Documente Academic
Documente Profesional
Documente Cultură
AUGUST 2011
ii
DEDICATED
TO
MY
BELOVED PARENTS
iii
DECLARATION
me for the Degree of Doctor of Philosophy is the record of work carried out by
me during the period from August 2006 to August 2011 under the guidance of
University, Chennai and has not formed the basis for the award of any degree,
BONAFIDE CERTIFICATE
Certified further, that to the best of my Knowledge the work reported herein
does not form part of any other Thesis or Dissertation on the basis of which a
candidate.
v
ABSTRACT
In recent times, India has witnessed a wave of change. With media exposure
and increasing literacy levels, people in India are now demanding a better
lifestyle. The Indian market is a place where life has revolved around deep
rooted community values, joint families and social customs. Indian consumers
think of a purchase in terms of how it serves their needs and how well it suits
the family, rather than the individual. It is felt by marketers that the traditional
routes of market entry and brand building are often not feasible. While the
intrinsic value with regard to functionality is created by the marketer through
the offering, consumer psyche plays a vital role with regard to short and long
term effects of brand associations. Huge amount of money is being spent by
marketers to develop and understand the behaviour of consumers with a
conviction that this understanding will create differentiation. Cultural
dimensions play an important role with regard to how the consumer’s mind
adapts to the development of a product. Direct media promotions have helped
to build knowledge of product categories and change long-entrenched living
habits.
consumption which plays in the lives of the individuals and also to understand
the important sources to create awareness of the products. It helps in evolving
better promotion strategies which will help to enhance the level of awareness of
the consumers and creating a need for their products.
Consumers have different views and levels regarding the decision making
process. Their decision to purchase or not to purchase a product is an important
moment for the marketers. Consumer research is used to better understand
consumption behaviour. Depending upon the consumers and available
resources an appropriate method is used which is most effective in measuring
consumer behaviour.
Bangalore City is a cosmopolitan city where there are different kinds of people
with different cultures. The Indian government policies and programs has
made the consumer market scenario to undergo a rapid change. Each consumer
has different kinds of needs, tastes, preferences, attitudes, behaviour, character,
conduct, nature, likes & dislikes, lifestyle, literacy level, consumption
expenditure and communication. The present study is undertaken particularly
to understand the consumers, their attitudes, characteristics, tastes, preferences
and also to understand the importance of retailers. It will brief the behaviour of
the consumers with respect to toilet soaps in the present market scenario with
specific reference to Bangalore City.
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The basic idea of the research is to survey the behaviour of the consumers while
consuming the toilet soaps in the market and how they utilize the marketing
skills and applications in making sound consumption decisions.
This research study helps to put into practice the theoretical aspects of the
study. The present study would definitely help to learn about the sources of
information’s for the customers during different stages of buying toilet soaps
and hence enhances their level of awareness and brand preference for toilet
soaps. It is essential for the marketers to understand the important sources to
create awareness of their products. The present study helps them to evolve
better promotion strategies which will help to enhance the level of awareness of
the consumers and creating a need for their products.
ACKNOWLEDGEMENTS
a maximum extent.
Dean (Purchase and MBA), Dr M.G.R University, Chennai, for their valuable
TABLE OF CONTENTS
CHAPTER PAGE
TITLE
NO. NO.
1 INTRODUCTION
24 - 47
2 LITERATURE SURVEY
EXPERIMENTAL WORK
4
49 - 54
Research Methodology
10
Research Components
Need for the Present Study
Data Base ( Primary and Secondary )
Hypothesis
Selection of Sample
Limitations of the Research
5
DATA ANALYSIS AND INTERPRETATION 55 - 126
6
RESULTS AND DISCUSSION 127 - 134
8
REFERENCES 141 - 151
TABLE/
PAGE
FIGURE TITLE
NO.
NO.
INTRODUCTION
The Indian Toilet Soaps Market is worth Rs.4, 265 crore, a consumption
of close to 48,000 tones of soap. It’s hardly surprising that the
competition in the market is fierce. There are 68 companies throwing
205 brands at the consumer. The soap market can be broadly segmented
on the basis of price into four major categories.
Of these segments the popular segment has the largest share of the soap
market with 39%. The next biggest segment is the Sub-Popular
Segment, which includes the Carbolic Soap segment with 28% of the
market share.
growing with more and more soap brands being launched in the discount
segment targeting the lower socio-economic strata of consumers.
Following are the soaps which are generally available in the Bangalore
City:
(Dove, Lux, Lifebuoy, Cinthol, Hamam, Palmolive, Pears, Mysore
Sandal, Camay, Dettol, Nirma, Medimix, Liril, Rexona, Ponds, and
Modi etc.)
Consumers in the North prefer pink coloured soaps which have floral
profiles. Hence the fragrance preference is far more sophisticated
profiles reflecting their lifestyles. Freshness soaps with lime and citrus
notes are also popular preferences which are seen to be refreshing which
16
Consumers in the South are specific towards soap segments like the
Herbal and Ayurvedic profiles and also the Sandal profiles. Consumers
do not exhibit high brand loyalty and are ready to experiment and try out
new brands.
In India, soaps are available in 5 million retail stores, out of which 3.75
million retail stores are in the rural areas. Therefore, availability of these
products is not an issue. 70% of India’s population resides in the rural
areas hence around 50% of the soaps are sold in the rural markets. With
increase in disposable incomes, growth in rural demand is expected to
increase because consumers are moving up towards premium products.
However, in the recent past there has not been much change in the
volume of premium soaps in proportion to economy soaps, because there
is increase in prices which has made some consumers to look for cheaper
substitutes. The major players in personal wash soap market are HLL,
Nirma and P&G.
large share. Lux has a strong equity in this segment, which has been
built over the years with strong advertising support from its legendary
“Beauty soap for the filmstars” advertising campaign. Palmolive
Naturals was introduced with three variants, Olive Oil, Sandalwood and
Almond but the Olive Oil variant has recently been dropped from its
product offering. “Natural” now comes in 75gm and 100 gm versions.
The popular end of the market has high price elasticity and price is
perhaps the biggest influence in an otherwise low involvement purchase
decision. Understanding the purchase habits of end consumers and the
factors, which influence their purchase, habits provinces the field of
study.
a. Product Quality
b. Price
c. Delivery Commitments
d. Advertising Media
e. Resolving Consumer Complaints
f. Product Packaging
g. Overall Communication, Accessibility and Attitude
Survey forms should be easy to fill out with minimum amount of time
and efforts on consumer’s part. They should be designed to actively
encourage the customer to complete the questions. Yet they must provide
accurate data to monitor improvements in the supplier’s performance.
The data should also be sufficiently reliable for management decision-
making. For repeated surveys, we can provide the rating that was
previously accorded by the consumer. This works like a reference point
for the customer. Space should always be provided for the customer’s
own opinions. This enables them to state any additional requirements or
report any shortcomings that are not covered by the objective questions.
• Projective Techniques
• Personal Visits
• Warranty Records
• Informal Discussions
• Satisfaction Surveys
The basic purpose is to find out what we are doing right or wrong, where
is the scope for improvement, where do we stand and how can we serve
the consumers better. A consumer behaviour survey should identify
atleast the following objectives:
22
a) Importance of Consumers
b) Consumers Perception
c) Consumer Priorities
d) Priorities for Improvement
e) Culture of the Consumers
Consumer Research
The major steps in the consumer research process include the following:
1. Defining the Objectives of the Research
2. Collecting and Evaluating Secondary Data
3. Designing a Primary Research Study
4. Collecting Primary Data
5. Analysing the Data
6. Preparing a report on the findings.
Rank Order Scales are those wherein the items are ranked
in order of preference in terms of some criterion such as
overall quality or value for the money. These provide
important competitive information and enable marketers to
identify needed areas of improvement in product design or
product positioning.
This research study helps to put into practice the theoretical aspects of the
study. It helps in the formulation based upon which fellow researcher can
plan their studies. It helps in understanding the attitudes and behaviour of
the consumers and retailers and is very useful for the manufacturers in
producing the toilet soaps according to the consumer tastes and
preferences. Consumers preferences are changing and becoming highly
diversified. Although having some similarity, consumers are not all
alike. To better understand and meet the needs for specific group of
consumers on lightened marketers should adopt a policy of market
segmentation, which calls for the division of their potential market into
smaller homogeneous segments. The collection and analysis of
information about consumption habits provinces the field of consumer
behaviour. Successful marketer is the one who effectively develops and
produce brands that are of value to consumers and who effectively
present these products and brands to consumers in an appealing and
persuasive way. The essential reason for studying consumer behaviour is
to enable managers to make better marketing decision while reducing the
incidence of product failures. Marketing efforts are directed towards
satisfying customer needs. Satisfaction of needs provides the rational for
existence. Knowledge of the consumer behaviour helps a firm to seek
better and more effective sales and advertising strategies and to plan its
marketing program in a more effective manner. In nutshell, marketing
starts with consumers and ends with the consumers. Consumer
satisfaction thus becomes the most important goal of a business
enterprise. The key to ensure customer satisfaction lies in understanding
the consumer likes and dislikes his motivation and in nutshell the
consumer behaviour. Also what affects his purchase choice or decision
that is the decision maker and how his perceptions work on product
33
The rationale behind the study has been operationally defined as below:
The Consumer process is concerned with how consumers make decisions.
In this study the purchase process has been defined according to a “stage
mode” of buying process the consumer passes through five stages:
problem recognition, information search, evaluation of alternatives,
purchase decision and post purchase behaviour. Clearly, the buying
process starts long before the actual purchase and has consequence long
after the purchase. In the preparation of questionnaire it was attempted
that information is collected regarding different stages. Questions
regarding these five stages were put to the interviewees.
34
Consumers have different views and levels regarding the decision making
process. It has three sets of variables: input variables, process variables
and output variables. Input variables include commercial marketing
efforts and non-commercial influences from the consumer’s socio-
cultural environment. The decision process variables are influenced by
the consumer’s psychological field, including the evoked set that is the
brands in a particular product category considered in making a product
36
LITERATURE SURVEY
Orbany (1989) suggested that traditionally, one reason buyers search for
information prior to purchase is to reduce their uncertainty about the decision to
lower levels. Two general types of uncertainty was found-knowledge
uncertainty, i.e., uncertainty regarding information about alternatives and
38
Hoyer and Brown (1990) revealed the subtle difference between awareness and
recognition. Awareness represents a state of knowledge possessed by the
consumer, whereas recognition is a cognitive process which results from
awareness. In this study the effects of brand awareness on choice, brand
sampling and the frequency with which the highest quality brand is selected
after a series of trials are examined. It was found that brand awareness is a
prevalent choice among inexperienced consumers who are faced with a new
decision task. Consumers who were aware of a particular brand in a choice set
sampled fewer brands across a series of product trials. Consumers who were
aware of one brand in a choice set tended to choose the known brand even if it
was lower in quality than other brand sampled by them.
Childers and Rao (1992) pointed out that from consumer behaviour
prospective; it appears that their reference groups can influence products and
39
Beatty and Talpade (1994) replicated and extended several elements of Foxman
(1989) study of adolescent influence while providing an integrative model of
teenager influence and a new scale of perceived relative influence. It was
found that teenagers’ financial resources were weakly associated with influence
at the initiation stage for teenager purchases. Parents dual income status
allowed the teenagers greater influence for some durable family purchases but
not for self-purchases where their influence is already substantial. This may
occur through parental delegation, which may also affect the purchases for
many other products, such as groceries.
Leclerc (1994) observed that for most products name can make substantial
contribution to brand equity. Foreign branding seems to be targeted primarily
towards influencing the brand image dimension of brand equity. Thus, foreign
branding can be an effective means of influencing consumers perceptions and
attitudes. It also showed that country-of-origin information added to foreign
branding does not result in different perceptions.
Anonymous (1995) in a “Business Today” cover story stated that the new urban
Indian consumer is not simply a member of socio economic class A1. The
generation I includes all kinds of individuals – Men, Women, Boys and Girls.
Each of them exhibits a buying behaviour that is exclusive to him or her. This
41
Schiffman and Kanuk (1995) in a study found that more than half of the older
children influenced family purchase decisions such as choice of vacations,
stereo equipment and home computers. They also play a relatively important
role when it comes to initiating interest in a new purchase and in the actual
purchase decision. College students are an important family subgroup. In this
market, consumers have a wide range of necessities as well as purchases of
goods & services. College students are still in the process of establishing many
of their brand preferences & shopping habits. The consumer loyalties
established at this age have the potential to last very long. Many of the
youngsters help with their family grocery shopping. Parents give them
discretion in selecting brands, especially for products that they will themselves
consume. They are important not only for what they buy for themselves and
for their influence on family consumption decisions, but also because these
years are a formative period in terms of later adult consumption patterns.
The study points out that Pester Power adds value to the development of this
consumer segment so that it could translate into greater sales.
Bansal (1998) found that every teenager is bound by two pressure groups:
parents and peers. It is in resolving the vastly conflicting expectations of these
two groups, coupled with his or her own aspirations that almost every teenager
goes through the anxiety mill. The overriding desire to succeed is important to
them to look good for them any well filling pair of jeans won’t do. You have to
be branded, packaged, and labeled. Brands and designer goods can raise or
lower their status among their peers. Youngsters make more money these days.
Feeding on this syndrome and insidiously fuelling is the barrage of
advertisements, which exhort teenagers to be special and different from the
crowd. ‘Be Yourself’, ‘Wear Your Attitude’ scream the hoardings. Parents
also display middle class nostalgia-tinged guilt and do not want to deprive their
offspring of the things that they themselves longed for when they were
younger.
43
Anonymous (1999) has reported that in the youth marketing forum held on 10th
March, 1999 the marketers gathered to find ways to make their brands relevant
to the youth. Roughly one third of the urban population is 15-25 years old. 15-
25 years old account for one out of every four home PC’s, one out of every
three internet connections; one out of every four pagers; and one out of every
three mobile phones. An open and an innovative mindset makes them
important for new categories. The fast-forwarding 90’s Indian is going global.
This has led to a need to change attitudes, values and life styles. “Enjoy” is the
all-encompassing attitude to life. Generation gap has been reduced. Parents
have now become friends, confidants and companions and as such are respected
and obeyed. All youth icons today like Sachin Tendulkar and Shahrukh Khan
are eminently successful, embody conformist values and are mostly film stars
and cricketers. Youth today is brand conscious, stringently assesses price-value
equation, and is keen to be seeing as buying the best, which may not necessarily
be foreign.
44
All the above studies show that youth have now become an important market
segment due to their increasing number, large influence of their family and
peers purchase behaviour and increasing purchasing power. All the previous
studies have concentrated on children upto the age of 12 years. There have
been no studies on the youth in the age groups of 15-24 years, which is an
important time as most of the preference and habits formed in this time last for
a lifetime.
Prof. Ramesh Kumar, IIM Bangalore (2001) has reported that brand today is
hard to stand at the leading position. Toilet soap brands are facing many
challenges so as the consequent, wherein it has to compete with one another. A
strong brand may find several challenges to keep remaining on its top position.
In order to make the toilet soap brands great, the businesses should follow
consistency in delivering the promise, superior products and services should be
manufactured, distinctive positioning and customer experiences should be
made, alignment of internal and external commitment to the brand and an
45
Ken Butcher (2008) has reported that from an analysis three service quality
dimensions that is interaction quality, appeal and performance comparision are
significantly and positively correlated to both customer satisfaction and loyalty
in order to find out the effect of cultural values on customer satisfaction and
loyalty.
Nelson (2007) has reported about the impact of relationship marketing strategy
on customer loyalty. This can be created, reinforced and retained by marketing
plans aimed at building trust, demonstrating commitment to service,
communicating with customers in a timely, reliable and proactive fashion and
handling their conflicts efficiently.
Michel Laroche (2007) has reported the advertisement effect and competition
into the framework and examines the effects on consumer’s attitudes and
purchase intentions in multiple-ad and multiple-brand environments. It is
indicated that information about a competing ad and brand is processed
comparatively and that evaluations of the competing ad and brand negatively
influence evaluations of a local ad and brand. Contributions of this study are
that ad effect is an important determinant in the formation of ad attitude and it
46
can be incorporated into the dual mediation model to explain the effects of
advertising on consumer behaviour.
Lars Meyer (2008) has reported that consumers typically patronize multiple
outlets, which leaves outlets striving to earn a greater portion of consumer
expenditures. It improves the theoretical and empirical knowledge about the
impact of retailing loyalty programmes on customer purchasing behaviour. All
behavioral indicators show that members and non-members of loyalty
programmes demonstrate significantly different purchase behaviors irrespective
of other factors.
Hsieh & Chung (2008) has reported that the relationship between customer
perceptions of public relations and customer loyalty to test for the moderating
role of brand image in that relationship. Consumer’s perception is an
antecedent of loyalty. The impact of public relations perception on customer
loyalty is stronger and more significant when the brand image is favourable. It
extends previous research by examining the moderating role of brand image to
identify the key moderators of the driving force of public relations in relation to
customer relationship marketing.
Mosad Zineldin (2006) has reported about examining and developing a better
understanding of triangle relationship between qualities, customer relationship
management and customer loyalty that might lead to companies’
competitiveness. It improves the overall satisfaction and loyalty and the
ultimate outcomes.
Vivek Joshi (2004) has reported that brand identity includes brand names,
logos, positioning, brand association and brand personality. A good brand
gives a good first impression and evokes positive associations with the brand.
47
Manoj Trivedi (2000) has reported that to understand consumers each brand has
to start by asking basic questions like who, why, when and where thereby the
different kind of consumers with different tastes, needs, attitudes, likes,
dislikes, character, conduct, nature, behaviour and conduct could be identified
and analyzed for the successful marketing of the toilet soaps.
Maxwell Winchester (2008) has reported that positive and negative brand belief
levels differ before and after the consumers detect from a brand or take up a
new brand. It is measured and compared across those who defected from a
brand and those who took up a new brand. It contributes to the understanding
of the brand belief behaviour relationship using two very different longitudinal
studies. It also investigates and compares the effects of negative beliefs with
that of positive beliefs.
Claude (2008) has reported that brand portfolio strategy and brand portfolio
management can create a higher and stronger level of competitive advantage
that is harder to grasp and imitate. The juxtaposition of brands is one of the
elements for the development of a brand portfolio, which is a combination of a
brand ensemble and organizational savoir-faire. It shows the strategic
marketing relationship and broadens the field of brand analysis and shows how
a brand portfolio can create a stronger and higher level of competitive
advantage.
Bhimroa Ghodeswar (2008) has reported the framework for building brand
identity in sequential order, namely positioning the brand, communicating the
brand message, delivering the brand performance and leveraging the brand
equity. Brand building effort has to be aligned with organizational processes
48
Eduardo Torres (2008) has reported that customer satisfaction and loyalty
focuses on brand rather than product. It shows the relationship between
satisfaction and loyalty, which is significantly present when evaluating products
alone and also when combining with the brand, which indicates that there is an
intermediate position between product and brand. The relationship of
satisfaction and loyalty starts with the product includes the product – brand, and
culminates with the brand.
Julian Cheng (2007) has reported that there exist differences of consumer
perceptions on product quality, price, brand leadership and brand personality
among national brands, international private labels and local private labels. It
aims to use product categories as the moderator of the preceding perceptions.
Yolando Polo (2008) has reported that how a brand extension will affect the
overall brand image. The results show that the brand extension strategy dilutes
the brand image in both markets. It is found that brand image before extension
has positive effects on brand image after extension. It is suggested that a firm
that has a good brand image before the extension will be less as risk when it
launches a new product onto the market with the same brand name. Its best
market will be those when consumers who already know the brand’s products
and who at the same time perceive a better image of it. The closer the extended
product is to its core market, the more positive will be its acceptance by
consumers which will translate into a better image evaluation. It analyzes how
extending a brand may affect the parent brand image in global brand.
49
Leslie (2008) has reported that global brands have budgets that exceed GNP of
small nations and they have altered every aspect of the lives of people all over
the world. It provides strategic insights and practical thinking that have
influenced some of the world’s leading organizations.
Hari Sundar (2002) has reported that the integration of entire key retailing
variables such as store format, merchandising, pricing, promotion, after sales
service, sales force etc. would help in converting the prospective customer into
a brand loyal one. An important pre-requisite for effective positioning to the
target customer segment is intimate knowledge of the behaviourial and need
dynamics.
Sharad Joshi (2003) has reported that Advertising must be evaluated in terms of
its perceived value to consumers especially children and youth as they are
inexperienced consumers. Advertisement creates attitude and the direct
influence can be seen on children and youth in the way they start perceiving the
world around them at large. It’s reflected on the way of behaviour and
tendency to react on a particular situation. The indirect effect can be seen on
purchasing decision of parents when they start taking into account the
preferences of children.
Prof. Magesan (1994) has reported that consumer protection measures have
ensured better protection of the rights and interests of the consumers and also
ensured effective redressal to consumer disputes. The possibility of unsafe and
spurious or low quality products entering in the market is increasing
particularly in this era of globalization with WTO regime. An appropriate
strategy and methods have to be developed for ensuring the quality and safety
and assuring fairness in pricing the consumer goods entering the market.
50
Huihuang Zhu (2007) has reported that market situation is determined by the
needs of the consumers. Advertisements play a vital role in making the
consumers aware about the product with respect to its features, price, safety and
applications. Companies create their advertisements to position their products
in the various market segments and target different classes of people. The
Consumer Protection Act and the MRTP Act provides with different provisions
to regulate the advertisements and media, to protect the consumers and help
them to receive the right product. Consumerism is concerned with protecting
the consumers from all organizations with which there is exchanged
relationship. It encompasses the set of activities of government, business,
independent organizations and concerned consumers that are designed to
protect the rights of consumers. Consumer’s satisfaction will benefit not only
business but government and society as well. Ethics and social responsibilities
should also be given undue importance.
Chung Kai (2008) has reported that public relations, consumer perception and
customer loyalty are interlinked and interconnected. The dimensions of
development, level of complexities as to the relations with different people,
simplification of trading routines, increasing wants and needs and conducive
supportive services made the government, marketers, promotion agencies to
think differently to mould the consumerism culture for the benefit of the entire
globe. Business Organizations having good public relations and rapport with
the customers and producing goods according to the needs and requirements of
the customers can build up customer loyalty and properly match with the
customer perceptions and customer expectations thereby the goals and
objectives of the organization can be accomplished effectively and efficiently.
Parameswaran (2008) has reported consumer affairs provisions are often based
on the general standard and circumstances of those living in big cities and
51
towns. Consumers need support in maintaining their rights so that they can
bargain equally with the producers or the service providers.
Cafod (1997) has reported that ethical consumers would seek to purchase or use
goods that can demonstrate social and environmental responsibility.
Consumers are becoming more discerning as a result of changing tastes and
expectations.
Kotler and Keller (2007) has reported that in today’s fast paced high-tech age
businesses use advertising to make prospects aware of their products and
services and to earn profits through increasing their sales and sales turnover.
Kotler and Armstrong (2004) have reported that consumers are bombarded with
more than 1500 commercial messages a day. Consumer awareness grows;
marketers and advertisers are fast learning that in these days when the
consumer is king, nothing but the best would do. Analyzing consumer
behaviour is a costly implementation of sophisticated information technology,
which requires detailed planning and business knowledge for successful
adoption.
Roger (2002) has reported that marketers need to continuously adjust their
behaviours and marketing programs to fit into the targeted markets. In order to
match the marketing mix with consumer preferences, purchasing behaviour and
product use patterns in a potential market, marketers must have a thorough
understanding of the cultural environment of that market.
Krishnaswami (2005) has reported that the performance of the toilet soaps
company is based on customer-oriented one. It also depends on the consumer’s
consumption and satisfaction. The customer can be satisfied only when the
right products with the right quality and quantity reach them in the right time
with right price from the company. The availability and advertisement
feedback should be given importance which is very helpful for the marketers
for understanding changing consumer’s behaviour and their expectations while
consuming toilet soaps.
Nitu Saxena (2009) has reported that numerous products are available in the
market and the customers are confused before buying anyone of the product he
needs it. Before taking a decision to buy a specified product generally a
customer is passing through various stages depending upon the complexity of
the purchase and the buyer’s behaviour. Today marketers must know the real
53
needs, wants; beliefs and attitudes of the buyers to earn profits under globalize
economy.
Philip (1972) has reported that the consumer is the forgotten man of the modern
Indian Economy. He is the least organized and the most centrifugal element in
the circle of investment, production, sale and consumption and is generally
taken for granted as one who has any how to buy in order to live. They are
unorganized. Consumer includes the buyer, user, hirer or beneficiary of any
goods or services. Consumer orientation is an essential ingredient of marketing.
The marketing concept emphasizes that the marketing policies should be based
on the needs of the consumers and aim in achieving the organized goals
through consumer satisfaction. An alert consumer is an asset to the nation and
by being aware of his rights and responsibilities; he can change the trend from
caveat emptor to caveat venditor. On the whole consumer is the king around
which the Indian economy rotates.
Meenu Agarwal (2006) has reported that consumers use different products right
from birth to death. Entire business is revolving around the customer. He is
considered as the king of any product, but in reality customers are exploited by
the sellers while offering goods and services. Awareness and promotional
measures about consumerism in the minds of consumers will arrest the
exploitation from the sellers.
Kapoor (2005) has reported that Global marketing strategy attempts both to
analyse consumer behaviour and to adopt market as per their behaviour.
Behaviorial analysis is obviously an extremely challenging task. Consumer
behaviour plays a major role as it does in establishing the products reputation
for high and consistent quality which is a key component of building a perfect
market.
54
Joseph Sirgy (2008) has reported that there are different kinds of people with
different cultures, values and beliefs. Consumers make purchase decision by
considering the countries-of-origin of the brands that they assess which
influences the consumer’s rate, quality and also the brand they select ultimately
because they are aware that a particular firm or brand name is associated with a
particular country. Moreover they tend to have an attitude or preference when
it comes to a particular product being made in a particular country. Therefore
the International marketers have to satisfy the needs of the consumers in
potentially very distinct markets effectively by understanding the similarities
and differences that exist between the people of the countries they decide to
target.
Jamal Uddin (2009) has reported that consumers are the real masters of the
marketing and selling industries by adopting a proper ways and means of
protecting the interest of consumers, the nation could be able to achieve a better
position in globe of consumerism. Moreover the consumers are to be educated
through various laws and measure taken for the protection of them which will
yield a good citizen to the nation.
Dahiya (1999) has reported that Industrial and consumer markets in India have
witnessing many changes driven by globalization and privatization. Production
oriented market has been shifting towards consumer oriented market. An
understanding of brand awareness and consumption pattern could help
economic planners, marketers, producers and Government to find new
opportunities in the market as well as to design their strategies in relation to
national economic planning, advertisement, to generate sources of income,
production and promotion of products.
55
Hawkins (2003) has reported that consumers are growing more spectacle and
more cynical. So they need fair products. Marketers have good opportunity for
building holistic relationship with consumers and only creative marketers
survive in the crisis. Marketers should analyze global trends and respond to
them in real time if they want to stay in reckoning and time for a bolder
strategy. Marketers should examine the issues relating to predictability,
sustainability, flexibility, risk ability and profitability.
Ramaswamy (2005) has reported that from the marketing point of view, the
market structure in India is dichotomous having rural and urban markets. There
are certain unique characteristic features in rural consumer behaviour which
call for separate marketing strategies to be distinctively developed to suit the
rural and urban market behaviour.
Matin Khan (2001) has reported highly competitive and fragmented media
markets, attracting media buyer’s resources has become more important for
most media companies than ever. Media is affecting every consumer on his
behaviour, lifestyle and also protecting him in the market, even though it has to
develop more towards customer orientation.
Ramsay Iain (2000) has reported that demographic, psychological and social
factors have an impact on the behaviour of the consumers. Consumer’s
attitudes keeps changing but they have needs and wants to purchase goods and
services for their survival. Consumers keep making changes according to their
mode of purchase, quantity of purchase, compromising needs and their
affordability level.
Suja Nair (2004) has reported that in a developing economy like India, it is felt
that plight of the consumers are not different from that of their counterparts in
the rest of the world. Indian consumers are well educated and unable to
56
George (2002) has reported that with globalization and greater thrust towards
privatization, along with increased awareness on account of increased
availability of information, today’s consumer has changed radically. The
consumer today wants greater value for the money spent. The need for
empowerment of consumers as a class cannot be over emphasized as the level
of awareness of the consumer has a significant role in determining the way
business is conducted in a country.
Roshan Lal (2009) has reported that consumers’ buying behaviour is not
consistent with their positive attitude towards ethical products. The consumer
feels responsible towards society and expresses these feelings by means of his
purchasing behaviour. There exists proper relationship with ethics and markets.
The responsibility of the corporates exists in moulding the ethical behaviour of
the consumers.
Michael (2009) has reported that beliefs and values are guides for consumer
behaviour and the customs are the usual accepted ways of behaving. There are
different kinds of people with different cultures along with differences in
language, consumption patterns, market segmentation opportunities and market
research conditions. There also exist differences in the perceived benefits of
products and services, criteria for evaluating the products and services and also
differences in the economic and social conditions and family structure.
57
Keller (1993) has reported that brand preference exists in the toilet soap
industry. Majority of the consumers do not buy whatever is available if a
product is having good value for its price, it will command brand loyalty.
Advertising helps in projecting product quality and value before the consumers.
Majority of the respondents have been selecting brand based on the quality
only. The companies concentrate on the development of the products in order
to modify their strategy which builds a strong relationship with their consumers
in future. Better positioning helps the companies to recall their brand, because
it occupies a special place in the consumer’s mind. The Indian consumer
market is estimated to grow at 13% annual from 322 billion dollars in 2006-07
rising up to 590 billion dollars in 2011-12. Fueled by Indian growing education
and aspiring rational middle class demanding a better retail environment and
more global brands and style leading to a big change in market share from 4%
in 2006-2007 to grow at a 45% to 50% expected to be 16% share by 2011-
2012.
Lokhande (2006) has reported that consumer buys any goods for the purpose of
personal consumption irrespective of the fact whether the consideration is paid
or promised fully or partly. The most common strategy followed is to build
volumes or market share and back it up with larger production bases to achieve
economies of scale and thus cut costs. Customers are seen to prefer soaps with
better features and ready to pay a higher price for that. In the premium end of
the market the product quality is of utmost importance. Companies are also
involved in an intense brand building exercise. They are introducing new
models to face competition which has led to a wider choice for customers.
Agarwal & Teas (2000) has reported that consumers are faced with quality and
product performance uncertainty while choosing among competing products,
hence they rely on cues as extrinsic attributes. Brand, price, package and
warranty are the signals of perceived quality. Colours are important elements
58
C.B Gupta (2006) has reported that consumer provide the economic rational for
business activity. The data mining technique can ensure the consumer purchase
pattern in the market. Marketers have to meet the preferences of consumers,
because the beliefs are passed down the generations. The market leader will try
to encourage habitual buying behaviors of running frequent reminder
advertising, avoiding out of stock conditions. Challenger firms will encourage
variety seeking by offering lower prices, deals, free samples and advertising
that presents reasons for trying something new. Consumer purchase decisions
will be to buy the most preferred brand. Many purchases involve risk taking.
The marketer must understand the factors that provoke feelings of risk in
consumer and must provide information and support that will reduce the
perceived risk. Buyer motivation, a key component of consumption is the
stimulus inducement or purpose in a certain desire.
Jegan (2009) has reported that retailing is gradually inching its way towards
becoming the next boom industry. The consumer decision making process is a
complex phenomenon. The purchase of goods includes a number of factors
that could affect each decision. Decision making is more complex and even
more important for consumers today than in the past. The consumer’s decision
making styles are price consciousness, quality consciousness, recreational,
confused by over choice, novelty consciousness and variety seeking. Profiling
consumers by their decision-making styles provide more meaningful ways to
identify and understand various consumer segments and to target each segment
with more focused marketing strategies.
59
Larry and Joan (2009) has reported that consumers interpretations of the soaps
found in reference to price advertisements pointed out that consumer perception
of the credibility and fairness of stated prices is an important factor in overall
satisfaction. Although many marketers assume that the traditional phrases
“regular price” versions “sale price” have the same meaning for all consumers,
this is unlikely given the evidence that perceptions of marketing stimuli vary
widely among consumers.
G.K Kapoor (2008) has reported that with the advent of liberalization in 1991,
the Indian economy has opened up and the consumption patterns of an average
Indian consumer have drastically changed. Moreover the world also entered
into our homes in 1991 through cable and satellite televisions. The incomes
were increasing during this period, and with the availability of credit the
tendency to consume by consumers increased. The last decade had been a boon
for the Indian consumer with the availability of choices across all major product
categories.
Noor Jahan (2009) has reported that malls in India are a relatively new format
for retailing. Malls are coming up across several cities in India. We have
around 220 malls in our country and there is going to be 600 malls by 2010.
Malls are called gigantic amusement parks for the middle class in metros. The
secret of the success of the mall lies in its mass appeal like it has something on
offer for everyone in the family. There is a wide range of shopping
experiences, bargains and discounts or high-end brands for couples, gaming and
other amusement facilities for kids a large choice of cuisines for family needs
and also the multiplex theatres. Bangalore is a great place for window
shopping. It is famous for the shopping malls which have some of the finest
and biggest malls in India like the Forum, Garuda and Bangalore Central etc.
Large numbers of customers visit daily to purchase different kinds of products
especially consumer goods wherein they will have wide variety of products and
60
the opportunity to evaluate and select the best product according to their needs,
tastes, preferences, likes, and dislikes etc. which help them in taking sound
consumption decisions.
Susan Fournier (1998) has reported that consumers often judge the quality of a
product on the basis of a variety of informational cues; some are intrinsic to the
product like colour, size, aroma etc. while others are extrinsic like price, store
image, brand image, service environment etc. In the absence of direct
experience or other information, consumers often rely on price as an indicator
of quality. The images of retail stores influence the perceived quality of
products they carry, as well as the decisions of consumers as to where to shop.
Consumer behaviour of toilet soaps is influenced by demographics, lifestyle,
personality, motivation, knowledge, attitudes, beliefs and feelings. It is
concerned with consumer needs and consumer actions in the direction of
satisfying needs which leads to the behaviour of every individual depending on
thinking process. It is also influenced by culture, sub-culture, locality, royalty,
ethnicity, family, social class, reference groups, lifestyle and marketing mix
factors.
The consumer will be the decisive factor in all the activities which will revolve
around him. Starting from production, marketing, delivery, pricing all the
facets of business will have consumer as the focus. It is imperative from this
that the consumer behaviour will be crucial factor to determine all the activities.
It is important to understand as to what influences a customer to buy the
product and whether he is satisfied with the same product or not. Thus
understanding of consumer behaviour is of paramount importance in the present
scenario in order to stay ahead in the competition and to gain competitive
advantages in the modern competitive and contemporary business world.
61
f. To find out which factors play a major role for toilet soaps in
consumer market.
EXPERIMENTAL WORK
The subject matter has been briefly discussed in the introduction to the
Synopsis. Also it will brief the behaviour of consumers with respect to
toilet soaps in the present market scenario with specific reference to
Bangalore City.
Research Methodology
Research Components
• Research Design
• Sampling Technique
• Instrument for data collection
• Questionnaire Design
• Research Tools
Data Base
Primary Data
The primary data will be collected through the questionnaire and personal
interviews with the ultimate consumers.
Secondary data
The Secondary data is collected from newspapers, magazines, trade
journals, brochures, catalogues and other published records of consumer
goods
Hypothesis
H1. Changes effecting the Consumer Needs, Tastes and Preferences that
play a significant role in Consumption Decisions.
Selection of Sample
Market research will be done and conclusions will be drawn about large
group of consumers by studying a sample of the total consumer
population. A sample is segmented of the population selected to present
the population’s whole / ideally the sample will be representative so that
the research can make accurate estimates of thought and behaviour of the
larger population.
Hence this study was dealt with stratified random tool, which is one of
the popular methods of sampling.
more homogeneous than the total population, we are able to get more
precise estimates for each stratum and by estimating more accurately
each of the component parts; we get a better estimate of the whole, which
results in more reliable and detailed information.
b) Since the universe of the survey was quite large, it was not feasible
for the Interviewer to cover all the customers of the city
Frequency Tables
Table 1.1
Frequency for Gender
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: Equal number of male and female respondents were chosen for the
Study.
GENDER
50 50
Male
Female
69
Table 1.2
Frequency for Occupation
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: There was more or less equal representation from the various
occupations in the study, with highest representation from the
Students (22%).
OCCUPATION
14.5 14
Valid Business
16.8 15.3
Housewife
Student
Service
17.5 22 Professional
Others
70
Table 1.3
Frequency for Income
Valid Cumulative
Particulars Frequency Percent Percent Percent
INCOME
12.8
17
50.5 Rs.25000-50000
Rs.50001-100000
Rs.1000001-200000
19.8
Rs.2000001 & above
71
Table 1.4
Frequency for following measures laid down by the government by
Consumer goods manufacturers
Valid Cumulative
Particulars Frequency Percent Percent Percent
Table 1.5
Brands that come to their mind about Toilet soaps
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: The top of mind recall is for Ganga and Lux (21%).
Camay and Nirma show lower recall (13 to 14%).
BRANDS
15.5 20.8
Ganga
15.5
Lux
Nirma
21.5
Camay
13
Lifebuoy
14.3
Others
73
Table 1.6
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: The perfume seems to be the most important factor that they like
about the brand (47%). The least important seems to be
shape (14%).
74
Table 1.7
Frequency for the Preferred Brand
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: The preferred brand is Lux (21%). The least preferred is Camay
(12%).
PREFERRED BRANDS
15.5 18.8
Ganga
18.3 Lux
20.8 Nirma
Camay
12.3 Lifebuoy
14.5
Others
75
Table 1.8
Factors influencing purchase of toilet soap
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: T.V ads are the biggest influence on purchase of toilet soaps
(36.5%). Friends have the least influence on the purchase (4.5%).
16
36.5 TV Aids
Suggestions by Retailers
19
Radio Ads
Table 1.9
Frequency of what the toilet soap gives the respondent
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: Value for money and satisfaction are the two important factors
according to the respondents.
19 15.8
Recognition
Value for money
33.8
31.3 Satisfaction
Any others
77
Table 1.10
Frequency of basis for selection of brand
Valid
Particulars Frequency Percent Percent Cumulative Percent
BASIS OF SELECTION
19.5 26.3
Popularity
Image
12.3
Brand name
42 Availability
78
Table 1.12
Frequency of part of Bangalore city respondent belong to
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: Sample has been chosen more or less equally from all parts
of the city.
AREA OF RESIDENCE
25 25.3
Bangalore East
Bangalore North
Bangalore West
24.5 25.3
Bangalore South
79
Tale 1.13
Frequency of type of Consumer Goods purchased
Valid Cumulative
Particulars Frequency Percent Percent Percent
CUSTOMER PREFERENCE
0 0
19
Local
Branded
81
80
Table 1.14
Frequency of price sensitivity of respondent
Valid Cumulative
Particulars Frequency Percent Percent Percent
PRICE SENSITIVITY
14.8
26.5
No
To some extent
Yes
58.8
81
Table 1.15
Frequency of second opinion for consumption decision
Valid Cumulative
Particulars Frequency Percent Percent Percent
SECOND OPINION
0
7.5
21.5
No
To some extent
Yes
71
82
Table 1.16
Frequency of purchase of same versus different brand
Valid Cumulative
Particulars Frequency Percent Percent Percent
35.8
No, I go in for different brands
64.3
Yes, I purchases the same
brands again
83
Table 1.17
Frequency of reasons for looking for a different brand
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: 46.3% look for a new brand because of the qualities and 26% look
for a new brand because it is new in the market.
26.3
46.3 Valid qualities of new brand
Table 1.18
Frequency of shopping behaviour
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: 41% shop alone, 24.5% with friends, and 19.5% with family.
SHOPPING BEHAVIOUR
19.5
41
Alone
15
With friends
With members of opposite sex
24.5 With family
85
Table 1.19
Frequency of reasons for shopping behaviour
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: People, who shop with friends or family, do so because they don’t
like going alone (23.3%) or they want a second opinion (20.5%).
Table 1.20
Frequency of Influences on Purchase Decision
Valid Cumulative
Particulars Frequency Percent Percent Percent
7.8
32 15
Family
6.8 Friends
Price
2.5 Quality
Colour
36
Any other
87
Table 1.21
Frequency of Impact of Discounts/Free Gifts on Purchase
Decision
Valid Cumulative
Particulars Frequency Percent Percent Percent
IMPACTS OF DISCOUNTS
26.8
No
Yes
73.3
88
Table 1.22
Frequency of Trend Setters in Toilet Soaps
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: Filmstars (23.8%) are the most important Trend Setters. This is
followed by Business Celebrities (18.3%) and Fashion
Models (18.3%).
TREND SETTERS
12
23.8 Film stars
17
BusinessBusiness celebrities
Fashion models
10.8 18.3
Politicians
18.3 Sports models
Any other
89
Table 1.28
Frequency of Source of Knowledge about latest brands and trends
Valid Cumulative
Particulars Frequency Percent Percent Percent
SOURCE OF KNOWLEDGE
17.8
29.5
Television
7.3
Advertisements
10.3 Films
Window shopping
32.5 Friends
2.8
Any other
90
Table 1.29
Frequency of whether they look up to anybody for cues
and style
22.8
No
Yes
77.3
91
Table 1.39
Frequency of Behavior of Respondents
Valid Cumulative
Particulars Frequency Percent Percent Percent
Valid Stay the way you are 131 32.8 32.8 32.8
Inference: Most of the people seem to make minimal changes (52.5%) and
least people don’t care (32.8%).
BEHAVIOUR OF RESPONDENTS
14.8
32.8
Table 1.40
Frequency of Reason for Choosing a Celebrity
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: Most of the people choose celebrity because of their humour nature
followed by their helping nature.
CHOOSING CELEBRITY
12 14.8
12.5 Dresses well
Humerous
26.3
Helpful
16.8
Flexible
Macho
17.8
Any other
93
Table 1.41
Frequency of Political Inclination
Valid Cumulative
Particulars Frequency Percent Percent Percent
POLITICAL INCLINATION
0
10.8 20.3
Conservative
Moderate
Liberal
69
94
Table 1.42
Frequency of reasons for changing the Toilet Soap Brands
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: Most of the people change their soap brand due to poor quality
(44%) followed by poor response (33%)
9.8 13.3
High price
33
Poor quality
44 Poor response
Any other
95
Table 1.43
Frequency of whether the Respondents buy their own
Toilet Soap
Inference: People seem to buy their own toilet soap in majority (85.5%).
14.5
No
Yes
85.5
96
Table 1.44
Frequency of Outlet from where the Toilet Soap is purchased
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: General provision stores seem to be the major outlet from where
people purchase their toilet soap (31%) followed by buying from a
chemist (26%).
PLACE OF PURCHASE
5.5
26.3
31.3 Chemist
Grocer
Self service store
20.5
general provision store
16.5
Others
97
Table 1.45
Frequency of Duration of using the Current Brand of Toilet Soap
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: Most of the people use the current brand between six to twelve
months (57%) and least use the brand more than four years (3%).
DURATION OF USAGE
2.8
4 13
7.8
Less than 6 months
15.8 6-12 months
2 years
3 years
56.8
4 years
Above 4 years
98
Table 1.46
Frequency of Elements of the Advertisement that are recalled
Valid Cumulative
Particulars Frequency Percent Percent Percent
19 23.8
Theme
Celebrity
28.3
Music
29
Slice of life
99
Table 1.47
Importance of ‘Range of Colours to choose from’
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: Most of the people are undecided about the importance of range of
colours to choose the product (56%) and least considers that it is
not at all important.
1.5
9 6.3
Table 1.48
Importance of ‘price’
Valid Cumulative
Particulars Frequency Percent Percent Percent
IMPORTANCE OF PRICE
1.8
22 3
19.8
Not at all important
Somewhat unimportant
Undecided
Somewhat important
56.3
Very important
101
Table 1.49
Importance of ‘Attractive Packaging’
Valid Cumulative
Particulars Frequency Percent Percent Percent
ATTRACTIVE PACKAGE
16.5 3.8
31.8
Somewhat unimportant
Undecided
Somewhat important
48
Very important
102
Table 1.50
Importance of ‘Free offers on Purchase of the Toilet Soap’
Valid Cumulative
Particulars Frequency Percent Percent Percent
1.3
15.8
37.3
Somewhat unimportant
Undecided
Somewhat important
45.8
Very important
103
Table 1.51
Importance of ‘Overall Attractiveness of the Toilet Soap’
Valid Cumulative
Particulars Frequency Percent Percent Percent
Table 1.52
Influence of Shop Owner on Purchase
24.3
No
Yes
75.8
105
Table 1.53
Ways in which Shop Owner Assists Purchase
Valid Cumulative
Particulars Frequency Percent Percent Percent
Valid Shows all toilet soaps 196 49.1 49.1 49.1
Suggests toilet soaps 40 10.0 10.0 59.1
brands
Suggests useful 39 9.8 9.8 68.8
attributes
Gives price 81 20.3 20.3 89.0
information
Others 44 11.0 11.0 100.0
Total 400 100.0 100.0
Table 1.54
Whether they know other products with the same brand
name
Table 1.55
Whether they buy other products of same brand name
Inference: Most of the people (85%) don’t buy other products under
the same brand name
108
Table 1.56
What the respondent will do in the future
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: Most of the respondents (68%) seem to continue the same toilet
soap followed by a proportion of people who are interested to try a
new brand (20%).
13
I will continue to buy the same
19.5 toilet soap
Try a new toilet soap that
67.5 comes in the market
Go back to my old toilet soap
109
Table 1.57
Is the current brand effective than previous brand
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: Most people seem to agree somewhat (51%) that the current brand
is better than the previous brand and least (3%) strongly disagrees
the fact
13.3 3 9.8
Strongly disagree
23.5
Somewhat disagree
Neither agree nor disagree
50.5 Somewhat agree
Strongly agree
110
Table 1.58
Do you trust current brand than the previous brand?
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: 43% of the respondents agree somewhat that they trust the current
product and 2.5% strongly disagrees that they trust the current brand.
15.5 8.8
Strongly disagree
30.3 Somewhat disagree
Neither agree nor disagree
43 Somewhat agree
Strongly agree
111
Table 1.59
Is the current brand name well known
Valid Cumulative
Particulars Frequency Percent Percent Percent
Inference: Nearly half of the sample (44%) agrees somewhat that their brand is
well known and least of them (2%) disagrees that their brand is well
known.
15 2 6.3
Strongly disagree
33 Somewhat disagree
Neither agree nor disagree
43.8
Somewhat agree
Strongly agree
112
Kruskal-Wallis Test
TABLE 2.1
Ranks
Mean
Age Interval N Rank
KmProduct 18-25 years 69 184.77
26-35 years 85 199.52
36-45 years 80 197.41
46-55 years 76 211.60
56-65 years 67 209.66
66 - 70 years 23 198.67
Total 400
KmStyle 18-25 years 69 202.38
26-35 years 85 196.77
36-45 years 80 181.44
46-55 years 76 208.52
56-65 years 67 211.68
66 - 70 years 23 215.87
Total 400
KmDesign 18-25 years 69 187.17
26-35 years 85 194.96
36-45 years 80 182.12
46-55 years 76 226.72
56-65 years 67 211.77
66 - 70 years 23 205.41
Total 400
KmColour 18-25 years 69 190.85
26-35 years 85 193.39
36-45 years 80 197.84
46-55 years 76 210.17
56-65 years 67 214.12
66 - 70 years 23 193.35
Total 400
113
Test Statisticsa,b
Km Km Km Km Km Km Km
Product Style Design Colour Price Brandname Quality
Test Statisticsa,b
KmAvailability KmInternationalfashion
AGE-PRODUCT
AGE-STYLE
AGE-DESIGN
AGE-COLOUR
AGE-PRICE
AGE-BRAND NAME
AGE-QUALITY
AGE-AVAILABILITY
AGE-INTERNATIONAL FASHION
Kruskal-Wallis Test
Ranks
Mean
Income N Rank
KmProduct Rs 25000 to Rs 50000 202 185.25
Rs 50001 to Rs 79 188.04
100000
Rs 100001 to Rs 68 230.14
200000
Rs 200001and above 51 240.71
Total 400
KmStyle Rs 25000 to Rs 50000 202 183.25
Rs 50001 to Rs 79 190.32
100000
Rs 100001 to Rs 68 225.78
200000
Rs 200001and above 51 250.88
Total 400
KmDesign Rs 25000 to Rs 50000 202 191.96
Rs 50001 to Rs 79 216.27
100000
Rs 100001 to Rs 68 197.60
200000
Rs 200001and above 51 213.75
Total 400
KmColour Rs 25000 to Rs 50000 202 189.98
Rs 50001 to Rs 79 227.47
100000
Rs 100001 to Rs 68 204.55
200000
Rs 200001and above 51 194.98
Total 400
121
Test Statisticsa,b
Km Km Km Km Km Km Km
Product Style Design Colour Price Brandname Quality
Test Statisticsa,b
KmAvailability KmInternationalfashion
Kruskal-Wallis Test.
Ranks
Mean
Occupation N Rank
KmProduct Business 56 207.89
Housewife 61 194.16
Student 88 202.44
Service 70 200.23
Professional 67 239.99
Others 58 151.79
Total 400
KmStyle Business 56 208.92
Housewife 61 194.53
Student 88 206.83
Service 70 196.23
Professional 67 237.90
Others 58 151.00
Total 400
KmDesign Business 56 204.45
Housewife 61 195.97
Student 88 196.32
Service 70 216.54
Professional 67 205.04
Others 58 183.19
Total 400
KmColour Business 56 187.21
Housewife 61 192.89
Student 88 205.02
Service 70 230.29
Professional 67 211.18
Others 58 166.19
Total 400
129
Km Km Km Km Km Km Km
Product Style Design Colour Price Brandname Quality
Test Statisticsa,b
KmAvailability KmInternationalfashion
Descriptive Statistics
Std.
N Range Minimum Maximum Mean Deviation
PmToiletsoaps 400 350 100 450 239.25 55.944
PmToothpaste 400 250 100 350 218.00 50.571
PmShampoo 400 250 50 300 196.63 33.878
PmDetergents 400 300 50 350 178.87 50.660
Age 400 52 18 70 41.96 14.798
KmQuality 400 7 3 10 8.82 1.556
KmBrandname 400 6 4 10 8.30 1.648
KmPrice 400 9 1 10 7.88 1.553
KmInternational 400 6 4 10 7.36 1.274
Fashion
KmProduct 400 8 2 10 7.27 1.942
KmAvailability 400 7 3 10 7.11 1.332
KmColour 400 8 2 10 7.04 1.591
KmDesign 400 8 2 10 7.02 1.603
KmStyle 400 9 1 10 6.86 1.467
Rate Offer 400 3 2 5 4.19 .738
Rate Price 400 4 1 5 3.98 .715
Rate Attractive 400 4 1 5 3.91 .890
Rate Package 400 3 2 5 3.77 .763
Current Quality 400 4 1 5 3.76 .972
Current Well Known 400 4 1 5 3.64 .882
Current Effective 400 4 1 5 3.61 .938
Current Brand 400 4 1 5 3.60 .936
Rate Colours 400 4 1 5 3.36 .792
Previous Brand 400 4 1 5 2.48 1.071
Previous Effective 400 4 1 5 2.43 1.074
PreviousWell Known 400 4 1 5 2.42 1.059
Previous Quality 400 4 1 5 2.40 1.174
Important 400 2 1 3 2.04 .614
Valid N (list wise) 400
137
MEAN OF EXPENDITURE
• Every 1000 rupees spent by the individual have the following mean
denomination
• Free offers which are given while buying toilet soaps have been
considered to be the most important factor of attraction with a mean rank
of 4.2
4 3.76
3.64 3.61 3.6
3.5
3
2.4 2.42 2.43 2.48
2.5 Current
Previous
2
1.5
0.5
0
Quality Effective
140
Soap Usage
1. Of the sample of 100 collected the usage of various soaps was in this
order:
• Lux Beauty – 17%
• Dettol – 18%
• Lux International – 12%
• Cinthol – 11%
Among the rest, Nirma Premium was used by 9%, POEC by 6% and the rest
accounted for by Liril, Aramusk, Lifebuoy Gold, Imperial Leather, and Moti
etc.
2. Most respondents needed some time to recollect the soap they were
using presently indicating the low involvement in the purchase of soap.
3. 63% of the respondents after indicating their past usage of soap, named a
cluster of about 3 soaps from which they normally chose the soap they
used. This indicates a remarkably low loyalty of the soap user to soap.
141
72% of the respondents said that their purchase decision was pre – determined
rather than being a point- of- purchase type decision. A majority of these
respondents said that they would choose their soap from the pre-determined
cluster that they had formed in their minds. However 30% of these people said
that if their chosen soap was not available at the shop they would not seek
another purchase point and would choose some soap from those available at the
shop.
try out a new soap. The most common response to this question was –
Advertising.
• Only 17% of the respondents could recollect any scheme on any soap
offered at any time
• 43% of respondents said that they were moderately affected by schemes
and another 9% were significantly affected.
This segment of the questionnaire was filled by the users of the Lux soap and
the objective was to develop a profile of the Lux user. Due to the low number
of respondents who fell within this sampling frame, users who had previously
used Lux were also used as samples. (It must be kept in mind that the sample
was quite small and hence the findings are not very rigorous.
143
• On being asked what they like about the soap, fragrance, quality etc
were mentioned. However what was more striking was that around 60%
of the users said, among other things, that they used the soap because for
them SOAP was = LUX. They went to the shop and asked for the soap
out of habit. This indicated that Lux had become generic for soap in a
manner of speaking.
• Around 60% of users had been using the soap for more than 7 years.
They also admitted that they were not used to trying out new soaps on
being asked as to whether they like to try out new soaps.
• On being asked what they did not like about Lux – (often on being
pressed to respond)
- 42% of present and past users said that the Lux soap had a
tendency to dissolve soon and break off at ends.
- Also 38% said that the soap was bad for the skin in the winters as
it dried the skin.
144
1. Equal number of male and female respondents was chosen for the study.
2. There was more or less equal representation from the various occupations in
the study, with highest representation from the students (22%)
3. 50% of the respondents belong to the first income group. There is least
representation from the highest income group.
5. The top of mind recall is for Ganga and Lux (21%). Camay and Nirma
show lower recall (13% to 14 %).
6. The perfume seems to be the most important factor that they like about the
brand (47%). The least important seems to be shape (14%).
7. The preferred brand is Lux (21%). The least preferred is Camay (12%).
8. T.V ads are the biggest influence on purchase of toilet soaps (36.5%).
Friends have the least influence on the purchase (4.5%).
9. Value for money and satisfaction are the two important factors according to
the respondents.
10. Brand name followed by popularity is the most frequent basis of selection of
brand.
11. Sample has been chosen more or less equally from all part of the city.
16. 46.3% look for a new brand because of the qualities and 26% look for a new
brand because it is new in the market.
17. 41% shop alone, 24.5% with friends, and 19.5% with family.
18. People, who shop with friends or family, do so because they don’t like going
alone (23.3%) or they want a second opinion (20.5%).
20. 73.3% are influenced by Discounts/Free gifts, when making their purchase
decision.
21. Filmstars (23.8%) are the most important trendsetters. This is followed by
business celebrities (18.3%) and Fashion models (18.3%).
22. Advertisements (32.5%) followed by television (29.5%) are the main sources
of knowledge about latest brands and trends.
24. Most of the people seem to make minimal changes (52.5%) and least people
don’t care (32.8%).
146
25. Most of the people choose celebrity because of their humour nature
followed by their helping nature.
27. Most of the people change their soap brand due to poor quality (44%)
followed by poor response (33%).
28. People seem to buy their own toilet soap in majority (85.5%).
29. General provision stores seems to be the major outlet from where people
purchase their toilet soap (31%) followed by buying from a chemist (26%).
30. Most of the people use the current brand between six to twelve months
(57%) and least use the brand more than four years (3%).
31. Most choose celebrity as the important element, which is recalled during
buying of toilet soap.
32. Most of the people are undecided about the importance of range of colours
to choose the product (56%) and least considers that is not at all important.
33. Price seems to be a somewhat important factor (56%) in choosing the brand.
35. Most of the people consider the free offers during purchase are supposed to
be somewhat important factor (46%) and least think that it is less
unimportant factor (1%), which affects buying behaviour.
147
37. Most people (76%) accepts influence of shop keepers in their buying
process
38. Shopkeeper seems to help by showing all toilet soaps to the customer (49%)
and least people told that they suggest useful attributes.
39. Most of the people (74%) don’t know other products with the same brand
name.
40. Most of the people (85%) don’t buy other products under the same brand
name.
41. Most of the respondents (68%) seem to continue the same toilet soap
followed by a proportion of people who are interested to try a new brand
(20%).
42. Most people seem to agree somewhat (51%) that the current brand is better
than the previous brand and least (3%) strongly disagrees the fact.
43. 43% of the respondents agree somewhat that they trust the current product
and 2.5% strongly disagrees that they trust the current brand.
44. Nearly half of the sample (44%) agrees somewhat that their brand is well
known and least of them (2%) disagrees that their brand is well known.
148
The recommendations are given based on the findings that were generated in
the study done to find ways to help push the soap.
The soap market is a volume driven market and at 240,000 tonnes the popular
segment is the largest segment of the market. Colgate Palmolive is a sales
driven company with a very strong sales and distribution system. Owing to the
nature of the product and the market, the wholesale route is the one that
generates volumes. The popular segment is highly price sensitive. The lower
one goes down the price line.
Lux holds the largest share of the market in this segment and hence it might
seem like the obvious strategy to position the soap so as to take share from Lux.
Lux still commands like the Colgate Dental Cream for toothpaste. Lux is
almost generic for soap. It is adequately supported by an extensive distribution
network and huge resources. Palmolive Natural will have to fight Lux with
higher margins till it is able to build a brand that is somewhere close to Lux. It
will initially have to focus on taking the large share that soaps like Jai Lime and
Nirma command at slightly lower prices. This can be helped to a large extent
by giving higher trade margins. Even though at higher costs of production than
these soaps, this might lead to lose for the company initially, it is essential to
get a foothold in the market.
As the share of the company increases and the brand starts getting recognized,
the margins can slowly be lowered. From the analysis it seems that a retail
margin of around 12% will be a good incentive for the trade. Palmolive
Natural can simply not afford to look at Lux and except to gain share by pricing
149
themselves like the soap till pull becomes a factor. The price of the soap
(MRP) should be kept constant now for sometime period. Frequent changes in
the price convey a message of inconsistency to the trade, which leads to the
lowering of interest in the brand.
As per the findings, the setting up of new retail kiosks frequently and due to the
unviability of many of the existing outlets, large numbers of outlets go
uncovered by the stockist. To improve the push at these outlets, it is important
for the company to get to the retailer directly. This can be achieved by setting
up a cyclist distribution network to supply company products directly to these
outlets. It should be noted that HLL has already set up a channel of this sort.
The cycle network could simultaneously act as a media instrument as some
companies have been doing.
During the various visits to the markets it was felt that Palmolive Natural,
despite being relaunched recently did not have good visibility. It is advisable
for the company to recruit a separate posturing boy for every city, who will be
responsible for the visibility of the brand outside the shop. Initiatives take by
some of the stockiest individually yielded a good response at an earlier
occasion. The issue of buying display counters at important retail outlets
should be given more attention. Though efforts have been made towards the
same, the levers have gone into overdrive on this front which has improved
their visibility significantly.
150
The WIN scheme will provide a high trial for the soap. To get the most out of
the scheme, a follow up scheme is needed after a period of about 3 months. A
consumer offer will be ideal to get entice the consumer to go in for a second
purchase. Without this the high trial generated by the WIN scheme will be
wasted. At the wholesale level, Quantity Purchase Schemes (QPS) like WIN
should be run with an appropriate gap. This will be imperative in the initial
stages for the soap and also important later.
First, the company will have to go behind the reasons for the occurrence of
undercutting. If the cause of the problem is the excessive pressure generated by
targets, a second look should be given to the set targets. Undercutting leads to
the demotivation of the trade and if not checked properly it will lead to similar
practices being adopted at more and more places.
It was felt that the stockist and also the superstockist had a lot of potential to
push the brands of the company, which was not being tapped to the fullest. To
get the full support of the stock/super stock, it is important to make them feel
important. The management at the higher levels should be in touch with the
dealers directly just to make them feel like a part of the family. The
wholesalers often spoke about their good relations with some particular
manager with a sense of pride, which indicates the importance of this personal
touch to them. However at the present time such efforts are woefully lacking.
It is felt that such measures will go a long way in improving the productivity of
the team. It is suggested that an annual award be instituted called sth like –
151
MISCELLANEOUS SUGGESTIONS
12. They should introduce some new colours for the soaps other than the
existing colours.
16. They should take suggestions from the dealers which helps them in the
improvement of sales.
17. They have to widen their supply network to the smaller shops and to the
inner parts of the city.
20. They should also ensure that gifts and compliments are served better to
the deserved customers.
154
REFERENCES
17. Hsien & Chung (2008) Moderating effect of Brand Image on public
relations perception and customer loyalty by Journal of Marketing
Intelligence & Planning, volume 26, page 26 – 42, Emerald
Publishing Group.
156
18. Mosad Zineldin (2006) CRM, Quality and Retention by, Journal of
Consumer Marketing, volume 23, page 430 – 437, Emerald
Publishing Group.
36. Simmons (2003) Building Brands with Brand Advertising and Brand
Architecture.
54. Prof. M.K Rampal and Dr. S.L Gupta (1999), Cases and Simulations
in Marketing Management, 1st edition, Galgotia Publishing
Company, New Delhi.
160
63. S.P Gupta (2004), Elementary Statistical Methods, Sultan Chand &
Sons.
161
67. L.N Dahiya (1999) Some Emerging Issues in Marketing in India, The
Indian Journal of Commerce, April – June, Volume 52.
84. C.B Gupta (2006), Marketing Management, Sultan Chand & Sons,
New Delhi.
89. Howard & Sheth, (1968), Theory of Buyer Behaviour, Wiley &
Sons, New York, NY.
97. www.google.com
98. www.yahoosearch.com
99. www.information.about.com
100. www.consumerism.com
165
QUESTIONNAIRE
Dear Sir/Madam
1. Name :
2. Age :
3. Gender :
Housewife [ ] Professional [ ]
Student [ ] Others [ ]
5. Address:
6. Income Group:
8. What are the first 5 brands of Toilet Soaps that come to your mind?
Recognition [ ] Satisfaction [ ]
Image [ ] Availability [ ]
167
Branded [ ] Local [ ]
18. Do you always go for second opinion while taking consumption decisions?
22. Why?
23. What influences you the most when you make a purchase decision?
Yes [ ] No [ ]
-----------------------------------------------------------------------------
27. Suppose your pocket money is Rs.1, 000/- how much would you allocate to
each?
Shampoo [ ]
Toilet Soaps [ ]
Detergents [ ]
Toothpaste [ ]
Any other [ ]
Yes [ ] No [ ]
30. What are the key motivators when you purchase toilet soaps?
(Rank on a scale of 1-10; 1 = lowest; 10 = highest)
Style [ ] Quality [ ]
Design [ ] Availability [ ]
Won’t care [ ]
-----------------------------------------------------------------
33. Why?
Humorous [ ] Macho [ ]
35. What are the reasons for changing the toilet soap brands
Yes [ ] No [ ]
171
Chemist [ ]
Grocer [ ]
Self-service store [ ]
38. How long have you been using this brand of toilet soap?
39. Write down the elements of the advertisement that are recalled by you
regarding Toilet Soaps
-------------------------------------------------------------------------------------------
40. What features of your current toilet soap convinced you to buy it
a.)
b.)
c.)
d.)
172
41. Please rate the following attributes on a scale of 1 to 5 (where 1 stands for
Not at all Important and 5 stands for Very Important)
Yes [ ] No [ ]
44. Do you know other products with the same brand name (ask for the product
names)?
Yes [ ] No [ ]
45. Do you buy other products of same brand name (ask only if other products
exist)?
Yes [ ] No [ ]
46. What do you do if the shopkeeper does not have the brand you ask for?
---------------------------------------------------------------------------------------
173
48. Please respond to the following statements with reference to your Current
and Previous brand of Toilet Soap (your response should be either of
Strongly Agree, Somewhat Agree, Neither Agree nor Disagree, Somewhat
Disagree, Strongly Disagree)
1. It is effective
2. It is a brand I can trust
3. The brand (Interviewees
brand)
is a well known name
4. The quality of the Toilet Soap
is very good
49 Do you get any special offers on bulk purchases? If yes, what are the
offers?
-------------------------------------------------------------------------------------------
50 Have the offers always been the same? What were they 6 months/1 year/2
years ago?
-------------------------------------------------------------------------------------------
174
51 Miscellaneous:
JOURNALS
INTERNATIONAL JOURNALS:
Volume: 1
Issue: 9
Pages: 59 - 60
Period: June, 2010.
Website: www.ssmrae.com
Volume: III
Issue: 27
Pages: 17 - 18
Period: April, 2011.
Website: www.ssmrae.com
176
NATIONAL JOURNALS:
Volume: 1
Issue: 3
Pages: 10 – 16
Issue: 1
Period: August, 2011
177
CONFERENCES
VITAE