“Analysis of consumer satisfaction and their perception for Vivel

bathing soaps’’

(ALLAHABAD REGION)

FOR THE PARTIAL FULFILMENT OF THE MBA PROGRAM OF

UTTAR PRADESH TECHNICAL UNIVERSITY, LUCKNOW

SESSION- 2008-2009

Submitted By: - Submitted to:-

GAURAV SHARMA BRANCH MANAGER M.B.A.

(MARKETING) LUCKNOW
ITC Ltd

KHANDELWAL COLLEGE OF MANAGEMENT SCIENCE

&TECHNOLOGY

DECLARATION

1
I, GAURAV KUMAR SHARMA, here by declare that I have
carried out summer training project on topic “Analysis of
consumer satisfaction and their perception for Vivel
bathing soaps” in ITC limited.

I further declare that project work is my original work and no

part of this report have been published or submitted to any
body or university for award of any other degree or Diploma.

GAURAV KUMAR
SHARMA
M.B.A. (2007-2009)

2
 ACKNOWLEDGEMENT

I, GAURAV KUMAR SHARMA, MBA Student in Khandelwal

College of Management Science & Technology, Bareilly is
highly grateful to all those who guided me in completing this
project.

First of all, I would like to pay my heartiest thanks to entire

family of ITC Ltd especially Mr. Riaz Ahmad Khan (AE) who
provided me such a wonderful opportunity to do Summer
Training and provided his valuable suggestions in
understanding the work of Research Project.

I would like to thanks Mr. Nazir hussain (AE) who has given
solutions to each problems or confusions I had in my mind and
paved my way for accomplishing research.

Last but not the least, I would like to thanks all faculties at KCMT,
Bareilly who gave me the useful tips and suggestions regarding
project. I would like to thanks Mr. Swatantra Kumar (Prof. Marketing)
for imparting his valuable guidance to me.

Counter Signed by: GAURAV KUMAR

SHARMA

MBA- 3rd Semester

3
 PREFACE

Soap industry is one of the most competitive and prominent

part of FMCG industries. Since many conglomerated business
companies ‘to earn or to maximize profit’ are investing their
capital in this segment, by launching varied and innovative
soaps consist of different attributes to stand for consumer
preferences. Most of the companies are adopting very resilient
strategies, for the product promotion. It has opened the new
avenues for sales by schemes and distribution strategies.

The Personal Care Industry is estimated at over 18,500 Cr and

the categories of immediate interest for ITC are Soap &
Shampoo, in which soap business is in the single largest
category at about Rs. 6280 Crores.

ITC is India’s largest consumer goods company touching the

lives of two out of three Indians with distinct categories in
home & personal care products, with brands that help people
feel good, look good, and get more out of life.

To know the consumer preference for their specific purchase is

crucial to an organization to enhance sales by the provision of
renovative products according to consumer needs and
demand ,I have tried to make an exhaustive analysis of the
consumer satisfaction on purchasing Vivel soap particularly
my project is an aid to determine the preferences of ultimate
consumers for soap.

4
 Table of Contents

1. Executive Summary 6-7

2. Project object 8
3. Introduction 10 - 25
 Brief about product
4. Company profile 27 - 34
 Brief History of ITC ltd.

5. Theoretical background 36 - 41
6. Research Methodology 43 - 44
7. Research Questions 46
8. Findings and analysis 48
- 60
9. Competition 62 - 68
10. Recommendations 70 - 72
11. SWOT Analysis 74 - 75
12. Conclusion 77
13. Limitations 79
14. Learning 81 - 82
15. Annexure 84 - 87

18. Bibliography 90

5
 Executive Summary

The objective of the project was to study the satisfaction level

of the consumers and criteria for their preference of Vivel
soap and accordingly prepare the competitive update, i.e.
Vivel Vs other soaps, to facilitate sales.
The nature of the project involved a comprehensive market
survey in which the consumers of Vivel soap were given a
structured questionnaire. The type of sampling method
adopted was convenience sampling, since the aspect which
had to be measured, was an intangible one.

The sample size taken for the analysis of the project was 150.
This was broken down into students, housewives,
businessmen and regular employees, randomly. With the help
of the questionnaire I was able to get the satisfaction level of
consumer for Vivel soap and important factors which a
consumer prioritizes while selecting soap.

The project was carried out in the following sequence of steps:

 Theoretical study of soap industry in general.

 Understanding the product i.e. Vivel soap and the
features/benefits. For detailing of the product
features/benefits in comparison to the competitors.
 Preparing the questionnaire for the consumers to know
the factors responsible for the selection of Vivel soap.

6
  Carrying out a market survey and studying their
response.
 Compilation of the data
 Detailed analysis of the data collected
 Preparation of competition update.
 Outlining and formulating a set of suggestions to
improve sales.
 Compilation of the report.

A questionnaire was used to collect data regarding consumer

satisfaction; therefore to sum-up the data and to count each
category, data and was recorded and fed in computers for
arithmetic operations to be done and to represent it in the
form of easily understandable diagrams. Bar diagrams is used
for proper analysis of the recorded data. And evaluation was
made, on the basis of counted data, and percentage value
calculated from the responses, and finally result shown with
the help of diagrams, and statements.

After collecting and analyzing the data. It was found that the
most important factor was consumer awareness and their
perception for the different attributes of the soap, Brand name
and other factors came later on. It needs more efforts made
on the awareness sector to promote sales.

7
 PROJECT OBJECTIVE

As we see that in present scenario there is a cutthroat

competition in FMCG sector. Each and every offering several
facilities to their consumers related to convenience and
satisfaction.
So I have been assigned a project to find out the “Analysis
of consumer satisfaction and their perception for Vivel
bathing soaps” ITC Limited.

My project objective—

 Find out customer’s choice & criteria for Vivel bathing

soap.
 Problem associated with Vivel soap
 To know the customer’s choice & criteria of various other
soaps in Allahabad region.
 Consumer’s perception.

8
Products which have a quick turnover, and relatively low cost
are known as Fast Moving Consumer Goods (FMCG). FMCG
products are those that get replaced within a year. Examples
of FMCG generally include a wide range of frequently
purchased consumer products such as toiletries, soap,
cosmetics, tooth cleaning products, shaving products and
detergents, as well as other non-durables such as glassware,
bulbs, batteries, paper products, and plastic goods. FMCG
may also include pharmaceuticals, consumer electronics,

9
packaged food products, soft drinks, tissue paper, and
chocolate bars.

White goods in FMCG refer to household electronic items such

as Refrigerators, TVs, Music Systems, etc.

Indian FMCG Sector

The Indian FMCG sector is the fourth largest in the economy

and has a market size of US$ 14 billion approx. FMCG in India
has a strong and competitive MNC presence across the entire
value chain. It has been predicted that the FMCG market will
reach to US$ 33.4 billion in 2015. The middle class and the
rural segments of the Indian population are the most
promising market for FMCG, and give brand makers the
opportunity to convert them to branded products. Most of the
product categories like jams, toothpaste, skin care, shampoos,
etc, in India, have low per capita consumption as well as low
penetration level, but the potential for growth is huge.

The Indian Economy is surging ahead by leaps and bounds,

keeping pace with rapid urbanization, increased literacy
levels, and rising per capita income. The big firms are growing
bigger and small-time companies are catching up as well.

Soap is practically synonymous with cleanliness, and the need

or desire for cleanliness is the foundation on which the soap
industry is built. The world has not always had soap, nor has it
always wanted cleanliness.
Phineahs Ben Yair, one of the great Hebrew fathers of his day,
said in 150 A.D., "The doctrines of religion are resolved into
carefulness; carefulness into vigorousness; vigorousness into
guiltlessness; guiltlessness into abstemiousness;
abstemiousness into cleanliness; Cleanliness into godliness."

In those early days and among many people bathing was

closely related to religious ceremonies or rituals and to pagan
beliefs and superstitions. You all know that in India even today

10
bathing in the Ganges is believed to wash away sins as well as
physical ailments.

Inception

The first real manufacture of soap began in 1608 in

Jamestown, Virginia, when the second ship from England
brought several German and Polish craftsmen with the
knowledge of how to make soap from fat and ashes. Of
course, soap making was largely a household activity until
well into the 19th century.

Industrialization

The increase in soap making and consumption has largely

paralleled industrial progress. The development of modern
industry was made possible by the development of power to
operate the factories. At first, this was water power with great
water wheels operating overhead drive shafts, and belts from
them, in turn, operating individual machines.

The discovery and development of the steam engine gave a

second great impetus to the development of factories and
freed them from the necessity of locating along rivers and
streams. More recently the discovery and utilization of
electricity made generators driven by water, steam, or the
compression engine further increased the number of factories
and likewise broadened their geographical location.
Particularly cotton’ brought need for soap in both processing
the textiles in the factory and in laundering the low-cost,
which consequences washable clothes.

Progressive Industry

The soap industry has progressed because it has always been

aware that its fundamental customer is the ultimate user and
has keyed its various activities in research, advertising, and
selling to this great market, comprising every man, woman,
and child in the country. It is probably due to the training the

11
industry has had in keeping close to the needs of people
generally that it has been able to serve the country in ways
other than by direct sales.

Aggressive Marketing

It has been said that success in the soap industry depends on

two things: the soundness of raw material purchasing,
particularly fats and oils, and able marketing or selling.
To this, certainly a third element, product quality or service,
must be added. Then it gradually included purchasing,
research, manufacturing, selling, and advertising. The only
major department omitted is finance. We have to know costs,
keep accounts, pay bills, borrow money, and make up periodic
statements, so success really depends on excellence in every
phase of a company's operation, with good management and
teamwork essential to drive toward the ultimate objective of
company profit. Coming back to product quality or service, It
is not enough for a manufacturer to enter a field only, He
must serve first in order to profit. This service may be in lower
price, in quicker delivery, in better performance in use, in
greater convenience, or in some other manner. But the
manufacturer should be clear how he will serve and be honest
with himself about it. If he is not serving better in some way,
there is no real reason for people to change to his product,
and they can be mighty stubborn and hard-hearted about it.
Many soap organizations employ a fairly comprehensive sales
force for the areas in which they operate. Advertising and
sales promotion are intensely competitive and aggressive.
Sampling, opening, one-cent sales, combination sales, and
premium offers are all used to promote sales by brands.
Magazines, newspapers, radio, television, and outdoor posters
are used as advertising media carrying brand name
advertising.
Some people look at these activities and reason that soap
could be sold cheaper if the advertising and sales promotion
of the industry were eliminated. This is so simple and smooth
that it sounds logical, but no greater fallacy ever existed.

12
The manufacturer has spent time and money to make a better
product and, thus having made it, he expects and hopes to
capitalize by getting volume from the consumer on which he
can make a profit. The way he gets volume is to make people
aware of the product he has developed, and he does this by
advertising and by sales promotion. The brand name carries
his reputation. He must develop it, must make it known, and
must create a desire for it. In our type of economy anyone can
go into the soap business if he wishes to do so. If he thinks
that he can produce a satisfactory product and sell it at a
lower price than that of his competitors, he can attempt to do
this. If he thinks he can produce a satisfactory product and
eliminate all or part of the advertising and sales promotion
expense, and still keep his volume up and his costs down, he
is at liberty to make the attempt.

There are some successful soap industry operating on this

basis today, and there is existence for such operation in the
nature of things and under the laws of our land. Particularly in
the industrial field, where the number of customers may be
relatively small and close personal contacts maintained, this
type of business may flourish. On the other hand, if a
manufacturer figures that he can profit best by the use of
extensive advertising and sales promotion methods, he
similarly is free to do so and rises and falls by the soundness
of his operation. There is room in-between for anyone who
wants to do some of each.

Summary

This has been a review of the dynamics of the soap industry.

We have seen the growth of cleanliness and of recognition of
the part cleanliness plays in health and morale. The increase
of industrialization has increased the consumption of soap. It
is appropriate that an industry which makes a product so
basic to the health and well-being of the people should be an
aggressive, competitive, and enlightened industry.
We should be proud of the fact that the soap industry has
played its part for the welfare of the country as a whole and

13
are ever alert to serve the public better. I hope those of you
who are already working in the industry will derive much
pleasure from it

Industry Overview

The price of the premium segment products is twice that of

economy segment products. The economy and popular
segments are 4/5ths of the entire soaps market. The
penetration level of toilet soaps is 88.6%. However, the per
capita consumption of soap in India is at 460 grams per
annum,
In India, soaps are available in five million retail stores, out of
which, 3.75 million retail stores are in the rural areas.
Therefore, availability of these products is not an issue. 70%
of India's population resides in the rural areas; hence around
50% of the soaps are sold in the rural markets.

Growth

With increase in disposable incomes, growth in rural demand

is expected to increase because consumers are moving up
towards premium products. However, in the recent past there
has not been much change in the volume of premium soaps in
proportion to economy soaps, because increase in prices has
led some consumers to look for cheaper substitutes.
ITC introduced Essenza Di Wills, an exclusive range of fine
fragrances and bath & body care products for men and
women in July 2005. Inizio, the signature range under
Essenza Di Wills provides a comprehensive grooming
regimen with distinct lines for men (Inizio Home) and women
(Inizio Femme). Continuing with its tradition of bringing
world class products to Indian consumers the Company
launched 'Fiama Di Wills', a premium range of Shampoos,
Shower Gels and Soaps in September, October and December
2007 respectively. The Company also launched the 'Superia'
range of Soaps and Shampoos in the mass-market segment at
select markets in October 2007 and Vivel De Wills & Vivel
range of soaps in February and Vivel range of shampoos in

14
June 2008.

Segments Market share val % ITC brands

Premium 10 % FIAMA DI WILLS
Upper Mid 9% VIVEL DI WILLS
(Vitalite premium)
Mid nat 5% VIVEL
Mid 36 % (Vitalite popular)
Economy 41 % Superia
Industry total 100 %

The Vitalite segment as indicated above comprises the largest

segment by value (50%) in the soap industry. The various sub-
segments in the segment are classified as:

 Upper mid segment: The upper mid segment consists of

brands such as Lux International, Novae, Cinthol original,
Dettol, Salon etc. These brands are typically priced
between Rests. 16 – Rest. 20 for a 100 gems bar of soap.

 Mid-Naturals segment: This segment consists of brands that

are positioned on the naturals/herbal/ayurvedic platform.
Major brands in this segment are Medimix, Margo,
Chandrika etc.

 Mid Segment: This segment is the largest in volume and

value, dominated by beauty brands such as Lux, Santoor,
Hamam & Rexona

15
 A Brief About Product

VIVEL DI WILLS

VIVEL DI WILLS VIVEL

Sheer Radiance
75g, 3 X75gm Young Glow
45g, 100g, 2x100g

Sheer crème Satin soft

45g, 100g, 2x100g
75g, 3 X75gm

Sandal Sparkle
45g, 100g, 2x100g

Ayurveda Essence
75g, 2 X75gm

Vivel di wills segment for Upper mid segment: which consists

of brands such as Lux International, Nivea, Cinthol original,

16
Dettol, Savlon etc. These brands are typically priced between
Rs. 16 – Rs. 20 for a 100 gms bar of soap,
And for Mid Segment: which has the largest in volume and
value, dominated by beauty brands such as Lux, Santoor,
Hamam & Rexona.
Variants

Vivel Di Wills has a portfolio of 2 variants. Both the variants

have Actipro-N that Nourishes, Protects and Hydrates skin.

a) Sheer Crème: White soap that is enriched with Sea

Butter to moisturize skin.
b) Sheer Radiance: Pink soap that is enriched with Olive
oil to leave a beautiful radiant skin.

Vivel is coined word – it is a nice sounding name with beauty

connotations. The brand name has been found suitable for
soaps; at the same time has high degree of premium-ness and
quality associated with it.

Vivel has a portfolio of 4 variants. All variants contain Actipro-

N and have differentiated skin benefits.

One of the unique attributes about the Vivel range of soaps is

that they have striations. Which makes it aesthetically
superior to the competition No other soap in the market has
this feature. This feature has been liked by the consumers
overwhelmingly. It scores high on likeability, premium ness,
and uniqueness. These striations stay in the soap till the last
wash which again is unique in the industry

Since fragrance is an important parameter, all our fragrances

have been developed by International Fragrance Houses and
have been tested for Superiority.

17
Young Glow

Features:-

 Vivel Young Glow is enriched with Vitamin E.

 It consist of Actipro-N that protects, nourishes and

hydrates skin

 It consists of Fruit Infusions which help in providing

youthful glow to the skin.

 Tested for effectiveness by scientists and experts.

 Effervescent pink color

Satin Soft

18
Features:

 Enriched with Vitamin E.

 It consist of Actipro-N that protects, nourishes and

hydrates skin

 It consists of aloe vera which helps the skin feel

beautifully soft.

 Benefiting soft skin

 lively white color

Sandal Sparkle

19
Features:

 Enriched with sandalwood oil.

 It consist of Actipro-N that protects, nourishes and

hydrates skin

 It is enriched with active clay which helps in providing

clear skin.

 Benefiting sparkling skin

Ayurveda Essence

20
Features
 Vivel Ayurveda Essence is enriched with multiple
Ayurvedic Ingredients which help protect skin from
germs and harsh environment,

 For Healthy and Beautiful Skin

 Health through Ayurvedic route.

A soap, which gives Health benefit through Ayurveda. Hence

this variant would appeal to users of both health and
ayurveda.

21
 Skin
Variant Benefit Aesthetics Ingredients
Vitamin E + Frui
Young Glow Glowing Skin Pink Marbellised Infusions
Vitamin E + Alo
Satin Soft Soft Skin White Vera
Sandal Sandalwood Oil &
Sandal Sparkle Clear Skin Marbellised Active Clay

Ayurveda
Essence Healthy Skin Green Plain 20 Ayurvedic Extract
The brand proposition consists of 2 strong legs:

1) Rational Benefit:
Care for your skin through Nourishment, Protection and
Hydration.
a) The confluence of these 3 benefits through one product
is a highly relevant & differentiated proposition.
b) Rational relevance from consumer research - Superior
skin care benefits & all in one.

2) Emotional benefit:
Beauty, that gives you the confidence to control your
world.
Instills a sense of confidence that translates into:
(1) Sense of pride
(2) Achievement/ accomplishment of goals
(3) Making a position in society
(4) Overall satisfaction

Reason to Believe: Unique and patentable Actipro-N that

nourishes protects & hydrates skin.

Differentiated Offering- The soaps have unique Actipro-N

which is proven and tested to nourish, protect and hydrate
skin. This confluence of benefits is unique and currently not
available in the Indian market.

22
Scientific consumer tested formulations-All products are
made of scientifically developed formulations enriched with
natural ingredients. The soaps have been formulated at the
ITC R&D Centre, Bangalore after 4 years of extensive
research. Benchmark competition products were considered
and extensive blind consumer tests were conducted to
achieve benchmark product performance. All products have
been laboratory tested. Product benefits have been tested
and validated by scientists and dermatologists (skin experts)
at reputed national laboratories. All product performance
parameters are backed by either clinical reports or consumer
research reports.

Packaging- The packaging for the entire range of Vivel Di

Wills and Vivel products have performed far superior to
benchmark products.

The perforated carton for Vivel Di Wills is unique in its design.

No other soap carton in the industry has the design
construction and the opening mechanism as the Vivel Di Wills
carton.

1. PRICING

Vivel variants have been benchmarked to Lux for pricing.

MRP
BRAND 45 100 2 X 100
Lux 6 16 NA
Vivel 6 16 30

Ayurveda Essence’s pricing has been benchmarked to

Medimix.

23
 MRP
BRAND 45 75 100 125 75 x 2
Hamam 6 NA 15 NA NA
Medimi 6 14 NA 19 NA
x
Vivel 14 26

2. DISTRIBUTION

 All serviced markets

 John Players stores
 Modern trade
 Grocery and Convenience outlets- Top 60% soap and
shampoo selling outlets to be serviced.

A. Placement

Benchmark for availability will be as follows:

Vitalite Premium will be benchmarked to Lux International
Vitalite Popular will be benchmarked to the leading brand. In
UP the lead brand is Lux

24
ITC is one of India's leading private sector companies with a
market capitalization of nearly US $ 18 billion and a turnover
of over US $ 5.1 Billion. ITC is rated among the World's Best
Big Companies, Asia's 'Fab 50’, and the World's Most
Reputable Companies by Forbes magazine, among India's
Most Respected Companies by Business World and among
India's Most Valuable Companies by Business Today. ITC also
ranks among India's top 10 `Most Valuable (Company)
Brands', in a study conducted by Brand Finance and published
by the Economic Times.

ITC has a diversified presence in Cigarettes, Hotels,

Paperboards & Specialty Papers, Packaging, Agri-Business,
Packaged Foods & Confectionery, Information Technology,
Branded Apparel, Personal Care, Stationery, Safety Matches,
and other FMCG products. While ITC is an outstanding market
leader in its traditional businesses of Cigarettes, Hotels,
Paperboards, Packaging and Agri-Exports, it is rapidly gaining
market share even in its nascent businesses of Packaged

25
Foods & Confectionery, Branded Apparel, Personal Care, and
Stationery.

As one of India's most valuable and respected corporations,

ITC is widely perceived to be dedicatedly nation-oriented.
Chairman Y C Deveshwar calls this source of inspiration "a
commitment beyond the market". In his own words: "ITC
believes that its aspiration to create enduring value for the
nation provides the motive force to sustain growing
shareholder value. ITC practices this philosophy by not only
driving each of its businesses towards international
competitiveness but by also consciously contributing to
enhancing the competitiveness of the larger value chain of
which it is a part.

ITC's diversified status originates from its corporate strategy

aimed at creating multiple drivers of growth anchored on its
time-tested core competencies: unmatched distribution reach,
superior brand-building capabilities, effective supply chain
management, and acknowledged service skills in hoteliering.
Over time, the strategic forays into new businesses are
expected to garner a significant share of these emerging high-
growth markets in India. ITC's Agri-Business is one of India's
largest exporters of agricultural products. ITC is one of the
country's biggest foreign exchange earners (US $ 3.2 billion in
the last decade). The Company's 'e-Choupal' initiative is
enabling Indian agriculture significantly enhance its
competitiveness by empowering Indian farmers through the
power of the Internet. This transformational strategy, which
has already become the subject matter of a case study at
Harvard Business School, is expected to progressively create
for ITC a huge rural distribution infrastructure, significantly
enhancing the Company's marketing reach.

ITC's wholly owned Information Technology subsidiary, ITC

InfoTech India Limited, is aggressively pursuing emerging
opportunities in providing end-to-end IT solutions, including e-
enabled services and business process outsourcing.

ITC employs over 24,000 people at more than 60 locations

26
across India. The Company continuously endeavors to
enhance its wealth generating capabilities in a globalizing
environment to consistently reward more than 3, 79,000
shareholders, fulfill the aspirations of its stakeholders. This
over-arching vision of the company is expressively captured in
its corporate positioning statement: "Enduring Value, for the
nation and For the Shareholder."

A brief history of ITC

ITC was incorporated on August 24, 1910 under the name of

'Imperial Tobacco Company of India Limited'. Its beginnings
were humble. A leased office on Radha Bazar Lane, Kolkata,
was the centre of the Company's existence. The Company
celebrated its 16th birthday on August 24, 1926, by
purchasing the plot of land situated at 37, Chowringhee, (now
renamed J.L. Nehru Road) Kolkata, for the sum of Rs 310,000.
This decision of the Company was historic in more ways than
one. It was to mark the beginning of a long and eventful
journey into India's future. The Company's headquarter
building, 'Virginia House', which came up on that plot of land
two years later, would go on to become one of Kolkata's most
venerated landmarks. The Company's ownership
progressively Indianised, and the name of the Company was
changed to I.T.C. Limited in 1974. In recognition of the
Company's multi-business portfolio encompassing a wide
range of businesses - Cigarettes & Tobacco, Hotels,
Information Technology, Packaging, Paperboards & Specialty
Papers, Agri-Exports, Foods, Lifestyle Retailing and Greeting
Gifting & Stationery - the full stops in the Company's name

27
were removed effective September 18, 2001. The Company
now stands rechristened ' ITC Limited'.

Evolution:
 Tough the first six decades of the Company's existence
were primarily devoted to the growth and consolidation of
the Cigarettes and Leaf Tobacco businesses.

 ITC's Packaging & Printing Business was set up in 1925

as a strategic backward integration for ITC's Cigarettes
business. It is today India's most sophisticated packaging
house.

 In 1975 the Company launched its Hotels business with

the acquisition of a hotel in Chennai which was rechristened
'ITC-Welcomgroup’s Hotel Chola'. The objective of ITC's
entry into the hotels business was rooted in the concept of
creating value for the nation. ITC chose the hotels business
for its potential to earn high levels of foreign exchange,
create tourism infrastructure and generate large scale
direct and indirect employment.

 In 1979, ITC entered the Paperboards business by

promoting ITC Bhadrachalam Paperboards Limited, which
today has become the market leader in India.
Bhadrachalam Paperboards amalgamated with the
Company effective March 13, 2002 and became a Division
of the Company,

 In 2004, ITC acquired the paperboard manufacturing facility

of BILT Industrial Packaging Co. Ltd (BIPCO), near
Coimbatore, Tamil Nadu. The Kovai Unit allows ITC to

28
 improve customer service with reduced lead time and a
wider product range.

 In 1985, ITC set up Surya Tobacco Co. in Nepal as an Indo-

Nepal and British joint venture. Since inception, its shares
have been held by ITC, British American Tobacco and
various independent shareholders in Nepal. In August 2002,
Surya Tobacco became a subsidiary of ITC Limited and its
name was changed to Surya Nepal Private Limited
(Surya Nepal).

 In 1990, ITC acquired Tribeni Tissues Limited, a Specialty

paper manufacturing company and a major supplier of
tissue paper to the cigarette industry. The merged entity
was named the Tribeni Tissues Division (TTD). To harness
strategic and operational synergies, TTD was merged with
the Bhadrachalam Paperboards Division to form the
Paperboards & Specialty Papers Division in November
2002.

 Also in 1990, leveraging its agri-sourcing competency, ITC

set up the Agri Business Division for export of agri-
commodities. The Division is today one of India's largest
exporters. ITC's unique and now widely acknowledged e-
Choupal initiative began in 2000 with soya farmers in
Madhya Pradesh. Now it extends to 9 states covering over 4
million farmers.

 In 2000, ITC launched a line of high quality greeting

cards under the brand name 'Expressions'. In 2002, the
product range was enlarged with the introduction of Gift
wrappers, Autograph books, and Slam books. In 2003,

29
 the company rolled out 'Classmate', a range of notebooks
in the school stationery segment.

 ITC also entered the Lifestyle Retailing business with the

Wills Sport range of international quality relaxed wear for
men and women in 2000. The Wills Lifestyle chain of
exclusive stores later expanded its range to include Wills
Classic formal wear (2002) and Wills Clublife evening
wear (2003). ITC also initiated a foray into the popular
segment with its men's wear brand, John Players, in 2002.

 In 2000, ITC spun off its information technology business

into a wholly owned subsidiary, ITC InfoTech India
Limited. Today ITC InfoTech is one of India’s fastest
growing global IT and IT-enabled services companies and
has established itself as a key player in offshore
outsourcing, providing outsourced IT solutions and services
to leading global customers across key focus verticals -
Manufacturing, BFSI (Banking, Financial Services &
Insurance), CPG&R (Consumer Packaged Goods & Retail),
THT (Travel, Hospitality and Transportation) and Media &
Entertainment.

 ITC's venture into the Foods business is an outstanding

example of success, by the introduction of 'Kitchens of
India' ready-to-eat Indian gourmet dishes, in August 2001.
In 2002, ITC entered the confectionery and staples
segments with the launch of the brands mint-o and
Candyman confectionery and Aashirvaad atta (wheat
flour). 2003 witnessed the introduction of Sunfeast as the
Company entered the biscuits segment. ITC's entered the
fast growing branded snacks category with Bingo! in 2007.
In just six years, the Foods business has grown to a

30
 significant size with over 200 differentiated products under
six distinctive brands.

 In 2002, ITC's philosophy of contributing to enhancing the

competitiveness of the entire value chain found yet another
expression in the Safety Matches initiative. ITC now
markets popular safety matches brands like iKno,
Mangaldeep, Aim, Aim Mega and Aim Metro.

 ITC's venture into the marketing of Agarbattis (incense

sticks) in 2003 marked the expression of its partnership
with the cottage sector. ITC's popular agarbattis brands
include Spriha and Mangaldeep across a range of
fragrances like Rose, Jasmine, Bouquet, Sandalwood,
Madhur, Sambrani and Nagchampa.

 ITC introduced Essenza Di Wills, an exclusive range of

fine fragrances and bath & body care products for men
(Inizio Homme) and women (Inizio Femme) under the
signature range in July 2005. Continuing with its tradition
of bringing world class products to Indian consumers the
Company launched 'Fiama Di Wills', a premium range of
Shampoos, Shower Gels, and Soaps in September, October,
and December 2007 respectively. The Company also
launched the 'Superia' range of Soaps and Shampoos in
the mass-market segment at select markets in October
2007 and Vivel De Wills & Vivel range of soaps in
February and Vivel range of shampoos in June 2008.

31
o ITC expands Personal Care portfolio with Vivel shampoos on June
25, 2008

o Fiama Di Wills is the associate sponsor of the WLIFW on

March 03, 2008

o ITC expands Personal Care product range on February 14, 2008

o ITC launches Fiama Di Wills Soaps on December 20, 2007

o ITC launches new range of Personal Care products on October 15,

2007

o ITC launches Fiama Di Wills range of shampoos on September 15,

2007

o ITC launches Essenza Di Wills line of prestige fragrances and

personal care products on October 22, 2005

32
 Consumer Buying Behavior

The decision processes and acts of final household consumers

associated with evaluating, buying, consuming, and
discarding products for personal consumption.
Consider the purchase of an automobile. You generally will not
consider different options until some event triggers a need,
such as a problem needing potentially expensive repair. Once
this need has put you “on the market”, you begin to ask your
friends for recommendations regarding dealerships and car

33
models. After visiting several dealerships, you test drive
several models and finally decide on a particular model. After
picking up your new car, you have doubts on the way home,
wondering if you can afford the monthly payments, but then
begin to wonder if instead you should have purchased a more
expensive but potentially more reliable model. Over the next
five years, the car has several unexpected breakdowns that
lead you to want to purchase a different brand, but you have
been very happy with the services of the local dealership and
decide to again purchase your next car there.
In this particular case, the following generic model of
consumer decision-making appears to hold:
========> Need recognition
=========> Information search
==========> Evaluation of alternatives
==========> Purchase decision
==========> Post purchase behavior
Now consider the purchase of a quart of orange juice. You
purchase this product when you do your grocery shopping
once per week. You have a favorite brand of orange juice and
usually do your grocery shopping at the same store. When
you buy orange juice, you always go to the same place in the
store to pick it up, and never notice what other brands are on
the shelf or what the prices of other brands are. How is it that
the generic model above works differently in this second
scenario? Why does it work differently? Why would we
generally need the ministrations of a sales person in the sale
of a car, but we generally do not need the help of a
salesperson in the purchase of orange juice?

How can the marketer of orange juice get a consumer like you
to exert more effort into information search or to consider
alternative products? How is it that the marketer of your
brand got you to ignore alternative competing brands? What
is the involvement of salespeople in sales promotions that
might be associated with products such as orange juice?

34
Consumer behavior researchers are not so interested in
studying the validity of the above generic model, but are
more interested in various factors that influence how such a
model might work and what are the factors, which influenced
consumer-buying behavior.

INFLUENCES ON THE GENERIC MODEL

 External
Group
o E.g., cultural, family, reference group influence
Environmental / situational
o E.g., time of day, temperature and humidity, etc.

 Internal
o Lifestyle,
o personality,
o decision-making process
o motivation etc.

GROUP INFLUENCES ON CONSUMER BEHAVIOR

Culture
The set of basic values, beliefs, norms, and associated
behaviors that is learned by the member of society.

Note that culture is something that is learned and that it has a

relatively long lasting effect on the behaviors of an individual.
As an example of cultural influences, consider how the
salesperson in an automobile showroom in the U.S. must react
to different couples that are considering the purchase of a car.
In some subculture, the husband will play a dominant role in

35
the purchase decision; in others, the wife will play a more
dominant role.

Social Class
A group of individuals with similar social rank, based on such
factors are occupation, education, and wealth.

Reference Groups
Groups, often temporary, that affects a person’s values,
attitude, or behaviors.
 E.g., your behaviors around colleagues at work or friends
at school are probably different from your behaviors
around your parents, no matter your age or stage in the
family cycle.

Family
A group of people related by blood, marriage, or other socially
approved relationship.

INTERNAL INFLUENCES ON CONSUMER BEHAVIOR

Personality
A person’s distinguishes psychological characteristics that
lead to relatively consistent and lasting responses to stimuli in
the environment.
We are each unique as individuals, and we each respond
differently as consumers. For example, some people are
“optimizers” who will keep shopping until they are certain that
they have found the best price for a particular item, while
other people are “satisfiers” who will stop shopping when they
believe that they have found something that is “good enough.

36
Lifestyle and Psychographics
 Lifestyle is a pattern of living expressed through a
person’s activities, interests, and opinions.
 Psychographics is a technique for measuring personality
and lifestyles to developing lifestyle classifications.

Motivation: multiple motives

Consumers usually have multiple motives for particular
behaviors. These can be a combination of:

 Manifest
Known to the person and freely admitted
 Latent
Unknown to the person or the person

Involvement has to do with an individual’s

 Intensity of interest in a product and the
 Importance of the product for that person
The purchase of a car is much more risky than the purchase of
a quart of orange juice, and therefore presents a higher
involvement situation. This modifies the way that the generic
model works. As involvement increases, consumers have
greater motivation to comprehend and elaborate on
information salient to the purchase.

TYPES OF CONSUMER PROBLEM-SOLVING PROCESSES

Routine problem
 Used when buying frequently purchased, low cost items

37
  Used when little search/decision effort is needed
 E.g., buying a quart of orange juice once per week

Limited problem solving

 Used when products are occasionally purchased
 Used when information is needed about an unfamiliar
product in a familiar product category

Extended problem solving

 Used when product is unfamiliar, expensive, or
infrequently purchased
 E.g., buying a new car once every five years

POST-PURCHASE CONSUMER BEHAVIOR

Satisfaction
After the sale, the buyer will likely feel either satisfied or
dissatisfied. If the buyer believes that he received more in the
exchange than what was paid, he might feel satisfied. If he
believes that he received less in the exchange than what was
paid, then he might feel dissatisfied. Dissatisfied buyers are
not likely to return as customers and are not likely to send
friends, relatives, and acquaintances. They are also more
likely to be unhappy or even abusive when the product
requires post-sale servicing, as when an automobile needs
warranty maintenance.

38
The research methodology adopted was Descriptive in nature.
Information has been collected from a given sample of
population only once.

39
Scope of the study
Area: Different areas of ALLAHABAD had been covered
during the study.

Time: The study had been done between the second week of
June and the second week of August of 2008.

Method of data collection

 questionnaire & interview method was chosen to collect

the primary data
 secondary data was collected from annual report, and
companies websites

Questionnaire:
The questionnaire I have used for data collection is consists of
questions that are judicious mix of dichotomous, close-ended,
and open-ended questions. As the study was to know the
satisfaction for Vivel soap, since open-ended questions were
necessary to get the inner information. Still, i made it as
simple as possible.

Objective
To study the consumer satisfaction and their why they prefer
to buy Vivel soap and accordingly prepare the competitive
update, i.e. Vivel bathing bar VS other soaps

Sampling Technique: Non probabilistic sampling design was

used. In my research I have used quota sampling randomly
whereby I divided Allahabad region into four zones consisting
small areas and from each area I have assigned the quota of
consumers for different places to get their responses.

Sample Design:

40
Sample Size: 150
Execution: I distributed Allahabad region into four zones. The
consisted areas of each zone are listed below. The approach
as straight forward in the car parking, I approached the
customers directly and requested them to fill the
questionnaire. I also visited big bazaar and taken valuable
responses of my questionnaire from various buyers of Vivel
soap.

The areas covered by me are:

Zone 1: Meerapur, Attarsuiya, Kalyani devi, Malviya nagar.

Zone 2: Mutthiganj, kidganj, Gaughat, baluaghat.

Zone 3: Katra, Allahpur

Zone 4: Bai ka bagh, Behrana, Naini

41
Research Questions

Q-1. To get the clear picture about the customers

satisfaction for Vivel soap.

Q-2. To know, why consumer prefer Vivel soap .and their

perception

Q-3. To find the important factors which a customer

considers while selecting soap.

Q-4. To know the loopholes or paucities in the product as

felt by the consumers

42
Q-5. To know, what consumers expect more from the soap?

Q-6. To find whether the customer is satisfied with the soap,

and reasons for it.

Q-7. To know that what extra features in soap attract more

consumers?

43
a) Various mediums of awareness for consumer of Vivel
soap:

Mediums Percentage of consumers

TV Advertisement 48
Magazines 12
Family and friends 27
Other medium 13

Since consumer awareness mediums plays a vital role in

increasing sales, here various mediums showing there role
play.

44
b) Percentage of variants preferred:

Types of variants Percentage of users

Young glow 24
Satin soft 25
Sandal sparkle 12
Ayurveda essence 39

Consumer purchases a product according to their need and

desire, while selecting soap a user especially prefer on the
basis of their requirement for skin and its benefits

45
c) Reason for liking consumer favorite brand:

Attributes Percentage of users

Fragrance 8
Herbal ingredients 14
Quality 16
Packaging/design 7
Lather 4
Color 20
Family preference 18
Brand name 9
Recommendations 5

46
Various attributes influence consumer preference for a
product, there are many attributes that influences the user of
Vivel soap for their purchase of it.

d) Consumer preference of various competitor soaps

against non availability of Vivel bathing bar:

Consumer second Percentage of users

preference
Dettol 14
Lux 32
Dyna 10
Pears 5
Godrej no.1 15
Cinthol 21
Liril 3

This diagram also categorizes the different users who prefer

other soap as their second preference, along with the user

47
seeking other attributes in soap in face of variants, fragrance,
and its effectiveness.

e) Percentage of consumer preference for ayurveda

essence:

o 43 percent of the consumers under my sampling are

always using ayurveda essence
o 23 percent of the consumers under my sapling are using
ayurveda essence due to family compulsion
o 19 percent of the consumers under my sampling are not
fond of using ayurveda essence regularly
o 15 percent of the consumers under my sampling are not
regular at purchasing of ayurveda essence

48
f) Best in Vivel according to consumers:

Different person has different perception, in case of their

preference of bathing bar they find Vivel a good quality
product , and as company emphasizes on the fragrance of the
soap it also exists at second position but due to paucity of
wide variety of variants essential for massive consumers their
preference it is not upto remarks. It simply represents there
should be some more ranges in the product line.

49
g) Perception about body odor prevention by the soap

Fragrance of the soap is quite satisfactory in preventing

body odour and serving its purpose but it was the need of
summer to provide strong fragrance soap as mostly all
soaps soft smell, also demand was raised for masculine
lime fresh/fragrance soap.

50
h) Consumer recommendation for Vivel soap to others:

Since different consumers have different behavior or

nature (i.e. introvert and extrovert) based on their
personality and traits influences their sharing and non-
sharing of their preferences. but only satisfied users
recommend their preferences to others.

51
i) Consumer Perception About The Color Of The Soap

Mostly consumers prefer to buy products that are effective

and less prone to side effects or harsh color are neglected,
therefore this diagram represents the value of color of
soap used by the consumers

52
j) Percentage of consumer preference for packaging
and design of the soap.

65 percent of the consumer is attracted by the packaging and

is influence by the packaging of the product while 35 percent
of the consumer thinks that packaging of the soap plays no
role in the selection of the product, and is not attracted
towards the packaging of the product.

53
k) Income group of respondents in the form of
percentage of Vivel consumers:

Income group Percentage of

respondents
Below 5000 47
Between 5000 to 15000 37
Between 15000 to 25000 12
More than 25000 4

54
As it was made for middle strata consumers it is satisfactorily
working accordingly

l) Vivel value for money:

Response of consumers Percentage of

respondents
Yes 81
No 19

55
 Causes of consumers preference of different brands of
bathing soaps on unavailability of Vivel

Brands Reasons of usage

Lux a) long lasting sweet smell

b) Reliable

FDettol a) anti-allergic,
b) Hygienic

56
Pears a) glycerin
b) Moisturizes the skin
c) Brighten the skin tone

Dyna a) cost effective

b) Lower consumption rate

Lyril a) fragrance

57
As FMCG major ITC Ltd is expanding its product portfolio in the
Rs 6,500 crore Indian toilet soaps industry, Godrej Consumer
Products and Wipro Consumer Care & Lighting are beefing up
their operations to persuade consumers. To sustain its
leadership in the over-crowded category, Hindustan Unilever
Ltd (HUL) is currently chalk ing out a fresh game plan which
includes product innovation and high-voltage ad campaigns.

With the changing complexion of the industry, major players

are gearing up to gain a competitive edge in this sector,
according to industry analysts. Innovation seems to be the
main theme of the Indian soap opera this year. Currently, HUL
leads the pack with a 53.2 %.

ITC, after launching its premium brand ‘Fiama Di Wills’ soaps

on December 22, 2007,extended its ranges presently in three
segments, namely super premium, premium and mass
markets.

On HUL’s strategy, company working on the expansion of the

existing market and growth within the existing market. They
are investing on their brands by supported by brand activities

58
in terms of re-launches and new launches. HUL’s new
launches include, Lux Crystal Shine, Lifebuoy Skingaurd and
Breeze Morning Muskan.

Across the road, Wipro Consumer Care and Lighting is

strengthening its distribution network to reach out to a wider
target audience. “Our critical priority is to beef up our
distribution network in rural markets in 2008. Their sharp
focus is on ‘high quality’ products.

Another player, Dabur India, is also planning to strengthen

and expand its presence in this sector. the company is
planning to launch a slew of new products in 2008. “

Innovation seems to be the main theme of the Indian soap

industry in 2008. With the entry of ITC, the stage is all set for
a major tussle between the new entrant and existing players
in the Rs 6,500-crore branded toilet soaps sector in India. To
fight competition, major players

Hindustan Unilever Ltd (HUL),

Godrej Consumer Products Ltd (GCPL),

Dabur India and

Wipro Consumer Care & Lighting

are now drawing up fresh game plans. And the accent is

clearly on innovation to gain mind share as well as market
share in this overcrowded category.

At the present, HUL leads the pack with a 53.2%, market

share and Godrej Consumer Goods is a distant second lead
player with a market share of 10%. "Today HUL and GCPL are
the major players in this sector. GCPL is consistently
increasing its market share every year to race ahead, though.
Wipro is quite aggressive about its growth plans, too. I am
sure ITC's entry will certainly change the market dynamics in
this sector.

59
Industry analysts point out that ITC with its distribution
strength will try to grab market share from existing players in
this sector. Small wonder then that major players are also
beefing up their distribution network and brand building
exercises to retain and persuade consumers.

What's going to be Wipro Consumer Care's core strategy to

gain a competitive edge in the branded toilet soaps sector?
Wipro has invested heavily in the soap formulation to give
customers a great bathing experience at reasonable pricing.
"Santoor is the third largest brand in toilet soap industry and
going ahead. Company consolidates out position through
Santoor and offers various forms." The company has recently
introduced Santoor-White to cater to the luxury segment,
Glycerin variant to address extra-moisturising needs during
winters, and Santoor- 45 gm (at Rs 6) to address the price
sensitive customer.

As part of its strategy, Wipro Consumer Care & Lighting is

strengthening its distribution network to reach out to a wider
target audience. "Their critical priority is to gripe up their
distribution network in rural markets in 2008. Their sharp
focus is on high quality products as well. Last year, Wipro
acquired Unza brands, but it is in no hurry to launch it in India.

According to V.Agrawal president Wipro consumer care, the

Indian toilet soap industry is growing at approx 3-4% in
volume terms and around 10% in value terms. "The value
growth is higher because prices have gone up during the last
year. The input raw material (vegetable oil) cost has gone up
by more that 40% last year. We are expecting vegetable oil
prices to go up further. We expect industry to grow by 9-10 %
in value terms going ahead," he adds.

HUL is busy chalking out a fresh game plan to sustain its

leadership in this sector, by expanding the existing market
and also growing within the existing market. The company is
currently beaming a high-voltage advertising campaign
featuring cine star Priyanka Chopra to promote its flagship
brand Lux.

60
While In a queer coincidence, the newest star Deepika
Padukone, features in different commercials has been
fastened by ITC to promote its Fiama Di Wills soap brand.

Interestingly, HUL’s journey in India started with Sunlight soap

in 1888. Sunlight was followed soon after by Lifebuoy in 1895
and other famous brands like Pears and Lux. Currently,
Lifebuoy and Lux are the largest selling toilet soaps in India.

India's two largest FMCG companies ITC and HUL, which have
largely competed in urban India, are now engaged in market
fare in rural India, too. Interestingly, HUL's Project Shakti (a
rural women entrepreneurship initiative) and ITC Choupal
Saagars (rural super stores) not only have the same target
audience but also retail products through rural folks. At the
present, HUL's rural initiative Project Shakti covers 15 states
in India and has over 37,000 Shakti Ammas (women
entrepreneurs) reaching 1 lakh villages.

As part of its rural initiative, HUL has kicked off cause-related

marketing to promote its brand Lifebuoy. Lifebuoy has been at
the forefront of a sustained direct-contact health education
programme aimed at raising hygiene standards in Indian rural
communities.

How is the Godrej group planning to sustain its leading edge

in the branded toilet soaps industry?

Currently, GCPL core strategy is to continue to increase

market share in the toilet soaps industry by 1 % per annum,
and aiming to apply a lot of tactics to achieve this goal.

This year, GCPL is planning to use star endorsement to

promote its brands in competitive markets. And planning to
increase ad spend by 2% at points of sale.

61
 GCPL is going to rely on superior quality products, company's
prime focus will be on innovation and meaningful products at
the right price.

According to many market analysts, the major growth driver

in this sector in the year 2008 will be high quality innovative
products that will be launched by the players. "Consumers
today look for functional benefits. And also assumes the key
role of retail format in pumping up the volumes.

What are the key challenges that the industry will face?

Input costs will be the biggest challenge for companies.

Increasing competition will also pose a big challenge for
established players. Increased prices of product are indicating
the rising input costs.

ITC has already marked a venture into core FMCG categories-

soaps and shampoos. It is expected that ITC would eventually
expand the basket to include more personal products. ITC's
good financial backing is expected to assist the company in
competing against the might of HUL and other rivals.

62
Competitive Landscape – Soap

Segment Overview - Soap

63
HUL is the market leader (over 50% MS)
followed by Wipro, Dorcas and Godrej

The soap industry is estimated at over Rs. 6400 Cr. It is the

largest personal care category. The industry based on price
based segmentation can be classified as follows:

64
1. Visibility:
DS should be trained for the window visibility.
They should know how to place the product in the right
category.
They should visit the outlet according to its route and make
sure the product and the place, both is clean or not.

65
Little more discounts should be given to shop keepers for
window visibility, since visibility is very essential for sales
promotion especially by consumer awareness, and target
should be reduced in the beginning for window visibility.

2. Promotion in societies and markets:

Promotions are the best way to get the maximum response
out of the minimum expenses. For promotion of sales and
consumer awareness, we can provide special schemes like:
o Buy 3 & get 1 free,
o Free sampling in malls
o Free sampling in residential societies (door to door
sampling)
o Schemes of free coupons for mega prizes
o Heavy discount on the purchase of monthly pack that
consists of 5 to 6 soaps and costs about 80 to 85. Since
consumers are very careful about value for money, they
would not buy a single soap at Rs. 16 but they can easily
lure towards 5 0n 75.(revision of current scheme i.e. 2 Rs
discount on purchase of value pack)
ITC scheme, of free sampling with other ITC products is quite
satisfactory in terms of consumer awareness.

3. Increase trade margin:

Endeavour should be made to increase margin rate. Though
we have same margin in comparison to the competition but

66
for new product it would be beneficial to reduce trade margin
so that traders eagerly accept to sell the product to the
ultimate consumers, it will also increase trade awareness
since there is a paucity of trade awareness. We may also
provide better schemes to the traders, like point system on
the purchase of product and provision of rewards on the
annual accumulated points, or by providing quantity schemes
(percentage refund on the purchase of product on the basis of
the total cost)

4. Aid schemes:
We can also promote sales by putting the aid and abetment
schemes through which we may help poor children or children
in need by the provision of accumulation of funds that would
be a small part of each purchase.
5. Proper sales training to increase sales volume:
Sales training should be given by proper sales trainer or
experienced member of sales department who can motivate &
train the new joiners and the sales representatives. In the
initial stages new representatives should be sent with
experienced professionals so that they can learn the best way
to tackle queries under different circumstances and also the
perfect marketing ability.

6. Extend variants and fragrance in soap:

67
As company has given great emphasis on the fragrance of the
soap, but the male segment according to them is untouched,
mostly males aged 20 -40 are still seeking masculine
fragrance or lemon flavored soap.

6. Feed back system:

Since the soap is new to the market public need a lot of
modification in the soap therefore there should be an
arrangement of proper feed back system to understand
consumers demand and provide that accordingly.

68
SWOT ANALYSIS

STRENGTH
 Product of Well known multi national company.
 Wide customers range.
 Competitive products.
 High value of company image.
 Quality appreciation from consumer.

WEAKNESS

 Paucity of outlet visibility.

 Low trade awareness.
 Paucity Consumer promotions (free sampling).
 Absence of special schemes.

69
  New to the market.

OPPURTUNITIES:
 Fine quality of product may increase sales
 Growth stage of the product.
 Price compatibility and competitiveness.
 Faith on company may increase immense sales.
 Segmented product for different consumer types.

THREATS
 Competition.
 Unforeseen future.
 New product to consumers.
 Reduction in schemes.

70
71
When I went to the market for sales, people were aware about
the brand except few but due to limited number of outlets in
the beginning we found great problems in convincing massive
customers for buying the new bathing bar. When I came to
know about the choice and criteria for choosing the soap,
while marketing the product, I got known that there are many
factors which influence its preference like fragrance, quality,
lather, durability, and cost and the increment in cost of the
product just after launching of it has loose impact from the
consumers/customers. Ultimately in the period of
approximately 40 days of selling period it was very tough to
make sales easy.

Though ITC has a good brand image but has a tough

competition by many other companies which are very well
established gradually. And price effectively for cheaper soap is
slightly higher for poor or less earning people, since there are
many soaps which is preferred by lower strata is amounts
more and we have no competition for that segment. The
whole market is not targeted since company has segmented
the product for only three segments higher middle and lower
class but not concerned for the high population living below
poverty line or tantamount.

Intermediates and salesmen are doing well by implicating

push technique essential for the sales promotion of new
product (in comparison to competitors).Among the FMCG and
PERSONAL CARE products we earn more in FMCG due to its
demand so more stress is given on this segment.

72
LIMITATION

 Small sample size may not represent the entire industry

as survey area was very small.

73
  Result in these sectors may not be true for the entire
nation.
 Due to paucity of time, the sample size taken was small
(150).
 It was difficult to trap customers living in different
location of the city.
 The duration of the project was entirely the summer
period. The scorching heat of Allahabad and few weeks
due to heavy rainfall was physically demanding and was
workless for me for me.

The people were generally very busy and so, it was really
very difficult to get time from them to fill-up the
questionnaires. Also, they were very reluctant to provide
information, which was very necessary for the purpose of
the study.

Every project comes with a new challenge. And what is a

challenge without difficulties. I also faced many difficulties
while doing the project. And those situations gave me a
learning, which would help me throughout my life.

74
My summer training in ITC limited at Allahabad was a great
learning experience. I was given a project on market research
and sales. I learnt how to deal with people, how to convince
them to give time. I had to give the impression that I am
doing a project for academic purpose.
Since, it was not an aid to the people. Therefore I had to adopt
different techniques at different places to get positive

75
responses. My strategy making skills was polished in this
manner. Moreover the scorching heat sometimes made it
almost impossible to carry out the fieldwork. Latter on i
started looking out for the consumer at the evening, so that I
can easily ask them to fill the questionnaire. Another thing of
great importance that I learnt during the course of the project
is patience. As a researcher, the company as well as the
respondent was my consumers. I learnt that to deal with
customers/consumers I need great deal of patience. And it
helps a lot to have patience while interacting with others
especially when they refuse to answer.

Last but not the least, while working in the market I learnt
about the marketing skills and also about marketing technique
how to lure consumers and convince them. It was indeed a
great experience to learn, how to make customers, and
general schemes for consumer awareness. It was a fabulous
experience interacting with all the employees of the company
and members of distribution agency.
Second month of our training we started with market
research. It was again an amazing experience for me. I was
aware of convincing a tough task but learning will be the
highest. We got across different types of people (customers).
Some people treated me with greetings and at the other hand
few were there who turned me out.

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77
QUESTIONNAIRE FOR THE CONSUMER ANALYSIS USING VIVEL SOAP

Please respond to the entire question for our convenience.

1. How do you come to know about Vivel bathing soap?

a) Advertisement b) Magazines
c) Family and friends d) others

2. Which variant you mostly prefer and why?

a) Satin soft, for soft skin b) Young glow, for glowing skin
c) Sandal sparkle, for clear skin d) Ayurveda essence, for healthy skin

Because: _____________________________________________

3. What influence you to buy Vivel?

a) Attractive packaging b) Brand Name

c) Fragrance d) Advertisement

4. What you feel is best in Vivel?

a) Fragrance b) Quality
b) Soap design/packaging d) Lather

Please mention, if other: ___________________________________

5. Is packaging of the soap influences your purchase?

a) Yes b) No

6. Do you prefer coloured soap?

a) Yes b) No

7. Does Vivel sufficiently and satisfactorily preventing your body odour?

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a) Always b) mostly
d) Not at anti conditions d) not long lasting

8. Is Vivel soap gripped conveniently\well while using?

a) Yes b) No

9. Does your whole family prefer Vivel?

a) Only adults b) Only children

c) Only young ones d) all of these

№10. How can you compare Vivel with the costlier soap you ever have used?

a) Average b) better
c) Similar d) assorted differentiated

11. Do you prefer ayurvedic essence or herbal ingredients in your soap?

a) Yes I always prefer b) yes my family prefer

c) Not always d) not necessarily

12. Do you recommend Vivel to your friends and other family members?

a) Sometimes b) generally not

c) When asked d) mostly

13. Which soap is your second preference?

a) Lux b) Godrej no1 c

c)Dyna d)Cinthol

Please mention if any other ---------

14. What more you expect from Vivel?

Or
Any suggestion for improvement in Vivel

a) Yes ___________________________________________
b) No

15. Do you feel Vivel to be a value for money?

a) Yes b) No

Because, ________________________________________

16. Income:-
Below 5000
Between 5000 – 15,000
Between 15,000 – 25,000
More than 25,000

Name ____________________________________________

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Occupation________________________________________

Address_________________________________________

Phone No. /mobile no if any ________________________

-: Thanks for your kind cooperation:-

Note: this questionnaire is purposively for the analysis of consumer satisfaction and their perception for Vivel soap.

“Analysis of consumer satisfaction and their perception for

Vivel bathing soaps”

at

ALLAHABAD

PROJECT REPORT 2008

Submitted towards the partial fulfillment for award of

degree of
Master Of Business Administration (M.B.A.)

Submitted by:

G A U RAV K U M A R S H A R M A

Roll No. :

80
 DECLARATION

I hereby declare that I have carried out Summer Training

Project on the topic entitled “Analysis of consumer
satisfaction and their perception for Vivel bathing
soaps “at Allahabad..

I further declare that this project work is based on my original

work and no part of this project has been published or
submitted to anybody.

Gaurav Kumar Sharma

M.B.A 3rd Semester

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Books

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 1. Marketing notes from Rai university.
REPORTS
2. Corporate presentation by Mr. S Dutta.
3. Annual report ITC: 2008
4. Newspaper HT. &
5. Distributors
Magazines
6. Business world

Websites
www.itcportal.com
www.google.com
www.theeconomicstimes.com
www.moneycontrol.com
www.thetimesofindia.com
www.researchandmarkets.com

Sales personnel of-

ITC limited, Hindustan unilever limited

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