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Boost Project

This document discusses marketing strategies for Boost products in Shimoga City, India. It begins with an introduction and outlines the objectives and methodology of the study. It then provides details on industry and company profiles, product profiles, and marketing strategies for Boost. The document concludes with plans for data analysis, findings, suggestions, and conclusions. It focuses on understanding consumer preferences and increasing sales of Boost products in the target market.

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Subramanya Dg
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0% found this document useful (0 votes)
4K views78 pages

Boost Project

This document discusses marketing strategies for Boost products in Shimoga City, India. It begins with an introduction and outlines the objectives and methodology of the study. It then provides details on industry and company profiles, product profiles, and marketing strategies for Boost. The document concludes with plans for data analysis, findings, suggestions, and conclusions. It focuses on understanding consumer preferences and increasing sales of Boost products in the target market.

Uploaded by

Subramanya Dg
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOC, PDF, TXT or read online on Scribd
  • Introduction: Introduces the scope, objectives, methodology, and limitations of the study in Shimoga City.
  • Industry Profile: Profiles the nutritional products by Boost and their significant health benefits.
  • Company Profile: Describes the history and performance of Glaxo SmithKline Consumer Healthcare Ltd.
  • Product Profile: Explores the variety and benefits of Boost health drinks.
  • Marketing Strategy: Details the marketing strategies, including product, price, promotion, and place for Boost products.
  • Data Analysis and Interpretation: Presents survey results and data analysis concerning consumer preferences and market trends.
  • Findings, Suggestions, and Conclusion: Concludes with the findings from the study, suggesting ways to improve marketing strategies.
  • Annexure: Contains the questionnaire used for data collection and a bibliography.

MARKETING OF BOOST PRODUCTS IN SHIMOGA

CITY
With special reference to D.H.A.L Distributors, Shimoga
CONTENTS

Chapter 1
INTRODUCTION
 Introduction
 Scope of the study
 Objectives
 Methodology
 Limitations

Chapter – 2
INDUSTRY PROFILE
 Introduction
 Balanced Diet
 Micro Nutrients
 Macro Nutrients
 Nutritional Importance of Ingredients
Chapter – 3
COMPANY PROFILE
 History of Glaxo SmithKline Consumer Health care Ltd.

1
 Performance of the Company
 Additional Information

Chapter – 4
PRODUCT PROFILE
 Introduction
 Nutrition facts

Chapter – 5
MARKETING STRATEGY
Introduction
Meaning and definition of marketing strategy
Marketing mix strategy of boost products
A) PRODUCT STRATEGY
B) PRICE STRATEGY
C) PROMOTION STRATEGY
D) PLACE STRATEGY

Chapter-6
DATA ANALYSIS AND INTERPRETATION

Chapter – 7
FINDING, SUGGESTIONS AND CONCLUSION

2
Annexure
 Questionnaire
 Bibliography

3
Chapter 1

INTRODUCTION

 Introduction

 Scope of the study

 Objectives

 Methodology

 Limitations

4
INTRODCUTION

Health is defined as a condition of the body free of diseases and


ailments. All organisms require food for their existence. Food can be
defined as a substance, which nourishes the body. Food is the source of
energy and it also provides materials for growth and development.

Food is essential to know the composition of food we take everyday


and how it provides the energy required by the body for metabolic
activities.

Life is a boon gifted by god. It should be lived with a purpose,


which can be fulfilled only when one is in good health.

Proteins, minerals and water are the chief constituents required for
formation of tissues, which in turn build the body.

Good health comes from good nutrition. Good nutrition means


maintaining a nutritional status that enables us to grow well and enjoy
good health. Good health fills us with good spirits, which ultimately helps
us to reach our goal.

Nutritious food and daily exercises are very essential to keep our
body fit in good health. For a middle-class family, it is difficult to
maintain the nutrition of their diet routinely and for a high class family,
lack of time is the reason for non maintenance of a well- nourished diet
daily.

Hence, now a day we see various advertisements of health drink,


health foods, which satisfy the above needs of the society

5
People of olden days considered milk to be the most nearly perfect
food. Milk was available easily in those days, as our country was a land of
agriculture. But now changing times have made India both a land of
agriculture and industries, a land of rural as well as urban population.
Milk in urban areas is consumed in the form of packed milk, which has its
own drawbacks. Adulteration of milk with water is also known.

Hence, health drinks replenish the deficient nutrients & Provides us


a complete food. In the presented fast progressing dynamic world, it
provides extra and smart nutrients for extra energy.

SCOPE OF THE STUDY

 Advantage is a commercial city with a population of more than 5


lakhs. There are many consumers of the city & consumers they need
good health. This study deals with knowing consumers preference.

 To know the problem of the product.

 To understand the consumers preference

 My project is restricted to consumers of Shimoga city only.

OBJECTIVES OF THE STUDY

 To analyze the working capital management and financial performance


of the company.

 To know about the customer satisfaction towards the service.

6
 To give suggestions in marketing of health drinks to the energy to
increase sales and to overcome practical problems.

 To study the market share of Health drinks.

 To know the sales position of the product in Shimoga city.

 To study the consumer awareness the different brands of health drinks


in the market.

 To know why the consumers prefer and to know how they were
introduced to particular brand.

 To know the competition of other brands of health drinks in the


market.

 To know the brand loyalty among the consumers.

 To know whether the company image acts as an influence on brand


selection.

METHODOLOGY

Information required for the studies are obtained through primary


and secondary data collected.

As well as structured close- ended questionnaire was framed which


would provide all the possible data required basically through the study
the objectives of the primary data.

7
Primary data

Primary data was collected through personal interview with the


sales manager, consumers and distributors of company’s agency in
Shimoga city.

The data expressed above was collected through structured close-


ended questionnaire in course of interviewing through personal contacts.

Tools for data collection

A questionnaire was designed to collect the data and the questions


relevant have been sequenced in such a way that they provide a free flow
of answers.

Ultimately to collect the primary data a detailed comprehensive &


structured schedule was framed as per the objectives of the study.

The schedule was a closed type consisting of multiple-choice


questions as the checklist type of questions so that several choices of
answers and in the some case, the respondents are required to manually to
express their view.

Plan of analysis

The entire questionnaire from the respondents was arranged & a


master chart was prepared from the master chart analysis& profiles of
respondents were chalked out by preparing table & group I.e. they were
analyzed with the help of statistical technique like averages percentage
etc, order to interpret the data and to draw conclusions.

8
Secondary data

Secondary data was collected from newspaper, health magazines,


books, periodical annual reports, industrial manual books etc.

LIMITATIONS

 In a study this kind, as the inference has to be drawn on opinions, there


is bound to be errors due to subjective factors.

 This project work limited to the regular function of company product


& does not go in deep into function of different departments.

 The analysis has been done on the basis of the values & information
obtained in the balance of the company. The balance sheet & its
schedules gave only limited information regarding the performance of
the company.

 The figures in the balance sheet may not be actual figures because it as
prepare on a particular.

 The study will be restricted only to executive & staff of the company
as the information was gathered by the discussion with them.

 It was made with 3 techniques namely questionnaire, face-to-face


interview observation methods.

 The data collected from the questionnaire will be made on the


assumption of the data are provided by the respondent are accurate.

 The study restricted Shimoga city only. This study is based on


information collected. This study was carried out under time construct.
Hence I have drawn my conclusion with whatever little response I
could get.

9
CHAPTER – 2

INDUSTRY PROFILE

 Introduction

 Balanced Diet

 Micro Nutrients

 Macro Nutrients

 Nutritional Importance of Ingredients

10
CHAPTER-2

INDUSTRY PROFILE

INTRODUCTION

Health is a state of complete physical, mental, social, and spiritual


well being as defined by the world health organization. Hence, physical,
mental and social health goes hand in hand.

“A Sound Mind In a Sound Body” is a well-known saying. Thus,


physical health has to be given utmost importance.

Striving for good health should start with the first light ray of the
rising sun. A morning walk, reading a newspaper, and then indeed a
nourishing health drink before one starts the routine work for earning a
livelihood.

A health drink is one that furnishes our body with the essential
nutrients and energy, which provide strength to perform our duties with
no flaw.

There are many beverages, which are consumed by people such as


tea, coffee, etc. Yes they indeed stimulate our brains with increased
enthusiasm and transient, pseudo feeling of energy that enables us to do
work, but soon fades off. Then, the stimulation has to be given again. This
leads to a sort of addiction, which makes us mentally as well as physically
weak.

11
Hence, these kinds of brain stimulating beverages are not only less
useful but also some times harmful. Thus, we need a health drink which is
equivalent to the food we take i.e., a food drink which provides us with
the necessary nutritional constituents derived from natural food products,
that gets converted with energy in the body. This is a natural way of
obtaining energy.

Here is a discussion on the food drink produced & manufactured by


Glaxo SmithKline Consumer Healthcare Limited Company.

Boost is a malt health drink containing key vitamins & minerals


that help Boost energy.

` The ingredients that are added to these nourishing food drink are:

Milk solids, Malted barley, Malt extract, Sugar, Minerals &


Vitamins.

Nutrients acquired from these ingredients

1.Proteins.

2.Carbohydrates.

3.Fat.

4.Vitamins viz, B1, B2, B6, B12, niacin, vitamin C&D.

5.Minerals viz, Iron, Iodine, Zinc, Calcium.

6.Folic Acid.

BALANCED DIET

12
A balanced diet is the order of the day. It is defined as one Which
contains a variety of foods in such quantities and proportions that the need
for energy, ammonia acids, vitamins, minerals, fats, carbohydrates and
other nutrients is adequately met for maintaining health, vitality and
general well being and also makes a small provisions for extra nutrients to
withstand any short duration of leanness.

To maintain a balanced diet is quite difficult because of various


reasons.

1. Lack of knowledge.

2. Person to person varying of tastes.

3. Consumption of time.

4. Season changes of food grains grown.

5. Non-availability of food grains due to famine, heavy rain etc.

6. Hike in food grain prices sometimes.

Some Indian families overcoming all these difficulties try to


maintain a balanced diet, but sometimes go in vain.

Health drinks fill up the blank in their incomplete diet.

Let us know how a health drink helps in maintain good health by


studying the various nutrients of ingredients.

Nutrients are divided into: -

I) Micro – Nutrients, viz., minerals and vitamins.

ii) Macro - Nutrients viz., Proteins, carbohydrates and fats.

13
MICRO-NUTRIENTS:

They constitute vitamins and minerals.

1) Vitamins:

Health drink provides vitamins A, vitamin B1, B2, B6, B12,


vitamin C, vitamin D, Niacin and Folic acid.

Significance of these vitamins is explained below:

a) Vitamin A:

Sources:

Animal’s sources – Fish lever oil, milk, butter and egg.

Plant sources – green leafy vegetables, yellow fruits, and


vegetables.

Functions:

i. Helps in maintenance of normal vision.

ii. It is essential for skeletal growth

iii. It is required for the normal functioning of epithelium.

iv. It provides protection against cancer.

Daily requirements:

For adults – 750 mg

For children – 250 – 600 mg

Deficiency diseases:

Nigh blindness, growth retardation, anorexia.

b) Vitamins:

14
Vitamin B1 sources:

Plant sources: Cereals, gram, wheat, pulses, nuts, and fruits.

Animal sources: Meat, fish, eggs.

Functions:

 It is essential for utilization of carbohydrates.

 It helps in release of energy from food.

Daily requirements:

0.5 mg/1000 kilocalories of energy.

Deficiency diseases:

Beri – Beri.

C) Vitamin B2 sources:

Milk, egg, green leaves, vegetables, meat, cereals.

Functions:

 It has a role in cellular oxidation.

 Synthesis of enzymes required for energy metabolism.

Daily requirement:

0.6 mg/1000 kilocalories

Deficiency diseases:

Impaired wound-healing, ulcers in tongue, lips.

d) Vitamin B6 sources:

15
Milk, Meat, Fish , Cereals , Vegetables .

Functions:

It plays an important role in metabolism of amino acids, fats and


carbohydrates.

Daily requirement:

2mg/day

Deficiency diseases:

Peripheral neuritis.

E) Vitamin B12 sources:

Meat, Fish, Egg, Milk and Cheese.

Functions:

Helps in synthesis of D.N.A.

Daily requirement:

One microgram.

Deficiency diseases:

Anemia, neurological abnormality.

E) Vitamin C sources:

Fresh fruits, green leafy vegetables, meat, fish.

Functions:

 Protection against infections

 It helps is bone and cartilage formation.

Daily requirement:

16
40-60 micrograms.

Deficiency diseases:

Bleeding gums delayed wound-healing, anemia.

F) Vitamin D sources:

Sunlight, egg yolk, milk, butter, cheese.

Functions:

 It is essential for normal mineralisation of bone.

 It is essential for normal growth.

Daily requirement:

Micro grams per adults.

5 micro grams for children’s

10 micro grams for pregnant women.

Deficiency diseases:

Rickets characterized by growth failure, osteomalacia mainly


during lactation and pregnancy.

G) Niacin:

Milk is poor source of Niacin vitamin.

Source: Fish, poultry, legumes, groundnut.

Functions:

 It is essential for metabolism of carbohydrates, fats.

 It is essential for normal functioning.

Daily requirement:

17
6.6 mg/1000 kilocalories

Deficiency diseases:

Pellagra, a disease that causes great suffering in undernourished


people.

2. FOLATE:

Source: Leafy vegetables, fruits, egg and milk.

Functions:

Helps in development of blood cells.

Daily requirement:

5-10 mg

Deficiency diseases:

These are common in pregnancy and lactation.

3. MINERALS:

A) Calcium:

Sources: Cereals, green leafy vegetables.

Functions:

It is essential in formation of bones and teeth.

Daily requirement:

400-500mg of calcium.

B) Iron:

Sources: Cereals, green leafy vegetables, jaggery.

Functions:

18
It helps in maintaining body temperature.

Daily requirement:

Infants – 0.7 mg

Children – 1mg

Adults – 0.9 mg

Female: During menstruation time – 2.8 mg.

Deficiency diseases:

Anemia.

C) Iodine:

It is an essential micronutrient.

Sources: Milk, meat, vegetables, cereals in small amount.

Functions:

It is essential for normal growth.

Daily requirement:

150mg/day.

Deficiency diseases:

Goiter, mental defect.

D) Zinc:

Sources: Meat, milk, fish.

Functions:

Required for synthesis of insulin by pancreases.

19
Daily requirement:

5-10 mg

Deficiency diseases:

Growth failure, loss of taste.

MACRO NUTRIENTS:

1) Proteins:

They are made up of ammonia – acids at lest 20 amino acids are


needed to make up a protein.

Sources of proteins:

Animal sources are rich in essential amino acids e.g. milk.

Plant sources are rich in non-essential amino acids but essential


amino acids are less abundant.

Functions:

 Body building particularly in infants and children.

 Repaid and maintenance of body tissues.

Daily requirement:

1gram per kg body weight for an Indian adult.

Deficiency diseases:

Protein energy malnutrition in children.

2) Carbohydrates:

Sources: Cereals, roots, tubers, fruits and grains.

20
Functions:

Carbohydrates are the main source of energy. It provides 4 kcal of energy


per gram.

3) Fats:

Fats are concentrated sources of energy. They constitute 10-15% of body


weight.

Source: Animal sources: Ghee, butter, milk, cheese and eggs.

Functions:

 Food provides 9 calories of energy per gram.

Deficiency diseases:

Phrenoderma, a condition consulting rough and dry skin.

NUTRITIONAL IMPORTANCE OF THE INGREDIENTS:

1. Wheat flour:

It contains, fat, carbohydrates, niacin, minerals, energy (345


kilocalories).

2. Milk solids:

Milk fat is rich in retained and vitamin D. Milk solids contain


lactose sugar, which is a carbohydrate. They are a good source of calcium
and contain almost all the minerals.

3. Malted barley:

21
Barley is a cereal plant and an edible grain. It has nut like flavor. It
is rich in carbohydrates with moderate quantities of protein, calcium, and
phosphorous and small amounts of vitamin B.

22
CHAPTER – 3

COMPANY PROFILE

 History of Glaxo SmithKline Consumer Health care Ltd.

 Performance of the Company

 Additional Information

23
COMPANY PROFILE

HISTORY OF GLAXO SMITHKLINE CONSUMER HEALTH


CARE LTD.

Glaxo SmithKline consumer Healthcare Limited (GSK) is an India-


based company that operates mainly in the food processing industry. The
company manufacturers and markets malted milk food products, malted
food products and biscuits. The company’s products are marketed under
the Viva, Boost, Horlicks, Maltova, and other brand names. During the
year ended, the company sold its products throughout India, as well as
reported to a number of foreign countries, including Bangladesh,
Myanmar, Sri Lanka, Middle East, Hong-Kong, Malaysia, Fiji, Mauritius,
Nepal and Bhutan.

Glaxo SmithKline Consumer Health Care Ltd is one of the largest


players in the health food drinks industry in India. The company, with its
manufacturing plants located in Nabha, Rajahmundry and Sonepat, has a
total workforce of over 2700 people, each driven by a spirit of enterprise.

Its flagship product, Horlicks, is a highly respected brand, which is


over 100 years old in India. The company also manufactures and markets
Boost, Viva, Maltova, and Biscuits and in addition promotes and
distributes a number of products in diverse categories, including
prominent brands such as Eno, Crocin and Iodex.

Glaxo SmithKline Consumer Health Care Ltd., has a strong


marketing and distribution network in India comprising over 1800
wholesaler and direct coverage of over 4,00,000 retail outlets.

24
Glaxo SmithKline Consumer Health Care Ltd., business is based on
scientific innovation. The company has dedicated consumer healthcare
research and development centers and takes research as seriously as
marketing excellence, offering cutting edge capability in both.

An Indian associate of Glaxo SmithKline Company has


concentrated in three business areas –

a. Consumer health care

b. Clinical laboratories

c. Pharmaceuticals.

All of which maintain leadership positions within their respective


industries. Glaxo SmithKline company has over 1,00,000 people in 116
countries.

Glaxo SmithKline expects employees to meet high ethical


standards in all aspects of business by conducting activities with honesty
and integrity, adhering to corporate responsibility principles and
complying with applicable laws and regulations. Glaxo SmithKline audits
its operations to ensure relevant standards expected, such as those in
marketing practices, are reached or exceeded.

Commitment to the GSK code of conduct is reinforced each year by


a senior management certification programme, and in 2005 over 12.000
managers certified they had complied with “performance with integrity”
principles. The structure of this business was redesigned in 2004 in order
to focus on brands and their growth opportunities.

25
PERFORMANCE OF THE COMPANY:

1. Sales:

Sales for 2005 increased by 10.9%driven primarily by volume


increases.

2. Other income:

Other income declined marginally by Rs. 69.02 lakhs primarily due


to higher write backs of provisions in the previous year, which were no
longer required and higher interest on income tax refunds in 2004.

3. Expenditure:

During the year, input cost of raw material, packing material and
finished goods, as a percentage to sales has reduced to 29% as against
31.8% last year mainly due to lower input costs (particularly liquid milk
and skimmed milk powder). This decline also includes a considerable
reduction in the purchase of finished goods Viva, Maltova from Jagatjit
Industries Ltd., for the purpose of exports (from Rs.808.75 lakhs in 2004
to Rs. 1,57.38 lakhs in 2005) staff cost includes an amount of Rs. 4,57.7
lakhs towards one-time encashment of accumulated leave balances, being
a change in leave encashment policy for eligible management personnel.

The company continued to invest behind the brands and


consequently advertisement and promotion expenses increased as a
percentage of sales from 10.3% to 11.6%.

4. Profit before taxation:

Profit before taxation amounted to Rs.1, 62, 42.02 lakhs and has
increased by 40.4% over previous year Rs.1, 15,67,52.

26
5. Provision for taxation:

The company has made provisions for taxation for the year
amounting to Rs.58, 74.99 lakhs (including deferred tax and provision for
fringe benefit tax) on profit before tax. The effective tax rate for the year
is 36.2% as against the 36.9% last year mainly due to the favorable impact
on deferred tax and reduction in the corporate taxation rates. Provision for
fringe benefit tax, introduced during the year, amounted to Rs.4, 16.00
lakhs.

6. Return on capital employed:

Consequent to the increase in profits of the company the return on


capital employed (average) during the year increased to 32.3% from
22.6% last year.

The present board of directors of the company:

27
Mr. Simon Scarff Non Executive Chairman

Mr. Zubair Ahmed Managing Director

Mr. Ashok Dayal Non Executive Chairman

Mr. Praveen G.K. Directors operations

Mr. Chakraborty Director, Finance and IT

Mr. Ian Mcpherson Non Executive Chairman

Mr. Kunal Kashyap Non Executive Chairman

Mr. P. Dwarakanath Non Executive Chairman

Mr. P. Murari Non Executive Chairman

Mr. Lawrenece Calp Non Executive Chairman

Mr. Subodh Bhargava Non Executive Chairman

Mr. Nicholas J. Massey Managing Director

28
ANALYSIS OF FINANCIAL OF SIX YEAR FINANCIAL
POSITION

Rs. Lakhs

2006 2007 2008 2009 2010 2011

Source of Funds

Share capital 45.38 45.38 45.38 45.38 45.38 42.05

Reserves and surplus 329.16 296.04 437.84 446.73 483.97 433.06

Total shareholders 374.54 441.42 483.22 492.11 529.35 475.11


funds

Borrowings 55.00 75.66 - - - -

Funds employed 429.54 517.08 483.22 492.11 529.35 475.11

Deffered tax - 28.16 35.63 28.16 31.98 27.60


liabilities

Total 429.54 545.24 518.85 520.27 561.33 502.71

29
Rs. Lakhs

2006 2007 2008 2009 2010 2011

Application funds

Gross fixed assets 402.18 496.90 515.56 492.22 504.63 517.74

Depreciation 70.04 84.55 122.70 162.31 197.24 233.95

Net fixed assets 332.14 412.35 392.86 329.91 307.91 283.79

Investments - - - - - -

Gross current assets

Loans & advances 256.80 298.15 293.43 363.02 432.25 401.79

Current liabilities & 178.12 180.04 177.28 177.57 178.31 182.87


provisions

Net current asset 78.68 118.11 116.15 185.45 253.94 218.91

Net current asset 78.68 118.11 116.15 185.45 253.94 218.91

Miscellaneous 18.72 14.78 9.85 4.91 - -


expenditure

Total application 429.54 545.24 518.85 520.27 561.33 502.71

30
SIX YEAR TRACK RECORD

Rs. Lakhs

2006 2007 2008 2009 2010 2011

Turnover

Profit before 875.12 992.14 871.06 908.95 981.72 1089.02

Net profit 151.73 193.91 126.71 99.58 115.68 162.42

Divided payout 28.59 31.77 31.77 31.77 31.77 33.64

Corporate divided 6.29 3.24 - 4.07 4.15 4.72


tax

Retained earnings 77.14 91.62 53.24 40.51 37.24 68.79

Divided @ % 63 70 70 70 70 80

Earning per 24.68 27.90 18.73 16.82 16.12 24.84


shares (Rs.)

Bonus issue - - - - - -

Number of share 33.019 31.442 30.607 30.607 28.048 24.571


holders

31
ADDITIONAL INFORMATION:

Company: Glaxo SmithKline Consumer Health Care Limited.

Result period: 01-Jan-2010 to 31-Dec. 2010 and 01-Jan-2011 to 31-


Dec-2011

Financial results (Rs. Lakhs)

32
Particulars 1-1-2010 to 1-1-2009 to
31-12-2011 31-12-2010
Net sales 111190.00 96685.00
Other income 5220.00 2431.00
Gross income 116410.00 99116.00
Increase/decrease in stock -240.00 -3583.00
Consumption of raw materials 38660.00 35175.00
Staff cost 13470.00 11446.00
Total expenditure (excluding other 51890.00 43038.00
expenditure)
Other expenditure 40850.00 35229.00
Interest 350.00 422.00
Profit (+)/loss (-) before depreciation and 23320.00 20427.00
taxes
Depreciation 3810.00 3724.00
Profit / Loss before tax 19510.00 16703.00
Other provisions 6360.00 5527.00
Miscellaneous expenditure w/o 0 0
Net profit / Loss 12690.00 10715.00
Non recurring income 0 0
Non recurring expenses 0 0
Adjusted net profit / loss 12690.00 10715.00
Face valve of share (Rs.) 10.00 10.00
Paid up equity share capital 4210.00 4206.00
Reserves excluding revolution reserves 50070.00 43306.00
Dividend (%) 0 0
Basic EPS (Rs.) 30.18 24.84
Diluted EPS (Rs.) 30.18 24.84
Non-promoter shareholding (NOS) 0 23903295.00
Non-promoter shareholding (%) 0 56.84

33
CHAPTER – 4

PRODUCT PROFILE

 INTRODUCTION

 NUTRITION FACTS

34
PRODUCT PROFILE

INTRODUCTION:

In India Glaxo SmithKline Consumer Healthcare is a leading


consumer healthcare company. It has launched many products, which
have been successful in the consumer market.

There are many successful products of Glaxo SmithKline


Consumer Healthcare Company. They are the main and unique health
drinks manufactured by the company. They differ in their contents, color,
taste etc., but they are nutritious and unique in their quality.

The difference in variety is only to satisfy likes and needs of the


customers.

Food drinks are almost popular in any part of the world. Another
plus point for these food drinks to become world wide is that they are
permitted and approved by the health personnel also.

Tea, coffee and other beverages though preferred by many people


act as only brain stimulants but are not nutritious. All knows the
shortcomings of these beverages.

Any other beverages can never ever replace food drinks when
health is considered as a basic point.

Hence it is wiser to choose a useful, harmless health promoter daily


beverages than a transient brain stimulant harmful beverage.

35
PRODUCT DESCRIPTION:

Kerala in 1975-76. Positioned as the ‘energy fuel’, the brand soon


generated great consumer pull and was subsequently launched at a
national level.

Around 1984, however, Boost sales seemed to plateau. This led to


a complete re-thing about the brand strategy. A deeper understanding of
purchase dynamics of the category revealed that by the latter of the 1980s,
children had come to become strong influencers in a family’s purchase of
these HFD products. What was also observed was that this section of the
population had the highest requirement for supplementary energy and was
also the most enthusiastic about sports - cricket, in particular.

Infused with this insight, Boost was consequently repositioned. It


pushed forward the association of kids of this age group with cricket.
This has since remained a winning strategy.

Boost product:

Boost is a malt-based drink in chocolate flavor, with the brand


philosophy being to continuously innovate and pioneer changes in the
category.

36
In 2002, the brand created history by re-launching boost with
Power BosstersTM, a completely different product from any other health
food drinks (HFD). The new boost contains copper and biotin, in addition
to its extant composition of vitamins and minerals. Two serves of new
boost (approximately 30gms) as per the CODEX aliment arias
commission of the world health organization, 1995, provide 50% of the
daily requirement of vitamin B1, B2, B3, B12, A, C, D, Niacin, antithetic
acid, biotin, folic acid, copper and iron and 25% of calcium.

The vitamins and minerals not only provide adequate energy for the
consumer they also help in the efficient working of body cells (by
releasing energy from food), formulation of healthy blood and make
bones stronger.

This re-launch has helped boost capture the position of number one
brown health food drink in India.

37
To reach its audiences it has extended itself by evolving numerous
below-the-line initiatives. An extensive school contact programme covers
over 3,60.000 students each year across the country and the Boost Cricket
Cup encourages and identifies genuine cricketing talent amongst kinds. It
is platform that gives under-16 players an opportunity to show their talent
and gain confidence in playing cricket at national and international levels.
When the cup was launched in 2002, 113 schools participated with Sachin
Tendulkar and Virender Sehwag inaugurating the tournament. Not
surprisingly, the brand has grown at a cumulative annual growth rate of
over 8% in the last four years in a period when the category itself has not
shown much growth.

At the same time boost is also playing the role of creating more
sophisticated business practices in product segment. It is working on
products with further valve addition, enlarging its presence in rural
markets, and developing a sizeable expert out of home consumption is
plank, another area where there appears to be bright prospects for the
brand.

Already, through vending machines at strategically located points


like institutions, a start has been made in this direction. By now
combining nutrition and taste with convenience, the brand looks all set to
reach out to a wider group of consumers and a different range of usage
occasions all at once.

38
Promotion:

Cricket has been the cornerstone of Boost’s brand promotions. This


sport commands unique passion in India, among children in particular.
Boost’s energy offering is also uniquely suite dot this situation – after all,
to play quality cricket and last the duration of a cricket match loads of
energy are required. Therefore India’s most famous cricket stars,
particularly those with a humungous following among children, have
successively endorsed boost.

Kapil Dev, who was the country’s most charismatic cricketer in the
1980s, flagged this off. In the 1990s, the baton passed to Sachin
Tendulkar, who emerged in the early 1990s as a baby faced teenager and
instantly became the heartthrob of millions of cricket crazy Indians,
especially young children. Sachin has remained steadfast in his support
for boost with explosive batsman Virender Sehwag joining the little
master as brand ambassador in 2001.

39
The on pitch chemistry between India’s opening duos has continued
beyond cricket and the cricket pitch or so it would seem when viewing the
commercials starring the two.

Brand values:

The personality of the boost brand is distinctly sporty and energetic


and everything – from the tone of communication to packaging – is done
to reflect this vibrant energy. Today, the colour red and ‘Boost is the
secret of my energy’ have become synonymous with the brand.

Things you didn’t know about boost:

Boost has a household penetration of 40%, 45% in several cities


and towns in south India, the brand’s stronghold. In towns like Chennai
and Madurai this penetration exceeds 50% among section A and B
households and 40% among all households (Source. IMRB panel data
Jan-Dec 2003).

Sachin Tendulkar appeared in a boost advertisement for the first


time at the age of seventeen.

The kid, who started in the boost advertisement with Kapildev,


went on to become a member of the Indian cricket team – Nikhil Chopra.

There is a range of interesting products prepared with boost, which


cater to local tastes: the boost ‘barfis’, for example, in certain parts of
south India.

Boost has the highest frequency of purchase among all brown


powders in India (Source: IMRB Household panel). Boost is the fastest
growing brand (2003 over 2002) among the top five health food drinks in
India. (Source: Acnielsen Retail survey, 2003).

40
NUTRITION FACTS:

Nutrition facts of boost

Nutrients (%) Percentage of daily


requirements

Vitamin B2 50

Vitamin B6 50

Vitamin B1 50

Vitamin B12 50

Niacin 50

Pantothenic acid 50

Folic acid 50

Iron 50

Vitamin A 50

Vitamin C 50

41
CHAPTER – 5

MARKETING STRATEGY

 INTRODUCTION

 MEANING AND DEFINITION OF MARKETING STRATEGY

 MARKETING MIX STRATEGY OF BOOST PRODUCTS

A) PRODUCT STRATEGY

B) PRICE STRATEGY

C) PROMOTION STRATEGY

D) PLACE STRATEGY

42
MARKETING STRATEGY

INTRODUCTION:

MARKETING:

Marketing is a comprehensive term, which includes human


activities directed towards satisfying needs and wants, once the need is
identified the product or service is produced, stored, promoted price fixed,
transported the terms of exchange negotiated and service accrued.

Marketing study has become almost as broad as business. The new


and growing application of marketing concept not only in the organization
of a business but in all aspects of its operations has resulted in major
shifting of emphasis from production orientation to customer wants and
needs of that product.

MEANING AND DEFINITION OF MARKETING STRATEGY:

Marketing strategy is blending of combination of four elements


namely, product, price, place and promotion.

Marketing strategy is an important tool used by marketing manager


to design the process. Marketing in an organization. It is a plan design to
analyses the marketing problems.

It is a comprehensive term and includes all resources and a set of


activities necessary to direct and facilities the flow of goods and services
from producer to consumers.

According to businessmen, marketing has twin activities:

a) Matching the producer or service with demand.

43
b) Transfer of ownership and possession of the flow of goods from
primary to ultimate consumers.

Definition:

American marketing association defines “marketing is the process


of planning and distributions of ideas, goods and services to create
exchange that satisfy individual and organizational objectives”.

Prof. Philip Kotler says, “marketing is the analysis, planning,


implementation and control of programs designed to bring desired
exchanges with target audiences for the purpose of personal and mutual
gain. It relies heavily on the adaptation and co-ordination of product,
price, promotion and place for achieving response”.

A strategy is what you are going to do a marketing strategy is the


link between a product and the market. It is translated into an action plan
through the tools of marketing management. These tools together called
marketing strategy.

Marketing mix:

Marketing mix is the combination of four elements namely product,


price physical distribution (place) and promotion.

According to Prof. Kelly and Leser, “marketing strategy is


composed of a large battery of devices which might be employed to
induce consumers to buy a particular product”.

44
Nature of marketing strategy:

Marketing strategy is a dynamic process it changes in needs of the


customers. Marketing strategy is a difficult task as it involving the
blending of decision in 4 different areas of marketing i.e., the product,
price, promotion and place.

Basic objectives of marketing strategy:

The basic objective of marketing strategy is to satisfy the needs of


the customers in the most economical manner. The emphasis of marketing
strategy is on how to satisfy the needs of the customers effectively.

Marketing strategy:

Marketing strategy is to total and unbeatable instrumental or a plan


shaped and designed specifically for attaining the marketing objectives of
a firm. A marketing mission and objectives tell us to where we want to go
and marketing strategy provides us with the grand design for reaching out
these.

MARKETING MIX STRATEGY OF BOOST PRODUCTS:

1) Production strategy:

Product:

A product is anything that can be offered to a market to satisfy a


want or need. Products that are marketed include physical goods, services,
experiences, persons, places, properties, organizations, information’s and
ideas.

Product strategies:

45
The product is the focus of marketing efforts, product is the sum
total of physical and psychological satisfaction it provides to the buyer
product strategies are the composite of products offered for the firm, over
a period of time. A product strategy of a company comprises the plan for
marketing its products, the company develops a product design to achieve
the set objectives, it will have product program suitable to the product
position in the life cycle.

Product design:

The marketing starts with designing the product in a way, which is


required, by the target consumer’s product design is an important factor in
sale of many products. Product designed properly enhance their utility,
attractiveness, safety and appear, good design, therefore increase sales
volume minimizes service and reduces transportation charges.

Product package:

Packaging is the general group of activities in designing the


containers or wrappers for products. A good packages protects the
products provides conveniences increase. Economy and communicates. It
makes possible easy brand identification, prevents, substitution and short
weight and an element of advertising and sales promotion.

Package protect the products against deterioration preserve


freshness and flavor, insure against evaporation losses and physical
change due to climate conditions, diminishes loss from handling. It
provides greater consistence to both the consumer and dealers.

Functions of package:

a) To assemble and arrange the contents in the desired form.

46
b) To identify the product and carry brand name.

c) To facilitate transporting, storing and warehousing handling.

d) To facilitate retailer function.

Branding policy:

Boost is one of the health drinks of Glaxo SmithKline consumer


health care limited. The Glaxo SmithKline consumer health care limited
company market products i.e., full company products under the brand
name “GSK”. All these products manufactured by the company will have
the brand name printed. Because of the popularity of the “GSK” brand, it
is easy for the dealer to market the products without much difficulty. It is
also advantages on part of the consumer to purchase “GSK” products
without any suspect about the quality of the product.

The company’s brand name is very popular because the name has
got the monopoly over the marketing of health care products
manufactured by the company.

2. Pricing strategy:

Price is one of the element of the marketing mix that produces


revenue the other elements produce costs. Prices are the easiest marketing
mix element to adjust product features, channels, and even promotion take
more time price also communicates to the market the company’s intended
value position of its product or brand.

Price is a major marketing tool and help in directing the product to


a specific consumers segment price is the value of a product expressed in
terms of money price is powerful instrument in which both the buyers and
sellers are keenly interested.

47
The right price can be determined through the price research are by
adopting the test marketing techniques, decisions concerning price to be
follow for a period of time may be called price policies. A manufacture is
not free to adopt his own price policies but his pricing must be aimed at
offering a reasonable price to the customer, ensuring of fair return on
investment price to the customer and the manufacturer, the modern
manufacturer must not only know the worth of his products but he must
also know the competition offer.

Several factors influencing the decisions in determining price –

1) Demand for the product

2) Target share of the market

3) Competitive reactions

4) Other parts of marketing mix, i.e., product distribution channel


and promotion.

The price of the product based on different method:

1. Method based on cost:

a) Cost plus method

b) Marginal cost price policy

c) No cost profit policy

d) Rate of return pricing policy.

2. Method based on market conditions.

a) Skimming the cream policy

b) Penetration pricing policy

48
c) Leadership pricing policy

d) Establishing pricing policy.

Selling pricing policy:

The firm or company has to consider many factors in selling its


pricing policy.

a) Selecting the pricing objectives

b) Determining demand

c) Estimating costs

d) Analyzing competitors costs, price and offers

e) Selecting a pricing method

f) Selecting the final price.

Pricing policy:

Price is very important element in marketing mix as realized by


Glaxo SmithKline consumer health care limited. Therefore management
of the company keeping in view of the following objectives very carefully
forms the pricing decisions or policies.

a) To maximize their profit

b) To acquires good market positions

c) To face their competitors

d) To keep price stable.

49
The price or the various products, especially the health care
products of Glaxo SmithKline consumer health care limited, are done
after a careful and through investigation of the cost of goods, the market
position, and the competitors the rise in price etc.

3. Promotion strategy:

Promotion mix includes all the activities of the company it makes


to communicate and promote its products to target customers. Its program
consists of advertising sales promotion, public relation and direct and on
the line marketing. The term promotion is very often needed, as a
synonymous world for selling, but selling is narrow is a broader term and
includes varieties of activities. Promotion involves the creation and
expansion of demand. After product planning and development it is
introduced in the market and its demand is enhanced through the
promotional activities.

Various factors affecting promotion mix:

a) Money allocated for promotion

b) Nature of the market

c) Nature of the product

d) Stage of product life cycle.

Promotion is conducted through four popular method advertising,


sales promotion, publicity and public relations. All these methods, when
planned and mixed in appropriate proportional yield excellent results. The
fair methods are briefly mentioned.

50
Publicity:

Publicity is a sale and is any non-personal presentation of goods,


services or ideas to a group.

Publicity makes a thing or an idea to know to people promotion


mix is generally influenced by factories. A good promotional Mix
involves the co-ordination of sales force activities advertising program
and other promotional efforts the development of promotional program
involves 5 types.

a) The communication has to identified the target

b) An effective message must be designed

c) Total promotional budget just be established.

d) The promotional budget must be decided among the main


promotional tools.

e) Both personal and non-personal channels must be related.

Advertising:

Unidentified sponsor defines advertising as any paid form of non-


persons presentation and promotion of goods, services, or idea.
Advertising is informative and educative to consumer. The effect of
advertising is more of indirect nature than direct. But it is very helpful in
creating brand image.

Sales promotion:

51
Sales promotion is refused to activities, which stimulate consumer
purchasing and effectiveness. Sales promotion effects are usually short
term and therefore are used to achieve short term objectives like branding
boosting sales, test marketing image building etc.

Public relations:

It involves the method installation and maintenance of mutual


understanding between a firm and all who are likely to come in contact
with it. These sections of society are customers, shareholders
administration staff and general public. It is the art and science of
developing reciprocal understanding and goodwill.

4. Place strategy:

It means distributing the goods to various places where there is a


demand for their goods. This plays a very important role in the marketing
mix. It stands for making management for the smooth flow of goods and
services from the producer to consumers. It is concerned with the
creation of place, time and possession utilities.

In distribution process middleman or intermediaries plays a very


important role. They unsure smooth flow of goods and services they are
commonly called as distribution channels. Distribution includes channels
of distribution transpiration warehousing and inventory control.

Importance of physical distribution mix:

52
It is a marketing term to describe the broad range of activities
concerned with the efficient movement of finished products from the end
of production line to the consumer. While our products may be acceptable
to the consumer due to the awareness created through marketing.
Distribution ensures that it is converted to sales. Distribution helps in
building the relationship with our customers thus ensuring continues
growth in our business.

Following are the distribution activities:

 Market coverage

 Outlet coverage

 Frequency of service to markets and outlets

 Ensuring product availability

 Providing support to retailers

 Collecting payments.

Distribution mix stands for the matching arrangement for the


smooth flow of goods and services from the producers to the consumers.
It is concerned with creation of place, time and possession utilities.

53
Distribution strategy adopted by Glaxo SmithKline Consumer
Healthcare Limited:

The company recognizes distribution as an integral post of its


management function. The management feels that it faces a number of
intimate problems and dilema’s. Where distribution is concerned the
goods have to be distributed at minimum possible cost. Yet a reasonable
satisfactory level of service has to be maintained. Distribution level
networks have to reach for a wide and yet close control on distribution
activities have to be constantly exercised.

The company will distributes the product on receive of the


quotations from the dealers. The distribution will be done on behalf of the
company upto the door of the dealer stores.

54
CHAPTER – 6

DATA ANALYSIS AND INTERPRETATION

55
CONSUMER SURVEY ANALYSIS

INTRODUCTION:

Consumer is the king and pivot around which all the business
thinking of the marketers rotate. The marketers are aware of the fact that
consumers are the arbiters of fortune in their business because it is the
consumer’s response towards their products that decides the gain or loss
of the company. Hence, marketer’s main target is customer satisfaction,
which is the hope of survival of their firm in the market. The marketers
have to satisfy the customer to his fullest in various aspects such as price,
quality, offers etc., which delights him.

However, the likes and dislikes vary from customer to customer


which depend on their buying habits, family income, motives and
attitudes.

To sketch out the customer’s desires and demands, a search has to


be undertaken of their minds. This is possible only through conducting a
survey. Hence, to know the consumers attitude towards the health food
drinks of Glaxo SmithKline consumer healthcare, a sample survey has
been undertaken and its report is presented hereby.

The total numbers of respondents interviewed are 50, the


respondents being selected by random sampling.

56
CONSUMER SURVEY ANALYSIS:

Table-1: Classification of respondents on the basis of age group (in


years)

Age group (in years) No. of respondents Percentage (%)

5-10 - -

10-15 12 24

15-20 8 16

20 and above 30 60

Total 50 100
CHART SHOWING CLASSIFICATION OF RESPONDENTS ON THE BASIS OF AGE
GORUP

60
60

50
PERCENTAGE

40

30 24
16
20

10

0
10-15 15-20 20 and above
AGE IN YEARS

The above table reveals that 24% of the respondents are between
the age group of 10-15 years, 16% of respondents are in the age group of
15-20 years, and 60% of respondents are in the age group of 20 and
above.

57
Table-2: Classification of respondents on the basis of sex

Sex No. Of respondents Percentage (%)

Male 29 58

Female 21 42

Total 50 100

CHART SHOWING CLASSIFICATION OF RESPONDENTS ON


THE BASIS OF SEX

42%

58%

Male Female

The above table reveals that 58% of the respondents are male and
the remaining 42% of respondents are female.

58
Table-3: Classification of respondents on the basis of monthly income
(Rs.)

Monthly income (Rs.) No. Of respondents Percentage (%)


Below 5000 6 12
5000-10000 12 24
10000-15000 13 26
15000 and above 19 38
Total 50 100

CHART SHOWING CLASSIFICATION OF RESPONDENTS ON THE BASIS OF MONTHLY


INCOME

38
40

35
26
30
24
PERCENTAGE

25

20
12
15

10

0
Below 5000 5000-10000 10000-15000 15000 and above

From the above table it is clear that 12% of respondents are in the
monthly income of below 5000, 24% of respondents are in the monthly
income of 5000-10000, 26% of respondents are in the monthly income of
10000-15000, 38% of respondents are in the monthly income of 10000-
15000, 38% of respondents are in the monthly income of 15000 and
above.

59
Table-4: Classification of respondents on the basis of health drink
brands

Brands No. Of respondents Percentage (%)


Boost 36 72
Complan 3 6
Maltova 1 2
Horlicks 1 2
Bournvita 6 12
Others 3 6
Total 50 100

Form the above table it is clear that 72% of respondents prefer to


purchase boost health drink, 6% of respondents prefer to purchase
complan health drink, 2% of respondents prefer to purchase Maltova
health drink, 2% of respondents prefer to purchase Horlicks health drink,
12% of respondents prefer to purchase Bournvita health drink, 6% 6% of
respondents prefer other brands.

60
Table-5: Classification of respondents on the basis of using period of
boost health drink

Years No. Of respondents Percentage (%)

Below 1 year 3 6

1-2 8 16

2-3 9 18

3 and above 30 60

Total 50 100

CHART SHOWING CLASSIFICATION OF RESPONDENTS ON THE BASIS OF USING PERIOD OF


BOOST HEALTH DRINK

60

60

50
PERCENTAGE

40
18
16
30
6
20

10

0
Below 1 year 1-2 2-3 3 and above

From the above table it is clear that 6% of respondents are using


from below 1 year, 16% of respondents are using between 1-2 years, 18%
of respondents are using between 2-3 years, 60% of respondents are using
from above 3 years.

61
Table-6: Classification of respondents on the basis of sources
influenced to consume the product

Sources No. Of respondents Percentage (%)

Friends 21 42

Retailers 1 2

Neighbour 2 4

Advertisement 25 50

Others 1 2

Total 50 100

62
CHART SHOWING CLASSIFICATION OF RESPONDENTS ON THE BASIS OF
SOURCES INFLUENCED TO CONSUME THE PRODUCT

2%

42%

50%

4% 2%

Friends Retailers Neighbour


Advertisement Others

From the above table it is clear that the sources influenced to


consume the product i.e., 42% through friends, 2% through retailers, 4%
through neighbour, 50% through advertisement, 2% through others.

Table-7: Classification of respondents on the basis of factors


considered while purchasing boost

Factors No. Of respondents Percentage (%)

Taste 42 84

Flavor 8 16

Price - -

Packing - -

Total 50 100

63
CHART SHOWING CLASSIFICATION OF RESPONDENTS ON THE
BASIS OF FACTORS CONSIDERED WHILE PURCAHSING BOOST

90 84

80

70

60
PERCENTAGE

50

40

30
16
20

10
0 0
0
Taste Flavour Price Packing

From the above table it is clear that 84% of respondents are


considering taste, 16% of respondents are consider flavor.

64
Table-8: Classification of respondents on the basis of duration of
purchase of the health drink

Duration No. Of respondents Percentage (%)

Occasionally 5 10

Frequently 6 12

Fortnightly 3 6

Monthly 36 72

Total 50 100

CHART SHOWING CLASSIFICATION OF RESPONDENTS ON THE


BASIS OF DURATION OF PURCHASE OF THE HEALTH DRINK

Monthly
72

Fortnightly
6

Frequently
10 12

Occasionally

0 10 20 30 40 50 60 70 80
PERCENTAGE

From the above table it is clear that, 10% of respondents are


purchase occasionally, 12% of respondents are purchase frequently, 6% of
respondents are purchase fortnightly, 72% of respondents are purchase
monthly.

65
Table-9: Classification of respondents on the basis of taste satisifed by
the customers

Taste of Boost No. Of respondents Percentage (%)

Good 13 26

Better 8 16

Best 10 20

Excellent 19 38

Total 50 100

CHART SHOWING CLASSIFICATION OF RESPONDENTS ON THE


BASIS OF TASTE SATISIFED BY THE CUSTOMERS

Good
26%
Excellent
38%

Better
16%

Best
20%

From the above table it is clear that, 26% of respondents found taste
of boost is good, 16% of respondents found it better, 20% of respondents
found it best, 38% of respondents found it excellent.

66
Table-10: Classification of respondents on the basis of opinion about
the price of Boost

Price factor No. Of respondents Percentage (%)

Costly 3 6

Moderate 33 66

Economical 14 28

Total 50 100

67
CHART SHOWING CLASSIFICATION OF RESPONDENTS ON
THE BASIS OF OPINION ABOUT THE PRICE OF BOOST

66
70

60

50
PERCENTAGE

40
28
30

20
6
10

0
Costly Moderate Economical

From the above table it is clear that, 6% of respondents found it is


costly, 66% of respondents found it as moderate, 28% of respondents
found it as economical.

Table-11: Classification of respondents on the basis of satisfaction


towards quality of Boost

Satisfaction No. Of respondents Percentage (%)

Satisfied 50 100

Not satisfied - -

Total 50 100

68
CHART SHOWING CLASSIFICATION OF RESPONDENTS ON
THE BASIS OF SATISFACTION TOWARDS QUALITY OF BOOST

100

100
90
80
70
PERCENTGE

60
50
40
30 0
20
10
0
Satisfied Not satisfied

From the above table it is clear that, 100% of respondents were


satisfied towards quality of boost.

69
CHAPTER – 7

FINDINGS, SUGGESTIONS AND CONCLUSION

70
FINDINGS, SUGGESTIONS AND CONCLUSION

FINDINGS

 Form the survey it is clear that 72% of respondents


prefer to purchase boost health drink

 60% of respondents are using from above 3 years.

 50% through advertisement

 84% of respondents are considering taste

 72% of respondents are purchase monthly.

 38% of respondents found it excellent

SUGGESTIONS:

 The main demand of the consumers according to the survey is to


reduce the price of products so that, it can reach the middle class as
well as the low class society.

 Adding free gift items like playthings for children, offers, which
attract housewives, will increase the marketing of the product.

 Increased significance has to be given to the media of


communication like televisions as they convey by both visual audio
units.

71
 Word of mouth publicity through friends and relatives is also an
effective medium of communication for conveying product
information. This can be made possible by building up a good
company image by producing good quality products and also easy
and timely availability of the products.

 Effective conveyance of product information by door-to-door


advertisement with free samples will promote the sales to the
maximum extent.

 Advertising of the product is to be done in the form of wall posters,


pamphlets etc., which also help in increasing product awareness.

 Discount schemes are to be operated in greater frequency.

 Reduction of price should not be the cause for reduction in the


quality and flavor of the product.

 An effective distribution system and readily availability of the


product has to be maintained in the long term.

 The promotional materials designed for shop display should be


really eye catching and effective.

 The company has to implement uniform business policies through


out the country. If there are any disparities in the price there may
be free sale of products form areas where between the terms are
offered.

72
CONCLUSIONS:

From the sample survey reports, the following

 Health drinks are consumed most by children and the elders who
are the high- risk people for under – nutrition.

 High-class people are the major buyers of the product. Middle


class people also prefer buying the product while these products
have failed to reach the low class people mainly due to the price
factor.

 Advertisement in televisions, magazines and newspaper are the


main channels of communication for recognition of the brands
among the people. Friends, neighbors and relatives come next, as
the channel of communication is by word of mouth that also
compels the people to consume the products.

 Nearly 2/3 of the total consumers are loyal to Boost of Glaxo


SmithKline, since many years, eve rating to as long as 15-20 years.
The reason for this is the quality of the brand as narrated by the
people.

 The taste of boost is approved by the consumers to be good.

 Almost every person consuming any brand of health drink is aware


of the health drinks of Glaxo SmithKline (GSK), which proves
popularity of boost.

To conclude, in total Boost is accepted by the consumers as good


quality genuine products.

73
Annexure

 Questionnaire

 Bibliography

74
QUESTIONNAIRE

Dear Sir/Madam,

I am a student of final year B.B.M., Govt. First Grade College,


Shivamogga. As a part of my academic studies. I have undertaken a
project work on “Marketing of Boost Products in Shimoga city” with
special reference to D.H.A.L Distributors, Shimoga. Hence, I kindly
request you to spare few minutes in answering the following questions.

The information provided by you will be used only for academic


purpose. I hope you will co-operate for this.

Thanking you,

Yours sincerely,

MANASA R

1. Name :
2. Address :
Contact No. _________________________________
3. Age group in years
a) 5-10 b) 10-15
b) 15-20 d) 20 and above

4. Sex
a) Male b) Female
5. Marital status
a) Married b) Unmarried
6. Occupation: ________________________

75
7. Monthly income (Rs.)
a) Below 5000 b) 5000-10000
c) 10000-20000 d) 20000 and above

8. Are you taking the health drink, which of the following –


a) Boost d) Horlicks
b) Complan e) Bournvita
c) Maltova f) Others ________________
9. Since how long you are using it?
a) Below 1 year b) 1 to 2 years
c) 2 to 3 years d) 3 and above
10. Who influenced you to consume this product?
a) Friends b) Retailers
c) Neighbors d) Advertisement
d) Others ____________________________
11. What factors do you consider while purchasing Boost
a) Taste b) Flavor
c) Price d) Packing
12. How often do you purchase?
a) Occasionally b) Frequently
c) Fortnightly d) Monthly
13. What is your opinion about the price of Boost
a) Costly b) Moderate
c) Economical

76
14. How is the taste of Boost?
a) Good b) Better
c) Excellent d) Best
e) Bad
15. Are you satisfied by the health drink used by you?
a) Yes b) No

16. Any suggestions about Boost.


__________________________________________________

Date:
Place: Signature

77
BIBLIOGRAPHY

 Marketing Management - Prof.S.A. Sherlekar

 Marketing Management - Philip Kotler

 Annual reports and accounts of Glaxo Smithkline consumer Helath


care ltd.,

 Websites - www.gsk.com

www.boostenergy.com

www.google.com

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Boost's promotional strategies, which include brand endorsements by prominent cricket figures and vibrant advertising, have effectively increased brand loyalty. With household penetration reaching up to 50% in strong areas and a reported 84% of consumers prioritizing taste, the focus on energetic branding and athlete endorsements has fostered strong brand recognition and contributed significantly to consumer loyalty. Additionally, advertising through TV and word-of-mouth strategies have further solidified consumer attachment to the brand .

Glaxo SmithKline Consumer Healthcare Ltd. employs several marketing strategies for Boost, including product, price, promotion, and place strategies. The product strategy involves designing products to meet consumer needs and includes packaging that facilitates brand identification and protection. The price strategy targets segment-specific pricing to maintain a value position in the market. The promotion strategy includes leveraging endorsements from popular sports figures like Sachin Tendulkar and Virender Sehwag to connect with younger demographics. Finally, the place strategy ensures broad distribution, especially in southern India where Boost has significant penetration, reaching over 50% in cities like Chennai and Madurai .

Boost's branding as a vibrant and energetic product, reinforced by the 'secret of my energy' slogan and endorsements from cricket icons, enhances its competitive advantage. The brand identity aligns with consumer aspirations for energy and vitality, particularly appealing to young and active demographics. Coupled with strategic marketing that highlights its nutritional benefits, Boost maintains a strong market position by catering to consumer desires for both performance-enhancing and health-friendly products .

Boost is differentiated from other health drinks by its comprehensive nutritional profile, which covers 50% of daily requirements for several vitamins and minerals such as Vitamin B2, B6, B1, B12, Niacin, Pantothenic acid, Folic acid, Iron, Vitamin A, and Vitamin C. This robust nutritional offering makes it a preferred choice for consumers seeking fortified health drinks, thereby catering to a market that prioritizes nutritional value in its health beverage selections .

Urbanization and changing dietary habits have significantly influenced the demand for health drinks like Boost. As urban populations grow, there's a shift towards convenient and fortified food options due to lifestyle constraints such as lack of time and awareness of nutritional deficiencies, particularly in packed foods like milk. Health drinks that offer a complete nutritional profile become more desirable as they supplement dietary needs quickly and efficiently, reflecting a broader trend towards health-conscious consumption in urban areas .

Cricket players like Sachin Tendulkar and Virender Sehwag significantly bolster Boost's brand image by associating it with energy and sports excellence. This endorsement strategy has contributed to increased household penetration levels in Boost’s stronghold areas, such as cities in southern India where penetration exceeds 50% among certain demographics. The endorsements create a vibrant, energetic brand personality that resonates with cricket enthusiasts, especially young children and teenagers .

According to the consumer survey data, the main factor considered by Boost purchasers is taste, which is paramount for 84% of respondents. Flavor preference accounts for 16% of the consumer decision matrix, while aspects such as price and packaging were not primary concerns in this particular survey. This suggests that the superior taste and flavor of Boost are major contributors to its purchase appeal and consumer satisfaction .

The packaging of Boost products plays a crucial role in its marketing effectiveness by ensuring product protection, convenience, and enhancing brand identification. The package serves several functions, such as protecting products from deterioration and aiding in easy transportation. Additionally, the packaging communicates the brand image and supports promotional activities, which helps in maintaining the consistency of the brand experience for consumers and distributors .

Pricing is a critical element in the marketing mix of Boost, serving as a tool to communicate the intended value position of the product. The survey shows that 66% of consumers perceive Boost's price as moderate, while 28% view it as economical, indicating a general alignment with consumer expectations. Only 6% find it costly, suggesting that the pricing strategy effectively balances consumer perception of value with affordability, thus maintaining its market competitiveness .

Survey data indicates that 100% of respondents are satisfied with the quality of Boost, with high marks given to taste as a significant factor in satisfaction. However, suggestions for improvement include price reduction strategies to enhance accessibility, addition of promotional offers and free samples, and increased advertising. These changes aim to maintain quality while expanding market reach to middle and lower-income families .

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