1.

INTRODUCTION

1.1 INTRODUCTION TO THE STUDY

Society is diversified in all aspects. The study of consumer behavior enables marketer
to predict consumer behavior in the market; it also produces understanding of the role
that consumption has in the lives of individuals. Consumer behavior is defined as a
behavior that consumers display while searching for purchases, using evaluation and
disposal of products, services and ideas that they to satisfy their needs. The study of
consumer behavior is not only concerned with what they what consumers buy, but
also why they buy it, when, from where and who they buy it and how often they buy
it. It is concerned with every phases ofconsumption process; before the purchase,
during the purchase and after the purchase.The study of consumer behavior is the
study of how individuals make decision to spend their available resources on
consumption related items. It includes the study of what, why, and from where they
buy etc. Consumer behavior is a relatively new field of study emerged in recent era

1.2 STATEMENT OF THE PROBLEM

The Sulthan Diamonds and gold have launched its gold ornament outlet named
Malabar Gold with entire package of offers and with unique collections of designs. So
after 18yearsof business and service, it is important to knowhow customers’ behavior
is against the competition and how effective has been the product positioning.
Therefore A study on theconsumer behavior with special reference to Malabar God
place its relevance.

1.3 OBJECTIVES OF THE STUDY

Following are the objectives of the study:

 To analyze the behavior of customers of Sulthan Diamonds and Gold

 To know the motivating factors of the consumers in purchasing products of
Sulthan Diamonds and Gold

1
  Toknowhow brand preference is formed in purchasing Sulthan Diamonds and
Gold ornaments among consumers
 To measure the level of satisfaction of customers of Malabar Gold
 To study the consumer perception towards Sulthan Dimonds and Gold.
1.4 SCOPE OF THE STUDY

This study of understanding the behavior of the customers on jewellery fromhelping

to acquire a better insight and understanding into the vital, but trivial aspects of
jewellery market, it also helps in assessing the company’s strength and weakness
against the competing jewellery brands.Thus helping in finding the loop holes in the
company’sown products in finding logical solutions to the problems.Thisstudy helps
in finding out:

 How the customers’ rate various attributes in Sulthan Diamonds and Gold as
against other competitors
 How effective has been the company in positioning Malabar Gold as a reputed
jewellery showroom.
 How effective has the company’smarketing strategy of law, making charge, with
offering a whole lot of unique features provided in the market.
1.5 METHODOLOGY OF THE STUDY
 Source of Data

There are broadly two types of data available to researcher. They are;

1) Primary Data: It refers to the first-hand information collected by the researcher,

specific to the research problem. It includes using different primary data tools
such as Personal interviews using questionnaire, telephone surveys, mail
surveys etc. for the present study, primary data was collected by survey method
using questionnaires
2) Secondary Data: It is information already exists for another purposes. It refers
to all those data which are collected for some earlier research work. The
secondary data for this work was obtained from Company profile, company

2
 magazine, website, newspapers, internet, text books, reports and forms,
company brochures and other promotional materials

 Sampling
In the customer market research, there is a problem of selecting a sample of few
hundred respondents from a vast population. The reason sampling is that is not
possible to cover the entire population in the field of research.

1.6 PERIOD OF THE STUDY

The study has been conducted over a period of 60 days. It was commenced on 12th
November 2018 and completed on 11th January 2019.

1.7 LIMITATIONS OF THE STUDY

The main limitations for the conduct of the study were:

 Time limitation for completing the project

 The data obtained in some cases may be biased
 Difficulty in communication occurred during the conduct of the study
 The information obtained from the consumers based on questionnaires was
assumed to be factual
 Since the survey is based on sampling method, it does not disclose the character
of the entire customers

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1.8 CHAPTER SCHEME

CHAPTER NUMBER CHAPTER NAME

CHAPTER 1 INTRODUCTION

CHAPTER 2 THEORETICAL FRAMEWORK

CHAPTER 3 INDUSTRY PROFILE

CHAPTER 4 COMPANY PROFILE

CHAPTER 5 DATA ANALYSIS AND

INTERPRETATION
CHAPTER 6 SUGGESTIONS, FINDINGS AND
CONCLUSIONS
CHAPTER 7 BIBLIOGRAPHY

APPENDIX

4
 2. THEORETICAL FRAMEWORK

CONSUMER BEHAVIOR

The Consumer Behavior is the observational activity conducted to study the behavior
of the consumers in the marketplace from the time they enter the market and initiate
the buying decision till the final purchase is made.

In other words, consumer behavior is the study of how the consumers, make purchase
decisions and what are the underlying factors that influence such decisions. The
marketers believe that by understanding what compels an individual to buy a
particular product or service over the other, it is easy to identify which product are in
need and which have become obsolete and accordingly the marketing strategies could
be designed.

IMPORTANCE OF CONSUMER BEHAVIOR

 It is essential for the marketer to study the behavior of the consumers in order to
make better strategic marketing decisions. If the marketer has complete knowledge
about the consumer’s likings or disliking, then he can predict the response of the
potential customers towards his offerings.

Thus, by studying the consumer behavior before and during purchase helps in
production scheduling, designing, pricing, positioning, segmentation, advertising and
other promotional activities.

 The study of consumer behavior is equally important for the non-profit

organizations such as governmental agencies, hospitals, NGO’s, charitable
organizations. For example, the polio campaigns can be designed for the vulnerable
sections of the society who cannot afford the basic livelihood.
 The Government also studies the consumer behavior to provide them with the
necessary goods and services, understanding the potential future problems, such as
pollution, anti-plastic drive, Swacch Bharat Abhiyan, traffic, etc.

5
 For legislation, it is again essential to understand the consumer behavior, then
only the protective measures against the consumer exploitation can be taken. Such as
mandatory information on the packaging related to manufacturing date, expiry date,
terms of use, etc.
 The understanding of a behavior of a consumer is necessary before the launch of
the Demarketingprogrammes. For example, motives, attitude, behavior of the
customers behind the purchase of injurious products Viz. Cigarettes, Tobacco, etc.
should be properly understood.

Thus, marketers try to understand the consumer psychology with respect to their
purchase decisions and identify the factors influencing the consumer behavior.

FACTORS INFLUENCING CONSUMER BEHAVIOR

The marketers try to understand the actions of the consumers in the marketplace and
the underlying motives for such actions. These motives are the factors that influence
the consumer behavior. These are:

1) Psychological Factors:

The human psychology plays a crucial role in designing the consumer’s preferences
and likes or dislikes for a particular product and services. Some of the important
psychological factors are:

6
 Motivation
 Perception
 Learning
 Attitudes and Beliefs

2) Social Factors:

The human beings live in a complex social environment wherein they are surrounded
by several people who have different buying behaviors. Since the man is a social
animal who likes to be acceptable by all tries to imitate the behaviors that are socially
acceptable. Hence, the social factors influence the buying behavior of an individual
to a great extent. Some of the social factors are:

 Family
 Reference Groups
 Roles and status

3) Cultural Factors:

It is believed that an individual learns the set of values, perceptions, behaviors, and
preferences at a very early stage of his childhood from the people especially, the
family and the other key institutions which were around during his developmental
stage. Thus, the behavioral patterns are developed from the culture where he or she is
brought up. Several cultural factors are:

 Culture
 Subculture
 Social Class

4) Personal Factors:

There are several factors personal to the individuals that influence their buying
decisions. Some of them are:

 Age

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 Income
 Occupation
 Lifestyle

5) Economic Factors:

The last but not the least is the economic factors which have a significant influence on
the buying decision of an individual. These are:

 Personal Income
 Family Income
 Income Expectations
 Consumer Credit
 Liquid Assets of the Consumer
 Savings

These are some of the underlying factors that influence the consumer behavior, and
the marketer must keep these in mind, so that appropriate strategic marketing decision
is made.

CONSUMER BEHAVIOUR AND MARKETING IMPLICATIONS

The basic belief of marketing-oriented company is that the customer is the hub around
which the business revolves. Therefore, understanding what makes people in general
buy and what makes your customer in particular buy is a vital part of business
success. Market itself means – customer, around whom all marketing strategies are
formulated and implemented. In order to meet competition at the market place, the
marketing managers are using various methods to add value to the final product which
will reach the hands of the consumers. It means in ever changing marketing
environment, there is a growing concern or awareness among marketers to go for a
careful study of the consumer behavior around which all marketing activities are
made. Following are the key marketing implications of consumer behavior

8
CONSUMER BEHAVIOUR AND MARKETING STRATEGIES

Understanding the consumer behavior is the basic for marketing strategy formulation.
Consumers’ reaction to this strategy determines the organization success or failure. In
this competitive environment Organizations can survive only by offering more
customer value - difference between all the benefits derived from a total product and
all the costs of acquiring those benefits - than competitors. Providing superior
customer value requires the organization to do a better job of anticipating and reacting
to the customer needs than the competitor. Marketing strategy is basically the answer
to the question: How will company provide superior customer value to its target
market? The answer to this question requires formulation of marketing - mix –
product, price, place and promotion - strategies. The right combination of these
elements meets customer expectation and provides customer value. For example,
marketer of a bike must know the customers performance expectations, desired
service, Price willing to pay, information he seeks and after-sales service to provide
superior customer value.

CONSUMER BEHAVIOUR AND MARKET SEGMENTATION

The most important marketing decision a firm makes is the selection of one or more
segments to focus their marketing effort. Marketers do not create segments but they
find it in the market place. Market segmentation is the study of market place in order
to discover viable group of consumers who are homogeneous in their approach in
selecting and using goods or services. Since market segment has unique needs, a firm
that develops a product focusing solely on the needs of that segment will be able to
meet the target group desire and provides more customer value than competitor. For
example, right segment for Femina‘magazine is educated urban women. The success
of this magazine depends on their understanding of the urban woman.

CONSUMER BEHAVIOUR AND PRODUCT POSITIONING

Product positioning is placing the product, service, company, or shop in the mind of
consumer or target group. Through positioning marketers seek the right fit between a

9
product and desired customer benefits. The right positioning means understanding the
consumer perception process in general and perception of company‘s product in
particular. For example, Samsung brand is perceived as premium brand by few
customers and value-driven brand by others in the market, but marketer must find out
what makes their target market to perceive differently and position it accordingly.

CONSUMER BEHAVIOUR AND MARKETING RESEARCH

Studying consumer behavior enables marketing researchers to predict how consumers

will react to promotional messages and to understand why they make the purchase
decision they do. Marketers realized that if they know more about the consumer
decision making criteria, they can design marketing strategies and promotional
messages that will influence consumers more effectively. The importance of
consumer behavior made marketers to think of a separate branch in marketing
research - Consumer research, to deal exclusively for consumer related issues. The
current focus of consumer research is on study of underlying needs and motives in
taking purchase decisions, consumer learning process and attitude formation process.

CONSUMER BEHAVIOUR AND NON-PROFIT AND SOCIETAL

MARKETING

A sound knowledge of consumer behavior can help the organizations that sell ideas
and concepts of social relevance. Institutions that promote family planning, AIDS free
society, governmental agencies, religion orders and universities also appeal to the
public for their support in order to satisfy some want or need in society. The
knowledge about potential contributors, what motivate their generosity, how these
motives can be effectively appealed is useful for the organizations involved in these
activities.

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CONSUMER BEHAVIOUR AND GOVERNMENTAL DECISION MAKING

To major areas where consumer behavior study helps government is in policy making
on various services, and in designing consumer protection legislation. The knowledge
of people‘s attitudes, beliefs, perceptions and habits provides adequate understanding
of consumers.

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 3. GEMS AND JEWELLERY INDUSTRY

Introduction

The Gems and Jewellery sector plays a significant role in the Indian economy,
contributing around 7 per cent of the country’s GDP and 15 per cent to India’s total
merchandise exports. It also employs over 5.64 million workers and is expected to
employ 8.23 million by 2022. One of the fastest growing sectors, it is extremely
export oriented and labor intensive.

Based on its potential for growth and value addition, the Government of India has
declared the Gems and Jewellery sector as a focus area for export promotion. The
Government has recently undertaken various measures to promote investments and to
upgrade technology and skills to promote ‘Brand India’ in the international market.

India is deemed to be the hub of the global jewellery market because of its low costs
and availability of high-skilled labor. India is the world’s largest cutting and polishing
centre for diamonds, with the cutting and polishing industry being well supported by
government policies. Moreover, India exports 75 per cent of the world’s polished
diamonds, as per statistics from the Gems and Jewellery Export promotion Council
(GJEPC). India's Gems and Jewellery sector has been contributing in a big way to the
country's foreign exchange earnings (FEEs). The Government of India has viewed the
sector as a thrust area for export promotion. The Indian government presently allows
100 per cent Foreign Direct Investment (FDI) in the sector through the automatic
route.

3.2 Market size

Gold demand in India rose to 523.93 tons between January to September 2018. India's
gems and jewellery exports stood at US$ 20.73 billion between Apr-Nov*. During the
same period, exports of cut and polished diamonds stood at US$ 16.55 billion, thereby
contributing about 79.84 per cent of the total gems and jewellery exports in value
terms. Exports of gold coins and medallions stood at US$ 258.35 million and silver

12
jewellery export stood at US$ 503.17 million between Apr-Nov 2018.The gems and
jewellery market in India is home to more than 300,000 players, with the majority
being small players. Its market size is about US$ 75 billion as of 2017 and is expected
to reach US$ 100 billion by 2025. It contributes 29 per cent to the global jewellery
consumption.India is one of the largest exporters of gems and jewellery and the
industry is considered to play a vital role in the Indian economy as it contributes a
major chunk to the total foreign reserves of the country. The Goods and Services Tax
(GST) and monsoon will steer India’s gold demand going forward.

3.3 Government Initiatives

 The Bureau of Indian Standards (BIS) has revised the standard on gold
hallmarking in India from January 2018. The gold jewellery hallmark will now
carry a BIS mark, purity in carat and fitness as well as the unit’s identification and
the jeweller’s identification mark. The move is aimed at ensuring a quality check
on gold jewellery.
 The Gems and Jewellery Export Promotion Council (GJEPC) signed a
Memorandum of Understanding (MoU) with Maharashtra Industrial Development
Corporation (MIDC) to build India’s largest jewellery park in at Ghansoli in Navi-
Mumbai on a 25 acres land with about more than 5000 jewellery units of various
sizes ranging from 500-10,000 square feet. The overall investment of Rs 13,500
crore (US$ 2.09 billion).
 Gold Monetisation Scheme enables individuals, trusts and mutual funds to deposit
gold with banks and earn interest on the same in return.

3.4 Road Ahead

In the coming years, growth in Gems and Jewellery sector would be largely
contributed by the development of large retailers/brands. Established brands are
guiding the organized market and are opening opportunities to grow. Increasing
penetration of organized players provides variety in terms of products and designs.
Online sales are expected to account for 1-2 per cent of the fine jewellery segment by
2021-22. Also, the relaxation of restrictions of gold import is likely to provide a fillip

13
to the industry. The improvement in availability along with the reintroduction of low
cost gold metal loans and likely stabilization of gold prices at lower levels is expected
to drive volume growth for jewellers over short to medium term. The demand for
jewellery is expected to be significantly supported by the recent positive
developments in the industry.

3.5 Present Industry Scenario

The market size of Gems and Jewellery in India contributes to about 7% of the
country’s GDP. Gems and Jewellery industry contributes to about 16% to India’s
total merchandise exports and has grown at a CAGR of over 15.8% over the last 50
years. The Gems and Jewellery industry in India is one of the largest in the world,
contributing 29% to the global jewellery consumption.The overall market size is
expected to reach $ 110 bn by 2022 from approximately $ 60 bn in 2017. The industry
that currently employs over 5.5 mn people, is expected to provide employment
opportunities to over 8.2 mn people by 2022.

Gems and Jewellery comprises of the following sub-sectors:

 Diamonds
 Gemstones
 Pearl
 Gold, Silver and Platinum Jewellery

India being the largest manufacturer of cut and polished diamonds globally, its global
diamond market share is 60% and 90% in value terms and volume terms, respectively.
The country where gold jewellery forms around 80% of the total jewellery market,
stood as the biggest buyer of gold globally in 2016-17.

3.6 BIS Hallmark

The BIS hallmark is a hallmarking system for gold as well as silver jewellery sold in
India certifying the purity of the metal. It certifies that the piece of jewellery conforms

14
to a set of standards laid by the Bureau of Indian Standards, the national standards
organization of India. India is the second biggest market for gold and its jewellery.

India imports in excess of 1000 tons annually (including unofficially smuggled gold)
with negligible local production. The annual gold imports are around 50 billion US$
next only to crude oil imports widening the trade deficit.

Importance of BIS hallmarking

In India, Bureau of Indian Standards (BIS) is the accreditation agency which certifies
and hallmarks gold jewellery. A hallmark consists of carat, stamp of BIS, hallmarking
centre’s mark, year of mark and jeweller’s identification mark.

Carat indicates the purity of the metal. The purest form of gold is 24 carat or 24k.
However, typically ornaments are made of gold whose purity ranges from 18k to 22k.

In percentage terms, 18k would mean 75% purity (denoted by 750) and 22k would
mean 91.6% (denoted by 916) purity. Carat also helps determine the price of
jewellery, even if it does not carry a price tag. You can get a sense of the price of a
piece of jewellery by getting the piece weighed and then comparing it’s selling price
with the day’s rate of gold, which is usually displayed by most jewellers. So,
assuming that the rate of 10g gold is Rs.30000 the price of a 10g piece of 22k gold
would be 91.6% of 24k gold, or about Rs27500.

Over and above all these costs come the making charges. These charges can be
anywhere between 8% and 25% of the cost of gold. This would depend on how
intricate, or detailed, the work is. This is also your bargaining window. If you feel the
labor charges do not match the work on your jewellery, bargain.

Stamp of BIS, i.e. a triangle, means that the jewelry has been assessed and stamped by
the authority. There are licensed hallmarking or assaying canters that hallmark the
jewelry so their mark is also there on the piece of jewelry. It also contains the year of
hallmarking the jewelry and the mark of the jeweler.

15
Since hallmarking in India is optional, some jewelers may carry their personal
hallmark or have no hallmark at all. Mint Money recommends that you look for the
BIS stamp as it is widely accepted. Also, keep in mind that the cost of hallmarking is
nominal and hence it doesn’t impact the price of the jewellery at all.

3.7 Gems and Jewellery Export Promotion Council

Gem &Jewellery Export Promotion Council (GJEPC) is an organization set up by

the Ministry of Commerce and Industry (India) with aim to promote the Indian gem
and jewellery industry and its products. It was established in 1966 and represents
almost 6,000 exporters. It has its headquarters in Mumbai and regional Offices in
New Delhi, Kolkata, Chennai, Surat and Jaipur.

3.8 IMPACT OF GST ONGEMS AND JEWELLERY INDUSTRY

SECTOR

Gems and Jewellery sector is one of the fastest growing, export oriented and labour
intensive sectors. Its contribution to Indian economy is quite significant. 6 to 7 % of GDP
comes from this sector. Its contribution to foreign exchange earning stood at UDS 38.59
billion in 2016. India exports cut and polished diamonds, coloured gem stones, gold
jewellery, medallions and coins and silver jewellery to the world. UAE, US, Russia,
Singapore, Hong- Kong, Latin America and China are the biggest importers of Indian
jewellery. About 65 per cent of the global diamond processing is done in India. The share
of gems and jewellery in total exports was 15.8% in 2016.

 CHANGES UNDER GST REGIME

Presently, tax levied on gold, gold and diamond jewellery is 2-2.5% (only exception
being Kerala where tax is 5%) and jewellery making charges is exempted from any taxes.
The gold imported for the purpose of export and raw diamonds are also exempted from
taxation. Under the GST regime, which is to be rolled out on 1st of July, tax on gold,
processed diamonds, gold and silver jewellery will be 3%, 0.25% on raw diamonds.
Jewellery making charges will now be taxed at 5% (initially 18% was proposed). The

16
Goods and Services Tax Council has exempted re- import of cut and polished diamonds
after testing from payment of GST. The import duty on gold remains the same at 10%.

 INDIA’S COMPETITIVENESS AND EXPORTS

A tax of 0.25% on raw diamonds, according to the veterans of this industry is a retrograde
step. Rough diamonds are the key raw material for the export business and for a segment
where 95% of the output is exported and whose global footprint is under constant stress
from other economies like China, Dubai and Thailand, imposition of tax can hurt India’s
competitiveness in global market.
Cost of manufacturing of diamonds will increase leading to increased prices for end
produce. This will impact the customers both in the domestic country and the importing
countries. India will be forced to re-evaluate the viability of conducting the cutting and
polishing activity due to the thin margin in this segment.

 UNORGANISED SEGMENT

Gems and jewellery sector is highly fragmented. 90% of the gold jewellery
manufacturing and 70% of the retailers are in the unorganized MSME (Micro, small
and medium enterprises) segment. This segment of the gems and jewellery sector will
be hit the hardest. Getting this 90% base in the GST structure will be a challenge.
These vendors will have to substantially improve their record keeping practice in
order to be able to comply with the laws. Imposition of 5% GST on jewellery making
charges which at present is nil, will increase the cost of production and thus the price
of the final good. This will also make estimation of cost difficult for the
manufacturers.

 ORGANIZED SEGMENT

This segment has happily welcomed the changes under the new GST regime. They
will suffer the least as the process of manufacturing and production is very much
integrated as compared to the unorganized segment. Also, they have the capacity to
partially absorb the increase in manufacturing cost.

17
.This segment believes that these changes will help this sector to grow into an
organized and mature industry and also bring transparency and increase in tax
compliance. The biggest advantage of GST regime will be that it will bring all
indirect taxes under a single tax. It is expected to bring all the unorganized players
into the tax net and thus create a level playing field for all the players.
At the same time, it is feared that the working capital requirement will increase
substantially as the points of taxation have increased and it takes time to claim refund
of input tax credit. This might block funds and increase the cost of borrowing.

 KARIGARS

Gems and Jewellery sector employ millions of skilled workers (karigars). Levying a
tax of 5% on making of jewellery will hurt the karigars, especially the ones in the
unorganized sector. Karigars will be required to maintain proper accounts. Making of
a jewellery piece involves many karigars who individually carry out activities of
mounting, setting and polishing. Keeping a proper record of cost of all these activities
will be very hard due to absence of use of any sophisticated technology. This will
increase the operational cost for both karigars and the manufacturers.
In order to fit into this new structure, karigars will have to learn by doing and keep
upgrading their accounting and technological know- how.

 CUSTOMERS

Increase in tax under GST regime will make purchase of gold, gold and diamond
jewellery expensive by 1%. The additional increase in cost due to increase in
operational cost and tax on making charges will also have to be, at least, partially
borne by the customers. Re-selling of gold for capital gains will also decrease as re-
selling will now entail a loss of GST initially paid on the purchase of gold.
These, along with the cap placed on holding of gold (if source is not mentioned)
might make customers skeptical of buying gold and gold articles, particularly for
speculation purpose. Domestic demand is expected to decline in the immediate future.

18
  INVESTMENT

Though the government has recognized this sector as an important sector for export
promotion and has also allowed 100% FDI but the complications related to GST
might deter new investors from investing in this sector, at least, in the short run.

19
 4. COMPANY PROFILE

SULTHAN DIAMONDS & GOLD PRIVATE LIMITE

India’s affair with gold jewellery dates back to more than a thousand years. A legacy
of finery and a heritage of grandeur, gold have always lent its grace to the daily lives
of the Indians all through the ages. With its origins at the historic city of Kasaragod in
Kerala, Sulthan Diamonds & Gold has spread its wings with branches in Mangalore,
Bangalore, Kanhangad, Kasaragod, Davangere and Shivamogga. To showcase the
versatility of gold through exquisite designs and unmatched purity there by giving our
customers the best has been the inspiration for our efforts.

HISTORY

Sulthan Diamonds & Gold began its love affair with gold & fine jewellery right from
the year 1992. The founder-visionary started the enterprise as jewellery
manufacturing and retailing unit, in early 70s. From day one, he strived to add values,
trust and transparency into every deal and topped it all with outstanding performance.

Those initial steps that he took have come a long way now: Starting with the first
showroom at Kasargod, Sulthan Diamonds & Gold has spread to Kanhangad,
Mangalore, Bangalore and Shivamogga to meet the requirements of thousands of
customers in the region. Today Sulthan Diamonds & Gold offers gold, diamond,
platinum, uncut, precious, birthstones & silver jewellery in designs selected from
different parts of India and abroad – in addition to its own master-crafted collections

PERSONALITIES BEHIND SULTHAN JEWELLERS

FOUNDER: TM KUNHAHAMMED HAJI: Being the founder of a vision and

being an enthusiast towards the same for more than half a century requires a lot of
patience and persistence. TM Kunhammed Haji is that visionary who paved the path
of success for Sulthan Diamonds and Gold. He started from nothing and made to this
benchmark. Being a philanthropist, he is passionate about combining socially
beneficial activities with the business. He surely is nothing less than the backbone of

20
the whole venture. He has seen all the springs and storms in his 55 years of fine
jewellery.

MANAGING DIRECTOR: Dr. TM ABDUL RAHOOF: The man who longed for
a difference, from day one, he strived to add values, trust and transparency into every
deal and topped it all with outstanding service. Sulthan Diamonds & Gold adopted the
business policy of straight and transparent deals and commitments right from the
inception.

The policy hasn't been compromised and has paid rich dividends as our loyal
customers. Dr.T.M.AbdulRahoof was awarded the Doctorate in Gemology for
promoting Purity in Diamonds and Gold Business, which he has dedicated to the loyal
Customers and well-wishers who have supported Sulthan Diamonds and Gold to
achieve this milestone.

CHIEF EXECUTIVE OFFICER: TM ABDUL RAHIM

A vision should necessarily be taken forward to find success in the following years of
any institution. That requires the unmatched hardwork of an essentially eminent
persona for sure. TM Abdul Rahim plays that pivotal role for Sulthan Diamonds and
Gold. His experience of 2 decades in the profession is equated with the quality work
he provides for Sulthan Diamonds and Gold.

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LOGO STORY

The logo is the essence of an organization. Logo exudes the attitude of the and
acceptable internationally since the modes of the logo display is extremely varied
(both in size and texture) in this case. The logo should be identifiable in its crudest
form management in a nutshell. Being a Jewellery Logo, the logo should be unique,
simple, fresh and smallest size. Also it should be distinguishable amongst a group of
competitors and decipherable from the farthest distance. The new logo fits into this
slot like a fish put in water. The font chosen should also contain the essence of the
jeweler.

Here the font chosen is the edited version of Symbol ITC Bold BT which is authentic
and exudes pure class. It is a non-complicated font and provides the all-

22
importantseriousness to the jewellery. The corporate color chosen is Berry Brown
which is a rarity in Indian Jewellery industry. It is the German addresses of the Jewel
world and we felt by providing such a flavor could add momentum to the Global
vision of the management. More so it seems a sharp contrast to the shine of the
jewels, especially Diamonds and Gold. The leather texture in brown could add a new
dimension to the packaging and stationaries, thus leaving no stones unturned on to the
global journey

Vision

We believe in creating happiness for the people we touch, reason for their celebrations
and positively impact the world we exist in.

Mission

We will do this in a honest & transparent way, expect to keep on the cultural and
traditional values and ensure the highest global standards in everything we do.

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VARIOUS PRODUCTS OFSULTHAN DIAMONDS AND GOLD
KASARAGOD

1. Antique gold jewellery

2. Silver delight

24
3. Birthstone collections

4. Watches

5. Diamonds

25
 6. Platinum collections

7. Pearl Collections

CORPORATE SOCIAL RESPONSIBILITY

Discipline and enthusiasm is as important as the adroitness that our employees

possess. Our goal is therefore not just to stimulate a profitable run but also to
encourage the welfare of the society at large by yielding the obligation of Corporate
Social Responsibilities among our employees. The founder of our business TM

26
Kunhammed is passionate about integrating socially advantageous programs and
practices into the company’s business model and culture.

Our initiatives regarding their concern in Corporate Social Responsibilities are as

follows:

 DEAR PARENT TRAINING

They believe in family values and relationships. So they aid the parents of this
generation in the society with proper training so as to endow them with good
parenting techniques and thereby encourage a better family planning

 KINDER ART

Every year we organize “Kinder Art”, a painting competition exclusively for kids
with an aim to nurture the budding talents in the society. This indeed has brought up
some fine talents in the go.

 NAREE SHAKTI

Every year on the occasion of women’s day, we honor the women in the society who
have made their stand clear and didn't let it go with the flow. We honor the ' sheroes'
of our times.

 BLOOD DONORS’ CLUB

Blood donation is the most divine notion you can do to your society as a citizen. We
are actively involved in the noble cause of blood donation organizing campaigns and
programs by maintaining a good connection with the Red Cross Society.

 HANDS OF HOPE

We are privileged to extend our virtuous hands of hope as a relief for the endosulfan
victims by arranging rehabilitation facilities, medical aids and other requirements for
their wellness.

27
  SCHOLARSHIPPROGRAMMES

Our future lies in the hands of our children. We are intensely inquisitive in fulfilling
the scholarship dreams of economically backward students who have the potential to
contribute for the future development of the country by proffering them with immense
scholarship opportunities to foster their talents

28
 5. DATA ANALYSIS AND INTERPRETATION

TABLE 5.1: GENDER BASED CLASSIFICATION OF RESPONDENTS

GENDER NO OF RESPONDENTS PERCENTAGE (%)

Male 16 32

Female 34 68

TOTAL 50 100

Source of data: Primary data

Chart 5.1: GENDER BASED CLASSIFICATION OF RESPONDENTS

Male Female

32%

68%

INTERPRETATION

According to the table and graph above it is clear that 68% of the respondents are
Female and the balance 32% are male. Therefore it can be concluded as majority of
the respondents are females.

29
TABLE 5.2: INCOME BASED CLASSIFICATION OF RESPONDENTS

INCOME PER MONTH NO OF RESPONDENTS PERCENTAGE (%)

Below 12000 1 2

12000-20000 4 8

20000-40000 19 38

40000 and above 26 52

TOTAL 50 100

Source of data: Primary data

CHART 5.2: INCOME BASED CLASSIFICATION OF RESPONDENTS

60

50

40

30

20

10

0
Below12000 12000-20000 20000-4000 Above 40000
Percentage (%)

INTERPRETATION

The graph and table above indicates that 52% of the respondents falls in the income
group Rs.40000 and above, 38% falls in the Rs. 20000 to Rs.40000 Category, 8% to
the Rs.12000 to Rs.20000 category and only 2% falls in the low income group ie,
Below Rs.12000 income group.

30
TABLE 5.3: MARITAL STATUS BASED CLASSIFICATION OF THE
RESPONDENTS

STATUS NO OF RESPONDENTS PERCENTAGE (%)

Married 39 78

Unmarried 11 22

TOTAL 50 100

Source of data: Primary data

TABLE 5.3: MARITAL STATUS BASED CLASSIFICATION OF THE

RESPONDENTS

90
78%
80

70

60

50

40

30
22%
20

10

0
Married Unmarried

INTERPRETATION

The table and chart clearly indicates that majority of the respondents are Married
ie,78% and the remaining 22% are Unmarried.

31
TABLE 5.4: AGE GROUP BASED CLASSIFICATION OF THE
RESPONDENTS

AGE GROUP NO OF RESPONDENTS PERCENTAGE (%)

Below 18 1 2

18-25 6 12
25-40 18 36
40-60 22 44
Above 60 3 6
TOTAL 50 100

Source of data: Primary data

CHART 5.4: AGE GROUP BASED CLASSIFICATION OF THE

RESPONDENTS

60

40
Percentage(%)
20

0
Below 18 18-25 25-40 40-60 Above 60

INTERPRETATION:

According to the table and chart majority of the respondents ie,44% are in the age
group of 40-60 years. 36% belongs to 25-40 group, 12% belongs to 18-25 group , 6%
belongs to above 60years group and 2% belongs to Below 18 group ie, only one
respondent fallsin the below 18 group.

32
TABLE 5.5: PRODUCT BASED CLASSIFICATION OF THE RESPONDENTS

PRODUCT CLASS NO OF RESPONDENTS PERCENTAGE (%)

Gold 19 38

Watch 8 16

Diamond 10 20

Platinum 2 4

Silver 11 22

TOTAL 50 100

Source of data: Primary data

CHART 5.5: PRODUCT BASED CLASSIFICATION OF THE

RESPONDENTS

Gold Watch Diamond Platinum Silver

22%
38%
4%

20%
16%

INTERPRETATION

It is clear from the table and chart that most of the customers buys Gold from Sulthan
Goldie, 38%. 22% of respondents prefer Silver 20% prefer Diamond, 16% prefer
Watch and the remaining 4% prefer to buy Platinum

33
TABLE 5.6: CUSTOMER AWARENESS ABOUT PRODUCTS OTHER THAN
GOLD

RESPONSE NO OF RESPONDENTS PERCENTAGE (%)

Yes 48 96

No 2 4

TOTAL 50 100

Source of data: Primary data

CHART 5.6: CUSTOMER AWARENESS ABOUT PRODUCTS OTHER

THAN GOLD

No
Yes 4%
96%

INTERPRETATION:

The table andgraph abovearethe clear indication that almost allie, 96% of the
respondentsare aware about the productsother than gold dealt in Malabar Gold. 4% of
the respondents are stillnot aware about the other products of Malabar Gold.

34
TABLE 5.7: SATISFACTION IN MAKING CHARGES

SATISFACTION NO OF RESPONDENTS PERCENTAGE (%)

Very much satisfied 16 32

Satisfied 29 58

Somewhat satisfied 4 8

Dissatisfied 1 2

TOTAL 50 100

Source of data: Primary data

CHART 5.7: SATISFACTION IN MAKING CHANGES

2%

8%

32%
Very much satisfied
Satisfied
Somewhat satisfied
Dissatisfied

58%

Interpretation:

According to the survey about the satisfaction of customers with regard to the making
charges, it is clear that most of the customers ie.58% are satisfied, 32% are very much
satisfied, 8% are somewhat satisfied and the remaining 2% are dissatisfied with the
making charges.

35
TABLE 5.8: DISTRIBUTION OF THE RESPONDENTS WITH REGARD TO
THE AMOUNT OF GOLD THEY OWN

AMOUNT OF GOLD NO OF RESPONDENTS PERCENTAGE (%)

(IN RS)
Below 60000 2 4

60000-120000 16 32

120000-200000 22 44

Above 200000 10 20

TOTAL 50 100

Source of data: Primary data

CHART 5.8: DISTRIBUTION OF THE RESPONDENTS BELONGING TO

DIFFERENT GROUPS OF THE AMOUNT OF GOLD THEY OWN

50

40

30

20

10

0
Below 60000 60000-120000 120000-200000 Above 200000

Below 60000 60000-120000 120000-200000 Above 200000

INTERPRETATION

The table and chart shows the distribution of respondents on the basis of their
ownership in gold. majority of respondents ie, 44% falls to the 120000 – 200000
group, 32% falls to 60000-120000 group, 20% falls to above 200000 group and the
least is 4% falls in below 60000 group.

36
TABLE 5.9: MEDIA THROUGH WHICH CUSTOMERSCAME TOKNOW
ABOUT THE PRODUCTS

MEDIA NO OF RESPONDENTS PERCENTAGE (%)

Newspaper 15 30
Tele Vision 29 58
Yellow Pages 4 8
Word of mouth 2 4
TOTAL 50 100

Source of data: Primary data

Chart 5.9: Media through which customers came to know about the products

60

50

40

30

20

10

0
News Paper TV Yellow Pages Wordof mouth

INTERPRETATION

As per the table and chart it can be concluded that majority of the respondents comes
to know about the products through Television and the least through word of mouth.
58% of the respondents know about the Malabar products through TV, 30% through
Newspapers,8% through yellow pages and only 4% through word of mouth.

37
TABLE 5.10: CUSTOMERS RATING ON THE DESIGNOF THE
ORNAMENTS

RATING NO. OF RESPONDENTS PERCENTAGE(%)

Excellent 15 30

Good 24 48

Average 10 20

Poor 1 2

Total 50 100

Source of data: Primary data

CHART 5.10: CUSTOMERS RATING ON THE DESIGNS OF ORNAMENTS

Excellent Good Average Poor

2%
20%
30%

48%

INTERPRETATION:

According to the survey it is clear the48 % of the respondents rate the design of the
ornaments as good, 30% as Excellent, 20% as excellent and the remaining 2% as
poor.

38
TABLE 5.11: IMMEDIATEREDRASSEL ON CUSTOMER GRIEVANCES

RESPONSE NO OF RESPONDS PERCENTAGE (%)

Yes 30 60

No 20 40

TOTAL 50 100

Source: Primary data

CHART NO.5.11: IMMEDIATE REDRASSEL ON CUSTOMER GRIEVANCE

yes no

40%

60%

INTERPRETATION

It is clear from the above diagram that 60% of the respondents are of the opinion that
there is Immediate Grievance customer and the remaining 40% disagree with
statement

39
TABLE NO: 5.12: CUSTOMERS RATING ON SALESMAN RELATIONSHIP

RATING NO OF RESPONDENTS PERCENTAGE (%)

Excellent 25 50

Good 15 30

Average 10 20

Poor 0 0

TOTAL 50 100

Source: Primary data

CHART 5.12: CUSTOMERS’ RATING ON SALESMAN RELATIONSHIP

50

40

30

20

10

0
Excellent Good Average

Percentage(%)

INTERPRETATION

According to the diagram and table it is clear that majority of the customers rate
salesmen relationship of Malabar gold as excellent and no one rated as poor. 50 of the
respondents rated as excellent, 30% as good and 20% rated as average

40
TABLE 5.13: CUSTOMERS RATING ON SERVICE FACILITY AVAILABLE

RATING NO OF RESPONDENTS PERCENTAGE(%)

Excellent 18 36

Good 17 34

Average 14 28

poor 1 2

TOTAL 50 100

Source: Primary data

CHART 5.13: CUSTOMERS RATING ON SERVICE FACILITY AVAILABLE

40
30
20
10
Percentage(%)
0
Excellent Good Average Poor

Percentage(%)

INTERPRETATION

The above chart and table shows the customer rating on the service facility available.
36% of the respondents rate as excellent, 34% as good, 28% as average and the
remaining 2% as poor.

41
TABLE 5.14:RATING OF ADVERTISEMENT OF SULTHAN DIAMONDS
AND GOLD

PROMPTNESS NO. OF RESPONDENTS PERCENTAGE (%)

Enthusiastic 7 14

Very favorable 14 28

Favorable 29 58

Unfavorable 0 0
TOTAL 50 100

Source: Primary data

TABLE 5.14:RATING OF ADVERTISEMENT OF SULTHAN DIAMONDS

AND GOLD

70%
58%
60%

50%

40%
28% No. of respondents
30%

20% 14%
10%
0
0%
Enthusiastic Very favourable favourable Un favourable

INTERPRETATION:

The above chart shows that the rating of the advertisement of Sulthan Diamonds and
Gold. From this 14% of people feel that it is enthusiastic, 28% were feel that very
favorable the majority of respondent 58% feel that it is favorable, there is no one as
favourable. The majority of them fell that it is favorable which shows that the
advertisement are unable of conveying the message and attracting the customers.

42
TABLE 5.15: DECISION FORMED DUE TO ADVERTISEMENT

PURCHASE DECISION NO. OF RESPONDENTS PERCENTAGE (%)

Yes 19 38

No 31 62

TOTAL 50 100

Source: Primary data

CHART 5.15: DECISION FORMED DUE TO ADVERTISEMENT

70%

60%

50%

40%

30% 62%

20% 38%
10%

0%
Yes No

INTERPRETATION

The above chart shows the decision formed due to advertisement by the respondents.
Here we can understand that 62% of the respondents took purchasing, 38% do not
take. This steady shows that majority of the customers were influenced by the
advertisement to purchasing decision.

43
TABLE 5.16: RECOLLECTION SLOGAN USED BY SULTHAN DIAMONDS
AND GOLD

PARTICULAR NO. OF RESPONDENTS PERCENTAGE (%)

Yes 34 68

No 16 32

TOTAL 50 100

Source: Primary data

TABLE 5.16:RECOLLECTION SLOGAN USED BY SULTHAN DIAMONDS

AND GOLD

No
32%

Yes
68%

INTERPRETATION

The above chart shows whether the respondents were able to recollect the slogan used
by Sulthan Diamonds and Gold. Majority of the respondents 68% were able to
recollect, 32% were not able to recollect. This shows that the slogan selected by
Sulthan Diamonds and Gold is excellent and it remains in the minds of the customers
and public.

44
TABLE 5.17: CUSTOMER RATING ON OVERALL SERVICES OF
SULTHAN DIAMONDS AND GOLD

RATING NO OF RESPONDENTS PERCENTAGE (%)

Excellent 20 40

Good 18 36

Average 10 20

Poor 2 4

TOTAL 50 100

Source: Primary data

CHART5.17: CUSTOMER RATING ON OVERALL SERVICES OF

SULTHAN DIAMONDS AND GOLD

40
35
30
25
20
15
10
5
0
Excellent Good Average Poor

Overall Service Rating (%)

INTERPRETATION

The above rating chart and table shows the customer on overall services of Malabar
Gold. 40% of the respondents rate as excellent, 36% as good, 20% as average and the
remaining 4% as poor.

45
TABLE 5.18: CUSTOMER RATING ON LEVEL OF SATISFACTION

RATING NO. OF RESPONDENTS PERCENTAGE (%)

Excellent 16 32

Good 22 44

Average 9 18

Poor 3 6

TOTAL 50 100

Source: Primary data

CHART 5.18: LEVEL OF SATISFACTIONOFCUSTOMERS

Poor
Average 6% Excellent
18% 32% Excellent
Good
Average
Good
44% Poor

INTERPRETATION

The data and table above represents the level of satisfaction of customers. Most of the
respondents’ rate good. 32%respondents rate excellent, 18% as average and the
remaining 6% as poor

46
TABLE 5.19: WHETHERTHE RESPONDENTS INSIST THEIR FRIENDS,
RELATIVES AND WELL WISHERS TO PURCHASE FROM SULTHAN
DIAMONDS AND GOLD

OPINION NO OF RESPONDENTS PERCENTAGE (%)

Yes 39 78
No 0 0
No answer 11 22
TOTAL 50 100

CHART 5.19: WHETHERTHE RESPONDENTS INSIST THEIR FRIENDS,

RELATIVES AND WELL WISHERS TO PURCHASE FROM SULTHAN
DIAMONDS AND GOLD

22%

YES
0%
NO
NO ANSWER

78%

INTERPRETATION

When the respondents were asked whether they will insist their well-wishers and
friends to purchase from Sulthan Diamonds and gold, 78% of the respondents
answered yes and 22 were not answered.

47
 6. FINDINGS, SUUGESTIONS AND CONCLUSION

This part gives overall information about the consumer behavior of Sulthan Diamonds
and Gold customers. It also includes findings, suggestions and conclusions about the
study.

6.1 FINDINGS

 Most of the respondents are female.

 Customers of Sulthan Diamonds and Gold are mainly from upper class and
upper middle class families.
 Majority of the Sulthan Diamonds and Gold customers are Married.
 Most of the purchasers of Sulthan Diamonds and Gold are mainly youngsters.
 Most of the respondents are of upper middle age group
 Majority of the respondents purchase gold compared to other products from
Sulthan Diamonds and Gold.
 Only a few customers are not aware of products other than gold available in
Sulthan Diamonds and Gold
 The making charges of Sulthan Diamonds and Gold are satisfactory according
to the respondents.
 Many customers rate the design of the ornaments as good
 Television is the advertising media through which large number of customers
came to know about Sulthan Diamonds and Gold
 Factors like company image, quality, advertisement, collection have equally
influenced the purchase.
 Major numbers of respondents aresatisfied with the showroom facility.
 Most of the respondents rate the salesmen relationship of the Sulthan
Diamonds and Gold as Excellent.
 Respondents got immediate response for the complaints registered.
 Sulthan Diamonds and Gold provides good services facility.
 The overall performance of Sulthan Diamonds and Gold is excellent in the
opinion of most of the respondents.

48
 Level of satisfaction of customer is good.
 Respondents areready to insist their well-wishers to purchase from Sulthan
Diamonds and Gold
 The consumer behavior of Sulthan Diamonds and Gold is Excellent

49
6.2 SUGGESTIONS

 Sulthan Diamonds and Gold customersare business people and have high
income, so it should be better to frame promotion programs targeting the
lower class people.
 With regard to advertising, the company should focus on persuasive
advertising highlighting the unique feature and benefits of their product.
 Only a few customers had purchasedwatch, diamond and platinum ornaments,
so a special attention should be paid in these areas.
 Among the service facilities, respondents suggest to improve parking facility.
 More advertisement should be made in media other than television.
 Steps should be taken to attract more male customers.

50
6.3 CONCLUSION

To conclude the overall responses of the customer of Malabar gold is good. The
overall performances in all areas are satisfactory. During the study it was found that
the following factor such as making charges, salesman responsiveness, ornaments
designs, price etc. as satisfactory influenced consumer behavior. Further, there is
some kind of promotion activities required to hold the present customers and make
new customers.

51
 7. BIBLIOGRAPHY

 BOOKS REFERRED TO:

o Marketing Management- Kotler & Keller.
o Marketing Management- A.Vinod.
o Consumer Behaviour- Matin Khan.
o Company profiles and magazines.
o Business world.
 WEBSITES VISITED
o www.Wikipedia.Org
o www. Pdftracker.com
o www.Scribd. com
o www. Slideshare.com
o www.Management paradise.com
o www. pdfgeni.com
o www.sulthandiamondsandgold.com

52
 APPENDIX

QUESTIONNAIRE

Dear sir/Madam,

I am AMANA NAFIA, pursuing B.COM from School of Distance

education, Kannur University. As a part of my course I am doing a
project work on “A STUDY ON CONSUMER BEHAVIOR WITH
SPECIAL REFERENCE TO SULTHAN DIAMONDS AND GOLD,
KASARAGOD”. I request you to spare a few minutes for me to answer
the following questions.

KINDLY TICK YOUR OPTION

1. Name :…………………………………………...

Address :……………………………………………..

……………………………………………..

Mob No:……………………………………………….

E-mail: ………………………………………………

2. Sex:
a) Male b) Female
3. Income Group
a) Below12000 b)12000 – 200000

c) 20000 – 4000 d) Above 40000

53
4. Marital Status
a) Married b)Unmarried
5. Age
a) Below 25 c) 25 – 40
b) 40 – 60 d) Above 60
6. What Product did you buy from Sulthan Gold?

a) Gold c) Watch

b) Silver d) Diamond

e) Platinum

7. Are you aware about the products available other than Gold?

a) Yes b) No

8. Are you satisfied with the making charge?

a) Yes b) No
9. Amount of Gold you own (in Rs.)
a) Below 6000 c) 120000 - 200000
b) 60000- 200000 d)Above 200000
10.By which media you came to know about Sulthan Gold?
a) Newspaper c) TV
b) Yellow pages d) Word of mouth
11.How would you rate design of Gold ornaments of Sulthan gold?
a) Excellent c) Average
b) Good d) Poor
12.Are you able to get immediate response for the complaints
registered?

54
 a) Yes b) No
13.How would you rate the salesmen responsiveness of the Sulthan
Diamonds and Gold?
a) Yes b) No
14.How would you rate the service facilities of the Sulthan
Diamonds and Gold?
a) Excellent c) Average
b) Good d) Poor
15.How would you rate the overall services of the Sulthan Diamonds
and Gold?
a) Excellent c) Average
b) God d) Poor
16.How would you rate the satisfaction level of the Sulthan
Diamonds and Gold?
b) Excellent c) Average
c) Good d) Poor
17.Whether a purchase decision formed due to Advertisement
a) Yes b) No
18.How would you rate the advertisements of Sulthan?
d) Enthusiastic b) Favorable
e) Very favorable c) Unfavorable
19.Whether there was a recollection slogan?
b) Yes b) No
20.Will you insist your well-wishers, friends and relatives to
purchase fromSulthanDiamonds and Gold?
c) Yes b) No
21. Suggestions (if any) ……………………………………

55