PROJECT REPORT

“A Study of Consumers’ Buying Behavior of Pens at Retail Outlets in Rural Areas”

HAMILTON WRITING INSTRUMENT PVT. LTD.

Submitted in the partial fulfillment of the requirement of Post Graduate Diploma in Management

Under the supervision of:
Prof. Abdul Qadir Faculty Mentor Mr. Manas Ranjan Nayak Industry Mentor

Submitted by:
Gadadhara Rath
Roll # PGSF1138, Batch 2011-13

A-32 A, Sector 62 JAIPURIA INSTITUTE OF MANAGEMENT Noida 201309
JAIPURIA INSTITUTE OF MANAGEMENT, NOIDA Page 1

CERTIFICATE

This is to certify that Mr. Gadadhara Rath of PGDM has successfully completed Summer Training Programme for a period of 8 weeks with HAMILTON HOUSEWARE PVT. LTD. From 29/04/2012 to 22/06/2012.

As per our assessment, he is hard working and his performance has been excellent during the training programme. We wish him all the success for his future endeavours.

Manas Ranjan Nayak Area Sales Manager Hamilton Writing Instrument Pvt. Ltd.

JAIPURIA INSTITUTE OF MANAGEMENT, NOIDA

Page 2

DECLARATON

I hereby State that the summer project report entitled “The Study of Consumers Buying Behavior of Pens at Retail Outlets in Rural Areas” submitted by me in partial fulfillment of the requirements of PGDM, is my original work and that it has not previously formed the basis for the award of any other Degree, Diploma, Fellowship or other similar titles.

Date: 29th April, 2012 Place: Bhubaneswar (Orissa)

Gadadhara Rath Roll # PGSF1138

JAIPURIA INSTITUTE OF MANAGEMENT, NOIDA

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Bibhu Chaudhuri. for giving me a chance to work with esteemed company. Prof. sales officer. Nayandeep Dutta. each step must be itself a goal and a step likewise. Mr. Hamilton Writing Instrument Pvt. my special thanks to Mr. for his contribution regarding scope and learning of the project. NOIDA Page 4 . Hamilton Writing Instrument Pvt. Sales Officer. Ltd.ACKNOWLEDGEMENT It is not enough to take steps which may someday lead to a goal. – Johann Wolfgang von Goethe I would like to express my deep sense of gratitude and special thanks to: Hamilton Group. Mr. Gyana Ranjan Parida. for giving me the opportunity to spend eight weeks at the company in fulfillment of requirements of my Summer Internship Program in the esteemed company. Deepak Singh faculty member. Last but not the least.. Regional sales manager.Manas Ranjan Nayak. Abdul Qadir Mentor and Dr. Area Sales Manager and Mr. JIM. Ltd. for helping me from the very first day in each and every aspect of the project. Noida who helped me in understanding the objective of the project and in various analyses. JAIPURIA INSTITUTE OF MANAGEMENT.

2 Introduction to HWI (P) Ltd. RECOMMENDATIONS 53-56 Annexure Bibliography JAIPURIA INSTITUTE OF MANAGEMENT.1 3. NOIDA Page 5 . Overview of Pen Industry 4-23 CHAPTER 3 OVERVIEW OF COMPANY MARKETING MIX 3.3 3.TABLE OF CONTENTS CONTENTS Certificate Acknowledgement Declaration Executive Summary CHAPTER 1 INTRODUCTION TO STUDY 1.2 Objectives of Study Research Methodology PAGE NUMBER I II III IV 1-3 CHAPTER 2 COMPANY PROFILE 2.1 1.1 2.4 Introduction Core Competency Four P‟s Region-Wise Sales Break up 24-37 CHAPTER 4 RESEARCH FINDINGS & ANALYSIS 38-52 CHAPTER 5 CONCLUSION & SUGGESTIONS.2 3.

geographical location. Buying preferences of the consumers send signals to the producers to produce various commodities in required quantities. money. The rural consumers in India account for about 73 percent of the total consumers. The buying behavior of the rural consumers is influenced by several factors such as socio-economic conditions. information technology and more importantly governmental intervention through legislations. literacy level. The study of consumer behavior implies how & why a particular consumer reacts to the decisions of producers. effort) on consumption related items. The attitude of consumer or buyer decides how demand will emerge for a new product & service & how existing goods and services would survive in future and in which manner. the lifestyle of a large number of rural consumers in India has changed dramatically and the process of change is on. In recent years. occupation. It is an old saying that customer is the king because he is the person whose decision have affect on the demand of any product or service. The study of consumer behavior is the study of how individual make decision to spend their available resources (time. exposure to media etc. Consumer behavior in the rural market is even more perplexing because of a singular lack of consistency in groups which are homogeneous in parameters of demographics-Age. It has yet to spread among the masses in rural areas. the manufacturers are more cautious in dealing with consumers of their respective products. Producers. JAIPURIA INSTITUTE OF MANAGEMENT. Thus. where they buy it. how often they buy it & how often they use it. when they buy it. occupation. A free market economy provides freedom to the consumers to buy and consume goods of their choice. NOIDA Page 6 . efforts on the part of sellers. Consumer behavior has changed in recent years owing to enhanced awareness. education and income. produces only those commodities which are desired by the consumers. It includes the study of why they buy it. Consumer behavior is related to likes and dislikes and expectations of the consumers. The consumer movement in India till now has been confined to the middle class citizens in urban areas. cultural environment.EXECUTIVE SUMMARY Introduction to consumer buying behavior in rural market The ultimate objective of all production is consumption for the satisfaction of varied needs of man. therefore.

Methodology of the Research Work: Population: Hamilton has a very commendable reputation in the market.Cuttack. It also focused on the issue that whether the marketing strategies are properly implemented in rural areas or not. Data Analysis: The data collected through the above tools has been analyzed with the help of appropriate Statistical techniques such as Bar graph. How much they search for his brand? What factors influence they too buy the preferred brand. It also includes the study of why they buy it. resources available on Internet has been consulted. I have collected data from both primary as well as secondary sources. Questionnaire: Keeping in mind the objectives of the study.Khurda) Data Collection: Data for the study has been collected both from the primary and secondary sources. Sample: It is a very difficult work to conduct the survey in the every nook and corner of India and it‟s not feasible at all. Extent: This study has been done in 3 district of Orissa (Balasore. Hereby I have taken the data from rural people in 3 districts of Orissa. journals research reports published. For primary sources I have collected data from Customers. Questionnaires / Schedules has been developed by me. Grip etc. for secondary data all published literature on the subject available and other magazines. The study would be beneficial for the Hamilton Company to formulate the strategy for future.Introduction to Study My topic for the study was on “consumers buying behavior of pens at retail outlets in rural areas”. While for the primary data I have directly approached to the potential customers. Of course it is very difficult to describe consumer buying behavior about pen. Orissa consists of people who are from different background and different cultures so I have basically focused on the various Customers who buy pens. when they buy it. Design. There are various brands of pens in the market of difference types Price. even though I have tried to find how the consumer purchases a particular brand. The same has been done in the case of secondary data as well. Pie chart. This study focused on understanding the consumer buying behavior of pens at rural retail outlets. NOIDA Page 7 . how often they buy it & how often they use it. so the pen market is full of competition where the consumer possesses vast variety of choice to select his brand which depend on his buying behavior. Color. JAIPURIA INSTITUTE OF MANAGEMENT. where they buy it. Pen is a product which is used by each and every person.

so there are many opportunities for Claro to enter in to the rural areas. The results are strictly relative and not obsolete.Limitation The study is limited to the variables under consideration and the results are based upon the responses of the respondents. I would like to conclude that rural people‟s behaviors are changing day by day. „ In the end. JAIPURIA INSTITUTE OF MANAGEMENT. NOIDA Page 8 . They are now becoming brand conscious and purchasing power of people are increasing.

NOIDA Page 9 .CHAPTER-1 INTRODUCTION TO STUDY JAIPURIA INSTITUTE OF MANAGEMENT.

) PERSONAL INTERVIEW.e. NOIDA Page 10 .  To know which price range of pens are mostly preferred by the rural people.1.  Primary Data: Primary data are those.The secondary data are those.  To study purchases and consumption pattern of the rural consumers. JAIPURIA INSTITUTE OF MANAGEMENT.  To study the impact advertisement on consumers in different Age Group. Secondary data was collected from the magazines. & discussion with the respondents was used to collect the required primary data. 1.  Secondary Data: . which are collected for the first time. websites and other such sources. which will ultimately help the company management to study the analysis and understand the behavior.2: RESEARCH METHODOLOGY  Methods of data collection: The data has been collected in two ways. and they are original in character. Primary data gives higher accuracy and facts. Income Group & by profession. Sub objectives:  To know about the pen industry. which are already collected by someone for some purpose and are available for the present study. I have collected primary data from questionnaire (i.  To know what factor mostly influences the rural consumer to buy pens.  To help the company marketing managers to design an effective marketing mix for its target customers. A suitable combination of Questionnaire techniques. which is very helpful for any research and its findings.1: OBJECTIVE OF THE STUDY  Research objective: "Identifying Consumer Buying Behavior regarding Pens at Retail outlets in Rural Areas” The main objective behind the project is to identify consumer buying Behavior regarding the Pen at rural retail outlets.  To know the satisfaction level of the rural consumers with various brands.  To know the rural consumer buying behavior about pens.

tangi). Student. it is the perception of an average customer. The area of survey was Balasore(khantapada.Descriptive Study The objective of the study is to identify the Consumer Buying Behavior on different Variables like Price.banki) 8) Sampled Population : Business Person. Khordha (jatni. Housewife's Etc 9) Sample Size : 100 Consumers 10) Sampling Technique : Convenience Sampling Limitations to study A research study is never perfect. Product Performance. this study is limited to variable under consideration. I have used both the Close & Open Ended Question where the researcher is free to answer in their own words too. which may or may not be biased. There is always some scope of improvement in the study in the future. Thus. Purpose of study: .soro). Service Person. In other words. JAIPURIA INSTITUTE OF MANAGEMENT. it becomes important to critically evaluate the results and the whole study.  Research design 1. b) The research is based on the responses given by the respondents. 4) Method Of Data Collection : Personal Interview 5) Research Instrument: Questionnaire. 6) Research Environment : Field Study 7) Sampling Area: Balasore(khantapada. Banki) in Odisha and it was on rural areas only. Cuttack(tangi choudwar.soro). Tools and techniques of data collection:  Questionnaire method: .tangi).Primary data is collected by surveying the respondent personally. and many other variables which play a key role in impacting the Buying Decision. which affects consumer‟s perception about pens and is not possible to take all of them into account. c) The results shown are relative in nature and are not absolute. The present study has certain limitations that need to be taken into account when considering the study and its contributions: a) There a number of a factor. Cuttack (Tangi Choudwar. Khordha (jatni. Thus. longitudinal study was not possible). NOIDA Page 11 . 2) Degree of research question crystallization: Exploratory study 3) Time Dimension: Cross Sectional (As the Study is done only once in the pre specified period of 8 weeks.

NOIDA Page 12 .CHAPTER-2 COMPANY PROFILE JAIPURIA INSTITUTE OF MANAGEMENT.

TOPPER. ACE.in WEBSITE FORM OF THE ORGANISATION BANKERS MANAGING DIRECTOR www. Ramesh P Rathod (ENGINEER) Mobile.GENIUS CLARO ABOVE 1000 PEOPLE PLOT NO.Mr.PIPARIA Silvassa Dadra and Nagar Haveli.2. LTV NAME OF THE UNIT HAMILTON WRITING INSTRUMENT PRIVATE LIMITED YEAR OF ESTABLISHMENT IN THE YEAR 2008 ON JANUARY 1 PRODUCTS BRANDS NO. BALLARD ESTATE.in PRIVATE LIMITED COMPANY STATE BANK OF INDIA.MUMBAI INDIA EMAIL ID info@hamiltonindia. NOIDA Page 13 .hamiltonindia.49/50. Mr.91-260-2632618/9 Contact Person. Ajay Vaghani JAIPURIA INSTITUTE OF MANAGEMENT. OF EMPLOYEES ADDRESS REGISTERED OFFICE HI TECH.KAISER-I-HING BLDG.1: INTRODUCTION TO HAMILTON WRITING INSTRUMENT PVT. India Phone No. HDFC ETC.3RD FLOOR 400001.+919824776227 ADDRESS MUMBAI OFFICE HAMILTON WRITING INSTRUMENT PRIVATE LIMITED CURRIMBHOY ROAD.DHANUDYOG INDUSTRIAL ESTATE . A-ONE.

1.ltd. both in writing instruments.HWIPL forayed in to the manufacture of writing instruments in September 2008.INTRODUCTION Hamilton writing instruments Pvt . Claro has its manufacturing base in Pipariya.. company have introduced 10 products and all have been well received in the market. 2 mm presently. Get ready to write…. 1. Company is fully gearing of infrastructure to become one of the leading players in market.who diversified in to the manufacturing and distribution of writing instruments. India. HWIPL took over the brand “CORPORATE” from Kalpataru group. . targeted especially at today‟s youth and young students. Silvassa (Dadra & Nagar Haveli). NOIDA Page 14 . Over a period of time it has carved out a niche in the stationary retail market as well as in office supplies. distributers and exporters of house ware products across the globe with the flagship brands MILTON & TRIO. The products are launched under the brand name “CLARO” and in the process set up a fully integrated plant for the manufacturing of Ball pens & Gel pens. introduced 10 products and all have been well received in the market. (HWIPL) is promoted by Hamilton Group of Companies who are one of the leading manufactures. Factory is completely automated with latest technology and high Class German & Swiss machines. Corporate is an already well established brand in the stationary segment. Not to forget the only one in India manufacturing 1. Hamilton offer complete manufacturing solution right from tip manufacturing to the end assembly of Pens which is carried on fully automatic assembly lines. 0 mm. with many of its quality products. What company foresees is substantial growth in opportunities. 6 mm tip size apart from 0. Company firstly. In May 2009. Smooth & Fast! JAIPURIA INSTITUTE OF MANAGEMENT. company is in the process of adding many more products in his portfolio. as well as in office and school stationary segments in the coming years. The brand “CLARO” was introduced in January 2008 by Hamilton house wares pvt.Ltd. since inception. as the company felt there is a lot of synergy between pens and stationary. wholesale suppliers.clear. 7 mm. To cater to the demands of the Indian and as well as global consumers.

convenience and style.Mission „To be the unassailable leader by providing branded (best in class) products redefining value. JAIPURIA INSTITUTE OF MANAGEMENT. It underlines our resolve to be the change we want to see. Innovation – Innovation to us extends beyond designing path-breaking products which become the new benchmark for competition. We value this sentiment not just for external but internal customers as well. NOIDA Page 15 . Collaboration – Collaboration signifies the spirit of partnership that we share with all our stakeholders. Going that „extra mile‟ to ensure desired outcomes in our circle of influence and leveraging mutual expertise is how we bring this value to life. Through all engagement we aim to exceed expectation with this most important stakeholder. It also represents our quest for constant process engineering for superlative optimization of assets.‟ Core values Customer first – „Customer delight‟ is how we best describe our aspiration as a company. Evolve – Evolution for us transcends the compulsive adaptation in response to environment.

1991. 2008 JAIPURIA INSTITUTE OF MANAGEMENT. It was set up in 2007 mainly for the production of writing instruments that are marketed under the brand name “CLARO”. NOIDA Page 16 . The plant is fully automated and encompasses total integrated manufacturing facilities. 2003.PLANT OF WRITING INSTRUMENT Pipariya (plant 50): writing instrument unit The Pipariya plant is located near Silvasa. The Pipariya (50) is also in close proximity of the west end docks and acts ideal hub for our export business. Fig-1: AWARDS AND RECOGNITION  Super Brand (consumer validated)  PLEX Award Year: 1983-1987. the quality control department at this unit is modeled in a way to provide the finest products and services to our clientele globally. The unit is well equipped to produce all parts of writing instruments under one roof. Besides. 1993-2001.

that cater to consumers from the age group of six to sixty are marketed under the brand name Reynolds. Claro and other players. The company‟s turnover is Rs 175 Crore with 12% of market share. Cello It is the biggest player in the industry with 33% of market share and turnover of Rs. gel pens. the company has an 14 per cent market share with Cello and Reynolds being the major competitors.M pens offer the widest range of writing instruments and accessories in the Indian market.MARKET PLAYERS The following are the major player in writing instrument industry of India. handy boards etc. Plastic Gel Pens and Refills SINCE 1986. gel pens and all other stationary suppliers. mechanical pencils. Today’s Today‟s Pens are an internationally acclaimed Manufacturer & Exporter of High Quality Plastic Ball Pens. Linc. A Varity of writing instruments including ball pens. For some with a good quality pen at finger tips actually elevates their confidence level and make them feel good. 400 Crores. As the present scenario Cello is consider to be Market leader in the industry. JAIPURIA INSTITUTE OF MANAGEMENT. Pen-India. Reynolds G. Linc accounts for less than 5 % of the Rs 504 Crore western India market for writing instruments. fountain pens. ball pens forms the biggest chunk of the pen market in India and accounts for 72 percent of the total pen market and followed by gel pen at 28 percent (Refer Table 1). Claro Claro is a new player in the writing industry still it has occupied larger market. NOIDA Page 17 . The company is growing 15-20 % per year and has a 5% market share. Linc Linc pen-one of India‟s leading manufacturers and exporters of ball pens. markers. According to the 2006 ACNielsen Retail Audit. Pen as a product is close to people of all walks of life at different age and of different gender and the association of it is a lifelong one. The brand leaders in this market are Cello. The company has a 17% market share with Cello being the major competitors.

Chart1: Ball and Gel pen-Market Break-up (value) Market Break-up 28% Gel pens 72% Ball pens ACNielsen Retail Audit Report. April 2006 Chart2: Market share of pen market Market share 20% Un organised Organised 80% JAIPURIA INSTITUTE OF MANAGEMENT. NOIDA Page 18 .

which forms companies‟ major banking as well as raw material sources and activities are smoothly undertaken. 3. Here sales tax is free up to 15 years. NOIDA Page 19 .T) is that it is recognized as zero tax industrial zones. 4. Infrastructure facilities The national highway no. Tax free zone The biggest advantage and motivation of locating plant in Dadra. Silvassa (U. This zone also enjoys income tax benefits.8 is just 15 km away from the plant as well as railway station of vapi is just 17 km away from the plant. Availability of power The cost of electricity available in this area is almost half in comparison to other industrial areas.Chart13: Market share of different companies in organized sector 33% 35% 30% 25% 20% 15% 10% 5% 0% 17% 14% 12% 5% 19% Cello Linc Reynolds Todays Claro Others Market Share LOCATION ADVANTAGE 1. JAIPURIA INSTITUTE OF MANAGEMENT. Closeness to financial hub(Mumbai) The location of the plant and company is at Dadra and other plants are also nearby which are very well logistically connected to financial hub Mumbai. This facility helps the company to regularly procure raw material from distances paces as well as to bring the most efficient manpower at work. 2.

The Tip and Ink are carefully balanced with each other to achieve the optimal mix of writing smoothness and ink letdown. The principle of the ball point pen is that within the writing tip a metal ball housed in the socket rotates freely and rolls quickly drying out the writing surface. Refills: company also manufacturers Refills which is most technology intensive part of the pen. company is able to procure local workforce and cheaper rates and the supply is abundant. Availability of water facility Water is very essential requirement for the process of pen manufacturing. The price of the product depends on the number of parts that make up the body of the pens. 3. It is vibrant color wise and considered smoother to write. The different brands of Ball and Gel pens of the company as under       Hi Tech Ace A-one Topper Genius And many other brands… JAIPURIA INSTITUTE OF MANAGEMENT. which provides absolutely flawless thus provide beautiful writing. 6. which is generally the pen barrel or a tube within. The body consists of different several components depending on the complexity of the product and its design. Ball pens: The bodies of the Claro pens are made by toxic materials. Gel pens: They are similar to Ball pen except.5. however it has a short writing length and poor shelf life as compared to ball pens. as it is used for the coolant purposes but company has an advantage in this area as it has its own bore wells and water supply is regular. These pens dole out equal ink on the paper. they use ink that is water based and in the form of a gel. Availability of cheap labor As pen manufacturing does not require a technical expertise except (mould and dye). also the design and the materials used. The writing ball being continuously fed by ink from the reservoir. 2. imported from Switzerland. NOIDA Page 20 . PRODUCT DETAILS Types of products The company solely manufacturers the following mentioned products 1. which keep people free from infection.

6. NOIDA Page 21 . Point-0.The picture of different brands are demonstrated as below Claro: C-101. and Red JAIPURIA INSTITUTE OF MANAGEMENT. Color-Blue. Black. Ball Pen. Color-Blue. Ball Pen. Red Claro: Ace. Black.

Point-0.6. NOIDA Page 22 . Gel Pen. Color-Blue.Claro: Sigma. Red JAIPURIA INSTITUTE OF MANAGEMENT. Black.

Color-Blue.7. Red Claro: Sensation ball Pen.7. Color-Blue.Black JAIPURIA INSTITUTE OF MANAGEMENT.Claro: IRIS Ball pen. Point-0. Black. Point-0. NOIDA Page 23 .

Black.6. Red JAIPURIA INSTITUTE OF MANAGEMENT. Color-Blue. Point-0.Claro: Duro Ball Pen. NOIDA Page 24 .

Weakness of the company 1. Distribution network: Company is dealing with around 320000 retail outlets across India. Duplicity of the product and designed by the unorganized players is also a threat to company and its profit margins.COMPANY SWOT ANALYSIS Strength of the company The following are the strength of the company: 1. threatening the domestic market as well as international markets. Increased no of domestic players enhancing competition leading to probable price and advertisement war reducing per piece realization. 2. As rural people are becoming more brands conscious it can have an opportunity for company to capture the larger market share in rural areas then it existing shares. Threats for the company 1. 3. Ltd. NOIDA Page 25 . Plant is 10 lakhs pen per day contributing to economies of scale advantage to company. Designing and Mould making: The Company is one of its kinds in the country having its own exclusive designing and mould making facilities. High quality and low cost: Due to mass manufacturing and in house mould making company is able to produce quality products at less cost adding to increased profit margins. Effective anti dumping laws in India and other will provide to counter the competition with Chinese companies. It‟s a new company Opportunity for the company 1. Increasing influx of Chinese products. 3. This enables the company to introduce new products at cheaper rate than its competitors at high frequency and much lower risk. 2. 4. 2. 3. Rising raw material prices of plastic granules and other will force the unorganized and smaller players out of the market giving an opportunity to company to encase on those customers. Mass manufacturing: companies‟ current production at Hamilton writing instrument Pvt. JAIPURIA INSTITUTE OF MANAGEMENT. As cost of mould making is reduced be 15-20%.

Packing materials: Company uses various grades of plastic. cap. craft paper and cardboards and corrugated boxes purchased from local markets. Different machines are used for the process as mentioned below:  Foiling machines It is used to print the label on body manufactured as well as on the refill manufactured.  The liquid form is then moved to moulds and dyes in the injection molding machine where it is cooled by the water which further gives it shapes and get inject from the machine. Tips and points: Tips are imported from Switzerland and the size. NOIDA Page 26 . tumblers etc. JAIPURIA INSTITUTE OF MANAGEMENT. accent. century. If different shades and colored are required then the plastic granules are mixed with color granules in the specified quantity. At this heat level the mixture melts and get converted in to liquid form. PRODUCTION PROCESS OR MANUFACTURING PROCESS OF PEN The complete manufacturing of pen is dividing in the five main parts they are as mentioned below 1. blisters. Plastic Granules: This primary raw material is used in the preparation of the body. 3. caps of the pen and refill. croma etc. grip etc are processed and prepared on the injection molding machine.) sigma. 3. Refilling process This is the manufacturing process where already purchased or procured ink from outside markets are filled in to refills used for the pen for writing purposes. acetate bottles. Nozzle. Company also uses other packing materials like packaging jars. 2. Inks: Company uses free flow korean inks which are imported from Korea. 4. printed with company logo Claro and with the respective brand of the pen (i. Labeling process(on cap and body of ball pen) At this stage the already made pen and refills are to be labeled (i. 2.e. shape of the tip determines the price of the tips.  Plastic granules are heated from 200 to 240 degree Celsius depending upon the product requirement.) body. expert.e.RAW MATERIALS DETAILS The following are the raw materials used in manufacturing of ball pen and gel pen: 1. Injection moulding process  The different components of pen (i.e. The company uses Polypropionate Carbonated Plastic.

4. During the entire Production Process efforts are made to maintain the quality. The Hamilton Group is processing ahead with a clear vision with the 3 essentials encompassing  Quality Control  Quality Assurance  Quality Optimization It is this streamlined approach of the promoters & the company that has enabled the company carves a niche amongst their esteemed consumers today. accurate colors & designs of the products. At the plants. Quality Control requirements are monitored and followed through all major the operations. State of the Art Quality Laboratories ensures Quality Optimization. durability and sustainability of the product and its functionality. d) Reliability Test: This is the final test done to assure long life. where customers requirements are approached with great detail and dynamism. Plotting machine It is used to print the label of the company on caps. Assembling process Once all the Ball pens and Refills of a particular Batch of Production is labeled this the final stage of Pen Manufacturing here all the labeled and inspects part and lots are Assembled. All products go through rigorous testing for quality before they are introduced. At the manufacturing plants. Their primary aim is to be engaged in optimum quality solutions. c) Product Performance: Testing of its performance against standard claims. It is the sheer persistence to provide perfection that fulfils each of the company‟s endeavors with far sighted commitment. Their experts ensure that only the finest products are delivered to the clients through every consignment. the quality of each product is also JAIPURIA INSTITUTE OF MANAGEMENT. QUALITY CONTROL & INSPECTION At Hamilton. NOIDA Page 27 . b) Esthetics Check: To assure finish. and is reflected in the company‟s growth. There are four major Quality Control check points are laid out as follows: a) Raw Material Acquiring: All raw materials are inspected against standard specifications before use. Moreover. Finally the Packaged pen is inspected and made ready for Dispatch to stores Department. a strict quality control is observed which is translated into world Class Quality. Quality laboratories are set up for each area of production where stringent Quality Assurance checks are undertaken.

) Plastic Granules at certain degree and the melted mixture is observed if the mixture appears to be reddish it shows that raw material is not of desired quality and cannot be used for manufacturing process as it can result into defective pieces. Daily Production Process Inspection: A Quality Control Inspector is appointed with the team members to continue the inspection process. The Inspection is done as mentioned below 1. But here the assembled Ball pen are inspected for the fitting. so that the brand lives up to customer expectations.reviewed periodically to ensure its consistency in performance. then the entire lot is rejected and sent for reprocessing. the lot is returned back to the suppliers. JAIPURIA INSTITUTE OF MANAGEMENT. Cap. Final Inspection: Here the same procedure of Inspection for quality is undertaken as followed during production process. Preliminary Inspection: This is done to check out whether the raw materials used are as per required standards. Post Production Inspection: Once the required batch is manufactured. Random samples are taken from the batch to be dispatched. 3. out of that total batch some random samples of 50 are taken and if defective pieces exceeds size of 5. Color etc. 4. and at the end of the day report is to be submitted to QC Production. 2. Heating of raw material (i.e. Inspection of the manufactured Ball pen parts is done at every 2 hours manually to check out shape. Thus. Durability. Grip Holding etc. NOIDA Page 28 . Texture.

As a result critical pen component like refills are manufactured in house. Pen and pencils continue to be the staples of everyday life and indispensable items for everyday use. China controls approximately 10% of the global markets while the Indian share had so far been mini scale. But given the superior quality perception that “Made in India” pens have over the Chinese. branded off make will accelerate and helped the organized sector eat into unorganized presence. In fact the writing instrument embraces the evolution of technology by incorporating it into new products and using it to enhance business aspects and client services. The advent of computers and related technology has yet to make writing industry and instruments slow placed and obsolete. Mont Blanc.5% in 2005-06. There are over 50 brands In India‟s organized and unorganized sectors. The Indian writing instruments market today is still on the path of discovering new niches with ergonomic designed products. promotional marketing items and luxury items but in the coming years it is bound to grow tremendously not only domestically but also in its exports emerging as world leaders in Writing Instruments. while all non critical components are outsourced.2: OVERVIEW OF PEN INDUSTRY IN INDIA There has been a need to document through the use of writing instrument since the dawn of mankind. JAIPURIA INSTITUTE OF MANAGEMENT.e. India is the only country after China to have fully fledged writing instruments industry built purely on the platform of its own domestic market demand. largely driven by the growth of organized sector. the buying preference of major retailers has been shifting to Indian products and brands.a). Christian Dior and waterman. NOIDA Page 29 . Pierre Cardin and other designer pens from Episode. Cross. Parker. high volume low value strategy) while international player caters to premiums segment operating through exclusive distributers. Most Indian companies cater to the “Value for Money” (i. Globally writing instruments industry is estimated at Rs 50000 crores (p. Cartier. school and household. Writing instruments continue to play integral part in the life of particularly every business. Frazer and Haws. India‟s writing instrument industry is reserved for the small sector with a statutory limit on the maximum investment in plant and machinery at Rs 50 crores. It is expected that promotion. easy availability and affordability. indicating that consumer are responding favorably to quality and branding. The industry grew by about 15% in 2004-05 and by 13. The size of the writing instrument industry in India is estimated about Rs.2. With economic liberalization many premium international brands entered India either independently or in collaboration with Indian manufacturers and distributors. These includes Reynolds.1800 Crores of which organized player account for 80% of the market share and the unorganized player for the rest.

85% of users use blue. The writing instrument market is dominated by ball point pens accounting for 70% of India‟s total pen demand. writing instrument industry is rising at a healthy rate despite growing computerization. where the organize sector now controls 70% market share in 2011 as compared to 54% up to 2000. GLOBAL WRITING INSTRUMENT INDUSTRY Globally. Category Students Commercial Multi-level % user share 55-60 20-25 15-20 The above information regarding the writing instrument industry has been obtained from the public sources like: Business line. The global writing instrument industry is estimated at Rs 65000 crores. some companies catalog are used along with internet support. The market is segmented according to the following target audience:    Students(many of whom depend only on pencils and ball point pens) Frequent users(in offices across commercial and public establishments) Occasional users(housewives and literate manual workers) While India‟s literacy rate is a high 74%. Indian product quality is among best in the world. due to its manufacturing process. NOIDA Page 30 . the market share flowed from the unbranded to the branded sector. followed by gel pens at 20% and fountain pens at 4%. (p. Financial Express.Over the years. JAIPURIA INSTITUTE OF MANAGEMENT. black and red ink. Economic Times. While pen demand among the employed is relatively stagnant. Compared to china mass market products. all literates occasionally use ball or fountain pens. Indian market is growing healthily at 15 to 20% and is expected to grow with same rate for upcoming 2 to3 years (acc CAGR). China controls approximately 10% of the global market. demand among students is experiencing a healthy growth as this segment is more brands conscious.a) where USA markets grew by 5% last year (2005-06) and is expected to grow by the same proportionate at this time too. India is becoming most preferred manufacturing destination after china.

but due to cast factor manufactured have started shifting to China and India.MARKET AND MARKET INFORMATION (IN DETAILS)           The worldwide market size for writing industry is Rs 100000 Crores (p. size of different moods. Taiwan & Korea were hubs for the writing instrument industry. 100-300. The market for lower price range pens (up to Rs. Thus there is ceiling on investment in plant and machinery manufacturing process (Max Rs.68 Billion Dollars (App Rs 21000 Crores). The annual turnover of the industry in India is now estimated at Rs 2000 Crores per annum and is expected to increase at an annual growth rate by 15-20% per annum. REGULATORY REQUIREMENTS In India as per law. ink. Earlier there was one pen to write. A small percentage of pens are priced in the range of Rs. today most buy along with a number of other things as part of their monthly provisions. Because the consumer would go out specifically to buy a pen earlier. Japan. but now India is emerging as a major Tip manufacturer satisfying not only Domestic demand but Global demand also. Today.a). China exports of pens are over Rs 5000 Crores (p. Gone are the days where pen were just considered as merely an item of writing.a). needs and situation. But now it is a quasi fashion statement something that‟s aligns with your personality. NOIDA Page 31 . the manufacturing of writing instruments is reserved or falls under the category of SSI (Small Scale Industry Sector). of course still the pen purchase decision is considered as low involvement decision. now interestingly even as communication getting increasing psychological. Germany. India is viewed as a quality supplier. 50 Crores). Of course any EOU (Export Oriented Unit) does not fall under this purview of SSI. excluding mould making as it is highly capital intensive pert of manufacturing. Previously Switzerland was the manufacturing center for ball point tips. CHANGING CONSUMER BEHAVIOR The purchase of a single pen used to be a considered decision until not too long ago. most consumers buy multiple pens in a single purchase. About 80% of India‟s pen industry revenue comes from pens with a price range of up to Rs. where as china as a cheaper and lower quality products supplier. 15.15) is growing at 7-8% annually. JAIPURIA INSTITUTE OF MANAGEMENT. there is different pen. the midrange pen market is growing faster at 8-10%.where USA‟s market alone is $4. India exports of pens are over Rs 200 Crores (p.a).

NOIDA Page 32 .CHAPTER-3 OVERVIEW OF COMPANIES MARKETING MIX JAIPURIA INSTITUTE OF MANAGEMENT.

Marketing management has the task of influencing the level. and that he goal is to produce satisfaction of the parties involved.1: INTRODUCTION Marketing is so basic that it cannot be considered as a separate function. Marketing management is essentially demand management. Marketing management takes place when at least one party to a potential exchange thinks about the means of achieving the desired responses from the other parties. timing and composition of demand in a way that will the organization achieve its objectives. pricing. promotion & distribution of ideas. JAIPURIA INSTITUTE OF MANAGEMENT. The company reaffirmed its focus on high volume low value category of writing instruments. that it covers goods. wants& demands. planning. NOIDA Page 33 . that it rests on the notion of exchange. value. cost & satisfaction. And the Companies are among the premier manufacturers in the Country. “Marketing management is the process of planning and executing the conception. exchange and transactions. India is definitely on its way to becoming am international hub for the manufacture of writing instruments. products. relationship and networks. Marketing has been defined in various ways.” This definition recognizes that marketing management is a process involving analysis. markets and marketers and prospects. It has achieved a remarkable success in the Industry. good and services to create exchanges that satisfy individual and organizational goals.” This definition of marketing rests on the following core concepts.3. offering and exchanging products of value with others. services and ideas. needs. implementation and control. The definition that serves our purpose best is as follows: “marketing is a social and managerial process by which individuals and groups obtain what they need and want through creating.

NOIDA Page 34 .  Foreign Collaboration & Exportable Product Varieties. It also reduces it production cost giving a competitive price advantage over its competitions in organized sector.  Huge Production Capacities 10 Lakhs Pieces Per day. JAIPURIA INSTITUTE OF MANAGEMENT. In-house Manufacturing of Mould & Dyes this enables the company to launch Newer and Newer Design and varieties faster than its competitors.  Large Varieties of Pen (Ball & Gel) in Different Price Range. Other Things Contributing to Success of the Company are as under:  Extensive Distribution Network. reaching 320000 Retail outlets.  Stationary Items.2: CORE COMPETENCY The biggest strength of the company which its competitor is not able to capitalize is Its Own R&D.3.

” “Marketing mix is the blending of 4 inputs or sub-mixes. Refills 4. Ball Pen 2. Office Stationary. Packaging and Labeling which are as under: JAIPURIA INSTITUTE OF MANAGEMENT.” “Marketing mix is a set of marketing tools that the firm uses to achieve its marketing objectives in the target market. A product means the bundle.3: FOUR P’S OF THE COMPANY Marketing mix is a set of controllable marketing variables that the firm plans to produce the response it wants in the target market. Gel Pen 3. All the above mentioned products are in different varieties.3. HRIPL is major manufacturer of following products 1. which form the core of marketing system. They are:     Product Price Promotion & Place The Marketing Mix of "HAMILTON WRITING INSTRUMENT PRIVATE LIMITED" is as mentioned below: PRODUCTS A Product is anything that can be offered to a market to satisfy a want or need.” “Marketing mix is an optimum combination of all marketing components which facilitates realization of company‟s objectives. NOIDA Page 35 . features. which satisfy human needs.

6 0.00 10.00 10. Point/Tip Of the pen(mm) 0.00 5.6 0. NOIDA Page 36 . On an Average the Company Launches 15 New Products & Design Every Year out of which majority of them are successful.00 10. LUCKY 7(NEW) 17.6 0.6 0.00 20. HONEY 13.00 3.6 0.00 10.6 0. SWIFT 4. There are certain office stationary which presently the company is outsourcings from other manufactures. CG-109 12. SONIC 10.6 0.6 0.7 0. X CEL 9.7 0.5 Price Per Piece MRP.6 0.6 0.00 5. GENIUS 5. BRIO 6. FUN(NEW) 15.00 6. CG-110 18. NOVA 3. C-999 11.00 10.6 0. LUCKY 8. SUPER HERO 14. CROMA 2.00 6.6 0. 1.00 JAIPURIA INSTITUTE OF MANAGEMENT. FUNK(NEW) 16.00 5. The list of product varieties is as under: Table-1 Name of the Product Ball Pen/ Gel Pen. ELITE Ball pen Ball Pen Ball Pen Ball Pen Ball Pen Ball Pen Ball Pen Ball Pen Ball Pen Ball pen Gel Pen Gel pen Gel Pen Gel Pen Gel Pen Gel Pen Gel pen Gel Pen 3.6 0.00 5.00 5.6 0.00 15.00 6.7 0.PRODUCT VARIETIES HRIPL is having large varieties of Ball pen And Gel Pen which is contributing to success of the firm since years. COOL 7.00 3.

CHAMP 34.6 0. JETTA(NEW) 43.7 0. SONIC 35.00 6.00 5. SIGMA 38. RICO 28. CG-999 36. CL-333 27.00 90. TEEN 30. MACK 33.00 6. SX-5 32.7 0.6 0.00 5.00 15.7 0. ANGEL 22.6 0.00 110 130 150 15 25 25 JAIPURIA INSTITUTE OF MANAGEMENT. DURO 24.00 15. BOSS 25.7 10.7 0.00 10.6 0. SOLITAIRE(NEW) 41. MASTER 31.6 0.19.00 15. CR-45 26. RIO 29. NOIDA Page 37 .00 10.6 0. ROCK 200 20.00 5.00 10. EXPERT(NEW) 39. CENTURY(NEW) 40.6 0.7 0.00 15.00 10.00 15.6 0. SMOOTHFLOW(NEW) 21.00 5.6 0.6 0.6 0.6 0.6 0. ARIA 23. SIGMA 44.6 0.00 5. ANGEL Ball Pen Ball Pen Ball Pen Ball pen Ball Pen Ball Pen Ball Pen Ball Pen Ball Pen Gel Pen Gel Pen Gel Pen Gel Pen Gel Pen Gel Pen Gel Pen Gel Pen Gel Pen Gel Pen Ball Pen Ball Pen Ball Pen Ball Pen Ball +Gel Pen Ball +Gel Pen Ball +Gel Pen 0.6 0.7 0. MILTON 10X 37.7 0.00 5.7 0. ACCENT(NEW) 42.6 1.00 10.0 0.

7 0.6 0.6 0. IRIS 55. C-100 48. IRIS 57.6 0.7 0. ULTIMA(NEW) 49.45.7 0.7 25 7 7 10 10 10 10 10 10 10 35 25 30 JAIPURIA INSTITUTE OF MANAGEMENT. CR-54 53.7 0. JAZZ(NEW) 51. BOSS 56. CL-108 54. NOIDA Page 38 . ROCK 200 46. REVA(NEW) Ball +Gel Pen Ball Pen Ball Pen Ball Pen Ball Pen Ball Pen Ball Pen Ball Pen Ball Pen Ball Pen Ball +Gel Pen Ball +Gel Pen Retractable +Ball Pen 0.6 0.7 0.6 0. VISION 52. IVY(NEW) 50. BIG BENN 100 47.7 0.6 0.

Different pen had different features in it as a reason it was most popular in its segment either it business person. NOIDA Page 39 . PRICING DECISION It is the exchange value of product or services always expressed in monetary terms. HRIPL concentrate more on packaging as in the market full of competition packaging is used as a tool of product differentiation. It has attractive packages for it Ball & Gel Pen Packs the packs are normally packed in size of 10 & 5 (Standard Packaging) and in large Packs.PRODUCT FEATURES All the above mentioned products are some of the most premium and profitable products of the company over the years due to its features and characteristics. demand. Pricing Policy is decided depending upon market condition. Features:       Provide smooth writing Attractive designs Fast and smooth writing Comfortable grip Stress free writing Free flowing smudge free writing PRODUCT PACKAGING The finished Product that is Pen is packed in very attractive packages made from Plastic and Corrugated Box. JAIPURIA INSTITUTE OF MANAGEMENT. student. Raw material Price. service person and others. Price is important factor in purchase decision. Therefore all marketing planners must plan an accurate Pricing Decision. To the seller price is the source of revenue and to buyer price is the sacrifice of purchasing power. At HRIPL. Competitors Price and Products and other factors. Price is matter of Importance both for the buyer and seller. Thus it must be used correctly from the outset. Price is powerful marketing tool.

Packaging & Labeling 5.At" HAMILTON WRITING INSTRUMENT PRIVATE LIMITED" Price of the Pen is decided taking into consideration the following Cost. The Company has specific Price range for the different products for different Zones. JAIPURIA INSTITUTE OF MANAGEMENT. Production/manufacturing Cost 3. 4. Other factors Considered   Consumer Demand for the Product. 1. Analyzing the Competitors Price & Product Range. 7. NOIDA Page 40 . State Wise Price Is Decided 6. Transportation Cost. Variable & Other Cost is undertaken. Raw Material Cost 2.

Making the product available at right place and at right time with less cost is the key objective of any distribution management personnel. NOIDA Page 41 .PLACE (DISTRIBUTION OF THE COMPANY)  Distribution channel Distribution is an important function of any organization. MANUFACTURING FACILITIES C & F (CLEANING AND FORWARDING) ZONE WISE SUPER DISTRIBUTORS ZONE WISE DISTRIBUOTRS STATE WISE WHOLESSELERS RETAILERS CONSUMERS (DISTRIBUTION CHANNEL OF HAMILTON WRITING INSTRUMENT PRIVATE LIMITED) JAIPURIA INSTITUTE OF MANAGEMENT.

The below mentioned is the List of Companies Super Distributors throughout India in different Zones: Table-2 ZONES STATE /CITY West Bengal Orissa EASTERN ZONE Assam Bihar Jharkhand Gujarat Rajasthan Maharashtra CITY/DISTRICT Kolkata Cuttack/Bhubaneswar Guwahati Patna Ranchi Ahmedabad Ajmer Mumbai Pune Sangli Nagpur Nasik WESTERN ZONE Nanded Aurangabad Ahmednagar DELHI Uttar Pradesh New Delhi Lucknow Barieily NORTHERN ZONE Kanpur Meerut Agra JAIPURIA INSTITUTE OF MANAGEMENT. NOIDA Page 42 .

Shamli. Tamil Nadu Chennai Madurai JAIPURIA INSTITUTE OF MANAGEMENT. Madhya Pradesh Chhatisgarh Andhra Pradesh Indore Raipur Hydrebad Vjaywada Madanpally Karnataka Kerela SOUTHERN ZONE Bangalore Malpuram Ernaculam Calicut Kollam. NOIDA Page 43 .

taste and preference and also should conduct survey among the western zone to identify their strengths and should capitalize on that and try to increase the sell in other zones as same as in northern and western zones. in other regions identify the consumer behavior. JAIPURIA INSTITUTE OF MANAGEMENT.3.4: REGION WISE SALES BREAK UP ZONES SALES % EAST 24 WEST 28 NORTH 29 SOUTH 19 Chart4: Region wise sales break up SALES IN % EAST 24% NORTH 29% SOUTH 19% WEST 28% It could be analyzed that northern and western region is sharing major chunk of the company total sales in different zone. Company should conduct market research. NOIDA Page 44 .

For Wholesalers & Distributors different Scheme like Scratch Card. Newspaper & Magazines. Advertisement of HRIPL mainly uses TV Ad's to promote their sales. NOIDA Page 45 . goods or services by an identified sponsor. Banner & Hoardings.PROMOTION STRATEGIES AND DECISION Promotion plays a distinct role in marketing. JAIPURIA INSTITUTE OF MANAGEMENT. Corporate sales promotion: Promotional or Corporate Sales are now a day‟s plays a big role in marketing because the concept of getting anything extra along with the product is becoming popular among the consumers. advertisement and marketing channels. Advertisement can be in the form of TV Adz's. and Or Internet. Company uses different Schemes for the Super Distributors. Promotion Mix consists of the Following. Retailers and Wholesalers. Companies‟ Promotional department has seized this opportunity and is selling large chunk of its production to corporate customers which in turn is used by them as sales Promotion tool.  Advertising  Sales Promotion  Personnel selling  Publicity/Public Relation. It is done to promote the sales of the product. Distributors. Sales promotion: Sales Promotion is also one of the elements of promotion mix. Commission etc are used to promote sales. Lucky Draw. Advertisement: It is any paid form of non personal presentation and promotion of Ideas. Print Media. Discount on Bulk Purchase. different Gifts. Target Selling is the criteria for the Super Distributor if they achieve their target specified they are awarded with commission (Not Disclosed). It is a combined effort of salesman.

NOIDA Page 46 .CHAPTER-4 RESEARCH FINDINGS & ANALYSIS JAIPURIA INSTITUTE OF MANAGEMENT.

Brand Responses Claro 6 Link 15 Reynolds 20 Cello 41 Today‟s 13 Others 5 Chart5: Most prefered brand 41 20 15 6 13 5 Respondents Claro Link Reynolds Cello Todays Others COMPANY Findings: From the above chart it is analyzed that majority of the rural consumers (i. It shows there are a lot of opportunities available for Claro to grab the rural consumer market.QUESTIONNAIRE ANALYSIS Q1.) 41 of them prefer Cello as a brand to be used. which is followed by Reynolds and Link by 20 and 15 responses respectively where as Claro gets 6 responses. Which brand of pen do you prefer to write? Ans: purpose Main purpose behind this question is to know the most preferred brand in the current market situation. NOIDA Page 47 . JAIPURIA INSTITUTE OF MANAGEMENT.e.

NOIDA Page 48 .The purpose behind asking this question is to know the consumer preference regarding the type of pen he/she prefers to write and to know the changing trends to their buying behavior. It also shows that Claro is the less preferred brand among rural consumers. Which type of pen do you currently use? Ans 2. analyzing the above table.Thus. Q2.Occupation wise classification Brand Business Person Service Person Student Others Claro Link 4 Cello‟s 12 Reynolds 4 Todays 4 Other‟s 2 3 3 10 5 3 2 2 1 6 2 15 4 10 1 4 2 1 1 Conclusion: . Ball Pen 78 Gel Pen 14 Ink Pen 6 Pilot Pen 2 JAIPURIA INSTITUTE OF MANAGEMENT. it clearly signifies that cello is not only preferred by majority of the consumers but also preferred highly by all the consumers in different demographic segments. Purpose: .

Thus. JAIPURIA INSTITUTE OF MANAGEMENT. Almost 80% of the respondent says that they use ball pen.It is identified that only two categories/type of pen are preferred by the consumers that accounts to nearly 92% of responses. NOIDA Page 49 .From the above chart it is visualized that majority of the consumer prefers and uses ball pen. Occupation Wise Classification Types Ball Pen Gel Pen Ink Pen Pilot Pen Business Person Service Person Student Others 16 1 -- -- 22 6 2 1 32 8 6 1 3 1 1 -- Conclusion: .Chart6: 78 80 70 60 50 40 30 20 10 0 Ball Pen 14 6 2 Pilot pen Gel Pen Ink Pen No of Respondent Findings: . company should concentrate more in ball & gel pen segments rather than Pilot or roller or ink pens. ink & Pilot pen are least preferred by the consumers in the modern or present market condition. And the next best usage is of gel pen by 14%. Consumer prefer ink & gel pen less.

Q3) Which Color Of Pen Do You Normally Use? Ans3.Blue is the most preferred color for rural consumers and majority of the rural consumers use blue color as in colleges. NOIDA Page 50 . corporate and at many other place black is commonly accepted color for writing whereas red is mainly used by the teachers and professors. Purpose  To find out which is the most preferred color by the consumer Blue 62 Red 4 Black 31 Multiple 3 Chart7: 70 60 50 40 30 20 10 0 62 31 4 3 Blue Red Black Responses Multiple Findings:. schools. JAIPURIA INSTITUTE OF MANAGEMENT.

8 2 Chart8: 70 60 50 40 30 20 10 0 1 0.) Which Point pen do you normally Use? Ans4. Purpose The question was build to know the technical aspect (i.6 2 Points 0.e) which point of pen the consumer keeps in mind while deciding to purchase a pen and to know which point is more in demand in different segments of consumers. NOIDA Page 51 .5 61 24 13 0. 0.7 3 Responces 0.Q4.7 13 0.1 4 2 JAIPURIA INSTITUTE OF MANAGEMENT.5 61 0.6 24 0.

8 1 1 -- Findings:. Features Response Point 12 Grip 12 Price 26 Long-Life 7 Ink 8 Performance 35 JAIPURIA INSTITUTE OF MANAGEMENT. 13% respondent used 0.7 point pen & 0.5 7 9 40 5 0. NOIDA Page 52 .6 are more in demand and used in the market by almost 85% of the respondents.e) Businessman. Service holder & Student.Occupation Wise Classification Point of Pen Occupation Group Business Person Service Person Student Others 0. Q5) Which Characteristics of Pen Influence your Buying Decision? Ans 5) PURPOSE The Purpose of asking this question is to know the features/characteristics of pen that influences the buying decision of majority of the consumers in different segments (i.8 results into bold writings according to rural consumers.8 are least preferred 0.7 3 2 4 4 0.Point ranging 0.6 2 1 20 1 0.5 & 0.

NOIDA Page 53 . which is followed by the price with 26 responses.Chart9: Different charecteristics 12% 35% 12% Point Grip Price 8% 26% 7% Longlife Ink Performance Findings: .From the above chart it is analyzed that the most influencing characteristic is performance by 35 responses. Long life and ink are least influencing features of the pen impacting consumer buying decision. Occupation Wise Analysis Characteristics of Pen Occupation Group Businessman Service holder Student Others Point 5 1 5 1 Grip 3 3 5 1 Price 9 5 10 2 Long Life 3 1 1 2 Ink 2 2 3 0 Performance 8 10 12 5 JAIPURIA INSTITUTE OF MANAGEMENT.

e.) is the consumer Behaviour steady to one brand or varying regularly. Do you stick to Only One Brand? Ans6: Purpose The purpose here is to know the consumer Behaviour (i.From the above chart it is analyzed that majority of the respondent does not stick or are loyal to a particular brand. Q7) Do you refill Your Pen Regularly? Ans7: Purpose  The purpose of asking this question to know whether consumer refill their Pen or not and if. Chart10: Consumer Behaviour on brand 45% 55% Yes No Findings: . 55% of responses are not loyal to any brand where as 45% of respondents are loyal and stick to only 1 brand. no . Response- Here the respondent are required to answer on two options Yes or No Yes-56 No-34 Pen cost is negligible-9 Replacement results in poor performance-18 Refills are unavailable-5 Others-2 JAIPURIA INSTITUTE OF MANAGEMENT.what is the reason why they do not refill.Q6). NOIDA Page 54 .

34% of the respondents do not refill their pens.e.Findings: . Which Advertising Media Influence You the Most? Ans8. thus this reason accounts for more than 30% consumers who do not refill their pen. The reasons for not refilling is that 2nd time the refill does not give the original performance in writing. TV Advertisements Banners & hoarding Newspapers & Magazines 19 Internet 53 19 9 Chart11: 60 50 40 30 20 10 0 54 18 19 9 Television Banners and Newspapers Hoarding and Magazines Respondents Internet JAIPURIA INSTITUTE OF MANAGEMENT. NOIDA Page 55 .It also aims to find the media which is mostly preferred and can be used as for the promotion scheme.From the above table it is analyzed that majority of the respondents (i. Purpose The purpose is to know the most effective media affecting consumer buying decision . Q8).) 56% out of 100 refill their pens because in rural area peoples are more price conscious.

1–5 40 6 . NOIDA Page 56 . JAIPURIA INSTITUTE OF MANAGEMENT. What is the price range in which you generally used to buy a pen? Ans9. Q9). rural consumer mostly favors and prefer pen (Either Ball or Gel) in the price range of Rs 1 – 5.It could be analyzed from the above graph that out of the total responses. The next most influencing media is Newspaper impacting the buying decision. Whereas the next most proffered price range is Rs 6 -10 according to 24 respondents.50 8 50-above 6 Chart 12: 40 35 30 25 20 15 10 5 0 1 to 5 6 t0 10 11 to 20 21 t0 30 31 to 50 above 50 Price Range 40 24 14 8 8 6 Findings: . The high price range ranging from Rs 21 – 50 & above that is least preferred by the consumers. PURPOSE The Main Purpose Is to Know How Much the Consumer Can Spend to Buy the Preferred Brand of Ball Pen which can help the company to take appropriate pricing decision for the target market.10 24 11 – 20 14 21 – 30 8 31 .Findings: . Internet is the least influencing among all media.From the above chart it could be concluded that TV Ads is the most influencing Ad impacting the buying decision of different rural consumer segments having 54% of the responses.

then which are the other scheme that influences the consumer to buy.Occupation Wise Analysis Occupation Groups Business Person Price Range 1–5 7 6 .50 2 50-above 3 Service Person Student Others 11 17 5 7 8 -- 4 8 1 4 2 1 3 2 1 1 1 1 Interpretation:. NOIDA Page 57 .10 9 11 – 20 1 21 – 30 1 31 .Businessman are ready to Pay up to Rs 6 -10 for their preferred type and brand of pen. whereas service person also uses pen in the same range but in students category they are not willing to spend more and are use Pen mainly in the Price range of Rs 1 – 5 . Q10). If no. Extra Refill 27 Discount On Bulk 40 Free Pen 27 Others 6 JAIPURIA INSTITUTE OF MANAGEMENT. Purpose  The purpose of this question is to know whether the scheme provided by the retailer or the companies motivate the consumer to buy more or not.Which Type of Scheme affects your buying Decision? Ans10. It can help the company to select the right promotion mix for selling the product.

Chart13:

40 30 20 10 0

40 27 27

6 Extra Refill Discount on bulk purchase

Free Pens

Others

Responses

Findings: - It can be visualized from the above chart that different promotional activities undertaken by the companies is definitely impacting the buying decision of consumers. But among the promotional schemes the most influencing promotional schemes that affect the decision is Discount on Purchase of Pens (In Bulk more than 1 or 2). The next most influencing scheme is of free Pen given by the companies on purchase of 1 pen (1 per 1 free) impacts the decision. For some 10% of the responses they believe that no scheme impacts their buying decision as pen is a low price product where consumer involvement is less.

Q11) According to You, Which pen Brand Enjoy the Leadership Position in the Market?
Ans11: Purpose The main purpose of this question is to find the market leader and also to find which brand enjoys the market leader position.
Claro 6 Link 13 Reynolds 20 Cello 48 Today’s 13 Others --

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Chart14:

48 50 40 30 20 10 0 Claro Linc Reynolds Responses cello Todays 6 13

20 13

Findings: - From the above chart it is clear that cello enjoys market leader position in the market as almost 50% of responses have revealed that they recognized cello as the leader among all the companies. At 2nd position it is Reynolds. Link and Today‟s are at 3rd position but for Claro it shows that it is a recognized Market Leader by least number of responses in spite the Toughest competitor of Cello in organized Sector as compared to any other players. Interpretation: - Cello is No 1 Position, followed by Reynolds and Link respectively. But the gap between Claro and cello is huge thus company need to identify the reason and try to remove the weakness in that and strive to be the best in the industry‟s. Other players are not in the same segment as Cello, but Claro is serving almost all the same consumer and market segments that cello also does and also has huge varieties of Pen.

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Q12) Do you think that brand endorsement by celebrities is really helpful to attract you for buying a pen?
Ans12: Purpose The main purpose of this question is to find the effect of brand endorsement on rural consumer and their buying decision.

Chart15:

Responses
Yes No

29%

71%

Findings: - It can be visualized from the above chart that majority of rural consumers i.e. 71% are influenced by the endorsement of celebrities and 29% do not change their buying decision because of the endorsement of celebrities.

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NOIDA Page 61 . RECOMMENDATIONS JAIPURIA INSTITUTE OF MANAGEMENT.CHAPTER-5 CONCLUSIONS & SUGGESTIONS.

Of course.  Most of the rural consumers Buying Decision is not only influenced by any specific single characteristic but it is influenced by the combination of more than one. Occupation Wise Classification o For Business Person: The most influencing characteristic impacting buying decision is Price. NOIDA Page 62 . Long Life and even the performance of the pen. Long Life.  Blue Color is preferred by the rural consumer among the various Colors. JAIPURIA INSTITUTE OF MANAGEMENT. But student wants everything in a Pen i.CONCLUSIONS  Cello Brand enjoys the market leader position and it is also preferred by the majority of the rural consumers for writing among the different brands of Pen available in the market.e. in different consumer segments there are different characteristics impacting buying Decision. proper Grip. Thus majority buying decision is influenced by Performance of Pen in Total. Ball pen is preferred by most of the rural consumers and they have ranked Ball-Pen as No 1 amongst different Types of pen.6 mm as this point size gives the desired writing to consumers. Thus student buying decision regarding pen is influenced equally by almost all features of a pen. Affordable Price. It signifies that Service holders purchase pen not only considering price but along with it some additional features such as Grip. But still Price & Performance are dominating features for this Consumer Segment.  Majority of the rural Consumer prefer Ball Point of 0.5 & 0. o For Students: . which also impact the Decision.  Amongst different types of Pen.In this consumer segment it cannot be predicted or analyzed that if any one characteristic is impacting their decision or not. etc. o For Service Person: Price & Performance have impact influence on buying decision.

So consumer refrain from refilling the Pen.Even the refilling does not give the same writing performance as of the original refill. The major reason for this is Pen is a Low Involvement Product. Thus. Repeated Purchase is very less. But as consumer buying behaviors are changing. as well as low price but in huge product varieties and Price range. In the Pen Market the consumers are not loyal to a particular Brand. JAIPURIA INSTITUTE OF MANAGEMENT. almost all media is having the impact on buying decision of different consumer Segments. Consumers do not purchase the same brand mainly due to Influx of Newer and Newer Products in the Market by different players and in different Price range ultimately changing the consumer buying Decision.g. NOIDA Page 63 . majority of rural consumers believe in refilling their Pen. They do not refill their pen as they Believe that New Pen Cost is Negligible as compared to purchasing a refill For e. Claro Genius ball pen is of Rs 5 and refill of the same is of Rs 4. majority of them do not stick or purchase the same brand.  TV Advertisement is having a significant impact on majority of the Consumer. there are also consumers who do not refill their pen and the number of consumers are less in comparison to consumer (who refill their pen).  In the Present market condition where Pen is available even in the Price Range of Rs 3 – 5. Influence of different Advertising Media is not differing by Profession.

So company need to rectify this problem and should come up with high quality refills which would build customer trust. company should focus more on BTL (Below the line) promotional activities and company needs to provide banners or stands for display on the shops due to which the attention and focus of the customers could not be tapped.  Company should take care of availability of pens at rural retail outlets.RECOMMENDATIONS OR SUGGESTION The Suggestions given are based on the consumer survey and its analysis and studying the Companies Own Marketing Mix at HWIPL and as per my knowledge regarding the concerned subject.5 targeted to different consumer segments. with point size of 0. NOIDA Page 64 .e.  According to the retailers. So.  Rural consumers prefer the point size of 0. consumers are not willing to buy Claro pens because in most of the cases they face refill problems. So the company should pay more attention to such activities in rural areas. once in a 2-3 months. the Company (Claro) should come up with the products in Effective Price range of Rs 5 – 20. which can satisfy the consumer needs.  Rural retailers are unsatisfied with the margin and scheme provided by the company and the visit made by the company representatives is very less i.  As Claro is new to the market and rural consumers are not aware about the product. JAIPURIA INSTITUTE OF MANAGEMENT.5 more and the Claro has very less product of different varieties of this category.

0. b. d. Which point pen do you normally use? a.Which type of Pen do you currently use? a. Ball pen Gel pen Ink pen Pilot pen Q3. c. d. e. b. Which color of pen do you normally use? a. b. c. d. d. e. Information obtained through this survey is for general purpose only and will not be disclosed to anybody else. Claro Link Reynolds Cello Today‟s Others specify Q2.8 Q5. b. Point Grip Price Long life Ink Performance JAIPURIA INSTITUTE OF MANAGEMENT.5 0. Which Characteristics of Pen Influence your Buying Decision? a. d. NOIDA Page 65 .6 0. c. b. Blue Red Black Multiple colors Q4. f. c. Q1. Which Brand of Pen do you prefer to write? a.ANNEXURE Questionnaire for consumer on survey of consumer buying behavior You are required to fill this questionnaire with best of your own will. f.7 0. c.

c. b. b. No Q7. d. which pen brand enjoy the leadership position in the market? a. Pen cost is negligible Replacement result in poor performance Refill is unavailable Specify if others Q8.. b. d. Q11. 1-5 6-10 11-20 21-30 31-50 50-above Q10. e. d. c. e. b. NOIDA . c. c. b. Claro Link Reynolds Cello Today‟s Page 66 JAIPURIA INSTITUTE OF MANAGEMENT. d. According to you. What is the price range in which you generally used to buy a pen? a. Extra refill Discount on bulk purchase Free pens Others……. Yes b.Q6. Which Advertising Media Influences You The Most? a. TV advertisement Banners and hoarding Newspapers and magazines Internet Q09. Yes b. c. why a. Which type of scheme affect your buying decision? a. Do you refill your pen regularly? a. f. No If No. d. Do you stick to Only One Brand? a.

. No Personal Details Name: …………………………………. Age: 18 to 25 Gender: Male 25-30 30-40 Female more than 40 Occupation: …………………………………… JAIPURIA INSTITUTE OF MANAGEMENT. Yes b.f. Others specify Q12. Do you think that Brand endorsement by celebrities is really helpful to attract you for buying a pen? a. NOIDA Page 67 .

orissa. April 2006. India: Pearson Education. Joseph Wisenblit. Schiffman. 2008.economictimes. India: Pearson Education. August 25. 2011 Web Resources  www.nielson. 2011  Leon G. Leslie Lazar Kanuk. www. Principles of Marketing. Agnihotri Prafulla and Haque Ehsan.in  Company's Draft Prospectus.  www.com  AcNielsen retail Audit Report. NOIDA Page 68 . Armstrong Gary.in  “Milton brand maker scripts writing instruments foray” Economic Times.hamiltonindia.com JAIPURIA INSTITUTE OF MANAGEMENT.gov. 2010  Solomon Michael.BIBLIOGRAPHY Books  Kotler Philip. www. Consumer Behaviour.Consumer Behavior . India: Dorling Kindersley.

JAIPURIA INSTITUTE OF MANAGEMENT. NOIDA Page 69 .

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