1

DECLARATION

I the undersigned solemnly declare that the report of the project work entitled STUDY ON CONSUMER PREFERENCE TOWARDS MALTED FOODS WITH
SPECIAL REFERENCE TO HORLICKS IN RAIPUR CITY, is based my own work

carried out during the course of my study under the supervision of Prof. Dr.R K. AGRAWAL. I assert that the statements made and conclusions drawn are an outcome of the project work. I further declare that to the best of my knowledge and belief that the project report does not contain any part of any work which has been submitted for the award of any other degree/diploma/certificate in this University or any other University.

___________________ (Signature of the Candidate) VIVEK SINGH Roll No.: 5053608240

CERTIFICATE BY GUIDE

This to certify that the report of the project submitted is the outcome of the project work entitled STUDY ON CONSUMER PREFERENCE TOWARDS MALTED FOODS
WITH SPECIAL REFERENCE TO HORLICKS IN RAIPUR CITY carried out by Mr.

VIVEK SINGH, bearing Roll No. 5053608240 carried by under my guidance and supervision for the award of Degree in Master of Business Administration of Chhattisgarh Swami Vivekanand Technical University, Bhilai (C.G), India. To the best of the my knowledge the report i) ii) iii) Embodies the work of the candidate him/herself, Has duly been completed, Fulfils the requirement of the ordinance relating to the MBA degree of the University and iv) Is up to the desired standard for the purpose of which is submitted.

______________________ (Signature of the Guide) Prof. R.K.AGRAWAL Internal Guide Faculty of Management DIMAT, Raipur The project work as mentioned above is hereby being recommended and forwarded for examination and evaluation.

CERTIFICATE BYTHE EXAMINERS

This is to certify that the project entitled STUDY ON CONSUMER PREFERENCE

TOWARDS MALTED FOODS WITH SPECIAL REFERENCE TO HORLICKS IN RAIPUR CITY Submitted by Mr. VIVEK SINGH, Roll No.:5053608240 has been examined

by the undersigned as apart of the examination for the award of Master of Business Administration degree of Chhattisgarh Swami Vivekanand Technical University, Bhilai (C.G.).

________________ ________________ Name & Signature of Internal Examiner Date:

__________________ __________________ Name & Signature of External Examiner Date:

Forwarded by Academic Head Department of Management

ACKNOWLEDGEMENT

I express my sincere gratitude and thanks to Prof. Dr. R. Sathish for providing me opportunity to carry out this research work. My special thanks to Prof. R.K.AGRAWAL for giving me opportunity to do this report work and for her support and guidance without which this project would not have been possible. I also thank to the almighty, my parents, the library, my friends and respected faculty members, who helped me for the preparation of report, because without their support this report would not be completed.

VIVEK SINGH

ABSTRACT

In this project report I have survey the product performance and buying behavior of malted foods (Horlicks), which are consumed by people of all ages. During this research I have interacted with people of Raipur. After this research I came to know how people persue these product on the variables like price quality advertisement, satisfaction, taste, packaging, Brand loyalty etc. In view of above the survey on Study on Consumer Preference towards the Malted Foods with special reference to Horlicks in Raipur city has been conducted and the project work there of made as a matter of fact Consumer Preference is very important aspect of marketing

INDEX CHAPTERS Abstract Acknowledgement Index List of figures Chapter 1 1.1 1.2 1.3 Introduction to the topic Introduction Objective of the study Scope of the study Review On consumer preference towards malted 8 9-16 17 18 19-27 PARTICULARS PAGE NUM. 6 5 7

Chapter 2

food and other health drink Research Methodology Type of Research Sampling Test and Sample Size Data Analysis & Interpretation Project Findings 28-29 28 28 30-40 41

Chapter 3 3.1 3.2 3.4 3.5 Chapter 4 4.1 4.2 4.3 Chapter 5

Recommendations And Suggestions Limitations Conclusion References

42 43 44 45

Chapter 6

Annexure

46-50

6.1

Sample of questionnaire attached

46-50

INTRODUCTION TO THE TOPIC Project topic- consumer preference towards malted foods with special reference to horlicks in Raipur city 1.1 Introduction

In this project report I have survey the product performance and buying behavior of malted foods (Horlicks), which are consumed by people of all ages. During this research I have interacted with people of Raipur. After this research I came to know how people persue these product on the variables like price quality advertisement, satisfaction, taste, packaging, Brand loyalty etc. I also come to know which particular brand of malted foods is most preferred by people of different age group. In this research I have surveyed how frequently and how much malted foods they consume, whether they buy small, big or family pack. Trends of ongoing change in their liking have been shown in the report. Consumer preferences: All marketing start with the consumer So consumer is very important person to marketer. Consumer decides what to purchase, for whom to purchase, why to purchase, from where to purchase, and how much to purchase. In order to become a successful marketer, he must know the liking and disliking of the consumer. He must also know the time and the quantity of goods and service, a consumer may purchase. Gone are the days when the concept of market was let the buyers beware or when the market was mainly sellers market. Now the whole concept of consumers sovereignty prevails. The manufacturer produce and the seller sell whatever the consumer likes. In this sense the consumer is the supreme in the market. About horlicks. HORLICKS  HORLICKS NINJA  JUNIOR HORLICKS
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 MOTHERS HORLICKS  HORLICKS LITE  HORLICKS BISCUITS

Horlicks is the product of glaxo smith Kline pharmaceutical. Horlicks is the leading Health Food Drink in India and enjoys more than 50% share of the Health Food Drink Market. (Source: A.C Neilson report on market shares).Horlicks has been a popular brand in the country since the 1930s. Today, the modern Horlicks stands for trust and its promise of Pleasurable Nourishment with a delicious range of flavors including Chocolate, Vanilla and Elaichi. Horlicks is the only health drink, clinically proven* in India, to make kids taller, stronger and sharper. A premier research institute of India conducted a 14 month research on Horlicks in a reputed boarding school in Hyderabad. In the research, one group of children was given an ordinary health food drink without the Horlicks micronutrients (or vitamins and minerals) while the other group was given Horlicks. Many tests and 14 months later, it was concluded that the children who consumed Horlicks showed significant improvements in height, muscle mass, bone health and attention/concentration scores as compared to the children who consumed the ordinary health food drink without the Horlicks micronutrients (or vitamins and minerals) Horlicks is also available in a delicious chocolate flavor. When the temperatures soar and your throat feels like the Thar Desert, chilled chocolate Horlicks is the tastiest way to beat the heat. The nutrition of Horlicks packed with the lip-smacking chocolate flavor has won the hearts of children and adults alike so you hear them sing merrily jaise bhi kaise bhi doodh le ao, Chocolate Horlicks shake banao.'jaise bhi kaise bhi doodh le ao, Chocolate Horlicks shake banao..jaise bhi kaise bhi!'

Fun facts about Horlicks

 Horlicks was first invented to substitute milk as baby food

 The brand has been endorsed by Amitabh Bachchan on the radio(196070), Moon Moon Sen and her daughters Raima and Riya (1980s) and Vishwanathan Anand

 Horlicks, in India, has tied up with popular kids movies like Ice Age II and Superman Returns

 In India, over 2 billion cups of Horlicks are drunk every year!

 All Horlicks bottles sold in India in a year placed end to end would form a chain 6 times the length of the great wall of China

 Total Horlicks sold in a year weighs as much as 325 blue whales!!

HORLICKS BISCUITS With the Power of Calcium!' Horlicks Biscuits has been growing in popularity ever since it was launched in 1992. Extending the benefits of Horlicks to 'solid' nourishment, Horlicks Biscuits is a favourite among parents and children. Each pack contains the 'Power of Calcium' providing 100% RDA of calcium (as per Codex Ailementarius Commission of 1995).

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Horlicks Biscuits are available in two flavors - Standard & Elaichi - and live up to the Horlicks promise of 'great taste' and 'nourishment'.

'Horlicks Lite & Lite Bite': A nutritional drink & snack specially formulated for all health conscious adults and is also suitable for use by people with diabetes Horlicks Lite health food drink and Lite Bite biscuits was launched in the market in Sep 05. This range of products have been specially formulated keeping in mind nutritional needs of adults and is also suitable for use by people with diabetes. New Horlicks Lite with zero added sugar* and zero cholesterol  Contains 26 vital nutrients  Has high fibre  Is low fat  Has essential antioxidants Mother's Horlicks Mother's Horlicks, launched in 1997, is a superior nutritional supplement with 26 vital nutrients that is scientifically designed keeping the nutritional needs of the pregnant and breast feeding women in mind. An attempt to enhance nutritional superiority saw the launch of its new variant in May 2004 - Mother's Horlicks fortified with DHA.

This unique formulation has an essential fatty acid called docosahexaenoic acid or DHA from a vegetarian source. Numerous studies have suggested that DHA helps in brain development of the child during pregnancy and the first few years of life. It is important to note that in infants, breast milk is the only source of DHA.

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In addition to DHA, Mother's Horlicks supplies the recommended quantity of ideal quality proteins [with 100% amino acid score]. Mother's Horlicks, in three serves [6 scoops], provides 100% of the Recommended Dietary Allowance* [RDA] for iron, foliate, calcium, vitamins C, B2, B6 and B12 - nutrients that are essential for blood and bone health. Mother's Horlicks is also rich in antioxidants [vitamins A, E, selenium, zinc and copper] essential during pregnancy and lactation.

 70 % of an adults brain is formed before birth

 DHA is required for development of brain, eyes and nerves

 DHA is not easily available from average Indian diet

Moreover, Mother's Horlicks has been manufactured through a natural process of malting or germination that helps to produce enzymes which in turn helps to breakdown complex starches and proteins into simpler molecules making it easy to digest. Available in all leading chemist outlets in packs of 500 g (Rs. 200 only) and 200 g (Rs. 100 only), Mother Horlicks has best value for money and is the leading nutritional supplement for pregnant and breast feeding women. After all, every mother has a right to healthy babies

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Nutritional FactsPer 75g* 26 Vital Nutrients Total quantity % daily requirement* Development of brain, DHA 60mg NA eyes and nerves of the baby Protein Carbohydrates Fats Calories Elemental Iron Folate Vitamin C Vitamin B2 Vitamin B6 Vitamin B12 Iodine 15g 40.0g 10.9g 300Kcal 38mg 400mcg 80mg 1.6mg 2mg 2.8mcg 145mcg 1000 mcg 26 NA 36 15 100 100 100 100 100 100 50 100 Mental and physical development of the baby Energy Growth of the baby Benefits

Elemental

Development of strong

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Calcium Phosphorus Vitamin D Vitamin A Vitamin E Zinc Selenium Copper Vitamin B1 Niacin Magnesium Vitamin K Sodium Potassium Chloride 350mg 2.5mcg 650mcg 7.5mg 3mg 35mcg 0.7mg 0.7mg 9mg 50 50 50 50 25 50 50 50 50 25 50 75

bones and teeth of the baby

Antioxidant function and healthy immunity

Release of energy from food

87.5mg 45mcg 373mg 465mg 357mg

Normal blood clotting

Maintenance of 23 48 electrolyte balance

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Benefit for Mother

 A scientific combination of 26 vital nutrients for her all round health

 During lactation, it can help improve the quality and quantity of breast milk

Benefits for Baby

 Micronutrients and DHA have a significant role in psychomotor development

 Nourishment that can help improve the birth weight of babies.

DHA is important for brain development and intelligence. Makes up to 40% of the polyunsaturated fatty acid (PUFA) of the babys brain Is important for the development of eyes and nerves of the baby

JUNIOR HORLICKS 'Specially formulated for preschool children'

Preschool children may be fussy in consuming food and may often refuse or waste food that is nutritionally good for them. This may cause certain dietary gaps in the diet of preschool children. New Junior Horlicks 1-2-3TM provides essential nutrition and when taken as part of a healthy diet, helps complete A to Z nutrition for preschool kids. It was

15

launched in April 06 with an all new formulation and exciting new packaging. Presenting New Junior Horlicks 1-2-3TM with

 DHA for Brain Development: Just as calcium is essential for bones, DHA in one of the most important brain nutrients The and is an essential building block of the brain DHA and cells. average Indian diet may have low amounts of absence of DHA in

daily diet may impair intelligence. Maximum brain development happens by the age of 5. It is therefore essential to supplement your kids diet essential fatty acids like DHA.  100% Daily Quota* of key nutrients to keep children physically active.

 So along with DHA, Junior Horlicks 1-2-3TM provides of daily diet helps complete A to Z Nutrition.

essential nutrition, which as part

Also new Junior Horlicks 1-2-3TM now comes in a completely new pack. This pack is in the shape of a cute elephant and is something every child would love to play with.

*Folate, Vitamin B6, Vitamin C, Vitamin B2, Vitamin B12, Iron & Calcium In 2 serves as per US Guidelines 2001

This product is not an infant milk substitute or infant food for less than 2 years old. Junior Horlicks 1-2-3TM is a nutritional supplement which as part of daily diet helps meet your childs nutritional requirements.

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1.2 OBJECTIVES OF STUDY: 1. To study the preference of Horlicks in Raipur city.

2. To study the factors which influence the consumer preference for Horlicks.

3. To find out the other competitive product/brand in the same Category.

4. To study the satisfaction level of consumer towards the Horlicks.

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1.3 SCOPE OT THE STUDY The scope of my study restricts itself to the analysis of consumer preferences, perception and consumption of horlicks. There are many other brand of malted foods available but my study is limited to horlicks. The Scope of my study is also restricts itself to Raipur city.

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CHAPTER 2
2.1 LITERATURE REVIEW

A consumer is attached with a brand or new innovate product for self actualization as the time passes and the product moves towards its generic behavior the needs of consumer shift to basic requirement. In 1980s mineral water was for NRIs and high profile people but what now; mineral water is serving the mass as healthy water for safety requirement, no more a status symbol. Same was the case with mobile phones. There are thousands of examples to prove this. The level at which a brand starts in the hierarchy depends upon the level of need for the respective product. I support my argument with an example, In 1980s branded milk was a symbol of esteem. Now in 2007 majority of households in cities depend upon the Mother Dairy or Amul for their daily milk supply. The point here is that as the need of a product moves in the hierarchy so the respective brands. A brand moves with time from top level (self actualization) to lowest level (basic needs) of Maslows hierarchy. There might be many factors that affect the movement from top level to the basic level. I quote a few; Company pricing strategy, competitors in industry, distribution, disposable income of consumers and life style. According to literature, consumer behavior is divided into three sub categories; consumption behavior, purchase behavior and attitude perception. The consumer behavior differs with age-group and the lifestyle. A busy professional life left no space for exercise so a drink which contains low calorific value is a health drink. For kids health drink is a supplement with added calcium, minerals and vitamins. Milk stands apart with its strongest brand image. Encashment of Amul and mother dairy in milk segment is externally pillared on availability (Place), brand position of being pasteurized (promotion, product) and on price lesser then unbranded. Amul always portraits as a provider of milk and advertise its supply from villages. Here comes the next sub category of consumer behavior, purchase behavior. One cant replace milk with substitute (Dont forget the blunder of Complain).In this case the buyer and
19

decision-maker is house wife. Amul has only branded the milk with a competitive advantage of its distribution. On the other hand non-carbonated drink segment though does not challenge the health drink segment but indirectly competing with other health drinks. If we speculate the total non-carbonated drink segment sequentially, fruit drink takes 60% market share, Juices with 30% and nector with the remaining 10% market share constitute the total Rs 500 market of non-carbonated drink. The brands chasing the market are Parle's Frooti, Godrej's Jumpin, Coca Cola's Maaza, Pepsi's Tropicana, and Dabur's Real, Nastle's Milo, Soy milk from ProSoya and branded fruit juices from Surya Foods among others. Now question comes why it seems that they are competing in the health drink segment. The answer derived from the origin of the product-fruits, rich in natural fibers and other vitamins and minerals. The driver of demand lies in the consumption behavior, it is hard to carry a half eaten mango but a half consumed bottle of juice. Secondly the branded juices come with preservatives and can go for a period of time. Dabur is quite smart in reading the mind of consumer. The brand extension of Real in school-kid segment with two variants; Real Junior and Real School Pack proved its propensity for the market. The brand position for former is fruit juice with added calcium for 2-6 year old kids and later, Real School comes in a package of three with orange, mango and mixed fruit. The target consumer segment is professional ladies who have no time to make break fast or school Tiffins for kids. If you will see the printed-advertisement, you will see Tiffin is shown that has few pieces of bread and a Real tetra pack. On the other hand what Parle is doing with Frooti, just price variants? Kids are the most loyal consumers I ever seen on this earth_ . They demand Frooti straight away and if you will try to offer them another brand. They will make your life miserable. Try it out!! The discloser of strategy happens when Dabur targeting the buyers

convenience(mothers) and Parle cashes on its brand image among kids. Dabur does not want to leave any loophole so going ahead to grab the loyalty of buyer (mothers) it has started with innovative cuzines for packing a nutritive lunch for school going kids. It
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reminds me of two lovers, one impresses the parents of the lady and other just prove his faithfulness to her. I am not entirely wrong in this case as some gals see the brand Image and never go on face value but market price. Jokes apart, Till now we have seen that health segment is not restricted to milk or juices but the changing life style has given different means to it for different people and at different time. Moving to deliberately positioned health drinks which are categorized into white and brown segment and as a whole forms Rs 1,100 crore health food drinks (HFD) market. Despite the management strategy of GSKCH (GlaxoSmithKline Consumer Healthcare) and Cadbury's attempts to activate the category, the segment is flat as a growth curve. The strategic scenario is like Cadbury's Bournvita leads the HFD market, followed by GSKCH , striving hard to invade the market. The Horlicks, originally invented as a health drink for army men and then commercialized for mass is repositioned as a fun drink. GSKCH as usually like a challenger did not leave any stone unturned , more recently it has launched its brown drink Boost in 100gm sachets as well in Tetrapak as a ready-todrink product. GSKCH's Horlicks and other brands like Boost, Viva, Malt ova, together have a 75 % share of the health food drinks market. Horlicks alone, as a white average, is believed to have an over 50 % market share. GSK, to stronger its position in the health drink market worked the way internsindia.com predicted. The brands were Viva, Maltova and Boost and key parameter was packaging. Viva has been repositioned as a traditional family health drink while Malt ova has been repositioned as a tasty chocolate-based drink for children. Boost has also been repositioned as an energy drink. They have covered the major segments fall in different age group. GSKs share in the market is around Rs 1,000 crore from four brands, including Horlicks. Because of the repositioning, Boost's share in the market has grown to 14 per cent from around 12 per cent last year. Horlicks' share remains steady at around 54 percent, including all its variants. While all segments of the beverage market are evolving, the growth seems to be directed more towards healthy, light and lowcalorie drinks, in particular organic and fruit juice varieties. Nestls Milo, however, being a brown drink faces direct competition from Cadbury's Bournvita and GSKCH's Boost. The market has marginally moved from the white malted beverages to the brown
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segment. The latest to join the race is GCMMF, which has relaunched its health food drink branded as Amul Shakti. -------------------------------------------------------------------------There is one thing common in all the brand positions, Guess What? These brands are not repeating the mistake of Complain who tried to challenge the existence of milk. All these brands positioned as a supplement health drink. Different companies have different assumptions to trap its consumer base. Some believe in targeting mothers and some believe in targeting the consumers (kids) directly. If you track the life of a human being since first month after his birth till his death, you will a pattern in the change of consumption behavior and purchase decisions. Till the child is of 2 years, Cereal is the favorite brand of a mother-a decision maker. Now the time comes for schooling where Horlicks, Bournvita and Boost take up the preference of the decision maker (again the mum) positioned as a supplement for growth. Dabur is trying to space in this segment placing Real Junior and Real School with different variants of fruits. Frooti is already there but with taste based position. So keeping milk apart now the fight is between fruit juice and added supplements. Horlicks took height issue as its benefit based brand position. On the other hand Dabur took attribute based position. Bournvita is smart enough to position on chocolate taste. It wider the consumer segment for all age group (Who hates chocolate milk) As the age increases and life style through friend circle infect one another, the psyche takes a new shape. It is the time when the decision maker is the consumer itself. The meanings change for a health drink. Now the health drink is one which is low calorific and high as a social drink. No doubt some companies are pushing beer and coffee as a health drink. For this age group inclination is higher for carbonated drink. Diet Coke is a live example for it. Coffee at the branded place like caf coffee day, barista and McDonalds is also opted as a social drink. A few sips of coffee with friends or partner is deriving the sales margins for this segment. In this segment health drink takes lesser place as a separate entity. Now its time for a professional who slog in long working hours. No time for physical exercise, health is a precautive issue, less caloric intake and sufficient minerals compose the requirement.
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Hygiene is at the apex of the priority list. . Here comes the time for branded water with added minerals. Isnt a health drink?? Who says? Companies like PepsiCo, Coca-Cola and Bisleri got Health as their brand position for a color less and odorless product. Sooner the time will come for vitamin and smart water. This cycle goes till the age a person is in its professional life. In the age above 50 all the health drinks restricted to less calorie intake, high minerals and vitamins. Have you ever thought why the force is working on health drinks not on health foods? The answer is consumption behavior if one drinks 5 bottles of apple juice in a day it would be thought as dieting but if one will eat snacks 5 times of same calorific value as 5 bottle of apple juice, he will be rewarded as biggest eater. Ha Ha Ha!! Its all about psyche, away from reasoning. In the next article internsindia.com will predict the possibility of brand reposition and competitive situation of the market and will compare and contract the brands as per the market realities. Competition do negotiate, its another thing some are negotiated unconsciously.

Which is harder, getting your child to drink milk or do moths? The answer is that it depends on how you flavor both. Just as a good teacher can make maths interesting, a good flavor can sell a million tones of malted/milk-based beverages. This is important because the market for these beverages has taken off, and is currently growing at about 20 per cent a year. In 2002, the market had been declining by 7 per cent. So, given such a healthy growth rate, new players should be able to enter the market and dip into the pail easily, right? Wrong, as Nestle just discovered. Its brand, Milo, quietly bit the dust some months ago when the company decided to stop production. According to the trade, irregular distribution and lack of marketing did it in. Even at its

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peak, its market share never went up beyond 3 per cent, say sources in the trade. By March-April 2009, however, this figure had dropped to a meager 0.5 per cent. Nestle declined to comment on whether this failure was the result of it having a different taste as compared to its international variants. Nevertheless, an unfazed Nestle is considering introducing a ready-to-drink milk-based beverage called Milo Smart Plus. The product is being test marketed currently, says a spokesperson for the company. GlaxoSmithKline (GSK), Cadbury and Heinz have done better. They have seen their milk-based beverages become a major component of their product line-up. Of course, these companies have the advantage of being in the market for relatively longer. GSKs Horlicks, for example, has been in the Indian market since the 1930s, before undergoing a revamp in 2003 when the whole industry was stagnating and the products in this segment were beginning to acquire an old-fashioned image. Lions share Years of experience in the market have given GSK a decisive edge over others and its brands have continued their dominance through the ages. Apart from being the secret of Sachin Tendulkars energy, Boost has also enabled GSK to capture a lions share of the milk beverages market. GSKs Executive Vice-President (Marketing), Subhajit Sen, says, Horlicks and Boost give us two-thirds of the market share in milk-based beverages. Boost alone holds a 13 per cent market share all over India while in South India this figure goes up to 24 per cent. Its clear from these numbers that these beverages form a sizeable part of GSKs operations. The Horlicks brand has evolved into more than just malted beverages. With variants such as Horlicks Lite, Mothers Horlicks and Junior Horlicks, the brand now caters to the needs of the whole family. In 1992, the Horlicks brand also branched out into biscuits and earlier this month launched Junior Horlicks biscuits for toddlers. The Horlicks brand alone contributes almost 80 per cent to GSKs revenues.

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The fact that GSK has two more milk beverages in the same market Viva and Maltova gives it a firm grip on the market. According to Sen, Viva and Maltova are popular in select markets in areas such as West Bengal and Tamil Nadu where they have found favor for a long time. Their popularity is largely taste-based, he explains. The difference between the three brands of malted beverages under the GSK umbrella is marginal. Viva and Maltova are niche products with long-time consumers still sticking with them. The other major player in this segment, Cadbury, too believes that Bournvita is an important part of its arsenal. Sanjay Purohit, Executive Director (Marketing), Cadbury India, says, Bournvita is the second largest brand from the Cadbury stable after Cadbury Dairy Milk. Bournvita has approximately 25 per cent share of Cadbury Indias total revenue.Bournvita, like Horlicks, has been present in India for a long time, since 1948 to be precise. This, coupled with strong marketing campaigns over the years, has meant that Bournvita has continued as a strong player. The Bournvita Quiz Contest, which began as an event held in cities in 1972 and went on to capture television audiences in the 1990s, further established Bounvita as a household name. Bournvitas taste has always set it apart from the rest of the competition. This is quite understandable as Cadbury was always best known for its chocolates. Not one to lose out to its competitors, Bournvita finally launched a new variant for toddlers called Bournvita Lil Champs. Both GSK and Heinz have variants of the beverages for toddlers in the market.

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Complan, originally a GSK product, completes the holy trinity in the domestic milk beverages market. Complan had been in the market since 1969. However, since Heinz acquired GSKs food division in 1994, Complan has developed into one of Heinzs flagship brands. It has become a household name in terms of its nutritional value.Sudip Shah, Vice-President (Marketing), Heinz India, says, Complan is an iconic brand in Heinz Indias portfolio that has earned the trust and goodwill of discerning Indian consumers for over four decades. Complan has set new standards in delivering nutritional benefits.The brand was recently embroiled in a controversy over its claims of providing faster height growth. Shah believes the claim is tangible and proven. He says Complan is one of the fastest growing brands in the category. To take advantage of the local taste palette, Complan expanded its portfolio by launching the Kesar Badam flavour.Complan too has extended itself to variants beyond milk-based beverages. Shah says, We have now extended Complans promise of nutrition to the entire family through Complan Nutri Bowl Muesli. It is well positioned to reach out to health-conscious families. The muesli is available in three flavours. Price no bar As far as the price positioning is concerned, theres some difference between the three market leaders. According to a Delhi retailer, while a 500 gm pack of Complan is sold for Rs 174, both Bournvita and Horlicks retail for Rs 131. Milo, on the other hand, was sold at a lesser amount of Rs 88 for the same weight, as per sources in Nestle. Thats 49 per cent lesser than the cost of Complan. This indicates that the milk beverage market is driven more by individual tastes, usually acquired over time, than price. Being in the market for decades has given GSK, Cadbury and Heinz control of the malted

26

beverages market. Consumers have become accustomed to these brands and generally seem reluctant to shift loyalties to newer brands. In such a scenario, new entrants face an uphill task of bringing out a product exciting enough to lure consumers The white malts category constitutes 60 per cent of the overall HFD market and Horlicks, along with Junior Horlicks, is the market leader with a 57 per cent market share. The brown beverages -- consisting of brands like Boost and Maltova (Glaxo SmithKline Consumer Healthcare Ltd, GSK), Bournvita (Cadbury), and Milo (Nestle) -form the remaining part of the HFD market...

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CHAPTER 3 RESEARCH METHODOLOGY

3.1 Type of Research Descriptive Research Design 3.2 Sampling Technique and Sample size Sample Size The sample size in this study is 200. Sampling Technique: The sampling is stratified random sampling by taking Raipur as center and stratified the respondents according to the age and profession. Below 20 20-30 30-40 40 Above Students Housewives & Business persons Housewives & Business persons Housewives & Business persons

3.3 SOURCES OF DATA Primary Data: y The data has been collected directly from respondent with the help of structured questionnaire Secondary data: y The secondary data has been collected from internet, reference from library.

TOOLS AND TECHNIQUES OF ANALYSIS y y y Statistical charts Line chart and column chart Bar charts
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Pie charts

3.4 Data analysis and interpretation: 1. Do you use Horlicks? Yes No

Preference to horlicks

33, 33%

67, 67%

Yes

No

Interpretation: 67% consumers prefer Horlicks.

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2.

Do the Horlicks is easily available? Yes No

Easy avalability
10, 10%

Yes

90, 90%

No

Interpretation: 90% consumers said that Horlicks is easily available to them.

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3.

Do you think that the Horlicks is useful for all age group? Yes No cant say

Usability to all age groups

80

Yes, 70
70 60 50 40 30 Series1

No, 20
20 10 0

Can't say, 10

Yes Series1 70

No 20

Can't say 10

Interpretation: 70% consumers think that Horlicks is useful for all age group, but 20% are not agreeing with rest of the consumers.

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4.

Please tell us how you would rate Horlicks on the following attribute. High Quality Expensive A brand I can trust Well Built A good value

Rating for Horlicks

A good value 10 10% High Quality 49 49% High Quality Expensive A brand I can trust Well Built A good value A brand I can trust 35 35% Expensive 2 2%

Well Built 4 4%

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Interpretation: 49% consumers rate horlicks a high quality product and 35% rate it as a trust worthy brand.10% rate it as a good value product. 5. What other brand of malted foods have you used before? Complan bournvita Boost Milo I havent use, but I am familiar with all.

Other Milo 3 Havent use 3% 5 5%

brands

Complan 20 20%
Complan

Boost 35 35% bounvita 37 37%

Horlicks Boost Milo Havent use

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Interpretation: 37% & 35% consumers used bounvita and Boost respectively before.

6.

How interested are you in buying horlicks, if it is available? Not at all interested Not very interested

Neither interested not uninterested Somewhat interested Very interested

Not at all 3 3%

Interest In Buying Horlicks

Not very 9 9% Nigther/ Nor 8 8%

Very 61 61%

Somewhat 19 19%

Not at all

Not very

Nigther/ Nor

Somewhat

Very

34

Interpretation: 61% consumers are very interested, 19% are somewhat interested in buying Horlicks, but 3% are not at all interested in buying Horlicks.

7.

What is your reaction to the horlicks? Poor Fair Good Very good Excellent

Reaction towards horlicks

Series1 Poor Fair Good Very good Excellent 0 9 11 31 49

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Interpretation: 49% consumers said Horlicks an excellent product 31% said very good and 11% said it a good product.

What would be your most important factors in choosing horlicks? (Please check three) Price Best performance High quality Discount Good warranty service

Brand name

Shopping convenience

fectors choosing horlicks

discount price best performance brand name good warranty high quality

0% 29% 29%

0% 13% 29%

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Interpretation: 70% consumers influenced by the price, best performance and high quality and 30% influenced by shopping convenience and brand name. 9. The medium which influence you, deciding to buy horlicks?

Internet/ Website Word-of-mouth Industry publication Advertisements Trade shows/ Events

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Influencing media
Trade shows/ Internet/ Website Events 1 4 1% 4%

Internet/ Website Advertisements 38 38% Word-of-mouth 48 48% Word-of-mouth Industry publication Advertisements Industry publication 9 9% Trade shows/ Events

Interpretation: The main medium influences consumers are word-of mouth (48%) and advertisements (38%). 10. How you feel when you use Horlicks? Place the check under the face that express how you feel--

38

ok 7 7% happy 4 4%

somewhat 3 3%

Satisfaction level
nat at all 0 0%

satisfy 12 12%

Extermly 74 74%

Extermly

satisfy

happy

ok

somewhat

nat at all

Interpretation: 74% consumers are extremely satisfied, and 12% are satisfied with Horlicks.

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11.

Any suggestion/recommendation for the enrichment of our product.

Suggesions

12 Any other flavor

Should make populer in 40 above age group

34

Interpretation: 34 consumers suggested that there should be some another flavor of Horlicks and 12 said that firm should make Horlicks more popular among 40 above age group.

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3.6 PROJECT FINDINGS

1.

Horlicks is the market leader with 67% market share in malted food category in Raipur city.

2.

Among the different age group of consumers the consumer below 20 years preferred Horlicks the most.

3.

The consumer choosing the Horlicks because of its high quality, taste and affordable price.

4.

Among the other competitive product in same category burnvita and Boost are the major competitors.

5.

Consumer rate the Horlicka a trustworthy brand.

6.

Advertisement & word-of-mouth publicity are the main medium which influences the consumers most.

7.

The consumers are well satisfied with the quantity and performance of Horlicks.

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CHAPTER 4 4.1RECOMMENDATIONS AND SUGGESTION

1. They should introduce some other flavors of Horlicks in the market.

2. They have to make popular their product to above 40 age group also.

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4.2 LIMITATIONS

1. Sample size:

Due to vast area the consumers sample size restricted to 200 only.

2. Limitation of response: The response given to the researchers were not always accurate since preference is qualitative indicator the respondents regarding their understanding of preference.

3. Limitation of bias:

Generally respondents are based to the question raised, thus the result of research will have error and the very purpose of marketing research is lost. Therefore took utmost care while dealing with respondents.

4. Limitation of human behavior: Researches studies the behavior that is rational. Very often, they do not express their feeling correctly what they think. In such cases their habitual, practice, preferences cannot be assessed correctly.

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4.3CONCLUSION

Horlicks is highly accepted by the consumer in malted foods category among the other brands available in the same category and Advertisement policy and quality of product results the high preference of consumers.

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BLIOGRAPHY Books: Research Methodology Website: www.horlicksindia.com www.Ask.com C. R. Kothari

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ANNEXURE QUESTIONNAIRE

A study on consumer preferences towards malted foods with special references to Horlicks at Raipur city .

Personal Information

a) b)

NameAge- Below 20 20-30 30-40 40 Above

c) d) e)

AddressProfessionGenderM F

General Information

1.

Do you use Horlicks? Yes No

46

2.

Is the Horlicks is easily available? Yes No

3.

Do you think that the Horlicks is useful for all age group? Yes No cant say

4.

Please tell us how you would rate Horlicks on the following attribute. Rate between 1 to 5 High Quality Expensive A brand I can trust Well Built A good value

5.

What other brand of malted foods have you used before? Complan Burnvita Boost

47

Milo I havent use, but I am familiar with all.

6.

How interested are you in buying Horlicks, if it is available? Not at all interested Not very interested Neither interested not uninterested Somewhat interested Very interested

7.

What is your reaction to the Horlicks? Poor Fair Good Very good Excellent

8.

What would be your most important factors in choosing Horlicks? (Please check three) Price Best performance

48

Good warranty service Brand name High quality Shopping convenience Discount

9.

The medium which influence you deciding to buy Horlicks? Internet/ Website Word-of-mouth Industry publication Advertisements Trade shows/ Events

10.

How you feel when you use Horlicks? Place the check under the face that express how you feel------

49

11.

Any suggestion/recommendation for the enlistment of Horlicks. -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

50