percentage (%) 55 45 100

Interpretation: From the above table it is clear that, 55% of the respondents say aavin stall is available near by their area and 45% of the respondents say aavin stall is not available nearby their area.

CHART NO.12
Chart showing the availability of aavin stall nearby area

60 50 40 30 20 10 0

55% 45%

Yes

No

Table No.13
Table showing the Consumer awareness regarding availability of all aavin products in the stall

Awareness about all aavin products in stall Strongly Agree Agree Neither agree nor disagree Disagree Strongly Disagree Total

No. of Respondents

Percentage

30 30 130 5 5 200

15 15 65 2.5 2.5 100

Interpretation: From the above table it is clear that, 15% of the respondents are strongly agree that they are aware about the availability of all aavin products in the stall,15% of the respondents are agreed, 65% of the respondents are neither agree nor disagree,2.5% of respondents are disagree and 2.5% of respondents are strongly disagree.

CHART NO.13
Chart showing the Consumer awareness regarding availability of all aavin products in the stall

3% 2% 15% 15% 65%

Strongly Agree Agree Neither agree nor disagree Disagree Strongly Disagree

Table No.14
Table showing the purchasing level during the train travel Purchasing level Yes No Total No. of Respondents 100 100 200 Percentage 50 50 100

Interpretation: From the above table it is clear that, 50% of the respondents have the habit of buying aavin milk in the time of train travel and 50% of the respondents do not have the habit of buying aavin milk in the time of train travel.

CHART NO.14 Chart showing the purchasing level during the train travel

60 50 40 30 20 10 0 Yes No 50% 50%

Table No.15
Table showing the consumer preferences of aavin stall in railway station Consumer preferences Yes No Total No. of Respondents 110 90 200 Percentage 55 45 100

Interpretation: From the above table it is clear that, 55% of the respondents need a aavin stall in railway station and 45% of the respondents do not need a aavin stall in railway station.

CHART NO.15
Chart showing the consumer preferences of aavin stall in railway station

60 50 40 30 20 10 0

55% 45%

Yes

No

Table No.16
Table showing the Consumer opinion towards the budget level

Opinion of price comes under the budget Strongly Agree Agree Neither agree nor disagree Disagree Strongly Disagree Total

No. of Respondents

Percentage

10 70 12.5 5 2.5 100

10 70 12.5 5 2.5 100

Interpretation: From the above table it is clear that, 10% of the respondents are strongly agree that the aavin milk comes under their budget, 70% of the respondents are agreed, 12.5 % of the respondents are neither agree nor disagree, 5% of the respondents are disagree and 2.5% are strongly disagree.

CHART NO.16
Chart showing the Consumer opinion towards the budget level

80 70 60 50 40 30 20 10 0

70%

10%

12% 5% Agree Neither agree nor disagree Disagree 3% Strongly Disagree

Strongly Agree

Table No.17
Table showing the satisfaction of consumers towards service

Satisfaction of Service Strongly Agree Agree Neither agree nor disagree Disagree Strongly Disagree Total

No. of Respondents 30 50 10 7.5 2.5 100

Percentage 30 50 10 7.5 2.5 100

Interpretation: From the above table it is clear that, 30% of the respondents are strongly agree with the service provided by aavin, 50% of the respondents are agreed, 10% of the respondents are neither agree nor disagree,7.5% of respondents are disagree and 2.5% of respondents are strongly disagree

CHART NO.17
Chart showing the satisfaction of consumers towards service

3% 10% 7% 30%

Strongly Agree Agree Neither agree nor disagree Disagree Strongly Disagree

50%

Table No.18
Table showing the opinion of consumers towards package

Quality of package Strongly Agree Agree Neither agree nor disagree Disagree Strongly Disagree Total

No. of Respondents 30 40 15 10 5 100

Percentage 30 40 15 10 5 100

Interpretation: From the above table it is clear that, 30% of the respondents are strongly agree that the package of aavin milk are neat & clean, 40% of the respondents are agreed, 15% of the respondents are neither agree nor disagree,10% of respondents are disagree and 5% of respondents are strongly disagree.

CHART NO.18 Chart showing the opinion of consumers towards package

40% 40 35 30 25 20 15 10 5 0 30%

15% 10% 5%

Strongly Agree

Agree

Neither Disagree agree nor disagree

Strongly Disagree

Table No.19
Table showing the satisfaction level of consumers towards Freshness

Satisfaction level of Freshness Highly satisfy Satisfy Neutral Dissatisfy Highly dissatisfy Total

No. of Respondents

Percentage

10 30 30 20 10 100

10 30 30 20 10 100

Interpretation: From the above table it is clear that, 10% of the respondents are highly satisfy with the freshness of aavin milk, 30% of the respondents are satisfied, 30% of the respondents are neutrally accept the statement ,20% of respondents are dissatisfied and 10% of respondents are highly dissatisfied.

CHART NO.19 Chart showing the satisfaction level of consumers towards Freshness

30% 30 25 20 15 10 5 0 Highly satisfy Satisfy 10%

30%

20%

10%

Neutral

Dissatisfy

Highly dissatisfy

Table No.20
Table showing the Overall satisfaction of consumers compared to other products

Satisfaction level of consumers Highly satisfy Satisfy Neutral Dissatisfy Highly dissatisfy Total

No. of Respondents 100 80 10 5 5 200

Percentage 50 40 5 2.5 2.5 100

Interpretation: From the above table it is clear that, 50% of the respondents are highly satisfy with the aavin milk& milk products when compared to other products, 40% of the respondents are satisfied, 5% of the respondents are neutrally accept the statement ,2.5% of respondents are dissatisfied and 2.5% of respondents are highly dissatisfied.

CHART NO.20
Chart showing the Overall satisfaction of consumers compared to other products

5%

3% 2% Highly satisfy 50% Satisfy Neutral Dissatisfy Highly dissatisfy

40%

Table No.21
CROSS TABULATION BETWEEN GENDER AND OPINION TOWARDS THE BUDGET LEVEL

OPINION TOWARDS THE BUDGET LEVEL GENDER Strongly Agree 12 8 20 Source : Survey data Agree 117 23 140 Neither agree nor disagree 14 11 25 Disagree 6 4 10 Strongly Disagree 3 2 5

Total

Male Female

152 48 200

(H0) :

There is no significant relationship between gender and opinion towards the budget level.

(H1) :

There is significant relationship between gender and opinion towards the budget level.

CHISQUARE TEST Calculated

2

Value

= = = =

14.793 4 9.488 Significant at 5% level

Degree of freedom Table value Significant level

It is observed from the above table that the calculated value of chi-square is greater than the table value. Hence the null hypothesis is rejected and it is concluded that there is significant relationship between gender and opinion towards the budget level.

TABLE.22 ANOVA
CROSS TABULATION BETWEEN AGE AND CUSTOMER SERVICE

CUSTOMER SERVICE AGE Strongly Agree 8 21 23 8 60

Source : Survey data

Agree 4 56 31 9 100

Neither agree nor disagree 4 5 6 5 20

Disagree 3 2 4 6 15

Strongly Disagree 1 1 1 2 5

Total

18-20 21 30 31 40 Above 41

20 85 65 30 200

(H0) :

There is no significant relationship between age and customer service.

(H1) :

There is significant relationship between age and customer service.

CHISQUARE TEST
Calculated
2

Value

= = = =

31.669 12 21.026 Significant at 5% level

Degree of freedom Table value Significant level

It is observed from the above table that the calculated value of chi-square is greater than the table value. Hence the null hypothesis is rejected and it is concluded that there is significant relationship between age and customer service.

TABLE.23 Regression
CROSS TABULATION BETWEEN INFLUENCING TO KNOW AND PURCHASING LEVEL DURING TRAIN TRAVEL Purchasing Level During Train Travel Factor Yes Friends Relatives Neighbors Advertisement 9 12 8 71 100 Source : Survey data (H0) : There is no significant relationship between influencing to know and purchasing level during train travel. No 11 18 32 39 100 20 30 40 110 200 Total

(H1) :

There is significant relationship between influencing to know and purchasing level during train travel.

CHISQUARE TEST Calculated

2

Value

= = = =

25.109 3 7.815 Significant at 5% level

Degree of freedom Table value Significant level

It is observed from the above table that the calculated value of chi-square is greater than the table value. Hence the null hypothesis is rejected and it is concluded that there is significant relationship between influencing to know and purchasing level during train travel.

CHAPTER-4 4.1 Findings

From the analysis, it was found that 76 % of the respondents are Male and remaining people are female. 42.5% of the respondents are in the age group of 21-30 years. 55% of respondents know about the aavin milk through advertisement. 75% of the respondents prefer to buy Aavin milk respondents prefer to buy twice in a day.
It is found that 60% of respondents mainly prefer to buy milk in aavin and the remaining

once in a day and about 20% of

people prefer to buy aavin sweet,curd and butter. 80% of respondents prefer to buy1 litre of aavin milk per day and 10% of people buy 2 litre per day. 60% of respondents prefer to buy aavin milk due to quality and remaining people prefer because of freshness, neat package and easy availability.
Most people (75%) strongly agreed that the price of the Aavin milk and milk products are reasonable and affordable. Most of the respondents (80%)agree that the aavin milk and milk products are high in quality, very few feel that it is inferior in quality. Most of the respondents (75%) are not aware of the fact that Aavin milk and milk products are ISI and AGMARK certified.

60% of the respondents have the awareness of aavin milk through advertisement. 55% of the respondents know that the aavin stall is available nearby their area and the remaining 45% do not know the aavin stall is available in their area.
65% of respondents neutrally agreed that Aavin milk and milk products are always available in the Aavin stall.

 50% of the respondents have the habit of buying aavin milk in the time of train travel and remaining people do not have the habit of buying milk during travel. It is found that 70% of the respondents are agreed that the aavin milk comes under their budget. 50% of the respondents are agreed with the service provided by aavin. 40% of the respondents are agreed that the package of aavin milk is neat & clean. 40% of the respondents are satisfied with the freshness of aavin milk and the remaining people are not highly satisfied with the freshness. 50% of the respondents are highly satisfied with the aavin milk& milk products when compared to other products.

4.2 SUGGESTIONS
The amount spent on the advertisement is very low; most of the people still dont know what all the products available in the Aavin stall are. The sales of the Aavin products can only be increased only if people know about them and the only way to achieve is by advertisement. Various Aavin product names can be made to display along with the pneumonic symbol at the side of the Aavin vehicles and in the stalls. Advertisement plays a crucial role in promoting the products. A small ad can be given in the front page of the local daily regarding the qualities of the Aavin milk products once in a week. This will create some awareness about the Aavin milk products. The sales of the Aavin milk and milk products can be increased by setting a Aavin stall at the Erode Railway station. Since the Erode junction being the hub to many rail routes, hundreds of trains from all over India pass through the junction so surely there will be a huge response from the train travelers for the Aavin milk and milk products. The sale can also be increased by some sales strategies. Since most of the consumers belong to middle and lower middle class category they will not be able to pay the money daily so credit system can be followed by collecting some deposit at the starting itself. Free door delivery can also increase the sales of the Aavin products. Automatic vending booths may be installed in main areas in the Erode town to facilitate the customers to purchase milk round the clock. Aavin website may be updated and popularized.

4.3 CONCLUSION
Promotion of sales and knowing consumer behaviour are important aspects for selling the product and achieve the highest sales level in the market. Through this study, we conducted the research entitled A study on Consumer Behaviour and Sales Promotion of Aavin Milk and Milk Products. This study helps us to know the sales promotion strategies adopted by the company and consumer perception towards the product. It also provides the steps to improve the sales in future and attain the highest growth level in the market.

Bibliography
1. Philip Kotler Marketing Management, Prentice Hall of India, 2004. 2. C.R.Kothari research methodology (methods and techniques), New Age International Publishers, 2007. Website www.aavinmilk.com www.marketingstrategies.org www.marketingprinciples.com

A Study on Sales promotion and Consumer behavior of Aavin Milk & Milk Products
QUESTIONNAIRE

Personal data:
Name: Gender: Male ( ) Female ( ) Age: a)18-20 b)21-30 c)31-40 d)Above 41 - Correlation

Questions:
1. How did you come to know about aavin milk & milk products? a) Friends b) Relatives c) Neighbours d) Advertisement 2. How frequently will you buy aavin milk products? a) Once in a day b) Twice in a day c) Once in a week d) Occasionally 3. What kind of aavin products do you prefer to buy? a) Milk b) Sweets c) Curd d) Butter

4. What is the quantity of aavin milk will you buy? a) litre d) litre 5. Why you prefer aavin product? Weighted Average a) Quality b) Freshness c) package Neat Easy 2 b) litre

1 litre c)

d) availability

6. The prices of aavin milk products are reasonable? a) Strongly Agree b) Agree c) Neither agree nor disagree d) Disagree e) Disagree Strongly

7. What do you feel about the quality of aavin milk products? a) Very High b) High c) Satisfactory d) Low e) low Very

8. Do you know that aavin products are ISI and AGMARK certified? a) Yes b) No

9. All aavin milk products are sufficiently available in the stall? a) Strongly Agree b) Agree c) Neither agree nor disagree d) Disagree e) Strongly Disagree

10. Have you seen any aavin advertisement? a) Yes b) No 11. Is there aavin stall available nearby your home? a) Yes b) No 12. Do you aware that all the aavin products are available in the stall? a) Strongly Agree b) Agree c) Neither agree nor disagree d) Disagree e) Strongly Disagree 13. While you travel in train will you prefer to have aavin milk? a) Yes b) No 14. Do you need aavin stall in railway station? a) Yes b) No

15. Whether the aavin products come under your budget? a) Strongly Agree b) Agree c) Neither agree nor disagree d) Disagree e) Strongly Disagree 16. What do you feel about the service of aavin milk products? a) Strongly Agree b) Agree c) Neither agree nor disagree d) Disagree e) Strongly Disagree 17. Do you feel that aavin milk package are clean & neat? a) Strongly Agree b) Agree c) Neither agree nor disagree d) Disagree e) Strongly Disagree 18. How do you feel about the freshness of aavin milk products? a) Highly satisfy b) Satisfy c) Neutral d) Dissatisfy e) Highly Dissatisfy

19. Whether you are satisfy with the aavin milk & milk products when compared to other milk products? a) Highly satisfy b) Satisfy c) Neutral d) Dissatisfy e) Highly Dissatisfy 20. Suggestions:

Thanks for your time