Summer Training

Report On
Marketing Strategies
For
Videocon
296, Udyog Vihar Phase-II,
Gurgaon, Haryana

Submitted By:

Under Guidance Of:

ANAM KHAN

Mrs. Sonal Goel (Asst. Prof.)

05121001911
BBA (CAM)III
2011-2014

IDEAL INSTITUE OF MANAGEMENT AND TECHNOLOGY

PREFACE

Summer internship is a very vital part of curriculum of Master Of Business Administration and is the
stepping-stone to management career. In order to achieve practical, positive and concrete result, the
classroom learning has to be effectively supplemented in relation to the situation existing outside the
classroom for developing healthy managerial and administrative skills in a potential manager.

For the same, I have got an opportunity in VIDEOCON. During this I conduct survey on the topic
Marketing Strategy Proposition For Videocon.

I feel highly gratified in this report. It has been my constant endeavour to present this report in the
most systematic and analytical manner.

(ANAM KHAN)

ACKNOWLEDGMENT

I owe a great many thanks to a great many people who helped and supported me during the writing of
this Summer Training Project. I have taken efforts in this project. However, it would not have been
possible without the kind support and help of many individuals and organizations. I would like to
extend my sincere thanks to all of them.

I am highly indebted to Videocon, 296, Udyog Vihar Phase-II, Gurgaon, Haryana for their guidance
and constant supervision as well as for providing necessary information regarding the project & also
for their support in completing the project.
I would like to express my special gratitude and thanks to industry persons for giving me such
attention and time.

My thanks and appreciations also go to my colleague in developing the project and people who have
willingly helped me out with their abilities. I would like to express my gratitude and thank my
Institution i.e. Ideal Institute Of Management And Technology and faculty without whom this
project would have been a distant reality.

ANAM KHAN

EXECUTIVE SUMMARY

I have done my project titled Marketing Strategies for Videocon, at New Delhi.

In my project work my main objectives are to sort out the tools and requirements that should be
implemented by Videocon to grow its market share. Know how to aware the customer about the
product of Videocon.

For accomplishment of this objective, I used descriptive research methodology and started my
project with my first step, which was identifying respondent. I selected the sample for my research on
the basis of convenience sampling in which I collected datas through those respondent who came in
trade expo which were organized in Jaipur and by meeting some customers in the multi brand outlets
and dealers. The method of data collection was personal interview and questionnaire only.

From collected data I found a lot of valuable information through which I did my study on
assigned objective, and concluded it in respective head. At the end of the report writing I have given
some of the suggestion to the Videocon for better performance in the market.

TABLE OF CONTENTS

Sr. No.

Chapter 1
Company
1.1

Particulars

Page Number
FROM

TO

Introduction

26

Company Profile

14

1.2

Major competitors

15

15

1.3

Existing marketing strategy of Videocon

16

24

1.4

SWOT analysis

25

26

Chapter 2

Research methodology

27

31

Chapter 3

Analysis and Interpretations

32

50

Chapter 4

Findings

51

53

Chapter 5

Recommendations

54

57

Chapter 6

Conclusion & Limitations

58

60

Bibliography

61

62

Annexure

63

66

INTRODUCTION

INTRODUCTION

COMPANY PROFILE

HISTORY OF ELECTRONIC INDUSTRIES

The Electronics Industry in India took off around 1965 with an orientation towards space and defence
technologies. This was rigidly controlled and initiated by the government. This was followed by
developments in consumer electronics mainly with transistor radios, Black &White TV, Calculators
and other audio products. Color Televisions soon followed. In 1982- a significant year in the history
of television in India the government allowed thousands of Color TV sets to be imported into the
country to coincide with the broadcast of Asian Games in New Delhi. 1985 saw the advent of
Computers and Telephone Exchanges, which were succeeded by Digital Exchanges in 1988. The
period between 1984 and 1990 was the golden period for electronic goods during which the industry
witnessed continuous and rapid growth.
From 1991 onwards, there was a first economic crisis triggered by the Gulf War, which was followed
by political and economic uncertainties within the country. Pressure on the electronics industry
remained though growth and developments have continued with digitalization in all sectors and more
recently the trend towards convergence of technologies.
In recent years the electronic industry is growing at a brisk pace. It is currently worth $ 20 Billion but
according to estimates, has the potential to reach $ 22 billion by 2011. The largest segment is the
consumer electronics segment.

HISTORY OF VIDEOCON

Videocon is an Indian multinational with interests in Consumer Electronics, Home Appliances,

Colour Picture Tube Glass, and Oil & Gas. Videocon was founded in 1987 by Nandlal Madhavlal
Dhoot. At that time it used to manufacture TV and Washing Machine. In 1989-90, Videocon started
manufacturing Home Entertainment Systems, Electric Motors & AC. Videocon entered Refrigerators
and coolers segment in 1991. In 1995, Videocon started manufacturing Glass shells for CRT and in
1996 it ventured into Kitchen appliances and crude oil segment. In 1998, Videocon started
manufacturing Compressors & Compressor Motors. In the year 2000, Videocon took over Philips
Color TV Plant. In 2005, Videocon took over 3 plants of Electrolux India and acquired Thomson
CPT. Today; it has evolved into a giant conglomerate with annual revenues of over U$4.1 billion.

CURRENT SCENARIO
The consumer durables market in India is valued at US $ 4.5 billion currently. In 2008, microwave
ovens and air conditioners registered a growth of about 25%. Frost-free refrigerators have registered
significant growth as many urban families are replacing their old refrigerators. . Washing machines,
which have always seen poor growth, have seen reasonable growth in 2006. More and more Indians
are now buying electrical appliances due to change in electricity scenario. The penetration level of
color televisions (CTVs) is expected to increase 3 times by 2010.

On the brick of rapid economic growth, India has witnessed the dynamic change in country's
consumer electronics industry. In last few years the industry has been witnessing significant changes
in retail boom, growing disposable income and availability of easy finance schemes. One electronic
gadget that has brought new revolution in Indian Electronic Industry is Television Set. Today, India is
fast emerging as the key driver in the global television market both as a manufacturer and consumer.
In recent years, the market for televisions in India has changed rapidly from the conventional CRT
technology to Flat Panel Display Televisions (FPTV).

Currently, the split between CRT and FPTV is around 97% and 3% respectively. In addition to
this, one of the most striking changes sweeping across the color television market in Indian market is
the exponential growth of the flat panel television(FPTV) market, in common parlance called the
liquid crystal display(LCD) and plasma televisions. Moreover, as per recent research data available,
the global market for FPTV is expected to grow from 51 million units in 2006 to 127 million by
2010. Looking at the present scenario, over the last couple of years, the LCD prices have even
dropped by around 30 per cent annually. Some of the important factors that boasted this growth also
include the increasing awareness of the advantages of LCD televisions, the growing availability of the
product across dealer counters and the Finance schemes in the market. Besides this, as a
manufacturing hub, the television industry is improving more and more. There are many domestic
and MNC companies that have increased their production bases in the country. Easy availability of
low cost skilled labour and the emergence of SEZs, which are tax-free zones are some of the key
factors that have resulted in growth of these manufacturing units. In fact, encouraged by tax-breaks,
new manufacturing units are coming up in less-developed regions now.
10

Today, India is one of the few emerging countries to have an excellent component supply base in
terms of manufacturing facilities for glass and color picture tubes, so it helps it a good choice for all
those companies who are looking to take benefit of this emerging market.

In present scenario top players in consumer durable products companies are:

LG

SAMSUNG

PANASONIC

SONY

VIDEOCON

11

MANAGEMENT:

The hierarchy of Videocon Company is as follows.

CHAIRMAN

CEO

GENERAL MANAGER

V.P.R&D

V.P.
FINANCE

V.P.
MARKETING

V.P.
H.R.

V.P.
OPERATION

SALES MANAGER
AD MANAGER

M.R.
EXECUTIVE
(A.C.)

M.R. MANAGER

M.R.
EXECUTIVE

M.R.
EXECUTIVE

M.R.
EXECUTIVE

(T.V.)

(WASHING
MACHINE)

FRIDGE

12

MARKET SHARE:
Being the biggest company in the FMCD sector, Videocon enjoys the 12% market share. Videocon
targets to achieve the 15% market cover in next year.

Videocon
12%

others
16%

Videocon
Sony
18%

LG
28%
Samsung
26%

LG
Samsung
Sony
others

13

PRODUCT
There are different brands of the Videocon Company, which are currently in use throughout the
world. This company not only deals in the consumer durable product but also others like oil& gas,
color picture tube glass, etc. Videocon launching new product in market, customer point of view.

Product of Videocon:
Television
o Flat
o Ultra Slim
o LCD
o LED
o Conventional
Washing machine
o Front Loading
o Fully Automatic
o Semi Automatic
Refrigerator
o Frost Free
o Direct Cool
Air-condition
o Window AC
o Split AC
Micro-Oven
o Solo
o Conventional
o Grill
Players

14

The overall volume of this company is as follows.

TV

WASHING MACHINE

AIR-CONDITION

REFRIGERATOR

OTHERS

REFRIGERAT
OR
11%

OTHERS
10%

TV
43%
AIRCONDITION
20%

WASHING
MACHINE
16%

15

MAJOR COMPETITORS

LG

SAMSUNG

SONY

16

EXISTING MARKETING STRATEGY OF VIDEOCON

TARGET MARKET:
Videocon Industries is eyeing a growth of 35-40% in terms of value for the next fiscal 2010-11. It
plans to achieve the desired growth by introducing new product lines, various offers and revamping
its service centers across 20 cities. As the consumer gets conscious about spending money with the
global meltdown, at present the demand is high for mid segment product line-up.
The focus for Videocon Group is rural markets and major growth is going to come from these
markets, which are growing at over 22%. The group has recognized high Market Potential Value
(MPV) and Market Intensity Index (MII) locations with potential and future prospects to strengthen
the business operations and spread consumer reach.

MAJOR SEGMENT:Major segments are basically those people who plan to make a new home and planning to marry.
There are so many people who take electronic product within 5 year and those people who take 6-7
year. So, their basic segments are those people who take this electronic product. The basic segment
on Rural and Semi Urban area where many people like to buy the electronic product.

FACTOR AFFECTING SALES:There are many factors, which affects the sales of Videocon. To name a few:
1. Per capita income
2. Competitors
3. Festival time (like Diwali, wedding time)

17

MAJOR CUSTOMER NEEDS:-First of all the majority dont care that what they are going to have. In other words, they dont care
before purchase that whether it is Videocon or LG. They dont actually differentiate between
these two brands in order to their technology and quality.
They believe on BRAND AND QUALITY
Consumers availability in brands is basically works like:

Push availability

Pull consumers demand.

For this reason Videocon have provided their event and others social work like participated in games
and others educational activities in the market. They have maximum number of event and others
social activities in the market. They provide this interior infrastructure free of cost just to provide
Videocon to their customer, which they want to be purchase.

Their salesman and mechanics regularly visit all the shops where Videocon has its infrastructure to
check that either it is in proper condition or not, if not then they immediately change or modified it.
And day to day visit on the counter and make a customer query and easy and ass possible as solve the
problem in less time.

THREATS FROM COMPETITORS

Threats are well planned. Price is the major threat. When price goes certain beyond the exact price
whether come down or go higher its effects the consumption of electronic goods. Because when the
price go higher people go for the substitute of Videocon i.e. LG. and when price goes down they
think that there is must be something wrong in it. In short it all depends on customers perception.

TARGETS THAT WOULD LIKE TO ATTAIN

Every organization runs on the bases of profit maximization so Videocon is also looking for a high
profit margin. There are three major ways of making money

Overnight profit

Windfall profit

Ethical and un-ethical ways

18

Over Night Profits:They could be overnight profit that is for the number 1 brand for the year. This could be got my
increasing sales volume.

Windfall Profit:Can be windfall profit. They are the extras profit. When the consumption the consumption is on
boom. So, there is different kind of profits.

Ethical and Unethical Ways:Profit can also get through ethical and unethical ways. They believe on this quote
Everything is fare in love and war.
Some profits stays for some time like over night profits and some just come and go like wind fall
profits. And they can also get profit through different approaches.

19

EXPANDING TARGET MARKET

In last 2 years Videocon has come back in aggressive manner.

Consumer has choice

Attractive brand logo and slogan

Brand differentiating

Consumer Has Got Choice:

Now the consumer has got choice. Because now they know the name of another big brand,
though Videocon is the 5nd best name but it can get a better position after some time?

Attractive Brand Logo and slogan:Now the consumers know the Name of Videocon, because Videocon is the name which is the
most popular word in India. Videocon has change own logo with attractive slogan
EXPERIENCE CHANGE. So people can better differentiate brands with each other.

Brand Differentiation:Now different companies have got different brand names. So, people can distinguish between
brands. Five major brands Videocon, Samsung, LG, Sony, and Philips also have brand
names.

20

STRATEGIES OF GETTING GOALS I.E. HIGH PROFITS

To increase the price is the least thing, which Videocon can adopt. There are so many ways through
which Videocon can increase the profits. Some major ways are as follows.

Volume can be increased

Interest level of consumers

To take part in energetic festivals

How to increase the volume of consumers?

Videocon can increase the volume by expanding the industry of Videocon. Through advertisements,
offering different interesting things to attract people towards this product.

How to increase the interest level of consumers?

Videocon is increasing the interest level of consumers by offering different new technology and
reduce price and to be provide better service.
For example Videocon is increasing the number of technology in TV, this is one of the product of
Videocon. Through offering different technology Videocon and to be reduce the price of Videocon
product according to competitor and to provide the after sales service can increase the Level of
consumers and through this profit can be gained.

How to take part in energetic festivals?

Videocon is already taking part in the festival like Diwali since last 2 years. Videocon offers
different attractive things in their festival and through this Videocon gained high profit and
consumption of Videocon increased on these occasions. And year 2010-11 people were anxiously
waiting that what interesting thing Videocon is going to offer and to be makes good services.

21

EXISTING VIDEOCON STRATEGY:

Product Strategy
1. Stop all curved CPT production
2. Shift focus to LCD CTVs, ref. and wash-machine; target: by December 2010.
3. Launch slim 21, LED, and wash-machine and focus slim 29 immediately and LED and
refrigerator. Target is to have almost all CRTs production shifted to Slim.
4. Take full advantage of Digital and HDTV revolution, gain leadership in HDTV Slim TV
segment through OEM and model mix World Wide strategy.
5. Take capture the market of washing machine by .
6. Study unique product range / pro large to fill market gaps in markets such as Asia and Eastern
Europe / CIS / South America
7. Focus on reduction of costs through reduction of glass, shift to AK mask and reduction of
process rejection.

Sales Strategy
1. Improve relationship with existing clients; Use of Thomsons excellent Relations as preferred
supplier to maximize sales.
2. Improve service and quality without putting pressure on price structure.
3. Fetch a better price and avoid crisis of huge stock.
4. Leverage slim product offering.
5. Launch LCD/LED Panels assembly to be a major actor of the Flat Panel Displays market
(which is expected to account for 50% of the market by2012).
6. Launch new range and new quality of washing machine and refrigerator.
7. Benefit from OEM CTV business with the help of Videocons CTV
Division, invest for new models, introduction of new technologies.
8. Upgrade to LCD's schemes and other home appliance product.
A. Easy EMI.
B. Re. 1 offer.
9. Improve after sales service

22

10. Free service camp on the wheels.

11. To organize the event in the market.
12. To create the personal relation between the customer.

Industrial Strategy
1. Consider improvement in production lines set-up: investments, line speed Up / mergers?
Target is to increase output and decrease product costs by increasing productivity of existing
lines
2. This will reduce manpower and overheads per picture tube by 30% that will be redeployed on
new activities in the sites (new technologies)
3. Improve the furnace output in the Poland Glass factory by making some changes into furnaces
including electrical boosting. Consider increasing capacity through one more furnace.
4. It is envisaged that 100m will be invested in the next 2 years for this purpose
5. Expand into LCD panels back-end assembly (from buying LCD arrays from big suppliers like
LG, SDI, CMO, AUO, and Sharp.

Cost Strategy
1. Leverage the strong base of Videocons glass business: Thomson-Videocon partnership
will have a very strong negotiation position and can reduce impact of glass pricing
volatility.
2. Reduce production cost by upgrading and improving the production lines. ThomsonVideocon partnership will have its own base of additional 4Million units CTV.
3. Necessary to rationalize R & D efforts, necessary to make its cost below1.5% of sales.

23

Product Development

1. I-TV web enabled TV at the price of 13,900 with exchange offer for an Older
version.
2. TVs With hard disk to store programs.
3. Wall mounted Flat CTVs at the price of 12,990.
4. Aimed at fulfilling needs of customer who cant buy LCDs but prefer to do away with
CTV models which occupy space in living rooms.
5. CTVs with inbuilt set top box
6. Tie up with DTH player and provide annual subscription offer.
7. To provide Direct to home services.
8. Bluetooth enabled CTV.
9. New range of wash-machine, refrigerator and air-condition, with new colour.

24

New Product Line

Introduce CCTVs as it has the demand in several areas like restaurants, airport, Railways stations,
banks, hospitals, shopping malls, company offices.
A lifestyle statement
People do not see the television as a mere electronic device providing sight &sound. It has now
become an entertainment experience and a lifestyle statement that people are willing to pay for. Since
consumers are ready to shell out money for a lavish entertainment experience, there is today no limit
to the number facilities that a television can envision of offering. From in built recording to internet
facilities to supreme sound etc. The opportunity for this industry lies incoming up with new features
to the conventional CTV. There is therefore lot of scope for growth and innovation.

25

SWOT ANALYSIS
Strengths
1. Videocon has largest distributed capacity manufacturing base across India with 17facilities
and plant in china, Poland, Italy, Mexico.
2. Manufacturing capacity is 1, 40000 units.
3. Videocon has a network of 400 plus service and 85 mobile service vans to give better service
to their customers.
4.

Tie up with the Matsushita electric company of Japan add to the goodwill of Videocon.

5.

Customers are aware about Videocons products.

6.

Company has good brand name.

7.

Strong backward integration.

8. Videocon has largest distribution manufacturing based across in India.

9. Large brand basket.
10. Multi brand strategy.
11. 3rd largest picture tube manufacture in India.
12. Cheap price.
13. Globally acceptance.

Weaknesses
1. Less investment on advertisement of Videocon.
2. Fewer margins to the distributor/dealer.
3. Weak promotional strategy of Videocon.
4.

No proper approach of target customer.

5. Wide brand basket, which might lead to conflict of interest unless effectively managed.
6. CRT technology is losing popularity.
7. Less focus on unconventional channel.
8. Not providing good service.
9. No exclusive show rooms.

26

Opportunities
1. Videocon takes over the Electrolux.
2. Videocon buys Thomson color picture tube manufacturing plant.
3. Videocon international is going global.
4. Videocon exploring whole new segment.
5. During the climate of Jaipur becomes hotter day by day and coolers do Not fully satisfy the
customers requirement. This provides a great opportunity for AC manufacturers.
6. Growing semi urban market.
7. Industry is in increasing phase.
8. Price has come down; now more and more people are going for it.
9. Due to financial facilities even the medium segment is going for it.
10. Purchasing power of people is increasing day by day. Moving into new attractive market
segments.
11. Focused on unconventional channels.
12. Mergers joint venture of strategic alliances.

Threats
1. Entrance of global competitor like China.
2. Brand loyalty is more of LG &other company.
3. Market condition like slumps in market.
4. A new competitor in your home market.
5. Competitor has a new innovative substitute product or service.
6. Increased trade barrier.
7. Brand reputation is not good.
8. Competition in global CPT market especially from integrated players such as LG, Phillips,
Samsung and Matsushita are intense.

27

RESEARCH
METHODOLOGY

28

RESEARCH METHODOLOGY
Research methodology is away to systematically solve the research problem. It may be understood as
a science of studying how to research is done scientifically.

In it we study the various steps that are generally adopted by researchers, in studying our research
problem along with the logic behind it.
It is necessary for the researchers to know not only the research method techniques but also the
methodology.

Research process-Research process consists of series of action or step, which is necessary to

effectively carry out research and desired sequence of these steps.

Define Research Objective

Preparing Research Design
Collecting The data
Analysis the Data
Interpret
Report

29

Sample design
After deciding on the research approaches we concentrate on designing sampling plan. Which called
three decisions?

Sampling unit
Sample size
Sampling procedure

1. Sampling Unit:Who is to be surveyed? We targeted builders in different areas of Delhi. Once sampling unit is
determined it becomes easy to determine the sampling plan.

2. Sample size:How many people should be surveyed? We targeted 100 customers and 25 dealers in Delhi for
data collection and further analysis.

3. Sampling Procedure:Procedure: how the respondent should be chosen? To obtain a representative sample,
probability sample of the universe should be drawn. We choose 100 customers and 25 dealers
by the random sampling from Delhi and upcountry.

30

S a mp l i n g M a y B e

1) Probability sampling
It includes:

Simple random sampling

Stratified random sampling

Cluster sampling

2)

Non probability sampling

It includes

Convenience sampling

Judgment sampling

Quota sampling

SURVEY
The survey was conducted in the field of with the help of personal interview and scheduling. The
questionnaires contained a series of question which was aid while conducting the personal interviews.

Personal interviewing tends to be greatest opportunity for gathering abdicant information.

The survey is conducted in the key towns of Delhi as the respondents were scattered all over.

31

Data collection
Once the sampling design has been finalized, we concentrated on the data collection. These data were
helpful for further analysis.

1. Primary data
2. Secondary data

Primary data:Primary data are those data which are collected a fresh and for the first time & thus happened to be
original character.
We collect primary data during the course of doing descriptive type research and in survey, and then
we obtain primary data by the questionnaire or by the observation with respondents.

Secondary data:That are already available i.e. they refer to data which has already been collected & analyzed by the
someone else like list of potential distributors, retailers ,dealers are provide by company.

32

ANALYSIS &
INTERPRETATIONS

33

ANALYSIS AND INTERPRETATIONS

Customer Based Questionnaire

1. Which brand of electronic product would you like to buy?
Sony =20%, Samsung = 26%, LG=28%, Videocon =18% and Others=8%.

Series 1
OTHERS
8%

SONY
20%

LG
28%

VIDEOCON
18%
SAMSUNG
26%

No. of customer 100

According to survey finding 28% customer purchase LG brand product, 26% customer
purchase Samsung brand product, 20% customer purchase Sony brand product, 18% customer
purchase Videocon product and 8% customer purchase others brand.

34

2. Generally, when you like to buy the electronic product?

Jan-March
OTHERS
9%

LG
28%

SONY
21%

VIDEOCON
19%

SAMSUNG
23%

LG
SAMSUNG
VIDEOCON
SONY
OTHERS

No. of customer 100

According to survey finding mostly customer like to buy the product in period of
July September or April June period and January March or October -December period
customer did like little no. of consumer durable product to buy.

35

3. Which of the following brands has been bought by you since last one year?
Sony=20%
Samsung=26%
LG=28%
Videocon=18%
Others=8%.

Series 1

SONY
20%

OTHERS
8%

LG
28%

SAMSUNG
26%

VIDEOCON
18%

No. of customer 100

According to survey finding the customer bought the product last one year LG brand product
and Samsung respectively 28% and 26%. And Sony bought 20% where as Videocon bought
18% in last one year and others brand customer bought the 8% product.

36

4.

Where would you like to buy the product?

Exhibition =20%, Authorized Dealer=14%, Showroom=56%, Co-shopper=10%.

=Showroom.

showroom

SONY
29%

LG
31%
LG
SAMSUNG
VIDEOCON

VIDEOCON
17%

SONY
SAMSUNG
23%

No. of customer 100

According to survey finding the customer would like to buy the product in Authorized Dealer and
showroom, where as the less customer like to buy the product in Co-Shopper.

37

5. Please rate the following sources of information according to the level of importance of each
source
Friends ___
Retailer ___
Advertisements ___
Magazines or newspapers ___
Any Other____

=Friends.

Friends

OTHERS, 32
SONY, 28

LG, 24
SAMSUNG, 28
VIDEOCON, 18

LG
SAMSUNG
VIDEOCON
SONY
OTHERS

No. of customer 100

According to survey finding the customer getting information by advertising and retailers
through. Others median to getting information by magazine and friends circle.

38

6. How much satisfied are you with Videocon product?

Highly Satisfied____,
Moderately Satisfied____,
Neither satisfied nor dissatisfied___,
Moderately Dissatisfied___,
Highly dissatisfied___.

=Highly Satisfied.

Highly Satisfied

SONY, 28

LG, 30
LG

VIDEOCON, 10

SAMSUNG, 32

SAMSUNG
VIDEOCON
SONY

No. of customer 100

According to survey finding the maximum consumers are satisfied with Samsung and LG.

39

7. If the price of your most preferred brand increases what would you do?
Shift to another brand or still buy the same brand.

YES

SONY, 19%

LG, 28%
LG

VIDEOCON, 30%

SAMSUNG, 23%

SAMSUNG
VIDEOCON
SONY

No. of customer 100

According to survey finding when price are increase the consumer are shift to other brand.

40

8. If you choose to shift then which Brand would you prefer?

Sony___,
Samsung___,
LG___,
Videocon___

Series 1

Videocon, 14%

SONY, 25.00%

LG, 32%
SAMSUNG, 29%

No. of customer - 100

According to survey finding consumer are shift to LG and Samsung brand.

41

9.

Please rate the following brands on the scale of 1-5 for the attributes mentioned below i.e.
write 5 if you feel the attribute is good enough to fully satisfy you and mark 1 if you feel the
attribute could not satisfy you.

ATTRIBUTES/BENEFITS, BRANDS
LG

Samsung

Videocon

Sony

Price
Stylish Product
Brand name
Easy to use
Discount
Others

PRICE

SONY, 15%
VIDEOCON, 32%

LG, 28%
LG
SAMSUNG, 25%

SAMSUNG
VIDEOCON
SONY

No. of customer 100

According to survey finding the consumer mostly satisfied with price of product of any brand and
another is brand name.

42

Dealer Based Questionnaire

A. Are you satisfied with Videocon advertisement?

DEALER RESPONSE

NONE, 16%
NOT
SATISFIED, 28%

SATISFIED, 56%

No. of dealer 25

According to survey I am find the dealer are satisfied with Videocon advertising.
56% dealers are satisfied with Videocon advertising.

43

B. How long you want our advertisement to run?

Series 1

1 year - 1.5 year,

16%

1.5 year - 2year,

4%

6 month-1 year,
32%

0-6 month, 48%

No. of dealer 25

According to survey I find the dealer response to watch the advertisement on less than one year, after
that change advertisement.

44

C. Which type of advertisement would you prefer?

Series 1

Out-door Adds,
20%
TV Adds, 46%

Newspaper
Adds, 22%
Radio Adds, 12%

No. of dealer - 25
According to survey I find the dealer say to see the advertisement on television and others is
newspaper advertisement.
According to this graph 46% dealer want to watch the advertising on television, 22% dealer
want to see the advertisement in newspaper, 20% dealer says to advertisement see on outdoor
(like on road adv., boarding - hooding, auto advt. etc.) and 12% dealer said the gives the ads
on radio to promote in ruler area, because there are many opportunity to grow the market.

45

D. Are you satisfied with Videocon product price range?

Answer. Yes=79% , No=21%.

No, 21%

Yes, 79%

No. of dealer 25
According to survey I find the mostly dealer are satisfied with Videocon product price range.

46

E. If no, how much you prefer to like the product price range of Videocon?

TV

9000-60000, 16%
8000-25000, 84%
5000-25000
7000-60000

No. of dealer 25
According to survey the 84% dealers want to decrease the price range of Videocon product.
The range comes near Rs. 8000 to Rs. 25000.

47

F. Which process for selling our services or products would you prefer?
a. Direct personal sale
b. Direct online sale
c. Indirect through channels
d. Others

Others , 11%
personal sale,
42%

indirect through
channel, 35%
online sale, 12%

No. of dealer 25

According to survey I find the dealer want to selling process use the personal selling method.
On these basis the Videocon are providing the ISD on the retail store. And some dealers are wanted to
use the selling process to use the indirect.

48

G. Are you satisfied with the after sales service of Videocon?

Yes, 14%
No, 86%

No. of dealer 25
According to survey I find the maximum dealers are not satisfied with Videocon after sales
service.

49

H. If not, then which of the brand would you like after sale service?

Sony, 28%

LG, 38%

Samsung, 34%

No. of dealer 25

According to survey I find the Sony, Samsung and LG Company are good providing the good after
sales service.

50

I. Are you satisfied with the Videocon policy and his term & condition?

None, 18%
Yes, 48%
No, 34%

No. of dealer 25
According to survey, I find the 48% dealer are satisfied with Videocon policy, and 34% are not
satisfied.

J. Where are you like to advertisement of Videocon?

others, 6%

Residential
area, 14%

social area, 22%

comerrcial area,
54%
industrial area,
4%

No. of dealer 25
According to survey I find the give the advt. in commercial area and others are social place area

51

FINDINGS

52

FINDINGS
DEALER SURVEY FINDINGS:-

1. By calculating the display share we found that in most of store LG has28% display share
almost all categories.
2. By the actual monthly sale of particular store we came to know the capacity of the store and
how much product can they sale.
3. It helps us to know that weather dealer is capable of being a direct dealer of Videocon or not
and it also helps to find out the new dealer who are capable of being the dealer of Videocon.
4. We also came to know while visiting the shops that there was big problem of after sale
service.
5. Many dealers were facing the problem of after sale service because there is no follow up calls
from Videocon.
6. Demo calls also not done properly.
7. The top competitor of Videocon product is LG.
8. The performance of Videocon is in better position but the competitor also hold closer margin.
9. There is high growth of sale in market due to booming in new technology and better service.

CUSTOMER SURVEY FINDINGS:1. Secondary supports play an important role in the customers mind and create awareness among
the customers. The secondary support includes Demonstration, Exhibition & Even Sponsors.
2. From the survey it was found out that the majority of customers dont buy consumer durables
from exhibitions. They just visit the exhibitions to seethe co. latest model.
3. They want to buy from the showrooms or from co. showrooms. For them service is important.
Beside convenience and other factors service is key factor.
4. Also majority of customers do not want any financing scheme for purchasing the durables.

53

5. There was heavy rush on weekends so large numbers of ISDs were appointed that day. Also
the live demo calls helps in selling. Exchange offers also generate sale.
6. Customers are also now very choosy in buying the product and it is important for the
company to make loyal customer of their brand.
7. In survey we found that Videocon has captured less market share in every Category.
8. Videocon, LG and Samsung have bottle neck competition in TV and REF.
9. The product is well aware and it is on top of mind of customer.
10. Customers are also now very choosy in buying the product and it is important for the
company to make loyal customer of their brand.

54

RECOMMENDATIONS

55

RECOMMENDATIONS

The variables affecting the industry with regard to each of the five forces have been categorized as
favorable or adverse. Favorable variables have the potential to improve profitability, while adverse
variables reduce profitability of the industry. Some strategic initiatives, which could be adopted to
leverage the favorable forces and protect themselves from the adverse ones, are as follows:

R&D and Marketing will have to work closely together. R&D will have to play a role in cost
innovation, which can cut component cost and raise performance. The number of defectives has
to be reduced at negligible levels. The quest should be to do even better. Each assembly line can
be made to compete with the other.
Vital to the spread out is the re-haul of distribution network. Home appliances have necessitated
separate dealers, many of them specialists. For sharper focus on all categories individually, the
market has to be opened wider.
Brand building will be important, so as to ensure brand preference. Marketers will have to
strategies to pull the consumer up the value escalator. A good fraction of sales if come from high
margin products as flat TVs and projection TVs would improve profitability of companies.
Sharply differentiated products with effective Communication on a continuous basis would be the
key for future. Challenge lies in creating higher order universal benefits and sensitizing the larger
audiences to it.
Buyers are easily swayed by costs, which are also verified by the presence of large number of
product offerings. Focus would be on providing value for money to the consumer, with more
brands in the economy segment. The challenge before marketers is to span out, and address a
wider set of needs. They will have to identify segments not addressed by them so far and also
introduce low price-point products aimed at rural markets.
56

 Besides catering to the cost conscious segment, marketers need to segment the market on the
basis of psychographics, which will help in inducing brand loyalty through lifestyle and
experiential marketing.

The increase in disposable incomes, more number of households above the threshold income,
declining prices, shortened replacement cycle and the demand for multiple TV, all these factors
are expected to sustain the growth momentum at 10-12 per cent during 2008-09 to 2010-11.

Company should use differentiation tools:

In product differentiation it should focus on

Form

Features

Performance

Durability

Reliability

Repairability

Design

In service differentiation it should focus on

Ordering ease

Delivery

Installation

Customer consulting

Maintenance & repair

Miscellaneous

In personnel differentiation it should focus on

Competence

Competence

Courtesy

Credibility
57

Reliability

Responsiveness

Communication

In channel differentiation it should focus on

Coverage

Expertise

Performance

In image differentiation it should focus on

Symbols

Colors

Slogans

Special attributes

6) Company should also focus on events and sponsorships.

58

CONCLUSIONS &
LIMITATIONS

59

CONCLUSIONS
Videocon in the year 2012, the company will be great success, as the strategy work which result in
making Videocon Company the Indias leading company. In 2012, company accomplishes the crust
of its strategy as:
1. The focus for Videocon Group is rural markets and major growth is going to come from
these markets, which are growing at over 18%
2. To focus on the semi urban market an there will be grow the market to 16% and getting
good response on that market.
3. Ethernet connection that gives the largest selections of free and premium movies, TV
shows, and sports out there.
4. To be focus on the middle class family, which monthly family incomes comes on Rs.
10,000 and above.
5. To focus on the premium market customer.
6. To become cheaper product, Videocon should increase the level of technology and
minimizing the pricing gap in respect of market, to avail the Premium quality product.
7. To increase the branding of Videocon, the proper merchandising has applied by Videocon
retail store.
8. To advertising the Videocon with good and strong message.
9. To focus on modern monetary and branding in shop and out shop.
10. To introduce the product in simple and proper communication
11. Videocon will focus on expanding their segments on the womens customer.
12. To be prepared the other brand component with similar quality and in more economical
rates.
13. Videocon introduction of a new tagline created to target experience change.
14. Videocon identification upon the manufacturing structure.
15. Videocon strive on innovative product to easy to use the consumer.
16. No interest for 24 months if the customer applies for the new Videocon financial
service card at point of purchase.
17. Sponsorship includes 2010 & 2014 World Cups.
18. Videocon products are considered to high quality, slim product, unique and
conventional.
19. To become the No.1 Service Provider in India.
60

LIMITATIONS

Every study has certain limitations. In my study, also there were certain limitations, which I could not
able to solve.

1. The research was conducted in entire Delhi area.

2. My research work period witness the biggest ups and downs in product sale of different
brands, which affected the perception of the customer. This was biggest drawback of my
study.
3. Time factor was also important for me. I had only 60 days to complete my research, for
which a full-fledged report was insufficient for me.
4. The customer filled the questionnaire mostly in careless manner, so it was difficult to
make them hold for time.
5. I had only found the upper-middle class family to fill up the questionnaire, but generally,
an average middle class family was required for the study.

My study is not recognizable in whole INDIA as well as Delhi and its upcountry is due to the above
limitations and less area coverage.

61

BIBLIOGRAPHY

62

BIBLOGRAPHY

Books:Marketing management:

Philips Kotler

Research methodology:

C.R. Kothari

Mkt. mgt. planning & implementation: V.S. Ramaswamy& S. Namakumari

Website:www.videoconworld.com
www.business-standard.com
www.google.com
www.wikipedia.com
www.timesofindia.com
www.financialexpress.com
www.economictimes.com

News paper:Economics times

Financial express
Times of India
Business standard

63

ANNEXURE

64

ANNEXURE

QUESTIONNAIRES
Customer based questions
1. Which brand of electronic product would you like to buy?
a) Sony
b) Samsung
c) LG
d) Videocon

2. Generally, when would you like to buy the electronic product?

a) Jan-March
b) April to June
c) July to Sept.
d) October- December

3. Which of the following brands has been bought by you since last one year?
a) Sony
b) Samsung
c) LG
d) Videocon

4. From where you would like to buy the product?

a) Exhibition
b) Authorized Dealer
c) Showroom
d) Co-shopper

65

5. Please rate the following sources of information according to the level of importance of each
source ( 1-5, 1 is stand for less and 5 is High)
a) Friends
b) Retailer
c) Advertisements
d) Magazines or newspapers
e) Any Other

6. Are you satisfied with the performance of Videocon product?

a) Highly Satisfied
b) Moderately Satisfied
c) Neither satisfied nor dissatisfied
d) Moderately Dissatisfied
e) Highly dissatisfied

7. If the price of your most preferred brand increases what would you do?
Shift to another brand or still buy the same brand.
a) Yes
b) No

8. If you choose to shift then which Brand would you prefer?

a) Sony
b) Samsung
c) LG
d) Videocon
e) Others

66

9. Please rate the following brands on the scale of 1-5 for the attributes mentioned below i.e.
write 5 if you feel the attribute is good enough to fully satisfy you and mark 1 if you feel the
attribute could not satisfy you.

ATTRIBUTES/BENEFITS, BRANDS
LG

Samsung

Videocon

Sony

Price
Stylish Product
Brand name
Easy to use
Discount
Others

Dealer based questions

A. Are you satisfied with Videocon advertisement?
B. How long you want our advertisement to run?
C. Which type of advertisement would you prefer?
D. Are you satisfied with Videocon product price range?
E. If no, how much you prefer to like the product price range of Videocon?
F. Which process for selling our services or products would you prefer?
a. Direct personal sale
b. Direct online sale
c. Indirect through channels
d. Others
G. Are you satisfied with the after sales service of Videocon?
H. If not, then which of brand would you likes after sale service?
I. Are you satisfied the Videocon policy and his term & condition?
J. Where are you like to advertisement of Videocon?

67