CHAPTER - I

INTRODUCTION
Sales and Destitution of Patanjali Product

1


2
 INTRODUCTION

Marketing through ancient Indian roots has become a very important topic for
discussion as it affects the consumerbehaviour. Hence, the manyorganizations are
launching and then selling their own products to the customers in order to capture
the market. BabaRamdevis the one of the famous gurus in teaching
pranayam&yoga in India.Baba through PatanjaliYogpeeth, has launched many
products not only based on ayurvedic medicines but also on FMCG goods as well.
PatanjaliYogpeeth located inHaridwar,Uttarakhand is one of the biggest Yoga
institutes in India and is named after the ancient Yog Guru Patanjali. The institute
is the first flagship project of Swami RamdevjiMaharaj and
AcharyaBalkrishnajiMaharaj and has been set up not only for treatment, research
and development in Yoga and Ayurveda, but also for the production and
manufacturing of ayurvedic medicines. The plant is located on the Haridwar-
Delhi highway at Kankhal, Haridwar. PatanjaliYogpeeth is an institution where
scientific research and treatment are offeredtoeverybody. The ambiance is not less
than world class. It has been constructed in almost 100 acres and designed to have
buildings, car parks, and a landscape to rival the best of Delhi's housing
projects.PatanjaliYogpeeth Trust, a non-profit organisation started by
BabaRamdev, aims to carry out social activities in all the spheres such ashealth
care, education and activities. Patanjali drives its Social responsibility initiatives
through PatanjaliYogpeeth Trust.
PatanjaliYogpeeth is bringing health revolution in the country with the integrated
approach of Yoga and Ayurveda. In addition to this, the boundaries of the
organization have crossed the national boundaries and entered USA, UK, Canada,
UAE and Nepal, etc. All these Trusts are working day & night to propagate and
implement the historical, noble and sublime aspects of Indian culture through the
philosophy and teachings of Vedas, Upanishads, etc. along with Yoga and
Ayurveda.
PatanjaliAyurved's Ayurvedic Manufacturing Division has over 300 medicines for
treating a range of ailments and body conditions, from common cold to chronic
paralysis.Patanjali Ayurveda has a plan to build many units not only in India but
also abroad, in this context work has already been started in Nepal. Patanjali
Ayurveda has annual turnover of around Rs. 2000 crore.Patanjali Ayurveda
manufactures 45 kinds of cosmetic products.
For fiscal year 2014, Patanjali Ayurved Ltd, clocked a turnover of about Rs 1,200
crore, up from about Rs 850 crore a year earlier and Rs 450 crore in fiscal 2012,
as per the company filings and industry sources. During the current fiscal,
Patanjali is expected to clock a turnover of over Rs 2,000 crore, according
to AdityaPittie, CEO, Pittie Group. This marks a phenomenal 67% jump from the
previous fiscal year.
Thus, PatanjaliAyurved Ltd is not only a company which is running
for profit. It is a CONCEPT – which links the rising destiny of millions of rural
3
masses on the one hand and many more suffering the onslaught of the unhealthy
urban life style on the other hand.It is all about economically processing the farm
produce into daily usedproducts ranging from Ayurvedic health supplements to
food and cosmetics and finally supplying them mostly to the urban world.
ENVIRONMENTAL ANALYSIS USING PESTLE
PatanjaliAyurved Ltd (PAL) has grown since its inception. Some of the factors or forces which
affected or might affect in future are analysed below using famous PESTLE analysis.

POLITICAL- Tax policylabor lawenvironmental lawtrade restrictionstariffs

ECONOMICAL-Economic growthinterest ratesexchange ratesinflation rate

SOCIAL-Cultural aspects, health consciousness,Population growth, age distribution

TECHNOLOGICAL-R & D, automation, technological change.

ENVIRONMENTAL- Surroundings, environment law, conditions etc.

LEGAL- Regulatories, law, licences, patent etc.

POLITICAL:-
a) Tax Policy: - Presently there are no concessions on the Ayurveda products, but there are
few discussions in the government to levy a tax concession for the ayurvedic products.
Ex-chief minister of Kerala Oomenchandy raised this issue but was hardly heard.
Already PAL have successfully maintained the price on the cheaper side ranging from
Rs25-Rs200 for the products which costs much higher in homeopathy or allopathy. Tax
concession will help PAL to decrease the price and divert the funding to further research
and development of same.
b) Laws: - Practice of Ayurveda does raise issues of unlicensed practice. Some
Ayurvedicproducts raise legal red flags. The sale of herbs could be viewed as
“prescribing medicine” or even possible intrusion into unlicensed practice of
acupuncture. Recently PAL was in news for violating labour laws. Also, political parties
have accused company of adulteration time to time. PAL have to be careful as it could
affect their image and brand building in the Indian market.

4
ECONOMICAL:-
a) Inflation Rate: - The consumer expenditure on healthcare in rural India has increased
from 6.6% in 2004-05 to 6.9 per cent in 2011-2012, while the urban Indians’
expenditure on medical care has increased from 5.2% in 2004-05 to 5.5% in the year
2011-2012. NSSO report reveals that the expenditure on healthcare is highest in rural
India and fifth highest in urban India during 2011-2012. And with inflation rate
increasing continuously people are looking for cheaper and effective substitutes. With
the brand and trust of Patanjali, it has formed the potential substitute.
b) Economic Factors:- Since the raw materials for the manufacturing are basically from the
natural environment and the company focuses only in retailing in India alone the factors
like exchange rates, Interest rates are either out of question or too minimal to be
considered.

SOCIAL:-
a) Consumer Trend: - Speaking of consumer trend, the people of India are becoming more
health conscious. Rise in healthy FMCG products from 2284.4 US $ mn in 2003 to
3897.3 US $ mn in 2007 acknowledges the above statement. This particular trend opens
up the market for PAL which offers trusted Ayurvedic products. The affordable price
also helps them to cover the whole market size.
b) Life Expectancy:- In India, average life expectancy which used to be around 42 in 1960,
steadily climbed to around 48 in 1980, 58.5 in 1990 and around 62s in 2000. The
improvement in life expectancy has been attributed to better diet and health
consciousness among people. This particular trends enhance the scope of companies like
PAL.

TECHNOLOGICAL:-
a) Applications of New Inventions and RND; - Inventing a new product is the best part
for a growing company. Doctors and scientists are constantly working on new
inventions and the better version for the old products so that benefit can be
maximized for the general people. AS a part of RND, Patanjali is constantly working
on the medicines of Cancer and AIDS. For the manufacturing unit in the company, it
has high frequency drier unit, for quick liquefaction a fluid wed processor, tablet
compressing device with the capacity for preparing one lac tablet per hour, high
speed auto coater for coating the tablets and many more.

5
 b) Automation: -Company has PLC controlled packing machine having capacity of
300-400 volts with automatic blister packing equipment, have been installed. A
utility centre has been set up in the production unit has two generators with boilers
and compressors.
c) Technology Incentives And Rate Of Technological Change: -With the help of
biologists and technology, better options are being created in the company. With the
help of the available technology, new herbs are being notified and being used in the
new medicines. Moreover, company is also working for new farming ways.

LEGAL FACTORS:-
Ayurveda has its own medicines. There are lots of act related to Ayurveda: The medicine
central council act-1970, the drugs and cosmetics act 1940 and rules made thereunder, the drugs
and magic remedies act 1954 and the rules made thereunder. The drugs and magic remedies act
1954 and the rules made thereunder for the same. Except this there are several rules and laws
for Ayurvedic medicines and the processed by which medicines are being formed. Quality
assurance need to be fulfilled by those medicines which are being prepared and laws are there
for this process as well.

ENVIRONMENTAL:-
The main problem which Ayurveda has to confront is seasonable herbs and their locations.
There are lots of herbs which are available in winter season, autumn season or in summer
season. Some herbs are available only on the mountains at very high location and some of them
are not easily identifiable. Technology can help to construct area where we can do the artificial
farming for those herbs by maintaining temperature according to the herbs.

6
RESEARCH OBJECTIVE
The objectives of a research project summarize what is to be achieved by the study. These
objectives should be closely related to the research problem.
The general objective of a study states what researchers expect to achieve by the study in
general terms. It is possible (and advisable) to break down a general objective into smaller,
logically connected parts. These are normally referred to as specific objectives. Specific
objectives should systematically address the various research questions. They should specify
what you will do in your study, where and for what purpose.

 Preference of average income household on domestic brand in made in India over

international
 Analysis of sales of patanjali product
 To determine why patanjali products are being used

 To study the buying pattern of purchasing Patanjali Ayurved products.

 .
 To determine reason why people are using Patanjali Ayurved products

7
 COMPANY PROFILE
TYPE:- PRIVATE

INDUSTRY:- CONSUMER GOODS

FOUNDER:- RAMDEV
ACHARYA BALKRISHNA

HEADQUARTERS:- HARIDWAR, INDIA

AREA SERVED:- SOUTH ASIA AND MIDDLE EAST

LIST:-
INDIA
NEPAL
BANGLADESH
AZERBAIJAN
SRI LANKA
MIDDLE EAST
SAUDI ARABIA

PRODUCTS:- FOOD PRODUCTS,

HEALTH CARE PRODUCTS,
HOME CARE PRODUCTS,
PERSONAL CARE PRODUCTS &
AYURVEDIC MEDICINES

REVENUE:- ABOVE Rs 5000CRORE

(US $740 MILLION)

8
NUMBER OF EMPLOYEES:- MORE THAN 200,000

WEBSITE:- www.patanjaliayurved.net
www.Patanjaliayurved.org
The ever changing marketing scenario and heightened competition over the globe
has amplified the role of brand at unparalleled level. Every person is a consumer
of different brands at the same time. The choice and usage of a particular brand by
the consumer over the time is affected by the quality benefits offered by the brand
especially when it comes to brand of eatables and cosmetics. Consumer
satisfaction is derived when he compares the actual performance of the product
with the performance he expected out of the usage. Philip Kotler (2008) observed
that satisfaction is a person's feelings of pressure or disappointment resulting from
product's perceived performance (outcome) in relation to his or her expectations.
If the perceived benefits turned out to be almost same as expected, customer is
highly satisfied and that is how the company achieves loyalty of the customer
towards the products.

Baba Ramdev established the Patanjali Ayurved Limited in 2006 along

with Acharya Balkrishna with the objective of establishing science
of Ayurveda in accordance and coordination with the latest technology and
ancient wisdom.

The Patanjali Ayurved Limited is an Indian FMCG company

.Manufacturing units and headquarters are located in the indusrtial area
of Haridwar while the registered office is located at Delhi. The company
manufactures mineral and herbal products. It also has manufacturing units
in Nepal under the trademark Nepal Gramudhyog and imports majority of
herbs in India from Himalayas of Nepal.

9
According to CLSA and HSBC, Patanjali is the fastest growing FMCG
company in India. It is valued at ₹30 billion (US$450 million) and some
predict revenues of ₹5,000 crore (US$740 million) for the fiscal 2015–16.

REVENUES:-

Revenues
Year
(In crore Rs)
2009-10 163
2010-11 317
2011-12 446
2012-13 850
2013-14 1,200
2014-15 2,006
2015-16 5,000

10
SCOPE

 The study can be done on the consumption pattern of Ayurvedic/ herbal both in the
rural areas as well as urban areas.
 The study can be done on the basis of gender, age group, income of the consumers.
 About the availability of the products and the price range of the products should be
competitive with the other FMCG company’s product.
 More Patanjali mega store or Patanjali Chikitsalaya are expected to be opened in urban
as well as rural areas.
 Like the company has expanded its products from pharma to FMCG products it can
also expand to the other product lines like baby care, etc.

11
RESEARCH METHODOLOGY :

Research methodology is a way to systematically solve the research problem. It may be

understood as a science of study how research is done scientifically. In it we study the various
steps that are generally adopted by the researcher in studying his research problem along with
the logic behind them.
Research:
The word research is composed of two syllables, re and search.
“Re” is a prefix meaning again, anew or over again
“Search” is a verb meaning to examine closely and carefully, to test and try, or to probe.
Together they form a noun describing a careful, systematic, patient study and
investigation in some field of knowledge, undertaken to establish facts or principles.

Research Process:
Steps in Research Process:
1. Formulating the Research Problem
2. Extensive Literature Review
3. Developing the objectives
4. Preparing the Research Design including Sample Design
5. Collecting the Data
6. Analysis of Data
7. Generalisation and Interpretation
8. Preparation of the Report or Presentation of Results-Formal writes ups of
Conclusions reached.
Research Design: A research Design is a complete scheme or programme of the research. It
includes an outline of what the investigator will do from research problem formulation to final
analysis of data.
Sources of Data:
 Primary Data
 Secondary Data

12
Primary data:

 These are those which are collected a fresh (again but in a new or different way) and for
the first time and thus happen to be original in character and known as Primary data.

 It is based on primary source of information.

Secondary data :
 It means that are already available that is they refer to the data, which have already been
collected and analyzed by someone else for its own use and later the same data is used
by a different user or person.
It is based on secondary source of information

RESEARCH SOURCE

Research resources are usually thought of as primary sources and secondary sources.

Primary sources .

Secondary sources,

RESEARCH DESIGN

 Type of research – Descriptive

 Data collection Technique – Questionnaire (survey)
 Sampling –
1- Sample area - Varanasi (city)
2-Sample size – 50 people
3-Sample technique – Random Sampling
4-Sample unit – Male/ Female, Age group

13
LITERATURE REVIEW

Marketing through Spirituality: A Case of Patanjali Yogpeeth

(kumar, 2014)Marketing through spirituality has become a significant topic of discussion as it

affects the consumption behavior of people. Therefore, spiritual organizations are launching
and selling their own products for the customers to capture the market. Here, in this study, yoga
and pranayam are considered as the dimensions of spirituality and it is observed that people
generally rely on a spiritual guru for performing yoga and pranayam. Swami Ramdevji is the
most famous guru in teaching yoga and pranayam in India and he, through Patanjali Yogpeeth,
has launched several products not only based on ayurvedic medicines but also on FMCG.
Hence, this paper talks about marketing through spirituality through the case study and success
story of Patanjali Yogpeeth. The research uses a qualitative approach to collect data from
various officials of Patanjali Yogpeeth through unstructured face-to-face interviews. The study
revealed that yoga and pranayam are very effective tools in marketing through spirituality and
influence the consumption behavior of masses.

Factors Influencing Purchase of FMCG by Rural Consumers in South India: An

Empirical Study
(Ali, 2012)With more than six hundred thousand villages and more than 70% of the population,
rural India has become a massive consumer goods market. FMCG has emerged as a major
product category in rural consumption. Companies marketing FMCG to rural consumers
cannot merely extend their general marketing strategies to rural markets. Instead, they need to
devise rural specific strategies. In this process, they need to understand crucial issues relating
to rural consumer behavior and more specifically relating to different geographic regions of the
country. This paper focuses on understanding factors that affect the rural purchase of FMCG
in South India. Empirical study was conducted in 8 districts of South India to identify the key
influencing variables. Factor analysis was used to form 24 key variables into five groups
(influencing factors). Influence of retailers’ recommendations has emerged as the most
significant variable in the trust factor. According to the study, rural consumers in South India
consider that usage of FMCG contributes to their lifestyle.

Consumer Behaviour
(Choudhary, 2010)It is the study of when, why, how, and where people do or do not buy
Product or business product. It blends elements from psychology, sociology, and economics.
It attempts to understand the buyer decision making process, both individually and in groups.
It studies characteristics of individual consumers such as demographics and behavioural
variables in an attempt to understand people's wants. It also tries to assess influences on
the consumer from groups such as family, friends, reference groups, and society.
Customer behaviour study is based on consumer buying behaviour, with the customer playing
the three distinct roles of user, payer and buyer. Relationship marketing is an influential asset
for customer behaviour analysis as it has a keen interest in the re-discovery of the true meaning
14
of marketing through the re-affirmation of the importance of the customer or buyer. A greater
importance is also placed on consumer retention, customer relationship management,
personalisation, customisation and one-to-one marketing. Social functions can be categorized
into social choice and welfare functions

Patanjali Ayurved injects new life into herbal market, helps rivals sell more personal care
products
(Neha Tyagi & Sagar Malviya, 2016)In a short span of time, Patanjali Ayurved has not only
made a name for itself among Indian consumers, but also fueled expansion of the herbal
products market and helped rivals sell more home and personal care products, grabbing share
from MNCs. The Baba Ramdev-led company's sales jumped 64 per cent to Rs 731 crore in the
six months ended December and rivals Dabur BSE -0.67 % and Himalaya grew in double digits
in a consumer products market that expanded barely 6 per cent. According to IMRB data. The
figures exclude commodity products such as ghee and atta.
What's helping these firms is a growing preference for Ayurvedic products known for natural
ingredients and health benefits. In addition, herbal products are cheaper. "Patanjali has
registered a near-80 per cent growth in penetration, which is about 5 percentage points on an
absolute level, in one year," said K Ramakrishnan, general manager, IMRB Kantar World
panel.

Consumer Behavior towards packaging of FMCG products

(kanika6759, 2009)The importance of packaging design as a vehicle for communication and
branding is growing in competitive markets for packaged FMCG products. This research
utilized a focus group methodology to understand consumer behavior toward such products.
The challenge for researchers is to integrate packaging into an effective purchasing decision
model, by understanding Consumer’s behavior towards the packaging of FMCG products.
When consumers search for and process information in-store, the product's package can contain
relevant and useful information for the consumer. Product packaging forms the end of the
'promotion-chain' and is close in time to the actual purchase and may therefore play an
important role in predicting consumer outcomes. Packages also deliver brand identification and
label information like usage instructions, contents, list of ingredients or raw materials, warnings
for use and directives for care of product

A Study on Consumer Behaviour towards FMCG Products among the Rural-Suburban

HHs of Ernakulam
(Joseph, 2014)The rural consumers are known to earn low income, have low level of literacy,
low level of brand awareness, asymmetric information, inadequate communication and
transportation facilities. The Rural markets and sub-urban markets are now expanding in Kerala
with ever greater penetration index, as the growth seems stunted in the urban markets. In this
study, Rural & suburban areas of Ernakulam with a sample size of 100 respondents. The study
intends to identify the level of influence of various factors on the purchase of FMCG products-
soaps &detergents among the rural/ semi urban consumers. The study emphasized that rural
consumers gave more importance to the ‘quality’ of the FMCG-personal care brands they
bought rather than the normative influences or social appeal vide celebrity endorsements in the
15
mass media
Consumer Behavior Towards Over-the-Counter Herbal Products in India
(Laturkar)In today’s era, development of an appropriate and effective marketing strategy
requires an assessment of the buyer in qualitative terms. This includes keeping a watch on the
sources of information from where the buyer gets the knowledge about the brands, their
frequency of purchase and the decision-making process of decision maker and satisfaction. A
study of the buyer from all these dimensions is of paramount importance for it would make
open the marketing implications and ramifications for the marketers. Basically it is the
motivational mechanism that the buyer has develops in his mind towards various sets of
products that counts a large. A deliberate consumer behavior study helps the marketers to come
out with right positioning strategies. It is to say that any effort to assess the market must include
a keen and close analysis of what the buyer is in the market. This study is about buying
behaviour of consumer in relation to OTC herbal products in India. Like in any other product,
consumer behaviour involves the psychological process that consumer go through in
recognizing his needs, finding ways to solve these needs, making purchase decisions (e.g.,
whether or not to purchase a product and, if so, which brand and where), interpret information,
make plans, and implement these plans (e.g., by engaging in comparison shopping or actually
purchasing a product).

A Study of Consumer Perception Of Herbal Products In Bhopal

(Yadav, 2015)The Indian herbal market is flooded with numerous well-known and recognized
herbal brands. Vindhya Herbal is an initiative of Madhya Pradesh government to provide
unadulterated ayurvedic products to the people and for generating gainful employment for the
vulnerable and downtrodden section of the society. The study is to examine existing state of
Vindhya Herbal in Bhopal, its birthplace. Besides, this study talks about other parameters like
benefits/attributes consumer acquaintances with herbal products, awareness, preferential,
source of knowledge, usage and attitude related to herbal products. The research design
consisted of an exploratory phase followed by a descriptive cross-sectional, close-ended
questionnaire-based survey in Bhopal. As the study has been conducted in a Hindi belt, the
questionnaire was kept bilingual; Hindi and English. Sampling was done on the basis of two
criteria; 1) such regions were selected where almost major herbal brands are available and 2)
Respondents have used at-least one of the herbal brands. Only 23 percent consumers responded
to have used Vindhya herbal. Those who have used Vindhya herbal have preference it, if
available in a nearby store. Most of the respondents mentioned that herbal products are
prepared from the natural ingredient, as a result faced no side effect. Purchase of herbal
products primarily takes place on a monthly basis and use on a daily basis. Doctors, family
members and mass media were reliable sources and the respondents trust on their
recommendations for buying fresh herbal products. Desirability for further information was
high among consumers related to herbal products.
A study on consumer awareness, attitude and preference towards herbal cosmetic
products with special reference to Coimbatore city
(K.Gokila, 2015)Cosmetics and toiletries are not just the domain of women more body sprays,
perfumes and other cosmetics and toiletries with rising demand from men, the Indian market
is getting enlarged and many players are coming out with cosmetic products especially skin
16
care products for women and men Globalization will certainly increase cosmetic products
penetration and all professional shall equip themselves to exploit opportunities offered by this
sector. This gives me an opportunity to work on with endeavor focusing on the consumer
perception and satisfaction of women towards cosmetics with special reference to Herbal
Products. The primary objective of this study is to understand the consumer perception and
satisfaction studying the awareness of the products within the consumers and the number of
consumers who consumes the Herbal Cosmetics.

17
 CHAPTER –II
PATANJALI PRODUTS LIST IN INDIA

18
PRODUCTION:-

Patanjali Food and Herbal Park at Haridwar is the main production facility
operated by Patanjali Ayurved. The company plans to establish further units
in India and in Nepal.

In 2016, the Patanjali Food and Herbal Park was given a full-time security
cover of 35 armed Central Industrial Security Force (CISF) commandos. The
park will be the eighth private institute in India to be guarded by CISF
paramilitary forces. Baba Ramdev is himself a "Z" category protectee of
central paramilitary forces.

PRODUCTS:
Patanjali Ayurved produces products in the categories of personal care and
food.The company manufactures 444 products including 45 types of cosmetic
products and 30 types of food products. According to Patanjali, all the
products manufactured by Patanjali are made from Ayurveda and natural
components. Patanajali has also launched beauty and baby
products.[32] Patanjali Ayurvedic manufacturing division has over 300
medicines for treating a range of ailments and body conditions, from common
cold to chronic paralysis.

Patanajali launched instant noodles on 15 November 2015. Food Safety and

Standards Authority of India slapped a notice on the company as neither
Patanjali nor Aayush, which are the two brand names under which Patanjali
got licenses, have got any approval for manufacturing instant noodles.

19
In 2016, Patanjali has announced to enter the textile manufacturing centre.
The company is reported to manufacture not only traditional clothes such
as Kurta Payjama but also popular western clothes such as jeans.

On November 5, 2016, Patanjali announced that it will set up a new

manufacturing plant Patanjali Herbal and Mega Food Park in
Balipara, Assam by investing ₹1,200 crore (US$180 million) with the
manufacturing capacity of 1,000,000 tones (2.2×109 lb) of goods per year.
The new plant will be the largest facility of Patanjali in India and will be
operational by March 2017. Patanjali already has around 50 manufacturing
units across India.

20
 PERSONAL CARE:

 Skin care
 Dental Care
 Hair Care
 Body Care
 Toiletries
 Eye care
 Shishu Care
 Shaving Cream

21
 Health Care Products:

 Digestives
 Health and Wellness
 Chyawanprash
 Badam pak
 Ghee
 Honey
 Health drinks
 Fruit Juice

Food Care Products:

 Biscuits and Cookies
 Spices
 Candy
 Herbal tea
 Jam

22
 Murabba
 Soan papdi
 Natural Sugar
 Broken cereals Dalia
 Gram flour (Besan)
 Pickle
 Mustard Oil
 Corn Flakes
 Dal Pulses
 Rice
 Noodles
 Oats
 Papad
 Namkeen
 Bura

23
 Home Care Products:

 Agarbatti
 Dish Wash bar
 Herbal Gulal
 Hawan Samagri
 Detergent Powder

24
 Medicines:

 Kwath
 Packages for Diseases
 Vati
 Bhasma
 Churna
 Guggul
 Parpati / Ras
 Pishti
 Arishta
 Asava
 Godhan Ark
 Oil
 Lep
 Balm
 Syrup
 Inhaler
 Tablets
25
 SALES AND DISTRIBUTION

Patanjali Ayurved sells through nearly 4,700 retail outlets as of May 2016. Patanjali
also sells its products online and is planning to open outlets at railway stations and
airports.] Patanjali Ayurveda has tied up with Pittie Group and Kishore
Biyani's Future Group on 9 October 2015. As per the tie-up with Future Group, all
the consumer products of Patanjali will be available for the direct sale in Future
Group outlets. Patanjali Ayurveda products are also available in modern trade stores
including Reliance retail, Hyper city and Star Bazaar apart from online
channels. Patanjali Ayurved, co-founded by yoga guru Ramdev, is targeting Rs
10,000-crore revenue in 2016-17, after sales grew 150 per cent in the previous
financial year to Rs 5,000 crore.

Patanjali Ayurved has also started its FMCG expansion in form of dealership and
distributorship channels across the country and expects wider growth in Overseas
distribution as well.

No one can help admiring the simplicity of the techniques for practicing the different
pranayam (controlled breathing) which His Holiness Swami Ramdev Ji Maharaj has
evolved and has been teaching to the common mass in India. One finds the methods
taught by Swamiji very simple for any lay person to pick up and follow. It is the
simplicity in the technique that is making Pranayam a part of life to common man.
Pranayam were there in text books for long time but, no one from the common mass
in India did have access to it for the techniques of practicing them were very
complex.

There were also some words of caution attached to such instructions that any
deviation from the practicing techniques would cause immense harm to a person.
This gave birth to an idea that Pranayam should never be attempted to be practiced
individually and should only be practiced in the guidance and vigil of a trained Yoga
teacher (Guru). Such rigid rules, complexity in practicing techniques and above all
26
the caution that, any deviation in the practicing techniques would cause immense
harm to the person, took Pranayam far away from common mass and was finally lost
and buried. No one dared to practice such an art which would cause harm to them if
there is even a slightest of deviation in the technique.

Swamiji has done a tremendous job in breaking this concept of fear in common mass
about the harm caused by Pranayam. His Holiness has devised very simple
techniques for practicing the Pranayam which are very easily picked up by any
common man just by watching the T.V. His Holiness Swamiji has also assured the
common mass that Pranayam can never cause harm to any person attempting to
practice individually. Swamiji has exhumed the Indian ancestral science of Pranayam
from the grave of darkness, fear and monopoly of a few and presented it in its
simplest form for the welfare of the mankind. Swamiji has removed the veil of
darkness and the mystery of Pranayam is unfolding itself to the common mass in
India.

Positioning of PatanjaliYogpeeth

The activities, through which PatanjaliYogpeeth wants to project its image in the
minds of people, are categorized into following four categories:

.1 Ascetic Lifestyle (Sadhna)

Sadhna is the main aim of any spiritual organization. Baba Ramdev is influenced by
the ideology of MaharshiDayanandSaraswati, who laid great importance on yoga and
pranayam. To promote Sadhna, great emphasis is laid down on yoga and pranayam.
Various methods, like organizing YogShivirs (camps), broadcasting through TV
channels, making CDs and DVDs of yoga, etc., are adopted to promote yoga and
pranayam. Holistic approach to yoga is adopted which includes Gnanyog, Dhyanyog,
Bhaktiyog and Rajyog. Swamiji wants to see country becoming Yogic India.
27
2 Education (Shiksha)

PatanjaliYogpeeth is trying to establish traditional system of teaching which

incorporates education with Indian culture that will take care of nation’s economic,
social and spiritual needs, and to work in tandem with such institutions already
existing. The main motive behind all the activities is character building, moral
boosting and knowledge of culture, awakening of national pride, equitable society,
arrangement of study and teaching of Veda, Upanishad, etc., for the welfare of world.
Various initiatives taken in this regard include establishment of PatanjaliAyurved
College, University of Patanjali, Gurukul at Rewari and many other institutes. All the
initiatives work towards integration of knowledge and wisdom

3 Health (Swasthya)

Health Revolution is one of the founding objectives of Patanjali family. Patanjali is

trying to promote Ayurveda system of Medicine and practice ancient Indian
Treatment system which includes Panchkarma, Naturopathy, Yajna therapy etc. To
achieve this, various medicines are prepared by Patanjali under PatanjaliAyurved,
Divya Pharmacy etc. Patanjali Food and Herbal Park is established to provide pure
and herbal products to people. PatanjaliChikitsalayas and PatanjaliArogya Kendra are
established in various cities across the country to make Ayurvedic medicines
available to the people.

.4 Entrepreneurship (Swawlamban)

Patanjali aims at promoting indigenous entrepreneurship among the people of the

country and to reduce the dependence on the west. Patanjali Food and Herbal Park is
established to bring about agricultural revolution in the country which gives farmers
best price for their produce. Various self help groups are also constituted to promote
indigenous entrepreneurship. All these activities combined leads to Spiritual
entrepreneurship.

28
Marketing Mix

In order to know exactly the reason for success of Baba Ramdev, it is imperative to
throw some light on the marketing mix rudiments. To be a successful marketer it is
important that all the marketing mix elements have to be fine tuned to support and
strengthen brand personality.

Product strategy

1 Pranayam and Yoga: A Package for Various Diseases Swami Ramdev'sDivya

Medicines are claimed to be one hundred percent natural, made from potent herbs
available in the Himalayas, with no or very little side effects. They have proven
extremely effective for combating all forms of sickness and disease. Along with these
medicines, Swamiji recommends patients to also adopt the practice of pranayam,
which will strengthen the immune system and quicken the healing process. Ramdev
Baba opines that pranayam and yoga are the complete Ancient Indian Therapy, which
is a Medical Science in itself that cures any physical or mental medical condition
completely, without any side effects. Swami Ramdev has proved and declared on
Indian and International TV Channels, pranayam and yoga is the complete natural
cure for all physical and mental ailments. But if medicines are required they are also
available and these packages of medicines are available at a very low cost. The
medicines can cure all the diseases from a simple cold to cancer. In a bid to promote
ayurveda, Swami Ramdev's Trust has tied up with 600 qualified ayurvedic
practitioners who are offering treatment to masses for a variety of diseases, some of
them termed incurable by the modern system.

2 FMCG Products

Patanjali has also introduced FMCG products to diversify in the market. Indian
FMCG market is a market which has a very wide range of customers. There are many
competitors in all the categories and although they all have similar products available

29
at almost similar prices, Patanjali is trying to prove it different through their
marketing strategies. However, entry to this business is easy (low entry barriers) and
this fact has been utilized very efficiently to result in combined benefit for both
Patanjali and the consumers.

As seen from the above Table, the major products of the Patanjali Food Park are
sharbat (Juice concentrates), jam, salt, chyawanaprash, flour candy, washing powder,
etc. The advantage with all these products is that these are made of natural products
and don’t have any side effects at all. But as there are so many players existing in the
market, that Patanjali products have a tough competition to face with

Overall, product/market strategy of the Patanjali group can be understood through

Ansoff’s Matrix (Ansoff, 1957) as shown in Figure-1 below. Ansoff’s matrix, despite
of being more than fifty year old marketing tool, still has a great contributor to
understand the diversification strategy of the organization (Richardson and Evans,
2007). It can be clearly understood from the matrix that PatanjaliYogpeeth is
diversifying itself from ayurvedic medicine to FMCG products.

30
Pricing Strategy

Developing an effective pricing strategy remains the most important and difficult part
of the marketing process. As far as the pricing of FMCG products is concerned, the
pricing strategy is a mix of skimming and penetration. Some products are costly than
other competitive brands and some are cheap. But, in case of pranayam and yoga,
Baba Ramdev's uses a penetration strategy and cost is very less. He urges people not
to lose hope or suffer and depend on expensive treatments. The diseases for which
Indian population spend much more in hospitals, pranayam and yoga treat all the
ailments completely without costly medicines, operations or surgery. It is amazing,
but it is claimed to be true that this is the cheapest and the only complete cure to most
of the so called incurable diseases like Diabetes, Cancer, HIV and AIDS too.

Supply Chain Management (SCM)

Patanjali follows a very smooth Supply chain management. The three parts of supply
chain are product flow, cash flow and information flow. In supply chain of Patanjali

31
all these are maintained very smoothly. Supply Chain of Patanjali can be well
understood with the help of some examples. First we will take the example of sale of
Patanjali products. They sell their products only through their own outlets opened in
almost every district/city of India. Each outlet sends its demand to central office at
Haridwar. Then based on demand, different products are gathered from various units
of Patanjali viz. Divya Pharmacy, PatanjaliAyurved, Patanjali Foods etc. Then the
items are delivered to the respective outlets mainly through Patanjali transport. This
shows a good example of Supply chain management. Next we can take the case of
Patanjali Gram at Uttarkashi. Here Swami Haridasji has presented a very good
example of SCM. They collect cow urine from rural households. After initial
filtration, it is sent to Patanjali Food and Herbal Park where it is processed and is sent
to various Patanjali outlets for distribution. The part of money received from the sale
of cow urine is kept by Patanjali Food and Herbal

Park Limited as processing cost and the rest is sent to the village. Some amount is
distributed to the people as a price of cows urine, rest is used for the development of
the village like establishing necessary infrastructure, building schools etc. The
Patanjali Mega Food Park (PMFP) has been envisaged to help in creation of enabling
infrastructure for food processing and a comprehensive ‘farm-to-plate’ supply chain
system. The initiative aims to seek maximum value addition by backward as well as
forward integration between the farmers, factory and the market. It can be said that
the supply chain doesn’t have any intermediary in between but rather it’s a direct
from supplier to producer to consumer. This also helps in reducing the cost because it
avoids the unnecessary commission cost and other related charges of the
intermediaries

32
Sales and Distribution Patanjali follows various modes of distribution for their
products.

 They provide sale of products through their website with online payment
facility. These products can be procured through post also by sending the
required amount through demand draft etc.
 Patanjali has opened “PatanjaliChikitsalayas” and “PatanjaliArogya Kendra” in
almost all the cities of the country from where all the Patanjali products can be
procured easily. A Patanjali trained Ayurvedic doctor also sits in every
PatanjaliChikitsalaya from whom consultation can be obtained regarding
various medicines.
 Patanjali herbal products are also available at Post offices across the country.
 A shop is established for sale of products wherever a yoga camp is organized.
 Patanjali has prepared disease specific CDs which they sell through their
various outlets.

Promotional Strategy

Baba Ramdev's live yoga classes became a passion. And it all began in the year 2002
when Sanskar television channel started airing Baba Ramdev's yogic classes;
overnight, Baba Ramdev became a sensation he had hundreds of followers who
morphed into thousands. Then Sanskar channel's rival Astha channel signed him. In
two years time he was a hit and with him also the channel benefited. His TV shows
have the largest TRP. Today, he is one of the biggest draws on Indian television. He
can be seen not only on religious channels like Aastha, but also news and features
channels like AajTak, India TV and Sahara One. Millions around the country follow
his programmes religiously and use Ayurvedic medicines prescribed by him. There
was an eight-month waiting period before one could see Ramdev; he was being
booked that far ahead by television channels for his live yoga classes each morning.
His yoga sessions were beamed live into 170 countries. Also, Baba Ramdev's pack
i.e., one DVD, two Video CDs, three books on yoga, pranayam and herbal remedies,
33
and Magazines are available. This set of four promotional materials with a Research
Oriented Monthly Magazine of Yog, Spiritualism, Ayurveda, Culture and Tradition-
Yog Sandesh available in 5 languages can do much to lure customers. Even healthy
people are following his yoga pranayam regimen, as available in his DVDs, VCDs,
Books and magazines etc., to keep fit. Baba Ramdev has got the pulse of the basic
needs of people which is not only limited to food, clothing and shelter but also
includes a healthy life style, and has managed to fine tune his offerings to suit the
needs of all. He has mastered the art of mass customization and practices the art
dexterously so much so that each individual feels that he is talking to him
individually

Broadly speaking, the promotional marketing strategy of PatanjaliYogpeeth includes

the following:

 The most important promotional activity involves yoga campaign by Baba

Ramdev and the Patanjali trust.
 Advertising through business journals and newspapers in India and abroad
with the help of an advertising agency.
 The company has established a web site in the internet. This will ensure
international visibility and marketing.
 Group regularly interacts to industry and business associations.
 Group also has interaction with foreign embassies/trade counsels in India.
 They are also bringing out attractive brochures and other literature with the
help of advertising agency.

34
35
 INNOVATION
- What makes Patanjali a credible threat is that it does not try to beat other FMCG companies at
their game; it changes the game for them: IIFL

- Patanjali’s proactive moves have been crucial for its growth. Other consumer companies will need
to step up innovation:Edelweiss

 PRICING

- Priced anywhere between 10%-30% cheaper than peers, Patanjali poses serious challenge to
flagship products of many companies: Reliance Securities

- The company is set to eat market share of some of the FMCG majors in oral care, hair care and
OTC products with its economical pricing across its brand portfolio: Bonanza Portfolio

 THE BRAND, MARKETING

- Patanjali has the advantage of being associated with a personality, Baba Ramdev, a yoga guru
with a following of millions who popularises this brand through his camps: IIFL

- Patanjali will also be launching its mobile app, which will allow consumers to locate nearby
outlets that are selling Patanjali products and also facilitate online ordering: Edelweiss

- Patanjali has gained traction in a few categories, one of which is toothpaste: Credit Suisse

- It was one of the top three brands advertised on television in last week of November, as per
BARC:Reliance Securities

 REVENUE, MARKET SHARE

- Patanjali could reach a net turnover of Rs 20,000 crore by FY20: IIFL

- Industry sources indicate that Patanjali’s market share is likely to be around 5% by end 2015. This
is a big success in this category, which had just three players until now: Credit Suisse

- Patanjali likely to more than double its revenue to Rs 5,000 crore in FY16 from Rs 2,000 crore in
FY15
36
A premium product but an economical price tag. That is what yoga guru Baba Ramdev-
backed brand PatanjaliAyurved promises customers. That strategy has worked, with
PatanjaliAyurved Ltd, which flaunts its ‘Make in India’ roots, set to touch the Rs 5000
turnover mark in FY16.

Patanjali to tie up with Future Group

Riding on the yoga guru's brand value and personal endorsement for its products, PAL is among the
top FMCG companies in the country, ahead of Jyothi Labs
Arnab Dutta | New Delhi October 8, 2015 Last Updated at 00:33 IST

Yoga guru Ramdev'sPatanjali Group is set to tie up with Kishore Biyani-led retail major Future
Group. To reveal the business deal between the two groups, Biyani, Ramdev and his close aide Bal
Krishna - who also holds several key positions in Patanjali's various arms - will hold a press
conference on Friday in Delhi.

While Patanjali did not respond to queries on the purpose of a tie-up with the retail major, a Future
Group official said, "A tie-up or association for the food & FMCG (fast-moving consumer goods)
products between Future Group and Patanjali Group will be announced." He, however, declined to
reveal more details.

The group's flagship entity PatanjaliAyurved (PAL), which was co-founded by Ramdev in 2006 as
a private limited company and eventually converted into a public limited company in 2007,
currently produces FMCG products ranging from branded basmati rice to noodles, and toothbrush
to juices. Riding on the yoga guru's brand value and personal endorsement for its products, PAL is
among the top FMCG companies in the country, ahead of Jyothi Labs. While Emami Ltd and global
FMCG major Procter & Gamble has annual sales of Rs 2,031 and Rs 2,334 crore, respectively, PAL
is not far behind, breathing on their neck at Rs 2,028 crore, according to CARE Ratings. While
Ramdev does not hold any stake in the company, he is frequently seen endorsing PAL's products,
the latest being during the launch of Patanjali's instant noodles last month.

37
38
So, how does the company do it?
“There are four reasons why Patanjali’s products are cheaper than competition,” the Kotak report
said.

“Patanjali’s top management takes no salary and they have no big expenses,” the report added.
Ramdev, the face of the brand reportedly doesn’t own any stake in the company. His close
confidant, Acharya Balkrishna, is the managing director. Ramdev’s brother Ram Bharat runs day-
to-day operations, while Deepak Singhal, a pharma veteran and Ramdev follower, is the chief
strategy officer.

Secondly, Patanjali benefits from efficient raw material procurement—without any leakages or
commissions paid. This cut down costs by at least 5%.
However, Patanjali’s core strength in cutting costs lies elsewhere.
It has largely avoided huge advertisement costs that account for asmuch as 10-15% of the other
FMCG majors’ expenditure. “Baba Ramdev is a great proponent of a direct marketing FMCG
company, and is one step ahead of the likes of the Amways and Avons of the world,”.
For years, Patanjali relied on direct marketing by the yoga guru’s disciples and instructors.
According to brokerage firm, CLSA, Patanjali has the potential to reach out to more than 200
million directly or indirectly linked to his yoga programme.

39
This year, however, Patanjali has firmed up plans to spend almost Rs300 crore on advertisements
across television, radio, print and digital media. Overall, it plans to invest Rs1,000 crore to set up
exclusive stores, and ramp up online distribution.

The fourth and last reason is the company’s ability to maintain very low profit margins, according
to the Kotak report.

40
4 Ps of Marketing For Patanjali Ayurved Limited

The marketing mix is a set of controllable , tactical marketing tools that a firm
blends to produce response it wants in target market. The marketing mix consist
of everything the firm can do to influence the demand for its products. The many
possibilities can be collected into 4 groups of variables known as the 4 Ps of
Marketing.

1. Product
2. Price
3. Place
4. Promotion

1) Product: - This means the goods and services combination the company
offers to the target market. It includes Variety, Quality, Design, Features,
Brand name, Packaging services. In the same way Patanjali Ayurved
Limited (PAL) offers a wide variety of quality products to the customers.
Their products are dividing into various sections like Ayurvedic, Herbs,
Food /Groceries, Juices, Cosmetics and toiletries in order to cover various
market segments.

2) Price: - It refers to the amount of money the customers must pay to obtain
the products. (PAL) offers its products to the customers at a price which is
10% to 30% less than other branded products in the market . For example
currently 250gm Dabur honey is available at Rs.120 but at the same
quantity Patanjali honey is available at Rs 70only.

3) Place: - This includes company activities that make the product available

41
 to target customers. Similarity (PAL) makes it products available to
customers through exclusive Patanjali shops, through organized retail shops
like Big Bazaar and Spencer’s Pharmacist and kirana shops too. There are
about 15000 Patanjali stores in India.

4) Promotion:-This refers to the activities that communicate the merits of the

product and persuade the target customers to buy it. This includes
advertising, personal selling, sales promotion and public relation. But PAL
was never into advertising as when the company was established in 2006 its
products entered the market in 2008 and they did not use any media source
for the brands promotion but after 2011 they changed their marketing
strategy and with the nationalistic concept like Swedish and prominent
public figures like Baba Ram Dev ,Hema Malini and Sushil Kumar
.Patanjali was able to capture a bigger portion of market in less than a
decade.

42
 INDUSTRY PROFILE
Herbal Industry

The Indian herbal market is rising sharply and is expected to hit Rs 14,500-crore mark with
exports reaching Rs 9,000 crore by the year 2012.

The herbal market has an annual compounded growth rate of 20 and 25 per cent, respectively.
India is followed by China as the largest producer of medicinal plants having more than 40 per
cent global diversity, Ayushkati Ayurveda’s promoter Pankaj Naram said in a statement here.

Worldwide, the Ayurvedic industry is put at $3 billion and is slowly gaining acceptance as an
alternative system of medicine and health care, Naram said.

The World Health Organisation (WHO) has projected that the global herbal market will grow
to $5 trillion by 2050.

According to the study on ‘Herbal Industry Biz Potential’, currently, the Indian herbal market
is worth Rs 7,000 crore ($1.7 billion) and India exports herbal raw materials and medicines
worth over Rs 3,600 crore ($902 million).

OTC (over the counter) products constitute 20 per cent of the $165-billion health care industry
in the US, in India, it constitutes only 5 per cent of the Rs 19,000 crore health care indu

43
WORK OF COMPANYY

atanjali Ayurved Limited is an Indian FMCG company, Acharya Balkrishna established

Patanjali Ayurved Limited in 2006 along with Baba Ramdev with the objective of establishing
science of Ayurveda in accordance and coordinating with the latest technology and ancient
wisdom.

Revenues
Patanjali Ayurveda's annual turnover for the year 2014-15 increased
to ₹2500 crore (US$370 million) as compared to previous turnovers
of ₹1200 crore (US$180 million) (2013–14), ₹850 crore (US$130 million) (2012-13)
and ₹450 crore (US$67 million) (2011–12). [10][11][12][13][14]
Future Group which has tied up
with Patanjali sells about ₹30 crore (US$4.5 million) worth of Patanjali products every month.
It is valued at ₹13000 crore (US$1.9 billion) and some predict revenues
of ₹5000 crore (US$740 million) for the fiscal 2015–16

Production
Patanjali Food and Herbal Park at Haridwar is the main production facility operated by
Patanjali Ayurved. The company plans to establish further units in India and in Nepal.
In 2016, the Patanjali Food and Herbal Park was given a full-time security cover of 35
armed Central Industrial Security Force (CISF) commandos. The park will be the eighth
private institute in India to be guarded by CISF paramilitary forces. Baba Ramdev is himself a
"Z" category protectee of central paramilitary forces

Products
Patanjali Ayurved produces products in the categories of personal care and food. The company
manufactures 444 products including 45 types of cosmetic products and 30 types of food
products. According to Patanjali, all the products manufactured by Patanjali are made from
Ayurveda and natural components. Patanjali products are cheaper than alternatives in the
market due to lesser production and marketing costs. Patanajali has also launched beauty and
baby products. Patanjali Ayurvedic manufacturing division has over 300 medicines for treating
a range of ailments and body conditions, from common cold to chronic paralysis.
Patanajali launched instant noodles on 15 November 2015. Food Safety and Standards
Authority of India slapped a notice on the company as neither Patanjali nor Aayush, which are
the two brand names under which Patanjali got licenses, have got any approval for
manufacturing instant noodles.

44
 Sales and distribution
Patanjali Ayurved sells through nearly 4000 retail outlets as of 2015. Patanjali also sells its
products online and is planning to open outlets at railway stations and airports. Patanjali
Ayurveda has tied up with Pittie Group and Kishore Biyani's Future Group on 9 October
2015. As per the tie-up with Future Group, all the consumer products of Patanjali will be
available for the direct sale in Future Group outlets. Patanjali Ayurveda products are also
available in modern trade stores including Reliance retail, Hyper city and Star Bazaar apart
from online channels. Defence organization DRDO entered into licensing agreements with
Patanjali Ayurveda for transfer of technology.

Units of Patanjali Ayurved Limited:

1. Already 12 successful units running including units for Packaging material and Containers e.g.
flour mill, candy plant, herbal cosmetic and detergent plants, digestives unit, juice plant etc.
2. Co-packing Facility-Tetra Pak and Volpack
3. Multi-fruit juice processing line
4. Nutraceutical Processing Line
5. Sale Outlets: Patanjali brand with national and international reach, more than 85,000 retail
outlets-accessible to Patanjali products

Employment Generation:

1. Currently PAL employs more than 6000 laborers in its processing activities.
2. More than 400 Sales Staff.
3. PAL has more than 300 technically qualified employees.
4. PAL has provided more than 2.00 Lac indirect employment.

The Company started doing its business for the benefit of mankind for the last 4-5 years and
we are very much excited to see responses of the people worldwide. The following figures for
the last three years of its working itself will tell the story of the Company’s achievements as
well as public faith in the Company’s products: -

Financial Years

2009-2010(Rs.in 2010-2011 (Rs.in

Particulars 2011-2012 (Rs.in Crores)
Crores) Crores)

Sales 162.67 317.66 451.22

Profit Before
48.83 88.14 70.20
Tax(PBT)

45
 Financial Years

2009-2010(Rs.in 2010-2011 (Rs.in

Particulars 2011-2012 (Rs.in Crores)
Crores) Crores)

Profit After
33.24 68.38 58.89
Tax(PAT)

% of PBT of Sales 30.00 27.75 15.55

% of PAT of Sales 20.43 21.53 12.38

The above data speaks the growth rate of the Company and popularity and faith of the Public
in PATANJALI AYURVED LIMITED. The Company has already launched its products in
the open market all over India on the demand and response of both the rural and urban people.
Today, the Company alone is making approx. 200 domestic products of food items, Cosmetic
Items and the Ayurvedic Medicines and many more things to come.

Patanjali Ayurveda's annual turnover for the year 2014-15 increased to ₹2500 crore (US$
370 million) as compared to previous turnovers of ₹1200 crore (US$ 180 million) (2013–
14), ₹850 crore (US$ 130 million) (2012-13) and ₹450 crore (US$ 67 million) (2011–12).
Future Group which has tied up with Patanjali sells about ₹30 crore (US$ 4.5 million) worth
of Patanjali products every month.

46
 CHAPTER -III
DATA ANALYSIS
AND
INTERPRETATION

47
 1. Age

Response Data Percentage

Below 20 9 18%
21-30 29 58%
30-40 9 18%
Above 40 3 6%
Total 50 100%

Table 4.1 Age

6%
18%
18%

58%

Below 20 21-30 30-40 Above 40

Figure 4.1 Age

INTERPRETATION

From the following data the age of the consumer is determined, could be seen that 58%
of them fall into the age group of 21-30, whereas 18% of them fall into the age category
of 30-40 and below 20, and 6% of them fall into above 40 group

48
 2. Gender

Response Data Percentage

Male 28 56%
Female 22 44%
Total 50 100%

Table 4.2 Gender

44%

56%

Male Female

Gender: Figure 4.2

INTERPRETATION

The following data shows that there were 56% of male and the female were 44%.

49
 3. Marital Status

Response Data Percentage

Married 15 30%
Unmarried 35 70%
Total 50 100%

Table 4.3 Marital Status

30%

70%

Married Unmarried

Figure 4.3 Marital Status

INTERPRETATION

The following data shows that there were 30% of married consumers where as 70% of
them were unmarried.

50
 4. Occupation

Response Data Percentage

Student 35 70%
House wife 2 4%
Employed 9 18%
Business 4 8%
Total 50 100%

Table 4.4 Occupation

8%

18%

4%

70%

Student House wife Employed Business

Figure 4.4 Occupation

INTERPRETATION

The following data shows that 70% of them are student, whereas 18% of them are
employed, 8% of them are into business and 4% of them are house wife.

51
 5. Monthly Income

Response Data Percentage

5000 12 24%
5000-10000 5 10%
10000-20000 11 22%
Above 20000 22 44%
Total 50 100%

Table 4.5 Monthly income

24%

44%

10%

22%

5000 5000-10000 10000-20000 Above 20000

Figure 4.5 Monthly income

INTERPRETATION

It could be interpreted that 44% of people earn their monthly income above 20000,
Whereas 24% monthly income lies in below 5000, 22% earn in the category of 10000-
20000 and 10% of them earn between 5000-10000.

52
 6. Number of family members

Response Data Percentage

2 2 4%
2-4 26 52%
4-6 18 36%
Above 6 4 8%
Total 50 100%

Table 4.6 Family members

8% 4%

36%

52%

2 2 to 4 4 to 6 Above 6

Figure 4.6 Family members

INTERPRETATION

It can be analysed that 36% of them have their number of family members between 4 to
6, 52% with 2 to 4 members in their family, whereas 8% with the family members above
6 and 8% have just 2 members in the family.

53
 7. The frequency of purchase for the Desi Ghee

Response Data Percentage

Always 11 22%
Often 16 32%
Sometimes 11 22%
Never 12 24%
Total 50 100%

Table 4.7 Desi ghee

24% 22%

22%
32%

Always Often Sometimes Never

Figure 4.7 Desi ghee

INTERPRETATION

From the following this could be interpreted that 32% of people often buy desi ghee, 24%
of them never buy it, where as 22% people buy is always and same with sometimes that
is 22%.

54
 8. The frequency of purchase for the Body Soap

Response Data Percentage

Always 26 52%
Often 10 20%
Sometimes 8 16%
Never 6 12%
Total 50 100%

Table 4.8 Body soap

12%

16%

52%

20%

Always Often Sometimes Never

Figure 4.8 Body soap

INTERPRETATION

From the following this could be interpreted that 52% of people always buy body soap,
12% of them never buy it, where as 20% people buy is often and 16% sometimes buy
body soap.

55
 9. The frequency of purchase for the honey

Response Data Percentage

Always 14 28%
Often 15 30%
Sometimes 15 30%
Never 6 12%
Total 50 100%

Table 4.9 Honey

12%
28%

30%

30%

Always Often Sometimes Never

Figure 4.9 Honey

INTERPRETATION

From the following this could be interpreted that 28% of people always buy honey, 12%
of them never buy it, where as 30% people buy is often and 30% sometimes buy honey.

56
 10. The frequency of purchase for the tooth paste

Response Data Percentage

Always 29 58%
Often 10 20%
Sometimes 7 14%
Never 4 8%
Total 50 100%

Table 4.10 Tooth paste

8%

14%

58%
20%

Always Often Sometimes Never

Figure 4.10 Tooth paste

INTERPRETATION

From the following this could be interpreted that 58% of people always buy tooth paste,
8% of them never buy it, where as 20% people buy is often and 14% sometimes buy tooth
paste.

57
 11. The frequency of purchase for the tooth shampoo

Response Data Percentage

Always 23 46%
Often 15 30%
Sometimes 10 20%
Never 2 4%
Total 50 100%

Table 4.11 Shampoo

4%
20%

46%

30%

Always Often Sometimes Never

Figure 4.11 Shampoo

INTERPRETATION

From the following this could be interpreted that 48% of people always buy shampoo,
4% of them never buy it, where as 30% people buy is often and 20% sometimes buy
shampoo.

58
 12. The frequency of purchase for the hair oil

Response Data Percentage

Always 20 40%
Often 19 38%
Sometimes 6 12%
Never 5 10%
Total 50 100%

Table 4.12 Hair oil

10%
12%
40%

38%

Always Often Sometimes Never

Figure 4.12 Hair oil

INTERPRETATION

From the following this could be interpreted that 40% of people always buy hair oil, 10%
of them never buy it, where as 38% people buy is often and 12% sometimes buy hair oil.

59
 13. Do you use Ayurvedic/herbal products?

Response Data Percentage

Yes 50 100%
No 0 0%
Total 50 100%

Table 4.13 Herbal products

0%

100%

Yes no

Figure 4.13 Herbal products:

INTERPRETATION

From the following data it is concluded that out of 50 people all of them use Ayurvedic or
herbal products in one or the other way.

60
 14. Ayurvedic Product of which company do you use??

Response Data Percentage

Patanjali 26 52%
Dabur 14 28%
Himalaya 10 20%
Total 50 100%

Table 4.14 Company

20%

52%

28%

Patanjali Dabur himalaya

Figure 4.14 Company

INTERPRETATION

The data shows that 52% people use Patanjali products and 28% of them use Dabur
where as 20% of them use Himalaya

61
 15. Do you use Patanjali Ayurved Products?

Response Data Percentage

Yes 44 88%
No 6 12%
Total 50 100%

Table 4.15 Product usage

12%

88%

Yes no

Figure 4.15 Product usage

INTERPRETATION

The following data shows that 88% of them have used Patanjali Ayurved products and
12% have never use Patanjali Ayurved products.

62
 16. Are you Satisfied with the products of Patanjali Ayurved?

Response Data Percentage

Yes 29 58%
Sometimes 18 36%
No 3 6%
Total 50 100%

Table 4.16 Satisfaction

18

58%

Yes Sometimes no

Figure 4.16 Satisfaction

INTERPRETATION

This data shows the satisfaction of the costumer for Patanjali Ayurved where 58% are
satisfied always, 36% are satisfied sometimes where as 6% are never satisfied

63
 17. What are the unique selling prepositions of Patanjali Ayurved?

Response Data Percentage

Quality 18 46%
Quantity 6 12%
Price 23 36%
Location 2 4%
Other 1 2%
Total 50 100%

Table 4.17 Unique selling preposition

4% 2%

36%

46%

12%

Quality Quantity Price Location Other

Figure 4.17 Unique selling preposition

INTERPRETATION

The data shows the unique selling prepositions of Patanjali Ayurved where 46 % use
Patanjali for quality, 12% for quantity, 36% for price, 4% for location and 2% for other.

64
 18. Is Patanjali Ayurved easily available in your nearby?

Response Data Percentage

Under 1 Km 12 24%
1-2 Km 21 42%
2-4 Km 10 20%
More Than 4 Km 7 14%
Total 50 100%

Table 4.18 Available

14%
24%

20%

42%

Under 1 km 1-2 km 2-4 km More than 4 km

Figure 4.18 Available

INTERPRETATION

The data shows the availability of Patanjali Ayurved to the customer 24% of them have
the store under 1 km, 42% of them have it 1-2 km, 20% of them have them 2-4 km away
where as 14% have more than 4 km away.

65
 19. Do you think Patanjali Ayurved can be Triumphant over all its Competitors?

Response Data Percentage

Yes 20 40%
No 17 34%
Haven’t Thought About That 13 26%
Total 50 100%

Table 4.19 Competition

26%
40%

34%

Yes No Haven’t thought about that

Figure 4.19 Competition

INTERPRETATION

This data shows that nearly 40% of the consumers believe that Patanjali Ayurved can be
a triumphant over its competitors, 34% says No, where as 26% haven’t thought of that.

66
 20. Is Patanjali Ayurved products are better than other branded FMCG products?

Response Data Percentage

Yes 24 48%
No 12 24%
Haven’t Thought About That 14 28%
Total 50 100%

Table 4.20 Comparison

28%

48%

24%

Yes No Haven’t thought about that

Figure 4.20 Comparison

INTERPRETATION

This data shows that nearly 48% of the consumers believe that Patanjali Ayurved are
better than other FMCG products, 24% says No, where as 28% haven’t thought of that.

67
 21. Would you like to Switch to other brand if you get some promotional schemes with
that brand?

Response Data Percentage

Yes 32 64%
No 18 36%
Total 50 100%

Table 4.21 Switching over

36%

64%

Yes No

Figure 4.21 Switching over

INTERPRETATION

When asked if the consumers would switch to the other brand 64% of them said yes and
36% of them said no.

68
 22. Give reason for the same.

Response Data Percentage

Cost 4 8%
Quality 13 26%
Satisfaction 15 30%
Discounts 15 30%
More Benefits 3 6%
Total 50 100%

Table 4.22 Reasons to switch over

6% 8%

30% 26%

30%

Cost Quality Satisfaction Discounts More benefits

Figure 4.22 Reasons to switch over

INTERPRETATION

When asked if the consumers would switch to the other brand the reason to it were, cost
with 8%, quality with 26%, satisfaction with 30%, discounts with 30% and finally 6%
with more benefits.

69
 23. Who influenced your preference for Patanjali Ayurved products?

Response Data Percentage

Family 12 24%
Friends 17 34%
Advertisement 18 36%
Self 3 6%
Total 50 100%

Table 4.23 Influenced

6%
24%

36%

34%

Family Friends Advertisement Self

Figure 4.23 Influenced

INTERPRETATION

Data shows that 24% of them were influenced by their family, 34% friends, 36%
advertisement and 6% were self-influenced.

70
 24. Does Advertisement play any role towards brand preference?

Response Data Percentage

Yes 42 84%
No 8 16%
Total 50 100%

Table 4.24 Role of advertisement

16%

84%

Yes no

Figures 4.24 Role of advertisement:

INTERPRETATION

This data shows the role of advertisement towards creating brand preference- 84% says
yes where as 16% does not have any effect of advertisement.

71
 25. Have you purchased any Patanjali Ayurved product recently after coming across
any advertisement?

Reference Data Percentage

Yes 37 74%
No 13 26%
Total 50 100%

Table 4.25 Purchases

26%

74%

Yes no

Figure 4.25 Purchases

INTERPRETATION

This data shows that is the customers have purchased any Patanjali product after coming
across any advertisement 74% says yes where as 26% says no.

72
 26. When did you last time purchased any Patanjali Ayurved product?

Response Data Percentage

Within Week 11 22%
1 Month 27 54%
1-4 Month 5 10%
Above 4 Month 7 14%
Total 50 100%

Table 4.26 Last purchases

14%
22%

10%

54%

Within week 1 month 1-4 month Above 4 month

Figure 4.26 Last purchases

INTERPRETATION

The data shows about the last time purchasing of any Patanjali Ayurved 22% says within
a week, 54% 1 months, 10% 1-4 month where as 14% above 4 months.

73
 27. In what way advertisement influenced you?

Data Percentage
Response
Better Recall 6 12%
Positive Impression 26 52%
Interest 14 28%
No Impact 4 8%
Total 50 100%

Table 4.27 Advertisement influenced

8% 12%

28%

52%

Better Recall Positive Impression Interest No Impact

Figure 4.27 Advertisement influenced

INTERPRETATION

The data shows that in what way did the consumer got influenced by the advertisement,
12% says better recall, 25% says positive impression, 28% of them says interest where as
8% had no impact.

74
 CHAPTER – V

RESEARCH FINDINGS
LIMITATION
CONCLUSION

75
FINDINGS
Through the data presentation and data interpretation in Chapter III. On the Basis of the
Objectives taken for the study the research finding are as follows: -
 According to the first objective, i.e., To study buying behaviour of customers
towards Patanjali Ayurved in Varanasi region, it is found that almost 100% of
hem use Ayurvedic products.
 According to the second objective, i.e., 46% of the consumers prefers Patanjali
Ayurved because of the quality of the products, 12% of the consumers prefer it
because of the quantity, 36% of the consumer prefer it due to the price, 4% of them
prefer it due to the location and rest 2% prefer it due to other factors.
 64% of the consumers may switch to other brand and 34% will not switch to other
brand and remain bran loyal to Patanjali Ayurved.
 8% will switch due to the cost, 26% will change die to quality, 30% will change
due to satisfaction, 30% of them will switch over Patanjali Ayurved due to
discounts and 6% of them will switch due to other benefits.
 52% of the consumers prefer Patanjali Ayurved, 28% of the consumers use dabur
and 20% use Himalaya.
 According to the survey- 88% of the consumers have used Patanjali Ayurved and
12% have not used Patanjali Ayurved product.
 58% are satisfied with the Patanjali Ayurved products, where as 36% of the
consumers are sometimes satisfied and 6% of the consumers are never satisfied
with the products of Patanjali Ayurved.
 The product availability for 24% is under 1 kilometre, whereas 42% is within 1-2
kilometre, 20% of them have the availability of the product within 2-4 kilometre
and the rest 14% is more than 4 kilometre away.
 40% of the consumers believe that Patanjali Ayurved can be triumphant over its
competitors, whereas 34% haven’t thought about it and 26% believe that it is not a
threat over its competitors.
 48% of the consumer believe that the FMCG products of Patanjali Ayurved are
better than other company’s product, 24% haven’t thought of that and 28% don’t
think that Patanjali Ayurved is better than other company’s product.

76
 24% of the consumers are influenced by their family, 34% of them were influenced
by friends, 36% of them were influenced by advertisement and rest 6% were
influenced by themselves.
 84% of them believe that advertisement play role in brand preference and 16%
believe that brand does not play any role for brand preference.
 74% have purchased Patanjali Ayurved by coming across the advertisement and
26% of them haven’t purchased the products by coming across the advertisement.
 22% of the consumers have purchased Patanjali products within a week, 54% of
them have purchased in a month 10% of them have purchased it in the time of 1-4
month and 14% have last time purchased the product of Patanjali Ayurved 4
months back.
 12% of the consumers got influenced through advertisement for better recall, 52%
of them have It for positive influence, 28% have interest and 8% had no interest.

77
 LIMITATION

The following are the limitation with this report.

• A minimal sample size has been used for this research; if a larger sample
was taken into consideration the research would have been more accurate.

• The responses received are quite objective in nature.

• Low rate of return of the duly filled questionnaires due to the biasness of
the respondents.

• The results of the study may not be generalized because researcher

followed convenient sampling method.

• Moreover, the study includes students with zero income which may not
give conclusive results as income affects the buying capacity too.

• Also, Researcher could not gather much data from age group of 55 and
above.

• The bias cannot be excluded since the researcher only reached out to
accessible area to distribute and gather information. Time and resource
constraint are other limitations too.

78
 CONCLUSION
From the above Research and data interpretation it is found that the different factors influencing
the buying behavior of consumers towards Patanjali Ayurved in Varanasi. Most of the people
prefer herbal products of Patanjali Ayurved are satisfied from the products, they are buying the
product due to its price, quality and quantity. They may switch over to other products if
provided with good quality, quantity, discounts and some of the consumers will be loyal to the
product. Overall Patanjali Ayurved is doing good in the market and have a positive impression
in the minds of consumer.

79
.
BIBLIOGRAPHY

 Ali, M. A. (: Md. Abbas Ali.

 Choudhary, P. (2010). Fmcg. bangalore: Prince Choudhary.

 Joseph, A. a. (2014). A Study on Consumer Behaviour towards FMCG Products

among the Rural-Suburban HHs of Ernakulam. Coimbatore: Anilkumar N.okila, M.
R. (2015). A study on consumer awareness,attitude and preference towards herbal
cosmetic. Tamilnadu: M.Banu Rekha and K.Gokila .

 kanika6759. (2009). Consumer Behaviour towards packaging of FMCG products.

kanika6759. kumar, v. (2014). Marketing through Spirituality: A Case of Patanjali

Yogpeeth. Roorkee:
 vinod kumar.

 Laturkar, V. N. (n.d.). Consumer Behaviour Towards Over-the-Counter. Global

Vision Publishing House.

 Neha Tyagi & Sagar Malviya. (2016). Patanjali Ayurved injects new life into herbal
market, helps rivals sell more personal care products . The Economic Times.

 Yadav, M. I. (2015). A STUDY OF CONSUMER PERCEPTION OF. bhopal: Md.

Irshad Ali and Manmohan Yadav.

80
 APPENDICES
TOPIC: Consumer Buying behavior towards Patanjali Ayurved
in Varanasi Region.
1. Personal Details
a) Name
b) Location
c) Age
I. Below 20
II. 21-30 years
III. 31-40 years
IV. Above 40
d) Gender
I. Male
II. Female
e) Marital Status
I. Married
II. Unmarried
f) Occupational Status
I. Student
II. House Wife
III. Employed
IV. Business
g) Monthly Income
I. Up to 5000
II. 5000-10000
III. 10000-20000
IV. Above 20000
h) Number of members in family
I. 2
II. 2-4
III. 4-6
IV. Above 6

2. Do you use Ayurvedic/Herbal Products

I. Yes
II. No
If yes Proceed Further, if no please give reason to it. -

3. Ayurvedic Product of which company do you use??

I. Patanjali
II. Dabur
III. Himalaya

81
4. Mention the frequency of purchase for the following products.
Particulars Always Often Sometimes Never

Desi Ghee

Body Soap

Honey

Tooth paste

Shampoo

Hair Oil

5. Do you use Patanjali Ayurved Products

III. Yes
IV. No
If yes Proceed Further, if no please specify reason to it. -

6. Are you Satisfied with the products of Patanjali Ayurved?

I. Yes
II. Some times
III. No

7. What are the unique selling prepositions of Patanjali Ayurved?

I. Quality
II. Quantity
III. Price
IV. Location
V. Other

8. Is Patanjali Ayurved easily available in your nearby?

I. Under 1 KM
II. 1-2 KM
III. 2-4 KM
IV. More than 4 km

9. Do you think Patanjali Ayurved can be Triumphant over all its Competitors?
I. Yes
II. No
III. Haven’t thought about that

10. Is Patanjali Ayurved products are better than other branded FMCG products?
I. Yes
II. No
III. Haven’t thought about that

82
11. Would you like to Switch to other brand if you get some promotional schemes with
that brand?
I. Yes
II. No
III.
12. Give reason for the same.
I. Cost
II. Quality
III. Satisfaction
IV. Discounts
V. More benefit

13. Who influenced your preference for Patanjali Ayurved products?

I. Family
II. Friends
III. Advertisement
IV. Self

14. Does Advertisement play any role towards brand preference?

I. Yes
II. No

15. Have you purchased any Patanjali Ayurved product recently after coming across any
advertisement?
I. Yes
II. No

16. When did you last time purchased any Patanjali Ayurved product?
I. Within a week
II. 1 month
III. 1-4 month
IV. Above 4 month

17. In what way advertisement influenced you?

I. Better recall
II. Positive impression
III. Interest
IV. No impact

18. State your suggestion if any.

83