Download - Chocolate Industry
CHOCOLATE INDUSTRY
Management Research Project-1
Submitted
In the partial fulfilment of the Degree of
Master of Business Administration
Semester-1
By
Name Mauli Y Parekh Roll No25
Name Vandana Bhagchandani Roll No2
Under the Guidance of
Prof Rachita Jayswal
Submitted To
AMPICS Institute of Management
Ganpat University
Kherva
November 2010
1
Contents
SR NO
Particular
Executive SummaryObjective and ScopeObjectiveScopeResearch MethodologyIdentification of TopicResearch typeResearch DesignData collectionSample SizeSelection of BrandsResearch InstrumentsHistory of chocolate Chocolate industry- An OverviewNational brandsCadburyParleAmulNestle IndiaLocal brandsMichirsquosBaba kentLinkageSecondary objectiveMarket strategyTarget audiencePackaging amp labellingQuestionnaireAnalysisNational brands analysisLocal brands analysisOverall view Kids surveyFinding amp recommendationBibliography
PREFACE
2
As a part of MBA curriculum and in order to gain practical knowledge in fieldOf management we are required to make a report on any Business related topic
The basic objective behind this project is to gain the knowledge about the Consumer Behaviour and to interpret its various implications We have selected the topic Consumer Behaviour Regarding Chocolate Industry
The chocolate industry is an ever-growing industry and is expected to face a boom in the coming years too A large numbers of Chocolate industries have been established in Gujarat Also a majority of the Industrial Units are established at Naroda Narol and Kubernagar in Ahemdabad
The preparation of this project is mainly based on the facts and findings noted through the primary data collected by us from the visits to the companies and from various written and published documents
The objectives of the report are to understand the factors influencing the purchase decision of the brands of chocolate industry in ahemdabad and to find out the marketing strategies and problems of chocolates industry
The scope of our project is limited to the chocolates industry and is confined to the industrial units located in ahemdabad
Inspite of our best efforts there may be errors of omission and commissions in the project for which we as a group take full responsibility
3
ACKNOWLEDGEMENT
Though this acknowledement we express our sincere gratitude towards all those people who have helped us in the preparation of this project which has been learing exprience
We appreciate the co-operation extended by the marketing heads of all the companies in giving us all imformation that made it possible for us to make this project
We would like to thank the director Prof(Mrs)HDTrivedi the faculty the computer lab operator the librarian and the administative staff of BK majumdar institute of business administration-HLBBA for their support
Finally we express our sincere thanks to Prof Arun Prasad who guided us throughout the project and gave us valuable suggestions and encouragement
4
EXECUTIVE SUMMARY OFCHOCOLATE INDUSTRY
BACKGROUND
The origins of chocolate can be traced back to the ancient Maya and Aztec civilizations in Central America who first enjoyed chocolate a much-prized spicy drink made from roasted cocoa beans Chocolates bars are first manufactured at a confectionery level in the year 1765 Chocolate was first manufactured at Milan The chocolate industry has undergone a sea of changes in past years Advent of industrialization opened new avenues for chocolate industry There are many famous brands are available in chocolate industry Some imminent brands in chocolate are Nestle Cadbury Amul Gand many more The process of chocolate making is quite interesting The therapeutic uses of chocolates are established scientifically Many international brands of chocolates are available worldwide Depending upon what goes into it there are many types of chocolates available now These types of chocolate include cocoa powder dark chocolates bittersweet chocolate semi sweet chocolate sweet dark chocolate milk chocolate The chocolate industry has grown to a worldwide industry topping $50 Billion in retail sales worldwide and continues to show healthy growth Recently there has been an increasing trend towards high quality chocolates such as chocolates with high cocoa content and or chocolates flavored with natural flavors and rich spices
OBJECTIVE
The primary objective of our project is to study the factors influencing the purchase decision of rural and urban consumers consuming different types of national and local chocolates
The secondary objective of our project is to find out different types of marketing strategies used by retailers and wholesalers
5
SCOPE
The scope of our research is confined to the chocolate industry only We will be limiting our findings to only retail consumption The scope of our survey will be limiting to Ahmedabad city only For the purpose of our study we will choose four representatives of this industry viz
NATIONAL BRANDS LOCAL BRANDS
1) Cadbury 1) Kent
2) Nestle India 2) Michi
3) Amul 3) Pelican
4) Parle 4) Ayush
RESEARCH METHODOLOGY
RESEARCH TYPE
We will follow the descriptive type of research
RESEARCH DESIGN
We will adopt the survey method and observation method A survey research will help us in studying the extent to which the factors influence the purchase decisions
6
DATA SOURCES
PRIMARY SOURCES
We will collect a survey amongst consumers of different types of chocolates We will also collect information from various company offices
SECONDARY SOURCES
We will referring to various websites journals books magazines etc
RESEARCH INSTRUMENT
The research instrument will be questionnaire
CONCLUSION
From this project we will expect to find out the factors affecting the extent to which they affect the purchase decisions
7
ContentPreface 1Acknowledgement 2Executive summary 3
ParticularExecutive SummaryObjective and ScopeObjectiveScopeResearch MethodologyIdentification of TopicResearch typeResearch DesignData collectionSample SizeSelection of BrandsResearch InstrumentsHistory of chocolate Chocolate industry- An OverviewNational brandsCadburyParleAmulNestle IndiaLocal brandsMichirsquosBaba kentLinkageSecondary objectiveMarket strategyTarget audiencePackaging amp labellingQuestionnaireAnalysisNational brands analysisLocal brands analysisOverall view Kids surveyFinding amp recommendationBibliography
Bibliography
Books
8
Philip kotler and Gary Armstrong principle of marketing10th edition
News Papers
The economic times
The Hindu business line
Websites
wwwrediffcomwwwbusiness-standardcomwwwIndia-statscomwwwAgencyfaqscomwwwEquitymastercomwwwmyiriscomwwwthehindubusinesslinecom
9
Annexure 1
Types of Chocolates
Depending on what is added to (or removed from) the chocolate liquor different flavors andvarieties of chocolate are produced Each has a different chemical make-up the differences are notsolely in the taste1 Unsweetened or Baking chocolate is simply cooled hardened chocolate liquor It is usedprimarily as an ingredient in recipes or as a garnish2 Semi-sweet chocolate is also used primarily in recipes It has extra cocoa butter and sugaradded Sweet cooking chocolate is basically the same with more sugar for taste3 Milk chocolate is chocolate liquor with extra cocoa butter sugar milk and vanilla addedThis is the most popular form for chocolate It is primarily an eating chocolateCocoa is chocolate liquor with much of the cocoa butter removed creating a fine powder It canpick up moisture and odors from other products so you should keep cocoa in a cool dry placetightly covered
There are several kinds of cocoa1048707 Low-fat cocoa has the most fat removed It typically has less than ten percent cocoa butterremaining1048707 Medium-fat cocoa has anywhere from ten to twenty-two percent cocoa butter in it1048707 Drinking or Breakfast cocoa has over twenty-two percent left in it This is the cocoa used inchocolate milk powders like Nestles Quik1048707 Dutch process cocoa is cocoa which has been specially processed to neutralize the naturalacids in the chocolate It is slightly darker and has a much different taste than regular cocoaDecorators chocolate or confectioners chocolate isnt really chocolate at all but a sort of chocolateflavored candy used for things such as covering strawberries It was created to melt easily and hardenquickly but it isnt chocolate
Categories of Chocolates
Commercial Chocolates are available in the following forms1 Bars or Moulded Chocolates2 Counts3 Panned Chocolates (Gems)4 Eacuteclairs5 Assorted ChocolatesBars or moulded chocolates (like Dairy Milk Truffle Amul Milk Chocolate Nestle Premium andNestle Milky Bar) comprise the largest segment accounting for 37 of the total chocolate market involume terms Wafer chocolates such as Kit-Kat and Perk also belong to this segment Pannedchocolates accounts for 10 of the total chocolate market
10
MAJOR PLAYERS
In Ahmedabad In India1) Ravalgaon 1) Cadbury2) Palican 2) Nestle3) Rommy 3) Amul 4) Ayush 4) Parle5) Kim Kim 5) Candyman6) Micky 6) Parry
11
Annexure 2
MARKETING STRATEGY
PRODUCTS
Decision regarding appearance size shapes weight brand packing etc are taken
PRICE
Decision regarding prize policy credit policy are taken In Urja fabrics pvt ltd the price is governed by market value based price The customerrsquos queries have to be answered within 24 hours
PLACE
Decision regarding wholesale and retail merchants channels of distribution physical decision etc are taken
PROMOTION
Decision regarding advertisement personal selling publicity and sales promotion are taken
COMPETITORS
When competition is healthy it motivates and encourages the companies to bring about drastic change in its management to stand with the competition They are forced to improve the quality of goods and prove them at low rates
12
Followings are the marketing strategy adopted by different malls of Ahmedabad city
Place No of chocolates
Price Packaging Supply chain Advertisement
Big Bazzar
Cadbury Rs5 to 90
Box bottle wrapper
Head Office(Mumbai)
___
Gallops CadburyNestle
Rs 10 to 300
Wrapper BoxPaper packaging
Local suppliers ___
Amul (retail outlet)
Amul Rs 5 to 150
Box packetswrapper
Dairy TV advertisement
Reliance Fresh
Cadbury Rs 5 to 150
Box bottle wrappers
Head Office(Mumbai)
___
Place Majorcustomers
Profit Occasions Selling Units
Schemes
Big Bazzar All 7-10 Rakhi ampDiwali Single units __Gallops Collegians amp
Children20 Christmas
Diwali RakhiSingle Units __
Amul(retail outlet)
All (majority youngsters)
20 All time hit Single units __
Reliance fresh Cadbury __ Adults Single units __
Analysis
These are the information available from different malls and retail outlets of Ahmadabad From the above information we can clearly says that mostly all the malls are selling chocolates Cadbury brand only and very few are selling nestle brand All of them are chocolates between the ranges of Rs 5 to Rs 300 Mostly they are supplying chocolates from the head office of Bombay only Amul supplying chocolates from dairy The profit margin rate of all of them is between 7 to 20 All of them are selling chocolates in single unit only and none of them are providing any schemes on sale of chocolate
13
Following are the marketing strategies adopted by different types of Shops of Ahmedabad city
Place No of chocolates Price Packaging Supply ChainShrinath parlor Cadbury
NestleAmulParle
5 -5005-10Rs 5Rs 1
__Gokul DasVeer coAshok mrktngPrecise sell
Ambika Dairyfarm
CadburyNestleParle
1 to 1751 to 10050 to 5
Tin Boxes Gokul dasVeer coPrecise sell
Krishna dairy CadburyNestleParle
1-3001-10050-5
Tinboxes Gokul DasVeer coPrecise sell
RB stores CadburyNestleParle
5-302-12050-1
__Gokul DasVeer coPrecise sell
Place Major customers Profit Occasion SellingUnits
Schemes
Shrinath parlor Kids amp adults 7-8 Rakhi amp Diwali Single units __
Ambika dairy farm
Kids 5-8 All occasions Single units Discounts at festivals
Krishna dairy farm
Kids 10-25 All occasions Single units __
RB stores Kids amp Adults 7-10 Rakhi diwalibirthday
Single units __
Analysis
These are the different type of available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Cadbury nestle amul parleThey are selling chocolates between the price range of 050 paisa to Rs 300All the retailers are purchasing Cadbury chocolates from only one distributor and that is Gokul das Same as they are purchasing nestle chocolates from veer co Parle from precise sells and amul from ashok marketing Generally all the shops earning profit between 7-25 And they are selling chocolates in single units
Following are the marketing strategies of rural brands of chocolates adopted by different shops in Ahmedabad city
Place No of chocolates Price Packaging Supply Chain
14
Aashapura KentLemoMichi
Rs 25 to 2 Plastic Wrapper Kalupur
Jitubhai Kent PelicanAayushKim Kim
Rs 25 to 5 Wrapper Kalupur
Chamunda stores KentLemoMichiPelicanAayushKim KimAasha
Rs 10 to 30 Tin boxes Packets Jar
Naroda
Satyavijay KentLemoMichiPelicanAayushKim Kim
Rs 10 to 50 Tin boxes Packets Jar
Naroda
Place Major customers Profit Occasion SellingUnits
Schemes
Aashapura Kids amp adults 5-7 - Single units __
Jitubhai Kids 5-8 All occasions Single units __Chamunda stores
JashriDeepak storesSurajNaveenshah
8-11 All occasions except feb-march
Bulk __
Satyavijay Kids amp Adults 7-10 __ Bulk __
Analaysis
These are the different type of rural brand chocolates available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Kent Lemo Michi and Aayush They are selling chocolates between the price range of Rs 10 to Rs 30 All the wholesellers are purchasing Kent chocolates from only one distributor and that is Kent Food Product Naroda Same as they are purchasing
15
Michi chocolates from JRJ Products Ltd Madhupur etc and they are selling these chocolates in bulk to retailers Generally all the shops earning profit between 5-7 And they are selling chocolates in single unit between the price ranges of 25 to 2
16
Annexure 3
OVERALL REVIEW
Talking about chocolate market in a nutshell we came to know that now dayrsquos chocolates of national band are mostly popular within both local and urban people The main reason being that the availability of national brands of chocolates like Cadbury Amul Nestle and Parle are widely available even in slums Itrsquos becoming popular in both rural and urban areas
Generally observed phenomenon is that women prefer more chocolates than men do Youngster and children up to specific age are the target audience They are concentrated and their needs are taken into consideration
For urban area precisely Dairy milk 5 star eclair munch kit Kat celebrations temptations are more famous while in rural areas chocolates like kacha aam cokanaka aayush roomy pelican and roul gun are the most consumed
While we concuted a survey among the kids they preferred those chocolates with attractive wrappers They preferred those of different shapes and sizes and with those of transparent boxes
While we conducted a survey among the kids they prefered with attractive wrappers They preferred with those of different shapes and sizes and with those of transparent boxes
When we went for retail survey we went for retail survey we came to know what their selling strategies were and what were their mostly demanded chocolates We even went to Amul for survey where we identified that consumers of Amul chocolate are in plenty
When we surveyed about chocolate consumed in our college canteen all of them said that Dairymilks were in demand So from all the above information we come to know that Cadbury is most popular brand than other brands of chocolates
17
Annexure 4
FINDINGS
We have to various conclusions from this project We have found that
1 INCOME
Income as a factor affects purchase decision indirectly ie almost all brands of chocolate are at different prices Hence it might not affect consumers purchase decision then However the same brands of chocolate are priced more at Malls So consumers become more sensitive at such places
For a consumer who has an income less than Rs 10000 he will not always be able to afford 20-50 rupees for a chocolate Hence he might spend 5 rupees for a chocolate
2 BRAND PREFRENCE amp BRAND LOYALTY
A large number of consumers have a first preference of Cadbury followed by Nestle Amul and parle Yet if the preferred brand is not available then they would switch to other brands This shows that the level of brand loyalty among consumers is very low Although Cadbury is one of the most reputed brands it does not have brand loyalty
3 AVAILIBILITY
Availability is not a factor that a consumer keeps in mind while purchasing any brand of chocolate However now a days chocolates being necessity in many occasions a consumers will purchase any brand available if his preferred brand is not available This shows that availability affects a consumer to a great extent
Taste
Many consumers purchase a brand of chocolates on the basis of how the chocolate tastes consumers appeal that they find few of the chocolates bitter in taste Hence they tend to avoid purchasing those brands as far as possible Yet on the other hand there are consumers who love the bitter taste of chocolate Hence it is a matter of consumerrsquos percieverence
Size
We have seen that usually chocolates of rs 5 to rs 10 are consumed This is followed by chocolats of rs 203050 and so on However all brands are not available in all size
18
Hence consumer who want to purchase chocolates of rs 5 and 10 of a particular brand and if it is not available than they would switch to another brand in which that size is available
PricePrice is an important factor affecting the purchase decision of consumers However consumers were agreed that they are ready to buy a brand even if its price increase They were not ready to compromise their perceived quality of the brand
Packaging and Labeling
A large number of consumers said that packaging and labeling of a brand of chocolates does not affect the purchase decision While the consumer among the lower age group especially the kids gives priority to packaging and labeling Packaging can help brand volumes but cannot be the driver
Brand awareness
Consumers are well aware of the various brands in the market One of the brands that they were ever to recall the most was CADBURY While surveying we found that CADBURY today has become synonymous to chocolates
Advertisement
Advertisement plays a small role in influencing the purchase decision of consumer Advertisement has managed to make consumer aware of various brands It helps in influencing the purchase decision only when all the brands of chocolates are available Brands like CADBURY NESTLE AMUL spend lot of money on advertisement to increase their sales on the other hand local manufactures without advertisement manage to sell their products in the market
Own experienceA large no of consumers said that they would purchase a brand of chocolates based on their own experience of taste perceived quality and so on
Brand nameIt can be seen that various brand have created a brand image for themselves in the minds of consumers When all the brands are available they purchased chocolates on the basis of brand name
Word of mouthMost consumers felt that word of mouth does not affect their purchased decision
19
No brand differentiation
There is no brand differentiation in the market ie even though people ask for dairy milk they satisfied if they walk away with 5starkit-kat munch amul or any other chocolates of any brand
RECOMMENDATION
1 The national brands of chocolates should also be made easily available and consumable in rural areas too 2 The local chocolates are widely popular in specific localities They could even be supplied in a wider area3 As per public opinion the respondents even wanted to experience varities in taste in a specific brands The companies can look forward to that4 In the lower age group between 10 to 20 the teens even wanted different sizes in shapes in chocolate For eg free of our respondents even desire to have chocolats of heart shapes specially for gifting others5 No schemes are introduced in chocolates on regular basis Schemes should be their for few of the expensive brands6 For bringing inovvation chocolate should even be made of different colurs For eg chocolates of Black White Red pink blue and so on would be widely accepted by the children
20
21
Contents
SR NO
Particular
Executive SummaryObjective and ScopeObjectiveScopeResearch MethodologyIdentification of TopicResearch typeResearch DesignData collectionSample SizeSelection of BrandsResearch InstrumentsHistory of chocolate Chocolate industry- An OverviewNational brandsCadburyParleAmulNestle IndiaLocal brandsMichirsquosBaba kentLinkageSecondary objectiveMarket strategyTarget audiencePackaging amp labellingQuestionnaireAnalysisNational brands analysisLocal brands analysisOverall view Kids surveyFinding amp recommendationBibliography
PREFACE
2
As a part of MBA curriculum and in order to gain practical knowledge in fieldOf management we are required to make a report on any Business related topic
The basic objective behind this project is to gain the knowledge about the Consumer Behaviour and to interpret its various implications We have selected the topic Consumer Behaviour Regarding Chocolate Industry
The chocolate industry is an ever-growing industry and is expected to face a boom in the coming years too A large numbers of Chocolate industries have been established in Gujarat Also a majority of the Industrial Units are established at Naroda Narol and Kubernagar in Ahemdabad
The preparation of this project is mainly based on the facts and findings noted through the primary data collected by us from the visits to the companies and from various written and published documents
The objectives of the report are to understand the factors influencing the purchase decision of the brands of chocolate industry in ahemdabad and to find out the marketing strategies and problems of chocolates industry
The scope of our project is limited to the chocolates industry and is confined to the industrial units located in ahemdabad
Inspite of our best efforts there may be errors of omission and commissions in the project for which we as a group take full responsibility
3
ACKNOWLEDGEMENT
Though this acknowledement we express our sincere gratitude towards all those people who have helped us in the preparation of this project which has been learing exprience
We appreciate the co-operation extended by the marketing heads of all the companies in giving us all imformation that made it possible for us to make this project
We would like to thank the director Prof(Mrs)HDTrivedi the faculty the computer lab operator the librarian and the administative staff of BK majumdar institute of business administration-HLBBA for their support
Finally we express our sincere thanks to Prof Arun Prasad who guided us throughout the project and gave us valuable suggestions and encouragement
4
EXECUTIVE SUMMARY OFCHOCOLATE INDUSTRY
BACKGROUND
The origins of chocolate can be traced back to the ancient Maya and Aztec civilizations in Central America who first enjoyed chocolate a much-prized spicy drink made from roasted cocoa beans Chocolates bars are first manufactured at a confectionery level in the year 1765 Chocolate was first manufactured at Milan The chocolate industry has undergone a sea of changes in past years Advent of industrialization opened new avenues for chocolate industry There are many famous brands are available in chocolate industry Some imminent brands in chocolate are Nestle Cadbury Amul Gand many more The process of chocolate making is quite interesting The therapeutic uses of chocolates are established scientifically Many international brands of chocolates are available worldwide Depending upon what goes into it there are many types of chocolates available now These types of chocolate include cocoa powder dark chocolates bittersweet chocolate semi sweet chocolate sweet dark chocolate milk chocolate The chocolate industry has grown to a worldwide industry topping $50 Billion in retail sales worldwide and continues to show healthy growth Recently there has been an increasing trend towards high quality chocolates such as chocolates with high cocoa content and or chocolates flavored with natural flavors and rich spices
OBJECTIVE
The primary objective of our project is to study the factors influencing the purchase decision of rural and urban consumers consuming different types of national and local chocolates
The secondary objective of our project is to find out different types of marketing strategies used by retailers and wholesalers
5
SCOPE
The scope of our research is confined to the chocolate industry only We will be limiting our findings to only retail consumption The scope of our survey will be limiting to Ahmedabad city only For the purpose of our study we will choose four representatives of this industry viz
NATIONAL BRANDS LOCAL BRANDS
1) Cadbury 1) Kent
2) Nestle India 2) Michi
3) Amul 3) Pelican
4) Parle 4) Ayush
RESEARCH METHODOLOGY
RESEARCH TYPE
We will follow the descriptive type of research
RESEARCH DESIGN
We will adopt the survey method and observation method A survey research will help us in studying the extent to which the factors influence the purchase decisions
6
DATA SOURCES
PRIMARY SOURCES
We will collect a survey amongst consumers of different types of chocolates We will also collect information from various company offices
SECONDARY SOURCES
We will referring to various websites journals books magazines etc
RESEARCH INSTRUMENT
The research instrument will be questionnaire
CONCLUSION
From this project we will expect to find out the factors affecting the extent to which they affect the purchase decisions
7
ContentPreface 1Acknowledgement 2Executive summary 3
ParticularExecutive SummaryObjective and ScopeObjectiveScopeResearch MethodologyIdentification of TopicResearch typeResearch DesignData collectionSample SizeSelection of BrandsResearch InstrumentsHistory of chocolate Chocolate industry- An OverviewNational brandsCadburyParleAmulNestle IndiaLocal brandsMichirsquosBaba kentLinkageSecondary objectiveMarket strategyTarget audiencePackaging amp labellingQuestionnaireAnalysisNational brands analysisLocal brands analysisOverall view Kids surveyFinding amp recommendationBibliography
Bibliography
Books
8
Philip kotler and Gary Armstrong principle of marketing10th edition
News Papers
The economic times
The Hindu business line
Websites
wwwrediffcomwwwbusiness-standardcomwwwIndia-statscomwwwAgencyfaqscomwwwEquitymastercomwwwmyiriscomwwwthehindubusinesslinecom
9
Annexure 1
Types of Chocolates
Depending on what is added to (or removed from) the chocolate liquor different flavors andvarieties of chocolate are produced Each has a different chemical make-up the differences are notsolely in the taste1 Unsweetened or Baking chocolate is simply cooled hardened chocolate liquor It is usedprimarily as an ingredient in recipes or as a garnish2 Semi-sweet chocolate is also used primarily in recipes It has extra cocoa butter and sugaradded Sweet cooking chocolate is basically the same with more sugar for taste3 Milk chocolate is chocolate liquor with extra cocoa butter sugar milk and vanilla addedThis is the most popular form for chocolate It is primarily an eating chocolateCocoa is chocolate liquor with much of the cocoa butter removed creating a fine powder It canpick up moisture and odors from other products so you should keep cocoa in a cool dry placetightly covered
There are several kinds of cocoa1048707 Low-fat cocoa has the most fat removed It typically has less than ten percent cocoa butterremaining1048707 Medium-fat cocoa has anywhere from ten to twenty-two percent cocoa butter in it1048707 Drinking or Breakfast cocoa has over twenty-two percent left in it This is the cocoa used inchocolate milk powders like Nestles Quik1048707 Dutch process cocoa is cocoa which has been specially processed to neutralize the naturalacids in the chocolate It is slightly darker and has a much different taste than regular cocoaDecorators chocolate or confectioners chocolate isnt really chocolate at all but a sort of chocolateflavored candy used for things such as covering strawberries It was created to melt easily and hardenquickly but it isnt chocolate
Categories of Chocolates
Commercial Chocolates are available in the following forms1 Bars or Moulded Chocolates2 Counts3 Panned Chocolates (Gems)4 Eacuteclairs5 Assorted ChocolatesBars or moulded chocolates (like Dairy Milk Truffle Amul Milk Chocolate Nestle Premium andNestle Milky Bar) comprise the largest segment accounting for 37 of the total chocolate market involume terms Wafer chocolates such as Kit-Kat and Perk also belong to this segment Pannedchocolates accounts for 10 of the total chocolate market
10
MAJOR PLAYERS
In Ahmedabad In India1) Ravalgaon 1) Cadbury2) Palican 2) Nestle3) Rommy 3) Amul 4) Ayush 4) Parle5) Kim Kim 5) Candyman6) Micky 6) Parry
11
Annexure 2
MARKETING STRATEGY
PRODUCTS
Decision regarding appearance size shapes weight brand packing etc are taken
PRICE
Decision regarding prize policy credit policy are taken In Urja fabrics pvt ltd the price is governed by market value based price The customerrsquos queries have to be answered within 24 hours
PLACE
Decision regarding wholesale and retail merchants channels of distribution physical decision etc are taken
PROMOTION
Decision regarding advertisement personal selling publicity and sales promotion are taken
COMPETITORS
When competition is healthy it motivates and encourages the companies to bring about drastic change in its management to stand with the competition They are forced to improve the quality of goods and prove them at low rates
12
Followings are the marketing strategy adopted by different malls of Ahmedabad city
Place No of chocolates
Price Packaging Supply chain Advertisement
Big Bazzar
Cadbury Rs5 to 90
Box bottle wrapper
Head Office(Mumbai)
___
Gallops CadburyNestle
Rs 10 to 300
Wrapper BoxPaper packaging
Local suppliers ___
Amul (retail outlet)
Amul Rs 5 to 150
Box packetswrapper
Dairy TV advertisement
Reliance Fresh
Cadbury Rs 5 to 150
Box bottle wrappers
Head Office(Mumbai)
___
Place Majorcustomers
Profit Occasions Selling Units
Schemes
Big Bazzar All 7-10 Rakhi ampDiwali Single units __Gallops Collegians amp
Children20 Christmas
Diwali RakhiSingle Units __
Amul(retail outlet)
All (majority youngsters)
20 All time hit Single units __
Reliance fresh Cadbury __ Adults Single units __
Analysis
These are the information available from different malls and retail outlets of Ahmadabad From the above information we can clearly says that mostly all the malls are selling chocolates Cadbury brand only and very few are selling nestle brand All of them are chocolates between the ranges of Rs 5 to Rs 300 Mostly they are supplying chocolates from the head office of Bombay only Amul supplying chocolates from dairy The profit margin rate of all of them is between 7 to 20 All of them are selling chocolates in single unit only and none of them are providing any schemes on sale of chocolate
13
Following are the marketing strategies adopted by different types of Shops of Ahmedabad city
Place No of chocolates Price Packaging Supply ChainShrinath parlor Cadbury
NestleAmulParle
5 -5005-10Rs 5Rs 1
__Gokul DasVeer coAshok mrktngPrecise sell
Ambika Dairyfarm
CadburyNestleParle
1 to 1751 to 10050 to 5
Tin Boxes Gokul dasVeer coPrecise sell
Krishna dairy CadburyNestleParle
1-3001-10050-5
Tinboxes Gokul DasVeer coPrecise sell
RB stores CadburyNestleParle
5-302-12050-1
__Gokul DasVeer coPrecise sell
Place Major customers Profit Occasion SellingUnits
Schemes
Shrinath parlor Kids amp adults 7-8 Rakhi amp Diwali Single units __
Ambika dairy farm
Kids 5-8 All occasions Single units Discounts at festivals
Krishna dairy farm
Kids 10-25 All occasions Single units __
RB stores Kids amp Adults 7-10 Rakhi diwalibirthday
Single units __
Analysis
These are the different type of available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Cadbury nestle amul parleThey are selling chocolates between the price range of 050 paisa to Rs 300All the retailers are purchasing Cadbury chocolates from only one distributor and that is Gokul das Same as they are purchasing nestle chocolates from veer co Parle from precise sells and amul from ashok marketing Generally all the shops earning profit between 7-25 And they are selling chocolates in single units
Following are the marketing strategies of rural brands of chocolates adopted by different shops in Ahmedabad city
Place No of chocolates Price Packaging Supply Chain
14
Aashapura KentLemoMichi
Rs 25 to 2 Plastic Wrapper Kalupur
Jitubhai Kent PelicanAayushKim Kim
Rs 25 to 5 Wrapper Kalupur
Chamunda stores KentLemoMichiPelicanAayushKim KimAasha
Rs 10 to 30 Tin boxes Packets Jar
Naroda
Satyavijay KentLemoMichiPelicanAayushKim Kim
Rs 10 to 50 Tin boxes Packets Jar
Naroda
Place Major customers Profit Occasion SellingUnits
Schemes
Aashapura Kids amp adults 5-7 - Single units __
Jitubhai Kids 5-8 All occasions Single units __Chamunda stores
JashriDeepak storesSurajNaveenshah
8-11 All occasions except feb-march
Bulk __
Satyavijay Kids amp Adults 7-10 __ Bulk __
Analaysis
These are the different type of rural brand chocolates available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Kent Lemo Michi and Aayush They are selling chocolates between the price range of Rs 10 to Rs 30 All the wholesellers are purchasing Kent chocolates from only one distributor and that is Kent Food Product Naroda Same as they are purchasing
15
Michi chocolates from JRJ Products Ltd Madhupur etc and they are selling these chocolates in bulk to retailers Generally all the shops earning profit between 5-7 And they are selling chocolates in single unit between the price ranges of 25 to 2
16
Annexure 3
OVERALL REVIEW
Talking about chocolate market in a nutshell we came to know that now dayrsquos chocolates of national band are mostly popular within both local and urban people The main reason being that the availability of national brands of chocolates like Cadbury Amul Nestle and Parle are widely available even in slums Itrsquos becoming popular in both rural and urban areas
Generally observed phenomenon is that women prefer more chocolates than men do Youngster and children up to specific age are the target audience They are concentrated and their needs are taken into consideration
For urban area precisely Dairy milk 5 star eclair munch kit Kat celebrations temptations are more famous while in rural areas chocolates like kacha aam cokanaka aayush roomy pelican and roul gun are the most consumed
While we concuted a survey among the kids they preferred those chocolates with attractive wrappers They preferred those of different shapes and sizes and with those of transparent boxes
While we conducted a survey among the kids they prefered with attractive wrappers They preferred with those of different shapes and sizes and with those of transparent boxes
When we went for retail survey we went for retail survey we came to know what their selling strategies were and what were their mostly demanded chocolates We even went to Amul for survey where we identified that consumers of Amul chocolate are in plenty
When we surveyed about chocolate consumed in our college canteen all of them said that Dairymilks were in demand So from all the above information we come to know that Cadbury is most popular brand than other brands of chocolates
17
Annexure 4
FINDINGS
We have to various conclusions from this project We have found that
1 INCOME
Income as a factor affects purchase decision indirectly ie almost all brands of chocolate are at different prices Hence it might not affect consumers purchase decision then However the same brands of chocolate are priced more at Malls So consumers become more sensitive at such places
For a consumer who has an income less than Rs 10000 he will not always be able to afford 20-50 rupees for a chocolate Hence he might spend 5 rupees for a chocolate
2 BRAND PREFRENCE amp BRAND LOYALTY
A large number of consumers have a first preference of Cadbury followed by Nestle Amul and parle Yet if the preferred brand is not available then they would switch to other brands This shows that the level of brand loyalty among consumers is very low Although Cadbury is one of the most reputed brands it does not have brand loyalty
3 AVAILIBILITY
Availability is not a factor that a consumer keeps in mind while purchasing any brand of chocolate However now a days chocolates being necessity in many occasions a consumers will purchase any brand available if his preferred brand is not available This shows that availability affects a consumer to a great extent
Taste
Many consumers purchase a brand of chocolates on the basis of how the chocolate tastes consumers appeal that they find few of the chocolates bitter in taste Hence they tend to avoid purchasing those brands as far as possible Yet on the other hand there are consumers who love the bitter taste of chocolate Hence it is a matter of consumerrsquos percieverence
Size
We have seen that usually chocolates of rs 5 to rs 10 are consumed This is followed by chocolats of rs 203050 and so on However all brands are not available in all size
18
Hence consumer who want to purchase chocolates of rs 5 and 10 of a particular brand and if it is not available than they would switch to another brand in which that size is available
PricePrice is an important factor affecting the purchase decision of consumers However consumers were agreed that they are ready to buy a brand even if its price increase They were not ready to compromise their perceived quality of the brand
Packaging and Labeling
A large number of consumers said that packaging and labeling of a brand of chocolates does not affect the purchase decision While the consumer among the lower age group especially the kids gives priority to packaging and labeling Packaging can help brand volumes but cannot be the driver
Brand awareness
Consumers are well aware of the various brands in the market One of the brands that they were ever to recall the most was CADBURY While surveying we found that CADBURY today has become synonymous to chocolates
Advertisement
Advertisement plays a small role in influencing the purchase decision of consumer Advertisement has managed to make consumer aware of various brands It helps in influencing the purchase decision only when all the brands of chocolates are available Brands like CADBURY NESTLE AMUL spend lot of money on advertisement to increase their sales on the other hand local manufactures without advertisement manage to sell their products in the market
Own experienceA large no of consumers said that they would purchase a brand of chocolates based on their own experience of taste perceived quality and so on
Brand nameIt can be seen that various brand have created a brand image for themselves in the minds of consumers When all the brands are available they purchased chocolates on the basis of brand name
Word of mouthMost consumers felt that word of mouth does not affect their purchased decision
19
No brand differentiation
There is no brand differentiation in the market ie even though people ask for dairy milk they satisfied if they walk away with 5starkit-kat munch amul or any other chocolates of any brand
RECOMMENDATION
1 The national brands of chocolates should also be made easily available and consumable in rural areas too 2 The local chocolates are widely popular in specific localities They could even be supplied in a wider area3 As per public opinion the respondents even wanted to experience varities in taste in a specific brands The companies can look forward to that4 In the lower age group between 10 to 20 the teens even wanted different sizes in shapes in chocolate For eg free of our respondents even desire to have chocolats of heart shapes specially for gifting others5 No schemes are introduced in chocolates on regular basis Schemes should be their for few of the expensive brands6 For bringing inovvation chocolate should even be made of different colurs For eg chocolates of Black White Red pink blue and so on would be widely accepted by the children
20
21
As a part of MBA curriculum and in order to gain practical knowledge in fieldOf management we are required to make a report on any Business related topic
The basic objective behind this project is to gain the knowledge about the Consumer Behaviour and to interpret its various implications We have selected the topic Consumer Behaviour Regarding Chocolate Industry
The chocolate industry is an ever-growing industry and is expected to face a boom in the coming years too A large numbers of Chocolate industries have been established in Gujarat Also a majority of the Industrial Units are established at Naroda Narol and Kubernagar in Ahemdabad
The preparation of this project is mainly based on the facts and findings noted through the primary data collected by us from the visits to the companies and from various written and published documents
The objectives of the report are to understand the factors influencing the purchase decision of the brands of chocolate industry in ahemdabad and to find out the marketing strategies and problems of chocolates industry
The scope of our project is limited to the chocolates industry and is confined to the industrial units located in ahemdabad
Inspite of our best efforts there may be errors of omission and commissions in the project for which we as a group take full responsibility
3
ACKNOWLEDGEMENT
Though this acknowledement we express our sincere gratitude towards all those people who have helped us in the preparation of this project which has been learing exprience
We appreciate the co-operation extended by the marketing heads of all the companies in giving us all imformation that made it possible for us to make this project
We would like to thank the director Prof(Mrs)HDTrivedi the faculty the computer lab operator the librarian and the administative staff of BK majumdar institute of business administration-HLBBA for their support
Finally we express our sincere thanks to Prof Arun Prasad who guided us throughout the project and gave us valuable suggestions and encouragement
4
EXECUTIVE SUMMARY OFCHOCOLATE INDUSTRY
BACKGROUND
The origins of chocolate can be traced back to the ancient Maya and Aztec civilizations in Central America who first enjoyed chocolate a much-prized spicy drink made from roasted cocoa beans Chocolates bars are first manufactured at a confectionery level in the year 1765 Chocolate was first manufactured at Milan The chocolate industry has undergone a sea of changes in past years Advent of industrialization opened new avenues for chocolate industry There are many famous brands are available in chocolate industry Some imminent brands in chocolate are Nestle Cadbury Amul Gand many more The process of chocolate making is quite interesting The therapeutic uses of chocolates are established scientifically Many international brands of chocolates are available worldwide Depending upon what goes into it there are many types of chocolates available now These types of chocolate include cocoa powder dark chocolates bittersweet chocolate semi sweet chocolate sweet dark chocolate milk chocolate The chocolate industry has grown to a worldwide industry topping $50 Billion in retail sales worldwide and continues to show healthy growth Recently there has been an increasing trend towards high quality chocolates such as chocolates with high cocoa content and or chocolates flavored with natural flavors and rich spices
OBJECTIVE
The primary objective of our project is to study the factors influencing the purchase decision of rural and urban consumers consuming different types of national and local chocolates
The secondary objective of our project is to find out different types of marketing strategies used by retailers and wholesalers
5
SCOPE
The scope of our research is confined to the chocolate industry only We will be limiting our findings to only retail consumption The scope of our survey will be limiting to Ahmedabad city only For the purpose of our study we will choose four representatives of this industry viz
NATIONAL BRANDS LOCAL BRANDS
1) Cadbury 1) Kent
2) Nestle India 2) Michi
3) Amul 3) Pelican
4) Parle 4) Ayush
RESEARCH METHODOLOGY
RESEARCH TYPE
We will follow the descriptive type of research
RESEARCH DESIGN
We will adopt the survey method and observation method A survey research will help us in studying the extent to which the factors influence the purchase decisions
6
DATA SOURCES
PRIMARY SOURCES
We will collect a survey amongst consumers of different types of chocolates We will also collect information from various company offices
SECONDARY SOURCES
We will referring to various websites journals books magazines etc
RESEARCH INSTRUMENT
The research instrument will be questionnaire
CONCLUSION
From this project we will expect to find out the factors affecting the extent to which they affect the purchase decisions
7
ContentPreface 1Acknowledgement 2Executive summary 3
ParticularExecutive SummaryObjective and ScopeObjectiveScopeResearch MethodologyIdentification of TopicResearch typeResearch DesignData collectionSample SizeSelection of BrandsResearch InstrumentsHistory of chocolate Chocolate industry- An OverviewNational brandsCadburyParleAmulNestle IndiaLocal brandsMichirsquosBaba kentLinkageSecondary objectiveMarket strategyTarget audiencePackaging amp labellingQuestionnaireAnalysisNational brands analysisLocal brands analysisOverall view Kids surveyFinding amp recommendationBibliography
Bibliography
Books
8
Philip kotler and Gary Armstrong principle of marketing10th edition
News Papers
The economic times
The Hindu business line
Websites
wwwrediffcomwwwbusiness-standardcomwwwIndia-statscomwwwAgencyfaqscomwwwEquitymastercomwwwmyiriscomwwwthehindubusinesslinecom
9
Annexure 1
Types of Chocolates
Depending on what is added to (or removed from) the chocolate liquor different flavors andvarieties of chocolate are produced Each has a different chemical make-up the differences are notsolely in the taste1 Unsweetened or Baking chocolate is simply cooled hardened chocolate liquor It is usedprimarily as an ingredient in recipes or as a garnish2 Semi-sweet chocolate is also used primarily in recipes It has extra cocoa butter and sugaradded Sweet cooking chocolate is basically the same with more sugar for taste3 Milk chocolate is chocolate liquor with extra cocoa butter sugar milk and vanilla addedThis is the most popular form for chocolate It is primarily an eating chocolateCocoa is chocolate liquor with much of the cocoa butter removed creating a fine powder It canpick up moisture and odors from other products so you should keep cocoa in a cool dry placetightly covered
There are several kinds of cocoa1048707 Low-fat cocoa has the most fat removed It typically has less than ten percent cocoa butterremaining1048707 Medium-fat cocoa has anywhere from ten to twenty-two percent cocoa butter in it1048707 Drinking or Breakfast cocoa has over twenty-two percent left in it This is the cocoa used inchocolate milk powders like Nestles Quik1048707 Dutch process cocoa is cocoa which has been specially processed to neutralize the naturalacids in the chocolate It is slightly darker and has a much different taste than regular cocoaDecorators chocolate or confectioners chocolate isnt really chocolate at all but a sort of chocolateflavored candy used for things such as covering strawberries It was created to melt easily and hardenquickly but it isnt chocolate
Categories of Chocolates
Commercial Chocolates are available in the following forms1 Bars or Moulded Chocolates2 Counts3 Panned Chocolates (Gems)4 Eacuteclairs5 Assorted ChocolatesBars or moulded chocolates (like Dairy Milk Truffle Amul Milk Chocolate Nestle Premium andNestle Milky Bar) comprise the largest segment accounting for 37 of the total chocolate market involume terms Wafer chocolates such as Kit-Kat and Perk also belong to this segment Pannedchocolates accounts for 10 of the total chocolate market
10
MAJOR PLAYERS
In Ahmedabad In India1) Ravalgaon 1) Cadbury2) Palican 2) Nestle3) Rommy 3) Amul 4) Ayush 4) Parle5) Kim Kim 5) Candyman6) Micky 6) Parry
11
Annexure 2
MARKETING STRATEGY
PRODUCTS
Decision regarding appearance size shapes weight brand packing etc are taken
PRICE
Decision regarding prize policy credit policy are taken In Urja fabrics pvt ltd the price is governed by market value based price The customerrsquos queries have to be answered within 24 hours
PLACE
Decision regarding wholesale and retail merchants channels of distribution physical decision etc are taken
PROMOTION
Decision regarding advertisement personal selling publicity and sales promotion are taken
COMPETITORS
When competition is healthy it motivates and encourages the companies to bring about drastic change in its management to stand with the competition They are forced to improve the quality of goods and prove them at low rates
12
Followings are the marketing strategy adopted by different malls of Ahmedabad city
Place No of chocolates
Price Packaging Supply chain Advertisement
Big Bazzar
Cadbury Rs5 to 90
Box bottle wrapper
Head Office(Mumbai)
___
Gallops CadburyNestle
Rs 10 to 300
Wrapper BoxPaper packaging
Local suppliers ___
Amul (retail outlet)
Amul Rs 5 to 150
Box packetswrapper
Dairy TV advertisement
Reliance Fresh
Cadbury Rs 5 to 150
Box bottle wrappers
Head Office(Mumbai)
___
Place Majorcustomers
Profit Occasions Selling Units
Schemes
Big Bazzar All 7-10 Rakhi ampDiwali Single units __Gallops Collegians amp
Children20 Christmas
Diwali RakhiSingle Units __
Amul(retail outlet)
All (majority youngsters)
20 All time hit Single units __
Reliance fresh Cadbury __ Adults Single units __
Analysis
These are the information available from different malls and retail outlets of Ahmadabad From the above information we can clearly says that mostly all the malls are selling chocolates Cadbury brand only and very few are selling nestle brand All of them are chocolates between the ranges of Rs 5 to Rs 300 Mostly they are supplying chocolates from the head office of Bombay only Amul supplying chocolates from dairy The profit margin rate of all of them is between 7 to 20 All of them are selling chocolates in single unit only and none of them are providing any schemes on sale of chocolate
13
Following are the marketing strategies adopted by different types of Shops of Ahmedabad city
Place No of chocolates Price Packaging Supply ChainShrinath parlor Cadbury
NestleAmulParle
5 -5005-10Rs 5Rs 1
__Gokul DasVeer coAshok mrktngPrecise sell
Ambika Dairyfarm
CadburyNestleParle
1 to 1751 to 10050 to 5
Tin Boxes Gokul dasVeer coPrecise sell
Krishna dairy CadburyNestleParle
1-3001-10050-5
Tinboxes Gokul DasVeer coPrecise sell
RB stores CadburyNestleParle
5-302-12050-1
__Gokul DasVeer coPrecise sell
Place Major customers Profit Occasion SellingUnits
Schemes
Shrinath parlor Kids amp adults 7-8 Rakhi amp Diwali Single units __
Ambika dairy farm
Kids 5-8 All occasions Single units Discounts at festivals
Krishna dairy farm
Kids 10-25 All occasions Single units __
RB stores Kids amp Adults 7-10 Rakhi diwalibirthday
Single units __
Analysis
These are the different type of available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Cadbury nestle amul parleThey are selling chocolates between the price range of 050 paisa to Rs 300All the retailers are purchasing Cadbury chocolates from only one distributor and that is Gokul das Same as they are purchasing nestle chocolates from veer co Parle from precise sells and amul from ashok marketing Generally all the shops earning profit between 7-25 And they are selling chocolates in single units
Following are the marketing strategies of rural brands of chocolates adopted by different shops in Ahmedabad city
Place No of chocolates Price Packaging Supply Chain
14
Aashapura KentLemoMichi
Rs 25 to 2 Plastic Wrapper Kalupur
Jitubhai Kent PelicanAayushKim Kim
Rs 25 to 5 Wrapper Kalupur
Chamunda stores KentLemoMichiPelicanAayushKim KimAasha
Rs 10 to 30 Tin boxes Packets Jar
Naroda
Satyavijay KentLemoMichiPelicanAayushKim Kim
Rs 10 to 50 Tin boxes Packets Jar
Naroda
Place Major customers Profit Occasion SellingUnits
Schemes
Aashapura Kids amp adults 5-7 - Single units __
Jitubhai Kids 5-8 All occasions Single units __Chamunda stores
JashriDeepak storesSurajNaveenshah
8-11 All occasions except feb-march
Bulk __
Satyavijay Kids amp Adults 7-10 __ Bulk __
Analaysis
These are the different type of rural brand chocolates available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Kent Lemo Michi and Aayush They are selling chocolates between the price range of Rs 10 to Rs 30 All the wholesellers are purchasing Kent chocolates from only one distributor and that is Kent Food Product Naroda Same as they are purchasing
15
Michi chocolates from JRJ Products Ltd Madhupur etc and they are selling these chocolates in bulk to retailers Generally all the shops earning profit between 5-7 And they are selling chocolates in single unit between the price ranges of 25 to 2
16
Annexure 3
OVERALL REVIEW
Talking about chocolate market in a nutshell we came to know that now dayrsquos chocolates of national band are mostly popular within both local and urban people The main reason being that the availability of national brands of chocolates like Cadbury Amul Nestle and Parle are widely available even in slums Itrsquos becoming popular in both rural and urban areas
Generally observed phenomenon is that women prefer more chocolates than men do Youngster and children up to specific age are the target audience They are concentrated and their needs are taken into consideration
For urban area precisely Dairy milk 5 star eclair munch kit Kat celebrations temptations are more famous while in rural areas chocolates like kacha aam cokanaka aayush roomy pelican and roul gun are the most consumed
While we concuted a survey among the kids they preferred those chocolates with attractive wrappers They preferred those of different shapes and sizes and with those of transparent boxes
While we conducted a survey among the kids they prefered with attractive wrappers They preferred with those of different shapes and sizes and with those of transparent boxes
When we went for retail survey we went for retail survey we came to know what their selling strategies were and what were their mostly demanded chocolates We even went to Amul for survey where we identified that consumers of Amul chocolate are in plenty
When we surveyed about chocolate consumed in our college canteen all of them said that Dairymilks were in demand So from all the above information we come to know that Cadbury is most popular brand than other brands of chocolates
17
Annexure 4
FINDINGS
We have to various conclusions from this project We have found that
1 INCOME
Income as a factor affects purchase decision indirectly ie almost all brands of chocolate are at different prices Hence it might not affect consumers purchase decision then However the same brands of chocolate are priced more at Malls So consumers become more sensitive at such places
For a consumer who has an income less than Rs 10000 he will not always be able to afford 20-50 rupees for a chocolate Hence he might spend 5 rupees for a chocolate
2 BRAND PREFRENCE amp BRAND LOYALTY
A large number of consumers have a first preference of Cadbury followed by Nestle Amul and parle Yet if the preferred brand is not available then they would switch to other brands This shows that the level of brand loyalty among consumers is very low Although Cadbury is one of the most reputed brands it does not have brand loyalty
3 AVAILIBILITY
Availability is not a factor that a consumer keeps in mind while purchasing any brand of chocolate However now a days chocolates being necessity in many occasions a consumers will purchase any brand available if his preferred brand is not available This shows that availability affects a consumer to a great extent
Taste
Many consumers purchase a brand of chocolates on the basis of how the chocolate tastes consumers appeal that they find few of the chocolates bitter in taste Hence they tend to avoid purchasing those brands as far as possible Yet on the other hand there are consumers who love the bitter taste of chocolate Hence it is a matter of consumerrsquos percieverence
Size
We have seen that usually chocolates of rs 5 to rs 10 are consumed This is followed by chocolats of rs 203050 and so on However all brands are not available in all size
18
Hence consumer who want to purchase chocolates of rs 5 and 10 of a particular brand and if it is not available than they would switch to another brand in which that size is available
PricePrice is an important factor affecting the purchase decision of consumers However consumers were agreed that they are ready to buy a brand even if its price increase They were not ready to compromise their perceived quality of the brand
Packaging and Labeling
A large number of consumers said that packaging and labeling of a brand of chocolates does not affect the purchase decision While the consumer among the lower age group especially the kids gives priority to packaging and labeling Packaging can help brand volumes but cannot be the driver
Brand awareness
Consumers are well aware of the various brands in the market One of the brands that they were ever to recall the most was CADBURY While surveying we found that CADBURY today has become synonymous to chocolates
Advertisement
Advertisement plays a small role in influencing the purchase decision of consumer Advertisement has managed to make consumer aware of various brands It helps in influencing the purchase decision only when all the brands of chocolates are available Brands like CADBURY NESTLE AMUL spend lot of money on advertisement to increase their sales on the other hand local manufactures without advertisement manage to sell their products in the market
Own experienceA large no of consumers said that they would purchase a brand of chocolates based on their own experience of taste perceived quality and so on
Brand nameIt can be seen that various brand have created a brand image for themselves in the minds of consumers When all the brands are available they purchased chocolates on the basis of brand name
Word of mouthMost consumers felt that word of mouth does not affect their purchased decision
19
No brand differentiation
There is no brand differentiation in the market ie even though people ask for dairy milk they satisfied if they walk away with 5starkit-kat munch amul or any other chocolates of any brand
RECOMMENDATION
1 The national brands of chocolates should also be made easily available and consumable in rural areas too 2 The local chocolates are widely popular in specific localities They could even be supplied in a wider area3 As per public opinion the respondents even wanted to experience varities in taste in a specific brands The companies can look forward to that4 In the lower age group between 10 to 20 the teens even wanted different sizes in shapes in chocolate For eg free of our respondents even desire to have chocolats of heart shapes specially for gifting others5 No schemes are introduced in chocolates on regular basis Schemes should be their for few of the expensive brands6 For bringing inovvation chocolate should even be made of different colurs For eg chocolates of Black White Red pink blue and so on would be widely accepted by the children
20
21
ACKNOWLEDGEMENT
Though this acknowledement we express our sincere gratitude towards all those people who have helped us in the preparation of this project which has been learing exprience
We appreciate the co-operation extended by the marketing heads of all the companies in giving us all imformation that made it possible for us to make this project
We would like to thank the director Prof(Mrs)HDTrivedi the faculty the computer lab operator the librarian and the administative staff of BK majumdar institute of business administration-HLBBA for their support
Finally we express our sincere thanks to Prof Arun Prasad who guided us throughout the project and gave us valuable suggestions and encouragement
4
EXECUTIVE SUMMARY OFCHOCOLATE INDUSTRY
BACKGROUND
The origins of chocolate can be traced back to the ancient Maya and Aztec civilizations in Central America who first enjoyed chocolate a much-prized spicy drink made from roasted cocoa beans Chocolates bars are first manufactured at a confectionery level in the year 1765 Chocolate was first manufactured at Milan The chocolate industry has undergone a sea of changes in past years Advent of industrialization opened new avenues for chocolate industry There are many famous brands are available in chocolate industry Some imminent brands in chocolate are Nestle Cadbury Amul Gand many more The process of chocolate making is quite interesting The therapeutic uses of chocolates are established scientifically Many international brands of chocolates are available worldwide Depending upon what goes into it there are many types of chocolates available now These types of chocolate include cocoa powder dark chocolates bittersweet chocolate semi sweet chocolate sweet dark chocolate milk chocolate The chocolate industry has grown to a worldwide industry topping $50 Billion in retail sales worldwide and continues to show healthy growth Recently there has been an increasing trend towards high quality chocolates such as chocolates with high cocoa content and or chocolates flavored with natural flavors and rich spices
OBJECTIVE
The primary objective of our project is to study the factors influencing the purchase decision of rural and urban consumers consuming different types of national and local chocolates
The secondary objective of our project is to find out different types of marketing strategies used by retailers and wholesalers
5
SCOPE
The scope of our research is confined to the chocolate industry only We will be limiting our findings to only retail consumption The scope of our survey will be limiting to Ahmedabad city only For the purpose of our study we will choose four representatives of this industry viz
NATIONAL BRANDS LOCAL BRANDS
1) Cadbury 1) Kent
2) Nestle India 2) Michi
3) Amul 3) Pelican
4) Parle 4) Ayush
RESEARCH METHODOLOGY
RESEARCH TYPE
We will follow the descriptive type of research
RESEARCH DESIGN
We will adopt the survey method and observation method A survey research will help us in studying the extent to which the factors influence the purchase decisions
6
DATA SOURCES
PRIMARY SOURCES
We will collect a survey amongst consumers of different types of chocolates We will also collect information from various company offices
SECONDARY SOURCES
We will referring to various websites journals books magazines etc
RESEARCH INSTRUMENT
The research instrument will be questionnaire
CONCLUSION
From this project we will expect to find out the factors affecting the extent to which they affect the purchase decisions
7
ContentPreface 1Acknowledgement 2Executive summary 3
ParticularExecutive SummaryObjective and ScopeObjectiveScopeResearch MethodologyIdentification of TopicResearch typeResearch DesignData collectionSample SizeSelection of BrandsResearch InstrumentsHistory of chocolate Chocolate industry- An OverviewNational brandsCadburyParleAmulNestle IndiaLocal brandsMichirsquosBaba kentLinkageSecondary objectiveMarket strategyTarget audiencePackaging amp labellingQuestionnaireAnalysisNational brands analysisLocal brands analysisOverall view Kids surveyFinding amp recommendationBibliography
Bibliography
Books
8
Philip kotler and Gary Armstrong principle of marketing10th edition
News Papers
The economic times
The Hindu business line
Websites
wwwrediffcomwwwbusiness-standardcomwwwIndia-statscomwwwAgencyfaqscomwwwEquitymastercomwwwmyiriscomwwwthehindubusinesslinecom
9
Annexure 1
Types of Chocolates
Depending on what is added to (or removed from) the chocolate liquor different flavors andvarieties of chocolate are produced Each has a different chemical make-up the differences are notsolely in the taste1 Unsweetened or Baking chocolate is simply cooled hardened chocolate liquor It is usedprimarily as an ingredient in recipes or as a garnish2 Semi-sweet chocolate is also used primarily in recipes It has extra cocoa butter and sugaradded Sweet cooking chocolate is basically the same with more sugar for taste3 Milk chocolate is chocolate liquor with extra cocoa butter sugar milk and vanilla addedThis is the most popular form for chocolate It is primarily an eating chocolateCocoa is chocolate liquor with much of the cocoa butter removed creating a fine powder It canpick up moisture and odors from other products so you should keep cocoa in a cool dry placetightly covered
There are several kinds of cocoa1048707 Low-fat cocoa has the most fat removed It typically has less than ten percent cocoa butterremaining1048707 Medium-fat cocoa has anywhere from ten to twenty-two percent cocoa butter in it1048707 Drinking or Breakfast cocoa has over twenty-two percent left in it This is the cocoa used inchocolate milk powders like Nestles Quik1048707 Dutch process cocoa is cocoa which has been specially processed to neutralize the naturalacids in the chocolate It is slightly darker and has a much different taste than regular cocoaDecorators chocolate or confectioners chocolate isnt really chocolate at all but a sort of chocolateflavored candy used for things such as covering strawberries It was created to melt easily and hardenquickly but it isnt chocolate
Categories of Chocolates
Commercial Chocolates are available in the following forms1 Bars or Moulded Chocolates2 Counts3 Panned Chocolates (Gems)4 Eacuteclairs5 Assorted ChocolatesBars or moulded chocolates (like Dairy Milk Truffle Amul Milk Chocolate Nestle Premium andNestle Milky Bar) comprise the largest segment accounting for 37 of the total chocolate market involume terms Wafer chocolates such as Kit-Kat and Perk also belong to this segment Pannedchocolates accounts for 10 of the total chocolate market
10
MAJOR PLAYERS
In Ahmedabad In India1) Ravalgaon 1) Cadbury2) Palican 2) Nestle3) Rommy 3) Amul 4) Ayush 4) Parle5) Kim Kim 5) Candyman6) Micky 6) Parry
11
Annexure 2
MARKETING STRATEGY
PRODUCTS
Decision regarding appearance size shapes weight brand packing etc are taken
PRICE
Decision regarding prize policy credit policy are taken In Urja fabrics pvt ltd the price is governed by market value based price The customerrsquos queries have to be answered within 24 hours
PLACE
Decision regarding wholesale and retail merchants channels of distribution physical decision etc are taken
PROMOTION
Decision regarding advertisement personal selling publicity and sales promotion are taken
COMPETITORS
When competition is healthy it motivates and encourages the companies to bring about drastic change in its management to stand with the competition They are forced to improve the quality of goods and prove them at low rates
12
Followings are the marketing strategy adopted by different malls of Ahmedabad city
Place No of chocolates
Price Packaging Supply chain Advertisement
Big Bazzar
Cadbury Rs5 to 90
Box bottle wrapper
Head Office(Mumbai)
___
Gallops CadburyNestle
Rs 10 to 300
Wrapper BoxPaper packaging
Local suppliers ___
Amul (retail outlet)
Amul Rs 5 to 150
Box packetswrapper
Dairy TV advertisement
Reliance Fresh
Cadbury Rs 5 to 150
Box bottle wrappers
Head Office(Mumbai)
___
Place Majorcustomers
Profit Occasions Selling Units
Schemes
Big Bazzar All 7-10 Rakhi ampDiwali Single units __Gallops Collegians amp
Children20 Christmas
Diwali RakhiSingle Units __
Amul(retail outlet)
All (majority youngsters)
20 All time hit Single units __
Reliance fresh Cadbury __ Adults Single units __
Analysis
These are the information available from different malls and retail outlets of Ahmadabad From the above information we can clearly says that mostly all the malls are selling chocolates Cadbury brand only and very few are selling nestle brand All of them are chocolates between the ranges of Rs 5 to Rs 300 Mostly they are supplying chocolates from the head office of Bombay only Amul supplying chocolates from dairy The profit margin rate of all of them is between 7 to 20 All of them are selling chocolates in single unit only and none of them are providing any schemes on sale of chocolate
13
Following are the marketing strategies adopted by different types of Shops of Ahmedabad city
Place No of chocolates Price Packaging Supply ChainShrinath parlor Cadbury
NestleAmulParle
5 -5005-10Rs 5Rs 1
__Gokul DasVeer coAshok mrktngPrecise sell
Ambika Dairyfarm
CadburyNestleParle
1 to 1751 to 10050 to 5
Tin Boxes Gokul dasVeer coPrecise sell
Krishna dairy CadburyNestleParle
1-3001-10050-5
Tinboxes Gokul DasVeer coPrecise sell
RB stores CadburyNestleParle
5-302-12050-1
__Gokul DasVeer coPrecise sell
Place Major customers Profit Occasion SellingUnits
Schemes
Shrinath parlor Kids amp adults 7-8 Rakhi amp Diwali Single units __
Ambika dairy farm
Kids 5-8 All occasions Single units Discounts at festivals
Krishna dairy farm
Kids 10-25 All occasions Single units __
RB stores Kids amp Adults 7-10 Rakhi diwalibirthday
Single units __
Analysis
These are the different type of available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Cadbury nestle amul parleThey are selling chocolates between the price range of 050 paisa to Rs 300All the retailers are purchasing Cadbury chocolates from only one distributor and that is Gokul das Same as they are purchasing nestle chocolates from veer co Parle from precise sells and amul from ashok marketing Generally all the shops earning profit between 7-25 And they are selling chocolates in single units
Following are the marketing strategies of rural brands of chocolates adopted by different shops in Ahmedabad city
Place No of chocolates Price Packaging Supply Chain
14
Aashapura KentLemoMichi
Rs 25 to 2 Plastic Wrapper Kalupur
Jitubhai Kent PelicanAayushKim Kim
Rs 25 to 5 Wrapper Kalupur
Chamunda stores KentLemoMichiPelicanAayushKim KimAasha
Rs 10 to 30 Tin boxes Packets Jar
Naroda
Satyavijay KentLemoMichiPelicanAayushKim Kim
Rs 10 to 50 Tin boxes Packets Jar
Naroda
Place Major customers Profit Occasion SellingUnits
Schemes
Aashapura Kids amp adults 5-7 - Single units __
Jitubhai Kids 5-8 All occasions Single units __Chamunda stores
JashriDeepak storesSurajNaveenshah
8-11 All occasions except feb-march
Bulk __
Satyavijay Kids amp Adults 7-10 __ Bulk __
Analaysis
These are the different type of rural brand chocolates available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Kent Lemo Michi and Aayush They are selling chocolates between the price range of Rs 10 to Rs 30 All the wholesellers are purchasing Kent chocolates from only one distributor and that is Kent Food Product Naroda Same as they are purchasing
15
Michi chocolates from JRJ Products Ltd Madhupur etc and they are selling these chocolates in bulk to retailers Generally all the shops earning profit between 5-7 And they are selling chocolates in single unit between the price ranges of 25 to 2
16
Annexure 3
OVERALL REVIEW
Talking about chocolate market in a nutshell we came to know that now dayrsquos chocolates of national band are mostly popular within both local and urban people The main reason being that the availability of national brands of chocolates like Cadbury Amul Nestle and Parle are widely available even in slums Itrsquos becoming popular in both rural and urban areas
Generally observed phenomenon is that women prefer more chocolates than men do Youngster and children up to specific age are the target audience They are concentrated and their needs are taken into consideration
For urban area precisely Dairy milk 5 star eclair munch kit Kat celebrations temptations are more famous while in rural areas chocolates like kacha aam cokanaka aayush roomy pelican and roul gun are the most consumed
While we concuted a survey among the kids they preferred those chocolates with attractive wrappers They preferred those of different shapes and sizes and with those of transparent boxes
While we conducted a survey among the kids they prefered with attractive wrappers They preferred with those of different shapes and sizes and with those of transparent boxes
When we went for retail survey we went for retail survey we came to know what their selling strategies were and what were their mostly demanded chocolates We even went to Amul for survey where we identified that consumers of Amul chocolate are in plenty
When we surveyed about chocolate consumed in our college canteen all of them said that Dairymilks were in demand So from all the above information we come to know that Cadbury is most popular brand than other brands of chocolates
17
Annexure 4
FINDINGS
We have to various conclusions from this project We have found that
1 INCOME
Income as a factor affects purchase decision indirectly ie almost all brands of chocolate are at different prices Hence it might not affect consumers purchase decision then However the same brands of chocolate are priced more at Malls So consumers become more sensitive at such places
For a consumer who has an income less than Rs 10000 he will not always be able to afford 20-50 rupees for a chocolate Hence he might spend 5 rupees for a chocolate
2 BRAND PREFRENCE amp BRAND LOYALTY
A large number of consumers have a first preference of Cadbury followed by Nestle Amul and parle Yet if the preferred brand is not available then they would switch to other brands This shows that the level of brand loyalty among consumers is very low Although Cadbury is one of the most reputed brands it does not have brand loyalty
3 AVAILIBILITY
Availability is not a factor that a consumer keeps in mind while purchasing any brand of chocolate However now a days chocolates being necessity in many occasions a consumers will purchase any brand available if his preferred brand is not available This shows that availability affects a consumer to a great extent
Taste
Many consumers purchase a brand of chocolates on the basis of how the chocolate tastes consumers appeal that they find few of the chocolates bitter in taste Hence they tend to avoid purchasing those brands as far as possible Yet on the other hand there are consumers who love the bitter taste of chocolate Hence it is a matter of consumerrsquos percieverence
Size
We have seen that usually chocolates of rs 5 to rs 10 are consumed This is followed by chocolats of rs 203050 and so on However all brands are not available in all size
18
Hence consumer who want to purchase chocolates of rs 5 and 10 of a particular brand and if it is not available than they would switch to another brand in which that size is available
PricePrice is an important factor affecting the purchase decision of consumers However consumers were agreed that they are ready to buy a brand even if its price increase They were not ready to compromise their perceived quality of the brand
Packaging and Labeling
A large number of consumers said that packaging and labeling of a brand of chocolates does not affect the purchase decision While the consumer among the lower age group especially the kids gives priority to packaging and labeling Packaging can help brand volumes but cannot be the driver
Brand awareness
Consumers are well aware of the various brands in the market One of the brands that they were ever to recall the most was CADBURY While surveying we found that CADBURY today has become synonymous to chocolates
Advertisement
Advertisement plays a small role in influencing the purchase decision of consumer Advertisement has managed to make consumer aware of various brands It helps in influencing the purchase decision only when all the brands of chocolates are available Brands like CADBURY NESTLE AMUL spend lot of money on advertisement to increase their sales on the other hand local manufactures without advertisement manage to sell their products in the market
Own experienceA large no of consumers said that they would purchase a brand of chocolates based on their own experience of taste perceived quality and so on
Brand nameIt can be seen that various brand have created a brand image for themselves in the minds of consumers When all the brands are available they purchased chocolates on the basis of brand name
Word of mouthMost consumers felt that word of mouth does not affect their purchased decision
19
No brand differentiation
There is no brand differentiation in the market ie even though people ask for dairy milk they satisfied if they walk away with 5starkit-kat munch amul or any other chocolates of any brand
RECOMMENDATION
1 The national brands of chocolates should also be made easily available and consumable in rural areas too 2 The local chocolates are widely popular in specific localities They could even be supplied in a wider area3 As per public opinion the respondents even wanted to experience varities in taste in a specific brands The companies can look forward to that4 In the lower age group between 10 to 20 the teens even wanted different sizes in shapes in chocolate For eg free of our respondents even desire to have chocolats of heart shapes specially for gifting others5 No schemes are introduced in chocolates on regular basis Schemes should be their for few of the expensive brands6 For bringing inovvation chocolate should even be made of different colurs For eg chocolates of Black White Red pink blue and so on would be widely accepted by the children
20
21
EXECUTIVE SUMMARY OFCHOCOLATE INDUSTRY
BACKGROUND
The origins of chocolate can be traced back to the ancient Maya and Aztec civilizations in Central America who first enjoyed chocolate a much-prized spicy drink made from roasted cocoa beans Chocolates bars are first manufactured at a confectionery level in the year 1765 Chocolate was first manufactured at Milan The chocolate industry has undergone a sea of changes in past years Advent of industrialization opened new avenues for chocolate industry There are many famous brands are available in chocolate industry Some imminent brands in chocolate are Nestle Cadbury Amul Gand many more The process of chocolate making is quite interesting The therapeutic uses of chocolates are established scientifically Many international brands of chocolates are available worldwide Depending upon what goes into it there are many types of chocolates available now These types of chocolate include cocoa powder dark chocolates bittersweet chocolate semi sweet chocolate sweet dark chocolate milk chocolate The chocolate industry has grown to a worldwide industry topping $50 Billion in retail sales worldwide and continues to show healthy growth Recently there has been an increasing trend towards high quality chocolates such as chocolates with high cocoa content and or chocolates flavored with natural flavors and rich spices
OBJECTIVE
The primary objective of our project is to study the factors influencing the purchase decision of rural and urban consumers consuming different types of national and local chocolates
The secondary objective of our project is to find out different types of marketing strategies used by retailers and wholesalers
5
SCOPE
The scope of our research is confined to the chocolate industry only We will be limiting our findings to only retail consumption The scope of our survey will be limiting to Ahmedabad city only For the purpose of our study we will choose four representatives of this industry viz
NATIONAL BRANDS LOCAL BRANDS
1) Cadbury 1) Kent
2) Nestle India 2) Michi
3) Amul 3) Pelican
4) Parle 4) Ayush
RESEARCH METHODOLOGY
RESEARCH TYPE
We will follow the descriptive type of research
RESEARCH DESIGN
We will adopt the survey method and observation method A survey research will help us in studying the extent to which the factors influence the purchase decisions
6
DATA SOURCES
PRIMARY SOURCES
We will collect a survey amongst consumers of different types of chocolates We will also collect information from various company offices
SECONDARY SOURCES
We will referring to various websites journals books magazines etc
RESEARCH INSTRUMENT
The research instrument will be questionnaire
CONCLUSION
From this project we will expect to find out the factors affecting the extent to which they affect the purchase decisions
7
ContentPreface 1Acknowledgement 2Executive summary 3
ParticularExecutive SummaryObjective and ScopeObjectiveScopeResearch MethodologyIdentification of TopicResearch typeResearch DesignData collectionSample SizeSelection of BrandsResearch InstrumentsHistory of chocolate Chocolate industry- An OverviewNational brandsCadburyParleAmulNestle IndiaLocal brandsMichirsquosBaba kentLinkageSecondary objectiveMarket strategyTarget audiencePackaging amp labellingQuestionnaireAnalysisNational brands analysisLocal brands analysisOverall view Kids surveyFinding amp recommendationBibliography
Bibliography
Books
8
Philip kotler and Gary Armstrong principle of marketing10th edition
News Papers
The economic times
The Hindu business line
Websites
wwwrediffcomwwwbusiness-standardcomwwwIndia-statscomwwwAgencyfaqscomwwwEquitymastercomwwwmyiriscomwwwthehindubusinesslinecom
9
Annexure 1
Types of Chocolates
Depending on what is added to (or removed from) the chocolate liquor different flavors andvarieties of chocolate are produced Each has a different chemical make-up the differences are notsolely in the taste1 Unsweetened or Baking chocolate is simply cooled hardened chocolate liquor It is usedprimarily as an ingredient in recipes or as a garnish2 Semi-sweet chocolate is also used primarily in recipes It has extra cocoa butter and sugaradded Sweet cooking chocolate is basically the same with more sugar for taste3 Milk chocolate is chocolate liquor with extra cocoa butter sugar milk and vanilla addedThis is the most popular form for chocolate It is primarily an eating chocolateCocoa is chocolate liquor with much of the cocoa butter removed creating a fine powder It canpick up moisture and odors from other products so you should keep cocoa in a cool dry placetightly covered
There are several kinds of cocoa1048707 Low-fat cocoa has the most fat removed It typically has less than ten percent cocoa butterremaining1048707 Medium-fat cocoa has anywhere from ten to twenty-two percent cocoa butter in it1048707 Drinking or Breakfast cocoa has over twenty-two percent left in it This is the cocoa used inchocolate milk powders like Nestles Quik1048707 Dutch process cocoa is cocoa which has been specially processed to neutralize the naturalacids in the chocolate It is slightly darker and has a much different taste than regular cocoaDecorators chocolate or confectioners chocolate isnt really chocolate at all but a sort of chocolateflavored candy used for things such as covering strawberries It was created to melt easily and hardenquickly but it isnt chocolate
Categories of Chocolates
Commercial Chocolates are available in the following forms1 Bars or Moulded Chocolates2 Counts3 Panned Chocolates (Gems)4 Eacuteclairs5 Assorted ChocolatesBars or moulded chocolates (like Dairy Milk Truffle Amul Milk Chocolate Nestle Premium andNestle Milky Bar) comprise the largest segment accounting for 37 of the total chocolate market involume terms Wafer chocolates such as Kit-Kat and Perk also belong to this segment Pannedchocolates accounts for 10 of the total chocolate market
10
MAJOR PLAYERS
In Ahmedabad In India1) Ravalgaon 1) Cadbury2) Palican 2) Nestle3) Rommy 3) Amul 4) Ayush 4) Parle5) Kim Kim 5) Candyman6) Micky 6) Parry
11
Annexure 2
MARKETING STRATEGY
PRODUCTS
Decision regarding appearance size shapes weight brand packing etc are taken
PRICE
Decision regarding prize policy credit policy are taken In Urja fabrics pvt ltd the price is governed by market value based price The customerrsquos queries have to be answered within 24 hours
PLACE
Decision regarding wholesale and retail merchants channels of distribution physical decision etc are taken
PROMOTION
Decision regarding advertisement personal selling publicity and sales promotion are taken
COMPETITORS
When competition is healthy it motivates and encourages the companies to bring about drastic change in its management to stand with the competition They are forced to improve the quality of goods and prove them at low rates
12
Followings are the marketing strategy adopted by different malls of Ahmedabad city
Place No of chocolates
Price Packaging Supply chain Advertisement
Big Bazzar
Cadbury Rs5 to 90
Box bottle wrapper
Head Office(Mumbai)
___
Gallops CadburyNestle
Rs 10 to 300
Wrapper BoxPaper packaging
Local suppliers ___
Amul (retail outlet)
Amul Rs 5 to 150
Box packetswrapper
Dairy TV advertisement
Reliance Fresh
Cadbury Rs 5 to 150
Box bottle wrappers
Head Office(Mumbai)
___
Place Majorcustomers
Profit Occasions Selling Units
Schemes
Big Bazzar All 7-10 Rakhi ampDiwali Single units __Gallops Collegians amp
Children20 Christmas
Diwali RakhiSingle Units __
Amul(retail outlet)
All (majority youngsters)
20 All time hit Single units __
Reliance fresh Cadbury __ Adults Single units __
Analysis
These are the information available from different malls and retail outlets of Ahmadabad From the above information we can clearly says that mostly all the malls are selling chocolates Cadbury brand only and very few are selling nestle brand All of them are chocolates between the ranges of Rs 5 to Rs 300 Mostly they are supplying chocolates from the head office of Bombay only Amul supplying chocolates from dairy The profit margin rate of all of them is between 7 to 20 All of them are selling chocolates in single unit only and none of them are providing any schemes on sale of chocolate
13
Following are the marketing strategies adopted by different types of Shops of Ahmedabad city
Place No of chocolates Price Packaging Supply ChainShrinath parlor Cadbury
NestleAmulParle
5 -5005-10Rs 5Rs 1
__Gokul DasVeer coAshok mrktngPrecise sell
Ambika Dairyfarm
CadburyNestleParle
1 to 1751 to 10050 to 5
Tin Boxes Gokul dasVeer coPrecise sell
Krishna dairy CadburyNestleParle
1-3001-10050-5
Tinboxes Gokul DasVeer coPrecise sell
RB stores CadburyNestleParle
5-302-12050-1
__Gokul DasVeer coPrecise sell
Place Major customers Profit Occasion SellingUnits
Schemes
Shrinath parlor Kids amp adults 7-8 Rakhi amp Diwali Single units __
Ambika dairy farm
Kids 5-8 All occasions Single units Discounts at festivals
Krishna dairy farm
Kids 10-25 All occasions Single units __
RB stores Kids amp Adults 7-10 Rakhi diwalibirthday
Single units __
Analysis
These are the different type of available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Cadbury nestle amul parleThey are selling chocolates between the price range of 050 paisa to Rs 300All the retailers are purchasing Cadbury chocolates from only one distributor and that is Gokul das Same as they are purchasing nestle chocolates from veer co Parle from precise sells and amul from ashok marketing Generally all the shops earning profit between 7-25 And they are selling chocolates in single units
Following are the marketing strategies of rural brands of chocolates adopted by different shops in Ahmedabad city
Place No of chocolates Price Packaging Supply Chain
14
Aashapura KentLemoMichi
Rs 25 to 2 Plastic Wrapper Kalupur
Jitubhai Kent PelicanAayushKim Kim
Rs 25 to 5 Wrapper Kalupur
Chamunda stores KentLemoMichiPelicanAayushKim KimAasha
Rs 10 to 30 Tin boxes Packets Jar
Naroda
Satyavijay KentLemoMichiPelicanAayushKim Kim
Rs 10 to 50 Tin boxes Packets Jar
Naroda
Place Major customers Profit Occasion SellingUnits
Schemes
Aashapura Kids amp adults 5-7 - Single units __
Jitubhai Kids 5-8 All occasions Single units __Chamunda stores
JashriDeepak storesSurajNaveenshah
8-11 All occasions except feb-march
Bulk __
Satyavijay Kids amp Adults 7-10 __ Bulk __
Analaysis
These are the different type of rural brand chocolates available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Kent Lemo Michi and Aayush They are selling chocolates between the price range of Rs 10 to Rs 30 All the wholesellers are purchasing Kent chocolates from only one distributor and that is Kent Food Product Naroda Same as they are purchasing
15
Michi chocolates from JRJ Products Ltd Madhupur etc and they are selling these chocolates in bulk to retailers Generally all the shops earning profit between 5-7 And they are selling chocolates in single unit between the price ranges of 25 to 2
16
Annexure 3
OVERALL REVIEW
Talking about chocolate market in a nutshell we came to know that now dayrsquos chocolates of national band are mostly popular within both local and urban people The main reason being that the availability of national brands of chocolates like Cadbury Amul Nestle and Parle are widely available even in slums Itrsquos becoming popular in both rural and urban areas
Generally observed phenomenon is that women prefer more chocolates than men do Youngster and children up to specific age are the target audience They are concentrated and their needs are taken into consideration
For urban area precisely Dairy milk 5 star eclair munch kit Kat celebrations temptations are more famous while in rural areas chocolates like kacha aam cokanaka aayush roomy pelican and roul gun are the most consumed
While we concuted a survey among the kids they preferred those chocolates with attractive wrappers They preferred those of different shapes and sizes and with those of transparent boxes
While we conducted a survey among the kids they prefered with attractive wrappers They preferred with those of different shapes and sizes and with those of transparent boxes
When we went for retail survey we went for retail survey we came to know what their selling strategies were and what were their mostly demanded chocolates We even went to Amul for survey where we identified that consumers of Amul chocolate are in plenty
When we surveyed about chocolate consumed in our college canteen all of them said that Dairymilks were in demand So from all the above information we come to know that Cadbury is most popular brand than other brands of chocolates
17
Annexure 4
FINDINGS
We have to various conclusions from this project We have found that
1 INCOME
Income as a factor affects purchase decision indirectly ie almost all brands of chocolate are at different prices Hence it might not affect consumers purchase decision then However the same brands of chocolate are priced more at Malls So consumers become more sensitive at such places
For a consumer who has an income less than Rs 10000 he will not always be able to afford 20-50 rupees for a chocolate Hence he might spend 5 rupees for a chocolate
2 BRAND PREFRENCE amp BRAND LOYALTY
A large number of consumers have a first preference of Cadbury followed by Nestle Amul and parle Yet if the preferred brand is not available then they would switch to other brands This shows that the level of brand loyalty among consumers is very low Although Cadbury is one of the most reputed brands it does not have brand loyalty
3 AVAILIBILITY
Availability is not a factor that a consumer keeps in mind while purchasing any brand of chocolate However now a days chocolates being necessity in many occasions a consumers will purchase any brand available if his preferred brand is not available This shows that availability affects a consumer to a great extent
Taste
Many consumers purchase a brand of chocolates on the basis of how the chocolate tastes consumers appeal that they find few of the chocolates bitter in taste Hence they tend to avoid purchasing those brands as far as possible Yet on the other hand there are consumers who love the bitter taste of chocolate Hence it is a matter of consumerrsquos percieverence
Size
We have seen that usually chocolates of rs 5 to rs 10 are consumed This is followed by chocolats of rs 203050 and so on However all brands are not available in all size
18
Hence consumer who want to purchase chocolates of rs 5 and 10 of a particular brand and if it is not available than they would switch to another brand in which that size is available
PricePrice is an important factor affecting the purchase decision of consumers However consumers were agreed that they are ready to buy a brand even if its price increase They were not ready to compromise their perceived quality of the brand
Packaging and Labeling
A large number of consumers said that packaging and labeling of a brand of chocolates does not affect the purchase decision While the consumer among the lower age group especially the kids gives priority to packaging and labeling Packaging can help brand volumes but cannot be the driver
Brand awareness
Consumers are well aware of the various brands in the market One of the brands that they were ever to recall the most was CADBURY While surveying we found that CADBURY today has become synonymous to chocolates
Advertisement
Advertisement plays a small role in influencing the purchase decision of consumer Advertisement has managed to make consumer aware of various brands It helps in influencing the purchase decision only when all the brands of chocolates are available Brands like CADBURY NESTLE AMUL spend lot of money on advertisement to increase their sales on the other hand local manufactures without advertisement manage to sell their products in the market
Own experienceA large no of consumers said that they would purchase a brand of chocolates based on their own experience of taste perceived quality and so on
Brand nameIt can be seen that various brand have created a brand image for themselves in the minds of consumers When all the brands are available they purchased chocolates on the basis of brand name
Word of mouthMost consumers felt that word of mouth does not affect their purchased decision
19
No brand differentiation
There is no brand differentiation in the market ie even though people ask for dairy milk they satisfied if they walk away with 5starkit-kat munch amul or any other chocolates of any brand
RECOMMENDATION
1 The national brands of chocolates should also be made easily available and consumable in rural areas too 2 The local chocolates are widely popular in specific localities They could even be supplied in a wider area3 As per public opinion the respondents even wanted to experience varities in taste in a specific brands The companies can look forward to that4 In the lower age group between 10 to 20 the teens even wanted different sizes in shapes in chocolate For eg free of our respondents even desire to have chocolats of heart shapes specially for gifting others5 No schemes are introduced in chocolates on regular basis Schemes should be their for few of the expensive brands6 For bringing inovvation chocolate should even be made of different colurs For eg chocolates of Black White Red pink blue and so on would be widely accepted by the children
20
21
SCOPE
The scope of our research is confined to the chocolate industry only We will be limiting our findings to only retail consumption The scope of our survey will be limiting to Ahmedabad city only For the purpose of our study we will choose four representatives of this industry viz
NATIONAL BRANDS LOCAL BRANDS
1) Cadbury 1) Kent
2) Nestle India 2) Michi
3) Amul 3) Pelican
4) Parle 4) Ayush
RESEARCH METHODOLOGY
RESEARCH TYPE
We will follow the descriptive type of research
RESEARCH DESIGN
We will adopt the survey method and observation method A survey research will help us in studying the extent to which the factors influence the purchase decisions
6
DATA SOURCES
PRIMARY SOURCES
We will collect a survey amongst consumers of different types of chocolates We will also collect information from various company offices
SECONDARY SOURCES
We will referring to various websites journals books magazines etc
RESEARCH INSTRUMENT
The research instrument will be questionnaire
CONCLUSION
From this project we will expect to find out the factors affecting the extent to which they affect the purchase decisions
7
ContentPreface 1Acknowledgement 2Executive summary 3
ParticularExecutive SummaryObjective and ScopeObjectiveScopeResearch MethodologyIdentification of TopicResearch typeResearch DesignData collectionSample SizeSelection of BrandsResearch InstrumentsHistory of chocolate Chocolate industry- An OverviewNational brandsCadburyParleAmulNestle IndiaLocal brandsMichirsquosBaba kentLinkageSecondary objectiveMarket strategyTarget audiencePackaging amp labellingQuestionnaireAnalysisNational brands analysisLocal brands analysisOverall view Kids surveyFinding amp recommendationBibliography
Bibliography
Books
8
Philip kotler and Gary Armstrong principle of marketing10th edition
News Papers
The economic times
The Hindu business line
Websites
wwwrediffcomwwwbusiness-standardcomwwwIndia-statscomwwwAgencyfaqscomwwwEquitymastercomwwwmyiriscomwwwthehindubusinesslinecom
9
Annexure 1
Types of Chocolates
Depending on what is added to (or removed from) the chocolate liquor different flavors andvarieties of chocolate are produced Each has a different chemical make-up the differences are notsolely in the taste1 Unsweetened or Baking chocolate is simply cooled hardened chocolate liquor It is usedprimarily as an ingredient in recipes or as a garnish2 Semi-sweet chocolate is also used primarily in recipes It has extra cocoa butter and sugaradded Sweet cooking chocolate is basically the same with more sugar for taste3 Milk chocolate is chocolate liquor with extra cocoa butter sugar milk and vanilla addedThis is the most popular form for chocolate It is primarily an eating chocolateCocoa is chocolate liquor with much of the cocoa butter removed creating a fine powder It canpick up moisture and odors from other products so you should keep cocoa in a cool dry placetightly covered
There are several kinds of cocoa1048707 Low-fat cocoa has the most fat removed It typically has less than ten percent cocoa butterremaining1048707 Medium-fat cocoa has anywhere from ten to twenty-two percent cocoa butter in it1048707 Drinking or Breakfast cocoa has over twenty-two percent left in it This is the cocoa used inchocolate milk powders like Nestles Quik1048707 Dutch process cocoa is cocoa which has been specially processed to neutralize the naturalacids in the chocolate It is slightly darker and has a much different taste than regular cocoaDecorators chocolate or confectioners chocolate isnt really chocolate at all but a sort of chocolateflavored candy used for things such as covering strawberries It was created to melt easily and hardenquickly but it isnt chocolate
Categories of Chocolates
Commercial Chocolates are available in the following forms1 Bars or Moulded Chocolates2 Counts3 Panned Chocolates (Gems)4 Eacuteclairs5 Assorted ChocolatesBars or moulded chocolates (like Dairy Milk Truffle Amul Milk Chocolate Nestle Premium andNestle Milky Bar) comprise the largest segment accounting for 37 of the total chocolate market involume terms Wafer chocolates such as Kit-Kat and Perk also belong to this segment Pannedchocolates accounts for 10 of the total chocolate market
10
MAJOR PLAYERS
In Ahmedabad In India1) Ravalgaon 1) Cadbury2) Palican 2) Nestle3) Rommy 3) Amul 4) Ayush 4) Parle5) Kim Kim 5) Candyman6) Micky 6) Parry
11
Annexure 2
MARKETING STRATEGY
PRODUCTS
Decision regarding appearance size shapes weight brand packing etc are taken
PRICE
Decision regarding prize policy credit policy are taken In Urja fabrics pvt ltd the price is governed by market value based price The customerrsquos queries have to be answered within 24 hours
PLACE
Decision regarding wholesale and retail merchants channels of distribution physical decision etc are taken
PROMOTION
Decision regarding advertisement personal selling publicity and sales promotion are taken
COMPETITORS
When competition is healthy it motivates and encourages the companies to bring about drastic change in its management to stand with the competition They are forced to improve the quality of goods and prove them at low rates
12
Followings are the marketing strategy adopted by different malls of Ahmedabad city
Place No of chocolates
Price Packaging Supply chain Advertisement
Big Bazzar
Cadbury Rs5 to 90
Box bottle wrapper
Head Office(Mumbai)
___
Gallops CadburyNestle
Rs 10 to 300
Wrapper BoxPaper packaging
Local suppliers ___
Amul (retail outlet)
Amul Rs 5 to 150
Box packetswrapper
Dairy TV advertisement
Reliance Fresh
Cadbury Rs 5 to 150
Box bottle wrappers
Head Office(Mumbai)
___
Place Majorcustomers
Profit Occasions Selling Units
Schemes
Big Bazzar All 7-10 Rakhi ampDiwali Single units __Gallops Collegians amp
Children20 Christmas
Diwali RakhiSingle Units __
Amul(retail outlet)
All (majority youngsters)
20 All time hit Single units __
Reliance fresh Cadbury __ Adults Single units __
Analysis
These are the information available from different malls and retail outlets of Ahmadabad From the above information we can clearly says that mostly all the malls are selling chocolates Cadbury brand only and very few are selling nestle brand All of them are chocolates between the ranges of Rs 5 to Rs 300 Mostly they are supplying chocolates from the head office of Bombay only Amul supplying chocolates from dairy The profit margin rate of all of them is between 7 to 20 All of them are selling chocolates in single unit only and none of them are providing any schemes on sale of chocolate
13
Following are the marketing strategies adopted by different types of Shops of Ahmedabad city
Place No of chocolates Price Packaging Supply ChainShrinath parlor Cadbury
NestleAmulParle
5 -5005-10Rs 5Rs 1
__Gokul DasVeer coAshok mrktngPrecise sell
Ambika Dairyfarm
CadburyNestleParle
1 to 1751 to 10050 to 5
Tin Boxes Gokul dasVeer coPrecise sell
Krishna dairy CadburyNestleParle
1-3001-10050-5
Tinboxes Gokul DasVeer coPrecise sell
RB stores CadburyNestleParle
5-302-12050-1
__Gokul DasVeer coPrecise sell
Place Major customers Profit Occasion SellingUnits
Schemes
Shrinath parlor Kids amp adults 7-8 Rakhi amp Diwali Single units __
Ambika dairy farm
Kids 5-8 All occasions Single units Discounts at festivals
Krishna dairy farm
Kids 10-25 All occasions Single units __
RB stores Kids amp Adults 7-10 Rakhi diwalibirthday
Single units __
Analysis
These are the different type of available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Cadbury nestle amul parleThey are selling chocolates between the price range of 050 paisa to Rs 300All the retailers are purchasing Cadbury chocolates from only one distributor and that is Gokul das Same as they are purchasing nestle chocolates from veer co Parle from precise sells and amul from ashok marketing Generally all the shops earning profit between 7-25 And they are selling chocolates in single units
Following are the marketing strategies of rural brands of chocolates adopted by different shops in Ahmedabad city
Place No of chocolates Price Packaging Supply Chain
14
Aashapura KentLemoMichi
Rs 25 to 2 Plastic Wrapper Kalupur
Jitubhai Kent PelicanAayushKim Kim
Rs 25 to 5 Wrapper Kalupur
Chamunda stores KentLemoMichiPelicanAayushKim KimAasha
Rs 10 to 30 Tin boxes Packets Jar
Naroda
Satyavijay KentLemoMichiPelicanAayushKim Kim
Rs 10 to 50 Tin boxes Packets Jar
Naroda
Place Major customers Profit Occasion SellingUnits
Schemes
Aashapura Kids amp adults 5-7 - Single units __
Jitubhai Kids 5-8 All occasions Single units __Chamunda stores
JashriDeepak storesSurajNaveenshah
8-11 All occasions except feb-march
Bulk __
Satyavijay Kids amp Adults 7-10 __ Bulk __
Analaysis
These are the different type of rural brand chocolates available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Kent Lemo Michi and Aayush They are selling chocolates between the price range of Rs 10 to Rs 30 All the wholesellers are purchasing Kent chocolates from only one distributor and that is Kent Food Product Naroda Same as they are purchasing
15
Michi chocolates from JRJ Products Ltd Madhupur etc and they are selling these chocolates in bulk to retailers Generally all the shops earning profit between 5-7 And they are selling chocolates in single unit between the price ranges of 25 to 2
16
Annexure 3
OVERALL REVIEW
Talking about chocolate market in a nutshell we came to know that now dayrsquos chocolates of national band are mostly popular within both local and urban people The main reason being that the availability of national brands of chocolates like Cadbury Amul Nestle and Parle are widely available even in slums Itrsquos becoming popular in both rural and urban areas
Generally observed phenomenon is that women prefer more chocolates than men do Youngster and children up to specific age are the target audience They are concentrated and their needs are taken into consideration
For urban area precisely Dairy milk 5 star eclair munch kit Kat celebrations temptations are more famous while in rural areas chocolates like kacha aam cokanaka aayush roomy pelican and roul gun are the most consumed
While we concuted a survey among the kids they preferred those chocolates with attractive wrappers They preferred those of different shapes and sizes and with those of transparent boxes
While we conducted a survey among the kids they prefered with attractive wrappers They preferred with those of different shapes and sizes and with those of transparent boxes
When we went for retail survey we went for retail survey we came to know what their selling strategies were and what were their mostly demanded chocolates We even went to Amul for survey where we identified that consumers of Amul chocolate are in plenty
When we surveyed about chocolate consumed in our college canteen all of them said that Dairymilks were in demand So from all the above information we come to know that Cadbury is most popular brand than other brands of chocolates
17
Annexure 4
FINDINGS
We have to various conclusions from this project We have found that
1 INCOME
Income as a factor affects purchase decision indirectly ie almost all brands of chocolate are at different prices Hence it might not affect consumers purchase decision then However the same brands of chocolate are priced more at Malls So consumers become more sensitive at such places
For a consumer who has an income less than Rs 10000 he will not always be able to afford 20-50 rupees for a chocolate Hence he might spend 5 rupees for a chocolate
2 BRAND PREFRENCE amp BRAND LOYALTY
A large number of consumers have a first preference of Cadbury followed by Nestle Amul and parle Yet if the preferred brand is not available then they would switch to other brands This shows that the level of brand loyalty among consumers is very low Although Cadbury is one of the most reputed brands it does not have brand loyalty
3 AVAILIBILITY
Availability is not a factor that a consumer keeps in mind while purchasing any brand of chocolate However now a days chocolates being necessity in many occasions a consumers will purchase any brand available if his preferred brand is not available This shows that availability affects a consumer to a great extent
Taste
Many consumers purchase a brand of chocolates on the basis of how the chocolate tastes consumers appeal that they find few of the chocolates bitter in taste Hence they tend to avoid purchasing those brands as far as possible Yet on the other hand there are consumers who love the bitter taste of chocolate Hence it is a matter of consumerrsquos percieverence
Size
We have seen that usually chocolates of rs 5 to rs 10 are consumed This is followed by chocolats of rs 203050 and so on However all brands are not available in all size
18
Hence consumer who want to purchase chocolates of rs 5 and 10 of a particular brand and if it is not available than they would switch to another brand in which that size is available
PricePrice is an important factor affecting the purchase decision of consumers However consumers were agreed that they are ready to buy a brand even if its price increase They were not ready to compromise their perceived quality of the brand
Packaging and Labeling
A large number of consumers said that packaging and labeling of a brand of chocolates does not affect the purchase decision While the consumer among the lower age group especially the kids gives priority to packaging and labeling Packaging can help brand volumes but cannot be the driver
Brand awareness
Consumers are well aware of the various brands in the market One of the brands that they were ever to recall the most was CADBURY While surveying we found that CADBURY today has become synonymous to chocolates
Advertisement
Advertisement plays a small role in influencing the purchase decision of consumer Advertisement has managed to make consumer aware of various brands It helps in influencing the purchase decision only when all the brands of chocolates are available Brands like CADBURY NESTLE AMUL spend lot of money on advertisement to increase their sales on the other hand local manufactures without advertisement manage to sell their products in the market
Own experienceA large no of consumers said that they would purchase a brand of chocolates based on their own experience of taste perceived quality and so on
Brand nameIt can be seen that various brand have created a brand image for themselves in the minds of consumers When all the brands are available they purchased chocolates on the basis of brand name
Word of mouthMost consumers felt that word of mouth does not affect their purchased decision
19
No brand differentiation
There is no brand differentiation in the market ie even though people ask for dairy milk they satisfied if they walk away with 5starkit-kat munch amul or any other chocolates of any brand
RECOMMENDATION
1 The national brands of chocolates should also be made easily available and consumable in rural areas too 2 The local chocolates are widely popular in specific localities They could even be supplied in a wider area3 As per public opinion the respondents even wanted to experience varities in taste in a specific brands The companies can look forward to that4 In the lower age group between 10 to 20 the teens even wanted different sizes in shapes in chocolate For eg free of our respondents even desire to have chocolats of heart shapes specially for gifting others5 No schemes are introduced in chocolates on regular basis Schemes should be their for few of the expensive brands6 For bringing inovvation chocolate should even be made of different colurs For eg chocolates of Black White Red pink blue and so on would be widely accepted by the children
20
21
DATA SOURCES
PRIMARY SOURCES
We will collect a survey amongst consumers of different types of chocolates We will also collect information from various company offices
SECONDARY SOURCES
We will referring to various websites journals books magazines etc
RESEARCH INSTRUMENT
The research instrument will be questionnaire
CONCLUSION
From this project we will expect to find out the factors affecting the extent to which they affect the purchase decisions
7
ContentPreface 1Acknowledgement 2Executive summary 3
ParticularExecutive SummaryObjective and ScopeObjectiveScopeResearch MethodologyIdentification of TopicResearch typeResearch DesignData collectionSample SizeSelection of BrandsResearch InstrumentsHistory of chocolate Chocolate industry- An OverviewNational brandsCadburyParleAmulNestle IndiaLocal brandsMichirsquosBaba kentLinkageSecondary objectiveMarket strategyTarget audiencePackaging amp labellingQuestionnaireAnalysisNational brands analysisLocal brands analysisOverall view Kids surveyFinding amp recommendationBibliography
Bibliography
Books
8
Philip kotler and Gary Armstrong principle of marketing10th edition
News Papers
The economic times
The Hindu business line
Websites
wwwrediffcomwwwbusiness-standardcomwwwIndia-statscomwwwAgencyfaqscomwwwEquitymastercomwwwmyiriscomwwwthehindubusinesslinecom
9
Annexure 1
Types of Chocolates
Depending on what is added to (or removed from) the chocolate liquor different flavors andvarieties of chocolate are produced Each has a different chemical make-up the differences are notsolely in the taste1 Unsweetened or Baking chocolate is simply cooled hardened chocolate liquor It is usedprimarily as an ingredient in recipes or as a garnish2 Semi-sweet chocolate is also used primarily in recipes It has extra cocoa butter and sugaradded Sweet cooking chocolate is basically the same with more sugar for taste3 Milk chocolate is chocolate liquor with extra cocoa butter sugar milk and vanilla addedThis is the most popular form for chocolate It is primarily an eating chocolateCocoa is chocolate liquor with much of the cocoa butter removed creating a fine powder It canpick up moisture and odors from other products so you should keep cocoa in a cool dry placetightly covered
There are several kinds of cocoa1048707 Low-fat cocoa has the most fat removed It typically has less than ten percent cocoa butterremaining1048707 Medium-fat cocoa has anywhere from ten to twenty-two percent cocoa butter in it1048707 Drinking or Breakfast cocoa has over twenty-two percent left in it This is the cocoa used inchocolate milk powders like Nestles Quik1048707 Dutch process cocoa is cocoa which has been specially processed to neutralize the naturalacids in the chocolate It is slightly darker and has a much different taste than regular cocoaDecorators chocolate or confectioners chocolate isnt really chocolate at all but a sort of chocolateflavored candy used for things such as covering strawberries It was created to melt easily and hardenquickly but it isnt chocolate
Categories of Chocolates
Commercial Chocolates are available in the following forms1 Bars or Moulded Chocolates2 Counts3 Panned Chocolates (Gems)4 Eacuteclairs5 Assorted ChocolatesBars or moulded chocolates (like Dairy Milk Truffle Amul Milk Chocolate Nestle Premium andNestle Milky Bar) comprise the largest segment accounting for 37 of the total chocolate market involume terms Wafer chocolates such as Kit-Kat and Perk also belong to this segment Pannedchocolates accounts for 10 of the total chocolate market
10
MAJOR PLAYERS
In Ahmedabad In India1) Ravalgaon 1) Cadbury2) Palican 2) Nestle3) Rommy 3) Amul 4) Ayush 4) Parle5) Kim Kim 5) Candyman6) Micky 6) Parry
11
Annexure 2
MARKETING STRATEGY
PRODUCTS
Decision regarding appearance size shapes weight brand packing etc are taken
PRICE
Decision regarding prize policy credit policy are taken In Urja fabrics pvt ltd the price is governed by market value based price The customerrsquos queries have to be answered within 24 hours
PLACE
Decision regarding wholesale and retail merchants channels of distribution physical decision etc are taken
PROMOTION
Decision regarding advertisement personal selling publicity and sales promotion are taken
COMPETITORS
When competition is healthy it motivates and encourages the companies to bring about drastic change in its management to stand with the competition They are forced to improve the quality of goods and prove them at low rates
12
Followings are the marketing strategy adopted by different malls of Ahmedabad city
Place No of chocolates
Price Packaging Supply chain Advertisement
Big Bazzar
Cadbury Rs5 to 90
Box bottle wrapper
Head Office(Mumbai)
___
Gallops CadburyNestle
Rs 10 to 300
Wrapper BoxPaper packaging
Local suppliers ___
Amul (retail outlet)
Amul Rs 5 to 150
Box packetswrapper
Dairy TV advertisement
Reliance Fresh
Cadbury Rs 5 to 150
Box bottle wrappers
Head Office(Mumbai)
___
Place Majorcustomers
Profit Occasions Selling Units
Schemes
Big Bazzar All 7-10 Rakhi ampDiwali Single units __Gallops Collegians amp
Children20 Christmas
Diwali RakhiSingle Units __
Amul(retail outlet)
All (majority youngsters)
20 All time hit Single units __
Reliance fresh Cadbury __ Adults Single units __
Analysis
These are the information available from different malls and retail outlets of Ahmadabad From the above information we can clearly says that mostly all the malls are selling chocolates Cadbury brand only and very few are selling nestle brand All of them are chocolates between the ranges of Rs 5 to Rs 300 Mostly they are supplying chocolates from the head office of Bombay only Amul supplying chocolates from dairy The profit margin rate of all of them is between 7 to 20 All of them are selling chocolates in single unit only and none of them are providing any schemes on sale of chocolate
13
Following are the marketing strategies adopted by different types of Shops of Ahmedabad city
Place No of chocolates Price Packaging Supply ChainShrinath parlor Cadbury
NestleAmulParle
5 -5005-10Rs 5Rs 1
__Gokul DasVeer coAshok mrktngPrecise sell
Ambika Dairyfarm
CadburyNestleParle
1 to 1751 to 10050 to 5
Tin Boxes Gokul dasVeer coPrecise sell
Krishna dairy CadburyNestleParle
1-3001-10050-5
Tinboxes Gokul DasVeer coPrecise sell
RB stores CadburyNestleParle
5-302-12050-1
__Gokul DasVeer coPrecise sell
Place Major customers Profit Occasion SellingUnits
Schemes
Shrinath parlor Kids amp adults 7-8 Rakhi amp Diwali Single units __
Ambika dairy farm
Kids 5-8 All occasions Single units Discounts at festivals
Krishna dairy farm
Kids 10-25 All occasions Single units __
RB stores Kids amp Adults 7-10 Rakhi diwalibirthday
Single units __
Analysis
These are the different type of available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Cadbury nestle amul parleThey are selling chocolates between the price range of 050 paisa to Rs 300All the retailers are purchasing Cadbury chocolates from only one distributor and that is Gokul das Same as they are purchasing nestle chocolates from veer co Parle from precise sells and amul from ashok marketing Generally all the shops earning profit between 7-25 And they are selling chocolates in single units
Following are the marketing strategies of rural brands of chocolates adopted by different shops in Ahmedabad city
Place No of chocolates Price Packaging Supply Chain
14
Aashapura KentLemoMichi
Rs 25 to 2 Plastic Wrapper Kalupur
Jitubhai Kent PelicanAayushKim Kim
Rs 25 to 5 Wrapper Kalupur
Chamunda stores KentLemoMichiPelicanAayushKim KimAasha
Rs 10 to 30 Tin boxes Packets Jar
Naroda
Satyavijay KentLemoMichiPelicanAayushKim Kim
Rs 10 to 50 Tin boxes Packets Jar
Naroda
Place Major customers Profit Occasion SellingUnits
Schemes
Aashapura Kids amp adults 5-7 - Single units __
Jitubhai Kids 5-8 All occasions Single units __Chamunda stores
JashriDeepak storesSurajNaveenshah
8-11 All occasions except feb-march
Bulk __
Satyavijay Kids amp Adults 7-10 __ Bulk __
Analaysis
These are the different type of rural brand chocolates available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Kent Lemo Michi and Aayush They are selling chocolates between the price range of Rs 10 to Rs 30 All the wholesellers are purchasing Kent chocolates from only one distributor and that is Kent Food Product Naroda Same as they are purchasing
15
Michi chocolates from JRJ Products Ltd Madhupur etc and they are selling these chocolates in bulk to retailers Generally all the shops earning profit between 5-7 And they are selling chocolates in single unit between the price ranges of 25 to 2
16
Annexure 3
OVERALL REVIEW
Talking about chocolate market in a nutshell we came to know that now dayrsquos chocolates of national band are mostly popular within both local and urban people The main reason being that the availability of national brands of chocolates like Cadbury Amul Nestle and Parle are widely available even in slums Itrsquos becoming popular in both rural and urban areas
Generally observed phenomenon is that women prefer more chocolates than men do Youngster and children up to specific age are the target audience They are concentrated and their needs are taken into consideration
For urban area precisely Dairy milk 5 star eclair munch kit Kat celebrations temptations are more famous while in rural areas chocolates like kacha aam cokanaka aayush roomy pelican and roul gun are the most consumed
While we concuted a survey among the kids they preferred those chocolates with attractive wrappers They preferred those of different shapes and sizes and with those of transparent boxes
While we conducted a survey among the kids they prefered with attractive wrappers They preferred with those of different shapes and sizes and with those of transparent boxes
When we went for retail survey we went for retail survey we came to know what their selling strategies were and what were their mostly demanded chocolates We even went to Amul for survey where we identified that consumers of Amul chocolate are in plenty
When we surveyed about chocolate consumed in our college canteen all of them said that Dairymilks were in demand So from all the above information we come to know that Cadbury is most popular brand than other brands of chocolates
17
Annexure 4
FINDINGS
We have to various conclusions from this project We have found that
1 INCOME
Income as a factor affects purchase decision indirectly ie almost all brands of chocolate are at different prices Hence it might not affect consumers purchase decision then However the same brands of chocolate are priced more at Malls So consumers become more sensitive at such places
For a consumer who has an income less than Rs 10000 he will not always be able to afford 20-50 rupees for a chocolate Hence he might spend 5 rupees for a chocolate
2 BRAND PREFRENCE amp BRAND LOYALTY
A large number of consumers have a first preference of Cadbury followed by Nestle Amul and parle Yet if the preferred brand is not available then they would switch to other brands This shows that the level of brand loyalty among consumers is very low Although Cadbury is one of the most reputed brands it does not have brand loyalty
3 AVAILIBILITY
Availability is not a factor that a consumer keeps in mind while purchasing any brand of chocolate However now a days chocolates being necessity in many occasions a consumers will purchase any brand available if his preferred brand is not available This shows that availability affects a consumer to a great extent
Taste
Many consumers purchase a brand of chocolates on the basis of how the chocolate tastes consumers appeal that they find few of the chocolates bitter in taste Hence they tend to avoid purchasing those brands as far as possible Yet on the other hand there are consumers who love the bitter taste of chocolate Hence it is a matter of consumerrsquos percieverence
Size
We have seen that usually chocolates of rs 5 to rs 10 are consumed This is followed by chocolats of rs 203050 and so on However all brands are not available in all size
18
Hence consumer who want to purchase chocolates of rs 5 and 10 of a particular brand and if it is not available than they would switch to another brand in which that size is available
PricePrice is an important factor affecting the purchase decision of consumers However consumers were agreed that they are ready to buy a brand even if its price increase They were not ready to compromise their perceived quality of the brand
Packaging and Labeling
A large number of consumers said that packaging and labeling of a brand of chocolates does not affect the purchase decision While the consumer among the lower age group especially the kids gives priority to packaging and labeling Packaging can help brand volumes but cannot be the driver
Brand awareness
Consumers are well aware of the various brands in the market One of the brands that they were ever to recall the most was CADBURY While surveying we found that CADBURY today has become synonymous to chocolates
Advertisement
Advertisement plays a small role in influencing the purchase decision of consumer Advertisement has managed to make consumer aware of various brands It helps in influencing the purchase decision only when all the brands of chocolates are available Brands like CADBURY NESTLE AMUL spend lot of money on advertisement to increase their sales on the other hand local manufactures without advertisement manage to sell their products in the market
Own experienceA large no of consumers said that they would purchase a brand of chocolates based on their own experience of taste perceived quality and so on
Brand nameIt can be seen that various brand have created a brand image for themselves in the minds of consumers When all the brands are available they purchased chocolates on the basis of brand name
Word of mouthMost consumers felt that word of mouth does not affect their purchased decision
19
No brand differentiation
There is no brand differentiation in the market ie even though people ask for dairy milk they satisfied if they walk away with 5starkit-kat munch amul or any other chocolates of any brand
RECOMMENDATION
1 The national brands of chocolates should also be made easily available and consumable in rural areas too 2 The local chocolates are widely popular in specific localities They could even be supplied in a wider area3 As per public opinion the respondents even wanted to experience varities in taste in a specific brands The companies can look forward to that4 In the lower age group between 10 to 20 the teens even wanted different sizes in shapes in chocolate For eg free of our respondents even desire to have chocolats of heart shapes specially for gifting others5 No schemes are introduced in chocolates on regular basis Schemes should be their for few of the expensive brands6 For bringing inovvation chocolate should even be made of different colurs For eg chocolates of Black White Red pink blue and so on would be widely accepted by the children
20
21
ContentPreface 1Acknowledgement 2Executive summary 3
ParticularExecutive SummaryObjective and ScopeObjectiveScopeResearch MethodologyIdentification of TopicResearch typeResearch DesignData collectionSample SizeSelection of BrandsResearch InstrumentsHistory of chocolate Chocolate industry- An OverviewNational brandsCadburyParleAmulNestle IndiaLocal brandsMichirsquosBaba kentLinkageSecondary objectiveMarket strategyTarget audiencePackaging amp labellingQuestionnaireAnalysisNational brands analysisLocal brands analysisOverall view Kids surveyFinding amp recommendationBibliography
Bibliography
Books
8
Philip kotler and Gary Armstrong principle of marketing10th edition
News Papers
The economic times
The Hindu business line
Websites
wwwrediffcomwwwbusiness-standardcomwwwIndia-statscomwwwAgencyfaqscomwwwEquitymastercomwwwmyiriscomwwwthehindubusinesslinecom
9
Annexure 1
Types of Chocolates
Depending on what is added to (or removed from) the chocolate liquor different flavors andvarieties of chocolate are produced Each has a different chemical make-up the differences are notsolely in the taste1 Unsweetened or Baking chocolate is simply cooled hardened chocolate liquor It is usedprimarily as an ingredient in recipes or as a garnish2 Semi-sweet chocolate is also used primarily in recipes It has extra cocoa butter and sugaradded Sweet cooking chocolate is basically the same with more sugar for taste3 Milk chocolate is chocolate liquor with extra cocoa butter sugar milk and vanilla addedThis is the most popular form for chocolate It is primarily an eating chocolateCocoa is chocolate liquor with much of the cocoa butter removed creating a fine powder It canpick up moisture and odors from other products so you should keep cocoa in a cool dry placetightly covered
There are several kinds of cocoa1048707 Low-fat cocoa has the most fat removed It typically has less than ten percent cocoa butterremaining1048707 Medium-fat cocoa has anywhere from ten to twenty-two percent cocoa butter in it1048707 Drinking or Breakfast cocoa has over twenty-two percent left in it This is the cocoa used inchocolate milk powders like Nestles Quik1048707 Dutch process cocoa is cocoa which has been specially processed to neutralize the naturalacids in the chocolate It is slightly darker and has a much different taste than regular cocoaDecorators chocolate or confectioners chocolate isnt really chocolate at all but a sort of chocolateflavored candy used for things such as covering strawberries It was created to melt easily and hardenquickly but it isnt chocolate
Categories of Chocolates
Commercial Chocolates are available in the following forms1 Bars or Moulded Chocolates2 Counts3 Panned Chocolates (Gems)4 Eacuteclairs5 Assorted ChocolatesBars or moulded chocolates (like Dairy Milk Truffle Amul Milk Chocolate Nestle Premium andNestle Milky Bar) comprise the largest segment accounting for 37 of the total chocolate market involume terms Wafer chocolates such as Kit-Kat and Perk also belong to this segment Pannedchocolates accounts for 10 of the total chocolate market
10
MAJOR PLAYERS
In Ahmedabad In India1) Ravalgaon 1) Cadbury2) Palican 2) Nestle3) Rommy 3) Amul 4) Ayush 4) Parle5) Kim Kim 5) Candyman6) Micky 6) Parry
11
Annexure 2
MARKETING STRATEGY
PRODUCTS
Decision regarding appearance size shapes weight brand packing etc are taken
PRICE
Decision regarding prize policy credit policy are taken In Urja fabrics pvt ltd the price is governed by market value based price The customerrsquos queries have to be answered within 24 hours
PLACE
Decision regarding wholesale and retail merchants channels of distribution physical decision etc are taken
PROMOTION
Decision regarding advertisement personal selling publicity and sales promotion are taken
COMPETITORS
When competition is healthy it motivates and encourages the companies to bring about drastic change in its management to stand with the competition They are forced to improve the quality of goods and prove them at low rates
12
Followings are the marketing strategy adopted by different malls of Ahmedabad city
Place No of chocolates
Price Packaging Supply chain Advertisement
Big Bazzar
Cadbury Rs5 to 90
Box bottle wrapper
Head Office(Mumbai)
___
Gallops CadburyNestle
Rs 10 to 300
Wrapper BoxPaper packaging
Local suppliers ___
Amul (retail outlet)
Amul Rs 5 to 150
Box packetswrapper
Dairy TV advertisement
Reliance Fresh
Cadbury Rs 5 to 150
Box bottle wrappers
Head Office(Mumbai)
___
Place Majorcustomers
Profit Occasions Selling Units
Schemes
Big Bazzar All 7-10 Rakhi ampDiwali Single units __Gallops Collegians amp
Children20 Christmas
Diwali RakhiSingle Units __
Amul(retail outlet)
All (majority youngsters)
20 All time hit Single units __
Reliance fresh Cadbury __ Adults Single units __
Analysis
These are the information available from different malls and retail outlets of Ahmadabad From the above information we can clearly says that mostly all the malls are selling chocolates Cadbury brand only and very few are selling nestle brand All of them are chocolates between the ranges of Rs 5 to Rs 300 Mostly they are supplying chocolates from the head office of Bombay only Amul supplying chocolates from dairy The profit margin rate of all of them is between 7 to 20 All of them are selling chocolates in single unit only and none of them are providing any schemes on sale of chocolate
13
Following are the marketing strategies adopted by different types of Shops of Ahmedabad city
Place No of chocolates Price Packaging Supply ChainShrinath parlor Cadbury
NestleAmulParle
5 -5005-10Rs 5Rs 1
__Gokul DasVeer coAshok mrktngPrecise sell
Ambika Dairyfarm
CadburyNestleParle
1 to 1751 to 10050 to 5
Tin Boxes Gokul dasVeer coPrecise sell
Krishna dairy CadburyNestleParle
1-3001-10050-5
Tinboxes Gokul DasVeer coPrecise sell
RB stores CadburyNestleParle
5-302-12050-1
__Gokul DasVeer coPrecise sell
Place Major customers Profit Occasion SellingUnits
Schemes
Shrinath parlor Kids amp adults 7-8 Rakhi amp Diwali Single units __
Ambika dairy farm
Kids 5-8 All occasions Single units Discounts at festivals
Krishna dairy farm
Kids 10-25 All occasions Single units __
RB stores Kids amp Adults 7-10 Rakhi diwalibirthday
Single units __
Analysis
These are the different type of available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Cadbury nestle amul parleThey are selling chocolates between the price range of 050 paisa to Rs 300All the retailers are purchasing Cadbury chocolates from only one distributor and that is Gokul das Same as they are purchasing nestle chocolates from veer co Parle from precise sells and amul from ashok marketing Generally all the shops earning profit between 7-25 And they are selling chocolates in single units
Following are the marketing strategies of rural brands of chocolates adopted by different shops in Ahmedabad city
Place No of chocolates Price Packaging Supply Chain
14
Aashapura KentLemoMichi
Rs 25 to 2 Plastic Wrapper Kalupur
Jitubhai Kent PelicanAayushKim Kim
Rs 25 to 5 Wrapper Kalupur
Chamunda stores KentLemoMichiPelicanAayushKim KimAasha
Rs 10 to 30 Tin boxes Packets Jar
Naroda
Satyavijay KentLemoMichiPelicanAayushKim Kim
Rs 10 to 50 Tin boxes Packets Jar
Naroda
Place Major customers Profit Occasion SellingUnits
Schemes
Aashapura Kids amp adults 5-7 - Single units __
Jitubhai Kids 5-8 All occasions Single units __Chamunda stores
JashriDeepak storesSurajNaveenshah
8-11 All occasions except feb-march
Bulk __
Satyavijay Kids amp Adults 7-10 __ Bulk __
Analaysis
These are the different type of rural brand chocolates available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Kent Lemo Michi and Aayush They are selling chocolates between the price range of Rs 10 to Rs 30 All the wholesellers are purchasing Kent chocolates from only one distributor and that is Kent Food Product Naroda Same as they are purchasing
15
Michi chocolates from JRJ Products Ltd Madhupur etc and they are selling these chocolates in bulk to retailers Generally all the shops earning profit between 5-7 And they are selling chocolates in single unit between the price ranges of 25 to 2
16
Annexure 3
OVERALL REVIEW
Talking about chocolate market in a nutshell we came to know that now dayrsquos chocolates of national band are mostly popular within both local and urban people The main reason being that the availability of national brands of chocolates like Cadbury Amul Nestle and Parle are widely available even in slums Itrsquos becoming popular in both rural and urban areas
Generally observed phenomenon is that women prefer more chocolates than men do Youngster and children up to specific age are the target audience They are concentrated and their needs are taken into consideration
For urban area precisely Dairy milk 5 star eclair munch kit Kat celebrations temptations are more famous while in rural areas chocolates like kacha aam cokanaka aayush roomy pelican and roul gun are the most consumed
While we concuted a survey among the kids they preferred those chocolates with attractive wrappers They preferred those of different shapes and sizes and with those of transparent boxes
While we conducted a survey among the kids they prefered with attractive wrappers They preferred with those of different shapes and sizes and with those of transparent boxes
When we went for retail survey we went for retail survey we came to know what their selling strategies were and what were their mostly demanded chocolates We even went to Amul for survey where we identified that consumers of Amul chocolate are in plenty
When we surveyed about chocolate consumed in our college canteen all of them said that Dairymilks were in demand So from all the above information we come to know that Cadbury is most popular brand than other brands of chocolates
17
Annexure 4
FINDINGS
We have to various conclusions from this project We have found that
1 INCOME
Income as a factor affects purchase decision indirectly ie almost all brands of chocolate are at different prices Hence it might not affect consumers purchase decision then However the same brands of chocolate are priced more at Malls So consumers become more sensitive at such places
For a consumer who has an income less than Rs 10000 he will not always be able to afford 20-50 rupees for a chocolate Hence he might spend 5 rupees for a chocolate
2 BRAND PREFRENCE amp BRAND LOYALTY
A large number of consumers have a first preference of Cadbury followed by Nestle Amul and parle Yet if the preferred brand is not available then they would switch to other brands This shows that the level of brand loyalty among consumers is very low Although Cadbury is one of the most reputed brands it does not have brand loyalty
3 AVAILIBILITY
Availability is not a factor that a consumer keeps in mind while purchasing any brand of chocolate However now a days chocolates being necessity in many occasions a consumers will purchase any brand available if his preferred brand is not available This shows that availability affects a consumer to a great extent
Taste
Many consumers purchase a brand of chocolates on the basis of how the chocolate tastes consumers appeal that they find few of the chocolates bitter in taste Hence they tend to avoid purchasing those brands as far as possible Yet on the other hand there are consumers who love the bitter taste of chocolate Hence it is a matter of consumerrsquos percieverence
Size
We have seen that usually chocolates of rs 5 to rs 10 are consumed This is followed by chocolats of rs 203050 and so on However all brands are not available in all size
18
Hence consumer who want to purchase chocolates of rs 5 and 10 of a particular brand and if it is not available than they would switch to another brand in which that size is available
PricePrice is an important factor affecting the purchase decision of consumers However consumers were agreed that they are ready to buy a brand even if its price increase They were not ready to compromise their perceived quality of the brand
Packaging and Labeling
A large number of consumers said that packaging and labeling of a brand of chocolates does not affect the purchase decision While the consumer among the lower age group especially the kids gives priority to packaging and labeling Packaging can help brand volumes but cannot be the driver
Brand awareness
Consumers are well aware of the various brands in the market One of the brands that they were ever to recall the most was CADBURY While surveying we found that CADBURY today has become synonymous to chocolates
Advertisement
Advertisement plays a small role in influencing the purchase decision of consumer Advertisement has managed to make consumer aware of various brands It helps in influencing the purchase decision only when all the brands of chocolates are available Brands like CADBURY NESTLE AMUL spend lot of money on advertisement to increase their sales on the other hand local manufactures without advertisement manage to sell their products in the market
Own experienceA large no of consumers said that they would purchase a brand of chocolates based on their own experience of taste perceived quality and so on
Brand nameIt can be seen that various brand have created a brand image for themselves in the minds of consumers When all the brands are available they purchased chocolates on the basis of brand name
Word of mouthMost consumers felt that word of mouth does not affect their purchased decision
19
No brand differentiation
There is no brand differentiation in the market ie even though people ask for dairy milk they satisfied if they walk away with 5starkit-kat munch amul or any other chocolates of any brand
RECOMMENDATION
1 The national brands of chocolates should also be made easily available and consumable in rural areas too 2 The local chocolates are widely popular in specific localities They could even be supplied in a wider area3 As per public opinion the respondents even wanted to experience varities in taste in a specific brands The companies can look forward to that4 In the lower age group between 10 to 20 the teens even wanted different sizes in shapes in chocolate For eg free of our respondents even desire to have chocolats of heart shapes specially for gifting others5 No schemes are introduced in chocolates on regular basis Schemes should be their for few of the expensive brands6 For bringing inovvation chocolate should even be made of different colurs For eg chocolates of Black White Red pink blue and so on would be widely accepted by the children
20
21
Philip kotler and Gary Armstrong principle of marketing10th edition
News Papers
The economic times
The Hindu business line
Websites
wwwrediffcomwwwbusiness-standardcomwwwIndia-statscomwwwAgencyfaqscomwwwEquitymastercomwwwmyiriscomwwwthehindubusinesslinecom
9
Annexure 1
Types of Chocolates
Depending on what is added to (or removed from) the chocolate liquor different flavors andvarieties of chocolate are produced Each has a different chemical make-up the differences are notsolely in the taste1 Unsweetened or Baking chocolate is simply cooled hardened chocolate liquor It is usedprimarily as an ingredient in recipes or as a garnish2 Semi-sweet chocolate is also used primarily in recipes It has extra cocoa butter and sugaradded Sweet cooking chocolate is basically the same with more sugar for taste3 Milk chocolate is chocolate liquor with extra cocoa butter sugar milk and vanilla addedThis is the most popular form for chocolate It is primarily an eating chocolateCocoa is chocolate liquor with much of the cocoa butter removed creating a fine powder It canpick up moisture and odors from other products so you should keep cocoa in a cool dry placetightly covered
There are several kinds of cocoa1048707 Low-fat cocoa has the most fat removed It typically has less than ten percent cocoa butterremaining1048707 Medium-fat cocoa has anywhere from ten to twenty-two percent cocoa butter in it1048707 Drinking or Breakfast cocoa has over twenty-two percent left in it This is the cocoa used inchocolate milk powders like Nestles Quik1048707 Dutch process cocoa is cocoa which has been specially processed to neutralize the naturalacids in the chocolate It is slightly darker and has a much different taste than regular cocoaDecorators chocolate or confectioners chocolate isnt really chocolate at all but a sort of chocolateflavored candy used for things such as covering strawberries It was created to melt easily and hardenquickly but it isnt chocolate
Categories of Chocolates
Commercial Chocolates are available in the following forms1 Bars or Moulded Chocolates2 Counts3 Panned Chocolates (Gems)4 Eacuteclairs5 Assorted ChocolatesBars or moulded chocolates (like Dairy Milk Truffle Amul Milk Chocolate Nestle Premium andNestle Milky Bar) comprise the largest segment accounting for 37 of the total chocolate market involume terms Wafer chocolates such as Kit-Kat and Perk also belong to this segment Pannedchocolates accounts for 10 of the total chocolate market
10
MAJOR PLAYERS
In Ahmedabad In India1) Ravalgaon 1) Cadbury2) Palican 2) Nestle3) Rommy 3) Amul 4) Ayush 4) Parle5) Kim Kim 5) Candyman6) Micky 6) Parry
11
Annexure 2
MARKETING STRATEGY
PRODUCTS
Decision regarding appearance size shapes weight brand packing etc are taken
PRICE
Decision regarding prize policy credit policy are taken In Urja fabrics pvt ltd the price is governed by market value based price The customerrsquos queries have to be answered within 24 hours
PLACE
Decision regarding wholesale and retail merchants channels of distribution physical decision etc are taken
PROMOTION
Decision regarding advertisement personal selling publicity and sales promotion are taken
COMPETITORS
When competition is healthy it motivates and encourages the companies to bring about drastic change in its management to stand with the competition They are forced to improve the quality of goods and prove them at low rates
12
Followings are the marketing strategy adopted by different malls of Ahmedabad city
Place No of chocolates
Price Packaging Supply chain Advertisement
Big Bazzar
Cadbury Rs5 to 90
Box bottle wrapper
Head Office(Mumbai)
___
Gallops CadburyNestle
Rs 10 to 300
Wrapper BoxPaper packaging
Local suppliers ___
Amul (retail outlet)
Amul Rs 5 to 150
Box packetswrapper
Dairy TV advertisement
Reliance Fresh
Cadbury Rs 5 to 150
Box bottle wrappers
Head Office(Mumbai)
___
Place Majorcustomers
Profit Occasions Selling Units
Schemes
Big Bazzar All 7-10 Rakhi ampDiwali Single units __Gallops Collegians amp
Children20 Christmas
Diwali RakhiSingle Units __
Amul(retail outlet)
All (majority youngsters)
20 All time hit Single units __
Reliance fresh Cadbury __ Adults Single units __
Analysis
These are the information available from different malls and retail outlets of Ahmadabad From the above information we can clearly says that mostly all the malls are selling chocolates Cadbury brand only and very few are selling nestle brand All of them are chocolates between the ranges of Rs 5 to Rs 300 Mostly they are supplying chocolates from the head office of Bombay only Amul supplying chocolates from dairy The profit margin rate of all of them is between 7 to 20 All of them are selling chocolates in single unit only and none of them are providing any schemes on sale of chocolate
13
Following are the marketing strategies adopted by different types of Shops of Ahmedabad city
Place No of chocolates Price Packaging Supply ChainShrinath parlor Cadbury
NestleAmulParle
5 -5005-10Rs 5Rs 1
__Gokul DasVeer coAshok mrktngPrecise sell
Ambika Dairyfarm
CadburyNestleParle
1 to 1751 to 10050 to 5
Tin Boxes Gokul dasVeer coPrecise sell
Krishna dairy CadburyNestleParle
1-3001-10050-5
Tinboxes Gokul DasVeer coPrecise sell
RB stores CadburyNestleParle
5-302-12050-1
__Gokul DasVeer coPrecise sell
Place Major customers Profit Occasion SellingUnits
Schemes
Shrinath parlor Kids amp adults 7-8 Rakhi amp Diwali Single units __
Ambika dairy farm
Kids 5-8 All occasions Single units Discounts at festivals
Krishna dairy farm
Kids 10-25 All occasions Single units __
RB stores Kids amp Adults 7-10 Rakhi diwalibirthday
Single units __
Analysis
These are the different type of available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Cadbury nestle amul parleThey are selling chocolates between the price range of 050 paisa to Rs 300All the retailers are purchasing Cadbury chocolates from only one distributor and that is Gokul das Same as they are purchasing nestle chocolates from veer co Parle from precise sells and amul from ashok marketing Generally all the shops earning profit between 7-25 And they are selling chocolates in single units
Following are the marketing strategies of rural brands of chocolates adopted by different shops in Ahmedabad city
Place No of chocolates Price Packaging Supply Chain
14
Aashapura KentLemoMichi
Rs 25 to 2 Plastic Wrapper Kalupur
Jitubhai Kent PelicanAayushKim Kim
Rs 25 to 5 Wrapper Kalupur
Chamunda stores KentLemoMichiPelicanAayushKim KimAasha
Rs 10 to 30 Tin boxes Packets Jar
Naroda
Satyavijay KentLemoMichiPelicanAayushKim Kim
Rs 10 to 50 Tin boxes Packets Jar
Naroda
Place Major customers Profit Occasion SellingUnits
Schemes
Aashapura Kids amp adults 5-7 - Single units __
Jitubhai Kids 5-8 All occasions Single units __Chamunda stores
JashriDeepak storesSurajNaveenshah
8-11 All occasions except feb-march
Bulk __
Satyavijay Kids amp Adults 7-10 __ Bulk __
Analaysis
These are the different type of rural brand chocolates available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Kent Lemo Michi and Aayush They are selling chocolates between the price range of Rs 10 to Rs 30 All the wholesellers are purchasing Kent chocolates from only one distributor and that is Kent Food Product Naroda Same as they are purchasing
15
Michi chocolates from JRJ Products Ltd Madhupur etc and they are selling these chocolates in bulk to retailers Generally all the shops earning profit between 5-7 And they are selling chocolates in single unit between the price ranges of 25 to 2
16
Annexure 3
OVERALL REVIEW
Talking about chocolate market in a nutshell we came to know that now dayrsquos chocolates of national band are mostly popular within both local and urban people The main reason being that the availability of national brands of chocolates like Cadbury Amul Nestle and Parle are widely available even in slums Itrsquos becoming popular in both rural and urban areas
Generally observed phenomenon is that women prefer more chocolates than men do Youngster and children up to specific age are the target audience They are concentrated and their needs are taken into consideration
For urban area precisely Dairy milk 5 star eclair munch kit Kat celebrations temptations are more famous while in rural areas chocolates like kacha aam cokanaka aayush roomy pelican and roul gun are the most consumed
While we concuted a survey among the kids they preferred those chocolates with attractive wrappers They preferred those of different shapes and sizes and with those of transparent boxes
While we conducted a survey among the kids they prefered with attractive wrappers They preferred with those of different shapes and sizes and with those of transparent boxes
When we went for retail survey we went for retail survey we came to know what their selling strategies were and what were their mostly demanded chocolates We even went to Amul for survey where we identified that consumers of Amul chocolate are in plenty
When we surveyed about chocolate consumed in our college canteen all of them said that Dairymilks were in demand So from all the above information we come to know that Cadbury is most popular brand than other brands of chocolates
17
Annexure 4
FINDINGS
We have to various conclusions from this project We have found that
1 INCOME
Income as a factor affects purchase decision indirectly ie almost all brands of chocolate are at different prices Hence it might not affect consumers purchase decision then However the same brands of chocolate are priced more at Malls So consumers become more sensitive at such places
For a consumer who has an income less than Rs 10000 he will not always be able to afford 20-50 rupees for a chocolate Hence he might spend 5 rupees for a chocolate
2 BRAND PREFRENCE amp BRAND LOYALTY
A large number of consumers have a first preference of Cadbury followed by Nestle Amul and parle Yet if the preferred brand is not available then they would switch to other brands This shows that the level of brand loyalty among consumers is very low Although Cadbury is one of the most reputed brands it does not have brand loyalty
3 AVAILIBILITY
Availability is not a factor that a consumer keeps in mind while purchasing any brand of chocolate However now a days chocolates being necessity in many occasions a consumers will purchase any brand available if his preferred brand is not available This shows that availability affects a consumer to a great extent
Taste
Many consumers purchase a brand of chocolates on the basis of how the chocolate tastes consumers appeal that they find few of the chocolates bitter in taste Hence they tend to avoid purchasing those brands as far as possible Yet on the other hand there are consumers who love the bitter taste of chocolate Hence it is a matter of consumerrsquos percieverence
Size
We have seen that usually chocolates of rs 5 to rs 10 are consumed This is followed by chocolats of rs 203050 and so on However all brands are not available in all size
18
Hence consumer who want to purchase chocolates of rs 5 and 10 of a particular brand and if it is not available than they would switch to another brand in which that size is available
PricePrice is an important factor affecting the purchase decision of consumers However consumers were agreed that they are ready to buy a brand even if its price increase They were not ready to compromise their perceived quality of the brand
Packaging and Labeling
A large number of consumers said that packaging and labeling of a brand of chocolates does not affect the purchase decision While the consumer among the lower age group especially the kids gives priority to packaging and labeling Packaging can help brand volumes but cannot be the driver
Brand awareness
Consumers are well aware of the various brands in the market One of the brands that they were ever to recall the most was CADBURY While surveying we found that CADBURY today has become synonymous to chocolates
Advertisement
Advertisement plays a small role in influencing the purchase decision of consumer Advertisement has managed to make consumer aware of various brands It helps in influencing the purchase decision only when all the brands of chocolates are available Brands like CADBURY NESTLE AMUL spend lot of money on advertisement to increase their sales on the other hand local manufactures without advertisement manage to sell their products in the market
Own experienceA large no of consumers said that they would purchase a brand of chocolates based on their own experience of taste perceived quality and so on
Brand nameIt can be seen that various brand have created a brand image for themselves in the minds of consumers When all the brands are available they purchased chocolates on the basis of brand name
Word of mouthMost consumers felt that word of mouth does not affect their purchased decision
19
No brand differentiation
There is no brand differentiation in the market ie even though people ask for dairy milk they satisfied if they walk away with 5starkit-kat munch amul or any other chocolates of any brand
RECOMMENDATION
1 The national brands of chocolates should also be made easily available and consumable in rural areas too 2 The local chocolates are widely popular in specific localities They could even be supplied in a wider area3 As per public opinion the respondents even wanted to experience varities in taste in a specific brands The companies can look forward to that4 In the lower age group between 10 to 20 the teens even wanted different sizes in shapes in chocolate For eg free of our respondents even desire to have chocolats of heart shapes specially for gifting others5 No schemes are introduced in chocolates on regular basis Schemes should be their for few of the expensive brands6 For bringing inovvation chocolate should even be made of different colurs For eg chocolates of Black White Red pink blue and so on would be widely accepted by the children
20
21
Annexure 1
Types of Chocolates
Depending on what is added to (or removed from) the chocolate liquor different flavors andvarieties of chocolate are produced Each has a different chemical make-up the differences are notsolely in the taste1 Unsweetened or Baking chocolate is simply cooled hardened chocolate liquor It is usedprimarily as an ingredient in recipes or as a garnish2 Semi-sweet chocolate is also used primarily in recipes It has extra cocoa butter and sugaradded Sweet cooking chocolate is basically the same with more sugar for taste3 Milk chocolate is chocolate liquor with extra cocoa butter sugar milk and vanilla addedThis is the most popular form for chocolate It is primarily an eating chocolateCocoa is chocolate liquor with much of the cocoa butter removed creating a fine powder It canpick up moisture and odors from other products so you should keep cocoa in a cool dry placetightly covered
There are several kinds of cocoa1048707 Low-fat cocoa has the most fat removed It typically has less than ten percent cocoa butterremaining1048707 Medium-fat cocoa has anywhere from ten to twenty-two percent cocoa butter in it1048707 Drinking or Breakfast cocoa has over twenty-two percent left in it This is the cocoa used inchocolate milk powders like Nestles Quik1048707 Dutch process cocoa is cocoa which has been specially processed to neutralize the naturalacids in the chocolate It is slightly darker and has a much different taste than regular cocoaDecorators chocolate or confectioners chocolate isnt really chocolate at all but a sort of chocolateflavored candy used for things such as covering strawberries It was created to melt easily and hardenquickly but it isnt chocolate
Categories of Chocolates
Commercial Chocolates are available in the following forms1 Bars or Moulded Chocolates2 Counts3 Panned Chocolates (Gems)4 Eacuteclairs5 Assorted ChocolatesBars or moulded chocolates (like Dairy Milk Truffle Amul Milk Chocolate Nestle Premium andNestle Milky Bar) comprise the largest segment accounting for 37 of the total chocolate market involume terms Wafer chocolates such as Kit-Kat and Perk also belong to this segment Pannedchocolates accounts for 10 of the total chocolate market
10
MAJOR PLAYERS
In Ahmedabad In India1) Ravalgaon 1) Cadbury2) Palican 2) Nestle3) Rommy 3) Amul 4) Ayush 4) Parle5) Kim Kim 5) Candyman6) Micky 6) Parry
11
Annexure 2
MARKETING STRATEGY
PRODUCTS
Decision regarding appearance size shapes weight brand packing etc are taken
PRICE
Decision regarding prize policy credit policy are taken In Urja fabrics pvt ltd the price is governed by market value based price The customerrsquos queries have to be answered within 24 hours
PLACE
Decision regarding wholesale and retail merchants channels of distribution physical decision etc are taken
PROMOTION
Decision regarding advertisement personal selling publicity and sales promotion are taken
COMPETITORS
When competition is healthy it motivates and encourages the companies to bring about drastic change in its management to stand with the competition They are forced to improve the quality of goods and prove them at low rates
12
Followings are the marketing strategy adopted by different malls of Ahmedabad city
Place No of chocolates
Price Packaging Supply chain Advertisement
Big Bazzar
Cadbury Rs5 to 90
Box bottle wrapper
Head Office(Mumbai)
___
Gallops CadburyNestle
Rs 10 to 300
Wrapper BoxPaper packaging
Local suppliers ___
Amul (retail outlet)
Amul Rs 5 to 150
Box packetswrapper
Dairy TV advertisement
Reliance Fresh
Cadbury Rs 5 to 150
Box bottle wrappers
Head Office(Mumbai)
___
Place Majorcustomers
Profit Occasions Selling Units
Schemes
Big Bazzar All 7-10 Rakhi ampDiwali Single units __Gallops Collegians amp
Children20 Christmas
Diwali RakhiSingle Units __
Amul(retail outlet)
All (majority youngsters)
20 All time hit Single units __
Reliance fresh Cadbury __ Adults Single units __
Analysis
These are the information available from different malls and retail outlets of Ahmadabad From the above information we can clearly says that mostly all the malls are selling chocolates Cadbury brand only and very few are selling nestle brand All of them are chocolates between the ranges of Rs 5 to Rs 300 Mostly they are supplying chocolates from the head office of Bombay only Amul supplying chocolates from dairy The profit margin rate of all of them is between 7 to 20 All of them are selling chocolates in single unit only and none of them are providing any schemes on sale of chocolate
13
Following are the marketing strategies adopted by different types of Shops of Ahmedabad city
Place No of chocolates Price Packaging Supply ChainShrinath parlor Cadbury
NestleAmulParle
5 -5005-10Rs 5Rs 1
__Gokul DasVeer coAshok mrktngPrecise sell
Ambika Dairyfarm
CadburyNestleParle
1 to 1751 to 10050 to 5
Tin Boxes Gokul dasVeer coPrecise sell
Krishna dairy CadburyNestleParle
1-3001-10050-5
Tinboxes Gokul DasVeer coPrecise sell
RB stores CadburyNestleParle
5-302-12050-1
__Gokul DasVeer coPrecise sell
Place Major customers Profit Occasion SellingUnits
Schemes
Shrinath parlor Kids amp adults 7-8 Rakhi amp Diwali Single units __
Ambika dairy farm
Kids 5-8 All occasions Single units Discounts at festivals
Krishna dairy farm
Kids 10-25 All occasions Single units __
RB stores Kids amp Adults 7-10 Rakhi diwalibirthday
Single units __
Analysis
These are the different type of available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Cadbury nestle amul parleThey are selling chocolates between the price range of 050 paisa to Rs 300All the retailers are purchasing Cadbury chocolates from only one distributor and that is Gokul das Same as they are purchasing nestle chocolates from veer co Parle from precise sells and amul from ashok marketing Generally all the shops earning profit between 7-25 And they are selling chocolates in single units
Following are the marketing strategies of rural brands of chocolates adopted by different shops in Ahmedabad city
Place No of chocolates Price Packaging Supply Chain
14
Aashapura KentLemoMichi
Rs 25 to 2 Plastic Wrapper Kalupur
Jitubhai Kent PelicanAayushKim Kim
Rs 25 to 5 Wrapper Kalupur
Chamunda stores KentLemoMichiPelicanAayushKim KimAasha
Rs 10 to 30 Tin boxes Packets Jar
Naroda
Satyavijay KentLemoMichiPelicanAayushKim Kim
Rs 10 to 50 Tin boxes Packets Jar
Naroda
Place Major customers Profit Occasion SellingUnits
Schemes
Aashapura Kids amp adults 5-7 - Single units __
Jitubhai Kids 5-8 All occasions Single units __Chamunda stores
JashriDeepak storesSurajNaveenshah
8-11 All occasions except feb-march
Bulk __
Satyavijay Kids amp Adults 7-10 __ Bulk __
Analaysis
These are the different type of rural brand chocolates available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Kent Lemo Michi and Aayush They are selling chocolates between the price range of Rs 10 to Rs 30 All the wholesellers are purchasing Kent chocolates from only one distributor and that is Kent Food Product Naroda Same as they are purchasing
15
Michi chocolates from JRJ Products Ltd Madhupur etc and they are selling these chocolates in bulk to retailers Generally all the shops earning profit between 5-7 And they are selling chocolates in single unit between the price ranges of 25 to 2
16
Annexure 3
OVERALL REVIEW
Talking about chocolate market in a nutshell we came to know that now dayrsquos chocolates of national band are mostly popular within both local and urban people The main reason being that the availability of national brands of chocolates like Cadbury Amul Nestle and Parle are widely available even in slums Itrsquos becoming popular in both rural and urban areas
Generally observed phenomenon is that women prefer more chocolates than men do Youngster and children up to specific age are the target audience They are concentrated and their needs are taken into consideration
For urban area precisely Dairy milk 5 star eclair munch kit Kat celebrations temptations are more famous while in rural areas chocolates like kacha aam cokanaka aayush roomy pelican and roul gun are the most consumed
While we concuted a survey among the kids they preferred those chocolates with attractive wrappers They preferred those of different shapes and sizes and with those of transparent boxes
While we conducted a survey among the kids they prefered with attractive wrappers They preferred with those of different shapes and sizes and with those of transparent boxes
When we went for retail survey we went for retail survey we came to know what their selling strategies were and what were their mostly demanded chocolates We even went to Amul for survey where we identified that consumers of Amul chocolate are in plenty
When we surveyed about chocolate consumed in our college canteen all of them said that Dairymilks were in demand So from all the above information we come to know that Cadbury is most popular brand than other brands of chocolates
17
Annexure 4
FINDINGS
We have to various conclusions from this project We have found that
1 INCOME
Income as a factor affects purchase decision indirectly ie almost all brands of chocolate are at different prices Hence it might not affect consumers purchase decision then However the same brands of chocolate are priced more at Malls So consumers become more sensitive at such places
For a consumer who has an income less than Rs 10000 he will not always be able to afford 20-50 rupees for a chocolate Hence he might spend 5 rupees for a chocolate
2 BRAND PREFRENCE amp BRAND LOYALTY
A large number of consumers have a first preference of Cadbury followed by Nestle Amul and parle Yet if the preferred brand is not available then they would switch to other brands This shows that the level of brand loyalty among consumers is very low Although Cadbury is one of the most reputed brands it does not have brand loyalty
3 AVAILIBILITY
Availability is not a factor that a consumer keeps in mind while purchasing any brand of chocolate However now a days chocolates being necessity in many occasions a consumers will purchase any brand available if his preferred brand is not available This shows that availability affects a consumer to a great extent
Taste
Many consumers purchase a brand of chocolates on the basis of how the chocolate tastes consumers appeal that they find few of the chocolates bitter in taste Hence they tend to avoid purchasing those brands as far as possible Yet on the other hand there are consumers who love the bitter taste of chocolate Hence it is a matter of consumerrsquos percieverence
Size
We have seen that usually chocolates of rs 5 to rs 10 are consumed This is followed by chocolats of rs 203050 and so on However all brands are not available in all size
18
Hence consumer who want to purchase chocolates of rs 5 and 10 of a particular brand and if it is not available than they would switch to another brand in which that size is available
PricePrice is an important factor affecting the purchase decision of consumers However consumers were agreed that they are ready to buy a brand even if its price increase They were not ready to compromise their perceived quality of the brand
Packaging and Labeling
A large number of consumers said that packaging and labeling of a brand of chocolates does not affect the purchase decision While the consumer among the lower age group especially the kids gives priority to packaging and labeling Packaging can help brand volumes but cannot be the driver
Brand awareness
Consumers are well aware of the various brands in the market One of the brands that they were ever to recall the most was CADBURY While surveying we found that CADBURY today has become synonymous to chocolates
Advertisement
Advertisement plays a small role in influencing the purchase decision of consumer Advertisement has managed to make consumer aware of various brands It helps in influencing the purchase decision only when all the brands of chocolates are available Brands like CADBURY NESTLE AMUL spend lot of money on advertisement to increase their sales on the other hand local manufactures without advertisement manage to sell their products in the market
Own experienceA large no of consumers said that they would purchase a brand of chocolates based on their own experience of taste perceived quality and so on
Brand nameIt can be seen that various brand have created a brand image for themselves in the minds of consumers When all the brands are available they purchased chocolates on the basis of brand name
Word of mouthMost consumers felt that word of mouth does not affect their purchased decision
19
No brand differentiation
There is no brand differentiation in the market ie even though people ask for dairy milk they satisfied if they walk away with 5starkit-kat munch amul or any other chocolates of any brand
RECOMMENDATION
1 The national brands of chocolates should also be made easily available and consumable in rural areas too 2 The local chocolates are widely popular in specific localities They could even be supplied in a wider area3 As per public opinion the respondents even wanted to experience varities in taste in a specific brands The companies can look forward to that4 In the lower age group between 10 to 20 the teens even wanted different sizes in shapes in chocolate For eg free of our respondents even desire to have chocolats of heart shapes specially for gifting others5 No schemes are introduced in chocolates on regular basis Schemes should be their for few of the expensive brands6 For bringing inovvation chocolate should even be made of different colurs For eg chocolates of Black White Red pink blue and so on would be widely accepted by the children
20
21
MAJOR PLAYERS
In Ahmedabad In India1) Ravalgaon 1) Cadbury2) Palican 2) Nestle3) Rommy 3) Amul 4) Ayush 4) Parle5) Kim Kim 5) Candyman6) Micky 6) Parry
11
Annexure 2
MARKETING STRATEGY
PRODUCTS
Decision regarding appearance size shapes weight brand packing etc are taken
PRICE
Decision regarding prize policy credit policy are taken In Urja fabrics pvt ltd the price is governed by market value based price The customerrsquos queries have to be answered within 24 hours
PLACE
Decision regarding wholesale and retail merchants channels of distribution physical decision etc are taken
PROMOTION
Decision regarding advertisement personal selling publicity and sales promotion are taken
COMPETITORS
When competition is healthy it motivates and encourages the companies to bring about drastic change in its management to stand with the competition They are forced to improve the quality of goods and prove them at low rates
12
Followings are the marketing strategy adopted by different malls of Ahmedabad city
Place No of chocolates
Price Packaging Supply chain Advertisement
Big Bazzar
Cadbury Rs5 to 90
Box bottle wrapper
Head Office(Mumbai)
___
Gallops CadburyNestle
Rs 10 to 300
Wrapper BoxPaper packaging
Local suppliers ___
Amul (retail outlet)
Amul Rs 5 to 150
Box packetswrapper
Dairy TV advertisement
Reliance Fresh
Cadbury Rs 5 to 150
Box bottle wrappers
Head Office(Mumbai)
___
Place Majorcustomers
Profit Occasions Selling Units
Schemes
Big Bazzar All 7-10 Rakhi ampDiwali Single units __Gallops Collegians amp
Children20 Christmas
Diwali RakhiSingle Units __
Amul(retail outlet)
All (majority youngsters)
20 All time hit Single units __
Reliance fresh Cadbury __ Adults Single units __
Analysis
These are the information available from different malls and retail outlets of Ahmadabad From the above information we can clearly says that mostly all the malls are selling chocolates Cadbury brand only and very few are selling nestle brand All of them are chocolates between the ranges of Rs 5 to Rs 300 Mostly they are supplying chocolates from the head office of Bombay only Amul supplying chocolates from dairy The profit margin rate of all of them is between 7 to 20 All of them are selling chocolates in single unit only and none of them are providing any schemes on sale of chocolate
13
Following are the marketing strategies adopted by different types of Shops of Ahmedabad city
Place No of chocolates Price Packaging Supply ChainShrinath parlor Cadbury
NestleAmulParle
5 -5005-10Rs 5Rs 1
__Gokul DasVeer coAshok mrktngPrecise sell
Ambika Dairyfarm
CadburyNestleParle
1 to 1751 to 10050 to 5
Tin Boxes Gokul dasVeer coPrecise sell
Krishna dairy CadburyNestleParle
1-3001-10050-5
Tinboxes Gokul DasVeer coPrecise sell
RB stores CadburyNestleParle
5-302-12050-1
__Gokul DasVeer coPrecise sell
Place Major customers Profit Occasion SellingUnits
Schemes
Shrinath parlor Kids amp adults 7-8 Rakhi amp Diwali Single units __
Ambika dairy farm
Kids 5-8 All occasions Single units Discounts at festivals
Krishna dairy farm
Kids 10-25 All occasions Single units __
RB stores Kids amp Adults 7-10 Rakhi diwalibirthday
Single units __
Analysis
These are the different type of available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Cadbury nestle amul parleThey are selling chocolates between the price range of 050 paisa to Rs 300All the retailers are purchasing Cadbury chocolates from only one distributor and that is Gokul das Same as they are purchasing nestle chocolates from veer co Parle from precise sells and amul from ashok marketing Generally all the shops earning profit between 7-25 And they are selling chocolates in single units
Following are the marketing strategies of rural brands of chocolates adopted by different shops in Ahmedabad city
Place No of chocolates Price Packaging Supply Chain
14
Aashapura KentLemoMichi
Rs 25 to 2 Plastic Wrapper Kalupur
Jitubhai Kent PelicanAayushKim Kim
Rs 25 to 5 Wrapper Kalupur
Chamunda stores KentLemoMichiPelicanAayushKim KimAasha
Rs 10 to 30 Tin boxes Packets Jar
Naroda
Satyavijay KentLemoMichiPelicanAayushKim Kim
Rs 10 to 50 Tin boxes Packets Jar
Naroda
Place Major customers Profit Occasion SellingUnits
Schemes
Aashapura Kids amp adults 5-7 - Single units __
Jitubhai Kids 5-8 All occasions Single units __Chamunda stores
JashriDeepak storesSurajNaveenshah
8-11 All occasions except feb-march
Bulk __
Satyavijay Kids amp Adults 7-10 __ Bulk __
Analaysis
These are the different type of rural brand chocolates available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Kent Lemo Michi and Aayush They are selling chocolates between the price range of Rs 10 to Rs 30 All the wholesellers are purchasing Kent chocolates from only one distributor and that is Kent Food Product Naroda Same as they are purchasing
15
Michi chocolates from JRJ Products Ltd Madhupur etc and they are selling these chocolates in bulk to retailers Generally all the shops earning profit between 5-7 And they are selling chocolates in single unit between the price ranges of 25 to 2
16
Annexure 3
OVERALL REVIEW
Talking about chocolate market in a nutshell we came to know that now dayrsquos chocolates of national band are mostly popular within both local and urban people The main reason being that the availability of national brands of chocolates like Cadbury Amul Nestle and Parle are widely available even in slums Itrsquos becoming popular in both rural and urban areas
Generally observed phenomenon is that women prefer more chocolates than men do Youngster and children up to specific age are the target audience They are concentrated and their needs are taken into consideration
For urban area precisely Dairy milk 5 star eclair munch kit Kat celebrations temptations are more famous while in rural areas chocolates like kacha aam cokanaka aayush roomy pelican and roul gun are the most consumed
While we concuted a survey among the kids they preferred those chocolates with attractive wrappers They preferred those of different shapes and sizes and with those of transparent boxes
While we conducted a survey among the kids they prefered with attractive wrappers They preferred with those of different shapes and sizes and with those of transparent boxes
When we went for retail survey we went for retail survey we came to know what their selling strategies were and what were their mostly demanded chocolates We even went to Amul for survey where we identified that consumers of Amul chocolate are in plenty
When we surveyed about chocolate consumed in our college canteen all of them said that Dairymilks were in demand So from all the above information we come to know that Cadbury is most popular brand than other brands of chocolates
17
Annexure 4
FINDINGS
We have to various conclusions from this project We have found that
1 INCOME
Income as a factor affects purchase decision indirectly ie almost all brands of chocolate are at different prices Hence it might not affect consumers purchase decision then However the same brands of chocolate are priced more at Malls So consumers become more sensitive at such places
For a consumer who has an income less than Rs 10000 he will not always be able to afford 20-50 rupees for a chocolate Hence he might spend 5 rupees for a chocolate
2 BRAND PREFRENCE amp BRAND LOYALTY
A large number of consumers have a first preference of Cadbury followed by Nestle Amul and parle Yet if the preferred brand is not available then they would switch to other brands This shows that the level of brand loyalty among consumers is very low Although Cadbury is one of the most reputed brands it does not have brand loyalty
3 AVAILIBILITY
Availability is not a factor that a consumer keeps in mind while purchasing any brand of chocolate However now a days chocolates being necessity in many occasions a consumers will purchase any brand available if his preferred brand is not available This shows that availability affects a consumer to a great extent
Taste
Many consumers purchase a brand of chocolates on the basis of how the chocolate tastes consumers appeal that they find few of the chocolates bitter in taste Hence they tend to avoid purchasing those brands as far as possible Yet on the other hand there are consumers who love the bitter taste of chocolate Hence it is a matter of consumerrsquos percieverence
Size
We have seen that usually chocolates of rs 5 to rs 10 are consumed This is followed by chocolats of rs 203050 and so on However all brands are not available in all size
18
Hence consumer who want to purchase chocolates of rs 5 and 10 of a particular brand and if it is not available than they would switch to another brand in which that size is available
PricePrice is an important factor affecting the purchase decision of consumers However consumers were agreed that they are ready to buy a brand even if its price increase They were not ready to compromise their perceived quality of the brand
Packaging and Labeling
A large number of consumers said that packaging and labeling of a brand of chocolates does not affect the purchase decision While the consumer among the lower age group especially the kids gives priority to packaging and labeling Packaging can help brand volumes but cannot be the driver
Brand awareness
Consumers are well aware of the various brands in the market One of the brands that they were ever to recall the most was CADBURY While surveying we found that CADBURY today has become synonymous to chocolates
Advertisement
Advertisement plays a small role in influencing the purchase decision of consumer Advertisement has managed to make consumer aware of various brands It helps in influencing the purchase decision only when all the brands of chocolates are available Brands like CADBURY NESTLE AMUL spend lot of money on advertisement to increase their sales on the other hand local manufactures without advertisement manage to sell their products in the market
Own experienceA large no of consumers said that they would purchase a brand of chocolates based on their own experience of taste perceived quality and so on
Brand nameIt can be seen that various brand have created a brand image for themselves in the minds of consumers When all the brands are available they purchased chocolates on the basis of brand name
Word of mouthMost consumers felt that word of mouth does not affect their purchased decision
19
No brand differentiation
There is no brand differentiation in the market ie even though people ask for dairy milk they satisfied if they walk away with 5starkit-kat munch amul or any other chocolates of any brand
RECOMMENDATION
1 The national brands of chocolates should also be made easily available and consumable in rural areas too 2 The local chocolates are widely popular in specific localities They could even be supplied in a wider area3 As per public opinion the respondents even wanted to experience varities in taste in a specific brands The companies can look forward to that4 In the lower age group between 10 to 20 the teens even wanted different sizes in shapes in chocolate For eg free of our respondents even desire to have chocolats of heart shapes specially for gifting others5 No schemes are introduced in chocolates on regular basis Schemes should be their for few of the expensive brands6 For bringing inovvation chocolate should even be made of different colurs For eg chocolates of Black White Red pink blue and so on would be widely accepted by the children
20
21
Annexure 2
MARKETING STRATEGY
PRODUCTS
Decision regarding appearance size shapes weight brand packing etc are taken
PRICE
Decision regarding prize policy credit policy are taken In Urja fabrics pvt ltd the price is governed by market value based price The customerrsquos queries have to be answered within 24 hours
PLACE
Decision regarding wholesale and retail merchants channels of distribution physical decision etc are taken
PROMOTION
Decision regarding advertisement personal selling publicity and sales promotion are taken
COMPETITORS
When competition is healthy it motivates and encourages the companies to bring about drastic change in its management to stand with the competition They are forced to improve the quality of goods and prove them at low rates
12
Followings are the marketing strategy adopted by different malls of Ahmedabad city
Place No of chocolates
Price Packaging Supply chain Advertisement
Big Bazzar
Cadbury Rs5 to 90
Box bottle wrapper
Head Office(Mumbai)
___
Gallops CadburyNestle
Rs 10 to 300
Wrapper BoxPaper packaging
Local suppliers ___
Amul (retail outlet)
Amul Rs 5 to 150
Box packetswrapper
Dairy TV advertisement
Reliance Fresh
Cadbury Rs 5 to 150
Box bottle wrappers
Head Office(Mumbai)
___
Place Majorcustomers
Profit Occasions Selling Units
Schemes
Big Bazzar All 7-10 Rakhi ampDiwali Single units __Gallops Collegians amp
Children20 Christmas
Diwali RakhiSingle Units __
Amul(retail outlet)
All (majority youngsters)
20 All time hit Single units __
Reliance fresh Cadbury __ Adults Single units __
Analysis
These are the information available from different malls and retail outlets of Ahmadabad From the above information we can clearly says that mostly all the malls are selling chocolates Cadbury brand only and very few are selling nestle brand All of them are chocolates between the ranges of Rs 5 to Rs 300 Mostly they are supplying chocolates from the head office of Bombay only Amul supplying chocolates from dairy The profit margin rate of all of them is between 7 to 20 All of them are selling chocolates in single unit only and none of them are providing any schemes on sale of chocolate
13
Following are the marketing strategies adopted by different types of Shops of Ahmedabad city
Place No of chocolates Price Packaging Supply ChainShrinath parlor Cadbury
NestleAmulParle
5 -5005-10Rs 5Rs 1
__Gokul DasVeer coAshok mrktngPrecise sell
Ambika Dairyfarm
CadburyNestleParle
1 to 1751 to 10050 to 5
Tin Boxes Gokul dasVeer coPrecise sell
Krishna dairy CadburyNestleParle
1-3001-10050-5
Tinboxes Gokul DasVeer coPrecise sell
RB stores CadburyNestleParle
5-302-12050-1
__Gokul DasVeer coPrecise sell
Place Major customers Profit Occasion SellingUnits
Schemes
Shrinath parlor Kids amp adults 7-8 Rakhi amp Diwali Single units __
Ambika dairy farm
Kids 5-8 All occasions Single units Discounts at festivals
Krishna dairy farm
Kids 10-25 All occasions Single units __
RB stores Kids amp Adults 7-10 Rakhi diwalibirthday
Single units __
Analysis
These are the different type of available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Cadbury nestle amul parleThey are selling chocolates between the price range of 050 paisa to Rs 300All the retailers are purchasing Cadbury chocolates from only one distributor and that is Gokul das Same as they are purchasing nestle chocolates from veer co Parle from precise sells and amul from ashok marketing Generally all the shops earning profit between 7-25 And they are selling chocolates in single units
Following are the marketing strategies of rural brands of chocolates adopted by different shops in Ahmedabad city
Place No of chocolates Price Packaging Supply Chain
14
Aashapura KentLemoMichi
Rs 25 to 2 Plastic Wrapper Kalupur
Jitubhai Kent PelicanAayushKim Kim
Rs 25 to 5 Wrapper Kalupur
Chamunda stores KentLemoMichiPelicanAayushKim KimAasha
Rs 10 to 30 Tin boxes Packets Jar
Naroda
Satyavijay KentLemoMichiPelicanAayushKim Kim
Rs 10 to 50 Tin boxes Packets Jar
Naroda
Place Major customers Profit Occasion SellingUnits
Schemes
Aashapura Kids amp adults 5-7 - Single units __
Jitubhai Kids 5-8 All occasions Single units __Chamunda stores
JashriDeepak storesSurajNaveenshah
8-11 All occasions except feb-march
Bulk __
Satyavijay Kids amp Adults 7-10 __ Bulk __
Analaysis
These are the different type of rural brand chocolates available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Kent Lemo Michi and Aayush They are selling chocolates between the price range of Rs 10 to Rs 30 All the wholesellers are purchasing Kent chocolates from only one distributor and that is Kent Food Product Naroda Same as they are purchasing
15
Michi chocolates from JRJ Products Ltd Madhupur etc and they are selling these chocolates in bulk to retailers Generally all the shops earning profit between 5-7 And they are selling chocolates in single unit between the price ranges of 25 to 2
16
Annexure 3
OVERALL REVIEW
Talking about chocolate market in a nutshell we came to know that now dayrsquos chocolates of national band are mostly popular within both local and urban people The main reason being that the availability of national brands of chocolates like Cadbury Amul Nestle and Parle are widely available even in slums Itrsquos becoming popular in both rural and urban areas
Generally observed phenomenon is that women prefer more chocolates than men do Youngster and children up to specific age are the target audience They are concentrated and their needs are taken into consideration
For urban area precisely Dairy milk 5 star eclair munch kit Kat celebrations temptations are more famous while in rural areas chocolates like kacha aam cokanaka aayush roomy pelican and roul gun are the most consumed
While we concuted a survey among the kids they preferred those chocolates with attractive wrappers They preferred those of different shapes and sizes and with those of transparent boxes
While we conducted a survey among the kids they prefered with attractive wrappers They preferred with those of different shapes and sizes and with those of transparent boxes
When we went for retail survey we went for retail survey we came to know what their selling strategies were and what were their mostly demanded chocolates We even went to Amul for survey where we identified that consumers of Amul chocolate are in plenty
When we surveyed about chocolate consumed in our college canteen all of them said that Dairymilks were in demand So from all the above information we come to know that Cadbury is most popular brand than other brands of chocolates
17
Annexure 4
FINDINGS
We have to various conclusions from this project We have found that
1 INCOME
Income as a factor affects purchase decision indirectly ie almost all brands of chocolate are at different prices Hence it might not affect consumers purchase decision then However the same brands of chocolate are priced more at Malls So consumers become more sensitive at such places
For a consumer who has an income less than Rs 10000 he will not always be able to afford 20-50 rupees for a chocolate Hence he might spend 5 rupees for a chocolate
2 BRAND PREFRENCE amp BRAND LOYALTY
A large number of consumers have a first preference of Cadbury followed by Nestle Amul and parle Yet if the preferred brand is not available then they would switch to other brands This shows that the level of brand loyalty among consumers is very low Although Cadbury is one of the most reputed brands it does not have brand loyalty
3 AVAILIBILITY
Availability is not a factor that a consumer keeps in mind while purchasing any brand of chocolate However now a days chocolates being necessity in many occasions a consumers will purchase any brand available if his preferred brand is not available This shows that availability affects a consumer to a great extent
Taste
Many consumers purchase a brand of chocolates on the basis of how the chocolate tastes consumers appeal that they find few of the chocolates bitter in taste Hence they tend to avoid purchasing those brands as far as possible Yet on the other hand there are consumers who love the bitter taste of chocolate Hence it is a matter of consumerrsquos percieverence
Size
We have seen that usually chocolates of rs 5 to rs 10 are consumed This is followed by chocolats of rs 203050 and so on However all brands are not available in all size
18
Hence consumer who want to purchase chocolates of rs 5 and 10 of a particular brand and if it is not available than they would switch to another brand in which that size is available
PricePrice is an important factor affecting the purchase decision of consumers However consumers were agreed that they are ready to buy a brand even if its price increase They were not ready to compromise their perceived quality of the brand
Packaging and Labeling
A large number of consumers said that packaging and labeling of a brand of chocolates does not affect the purchase decision While the consumer among the lower age group especially the kids gives priority to packaging and labeling Packaging can help brand volumes but cannot be the driver
Brand awareness
Consumers are well aware of the various brands in the market One of the brands that they were ever to recall the most was CADBURY While surveying we found that CADBURY today has become synonymous to chocolates
Advertisement
Advertisement plays a small role in influencing the purchase decision of consumer Advertisement has managed to make consumer aware of various brands It helps in influencing the purchase decision only when all the brands of chocolates are available Brands like CADBURY NESTLE AMUL spend lot of money on advertisement to increase their sales on the other hand local manufactures without advertisement manage to sell their products in the market
Own experienceA large no of consumers said that they would purchase a brand of chocolates based on their own experience of taste perceived quality and so on
Brand nameIt can be seen that various brand have created a brand image for themselves in the minds of consumers When all the brands are available they purchased chocolates on the basis of brand name
Word of mouthMost consumers felt that word of mouth does not affect their purchased decision
19
No brand differentiation
There is no brand differentiation in the market ie even though people ask for dairy milk they satisfied if they walk away with 5starkit-kat munch amul or any other chocolates of any brand
RECOMMENDATION
1 The national brands of chocolates should also be made easily available and consumable in rural areas too 2 The local chocolates are widely popular in specific localities They could even be supplied in a wider area3 As per public opinion the respondents even wanted to experience varities in taste in a specific brands The companies can look forward to that4 In the lower age group between 10 to 20 the teens even wanted different sizes in shapes in chocolate For eg free of our respondents even desire to have chocolats of heart shapes specially for gifting others5 No schemes are introduced in chocolates on regular basis Schemes should be their for few of the expensive brands6 For bringing inovvation chocolate should even be made of different colurs For eg chocolates of Black White Red pink blue and so on would be widely accepted by the children
20
21
Followings are the marketing strategy adopted by different malls of Ahmedabad city
Place No of chocolates
Price Packaging Supply chain Advertisement
Big Bazzar
Cadbury Rs5 to 90
Box bottle wrapper
Head Office(Mumbai)
___
Gallops CadburyNestle
Rs 10 to 300
Wrapper BoxPaper packaging
Local suppliers ___
Amul (retail outlet)
Amul Rs 5 to 150
Box packetswrapper
Dairy TV advertisement
Reliance Fresh
Cadbury Rs 5 to 150
Box bottle wrappers
Head Office(Mumbai)
___
Place Majorcustomers
Profit Occasions Selling Units
Schemes
Big Bazzar All 7-10 Rakhi ampDiwali Single units __Gallops Collegians amp
Children20 Christmas
Diwali RakhiSingle Units __
Amul(retail outlet)
All (majority youngsters)
20 All time hit Single units __
Reliance fresh Cadbury __ Adults Single units __
Analysis
These are the information available from different malls and retail outlets of Ahmadabad From the above information we can clearly says that mostly all the malls are selling chocolates Cadbury brand only and very few are selling nestle brand All of them are chocolates between the ranges of Rs 5 to Rs 300 Mostly they are supplying chocolates from the head office of Bombay only Amul supplying chocolates from dairy The profit margin rate of all of them is between 7 to 20 All of them are selling chocolates in single unit only and none of them are providing any schemes on sale of chocolate
13
Following are the marketing strategies adopted by different types of Shops of Ahmedabad city
Place No of chocolates Price Packaging Supply ChainShrinath parlor Cadbury
NestleAmulParle
5 -5005-10Rs 5Rs 1
__Gokul DasVeer coAshok mrktngPrecise sell
Ambika Dairyfarm
CadburyNestleParle
1 to 1751 to 10050 to 5
Tin Boxes Gokul dasVeer coPrecise sell
Krishna dairy CadburyNestleParle
1-3001-10050-5
Tinboxes Gokul DasVeer coPrecise sell
RB stores CadburyNestleParle
5-302-12050-1
__Gokul DasVeer coPrecise sell
Place Major customers Profit Occasion SellingUnits
Schemes
Shrinath parlor Kids amp adults 7-8 Rakhi amp Diwali Single units __
Ambika dairy farm
Kids 5-8 All occasions Single units Discounts at festivals
Krishna dairy farm
Kids 10-25 All occasions Single units __
RB stores Kids amp Adults 7-10 Rakhi diwalibirthday
Single units __
Analysis
These are the different type of available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Cadbury nestle amul parleThey are selling chocolates between the price range of 050 paisa to Rs 300All the retailers are purchasing Cadbury chocolates from only one distributor and that is Gokul das Same as they are purchasing nestle chocolates from veer co Parle from precise sells and amul from ashok marketing Generally all the shops earning profit between 7-25 And they are selling chocolates in single units
Following are the marketing strategies of rural brands of chocolates adopted by different shops in Ahmedabad city
Place No of chocolates Price Packaging Supply Chain
14
Aashapura KentLemoMichi
Rs 25 to 2 Plastic Wrapper Kalupur
Jitubhai Kent PelicanAayushKim Kim
Rs 25 to 5 Wrapper Kalupur
Chamunda stores KentLemoMichiPelicanAayushKim KimAasha
Rs 10 to 30 Tin boxes Packets Jar
Naroda
Satyavijay KentLemoMichiPelicanAayushKim Kim
Rs 10 to 50 Tin boxes Packets Jar
Naroda
Place Major customers Profit Occasion SellingUnits
Schemes
Aashapura Kids amp adults 5-7 - Single units __
Jitubhai Kids 5-8 All occasions Single units __Chamunda stores
JashriDeepak storesSurajNaveenshah
8-11 All occasions except feb-march
Bulk __
Satyavijay Kids amp Adults 7-10 __ Bulk __
Analaysis
These are the different type of rural brand chocolates available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Kent Lemo Michi and Aayush They are selling chocolates between the price range of Rs 10 to Rs 30 All the wholesellers are purchasing Kent chocolates from only one distributor and that is Kent Food Product Naroda Same as they are purchasing
15
Michi chocolates from JRJ Products Ltd Madhupur etc and they are selling these chocolates in bulk to retailers Generally all the shops earning profit between 5-7 And they are selling chocolates in single unit between the price ranges of 25 to 2
16
Annexure 3
OVERALL REVIEW
Talking about chocolate market in a nutshell we came to know that now dayrsquos chocolates of national band are mostly popular within both local and urban people The main reason being that the availability of national brands of chocolates like Cadbury Amul Nestle and Parle are widely available even in slums Itrsquos becoming popular in both rural and urban areas
Generally observed phenomenon is that women prefer more chocolates than men do Youngster and children up to specific age are the target audience They are concentrated and their needs are taken into consideration
For urban area precisely Dairy milk 5 star eclair munch kit Kat celebrations temptations are more famous while in rural areas chocolates like kacha aam cokanaka aayush roomy pelican and roul gun are the most consumed
While we concuted a survey among the kids they preferred those chocolates with attractive wrappers They preferred those of different shapes and sizes and with those of transparent boxes
While we conducted a survey among the kids they prefered with attractive wrappers They preferred with those of different shapes and sizes and with those of transparent boxes
When we went for retail survey we went for retail survey we came to know what their selling strategies were and what were their mostly demanded chocolates We even went to Amul for survey where we identified that consumers of Amul chocolate are in plenty
When we surveyed about chocolate consumed in our college canteen all of them said that Dairymilks were in demand So from all the above information we come to know that Cadbury is most popular brand than other brands of chocolates
17
Annexure 4
FINDINGS
We have to various conclusions from this project We have found that
1 INCOME
Income as a factor affects purchase decision indirectly ie almost all brands of chocolate are at different prices Hence it might not affect consumers purchase decision then However the same brands of chocolate are priced more at Malls So consumers become more sensitive at such places
For a consumer who has an income less than Rs 10000 he will not always be able to afford 20-50 rupees for a chocolate Hence he might spend 5 rupees for a chocolate
2 BRAND PREFRENCE amp BRAND LOYALTY
A large number of consumers have a first preference of Cadbury followed by Nestle Amul and parle Yet if the preferred brand is not available then they would switch to other brands This shows that the level of brand loyalty among consumers is very low Although Cadbury is one of the most reputed brands it does not have brand loyalty
3 AVAILIBILITY
Availability is not a factor that a consumer keeps in mind while purchasing any brand of chocolate However now a days chocolates being necessity in many occasions a consumers will purchase any brand available if his preferred brand is not available This shows that availability affects a consumer to a great extent
Taste
Many consumers purchase a brand of chocolates on the basis of how the chocolate tastes consumers appeal that they find few of the chocolates bitter in taste Hence they tend to avoid purchasing those brands as far as possible Yet on the other hand there are consumers who love the bitter taste of chocolate Hence it is a matter of consumerrsquos percieverence
Size
We have seen that usually chocolates of rs 5 to rs 10 are consumed This is followed by chocolats of rs 203050 and so on However all brands are not available in all size
18
Hence consumer who want to purchase chocolates of rs 5 and 10 of a particular brand and if it is not available than they would switch to another brand in which that size is available
PricePrice is an important factor affecting the purchase decision of consumers However consumers were agreed that they are ready to buy a brand even if its price increase They were not ready to compromise their perceived quality of the brand
Packaging and Labeling
A large number of consumers said that packaging and labeling of a brand of chocolates does not affect the purchase decision While the consumer among the lower age group especially the kids gives priority to packaging and labeling Packaging can help brand volumes but cannot be the driver
Brand awareness
Consumers are well aware of the various brands in the market One of the brands that they were ever to recall the most was CADBURY While surveying we found that CADBURY today has become synonymous to chocolates
Advertisement
Advertisement plays a small role in influencing the purchase decision of consumer Advertisement has managed to make consumer aware of various brands It helps in influencing the purchase decision only when all the brands of chocolates are available Brands like CADBURY NESTLE AMUL spend lot of money on advertisement to increase their sales on the other hand local manufactures without advertisement manage to sell their products in the market
Own experienceA large no of consumers said that they would purchase a brand of chocolates based on their own experience of taste perceived quality and so on
Brand nameIt can be seen that various brand have created a brand image for themselves in the minds of consumers When all the brands are available they purchased chocolates on the basis of brand name
Word of mouthMost consumers felt that word of mouth does not affect their purchased decision
19
No brand differentiation
There is no brand differentiation in the market ie even though people ask for dairy milk they satisfied if they walk away with 5starkit-kat munch amul or any other chocolates of any brand
RECOMMENDATION
1 The national brands of chocolates should also be made easily available and consumable in rural areas too 2 The local chocolates are widely popular in specific localities They could even be supplied in a wider area3 As per public opinion the respondents even wanted to experience varities in taste in a specific brands The companies can look forward to that4 In the lower age group between 10 to 20 the teens even wanted different sizes in shapes in chocolate For eg free of our respondents even desire to have chocolats of heart shapes specially for gifting others5 No schemes are introduced in chocolates on regular basis Schemes should be their for few of the expensive brands6 For bringing inovvation chocolate should even be made of different colurs For eg chocolates of Black White Red pink blue and so on would be widely accepted by the children
20
21
Following are the marketing strategies adopted by different types of Shops of Ahmedabad city
Place No of chocolates Price Packaging Supply ChainShrinath parlor Cadbury
NestleAmulParle
5 -5005-10Rs 5Rs 1
__Gokul DasVeer coAshok mrktngPrecise sell
Ambika Dairyfarm
CadburyNestleParle
1 to 1751 to 10050 to 5
Tin Boxes Gokul dasVeer coPrecise sell
Krishna dairy CadburyNestleParle
1-3001-10050-5
Tinboxes Gokul DasVeer coPrecise sell
RB stores CadburyNestleParle
5-302-12050-1
__Gokul DasVeer coPrecise sell
Place Major customers Profit Occasion SellingUnits
Schemes
Shrinath parlor Kids amp adults 7-8 Rakhi amp Diwali Single units __
Ambika dairy farm
Kids 5-8 All occasions Single units Discounts at festivals
Krishna dairy farm
Kids 10-25 All occasions Single units __
RB stores Kids amp Adults 7-10 Rakhi diwalibirthday
Single units __
Analysis
These are the different type of available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Cadbury nestle amul parleThey are selling chocolates between the price range of 050 paisa to Rs 300All the retailers are purchasing Cadbury chocolates from only one distributor and that is Gokul das Same as they are purchasing nestle chocolates from veer co Parle from precise sells and amul from ashok marketing Generally all the shops earning profit between 7-25 And they are selling chocolates in single units
Following are the marketing strategies of rural brands of chocolates adopted by different shops in Ahmedabad city
Place No of chocolates Price Packaging Supply Chain
14
Aashapura KentLemoMichi
Rs 25 to 2 Plastic Wrapper Kalupur
Jitubhai Kent PelicanAayushKim Kim
Rs 25 to 5 Wrapper Kalupur
Chamunda stores KentLemoMichiPelicanAayushKim KimAasha
Rs 10 to 30 Tin boxes Packets Jar
Naroda
Satyavijay KentLemoMichiPelicanAayushKim Kim
Rs 10 to 50 Tin boxes Packets Jar
Naroda
Place Major customers Profit Occasion SellingUnits
Schemes
Aashapura Kids amp adults 5-7 - Single units __
Jitubhai Kids 5-8 All occasions Single units __Chamunda stores
JashriDeepak storesSurajNaveenshah
8-11 All occasions except feb-march
Bulk __
Satyavijay Kids amp Adults 7-10 __ Bulk __
Analaysis
These are the different type of rural brand chocolates available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Kent Lemo Michi and Aayush They are selling chocolates between the price range of Rs 10 to Rs 30 All the wholesellers are purchasing Kent chocolates from only one distributor and that is Kent Food Product Naroda Same as they are purchasing
15
Michi chocolates from JRJ Products Ltd Madhupur etc and they are selling these chocolates in bulk to retailers Generally all the shops earning profit between 5-7 And they are selling chocolates in single unit between the price ranges of 25 to 2
16
Annexure 3
OVERALL REVIEW
Talking about chocolate market in a nutshell we came to know that now dayrsquos chocolates of national band are mostly popular within both local and urban people The main reason being that the availability of national brands of chocolates like Cadbury Amul Nestle and Parle are widely available even in slums Itrsquos becoming popular in both rural and urban areas
Generally observed phenomenon is that women prefer more chocolates than men do Youngster and children up to specific age are the target audience They are concentrated and their needs are taken into consideration
For urban area precisely Dairy milk 5 star eclair munch kit Kat celebrations temptations are more famous while in rural areas chocolates like kacha aam cokanaka aayush roomy pelican and roul gun are the most consumed
While we concuted a survey among the kids they preferred those chocolates with attractive wrappers They preferred those of different shapes and sizes and with those of transparent boxes
While we conducted a survey among the kids they prefered with attractive wrappers They preferred with those of different shapes and sizes and with those of transparent boxes
When we went for retail survey we went for retail survey we came to know what their selling strategies were and what were their mostly demanded chocolates We even went to Amul for survey where we identified that consumers of Amul chocolate are in plenty
When we surveyed about chocolate consumed in our college canteen all of them said that Dairymilks were in demand So from all the above information we come to know that Cadbury is most popular brand than other brands of chocolates
17
Annexure 4
FINDINGS
We have to various conclusions from this project We have found that
1 INCOME
Income as a factor affects purchase decision indirectly ie almost all brands of chocolate are at different prices Hence it might not affect consumers purchase decision then However the same brands of chocolate are priced more at Malls So consumers become more sensitive at such places
For a consumer who has an income less than Rs 10000 he will not always be able to afford 20-50 rupees for a chocolate Hence he might spend 5 rupees for a chocolate
2 BRAND PREFRENCE amp BRAND LOYALTY
A large number of consumers have a first preference of Cadbury followed by Nestle Amul and parle Yet if the preferred brand is not available then they would switch to other brands This shows that the level of brand loyalty among consumers is very low Although Cadbury is one of the most reputed brands it does not have brand loyalty
3 AVAILIBILITY
Availability is not a factor that a consumer keeps in mind while purchasing any brand of chocolate However now a days chocolates being necessity in many occasions a consumers will purchase any brand available if his preferred brand is not available This shows that availability affects a consumer to a great extent
Taste
Many consumers purchase a brand of chocolates on the basis of how the chocolate tastes consumers appeal that they find few of the chocolates bitter in taste Hence they tend to avoid purchasing those brands as far as possible Yet on the other hand there are consumers who love the bitter taste of chocolate Hence it is a matter of consumerrsquos percieverence
Size
We have seen that usually chocolates of rs 5 to rs 10 are consumed This is followed by chocolats of rs 203050 and so on However all brands are not available in all size
18
Hence consumer who want to purchase chocolates of rs 5 and 10 of a particular brand and if it is not available than they would switch to another brand in which that size is available
PricePrice is an important factor affecting the purchase decision of consumers However consumers were agreed that they are ready to buy a brand even if its price increase They were not ready to compromise their perceived quality of the brand
Packaging and Labeling
A large number of consumers said that packaging and labeling of a brand of chocolates does not affect the purchase decision While the consumer among the lower age group especially the kids gives priority to packaging and labeling Packaging can help brand volumes but cannot be the driver
Brand awareness
Consumers are well aware of the various brands in the market One of the brands that they were ever to recall the most was CADBURY While surveying we found that CADBURY today has become synonymous to chocolates
Advertisement
Advertisement plays a small role in influencing the purchase decision of consumer Advertisement has managed to make consumer aware of various brands It helps in influencing the purchase decision only when all the brands of chocolates are available Brands like CADBURY NESTLE AMUL spend lot of money on advertisement to increase their sales on the other hand local manufactures without advertisement manage to sell their products in the market
Own experienceA large no of consumers said that they would purchase a brand of chocolates based on their own experience of taste perceived quality and so on
Brand nameIt can be seen that various brand have created a brand image for themselves in the minds of consumers When all the brands are available they purchased chocolates on the basis of brand name
Word of mouthMost consumers felt that word of mouth does not affect their purchased decision
19
No brand differentiation
There is no brand differentiation in the market ie even though people ask for dairy milk they satisfied if they walk away with 5starkit-kat munch amul or any other chocolates of any brand
RECOMMENDATION
1 The national brands of chocolates should also be made easily available and consumable in rural areas too 2 The local chocolates are widely popular in specific localities They could even be supplied in a wider area3 As per public opinion the respondents even wanted to experience varities in taste in a specific brands The companies can look forward to that4 In the lower age group between 10 to 20 the teens even wanted different sizes in shapes in chocolate For eg free of our respondents even desire to have chocolats of heart shapes specially for gifting others5 No schemes are introduced in chocolates on regular basis Schemes should be their for few of the expensive brands6 For bringing inovvation chocolate should even be made of different colurs For eg chocolates of Black White Red pink blue and so on would be widely accepted by the children
20
21
Aashapura KentLemoMichi
Rs 25 to 2 Plastic Wrapper Kalupur
Jitubhai Kent PelicanAayushKim Kim
Rs 25 to 5 Wrapper Kalupur
Chamunda stores KentLemoMichiPelicanAayushKim KimAasha
Rs 10 to 30 Tin boxes Packets Jar
Naroda
Satyavijay KentLemoMichiPelicanAayushKim Kim
Rs 10 to 50 Tin boxes Packets Jar
Naroda
Place Major customers Profit Occasion SellingUnits
Schemes
Aashapura Kids amp adults 5-7 - Single units __
Jitubhai Kids 5-8 All occasions Single units __Chamunda stores
JashriDeepak storesSurajNaveenshah
8-11 All occasions except feb-march
Bulk __
Satyavijay Kids amp Adults 7-10 __ Bulk __
Analaysis
These are the different type of rural brand chocolates available from the different shops of Ahmedabad city From the above information we can say that all the shops are selling mostly all the brands of chocolate which are Kent Lemo Michi and Aayush They are selling chocolates between the price range of Rs 10 to Rs 30 All the wholesellers are purchasing Kent chocolates from only one distributor and that is Kent Food Product Naroda Same as they are purchasing
15
Michi chocolates from JRJ Products Ltd Madhupur etc and they are selling these chocolates in bulk to retailers Generally all the shops earning profit between 5-7 And they are selling chocolates in single unit between the price ranges of 25 to 2
16
Annexure 3
OVERALL REVIEW
Talking about chocolate market in a nutshell we came to know that now dayrsquos chocolates of national band are mostly popular within both local and urban people The main reason being that the availability of national brands of chocolates like Cadbury Amul Nestle and Parle are widely available even in slums Itrsquos becoming popular in both rural and urban areas
Generally observed phenomenon is that women prefer more chocolates than men do Youngster and children up to specific age are the target audience They are concentrated and their needs are taken into consideration
For urban area precisely Dairy milk 5 star eclair munch kit Kat celebrations temptations are more famous while in rural areas chocolates like kacha aam cokanaka aayush roomy pelican and roul gun are the most consumed
While we concuted a survey among the kids they preferred those chocolates with attractive wrappers They preferred those of different shapes and sizes and with those of transparent boxes
While we conducted a survey among the kids they prefered with attractive wrappers They preferred with those of different shapes and sizes and with those of transparent boxes
When we went for retail survey we went for retail survey we came to know what their selling strategies were and what were their mostly demanded chocolates We even went to Amul for survey where we identified that consumers of Amul chocolate are in plenty
When we surveyed about chocolate consumed in our college canteen all of them said that Dairymilks were in demand So from all the above information we come to know that Cadbury is most popular brand than other brands of chocolates
17
Annexure 4
FINDINGS
We have to various conclusions from this project We have found that
1 INCOME
Income as a factor affects purchase decision indirectly ie almost all brands of chocolate are at different prices Hence it might not affect consumers purchase decision then However the same brands of chocolate are priced more at Malls So consumers become more sensitive at such places
For a consumer who has an income less than Rs 10000 he will not always be able to afford 20-50 rupees for a chocolate Hence he might spend 5 rupees for a chocolate
2 BRAND PREFRENCE amp BRAND LOYALTY
A large number of consumers have a first preference of Cadbury followed by Nestle Amul and parle Yet if the preferred brand is not available then they would switch to other brands This shows that the level of brand loyalty among consumers is very low Although Cadbury is one of the most reputed brands it does not have brand loyalty
3 AVAILIBILITY
Availability is not a factor that a consumer keeps in mind while purchasing any brand of chocolate However now a days chocolates being necessity in many occasions a consumers will purchase any brand available if his preferred brand is not available This shows that availability affects a consumer to a great extent
Taste
Many consumers purchase a brand of chocolates on the basis of how the chocolate tastes consumers appeal that they find few of the chocolates bitter in taste Hence they tend to avoid purchasing those brands as far as possible Yet on the other hand there are consumers who love the bitter taste of chocolate Hence it is a matter of consumerrsquos percieverence
Size
We have seen that usually chocolates of rs 5 to rs 10 are consumed This is followed by chocolats of rs 203050 and so on However all brands are not available in all size
18
Hence consumer who want to purchase chocolates of rs 5 and 10 of a particular brand and if it is not available than they would switch to another brand in which that size is available
PricePrice is an important factor affecting the purchase decision of consumers However consumers were agreed that they are ready to buy a brand even if its price increase They were not ready to compromise their perceived quality of the brand
Packaging and Labeling
A large number of consumers said that packaging and labeling of a brand of chocolates does not affect the purchase decision While the consumer among the lower age group especially the kids gives priority to packaging and labeling Packaging can help brand volumes but cannot be the driver
Brand awareness
Consumers are well aware of the various brands in the market One of the brands that they were ever to recall the most was CADBURY While surveying we found that CADBURY today has become synonymous to chocolates
Advertisement
Advertisement plays a small role in influencing the purchase decision of consumer Advertisement has managed to make consumer aware of various brands It helps in influencing the purchase decision only when all the brands of chocolates are available Brands like CADBURY NESTLE AMUL spend lot of money on advertisement to increase their sales on the other hand local manufactures without advertisement manage to sell their products in the market
Own experienceA large no of consumers said that they would purchase a brand of chocolates based on their own experience of taste perceived quality and so on
Brand nameIt can be seen that various brand have created a brand image for themselves in the minds of consumers When all the brands are available they purchased chocolates on the basis of brand name
Word of mouthMost consumers felt that word of mouth does not affect their purchased decision
19
No brand differentiation
There is no brand differentiation in the market ie even though people ask for dairy milk they satisfied if they walk away with 5starkit-kat munch amul or any other chocolates of any brand
RECOMMENDATION
1 The national brands of chocolates should also be made easily available and consumable in rural areas too 2 The local chocolates are widely popular in specific localities They could even be supplied in a wider area3 As per public opinion the respondents even wanted to experience varities in taste in a specific brands The companies can look forward to that4 In the lower age group between 10 to 20 the teens even wanted different sizes in shapes in chocolate For eg free of our respondents even desire to have chocolats of heart shapes specially for gifting others5 No schemes are introduced in chocolates on regular basis Schemes should be their for few of the expensive brands6 For bringing inovvation chocolate should even be made of different colurs For eg chocolates of Black White Red pink blue and so on would be widely accepted by the children
20
21
Michi chocolates from JRJ Products Ltd Madhupur etc and they are selling these chocolates in bulk to retailers Generally all the shops earning profit between 5-7 And they are selling chocolates in single unit between the price ranges of 25 to 2
16
Annexure 3
OVERALL REVIEW
Talking about chocolate market in a nutshell we came to know that now dayrsquos chocolates of national band are mostly popular within both local and urban people The main reason being that the availability of national brands of chocolates like Cadbury Amul Nestle and Parle are widely available even in slums Itrsquos becoming popular in both rural and urban areas
Generally observed phenomenon is that women prefer more chocolates than men do Youngster and children up to specific age are the target audience They are concentrated and their needs are taken into consideration
For urban area precisely Dairy milk 5 star eclair munch kit Kat celebrations temptations are more famous while in rural areas chocolates like kacha aam cokanaka aayush roomy pelican and roul gun are the most consumed
While we concuted a survey among the kids they preferred those chocolates with attractive wrappers They preferred those of different shapes and sizes and with those of transparent boxes
While we conducted a survey among the kids they prefered with attractive wrappers They preferred with those of different shapes and sizes and with those of transparent boxes
When we went for retail survey we went for retail survey we came to know what their selling strategies were and what were their mostly demanded chocolates We even went to Amul for survey where we identified that consumers of Amul chocolate are in plenty
When we surveyed about chocolate consumed in our college canteen all of them said that Dairymilks were in demand So from all the above information we come to know that Cadbury is most popular brand than other brands of chocolates
17
Annexure 4
FINDINGS
We have to various conclusions from this project We have found that
1 INCOME
Income as a factor affects purchase decision indirectly ie almost all brands of chocolate are at different prices Hence it might not affect consumers purchase decision then However the same brands of chocolate are priced more at Malls So consumers become more sensitive at such places
For a consumer who has an income less than Rs 10000 he will not always be able to afford 20-50 rupees for a chocolate Hence he might spend 5 rupees for a chocolate
2 BRAND PREFRENCE amp BRAND LOYALTY
A large number of consumers have a first preference of Cadbury followed by Nestle Amul and parle Yet if the preferred brand is not available then they would switch to other brands This shows that the level of brand loyalty among consumers is very low Although Cadbury is one of the most reputed brands it does not have brand loyalty
3 AVAILIBILITY
Availability is not a factor that a consumer keeps in mind while purchasing any brand of chocolate However now a days chocolates being necessity in many occasions a consumers will purchase any brand available if his preferred brand is not available This shows that availability affects a consumer to a great extent
Taste
Many consumers purchase a brand of chocolates on the basis of how the chocolate tastes consumers appeal that they find few of the chocolates bitter in taste Hence they tend to avoid purchasing those brands as far as possible Yet on the other hand there are consumers who love the bitter taste of chocolate Hence it is a matter of consumerrsquos percieverence
Size
We have seen that usually chocolates of rs 5 to rs 10 are consumed This is followed by chocolats of rs 203050 and so on However all brands are not available in all size
18
Hence consumer who want to purchase chocolates of rs 5 and 10 of a particular brand and if it is not available than they would switch to another brand in which that size is available
PricePrice is an important factor affecting the purchase decision of consumers However consumers were agreed that they are ready to buy a brand even if its price increase They were not ready to compromise their perceived quality of the brand
Packaging and Labeling
A large number of consumers said that packaging and labeling of a brand of chocolates does not affect the purchase decision While the consumer among the lower age group especially the kids gives priority to packaging and labeling Packaging can help brand volumes but cannot be the driver
Brand awareness
Consumers are well aware of the various brands in the market One of the brands that they were ever to recall the most was CADBURY While surveying we found that CADBURY today has become synonymous to chocolates
Advertisement
Advertisement plays a small role in influencing the purchase decision of consumer Advertisement has managed to make consumer aware of various brands It helps in influencing the purchase decision only when all the brands of chocolates are available Brands like CADBURY NESTLE AMUL spend lot of money on advertisement to increase their sales on the other hand local manufactures without advertisement manage to sell their products in the market
Own experienceA large no of consumers said that they would purchase a brand of chocolates based on their own experience of taste perceived quality and so on
Brand nameIt can be seen that various brand have created a brand image for themselves in the minds of consumers When all the brands are available they purchased chocolates on the basis of brand name
Word of mouthMost consumers felt that word of mouth does not affect their purchased decision
19
No brand differentiation
There is no brand differentiation in the market ie even though people ask for dairy milk they satisfied if they walk away with 5starkit-kat munch amul or any other chocolates of any brand
RECOMMENDATION
1 The national brands of chocolates should also be made easily available and consumable in rural areas too 2 The local chocolates are widely popular in specific localities They could even be supplied in a wider area3 As per public opinion the respondents even wanted to experience varities in taste in a specific brands The companies can look forward to that4 In the lower age group between 10 to 20 the teens even wanted different sizes in shapes in chocolate For eg free of our respondents even desire to have chocolats of heart shapes specially for gifting others5 No schemes are introduced in chocolates on regular basis Schemes should be their for few of the expensive brands6 For bringing inovvation chocolate should even be made of different colurs For eg chocolates of Black White Red pink blue and so on would be widely accepted by the children
20
21
Annexure 3
OVERALL REVIEW
Talking about chocolate market in a nutshell we came to know that now dayrsquos chocolates of national band are mostly popular within both local and urban people The main reason being that the availability of national brands of chocolates like Cadbury Amul Nestle and Parle are widely available even in slums Itrsquos becoming popular in both rural and urban areas
Generally observed phenomenon is that women prefer more chocolates than men do Youngster and children up to specific age are the target audience They are concentrated and their needs are taken into consideration
For urban area precisely Dairy milk 5 star eclair munch kit Kat celebrations temptations are more famous while in rural areas chocolates like kacha aam cokanaka aayush roomy pelican and roul gun are the most consumed
While we concuted a survey among the kids they preferred those chocolates with attractive wrappers They preferred those of different shapes and sizes and with those of transparent boxes
While we conducted a survey among the kids they prefered with attractive wrappers They preferred with those of different shapes and sizes and with those of transparent boxes
When we went for retail survey we went for retail survey we came to know what their selling strategies were and what were their mostly demanded chocolates We even went to Amul for survey where we identified that consumers of Amul chocolate are in plenty
When we surveyed about chocolate consumed in our college canteen all of them said that Dairymilks were in demand So from all the above information we come to know that Cadbury is most popular brand than other brands of chocolates
17
Annexure 4
FINDINGS
We have to various conclusions from this project We have found that
1 INCOME
Income as a factor affects purchase decision indirectly ie almost all brands of chocolate are at different prices Hence it might not affect consumers purchase decision then However the same brands of chocolate are priced more at Malls So consumers become more sensitive at such places
For a consumer who has an income less than Rs 10000 he will not always be able to afford 20-50 rupees for a chocolate Hence he might spend 5 rupees for a chocolate
2 BRAND PREFRENCE amp BRAND LOYALTY
A large number of consumers have a first preference of Cadbury followed by Nestle Amul and parle Yet if the preferred brand is not available then they would switch to other brands This shows that the level of brand loyalty among consumers is very low Although Cadbury is one of the most reputed brands it does not have brand loyalty
3 AVAILIBILITY
Availability is not a factor that a consumer keeps in mind while purchasing any brand of chocolate However now a days chocolates being necessity in many occasions a consumers will purchase any brand available if his preferred brand is not available This shows that availability affects a consumer to a great extent
Taste
Many consumers purchase a brand of chocolates on the basis of how the chocolate tastes consumers appeal that they find few of the chocolates bitter in taste Hence they tend to avoid purchasing those brands as far as possible Yet on the other hand there are consumers who love the bitter taste of chocolate Hence it is a matter of consumerrsquos percieverence
Size
We have seen that usually chocolates of rs 5 to rs 10 are consumed This is followed by chocolats of rs 203050 and so on However all brands are not available in all size
18
Hence consumer who want to purchase chocolates of rs 5 and 10 of a particular brand and if it is not available than they would switch to another brand in which that size is available
PricePrice is an important factor affecting the purchase decision of consumers However consumers were agreed that they are ready to buy a brand even if its price increase They were not ready to compromise their perceived quality of the brand
Packaging and Labeling
A large number of consumers said that packaging and labeling of a brand of chocolates does not affect the purchase decision While the consumer among the lower age group especially the kids gives priority to packaging and labeling Packaging can help brand volumes but cannot be the driver
Brand awareness
Consumers are well aware of the various brands in the market One of the brands that they were ever to recall the most was CADBURY While surveying we found that CADBURY today has become synonymous to chocolates
Advertisement
Advertisement plays a small role in influencing the purchase decision of consumer Advertisement has managed to make consumer aware of various brands It helps in influencing the purchase decision only when all the brands of chocolates are available Brands like CADBURY NESTLE AMUL spend lot of money on advertisement to increase their sales on the other hand local manufactures without advertisement manage to sell their products in the market
Own experienceA large no of consumers said that they would purchase a brand of chocolates based on their own experience of taste perceived quality and so on
Brand nameIt can be seen that various brand have created a brand image for themselves in the minds of consumers When all the brands are available they purchased chocolates on the basis of brand name
Word of mouthMost consumers felt that word of mouth does not affect their purchased decision
19
No brand differentiation
There is no brand differentiation in the market ie even though people ask for dairy milk they satisfied if they walk away with 5starkit-kat munch amul or any other chocolates of any brand
RECOMMENDATION
1 The national brands of chocolates should also be made easily available and consumable in rural areas too 2 The local chocolates are widely popular in specific localities They could even be supplied in a wider area3 As per public opinion the respondents even wanted to experience varities in taste in a specific brands The companies can look forward to that4 In the lower age group between 10 to 20 the teens even wanted different sizes in shapes in chocolate For eg free of our respondents even desire to have chocolats of heart shapes specially for gifting others5 No schemes are introduced in chocolates on regular basis Schemes should be their for few of the expensive brands6 For bringing inovvation chocolate should even be made of different colurs For eg chocolates of Black White Red pink blue and so on would be widely accepted by the children
20
21
Annexure 4
FINDINGS
We have to various conclusions from this project We have found that
1 INCOME
Income as a factor affects purchase decision indirectly ie almost all brands of chocolate are at different prices Hence it might not affect consumers purchase decision then However the same brands of chocolate are priced more at Malls So consumers become more sensitive at such places
For a consumer who has an income less than Rs 10000 he will not always be able to afford 20-50 rupees for a chocolate Hence he might spend 5 rupees for a chocolate
2 BRAND PREFRENCE amp BRAND LOYALTY
A large number of consumers have a first preference of Cadbury followed by Nestle Amul and parle Yet if the preferred brand is not available then they would switch to other brands This shows that the level of brand loyalty among consumers is very low Although Cadbury is one of the most reputed brands it does not have brand loyalty
3 AVAILIBILITY
Availability is not a factor that a consumer keeps in mind while purchasing any brand of chocolate However now a days chocolates being necessity in many occasions a consumers will purchase any brand available if his preferred brand is not available This shows that availability affects a consumer to a great extent
Taste
Many consumers purchase a brand of chocolates on the basis of how the chocolate tastes consumers appeal that they find few of the chocolates bitter in taste Hence they tend to avoid purchasing those brands as far as possible Yet on the other hand there are consumers who love the bitter taste of chocolate Hence it is a matter of consumerrsquos percieverence
Size
We have seen that usually chocolates of rs 5 to rs 10 are consumed This is followed by chocolats of rs 203050 and so on However all brands are not available in all size
18
Hence consumer who want to purchase chocolates of rs 5 and 10 of a particular brand and if it is not available than they would switch to another brand in which that size is available
PricePrice is an important factor affecting the purchase decision of consumers However consumers were agreed that they are ready to buy a brand even if its price increase They were not ready to compromise their perceived quality of the brand
Packaging and Labeling
A large number of consumers said that packaging and labeling of a brand of chocolates does not affect the purchase decision While the consumer among the lower age group especially the kids gives priority to packaging and labeling Packaging can help brand volumes but cannot be the driver
Brand awareness
Consumers are well aware of the various brands in the market One of the brands that they were ever to recall the most was CADBURY While surveying we found that CADBURY today has become synonymous to chocolates
Advertisement
Advertisement plays a small role in influencing the purchase decision of consumer Advertisement has managed to make consumer aware of various brands It helps in influencing the purchase decision only when all the brands of chocolates are available Brands like CADBURY NESTLE AMUL spend lot of money on advertisement to increase their sales on the other hand local manufactures without advertisement manage to sell their products in the market
Own experienceA large no of consumers said that they would purchase a brand of chocolates based on their own experience of taste perceived quality and so on
Brand nameIt can be seen that various brand have created a brand image for themselves in the minds of consumers When all the brands are available they purchased chocolates on the basis of brand name
Word of mouthMost consumers felt that word of mouth does not affect their purchased decision
19
No brand differentiation
There is no brand differentiation in the market ie even though people ask for dairy milk they satisfied if they walk away with 5starkit-kat munch amul or any other chocolates of any brand
RECOMMENDATION
1 The national brands of chocolates should also be made easily available and consumable in rural areas too 2 The local chocolates are widely popular in specific localities They could even be supplied in a wider area3 As per public opinion the respondents even wanted to experience varities in taste in a specific brands The companies can look forward to that4 In the lower age group between 10 to 20 the teens even wanted different sizes in shapes in chocolate For eg free of our respondents even desire to have chocolats of heart shapes specially for gifting others5 No schemes are introduced in chocolates on regular basis Schemes should be their for few of the expensive brands6 For bringing inovvation chocolate should even be made of different colurs For eg chocolates of Black White Red pink blue and so on would be widely accepted by the children
20
21
Hence consumer who want to purchase chocolates of rs 5 and 10 of a particular brand and if it is not available than they would switch to another brand in which that size is available
PricePrice is an important factor affecting the purchase decision of consumers However consumers were agreed that they are ready to buy a brand even if its price increase They were not ready to compromise their perceived quality of the brand
Packaging and Labeling
A large number of consumers said that packaging and labeling of a brand of chocolates does not affect the purchase decision While the consumer among the lower age group especially the kids gives priority to packaging and labeling Packaging can help brand volumes but cannot be the driver
Brand awareness
Consumers are well aware of the various brands in the market One of the brands that they were ever to recall the most was CADBURY While surveying we found that CADBURY today has become synonymous to chocolates
Advertisement
Advertisement plays a small role in influencing the purchase decision of consumer Advertisement has managed to make consumer aware of various brands It helps in influencing the purchase decision only when all the brands of chocolates are available Brands like CADBURY NESTLE AMUL spend lot of money on advertisement to increase their sales on the other hand local manufactures without advertisement manage to sell their products in the market
Own experienceA large no of consumers said that they would purchase a brand of chocolates based on their own experience of taste perceived quality and so on
Brand nameIt can be seen that various brand have created a brand image for themselves in the minds of consumers When all the brands are available they purchased chocolates on the basis of brand name
Word of mouthMost consumers felt that word of mouth does not affect their purchased decision
19
No brand differentiation
There is no brand differentiation in the market ie even though people ask for dairy milk they satisfied if they walk away with 5starkit-kat munch amul or any other chocolates of any brand
RECOMMENDATION
1 The national brands of chocolates should also be made easily available and consumable in rural areas too 2 The local chocolates are widely popular in specific localities They could even be supplied in a wider area3 As per public opinion the respondents even wanted to experience varities in taste in a specific brands The companies can look forward to that4 In the lower age group between 10 to 20 the teens even wanted different sizes in shapes in chocolate For eg free of our respondents even desire to have chocolats of heart shapes specially for gifting others5 No schemes are introduced in chocolates on regular basis Schemes should be their for few of the expensive brands6 For bringing inovvation chocolate should even be made of different colurs For eg chocolates of Black White Red pink blue and so on would be widely accepted by the children
20
21
No brand differentiation
There is no brand differentiation in the market ie even though people ask for dairy milk they satisfied if they walk away with 5starkit-kat munch amul or any other chocolates of any brand
RECOMMENDATION
1 The national brands of chocolates should also be made easily available and consumable in rural areas too 2 The local chocolates are widely popular in specific localities They could even be supplied in a wider area3 As per public opinion the respondents even wanted to experience varities in taste in a specific brands The companies can look forward to that4 In the lower age group between 10 to 20 the teens even wanted different sizes in shapes in chocolate For eg free of our respondents even desire to have chocolats of heart shapes specially for gifting others5 No schemes are introduced in chocolates on regular basis Schemes should be their for few of the expensive brands6 For bringing inovvation chocolate should even be made of different colurs For eg chocolates of Black White Red pink blue and so on would be widely accepted by the children
20
21
21