Project Title- Marketing Research for Brand Awareness,

Brand Image, Customer Satisfaction and

Competitive Analysis of Vegetable Seeds Industry.

Project Guide-

External Guide- Mr. Samadhan DamdharInternal Guide- Dr. KP Reddy

Submitted By-Mr. Kapil Behare Mr. Manish Kumar

FOOD AND AGRIBUSINESS SCHOOL,

HYDERABAD

Content-

Company profileStudy areaObjectives Research methodology Data Analysis and Interpretation (Related to farmers) Data analysis and interpretation (Related to dealer)SWOT AnalysisMichael Porter Five Forces ModelPlan of action (Based on 4p’s) Conclusion and Recommendations

Introduction (Vegetable seed sector)

• India is the 2nd largest producer of vegetables in the world next to China with an estimated production of about 100.0 million tons from an area of 6.0 million hectares.

• The present annual requirement of vegetables is estimated to be 100 million tones and is expected to be over 135 million tones by 2010.

• India shares about 15 % of the world output of vegetables from about 2.8 % of cropped area in the country.

• Indian seed market can cross more than 10,000 crores worth of business in coming 10 years.

• Presently there are about 200-225 private seed companies in India and volume of turnover, ratio between the private and public sectors is 60:40.

Company 2006 seed salesUS $ millions

1. Monsanto + Delta & Pine Land  (US) pro forma $4,476

2. DuPont (US) $2,781

3. Syngenta (Switzerland) $1,743

4. Groupie Lima grain (France) $1,035

5. Land O’ Lakes (US) $756

6. KWS AG (Germany) $615

7. Bayer Crop Science (Germany) $430

8. Takii (Japan) estimate* $425

9. Sakata (Japan) $401

10. DLF-Trifolium (Denmark) $352

World top ten Seeds Company

Company Profile

• Bejo Sheetal Seeds Pvt. Ltd was set up in 1986 as a

Joint venture between Bejo Zaden B.V. of Netherlands and Sheetal Hybrid Seeds Company of India.

• The company produces hybrid variety of seeds of many vegetables like chilli, onion, potato, okra and tomato.

• Bejo Sheetal having 240 ha of farmland, 4 ha of polyhouse and1 ha of greenhouse.

• It is also having excellent breeding programms in tropical vegetable crops like tomato, hot pepper, eggplant, sweet pepper, short day onion, okra, bottle gourd, bitter gourd, ridge gourd, pumpkin, cucumber, and TPS (True Potato Seeds).

• Company having successfully commercialized about 500 vegetable hybrids.

Tomato: Tasty, BSS-211, 282, 320, 350, 366, 369, 419, 420, 422, 423, Sartaj, Tolstoy, Rakshak, param, Rahul, Sssultan, Charm, etc.

Watermelon: BSS-358, 359, 360, 408, Swapnil, Sweetbaby, etc.

Brinjal: BE-706, BE-707, Chaya, Pinki, Black Boy, Shilpa, Sandhya, etc.

Bitter Gourd: Parachi, Priya, Sonam, Poonam, etc.

Okra: Anokhee, Karishma, Saloni, Parful, etc.

Cauliflower: Goodman, Fastman, Cassius, Somerast, Amazing, Latemen, etc.

Cabbage: Red cabbage , Primero, Benson, General, Fresco, Governor, Rotonda, Fieldrocket, Gonzales, Morries, fieldman, etc.

Sweet corn: Komal.

Chilly: BSS-89, 140, 141, 202, 213, 219, 266, 269, 270, 273, 304, 305, 306, 307, 308, 414, 344, 375, 378, 376, 413, anmol, etc.

Capsicum: BSS-89, 399, 421.

Broccoli: Fiesta,

Carrot: Samson-196, Bangor, Carson, Organza.

Onion: Lucifer, Flare, Orient, BSS-262.

Bottle Gourd: Akash, Shramik, BSS-333

Major Hybrids of Bejo-Sheetal Seeds-

• To study the potential of vegetable seed market and current status of major vegetable seed companies in Bellary area.

• To know the perception of farmers and dealers about Bejo Sheetal brand and other major competitors.

• To study the marketing activities adopted by different companies in Bellary Dist.

• To undertake SWOT analysis of Bejo Sheetal seed.• To frame out suitable strategy for strengthening and

repositioning the Bejo Sheetal brand in Bellary Dist.

Objective-

Need for study-

• How to increase the brand image and brand awareness among the farmers.

• What is the current status of Bejo Sheetal Seeds with other competitor in Bellary.

• How to increase the satisfaction level of the farmers and dealers.

Study Area:

Bellary Dist.

Bellary

Sandur Kudligi

Sirgupuppa Kampali

Hospet

BELLARY HOSPET SIRUGUPPA SANDUR KUDLIGI

Vigneshwar Camp P.K.Halli Sirigiri Krishnanagar Anandurga

Laxminagar Kamalapur Dasapur Sushilanagar Moroba

Kolegal Dharmapur Dammmur Bowalli Kotturu

Kamalchet Bommanipelli Sangnakal Daulatpur Amalapura

Moka Somasumudhrum Torangullu Konapuri Kalapuram

Korugudu Hampi Dharmapur

Benchikotil Vijaya-nagar

Panchgiri

These are the villages which we covered-

Research Methodology

Research Design : • Descriptive type of research has been conducted. • It is also known as Quantitative Research.

• Method of sampling: Simple Random Sampling

• Sampling area: Bellary Dist (Karnataka).

• Sample size: Total sample size is 380

( 350 farmers and 30 Distributors/Dealers/Retailer)

Research Instrument:

Structured questionnaire and personnel interviews with different farmers/Distributors/Dealers/Retailers.

Source of data:

(a) Primary data: Farmers and Distributors/Dealers/retailers.

(b) Secondary data: From various sources (Agriculture magazine, Internet, Company’s employees etc.)

Analysis of data:

Simple percentage and average method.Results are presented in the form of charts, graphs etc.,

Data Analysis and Interpretation

(Related to farmer)

• Brand Awareness-

We asked to the 350 respondent.It has seen from the graphs that 51% of the respondents’ are aware of Bejo Sheetal Seeds brands and only 49% are not aware of it.Interpretation:-Awareness was less because of poor promotional activities and inadequate farmers meetings. Since out of 350 respondents only 140 respondent are using Bejo sheetal seed variety because of BSS variety don’t have pest resistance and adaptability to climate. Farmers are going for the local varieties.

• Loyalty with the Bejo Sheetal Seeds-

YEAR RATING

1-2 yearsNot Loyal

3-4 years

5-6 yearsLoyal

7-8 years

9-10 years

More LoyalMore than 10 yrs

From the above graph, we can say those farmers were using seeds more than 5 years , they are the loyal customers and those farmers were using seeds not more than 4 years, they are not loyal customers with the Bejo Sheetal Seeds.

• Source of purchasing Seeds-

Observation: The graph shows that 59.71% farmers were purchased seeds from dealer and 33.42 %. farmers from retailer and 7% farmers were purchased seed from others like progressive farmer and research station.Interpretation:Since most of the farmers purchased the seeds from dealer, the dealer play an important role for selling seed and they can better understand the preferences of the farmers.Farmers are happy to take seeds from dealers because dealers are giving more discounts and good relations.

AttributeNo of

respondent

%

Dealer 209 59.71

Retailer 117 33.42

Others 24 6.8

Interpretation- Since most of the farmers are taking advice from dealer (57.14%) before purchasing seed. So the company should concentrate on dealer by giving more offers and regular visits

Attributes No of respondent Percentage (%)Dealer 200 57.14

Retailer 53 15.14Others 97 27.71

• Buying Decision-

• Time for purchasing of vegetable Seeds-

Interpretation- Most of the farmers were purchasing vegetable seeds one week before (62%). So the seeds will be available to the farmers whenever they need.

• Attitude and perception of farmer while

selection the vegetable seed- Germination %, yield, brand image and price is the perception and belief held by consumer, as

reflect to the minds of farmer. Thus, for determining the germination %, yield, brand image and price, one has to know perception of the farmer about a list of factor in vegetable seed. Therefore it was main focus of our study/survey was to know the farmer attitude and perception towards the purchasing seed.

Interpretation: - It was found that most of the farmers prefer the quality seeds in the form of good germination % (Rank 1) then they go for high yielding varieties (Rank 2) and considering the price factor at 3rd rank.

Germination % Yield Price Pest Resistance Adaptibility Climate

0

1

2

3

4

5

6

1

2

3

4

5

Rank given by Farmer

Competitor Analysis-

16%

22%

10%19%

11%

13% 9%

Over all rank of Vegetable Seed Industry

SyngentaMahycoNamdhari SeedsAnkur SeedsBSSPrabhakar SeedsMonsanto(Seminis)

24%

13%

16%

18%

21%

7%

Rank of Vegetable Seed Industry according to Chilli

Syngenta Mahyco Namdhari Seeds Ankur SeedsBejo Sheetal Seeds Prabhakar Seeds Monsanto(Seminis)

Syngenta Mahyco Namdhari Seeds Ankur Seeds Bejo Sheetal Seeds Prabhakar Seeds Monsanto(Seminis)0

1

2

3

4

5

6

7

8

3

1

6

2

5

4

7

1

5

4

3

2

6

7

Comapny Ranking in all Vegetable Seed Industry

Overall RatingRating according to Chilli

This graph showing that in case of Bejo Sheetal is having 5th rank in all over vegetable seeds and in case of Chilli Bejo rank is 2nd , It means that farmer is satisfied with chilli variety.

• Problem occurring in crop and variety-

39%

31%

22%

8%

Bejo Sheetal VarietyAnthrognose in Chilli Leaf Curl in ChilliBoth None

34%

31%

21%

14%

Other companies VarietiesAnthrognose in Chilli Leaf Curl in ChilliBoth None

The graph shows that, Bejo Sheetal Seeds variety having 39% of anthracnose in chilli, 31% leaf curl in Chilli and 22% of both the disease problems and 8% of varieties having no problem while in others is like that 34% of anthracnose in Chilli, 31% leaf curl in Chilli, 21% of both the disease problem and 14% of varieties having no problem.

Interpretation- We have seen that, in case of Bejo Sheetal Seeds Hybrid Variety (BSS-355) most of the farmers were suffering from disease/pest. That variety is having good yield but not resistance power, in case of Syngenta Seeds (HPH-204), Ankur Seeds (Pusa Jywla, G-4), and Namdhari Seeds (Chilli-01) are having good resistance to power as well as yield.

Cont…

• Problems handled by company employee-

Graph showing that, 42% respondent were getting technical assistance, 27% through regular monitoring, 20% by training to the farmers.Interpretation:-There was not any technical support provided by Bejo Sheetal Seeds, only competitor was providing support required by the farmer.

41%

27%

20%

11%

Problems handled by company employee and dealerTechnical Assistance Regular MonitoringTraining to Farmers Others

Attribute No of Respondent %

Technical Assistance 58 42%

Regular Monitoring 38 27%

Training to Farmers 28 20%

Others 16 11%

• Compensation fixed by the Company-

Attributes BSS

According to the problem 29%

According to the Crop damage 27%

Other reason 44%

The graph shows that, compensation fixed by the Vegetable seeds companies is as, 29% by according to problem, 27% by according to crop damage and 44% are having other reason.

29%

26%

44%

Compensation fixed by the CompanyAccording to the problem According to the Crop damageOther reason

• Time taken to resolve the problems by Bejo Sheetal Seeds-

Time Respo-nse %

1 week 25 18%

2 week 63 45%

Problems not solved 52 37%

The graph shows that 45% of the farmers said that their problem was resolved within two weeks, 18% of the farmers said that their problems were solved within one week, and rest 37% said that their problems were not solved.

18%

45%

37%

Time taken to solve the problem1 week 2 week Problems not solved

• Are you satisfy with the compensation given company employee/ dealer

In the above graph, 23% are satisfied with the compensation given by the Bejo Sheetal Seeds while 77% of farmers are not satisfied. In case of other companies, 72% are satisfied with compensation given by the companies while 28% are not satisfied.

23%

77%

Are you satisfy with the compensation given by Bejo Sheetal Seeds

Yes No

72%

28%

Are you satisfy with the cmpensation given by other companies

Yes No

• Market Activities adopted by Bejo Sheetal Seeds-

21%

56%

23%

Bejo Sheetal Seeds

Scheme Individual Contact DemonstrationCampaiging Leaflet Distribution Faemer/Dealer Meeting

7% 18%

10%

28%

38%

Other Seeds IndustriesScheme Individual Contact DemonstrationCampaiging Leaflet Distribution Farmer/Dealer Meeting

In the above graph, marketing activities adopted by Bejo Sheetal Seeds are mainly 56% of leaflet distribution, 23% of farmers/Dealer meeting and 21% of demonstration while other companies having 38% of farmer/dealers meeting, 27% of leaflet distribution, 18% of demonstration, 10% of compaiging and 7% of scheme.

Data Analysis and Interpretation

(Related to dealer)

• Source for purchasing of vegetable seeds-

The above graph shows the different source of purchasing seed, 8 of them purchase seeds directly from company, 7% from distributer and 12% from preferred dealer. Interpretation- Company should create and maintain good relations with the preferred dealer.

Company Distributor Both a & b Preferred Dealer0

2

4

6

8

10

12

14

8

7

3

12

Source of Purchasing Vegetable Seeds

Attribute Response

Company 8

Distributor 7

Both a and b 3

Preferred Dealer 12

• The pattern of purchasing of vegetable seeds-

Advance Booking Cash Consignment0

10

20

30

40

50

60

70

60

23.33

16.66

Pattern of Purchasing Seeds from Vegetable Company

% of Respondent

Attribute Response %

Advance Booking 18 60

Cash 7 23.33

Consignment 5 16.66

In above graph most of the dealers are purchasing the vegetable seeds through cash and very few dealers are using on consignment basis transactions.

Interpretation: Since most of the dealer/retailers are purchasing seeds through cash, so if we can, we should prepare some different structure for scheme which would attract the dealer /retailer as well as farmers to go for our brand.

Expiry Germination %

Packaging Fruit Setting Yield0

0.1

0.2

0.3

0.4

0.5

0.6

0.2666

0.5666

0

0.10.066

Risk factor in vegetable seeds at the time of selling vegetable seeds

% of Respondent's

Attribute Response %

Expiry 8 26.66%

Germination % 17 56.66%

Packaging 0 0%

Fruit Setting 3 10%

Yield 2 6.60%

• Risk factor in vegetable seeds at the time of selling the vegetable seeds-

Observation: The above graph is showing most of dealer viewed yield is the main risk factor at the time selling the seeds.Suggestion: By looking at the above graph of all respondent. We would like to suggest the company to improve quality of seed and yield level should be Maximum and tested by state government, so that the sales of vegetable seeds will be increase more.

• Expectation from the Bejo Sheetal Seeds-

Good Quality Seeds Field Work Visits to Dealer Sales Return Services

No Expectation0

2

4

6

8

10

12

14

16

18

2018

8

0

4

0

Expectations from Vegetable Seed Companies

No.of Respondent's

In the above graph % respondent expecting good quality seeds, % respondent expecting field work , % expecting after sales service and % expecting visit to dealer.

  Excellent Good Satisfactory PoorVery Poor

Visits 1 15 9 5 0Response to complaints 5 13 12 0 0Price communication 6 14 10 0 0

Excellent Good Satisfactory Poor Very Poor0

2

4

6

8

10

12

14

16

Behaviour of Bejo Sheetal Seeds with dealers

VisitsResponse to complaintsPrice communication

The Behaviour of BSS with dealers:

SWOT ANALYSISSWOT ANALYSIS

Strengths Good Quality hybrid seeds Wider product lineFarmers and Seller’s satisfaction with yield Strong research and development Strong capacity for processing and packaging

WeaknessLess number of field staff as compared to sale.It has to improve the quality seed.Don’t have Live plot and communication gap between farmers and staff.Poor in promotional activities like demonstration, campaigning and farmers or dealers meeting Inadequate availability of seeds

Opportunities Area under vegetables is increasingRising demand of vegetable seedsStrong backup of R & D facilityCompany can provide good quality seed, high yielding varieties, disease and pest resistance varieties Small and marginal farmers.

Threat Increasing competition in seed industry.New entry of Multinational companies in seed market.Introduction of viral resistance varieties in case of chilli.Introduction of new seed varieties of chilli having shelf life .

Industry Analysis- (Based on Michael

Porter 5 Forces Model)

Industry analysis-According to Michael Porter, competition in any industry is inevitable, but there are 5 forces which work upon in an industry. He defined them as follow.

Plan of action (Based on 4p’s)

Product-BSS-355(Chilli Vara.)

Place Bellary, Sandur, Siriguppa taluka in which farmers are main grower of chilli.Marketing Channel: (a) Communicating channel(b) Distribution channel(c) Service channel

Price-•It should be affordable•Company is giving 12-13% margin to dealer•If company will reduce 1% to all that should be used live demonstration and visit to dealer and farmers.

Promotion (a) Advertising: (b) Sales promotion: By giving more offers to

the (c) Display: Display of posters.

Findings

& Recommendations

• Major Findings- 1. Bejo Sheetal Seeds is having strong market in nearby villages only, especially in chilli. 2. Farmers prefer the seeds with good germination % as well as minimum price. Sometimes they may go for local varieties because of lesser price. 3. Farmers are buying seeds one week before sowing. Farmers are satisfied with the prices given by company. 4. We are lacking effective Distributor/Dealer meetings. 5. We are poor in promotional activities like Scheme, Campaigning, and Demonstration.  

• Recommendations- * We have great opportunity to capture the vegetable seed market in Bellary Dist.  * We should concentrate and target the chilli, which is mostly grown by the farmers in all the mandals of Bellary. * The frequency of meetings with distributors and preferred dealers should be increased. * We should concentrate on the marketing activities like Demonstration, Campaigning, and Individual contact. * Effective farmers meeting will create good brand image about the Bejo Sheetal Seeds. * We are having satisfactory price as compare to others, so we can easily capture the market from local competitors.

* Prices of BSS seed should not be raised every year and it should be affordable and competitive pricing and packaging should be according to the requirement of farmer.

Conclusion- Bejo Sheetal seed ranked is ranked 2nd in chilli. So, Bejo

Sheetal seed should target Chili to capture more and more market in Bellary Dist.

Bejo Sheetal Seeds Ltd. variety having a excellent seeds quality, germination % and packaging.

Bejo Sheetal Seeds Ltd. variety having satisfactory yield as well market price but in case of pest resistance it should improve.

Bejo Sheetal Seeds Ltd. is better than its competitors in price affordability, margin and quality for the dealers and retailers.

Bejo Sheetal Seeds Ltd. is also inferior in promotional activities like demonstration, farmers meeting and campaigning.

 

Bibliography and References• Gupta, S.P. (1997) Statistical Methods, Sultan Chand and Sons, New Delhi• Marketing management-I (Philip Kotler)• Aggrawal, R.L. (1998) Seed Technology, Oxford and IBH Publication, New

Delhi• Swarp, (2000) Indian Seed Industry, Need of Second Green Revolution,

Agriculture Today• Kothari, C.R. (1990) Research Methodology (Methods and Techniques),

Wishwa Prakashan, New Delhi.• Aaker, D. A. (1996). Measuring brand equity across products and markets. California

• www.wi98Agbussinessnew.htm • www.indiastat.com • www.dscl.com • www.rafi.org • www.indiaseeds.com• www.wikipedia.com

Thank You…