A study on the impact of branding

strategies for FMCG in Chennai

By Ryan Paul 132102003
INTRODUCTION
Fast-moving consumer goods (FMCG), also known as consumer packaged goods (CPG), are products that are sold quickly and at a
relatively low cost. Examples include non-durable household goods such as packaged foods, beverages, toiletries, candies, cosmetics,
over-the-counter drugs, dry goods, and other consumables. Fast moving consumer goods have a high inventory turnover and are
contrasted with specialty items which have lower sales and higher carrying charges. Many retailers carry only FMCGs; particularly
hypermarkets, big box stores and warehouse club stores. Small convenience stores also stock fast moving goods; the limited shelf space
is filled with higher turnover items. This definition of FMCG can be broken into four key parts. They are designed for frequent use.
FMCG products are typically used often, even daily. These include products like bread, soap and shampoo. They are consumed quickly.
FMCG products are consumed quite speedily. For example, a consumer might purchase bread from a local bakery or bakery chain and
eat it on the same day it is purchased. They have high demand. The demand for FMCGs is usually very high. This can be due to their
affordability or practicality, among other reasons. An example of an FMCG product with high demand would be soap – people tend to
buy soap frequently due to the need for cleanliness. They are of low cost. FMCGs are usually inexpensive or at least cheaper than other
types of goods on the market. An example would be bread – it is often much more affordable than a luxury handbag. . I conducted a
descriptive study using a convenient sampling method with 200 sample sizes around chennai.The statistical tools used for this research
are chi-square,correlation,ANOVA.
OBJECTIVES
● To find reasons behind the success of the companies involved in
the FMCG business.
● To analyse the FMCG products
● To study the methods used to distribute FMCG products
● To find the best branding strategies for the FMCG products
● To compare the branding strategies between the various FMCG
products
METHODOLOGY
I conducted a descriptive study using a convenient sampling method with 200 sample
sizes around Chennai. The independent variables I used were gender, age, marital
status, occupation and educational qualification. The dependent variables are the most
preferred FMCG products, reasons behind the success of the FMCG products, most
profitable FMCG products, most important aspects of FMCG products and the
necessity of FMCG products. The statistical tools used for this research are chi-square,
correlations and a one-way ANOVA test.
Fig 1 shows the age of the respondents
Fig 2 shows the age of the respondents
Fig 3 shows the occupation of the respondents
Fig 4 shows the educational qualification of the respondents
Fig 5 shows the experience of the respondents
Fig 6 shows the most preferred FMCG product according to age
Fig 7 shows the most successful methods for branding of FMCG
products according to occupation
Fig 8 shows the most profitable FMCG product according to
educational qualification
Fig 9 shows the most important aspect of FMCG products
according to gender
Fig 10 shows the most important aspect of FMCG products
according to age
Fig 11 shows the most important aspect of FMCG products
according to occupation
Fig 12 shows the most important aspect of FMCG products
according experience
Fig 13 shows a rating scale of the necessity of FMCG products
according to Gender
Table 1 shows a chi-square test between gender and the most
preferred FMCG product
Table 2 shows a correlations test between the post preferred FMCG
product and educational qualification
 Table 3 shows a one way ANOVA test between the the most
profitable company and age, gender and educational qualification
Table 4 shows a chi-square test between educational qualification
and the most important aspect of FMCG Products
CONCLUSION
The study is based on analyzing the consumers with regard to Branding strategies.
Consumers are well aware about the availability of brands in the store, sales/discounts
offers and identification of flavours. The results reveal that consumers are highly aware
about sales/discounts offers associated whereas the awareness level on product
segments, product specifications are comparatively low. The study on brand preference
show that consumers were highly perceived positive with regard to preference of brand
on the basis of performance and quality and where as the consumers are less perceived
towards influence of reference groups. With regard to branding strategies, majority of
them have agreed that adding related new products in the product line made them to
like and buy. Further, introduction of new products with expected features encouraged
them to buy. Finally it is to conclude that consumers are well aware of the branding
strategies introduced by the companies and are in support of it.