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Study of Consumer Oriented Sales Promotion in FMCG

In this age of globalization hyper competition has become a regular feature. Today the markets are no less then battlegrounds and one has to strive very hard for survival and growth.Due to very rapid industrialization all over the world the demand for the managerial personnel and the administrative personnel has increased. The perfect study of Management involves both the theoretical as well as practical aspects. To survive in this highly competitive market "Practical Knowledge" is as relevant as the Theoretical. The significance of MBA Degree is that the Theoretical aspects, which a student learns throughout the year in the class sessions, can be practically applied through different projects, which one undertakes. Keeping in tune with this doctrine, we have tried to apply theoretical aspects through out the project, which we learned under the course of management. In this project more emphasize given to the various tools of sales promotion and its impact on consumers buying decisions. Actually in recent trend to some extent this technique also become victim of clutter, even though it can be eliminated by generating innovative and more attractive tools to lure the customers. Now a day most of the FMCG companies considering sales promotion as an important part of their marketing strategy. From the analysis of survey it becomes clear that consumers do response to the sales promotion campaign, but there are customers who strongly prefer to stick to brand name. The term FMCG (fast moving consumer goods), although popular and frequently used does not have a standard definition and is generally used in India to refer to products of everyday use. Conceptually, however, the term refers to relatively fast moving items that are used directly by the consumer. Thus, a significant gap exists between the general use and the conceptual meaning of the term FMCG. Further, difficulties crop up when attempts to devise a definition for FMCG. The problem arises because the concept has a retail orientation and distinguishes between consumer products on the basis of how quickly they move at the retailer's shelves. The moot question therefore, is what industry turnaround threshold should be for the item to qualify as an FMCG

But all FMCG products put together account for a significant part of the consumer's budget. as and when required. • Secondary Data Collection method: • Reference books. To examine tradeoffs. • The consumer spends little time on the purchase decision. Rarely does he/she look for technical specifications (in contrast to industrial goods). To study consumer behavior in purchase of soaps and detergent • Primary Data Collection Method: • Survey method was used for primary data collection. in soaps and detergent industry. relative importance of different attributes while responding to a sales promotion offer. Brand loyalties or recommendations of reliable retailer/dealer drive purchase decisions. • We used questionnaire as an instrument for survey method. • Sample size: 100 consumers 100 retailers. • The consumer keeps limited inventory of these products and prefers to purchase them frequently. • Internet. Many of these products are perishable. Sampling Detail • Target population: The population for this research study consists of the residence of Ahmedabad.Objectives of the Study      In order to study the above primary objective the following secondary objective have been proposed To study consumer preferences with respect to sales promotion in FMCG sector. To study the effect of sales promotions in FMCG sector esp. • Type of questionnaire: Open ended and closed ended. . • Structured questionnaire. • Sampling unit: In this study the sampling unit is individual consumer. • Sampling method: The sample is selected by using convenience-sampling method Characteristics of FMCG Products • Individual items are of small value.

This is because promotions provide utilitarian benefits such as monetary savings. Advertising Direct Marketing Public Relations Sales Promotion Traditionally. in order to enhance the effectiveness of these activities. However. Even the most useful product or brand will be a failure if no one knows that it is available. Sales promotions have grown in both importance and frequency over the past few decades. comforts as well as luxuries. The study here pertains to consumer's perceptions regarding sales promotion. There are so many elements of promotion such as . These are the four basic pillar of marketing mix. The second purpose of promotion is persuasion. As we know. Sales promotion serves three essential roles: It informs. Although an accurate estimate for total sales promotions expenditures does not exist. increased quality and convenience as well as hedonic benefits such as entertainment. recommendation of the retailer or neighbors/friends. it is necessary to realize new studies in this area and study how consumers evaluate sales promotions. The third purpose of promotion is reminding consumers about products availability and its potential to satisfy their needs. • These products cater to necessities. brand switching is often induced by heavy advertisement. in the last few decades this communication tool has evolved and now is considered from a strategic point of view. exploration and self-expression.• Trial of a new product i. a producer has to inform channel members as well as ultimate consumers about the attributes and availability of his products. For this reason.e. The cut throat competition among different products puts tremendous pressure on their manufacturers and they are compelled to undertake sales promotion activities. manufacturers should understand consumer and retailer interpretations of their promotional activities. Most of the marketing strategies are built on the basis of these criteriaPromotion is one of the important elements of marketing mix. From these elements Sales Promotion is the element which is in the focus of this project. Therefore. we can be sure that the trend is up. persuades and reminds prospective customers about a company and its products. Price and income elasticity of demand varies across products and consumers. Companies spend considerable time in planning such activities. Further Sales Promotion is . channels of distribution take more time in creating awareness because a product has to pass through many hands between a producer and consumers. added value. They meet the demands of the entire cross section of population. The importance of consumer sales promotion in the marketing mix of the fast moving consumer goods (FMCG) category throughout the world has increased. However. sales Promotions have been used by marketer to increase sales in the short term. Some past researches have suggested that promotion itself has an effect on the perceived value of the brand.

time. availability of goods etc.nirma. 2.hul. These tools should be used considering all other factors affecting such as cost. Consumer Oriented Sales Promotion Trade Oriented Sales Promotion Tools of Consumer Oriented Sales Promotion There are so many tools or technique available to the marketers for achieving objective of sales promotion. 7. www. 5.in_files http://www.wikipedia.quite broad term it includes .co. These tools are as under. Coupons Price-Off Freebies Scratch Cards Lucky Draws Bundling Offer Extra Quantity Reference : http://www. 4. Share on pinterest_pinit Share on reddit 0 << back . 3. 6.godrej_files www.

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