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CONSUMER BEHAVIOUR ON COSMETIC PRODUCTS

A RESEARCH PROJECT

Submitted in partial fulfillment of the

Requirements for the award of the degree

Of

B.COM (2016-19)
Submitted by

AYUSHI DAS

FCM/BCM/2017-20/000 005

UNDER GUIDANCE OF

Ms. AISHWARYA MITRA

FCMS

FACULTY OF COMMERCE AND MANAGEMENT STUDIES (UG)

SRI SRI UNIVERSITY

SRI SRI VIHAR, WARD NO 3, GODI SAHI

CUTTACK- 754004, ODISHA


SRI SRI UNIVERSITY, ODISHA

CANDIDATE’S DECLARATION

I hereby certify that the work which is being presented in the report entitled “CONSUMER
BEHAVIOUR ON COSMECTIC PRODUCTS”, submitted in partial fulfillment of the
requirements for the award of the degree of “B.Com(general) of Sri Sri University is my
original work carried out by me under the guidance and supervision of my faculty guide,
Ms. Aishwarya Mitra.

The findings and the suggestions given are based on the data collected by myself. So I
confidently declare that this is not a duplication work and it has not been previously
submitted for the award of any other degree, diploma, associate ship, fellowship or other
similar title to any candidate of any university or institutions.

Place: Cuttack AYUSHI DAS

Date: FCM/BCM/2017-20/005
ACKNOWLEDGEMENT

I am grateful to Prof. VISHAL SOOD, Head of the Department, Faculty of commerce and
management studies, Sri Sri University for his valuable guidance and encouragement in bringing
out this Project Report.

It is a pleasure to express my deep sense of ineptness and profound thanks to my project guide
Ms. Aishwarya Mitra for her continuous encouragement and assistance which helped me to
complete the project successfully.

I am thankful to the faculty members and students of Faculty of commerce and Management
studies who have been directly and indirectly involved in completing this project report.

AYUSHI DAS
CERTIFICATE FROM THE GUIDE

This is to certify that this Project Report entitled “CONSUMER BEHAVIOUR ON COSMETIC
PRODUCTS” is a bonafide work done by Ms. Ayushi Das, FCM/BCM/2017-20/005, Student of
B.Com (General) under my guidance and supervision and submitted to Faculty of Commerce and
Management Studies as a part of her 3rd year curriculum during 5th semester for the partial
fulfillment for the award of the degree of “B.Com (General)” of Sri Sri University.

I wish her all the success in his future endeavors.

PLACE: CUTTACK Ms. AISHWARYA MITRA

DATE: FCMS.
CERTIFICATE FROM THE HEAD OF THE DEPARTMENT (HOD)

This is to certify that this Project Report entitled “CONSUMER BEHAVIOUR ON COSMETIC
PRODUCTS” is a bonafide work done by Ms. Ayushi Das, FCM/BCM/2017-20/005, Student of
B.Com (General) under my guidance and supervision and submitted to Faculty of Commerce and
Management Studies as a part of her 3rd year curriculum during 5th semester for the partial
fulfillment for the award of the degree of “B.Com (General)” of Sri Sri University.

I wish her all the success in his future endeavors.

PLACE: CUTTACK

DATE: PROGRAMME COORDINATOR


EXECUTIVE SUMMARY

The research attempts to study the consumer buying behavior of cosmetic products
in an Indian settings , specifically with reference to Kolhapur .The purpose of this
paper is to investigate the various factors that has impact on buying decision of
consumers. In this paper, respondents were selected by convenient sampling
method and data was analyzed and interpreted with the help of statistical
techniques. The study reveals that different factors have significant influence on
buying behavior. This study also contributes to the knowledge of how cosmetic
companies will be able to understand buying habits of the consumers.

The proposal is focused on the behavior and attitudes on the perception of the
youth buying behavior pattern towards cosmetics product. Consumers move
through a series of steps when buying a product but mainly the consumer emphasis
the product in a way that, it should deliver to them on low or more affordable price
with good quality and value added features to satisfy their needs. However, to
investigate the aspect of buying behavior of youth, what factors influence them
while purchasing the cosmetics and how the consumer addresses their buying
decision when purchasing a specific product of cosmetics. The study will explores
the buying behavior of youth and different kind of consumer behavior models
supporting with background theories. The research is base on the questionnaires
and finally the conclusion is drawn on the bases of findings.
TABLE OF CONTENT

CHAPTER 1: INTRODUCTION…………………………………………………8-10

1.1 INTRODUCTION OF THE STUDY………………………….11-20


1.2 NEED OF THE STUDY………………………………………...21

CHAPTER 2: LITERATURE REVIEW………………………………………….22-24

CHAPTER 3: RESEARCH METHODOLOGY

3.1 DATA ANALYSIS…………………………………………………28-33

3.2 RESEARCH METHOD……………………………………………34

CHAPTER 4: FINDINGS AND DISCUSSION

4.1 RESULT…………………………………………………………….35

4.2 CONCLUSION……………………………………………………36

BIBLIOGRAPHY

ANNEXURE

TOTAL PG-41
1: INTRODUCTION

The Indian cosmetic industry has witnessed rapid growth over the last couple of
decades. In that time the range of cosmetic and beauty products in India has
widened tremendously. Indian competitors have begun to manufacture products to
cater to an international need. Herbal cosmetics from India have a great demand in
the overseas market and many cosmetic products that are manufactured in India
today are supplied to international suppliers of branded cosmetic products like the
Baby shop. New facts that have been reveal that the industry of cosmetic products
in India is growing at an average rate of almost twenty percent annually; this
increase is attributed to two main factors. The first being the increase for the
demand in Indian cost effective products and the second being the increased
purchasing power of the average Indian. There are also many reasons for the
increased demand for cosmetic products in particular. With the introduction of
satellite television and a wide array of television channels as well as the internet,
the average Indian consumer is constantly bombarded with advertisements and
information on new cosmetic products which often translates into the desire to
purchase them. A boom in the Indian fashion industry has been linked to the
increased awareness of Indian people about their appearances & consequently
contributed to an increase in the demand for cosmetic products. However, even
with the massive surge in the popularity of cosmetic products, statistics have
shown that the average Indian consumer spends much less on cosmetic products
than consumers from every other part of the world. This means that the Indian
cosmetic industry has an even greater potential for growth than it is presently
experiencing and it is highly fragmented and concentrated in the Tier-I cities only.
Hence it is very essential that the products should reach to the other cities as well
as in rural area. Here the marketing plays an important role. The companies need
to understand the expectations of prospects. This requires a thorough
understanding of consumer behavior and buying motives. Consumer behavior is
the behavior that consumers display in searching for, purchasing, using and
evaluating products, services & ideas which they expect will satisfy their needs.
Consumer behavior encompasses a vast area including consumption pattern,
consumer preferences, consumer motivation, and consumer buying process &
shopping behavior. The purchase decision is influenced by various factors such as
social, cultural, demographic, personal, economic etc. So for effective marketing,
the marketer must know the basis of decisions taken by customers.
HISTORY:

In the 1940s and 50's, marketing was dominated by the so-


called classical schools of thought who were highly descriptive
and relied heavily on case study approaches with only occasional
use of interview methods. At the end of the 1950s, two important
reports criticized marketing for its lack of methodological rigor,
especially the failure to adopt mathematically-oriented behavioral
science research methods. The stage was set for marketing to
become more inter-disciplinary by adopting a consumer-
behaviorist perspective.
From the 1950s, marketing began to shift is reliance away
from economics and towards other disciplines, notably the
behavioral sciences, including sociology, anthropology
and clinical psychology. This resulted in a new emphasis on the
customer as a unit of analysis. As a result, new substantive
knowledge was added to the marketing discipline – including such
ideas as opinion leadership, reference groups and brand
loyalty. Market segmentation, especially demographic
segmentation based on socioeconomic status (SES) index and
household life-cycle, also became fashionable. With the addition
of consumer behavior, the marketing discipline exhibited
increasing scientific sophistication with respect to theory
development and testing procedures.
In its early years, consumer behavior was heavily influenced by
motivation research, which had increased the understanding of
customers, and had been used extensively by consultants in
the advertising industry and also within the discipline
of psychology in the 1920s, '30s and '40s. By the 1950s,
marketing began to adopt techniques used by motivation
researchers including depth interviews, projective
techniques, thematic apperception tests and a range
of qualitative and quantitative research methods. More recently,
scholars have added a new set of tools including:
ethnography, photo-elicitation techniques
and phenomenological interviewing. Today, consumer behavior
(or CB as it is affectionately known) is regarded as an important
sub-discipline within marketing and is included as a unit of study
in almost all undergraduate marketing programs.

Consumer behavior entails "all activities associated with the


purchase, use and disposal of goods and services, including the
consumer's emotional, mental and behavioral responses that
precede or follow these activities. “The term, consumer can refer
to individual consumers as well as organizational consumers, and
more specifically, "an end user, and not necessarily a purchaser,
in the distribution chain of a good or service.” Consumer behavior
is concerned with:

 purchase activities: the purchase of goods or services; how


consumers acquire products and services, and all the activities
leading up to a purchase decision, including information
search, evaluating goods and services and payment methods
including the purchase experience
 use or consumption activities: concerns the who, where, when
and how of consumption and the usage experience, including
the symbolic associations and the way that goods are
distributed within families or consumption units
 disposal activities: concerns the way that consumers dispose
of products and packaging; may also include reselling activities
such as eBay and second-hand markets
Consumer responses may be:

 emotional (or affective) responses: refer to emotions such as


feelings or moods,
 Mental (or cognitive) responses: refer to the consumer's
thought processes, their
 Behavioral (or co native) responses: refer to the consumer's
observable responses in relation to the purchase and disposal
of goods or services.
As a field of study, consumer behavior is an applied social
science. Consumer behavior analysis is the "use of behavior
principles, usually gained experimentally, to interpret human
economic consumption." As a discipline, consumer behavior
stands at the intersection of economic psychology and marketing
science.
1.1INTRODUCTION OF THE STUDY

This study was particularly done to know the benefit and growth of organic farming and food
products in India. Organic farming does not use any type of harmful chemicals to keep pests
away, unlike the majority of industrial farming. They use all natural methods that do not harm
the consumer or the environment that they are grown in. Herbicides, pesticides, and artificial
growth hormones are all forbidden on an organic farm. Fruits and vegetables that are organically
raised have a much better taste than other mechanically farmed ones. This is due to the fact that
they are given a much longer time to develop and are not pumped with artificial things. When
you cut out the time that is spent to farm organic crops, the actual costs are minimal. These
farmers do not have to shell out large amounts of money for expensive chemicals and massive
amounts of water, unlike industrial farmers. Another thing that benefits from the use of organic
farming is the environment! In industrial farms, the chemicals that are used are seep into the
ground and contaminate the soil and local water sources. Humans, animals, and plant life are all
affected negatively by this. With organic farming, there are no chemicals used, so no pollution
occurs either. Farmers can reduce their production costs because they do not need to buy
expensive chemicals and fertilizers, Healthier farm workers, They improve plant growth and
physiological activities of plants, In the long term, organic farms save energy and protect the
environment, It can slow down global warming, There is an increasing consumer are willing to
pay more for organic foods, Fewer residues in food, More animals and plants can live in the
same place in a natural way. This is called biodiversity, Pollution of ground water is stopped, and
Organic manures produce optimal condition in the soil for high yields and good quality crops.

According to a State of Science Review done in 2008, organic food has more nutritional
superiority than its non-organic counterparts.1Whole foods help to prevent major and minor
diseases and illnesses, meaning lower health care costs and less likelihood of missing work.
Hidden advantages of organic food are: Your brain tells your body to eat partially based on the
nutrients it receives. Now that we know eating organic means more nutrients, it means your brain
won't tell your body to keep eating like it does with junk food. Buying organic food from the
farmer's market is incredibly inexpensive. You also have the option of bartering with farmers for
good or services. Growing your own can become free when you get your organic vegetable
garden in place. Herbicides and fertilizers have been connected with various cancers, immune
disorders, infertility, cardiac disease, hypertension, and numerous other diseases. It comes as no
surprise, therefore, that organically grown food tastes better than that conventionally grown. The
tastiness of fruit and vegetables is directly related to its sugar content, which in turn is a function
of the quality of nutrition that the plant itself has enjoyed. This quality of fruit and vegetable can
be empirically measured by subjecting its juice to Brix analysis, which is a measure of its
specific gravity (density). The Brix score is widely used in testing fruit and vegetables for their
quality prior to export.

It’s important to know the benefits of organic farming and food products, as it is related to the
health of people, animal, and environment. That’s why I choose this topic to create awareness of
organic farming so that all people can consume organic food products which is disease free and
healthy. It’s interesting and knowledgeable topic to know the growth of organic farming and
food products in India.

#IMPORTANCE OF ORGANIC FARMING:

The organic industry is one of the fastest growing agricultural segments in the United
States. Organic farming yields such vital benefits as preservation of soil’s organic composition.

Organic farmers utilize practices that:

 Maintain and improve fertility, soil structure and biodiversity, and reduce erosion
 Reduce the risks of human, animal, and environmental exposure to toxic materials
 Fine-tune farming practices to meet local production conditions and satisfy local markets

As a completely natural and sustainable farm management practice, organic farming is based
on unique values. In other words, organic farming is not only a farm practice but also
a philosophy of working together with nature. As a holistic farm management approach, organic
farming aims to create a socially, environmentally, and economically sustainable food
production system. More precisely, organic farming is based on managing the agro-
ecosystem rather than relying on external farming inputs, such as pesticides, artificial fertilizers,
additives, and genetically modified organisms.
As the global population began to grow rapidly, the need for a more sustainable approach in food
production became more obvious. Unsustainable farm practices, geared only towards higher
yields, put additional pressure on global issues such as:

 Climate changes

 Loss of biodiversity

 Soil erosion

 Pollution of the most important natural resources (soil and water)

In an attempt to accommodate global food demands, and in efforts to mitigate the


aforementioned problems, many countries and farmers have begun turning to organic farm
practices. Today, there are 2.3 million certified organic farmers in 172 countries. More
importantly, the agriculture land under organic farming is constantly increasing. Still, organic
farming occupies only 1% of the total agricultural land.

#The Main Principles of Organic Farming:

Organic farming is strictly regulated in each country, with a few common principles being
known:
 The principle of health claims that organic farming is intended to protect and enhance the
health of all organisms (this includes soil microorganisms, as well as humans)

 The principle of ecology, which is based on the fact that organic farming should protect and
benefit the environment (landscape, climate, natural habitats, biodiversity, air, water, and soil)

 The principle of fairness aims to provide socially and ecologically appropriate management
over environmental resources, as well as provide a sufficient supply of quality food and other
products.

 The principle of care stresses precaution and responsibility as the key concerns in organic farm
management.

#OBJECTIVES OF ORGANIC FARMING:

The aim of organic farming is to establish and maintain soil-plant, plant- animal and animal
soil interdependence and to create a sustainable agro- ecological system based on local
resources, approaching in this way the concept of functional integrity of systems. Organic
farming uses environmentally friendly methods of crop and livestock production, without use
of synthetic fertilizers, growth hormones, growth enhancing antibiotics, synthetic pesticides or
gene manipulation. Nevertheless, organic livestock farming is not a production method which
solves all problems in livestock production sustainability. As of today, it is largely seen
primarily as a production method for a specific premium market requiring special management
qualifications. Its high capability for meeting increased consumer demand for environmentally
friendly products is associated with better quality of products alongside animal welfare.

 To produce food of high quality in sufficient quantity


 To interact in a constructive and life-enhancing way with natural systems and cycles.
 To consider the wider social and ecological impact of the organic production and
processing system.
 To encourage and enhance biological cycles within the farming system, involving micro-
organisms, soil flora and fauna, plants and animals.
 To develop a valuable and sustainable aquatic ecosystem
 To maintain and increase long term fertility of soils.
 To maintain the genetic diversity of the production system and its surroundings,
including the protection of plant and wild life habitats.
 To promote the healthy use and proper care of water resources and all life there in.
 To use, as far as possible, renewable resources in locally organized production systems.
 To create a harmonious balance between crop production and animal husbandry.
 To give all livestock conditions of life with due consideration for the basic aspects of
their innate behavior.
 To minimize all forms of pollution.
 To process organic products using renewable resources.
 To produce fully biodegradable organic products.
 To produce textiles which are long lasting and of good quality.
 To allow everyone involved in organic production and processing a quality of life which
meets their basic needs and allows an adequate return and satisfaction from their work,
including a safe working environment.
 To progress towards an entire production, processing and distribution chain which is both
socially just and ecologically responsible.
#TYPES OF ORGANIC FARMING:

1. Integrated Way of Organic Farming


Integrated Organic Farming is followed largely across the country. Integrated way of nutrients
management and pest management are the two key pillars of this kind of organic farming. In
Indian villages integrated way of organic farming is being followed since ages. According to this
method, the farmers take crops by integrating all the required nutrients from natural resources in
such a way that the crops maintain their complete nutritive value. Simultaneously it helps
prevent the plants from getting damaged from pests but in a natural way. Consequently,
integrated organic farming has become overly popular resulting in improvement of crop yield in
even the hilly regions like North-Eastern states. Meghalaya is a shining example of improvement
in agriculture through integrated organic farming.

2. Pure form of Organic Farming


Pure form of organic farming is one such farming method in which the farmers use only organic
manures and the pesticides. Especially the pesticides used in this kind of farming also remain
chemical free. These pesticides are made only through natural substances like Neem, etc. In
other words we can say that pure form of organic farming is done with complete avoidance of
any kind of inorganic chemicals as fertilizers as well as chemical pesticides.

3. Integration of different farming systems

Integration of different farming systems involves several other components of farming such as
poultry, mushroom production, goat rearing, and fishpond simultaneously with regular crop
components
#METHODS OF ORGANIC FARMING:

Crop Rotation:

 It is the technique to grow various kinds of crops in the same area, according to the
different seasons, in a sequential manner.

Green Manure:

 It refers to the dying plants that are uprooted and turned into the soil to make them act as
a nutrient for the soil to increase its quality.

Biological Pest Control:

 With this method, we use living organisms to control pests with or without the use of
chemicals.

Compost:

 Highly rich in nutrients, it is a recycled organic matter used as a fertilizer in the


agricultural farms.

Management of Soil:

 Soil management is the soul of organic farming. It’s a well-known fact that after taking
one crop, the soil of the farm loses most of its nutrients and its fertility goes down.
 To process of recharging the soil with all the necessary nutrients is called soil
management. In organic farming the nutrients are recharged in the soil through natural
ways to increase the soil fertility.
 For this purpose, animal waste is increasingly used to recharge the soil with the necessary
nutrients. The bacteria present in animal waste make soil fertile once again.
Management of Weeds:

 Organic farming focuses on removing the weeds from the soil during the crop production.
Weeds are unwanted plants that grow in the agriculture fields simultaneously with the
crops and they suck most of the nutrients present in the soil. As a result the production of
the crops gets affected. To get rid of weeds the farmers follow the below mentioned
techniques
 Mulching and Cutting or Mowing: Mulching is a process in which the farmers use plant
residue or plastic films on the surface of the soil which blocks the growth of the weed
while cutting or mowing helps in removal of the growth of the weeds in the farms.

#ADVANTAGES OF ORGANIC FARMING:

Regenerating the degraded soil:


Organic farming is the best way to prevent environmental pollution as well as degradation of
soil. In some areas of the world where the soil has been degraded due to excessive use of
chemical fertilizers, organic farming is helping in regenerating the soil by recharging it with
necessary nutrients.

Maintaining the optimal condition of soil:


Since only Organic manures are used in organic farming it helps in maintaining the optimal
condition of soil to gain higher production of good quality of crops.

No need to purchase chemical manures:


The farmers use only natural and organic manures in organic farming so the farmers are not
required to purchase any chemical manures which reduces the expenses of the farmers
considerably.

Improves soil quality:


Organic farming helps the soil regain its fertility power, since this kind of farming supplies
various necessary nutrients in the soil and moreover it helps the soil in retaining its nutrients.
#DISADVANTAGES OF ORGANIC FARMING:

Higher production costs:


For organic farming the farmers require more manpower to maintain various works associated
with it which increases the crop production costs.

Crops yield become more expansive:


Since the farmers do not get much yield from their farms through organic farming in comparison
to the conventional farming their produce becomes more expansive.

#Limitation:

 Organic manure is not abundantly available and on plant nutrient basis it may be more
expensive than chemical fertilizers if organic inputs are purchased.
 Production in organic farming declines especially during first few years, so the farmer
should be given premium prices for organic produce.
 The guidelines for organic production, processing, transportation and certification etc are
beyond the understanding of ordinary Indian farmer.
 Marketing of organic produce is also not properly streamlined.

#Organic Farming in India:

 According to World Organic Agri Report 2018, India is the home, to 30 per cent of the
total organic producers in the world, but accounts for just 2.59 per cent (1.5 million
hectares) of the total organic cultivation area of 57.8 million hectares.
 At the same time, most organic farmers are struggling due to poor policy measures, rising
input costs and limited market, says a study by the Associated Chambers of Commerce
and Industry of India (ASSOCHAM) and global consultancy firm Ernst & Young.
Organic Sikkim:

 India's first 100% organic state Sikkim has won the 'Oscar for best policies', conferred by
the Food and Agriculture Organization for the world's best policies promoting agro
ecological and sustainable food systems.
 Sikkim beat 51 nominations from 25 different countries of the world to win the Future
Policy Award 2018.
 The Chief Minister of Sikkim Pawan Kumar Chamling received the award from the
Deputy Director of UN's FAO Maria Helena Semedo in Rome on October 15th. The
Future Policy Award recognized the state's leadership and political will to lead by
example.

#Certified Organic:

 It is a term given to products produced according to organic standards as certified by one


of the certifying bodies.
 There are several certification bodies operating in India.
 A grower wishing to be certified organic must apply to a certification body requesting an
independent inspection of their farm to verify that the farm meets the organic standards.
 Farmers, processors and traders are each required to maintain the organic integrity of the
product and to maintain a document trail for audit purposes.
 Products from certified organic farms are labelled and promoted as “certified organic.”
1.2 NEED OF THE STUDY:

 To know people awareness towards organic food and farming.

 To know the preference of organic food and farming with comparison to the non-organic
farming and food.

 To know the factor which effects consumers buying behavior while purchase of organic
food.

 To know how many farmers are involved in organic farming.

 To study various factors such as price, quality, taste, availability etc.

 To get idea about the growth of organic farming and food products in India.

 What kind of changes is required to make people aware about the benefit of organic food
and farming?

 To aware people about organic food is real food, not pesticide factories.

 To aware how non-organic food causing different types of diseases.

 To aware people organic food products are healthier.

.
2. LITERATURE REVIEW

The consumers mind is different from one another in this as author said in the definition that according to
the human psychology, demographical differences, age & sex and to understand people needs and to
assess the influences of every consumer approach is different, in theory explained that consumer is treated
as decider of the company, what ever the product comes to the market, the consumer is the ultimate
purchaser for every product, some times the consumers are choosing, selecting and going for family
decision making to choose differently, in one point of time the consumers differentiated and explained
that they are going for personal and some of the them are using products for profit. (Kotler, 2004).

When consumers have had no experiences with a product, they tend to trust a favored as well
known brand name. Consumers often think well known brands are better and are worth buying
for the implied assurance of quality dependability, performance and services. .( Schiffman,
Kanuk, 2009)

During the 1940s, cosmetics company executives began targeting specific groups of consumers
by age and other demographic factors. Ads for cosmetics were placed in magazines that
teenagers read. Marketing experts helped the industry to gear certain products to that young
market, packaging then in a way that would appeal to teens, and offer them at prices young
people could afford. Inexpensive lipsticks were among the first of these products (Sherrow,
2001)

The consumer behaviour influences in 3 aspects, they are acquiring, using and disposing. The
acquiring means that how the consumer spends money on the products, such as leasing, trading
and borrowing. Using means some of the consumers use the high price products and some of the
consumer sees the quality. Disposing is nothing but distribution, order or places a particular
product (Hoyer, Deborah, 2001).

Price is so often considered an indicator of quality, some product advertisements deliberately


emphasis a high price to underscore the marketers claims of quality. Marketers understand that at
time, product with lower price may be interpreted a reduced quality. At some time, when
consumers evaluate more concrete attribute of a product, such as performance & durability they
rely less on price & brand name as indicates of quality than when they evaluate the product’s
prestige and symbolic values.(Merrie, Valarie, 2000)

Advertising informs consumers about the existence and benefits of products and services, and
tries to persuade consumers to buy them (MacKenzie, 2004).The goal of advertising is to
persuade the consumer to do something, usually to purchase a product. If advertising is to attract
and communicate to audiences in a way that produces this desire result, advertisers must first
understand the consumers.(Lee, Johnson,2005) Advertiser’s primary mission is to reach
prospective customers and influence their awareness, attitudes and buying behaviour. They
spend a lot of money to keep individuals (markets) interested in their products. To succeed, they
need to understand what makes potential customers behave the way they do. The advertisers
goals is to get enough relevant market data to develop accurate profiles of buyers-to-find the
common group (and symbols) for communications this involves the study of consumers
behaviour: the mental and emotional processes and the physical activities of people who
purchase and use goods and services to satisfy particular needs and wants (Arens, 1996).

Consumer often judges the quality of a product or service on the basis of a variety of information
cues that they associate with the product. Some of these clues are intrinsic to the product and
service other is extrinsic. Either single or together such are provide the basis for perception of
product and service quality. (Schiffman, Kanuk, 2009)

The consumer may expect price to reflect the quality level of the product. Quality perception
may be to do with the materials or components used in the product. Price, quality can be
compared objectively, the image of the product and the contribution of the chosen item towards
needs satisfaction and lifestyle. (Cant et al, 2009). Consumers were more likely to switch brands
after the price increased than if they were simple exposed to the higher price to begin with. As
pricing can influence the decision of consumer to take or drop the purchasing idea by which they
are go for substantial product with low price and perceived quality. (Mullen, Johnson, 1990)

Personality characteristics are often revealed in a person concept, which is the way people see
themselves and the way they believe others see them( Kerin et al, 2003) .People express their
personalities not so much in world as inn symbols. Most people are increasingly concerned about
their social status. Different products vary in their status symbol values (Kumar, Sharma ,1998)
Moreover, all people are individual; hence have a unique personality of different characteristics,
which is often portrayed with traits, such as self-confidence, dominance, sociability, autonomy,
defensiveness, adaptability, and aggressiveness (Blackwell et al. 2001).

Brand image takes place when brand associations held in the mind of consumers are conveyed
onto a consumer’s perception about a brand. These associations can either be developed from
direct experience with the product, from the information communicated by the company, or from
previous associations held about the company and origin, etc. (Martinez et al. 2003).

Lifestyle is a way of living that is identified by how people spend their time and resources, what
they consider important in their environment and what they think of themselves and the world
around them.(Kerin et al, 2003). The life styles concept provides description of behaviour and
purchase pattern, especially the ways in which people spends their time and money. Personality,
motives and attitudes also influences lifestyle. (Cant et al,2009). Lifestyle defines a pattern of
consumption that reflects a person’s choices hoe spend money and time.( Solomon, 2009)
2.1 COMPANIES SELLING ORGANIC PRODUCTS

1. ORGANIC INDIA

Organic India sells a high brand of organic based and it is set up in Lucknow. They provide
herbal and ayurveda food based product for the healthy growth of our family. The organic India
works with the rural farmers of various rural villages and processed food items free of fertilizers
and chemical. They sell organic natural food both national and internationally.

2. 24 MANTRA ORGANIC:

24 Mantra Organic, a company created by Sresta Natural Bioproducts Pvt. Ltd., was founded by
Raj Seelam in 2004 with the hope of fostering sustainability for small and marginal farmers.
During its 12-year run, 24 Mantra Organic has emerged with a now robust colony of 25,000
farmers throughout 15 states. The hope, it says, is to cultivate 500,000 acres throughout the
country by 2020. Twelve years into their mission toward creating a better quality of living for
India and Indians, they claim to stand as a leader in the organic foods category, "and perhaps the
loudest voice in the movement towards an organic life," it said. In total, 24 Mantra Organic
offers more than 120 products, including staples, cereals, oils and bakery products.

3. ORGANIC TATTVA:

At Organic Tattva, the team works with accredited organic farmers who do not use fertilizers,
pesticides and genetically modified seeds so that their consumers can enjoy the benefits of nature
and relish nutritious, healthy, pure and chemical-free food, an important factor contributing to
overall wellbeing. Certified by Control Union in compliance with United States Standards for
Organic NOP, Indian Standards NPOP; the certificate is
approved by APEDA, Ministry of Agriculture,
Government of India. Organic Tattva is a one-stop
solution to premium, high quality Organic Products. Their
mission is to help people live a healthier, wholesome life
by providing them with a variety of 100% certified,
authentic organic foods. We value honesty, integrity and
continual self-improvement. They are committed to a
sustainable environment, zero-additive foods and complete customer-satisfaction.

4. ECOCHOICE:
Ecochoice believes in providing
the citizen’s genuine information
about how eco-friendly the
product is, how good it is for the
health, how energy efficient it is
and how these products will
ensure a safe, healthy living for
them while causing minimum or
no environmental impacts. Products which do not qualify as eco-friendly or energy
efficient nor has harmful health impacts are not enlisted on Ecochoice. We have taken
special care to conduct Due Diligence of our vendors so that we present to you the best
and most genuine products. We have also taken the technical advice of Centre for
Sustainable Development in order to present to you all the
information about the product in an easily understandable
way for you to make an informed purchase.

5. GUJARAT TEA PROCESSORS & PACKERS LTD:

Wagh Bakri Tea Group is a Premium Tea Company, having


presence in tea business since 1892. Today it is the 3rd largest
packaged tea company in India with a turnover of over Rs. 900 Cr.
and over 30 million Kgs of tea distribution. The group is a leading stride in tea exports and retail
consumer all over the world. With huge number of Wagh Bakri tea lovers around the world, it
has emerged as a truly global brand. The company enjoys undisputed market presence in Gujarat,
Rajasthan, Madhya Pradesh, Maharashtra, Delhi, Hyderabad, Chhattisgarh and Goa and has
recently forayed in to Western Uttar Pradesh. Over the years, a long-lasting relationship of love
and trust has developed between Wagh Bakri and its loyal consumers. Leaf from the best tea
gardens is selected and the group directors personally taste and evaluate the teas.
3: RESEARCH METHODOLOGY:

3.1 DATA ANALYSIS:

This chart is showing how many male and female gave response to the questioner.

THIS chart shows the age of people responding to the questioner.


#This chart show the occuption of people giving responses to the questioner.

#Percentage of people who are aware about the organic products.


#Percentage of people who buy organic products on the basis of day, week, month, and
year responded to the questioner.
#Place where people generally buy organic products responded here.

Percentage of variety of organic products people buy responded to this.


#Percentage of people responded weather organic product is healthier or not.

#people responded to the price of the organic products.


#People responded the importance of organic product in their life.

#People responded why they choose organic product to use.

#suggestion given by the people for the growth of organic product.


3.2 RESEARCH METHOD

RESEARCH TYPE:

@Data collection tool:

Questionnaire.

Observation:

In depth interview to the organic product users.

#RESEARCH AREA: Sri Sri University, Odisha

SAMPLING PLAN:-
Primary data: the primary data is collected through questionnaires, observation and in-depth
interview.

Secondary data: The source of secondary data is various researches conducted by ORGANIC
COMPANIES and internet.

This study is about ORGANIC PRODUCTS AND FARMING by which I want to know the
view of consumer who buy organic products, and also learned the importance of organic
farming.

Weather Organic products are preferred by people or not, people are liking Organic products
or not, price of the Organic products is affordable or not, outlet of the organic product is
available or not.

4. FINDING AND DISCUSSION

4.1 RESULT:

From the study I got to know the following things:

@ 93.2% people are familiar with ORGANIC PRODUCT. Only 2% of people are not familiar
with Amul milk.

People buy organic products as much as possible. Over 24% people buy organic products on the
daily basis. And other 32% people buy on the monthly basis.

People have rated the ORGANIC PRODUCT on the basis of quality, taste, price, good for
health, and ethical reasons. 59% rated quality as good, price of the product rated good up to 15%
people, Taste of the product is rated excellent by 14% of the people, good for health is rated
excellent and good by the 70% of people.
By the study I got to know that outlet of ORGANIC PRODUCTS is not available everywhere,
people have to go far from their location to buy organic products. Proper awareness campaign of
organic products are needed, government should make policies regarding its use, price should be
reduced, minimum wage should be given to farmers, availability of low interest loan to farmers,
and trust should be maintain towards the product.

When I have asked whether organic products are healthy or not then 89% of people responded
yes it is pure and good for health.

People have given suggestions which can help Amul to grow more in future.

*More outlooks should be made.

*More awareness campaigns are required.

*Price should be reduced.

*Online service should be implemented; Minimum wage should be given to farmers.

*Farmers should be given more support to grow organic products.

4.2 CONCLUSION

Majority of the customers are satisfied with the ORGANIC PRODUCTS because of its good
quality, taste, healthy, price, and purity, trust worthy and fresh.

From the survey conducted it is observed that ORGANIC PRODUCTS has a good market share.
Most of the houses use ORGANIC PRODUCTS in daily life. People prefer ORGANIC
PRODUCTS rather than non-organic products. Organic products are best in the eyes of
consumer. From the study conducted the following conclusion can be drawn. In order the dreams
comes true for turning liabilities into assets one must have to meet the needs of the consumer. It
has been noticed that the factors considered y the customer before purchasing organic product
are freshness, quality, taste, healthy and availability.

Finally I conclude that, majority of the people in India are satisfied with organic products
because in organic farming only organic fertilizers are used to grow organic crops and plants
which is very good for the health of humans as well as our eco system etc. Organic farming
didn’t use any kind of harmful chemicals and fertilizers that’s why it doesn’t disturb our eco-
system. Some consumers are not satisfied as organic products are costly than normal products.

Therefore, if slightly changes are made by the company a then it will be convenient for the
consumer. People should directly buy organic products from the farmers; it will also help
farmers to gain money. By these small moves people will be healthier and eco-system will be
maintained.

4.3BIBLIOGRAPHY:

http://www.upsciasexams.com

https://blog.farmguide.in

https://www.researchgate.net

https://small-farm-permaculture-and-sustainable-living.com

Organic farming book.

Talked to consumer of organic product.


#ANNEXURE

@Questioner for organic product importance for the people.

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