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Consumer Behaviour

Whirlpool

CE R T I F I C A T E
This is to certify that has successfully completed the internship Desk Project on topic
Consumer Behaviour towards whirlpool of India ltd.at Whirlpool (pune)
Maharashtra Ltd.

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ACKNOWLEDGEMENT
As a part of curriculum at Sri Balaji Society, the Summer internship Program
aims at overall development of the students by providing them an opportunity
to gain corporate exposure and space to apply their theoretical knowledge in
practice in a mutually beneficial manner. No summer internship can be
successful without the support of the people who keep themselves closely
involved with the student undergone the program.
The wealth of knowledge and guidance shared and provided by these
professional is invaluable
I have given my all dedication to this project and have been able manage all of
thing as professional. However, it would not have been possible without the
kind support and help of many individuals from industry and organizations. I
would like to extend my hearties Gratitude to all of them.
Last but not the least, my endless appreciation goes to my family who has stood
by my side and given me moral support whenever I was low and boosted my
will power.

Thank You!

TABLE OF CONTENT
1. Executive summary..5
2. Introduction......................................................................................6
2.1. Need of the study........6
2.2. objective of the study..6
3. About the company..7
3.1. Telecom industry in India...7
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4. Company profile...8
4.1. About the company.8
4.2. Rebranding....12
4.3. Values........12
4.4.Mission......12
4.5.Tata Docomos Aspirations.......12
5. Product Profile13
6. Data and Data Analysis......29
6.1.Data Collection..............................................................29
6.2. Lead Generation........29
6.3. Lead Follow up......29
6.4. Hiring & Training of Agents.30
6.5. Quality Check of Agents.......30
7. Analysis and Observation...32
7.1. Swot Analysis....33
8. Bibliography.......34

1. EXECUTIVE SUMMARY
All marketing starts with the consumer. So consumer is very important to
a marketer. Consumer decides what to purchase, for whom to purchase,
why to purchase, from where to purchase, and how much to purchase. In
order to become a successful marketer, he must know the liking or
disliking of the customers. Marketer must also know the time and the
quantity of goods and services, a consumer may purchase, so that he may
store the goods or provide the services according to the likings of the
consumers. Gone are the days when the concept of market was let the
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buyers beware or when the market was mainly the sellers market. Now
the whole concept of consumers sovereignty prevails. The manufacturers
produce and the sellers sell whatever the consumer likes. In this sense,
consumer is the supreme in the market.
Consumers play a very vital role in the health of the economy local,
national or international. The decisions made by consumers concerning
the consumption behaviour affect the demand for the basic raw materials,
for the transportation, for the banking and for the production; they effect
the employment of workers and deployment of resources and success of
some industries and failures of others. Thus marketer must understand
this. Preference (or "taste") is a concept, used in the social sciences,
particularly economics. It assumes a real or imagined "choice" between
alternatives and the possibility of rank ordering of these alternatives,
based on happiness, satisfaction, gratification, enjoyment, utility they
provide. More generally, it can be seen as a source of motivation. In
cognitive
sciences,
individual
preferences
enable
choice
of
objectives/goals.
The study of the consumer preference not only focuses on how and why
consumers make buying decision, but also focuses on how and why
consumers make choice of the goods they buy and their evaluation of
these goods after use. So for success of any company or product
promotion it is very necessary to depart its concentration towards
consumer preference.
Whirlpool Corporation is a global manufacturer and marketer of major home
appliances. The company manufactures in 13 countries and markets products in
approximately 170 countries under 11 major brand names such as Whirlpool,
Maytag Kitchen Aid, Roper, Estate, Bauknecht, Laden and Ignis.
Whirlpool Corporation entered India in the late 80s and today has grown to
become one of the leading manufacturers and marketers of major home
appliances in India. Whirlpool Corporation entered into a joint venture
agreement with TVS group to produce automatic washers at a plant set up in
Pondicherry. A modest beginning was made to establish the Whirlpool brand in
India. In 1995 Whirlpool Corporation acquired Kelvinator of India Limited and
entered into the Refrigerator market in India. In late 1995 majority ownership
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was gained in the TVS joint venture and the two entities were merged to form
Whirlpool of India Limited in 1996.
Whirlpool has the distinction of having ISO certification for all its facilities in
India. The refrigerator facility is located at Faridabad and manufactures a
complete range of direct cool refrigerators. With the infusion of technology,
machinery and streamlining the processes the capacity of this plant was
increased from 700,000 to 1,000,000 annually.
Whirlpools commitment to the Indian operation has resulted in the setting up of
a state-of-the-art facility for the manufacture of no frost refrigerators at
Ranjangaon near Pune. This facility has set the standards as one of the worlds
front runners in environmentally sensitive eco-friendly manufacturing units.
The washer facility is located at Pondicherry and manufactures both fully
automatic and semi automatic washers. Constant feedback is taken from the
consumers resulting in products being continuously upgrade in features and in
styling.
Products manufactured in the above facilities match Whirlpools global
standards and are exported to over 70 countries across the globe. Whirlpool of
India is today Indias largest exporter of home appliance and has been approved
as an Export House.
Thus, in short the history of the company can be stated as below:
1908: The first Automatic washer was launched to public in late 1908, by 1900
Corporation which in 1911 was renamed to Upton Machine Company.
1957: The Company was rechristened as ' The Whirlpool Corporation.'
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1958: The Company moved out of country for the first time and invested in
Brazilian appliance market through purchase of equity in Multibras S.A.
1987: Whirlpool tied-up with Sundaram Clayton Ltd. of India to form Whirlpool
Ltd.
1993: First time Whirlpool became the No.1 stand-alone brand in UK, Ireland,
Netherlands and Belgium
1995: Whirlpool Corp. acquired majority of stake in the TVS Whirlpool Ltd. The
DC manufacturing facility of Kelvinator India was also acquired.
1996: Whirlpool Washing Machines Ltd. and Kelvinator India Ltd. merged
together to form Whirlpool of India Ltd
1999: Whirlpool of India crossed the milestone of 1 million sales of appliances.
2006: Whirlpool Corporation acquires Maytag and become the Worlds largest
white goods company.

2. INTRODUCTION
2.1. Need of the Study
As learning is a human activity and is as natural, as breathing. Despite of
the fact that learning is all pervasive in our lives, psychologists do not
agree on how learning takes place. How individuals learn is a matter of
interest to marketers. They want to teach consumers in their roles as their
roles as consumers. They want consumers to learn about their products,
product attributes, potential consumers benefit, how to use, maintain or
even dispose of the product and new ways of behaving that will satisfy not
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only the consumers needs, but the marketers objectives. The scope of
my study restricts itself to the analysis of consumer preferences,
perception and consumption of home appliances produced by Whirlpool.

2.2. Objective of the Study


Project objective involves:
This project is based on the comparative study of consumer behaviour towards
Home Appliances in the market of Whirlpool.
Objectives of the study are:

To find out consumer awareness of various brands in the home appliances


market.

To find the perception of consumers towards Whirlpool as a brand.

To find out how consumers associate with Whirlpool products.

To identify the important attributes impacting consumer buying behaviour


in the purchase of home appliances market of Whirlpool.

3. ABOUT THE COMPANY


3.1. Whirlpool India Ltd.
The parent company (whirlpool corporation) is headquartered at Benton
Harbour, Michigan, USA with a global presence in over 170 countries and
manufacturing operation in 13 countries with 11 major brand names such as
Whirlpool, kitchen Aid, Roper, Estate, Bauknecht, laden and Ignis. The company
boasts of resources and capabilities beyond achievable feat of any other in the
industry.
Whirlpool Corporation (NYSE:WHR) is fortune 500 company and a global
manufacturer and marketer of major home appliances, with annual sales of
approximately S18 billion more than 73,000 employees, and more than 70
manufacturing and technology research center around the world. After acquiring
the may Tag Corporation on March 31, 2006, Whirlpool Corporation became the
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largest
home
appliance
maker
in
the
world.
Whirlpool initiated its international expansion in 1958 by entering Brazil.
However;
it
emerged
as
truly
global
leader
in
the
1980s.
This encouraging trend brought the company to India in the last 1980s.it
forayed into the market under a joint venture with TVS group and established
the first whirlpool manufacturing facility in Pondicherry. Soon whirlpool acquired
kelvinator India limited in 1995 and marked an entry into Indian refrigerator as
well.
The same year also saw acquisitions were merged to create Indian subcontinent
to washing machines, refrigerator, microwave ovens and air conditioners. Today,
whirlpool is the most recognized brand in home appliances in India and holds a
market share of over 25%.

4. COMPANY PROFILE
4.1. About the Company
Our beginnings were humble, based on a business failure and the vision of one
family. In 1908, Lou Upton invested his savings in a venture to manufacture
household equipment. When that company failed to materialize, Upton was
offered the opportunity to select something of value from the failed venture as a
return on his investment. He chose the patents on a hand washing machine that
he thought might be electrified.
Lou Upton brought the patents and his innovative vision home to St. Joseph,
Michigan. In 1911, Lou along with his uncle Emory and brother Fred
joined together to produce motor-driven wringer washers as the Upton Machine
Company.
The companys first major order for 100 washing machines came almost
immediately. A problem arose when a cast-iron gear in the transmission failed
in every single machine. Upon learning of the issue, Lou Upton replaced the
defective parts with a new cut-steel gear. Impressed with the fledgling
companys business ethics, the customer doubled its order to 200 washing
machines.
Upton Machine continued to grow. In order to meet increased customer demand,
it merged with the Nineteen Hundred Washer Company of New York in 1929.
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Together they formed the Nineteen Hundred Corporation, and business grew
steadily, in spite of the Great Depression of the 1930s. It began experimenting
with new products, innovative technologies and strong engineering and sales
World War II halted washer production, as factories were modified to provide
components for the P-40 Warhawk aircrafts and military equipment. More than
two million units of war materials were produced, including aircraft propeller
pitch controls, trailing edges for fighter wings, hydraulic steering mechanisms
for tank retrievers, carburetor parts, pumps, gears and gear cases.
In the summer of 1945, we began producing washers again, anticipating that
within three years demand would be twice that of 1941. This began a period of
explosive growth that would take us from a small manufacturer of washers and
ironers to a large manufacturer of a full line of major home appliances, including
the first fully-automatic washer and electric dryer.
In 1949, we changed our companys name to Whirlpool Corporation to
contribute to the recognition of our signature brand. We had grown to lead the
industry, achieving $48 million in sales and annual earnings of $3 million.
By the start of the 1970s, we offered appliances to handle laundry, home
heating and cooling, and the full cycle of food preservation, preparation,
consumption and cleanup, in the kitchen. We continued introducing innovative
products that performed more efficiently and helped make household tasks
easier. To support our customers, we introduced the Cool Line, the first toll-free
consumer service support program in the United States.
We formed the Office for Environmental Control in 1970, solidifying our focus on
social and environmental responsibility. This group allowed us to standardize
strong environmental standards across all of our operations. Concurrently, we
formed partnerships with environmental advocates, industry representatives
and legislators to help craft robust energy and water efficiency standards, test
procedures and policies, a commitment that continues today.
By the start of the 1970s, we offered appliances to handle laundry, home
heating and cooling, and the full cycle of food preservation, preparation,
consumption and cleanup, in the kitchen. We continued introducing innovative
products that performed more efficiently and helped make household tasks
easier. To support our customers, we introduced the Cool Line, the first toll-free
consumer service support program in the United States.

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We formed the Office for Environmental Control in 1970, solidifying our focus on
social and environmental responsibility. This group allowed us to standardize
strong environmental standards across all of our operations. Concurrently, we
formed partnerships with environmental advocates, industry representatives
and legislators to help craft robust energy and water efficiency standards, test
procedures and policies, a commitment that continues today.
Throughout the years, we have built the Whirlpool Corporation culture but doing
the right thing, living up to our commitments to stakeholders and by quietly
working behind the scenes to strengthen the economic and social fabric of the
communities in which we operate. Our employees live by the values that have
made our company the international leader that it is today. We are delivering
strong performance, providing an outstanding portfolio of brands, and were
creating better, more innovative products that improve consumers lives in and
around the home each and every day. Nearly 100 years ago, the Upton family
continually improved their washer; they cared about their community, their
employees and their customers. They believed that there is no right way to do
a wrong thing. We still believe that today.

4.2. Competitors

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4.3. Vision
Every Home Everywhere. With Pride, Passion, Performance
Will create the worlds best home appliances, which makes Life easier and
more enjoyable for all people. Their goal is a Whirlpool product in every
home, everywhere. They will achieve this by creating: Pride
In their work and each other
Passion
For creating unmatched customer loyalty for their brands
Performance
Results that excite & reward global investors with superior returns they
will bring this dream to life through the power of unique global & their
Outstanding peopleworking togethereverywhere

4.4. Mission
The mission of the corporate is that the demand of their selves so as to
care their customers
and they will serve with
pride in every home and bring prosperity to their investors and customers.
They are prepared to change the standards of their industry and be the Envy
of their competitors. They will be leaders in home appliances, which all others
start to, emulate

5. PRODUCT PROFILE
SEMI AUTOMATIC WASHING MACHINE

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KGS
6
WT62H2510HP
6.5

Whirlpool

LG

WHIRLPOOL

P7255R3FA

Superb atom 60i

P7555R3FA

Superb atom 65s

P7853R3SA

P9032R3SM

8.2

Ace
supersoak
turbodry

SAMSUNG

WT655QPNDRP

/Ace

Ace
supersoak
/Ace
turbodry /Ace stainfree
Ace stainfree

WT707QPNDMW

WT1007AG

WT1007AG

FULLY AUTOMATIC WASHING MACHINE

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6. DATA AND DATA ANALYSIS


Preferred brand in the last purchase

LG; 15%

Haier; 9%

Videocon; 8%

Godrej; 9%

whrilpool; 36%

Samsung; 23%

Out of people surveyed 36% Whirlpool in their last purchase, and this
preference was mainly for refrigerators. 10% of the people surveyed opted for
Godrej, 15% LG & 23% Samsung.

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Factors affecting their preference for preferred brand


40%
35%
30%
25%
20%
15%
10%

LG
Samsung
WHRILPOOL

5%
0%

Brand name matters always thats why most of the companies which was opted
by the customers they preferred because of the brand name the market leaders
like LG , Samsung is dominating because of their aggressive brand building
exercise.
After this service factor comes in the pictures, for each surveyed brand people
preference revolves around two major factor brand image and service.
consumer durables represents lifestyle and if a person wants to purchase any
consumer durable item he/she prefers those products which is already
established, or in other worlds which gives them a proud to own feeling.
People opted Whirlpool in the attributes like product features, it represents if the
product features of Whirlpool can be communicate suitably, there is much more
potential in the brand itself. This also suggests that Whirlpool needs to push

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products before a customer enters inside the store; it will enhance the brand
value and will push the brand sale as well.

Brand Awareness
18
no

Yes

82

This shows how much customers are aware of Whirlpool, and in other way what
is the effect of all the marketing exercises, and the communication done so far
for the Whirlpool.82% of the people surveyed were aware of Whirlpool.
Marketing strategies for Whirlpool to enhance their brand awareness and
visibility in the market place has been successful.

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Customers had look on Whirlpool product before making the purchase decision?

Yes

33

No

77

77% of people surveyed knows about Whirlpool but only 33% of the people
surveyed had look on Whirlpool product before making the purchase decisions,
this is surrounded by many factors like Place strategy of Whirlpool, because of
unavailability of the brand in the customers preferred multi brand store, other
factor could be their will be dealers demonization to sell the Whirlpool Products,
less effort by the sales intermediaries. 77% people know but didnt want to see
the products are also showing the uncertainty in the minds of the customers in
their minds.

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Aware of that "Whirlpool is the largest home appliances company in the world?

YES

NO

25% of the people surveyed dont know the most common strategy adopted by the
Whirlpool to create brand awareness for the brand i.e. Whirlpool is the second largest
appliances in the world. There was several lacking in their marketing communication,
because of that the people who knows about the brand still dont know about this fact.
There could be other side of this fact that by the way of promoting as a second largest
appliances brand, it automatically promoted the brand which is largest appliances
Brand in the world, because by the way of communicating that Whirlpool is the second
largest it is automatically creating a willingness in the minds of the customers that
which is the largest brand, in the world.

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Factors affecting dealers focus on brands

14
12
10
8
6
4
2
0
LG

Samsung

Whirlpool

Godrej

Electrolux

From the above bar graph it is showing what the factors which are affecting the
dealer focus towards the brand, no doubt the profitability is the first factor but
this other factors also affect overall focus of the brand .
Like from this market insight it is clearly coming out that in city like Delhi
dealers dont want to put more effort to sell brand they are happier if the brand
it is getting sold itself in the market. This is clearly evident that despite having
good product line, better marketing support from the LG, still 13 out of the
dealers surveyed said that they are focusing on LG because they dont want to
give much more effort to sell it. It clearly suggests that now it is time to create
the brand awareness, and push products before a customer enters in to store.
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Right now the dealers in Delhi city are dealing Whirlpool much more because of
the profitability after sale service.

Interested in Whirlpool

Mixed Reaction

Negatively Responded

Series 1

Positevely Responded
0

Visited 32 dealers responded positively for Whirlpool and they can be negotiated
for the dealership, other these 7 dealers gave mixed reaction which can also be
converted.

The market insight and factors influencing dealer focus


1. No push sale, no need to push these company products, less sales effort: LG and SAMSUNG
created that kind of image in the minds of the customers, where before making any purchase
decision, customer is more inclined towards the products of these company, and finally whatever the
customer will purchase he/she will definitely have a look for these companies products before
making purchase decision. Less Customer Complaints, Customer Awareness about the Brands.

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2. Profitability and holding cost: Better Volume Sale Which Ultimately Leads to
Better Margins, And Better Bargaining with the Companies. And No blockage of
money, stock gets cleared easily.
3.Whirlpool is having wide product line in refrigerator category which ultimately gives more option
to select from to customers with this their service support is good and the customer complaints are
also less especially due to home care program of whirlpool .

7. DATA
1. Primary Data Collection

For Product:

Customer survey through use of a structured questionnaire.


For Price:
Direct meeting with the dealers to know other companies pricing, by collecting and analyzing

prices for customers (MRP) dealers (D.P), direct dealers, and distributors.
For Place:
Obtaining feedback from the existing dealers of Whirlpool and other consumer electronic
dealers in the Delhi market through direct interviews. To establishing and implementing
processes for obtaining ideas, Information and insights from the dealers regarding the
Whirlpool marketing proposition for refrigerators and washing machine, after that evaluating
the feedback, assessing the benefits and any risks associated with possible options, and
making recommendations towards enhancing the WHIRLPOOL marketing proposition
especially place or in other words dealer expansion in Delhi city.

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Promotion:
Observing the number of marketing activities done by the other companies by keeping the
record of activities done by them, and also attending the activities to feel the difference
between the Whirlpool marketing activities.

2. Secondary Data Collection

Company websites
Journals
Annual reports.

8. ANALYSIS & OBSERVATIONS


1. Whirlpool needs to increase the number of BTL (below the line) activities to generate
common awareness and visibility at grassroots level, because it can be understood from the
figures of their competitors BTL activities that Whirlpool BTL activities is not up to the that
mark in comparison to other competitors.
2. Good thing about Whirlpool is that they got somehow success in
positioning themselves as a quality brand the customer survey and the
dealers survey tells the story about it. People perceived Whirlpool as a
good product quality brand. If this can be associated with better pricing
also there will be immense possibilities for Whirlpool. Need to create a

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value for money brand image which can give good product quality at
affordable prices.
3. Whirlpool needs to build strong dealer relation in order to provide better place strategies
for the brand. Whirlpool lacks in company support factors and most of the existing dealers in
the dealer survey said that. Like most of the companies are having their regular company
dealers meet to get together with their dealers, Whirlpool lacks needs to do this in order to
regain dealer support.
4. Service arrangements need to be strengthen, still people thinks that because the company is
having foreign origin and it is new too, if they will purchase any product they will face
service problem in future. Customers in rural areas are not aware of the service call centre
facilities and dont know how do it, company is not having the service centres also there in
those area , customers passes the complaints to dealers, and dealers to distributors, and finally
distributors has to log this complaints to the call centre, which creates overburden for them.
5. Any one accepts that as a fully fledged brand, Whirlpool can only compete with the Korean
giants LG and Samsung. Product lines and variants in the refrigerators should be increased to
give wider option to choose from to the customer because the Whirlpool refrigerators could
be proved as a benchmark product for Whirlpool because of its unique differentiation with
others.
6. Whirlpool should adopt aggressive marketing strategies to cut down competition and
visibility at market place.
7. Appropriate product knowledge should be given by the company to dealers and to dealers to
create awareness towards quality.
8. Whirlpool has good presence in the market but one thing is also evident that Whirlpool is
present in major counters with LG and Samsung, Whirlpool also need to focus on those
dealers were it will not face direct competition with LG and Samsung. Competitive strategy
should be like this where first Whirlpool should wipe out smaller brands compare to LG and
Samsung because this brand also have market share larger than Whirlpool, and Whirlpool is

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not in competition of LG and Samsung it should target on brands like Godrej , TCL first, so

Strength

Whirlpool refrigerator, having good technologies that are


6th sense technology, cooling gel, deep freeze technology,
intelisensor, insulated capillary technology.

Weakness

Low advisement as compared to other brand.

Opportunity

360 DEGREE BLOOMWASH IS having good


opportunities to grab a large market.

Threats

Competition among the major competitor brands like LG,


Samsung etc.

it can compete the bigger brand later on.


1.

8.1. SWOT ANALYSIS

Competitors

Samsung
LG
Haier

Godrej
Panasonic
Bosch

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9. BIBLIOGRAPHY
1) www.whirlpoolindia.com
2) www.slideshare.net
3) www.marketresearch.com
Books1
2

Marketing management by Philip Kotler


Market research by Naresh Malhotra

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