Beruflich Dokumente
Kultur Dokumente
Submitted To:
Submitted By:
(Faculty of Management)
Roll No-1308253064
MBA IV SEM
Students Declaration
I KISHAN KUMAR SINGH the student of MBA. IV semester here by declare that
research report title MARKET ANALYASIS BETWEEN FMCG PRODUCTS in
result of secondary data and original data collection from our own efforts from
various places like ( Shipra mall , EDM mall , Pacific mall , Big Bazar , Vishal
magamart , etc ) and submitted to SIMCS, Meerut.
Acknowledgement
I express our sincere gratitude to our faculty guide Ms. Shewta Mam, for her
guidance, continuous support and cooperation throughout on our project, without
which the present work would not have been possible.
I would also like to thank our entire team of research report, for the constant support
and help in the successful completion of my project.
Also, I thankful to our all respondents, who gives our valuable answer and comments
which is very useful for my research report.
TABLE OF CONTENTS
I. Executive Summary
06
07-08
9-10
11-26
i.
ii.
In India
iii.
Growth prospectus
iv.
Consumption Analysis
V. Company Profile
VI.
27-46
i.
Hindustan Unilever
ii.
iii.
Product Details
i.
ii.
iii.
47-55
Vivel Shampoo
Lux Shampoo
Pantene Shampoo
56-65
i.
ii.
ii.
66-69
70-72
X. Finding
73-84
XI. Limitation
85-86
XII. Recommendation
87-88
XIII. Questionnaire
89-92
XIV. Bibliography
93-94
Executive Summary
This research report focuses on the study of effect and COMPARITIVE
ANALYASIS BETWEEN FMCG PRODUCTS in India, especially compared
between different shampoos brand. It also emphasizes on effect of advertisement
on the market share and sales of FMCG products.
Another concept that is of market penetration is exposed in the report. And this is
done by introducing some additional schemes. These schemes include the display
of the warm stock at selected outlets and selling them at a lower price i.e. below the
market price.
The process starts with the Fifteen days route riding analysis that enables to
investigate about the trade of shampoo brands. Another aspect to learn was about the
strong distribution channel required for these companies with the competitive market.
Route riding helped a lot to gain the actual feel of market and the dealing procedure.
A questionnaire is prepared to draw a conclusion on basis of consumer behavior
analysis, so as to find out the percentage of sampled population that which brand of
they prefer.
Shampoo market is filled with different brands different varieties resulting into fierce
competition. It gain a competitive edge over competitors, companies adopt different
marketing strategies, which have been followed since the development of market.
6
2). Secondary Objective:To find out the growth of FMCG sector through the advertisement.
To find out the increment in the awareness in consumers towards the product
Through advertiseent.
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Introduction of Industry
FMCG S means Fast Moving Consumer Goods are popularly named as consumer
packaged goods. Items in this category include all consumables (other than
groceries/pulses) people buy at regular intervals. The most common in the list are
toilet soaps, detergents, shampoos, toothpaste, shaving products, shoe polish,
packaged foodstuff, and household accessories and extends to certain electronic
goods. These items are meant for daily of frequent consumption and have a high
return. A major portion of the monthly budget of each household is reserved for
FMCG products. The volume of money circulated in the economy against FMCG
products is very high, as the Number of products the consumer use is very high.
Competition in the FMCG sector is very high resulting in high pressure on margins.
FMCG companies maintain intense distribution network. Companies spend a large
portion of their budget on maintaining distribution networks. New entrants who wish
to bring their products in the national level need to invest huge sums of money on
promoting brands. Manufacturing can be outsourced. A recent phenomenon in the
sector was entry of multinationals and cheaper imports. Also the market is more
pressurized with presence of local players in rural areas and state brands.
The Indian FMCG sector is the fourth largest sector in the economy with a total
market size in excess of US$ 13.1 billion. It has a strong MNC presence and is
characterized by a well-established distribution network, intense competition between
the organized and unorganized segments and low operational cost. Availability of key
raw materials, cheaper labor costs and presence across the entire value chain gives
India a competitive advantage. The FMCG market is set to treble from US$ 11.6
billion in 2003 to US$ 33.4 billion in 2015. Penetration level as well as per capita
consumption in most product categories like jams, toothpaste, skin care, hair wash etc
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price hikes are moderate. the top five FMCG companies constitute nearly 70% of the
total revenues generated by this sector.
Multinational FMCG companies like Hindustan Unilever, ITC, Nestle, Procter &
Gamble and GlaxoSmithKline Consumer Healthcare traditionally comprise the first
category of FMCG companies. They tend to spend nearly 10% of their revenues on an
average on advertising and promoting their products, which is the highest ad spend
figure in the industry. Justifying their high product pricing, these companies largely
tend to capture value by addressing a felt need. Another category is non-traditional
FMCG companies, which is dominated by homegrown companies like Asian Paints,
Dabur, Tata Tea, Marico and United Spirits. These companies have grown to become
market leaders in their respective segments, giving strong competition to MNC
brands. Their average ad expenditure is much lower than that of the MNC biggies.
The third tier includes small, but strong regional players operating on a smaller scale.
They are mostly price warriors, who expand by eating into the market share of
national players. But the biggest worry for national players is the emergence of private
labels, i.e. the in-house brands of retail companies. As retailers don't have to incur
marketing costs on these in-house brands, they are cheaper than their branded
counterparts. FMCG companies can also be segregated according to the product
categories in which they exist.
Various products have different demand drivers; hence, the growth of companies tends
to be different. For instance, paints makers witness growth during a housing boom.
But the same may not be the case with soap manufacturers, which may witness some
down-trading by consumers. With the market in a bearish phase, the FMCG sector has
found flavour among investors. The sector's defensiveness is demonstrated by the
stability in returns generated even during times of slow economic growth. While the
Sensex is down by 29% since the beginning of this year, the ET FMCG
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index comprising the top 20 stocks in the sector, has fallen only by 12.5%. For
investors eyeing the FMCG space, large domestic companies offer attractive growth
prospects. These companies are outperforming their MNC peers and small Indian
companies in the sector. But the MNC pack specifically GlaxoSmithKline
Consumer Healthcare, Nestle and HUL has fared better in terms of profit margins.
While the FMCG sector's revenue growth has been positive since the past three
quarters, profits are showing a downward trend. Nevertheless, the FMCG growth
story is here to stay. Although double-digit revenue growth is likely to continue,
margins may come under pressure as the industry is finding it difficult to pass on cost
inflation without impacting consumer demand. Moreover, the scenario has become
more challenging for FMCG companies, given the emergence of modern retail and
regional brands. The growth in media industry has also led to innovative advertising,
which has changed the rules of the game.
What are FMCGs? : WE regularly talk about things like butter, potato chips,
toothpastes, razors, household care products, packaged food and beverages, etc. But
do we know under which category these things come? They are called FMCGs.
FMCG is an acronym for Fast Moving Consumer Goods, which refer to things that we
buy from local supermarkets on daily basis, the things that have high turnover and are
relatively cheaper.
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16
FMCG in 2009
The performance of the industry was inconsistent in terms of sales and growth for
over 4 years. The investors in the sector were not gainers at par with other booming
sectors. After two years of sinking performance of FMCG sector, the year 2005 has
witnessed the FMCGs demand growing. Strong growth was seen across various
segments in FY06. With the rise in disposable income and the economy in good
health, the urban consumers continued with their shopping spree.
Sector Outlook
FMCG is the fourth largest sector in the Indian Economy with a total market size of
Rs. 60,000 crores. FMCG sector generates 5% of total factory employment in the
country and is creating employment for three million people, especially in small
towns and rural India.
Though the sector witnessed a slower growth in 2002-2004, it has been able to make a
fine recovery since then.For example, Hindustan Levers Limited (HLL) has shown a
healthy growth in the last quarter. An estimated double-digit growth over the next few
years shows that the good times are likely to continue.
18
will keep growing at relatively attractive rates. Within the foods segment, it is
estimated that processed foods, bakery, and dairy are long-term growth categories in
both rural and urban areas.
19
20
Low cost labor gives India a competitive advantage. India's labor cost is amongst the
lowest in the world, after China & Indonesia. Low labor costs give the advantage of
low cost of production. Many MNC's have established their plants in India to
outsource for domestic and export markets. Presence across value chain Indian
companies have their presence across the value chain of FMCG sector, right from the
supply of raw materials to packaged goods in the food-processing sector. This brings
India a more cost competitive advantage. For example, Amul supplies milk as well as
dairy products like cheese, butter, etc Indias FMCG sector to post 16% growth during
2008-09,According to FICCI, India FMCG sector is all set for 16% growth during
2008-09, from a base of INR85,470 crores. CRISIL expects the FMCG sector to
touch INR 1,40,000 crores by 2015 (US$33.4 billion). An increase in disposable
income, across rural and urban consumers, has led many rural consumers to shift from
traditional unorganized unbranded products to branded FMCG products and urban
fraternity to splurge on value added and lifestyle products. This is supported by
improving reach to remote markets, organized
economy & demographics.
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23
24
25
26
27
Companies Profile
Feb. 17--Unilever Thai Trading Ltd plans to shake up the 13-billion-baht shampoo
market by launching a new Sunsilk line to strengthen its market leadership, says
Wannipa Bhakdibutra, vice-president for health and beauty aids. The company
recently introduced its Sunsilk Co-Creations to the Thai market. Unilever Thai's
parent firm teamed up with seven leading global hair experts to develop the new range
of shampoos. Sunsilk today has rebranded its entire product range as Sunsilk CoCreations. The company said that 40 percent of women were heavily influenced by
expert opinions when purchasing hair-care products. Mrs Wannipa said the rebranding
was an important milestone for Sunsilk globally in justifying its leadership of the haircare market. The move marks a radical change in its product platform to new
formulations, better packaging and professional brand personalities.
Thailand is the first Southeast Asian country to introduce the new Sunsilk range and
the fourth location globally, after South America, Turkey and India. Mrs Wannipa said
Sunsilk controlled about 26 percent of the local market 2009. Market demand grew by
5 percent last year. Hindustan Unilever Limited (HUL) is India's largest Fast Moving
Consumer Goods Company, touching the lives of two out of three Indians with over
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20 distinct categories in Home & Personal Care Products and Foods & Beverages.
The companys Turnover is Rs. 20, 239 crores (for the 15 month period January 1,
2008 to March 31, 2009).HUL is a subsidiary of Unilever, one of the worlds leading
suppliers of fast moving consumer goods with strong local roots in more than 100
countries across the globe with annual sales of 40.5 billion in 2008. Unilever has
about 52% shareholding in HUL.Hindustan Unilever was recently rated among the top
four companies globally in the list of Global Top Companies for Leaders by a study
sponsored by Hewitt Associates, in partnership with Fortune magazine and the RBL
Group. The company was ranked number one in the Asia-Pacific region and in India.
The mission that inspires HUL's more than 15,000 employees, including over 1,400
managers, is to add vitality to life". The company meets everyday needs for nutrition,
hygiene, and personal care, with brands that help people feel good, look good and get
more out of life. It is a mission HUL shares with its parent company, Unilever, which
holds about 52 % of the equity.
HULs heritage dates back to 1888, when the first Unilever product, Sunlight, was
introduced in India. Local manufacturing began in the 1930s with the establishment of
subsidiary companies. They merged in 1956 to form Hindustan Lever Limited (The
company was renamed Hindustan Unilever Limited on June 25, 2007). The company
created history when it offered equity to Indian shareholders, becoming the first
foreign subsidiary company to do so. Today, the company has more than three lakh
resident shareholders.HULs brands -- like Lifebuoy, Lux, Surf Excel, Rin, Wheel,
Fair & Lovely, Sunsilk, Clinic, Close-up, Pepsodent, Lakme, Brooke Bond, Kissan,
Knorr, Annapurna, Kwality-Walls - are household names across the country and span
many categories - soaps, detergents, personal products, tea, coffee, branded staples,
ice cream and culinary products. They are manufactured in over 35 factories, several
of them in backward areas of the country. The operations involve over 2,000 suppliers
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and associates.HUL's distribution network covers 6.3 million retail outlets including
direct reach to over 1 million.HUL has traditionally been a company, which
incorporates latest technology in all its operations. The Hindustan Lever Research
Centre (now Hindustan Unilever Research Centre) was set up in 1958.
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31
William Procter, a candle maker, and James Gamble, a soap maker, formed the
company known as Procter & Gamble in 1837. The two men, immigrants from
England and Ireland respectively, had settled earlier in Cincinnati and had married
sisters. The two men decided to pool their resources to form their own company,
formalizing the relationship on October 31, 1837. The company prospered during the
nineteenth century. In 1859, sales reached one million dollars. By this point,
approximately eighty employees worked for Procter & Gamble. During the Civil War,
the company won contracts to supply the Union army with soap and candles. In
addition to the increased profits experienced during the war, the military contracts
introduced soldiers from all over the country to Procter & Gambles products. Once the
war was over and the men returned home, they continued to purchase the companys
products.
In the 1880s, Procter & Gamble began to market a new product, an inexpensive, yet
high quality, soap. The company called the soap "Ivory." In the decades that followed,
Procter & Gamble continued to grow and evolve. The company became known for its
progressive work environment in the late nineteenth century. William Cooper Procter,
William Procter's grandson, established a profit-sharing program for the companys
workforce in 1887. He hoped that by giving the workers a stake in the company, they
would be less inclined to go on strike. Over time, the company began to focus most of
32
its attention on soap, producing more than thirty different types by the 1890s. As
electricity became more and more common, there was less need for the candles that
Procter & Gamble had made since its inception. ultimately, the company chose to stop
manufacturing candles in 1920.
In the early twentieth century, Procter & Gamble continued to grow. The company
began to build factories in other locations in the United States, because the demand
for products had outgrown the capacity of the Cincinnati facilities. The companies
leaders began to diversify its products as well and, in 1911, began producing Crisco, a
shortening made of vegetable oils rather than animal fats. In the early 1900s, Procter
& Gamble also became known for its research laboratories, where scientists worked to
create new products. Company leadership also pioneered in the area of market
research, investigating consumer needs and product appeal. As radio ecame more
popular in the 1920s and 1930s, the company sponsored a number of radio programs.
As a result, these shows often became commonly known as "soap operas."
Throughout the twentieth century, Procter & Gamble continued to prosper. The
company moved into other countries, both in terms of manufacturing and product
sales, becoming an international corporation. In addition, numerous new products and
brand names were introduced over time, and Procter & Gamble began branching out
into new areas. The company introduced "Tide" laundry detergent in 1946 and "Prell"
shampoo in 1950. In 1955, Procter & Gamble began selling the first toothpaste to
contain fluoride, known as "Crest". Branching out once again in 1957, the company
purchased Charmin Paper Mills and began manufacturing toilet paper and other paper
products. Once again focusing on laundry, Procter & Gamble began making "Downy"
fabric softener in 1960 and "Bounce" fabric softener sheets. One of the most
revolutionary products to come out on the market was the companies "Pampers", first
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test-marketed in 1961. Prior to this point, there were no disposable diapers. Babies
always wore cloth diapers, which were leaky and labor intensive to wash. Pampers
simplified the diapering process.
Over the second half of the twentieth century, Procter & Gamble acquired a number of
other companies that diversified its product line and increased profits significantly.
These acquisitions included Folgers Coffee, Norwich Eaton Pharmaceuticals,
Richardson-Vicks, Noxell, Shultons Old Spice, Max Factor, and the Aims Company,
among others. In 1996, Procter & Gamble made headlines when the Food and Drug
Administration approved a new product developed by the company, Olestra. Olestra,
also known by its brand name Olean, is a substitute for fat in cooking potato chips and
other snacks. Procter & Gamble has expanded dramatically throughout its history, but
its headquarters still remain in Cincinnati. Companies like P&G are a force in the
world. Our market capitalization is greater than the GDP of many countries, and we
serve consumers in more than 180 countries. With this stature comes both
responsibility and opportunity. Our responsibility is to be an ethical corporate citizen
but our opportunity is something far greater, and is embodied in our Purpose.
P&Gs Purpose Statement articulates a common goal that inspires us daily: Our
Purpose works to unify us in a common cause and growth strategy. It is powerful
because it promotes a simple idea to improve the lives of the worlds consumers every
day. P&G grows by touching and improving more consumers lives in more parts of
the world...more completely. While this statement defines our commercial
opportunity, our culture reflects the broader opportunity of improving lives through
and beyond our branded products and services. The simple, inspiring way to think
about this opportunity is that P&G brands serve about four billion of the six and a half
billion people on the planet today. Before P&G can serve the remaining two and a half
billion profitably, we can reach them altruistically. We can improve their lives in ways
that enable them to thrive, to increase their quality of living and, over time, to
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join the population of consumers we serve with P&G brands. Through our overall
Live, Learn & Thrive cause program, initiatives such as Childrens Safe Drinking
Water and Pampers 1 Pack = 1 Vaccine are examples of how we are improving the
lives of millions of people every day. Our shared Purpose attracts and unites an
extraordinary group of people, P&Gers, around the worldthe most diverse
workforce in P&G history. Together, we represent around 140 nationalities. Our
recruiting and development philosophy to build from within fosters a strong culture
of trust and shared experiences. Our diversity, our shared culture and our unified
Purpose are the defining elements that enable P&G to touch lives and improve life
every day. Purpose, Values and Principles Our Purpose, Values and Principles are the
building blocks of our culture. Our Purpose unifies us in a shared vision, our Values
codify our behaviors toward each other and our Principles articulate our beliefs about
business. Executive Team Our executive team reflects a purpose-driven group of
diverse individuals with breadth and depth of experience across the company. Each
one brings a passion for innovation and leadership to bear on their daily activities.
Leadership Development Developing new leaders is the responsibility of every leader
throughout P&G. Our unique Build from Within approach ensures executive
engagement and sets a clear course for growing leadership that is distinctly P&G.
Diversity and Inclusion Diversity of ideas, experiences, race and gender are vital to
P&Gs ability to touch and improve the lives of consumers around the world. The
practice of inclusion ensures that this diversity isnt merely represented, but is integral
to the way we compete and Win every day.
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Type
Industry
Consumer goods
Founded
1837
Headquarters
Area served
Worldwide
Key people
Bob McDonald
(President) & (CEO)
Products
Revenue
Total assets
Total equity
Employees
138,000 (2009)
Website
PG.com
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ITC is one of India's foremost private sector companies with a market capitalization of
nearly US $ 14 billion and a turnover of over US $ 5 billion.* ITC is rated among the
World's Best Big Companies, Asia's 'Fab 50' and the World's Most Reputable
Companies by Forbes magazine, among India's Most Respected Companies by
Business World and among India's Most Valuable Companies by Business Today. ITC
ranks among India's `10 Most Valuable (Company) Brands', in a study conducted by
Brand Finance and published by the Economic Times. ITC also ranks among Asia's 50
best performing companies compiled by Business Week. ITC has a diversified
presence in Cigarettes, Hotels, Paperboards & Specialty Papers, Packaging, AgriBusiness, Packaged Foods & Confectionery, Information Technology, Branded
Apparel, Personal Care, Stationery, Safety Matches and other FMCG products. While
ITC is an outstanding market leader in its traditional businesses of Cigarettes, Hotels,
Paperboards, Packaging and Agri-Exports, it is rapidly gaining market share even in
its nascent businesses of Packaged Foods & Confectionery, Branded Apparel,
Personal Care and Stationery.ved to be dedicatedly nation-oriented. Chairman Y C
Deveshwar calls this source of inspiration "a commitment beyond the market". In his
own words: "ITC believes that its aspiration to create enduring value for the nation
provides the motive force to sustain growing shareholder value. ITC practices this
philosophy by not only driving each of its businesses towards international
competitiveness
but
by
also
consciously
38
contributing
to
enhancing
the
competitiveness
of
the
larger
value
chain
of
which
it
is
part."
ITC's diversified status originates from its corporate strategy aimed at creating
multiple drivers of growth anchored on its time-tested core competencies: unmatched
distribution reach, superior brand-building capabilities, effective supply chain
management and acknowledged service skills in hoteliering. Over time, the strategic
forays into new businesses are expected to garner a significant share of these
emerging high-growth markets in India.ITC's Agri-Business is one of India's largest
exporters of agricultural products. ITC is one of the country's biggest foreign
exchange earners (US $ 3.2 billion in the last decade). The Company's 'e-Choupal'
initiative is enabling Indian agriculture significantly enhance its competitiveness by
empowering Indian farmers through the power of the Internet. This transformational
strategy, which has already become the subject matter of a case study at Harvard
Business School, is expected to progressively create for ITC a huge rural distribution
infrastructure, significantly enhancing the Company's marketing reach.ITC's wholly
owned Information Technology subsidiary, ITC Infotech India Ltd, provides IT
services and solutions to leading global customers. ITC Infotech has carved a niche
for itself by addressing customer challenges through innovative IT solutions.ITC's
production facilities and hotels have won numerous national and international awards
for quality, productivity, safety and environment management systems. ITC was the
first company in India to voluntarily seek a corporate governance rating. ITC employs
over 25,000 people at more than 60 locations across India. The Company
continuously
endeavors to
enhance
in
its corporate
positioning statement: "Enduring Value. For the nation. For the Shareholder."
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ITC was incorporated on August 24, 1910 under the name Imperial Tobacco Company
of India Limited. As the Company's ownership progressively Indianised, the name of
the Company was changed from Imperial Tobacco Company of India Limited to India
Tobacco Company Limited in 1970 and then to I.T.C. Limited in 1974. In recognition
of the Company's multi-business portfolio encompassing a wide range of businesses Cigarettes & Tobacco, Hotels, Information Technology, Packaging, Paperboards &
Specialty Papers, Agri-business, Foods, Lifestyle Retailing, Education & Stationery
and Personal Care - the full stops in the Company's name were removed effective
September 18, 2001. The Company now stands rechristened 'ITC Limited'. The
Companys beginnings were humble. A leased office on Radha Bazar Lane, Kolkata,
was the centre of the Company's existence. The Company celebrated its 16th birthday
on August 24, 1926, by purchasing the plot of land situated at 37, Chowringhee, (now
renamed J.L. Nehru Road) Kolkata, for the sum of Rs 310,000. This decision of the
Company was historic in more ways than one. It was to mark the beginning of a long
and eventful journey into India's future. The Company's headquarter building,
'Virginia House', which came up on that plot of land two years later, would go on to
become one of Kolkata's most venerated landmarks. Though the first six decades of
the Company's existence were primarily devoted to the growth and consolidation of
the Cigarettes and Leaf Tobacco businesses, the Seventies witnessed the beginnings of
a corporate transformation that would usher in momentous changes in the life of the
Company. ITC's Packaging & Printing Business was set up in 1925 as a strategic
backward integration for ITC's Cigarettes business. It is today India's most
sophisticated packaging house.
In 1975 the Company launched its Hotels business with the acquisition of a hotel in
Chennai which was rechristened 'ITC-Welcomgroup Hotel Chola'. The objective of
ITC's entry into the hotels business was rooted in the concept of creating value for the
nation. ITC chose the hotels business for its potential to earn high levels of foreign
40
exchange, create tourism infrastructure and generate large scale direct and indirect
employment. Since then ITC's Hotels business has grown to occupy a position of
leadership, with over 100 owned and managed properties spread across India. In 1979,
ITC entered the Paperboards business by promoting ITC Bhadrachalam Paperboards
Limited, which today has become the market leader in India. Bhadrachalam
Paperboards amalgamated with the Company effective March 13, 2002 and became a
Division of the Company, Bhadrachalam Paperboards Division. In November 2002,
this division merged with the Company's Tribeni Tissues Division to form the
Paperboards
technology,
productivity, quality and manufacturing processes are comparable to the best in the
world. It has also made an immense contribution to the development of Sarapaka, an
economically backward area in the state of Andhra Pradesh. It is directly involved in
education, environmental protection and community development. In 2004, ITC
acquired the paperboard manufacturing facility of BILT Industrial Packaging Co. Ltd
(BIPCO), near Coimbatore, Tamil Nadu. The Kovai Unit allows ITC to improve
customer service with reduced lead time and a wider product range. In 1985, ITC set
up Surya Tobacco Co. in Nepal as an Indo-Nepal and British joint venture. Since
inception, its shares have been held by ITC, British American Tobacco and various
independent shareholders in Nepal. In August 2002, Surya Tobacco became a
subsidiary of ITC Limited and its name was changed to Surya Nepal Private Limited
(Surya Nepal).
In 1990, ITC acquired Tribeni Tissues Limited, a Specialty paper manufacturing
company and a major supplier of tissue paper to the cigarette industry. The merged
entity was named the Tribeni Tissues Division (TTD). To harness strategic and
operational synergies, TTD was merged with the Bhadrachalam Paperboards Division
to form the Paperboards & Specialty Papers Division in November 2002. Also in
1990, leveraging its agri-sourcing competency, ITC set up the Agri Business Division
41
for export of agri-commodities. The Division is today one of India's largest exporters.
ITC's unique and now widely acknowledged e-Choupal initiative began in 2000 with
soya farmers in Madhya Pradesh. Now it extends to 10 states covering over 4 million
farmers. ITC's first rural mall, christened 'Choupal Saagar' was inaugurated in August
2004 at Sehore. On the rural retail front, 24 'Choupal Saagars' are now operatonal in
the 3 states of Madhya Pradesh, Maharashtra and Uttar Pradesh. In 2000, ITC forayed
into the Greeting, Gifting and Stationery products business with the launch of
Expressions range of greeting cards. A line of premium range of notebooks under
brand Paperkraft was launched in 2002. To augment its offering and to reach a
wider student population, the popular range of notebooks was launched under brand
Classmate in 2003. Classmate over the years has grown to become Indias largest
notebook brand and has also increased its portfolio to occupy a greater share of the
school bag. Years 2007- 2009 saw the launch of Children Books, Slam Books,
Geometry Boxes, Pens and Pencils under the Classmate brand. In 2008, ITC
repositioned the business as the Education and Stationery Products Business and
launched India's first environment friendly premium business paper under the
Paperkraft Brand. Paperkraft offers a diverse portfolio in the premium executive
stationery and office consumables segment. Paperkraft entered new categories in the
office consumable segment with the launch of Textliners, Permanent Ink Markers and
White Board Markers in 2009. ITC also entered the Lifestyle Retailing business with
the Wills Sport range of international quality relaxed wear for men and women in
2000. The Wills Lifestyle chain of exclusive stores later expanded its range to include
Wills Classic formal wear (2002) and Wills Clublife evening wear (2003). ITC also
initiated a foray into the popular segment with its men's wear brand, John Players, in
2002. In 2006, Wills Lifestyle became title partner of the country's most premier
fashion event - Wills Lifestyle India Fashion Week - that has gained recognition from
buyers and retailers as the single largest B-2-B platform for the Fashion Design
42
industry. To mark the occasion, ITC launched a special 'Celebration Series', taking the
event forward to consumers.
In 2000, ITC spun off its information technology business into a wholly owned
subsidiary, ITC Infotech India Limited, to more aggressively pursue emerging
opportunities in this area. Today ITC Infotech is one of Indias fastest growing global
IT and IT-enabled services companies and has established itself as a key player in
offshore outsourcing, providing outsourced IT solutions and services to leading global
customers across key focus verticals - Manufacturing, BFSI (Banking, Financial
Services & Insurance), CPG&R (Consumer Packaged Goods & Retail), THT (Travel,
Hospitality and Transportation) and Media & Entertainment. ITC's foray into the
Foods business is an outstanding example of successfully blending multiple internal
competencies to create a new driver of business growth. It began in August 2001 with
the introduction of 'Kitchens of India' ready-to-eat Indian gourmet dishes. In 2002,
ITC entered the confectionery and staples segments with the launch of the brands
mint-o and Candyman confectionery and Aashirvaad atta (wheat flour). 2003
witnessed the introduction of Sunfeast as the Company entered the biscuits segment.
ITC's entered the fast growing branded snacks category with Bingo! in 2007. In eight
years, the Foods business has grown to a significant size with over 200 differentiated
products under six distinctive brands, with an enviable distribution reach, a rapidly
growing market share and a solid market standing. In 2002, ITC's philosophy of
contributing to enhancing the competitiveness of the entire value chain found yet
another expression in the Safety Matches initiative.
ITC now markets popular safety matches brands like iKno, Mangaldeep, Aim, Aim
Mega and Aim Metro. ITC's foray into the marketing of Agarbattis (incense sticks) in
2003 marked the manifestation of its partnership with the cottage sector. ITC's popular
agarbattis brands include Spriha and Mangaldeep across a range of fragrances like
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ITC
introduced Essenza Di Wills, an exclusive range of fine fragrances and bath & body
care products for men and women in July 2005. Inizio, the signature range under
Essenza Di Wills provides a comprehensive grooming regimen with distinct lines for
men (Inizio Homme) and women (Inizio Femme). Continuing with its tradition of
bringing world class products to Indian consumers the Company launched 'Fiama Di
Wills', a premium range of Shampoos, Shower Gels and Soaps in September, October
and December 2007 respectively. The Company also launched the 'Superia' range of
Soaps and Shampoos in the mass-market segment at select markets in October 2007
and Vivel De Wills & Vivel range of soaps in February and Vivel range of shampoos
in June 2008.
committed to creating enduring value for the shareholder and for the nation. It has a
rich organizational culture rooted in its core values of respect for people and belief in
empowerment. Its philosophy of all - round value creation is backed by strong
corporate governance policies and systems.
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Products of ITC
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- (ITC Product)
- ( HUL Product )
- ( P& G Product )
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Vivel Shampoo
ITC launched Vivel shampoos in line with its aspiration to offer world class products
to the Indian consumer. Vivel shampoos will be available in three variants - Shine
& Glow, Soft & Fresh and Volume & Bounce - customized to meet specific
consumer needs. Vivel shampoos are conveniently packaged in 200ml and 100 ml
bottles and will also be available in sachets. The extension of the Vivel brand into
the shampoo category follows the successful launch of Vivel soaps in February this
year.
Vivel shampoos, enriched with a unique Actipro-K complex, provide the Power of 3
benefits - Nourishment, Protection and Hydration. Backed by consumer insight, this
novel value proposition is a result of 4 years of extensive research and product
development at the ITC R&D Centre. The convergence of these benefits provides the
ever discerning consumer wholesome care for her hair and makes her look beautiful.
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This belief is encapsulated in the Vivel tag line, Khoobsurti bas mein, Duniya
kadmon mein.
The exquisite fragrances for Vivel products have been developed by leading
international fragrance houses. The soft vignette design and the unique braid design
behind the brand logo are a reflection of the brand philosophy of delivering multiple,
relevant and powerful benefits in each product.
The three Vivel shampoo variants offer clearly differentiated benefits to the consumer:
Vivel Shine & Glow is suitable for dull to normal hair and is enriched with Green
Tea Extract and Conditioners. It adds shine to hair.
Vivel Soft & Fresh is suitable for dry to normal hair and contains Extra
Conditioners and Soya Protein. It makes hair feel soft and fragrant.
Vivel Volume & Bounce is suitable for oily to normal hair and contains Jojoba Oil
and Conditioners. It adds volume and bounce to hair.
The 200 ml and 100 ml bottles and 8 ml sachets are priced at Rs. 89, Rs. 49 and
Rs. 2, respectively.
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Vivel shampoo
Type
Current owner
Tag Line
Markets
World
Website
http://www.Itcport.com/
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Pantene Shampoo
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Pantene
Type
Hair care
Current owner
United Kingdom
Country of origin
Markets
World
Website
http://www.pantene.com/
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Lux Shampoo
We all want to be pampered and to look and feel beautiful. That's why Lux offers a
range of highly appealing beauty products at a price you can afford.
Lux celebrates the indulgent ritual of beautification :
Everything about Lux, from the look and feel of the products and packaging to the
fragrances, is a delight to the feminine senses. In fact, Lux has been making waves
since 1924, when it launched the world's first mass-market beauty soap in the US at a
fraction of the cost of imported French soaps. Since then it has expanded into other
areas, including shower gels, bath additives, shampoos and conditioners.
Lux embraces beauty & femininity in the 21st century :
Lux aims to be the paradigm of the new femininity. That's why Lux celebrates the
pleasure of being a woman today. Lux women want to be loved, admired and at the
same time express themselves in a feminine way.
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Key facts :
First mass market toilet soap launched in 1924.
Sales of 1.0 billion euros in 2005.
Sold in over 100 countries.
Market leader in countries including Arabia, Brazil, India, Thailand and South
Africa
Lux hair is the market leader in Japan.
Range of Lux Shampoo:
Lux shampoo
Lux hairspray
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Research methodology
Research:
Viewing a particular phenomenon that already exists is called as Research. In other
words, searching and doing study on any existing substance from the universe is
called as Research. A universe is the total population on which the research study is to
be done or is being conducted.
The characteristic features of research are as follows:
Flexible Design
Methodology:
In the Methodology contains the steps involved in the research, which are used to
solve the problems of research.
Types of research:
Two types of research are there:
A). Exploratory research.
B). Conclusive research.
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Research design
Sampling
Contact Methods
Analysis of data
Research report
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Sampling:
Sampling can be defined as the technique through which an idea can be generated out
of whole market by taking just a small part of it. The sampling process has the
following steps:
Under this process, the sampling plan has to be designed. This plan deals with
basically three decisions:
Sampling Unit Who is to be surveyed?
Sample Size How many people should be surveyed?
Sampling Unit:
By the sampling unit, the target market has to be defined that will be sampled. Once
the sampling unit has been determined, a sampling frame must be developed so that
everyone in the target population has an equal or known chance of being sampled. The
sampling unit in this research of Customers of Ghaziabad & Delhi (EDM mall ,
Pacific mall, Shipra mall, Vishal Mega marts, etc. )
Sample Size:
Large Samples give more reliable results than small samples. However, it is not
necessary to sample the entire target population or even a substantial portion to
achieve the reliable results. Samples of less than 1 percent of a population can often
provide a good reliability. In this research researcher was collected 100 customer
base from different areas of Ghaziabad
Sampling Procedure:
To obtain a representative sample, a probability sample of the sample should be
drawn. Probability Sampling allows the calculation of confidence limits for sampling
error. Thus, one could conclude after the sample is taken that the interval 5 to 7 trips
per year has 95 chances in 100 of containing the true number of trips taken usually by
1st class passengers flying between Chicago & Tokyo. Even non probability samples
are useful in many circumstances; even they do not allow sampling error to be
measured. Probability Sampling is of many types like Simple Random Sampling,
Systematic Sampling, Stratified Sampling, Cluster Sampling, & Area Sampling etc. In
this research, Random Sampling is followed. The common group here is of customers,
who are real purchaser of Shampoo products.
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Contact Methods:
Once the sampling plan has been determined, the decision now is to taken regarding
how the subject should be contacted:
Mail Questionnaire
Personal
Mail Questionnaire is the best way to reach people who would not give personal
interviews or whose responses might be biased or distorted by the interviewers. Mail
Questionnaires require simple & clearly worded questions.
Personal Interviewing is most versatile method. The interviewer can ask more
questions and record additional observations about the respondent, such as dress &
body language.
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Personal interview method is used to find the data in this research due to following
reasons:
Customers careless behavior towards these kind of mails
Customers believe ness in face to face interaction
Customers dont have to fill questionnaires by self
Customers personally give more suggestions/comments
Analysis of data:
A number of tables are prepared to bring out the main characteristics of data. Various
analytical teach nicks are viewed for analysis. Due to the emergence of the competitor
the researcher now has assets to the various software, which can be used for the
analysis of data. On the basis of my research, the survey, the analysis has been done
and shown later.
Research report:
Essence of a good report is that it effectively communicates the findings, some of the
principles like coherence, clarity in the presentation of idea, and use of charts and
diagrams should be kept in the mind of the researcher
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Primary sources :
The data are collected directly from the universe by conducting interviews,
etc. these are the original sources from which the researcher directly gathers
data which are not previously referred.
The primary sources of data collection are done through
Observation
Interviewing
Stimulation
Mail survey
Projective techniques
Questionnaire
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1)
2)
3)
4)
5)
6)
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put up on the paper and the particular universe, on which the research is
conducted, are asked to fill their responses.
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Secondary sources:
The data are collected from the secondary sources such as magazines,
journals, etc. These sources consist of already variable data in the form of
statements, and reports, which may include sensory reports, financial
statements of the company, reports of governments departments, etc .
Sources of Secondary Data
Internet
Magazines
Newspapers,
Journals, etc.
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SWOT analysis
Strengths:
1. Low operational costs.
2. Presence of established distribution networks in both urban and rural areas.
3. Presence of well-known brands in FMCG sector.
4. Current leaders in quality service.
5. Largest distribution network.
6. Ability to constantly innovate..
7. Cost advantage.
Weaknesses:
1. Lower scope of investing in technology and achieving economies of scale,
especially in small sectors.
2. Low exports levels.
3. "Me-too" products, which illegally mimic the labels of the established brands.
4. These products narrow the scope of FMCG products in rural and semi-urban
market.
5. Price pressures
6. Awareness
7. Sales and Marketing
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Opportunities:
1. Untapped rural market.
2. Rising income levels, i.e. increase in purchasing power of consumers.
3. Large domestic market- a population of over one billion..
4. Export potential.
5. High consumer goods spending.
Threats:
1. Removal of import restrictions resulting in replacing of domestic brands.
2. Slowdown in rural demand.
3. Tax and regulatory structure.
5. Other competition
6. Foreign investment
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Inference:
From the pie-chart it can be inferred that 90% of the respondents in a sample size of
100 consumes of shampoo. Thus from the research, it is found that majority of the
respondents like to consume of shampoo. Hence, there is a huge preference of
shampoo products in Ghaziabad & Delhi region.
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Inference:
94% of the people surveyed for analysis thinks that they prefer is easily
available in the market and thus it was easy to locate the corresponding respondents
for any particular brand.
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Inference:
We could see that satisfaction level of the respondents is very high as 97% of
the people say they are satisfied by the brand. And hence this tells us the scope of a
new product to survive in such a market is low.
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Inference:
Above pie-chart shows the different factors of the brand that attracts the
consumers. We could infer that majority of the brands are consumed either because of
their use or the strong promotion through advertisements.
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Inference:
In spite of so many controversies regarding products 73% of the sampled
population feels that the shampoo they are consuming is safe for their hair, another
main reason being the set of standards followed by the company.
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Inference:
We could see that packaging standards is up to the mark as 90% of the people
say they are satisfied by it. Still companies do change their packaging to make it more
attractive and a new look helps them promote their product more.
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Inference:
From the above bar diagram we can see that 40% of the respondents say that
they vacillate to switch from their regular brands and thus it becomes difficult
sometimes to introduce a new brand in the market.
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Inference:
Now here we are trying to judge the advertisement recall rate so as to get
customers perception and remembrance of the brand. Only 34% of the sampled
population remembers the
latest advertisement of pantene the tarring Vipasha vashu.
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Inference:
Now here we are trying to judge the advertisement recall rate so as to get
customers perception and remembrance of the brand. Only 28% of the sampled
population remembers the
latest advertisement of Lux starring Karina Kapoor.
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Inference:
Now here we are trying to judge the advertisement recall rate so as to get
customers perception and remembrance of the brand. Only 66% of the sampled
population remembers the latest advertisement of Vivel Shapoo.
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Inference:
In this pie chart we are trying to show the consumption ratio for these three
different brands on the bases of the collected data form the respondents.
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Limitations
Every project has certain limitations which can also be inferred as we move on with
the report.
To start with, the first limitation which I came across was the market
fluctuation i.e in terms of demand/supply of the product. And hence this was
the major hurdle in calculating the market share and sales pattern of the brand.
Secondly the analysis part was done through the questionnaire. It also has
certain limitations which came across while conversing with the respondents.
Problems came over with the intellect of the questions which was to be kept
very simple so that everyone could understand, with the incomplete
questionnaires and no control over who completes it.
Third limitation faced was the data inadequacy as company bounds the sources
at certain level because some data has to be kept official and for company
records only.
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Recommendations
Crux of winning the market is strong distribution network.
Strong need to analyze and understand the market flatulencies so as to avoid
shortage of supply during peak seasons.
Must go for additional schemes apart from the regular schemes so as to retain
the customers and building relationships.
Availability of brand a matter of concern.
Keep awareness of the competitors policy.
Weekly evaluation of stock keeping units is essential
Computerized data log will be great help to keep backup of daily
transactions.
Purity of visi coolers at the outlets should be check daily.
There is wide scope in these types of shampoo market.
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Questionnaire:
1). Do you use any shampoo?
a) YES
b) NO
b) NO
b) NO
b) price
c) Effect
d) availability
e) Advertisements
6). Are you satisfied by the packaging standards of the shampoos product?
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a) YES
b) NO
b) NO
b) NO
10). Do you feel that shampoo is very useful for you hair health?
a) YES
b) NO
11). Rate your liking of shampoo, 5 being highest and 1 the lowest?
5
2 1
2 1
Lux
Vivel
Pantene
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12). Out of the under mentioned please tick for the advertisement?
Pantine : Katrina Kaif
Lux:
Karina Kapoor
Vivel:
Katrina Kaif
13). NAME: ..
14) Gender:
Male
Female
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Bibliography
Books and journals:
o Marketing Management - By Philip Kotler
o Research Methodology - by CR Kothari
Newspapers
Magazines
Financial Records
Web links:
o http://www.unilever.com/brands/personalcarebrands/Lux.aspx
o http://www.pg.com/index
o http://www.itcport.com/aboutus_corporateprofile.html
.
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