Name: Vikrant Singh (2008 – 2010)

Title: Consumer Behavior on Snacks (Kurkure)

Summary

Objectives:

To analyze the consumer behavior and perception for Kurkure.

To understand the purchase behavior of consumer for kurkure.

To understand the power of reference group.

To understand role of shopkeeper in purchase decision.

To understand the impact of display and poster on consumers.

Conclusion :

The company has been around for quite some time. It has launched a wide array of

products to compete with Haldiram’s range. The company has also tried to take

advantage of its advertising and marketing strength to carve a bigger slice of market

share for itself.

The process by which an individual selects, organizes, and interprets stimuli into a

meaningful and coherent picture of the world is called perception. Kurkure is perceived

by consumer as snack and as food while journey. If you are hungry you can indulge

yourself with a snack. Teast works as stimuli to purchase the kurkure. Now Kurkure, is

ready to launch its sub brand category to increase its product line and its depth.

Consumers purchase decision mostly affected by product’s teast and availability but at

the large extent it also affected by the reference group such as parent, friends, sibling

etc. If you are going to purchase snacks normally you ask to other what would they like

to have. You can say friend and sibling work as opinion leader.

At the large extent customers purchase decision can be changed by shopkeeper, poster

and display. Research shows that if customer goes for shopping normally tell to the

shopkeeper ‘give me chips or namkeen’ or they just see the poster of any brand and

purchase that brand. If you have to purchase snacks suddenly then you are not able to

recall any brand at that time, you just see the poster of any brand and decide to

purchase it or take help to shopkeeper.

Recommendations:

Based on the complete analysis as presented above, we are pleased to make the

following recommendation for Pepsi Foods brand Kurkure:

South Indian Market: Kurkure’s dominant presence is in the northern and western

parts of India. It has a modest presence in the East and almost a negligible presence in

the southern markets. The consumer tastes are definitely very different from the

Northern Indian taste buds. But, Kurkure’s national promotional activity has created

visibility in the southern areas. Kurkure should come out with product extension catering

to the taste buds of the south Indians. Though it will be a tough challenge to substitute

staple snacks like Banana Chips etc, but it’s worth a market to try tapping.

3. Nut Based Snacks Historically it has been seen nut/dry fruit based snacks, has

always set aside the Indian taste. Haldiram’s product range capitalizes on this

very concept. Kurkure should bring out a product range tapping this consumer

taste pattern. May be it could be branded as Kurkure Nutties.

4. New Product Line: Kurkure should introduce a crispier and spicier product

range that can be positioned as a complement the Indian beverages like tea,

coffee to even target the large segment of snacks that are consumed with

alcohol. This needs to be carefully strategized and promoted, not to conflict with

the existing family product image of Kurkure.

5. Packaging & Promotion: The Company may explore cost effective technology

to have nitrogen flush packing for Kurkure to ensure better flavour and crispness

in the product. The company may also explore transparent window packs to give

better product visibility. To increase the promotion the company can come with

buy Kurkure and meet Juhi scheme in the sub urban towns. This will leverage the

packaged food sales in these areas. The urban market is a very competitive

battle ground with high gestation periods as compared with semi urban,

untapped instant snack market.

6. CRM: The brand has evolved. Initially the product was launched with an

awareness drive to educate customers about new product. Then the move was

towards developing brand visibility. Right now, with the brand ambassador

approach the company is trying to get brand association. The time is coming

when the product will reach its maturity stage. At that stage a need for

relationship and loyalty with customers will arise. The company will need newer

programmes for customer relationship management. This can be distributing

small gifts like recipe books and discount coupons for loyal customer.