1

A
LIVE PROJECT REPORT
ON
"IMPACT OF PROMOTIONAL TOOLS ON SALE OF
CASTROL OIL IN TRANSPORT NAGAR HALDWANI "

Submitted with the fulfillment of the requirement for the award of

degree of Master of Business Administration.

SUBMITTED TO : SUBMITTED BY:

MR. DEEP CHANDRA OLI SHIV MEHRA

MBA 2nd SEM.

ROLL NO. - 180020500048

AMRAPALI INSTITUTE OF MANAGEMENT & COMPUTER APPLICATION

Shiksha Nagar, Lamachaur Haldwani

Uttarakhand-263139
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ACKNOWLEDGMENT

I would like to express my special thank of gratitude to the uttrakhand technical

university for providing us an opportunity through the medium of Live Project
of 20 hours to work in any organisation and gain some practical managerial
knowledge.

As well regards to our faculty for their continuous encouragement, invaluable

guidance and help for completing our live project. The project helped me to
gain many new things and gives me the practical knowledge of management
process.

I would like to thank management for conducting such confidence building

activity as a part of academics of MBA.

At last but not least, I would remain indebted to all my friends, teachers, and all
my concerned persons for their precious support in the preparation of this
project.
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STUDENT DECLARATION

I Shiv Mehra the undersigned, hereby declare that the project report entitled
"Impact of promotional tools on sale of castrol oil in transport nagar haldwani "
is my original work . The content of this report has not been submitted to any
other university or institute either in part or in full for the award of any degree,
diploma or fellowship.

Further, I assign the right to the university, subject to the permission from the
organization concerned, use the information and contents of this project to
develop cases, case lets, case leads and papers for publication and/or for use in
teaching.

shiv Mehra
MBA 2nd sem
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TABLE OF CONTENTS

Particulars Page no
1) Title 1
2)Acknowledgement 2
3)Student declaration 3

4)Certificate 4
5)Introduction to the firm 6

6)Who we are ? 7-8

7)Objectives of the study 9

8)Research Methodology 9
9)Methods of Data collection 10
10)Limitation of the study 11
11)History of castrol oil 12
12)Products offered by castrol 13-17
13)Promotion & sales promotion 18-19

14)Sales promotion techniques 20-21

used by castrol oil
15)Sales promotion techniques 22
used by retail outlet
16)Data Analysis & Interpretation 23-25
17)Findings 26
18)Daily report 27
19)Annexure 28
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INTRODUCTION

Shiva Roadlines is a business firm located in haldwani. The engine oil agency
owned by Mr. Rakesh Mehra. This business was started in the year 2008 as a
wholesale firm which was further in the year 2010 made a retail shop in
transport nagar haldwani.
The shop deals with automotive lubricants providing high performance engine
oil, greases, brake fluids, steering oil, hydraulic oil, coolants, activ4t scooter oil,
gear oil etc.
The firm also deals in Castrol oil which is the market leader in the automotive
lubricants sector offering the best quality engine oils for commercial and
domestic vehicles.
Coming to my project, on the basis of my observation I decided to see the
"IMPACT OF PROMOTIONAL TOOLS ON SALE OF CASTROL OIL IN
TRANSPORT NAGAR, HALDWANI".(which is the title of my project too)
The transportation industry is growing every day and is witnessing a rampant
growth over the past few years. As the demand by individual for goods are
increasing so is the rise in the demand for transportation.this is increasing the
consumption of lubricating (engine oil ) in the commercial vehicles.
As a retail outlet in transport nagar means a number of competitors nearby
offering homogeneous product at a competitive price. so in order to sustain in
the competitive market we need to have some promotional strategy and offer
our product with some extra benefit so that the frequency of customer to re-buy
the product increases and so the revenue of our product offerings.There are
various promotional tools that can be used in increasing the sale of various
products like cash discount, free samples etc.
As we are in the 20th century and transportation industry is booming at a fast
pace so there is a need for promotion as number of substitutes are offering their
product at similar prices and making the market more competitive.
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WHO WE ARE

Castrol is the world leading manufacturer, distributor and marketer of premium

lubricating oils, greases and related services to automotive, industrial, marine,
aviation, oil exploration and production customers across the world. The
company is headquartered in the UK and operates directly in over 46 countries,
and employing approximately 7,500 staff worldwide. In nearly 74 other
countries, we are represented by third party distributors who market and sell our
products locally. The Castrol delivery network extends throughout 120
countries, covering 800 ports and partnering with over 2000 distributors and
agents.

Castrol offers lubricants for virtually all domestic, commercial and industrial
applications. For automotive lubrication (including motorcycles 2-stroke and 4-
stroke engines, car petrol and diesel engines), our products include an extensive
range of manual and automatic transmission fluids, chain lubricants and waxes,
coolants, suspension fluids, brake fluids, greases, cleaners and maintenance
products.

We also produce products for agricultural machinery, plant, general industry

and marine engineering uses. All our products have a global chemical
registration status and meet compliance in all locations where the product is
used.

Automotive lubricants: developed for consumers, supplying lubricants,

specialities (gear oils, greases and other ancillary products) and services to cars,
motorcycles, commercial vehicles, including heavy duty consumer trucks,
mining and agriculture vehicles.

Aviation, industrial, marine and energy lubricants: developed for the business
to business community, supplying solutions to the manufacturing, mining,
shipping, aviation and oil and exploration industries.
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At the forefront of pioneering technology with our 7 R&D centers globally, we

develop and test hundreds of new products every year. We work closely with
leading industry OEMs, with whom we supply a broad range of lubricants
designed for particular operating conditions and environments. Many of our
products are recommended by and co-engineered with major OEMs, including
Audi, BMW, Ford, MAN, Honda, JLR, Volvo, Seat, Skoda, Tata and
Volkswagen, for their ‘new to the world’ power trains.
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OBJECTIVE

1)To know about the incentive schemes.

2)To evaluate the impact of promotional tool on sales.

RESEARCH METHODOLOGY

Research is an art of scientific investigation, the pursuit of truth with the help of
study , observation , comparison and experiment . The advanced learner
dictionary of current English , lays down the meaning of research as a careful
investigation or inquiry especially through search for new facts in any branch
of knowledge . some people considers of research as a movement from the
known to the unknown.

It is actually a voyage of discovery , research aims to analyze interrelationship

between variables and to drive explanations .It aims at developing new tools ,
concepts and theories for a better study of unknown phenomena.

In Research Methodology we not only consider the research method but also the
logic behind the method chosen. Research methodology also helps to answer
many questions concerning a research problem or study.

According to D. Slessinger and M. Stephenson in the Encyclopedia of social

sciences define research as ³the manipulation of things, concepts or symbols for
the purpose of generalizing to extend, correct or verify knowledge, whether that
knowledge aids in construction of theory or in the practice of an art.
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TYPE OF RESEARCH-

Descriptive Research:

Diagnostic Research studies determine the frequency with something occurs or

its association with something else. In this project, information pertaining to
customer needs satisfaction and their demographic profile was collected; hence
it is a descriptive research.

Data collection:

Data collection is a most essential aspect of research. For the achievement of

any project exact data is very critical and important. The data collected through
research methodology must be exact and applicable.

Methods of data collection:

 Primary Data

 Secondary Data

Primary Data: For conducting this study, I prefer the concept of questionnaire,
which I framed with the help of my guide, in my case the respondents were 10.

My respondents to the questionnaire were RETAIL OWNERS of castrol oil.

Secondary Data: Secondary data means data that are already available i.e., they
refer to data which has already been collected and analyzed by someone else.
Secondary data may either be published data or unpublished data. In this study
some secondary Data comprises of information obtained from annual reports,
websites, journals, magazines. By using convenient sampling technique 10
respondents were selected for the purpose of the study.
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LIMITATION

In every Research whether it is done at the lower level or at the upper level, it
consists of some limitations. During live project research, I have also faced
some limitations. These are stated as under:

 Availability of Time: - For conducting a research one should have the

availability of time so that he should provide time to the research. As this
project is the part of my live project and hence I was having only 5days for the
completion of this project.

 Small sample Size: - The sample that I have taken was 10 and that too from a
small sampling area in T.P Nagar haldwani. It may not be a true representative
of the whole set of population.

Limited Area: - The sample which is taken in the record is from the very small
area as compared to large population town. So there may be deviation due to
this sample.
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HISTORY

Castrol India Limited is one of the leading automotive and industrial lubricant
manufacturing and marketing companies in India. It is a part of castrol india
limited UK (part of BP group). BP through its wholly owned subsidiary castrol
limited UK holds 51% stake in castrol India. Castrol India has three
manufacturing plants at patalganga pahalpur and silvassa serving a distribution
network of over 105000 retail outlets and B2B customers through over 420
distributors. Castrol India provides a high performance range of products and
services across automotive industrial and marine and energy segments.

It is the market leader in the retail automotive lubricant segment providing

iconic high performance brands like brands like castrol EDGE casrol
MAGNETEC and castrol GTX for passenger cars; castrol power1 and castrol
Activ for motorcycles and castrol CRB and castrol RX and castrol vecton for
trucks amongst various other includind specialty products.

In the year 1997 the company made an agreement with Maruti Udyog India's
largest car producer. The deal made to sell high performance Castrol products
through Maruti Udyog dealer outlets and authorised service stations. In the year
2000 the company introduced Active 4T an engine oil for 4 stroke bikes and
also the GTX Magnetec for passenger cars. Also the company made tie up with
TELCO and LML for sourcing customised lubricants for various vehicles
manufactured by these companies. In the year 2001 the company launched
'Castrol call for a can' whereby castrol products including motorcycle scooter
and car engine oils coolants and brake fluids will be available to customers over
phone.

In 2014 castrol India Limited and triumph motorcycles signed an agreement for
a partnership in India. In 2015 Castrol India ltd joins the bloodhoud project for
providing high performance lubricants brake and hydraulic fluids for use in the
bloodhoud supersonic car - 1000 mph.

Products offered by castrol

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For trucks and buses

1. Engine oil

a) CASTROL Vecton

Competition can be fierce in the trucking industry with a multitude of

challenges, getting the best performance out of your vehicle and out of your

business is critical. Modern engines operate in constantly changing conditions

which impact engine performance.

Castrol VECTON’s unique System5 Technology adapts to these changing

conditions to help maximise performance in five key areas:

1. Fuel Consumption

2. Oil consumption

3. Oil Change Interval

4.Component life

5.Power

b) CASTROL CRB TURBOMAX

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Today’s’ modern engine can take a severe toll on your oil. With strict global
emission standards, today’s engine can be subjected to high operating
temperature and pressure conditions. That’s why choosing the right oil is vital
for the engine’s protection.

At Castrol we understand this and our new specially formulated Durashield™

Boosters provide advanced protection to your engine in three distinct ways:
Helping prevent the agglomeration of soot; Providing a protective film on
moving metal surfaces which resists break down even under difficult
conditions, maintaining the film layer; Delivering deposit and corrosion
protection by resisting thermal breakdown of the oil, and by neutralizing
harmful acids.

OUR NEW RANGE OF CRB PRODUCTS WITH DURASHIELD™

BOOSTERS DELIVER 3 WAYS OF PROTECTION GIVING YOU LONG
AND HEALTHY ENGINE LIFE.
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c) CRB MINI TRUCK

Specially formulated for a wide range of Mini-Trucks and Pick-Up Vans.

2.Antifreeze and Coolant

Truck and bus engines run hotter than before causing more stress on their
engine cooling systems. From vehicle to vehicle the materials that make up the
cooling systems are different. If the antifreeze/coolant within the system breaks
down this can cause a leak or damage to the engine. Castrol’s antifreeze/coolant
range includes the approved and latest technology products offering outstanding
protection and longer engine life, maintaining performance, even under extreme
conditions.

3. Manual Transmission Fluids

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As manual transmissions become more complex there’s a need for more

technologically advanced fluids to ensure vehicle reliability. Getting the right
oil for your vehicle is key to ensuring your gearbox operates as designed and
maintain performance throughout the lifetime of the vehicle.

Castrol, with over 100 years of experience in developing transmission fluids,

and being the choice of many leading truck and transmissions manufacturers for
factory-fill products, offers a range of manual transmission fluids for your
vehicle requirements; providing you the peace of mind that you are getting the
right oil for your vehicle and keeping your vehicle on the road longer.

4)Castrol Transmax Axle plus GL5 85W-140

Multigrade Axle Oil recommended for transmissions, transaxles or differentials

requiring API GL5 oil. Suitable for both regular & turbo-charged vehicles.

5) Greases
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Recommended for use in automotive wheel bearings on all types of trucks, cars,
farm equipments.

Consumer Benefits:
 Excellent retention properties under extended working condition leading
to increased equipment / bearing life.
 Excellent shear stability i.e. resistance to hardening or thinning during
use.
 EP ensures greater protection against heavy & shock loads
 Excellent resistance to throw off & water wash
 Maximum protection offered against rust & corrosion

PROMOTION
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In marketing, promotion refers to any type of marketing communication used to

inform or persuade target audiences of the relative merits of a product, service,
brand or issue. The aim of promotion is to increase awareness, create interest,
generate sales or create brand loyalty. It is one of the basic elements of the
market mix, which includes the four Ps, i.e., product, price, place, and
promotion.[1]

Promotion is also one of the elements in the promotional mix or promotional

plan. These are personal selling, advertising, sales promotion, direct marketing
publicity and may also include event marketing, exhibitions and trade shows.

Promotion is any form of communication a business or organization uses to

inform, persuade, or remind people about its products and improve its public
image. Product Promotion: 1) Explains the major features and benefits of its
products (especially in relation to competitors), 2) tells where the products are
sold, 3) advertises sales on those products, 4) answers customer questions, and
5) introduces new products.

Purpose of promotion

There are three objectives of promotion. These are:[6]

1. To present information to consumers and others.

2. To increase demand.
3. To differentiate a product.

The purpose of a promotion and thus its promotional plan can have a wide
range, including: sales increases, new product acceptance, creation of brand
equity, positioning, competitive retaliations, or creation of a corporate image.

The term 'promotion' tends to be used internally by the marketing function.

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SALES PROMOTION

Sales Promotion refers to the short term use of incentives or other promotional
activities that stimulates the customer to buy the product.

sales promotion are very useful they bring:

(a)short and immediate effect on sale.

(b)stock clearance is possible with sales promotion.

(c)the techniques induce customers as well as distribution channels.

(d)these techniques help to win over the competitors.

All other marketing activities other than personal selling, advertising, and
publicity. It has three unique characteristics:

1) It usually involves short term activities (as opposed to advertising and

publicity which ten to be longer in length).

2) It usually offers some type of incentive to make a purchase.

3) It can be successfully used in all channels of distribution with manufacturers,

wholesalers, retailers, and consumers.

Sales Promotions can be either consumer or trade oriented. Types of Trade

Promotions: Slotting Allowances: A cash premium paid by the manufacturer to
the retailer for the costs involved in placing a new product on its shelves. The
allowance covers the space, retailer’s cents-off specials, charges for store
shelves, penalties if the product does not sell, and store advertising and display
costs.
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SALES PROMOTION TECHNIQUES USED BY CASTROL OIL IN MY

PRESENCE

Discounted Prices

Everybody loves a deal, and as Black Friday and Cyber Monday consistently
demonstrate year after year, consumers will go crazy over a good price. Use
holidays and events in our Marketing Calendar to your advantage by having
sales or specials at your business.

Vouchers and Coupons

These are offered in magazines, newspapers, on product packaging, and online.

You can offer vouchers and coupons via email to your email list or as a thank
you when people subscribe to your blog or email newsletter.

Social Media Contests and Giveaways

Purchasing a product provides a consumer entry to these giveaways. Such sales

promotions are particularly popular with food items such as chips and sodas,
which provide prizes related to the business inside the packaging or offer codes
on bottle caps. But you can do the same with a Facebook or Instagram
giveaway to get new customers interested in your business.

Fair-Trade, Made in the USA, and Cause-Related Products

Products that are either fair-trade or contribute to a charitable cause are sales
promotion tools that are rarely recognized as such. However, such products can
not only benefit a charity, but also the business selling them as well. GAP and
Apple, for example, both received great reception to their (RED)-branded
products, a percentage of whose sale prices went to supporting HIV/AIDS
programs in Africa.

But small businesses can do these promotions as well. If your products are
produced or manufactured domestically, brand your business as “Made in the
USA.” If your coffee shop’s coffee is all free-trade, make it known! People seek
out businesses whose values are aligned with their own so if something is
important to you, chances are it’s important to customers.
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Customer Loyalty Programs

Punch cards are a common example of customer relationship incentives. For

example, a customer gets a stamp for every coffee drink she buys, and after the
6th stamp, she is eligible for a free drink. Other customer retention and loyalty
programs include an insiders club where there is a small fee buy-in that gives
customers extra discounts and first pick of services as well as client referral
programs.

Free Lead Generation Guide

Sales promotions are just one of many ways to generate leads for your business.
Fill out the form below to get a free guide with even more lead generation ideas
and tips.

PROMOTION TECHNIQUES USED BY RETAIL OUTLET

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1. Mechanic offer- It means offering the product to the mechanic with some
extra benefit in the form of commission per litre in order to increase the sale of
the lubricants.

2. Offer on bulk purchase- It means allowing discount on the bulk purchases if

the customer had made the cash purchase on the purchase of 5000 or above like
2-3% discount on the billing to enhance the sales.

DATA ANALYSIS AND INTERPRETATION

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1.(a) Do you incentivize customers?

Yes No

INCENTIVES

30%

YES
NO

70%

Out of 10 respondents 7 retailers i.e 70% responded for Yes and 3 respondents
i.e. 30% for No.

(b) Only for yes

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Incentives is in the form of

i) Cash
ii) Travel voucher
iii) Gifts
iv) Hotel stay

0%

Cash

20% Travel
Voucher
Gifts

40% Hotel stay

10%

Out of 7 respondants who responded for Yes gives 20% incentives in cash,
10% through travel voucher, 40% through gifts, 0% through hotel stay.

2) To what extent do you agree that incentives increase sales ?

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i) Great extent

ii) Large extent

iii) Cant say

iv) Small extent
v) Least

Column1

20% Great extent

30%
Large extent

20% Cant say

Small extent

10% 30% Least

Out of 10 respondants, 30% believe that incentives increase sales to great

extent, 20% to large extent, 10% cant say, 20% to small extent and 20% to
least.

Findings
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 In my study 70% of the retail outlet owner have expressed their opinion
in favour of the statement that they incentivize customers.

 40% of the respondents i.e. retail outlet owners highly preferred gifts as
their incentives to the customers in comparison to other incentive scheme.

 60% of the retail outlet owners have expressed their opinion in favour of
the statement that incentives are helpful in increasing sales. As it also helps in
relation building and consolidating them.

DAILY REPORT
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1st day
Introduction to the workplace and employees.

2nd day
on 2nd day I communicated with the employees on the types of
lubricants the firm was dealing in.

3rd day
On 3rd day the owner gave overview about schemes they had
implemented to enhance sales in addition to the company offers.

4th day
On 4th day I regularly observed the customers and communicated
with the staff whether the customers who visited the retail outlet were
new ones or regular customers and how many of them buy the
product because of the scheme offered by retail outlet.

5th day
On 5th day I framed the questionnaire and made it filled by the retail
outlet owners.

ANNEXURE

Questionnaire
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1.(a) Do you incentivise customers?

Yes No

(b) Only for yes

Incentives is in the form of
i) Cash
ii) Travel voucher
iii) Gifts
iv) Hotel stay

2) To what extent do you agree that incentives increase sales ?

i) Great extent(5)

ii) Large extent(4)

iii) Cant say(3)

iv) Small extent(2)
v) Least(1)