kaushik thesis middle
TRANSCRIPT
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TABLE OF CONTENT
Chapter No TITLE PAGE NO
1 INTRODUCTION
11
1.1 Industry Profile
12
1.2 Marketing Strategies
15
1.3 About Brand
15
1.4 Tools for building Brand Identity
18
1.5 Measuring Brand Effectiveness
21
1.6 Brand & Reputation
21
1.7 Brand Building
22
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2 METHODOLOGY
35
2.1 Problem Definition
36
2.2 Objectives of the Study36
2.3 Research Methodology
36
2.3.1 Research Design
36
2.3.2 Nature of Data
36
2.3.3 Types of sampling
362.3.4 Sampling Segment
36
2.4 Scope of the study
36
2.5 Justification
37
2.6 Limitations
37
3 LITERATURE REVIEW
38
4 DATA ANALYSIS AND INTERPRETATION
40
5 FINDINGS
77
6 CONCLUSIONS
80
7 RECOMMENDATIONS
82
8 BIBLIOGRAPHY
85
(i) APPENDICES
87
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LIST OF TABLES
TABLE
NO NO TITLE PAGE
1 Washing Products meets Requirements and Expectations.
41
2Detergent Markets have Much Range of Products to meet
Consumers. 43
3 Table showing Quality Rate and Usage of Detergent.45
4 Concerns which matters to Consumers about New Products.47
5 Which Quantity or Packets is Purchased by Consumers Mostly. 49
6 Consumers satisfactions with Companys Environmental Concerns.51
7 Table showing Supply made in the Market.53
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8 Table showing Process which Derives the Market of Detergent.55
9 Table showing Relationship with the Suppliers.57
10 Function of Organization in Timely Introduction of New Products.59
11 The Response of Company in Responding to Customers Needs.61
12 Detergent which is Most Preferred by the Consumers.63
13 What Matters to Customers while buying New Products.65
14 Table showing on What basis Retailers make Purchase67
15 Frequency/Time duration for Purchase of Detergent.69
16 Table Showing Purchase Pattern.71
17 Which Quantity or Packet is Purchased by Retailers Mostly.73
18 Table showing How Consumers Asks or Relates the Product.75
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LIST OF CHART
CHART
NO TITLE PAGE
1 Washing Products meets Requirements and Expectations.42
2Detergent Markets have Much Range of Products to meet
Consumers. 44
3 Chart showing Quality Rate and Usage of Detergent.46
4 Concerns which matters to Consumers about New Products.48
5 Which Quantity or Packets is Purchased by Consumers Mostly.50
6Consumers satisfactions with Companys Environmental
Concerns. 52
7 Chart showing Supply made in the Market.54
8 Chart showing Process which Derives the Market of Detergent.56
9 Chart showing Relationship with the Suppliers.58
10
11Function of Organization in Timely Introduction of New Products.
60
11 The Response of Company in Responding to Customers Needs.62
12 Detergent which is Most Preferred by the Consumers.64
13 What Matters to Customers while buying New Products.66
14 Chart showing on What basis Retailers make Purchase68
15 Frequency/Time duration for Purchase of Detergent.70
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16 Chart Showing Purchase Pattern.72
17 Which Quantity or Packet is Purchased by Retailers Mostly.74
18 Chart showing How Consumers Asks or Relates the Product.76
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CHAPTER 1
INTRODUCTION
The American Marketing Association defines a brand as A name, term, sign, symbol or design
or a combination of them, intended to identify the goods and services of one seller or group and
to differentiate them to those for competitors. A brand is thus a product or service thats adds a
Dimension that differentiates it in some way from other products or services designed to satisfy
the same need. These differences may be functional, rational, or tangible- relate to product
performance of the brand.
Today the task and responsibilities of business executives have become critically important due
to technological advancement, increasing awareness of people, growing size and complexity of
business. Increasing participation of Govt. in the economy, rising standard of living and
increasing completion. There is feeling that Indian corporate business has also entered from
sellers market to buyers market in the business environment in general and because of
increasing awareness among the buyers, increasing competitions in market, the study of buyer
behavior, in consumer products are gaining importance in order to satisfy the needs and wants of
people by providing correct products.
The present study is aimed at examining the branding and its impact on consumers buying
behavior; it is comprehensive study, restricted to Chennai market. Various sections of consumers
i.e. Govt. servants, house wives, students and business men have been taken in the study with
equal representation.
The study is based on primary data collected on the basis of structured questionnaire/schedule.
The study aims at to find out the factors/ motives behind the purchasing a using of particular
brand, to find out the most popular factor, brand in market.
After the analysis of collected data the main findings of this project and suggestions for
appropriate policy implication are given in this report.
Industry Profile
Detergent
Detergent is a compound or a mixture of compound, intended to assist cleaning. Detergents are
created in a way that:-
Water is an essential requirement in the cleaning process.
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Surfactants are added to remove grease from the clothes.
Abrasives to rub off the dirt.
Caustics are substances used to break up dirt particles.
Softeners to deal with harshness of other components being used.
Oxidizers are essentially used for bleaching.
Enzymes to destroy any accumulation of properties, fats or carbohydrates in the form of
dirt on fabrics.
Apart from this, manufacturers optionally use other substances which add value to the
washing experience. This includes fabric softeners, foaming agents, fragrances etc.
The early method of production was by heating goat tallow with soda ash and conversion of this
resulting soft soap to hard by salting out with sodium chloride brine. its original use seems to
have been as shampoo and cosmetics. In the Western world, its use for personal cleanings made
only slow progress between 600 B.C and 1600 A.D. Its medical properties were already known
to Gallon.
Market Penetration of Detergent in India
Detergent constitutes about 95 percent of total surfactants. Some of the important uses of
detergent cake and powder are in:-
a) Hand Soaps and Shampoo.
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b) Special protective creams: cream including cold creams, vanishing creams, absorption base
creams and creams for special purposed such as depilatories, deodorant etc.
c) Cosmetics.
d) Cleaning and degreasing of metals.
e) Cleaning of glass and containers.
f) Washing and treatment of food.
g) Cleaning of painted surfaces.
h) Cleaning of painted surfaces.
i) Household washing.
j) Removal of gelatin films.
k) For making antiseptic soaps.
Different Brands of Detergent in Rural Areas of Tamil Nadu
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Marketing Strategies
6 Ps Followed by Detergent Manufacturers
PROMOTION: - QUALITY AND QUANTITY
PERFORMANCE: - PROCESS IN LOGISTIC AND MINIUM TIME
TAKEN TO FUILFILL THE DEMAND
PREDICTABILITY: - DEMAND AND THE DISTRIBUTION CHANNEL
REQUIRED
PRODUCTIVITY: - EFFICIENT UTILIZATION OF RESOURCES
PROFITABILITY: - GAIN FOR DEALERS AND CUSTOMERS
PRODUCT: - VISIBILITY, SELLING OUT SUPPORT
OtherMarketing strategies of DetergentMarketing channels and supply chain management.
Retailing and wholesaling
Integrated marketing communication strategy
Sales promotion and public relation
Personal selling and direct marketing
Segmented the detergent market
Door to door program
Village promotion and advertisement
Product robustness
What is Brand?
The essence of the marketing process is building a brand in the minds of consumers.
A brand is nothing more than a word in the mind, albeit a special kind of word. A brand name is
a noun, a proper noun, which, like all proper nouns is usually spelled with a capital letter.
Any proper noun can be a brand. But what makes a brand powerful is the effectiveness of
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branding a company's ability to create a mood, thought, feeling, and definition for that brand
such that the mere mention of the brand name co notates a greater meaning. The power of a
brand lies in its ability to influence purchasing behavior.
A brand creates an identity in the minds of the customer. A brand name gets stored in the minds
of the customer, and is subjected to positive or negative remarks from the customer based on the
performance. However it cannot be changed without a purpose.
Importance is given to branding right from a very long time. People will buy brands they
recognize, regardless of whether or not they know or believe the claims, simply because there is
comfort in that which is known.
Horizontal Brand Extension
New industries are captured by formulating a suitable marketing strategy called horizontal brand
extension. The business is prevented from loss by exploring new markets and hence curtailing
the ambivalent economic shifts.
When an industry starts to show a loss caused by a lean patch in the economy it can have a
rippling effect on not only the companies but also on their vendors, etc. To avoid the full impact
of recession many companies are turning their marketing efforts from vertical to horizontal in an
effort to safeguard the companies business.
There are three ways to capitalize on the market recovery and build your company to be stronger
than before.
1. Market Extension allows you to cultivate new market segments for existing
products/services
2. Application Extension allows you to qualify products/services for new applications
3. Product Extension allows you to develop new products/services/modifications for new
markets and applications.
Source:http://www.brandchannel.com/view_comments.asp?dc_id=521
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Challenges
Consumer needs are assessed by proper research. Consumer demand will fail in case new
products or changes in the existing products are not done. The brand will suffer if the products
are neglected due to lack of quality. This requires extensive horizontal market research to make
sure that first there really is a need and that second, you are familiar with the language of that
market.
Leveraging is carried out by the presence of the brand in order to attract new customers. By
matching the relevant benefits to the pain areas of the customer, you can connect your brand with
his psyche in a diligent way. At first, your extension should be easily conceivable by the
customer. This requires combining your market research with your in-depth brand evaluation to
find a connection. What aspect of your brand can be brought into this new position for appeal?
Brand message should be communicated in a grand but terse way. You must have functions in
place to deliver your message. Whether it is done in-house or by utilizing partnerships to acquire
new products, distribution channels, you must follow through on your branding or risk damaging
your company. This requires an honest look at how this new venture will affect your brand. You
also need to make sure that you can dedicate enough resources to this thesis to see it through to
success.
Source:papers.ssrn.com/sol3/Delivery.../SSRN_ID1265073_code852572.pdf2
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Tools for Building Brand Identity
Brand builders use a set of tools to strengthen and project the brand image; Strong brands
typically exhibit an owned word, a slogan, a color, a symbol, and set of stories.
Owned Word
A strong brand name should trigger another word, a favorable one. Here is the list of brands that
own a word:
Volvo Safety
BMW Driving Performance
Mercedes Engineering
Federal Express overnight
Apple Computers Graphics
Lotus Spreadsheets
Kodak Film
Slogan
Many companies successfully added a slogan or tagline to their brand name which is repeated in
every ad they use. Here are some well-known brands slogans, which people on the street may
easily recall or recognize:
British Airways - The worlds favorite airline
Ford - Quality is our number one job
LIC - Jeevan ke saath bhi jeevan ke baad bhi
Colors
It helps for a company or a brand to use a consistent set of color to and in the brand recognition.
Caterpillar paints all its construction equipments yellow. Yellow is the color of Kodak film. IBM
uses blue in its publications, and IBM is called Big Blues.
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Symbols and Logos
Companies would be wise to adapt a symbol or logo to use in their communications. Many
companies hire a well-known spokesperson, hoping that his or her quality transfer to the brand.
Nike uses Michael Jordon who has worldwide recognition and likableness, to advertise its shoes.
Sporting goods manufacturers sign contracts with top athletes to serve as their symbols, even
naming the product after them.
Beyond the logo: creating a distinctive brand
Creating a consistent identity will make it easier for customers to buy. A professional appearance
builds trust, making your business identity a boon to your sales force. As customers come to
recognize and rely on your brand, youll build equity for future growth.
Branding - Anything is Possible
Consumers perceptions are harnessed by publishing success stories on the media and showing
them what the company is capable of doing. Seeing the brands run in a competitive atmosphere
there was a fast need to build up strategies so that there is a distinction between the rests
Cartoons and Animations
A less expensive approach is to develop a character, animated, to etch the brands image into
customers mind. The advertising agency Leo Burnett has successfully created a number of
memorable animated characters. Here are some well known brand cartoons which people may
recognize:
ICICI Prudential Chintamani
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Amul Butter - Utterly Butterly Girl
McDonalds - Ronald
Objects
Still another approach is to choose an object to represent a company or brand. The travelers
insurance company uses an umbrella, suggesting that buying insurance is equivalent to having an
umbrella available when it rains. The prudential insurance company features the rock of
Gibraltar, suggesting that buying an insurance is equivalent to owing a peace of rock which is
of course, solid ad dependable. Companies have developed many logos or abstracts, which are
easily remembered by people. Even the way the brand name is written makes a brand
recognizable and memorable.
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Measuring Brand Effectiveness
There are many metrics to measure the potential of and actual effectiveness of brands. The
simplest way is to apply the concept of what we call the 4 Ds of Branding; differentiation,
distinctiveness, defendable, digit-able.
y Distinctiveness: your brand should be distinct when compared to your competitors and to
all spoken and visual communications to which your target audiences will be exposed.
The more unique and distinct your communications, the wider the filed of effective
competitive strength it will have. There are simple means to apply to test the
distinctiveness of your brand.
y Differentiation: the brand strategy and brand assets must set youre offering apart and
clearly articulate the specific positioning intent of your offering.
y Defendable: you will be investing in creating your brand assets and in all cases your
brand must have proprietary strength to keep others from using close approximations.
This applies to your trade names and other proprietary words as well as to your logos,
symbols and other visual assets.
y Digit-able: in most businesses there is strong and growing element of electronic
communications and commerce that dictate all brand assets be leveraged effectively in
tactile and electronics form. This goes for all brand assets.
1.6 Brand and Reputation
Advertising: Over time an individual who lives in a country in which the company/brand is
active, or travels to one on business or vacation, will be exposed to their advertising. This
advertising may be in a wide range of media:
TV commercials for products and services
Recruitment ads inviting employment applications
"Corporate" TV commercials promoting the company's "reputation"
Web based advertising
An ad for the companys branded products or services in a wide variety of print media.
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Billboards on highways
Radio
Point of sale etc.
Media reports and stories: Individuals will be exposed to a wide variety of reports about
companies in the media (print and broadcast) where the editorial content is only partly influence
able by the company (in some cases) or not at all (in most cases). These stories will come from a
variety of primary and secondary sources: -
Press releases
Press conferences
Reporting of "events"
Investigative journalism
Stories passed to the media by third parties (Non governmental organizations etc.)
Professional/business interest: For some individuals to interface professionally, or from a
specific business need, with famous companies (or to observe them) is part of their job. They
will usually procure their information from a variety of sources and via a variety of channels of
communication. These individuals have a special interest in the companies and they include: -
Financial analysts and journalists with an interest in share performance
Existing or potential suppliers of products and services
Existing or potential industrial/commercial customers
1.7 Brand Building
The art of marketing is largely art of brand building. When something is not a brand, it will
probably be viewed as a commodity. Then price is the thing that counts. When price is the only
thing that counts then the low cost producer wins. But just having a brand is not enough. What
does the brand name mean? What associations, performances and expectations does it evoke?
What degree of preferences does it create?
Building Positive Associations
The best known brand names carry associations. For example, here is a list of words that people
say they associate with McDonalds:
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y Kids
y Fun
y Happy Meal
y Ronald Mc. Donald
y Quality
y Toys
In trying to build a rich set of positive associations for a brand, the brand builder should
consider five dimensions that can communicate meaning:
y Attributes: A strong brand should trigger in buyers mind certain attributes. Thus a
Mercedes automobile attributes a picture of well-engineered car that is durable, rugged
and expensive. If a car brand does not trigger any attribute, then it would be a weak
brand.
y Benefits: A strong brand should suggest benefits, not just features. Thus Mercedes
triggers the idea of well performing car that is enjoyable to drive and prestigious to own.
y Company Values: A strong brand should connote values that the company holds. Thus
Mercedes is proud of its engineers and engineering innovations and is very organized and
efficient in its operations. The fact that it is a German company adds more pictures in the
mind of the buyers about the character and the culture of the brand.
y Personality: A strong brand should exhibit some personality traits. Thus if Mercedes
were a person we would think of someone who is middle age, serious, well-organized and
somewhat authoritarian. If Mercedes were an animal we might think of lion or its implied
personality.
y Users: A strong brand should suggest the type of people who buy the brand. Thus we
would expect Mercedes to draw buyers who are older, affluent and professional.
In summary, brands when their very name connotes positive attributes, benefits, company values,
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personality and users in the buyers mind. The brand builders job is to create a brand identity
that builds on those dimensions.
Source: www.modernmind.com/brand.htm 333
Brand Element Choice Criteria
There are six criteria in choosing brand element. The first three can be characterized by brand
building in terms of how brand equity can be build through judicious choice of brand element.
The latter three are more defensive and are concerned with how the brand equity contained in the
brand element can be leveraged and preserved in the face of various opportunities and
constraints.
y Memorable: How easily is the brand element recalled? How easily recognized? Is this
true at both purchase and consumption? Short brand name like tide, Nike can help.
y Meaningful: To what extent is brand element credible and suggestive of the
corresponding category? Does it suggest something about a product ingredient or a type
of person who might use the brand?
y Likeability: How aesthetically appealing does consumers find the brand element? Is it
inherently likeable visually, verbally, and in other ways? Concrete brand names such as
Wheel, Sunsilk etc evoke much imagery.y Transferable: Can a brand element be used to introduce new products in the same or
different categories? To what extent does the brand element add to brand equity across
geographic boundaries and market segments?
y Adaptable: How adaptable and updatable is the brand element? Betty corker received 8
makeovers through the years-although she is 75 yrs old, she doesnt look a day over 35.
y Protectable: How legally protectable is the brand element? How competitively
protectable. Can it be easily copied? It is important that names that become synonymous
with product categories such as Kleenex, Xerox, Jell-O, etc retain their trademarks rights
and not become generic.
Brand elements can play a number of roles. If consumers do not examine much information in
making their product decisions, brand elements should be easily recognized and recalled and
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inherently descriptive and persuasive. Memorable or meaningful brand elements can reduce the
burden on marketing communications to build awareness and link brand associations. The
different associations that arise from likeability and appeal of the brand elements may also play a
critical role in the equity of brand.
Marketing starts with the analysis of consumer behavior, which is defined by Blackwell et al.
(2001) as acts of individuals involved in obtaining, using, and disposing of goods and services in
an economical way, also including the decision making that precede and determine these acts.
Knowledge of consumer behavior is an added advantage to promotional mix decisions. This, in
turn, is not confined to manufacturers but extends into the premises of the retailer and the
nonprofit marketers.
Source: www.nean.org
Studying the BuyingMotives and buying perceptions of consumers for Building up brand
strategies
People buy for their own reasons, not for the company's reasons every time. These reasons may
not always be sensible, rational or intelligent, but have to be understood by a sales person.
People have six motives for buying any product or service. They are not stated in any particular
order as no one motive is more important than the other.
Desire for gain: This buying motive usually means a desire for financial gain. The customer
expects to earn a profit as a result of making the purchase. For example, a firm may purchase an
expensive automation system to enhance productivity. Also, an individual may buy the services
of a financial planner in order to gain more profits.
Fear of loss: This refers to fear of financial loss. An individual motivated by a fear of loss may
make purchases like a safety deposit box, yard lights, locks etc. It may also prompt a
manufacturer to purchase product liability insurance as protection against loss caused by product
malfunctions.
Comfort and convenience: Buying is backed by a desire for comfort and convenience. Think
about your own workplace. Depending upon the company's budget and size, you may be
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enjoying such comforts and conveniences. They could be anything from a hot coffee to an
elevator to a copy machine. Similarly, at home an individual may buy a microwave oven, an air-
conditioner, an easy chair or a computer.
Security and protection: Often, purchases are motivated by the desire to avoid physical harm
either to oneself, or to loved ones, or to one's property. For protection, an individual for example
may buy a car cover, join karate lessons, or hire a bodyguard. Similarly, a company might want
to use sturdy shipping cartons so its product can be shipped without damage.
Pride of ownership: This is a case when the buyer buys something that he is proud to own. Such
purchases could be premium products, or something that is prestigious to own.
Emotion: When a customer buys something that he feels will make him feel good about himself,
his motivation is backed by the feeling of emotional satisfaction. Specific emotions associated
with love and ego is referred to here. An individual may want to buy a cologne, tickets to a
charity show, throw a lavish lunch, etc., to satisfy this need.
Different people have different motives for the same kind of purchase. For example, a German
shepherd dog may be bought by one person for affection, by another for protection, and yet
another person may buy it for the pride of owning one! People do not readily admit their
dominant buying motives. However, it must be remembered that a marketer must try and appeal
to all the six motives and see which provoke your prospects' strongest responses.
Following are the laws of branding which acts as a guide for different brands as it reveals
the laws which should be adopted for branding strategies:
LAWS OF BRANDING:
The 22 Immutable Laws of Branding
1. The Law of Expansion:
The power of a brand is inversely proportional to its scope. Trying to be all things to all
people undermines the power of the brand. The strength of brands lies in becoming
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years ago. A brand's credentials in a category as authentic, real, original, or the leader are
very powerful indeed.
7. The Law of Quality:
Quality is important, but brands are not built by quality alone. Does a Rolex keep better time
than a Timex? Does Hertz have better service than Alamo? Does a Montblanc pen write
better than a Cross? Are you sure? The perception of quality, more than quality itself, is what
builds a brand. And the best way to build a quality perception in the mind of consumers is by
following the laws of branding.
8. The Law of the Category:
A leading brand should promote the category, not the brand. The most efficient, most
productive, most useful aspect of branding is creating a new category. Customers don't really
care about new brands, they care about new categories. What was the market for cheap cars
before Volkswagen? What was the market for home pizza delivery before Dominos? What
was the market for in-line skates before Rollerblade?
9. The Law of the Name:
In the long run, a brand is nothing more than a name. In the short term, a brand needs a
unique idea or concept to survive. But in the long term, all that is left is the difference
between your brand name and the brand names of your competitors. Shorter names that are
unique and memorable are far stronger than longer, vague or generic names.
10. The Law of Extensions:
The easiest way to destroy a brand is to put its name on everything. More than 90% of all
new product introductions in the U.S. are line extensions. Line extensions destroy brand
value by weakening the brand. The effects can be felt in diminished market share of the core
brand, a loss of brand identity, and a cannibalization of the one's own sales. Often, the brand
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extension directly attacks the strength of the core brand. Does Extra Strength Tylenol imply
that regular Tylenol isn't strong enough?
11. The Law of Fellowship:
In order to build the category, a brand should welcome other brands. Consumers want to
have choices. Choice stimulates demand. Healthy competition helps to build the category.
The competition between Coke and Pepsi makes customers more cola conscious. Per capita
consumption goes up.
12. The Law of the Generic:
One of the fastest routes to failure is giving a brand a generic name. The problem with a
generic brand name is its inability to differentiate the brand from the competition. At your
local health food store, you'll find Nature's Resource, Nature's Answer, Nature's Bounty,
Nature's Secret, Nature's Way, Nature's Best, Nature's Plus, etc. Will any of these generic
brands break into the mind and become a major brand? Unlikely.
13. The Law of the Company:
Brands are brands. Companies are companies. There is a difference. Customer's think of
brands, not companies. Procter and Gamble isn't Tide. General Motors isn't Cadillac. The
brand itself should be the focus of your attention. Use the company name, if necessary, in a
decidedly secondary way.
14. The Law of Sub brands:
What branding builds, sub branding can destroy. Sub branding erodes the power of the core
brand. Waterford is the leading Irish crystal maker. Introducing "cheap" Waterford as
"Marquis by Waterford" only dilutes the Waterford brand. Sub branding attacks a brand's
place in his mind of the prospect.
15. The Law of Siblings:
There is a time and place to launch a second brand. A second brand can be launched to focus
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on a new subcategory within the same product family. Toyota launched Lexus because the
Toyota brand couldn't fill the luxury car category. The focus is on the brand, not the
company. Customers buy a Lexus not because it's made by Toyota, but in spite of it.
16. The Law of Shape:
A brand's logotype should be designed to fit the eyes. Both eyes. A customer sees the world
through two horizontally mounted eyes peering out of the head. For maximum visual impact,
a logotype should have a horizontal shape. The ideal shape is 2 1 /4 units wide by 1 unit high.
17. The Law of Color:
A brand should use a color that is the opposite of its major competitor. Coke is red, and Pepsi
is Blue. Hertz is yellow, and Avis is Red. Color consistency over the long term can help a
brand burn its way into the mind.
18. The Law of Borders:
There are no barriers to global branding. A brand should know no borders. The perfect
solution to growth in a competitive market is not line extensions, but building a global brand.
A brand should have a consistent message globally, but must take into account the
perceptions of its country of origin.
19. The Law of Consistency:
A brand is not built overnight. Success is measured in decades, not years. This is the law
which is violated most frequently. Once a brand occupies a position in the mind, the
manufacturer often thinks of reasons to change. Markets may change, but brands shouldn't.
They may be bent slightly, or given a new slant, but their essential characteristics should
never be changed. Long-term, consistent programs might be boring, but they are also
immensely powerful.
20. The Law of Change:
Brands can be changed, but only infrequently and only very carefully. Nothing is absolute
and there are exceptions to every rule. There are three situations where changing your brand
is feasible: When your brand is weak or non-existent in the mind, when you want to move
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your brand down the food chain to a lower price and perception point, or when your brand is
in a slow-moving field and the change is going to take place over an extended period of time.
Remember, changing your brand is a long and difficult process. Change at your own risk!
21. The Law ofMortality:
No brand will live forever. Euthanasia is often the best solution. While the laws of branding
are immutable, brands themselves are not. They are born, grow up, mature, and eventually
will die. Yet companies that are willing to spend millions to save a dying brand won't spend
pennies to launch a new one. Opportunities for new brands and threats to old ones are
constantly being created by the invention of new categories. The rise of personal computers
created opportunities for Compaq, Dell and Gateway, but put pressure on Digital, Data
General and Wang.
22. The Law of Singularity: The most important aspect of a brand is its single-mindedness.
What is a brand? A singular idea or concept that you own inside the mind of the prospect.
It's as simple or as difficult as that.
Source: www.marketingprofs.com/5/schultz2.asp 5
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Planning and DecisionMaking In Branding
Source:Branding Management 4th Edition by David A Aaker6
PORTERS 5 FORCESMODEL OF DETERGENTS
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Competitive Rivalry within the Detergents Industry:
The competitiveness within the industry is very high. The players in the markets as well
already and therefore as a brand will have to shout louder to be heard by the people. So,
therefore there has to be huge promotions done.
Bargaining Power of the dealers:
The Detergents dealers are basically bargaining in nature. And thus due to a limited number of
players in this segment their bargaining power is not that high.
Bargaining Power of the Customers:
The customers have a better bargaining power as they have a lot of option in the market. In the
sense that there are a lot of players in the market already and there are n number of brands
available.
Threat of New Entrants:
There are a lot of players already in this market. And thus the scenario is of huge
competitiveness. So, according to the experts opinion only the well established players would
be able to enter in this market. For the new players it would be very difficult to enter.
Threat of Substitute products:
Fast moving durable goods are unavoidable goods is basically used as lively. Normally there
wont be any substitutes for them.
Marketing Strategy Development:
Following a successful concept test of Detergents, the product manager has developed
a preliminary strategy plan for introducing the new concept into the market.
The plan consists of three parts.
1) The target markets size, structure, and behavior, the planned product positioning and
the sales, market share, and profit goals.
2) Planned price, distribution strategy and Marketing budget for the 1st year.
3) Long run sales and profit goals and marketing mix strategy over time.
So for the target market is entire India comprising of the middle income, high income
society. Penetration pricing method would be followed to enter the market with mass
production.
There would be Intensive distribution for goods, which would be found at all retail
outlets. There would be 2 channels of distribution one direct to the retailer without any middle
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men, and other with a distributor who would sell then to the retailer. The margin decided for
the distributor is 5% whereas for retailer would be 10%.
Source: Branding: a key marketing tool by John M.Murphy7
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2.4 Justification
Many researchers have done widespread research work regarding branding and its influence over
customers purchasing decisions. After analyzing the said subject related to branding, I found a
gap in the study. This gap was whether branding strategies acts as a purchase decider? So I
decided to undertake research on this particular aspect.
2.6 Limitations
Designed areas were limited.
Opinion sought is limited.
Time is a constraint.
Some of the respondents did not response freely.
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CHAPTER 3
LITERATURE REVIEW
In the words of Bearden and Netemeyer, 1999, p. 301, hesaid that opinion is decided by the
incentive characteristics, (Objects, brands, stories etc.), the context in which it is delivered
(social, cultural), and the customer characteristics (knowledge, experience, expertise). It is within
these stages that a consumer will either recognize a fit between a celebrity and a product/brand,
or reject this connection on different grounds. Memory is structured as an associative network.
When this happen the brand and the celebrity become parts of each others association set.
Source:Bearden and Netemeyer, Brand Management, 1999, p. 3018
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CHART 1
CHART SHOWING WASHING PRODUCTSMEETS REQUIREMENTS AND
EXPECTATION
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TABLE 2
DETERGENTMARKET HAVEMUCH RANGE OF PRODUCTS TO MEET
CONSUMERS NEEDS
Particulars No of Respondents Percentage %
Yes 30 43%
No 25
Can't Say 15 21%
Total 70 100%
Inference:
43% of the consumers say that detergent market have much range of products to meet consumers
needs,36% of the respondents do not feel so and 21% of the respondents not able to give any
comments
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CHART 2
DETERGENTMARKET HAVEMUCH RANGE OF PRODUCTS TO MEET
CONSUMERS NEEDS
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TABLE 3
TABLE SHOWING QUALITY RATE AND USAGE OF DETERGENT
Particulars No of Respondents Percentage %
Excellent 25 36%
Above Average 19 27%
Below Average 15 21%
Poor 11 16%
Total 70 100%
Inference:
36% of the respondents feel excellent about the quality and usage of detergent,27% of the
respondents feel above average,21% of the respondents feel below average and 16% of the
respondents feel poor about the quality rate and usage of detergent
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CHART 3
CHART SHOWING QUALITY RATE AND USAGE OF DETERGENT
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TABLE 4
TABLE SHOWING CONCERNS WHICHMATTERS TO CUSTOMER ABOUT NEW
PRODUCT
Particulars No of Respondents Percentage %
Packaging 15 21%
Price 25 36%
Brand 10 14%
Quality 20 29%
Total 70 100%
Inference:
21% of the respondents feel packaging which matters in buying new product,36% of the
respondents feel price,14% of the respondents feel brand,29% of the respondents feel quality
which matters to buy new product
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CHART 4
CHART SHOWING CONCERNS WHICHMATTERS TO CUSTOMER ABOUT NEW
PRODUCT
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CHART 5
CHART SHOWING WHICH QUANTITY OR PACKET IS PURCHASED BY
CUSTOMERMOSTLY
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TABLE 6
CONSUMERS SATISFACTION WITH COMPANYS ENVIRONMENTAL CONCERN,
SENSITIVITY TO RECYCLING, DISPOSABILITY
Particulars No of Respondents Percentage %
Highly satisfied 15 21%
Satisfied 10 14%
Neutral 12
Dissatisfied 20 29%
Highly dissatisfied 13 19%
Total 70 100%
Inference:
21% of the respondents are highly satisfied companys environmental concern,14% of the
respondents satisfied about the concern,17% of the respondents are neutral,29% of the
respondents are dissatisfied about recycling, disposability and 19% of the respondents are highly
dissatisfied
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CHART 6
CONSUMERS SATISFACTION WITH COMPANYS ENVIRONMENTAL CONCERN,
SENSITIVITY TO RECYCLING, DISPOSABILITY
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MANUFACTURERS
TABLE 1
TABLE SHOWING SUPPLYMADE IN THEMARKET
Particulars No of Respondents Percentage %
Company 3 30%
Distributor 2 20%
Whole seller 3 30%
Retailer 2 20%
Total 10 100%
Inference:
30% of the respondents feel that the supply are made by company in the market,20% of the
respondents feel distributor,30% of the respondents feel whole seller and 20% of the respondents
feel retailer
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CHART 1
CHART SHOWING SUPPLYMADE IN THEMARKET
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CHART 2
CHART SHOWING PROCESS WHICH DRIVES THEMARKET OF DETERGENT
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TABLE 3
TABLE SHOWING RELATIONSHIP WITH THE SUPLLIERS
Particulars No of Respondents Percentage %
Yes 5 50%
No 2
Can't Say 3 30%
Total 10 100%
Inference:
50% of the respondents feel that they have good relationship,20% of the respondents do not feel
so and 30% of the respondents not able to give any comment
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CHART 3
CHART SHOWING RELATIONSHIP WITH THE SUPLLIERS
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TABLE 4
TABLE SHOWING FUNCTION OF ORGANIZATION IN TIMELY INTRODUCTION
OF NEW AND IMPROVED PRODUCTS
Particulars No of Respondents Percentage %
Excellent 3 30%
Above average 2 20%
Below average 3 30%
Poor 2 20%
Total 10 100%
Inference:
30% of the respondents feel excellent about the function of organization in timely introduction of
new products,20% of the respondents feel above average,30% of the respondents feel below
average and 20% of the respondents feel poor
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TABLE 5
TABLE SHOWING THE RESPONSE OF COMPANY IN LISTENING AND
RESPONDING TO CUSTOMER NEEDS
Particulars No of Respondents Percentage %
Yes 5 50%
No 3
Can't say 2 20%
Total 10 100%
Inference:
50% of the respondents feel company is listening and responding to customer needs,30% of the
respondents do not feel and 20% of the respondents not given any comments
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CHART 5
CHART SHOWING THE RESPONSE OF COMPANY IN LISTENING AND
RESPONDING TO CUSTOMER NEEDS
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RETAILERS / WHOLESALERS
TABLE 1
TABLE SHOWING DETERGENT WHICH IS MOST PREFERED BY CONSUMERS
Particulars No of Respondents Percentage %
Arasan 4 20%
Wheel 3 15%
Henko 6 30%
Rin 5 25%
Others 2 10%
Total 20 100%
Inference:
20% of the respondents prefer Arasan,15% of the respondents prefer Wheel,30% of the
respondents prefer Henko,25% of the respondents prefer Rin and 10% of the respondents others
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CHART 1
CHART SHOWING DETERGENT WHICH ISMOST PREFERED BY CONSUMERS
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TABLE 2
TABLE SHOWING WHATMATTERS TO CUSTOMER WHILE BUYING NEW
PRODUCT
Particulars No of Respondents Percentage %
Packaging 6 30%
Price 4 20%
Brand 3 15%
Quality 7 35%
Total 20 100%
Inference:
30% of the respondents feel packaging which matters a lot,20% of the respondents feel
price,15% of the respondents feel brand which matters and 35% of the respondents feel quality
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CHART 2
CHART SHOWING WHATMATTERS TO CUSTOMER WHILE BUYING NEW
PRODUCT
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TABLE 3
TABLE SHOWING WHAT BASIS RETAILERSMAKE PURCHASE
Particulars No of Respondents Percentage %
Cash 5 25%
Credit 8 40%
Partial cash 7 35%
Total 20 100%
Inference:
25% of the retailers use cash to make purchase,40% of the respondents prefer credit and 35% of
the respondents prefer partial cash
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CHART 3
CHART SHOWING WHAT BASIS RETAILERSMAKE PURCHASE
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TABLE 4
TABLE SHOWING FREQUENCY/TIME DURATION FOR PURCHASE OF
DETERGENT
Particulars No of Respondents Percentage %
Weekly 7 35%
15 Days 8 40%
Monthly 5 25%
Total 20 100%
Inference:
35% of the respondents use to do weekly purchase,40% of the respondents prefer to do 15days
once and 25% of the respondents use to do monthly
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CHART 4
CHART SHOWING FREQUENCY/TIME DURATION FOR PURCHASE OF
DETERGENT
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TABLE 5
TABLE SHOWING PURCHASE PATTERN
Particulars No of Respondents Percentage %
Bulk 5 25%
Retail 6 30%
Dozen 9 45%
Total 20 100%
Inference:
25% of the respondents prefer to do bulk purchase,30% of the respondents prefer to do retail
purchase and 45% of the respondents prefer to do Dozen type of purchase
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TABLE 5
TABLE SHOWING PURCHASE PATTERN
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TABLE 6
TABLE SHOWING WHICH QUANTITY OR PACKET IS PURCHASED BY
RETAILERSMOSTLY
Particulars No of Respondents Percentage %
Sachet packet 5 25%
1kg 7 35%
500gm 3 15%
200gm 5 25%
Total 20 100%
Inference:
25% of the respondents purchase sachet packet,35% of the respondents purchase 1kg,15% of the
respondents use to buy 500gm and 25% of the respondents use to buy 200gm
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CHART 6
CHART SHOWING WHICH QUANTITY OR PACKET IS PURCHASED BY
RETAILERSMOSTLY
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TABLE 7
TABLE SHOWING HOW CONSUMER ASKS OR RELATES THE PRODUCT
Particulars No of Respondents Percentage %
Brand 5 25%
Colour 4 20%
Price 7 35%
Other thing 4 20%
Total 20 100%
Inference:
25% of the respondents asks for brand,20% of the respondents asks for colour,35% of the
respondents asks for price and 20% of the respondents relates other thing
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CHART 7
CHART SHOWING HOW CONSUMER ASKS OR RELATES THE PRODUCT
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CHAPTER 5
FINDINGS
CONSUMERS
21% of the respondents strongly agree that washing products meets requirement and
expectation, 29% of the respondents agreed, 17% of the respondents are neutral, 14% of
the respondents disagree about the statement and 19% of the respondents strongly agree
about the requirement and expectation
43% of the consumers say that detergent market have much range of products to meet
consumers needs,36% of the respondents do not feel so and 21% of the respondents not
able to give any comments
36% of the respondents feel excellent about the quality and usage of detergent,27% of the
respondents feel above average,21% of the respondents feel below average and 16% of
the respondents feel poor about the quality rate and usage of detergent
21% of the respondents feel packaging which matters in buying new product,36% of the
respondents feel price,14% of the respondents feel brand,29% of the respondents feel
quality which matters to buy new product
26% of the respondents purchase sachet packet,36% of the respondents purchase1kg,29% of the respondents use to buy 500gm and 10% of the respondents use to buy
200gm
21% of the respondents are highly satisfied companys environmental concern,14% of the
respondents satisfied about the concern,17% of the respondents are neutral,29% of the
respondents are dissatisfied about recycling, disposability and 19% of the respondents are
highly dissatisfied
MANUFACTURERS
30% of the respondents feel that the supply are made by company in the market,20% of
the respondents feel distributor,30% of the respondents feel whole seller and 20% of the
respondents feel retailer
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20% of the respondents says that margin which drives the market of detergent,30% of the
respondents feel demand,40% of the respondents feel supply and 10% of the respondents
feel logistics
50% of the respondents feel that they have good relationship,20% of the respondents do
not feel so and 30% of the respondents not able to give any comment
30% of the respondents feel excellent about the function of organization in timely
introduction of new products,20% of the respondents feel above average,30% of the
respondents feel below average and 20% of the respondents feel poor
50% of the respondents feel company is listening and responding to customer needs,30%
of the respondents do not feel and 20% of the respondents not given any comments
RETAILERS / WHOLESALERS
20% of the respondents prefer Arasan,15% of the respondents prefer Wheel,30% of the
respondents prefer Henko,25% of the respondents prefer Rin and 10% of the respondents
others
30% of the respondents feel packaging which matters a lot,20% of the respondents feel
price,15% of the respondents feel brand which matters and 35% of the respondents feel
quality
25% of the retailers use cash to make purchase,40% of the respondents prefer credit and
35% of the respondents prefer partial cash
35% of the respondents use to do weekly purchase,40% of the respondents prefer to do
15days once and 25% of the respondents use to do monthly
25% of the respondents prefer to do bulk purchase,30% of the respondents prefer to do
retail purchase and 45% of the respondents prefer to do Dozen type of purchase
25% of the respondents purchase sachet packet,35% of the respondents purchase
1kg,15% of the respondents use to buy 500gm and 25% of the respondents use to buy
200gm
25% of the respondents asks for brand,20% of the respondents asks for colour,35% of the
respondents asks for price and 20% of the respondents relates other thing
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CHAPTER 6
CONCLUSION
In this modern era everyone wants to be so fast so that nobody could catch him. As in the FMCG
sector everybody is running a race to be the No. 1.Companies want to capture the highest share
to be the market leader and to enjoy the highest position in the market.
In the past time the market was profit oriented instead of customer oriented , so companies were
concentrating over profit by just producing the product and to sale them.
But, now companies are paying attention more to know the behavior of consumers for producing
the product. Now market is customer oriented. In this context it is said by the management
gurus, CONSUMER IS THE KING and it is the consumer who determines what a business
is.
So the companies have moved towards the customers need from only profit based motive. But
later it was found that it is not sufficient to know only customers need. Customers should get
satisfaction in the product, for they are paying.
It is highly essential to know from the consumer following things:-
1. What consumer really using and why and2. What they want from product.
This is possible only when information is collected from the consumers. Thats why we did this
project to interact directly with the customers to get real picture. These are the customers who
can tell us that what they are expecting in reality and what the company is offering to them. The
main aim of this project was to know about the satisfaction of customer.
I get filled response of the respondents through questionnaire. I met those customers and retailers
who are using and selling the detergents of different company. After analyzing the data I got a
picture that is the things needed by the customers to get satisfied.
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CHAPTER 7
RECOMMENDATION
The Data Bunch up would enable one to hit upon
The potential of detergent market The distribution channel followed The segmentation of market. The awareness about the companys products The problems being faced by the distribution channel. Availability of the brands in the outlet. Pricing strategies. Pack size. Retailers and consumer schemes and promos. After sale service Selling out support. Product visibility. Customize schemes Study of trends in debtors collection period; inventory holding period, and creditors
payout period and its repercussion.
Strategies of different competitors of in detergent market. Logistics. Stock keeping unit(SKU) Although detergent market is flooded with number of brands providing many services but
due to lack of awareness among consumer. Thats why local brands are holding. It is not
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very widely used. Therefore special efforts should be given to make the consumers
aware.
Due to lack of advertisement in rural, people are still not aware about the bad effect ofusing inferior brands. Due to which companys real motto of making high quality
detergent is not achieved. So company should give special emphasis on this issue and
advertise in different Medias to make the people aware about it.
In some places of rural India still most of the products are not available. In such caseslocal brands find their place.
Many consumers are not aware of different schemes available to them. So special effort
should be taken to make the people aware
Continuous efforts should be made to make the people aware about the distinct featurethrough different promotional activities, hoarding, banners etc.
Availability period also needs further shortening and crushing Company can also stretch the Average Payment period to wholesaler and retailers. Consumers generally hesitate in using new product. So company should try to gain the
confidence of consumer, through building consumer-manufacturer relation.
Guide and educate customers as to how to use the detergent so that they can getmaximum output.
In order to reduce the price, Supply chain needs more flexibility and efficiency Since detergent like Power and Arasan are dominating the rural market and have the
advantage of first entrant, the late entrant is already on the podium in the third place and
fourth place i.e. HLL and P&G. Research revealed that the category had gaps which in
which one new company could settle into.
.
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CHAPTER 8
BIBLIOGRAPHY
Links
1. http://www.brandchannel.com/view_comments.asp?dc_id=52
2. papers.ssrn.com/sol3/Delivery.../SSRN_ID1265073_code852572.pdf
3. www.modernmind.com/brand.htm
4. www.nean.org
5. www.marketingprofs.com/5/schultz2.asp
6. http://www.marketingpower.com/mg-dictionary-view329.php - 2007-05-07
7. Branding Management 4th Edition by David A Aaker
8. Bearden and Netemeyer, Brand Management , 1999, p. 301
Books
Chandra Prasanna Fundamental of TataMarketingManagement
McGraw-Hill
KhanM.Y. Principal of marketing TataMcGraw-Hill
Kathori C.R Rearch Vikash Publishing
Methodology House
Sharma R.K. Financial Kalyani PublisherGupta Shashi K. Management
Magazines:-
Business world
Management Compass
4 Ps of Marketing
Management Chronicle
Advance edge
Newspapers
Economic Times
Times of India.
Hindustan Times
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(i)APPENDICES
QUESTIONNAIRE
CONSUMERS
Q.1. Washing products meet your current requirements & expectation.
A) Strongly Agree B) Agree C) Neutral D) Disagree E) Strongly Disagree
Q.2. Does Detergent market have much range of products to meet your needs?
A) Yes B) No C) Cant Say
Q.3 Which brand of detergent you consume?
..
Q.4 Rate the quality and usage of your detergent
A) Excellent B) Above Average C) Average D) Below Average E) Poor
Q.5 What matters to a customer in a new product?
A) Packaging B) Price C) Brand D) Quality
Q.6 Which quantity or which packet is purchased by customer mostly?
A) Sachet packet B) 1 Kg C) 500gram D) 200gram
Q.7 Are you satisfied with the companys environmental concern, sensitivity to recycling,
disposability?
A) Highly satisfied B) Satisfied C) Neutral D) Dissatisfied E)
Highly Dissatisfied
MANUFACTURERS
Q.1 Supply made in the market by
A) Company B) Distributor C) Whole seller D) Retailer
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Q.2 what drives market of detergent?
A) Margin B) Demand C) Supply D) Logistics
Q.3 Do you find people to people relationship with the suppliers
A) Yes B) No C) Cant say
11. Do you feel that your organization is functioning effectively in timely introduction of
new and improved products?
A) Excellent B) above Average C) Average D) below Average E) Poor
12. Is the company is listening and responding to customer needs?
A) Yes B) No C) Cant say
RETAILERS / WHOLESALERS
ENTERPRISE NAME:-
AREA:-
Q.1 Which detergent is most preferred by consumers?
A) Arasan B) Wheel C) Henko D) Rin E) Others
Q.2 What matters to a customer in a new product?
A) Packaging B) Price C) Brand D) Quality
Q.3 Basis do you make purchase?
A) Cash B) Credit C) Partial cash
Q.4 Frequency/ time duration for purchase of detergent?
A) Weekly B) 15 Days C) Monthly
Q.5 Purchase pattern
A) Bulk B) Retail C) Dozen
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Q.6 Which quantity or which packet is purchased by customer mostly?
A) Sachet packet B) 1 Kg C) 500gram D) 200gram
Q.7 How consumer asks or relates the product?
A) Brand B) Colour C) Price D) Other thing
Response Sheet 1
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Details of Student
Name : Nadeem Ahmed.S.N
ID Number : FW810/01455/MKT
Batch : PGP/FW/08-10/HR
Phone No : 9884136038
Specialization : MBA (Marketing & HR)
Email ID : [email protected]
The Topic of the study : Success Strategy of Retail Industry in India
Date when the Guide was consulted: 28/10/10
The outcome of the discussion: Final Report ready.
The Progress of the Thesis: Final report checked by the faculty.