Topic: A Study on Customer Awareness of Birla Tyres
Submitted By: Mohd. Adeeb Khan MBA/12/2232 Its a division of Kesoram Industries, was founded in 1991. They manufacture tyres forautomobiles, motorcycles,commercial vehicles, farm vehicles and heavy earth-mover machinery. Headquarters Kolkata, India Number of locations Balasore, Orissa The company enjoyed an increase in turnover of Rs. 1947.22 crore in 2008 to Rs. 2849.61 crores in 2009.
BIRLA TYRES BIRLA TYRES From motorcycles to farm tractors, millions of people rely on Birla Tyres for their everyday needs.
Birla Tyres for different categories of vehicles:
Truck and Bus
Light Truck
Passenger Car
Motor Cycle
Farm
OTR and mining
Pepsico foods (Frito Lay) Lays. Kurkure. Aliva
Haldirams (Traditional Farsan.).
ITC Bingo
Parle (Musst Chips & Stix)
Parle Agro (Hippo)
Balaji (Chips).
Diamond (Chips).
Key Players (Packaged snacks category) 13% 48% 5% 34% Market Share (Packaged Snack Market) Bingo Lays Parle's Musst Others Market Share Mar 14, 2007 Bingo! was launched in March 2007 with a wide range of exciting packaged salted snacks. The range includes multiple flavor variants of Potato Chips & Finger Snacks.
The brand is associated with youth, fun and excitement. It fulfils the consumers need for variety and novelty in snacks. At present Bingo! has 4 sub-brands in its portfolio, each of which have unique values based on consumer need differentiation. - Bingo Yumitos - Bingo Mad Angles - Bingo Tede Mede - Bingo Tangles
To study distribution practices of the ITC in Contrast with Frito-Lay's and other companies To identify factors influencing customers brand choice. To examine comparative service quality across retailer base. To ensure availability and visibility of Bingo at Retail outlets. To offer suggestions for increasing market-share of ITC in Snacks Industry.
Objective of the Research RESEARCH METHODOLOGY Research Design Exploratory Area of Sampling Jaipur Sampling Technique Convenient Sampling Tools & Technique Bar Graphs Pie Charts Percentages & Average Research Instruments Questionnai re Personal Interview Primary Secondary Data Source Sample Size 210 Retailers 180 consumers Not Cooperative respondent : Out of the total respondent surveyed some of them were not cooperative due to which accurate prediction was not possible
confined Study: The study was confined to the Jaipur city only.
Limited Scope: The study has not been intended on a very large scale, have the possibility of errors, which cannot be ruled out.
LIMITATION OF THE STUDY
SALESMENS VISIT TO THE MARKET 180 190 95 80 0 100 200 300 400 500 ITC Lays Parle Diamond Interpretation:
Out of 210 outlets covered, 180 outlets are visited by the ITCs salesmen, Lays DS visits 190 outlets, Parle DS visits 95 outlets and Diamonds DS visit 80 outlets. In rural areas, at many outlets the DS of Lays and Parle do not visit the outlets. Distributor Salesman(DS) Visit in a week 0 100 200 300 400 500 once a week Twice a week Thrice a week more OTHERS Parle LAYS ITC Interpretation:-
DS of both the major brands Bingo and Lays visit market once in a week and are more in no., While other brands like Parle Visit the market twice in a week but they are lesser in no. Availability of Product 0 100 200 300 400 500 ITC LAYS Parle Others Interpretation:
Out of 210 outlets, LAYS is on the top of the chart with availability in 185 outlets whereas ITCs Bingo is available in 155 outlets. Parle is available in 43 and others including Parle, Crax, & Diamond are available in 90 outlets of the inner areas of city.
Preferred company 25% 41% 11% 23% Preferred Company ITC LAYS PARLE Others Total outlets ITC LAYS PARLE OTHERS 210 53 87 23 47 Interpretation: The above data clearly indicate that LAYS is most preferred Brand of the outlets as the result of higher consumer demand and a strong brand image of the company. Some outlets prefer the ITC and PARLE as they remain out of reach of the DS of LAYS. Grievance handling by Distributor Salesman(DS) Total Grievances Satisfied Dissatisfied ITC 180 133 47 LAYS 190 155 35 PARLE 95 76 19 74% 26% ITC Satisfied Dissatisfied Interpretation: Out of 180 retail outlets, DS are successful in handling 133 retailers grievances while 47 grievances remain dissatisfied. Continue 82% 18% LAYS Satisfied Dissatisfied 80% 20% PARLE Satisfied Dissatisfied Interpretation: Out of 190 retail outlets, 155 retailers grievances are satisfied while 35 grievances remain dissatisfied. Interpretation: Out of 95 retail outlets, 76 retailers grievances are satisfied while 19 grievances remain dissatisfied
Preferred Company 22% 53% 10% 15% Prefered Company ITC LAYS PARLE Total No. of Consumer ITC LAYS PARLE OTHERS 180 40 95 18 27 Interpretation: The above data clearly indicate that LAYS is most preferred company by the consumers due to a strong brand image of the company and also it matches their taste. ITC is trying its best to reach more and more consumers.
Factors affecting Preferred company
Interpretation: The above data clearly indicate that LAYS is most preferred company by the consumers due to a strong brand image of the company and also it matches their taste. ITC is trying its best to reach more and more consumers.
50% 17% 23% 10% Criteria for selection Taste Pricing Visiability/Availabili ty Others No. of Consumers Taste Pricing Visibility Others 180 90 31 41 18 Source of Knowledge Interpretation: The above data clearly indicate that visibility of the product at the outlet increases the knowledge of the consumer about the product. Also the recommendation of friends and relatives are always a major source of knowledge for any product. Magazines and newspaper also helps Brands to reach to the consumers.
50% 26% 14% 10% Source of knowledge Outlet Visibility Recommendations Magazines Others Total Consumers Outlet Visibility Friends Magazine/Newspaper Others 180 90 47 25 18 Areas of Improvement Interpretation: The above data clearly indicate that taste and marketing are the two major areas of concern where some improvements are required. Like taste of different flavors of Mad Angles is good but in wafers some difference with Excellency is required. 45% 30% 17% 8% Area of Improvements Taste Marketing Pricing Others Total Consumer Taste Marketing Pricing/Weight Others 180 81 54 32 13 The market share of Lays is more than ITCs Bingo.
Advertising policy of Lays is better then ITC so sincere efforts of Sales Promotion for Bingo are required.
A communication channel between retailer and company is required.
All the Sales Promotional Schemes should be communicated to Retailers properly and on time.
Lays scores on flavor while Bingo is crunchier. Right now Lays has the upper hand but Bingo has a good thing going with new and innovative products like 'Mad Angles and Tangles. Conclusions Width of distribution i.e. Total no. of outlets covered should be increased in order to bridge the distribution gap and for that ITC should increase no. of DS.
The profit margin on cost should be increased in order to compete with Lays.
ITC should also provide higher margin to wholesalers so that sales can be increased.
Sales promotion activities are required to increase the awareness of Bingo.
Retailers should be intimated about all the current Schemes on time.
Death stock should be replaced on time as per the convenience of Retailer.
ITC should adopt a different advertising policy in which the product should be endorsed by a Celebrity.
Recommendations and Suggestions BOOKS: Kotler Philip, Marketing management13 th Edition. Research Methodology- C.R.Kothari Principles of Marketing 13 th Edition- P. Kotler & Armstrong Malhotra, Naresh, MARKETTING RESEARCH- AN APPLIED ORIENTATION, Prentice Hall Of India Private Limited, New Delhi